Retirement

June 28, 2024Planning for retirement involves a few key investment strategies that can help ensure financial stability in your later years. The timing of your investments, the diversity of your portfolio, and your understanding of interest rates over the years are just some of the retirement investment advice you’ll need to seek out in order to fulfill… read more…

June 28, 2024Understanding the difference between a self-directed IRA and a traditional IRA can help you decide how and where to invest your retirement savings. A traditional IRA is a popular choice for many investors, offering tax-deferred growth on contributions made with pre-tax dollars. This means you don’t pay taxes on your investments until you withdraw them… read more…

June 28, 2024Retirement planning is an important aspect of financial management that could help you ensure a comfortable and secure future. However, many individuals fall into common pitfalls that can jeopardize their retirement dreams. From starting too late to underestimating expenses, these mistakes can have significant repercussions. Understanding and avoiding these retirement planning mistakes can help you… read more…

June 27, 2024A self-invested personal pension (SIPP) is a type of pension plan offered in the United Kingdom that allows individuals greater control over their retirement savings by letting them choose and manage their investments. Unlike traditional pension plans, SIPPs provide access to a wide range of investment options. This flexibility can help tailor a retirement strategy… read more…

June 27, 2024By age 40, you should have a clear plan for retirement savings. The first step is to evaluate your current savings and projected retirement needs. Experts often recommend aiming to have three times your annual salary saved by this age. This ensures a solid foundation as you continue to build your nest egg. You’ll also… read more…

June 25, 2024Retirement planning in the United States offers a variety of options tailored to meet different financial goals and needs. You’ll most likely be familiar with 401(k)s and IRAs, which are two of the more common options, but we’ll also take a look at SEP IRAs, SIMPLE IRAs and Thrift Savings Plans, among others. Choosing the… read more…

June 25, 2024Determining when it’s time to retire involves recognizing key financial indicators that signal readiness. Signs that show you’re financially prepared include having consistent income streams, low debt levels, sufficient insurance and a robust retirement fund. Identifying them can help you make a smooth transition into retirement, offering you peace of mind and financial stability for… read more…

June 24, 2024Converting your 401(k) to a Roth portfolio will allow you to entirely avoid RMDs. This is a legitimate form of tax planning. However, often there’s a difference between whether you can do something and whether you should; whether it’s allowed, and whether it’s in your long-term best interest.  For example, say that you’re 62 years… read more…

June 21, 2024Workers with defined benefit pensions may be offered the chance to collect a one-time, lump sum payment instead of monthly pension benefits for life. Making this decision involves evaluating a number of factors, including the lump sum amount, the amount of the monthly payments and the age of the recipient when the offer is made.… read more…

June 20, 2024Before you can create an investment plan for the retirement you want, you’ll want to think about your desired lifestyle. By identifying your retirement goals early, you can tailor your investment strategy to meet your specific needs, such as travel, healthcare and daily living expenses. A sound investment plan not only helps in accumulating the… read more…

June 20, 2024When you file for Social Security, your spouse becomes eligible for payments known as spousal benefits. However, they won’t receive these payments automatically. Instead, they must file with the Social Security Administration, whether they’re receiving their own retirement benefits or not. A financial advisor can help you plan for Social Security and build a comprehensive… read more…

June 19, 2024Facing financial hardship can be an overwhelming and stressful experience, especially when it feels like your options are limited. You may consider a 401(k) hardship withdrawal as a potential solution to your immediate financial needs if you’re younger than 59 ½. However, before making this decision, you’ll want to fully understand what a 401(k) hardship… read more…

June 19, 2024Consolidating your retirement accounts can simplify your financial planning, reduce fees and provide a clearer picture of your overall savings. By combining multiple accounts into one, you can streamline your investment strategy, make tracking your progress easier and potentially enhance your portfolio’s performance. Whether you have 401(k) plans from previous employers, IRAs or other savings… read more…

June 19, 2024Saving for retirement is important because it ensures greater financial stability and independence in your later years. As life expectancy increases, so does the need for a robust retirement fund to cover extended healthcare costs, rising living expenses and unforeseen financial challenges. Without adequate savings, you risk outliving your money, which could lead to a… read more…

June 18, 2024The Social Security Trust Funds are financial reserves established to support the Social Security program in the United States. They comprise two separate funds: the Old-Age and Survivors Insurance (OASI) Trust Fund and the Disability Insurance (DI) Trust Fund. These funds are designed to ensure the payment of retirement, survivor and disability benefits to millions… read more…

June 14, 2024For an average single person planning to stop working at 64, a $1.2 million 401(k) account and $2,800 Social Security benefit could provide enough income to make ends meet during retirement. Widely used guidelines suggest your annual income may be around $81,600, which may or may not be more than your annual expenses. Much depends… read more…

June 12, 2024The concept of semi-retirement offers a unique alternative that balances the desire for more leisure time with the benefits of continued income and engagement. Learning how to semi-retire early can open doors to a lifestyle that combines the best of both worlds: the freedom to pursue personal interests and the security of a steady, albeit… read more…

June 12, 2024Deciding when to retire is one of the most significant financial decisions you’ll make, and getting the timing right is important for the success of your nest egg. If you’re wondering “how do I know when it’s time to retire,” several key factors can guide you. Evaluating your retirement readiness involves assessing your savings, understanding… read more…

June 10, 2024Roth IRAs are not subject to rules on required minimum distributions (RMDs), and qualifying withdrawals from Roth accounts in retirement are also free of federal income taxes. You can get those advantages for funds in your traditional IRA by transferring them into a Roth account. You’ll have to pay income taxes now on funds you… read more…

June 7, 2024Saving for retirement is an important part of financial planning, and choosing the right investment vehicle can make a significant difference in your long-term financial well-being. While employer-sponsored 401(k) plans have become a popular choice for many workers, individual retirement accounts (IRAs) offer several compelling advantages that should not be overlooked. Here are three benefits… read more…

June 6, 2024The thought of your company going bankrupt is unsettling, especially if you were expected to receive a lifetime guaranteed income from a defined benefit pension plan. While bankruptcy can throw the future of a pension plan into flux, it doesn’t mean employees are automatically out in the cold thanks to the Pension Benefit Guaranty Corporation… read more…

June 6, 2024Understanding the nuances of spousal benefits is crucial to maximizing your household’s Social Security payments. For example, if you’re set to collect $3,500 per month from Social Security at full retirement age, your spouse may be eligible to receive $1,750 based on your earnings record, although this won’t happen automatically. Eligibility for spousal benefits ultimately… read more…

June 3, 2024Converting a large sum like $865,000 to a Roth IRA is a strategic move for long-term tax benefits – including tax-free retirement income and eliminating required minimum distributions (RMDs) –  but it often comes with a hefty upfront tax bill. The transition from a traditional IRA or 401(k) to a Roth IRA means paying taxes… read more…

May 31, 2024If you live in New York, you can apply for Social Security benefits online, by telephone or in person. The Social Security Administration maintains a website at SSA.gov, as well as dozens of local offices throughout the Empire State that you can call for information or schedule an appointment with. Before applying, you can use… read more…

May 31, 2024Massachusetts participates in the Social Security system a little differently than most states. Massachusetts residents who belong to public-sector retirement plans don’t pay Social Security payroll taxes. As a result, these workers don’t earn credits toward Social Security benefits for their public-sector work. Some Massachusetts public workers may still qualify for Social Security benefits through… read more…