- New RMD Rules Let You Turn Charitable Donations Into Retirement Income for Life
Investors who chafe at having to take required minimum distributions (RMDs) each year have a new tool to help them reduce the tax bite of these withdrawals – and provide retirement income for life. A financial advisor can help you… read more…
- Earn Over $145k? You May Have to Pay Taxes on Your Catch-Up Contributions
Catch-up contributions are about to change. Starting in 2024, some workers who make catch-up contributions to employer-sponsored retirement plans, like a 401(k), will have to put this money in a Roth account. This means that they cannot deduct these contributions from… read more…
- Does Your Employer Know If You Take a 401(k) Loan?
Your employer technically will always know when you borrow money from your 401(k). One of the tricky parts about managing a 401(k) loan is that, even though this money belongs to you, your employer can set terms and conditions around taking… read more…
- How Much You Can Borrow From Your 401(k)
If you contribute to a 401(k) retirement account, you may be able to take a loan from the plan. The maximum amount you can borrow is limited to the lower of $50,000 or up to 50% of your vested account… read more…
- How Much Your 401(k) Grows If You Stop Contributing
It can be satisfying to watch your 401(k) plan balance grow over time as you contribute to it. But what happens when those contributions stop? The amount your account will grow depends on how much money you have in it… read more…
- How to Open a 401(k) Without an Employer
Employer-sponsored 401(k) plans are a popular way for workers to save for retirement, but they’re not the only way. If you’re self-employed or your employer doesn’t offer a 401(k), there are retirement savings vehicles out there that will work for… read more…
- Treasury Bonds vs. TIPS Ladders vs. Annuities: Which Strategy Is Best For Retirement Income?
Generating enough income in retirement to meet your spending needs is crucial. While Social Security provides inflation-protected retirement income, it’s simply not enough for many retirees. If you need help planning for retirement, consider working with a financial advisor. John Rekenthaler,… read more…
- Can Your 401(k) Lose Money?
Investing in a 401(k) account offers the potential for long-term growth and financial security. However, it’s crucial to understand that this retirement savings vehicle is not immune to losses. Your 401(k) is investing in the stock market, so it’s possible… read more…
- Report Says “Financial Jargon” Has 34% of Americans Doubting Retirement Plans
Financial jargon is so confusing that 34% of Americans say they “don’t know where to start” when it comes to retirement planning, according to a new survey from Unbiased.com. In fact, the analysis found that the majority of adults say… read more…
- These 3 Moves Could Significantly Boost Your Retirement Income
BlackRock, one of the world’s largest financial firms, says three key moves can sharply boost retirement income. Most people focus on building up their savings when they make retirement plans. However, by also focusing on the drawdown phase, the duration… read more…
- Fixed-Index Annuities Can Help You Secure Your Retirement – If You Use Them Correctly
Annuities can help solve the biggest challenge of retirement. When you save up for retirement, the two largest risks are intertwined. First, you risk not being able to pay your bills if you don’t properly calculate your annual spending. Second, you… read more…
- Is $4 Million Enough to Retire at 40?
Retiring at 40 may sound like a dream come true, but even with $4 million in your bank account, it’s important to have a plan for the future. You’ll need to plan out the next half of your life with… read more…
- What Taxes Expats Pay in the U.S.
From sunny Caribbean beaches to charming European villages, the expatriate lifestyle offers numerous settings for relaxation, adventure and a refreshing switch from typical American living. However, understanding your tax obligations is essential as a U.S. citizen or permanent resident living… read more…
- When to Downsize: Financial Planning Guide
In a world where bigger often seems better, downsizing offers a refreshing alternative. While the concept traditionally revolves around transitioning to a smaller home to save money, downsizing extends beyond mere living arrangements. It involves simplifying various aspects of life,… read more…
- Attention High Earners: You’re Not Taking Retirement Seriously Enough
Retirement can last 30 years or longer, which requires more assets than many people may realize in order to keep up with increases in the future cost of living. The study we detail throughout this article that was conducted by the Center for Retirement Research at Boston College found that high-earning households are the most likely… read more…
- More Workers Plan to Retire on Less Money by Claiming Social Security Early
Hammered by inflation, recession fears and doubts about the future of Social Security, an increasing number of working Americans say they plan to claim their Social Security benefits early while staying on the job. Here are the factors driving this… read more…
- 2024 Social Security Cost-of-Living Adjustment Will Be Smaller, Says Report
The good news is that inflation is dropping, with the average annual cost of living falling from 4.9% in April to 4% in May, according to the latest data from the U.S. Department of Labor. The bad news is that… read more…
- The Fed Is Pausing Its Interest Rate Hikes. What That Means for Your Retirement and Savings Plans
The Federal Reserve is pressing pause on its series of interest rate hikes designed to tame inflation – for now at least. The Federal Reserve Open Market Committee announced Wednesday that it would leave the federal funds rate unchanged, forgoing… read more…
- Will This Bill Add More Annuities to Your 401(k)?
Representatives Donald Norcross (D-NJ) and Tim Walberg (R-MI) have introduced a bill in Congress to allow the default inclusion of annuities in 401(k) plans. If signed into law, it would functionally raise the profile of annuities, allowing individuals to hold… read more…
- How to Pay for Nursing Home Care
Nursing home care can be extremely expensive. According to Genworth’s 2021 Cost of Care Survey, the median monthly cost of a private room is a nursing home is $9,034. That’s over $100,000 a year! And most people will need nursing… read more…
- How Inflation Affects Your Retirement Plan and Savings
Since the mid-1990s, inflation has stayed very close to the Federal Reserve’s benchmark of 2% per year, often dipping much lower than that. The upshot has been a long run in which prices have changed little from year to year,… read more…
- Downsizing Checklist for Seniors
Embarking on a downsizing journey as a senior can be exciting and overwhelming. It’s a time filled with anticipation for a new chapter in life, but it also involves making tough decisions about belongings accumulated over the years. A comprehensive… read more…
- Women Working With Financial Planners More Likely to Feel Ready for Retirement
With a possible recession looming, 40% of women investors feel the U.S. economy is already in a financial crisis, with another 24% convinced that the country is on the brink of a downturn. With all that in mind, it’s no… read more…
- Are You Automatically Enrolled in Medicare at Age 65?
Some people who already receive Social Security benefits are automatically enrolled in Medicare when they turn 65. That’s not the case for everyone, though. People who haven’t started collecting Social Security will need to register for Medicare, but signing up… read more…
- Long-Term Care Insurance Pros and Cons
Long-term care insurance can cover the costs of ongoing assistance you may need because of age-related decline in cognitive or physical ability, or a chronic condition. This coverage can keep you from having to use your savings to pay for… read more…