- How Does 401(k) Matching Work?
One of the easiest ways to save for retirement is to contribute to your 401(k). Set up through your employer, a 401(k) allows you to set aside a certain amount of each paycheck before income taxes apply. Sometimes, your employer… read more…
- How Are 401(k) Assets Split in a Divorce?
Going through a divorce can be one of the most difficult experiences you’ll ever undergo. But it doesn’t have to ruin your financial future. There are certain steps you can take to protect your nest egg during divorce proceedings, and… read more…
- Annuity vs. 401(k): Which Is Better for Retirement?
Choosing the right way to save for retirement based on your personal needs is easier said than done. There are many options available, with annuities and 401(k) plans being some of the most prominent. While these two popular retirement savings… read more…
- How to Roll Over a Roth 401(k) to a Roth IRA
Saving through a Roth 401(k) can help you grow a nest egg that you can then tap into in retirement without having to pay taxes. If you leave your job or you’re ready to retire, you may be wondering what… read more…
- What Is the Average Monthly Retirement Income?
Wondering how your retirement savings stack up to other Americans’ nest eggs? Or whether your income in your post-work years will be enough to keep you afloat? It’s normal to be curious about the average retirement income in the U.S.… read more…
- Age Limits for IRA Contributions
When it comes to retirement savings, your age can have a major effect on things. Depending on which type of retirement account you have, your age may define both when you can access your funds and how much money you can… read more…
- What Is the 401(k) Tax Rate for Withdrawals?
One of the most attractive features of a 401(k) plan is that you can contribute pretax dollars throughout your career. This reduces your taxable income and allows you to contribute more to your retirement with each paycheck. That said, you’re… read more…
- Average 401(k) Return: What You Can Expect
Many retirement planners suggest the typical 401(k) portfolio generates an average annual return of 5% to 8% based on market conditions. But your 401(k) return depends on different factors like your contributions, investment selection and fees. And sometimes broader trends… read more…
- Does Disability Pay More Than Social Security?
Applying for Disability benefits has a reputation as a time-consuming and inefficient process. Consequently, many people entering their 60s who could potentially qualify for disability benefits may opt to just elect for Social Security a couple of years early to… read more…
- How Nonqualified Deferred Compensation (NQDC) Plans Work
A nonqualified deferred compensation (NQDC) plan is an arrangement that an employer and employee agree to where the employer accepts to pay the employee sometime in the future. Executives often utilize NQDC plans to defer income taxes on their earnings. They differ… read more…
- Gift Tax Limits: How Much Can You Gift?
For 2023, the annual gift tax exemption is $17,000, up from $16,000 in 2022. This means you can give up to $17,000 to as many people as you want in 2023 without any of it being subject to the federal… read more…
- The Average Salary by Age in the U.S.
The answer to how your earnings compare to others in your age group largely depends on where you live and what you do. But knowing the median salary of people the same age can tell you if you’re generally keeping… read more…
- What Is the Rule of 55 and How Does It Work?
Employer-sponsored, tax-deferred retirement plans like 401(k)s and 403(b)s have rules about when you can access your funds. As a general rule, if you withdraw funds before age 59 ½, you’ll trigger an IRS tax penalty of 10%. The good news… read more…
- How to Calculate Your Social Security Break-Even Age
Deciding when to take Social Security retirement benefits is important because it can directly affect your benefit amount. While you can technically start taking benefits as early as 62, you’d receive them at a reduced amount. On the other hand,… read more…
- How to Calculate Required Minimum Distribution (RMD)
Required minimum distributions (RMDs) are withdrawals you have to make from most retirement plans (excluding Roth IRAs). The age for withdrawing from retirement accounts was increased in 2020 to 72 from 70.5. The SECURE 2.0 Act, though, raised the age for… read more…
- How to Invest $50,000
Start with giving yourself a pat on the back. Whether you saved $50,000 by diligently setting aside a portion of your paycheck or you came into money through an inheritance, you now have a tidy sum to grow. Investing is one… read more…
- IRA Required Minimum Distribution (RMD) Table for 2025
An individual retirement account, more commonly referred to as an IRA, is a good place to save for your retirement. Once you reach a certain age, though, you’ll have to start taking a minimum amount out of your account each… read more…
- Roth IRA Withdrawal Rules and Penalties
Roth IRAs are one of the many ways you can save for retirement. Their key benefit – you can withdraw funds in retirement without paying taxes on the distributions – has made them very popular among tax-savvy investors. Still, there… read more…
- 2025 Retirement Contribution Limits
Funneling money into a tax-advantaged account, such as an IRA or a 401(k) is a must if you’re banking on enjoying a comfortable retirement. These kinds of accounts offer a much higher rate of growth compared to a regular savings… read more…
- Roth 403(b) Plans: Rules, Tax Benefits and More
A Roth 403(b) plan is one type of tax-advantaged, employer-sponsored retirement savings account that combines elements of a Roth IRA and a traditional 403(b). While these plans share some similarities with 401(k) plans, they have certain characteristics that set them… read more…
- SEP IRA vs. Solo 401(k): Which Is Better?
When you’re self-employed, you’re in charge of choosing and funding your own retirement plan. In place of an employer-provided retirement plan like a 401(k), you may consider making contributions to a SEP IRA or solo 401(k) plan. But which one is… read more…
- SIMPLE IRA vs. 401(k): What Is the Difference?
A 401(k) plan is one of the most flexible workplace retirement plan options available, while a SIMPLE IRA plan is less flexible but also less complex to use and administer. Each of these have their own distinct pros and cons,… read more…
- Vanguard Says Retirees Can Add at Least $100k to Retirement Savings By Doing This
Approximately 80% of all Americans aged 60 and older are homeowners, and housing wealth accounts for about 48% of the median wealth of that group. As retirees near large cities, and strong housing markets, start retiring, they realize they can… read more…
- What Is a Revocable Living Trust?
As you get older, there are two major things that you should consider. One is retirement. Having the necessary retirement savings and a financial plan will allow you to live the kind of life you want to live during your golden… read more…
- The Pros and Cons of Indexed Annuities
Annuities are a popular option for people planning for retirement, but there are many different types of annuities that you can choose from. One popular option is an indexed annuity, a hybrid type of annuity that tracks a stock market… read more…