- Medicare Takes On Big Pharma in New Biden Plan
For older Americans, healthcare costs are always a concern. And the costs of prescription medicines can weigh particularly heavy on those who need them to survive. President Joe Biden has called on Congress today to pass legislation that will lower the costs of prescription drug prices. A linchpin in the plan: allowing Medicare to negotiate… read more…
- Congress Could Make Your Employer Offer You a 401(k)
While many companies offer their employers access to 401(k) plans, there is no requirement mandating them to do so. But this could soon change under a proposal that would require more employers to offer their workers 401(k) plans and other tax-advantaged retirement savings plans. A financial advisor can help you sort out your retirement accounts… read more…
- Congress Wants Medicare to Cover Retirees’ Insane Dental Costs
Nearly half of all Medicare beneficiaries don’t have any dental coverage, but that could change under a proposed expansion of the safety net program. As millions of beneficiaries spend hundreds – or even thousands – of dollars out of pocket for dental care each year, Democrats in Washington, D.C., want Medicare to cover dental services,… read more…
- Retirees Could Get Social Security Pay Boost That Reflects True Costs
A bill has been introduced in the House of Representatives that aims to change how Social Security payments are calculated. Social Security currently adjusts payments annually for cost of living. Experts say that retirees could see a 6.2% hike to benefits in 2022, the biggest increase in decades. But inflation could also undercut this increase. And… read more…
- How to Retire in the United Arab Emirates
Once organized as separate sheikdoms, the seven emirates of the United Arab Emirates, Abu Dhabi, Ajman, Dubai, Fujairah, Ras Al-Khaimah, Sharjah and Umm Al-Quwain, are now a popular destination for expatriates. In fact, according to the Congressional Research Service, around… read more…
- 71% of People Think Social Security Will Run Out – Are They Right?
Young and middle aged adults are particularly pessimistic about the future of Social Security, but their greatest fears will likely never come to fruition. The Nationwide Retirement Institute’s 2021 Social Security Survey found that 71% of people worry Social Security will run out of funding in their lifetimes, while a considerable percentage of Millennials and… read more…
- Missing Retirement Funds? Proposed “Lost and Found” Could Help
There might be missing money out there with your name on it. A pair of bills in Congress could make it easier to find it. The two bills introduced earlier this year call for the creation of an Office of the Retirement Savings Lost and Found within the federal Pension Benefit Guaranty Corporation. The new… read more…
- Why Is Gen Z Saving More for Retirement Than Their Parents?
A 2021 survey from TransAmerica says that the youngest generation of American adults is getting a jumpstart on retirement by saving a lot earlier than older generations. Financial experts will point out that this is in part due to the decline of pensions and the rise of defined contribution plans like 401(k)s, which allow employees to… read more…
- Where Your Social Security Could Go Further Under Projected Massive COLA Increase
As inflation continues to soar, senior citizens next year could receive their largest increase in Social Security benefits in nearly four decades. The Senior Citizens League, a nonpartisan senior advocacy group, projected the annual Cost-of-Living Adjustment (COLA) could be a whopping 6.2% in 2022. That would constitute the largest year-over-year hike in Social Security benefits… read more…
- Are IRA Contributions Pre-Tax?
There are many ways to save for retirement, but one of the best is to get an individual retirement account (IRA). These are especially useful if you don’t have access to a workplace retirement account, like a 401(k) or 403(b).… read more…
- What Is a Money Purchase Plan?
Employees covered by company retirement plans are familiar with defined-contribution plans like 401(k), 403(b) or SEP-IRA accounts. A money purchase plan is another such employer-sponsored plan that can help you save for retirement. It is similar to these other accounts, except that the contributions are typically made by the company instead of the employee. In… read more…
- Eligible Designated Beneficiary Requirements
A designated beneficiary is an individual or entity chosen to inherit assets from a retirement account, such as an IRA or 401(k), after the account holder’s death. Under the SECURE Act, eligible designated beneficiaries include surviving spouses, minor children of the account holder, disabled or chronically ill individuals, and those who are less than 10… read more…
- One-Third of American Workers Are Leaving Free Money on the Table
A 401(k) plan, and other workplace retirement plans like a 403(b) plan, is the most common way for American workers to save for retirement. With Social Security simply not enough to cover expenses for most people and traditional pension plans rarely used anymore outside of the public sector, taking full advantage of your 401(k) is… read more…
- How Do Mega Backdoor Roths Work?
A mega backdoor Roth is a unique 401(k) rollover strategy that’s designed for people whose incomes would ordinarily keep them from saving in a Roth Individual Retirement Account. The advantage of using a Roth IRA to save for retirement is… read more…
- Types of Retirement Explained
The prospect of retirement sparks a myriad of questions about how much you have saved up, where you want to live and when you plan to start. Retirement used to connote a post-work life of leisure on the front porch or golf course, with some travel thrown in. But that might not be the type… read more…
- Retirees Can Beat Inflation With This Investment Technique
When managing your nest egg in retirement, there are a number of decisions to make surrounding which withdrawal rate to use and how to rebalance your portfolio. Perhaps the most key, though, is answering what types of investments should you make after you’ve left the workforce. A major strategic decision in this regard hinges on… read more…
- How to Become a 401(k) Millionaire
The number of 401(k) and IRA millionaires reached an all-time high in the first quarter of 2021, according to Fidelity Investments. Retirement account balances have been steadily recovering in the year since COVID first emerged, even surpassing pre-pandemic levels. Today, more… read more…
- Who Qualifies for a Widow’s Pension?
Surviving spouses are not the only ones eligible for survivor benefits—also known as a widow’s pension—under the 1939 amendments to the Social Security Act. Other parties close to the deceased may also be able to claim Social Security benefits on their record. The Social Security Administration sets specific rules for widow’s pension payments. Below is… read more…
- How Does Government Pension Offset Work?
One of the most valuable perks of working for the government is the pension. Previously, government pensions could reduce or eliminate spousal or survivor benefits from Social Security due to a policy known as the Government Pension Offset (GPO). These reductions often caused financial concerns for retirees who expected to receive both incomes in retirement.… read more…
- How to Retire With $5 Million
Even with $5 million saved, managing your retirement nest egg wisely is essential to ensure it supports both your needs and lifestyle goals throughout your retirement years. Proper planning can help that wealth last for 20 to 30 years or more. To make the most of your savings, consider strategies that balance income generation, growth… read more…
- The 60-Day Rollover Rule for Retirement Plans
If you have more than one retirement account, it’s possible to extend a short-term loan to yourself when you need cash in an emergency. This involves initiating an indirect rollover from one retirement account to another. But there’s just one… read more…
- Retirement Plan Options to Consider
Having one or more retirement accounts can help you realize your long-term financial goals, including growing wealth and securing a comfortable retirement. Workplace plans, Individual Retirement Accounts and self-employed retirement accounts are just some of the ways you can save.… read more…
- 401(k) Rollovers: The Complete Guide
A 401(k) rollover is the process by which you move the funds in your 401(k) to another retirement account—usually either an IRA or another 401(k). A 401(k) rollover typically happens when you leave your employer, either to retire or to start a new job. There are certain regulations you need to follow when rolling over your assets,… read more…
- How an In-Service 401(k) Rollover Works
If you’ve ever changed jobs, chances are you’ve considered rolling over your old 401(k) to an individual retirement account. But can you roll over your 401(k) even if you haven’t changed jobs? The answer lies in what’s known as an in-service… read more…
- How to Roll Over an IRA to a 401(k)
Rolling over your 401(k) to an individual retirement account is common practice when starting a new job. But what about doing the opposite: moving IRA assets into a 401(k) plan? While not nearly as common, these “reverse rollovers” do exist… read more…