Category Archives: Retirement Planning
Being our own boss, setting your own schedule and calling all the shots are benefits of owning your own business and being self-employed. There are many challenges, however, associated with self-employment. The small list indicates that you are in charge of every aspect of your business; you have to find new customers, take care of marketing
There are two distinct retirement plans that can give you a return on your investment and an income for the future. One is an IRA and the other is a 401K. Both have benefits for savers, but there are also differences. When discussing the advantages of an IRA vs 401K plans, look to maximum contribution limits, individual vs employer plans
Employers generally administer and provide 401K plans for their employees. Workers normally contribute their own money into the 401Ks to provide for retirement and matching funds are contributed by employers at a predetermined amount of the employee’s income.401K rules can be confusing, but it is important for employees to understand
Small business 401K plans can be powerful tools in recruiting and retaining potentially good employees. 401K plans provide financial security for retirement and are listed as one of the top benefits employees seek. You need to consider providing 401K retirement plans for your employees even if you are a small company.
The state where divorcing couples reside will determine the property allocation laws and joint marital property. Many states’ legislation allows ex-spouses to keep property they used to own before their marriage, but after marriage any jointly owned accounts are divided under set rules. This includes 401k accounts that list the spouse as beneficiary.
Is the Vanguard retirement savings trust a safe investment or a bad idea for most investors? Most financial experts have given the trust a good review and rating but this choice is not right for everyone. This investment choice may be perfect for many small business retirement plans and utilizes a strategy designed to minimize risks
1. Investment Choices Can Vary Significantly- Most retirement savings account choices will offer a list of investments that can be made for the account. IRAs, 401k plans, and other retirement savings plan options will usually have different groups of investment choices that you can choose from. Some will be conservative while others may be higher risk
Retirement savings statistics are not looking good, and this has many Americans concerned. One reason for this situation is the recent economic downturn. This factor has had several effects on savings set aside for retirement. Baby boomers who will retire within the next decade have withdrawn retirement savings just to meet expenses.
The average retirement savings by age has declined in the last decade or so and there have been many reasons given for the decline. In the last decade consumer purchases and domestic spending have been down and that tells us that consumers are not confident about the financial state of affairs and are less likely to have additional money.
When it comes to the average American retirement savings how do you compare with others? Comparing your retirement savings with the average amount saved for your age group can help show you exactly where you rank in this area. If you are in your 20s then the average savings achieved are between $6,759 and $52,268
Investing for retirement is important so that you have enough money available once you can no longer work later in your life. Social security alone will not be sufficient and you want to ensure you have the money available to spend your golden years the way you dream, not scraping by and barely surviving.
The average retirement savings for baby boomers and the following generations show some surprising statistics. Baby boomers are over 45 but have not yet reached 65 years old and retirement age. This is the generation that will start retiring within the next decade, and the average American retirement savings in this age group
1. Charles Schwab- One of the best Roth IRA providers according to numerous investors is Charles Schwab. The name is trusted in investment circles, and the IRA offerings are considered some of the best found anywhere.
2. Fidelity- Fidelity makes Roth IRA eligibility easy to understand, and offers some of the top rated accounts for this purpose.
What are the stretch IRA rules that you should know about? This type of retirement plan is considered one of the best IRA accounts for many because of the benefits offered. This type of account can be handed down from one generation to the next with careful planning, and that is a feature that many investors appreciate.
Education IRA plans have specific rules and contribution limits that must be followed closely. The contribution limits of this type of IRA savings account for children can be confusing, because of the restrictions and limitations in place with this type of plan. A Coverdell IRA can only be established for a child who is less than eighteen years old
The rules with a Keogh retirement plan may offer more advantages when compared with other types of retirement plans. Early retirement planning should include evaluating the different types of retirement accounts available, and then deciding which plan type works best with your circumstances and situation. One benefit is that these plans can be very effective tax shelters
What is a supplemental executive retirement plan, and what are the tax consequences for this type of plan? This is one of the available account types that can be used for retirement planning purposes, and there are both benefits and disadvantages with these plans. The goal is to provide additional compensation for valued employees, to retain them and their talents.