- 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…
- Is My Spouse Entitled to My Pension in a Divorce?
A divorce is an unfortunate time in anyone’s life, as it signifies the end of a likely long-term relationship and marriage. However, it’s important to understand the financial ramifications of a divorce as you’re going through one. So if you’re… read more…
- 3 Steps to Building Wealth in Your 50s
For many people, turning 50 signals a shift in the way they approach their finances. If you have kids, they’re probably preparing to leave the nest and you may just be hitting your stride in terms of your earning power.… read more…
- What’s the Difference Between 401(a) and 403(b) Plans?
If you work for a public school or some kind of non-profit organization, you may have access to a 401(a) or a 403(b) plan. Both are retirement savings vehicles that offer major tax breaks. However, they are structured a bit… read more…
- Who Should Make After-Tax 401(k) Contributions?
Your employer may allow you to make after-tax 401(k) contributions. These are not tax-deductible like your regular 401(k) contributions, but you can make after-tax deferrals beyond the annual 401(k) contribution limit. Plus, the earnings from these extra contributions grow tax-free.… read more…
- 401(a) vs. 401(k): What’s the Difference?
Interested in investing in your retirement? You know you should be socking money away for your golden years, but you need to understand the savings vehicle your employer offers. The 401(k) plan, which for-profit employers offer, is a popular way… read more…
- Is $1.5 Million Enough to Retire at 65?
Reaching $1.5 million in retirement savings is doable. While this is a lot of money, it’s well within reach for most incomes. As long as you start saving early – ideally in your 20’s – and take advantage of market returns,… read more…
- Can I Retire With $1 Million at 55?
$1 million doesn’t go nearly as far in retirement as it once did. In fact, a recent survey found that investors believe they’ll need at least $3 million to retire comfortably. But retiring with $1 million is still possible, even… read more…
- Want to Leave Assets to Your Heirs? Consider Using a Taxable Account to Pay for a Roth Conversion
A Roth conversion is one of the many tools in the financial toolbox to reduce taxes in retirement and maximize income. But not all retirees or those planning their retirement consider converting their savings into Roth assets, mainly because it… read more…
- At What Age Do RMDs Stop?
Required minimum distributions (RMDs) are the minimum amount that you must withdraw from certain tax-advantaged retirement accounts. They begin at age 72 or 73, depending on your circumstances and continue indefinitely. There is, unfortunately, no age when RMDs stop. You… read more…
- 401(k) Plans for Small Business Owners
Small business owners can boost employee recruitment and retention and help themselves and their workers save for retirement by establishing a 401(k) plan. These plans can only be set up by employers, and offer valuable tax benefits including tax-free growth… read more…
- Can You Lose a Vested Pension?
Once a pension has vested, you should be entitled to keep those funds, even if you’re fired. However, you aren’t always entitled to all the money in your pension fund. In some cases, you might lose some, or even all,… read more…
- What Is a 401(k) True-Up?
A 401(k) true-up is an end-of-year calculation that some employers use to make sure that they have contributed everything they owe to an employee’s retirement plan. True ups occur in retirement plans with matching contribution benefits. If your employer offers… read more…
- Is $2 Million Enough to Retire at 65?
Although 65 is a conventional retirement age, reaching this point with $2 million is quite a feat. This sum can generate investment and interest income to support you well in the decades to come. However, saving this amount takes effort.… read more…
- Is $3 Million Enough to Retire at 50?
Early retirement is a great goal for many. But to be able to retire early and comfortably, you’re going to need a nest egg. How much you need depends on how you answer a few questions: What’s your average cost… read more…
- Roth IRA RMD Rules for 2024 and 2025
You might be familiar with Roth IRAs or you might even have one yourself. But while Roth IRAs can be simple and highly flexible retirement vehicles for the original owners, people who inherit IRAs deal with more limited options. While… read more…
- Is $5 Million Enough to Retire on at 50?
Retiring at 50 is a lofty goal that gives you plenty of time to pursue all the projects you couldn’t get to in your career and make memories with friends and family. However, leaving the workforce 12 years before you… read more…
- Is $4 Million Enough to Retire on at 50?
Achieving the goal of retiring at 50 allows ample time to pursue the passions put aside during your career and create cherished memories with loved ones. Nevertheless, leaving the workforce 12 years before qualifying for Social Security presents a significant… read more…