Planning for retirement is one of the most important things you can do financially. It’s also one of those things that people tend to put off until retirement is right around the corner. But if you don’t have a solid plan in place, you risk outliving the money you set aside for retirement. If you start today, it’s possible to avoid outliving your money. Make it a priority and your future self will thank you.
Dara Luber, senior manager of retirement at TD Ameritrade came out with a simple, actionable end of year retirement planning list. Although you’re probably managing multiple activities now, with school vacations and holiday planning, don’t forget yourself. By dedicating some time to end of year retirement planning, your future self will thank you. Give yourself a gift by taking a few moments to improve your financial retirement life for tomorrow. You still have a few weeks before January 1 to…
“I’m free” you think after that last day of work. You’ve toiled, saved, invested and finally you’re ready for the next life transition-retirement. Even if you’re still working a bit, you consider yourself ‘retired’. Once the elation subsides, you’re confronted with a whole new set of challenges. You need to adjust to the idea that your retirement nest egg may not grow, but decline in the upcoming years. It’s crucial to figure out which accounts to tap 1st, now that you’re retired.
Do you spend more time making money than you do managing the money that you already have? For those of us tiptoeing toward the Social Security (S.S.) deadline, did you know that by appropriately managing your benefits, you can earn tens of thousands more dollars or more in retirement? That’s right, managing when you and your partner take your Social Security benefits can be equivalent to giving yourself a juicy raise in your retirement paycheck.
The 401(k) Saga-Don’t do This! Financial professionals frequently suggest rolling over your 401(k) into an IRA when you leave a job. The down side of leaving your retirement account with the old employer means you’re subject to their fee structure and investment options. If you rollover your 401(k) into an IRA-you gain control! Advantages of a 401(k) Rollover into an IRA You choose: Where to house your money. Already have an account with Schwab, Fidelity, Vanguard, ETrade or another discount …
Reader Question: Am I On Track for a Secure Retirement? “Barbara, I started investing late and although I have a military pension, a 401k, and brokerage accounts; I wonder if I am track to a comfortable retirement. I use commission free ETFs in a taxable account.” You’re doing what you think is right, saving, investing, living modestly, but how do you know if you’re on track for retirement? This question from a reader echoes a common concern. After all, no one wants more life than money! How …
Keep Your Fingers Off the 401(k) Retirement accounts functioned very differently just a couple of decades ago. We had to mail in a deposit to our retirement accounts, or banks drafted deposits out of our bank accounts. To make a change in our asset allocation, we had to call a broker, and our broker had the option either to agree with us or try and talk us out of making a bad decision. Now, thanks to the internet, we can see our 401(k)s with the touch of a button. We can tweak and trade to ou…
How to Retire Comfortably FF at Feeling Financial asks: What factors play the biggest role in whether or not I’ll retire comfortably? Is it the funds I pick, how much I save, or how often I rebalance? Recently, when talking about budgeting with my Mom, she mentioned that she and my Dad never budgeted. That really surprised me. They were and still are very financially savvy. My dad came from an impoverished background and my mom’s upbringing was modest. My dad started working at age 10 to help…
“My first experience with an ‘advisor’, well actually he was a stock broker, was in my 20’s. I inherited a small sum of money from my aunt and I planned on investing it. I received a ‘cold call’ from Brian (not his real name), a stock broker from Prudential Bache Securities (now called Prudential), and we started talking. He was a former biology Ph.D. who made the switch from academia to investments. I was impressed by his educational background and demeanor. Next, we set up a meeting at his …
Michael from Studentloansherpa.com asks: For people with existing debt, such as credit cards and student loans, is it best to pay off debt or save for retirement? I realize that the interest rate is obviously a big factor here, so at what debt interest rate does putting money towards retirement instead of debt make the most sense? Michael, I wish it was that simple, if your interest rate is x percent, pay off debt; if your interest rate is y percent, then save for retirement. Like many invest…
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