It is important that you make your complete Roth IRA contribution as early as possible. If you wait for making IRA contribution until the end of the fiscal year, you may end up losing a lot of money. On the other hand, you have nothing to lose by funding the Roth IRA at the beginning of the year as you can withdraw the money from the account at any time without any penalty. [Read more…]
How to Get Back on Your Feet After the Recession
The economy has recovered from the recession and is again growing at a good rate. The value of stocks has started rising again and investor interest in stock market is slowly picking up. The government is also retracting some of its liberal policies that were introduced to deal with the recession and the inter-bank lending rate could soon be increased by the Fed. [Read more…]
Benefits and Disadvantages of Roth 401(k) Plan
Roth 401(k) is a retirement savings plan which combines the features of Roth IRA and a traditional 401(k). If you are expecting an increase in tax rate when you retire, then Roth 401(k) plan is likely to be beneficial as the tax distributions after the maturity age will not be taxable. Also while switching employers, Roth 401(k) plans can be rolled over to a Roth IRA or to another Roth 401(k), which is a great flexibility that you can use. [Read more…]
Rethinking Investment of Retirement Savings in Your 401(k) Plan
If you have been investing the money for your retirement savings in a 401(k) plan offered by your employer, then it is time to rethink your strategy. Although, 401(k) is considered almost sacred as far as retirement savings go, its value has been decreasing lately. [Read more…]
Quick Guide to Traditional IRA Investment
IRA or Individual Retirement Account is an investment option through which people can save funds for their post-retirement life. There are many types of IRAs including Traditional IRAs and Roth IRAs. Both of these IRAs can be created by individuals, who can invest up to a fixed amount every year in these accounts. Two other IRAs – SEPs and SIMPLEs are established by employers. [Read more…]
401k Contribution Limits, Rollover and Withdrawal Plan
Trying to figure out how much you should be contributing to your 401k can almost seem like a full time job, in and of its own. The same system for planning retirement simply does not work for everyone. When you are trying to come up with an appropriate figure there are a few questions you need to ask.
You should question yourself on how much you should be saving and what types of accounts you want to be using. Here is a quick run down on how to go about figuring out the answers to [Read more…]
