Taking Advantage of a Roth Contribution Option Can Give You Some Flexibility in Retirement According to Vanguard’s “How America Saves 2024,” 82% of employers offer a Roth 401(k) option in addition to a traditional, or regular, 401(k) option. However, just 17% of employees contribute to a Roth. If you have access to a Roth 401(k) [...]
Strategic Reasons for Partial Roth Conversions Before Year-End Looking for a tax-strategy for your investment portfolio? A Roth Conversion is something to consider. Both IRAs and 401(k)s provide the opportunity to cultivate tax-free growth within your investment portfolio. While contributions to Roth retirement assets incur taxes, the potential for tax-free growth and withdrawals in [...]
Pay It Forward - Teach Your Kids About Money & Kiddie Roth IRA! Looking To Teach a Child Some Important Money Lessons? Consider a Roth Custodial IRA. You started early and have saved hard in your 401(k). You’ve also paid close attention to your investing strategy over the years. And you definitely understand the [...]
Doing Some Tax Planning Now Can Pay Off Later in Retirement For many people, retirement is not a time to slow down and stop. It’s a time to explore the next great chapters of your life and build upon everything you’ve learned and experienced so far. Another thing that doesn’t slow down or stop [...]
Erick, can I contribute to my 401k AND a Roth IRA? Yes, tax payers can max out their contributions to both 401ks and Roth IRAs, assuming their income threshold is below the amount that would prohibit contributing to the Roth. Filing Status 2022 or 2023 Income range Maximum Annual Contribution Married filing jointly [...]
During these uncertain times, 529 plans may make more sense than ever For many people, a 529 savings plan offers an opportunity to achieve an important life goal and improve overall financial health. As college and university administrators determine how higher education will look in the future (classes on campus, remote learning or a [...]
You have more choices than you think. Is creating a college fund on your to-do list? Consider these options. 529 plans. Anyone can contribute to these savings vehicles. Some let you prepay college tuition; others allow you to accumulate and invest education funds. Earnings on investments in a 529 plan grow tax-deferred, and [...]
If you are opening an (Individual Retirement Account) IRA for the first time or need a refresher course on the specifics of IRA ownership, here are some facts for your consideration. IRAs in America IRAs continue to play an increasingly prominent role in the retirement saving strategies of Americans. According to the Investment [...]
Feeling overwhelmed thinking about your retirement savings? Babies crawl before they can walk. Their first step is the most important -- it is the beginning of a lifetime journey. If you know you should begin saving and investing for retirement, don't worry about making a giant leap forward. Taking one small step toward [...]
More than 25 percent of all Americans have no savings to speak of, let alone a retirement nest egg. But for those without an employer plan, like a 401(k), that number is much, much larger. About 70 percent of so-called 1099 workers, including freelancers and contractors, said they have no long-term savings at all, according [...]
