The 401(k) derives its name from section 401(k) of the Internal Revenue Code, which enables workers to delay paying taxes on parts of their income when it’s received as deferred compensation.
Retirement: No matter how close it is or how much you’ve saved, it still seems to feel far away.
Whether you’ve just entering the workforce or you’ve been working for a while, you are probably concerned about your financial future. The longer you go without addressing your debt, the higher your fiduciary risk. But with monthly expenses and college loans, reducing that risk can be tricky.
Debt is a part of almost every person's life. There may be times when you look at your paycheck and wonder if the money you are putting aside for your retirement outweighs the cost of your debt. You may think it is best to stop contributing towards your retirement and put that money to paying off your debt.
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When planning for retirement, investment advisors recommend the stability and the savings that 401(k) or 403(b) contribution plans offer.
What Should You Do? Save Your Retirement or Pay Off Your Student Loans
For most people, a home is the biggest financial commitment they will make, so it’s important to carefully review your options when you’re thinking about making a change to your housing situation. Retirement plan consultants also note that your home will also generally be your largest asset when you retire, and that’s an important consideration for many people.
Educating plan participants is one of the many duties of pension consulting firms, but many focus on accumulating and building wealth while plan participants are working. While that’s important, it’s also important for participants to consider what happens after they retire.
Frequently, the news about retirement is pretty pessimistic. Pensions no longer exist for most workers, we aren’t saving enough, and Social Security is going to disappear. However, things may not be as bleak as they are often painted. If you’re a retirement plan sponsor, you may be wondering how you can help your employees prepare for retirement.
If you’re human you couldn’t possibly have avoided thoughts of what you might do if you had won the recent Mega Millions lottery of over $640 million.
Perhaps you’ve lost a job, faced an illness or have been delt a family crisis that emptied out your emergency fund. What are your next steps?
You’re eyeing center-hall colonials in your neighborhood and dreaming about the garden you want to plant in the backyard and all the holiday celebrations you’ll host. You’ve saved toward this goal and think you’re ready to pull the trigger. But the real question is: How much house can I afford?
Or is it?
Social Security’s financial cliff is coming closer into view. Experts project that the fund that pays for government retirement benefits through FICA taxes will be depleted within the next 15 years.
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