Good times, but not for all. – Getty Images Rising numbers of Americans are making emergency “hardship withdrawals” from their 401(k) plans to avoid eviction or foreclosure, new data reveal. The data, from investment and retirement giant Vanguard, raise new fears about the looming retirement crisis facing millions—and about just how widespread the current “economic […]
According to a study by Principal Financial Group, 59% of respondents who thought they were contributing to their 401(k) actually were not. – Getty Images How do you pay for something when you don’t know what it’s going to cost or how long you’ll need it? That’s the current U.S. retirement system, and many experts […]
The average new car costs nearly as much as the median American aged 45-54 has saved for retirement — a staggering $47,000 versus $48,301 — highlighting the immense financial pressures faced by many as they approach their golden years. Don’t Miss: While 401(k) plans are fundamental to retirement savings, Vanguard’s “How America Saves 2023” report […]
‘Father of the 401(K)’ is ‘very disturbed’ by the corporate greed in workplace retirement plans — here’s why Ted Benna is considered the “father of the 401(k),” thanks to his redesign of the popular investment vehicle back in 1978 — a design that’s still used today. Nowadays, 34.6% of working-age Americans have a 401(k)-style account, […]
Converting your 401(k) to a Roth portfolio will allow you to entirely avoid RMDs. This is a legitimate form of tax planning. However, often there’s a difference between whether you can do something and whether you should; whether it’s allowed, and whether it’s in your long-term best interest. For example, say that you’re 62 years […]
For the first time ever, Gen X workers saw their 401(k) balances top those of Baby Boomers, Fidelity data showed. Balances for Gen X workers who’ve been saving for 15 years averaged $543,400, $200 more than Boomers’, according to the financial service firm’s analysis of its more than 22 million accounts in the first three […]
A couple retiring at 62 with $400k You can retire a little early on $400,000, but it won’t be easy. If you have the option of working and saving for a few more years, it will give you a significantly more comfortable retirement. By waiting until at least age 67, you can collect more in lifetime […]
I remember playing sports and hearing my coach repeat the phrase, “Don’t forget the five [Ps]: Proper preparation prevents poor performance.” It’s a phrase that has stuck with me even now that those days are long behind me. It’s also what I keep in mind when I think about preparing for retirement. For a while, […]
Prostock-Studio / Getty Images/iStockphoto If you have a 401(k) that you’re contributing to through your employer, you may think your retirement needs are covered. Unfortunately, while a 401(k) is a good option, that alone might not be enough for a comfortable retirement. See Also: 9 Moves for Retirement Planning To Make Now If You’re Worried […]
©Shutterstock.com Saving for retirement is non-negotiable and a 401(K) is an excellent tool for building a sizable nest egg and securing your financial future. However, too much of a good thing has its downsides, and over-investing in a 401(K) can lead to some frustrating restrictions and unexpected side effects that can derail your financial plans. […]
Companies are responding to an aging workforce and scars from the past three years of elevated inflation by changing up options in their retirement plans, according to surveys by global asset manager MFS Investment. Six of 10 retirement savers said they’re worried inflation could affect their savings, while 61% of the more than 4,000 plan […]
Inside Creative House / iStock.com When it comes to funding their golden years, most Americans rely heavily on their 401(k) retirement accounts to make it happen. But for 67-year-old retiree Therese R., that widely-accepted wisdom doesn’t exactly check out. In fact, she has some regrets about sinking so much into her 401(k). Here’s why one […]