pensions 401(k) With a few notable exceptions, the age of pensions is largely over in the U.S. Traditional defined benefit plans have replaced largely by defined contribution retirement vehicles like 401(k) plans. A new study from the National Institute on Retirement Security, though, seems to suggest that the end of pensions may not actually be […]
Is it ever a good idea to withdraw money from your 401(k)? – MarketWatch photo illustration/iStockphoto Dear MarketWatch, Most Read from MarketWatch I am 60 years old, and I would like to pay off my home loan, open up an IRA and pay off some bills. I would also like to withdraw $250,000 from my […]
SmartAsset: The Average 401(k) Balance by Age It can be hard to know if your retirement savings are on track, but comparing your balance to where others similar in age are can help. In particular, taking a look at the average 401(k) balance by age is a good place to start because an employer retirement account is […]
The S&P 500 has hit yet another milestone this year, ending above 5,000 for the first time. It’s good news for Americans’ 401(k)s, which are heavily invested in stocks, and comes just three weeks after the index notched its first record close since January of 2022. Tom Hainlin, national investment strategist at U.S. Bank Wealth […]
The federal government should stop subsidizing pre-tax contributions to retirement savings accounts, two economists from opposing ideological camps argued in a research brief in January. Allowing people to shelter their retirement money from taxes is a policy that largely favors the well-heeled, they said. Congress could use that money, nearly $200 billion a year in […]
Loraine Montanye is financial advisor and certified financial planner (CFP) In my 401(k) retirement plan, I’m 82% stocks. I’m 65 and still working. Should I be moving my stocks to bonds? -Bob While it’s not a satisfying answer, the real answer is that “it depends.” The decision of whether to shift your 401(k) to a […]
Ask An Advisor: I’m a 43-Year-Old Divorced Dad With $315K in an IRA, $90K in a Roth and Other Accounts. I Max Out My 401(k) Each Year. Can I Retire at 57? I’m 73 and my 401(k) hasn’t been doing well for the last few years. Would it be a good idea for me to […]
Congress has introduced dozens of provisions affecting workplace retirement plans, with the changes starting a couple years ago and continuing over the next few years. A few of the new rules that start in 2024 are tied, somewhat ironically, to saving for college and building up emergency savings. Why ironic? Because those goals differ from […]
As retirement approaches, many wonder whether their savings are sufficient. One hypothetical scenario involves retiring at 60 with a $500,000 401(k) while working part-time. Assessing this plan’s feasibility requires understanding retirement savings recommendations, part-time earnings, Social Security and the monthly income a 401(k) can generate. Don’t Miss: Retirement Savings Recommendations According to Fidelity Investments, people […]
A man considers delaying Social Security past his full retirement age to increase his eventual benefit. If you have $1 million in a 401(k) and collect a pension, you may be in a position to delay Social Security until age 70. Doing so can boost your monthly benefit by up to 24%. However, delaying Social […]
Many people find themselves in a situation where they want to convert their 401(k) to a Roth IRA. This can be a smart move if you’re looking to withdraw your retirement funds tax-free when you retire. However, converting your 401(k) to a Roth IRA can come with a hefty tax bill. Although you can’t eliminate […]
how much will my 401k grow if i stop contributing It can be satisfying to watch your 401(k) plan balance grow over time as you contribute to it. But what happens when those contributions stop? The amount your account will grow depends on how much money you have in it and how the market performs. […]