Retirement Planning

July 24, 2024Retirement can be an exciting new chapter, offering ample opportunities to stay socially active. Engaging in community activities, joining clubs and pursuing hobbies can significantly enhance your social life. Whether it’s volunteering, participating in fitness classes or attending local events, finding ways to stay socially active in retirement is important for maintaining a fulfilling and… read more…

July 22, 2024Determining when to start saving for retirement can have a major impact on your financial future. Beginning early allows you to take full advantage of compound interest, which is when you earn money on both your savings and the interest you’ve already earned. Starting to save in your 20s or 30s provides a longer time… read more…

July 18, 2024Unlike other retirement plans, a defined benefit plan for the self-employed promises a specific payout upon retirement, calculated based on factors like salary history and duration of employment. This plan allows for significant tax-deferred contributions, often exceeding those permitted in standard retirement accounts. Establishing a defined benefit plan requires meticulous calculations and annual contributions to… read more…

July 12, 2024Strategic planning and informed decision-making are key when it comes to how to maximize your retirement savings. By understanding the various retirement accounts available, taking advantage of employer-sponsored plans and consistently contributing to your savings, you can build a robust financial foundation for your future. Additionally, exploring tax-advantaged options and regularly reviewing your investment portfolio… read more…

July 12, 2024When it comes to how to plan for retirement income, start by evaluating your anticipated living expenses, considering healthcare costs and taking into account the amount you’ll need for leisure activities and potential emergencies. Then, assess your expected sources of income and develop a withdrawal strategy that aligns with your lifestyle and longevity expectations. By taking… read more…

July 12, 2024It can be financially feasible to retire when projected retirement income equals or exceeds projected retirement expenses. In many cases, withdrawals from $1.6 million in a taxable brokerage account and $1.1 million in an IRA will total more than a typical retiree’s expenses. However, much depends on the desired retirement lifestyle. Age at retirement is… read more…

July 11, 2024Planning for retirement involves a series of well-defined steps that aim to maintain financial stability and offer greater peace of mind in later years. Your first step will be to set clear retirement goals. This can help you assess your current financial situation, including savings and investments. Creating a detailed budget helps track expenses and… read more…

July 9, 2024As you approach retirement, your financial focus shifts. During your working life, retirement is about goals and planning. You decide what kind of lifestyle you want, figure out what kind of income will support that spending, then build a savings and investment plan to reach those goals. That should be your retirement approach at age… read more…

July 8, 2024Making a good plan, any plan, generally starts the same way: You need to ask the right questions. Whether getting a degree, finding a job, buying a house, or anything else, the right place to start is by asking the right questions. It will help you clarify what you want to achieve and the details… read more…

July 2, 2024A low-savings retirement is one in which you don’t have enough money in your portfolio to generate a comfortable retirement income. For example, let’s say that you’re 65 and have $120,000 in a retirement portfolio. We’ll assume that this money is in a pre-tax 401(k). This won’t generate a livable income on its own. That doesn’t… read more…

June 28, 2024When you plan for retirement, you’re preparing to one day leave the workforce. And you’ll need to decide how you’re going to pay for your living expenses after you’re no longer receiving a salary. It’s typically a decades-long process that begins with envisioning a desirable retirement, estimating what that will cost, and then amassing the… read more…

June 28, 2024Planning for retirement involves a few key investment strategies that can help ensure financial stability in your later years. The timing of your investments, the diversity of your portfolio, and your understanding of interest rates over the years are just some of the retirement investment advice you’ll need to seek out in order to fulfill… read more…

June 28, 2024Retirement planning is an important aspect of financial management that could help you ensure a comfortable and secure future. However, many individuals fall into common pitfalls that can jeopardize their retirement dreams. From starting too late to underestimating expenses, these mistakes can have significant repercussions. Understanding and avoiding these retirement planning mistakes can help you… read more…

June 27, 2024By age 40, you should have a clear plan for retirement savings. The first step is to evaluate your current savings and projected retirement needs. Experts often recommend aiming to have three times your annual salary saved by this age. This ensures a solid foundation as you continue to build your nest egg. You’ll also… read more…

June 25, 2024Retirement planning in the United States offers a variety of options tailored to meet different financial goals and needs. You’ll most likely be familiar with 401(k)s and IRAs, which are two of the more common options, but we’ll also take a look at SEP IRAs, SIMPLE IRAs and Thrift Savings Plans, among others. Choosing the… read more…

June 25, 2024Determining when it’s time to retire involves recognizing key financial indicators that signal readiness. Signs that show you’re financially prepared include having consistent income streams, low debt levels, sufficient insurance and a robust retirement fund. Identifying them can help you make a smooth transition into retirement, offering you peace of mind and financial stability for… read more…

June 20, 2024Before you can create an investment plan for the retirement you want, you’ll want to think about your desired lifestyle. By identifying your retirement goals early, you can tailor your investment strategy to meet your specific needs, such as travel, healthcare and daily living expenses. A sound investment plan not only helps in accumulating the… read more…

June 19, 2024Saving for retirement is important because it ensures greater financial stability and independence in your later years. As life expectancy increases, so does the need for a robust retirement fund to cover extended healthcare costs, rising living expenses and unforeseen financial challenges. Without adequate savings, you risk outliving your money, which could lead to a… read more…

June 14, 2024For an average single person planning to stop working at 64, a $1.2 million 401(k) account and $2,800 Social Security benefit could provide enough income to make ends meet during retirement. Widely used guidelines suggest your annual income may be around $81,600, which may or may not be more than your annual expenses. Much depends… read more…

June 12, 2024Semi-retiring early offers the best of both worlds: enjoying more leisure time while still maintaining a source of income and professional engagement. Achieving this hybrid lifestyle involves careful financial planning, assessing your current savings and investments, and possibly finding a part-time job or freelance work that aligns with your interests. When planning to semi-retire early,… read more…

June 12, 2024Deciding when to retire is one of the most significant financial decisions you’ll make, and getting the timing right is important for the success of your nest egg. If you’re wondering “how do I know when it’s time to retire,” several key factors can guide you. Evaluating your retirement readiness involves assessing your savings, understanding… read more…

May 31, 2024If you’re planning to retire in five years, now is the time to ensure your financial house is in order. Of course, the steps you’ll need to follow to retire in five years will vary based on your age, how much you have saved already, your projected expenses in retirement and other factors. Whether retirement… read more…

May 30, 2024For many, saving enough money for retirement can feel like a daunting – even insurmountable – task. But with enough knowledge and planning, a secure retirement may be possible. Whether you’re a young professional just beginning to navigate the world of savings or nearing retirement age, understanding compound interest, strategic investment and prudent financial planning… read more…

May 23, 2024When it comes to the average retirement budget, studies report a wide range of responses. A 2022 survey by the Employee Benefit and Retirement Institute (EBRI) found that half of individuals around retirement age spend less than $2,000 per month, equal to less than $24,000 per year. The Social Security Administration, meanwhile, said 2020 median… read more…

May 23, 2024401(k) plans are not the only way to save for retirement. If your employer is one of the many that doesn’t offer a 401(k) savings plan, there are still plenty of alternatives to save for retirement. Your non-401(k) options include both traditional and Roth individual retirement savings accounts (IRAs), as well as health savings accounts… read more…