Retirement Planning

What to Do With an Old 401(k)

It’s a question my clients ask me all the time: “What should I do with my old 401(k)?” When you change jobs, you can keep your 401(k) where it is, or roll it to other accounts.

Let’s examine your choices:

Roll your 401(k) to an individual retirement account is usually the default option I recommend to clients. Flexibility is the primary reason.

When Should You Retire?

You might be thinking about retiring, but how do you know when you are really ready for it, mentally and financially?

For decades, the normal retirement age was 65. This was when you became eligible for Social Security and Medicare. Things are different today. Baby boomers get full Social Security at 66, for instance, and younger generations will have to wait longer.

Answer these five questions to find out how, when and if you should retire:

Best Retiree Cities, Financially

You’ve probably seen dozens of lists of places to retire in, but they seldom focus on financial factors, which are important when you live off your savings.

Due to warm weather, beaches and the absence of a state income tax, locations in Florida are heavily over-represented on most such lists – I even included one here. But I took the liberty of assuming that not everyone wants to live out their golden years in the Sunshine State, and broadened the list to cover the country.

7 Variable Annuity Questions

Variable annuities are often touted as an ideal retirement investing vehicle, especially if you talk to financial advisors who sell them. Variable annuities can be a useful vehicle for retirement accumulation – but targets of the sales pitches (like you) often misunderstand annuities in general.

Is a variable annuity right for you and your retirement income needs? Ask these seven questions before buying.

Job = Insurance: Outdated

Critics and supporters of the Affordable Care Act (ACA), aka Obamacare, tend to gloss over one key issue with the whole plan: Employment still, largely, equals health coverage.

Mechanics of 401(k)s (Pt. 2)

How do you take money out of a retirement plan? This is tricky, because one wrong move can cost you in taxes and penalties. The process is complicated, to say the least.

5 Questions About Annuities

Annuities, like any other investment, make perfect sense in the right situation. In the wrong situation, they can cost you money – and even be dangerous.

Here’s what you need to know.

1. How long is the term? The term depends on the type of annuity you choose and the payout period you require.

Nothing in Your Nest Egg?

Afraid you don’t save enough for retirement? You’re far from alone. But what does such a future look like for you? Is it possible to play catch up?

The latest Country Financial retirement Financial Security Index shows that one in four Americans across all age groups saves nothing at all for retirement. A slim majority of respondents (55%) either don’t participate in a workplace-sponsored retirement plan like a 401(k) or don’t even know if they are in a plan.

Biz Owners’ Money Planning

Your life as a business owner is a long and crowded road. Developing customer relationships, managing employee issues and paying bills consume a lot of your time.

Unfortunately, if you’re like most business owners you often neglect your personal financial goals.

Owners like you commonly put off planning for their own financial future. This delay can cost you dearly, just as an undeveloped business plan may harm business growth. Lack of time often causes you to fall prey to two outcomes:

Getting Obamacare Subsidies

The Affordable Care Act (ACA), aka Obamacare, provides subsidies to Americans making up to 400% of the poverty level, about $94,200 for a family of four. Can you juggle finances to best cash in on subsidies?

Rather than limiting subsidies to only those with a small net worth, the ACA provides aid to all persons with low incomes, including those early or partial retirees.


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