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The best way to have a good idea is to have a lot of ideas.
Linus Pauling Categories
Tag Archives: 401(k)
A primer on small-cap stocks hitting record high
It’s challenging to get a handle on where the economy is headed. The stock market rises on promising corporate earnings one day, only to slide on disappointing jobs data the next. Still, records are being set. Read More
Reality Check: No absolute ban on tapping 401(k)
MYTH: It never makes sense to borrow from your 401(k). Read More
Debunk the money myths jeopardizing your future
“I’m OK as long as there’s money left at the end of the month,” is not a long-term financial strategy. It may be tempting to believe that setting aside what little extra is left is all that’s necessary. But the truth is that a well-devised plan is the surest way to make dreams become reality.
And that holds true at any age, whether your dreams involve traveling the world, starting a business or being able to put kids through college without compromising your retirement. Read More
Has your 401(k) bounced back? Compare with others
The stock market has been on a tear since it hit bottom two years ago. That’s helped many 401(k) retirement savers recover from the awful experience throughout 2008 and early 2009 when stocks tumbled.
Although 90 percent of all 401(k) investors have at least climbed back to where they were before the recession in 2007, not everyone is quite there yet. Read More
Lessons learned from 4 years of 401(k) volatility
Americans who were afraid to open their 401(k) statements during the recession are finding good news inside the envelope now: For the most part, their accounts have come all the way back and then some.
Nine in 10 of the popular retirement plans are at least back to where they were in October 2007, the peak of the stock market. Since the bull market began in March 2009, stocks have almost doubled. And many investors who kept their nerve and continued putting some of their paycheck into a 401(k) during the market’s worst months are now ahead. Read More
2 years after market low, the little guy is back
As a historic bull market reaches its second birthday, everyday investors are piling back into stocks, finally ready for more risk and hoping the rally has further to go.
The Standard & Poor’s 500 index has almost doubled since March 9, 2009, when it hit a 12-year low after the financial crisis. And the Dow Jones industrials are back above 12,000, about 2,000 points shy of their all-time high.
Little-guy investors appear to be on board. Since the beginning of the year, investors have put $24.2 billion into U.S. stock mutual funds, according to the Investment Company Institute. They withdrew $96.7 billion in 2010. Read More
Ideas for making 401(k) savings last longer
When it comes to retirement planning, too often the focus is placed only on savings. But that’s just one side of the equation.
You’re saving so that you can ultimately spend. That means you’ll need to anticipate how much you’d like to be able to spend, and for how long. Fortunately, life spans are increasing. However, that can also mean there’s a real risk that you could outlive your savings.
One form of protection is a fixed annuity. The surface attraction is easy to understand because an annuity guarantees a steady income stream. But these products are complex and require purchasers to turn over large chunks of their savings, with only a limited ability to withdraw funds. Read More
Average 401k balances reach 10-year high
Most 401(k) accountholders continue to plug away at setting aside a portion of their pay. That consistency, along with a rising stock market helped push balances in plans managed by Fidelity Investment to a 10-year high, the retirement plan provider said Wednesday, February 23.
An analysis based on 11 million accounts showed the average balance rose to $71,500 at the end of December. Read More
Labor officials release new rules on 401K fees
Workers with a 401(k) retirement account will soon know exactly how much they’re paying in fees.
The Department of Labor released new rules on Thursday, July 15, designed to force companies that provide 401(k) plans and services to employers . . . read more Read More
For many, retirement savings may come up short
A third of middle-income workers will likely run out of money after 20 years of retirement and significantly more lower-income workers will deplete their savings after 10 years, according to a new study released Tuesday, July 13. . . . read more Read More
Government soon to require clearer 401(k) fees
Who would choose to buy something without knowing exactly how much it costs? Few people would. Yet that’s what millions of investors do when they sign up for a 401(k) plan.
That’s about to change.
After years of analyzing, deliberating and gathering comments, the Department of Labor is about to require providers of 401(k) plans . . . read more Read More
Workers to government: Keep your hands off my 401k
What happens when the government considers tinkering with retirement accounts and asks for citizen input?
It gets plenty.
Government officials began seeking comments in February on a proposal to add an annuity option to retirement plans. Such an option would potentially turn a portion of a retiree’s savings over to an insurance company in exchange for a monthly check.
Annuities reduce the chance retirees will outlive their savings. In addition, the risk of losing money if the stock market drops is minimized . . . read more Read More
401(k) beneficiary rules: What you must know
Most 401(k) investors are worried about whether they’ll outlive their savings and haven’t given much thought to the opposite scenario.
This can be a big mistake because there are inheritance rules that may require your account to be distributed in a way that you didn’t foresee.
So for starters, confirm who is listed as the beneficiary of your account. . . . read more Read More
Retirement: Test your financial planning IQ
The days of counting on a company pension and Social Security to assure financial well-being in retirement are over.
Pensions are vanishing fast, and no one can guarantee that Social Security checks won’t be smaller in decades to come. That’s why it’s more important than ever to take charge of your own retirement planning.
Take this retirement IQ quiz to test your knowledge as part of Financial Literacy Month. . . . read more Read More
