“If you’re retired or a conservative investor who cannot afford to lose money, your bank certificate of deposits are about to become worthless. Or close to worthless,” declares the author of today’s article as it appears the Fed is gearing up to cut interest rates. So what are fixed-income investors who want to make money on cash without putting that cash in the stock market to do? The author identifies their “one option in the conservative fixed-income space” – and what may be the best specific bet. For more, CLICK HERE.
Despite being very conservative and diversified, the author of today’s article’s retirement portfolio did slightly worse than the Dow last year, with every single one of his holdings (other than cash) posting a loss – his worst return since 2008. Having lost 10% of his net worth, and believing that 2019 could be even worse for the markets than 2018, how is this early retiree coping? For his current holdings, his second thoughts on 2018, and how he’s responding to warning signals for 2019, CLICK HERE.
While the years right before – and just after – retirement can play an especially critical role in one’s financial security in retirement, the author of today’s article points out that “a number of planning steps and strategies arise in the decade or so before retirement—that is, in one’s 50s usually—that can have a big impact before the start of a retirement transition.” He proceeds to outline a number of such “fourth quarter” planning opportunities, covering issues from cash flow and insurance to portfolio allocation and estate planning. For more, CLICK HERE.
In considering how the new tax law affects your finances, the author of today’s article advises not to neglect its potential impact on your life insurance, noting that the “Tax Cuts and Jobs Act made significant changes that impact the use of life insurance as an estate protection vehicle and modified the tax ramifications of selling a life insurance policy on the secondary market as part of a life settlement.” For how the TCJA may have reduced the need for some individuals to have life insurance – and how it may make selling a life insurance policy on the secondary market more appealing – CLICK HERE.
The author of today’s article calls it “the biggest demographic tidal wave ever to sweep the U.S.”: the retirement of the baby boomers. And within that massive trend is another significant trend that investors can cash in on: the boomer rental wave, as boomers drive demand for rental units. The author proceeds to highlight three real-estate investment trusts “with buildings right where these downsizing boomers want to be” – and which offer the prospect of attractive payout growth going forward. For more, CLICK HERE.
“Once you’ve won the game, what’s the point of still playing?” asks the author of today’s article. If you amass the amount of money that you believe you need in order to live comfortably for the rest of your life, should you quit the stock market (and avoid the risk of losing money)? While the financial media tend to focus on how many Americans have not saved nearly enough for retirement, many are hitting their target numbers – and the author has some thoughts on how they may want to proceed vis-à-vis stocks. CLICK HERE.
“There is no arguing that sitting in cash is a lousy investment,” asserts the author of today’s article, noting that cash earns next to nothing in the average checking account and does not even keep pace with inflation. But research shows that there is an emotional upside to having more cash on hand than is generally recommended: it makes us feel better. So, as it improves your sense of well-being, how can you make the most of a position in cash? For several smart cash management strategies – including an app that automatically moves cash into the highest-yielding online banks – CLICK HERE.
New Year’s resolutions are made to be broken (today’s article notes that only 8% of people actually follow through on their resolutions). But breaking some resolutions has greater consequences than breaking others. When it comes to resolutions pertaining to retirement goals, procrastination can have serious ramifications. As such, the author of today’s article outlines “some steps to set the right retirement goals – and actually ensure you reach them in the new year.” How can you avoid the “hedonic treadmill” of spending your raises and bonuses? Why should you treat retirement the same as your electric bill or mortgage? CLICK HERE to read more.
Today’s article acknowledges that while “millennials might not be taking home large pay checks right now…eventually they will be.” In fact, a team of Bank of America Merrill Lynch analysts expects that the incomes of millennials – as well as the incomes of the generation that comes after them (centennials) – will nearly triple in the next 15 years. As such, that same team has compiled a list of stocks that investors may want to consider buying in advance of this income enlargement so that they can cash in themselves. To see what some of these stocks – which center around five key themes pertinent to the lives of millennials and centennials – are, CLICK HERE.
While we frequently hear and read about how most Americans are not saving enough for retirement, those fortunate enough to have lots of money to sock away in retirement accounts may be facing a problem of their own. Today’s article examines the increasing number of “proposals to stunt the growth of outsized retirement accounts”, including those contained in President Obama’s proposed budget for the 2017 fiscal year. So, in the event that any of these proposals come into being, what work-arounds exist for those who are flush with cash? The author outlines four such work-arounds – nonqualified deferred compensation plans, after-tax contributions to a 401(k), health savings accounts and backdoor Roths. To read about the ins and outs of each of these options, CLICK HERE.