For diligent retirement savers, the author of today’s article doesn’t see investing in large-cap stocks – with their maturity and predictable cash flows – as being a bad plan. However, for the large segment of Americans who are either behind on saving for retirement (or have no retirement savings at all), he points to small-cap stocks as being “the best way to turbocharge their savings.” But doesn’t the greater risk associated with small-cap stocks outweigh the potential for slightly better returns? The author shows how this is not necessarily the case. To read more, CLICK HERE.
Are you unknowingly passing up a tax credit from Uncle Sam that could help you pad your retirement account? Today’s article highlights a special tax break aimed at helping those with modest income save for retirement, but one expert cited notes that “only an estimated one out of four people who could get money from the credit are getting it….” The credit in question? The Saver’s Credit. To learn more about the Saver’s Credit – including who is eligible to take it – CLICK HERE.
In this case a race to the bottom is a good thing: In an effort to attract new customers and increase market share in an extremely competitive business, mutual fund companies are battling it out for who can offer the lowest-cost ETF – and the resultant rock-bottom fees are great news for retirement savers. The author of today’s article highlights some of the cheapest funds available and provides advice on how to use them effectively in a portfolio. To read more, CLICK HERE.
In some (rare) positive retirement news, Wells Fargo’s 2016 retirement study found that the average 401(k) balance is at a new high – $92,000. So, with Americans looking to improve their financial futures and steering more dollars into their retirement accounts, how should they be investing these additional funds? In aggressive stock plans? Conservative bond funds? Low-cost index funds? To see what financial advisers are recommending retirement savers do with their 401(k) surpluses, CLICK HERE.
How much do you need to save in order to fund your desired standard of living in retirement? More than you think, according to a new study. Dramatically more. The reasons for this gap between the rates at which Americans are saving for retirement and the rates at which they should be saving? Low returns, longer lives and legacy goals. To read about what these factors mean for retirement saving – and for the author’s advice on what retirement savers should do in this “low-return, long-longevity world” – CLICK HERE.
“This is a big deal and it will help a lot of people,” declares a certified public accountant in today’s article on the Internal Revenue Service’s easing of a rule that previously had retirement savers who exceeded the 60-day window for IRA rollovers face substantial taxes and penalties. Under the new relaxed guidance, retirement savers who do not roll over retirement funds before the 60-day deadline “can avoid the dire tax treatment in certain circumstances.” To read more about this change – including what those “certain circumstances” are – CLICK HERE.