Planning for retirement brings forth many questions. Which type of account is best? How much should I be saving?
Everyone’s unique situation brings a different answer. However, the more you know about planning for retirement, the better off you will be in the future.
Whenever tax season comes along, it seems like everyone’s finances get a little hectic. Many of the employed expect some sort of tax rebate due to write offs and other credits. On the flip side, a lot of self employed workers have to pay their taxes in full at this time if they haven’t been paying quarterly (which I’d recommend).
Handling your taxes can be tricky, and more so for the self employed and contract workers. Since employees who are taxed regularly from their payroll checks handle their taxes differently than those who do not see regular deductions from their paychecks, each group has a different tax form: The 1099 and the W-2.
Saving for your retirement is one of the most important financial hurdles you will be faced with. While there are a number of options including IRAs, chances are you’re most familiar with the 401(k).
401(k) accounts are one of the most popular retirement plans offered by employers for their employees. Made up of a variety of investments, 401(k)s allow for increasing one’s savings and making your money work for you.
One of the most expensive things for retirees to have to deal with is healthcare. Healthcare is not cheap. In fact, it seems to get more expensive every year.
Yet, in retirement, most of us are saddled with the less than 70% income we were making before retirement. So, how does one still afford healthcare in retirement?
Every working adult will eventually want to retire, but not everyone does the proper amount of planning for that event to actually happen. Without savings and a plan in place, this happy time might actually be more stressful than necessary. If you are a few years from retirement now, it’s time to really consider what the shift into this stage of life will mean for you.
It is completely normal to feel concerned or scared. After all, this is uncharted territory, and the unknowns are many. How will your finances change? What will the social, mental and physical differences be in your life from this point onward?
Retirement is supposed to be a time of relaxation, personal growth, and fulfillment. However, it can also bring unexpected challenges and uncertainties which can lead to stress and anxiety. It's crucial to prioritize your mental and financial well-being during retirement, as it directly impacts your overall happiness and quality of life.
We’ll explore some effective strategies to help you reduce stress and anxiety, allowing you to embrace your golden years with tranquility and peace of mind. One note, we’re not doctors or licensed therapists, so seek professional counseling or therapy if you’re feeling stress and anxiety.
Annuities can be as confusing as any product on the market. However, they can be a handy tool for the right individuals. Don’t let all the ambiguous and confusing terms discourage you from learning about annuities.
A general understanding of how annuities work, the types of annuities available, and the tax implications is helpful. We’ll also analyze the costs and fees, how annuities can insure against longevity risk, and whether an annuity product might be right for you.
This post was last updated on July 30, 2022, to reflect all updated information and best serve your needs.
Have you ever considered how much do you really need to retire? While this is a simple question, the answer is anything but clear cut. There are many factors that go into your retirement target number.
When you start thinking about how Medicare will cover your health care needs, you should consider making one major decision. That decision will be whether you choose to enroll in federally run Original Medicare or go for a private insurance alternative.
Most people overall are satisfied with their plan of Original Medicare, besides the unpredictable out-of-pocket costs, as well as not having dental and vision care coverage. However, Private Medicare plans provide solutions to these issues and many other benefits.
This post was last updated on January 15, 2021, to reflect all updated information and best serve your needs.
If you’re stashing away cash for your golden years, you’re ahead of the game. A study conducted in late 2020 found that 56% of Americans have $5,000 or less in savings, while a third has $1,000 or less. What’s worse is that another study showed that almost 25% of adults in the U.S have no retirement savings or pension at all.
The business world uses the term 401(k) often. Many employers offer their employees these retirement accounts as a benefit to working there.
Some employers even offer 401(k) matching. This benefit is exactly as it sounds. An employer matches the amount of money that you contribute to your 401(k). So, you put money into your 401(k), and then your employer does the same.
This post was last updated on July 24, 2024, to reflect all updated information and best serve your needs.
Retirement accounts grow from pre-tax (deductible) contributions during employment. During retirement, account withdrawals, or distributions, are then taxed as ordinary income. To many entering retirement, it would make sense to let these accounts sit, accruing tax-deferred value to further build their savings and/or inheritance to pass on.
When talking about retirement planning, most of the focus is on how and where you’ll be saving money. While that should be your primary concern, you also need to figure out what comes after - withdrawing money to fund your retirement.
In this article, we’ll talk about the different rules regarding traditional and Roth IRA withdrawals. Depending on your situation and your needs in retirement, you can maximize your earnings while minimizing your tax burden. Here are the tips that you need to know.
This post was last updated on July 24, 2024, to reflect all updated information and best serve your needs.
The IRS established required minimum distribution (RMD) rules on IRAs and similar tax-deferred savings plans to eventually collect on the taxes previously deferred. RMD rules require you to begin making withdrawals from certain retirement accounts when you reach age 73.
According to the American Research Group Inc., the average American intends to spend $992 this holiday season. For some, this could end up breaking the bank if they’re not careful. With all of the pressure to spend during the holidays, it’s easy to go into debt. If you want to avoid debt this season, here are a few tips to survive the holidays debt-free.
Review your monthly budget and determine what you can truly afford this season. Don’t stretch yourself too thin and allow some wiggle room for unexpected expenses.
This post was last updated on October 27, 2022, to reflect all updated information and best serve your needs.
If the company you work for has an employee stock ownership plan (ESOP) or profit-sharing plan, you’ll want to pay close attention. Company stock in your 401(k) you could potentially be eligible for tax rules to help you save money on your taxes.
There are many perks to retirement, such as freedom, traveling, spending more time with friends and family, and for most, becoming Medicare eligible. Most seniors become eligible for Medicare when they reach age 65. Though, some seniors believe they do not need Medicare due to retiree or Veterans Affairs (VA) coverage.
That is not always the case, so it’s important to know the facts when you approach your Golden Years. Here’s why you should have Medicare in retirement.
Kansas City is full of activities for virtually anyone – especially retirees. There’s so much to do, you might even have a hard time fitting everything into your schedule!
From professional sports teams to outdoor activities to fine arts, there’s truly something for everyone. Kansas City also has a rich history worth exploring as well. We’re a little biased, but Kansas City is a great place to retire!
Whether you’ve been married five years or 25 years, divorce presents many challenges - including financial issues. This is likely a difficult time as you navigate uncharted waters.
Friends and family may try to give you helpful information, but having a trusted attorney, tax professional, and financial advisor are essential to protect what you have and help you make informed decisions.
Hello blog-reading folks! I wanted to let you know that I was just recently interviewed on the Millennial Money podcast if you want to check it out. You can subscribe to the show on your favorite podcast player or just click the play button below.
It was a ton of fun and I had a blast talking with Shannah. She has an awesome podcast that covers everything you need to know about money regardless of whether you’re a millennial or not.
