If you participate in a 401(k), ESOP, or other qualified retirement plan that lets you invest in your employer’s stock, you need to know about net unrealized appreciation–a simple tax deferral opportunity with an unfortunately complicated name. When you receive a distribution from your employer’s retirement plan, the distribution is …
Qualified cash or deferred arrangements (CODAs) permitted under Section 401(k) of the Internal Revenue Code, commonly referred to as “401(k) plans,” have become one of the most popular types of employer-sponsored retirement plans. How does a 401(k) plan work? With a 401(k) plan, you elect either to receive cash payments …
Investment behavior of retirement investors historically consistent, regardless of stock market direction, glide path type, or time horizon. Key Takeaways The savings behavior of target date strategy investors in workplace retirement plans has been consistent over time, even during episodic stock market declines. The percentage of investors exchanging out of …
After a period of relative calm in the markets, in recent days the increase in volatility in the stock market has resulted in renewed anxiety for many investors. From February 1–5, the US market (as measured by the Russell 3000 Index) fell almost 6%, resulting in many investors wondering what …
Bitcoin and other cryptocurrencies are receiving intense media coverage, prompting many investors to wonder whether these new types of electronic money deserve a place in their portfolios. Cryptocurrencies such as bitcoin emerged only in the past decade. Unlike traditional money, no paper notes or metal coins are involved. No central …
By Joe Elsasser, CFP® Financial Planner, Software Creator Many advisors venture into the Social Security planning world after interfacing with an article or a calculator that identifies the value difference between claiming early and some optimized strategy that includes the delay of at least one member of the couple’s benefit. The …
Sure, your financial advisor claims to be giving you good advice. But just who is it good for? All too often, it isn’t you. After all, the big banks and brokerage firms are in the business of selling products and producing profits. They’re there to facilitate transactions – like buying …
When it comes to retirement, most people aren’t. Studies show that some 75% of all Americans reaching retirement age have less than $30,000 socked away to take them through their golden years. And when you consider that people will need about twenty times their annual income to maintain their standard …
Having a comprehensive and affordable health insurance strategy is more than just a critical component in your retirement plan; it’s a critical component in your quality of life. By Judah Day The Importance of Medicare When it comes to planning your retirement, there is no shortage of components to consider. …
In recent years, retirement plan sponsors and plan providers have been evaluating the effects of a low interest rate environment on participants’ retirement income adequacy. In many cases, sponsors have begun exploring plan design strategies that encourage participants to save more for retirement. One of the strategies being discussed is …