Tag: 401k

If you have made it so far you might be interested in investing and most likely trying to understand the 401k. Unlike most financial influencers like Sharan the Finance Guy, Vivian your bff and others I will not advice you to keep maxing out your 401k. Let’s begin by trying to understan...

Freelancing vs. Full-time Trade-offs Freelancers forgo a lot of employee benefits like medical, dental, gym perks, as well as employer-sponsored 401k plans, which offer over 3x higher contribution rates than traditional IRAs, limiting tax savings. For instance, full-time employees contributing $2...

Insurance Product: An IUL is a type of permanent life insurance that combines a death benefit with a cash value component. It offers a life insurance component to provide a payout to beneficiaries upon the policyholder’s death. Cash Value Growth: The cash value of an IUL grows over time bas...

A preeminent argument for maxing out 401k contributions lies in the tax benefits offered. Traditional 401k contributions are made pre-tax, reducing taxable income and potentially lowering an individual’s tax liability. Moreover, many employers provide matching contributions to employee 401k...

The American retirement landscape is becoming increasingly complex as the financial industry continues to evolve. One decision employees must make when planning for retirement is whether to invest in a Roth 401(k) or a traditional 401(k). Both options have their merits and drawbacks, making it diffi...

Saving for retirement is one of the most important financial goals for many individuals. One of the most popular ways to save for retirement is through a 401(k) plan, which is a type of employer-sponsored retirement plan that allows employees to save a portion of their pre-tax income in a tax-deferr...

A 401k is a type of retirement savings plan offered by many employers. It allows employees to contribute a portion of their pre-tax income to the plan, which is then invested in a variety of funds and investments. These contributions grow tax-free until they are withdrawn in retirement. Employers...

It’s essential to understand the process and the implications of rolling over your retirement savings account. If you’re planning to change jobs, retire, or consolidate your retirement savings, then rolling over your 401k could be the best option for you. In this article, we’ll ...

Less than a year ago I crossed a magical line in the legislative sand. I turned 59.5. Yeah, I know, that’s kind of an odd number, isn’t it? Tell that to Congress though. They made that age a critical milepost in letting us access our own money from tax-deferred retirement accoun...

A 401k is a retirement savings plan offered by many employers. It allows you to contribute a portion of your income before taxes are taken out. This means that you can reduce your taxable income and also save for the future. You can choose to contribute as little or as much as you want, and your emp...

However, not all employer-sponsored retirement plans are created equal. And, as with most things, there are different pros and cons to different types. The best compromises can be made if one understands the differences between plans. And one of the most important differences is the distinction betw...

The 401(k) plan is a retirement savings plan in the United States. It was introduced by the Employee Retirement Income Security Act of 1974 (ERISA). A 401(k) plan is an employer-sponsored retirement plan that allows employees to save for retirement on a tax-deferred basis. The plans are named after ...

When you leave an employer with a 401(k) you may be allowed to keep the plan as it is. The choice usually depends on whether there is enough money in the 401k. For most plans, it’s $5,000. If you do have enough money this may be an easy option to choose. In this case, you won’t be req...

I explore the process of doing a rollover of a 401(k) to an IRA at Fidelity Investments for the first time. UPDATE: Added in details on whether you are rolling over pre-tax funds or Roth funds. I’ve been taking a new look at Fidelity Investments recently, as a place to host my r...

Demand for employees continues to grow in the high-flying cannabis industry, but the celebration over such news eases once today’s tight labor market is considered. In 2021, 47 million workers voluntarily left their jobs, and 43 percent of workers cited inadequate benefits ...

According to the Investment Company Institute, an association of regulated investment funds, about 60 million people in the U.S. are active participants in 401(k) plans. Data released last month by the Bureau of Labor Statistics show that 52% of all private industry workers participate in their empl...

Most people are familiar with the basic premise that when you’re 59 ½ or older, you are able to take withdrawals from your 401(k) penalty free. If you take a distribution from a traditional 401(k), you will owe federal income tax. The institute is required to withhold 20%. ...

Whether you’re just entering the workforce or have worked for decades everyone at some point needs to think about saving for retirement. Where do you start though? There are a lot of questions concerning retirement. What is a 401k, who can open a 401k, and is it right for me? In this article, ...

That’s right, it’s a retirement account. If you’re in your 20’s or 30’s, the word “retirement” seems so farfetched. You’re probably wondering what the point is of putting your hard-earned money into an account that you’re told you...

Gold is a valuable commodity that has been used as currency for centuries. It is also seen as a safe investment, since its value usually remains stable or increases during times of economic instability. If you’re thinking of moving your 401k to gold, there are a few things you sho...

Your 401k audit requires the work of multiple key players with different roles and responsibilities. It’s a team effort to ensure your benefit plan audit is seamless, timely, and accurate. Let’s outline the service providers and how you will work with them for your next 401k audit. Cu...