Roth IRA

If you’re in the early stages of your career, you’re probably not thinking much about retirement. Nonetheless, it’s never too soon to start preparing for it, as time may be your most valuable asset. So, you may want to consider retirement savings vehicles, one of which is an IRA. Depending on your income, you might have the choice between a traditional IRA and a Roth IRA. Which … [Read more...] about Is Roth IRA better for young workers? | Columns

In 2021, adults under 50 may contribute up to $6,000 to a Roth IRA. Adults 50 and older may contribute up to $7,000. These limits apply to your total contributions to all IRAs, not just Roth IRAs. But you can choose how to split this up. You might put $3,000 in a traditional IRA and $3,000 in a Roth IRA. Or you could put all $6,000 in a Roth IRA and none in a traditional … [Read more...] about 10 Roth IRA Mistakes That Could Cost You Thousands

The problem, though, is that these thresholds have been in place for decades. In 1983, the decision was made to tax up to 50% of benefits at the aforementioned levels. In 1993, that rule was amended to tax up to 85% of benefits, also at those same levels.Meanwhile, the cost of living has risen substantially since then -- yet the income thresholds for Social Security taxes … [Read more...] about The Stealth Way Social Security Has Been Robbing Seniors of Their Benefits for Years | Personal Finance

Social Security is a critical income source for millions of seniors, and while you'll often hear that it's not advisable to live on those benefits alone, the reality is that many seniors do. But some people do a good job of saving for retirement and securing other income streams. As such, their benefits represent just a portion of their total senior income. That's really a more … [Read more...] about The Stealth Way Social Security Has Been Robbing Seniors of Their Benefits for Years

Of course, there's risk involved in buying stocks in an IRA, but the good news is that if you have a savings window spanning multiple decades, you're likely to come out ahead in the long run, even if there are years during which your investments lose money or underperform. Furthermore, if you're really not comfortable hand-picking stocks, you can always revert to stock-focused … [Read more...] about 3 Ways to Make the Most of Your IRA | Personal-finance

Here we have another cautionary tale. My friend, Micah Shilanski, from the great state of Alaska, shared with me a story that I’ve titled, “You’ll be a rich woman.”Bill Harris, RMAMicah’s StoryLike me, Micah is a CERTIFIED FINANCIAL PLANNER™ practitioner. Micah is also an expert on the Federal Benefits System that government employees use. As you would imagine, the Federal … [Read more...] about Why Professional Advice is Vital

The road to a successful, stress-free retirement often has potholes more challenging to navigate than you may believe. There are numerous critical issues to address, complicated money concepts to understand, and a bewildering array of products to consider. That’s why you must exercise extreme diligence and avoid making mistakes with your retirement planning from which you will … [Read more...] about Stephen Dybwad: Mistakes the could make retirement challenging | Opinion

From MarketWatch: At least 156 people have at least $25 million in their Roth IRAs — each: Legislators are taking mega-IRAs seriously after ProPublica published its report on Peter Thiel’s Roth IRA amassing $5 billion.   When was the last time you had fun? It could be the key to the challenges of growing older: People are bound to change as they get older, but … [Read more...] about News and analysis for those planning for or living in retirement

How long has Congress known about this and done nothing? At least nine years. Back in 2014, I penned an op-ed about a gigantic Roth IRA owned by Max Levchin, also a PayPal founder. And I had learned about Levchin’s Roth in part from Forbes reporting from 2012. Forbes mentioned Thiel’s Roth IRA in its report. Levchin apparently seeded his magic Roth with Yelp stock. But he may … [Read more...] about Peter Thiel’s $5 Billion Roth IRA: Only the Size is News

By Danielle Harrison, CFPLong gone are the days when most students could work summers and weekends to pay for their college tuition. Over the last several decades, the cost of college tuition has increased by five to eight percent per year, more than double the rate of inflation. If this trend continues, today’s parents of young children could be faced with a price tag of over … [Read more...] about Saving and Paying for College: What Are Your Best Options?