Qualified longevity annuity contracts (QLACs) are still a relatively new option on the retirement planning scene, but they may be an option worth considering when it comes to hedging against longevity risk, with the author of today’s article advising one to “think of [QLACs] as insurance against running out of money if you live to be very, very old, and…
Approximately 10,000 baby boomers are retiring every day – and many may find that saving for retirement was actually the easy part, while the real challenge will be making sure that their nest eggs last as long as they do. Today’s article highlights one financial tool that may be of assistance to retirees who want to avoid running out of…
He became determined at an early age to achieve financial independence by age 37 – and now, at age 26 and with a net worth of approximately $150,000, he is on track to do just that. In today’s article, the so-called Money Wizard shares his savings strategy that he expects will result in $750,000 by the time he is 37,…
Income investors who bought Mattel stock due to its attractive 6% yield were crushed when the company recently announced a dramatic 61% dividend cut. For those who want to avoid becoming the victims of such “dividend disasters” themselves, the author of today’s article outlines a 3-step test to employ when it comes to dividend-paying stocks. To learn more about this…
Today’s article is all about emergency funds – including what the purposes of an emergency fund are (aside from the obvious), what does (and does not) constitute a good emergency fund, how to invest an emergency fund, whether a health savings account should be considered part of an emergency fund, the inherent problem with emergency funds – and whether emergency…
Lawmakers in Washington seem determined to make it harder – not easier – for Americans to save for retirement, including possibly eliminating the tax-exempt status of 401(k) contributions. But today’s article outlines how Americans can regain control of their retirement using options: “By using two very basic options trading strategies – call buying and put buying – you can take…
If you think you’ve put off saving for retirement way too late, all hope may not be lost. Today’s article highlights research from the American Association of Individual Investors (AAII) showing that, “even starting at age 50, it is possible to save more than $1 million for retirement”. How? AAII identifies five different scenarios where, by saving from age 50…
“There is no arguing that sitting in cash is a lousy investment,” asserts the author of today’s article, noting that cash earns next to nothing in the average checking account and does not even keep pace with inflation. But research shows that there is an emotional upside to having more cash on hand than is generally recommended: it makes us…
The FIRE (Financial Independence, Retire Early) movement is growing as more and more workers seek to save enough so that they can leave full-time work in their 30s, 40s or 50s – and those that have achieved early retirement have developed some tools to help those who aspire to do so. Are you on track to retire early based on…
With a few exceptions (e.g. collectibles, life insurance), you can own pretty much anything in an individual retirement account, from real estate and precious metals to farming interests and church bonds. And with concerns that the stock market is overvalued (and rising interest rates affecting bond prices), nontraditional assets – with their juicy return potential and diversification benefits – may…