Strategies for accumulating wealth receive much more attention than strategies for decumulating wealth despite the fact that, as the author of today’s article points out, nowadays the decumulation phase of one’s life can be just as long as the accumulation phase. He also acknowledges problems with safe withdrawal strategies, including the fact that there’s a good chance you’ll end up…
“Save as much as possible as early as possible” is a generally accepted principle of retirement saving – and widely viewed as the most important principle. There are, however, exceptions – and today’s article details how “contributing too much to your 401(k) or similar retirement plan too early in the year may be hazardous to your retirement-savings health” and cause…
Noting that the two most important factors for those on the verge of retirement are income and stability, the author of today’s article states that “a soon-to-be-retiring person can maintain a perfect stock portfolio with the help of strong organizations that pay substantial dividends” – and he proceeds to highlight nine companies that fit this profile. For these nine dividend…
A recent study found that three in five Americans are very likely to work longer than desired – an additional two years on average – to meet their retirement goals. Having to work longer than expected is just one of the many surprises that those approaching (and those in) retirement encounter. In today’s article, a number of financial planners reveal what…
Today’s article highlights how, in the search for stable and predictable retirement income, some people are choosing to “be the bank”: “As an alternative to a 401(k) account or investing in the stock market, they become private lenders for people who are investing in real estate. And just as borrowers send monthly payments to a bank or mortgage company to…
Retirees have been told that, especially given the increasing number of years spent in retirement, they need to maintain a sizable position in equities. It turns out, however, that maintaining a healthy equity allocation in retirement may not be as beneficial for retirees as believed: The author of today’s article analyzed a number of different retirement funding scenarios and came…
Once only an option for the very wealthy, Self-Directed Individual Retirement Accounts (SDIRAs) – where the account holder controls the account’s investments (and those investments can include a wide array of choices beyond just stocks and bonds) – are now entering the mainstream as more people look to alternative assets to help secure their golden years. Could an SDIRA be…
Retirees face two possible worries, depending on how the market performs during their retirement: they could generate above-average returns and risk having underspent in retirement, or there’s the bigger worry: they could generate below-average returns and risk running out of money. In regards to the latter risk, today’s article outlines two research studies that provide retirees with techniques to reduce…
Much of the market volatility of late has been the result of concerns over inflation creeping up – and the prospect of the Federal Reserve continuing to raise interest rates in response. The author of today’s article looks at what rising rates mean for your money, depending on the positioning of your portfolio in terms of bonds and stocks. Will…
The importance of diversification in financial planning is constantly emphasized – and generally accepted. However, the author of today’s article notes that “when you look at those who achieve the greatest wealth or have the greatest impact, virtually none of them ever diversify…or at least, not throughout most of their years.” He proceeds to examine how different diversification strategies –…