The best piece of advice for those who want to retire early? “Save early and save often”. But beyond the obvious, today’s article highlights advice for those who want to retire early from people who have actually done so. From resisting the herd mentality, to learning to be content with less, to putting your money to work, CLICK HERE for…
To lump or not to lump? When it comes to how they want to receive their pensions or 401(k)s, many Americans are choosing lump sums over guaranteed monthly installments – and proceeding to deplete that money within 5 ½ years on average, according to one survey. Why are so many people choosing lump sums over annuities, and where is that…
When it comes to the assumptions your retirement is riding on, the author of today’s article warns that “abject optimism can be dangerous.” But not only do many retirement planners have overly optimistic expectations about rates of return in the coming years, many are also overly optimistic with their plans to work longer in order to help fund their retirements:…
The transition from building up savings leading up to retirement to spending down those savings once in retirement can be challenging, both strategically and psychologically – and thus mapping out an in-retirement financial plan is critical, notes the author of today’s article. To aid in this complicated endeavor, she lays out “the key tasks to tackle” when devising such a…
“The savings decisions you are making today have far more implications than you might be seeing,” warns the author of today’s article, who points out that many people decide to save the maximum allowable in their 401(k)s because “that’s what everyone does.” The problem with following the herd in this regard, according to the author? 401(k)s were not designed to…
A recent survey of 401(k) participants found that almost 70% believed they would be able to save enough for a financially secure retirement. The problem? Two-thirds of those surveyed believed that returns going forward will be in line with – or higher than – returns in the past, while most analysts expect that returns will be lower – perhaps significantly…
“It’s nothing less than a war they’re waging on retirement – and it’s going to cost you,” cautions the author of today’s article in regards to the shelving of the Department of Labor’s “Best Interest” rule, which aims to protect retirement savers and their nest eggs from shifty agents and unnecessary fees (to the tune of $17 billion) by requiring…
“Defined contribution plans like 401(k) accounts are great at helping employees save for retirement, but they provide no guarantee of income as pensions do,” notes the author of today’s article. While private sector pension plans have largely disappeared, the author highlights a pension-style retirement product that offers guaranteed lifetime income, but which only recently has entered the mainstream of retirement…
“If you want to have an income-rich retirement, you’ve got to have a diversified basket of dividend stocks that will deliver both capital appreciation and income growth,” states the author of today’s article – and this assertion is backed up by a study that looked at the returns of S&P 500 stocks over a 33-year period. The author proceeds to…
“When it comes to important life transitions like retirement, perspective, judgment and objectivity are vital to prevent mistakes that can lead to disaster,” asserts the author of today’s article. The problem? Too many people forego the aforementioned in favor of overly simplistic (and overly optimistic) “back-of-the-envelope” planning. What are some critical steps many people fail to take – and important…