There is a backdoor way to contribute to a Roth IRA for those who are not income eligible. This method requires the following steps:
Faster is not always better. So says an energetic 83-year-old Jack Bogle, the Vanguard Group founder who has spent most of his career striving to protect the individual investor.
I do, therefore, invite my fellow-citizens in every part of the United States, and also those who are at sea and those who are sojourning in foreign lands, to set apart and observe the last Thursday of November next as a Day of Thanksgiving.
I found it very interesting that Bogle directs much of his criticism at the mutual fund industry and even Vanguard itself. Bogle argues that fund companies should be doing a better job challenging the excesses of executives and corporate managers.
This article reviews the coordination rules which govern the maximum contributions to 457, 401(k) and Thrift Savings Plan. Information on 403(b) plan maximums is also included.
Though imperfect at best, the record of immigrants striving to reach our shores proves that are forefather’s defense of free enterprise created a fertile soil for human flourishing.
Me: King Henry, let’s start off with this question: Are you now or have you ever been married?
Henry VIII: Yes (with a smirk).
It’s time to consider adjusting your retirement savings. The Internal Revenue Service recently issued a variety of inflation adjustments for 2013, and retirement savers can now save even more.
Since the time of Adam Smith, free enterprise has always needed defenders. Though imperfect at best, the record of immigrants striving to reach America’s shores proves that our forefathers’ defense of free enterprise created fertile soil for human flourishing.
Parents take note: Research on delayed gratification shows connections from children through adulthood.
I am always amazed at the power of a good story. A good story teller will always have more influence than encyclopedia of powerful data points. Politicians understand this concept better than most, which is why they spend time talking about people.
Q: My husband Thomas is four years older than me and plans to delay filing for his larger Social Security benefit until age 70 when he will receive $2,600 a month. My personal benefit starts at $600 beginning at age … Read More
As you get closer to the hole with each shot (this could be too much of an assumption for those hack like me) you can focus on precision over power.
Despite being told on the Social Security website that you will lose benefits, those who go back to work will earn a higher benefit in the future and will make up for their penalized earnings.
Two proven methods to pay off your debts – with gusto. Say goodbye to the stress, ANXIETY and late fees.
Charitable gift annuities get an “A” for marketing and an “F” for performance.
Review your health insurance options after losing your job – COBRA and High Deductible Health Plans.
Although it is possible, buying a house without a credit history will require you to jump through some uncommon hoops to find a competitive rate.
It is estimated that as many as 40,000 American citizens reside in Costa Rica, and many are retirees who are stretching the purchasing power of their Social Security paychecks.
There is a separate set of rules for those under age 55 or who are looking to distribute from an IRA. These rules focus on an exception called Substantially Equal Periodic Payments (SEPPs).
During the 2007 – 2009 financial crisis, many stable value funds were on the brink of disaster due to risks that were unknown to the average investor.
Q: We have saved money for our grandchildren’s college expenses with 529 plans, and now the first is set to begin. What advice do you have as we begin to make distributions from these accounts?
Out-of-pocket closing costs are a big deterrent to would-be refinancers. Is it better to stay with the higher rate or get the lower rate and pay the closing costs?
Generally speaking, financial complexity is a curtain behind which the finance industry can extract its fee. When the curtain is pulled back, convertible bonds fail to add value for four specific reasons.
In another edition of “you can make the numbers say whatever you want” two financial industry studies are contradicting each other.
There are two opposing approaches to limit your AMT tax. The obvious strategy is to lower your income so you avoid this AMT bull’s-eye. The less obvious approach is to raise your income.
Debt burdens are relative. For example, a $58k college debt will feel doable to a doctor making $100k+ per year and overwhelming to a lower wage employee. A degree should not cost more than your future earning power will sustain.
David John Marotta and Matthew Illian were interviewed on radio 1070 WINA’s Schilling Show discussing Social Security and how to get the most from filing at the right time.
Saving for your retirement by ignoring your high-interest debt burden is an exercise in futility.
There are several options to claim retroactive Social Security benefits. Some retirees will find it beneficial to turn back the clock in order to receive large one-time checks when they first file.
Here are three questions that every small business owner should answer before establishing a new retirement plan.
The SEP IRA and solo/individual 401(k) are the two most common retirement plans chosen by successful self-employed people due to their high contribution limits.
Huge financial incentives motivate a newly minted public stock to attempt to keep their best foot forward just long enough for the early investors to maximize their profits.
To assess our progress toward funding all three children, I have created age-based benchmarks that I share here.
Most infomercials that begin with such urgency are trying to get you to buy something, but in this case I want you to consider selling.
Many higher earning husbands base their filing date decision based on their own life expectancy, which is a mistake. They should rather be asking the question, “What benefit do I want to leave my wife?”
Here is the only question you should attempt to answer: Are you paying a higher tax rate now or later?
Q: Do you recommend dividend-paying stocks? If not, what investment strategy do you recommend for retirees like me who are seeking income from our portfolios?
Dividend investors are too easily lulled into the temporary comforts of portfolio income.
Buffett estimates that he has a 60% chance of winning. This is in line with statistics suggesting that low cost funds beat high cost funds more than half the time.
My wife and I have six of our eight grandparents who are living well into their 80s and 90s.
Many people turn to religion when defining these shared values.
Couples that fail to prepare for a shared money maturity will likely experience longer and sharper growing pains. Here are several things to talk about before tying the knot.
I highly recommend that you plan to live on one salary for the first several years. This is a challenge that too few couples accept.
Begin by reflecting on this question: “Imagine you are financially secure, that you have enough money to take care of your needs, now and in the future.
David John Marotta and Matthew Illian discuss how to get more from Social Security by filing at the right time and taking benefits at the right time.
Couples that fail to prepare for a shared money maturity will likely experience longer and sharper growing pains.
Social Security benefits can represent a big stack of cash. A typical monthly benefit of $2,200 has a present value well over $500,000. Consider all your Social Security options carefully to avoid making a costly mistake.
Q: I recently landed a job that will allow me to begin saving. My company offers a 401(k) and a 3% match, but I also have college debts of $15,000 and a credit card balance of $650. How do you recommend I proceed?
A Roth provides more flexibility than its Roth 401(k) counterpart because you can access the principal at any time without penalty.