When it comes to 401(k) plans, most people are obsessed with filling theirs to the brim. Stashing more money away in a shorter time span is a great way to use a 401(k), but eventually you’re going to have to tap those funds. Like anything else to do with your retirement account, there are special […]
All posts tagged 401k
Differences Between myRA, IRA (including Roth) and 401(k)
Retirement planning is an overwhelming proposition, whether you’re just starting out or looking into rolling over an account you’ve had for decades. Not only do the laws change year after year, but the many types of accounts seem like they should be much more similar than they are. Don’t worry, we’ve got you covered in […]
An introduction to retirement plans
If you are convinced that you should save (more) for retirement starting today, you may be wondering which retirement plans you should choose. It makes financial sense to first contribute the minimum amount towards your retirement plan at work (e.g., 401k) to get the maximum employer match. Only then you should think about contributing towards […]
A few more 401(k) mistakes to avoid
Earlier, I wrote about some of the common 401(k) mistakes that that can hurt your retirement nest egg. In this article, I list a few more common 401(k) mistakes that every 401(k) participant should be aware of and avoid whenever possible. Borrowing from your 401(k) Consider the merits and demerits of borrowing from your 401(k) […]
Brokerage Window: An Overview
Brokerage Window – aka self-directed brokerage account (SDBA) or self directed 401(k) – is a 401(k) plan feature that offers participants flexibility to invest in opportunities not available through the plan’s core line-up. A SDBA is a brokerage account that is part of the 401(k) plan that provides participants access to a broad array of […]
10 important factors to consider during 401(k) to IRA rollover
Barring a few who can opt for an in-service rollover, most Americans consider 401(k) to IRA rollover only when they retire, get laid off or change their jobs. While many employers prefer to continue their former employees in their plan, it probably makes sense in most cases to roll the money from old 401(k) account […]
Avoid these common 401(k) mistakes
Even with all its flaws, 401(k) plan is still the primary retirement vehicle that allows individuals to save a portion of their compensation towards retirement and get a favorable tax treatment for the same. As a defined contribution plan, all risk and responsibility of deciding how to invest the funds in the individual’s account is […]
Pros and Cons of borrowing from your 401(k)
Borrowing from 401(k) is the most attractive and widely practiced way of raising liquid cash at the time of need. Why is it so popular? Because it is perceived as the quickest, simplest and cheapest way to raise money and therefore people find it attractive and consider it as the ultimate choice to meet their […]
401(k) fee disclosure: How to take advantage of this information
Saving more for tomorrow by paying less in 401(k) fees today is the aim. – DoL Your retirement income depends on several factors such as the amount of money you saved, your time horizon, returns you earned on your investment and the expenses of your retirement plan. To get the maximum out of your plan […]