Why Should I Save With a 401(K) Plan Instead of An IRA Plan

Investing in a 401(k) is an effective way to save for retirement. That's because it offers several advantages, like tax-deferred growth and matching payments from your employer or plan provider. If you're eligible for both an individual retirement account (IRA) and a 401(k), you may wonder which one will offer you the best value for your money. You might need to select from reliable and trusted 401(k) providers over IRA because it offers: 1. Tax-Free Growth Until You Withdraw Your ...

When you mention that you’d like to retire you get a lot of strange looks. They imagine that you will be rolling in cash and looking to sip mojitos on the beach in the Caribbean. Everybody has their own ideas of what retirement should be like, but often, the people that look to retire early aren’t going to fit the mold of expectations. Most people that retire early are doing so in their 50s that are financially literate and have a retirement plan that is more active than what their...

The financial transition from employment to retirement can be challenging. The decrease in your income will certainly lead to lifestyle changes. Remember that these changeovers aren’t a walk in the park, particularly if you are going to retirement without substantial savings. You may know that your income will decrease, but how will you know where to spend and downsize? You will realize that frugality is a crucial retirement survival skill that you need to have. In this honest and unbias...

Plan Your Strategy for A Comfortable Retirement

Your‘re caught up in a rat race. Going to work, taking care of family expenses and you don’t realize days are flying by. You celebrate your 30th birthday, then a gala 40th birthday bash and so on. You are so busy with your career that, retirement planning is not anywhere on your priority list. But come retirement, it hits you like a thunderbolt. Bam! Why didn’t I plan for it before you think? Most people start planning for retirement close to retirement age. They get so entangled with day-to...

A Review Of Britain’s Pension Performance

Media attention and auto-enrolment have pushed pensions to the front of our minds, but how has Britain’s pension performance altered over time? Each quarter, True Potential Investor — a UK personal pension and investment specialist — creates their Tackling The Savings Gap: Consumer Savings and Debt Data report. The campaign was launched in 2013 and to date has polled 30,000 people to determine current attitudes to pensions, savings and financial knowledge in the UK. Using findings from th...

How Retirement Plans Are Changing

Just like life goals differ depending on the individual, so do retirement plans. However, are pension pressures and debt demands changing what we’re dreaming of? A recent survey by True Potential suggests so. It seems that recent findings show that different generations have different expectations when it comes to retirement. For a number of years, a round-the-world trip has been the retirement dream for many — and it seems that 25-34 year olds are keeping this dream alive. Different age ...

The UK Pension Map – Who’s Saving The Most?

Credit: True Potential

Retirement is a matter of concern for almost anybody across the world. Once the inflow of income stops, the reserve funds always seem to run out faster than expected. And soon, people face a terrible financial situation where they are forced to compromise on a lifestyle that they have become accustomed to their whole lives. (more…)

Never Withdraw From Your IRA

Never withdraw from your IRA. There are a lot of good reasons not to do so, including penalties if you're under 59 1/2 years old. There are also times when the expression "rules are made to be broken" applies. Why shouldn't you withdraw? What are the advantages and disadvantages? And when should you disregard the advice to never withdraw from your IRA? Penalties and Taxes on Withdrawing From Your IRA Early Accessing the income you've set aside for the future might seem like a good idea durin...

Making Sense of Retirement Mumbo Jumbo for Those Just Starting Out

Working twenty-something professionals should count their blessings at a time when their age bracket is faced with a record unemployment rate. The concept of American retirement has completely changed in the wake of the global financial crisis, and it's easy to see why many young workers are willingly keeping their minds off of retirement planning. They feel lucky enough to be employed and don't want to squander precious income and resources on something they perceive as a waste. But it's becaus...

Retirement