If you anticipate retiring after 2034, the present forecast for your future Social Security payments may not be accurate. When this occurs, the government fund that pays out the monthly cheques may not have enough money to pay out in full.
Category: Money
Good News: Supplemental Security Income Payment Return to Normal
In November 2022, the Supplemental Security Income (SSI) payment schedule will return to the normal following two consecutive months of deviations. According to the Social Security Administration, SSI payments are usually made on the first of the month. If the first falls on a weekend, payments will be made on Friday before.
What Happens to Your Bitcoin After Death?
Without your private key, your digital wallet is inaccessible to your heirs. In any case, being prepared ensures that your assets will be available when they need them.
Retirement Plan and Required Minimum Distributions: How to Calculate?
No matter how far or close you are to retirement, you probably understand the importance of saving for the future. Something we don’t talk about as much is withdrawing your money when you reach retirement age.
You may already be aware that you must wait until a certain age (59.5) before withdrawing funds from retirement accounts penalty-free.
However, read on more to be informed on what the penalties are if you do not withdraw enough money after age of 72.
How will 2022 Midterm Elections affect Retirement?
The midterm elections of 2022 were among the most controversial in recent memory, with voters weighing in on crucial economic topics like inflation and taxes. While rising prices catch the attention of many voters, the upcoming Election could result in significant changes for retirees and those nearing retirement, given that the Republicans have pledged to cut Social Security and Medicare.
And would Democrats, as they did in 2021, attempt to amend Roth IRA restrictions and estate taxes? These two main concerns and others could appear on the forthcoming legislative agenda when the new term begins, mainly if there is a shift in the congressional power structure.
Here is what individuals planning for retirement must focus on and how they can better secure their future.
Social Security and Your Expenses
Your Social Security benefits may not cover as many of your expenditures as you believe. Many Americans are eager to receive Social Security benefits so they will no longer have to rely…
Cringeworthy Attempt by Congress to Make You Save
To improve Americans’ participation in retirement plans, lawmakers are looking to other countries for inspiration. Foreign governments use various carrots and stick to ensure employers offer retirement-saving plans to their workers and encourage them to participate, according to a report published by the U.S. Government Accountability Office.
One of the things they are looking at is automatic enrollment. Your employer has to enroll you in a retirement plan at the percentage rate required by the Government. If you are struggling to pay your bills, wait until next year. Your participation rate will increase yearly.
Is this an abuse of government power?
Are You Taking Advantage of Catch-up Contributions on Your 401k?
The amount you can contribute to your 401(k) plan increases when you turn 50. With these catch-up contributions, you could save over $1,000 on your yearly tax bill. You can catch up on your 401(k) contributions by following these steps:
Cut Your Tax Bill with Tax Loss Harvesting
You may be considering taking some losses this year, given the stock market’s performance this year. When you decide to do this, you are utilizing a process known as tax loss harvesting. When investments in a taxable account decline, it’s an excellent strategy to consider taking a loss, but there are some pitfalls to avoid. Tax loss harvesting involves selling investments in taxable accounts with paper losses so that investors can deduct those losses from their taxes when they file their returns.
Investing in bonds for retirement: Know the risks
If you ask the average investor where they should allocate their assets when approaching retirement, they might say bonds. This is not necessarily the best advice. In retirement or nearing retirement, many investors use retirement bonds. It is important to align your asset allocation in retirement with your individual objectives, even if bonds are part of your portfolio.
