As retirees, consider converting your 401(k) into a Roth IRA, especially if you have a substantial amount like $500,000. It’s crucial to understand that while Roth IRA conversions are brilliant for many, they come with tax implications. Unlike a traditional 401(k) or IRA, where taxes are deferred until withdrawal, converting to a Roth IRA requires … Read more
As you approach retirement, a pivotal decision awaits: when is the best time to begin claiming your Social Security benefits? This choice, akin to the age-old wisdom of “The early bird catches the worm,” holds significant financial implications. While some claim benefits as early as 62, others delay until 67 or later. Each path has … Read more
For decades, retirees have been guided by a simple principle for managing their retirement savings: the 4% rule. Created in 1994 by financial planner William Bengen, this rule suggests that retirees can sustain their savings for 30 years by withdrawing 4% of their retirement fund and adjusting this amount annually for inflation. Bingen’s research, which … Read more
As retirees, it’s crucial to understand the intricacies of Social Security benefits significantly when maximizing your retirement income. A common query among married retirees is whether switching from individual Social Security benefits to spousal benefits is possible. The answer could be more straightforward and depends on several factors, including your spouse’s benefit status. How Do … Read more
As you approach the golden retirement phase, it’s a celebration of the years of diligence and hard work. Now, it’s about embracing a life crafted by your choices. If Social Security is slated to be a significant slice of your retirement income, it’s crucial to be well-versed with certain strategies before you bid adieu to … Read more
Retirement planning can be a daunting task. With varying advice on how much to save, finding a strategy that works for your financial situation is essential. Here’s a comprehensive guide on how much you should set aside annually for a comfortable retirement. The Traditional Retirement Savings Benchmark Standard advice suggests saving up to 10 times … Read more