money sectionmoney sectionThe laws about retirement accounts in the U.S. are extremely complex, verging on arcane, as they have been modified dozens of times to add new classes of accounts and close various loopholes. One of the most complex areas of retirement account law concerns how you are allowed to make withdrawals from a retirement account.
A Keogh plan offers a retirement investment alternative to employer 401k plans for individuals who are self employed, as well as for their employees. Like a 401k plan, a Keogh plan permits retirement savings on a pre-tax basis, subject to maximum contribution limits. This means that you will not pay taxes on money you put aside for retirement through the plan until you begin receiving distributions. However, you may not own more than one Keogh plan, even if you own multiple businesses.
Pension plans allow employees the opportunity to retire when they reach their mid-60s by putting money aside each pay period to give employees every month after they retire. Employers can contribute to either single-employer or multi-employer plans; the latter involve contributions from many employers in a particular industry rather than just from a particular employee's boss. Employees can usually contribute to their own pension plans if they wish.
Medical research is a job field aimed at improving human health by gaining greater understanding of diseases and discovering new ways to overcome health problems. Stem cells are a type of cell in the human body that have the potential to become different types of cells, making them of special interest to medical researchers. The Bureau of Labor Statistics groups scientists who research stem cells with other medical scientists in its income data.
Advertising editors review the work of advertising creators for proof of concept, basic quality and simple errors. They fill the link between the creative individuals who make the ads and the businesspeople who buy and sell them. Pharmaceutical advertising editors fulfill this role in the massive pharmaceutical industry, and their salaries depend on certain factors, including job location.
Since there's no such thing as too golden a retirement, it's smart to take advantage of as many retirement-savings opportunities as possible. If you're a teacher or nonprofit employee and you also run your own business outside of your "day job," there are likely a variety of options available to you. How much can you save if you opt for a Keogh plan in addition to your employer's 403(b) plan? Let's start by looking at each plan individually.
Stem cells are a type of cell in the human body that have the potential to regenerate themselves and can also become other types of cells, such as blood cells, muscle cells or brain cells. Understanding how stem cells work could potentially lead to breakthroughs in overcoming the effects of aging and fighting diseases.
Keogh and 403B retirement plans both provide tax savings for the contributions you make to each type of account. However, each plan is designed for specific types of taxpayers. This means that if you qualify to participate in a Keogh plan, it's virtually impossible to qualify for a 403B plan, and vice versa. In the event you do qualify under both, the IRS limits the annual amount of pre-tax dollars you can contribute to both plans.
A college education is undoubtedly an important tool in a job seeker's arsenal, but not all college degrees provide the same return. In part this is because college graduates often pursue jobs in fields unrelated to their college majors. For that reason, it is difficult to pin down exactly how much a person with a bachelor of arts degree in political science earns. A May 2010 report from the U.S. Bureau of Labor Statistics lists the median wage of a political scientist at $107,420; it also cites wages in the field as ranging from below $48,720 to above $155,490.
Under the United States' federal tax laws, you can participate in a variety of different employer-sponsored retirement accounts. Deposits made to these accounts grow on a tax-deferred basis so you can maximize your savings for your retirement years. 401ks and 403bs are two types of plans that you could potentially participate in. However, while the plans are both designed to create retirement income, significant differences exist between these types of plans.
When you work for an employer, you may have access to a qualified retirement plan that will allow you to defer taxes on your contributions. The type of plan that is available to you will depend on the employer and whether it is a nonprofit entity or government organization. The 401k, 403b and 457b are all options available to you.
The Internal Revenue Service has certain rules to determine if a retirement plan is top heavy. The Tax Equity and Fiscal Responsibility Act of 1982 introduced these top-heavy rules. The rules took effect after the end of 1983. The term top heavy refers to a concentration of benefits in a retirement plan for key employees of a firm.
The U.S. Bureau of Labor Statistics states that science assistants, or technicians, work in a variety of fields such as agriculture and food science, biology, chemical and forensic science. Their work may be in a laboratory or at an outdoor location depending on the position. The earnings for these professionals can be different based on the position they hold and the geographic location they work in.
If you're an ESPN fan, you may have seen its Emmy-winning show "Sport Science," hosted by John Brenkus. The show's episodes focus on a number of players and sports action using technology to examine scientific principles such as friction and gravity. Outside of the sports world, sports scientists may be a bit of an enigma; however, their work and salaries are compatible with scientists in other fields.
The wages of United Auto Workers made national news during the 2008 government bailout of the Big Three auto manufacturers. The wages, earnings and benefits of UAW employees were often cited, particularly by those in favor of concessions on the part of auto workers. Those interested in the subject would do well to research the subject beyond the claims of one partisan group or another.
Harvard University has continually been admired internationally as one of the leading research universities in the world. While its sizable endowment, labs, libraries and traditional reputation are a big help, it cannot keep its elite status without the diligence and hard work of its researchers. At the forefront are the scientists who help keep Harvard at the cutting edge, but the salaries they earn are not as high as many people might expect.
The United States isn't getting any younger. On the contrary, in 2009, nearly 13 percent of all Americans were over 65 years old, and estimates published by the Administration on Aging project this figure will rise to 19 percent by the year 2030. This creates huge stress on government sponsored pension plans, which must provide pensions to more people while the number of workers contributing into retirement plans drops. This is why many people invest in additional pension plans to prepare for retirement. Regardless of the type of retirement plan you own, you can check its status by reading your…
Sales representatives in the medical field are often given incentives, such as commissions and bonuses based on successful sales. For pharmaceutical representatives, this commission structure can range wildly from company to company, although there are some industry-wide tendencies and standards. Also, because pharmaceutical representatives are expected to know a lot about the industry and the many different drugs available, companies are often competing for skilled salespeople, which translates into higher wages and bonuses.
When you purchase an automobile insurance policy, you receive a policy book containing the terms and conditions of your contract with your insurance company. Some auto insurance policies contain provisions stating that the coverage under your policy is non-contributory. A non-contributory provision affects the way the insurance company pays for claims under your policy.
Atmospheric scientists analyze weather phenomena and climatic conditions. They track the changes in the atmosphere caused by pollutants and attempt to predict future weather events and changes in climate. A bachelor's degree in meteorology is required for entry level positions, although many atmospheric scientists earn doctoral degrees to conduct research in the field. Salaries for this occupation vary depending on factors such as location and employer type.
A 401A plan is one that refers to a specific section of the Internal Revenue Code. Section 401A is a provision under the Employee Retirement Income Security Act, or ERISA, of 1974, and defines and lists the requirements for a trust to be a qualified plan under the code. To receive the generous tax benefits afforded to qualified plans, these plans and their related trusts must meet certain qualification requirements. The tax qualification provisions are called Title II of ERISA.
Animal farms raise livestock that provide humans with food such as milk, eggs and meat. The health and care of farm animals is essential to ensuring the food products produced are safe and of high quality. Animal scientists are professionals that conduct research on domestic farm animals in areas like genetics, growth and reproduction to enhance the production of animal products.
Community property laws refer to laws that treat your property as being shared between you and your spouse. These laws only affect you in a serious way if you become divorced from your spouse. Under this scenario, you may end up losing some of your retirement assets. Normally, these assets are protected, but community property laws give rise to an exception to this rule.
Washington, D.C., is the epicenter for legislation and policy in the United States; working for congress puts you in the middle of the machinery that runs the country. Unlike a traditional company or organization, you cannot "apply" to congress for work. To work in congress you have to network with legislators and their staff to find available positions and opportunities. Do not despair if you start at the bottom for your first job; there are many opportunities for advancement in congressional offices.
Biomolecular scientists are medical scientists who perform research into the interactions and interconnectedness of diverse fields such as biology, chemistry, physics and computational science. They may be involved in such emerging fields as molecular biology, genetics, genomics, bioinformatics and biotechnology. Biomolecular scientists typically need a doctorate in biology, and some hold medical degrees. A biomolecular scientist's income can be affected by such factors as location and employer.
A 457 retirement plan is a deferred compensation plan available only to state and municipal workers and employees of certain tax exempt organizations. These plans are very similar to 401k plans in the private sector in that employee contributions are pre-tax and investments within the plan grow tax-deferred. One major difference is that the IRS does not impose a 10 percent penalty on withdrawals prior to your reaching age 59 1/2.
Prefunding a retirement plan better ensures that there will be sufficient assets to pay pension benefits when employees retire. It is the responsibility of a plan sponsor, or employer, and often employees to make cash contributions to a retirement fund to grow the value of assets. Prefunding supplements profits that are generated by investing in the financial markets.
The storing, moving and delivery of goods to end consumers is an important part of the logistical process of running a business. Distribution managers are logistics experts who direct the distribution of materials and goods and ensure that distribution adheres to the guidelines set forth by the organization and by local, state and federal laws.
Your 457 plan is a deferred compensation plan set up and maintained by your employer. But the 457 plan functions like a pension in many ways, even though there is no minimum retirement age for withdrawals as there is with a traditional pension plan. One of the ways in which 457 plans mirror a pension is in the provisions for spousal payments.
A disability at age 50 may force you into early retirement. This is unfortunate if you really enjoy working. However, your retirement plans often contain provisions allowing you to retire prior to your normal retirement age. These retirement plans may just save you from having to move in with relatives or dealing with financial hardship until age 59 1/2.
"There's nothing wrong with the younger generation that paying taxes won't cure," states comedian Dan Bennett. Work provides a multitude of experiences teenagers build on as they mature toward independence. Receiving a paycheck -- minus taxes withheld -- is an eye-opening event. Using the occasion as a teaching moment to begin long-term, tax-free savings is a golden opportunity not to be missed.
Choosing the right vehicle for retirement savings often has a large part in how comfortably you get to live when you reach retirement age. When you prepare for retirement, you have the option of choosing a self-directed retirement account or a traditional retirement account. While they both have similar features, the types of investments you can offer differ.
If you own a business and offer a retirement plan to your employees but are considering changing the service provider of that plan, familiarize yourself with the possible effects that that change could have on your workers. Be prepared to justify and explain your reasons for changing providers and why you chose the new provider. Understanding the basic effects and options that may be experienced by your workers enhances their comprehension of retirement plans in general, as well as reduces the possibility of confusion during the transition.
The terms "public corporation" and "public limited company" sound like synonyms. The companies that fit into each category share some things in common but are, in fact, completely different. To understand the difference, you must first define the terms.
The Ohio General Assembly acts as the state's legislative body, performing functions similar to those of the U.S. Congress, which makes laws for the nation as a whole. Members of the General Assembly receive salaries, retirement benefits and other compensation as prescribed by statute.
In a world full of 401(k), 403(b), pension, profit sharing and IRA plans, it may seem strange that there are really only two types of retirement savings plans. The difference in the two types of plans comes down to what the employee can expect in retirement and how the money is contributed to the plan.
Many retirement plans, particularly annuities, offer the option of converting the money within the plan into a guaranteed stream of income payments. This choice appeals to many account holders because it alleviates the need to constantly maintain watch over volatile investments or repeatedly search for better performing vehicles. The carrier maintaining your retirement plan can provide a steady and predictable flow of cash that suits your needs and your lifestyle, based on the size of your retirement account.
Employers may offer fringe retirement benefits to executives for excellent service or to provide an incentive for increased performance. These retirement benefits are called supplemental executive retirement plans (SERP). These plans avoid the rules set forth by the Employee Retirement Income Security Act (ERISA) since the plans do not allow tax deductible contributions and are not qualified under ERISA.
A teacher's retirement account is called a 403b plan. This retirement account is separate from the state pension that a teacher receives. The pension plan is a plan funded by the employer that provides for the teacher's future retirement. The 403b plan is a supplemental plan that provides additional personal savings to the teacher. The 403b plan is the only plan you may borrow from.
Your retirement savings ultimately relies on your ability and willingness to save money. Fail in this task, and you won't have enough money to live on in your old age. On that same note, you should save money early and often, since you may eventually be restricted by law from making contributions to your retirement account.
Your company may offer you a retirement plan based on a variety of factors. These factors all must be considered in the company's decision and affect your benefit payment. Some employers want to be generous and fully fund an employee's retirement. Others only want to give a matching contribution to employee contributions to encourage self-responsibility. Still other employers don't want to contribute any money to an employee's contribution. Some of this depends on the employer's ability to fund employee benefit packages.
An estate plan helps you minimize or at least manage the tax impact of your death. Estate plans may also cover retirement plans. When you don't use up all of your retirement plan benefits, you may wish to pass these benefits on to your family. A spouse or child may take receipt of these benefits. You have a couple of choices in regard to how this money is passed on.
Retirement plans allow eligible workers to contribute money to an account to use later during retirement. Individuals working for a company that does not offer retirement plans may set up an individual retirement account. Each retirement plan has its own eligibility requirements and contribution limits. Depending on the plan, some employees may establish more than one retirement account.
There are several types of Social Security benefits. One benefit, Social Security Income, pays you based on your financial needs in retirement. Another kind, Social Security Disability Insurance, pays you and your dependents if you have paid into Social Security through your work and become disabled. If you retire early due to a disability, you may be eligible to collect SSDI. Once you reach retirement age, this is converted into SSI according to your needs, meaning you will not technically receive "both."
If you own a small business, or if you work for a company and are considering its employee benefits package, you should familiarize yourself with the basics of workplace retirement plans. Not all plans are the same, and each variation of available account types can be further customized to meet the unique needs of the employer. However, the generic basics regarding workplace retirement programs remain the same across the board for all companies and all plan types.
A conduit IRA is used to transfer money between one IRA or 401k plan and another. Non-conduit IRAs include traditional or Roth IRAs that act as individual retirement accounts. These plans allow you to invest in a variety of investments and may constitute an important part of your retirement plan.
A corporation may provide retirement benefits to employees as part of an incentive to keep employees happy and loyal. Corporations also may provide these benefits due to significant advantages to the corporation. The company you work for has a couple of strong incentives to provide you with a retirement package. You should understand your company's motives and why offering a benefit package to you is beneficial for both you and the employer.
Financial planning tools are useful to help you plan for your retirement. You can variety of tools for free or with the help of a professional financial adviser. These tools range from budgeting tools to tools useful in helping you determine how much money to save for your future.
Retirement plans and benefits packages come in a variety of forms. These benefits are designed to help you save money for retirement. The benefits packages may be funded by you, your employer or both. Before you contribute any money to a retirement plan, you should understand how the plan functions. Even if your employer is making all of the contributions, you should understand how the plan works.
Soil scientists study the composition of soil and the ways that soil additives and agricultural practices affect different types of soil. They make recommendations to landowners on preventing or resolving problems, such as soil that does not encourage plant growth. Soil scientists also work to solve soil problems associated with construction projects. Most soil scientists have salaries of at least $45,000 per year as of 2009.
Income options for retirement plans allow you to get the most out of your retirement savings. Your income options give you a choice as to how you want to receive income during your lifetime. These income options may be part of a pension plan you are receiving or they may be options you can pursue on your own through an insurance company outside of the retirement plan.
A teacher's retirement plan consists of two parts. Teachers are state employees, so they receive special retirement benefits not available to non-government employees. With two benefit payment options in addition to Social Security, which everyone receives, you should not fear running out of money after you retire from the school you work for.
Though some budgets have dazzling pivot tables and pop-up reminders stating when to invest in mutual funds, other budget plans require little more than a notebook, calculator and pen. Indeed, some people may take solace in the simplest budget plan; a bare-bones approach may assist some people with keeping track of finances.
Understanding the retirement process in America, and planning for your own retirement, is a multifaceted operation. The Internet is an excellent starting point, but planning for a successful retirement can require every tool at your disposal. If you start early in life, use all the information and free resources available, and save wisely, then the goal of a happy and healthy retirement is well within reach.
Teachers get special retirement plans that are not available to other people. These retirement plans resemble Individual Retirement Accounts (IRAs) in some ways, but they are not IRAs. They are 403(b) plans. These plans have a different investment structure than IRAs and allow different contribution limits than what you would find for an individual account.
Enlisting in the U.S. military can have its advantages. Consider the money that each of the armed forces offers you to enlist, either as active duty or reserved duty. However, military qualifications and enlistment benefits are likely to frequently change, so it's best to contact a branch recruiting officer to confirm the offer before you sign up.
If you work for a private employer, chances are good you have access to contribute to a 401k plan or other employer-sponsored program. But if you work for yourself you have no such luxury. If you are self employed or own a small business, you need to prepare for your own retirement, using all of the programs at your disposal.
With the large number of retirement plans available today, you may be unsure of which one to put your money into. If you have a 401(k) available to you through your employer, it may make the most sense of any retirement plan, depending on your situation. Whether the 401(k) is good for you will depend on whether your employer matches your contributions, the investment options it has and how much you have to contribute.
Even the most simple retirement plans can take some to create. Sit down, with your financial adviser if you wish, and create a list of items that are important to you when you reach retirement. Your retirement plan is a living document that can -- and must -- be altered as circumstances warrant, such as a divorce.
Many large corporate employers offer either a defined benefit or a defined contribution plan to help their employees save for retirement. While many feel that the defined benefit plan has greater advantages because of the greater amount of certainty regarding retirement payouts, they are becoming less prominent in recent years. Unions, and other types of similar organizations, are still fighting to keep the defined benefit plan alive..
If you are a low-income wage earner, you may be counting on Social Security as your primary retirement income. But if you have no other retirement savings, you are probably going to have to work longer or continue to work at least part-time after you retire simply to make ends meet. Your Social Security benefits alone just won't cut it. Fortunately, there are savings options available to even low-income workers.
A multiemployer plan is a type of retirement plan qualified under Section 401(a) of the Internal Revenue Code. The name refers to the group of employers that sponsor the plan and multiemployer plans may take the form of either a defined contribution or defined benefit plan.
The Employee Retirement Income Security Act of 1974 (ERISA), as amended, requires that those who manage a retirement plan do so for the exclusive purpose of providing benefits for the participants of the plan and their beneficiaries and of defraying reasonable expenses of administering the plan. This means that plan sponsors must act prudently when it comes to plan fees and expenses.
With traditional defined benefit pension plans shrinking, it has never been more important for every worker to take advantage of available retirement plans. Contributing to a retirement plan can help you save money on current taxes while allowing you to build the nest egg you will need when those paychecks stop.
Saving for retirement can be a real challenge, and saving enough money can be a particularly difficult endeavor. The good news is, however, that there are many different retirement plans available. If you meet the qualification requirements, you can combine various retirement plans to maximize both your tax savings and your retirement nest egg.
An individual retirement account, or IRA, is an ideal way to save for your retirement, but it is important to choose the right account and the right investments. You have a number of choices to make with your IRA, and those choices can have a profound impact on your income and cash flow in retirement.
Pharmaceutical marketers are marketing managers who are responsible for assessing the market demand for goods and services provided by the pharmaceutical industry. These marketing professionals devise plans with regard to pricing in order to maximize their firm's profits while also providing competition with other pharmaceutical companies.
Contributing to a retirement plan allows you to take advantage of tax benefits when saving for your future financial needs. When choosing a retirement plan, you need to look at several factors, such as the contribution limit and the tax status of the account. Some retirement plans are funded by your employer while others require you to come up with the money for them.
Annuities are retirement investment vehicles created and managed by life insurance companies. Several different types of annuities exist, each with its own pros and cons, and no one product is perfectly suited for everyone. With countless annuity products available from so many different providers, it's not uncommon for consumers to realize afterward that the one they chose was not the best. This situation is exacerbated by the fact that annuity providers continuously update product portfolios with new features, higher interest rates, or other bells and whistles designed to attract new customers. If you've already deposited money into an annuity, changing…
Pension and retirement planning involves at least three distinct steps. The first step is research and data collection. During this step, you investigate your options. In commitment, you actually set up the pension and retirement plan. During ongoing review and adjustment, you look at your pension and retirement plan and determine whether it still will meet your needs based on life changes that may have arisen. If necessary, you tweak the plan. Basic information on pension and retirement planning guides you through these steps toward good financial health.
Many people find themselves struggling to eliminate debt in their personal budgets. These debts may occur as a result of job layoffs, unplanned medical expenses or living beyond their means. Debt payments require the consumer to forgo purchasing other items they may need or want. By following their ABC's, these consumers can find their way out of debt and into financial freedom.
Saving for your own retirement has never been more important. With pension plans shrinking, and in some cases disappearing altogether, it is vital for workers to save for their own futures. As a worker, you have a number of retirement investment options at your disposal, including workplace retirement programs such as 401k and 403b plans and individual retirement accounts (IRAs).
When planning for your retirement, you have to spend some time thinking about what types of investments you want to put your money into. If the normal choices of stocks and bonds do not excite you as an investor, you may wish to look at hedge funds as an investment for your retirement portfolio.
Teachers get special retirement plans not available to the general public. These retirement plans provide benefits to teachers when they retire to ensure that they never run out of money in their old age. If you're a teacher, you should understand your retirement benefit options so that you can make good financial decisions about your retirement.
Individual Retirement Accounts are federal programs that offer tax breaks in order to encourage you to save for retirement. There are no minimum age limitations to opening an IRA. However, your child must have earned income in order to contribute to an IRA.
A 401k retirement plan bases its name on IRS Code 401(k). The code provides the regulations for employer management of 401k plans and employee participation in them. A 401k retirement plan affords employers certain tax advantages to facilitate saving for retirement.
Saving for retirement during your working life can help you ensure that you have the means to do the things you want to do in old age. Many workers use retirement accounts like 401k plans and individual retirement accounts (IRAs) to save money for retirement on a tax-differed basis. A "contribution to a retirement plan" is a deposit of funds into a retirement account.
Branches of the United States military are using a commonly-known private-sector recruitment and selection strategy to increase military strength and resources. For years, the private sector has enticed qualified applicants with sign-on bonuses and other monetary incentives. The military embraced the same concept and discovered it works. Consequently, the United States Navy Reserve structured a unique way to offer lucrative bonuses to enlistees. The bonuses range from $5,000 to $20,000, based on enlistees' criteria, qualifications and prior service.
Working as a self-employed individual can provide you with flexibility and the ability to take charge of your own income. When you work in this capacity, you also have a few options to choose from when it comes to retirement plans. Choosing the right retirement plan could be the difference between retiring comfortably and continuing to work when you get older.
The term "retirement plan" covers a broad spectrum of consumer and employer-sponsored savings programs designed to provide income during retirement years. From the consumer perspective, you can take out an Individual Retirement Account or enroll in employer-sponsored plans like the 401k or 403b. The Internal Revenue Service regulates all retirement plans, with restrictions on certain contributions.
Retirement plans are long-term savings and investment accounts. Nowadays individuals rarely stay with one employer their entire work life. They may have one, two, or many employers and a retirement plan with each one. Employees must decide what to do with their retirement account when leaving an employer.
Saving up money in an IRA is important, but it is only half of the retirement planning picture. The other half is planning the distributions from the account. Investors need to withdraw enough from their IRA accounts to meet the IRS guidelines and cover living expenses, without withdrawing so much that they deplete the account too soon.
Bankruptcy is a serious decision that you should only consider if you cannot make multiple debt payments and need to avoid multiple legal actions creditors have brought against you. If you own a small business and are considering filing for bankruptcy, the situation becomes more complicated but the same rules apply. Consider your financial position, what type of business you have and what you want from a bankruptcy. Hire a bankruptcy attorney to help make your decision.
Whether you are a young worker just getting started in your career or a seasoned employee already dreaming of life on the golf course, you need to start planning for a financially secure retirement. Few companies still provide the kind of lifetime pensions and benefits that were once routine, and today it is up to every worker to seek out the best retirement plan options.
You can prepare for retirement by saving money in diverse ways. The government provides you with one type of retirement benefit through the Social Security Administration. This benefit is based on the Social Security taxes you pay. However, you can also invest in private retirement plans that allow you to save money, or you can invest in employer-sponsored retirement plans. Retirement plans might or might not be considered qualified plans for tax purposes.
Decisions about how to invest during retirement don't follow any particular rules. As with all investing strategies, a lot depends on your age, your accumulated savings, your income needs and your risk tolerance. For example, if you've accumulated a nest egg of $1,000,000 and can draw adequate income without worrying about running out of money, you can invest conservatively. However, if you've accumulated $300,000 by retirement, you may need to consider more aggressive investment options to generate growth during your retirement years. Begin your decision about what to do with your retirement plan by assessing your income goals and your…
Every Navy spouse figures out quickly that moving across the country, or the ocean, every 2 to 3 years is not good for maintaining a career. In fact, military spouses have triple the unemployment rate of a similar civilian population. While some spouses simply stay home and raise children, others depend on the military's spouse-employment programs. And some choose to develop portable or home-based careers that will follow them throughout their military spouse's career.
Saving for retirement ensures that you'll not have to work for your whole life if you don't want to. Regardless of whether you participate in an employer retirement plan or an individual one, you should understand the rules concerning retirement eligibility. This has important implications for collecting a pension, Social Security and even your own personal savings.
The foreclosure process can be intimidating for a homeowner who isn't informed about his rights or his legal options in preventing the repossession of his home. By planning ahead, a homeowner can successfully use one of several legal options to either avoid foreclosure, delay the process or successfully reclaim his property. Planning can also prepare a homeowner for the damage to his credit resulting from a foreclosure if reclaiming his property is not a possibility.
Retirement plans subject to the Employee Retirement Income Security Act of 1974, as amended ("ERISA"), are required by federal law to make certain disclosures to participants of the plan. These disclosures are designed to inform plan participants of the terms of the plan in which they participate, their rights under federal law and information regarding their particular benefits under the plan. One of these required disclosures is called the Summary Plan Description ("SPD").
When you leave your employer for another job or because you are planning to retire, you need to make choices about your retirement plan assets. Because the retirement plan represents one of the largest savings amounts for many people, the choices can make a difference for your financial future. Often, your choices depend on the type of retirement plan you own.
While you are working, it is up to you to save for your eventual retirement. But building up that solid nest egg is only half the picture. The other half is determining exactly how much money you can safely withdraw from your nest egg after you cash your last paycheck. Taking the time to build a retirement budget is the best way to prepare for a financially secure post-work life.
A career in the pharmaceutical industry may require advanced schooling, depending on the desired position. Pharmacists are required to attend an accredited college of pharmacy and earn a significantly higher salary than pharmacy technicians, for whom there is no national training standard in the United States. The average pharmaceutical salary also depends on the industry and location of the worker.
The United States Marine Corps prides itself on being "one of the most elite fighting forces in the world," according to Military.com. Besides the honor and respect earned by "leathernecks" who undergo strenuous training, U.S. Marines receive tax-free housing and food allowances in addition to their compensation. They also have access to educational opportunities enabling them to learn a wide variety of technical skills.
SEP stands for Simplified Employee Pension, which is a type of individual retirement account, or IRA. SEP IRAs function similarly to traditional IRAs, but the Internal Revenue Service permits your employer to contribute to them, which isn't permitted by a traditional IRA. Understanding how the plan works can help you better plan for your retirement.
Leaving a job can be stressful. You have a lot of things to think about and only a short amount of time to make decisions that can have a lifelong impact. One of those decisions involves your 403b retirement plan, and it is important to handle that money properly. The options you have depend on your plan, and they can include leaving the money where it is, rolling it into a new retirement plan or moving it to a self-directed IRA.
Spending some time with financial and estate planning can make a big difference in the lives of your beneficiaries when you are gone. While many overlook these important steps, it is critical to plan out what will happen to your estate once you are no longer able to watch over it.
Choosing the right type of retirement plan can make a big difference in how comfortable you are during retirement. The Keogh plan is a type of retirement plan that allows retirement savers to choose between having a defined benefit or a defined contribution. The defined benefit plan provides a specific amount of benefit depending on the number of years that you work.
A medical center scientist is a research science professional who conducts investigations at a medical facility into diseases that affect humans. The results will be used by physicians and other health care professionals in the diagnosis and treatment of diseases in patients, often in care facilities within the same organization as the medical scientist conducts her research. The salary of a medical center scientist reflects the skills and knowledge required to fulfill the role.
Hedge funds are an increasingly large part of many teacher's retirement plans. These investments are not made by individual teachers, but are made through statewide pension systems, such as California's CALPERS (California Public Employees Retirement System) or Illinois' TRS (Teachers Retirement System). These entities use hedge funds as one of many ways to diversify their portfolios.
A defined benefit plan is a plan that pays a set benefit in retirement. This benefit is determined in advance and must be fully funded by you every year. As a self-employed individual, you must meet with an actuary from a life insurance company to determine the necessary contribution amount to the plan.
A pharmaceutical scientist is a medical scientist who investigates how drugs work. She studies the biological responses to pharmaceuticals, synthesizing data to develop the correct type of response and minimize side effects. Her work may extend from a molecular level to the conducting of trials on human volunteers. She may also be involved in the industrial production of drugs. Her salary can vary, depending upon certain elements of her employment situation.
A medical research scientist plans and conducts experiments to increase scientific knowledge concerning topics related to medicine. He may work at refining medical treatments for diseases, improving drugs and other medical products, or seek to understand the causes of a disease and thus its prevention. Research may be carried out at a molecular level, using appropriate cell and animal models, or using human volunteers to study the clinical effects of various factors. A medical research scientist's salary will vary according to his personal employment circumstances.
The military teaches discipline and cohesion when you first set foot in boot camp. These attributes are not only important on the battlefield--they are fundamental to a successful retirement that leaves you wanting nothing. You must budget, invest and spend your money wisely before military retirement so that your pension and benefits are enough to maintain the life to which you are accustomed.
Saving for retirement can be a challenge, but having the right tools at your disposal can make it a lot easier. Retirement calculators can help you with everything from building a solid portfolio to determining how much your retirement nest egg can generate in retirement income. The more information you have, the better your retirement planning can be.
No matter where you work, it is important to start contributing to a retirement fund as soon as you become eligible. Even if retirement is decades away, it will be here before you know it, and if you are not prepared you face the prospect of working far past your normal retirement age. The sooner you get started, the larger your nest egg can grow. That means a more comfortable retirement, or even an early exit from the work force.
A Keogh plan is a retirement plan for self-employed people and small businesses. It works similar to the SEP and SIMPLE plans but requires more management. The money inside the Keogh grows tax-free and there's a penalty if you remove the funds before the age of 59-1/2, similar to all other qualified retirement plans.
Qualified and non-qualified retirement plans each have their own advantages and disadvantages. These plans are sometimes associated with employers, which means that you may only be able to contribute to the plan through your employer. However, some plans are independent of employers.
One of the largest financial decisions that many individuals will ever have to make will involve taking out a home loan. When an individual buys a home, he is generally be unable to pay for the property in cash. Rather, he must take out a loan on the home, one that may run into the millions of dollars. To make a solid financial decision regarding this mortgage, start planning far ahead.
A qualified retirement plan is a retirement plan that is covered under the Employee Retirement Income Security Act, or ERISA. Congress passed ERISA in 1974 to protect the retirement incomes of American workers. The law imposes a strict standard of care on plan sponsors--called a "fiduciary standard"--to run the plans solely in the best interest of workers. These laws apply to small businesses as well as large ones, and there can be challenges with the record keeping on these kinds of plans, as well as significant startup costs. However, starting a plan can have significant benefits for owners of small…
To retire comfortably, you may need to amass hundreds of thousands of dollars prior to exiting the work force. As an educator or non-profit employee, you may put money into a 403b tax-sheltered annuity as part of your retirement plan. Before making 403b investments, it is critical that you become familiar with both structure and contribution limits for the account. 403b contribution limits are somewhat complicated, as they do allow for a 15-year service rule and catch-up contributions.
Stem cell research is one of the most fascinating, potential and controversial areas of science today. At the head of the discovery and development process are the scientists. Stem cell scientists not only research the possibilities of using stem cells for modern treatment of disease and injury, but also try to understand how diseases occur and develop and test new drugs for safety and effectiveness. The average salary of a stem cell scientist can be dependent on several factors.
When you start saving money for retirement, you have a multitude of choices as to how you go about saving money. If your employer provides options to help you save money for retirement, you may want to consider them. A retirement plan through your employer is an employer-sponsored, or qualified, retirement plan.
Many employers in the U.S. establish 401(a) retirement plans for employees whereas 457(b) retirement plans are only available to people who work for state governments, municipal governments and some tax exempt organizations. The Internal Revenue Service affords the same tax-deferred status to these plans as it does to pensions and 401(k) accounts.
Political scientists study the science of politics, from trends in local government to policy making at the national level. Day-to-day work for a political scientist may include polling the public on a breaking matter, applying research to a statewide issue and reviewing results from an election. The Bureau of Labor Statistics reports that the majority of political scientists work for the federal government, while others are employed in research and development firms, the foreign service or in teaching positions.
As a self-employed individual, you are responsible for establishing and maintaining your own retirement plan. One of the main obstacles to establishing a retirement savings plan is understanding the requirements, limits and administrative responsibilities of the different options. Some plans are more flexible, offering the ability to grow as your company grows.
For a comfortable retirement, you may need to save up hundreds of thousands of dollars to last throughout your golden years. To meet your retirement goals, you may consider an individual retirement plan, or account, which offers favorable tax treatment for long-term savers. The IRA, however, is limited in terms of its flexibility for contributions and withdrawals. Be sure to identify the components of an IRA, before integrating the vehicle within your overall financial plan.
Constructing a retirement portfolio is a lot like building a house. If you start with a strong foundation and a good plan, everything will come together the way you want. Time is the foundation -- the longer you have, the greater likelihood of success. A good plan must be easy to execute and flexible enough to be adjusted to life's changes.
Planning ahead for retirement is essential if you want to live a comfortable life once you stop working. Depending on where you work, you may have access to an employer directed retirement plan or an employee directed retirement plan. Both of these plans can help you retire, but there are a few key differences between them.
Microsoft PowerPoint, estate planning software and even the calculators available on the AARP website allow people to plan for the last stage of life. Typically, this planning focuses on managing money and insurance -- additionally, estate planning and arranging for long-term health care. Estate planning, the process of defining how money is divided up after someone dies, prevents beneficiaries from arguing over monetary decisions made as well as reduces taxes or other expenses.
Traditional individual retirement accounts, or IRAs, defer taxes on income so that you can build up a retirement savings to live on in your old age. Most IRAs have required distribution rules when you reach a certain age. Before you retire, it's a good idea to understand how your IRA distributions should be handled so that you comply with the law and so that you have enough money to live on.
Individual states provide retirement benefits for teachers within the public school system. Teacher retirement plans allow teachers to retire with a regular monthly benefit. While this retirement income is less than your working salary, the retirement benefits along with Social Security might allow you to maintain your standard of living after leaving full-time employment.
Saving up money for retirement is one of the largest and most important financial commitments that you can make in life. For a comfortable retirement you may need to amass hundreds of thousands, if not millions, of dollars. Before putting together a good retirement plan, you must first identify a specific living standard that you wish to enjoy throughout your golden years. From there, you can make informed decisions that match the strength of your current finances against investment risks and rewards.
With the exception of a SIMPLE IRA, there is no rule in place that forbids a self-employed person from having more than one retirement plan, and there are a few cases where multiple plans provide an advantage for the proactive saver. On the other hand, administration of multiple plans can be complicated, therefore outweighing any benefit.
No matter what you do for a living or what your age, you need to start planning for retirement. The traditional company pension has been on the way out for years, and it shows no signs of making a return. These days workers are increasingly asked to plan for their own retirement, using a number of resources and tools like 401(k) plans and IRA accounts. The sooner you start learning about these plans, the sooner you can get on track to a financially secure retirement.
One of nearly a dozen IRA types, the conduit IRA shows up only rarely in everyday conversation. This limited use is due primarily to the fact that conduit IRAs---as originally conceived---were rendered unnecessary as of Jan. 1, 2002. Many seasoned professionals and older resources still use the term, however, and a proper understanding can reduce confusion about requirements for IRA to qualified plan rollovers.
SERP stands for Supplemental Executive Retirement Plan. These plans are normally instituted by corporations to provide special retirement benefits to upper management within the company. If you work for a company that offers SERP retirement, or if you are a corporate officer exploring retirement packages for your key employees, make sure you understand how this executive retirement plan works.
Congress has long recognized the need to encourage workers to set aside money during their working years to provide for their own income in retirement. Historically, workers could cover basic retirement income needs with a workplace pension. As these pensions became less widespread, however, Congress instituted programs to help workers set aside their own money on a tax advantaged basis. The 403B and 457 plans are both tax-deferred retirement savings programs designed for government employees and workers at nonprofit institutions.
The 457(b) plan is a tax-deferred compensation plan allowing individuals to save for retirement with contributions from pre-tax wages. Similar to a traditional 401(k) plan, plans like the 457(b) or 403(b) plan allow an employee to direct a portion of his salary into retirement savings up to a maximum contribution as defined by the plan. The 457(b) plan differs as a private retirement plan offered through hospitals and unions or as a public plan provided for firefighters and public school teachers.
Investing money in a 457 plan allows you to save for a comfortable retirement. Investing in savings bonds also allows you to build for retirement and other goals, while keeping your money safe from the ups and downs of the stock market. Adding additional money to both investments is one of the best ways to build your nest egg over time. If you work for a state or local government, your 457 plan helps you save for retirement, while those extra savings bonds can help you prepare for other short- and long-term goals.
Not all retirement benefits packages are created equal. The best retirement packages include benefits which allow employees to retire with the majority of working income intact, and with other benefits geared to caring for them in later life. Such financial and medical benefits can be a key factor in attracting highly sought-after employees who want to work for a company which sees them as more than a cog in a vast business machine.
A 401k plan is a qualified retirement plan that is exempt from taxation. These plans help you save money for retirements by deferring the tax until your retire. However, if you retire and experience financial hardship, you might have to file for bankruptcy. If you do, you must know what happens to your 401k plan.
As you approach retirement age, the anxiety of leaving the workforce and reclaiming your life may become overwhelming. There are a variety of software tools designed to allow you to savor every moment of the time as you count down to your retirement. Consider downloading and installing one of these software applications on your home or work computer to keep track of your time left at work.
With just a few exceptions, members of Congress are all paid the same, be they exceptional or average: $174,000 per year in 2010. A handful of congressmen make more. The Speaker of the House charges taxpayers $223,000 for her services. Minority and majority leaders in the House and Senate, as well as the president pro tempore, earned $193,400 in 2010.
When it comes to planning for retirement, you may be covered by a pension plan at your employer, or you could have a retirement account that you contribute to. Both of these types of retirement plans can provide you with benefits once you reach retirement age. One requires you to make contributions while the other is funded by an employer.
Retirement plans are something that are often overlooked when dealing with financial matters. While most adults understand the importance of saving for retirement, many do not take the proper steps to make it happen. A retirement plan should include an understanding of how much it costs to retire as well as specific steps that it takes to reach that point.
With the traditional defined benefit pension plan quickly becoming a thing of the past, it has never been more important for workers to save and invest for their own retirements. The Federal government has created a number of investment vehicles specifically designed for retirement, but each plan has its own contribution limits. Coordinating the contribution limits on the plans that you use is vital, since excess contributions are subject to taxes and penalties by the IRS.
You do not have to participate in your company's retirement plan if you do not like it. Companies offer these plans as a benefit to you, and you can opt in or out of that benefit. If you choose to opt out, though, it is important you still save for retirement and take advantage of the various retirement account options.
The Internal Revenue Service imposes a maximum contribution limit to tax deferred retirement accounts each year. This limit is set in order to prevent extremely wealthy people from benefiting too much from the structure. If there were no cap, the wealthiest investors would stand to earn the greatest amount from the accounts. The limit applies across the board, regardless of income, in order to make the structure fair.
The importance of saving for retirement is evident in the number of options available to workers and investors as they set aside money to spend once they stop working full time. Even workers who find part-time employment after retiring will need an additional source of money to enjoy the same standard of living and pay for the medical expenses or recreational options that are a part of retired life.
Both 401k and 403b plans are employer-sponsored, tax-deferred retirement plans. Both allow employees to make tax-deductible contributions to their retirement funds. The major difference is that only certain types of governmental entities such as public schools and public safety agencies, as well as tax-exempt nonprofit organizations such as churches, charities and hospitals, can offer 403b plans. Internal Revenue Service (IRS) rules stipulate that only for-profit business enterprises can offer 401k plans.
Planning for retirement should begin early. While it is often difficult to consider retirement in your mid-30s, by the time you are middle-aged, retirement planning should be a priority. The basic variables you should consider are your state of health and general longevity, sources of income and retirement investing.
You can keep your IRA after declaring bankruptcy. Under The Bankruptcy Abuse Prevention and Consumer Protection act of 2005, your IRA is protected after you file for bankruptcy as long as you don't have more than $1 million in it. The law applies to both traditional IRAs and Roth IRAs as well as 401(k)s, 457 plans and 403(b) plans.
Qualified retirement plans are a feature of the United States Internal Revenue Code created under The Employee Retirement Income Security Act of 1974 (ERISA). These plans offer tax incentives for both employers and employees to save for retirement and often offer increased contribution and deduction limits. There are also significant penalties if plan guidelines are not met.
Approaching retirement and realizing you don't have enough saved assets to support your retirement income needs can lead to some to panic. Fortunately, there are many retirement programs available to help those nearing retirement maximize savings in the years closest to retirement. These same programs are also beneficial to those saving for retirement all along. Defining the best is contingent on a person's personal needs and objectives. Regardless of what plan you choose, all savings towards retirement is beneficial, though the primary goal is to save as much as possible as soon as possible.
The Pennsylvania School Employees Retirement System (PSERS) requires that all teachers contribute 5.25 to 6.50 percent of their annual salary to their personal retirement fund. Percentages vary according to each teacher's classification. The teacher's employer must contribute 4.76 percent of each teacher's total annual salary amount as well. All contributed funds are kept in interest-bearing accounts until employment is terminated.
The Baby Boomer generation includes 76.4 million Americans, with one turning 60 every eight seconds. Nearly 60 percent of all boomers plan to relocated on retirement, with a full 21 percent of all boomers planning to relocate to Florida. For those looking to retire in the Tampa, Florida area, there are a number of options for retirement clubs in the region.
Using a 401(k) plan helps you to save for retirement. These types of plans offer tax-deferred savings, but you must report distributions as taxable income. You may withdraw money from a 401(k) plan only after you leave employment with your company, turn 59 1/2 years old, have a severe financial hardship or suffer a permanent disability, according to the Internal Revenue Service (IRS). After taking the withdrawal, you must also report it properly on your income taxes.
Businesses have 401(k) plans and pensions to offer their employees a way to save for retirement. For nonprofit companies and organizations, the tax laws are somewhat different, though rarely does the employee notice a difference in how it affect his or her savings plan. The main difference between retirement plans for nonprofit organizations is the type of organization that it is offering it, whether it be a nonprofit healthcare provider, educational institution, association, foundation or government agency.
Doctors who work in a private practice, own a small practice or are independent contractors servicing other medical establishments need to take charge of their own retirement plans. There are many options available for retirement plans, all of which can help a doctor decrease current tax liability and help their savings gather momentum because earnings grow with deferred tax liabilities. Understanding the types of plans available is a first step in determining which are best suited for achieving retirement goals.
While the Navy is known for providing a stable and long-term career to its enlisted men and officers, sailors who serve their entire career with the Navy are also entitled to several retirement options. For example, to supplement their retirement pay and other benefits, sailors may contribute to additional plans made available to them, allowing career sailors a tremendous amount of flexibility and comfort upon retiring. Several different plans are available to retiring sailors, depending upon their tenure with the Navy and personal choices.
Retirement planning can be a tough task because you're essentially trying to predict the future. Your plan has to include contingencies for economic events such as a recession. Furthermore, laws affecting retirement plans change, and keeping up with and understanding the changes can be overwhelming. Information provided by industry associations, government agencies and financial publications can help relieve at least some of the burden of retirement planning.
Retirement plan fees charge to your retirement account and exist to make sure that your broker acquires his fee for services rendered. However, just because your broker receives a fee, doesn't mean that you shouldn't be aware of what that fee is and how it impacts your retirement savings. Understand your retirement plan fees before you invest in your retirement plan. High fees could become a serious drag on investment performance and cause you to lose the savings you envision.
A multitude of different retirement plan types exist, offering consumers, business owners, and employees an opportunity to save money in a plan that most appropriately suits their needs, budget, and individual situation. Many retirement plan types share extremely similar characteristics, sometimes making it difficult to identify one versus the other. Having a basic knowledge of the types of plans that exist and comprehending the generalities of each one will make finding and choosing the right plan easier and much less confusing.
If you are planning your financial future, you need to know the different types of retirement plans. A non-contributory retirement plan is typically funded by the employer only. With a contributory retirement plan, the employee pays a portion of her regular base salary into the pension plan.
An optional retirement plan (ORP) is a defined retirement plan in which the contributor has direct control over investment choices, distribution methods and retirement goals. An ORP is an alternative retirement plan that is a selected replacement for the Teachers Retirement System for various state employers across the United States. State employers and employees both make contributions into the plan.
A Keogh plan is a retirement plan for self-employed people, much like a 401k. In addition, if you own a business and have employees, your employees are eligible to participate in your Keogh plan to save for retirement. But, unlike a 401k, your employees do not contribute to the plan. All contributions come from you, the business owner.
Retirement plans, such as 401(k)s, traditional and Roth IRAs, Simplified Employee Pension plans and SIMPLE IRAs, have clearly defined contribution limits that allow them to qualify as IRS tax shelters. Although limits change and differ between plans, they are easy to understand.
The Internal Revenue Service (IRS) recognizes a number of retirement plans as "qualified retirement plans," which means they receive special tax treatment. In addition, qualified retirement plans can only accept rollovers from other qualified plans. For example, you can roll money from a 401k plan to an IRA, but you cannot move money from an ordinary brokerage account into an IRA.
A supplemental employee retirement plan, or SERP, is also known as an executive bonus plan or supplemental executive bonus plan. These plans are a way for employers to compensate executives or other key employees outside of the company's existing retirement plan. The SERP does not violate any of the ERISA rules for funding retirement plans because contributions remain technically unfunded, though a trust account is often set up by the corporation and contributions are made that coincide with the promised benefits. If your company offers a supplemental employee retirement plan, it might be helpful to understand the investments involved in…
The Internal Revenue Service recognizes a number of qualified retirement savings plans that receive special tax benefits. These plans include individual retirement accounts, 401k plans and 403b plans. To discourage using these plans for purposes other than retirement, the IRS sets rules on withdrawals.
Many employers offer retirement plans for their employees as an additional incentive. However, according to the Internal Revenue Service (IRS), companies are not required by law to provide retirement plans for their employees.
Contributions to teacher retirement plans generally work one of three ways. There are plans where only employees make contributions through a salary-reduction agreement. Others are set up allowing only the employer to make contributions. There are also plans where the employee and the employer both make a matching contribution. The most common plans are typically funded by employee-only contributions.
Sometimes life's little surprises can leave you in a financial bind. And when money is short, people become creative about where they can find new sources of funds. One place some people have a substantial amount of wealth is their 401 retirement plan. The money is earmarked for retirement, and if withdrawn prematurely it is subject to a 20 percent withholding. Ten percent is paid as a penalty to the government while another 10 percent is set aside to cover the taxes you might owe. However, there are some ways you can withdraw money and avoid the 20 percent withholding.
The IRS, like all civilian federal organizations, covers its employees under the Federal Employee Retirement Scheme (FERS). This program pays a pension to its workers that is based on their highest salary, their age and the amount of time they worked for the federal government. While it is not generally enough to completely retire on, it does pay a substantial, steady amount that is adjusted for the cost of living, and when combined with other retirement plans like Social Security it can yield a livable income.
Many people are familiar with 401(k) plans. These are employer sponsored plans that allow you to make contributions to a tax sheltered savings account through deferring income from your paycheck. However, a money purchase plan, called a 401(a) plan, can provide an alternative for you to save money for retirement.
During World War II, the United States government put a freeze on job wages, hiring and firing. Since employers could no longer use money to attract needed skills, alternative benefits were developed as incentives to get workers to change jobs. Employers developed health insurance plans, paid vacation and retirement benefits. Employees paid a small amount of their income into a fund and, after working a specific number of years or reaching a certain age, the employee could retire with a regular income. Not all jobs have retirement plans. But there are many where an employee is assured of benefits.
Everyone's retirement plan will differ depending on the individual. Some people want to keep working during their retirement years, while others want to step off the treadmill at an early age. Different people have different levels of risk tolerance in terms of investments. Some people qualify for more government programs and benefits than others. You have to take into account your personal situation, your desires and your family situation when planning for retirement. Take your needs seriously to achieve the best results.
For every worker who plans to one day retire, saving for retirement is an important ongoing process. It's never too early to start building up savings for retirement and the amount saved should increase as you approach your final years of receiving a paycheck. Planning for retirement and investing wisely can turn the process into a much easier financial proposition.
Companies offer retirement plans to their employees as an additional incentive for working for the organization. Certain non-profit companies can offer 403b plans so their employees can take advantage of the tax benefits of using a qualified retirement plan rather than simply putting money aside for retirement. To take full advantage of the plan, you need to know the rules for the account.
If you are looking to invest in your retirement, IRAs are a popular choice. They have multiple tax benefits and the interest rates of IRAs are generally higher than those of traditional savings accounts or CDs; they are also generally less risky than investments in the stock market. You can choose to open an IRA with a local or online brokerage, or with a bank.
By and large, 403b and 401k retirement plans are similar. The plans are named for their respective sections of the U.S. tax code. They are tax-deferred vehicles for retirement savings. The main difference is that 401k plans are offered by private-sector employers and 403b plans are offered by certain public-sector employers.
Saving for retirement is becoming increasingly crucial for workers of all ages. Most employers will offer several different retirement plans sorted into two categories: qualified plans, such as 401(k)s, and nonqualified plans, such as company pensions. The differences between them can be complex depending on the plan offered, but there are a few distinct differences that do not change from plan to plan.
It's never too early to start saving and investing for a comfortable retirement, and those who wait until late in life face additional obstacles. The good news is that it's never too late to start putting money away for retirement. Even if you are nearing your retirement years, every dollar you put away is one more dollar that can work for you in your golden years. You can enjoy a great retirement even if you start late, but it's important to control your risk and put away as much as possible in the intervening years.
The federal government has created a variety of retirement plans to encourage people to put aside money for their retirement. Some of these plans allow employers to make contributions to the plans on behalf of the employees. 403b plans were created to allow non-profit companies to be able offer an employee-sponsored retirement plans to benefit their workers.
401(k) plans are employer-sponsored retirement plans that for-profit companies provide for their employees. These plans allow both employer and employee contributions and provide several tax benefits for retirement savings. However, early withdrawals, which include those taken before age 59 1/2, are subject to tax penalties.
If you work at a for-profit company, you may have the opportunity to contribute to a 401k plan through your employer. For those working at many non-profits, a 403b plan is offered instead. The plan offers many similar benefits to a 401k plan, but has a number of significant differences.
Teacher's retirement funds are tax-sheltered annuity plans recognized by IRS tax-shelter code 403(b) for tax-exempt organizations. Being recognized as an employer-sponsored plan allows teachers to access up to 50% or $50,000 of the money in the retirement account as a loan. As long as the teacher remains employed, she has five years to pay the loan off. Employment termination requires immediate repayment or the amount is considered a distribution that will be added to income and penalized 10% if she is not yet 59 1/2 years of age. Getting the loan requires no proof of need or credit.
Most people dream of the day they can leave the rat race of work and spend their days in the leisure of retirement. However, with fewer workers covered by a company-sponsored retirement plan, the burden of making sure there is enough money to retire is increasingly falling on the shoulders of the worker. That means it's up to you to find out what kind of retirement plans are available for individuals.
The retirement plan for people serving in Congress is complex and often confusing. Prior to 1984, Senators and members of the House of Representatives did not contribute to Social Security nor were they eligible for benefits. Up to that time they were covered by the Civil Service Retirement System (CSRS), which covered all government employees but addressed Members of Congress specifically.
Retirement plans might seem complex, but it's important to take the time to understand them. Not doing so could leave you short of funds in your retirement years or cause you to miss benefits.
Although it is never too late to start planning for retirement, starting early can give a tremendous advantage. Planning early helps to ensure that there will be enough money for the optimum life style once retirement occurs. Thanks to recent developments in technology, retirement planning is easier and more streamlined than ever. Many of the best retirement planning tools on the Internet are also available free of charge.
Saving for retirement can be an endeavor that includes multiple ways to set aside funds. From individual retirement arrangements (IRAs) to 401K plans, you'll need to find the best way to contribute your income so it will be available when you retire. The federal government has a maximum contribution limit for each plan subject to change annually. Past rates can give you a ballpark figure, but for current limits check with a tax professional or the IRS.
The United Automobile Workers is an international union representing members from all around the world from companies including United Automobile, Aerospace and Agricultural Implement Workers of America and The International Union. Of the many benefits to being a member of the UAW is the retirement plan and benefits provided by the union.
A retirement buyout plan is used to encourage experienced workers who are close to retirement age to retire sooner. Buyout plans offer cash incentives and are a way to reduce employee expenses without negatively impacting morale.
If you have an abundance of money in your retirement plan, or if you have no family to whom you wish to leave money after your death, you can pledge your assets to a charity. The process of arranging for your unused or leftover retirement money to pass directly to a charity or other organization can be completed relatively quickly with little effort.
Defined Benefit Retirement Plans are becoming less and less common in today's working world as companies struggle to remain competitive. A major factor in this trend is the heavy burden the company must bear to provide such a retirement plan.
There are various retirement plans available, and it is often difficult to decipher the language used to describe how each one works, let alone figure out if it's appropriate for your situation. Your choice of retirement plans will ultimately be determined by how much money you intend to contribute each year and how much you're willing to spend to establish a plan.
Small companies and self-employed individuals use Simplified Employee Pensions (SEPs) for qualified personnel to receive employer contributions for retirement plans. The SEP is a type of Individual Retirement Account (IRA). Most employers can set up an SEP fairly simply by filing IRS form 5305-SEP, available through the IRS website.
A 401(k) plan is an employer-sponsored retirement program designed to help investors save assets under a tax-advantageous structure. The rules of a 401(k) plan are governed by minimum standards set by the Employee Retirement Income Security Act of 1974 (ERISA) and enforced by the Internal Revenue Service (IRS). Assets must be held in the IRA until age 59 1/2 when distributions are treated as ordinary income. Early distributions may have a 10 percent tax penalty assessed on them.
Retirement plans such as individual retirement accounts and 401k plans are Internal Revenue Service investment structures. Whoever is providing administrative or custodian services to your retirement plan is a variable that can change for many reasons. When changing plan providers, make sure you follow proper IRS transfer or rollover procedures to avoid incurring taxes.
Leveraging a retirement plan can be tricky if you don't know what you're doing. While an employer-based plan such as a 401k allows you to take a loan against the account, you may not use retirement assets as collateral. In fact, loans are not allowed in IRA assets and if you try to leverage an IRA with a short sale, the IRS considers the entire IRA distributed. But there is a way to leverage your retirement account that most investors are not aware of. It involves the self-directed IRA.
A 457 retirement plan is an employer-sponsored retirement plan, similar to a 401(k), that can be set up for employees of state and local governments or tax-exempt organizations. If enrolled in a 457 plan, a participant can regularly contribute to her retirement savings and also benefit from certain tax advantages.
A 408k, also known as the Salary Reduction Simplified Employee Pension Plan (SARSEP), is a small company's alternative to a 401k.
Investing in an Individual Retirement Account (IRA) or other type of retirement plan is similar to investing for the long-term in any regular investment account. However, these types of plans do have distinct contribution and withdrawal requirements and additional features and benefits, such as the tax deferral of all income. Failure to comply with these restrictions could result in penalties from the Internal Revenue Service (IRS).
IRAs are retirement savings accounts that allow you to grow assets without any annual tax consequence. As long as the funds remain in the account, you will not be assessed any capital gains for buying and selling stocks, bonds or mutual funds within the account. There are many strategies you can take when investing and trading assets in an IRA. Strategies are contingent on your investment objectives, risk tolerance and trading experience. Develop a strategy that meets you unique needs.
If you take money out of a qualified retirement plan before you are eligible, the tax consequences are steep. A conduit IRA (individual retirement account) is a way to move money tax-free between qualified retirement plans.
There are several options for employers to provide retirement accounts for their employees. A 401(a) plan is one such option that offers some flexibility for the employer and numerous benefits for the employees.
Paying taxes is unavoidable, but there are things that you can do to protect your retirement plan from the IRS. Retirement plans are taxed in two different ways--a 401K or traditional IRA uses pre-tax dollars, and you pay taxes when you withdraw the money at retirement while a Roth IRA uses dollars that you already paid taxes on, meaning that you don't have to pay taxes when you withdraw the money. If you plan carefully, you can minimize taxes at retirement.
Company retirement plans, such as a 401k, are popular financial instruments used to build up a nest egg and are part of the benefits a full-time employee receives. But if you find yourself in a financial bind, you may need to pull some of your money out. One way to do this without a penalty is to take out a loan from your retirement assets, which you'll repay with interest. However, your company plan may have restrictions on the amount of money you can withdraw.
Retirement plans are one of the key benefits offered to employees in the U.S. today. Employers who are considering implementing a retirement plan for their employees must take several key factors into account. Choosing the right type of plan for a company is a critical decision, as it can become a major asset on the company's balance sheet. Failure to match the type of plan with the needs and objectives of the company and its employees can leave employees and firms unprepared to face retirement in the future.
Social Security was intended to be a supplemental retirement income. Many companies have abandoned employee pension plans, or people change jobs too often to earn an employer pension. Retirement planning requires more self-reliance, but the government offers several tax incentives and advantages intended to help make saving for retirement easier.
Once you set up a retirement plan, you man never deal with the plan details again, unless you are making a change to it. If you have an employer-sponsored plan, but end up changing jobs and participating in your new employer’s plan, you may forget about your old retirement plan. If you move to another city without forwarding your address, the plan sponsor may have a difficult time finding you. By using a few strategies, however, you can find out what company has your retirement plan.
When we look forward to retirement, we always think how happy we will be not to have to punch a clock, to be able to be our own person, to do whatever we feel like doing. But retirement is not always so ideal. If you retire without careful planning, you may find yourself depressed, stressed or just plain bored. Here are some tips to help you plan for a happy retirement.
Once many individuals initially set up a 401k plan, besides making their periodic contributions, they never deal with the plan again, unless they are making some type of change to it. Some plan participants end up switching jobs, forgetting about the plan. They might have moved to another city, without forwarding their address, making it hard for the plan sponsor to find them. An individual can try to locate his forgotten 401k using a number of ways.
Successful planning is required if you want to live the retirement lifestyle you imagine. There are a number of different plans and an actual difference between a pension and a retirement plan.
Getting your money out of a qualified defined-contribution plan such as a 401(k) or 403(b) may seem like a hassle, but it's not as hard as you might think. Although there are tax ramifications to consider, withdrawing your retirement plan gives you a lump sum of money with which you can accomplish many things, such as retirement of debt or making a major purchase.
Americans are living longer than ever, and planning for a financially secure retirement has never been more important. Companies today may offer a range of retirement plans, such as pensions, 401k accounts or Roth IRAs. Understanding the differences among these plans and how they match your retirement goals is key to enjoying the retirement lifestyle you deserve.
Planning for financial security during the golden years is something that every person should perform. Retirement planning statistics show that some people, even those only a few years from retirement, have inadequate savings for a retirement age of 65. Using retirement statistics can help people gauge their future standard of living and their financial progress.
AFTRA stands for American Federation of Television and Radio Artists. The AFTRA Retirement Plan provides retirement benefits for members who meet earnings criteria as negotiated between the parties involved. The plan has been in existence for over 50 years and currently serves 17,000 participants. It is overseen by AFTRA H&R (health & retirement). The retirement fund is governed by a board of trustees.
As a teacher, planning for retirement can be complicated, especially if you have many options to choose from. Depending on the state in which you live, you may be eligible to contribute to state pension plans and other retirement plans including 403b and 401k. When investing, consider these options carefully and take into consideration your lifestyle and future plans.
Retirement planning calculators help you calculate how much savings you'll need to provide income during your retirement. They also help you figure how much you'll need to add to your savings each year to reach your income goal. There are free retirement planning calculators online. They all are fairly similar, though some let you input more variables than others. The results will only be as useful as the information you put in, of course. Calculate savings, investment and retirement income that suits your needs best.
The purpose of a retirement plan is to provide financial stability so people can leave their full-time jobs at retirement. Planning has become quite a challenge because of the rising cost of living--especially health care. According to a 2009 Saturday Evening Post article, the number of people older than 65 in the work force had jumped from 3.8 million to 6.1 million in just 10 years.
Statistics indicate people are living longer and longer, which is why it's even more important to properly plan for retirement. When you retire, you will need enough money to cover your basic living expenses. When you plan effectively, you will have a large nest egg to rely on when you are not receiving a regular paycheck. Your expenses will still be there, but your income will be significantly reduced.
A comfortable and financially independent retirement requires careful and customized investment planning. This requires choosing the right mix of asset classes that will not only create wealth but will also generate more than enough income in the retirement years. To do this you need to have your retirement goals clearly defined, and then you can carefully plan the retirement investments that will carry you through your golden years.
Many people assume that estate planning is something only the rich need. However, anyone who has any assets, including money, insurance policies or possessions, has an estate. If you want to make sure that these things go to the people you want, and in the proper amounts, it is important to have an estate plan in place. Estate planning leaves these decisions up to you, rather than another individual or a court.
Planning for retirement can never start too early. The younger you are when you begin putting away money for your later years, the larger your savings will grow by the time you retire. Ensuring your own comfort after retirement calls for a combination of adequate income and reasonable expenditure. If you plan to remain in the same home after retirement, you will need to make plans to cover the taxes, insurance and maintenance costs, as well as the mortgage if you are still paying it off.
Retirement planning is a major area of concern for people of all ages. Studies show that over one half of U.S. households are not saving at all and two thirds are underfunding their retirement plans. This poses a problem for those who are looking to enjoy their golden years after decades of hard work. The shortfall burdens the government and your family. There are many financial products available that, with a little planning, can make your transition to unemployment a pleasant one.
Retirement planning is taking the time early in your working life to save money to live on during your retirement. Whether you intend to retire at 65 or 85, you will need money to live on when you do. Government-sponsored plans like Social Security simply will not be sufficient. No matter how old you are or where you are in your career, it is time to think about planning for retirement.
A comfortable or even rich retirement is on the wish list for most of us, but with proper planning, a wealthy retirement is entirely feasible. Keep reading to learn how to plan for your lucrative retirement.
Plan for retirement early in today's economy. Prepare for retirement by looking at the overall financial picture using tips and advice from an experienced financial adviser in this free video.
Retirement saving for most workers is in the form of a Defined Contribution plan. Best known by their IRS codes, these plans include the 401(k), the 457 plan for government workers and the 403(b) plan for non-profit employees. Unlike a traditional retirement plan where the company sets aside money for future retirees, the employee is responsible for both saving money and picking the proper investments in these accounts.
After years of navigating the ups and downs of investing, workers on the cusp of retirement now face the task of deciding the best pension plan distribution choice. The type of plan, personal living expenses and the rules to follow regarding withdrawing funds so as not to incur excessive tax penalties should be taken into account before blindly making what is usually an irrevocable decision.
Retirement plans work by accepting contributions from an individual and investing those contributions in stocks, bonds and/or mutual funds. The rules on how to contribute, how much you can contribute, taxes and penalties vary according to the type of retirement account and your age and income.
Plan for retirement by creating a goal, understanding risk tolerance for investments, building an emergency fund first and keeping monthly budgets in mind. Expand retirement plans as salary increases with advice from a registered financial consultant in this free video on money management.
A major concern of many adults is how to ensure they will have a source of income when they are older and no longer receive a conventional paycheck as a working member of the labor force. Effective retirement plans allow individuals to address this issue beforehand and establish a future income stream that will allow them to continue living comfortably and pay all of their expenses after a certain age.
Retirement plans are of great importance to us all, and in times of economic instability, everyone should have an understanding on how exactly to find great retirement plans.
It is never too early, or too late, to plan for your retirement. A wise investor will start his retirement plan upon receiving his first job. Others may think that they have plenty of time and not get started until their 40s or even later. Once you have decided to save for your retirement, you can use Quicken 2008 to create your retirement plan
Some day in the not too distant future, you’ll be facing the reality of retiring from the day to day grind. You’ll be able to stay home, and you need to plan ahead in order to live comfortably. Planning for retirement is a necessary and important part of your financial plan. The earlier you begin saving for retirement, the better off you will be. Remember that you can’t take a loan out for retirement. You must plan ahead, contribute your own money (hopefully with some matching funds from your employer) and sacrifice along the way.
Small businesses that sponsor a retirement plan are eligible for a special tax credit. They may claim a tax credit for a portion of their retirement plan startup expenses for the first three years of the retirement plan's existence. The tax credit was designed as an incentive for small businesses to offer a retirement savings plan, allowing their employees to save for retirement.
Your retirement may seem far off or approaching all too quickly. Achieving a comfortable retirement requires a plan. That plan can include your company sponsored group retirement plan or an individual retirement plan, or both. It should also include your projected Social Security benefits. The key is to utilize your retirement plan to start saving sooner rather than later and to have goals that you can track along the way.
In a universe where sure things are almost unheard of, a retirement plans is as close to a financial slam dunk as you will likely get. The benefits are manifold and include generous contribution limits and tax advantages.
It may seem as if retirement is in the distant future, but it's never too early to start planning to enjoy it--and finance it.
