This tag should be used for any questions related to retirement or post-retirement, such as planning or saving for retirement, or asking about benefits or issues after retirement.

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4
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0answers
28 views

Low risk withdrawal from market. Is there a converse to dollar-cost-averaging?

In the article by Carson C Chow linked by "The mathematics of dollar cost averaging" it is explained that investing a fixed amount of money each time period gives a lower expected cost per stock than ...
3
votes
3answers
133 views

Should I sell shares to buy a home so I avoid a mortgage? [closed]

I'll be retiring next year, and I want to be in my own home (aging-in-place). Should I sell stocks to buy it outright and thus avoid a mortgage as I move to a fixed income. But what about capital ...
2
votes
1answer
56 views

Undestanding the new UK Pension laws

I have this scenario and I am having problems understanding how this scenario fits into the upcoming pension laws (mentioned in the latest budget). A man who is 66 now and 67 on the 8.11.14 has ...
0
votes
1answer
40 views

PPF Account in Indian banks

I'm an indian citizen and about to open a PPF Account in a Nationalised bank. I have had enquiry in ICICI Bank and in SBI Bank today. Their interest rates are as 8.8 and 8.7 respectively. Can one ...
4
votes
1answer
178 views

Rollover IRA vs traditional IRA (can I make contributions to the rollover IRA?)

I am single and used to contribute to a Roth IRA (my last contribution was years ago), but now my AGI is over the limit to contribute to the Roth. I have a "rollover IRA" that I opened a few years ...
1
vote
3answers
170 views

Is compounding interest on investments a myth?

I continually see examples encouraging young people to start investing for retirement with graphic examples using compounding interest to show that starting early pays off big. I've always bought into ...
3
votes
3answers
161 views

Retirement & asset allocation of $30K for 30 year old single guy

Recently came into some money, 30K via inheritance, which I would like to invest. I Would like to put some if not all of it towards retirement, as I have no plans to touch the money for at least 10 ...
1
vote
1answer
132 views

Married Filing Jointly & one spouse has employer 401K. Would each still be able to contribute to a Traditional IRA?

The husband participates in his employer's 401K, while the wife is unemployed. Assuming this couple does not exceed the AGI or MAGI limits for a Traditional IRA, will each of them be able to ...
2
votes
1answer
72 views

Can a self-directed IRA hold non-qualified stock options (NSO) with a vesting period, without being considered self-dealing?

I work for a startup company. They are about to go through their FMV evaluation and funding round, at which point I will be granted my options. I talked to them and said I would like the ability to ...
5
votes
1answer
231 views

Should my retirement portfolio's asset allocation become more conservative over time?

It seems to be common advice that a retirement portfolio should be invested aggressively when one is young, and conservatively when one is older and closer to retirement. Is this good advice? ...
2
votes
3answers
78 views

Which businesses provide financial planning services for newly married couples?

My fiance and I want to start preparing for our economic future; specifically buying a home, planning for children, and our eventual retirement. We both have work 401(k)'s but would like more help ...
2
votes
3answers
95 views

US retirement account types

I'm an 18 year old college student in the US who has a job and decent savings that pays for school and expenses. I have two credit cards to start building credit, but as I start to investing after a ...
2
votes
1answer
68 views

What does “retirement” mean with regards to an RRSP and any early withdrawal penalty?

If you withdraw money from your RRSP prior to retirement, you pay tax at your marginal rate. Is this correct? In this case, what does "retirement" mean? Is it: When the person reaches 65? The day ...
2
votes
1answer
74 views

Is there any way to rebalance an investment portfolio while reducing/minimizing taxes?

Say you have a retirement goal of $1 million and reach it by investing a stock. If you want to rebalance and move this money to something safer, say bonds, will this exchange cost you capital gains + ...
2
votes
2answers
71 views

What are some common ways to generate cash income from a portfolio in retirement?

For people that try to live off of interest only from a nest-egg, what might a retirement portfolio look like that can generate cash every month (or quarter) while keeping assets intact and growing ...
10
votes
6answers
406 views

An index fund in my 401k performed very well this year. How to deal with the gains?

I'm 34. 100% of my 401k goes into an S&P index fund. I'm up about 25% this year. If this were in my brokerage account I'd probably cash out some of the profits and hold onto it and buy more ...
3
votes
3answers
118 views

Maxed out Roth IRA already & don't have access to a 401k. Any alternatives with tax benefits?

I have no employer retirement plan ( 401(k), 403(b) ) and so I have contributed to a Roth IRA. Are there any other retirement options for me that have some tax benefits? I am a graduate student (not ...
4
votes
1answer
128 views

What is the minimum age for early retirement

What exactly is minimum allowed age for early retirement to draw a pension? In CRA website, it says that to get CPP, you need to be 65 (or is it 67) years of age. But some financial columns mention ...
7
votes
1answer
50 views

How is money in a Roth IRA classified as either “earnings” or “contribution” (basis)?

I have heard that if you withdraw money from your Roth early, there is no penalty or tax as long as it is a "contribution". However "earnings" cannot be withdrawn early without paying tax and 10% ...
0
votes
2answers
108 views

Should I switch/rollover my IRA to a Gold IRA at Regal Assets?

I was recommended from a friend that I should consider switching my current IRA to a Gold IRA. She sent me a link and told me to consider switching over to Regal Assets. I haven't searched around a ...
2
votes
2answers
183 views

Employer 401K thru Fidelity - Investment options

I originally picked FA FREEDOM 2040 I (FIFFX) for investment. After talking with a co-worker I learned this is a poor choice and only has 3 stars. The 10 YR performance 6.37%. Anyway, I have altered ...
2
votes
3answers
86 views

Is Cash Value Life Insurance from NY Life a good idea for my future?

I sat down with NY life today and listened to their proposal regarding Cash Value Life Insurance (CVLI) and long term investing. I am a 36 year old guy recently married with no children yet. Since I ...
2
votes
2answers
155 views

How does this retirement fund calculator work?

I found a retirement fund calculator on web: Inflation rate: 2% 0% 2% 0% Expected return rate: 5% 0% 0% ...
7
votes
2answers
195 views

Why is there an income restriction on contributing to a Roth IRA?

Currently, single adults making more than $112,000 ($178,00 for couples) per year cannot use Roth IRAs I was just wondering what the reasoning behind the income restriction was for the Roth IRA ...
0
votes
1answer
72 views

What is the best way to borrow money to consolidate our multiple outstanding mortgages?

My wife and I are in our early 60's. What We Have We have a condo that is upside down. It appraised at $110,000 and we owe $105,000. The going market rate is $85,000. We pay 5% for this loan. Our ...
1
vote
2answers
244 views

How to calculate Social Security benefits if retiring before the early Social Security age?

How can I calculate my Social Security if I retire before my early Social Security age? I tried to use the official website's calculator, but it required entering too much data, and the website ...
1
vote
2answers
110 views

First time investing advice (Canada)

I am 29 years old with a wife and we are planning on having a child in the next 2-3 years and as such I have been making a lot of life changes and planning for the future. Fist off I am sorry this ...
6
votes
1answer
92 views

Social security “bonus” for married retirees?

I passed this info on to my father who is much closer to the age where he may be able to take advantage of it, but I wondered if anyone could comment on the viability of the approach described in this ...
1
vote
1answer
71 views

Should regular withdrawals come from equities account or fixed return account?

I have two accounts for investments--the cash from one is invested in stocks and the other in a fixed-return product. I need to begin taking a regular monthly withdrawal on these accounts. Does it ...
7
votes
1answer
209 views

Tax-advantaged retirement savings options for someone with no 401(k) and high income

I have read that Traditional IRA and Roth IRA benefits appear to phase out beyond certain income limits. Assuming the following: I don't have access to any 401k plans through my employer My income ...
7
votes
1answer
147 views

Retirement accounts for non-working spouse

What options are available for a non-working spouse as far as retirement accounts/contributions go? I'd imagine that there are no pre-tax options, since the non-working spouse has no direct income. ...
1
vote
1answer
114 views

With max contributions possible, what are the advantages of an IRA over a solo 401k?

The only cited disadvantage I have seen for solo 401k's are fees to administer them. My broker has no fees, so we can cross that off the list. Given my position to max out a solo 401k and contribute ...
3
votes
2answers
2k views

401k early withdrawal impact on unemployment benefits

I'm helping my SO plan for the worst since being laid off from work two weeks ago. The unemployment office's (Illinois) documentation has lots of convoluted language that among other things seems to ...
6
votes
4answers
386 views

Am I really house poor?

This is my financial situation and I hope that someone can guide me. I have been in the market for a house to buy. There is a house that I like and I wanted to know if I could afford it. I have ...
6
votes
4answers
558 views

How should one account for inflation when planning retirement savings and withdrawals?

Let's say one had a goal of saving $x, in order to live off of (say) 4-5% interest on the principal. How do you then account for inflation? Do you assume some rate and increase how much you would ...
2
votes
1answer
122 views

Calculate the after tax cost of 403(b) contributions?

How can I calculate the value of the pre-tax benefit of contributing to my 403(b) plan through my employer? I am considering leaving this employer and want a value for how much this is worth in case ...
7
votes
2answers
208 views

When purchasing an IRA, should I contribute to a previously-opened one, or open a new one?

In general - all things being equal with regards to fund availabilities, fees, etc - is it better to add funds to an existing IRA each year, or open new ones? Are there different tax benefits to ...
9
votes
3answers
681 views

Why would you not want to rollover a previous employer's 401(k) when changing jobs?

Are there any valid reasons to not rollover a former 401(k) when changing jobs? I have several little ones that I never quite got around to rolling together - with an upcoming job change, should they ...
3
votes
2answers
118 views

How many IRAs can I open/add-to/purchase in a given year for my family?

I want to plan for my children's futures - and while I believe I understand from articles at Fool.com, Smartmoney, and Forbes, is that I cannot purchase an IRA, as such, for them: it needs to be done ...
4
votes
3answers
2k views

Retirement Funds: Betterment vs Vanguard Life strategy vs Target Retirement

I'm a 20 something grad student and would like to open a hands off retirement account with beta exposure to the market and would make monthly contributions. I'm fairly illiterate wen it comes to ...
3
votes
5answers
687 views

How much should I save each month so I can retire early, in my Third World country?

I live in a 3rd-world country. I earn $500/month. How much percentage of my income should I save each month, if I plan for early retirement? Currently I am saving 30% of my income. Is there any ...
2
votes
1answer
233 views

What is the best resource for determining a specific age-based asset allocation?

I found a lot of information about how to allocate between stocks and bonds based on age, but I cannot find much about the proper allocation between domestic/international assets, large cap/small cap, ...
0
votes
1answer
140 views

Will someone be disadvantaged working longterm as a Contractor vs Permanent Employee

What is the difference in the long run (when you compare at retirement) between a Contractor and a Permanent employee, assuming someone choses to work in one for their whole life? Will the pension be ...
3
votes
1answer
133 views

Expected total principal + gains from a vanguard life cycle account upon retirement after 33 years?

If one maxes out his Roth IRA starting from age 26, investing only into a vanguard target 2045 (lifecycle) fund, what amount can he expect to withdraw at retirement at age 59? I did a quick check ...
6
votes
2answers
160 views

When is a SEP IRA appropriate, can a Roth IRA suffice for self-employed individuals?

I am a self-employed individual working in the software industry; my current salary is commensurate to the market value of a software developer with 5 years of experience. I have not yet opened up a ...
3
votes
1answer
77 views

Roth or Traditional IRA if getting a dramatic increase in income this year?

So I just learned that it's not too late to fund an IRA for 2012. With a week left and never having done this before, I now get to decide which type I want to open. Based on my (really vague) ...
2
votes
1answer
296 views

Is Tradeking collecting too much information when I open an Roth IRA?

I recently signed up with Tradeking a Roth IRA account. During registration, I entered my home address DOB and SSN. I was ok with it. But then Tradeking started sending me emails (1) the first one ...
6
votes
1answer
405 views

Moving money from my savings account to an IRA - why am I paying taxes on it?

I'm planning to move money from my savings account to a new IRA account, but I don't understand why I'll be charged penalties for withdrawing the money. Why do I have to pay extra taxes to take my ...
4
votes
2answers
165 views

How do I estimate the future level of my Roth IRA?

Short version: If I know a) how much is in my Roth IRA currently, b) that I plan to maximize my annual contributions, c) the average growth rate is 8%, and d) I'm 22 and plan to invest in my IRA until ...
7
votes
2answers
2k views

Can I open a Roth IRA with more than one company at a time?

This may be a really silly question, but I was looking at my TD Ameritrade account online, and it says front and center that my maximum 2013 contribution is $5500. I'm assuming the limit is imposed ...