Tag

Retirementplanning

All articles tagged with #retirementplanning

finance1 year ago•5 min saved

"Retirement Savings Mandates: State-by-State Guide"

Eight states have implemented automatic enrollment in retirement savings accounts, with over 800,000 workers collectively saving more than $1 billion since 2017. These "automated savings" programs aim to increase retirement savings rates, particularly among workers without access to 401(k) plans. Critics argue that workers should save for retirement on their own, but advocates believe that the state programs help both workers and small businesses by providing a competitive advantage and addressing the complexity and expense of traditional 401(k) plans.

via USA TODAY|

#auto-ira #finance #retirementplanning

finance2 years ago•1 min saved

"Maximizing $1M Retirement Savings: Longevity Across the U.S. States Revealed"

A Go Banking Rates study reveals that $1 million in retirement savings will last approximately 14 years in California, considering an annual cost of living of $72,319.57. The study, which used data from the Bureau of Labor Statistics and the Missouri Economic Research and Information Center, highlights the varying longevity of retirement funds across different states, with some states like Mississippi and Oklahoma stretching a $1 million fund to about 22 years, while in New York and Hawaii, it would last less than 15 years. Financial experts suggest saving at least 15% of annual income for retirement, but emphasize starting with what is feasible.

via KTLA Los Angeles|

##california #costofliving

finance-and-retirement2 years ago•3 min saved

"2024 Retirement Savings Guide: New Rules, Maxing Out IRAs, and Policy Shifts"

The Secure 2.0 Act and the Inflation Reduction Act introduce significant changes for retirees starting in 2024, including an increase in the age for required minimum distributions (RMDs) from 72 to 73, the elimination of RMDs for Roth 401(k) and Roth 403(b) plans, and the ability for spousal beneficiaries to delay RMDs from inherited retirement accounts. Additionally, Medicare Part D has expanded its low-income subsidy eligibility, and 529 plan assets can now be rolled over into Roth IRAs with certain conditions. These changes aim to provide more flexibility and benefits for retirees and their beneficiaries.

via MarketWatch|

##finance-and-retirement #inherited401k

finance-and-economy2 years ago•3 min saved

"Understanding Social Security Taxes: Who Pays More and State Implications in 2024"

As of 2024, 10 states continue to tax Social Security benefits, with each state having its own set of rules and income thresholds. While Colorado, Connecticut, Kansas, Minnesota, Montana, New Mexico, Rhode Island, Utah, Vermont, and West Virginia still impose taxes on these benefits, the impact on retirees depends on the overall tax structure of each state. Retirees should consider all aspects of a state's tax system, including sales tax, property tax, and vehicle taxes, to determine the tax-friendliness of their state for retirement planning.

via The Motley Fool|

##finance-and-economy #retirementincome

financeeconomy2 years ago•3 min saved

"2024 Social Security Update: Key Changes, COLA Increases, and Dual Payment Insights"

In 2024, significant changes to Social Security will impact Americans who are not yet retired. Firstly, there will be a cost-of-living adjustment (COLA) of 3.2%, which will increase the primary insurance amount (PIA) for future benefits. Secondly, the payroll taxable maximum will rise to $168,600, meaning higher earners will pay more in Social Security taxes. Lastly, the earnings limit for those who claim retirement benefits before reaching full retirement age but continue to work will increase to $22,320, with a higher limit of $59,520 in the year they reach full retirement age. These changes will affect current workers' future benefits and the taxes they pay into the system.

via The Motley Fool|

##cola #earningslimit