Older Americans are more likely to delay retirement today then they were a decade ago, according to a report by The Coyne Partnership, a consulting firm. The annual growth rate of actual full retirees will be about 4 percent during the next 25 years. This points to a trend of not retiring for good but retiring to begin a new life in a new career or new working lifestyle for retirement. More evidence that retirement is a renaissance not just personally but professionally.
401(k) fees made easier?
July 23, 2008 at 12:38 pm (Uncategorized)
Understanding how much you are paying for your 401(k) could become easier under rules proposed by the Labor Department this week. For too long, employers have made it hard to understand the fees, such as administrative fees, and other expenses employees have deducted from their balances. New rules would take effect Jan. 1 that require all the fees to be disclosed.
I’ve done 401(k) fee analyses and it’s amazing the variety of fees different companies charge. If you need help analyzing yours, contact me.
Retirement assets increase
July 22, 2008 at 1:29 pm (Retirement plans)
Time for a little good cheer — many of us DO want to reach our renaissance! The Investment Company Instutite reports this week that Americans are continuing to save for retirement despite some breakdowns in the economy. Retirement assets reached $17.6 trillion at the end of 2007, it said. We socked away $184 billion in mutual funds last year, up 23 percent from the pace in
2006. More than half the retirement assets are in IRAs or defined contribution plans, it said. It’s encouraging that most Americans are not letting the media hype of doomsday economics derail their pursuit of retirement bliss. If you’ve been sidetracked in your savings, you need a financial plan now.
1 in 4 will fail in retirement
July 18, 2008 at 4:43 pm (Uncategorized)
Middle-income Americans entering retirement now will have to reduce their standard of living by an average 24 percent to minimize their chances of outliving their money, a study by Ernst & Young reported in the Washington Post said. This is another wake-up call to the importance of prioritizing retirement savings. Who wants to go into the best part of their life with no money!? If you need guidance, contact me now.
Why I like Fidelity annuity
July 15, 2008 at 8:18 pm (Uncategorized)
Fidelity Investments has a new annuity product that doesn’t quite act like an annuity, in the form of having some benefits not found in other annuity products. Fidelity lets you pass on the balance of the annuity at the owner’s death to heirs, unlike other products where the balance disappears at death. Fidelity also gives step-ups in returns, so if the investment goes up 5 percent, the payout does, but if it then goes down 5 percent the payout doesn’t go down. Its guaranteed income helps the owner plan better knowing what the check will be.
If you are interested in a comparison of your current annuity versus the Fidelity plan, contact me for a free analysis.
