If you have a child graduating from high school or college and entering the workforce, they may have the opportunity to open up a 401(k) through their new employer. In some cases, that employer will also offer matching contribution funds up to a certain percentage. While it sounds like a no-brainer to take advantage of these benefits early,many younger employees do not participate in their employer's 401(k) plan. It’s essential to teach your children the...
If you and your spouse are making plans to retire, you’re probably wondering whether it’s a good idea to retire at the same time. Many couples go through the same thought process and, in fact, one in four couples quit their jobs within a year of each other. But retirement is a decision that should be carefully thought out. Here are some things to consider when deciding whether to retire at the same time as...
Albert Sidhom |
If you’ve always dreamed of living abroad, now may be the best time. Today, there are around 400,000 American retirees residing outside the United States, with that number expected to grow over the next few years. Cost of living is often cited as one of the main reasons for the move. For example, in places like Mexico and Costa Rica, it’s possible to live off of a Social Security check, while enjoying a relaxing lifestyle...
The year 2020 was unprecedented for so many reasons—all because of the COVID-19 pandemic. Many suffered from job losses, had to juggle childcare while working from home, and tried to keep their small businesses open with few resources. Thankfully, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) established a business loan program to help keep businesses across the country afloat during tough economic times. You may have already taken advantage of the first...
Albert Sidhom |
As a retirement plan, 401(k) plans currently outpace the competition, with more than 54 million Americans participating in a 401(k) plan, and nearly 550,000 plans offered. Employer sponsored, 401(k) plans are by far the easiest mechanism for workers to get started saving for retirement. And because there is typically an employer match for contributions up to a certain percentage, workers can end up leaving a significant amount of money on the table if they choose...
Albert Sidhom |
As the go-to investment option for most companies and their employees, 401(k) plans provide many benefits to plan participants, including deferment of taxes, the likelihood of an employer match, and a high maximum allowable for annual contributions. But for those that are self-employed, or whose employer does not offer a 401(k), a traditional or Roth IRA is an option. In many ways, a 401(k) and an IRA are similar in scope, with contributions for both...
Albert Sidhom |
While so much of personal finance is common sense – don’t spend more than you make, don’t buy a house you can’t afford, start to invest money while you’re young, many young people today enter the workforce fresh out of college, with a boatload of student loans, and with no clue how to properly manage their money. The truth is that many young adults struggle out of college, finding themselves further in debt in just...
While the name may be amusing the reality of zombie debt is anything but funny. Zombie debt is old debt that has been written off years ago, only to be sold to debt collectors for pennies on the dollar. In many cases, the debt is years old, and may not even be valid. Zombie debt collectors use a variety of scare tactics to intimidate consumers, trying to convince them to make even a small payment...