Monday, September 26, 2011
In this shocking piece from the Wall Street Journal, the article discusses how pension funds are taking a hit from the vicissitudes of the economy. For many investors, they are not as experienced in the world of investing as compared to most Pension Fund managers. This begs the question: If the Pension Fund managers are struggling, how is the average investor doing?
Saturday, September 24, 2011
The traditional advice is to buy inexpensive life insurance, and invest in your 401k plan. The rationale behind this methodology is to cut costs in the insurance, and transfer that cost as a potential benefit into one's 401k plan. Next, the 401k plan allows one to save money on their tax liability on the front side during the contribution years. What happens after 59 1/2? How are taxes handled at that point? In this video, Doug Andrew discusses the effects of Taxes on your 401k plan after 59 1/2. The information is shocking and revealing.
Thursday, September 22, 2011
I just stumbled onto an interesting article from Yahoo.com titled discussing the Dow dropped 400 points. Investors around the world are concerned about another recession. For your retirement planning; are you planning for downside risks in your 401k? What is your plan to mitigate these issues?
In this Yahoo.com article, "Obama Debt Plan May Hit Your Retirement", it lays out the proposed plan that the Federal Govt may either raise taxes or cut benefits for Medicare. This potential action prompts questions for Baby Boomers. How will these cuts impact the current benefits? What taxes will be impacted? How does this impact your retirement planning?
Most are waiting for the election of 2012 to see how Mr. President Obama, Presidential Candidates, Congress, and others will debate this issue. Proactive people should be looking for alternatives to deal with the strong possibility of increased taxation on their hard earned retirement funds.
Wednesday, September 21, 2011
"Fed to shift $400B in holdings to boost economy", The Banker's Bank is purchasing $400,000,000,000 in US Treasury securities. How does this impact your holdings in your 401k plan? Who is in control of your hard earned cash?
"Yes, It is a Ponzi Scheme". More importantly, Cato discusses the huge deficit facing the funding of the program. Currently, the funding of Social Security is through payroll taxes. With a gargantuan deficit, can one assume that the benevolent folks in Washington DC will find different ways to collect to cover the short fall of Social Security? The most important question: How does this impact your retirement plan?