Key Points The Senior Citizens League, a senior advocacy group, has issued an estimate of the 2027 COLA. The organization projects that the COLA is going to be higher in 2027 than it was in 2026. This is not necessarily good news for retirees because of the way COLAs are calculated. The $23,760 Social Security […]
When researching retirement and other types of investment accounts, you might see terms like “pre-tax,” “tax-deferred,” “tax-free” and “tax-exempt” used to describe the tax treatment of certain types of account contributions, earnings and investment products. Understanding these terms can help you make investment decisions based on your personal needs and circumstances. Here’s an introduction to […]
Key Points The 2027 Social Security COLA is expected to be around 3.8%. This is above average and will add roughly $79 to the average benefit. We’ll know the official 2027 COLA on Oct. 14. The $23,760 Social Security bonus most retirees completely overlook › Seniors who have been anxiously awaiting news of the 2027 […]
Key Points While moving funds from your retirement account into a Roth IRA may save you money, it can be complicated and require professional assistance. Qualified charitable distributions allow you to do two things at once: save money on taxes and do something good for a worthy charity. The “still working” exception can help postpone […]
Key Points One expert lowered her 2027 COLA projection after seeing inflation cool in June. A smaller Social Security raise means less rampant inflation. What retirees lose in the form of a smaller boost, they might gain in the form of less expensive prices in the near term. The $23,760 Social Security bonus most retirees […]
Key Points You don’t have to take RMDs from Roth 401(k)s or IRAs. You may not have to take an RMD from your current 401(k) if you’re still working. You might not have to withdraw funds from every one of your traditional IRAs. The $23,760 Social Security bonus most retirees completely overlook › Required minimum […]
Key Points Data shows that older savers don’t have such large 401(k) balances. It’s important to accumulate a decent-sized nest egg to maintain your standard of living. The right investments could help your 401(k) grow. The $23,760 Social Security bonus most retirees completely overlook › You’ll often hear that if you want to be able […]
Key Points You must take RMDs from most tax-deferred retirement accounts beginning in the year you turn 73. This could raise your adjusted gross income and put you at risk of owing Social Security benefit taxes. You could owe ordinary income taxes on up to 85% of your benefits. The $23,760 Social Security bonus most […]
Key Points How much you need to retire depends on many factors, including what you want your retirement years to look like. Starting small has the same benefits as making larger contributions to your retirement plan. Getting a late start on retirement planning doesn’t mean you’re out of luck. The $23,760 Social Security bonus most […]
Key Points In a divorce, one spouse may have to give some of their retirement savings to the other spouse. You may need to create a new retirement plan to reflect your new goals. You might be eligible to claim a Social Security benefit on your ex’s work record. The $23,760 Social Security bonus most […]
Key Points Social Security is about six years away from insolvency. The government may try to avoid benefit cuts by increasing payroll taxes on workers. This could reduce your take-home pay and make it more difficult to save money in the future. The $23,760 Social Security bonus most retirees completely overlook › If you’re not […]
Key Points The 2027 Social Security COLA will likely be somewhere around 3.8%. This could add $197 to monthly Social Security benefits. The Social Security Administration will officially announce the COLA on Oct. 14, 2026. The $23,760 Social Security bonus most retirees completely overlook › Nearly a month into the third quarter of 2026, the […]
Key Points Money in a Roth IRA can be invested just like money in any other investment account. This means Roth account owners’ returns can match or even beat the stock market’s average returns. With nine years’ worth of cumulative gains ahead, you may be nearer your retirement fund goal than it seems. The $23,760 […]
Key Points You can file for Social Security at any point once you turn 62. Filing before full retirement age will shrink your benefits, while filing later will give them a boost. Don’t just focus on your monthly payments when making your decision. The $23,760 Social Security bonus most retirees completely overlook › Many people […]
Key Points The IRS typically imposes a 10% early withdrawal penalty on 401(k) distributions taken prior to age 59 and 1/2. If you separate from your employer the year you turn 55 or later, you may be able to access your savings penalty-free. The rule applies only to certain accounts under specific conditions, so it’s […]
Key Points A recent estimate by the Senior Citizens League calls for a 3.8% COLA in 2027. That could give the typical Social Security check a decent boost. It’s important not to get hung up on any given number at this stage of the game. The $23,760 Social Security bonus most retirees completely overlook › […]
Key Points Save consistently. Choose the right investments. Keep your spending in check. The $23,760 Social Security bonus most retirees completely overlook › Many people end up working until their 60s or beyond because they have no choice. But you may find that retiring at 55 is more ideal for you because it gives you […]
Key Points Medicare premiums can be a huge strain on retirees’ budgets. Knowing when to enroll could lead to lower costs. Managing your plan choices annually is also key. The $23,760 Social Security bonus most retirees completely overlook › Many people know to anticipate expensive healthcare costs in retirement. But you may be surprised by […]