The morning after the Federal Reserve raised its benchmark rate, two of the country’s biggest mortgage lenders moved their posted 30-year rates higher, and the homeowner who might have refinanced a year ago has, by […]
Key takeaways Social Security retirement benefits are calculated using a worker’s 35 highest-earning years. The Social Security Administration indexes each year’s earnings to account for wage growth, then averages the 35 highest years to produce […]
Key takeaways Annuity: A long-term contract with an insurance company designed to convert a lump sum or series of payments into a steady stream of future income. Fixed annuities: Guarantee a minimum interest rate with […]
Key takeaways The required minimum distribution (RMD) is the minimum amount that must be withdrawn annually from tax-deferred retirement accounts once the account holder reaches the applicable RMD age. RMD age depends on birth year. […]
Key takeaways A Roth conversion is the process of moving funds from a traditional IRA, SEP IRA, SIMPLE IRA, or eligible employer plan into a Roth IRA. This is a taxable event in the year […]
Key takeaways Traditional and Roth accounts differ primarily in when taxes are paid. Traditional accounts are funded with pre-tax dollars, grow on a tax-deferred basis, and are taxed at withdrawal. Roth accounts are funded with […]
Key takeaways The SECURE Act of 2019 fundamentally changed inherited IRA rules for most non-spouse beneficiaries. Congress eliminated the stretch IRA strategy primarily to accelerate tax collection on inherited retirement assets, which the Joint Committee […]
Key takeaways The average retirement age and the full retirement age are two entirely different concepts. The average retirement age is a statistical measure of when Americans actually stop working, currently 61, according to Gallup’s […]
Key takeaways Registration and disciplinary history are publicly searchable before any meeting takes place. The SEC’s Investment Adviser Public Disclosure database and FINRA BrokerCheck both allow anyone to look up an advisor’s background at no […]
Key takeaways Nine states do not tax wages, retirement income, Social Security, or pension payments at the state level. Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming all qualify, per the […]