Washington leaders at odds over proposed tax increases

zimmytws | iStock | Getty Images Congressional leaders can agree on one thing – Social Security needs to be fixed before the program’s funds are unable to pay full benefits in 2035. But that is where the consensus ends. Leaders from both the Republican and Democratic parties have each recently discussed the issue on Capitol … Read more

What you can do to prepare your finances for a recession

Jamie Grill | Getty Images All the talk about a looming recession may have you worried about your finances. You aren’t alone: ​​Some 74% of US consumers are concerned about a recession, according to a new survey from Empower Retirement and Personal Capital. In addition, 85% are worried about inflation and 56% are already seeing … Read more

Not all ‘Secure 2.0’ proposals in the House and Senate are the same

Photo by Mike Kline (notkalvin) | Moment | Getty Images Continued improvements to savings, security The House passed its version of Secure 2.0, the Securing a Strong Retirement Act (HR2954), in late March with a bipartisan vote of 414-5. In the Senate, committees with jurisdiction over retirement-related provisions now have approved proposals that collectively form … Read more

70% of retirees wish they’d started saving for retirement earlier

Sporrer / Rupp | Image Source | Getty Images The biggest piece of advice that people in retirement would pass along to their younger selves is simple: start saving earlier for the end of your career. Roughly 70% of retirees said that changing their habits to save or invest more and earlier is the top … Read more

401(k) plans may not last long enough in retirement

Elena Kurkutova | Istock | Getty Images Older Americans may have a number of different goals with their retirement savings. But usually their main goal is the same: to make it last. Unfortunately, many younger baby boomers and members of subsequent generations who do not have access to a traditional pension could outlive the funds … Read more

Tax planning begins when building your portfolio. Here’s what to know

Tetra Images | Tetra images | Getty Images If you’re still recovering from the tax sting of larger-than-expected mutual fund payouts in 2021, it’s never too early to prepare for future distributions, financial experts say. Mid-year capital gains distributions aren’t common, especially in a bear market year, said Russel Kinnel, director of manager research for … Read more

Behind on retirement saving? A bad market can be a good time to invest

Small business owners are among the Americans most likely to fall behind on saving for retirement. Investing back into a business is more often a priority for entrepreneurs with any excess cash than investing in a long-term tax-deferred retirement plan. Covid did not help. Amid the pandemic, scores of America’s small business owners stopped or … Read more

Americans are putting more money into 401(k)s, see how you compare

Despite the stock market’s poor performance since the beginning of the year, Americans have increased contributions to their 401 (k) retirement accounts over the course of 2022, according to a recently published Fidelity study. The S&P 500 dropped by about 5% in the last quarter, and that was reflected in a lowered average 401 (k) … Read more

Your Social Security check might be taxed. How that could change

Fertnig | E + | Getty Images Death and taxes are two certainties in life, as the saying goes. But many people may not realize their Social Security benefits they receive from the government are also subject to taxes. The way in which those levies are applied is unique. A recent MassMutual quiz found just … Read more

Choice between pre-tax and Roth 401(k) plans trickier than you think

Prathanchorruangsak | Istock | Getty Images Whether you’re a current employee or changing jobs, you may need to choose between pre-tax and Roth 401 (k) contributions, and it may be trickier than you expect. Here’s the difference: Pre-tax 401 (k) deposits reduce your adjusted gross income, and the money grows tax-deferred, meaning you’ll pay levies … Read more