According to a Glassdoor survey, a 401k ranks in the top 5 requested employee benefits beyond the base salary. A 401k is an employer-sponsored retirement account funded with pre-tax dollars from your earned income. Of the 56% of employers who offer a 401k plan, 51% offer some type of 401k match. A 401k match is… Continue reading This Is Why You Need To Take Advantage Of Your Employer’s 401k Match
Category: Saving & Investing
What Is The Difference Between A Roth IRA And A 401k?
The Roth IRA and 401k are both retirement savings accounts. The primary difference between the two is that a 401k is an employer-sponsored account. The Roth IRA is an individual retirement account and is not sponsored by any employer. There is also another level of distinction based on taxes: traditional vs. Roth. There are both… Continue reading What Is The Difference Between A Roth IRA And A 401k?
How much can I contribute to my Roth IRA?
A Roth IRA (individual retirement account) is a retirement account funded with after-tax dollars. You don’t pay taxes on the money when you withdraw it after the age of 59.5. Who should get a Roth IRA? If you make under $139,000 per year as an individual (for married couples, the threshold is $206,000). If you… Continue reading How much can I contribute to my Roth IRA?
Savings Goals: Here’s Where You Need To Put Your Money
One common worry people have discouraging them from saving and investing is liquidity. If you don’t know when you’ll need cash, the volatile stock market or penalty CDs can make you nervous. The good thing is there are many options where you can safely store your money, and still be able to access it when… Continue reading Savings Goals: Here’s Where You Need To Put Your Money
Cheat Sheet: 10 Investing Terms Everyone Should Know
Intimidating jargon can make investing sound too complicated. Here is a list of 10 terms that everyone should know: Stock. A stock is owning a tiny piece of a company. If the company does well (or is expected to), the value of the stock goes up. If the company does poorly (or is expected to), the… Continue reading Cheat Sheet: 10 Investing Terms Everyone Should Know
Don’t just save for retirement. INVEST for retirement.
Everyone says that you need to save money for retirement. While it is true that you need to save money, especially with an emergency fund, only saving money will not be enough.To have enough to live off in retirement, you need to invest your money. This is because banks’ interest rates are significantly lower than the average… Continue reading Don’t just save for retirement. INVEST for retirement.
Pay Yourself First: Building An Emergency Fund
Think about what you usually do when you get paid. Maybe you pay your rent, buy groceries, go out for coffee or go on an online shopping spree. These situations are all redirecting the money you earned to someone else. It’s not your money anymore. Saving money isn’t locking it up in a box and throwing away the… Continue reading Pay Yourself First: Building An Emergency Fund