Upon reaching retirement, one of the most pivotal questions a federal retiree will have to ask is, “What should I do with my TSP?” The TSP is unique from a FERS pension or social security benefit because rather than being a set monthly payment, you have access to a large “pool” of money. When it […]
The recent Covid relief package offers 11 extra weeks of jobless benefits to workers. Many, but not all, will be eligible for four more, for a total of 15 weeks. However, they won’t get a $300 weekly increase in benefits during that four-week period. The $900 billion measure extended two temporary federal unemployment programs that […]
Never have Americans saved so much money and earned so little on it. For those stashing cash, the average savings account rate is down to just 0.05%, or even less, at some of the largest retail banks, according to the Federal Deposit Insurance Corp. Rates have fallen significantly since the Federal Reserve cut its benchmark rate to essentially […]
Experts at Fidelity Investments say that to retire by age 67, you should have 10 times your income saved. That means if you earn $56,524 per year (the average yearly earnings of someone 55 years and older according to Q3 2020 data from the Bureau of Labor Statistics), you should theoretically have $565,240 saved by […]
You know what they say about timing: It’s everything. That’s especially true about retirement. COVID-19 has thrown many well-laid retirement plans into disarray. Maybe you planned to work a few more years, but now your industry is in upheaval, and you’re ready to call it quits. Or perhaps retirement was around the corner for you, […]
After the train wreck that was 2020, you may well question whether it’s worth trying to plan anything. But knocking off a few financial tasks early in the year can better prepare you for whatever 2021 has in store. File Your Tax Return ASAP Filing your tax return early typically means getting your refund sooner. […]
How are American retirees faring during the pandemic? Clever, a real estate data firm, explored that question in two surveys conducted Oct. 30 and Nov. 24 among 1,500 respondents.“We learned that many retirees are struggling,” Francesca Ortegren, data science and research product manager, wrote in a blog post on the Clever Real Estate’s website. “On […]
Saving enough to retire comfortably can be incredibly challenging. Around 65% of Americans have less than $100,000 saved for retirement, according to a report from the Employee Benefit Research Institute. And of that group, more than one-quarter have less than $1,000 socked away. If your retirement savings are falling short, it can be hard to […]
As you might be able to guess, a high-yield savings account (HYSA) is different from a traditional savings account in a few key ways. Namely, this type of savings account comes with a much higher savings rate. For example, while the average interest rate on a traditional savings account is just 0.05%, according to the FDIC, it’s possible […]
Unexpected bills, like an emergency car repair or medical bill, are a fact of life. Yet not everyone can afford to pay up when those kinds of unforeseen events arise. Just 39% of Americans can afford a $1,000 unexpected expense, according to a new survey from Bankrate.com. The results mark a slight decline in Americans’ […]
Preparing for retirement can be challenging because the amount of money you need to leave the workforce depends on your ability to save and the kind of life you want to live when you’re retired. That said, Fidelity Investments developed a rule of thumb to help people plan. It recommends having eight times your income socked away […]
Though a 401(k) isn’t your only choice when it comes to retirement savings plans, what makes it such a valuable tool is the fact that its annual contribution limits are much higher than those of an IRA. Currently, workers under 50 can save up to $19,500 in a 401(k) per year, while those 50 and […]
