Turn Your Retirement Portfolio into a Work of "Art"
Retirement planning is more difficult than saving for other goals in life because of the many variables involved, and that uniqueness is why investors should approach it more as an "art" than a science, says Gary Williams, author of "The Art of Retirement."
Retirement savings statistics are usually pretty depressing. For instance,a recent study from the National Institute on Retirement Security foundthat the median retirement account balance across all age groups is$3,000, and for those nearest to retirement, the median is only slightlyhigher, at $12,000. To add insult to injury, companies have quietly beenshifting their benefits packages for years now, making those paltrysavings account balances even more troubling when it comes to youngerworkers.
It's still January so most people have not yet blown their New Year's resolutions to fix their retirement plans. Mahoney Asset Management President Ken Mahoney offers tips for those seeking to create or evaluate their retirement strategies. He also says investors should stick with stocks in 2014 after last year's big run, and be ready to scoop up more when the indexes inevitably dip over the course of the next 12 months.
Given that markets are operating in uncharted territory today, allocating to asset classes that probably weren't traditionally found in retirement portfolios may be appropriate, says Windham Capital Management CIO Lucas Turton.
Want to improve your retirement plan's payoff? Increasing your employee contribution is simpler, and less costly, than you think. Smart401k president Scott Holsopple offers retirement investment tips on MoneyBeat.
The benefits of tomorrow's tax-free retirement withdrawals with a Roth IRA far outweigh the benefits of today's tax-deduction with a traditional IRA, says Stuart Ritter, Sr. Financial Planner at T. Rowe Price. According to recent T. Rowe Price customer data, investors under 34 years of age have over eight times more money in Roth IRA accounts than traditional IRA accounts. And within that group, investors between ages 18-24 have over sixteen times more money in a Roth IRA than a traditional IRA
Looking to feel secure about retiring? Having a lifestyle plan in place for those golden years can make a difference. About 49 percent of baby boomers who feel confident about achieving their ideal retirement have a lifestyle plan in place. A Better Homes and Gardens Real Estate study found that those plans include buying a vacation or beach house.
About 36 percent of Americans have a nest egg of less than a thousand dollars and 60 percent have less than $25,000 saved, which means working people may not be saving enough to retire prosperously in their golden years. MainStreet's Juliette Fairley takes you through an important rule of thumb when it comes to making your retirement last beyond 25 years.