- Traditional IRA vs. Rollover IRA: Key Differences and Examples
If you have ever changed jobs or you have already started saving for retirement, you have likely encountered both Traditional IRAs and Rollover IRAs. However, these two similar-sounding accounts can play very different roles in your financial future. Knowing how each works can mean the difference between maximizing your tax advantages and making costly mistakes.… read more…
- Should You Budget for a Mini-Retirement? Pros, Cons and Examples
A mini retirement is a planned, extended break from full-time work that’s taken before traditional retirement age. Unlike a vacation or employer-sponsored sabbatical, a mini retirement is self-funded and typically lasts a few months to a few years. People often consider a mini retirement during career transitions, periods of burnout or when testing out their… read more…
- How to Build a Retirement Portfolio at Age 70
At age 70, retirement is no longer a distant goal—it’s your current reality. Whether you’re newly retired or reevaluating your strategy, this is an important time to ensure your savings last. While there is no single best retirement portfolio for a 70-year-old, building a portfolio that suits your needs involves prioritizing income, minimizing risk and… read more…
- What to Do Six Months Before Retirement: Checklist
The final six months before retirement are some of the most important. During this window, you’ll want to fine-tune your income plan. This means you should assess your tax exposure, make sure your investment mix supports your goals and double-check your paperwork. Even if you’ve been planning for years, the last stretch before retirement is… read more…
- Can You Max Out a 401(k) and an IRA? Strategies for Both
Combining a 401(k) from work with an IRA can help you grow savings faster and give you more options for retirement planning. Contributing to both could grow your retirement savings by combining tax-deferred and tax-free advantages. A 401(k) typically provides employer matching, while an IRA offers wider investment flexibility. Together, they support diversification, enhance tax… read more…
- CD vs. Roth IRA: Which Should You Invest in for Retirement?
Certificates of deposit (CDs) and Roth IRAs play different roles in retirement planning. CDs provide fixed interest and are federally insured, which can make them attractive if your priority is safety and predictable returns. A Roth IRA, by comparison, offers the opportunity for long-term, tax-free growth and withdrawals, giving you more flexibility and potential upside.… read more…
- When and How to Consolidate 401(k) Accounts
Managing multiple 401(k) accounts from past employers involves tracking different fees, investment options, and statements. Consolidating these accounts can simplify monitoring, reduce costs and keep investments aligned with retirement goals. A financial advisor can help you evaluate consolidation options and determine a strategy for your retirement savings. Ways to Consolidate Your 401(k) Accounts When consolidating… read more…
- How to Use Dividend Investments for Early Retirement: Examples
Retiring early is possible for many people, but it requires smart planning and reliable income sources. Dividend-paying investments offer one path by providing consistent cash flow while still allowing your portfolio to grow. By reinvesting dividends during your working years and later using them to cover living expenses, you can bridge the gap to early… read more…
- How Much Do You Lose By Retiring at 62? Benchmarks and Examples
How much you can lose by retiring at 62 depends on Social Security, savings growth, and pensions. Starting Social Security at 62 usually cuts monthly benefits by 25% to 30% compared to waiting until full retirement age. Retiring early also means fewer years to save and less time for investments to grow. Pension checks may… read more…
- Mega Backdoor Roth vs. Backdoor Roth: Benefits and Limits
High earners often weigh the mega backdoor Roth against the backdoor Roth to expand tax-free growth. A backdoor Roth works by making a nondeductible traditional IRA contribution and then converting it to a Roth. A mega backdoor Roth, on the other hand, uses after-tax 401(k) contributions that are later converted in-plan or rolled to a… read more…
- How to Retire at 62 With Little Money: Tips and Example
Retiring at 62 with little money can feel daunting, but it is possible with the right strategies. Many people reach their early 60s without a large nest egg. However, they can still create a sustainable lifestyle by combining Social Security benefits, part-time income and careful budgeting. Understanding how to reduce expenses, adjust expectations and make… read more…
- 80% Rule for Retirement: How It Works and Example
Retirement planning often comes down to one big question. How much money will you really need to maintain your lifestyle once the paychecks stop? Many experts point to the “80% rule” as a simple answer. This rule suggests that most retirees can live comfortably on about 80% of their pre-retirement income. While this offers a… read more…
- I’m 63 With $1.35 Million in My IRA and a $2,200 Social Security Check. What’s My Retirement Budget?
By your 60s, most of your retirement foundation is already in place. While you may still have a few years to save, building significant new wealth is less likely unless you continue working during retirement. This stage typically shifts focus to taxes, withdrawals, Social Security and budgeting. To help you create a retirement budget, let’s… read more…
- Deferred Compensation Plan vs. 401(k): Key Differences
Planning for retirement can feel overwhelming, but fortunately, there are several savings tools available to help take the sting out of the process. By utilizing these tools, you can create a financial strategy that helps you save for retirement. Two common options are deferred compensation plans and 401(k)s. While both can help you defer taxes… read more…
- How Much Should I Have in My 401(k) at Age 55?
By age 55, you’re about a decade away from retirement. Many financial experts suggest having seven to eight times your annual salary saved by this age if you want to maintain a comfortable retirement. By 55 you still have time to benefit from compounding and catch-up contributions, but not much. Knowing the benchmarks, the potential… read more…
- How Much Should I Have in My 401(k) at Age 45?
Financial planners often recommend aiming for roughly three times your annual salary in retirement savings by the time you reach 45. At the same time, your mid-forties are a turning point when compounding can still work in your favor. The decisions you make now, whether you’re on track or catching up, will affect your nest… read more…
- I’m 67 With $870k in a 401(k), $120k in an IRA and a $2,200 Social Security Check. What’s My Retirement Budget?
Deciding how much to withdraw from your retirement accounts means finding a balance between enjoying life and making your money last. Taking too little leaves you with unused savings, while taking too much risks running out of money later. Taxes also affect how much you can actually spend. To help you create a retirement budget,… read more…
- Can a Couple Retire With $1 Million?
Retiring with $1 million is a common goal for couples, but how long it lasts depends on where they live and the lifestyle they want. For some, low housing costs, manageable healthcare expenses, and reliable Social Security benefits can help make $1 million last. Investment returns also influence how far the money will go. Others… read more…
- I Have $500k in a Roth IRA and Will Receive $3,000 Monthly From Social Security. Can I Retire at 70?
Waiting until age 70 to retire can offer you some clear financial advantages, including maximum Social Security payments and more time for your investments to grow. But even with those benefits and a half-million-dollar nest egg, determining whether you have enough to retire at age 70 will depend on your lifestyle, health, investment strategy and… read more…
- These Are Americans’ Top Questions About Retirement. Do You Know the Answers?
Many Americans are unsure how to approach retirement planning, and new data helps explain why. In Northwestern Mutual’s 2025 Planning & Progress Study,1 43% of adults said that one of their top questions is how much money they’ll need to retire comfortably. Others worry about the future of Social Security, inflation during retirement and the… read more…
- Can You Retire at 35 If You’ve Saved $1 Million?
The idea of retiring early with $1 million by age 35 is appealing. But, whether that is enough depends on how long you will need it to stretch your nest egg and how you plan to live. If you withdraw around 3% to 4% annually, that gives you between $30,000 and $40,000 each year. This… read more…
- I Have $1.2 Million in an IRA and Will Receive $2,000 Monthly From Social Security. Can I Retire at 67?
If you’re sitting on $1.2 million in a traditional IRA and expect to receive $2,000 per month from Social Security, you may be wondering if that’s enough to retire at age 67. The answer, as always, depends on several factors, such as how long you expect to live, how much you’ll spend and how you… read more…
- Cross-Border Retirement Planning: What You Need to Know
Cross-border retirement planning can introduce unique financial questions for those living, working or retiring across more than one country. Tax rules, pension portability, healthcare access and currency risk can all affect retirement income and expenses. Planning ahead can help you account for differences in tax treaties, investment regulations and residency requirements. Whether you are moving… read more…
- What’s the Ideal Age to Retire for Longevity?
Retirement is a major life decision and the timing can affect more than just your finances. While having enough money is important, other factors—like your health, mental well-being, social life and the type of work you do—also matter. Some research shows that when you retire may impact how long you live as well as your… read more…
- 401(k) Millionaires by Age Group
Becoming a 401(k) millionaire represents a significant milestone in retirement planning. According to recent data, the average age at which individuals attain this status is 59 years old, typically after 26 years of consistent contributions to their retirement plans. The length of time typically required to become a 401(k) millionaire underscores the importance of long-term… read more…