Eric Mitchell Real Estate

Signs You're in a Lousy 401(k) Retirement Plan Many Americans just aren’t prepared for retirement. Two-thirds of families fall short of conservative retirement savings targets to retire at age 67, according to a 2015 study by the National Institute on Retirement Security. The median retirement account balance — including money in a 401(k) retirement account — is $2,500 for working-age households, and $14,500 for near-retirement households, the study found. Even for workers who contribute to their employer’s 401(k) plan, they may not be saving enough money to get them to the often recommended retirement income goal of having 70 – 80 percent of their pre-retirement income, or they may be in a 401(k) that isn’t doing a good job of making money for them. Here are some signs that you may be in a lousy 401(k) retirement plan: Low results:  Poor performance is an easy indicator to spot, and it doesn’t mean you have to stay with that 401(k). Moving to another retirement pla...

How to Save for Retirement If You're Self-Employed Working for yourself comes with a lot of responsibilities—and funding a retirement plan should be one of them. After all, if you don’t think ahead to your retirement, who will? Payroll deductions and 401(k) retirement plans set up by employers make it easy for workers at 9-to-5 jobs to contribute to retirement plans. But for the self-employed, it can be more of a challenge simply because there’s no one to do it for you. Here are some ways to take the process of funding a retirement plan into your own hands: Traditional or Roth IRAs If you’re just starting out or saving less than $55,000 a year, a traditional or Roth IRA is a good option. If you’re leaving a job to start a business, you can roll your old 401(k) into an IRA. As of 2018, the annual IRA contribution limit is $5,500, plus $1,000 catch-up contribution if you’re 50 or older. The Roth IRA has income limits for eligibility, meaning that those who earn too ...