Any help graduates can get when it comes to repaying their mountains of student loan debt is often welcome: from cities offering debt forgiveness to keep young adults in their areas to programs in which states will pay for portions of their education. Now, more employers are jumping on the assistance train by providing student loan payment contributions as part of their compensation plans. [More]
RadioShack, the electronics retailer that once called itself “America’s Technology Store” and now wants to repair your cracked iPhone screen, is willing to try just about anything to stay in business. While they negotiate with lenders for permission to close more stores, the chain announced that it will end matching contributions to employees’ retirement plans as of February 1, 2015. [More]
Late last week AOL’s CEO Tim Armstrong announced that the company would be delaying company contributions to employee retirement accounts. That was enough to make workers grumble already, but then he added that the shift was partly due to two specific employees who had “distressed babies.” That didn’t go over so well, and the company has now reversed the benefits shift. [More]
Taxes now or taxes later? Unfortunately, “No taxes at all” isn’t an option. But when it comes to your retirement savings, you do have some control over when you pay Uncle Sam. [More]
This seems to be the week for sad news about Americans and our retirement-saving behavior. A new study shows that while we might be sticking money in our 401(k) plan like dutiful money squirrels, in general, Americans aren’t doing ourselves any favors for retirement as we rack up debt at a higher rate than we sock away money. [More]
Usually, our staff Certified Tax Cat handles readers’ questions about taxes, but he’s currently at a Warby Parker showroom shopping for some even less fashionable glasses. Filling in for him is Laura’s dad, a retired accountant and real live independent tax preparer. Exclusively on Consumerist this spring, Tax Dad answers your questions. [More]
We know a lot of people simply stopped looking at their quarterly 401(k) account statements a few years ago, hoping and praying the market would eventually recover and they would someday see all that money lost when the economy went SPLLLAATTT!!. Well, it may be time to take a peek at your next statement, as the latest numbers show very positive signs of recovery.
When you leave a job, it’s important to make sure the cash you stashed in your 401(k) follows along. Some are tempted to cash out the account and suffer the penalty, but the savvy choice is to roll it over into a new account.
Just about every financial expert tells you not only to contribute to a company 401(k), but make sure you pay in enough to receive the company match. We can’t argue any differently, but tough times and changing priorities can make compelling arguments for dropping contributions.
You’ll be excused for worrying more about your day-to-day financials than those of your future, 65-year-old self. But it’s important not to let your 401(k) or other long-term investments become afterthoughts. One reason to think big-picture is that decisions you make in retirement investments now will have ripple effects that turn into tidal waves in your golden years.
Even though the economy has begun to demonstrate occasional signs of life, many Americans are still feeling the sting of those darkest days. Millions of homeowners are struggling to pay mortgages they can’t afford and those that have walked away from underwater loans now have battle-scarred credit reports. So in order to stay afloat, more consumers are taking loans from their own retirement savings.
A recent study found that a record number of people (around 28%) with 401(k) retirement funds had loans (averaging $7,860) outstanding on them in 2010, meaning that these same folks will not have as much money set aside when it does come time to retire. That’s why a pair of Senators have introduced legislation that would make it more difficult for people to tap their 401(k)s.
Douglas received an unexpected delivery from UPS last week: a check from Fidelity Investments made out to Vanguard Fiduciary Trust Company for over $300,000, along with a bunch of 401(k) rollover paperwork that included the real account holder’s address, date of birth, SSN, and phone number.
Christian personanl finance blog Redeeming Riches offers four revelations on how you may be mistreating your 401(k).
Given the state of the economy today, is it better for me to reduce my 401k to a minimum and use the extra funds to pay off my credit card debt? This is a good time to put money into the markets, based on my admittedly limited understanding, but with interest rates going through the roof (my personal Chase card went from 12.99 to 23.99), I would like to kick down my cc debt (now at around $6,000) faster. I’m currently only putting 6% in my 401k, and I’m fairly young (35). Have you advice for me?
What impact does the Chrysler bankruptcy have on regular investors who hold bond funds? Most likely little to none, it turns out. Consumer Reports points out that most mutual funds have been avoiding Chrylser, GM, and Ford debt for years now—and if your fund does include Chrysler, it’s probably a tiny portion of your overall investment.
Our weekly roundup of the best personal finance news. Inside: Good charity-dar, scam detection, snow-removal tactics, rebuild your 401k, and warnings about store credit-cards.