Retirement
You generally need earned income—such as wages, tips, or self-employment income—to contribute to a Roth IRA, since these accounts are meant to support retirement savings from active work. If you don’t have earned income, you typically can’t contribute directly, though exceptions like spousal IRAs or indirect strategies may offer alternatives.…
If you have to choose between a traditional or Roth deferral, you will have to decide whether it’s better to get a tax break now or in retirement. A traditional deferral lowers your taxable income today, while a Roth deferral offers tax-free withdrawals later. A financial advisor can work with…
If you are approaching retirement and have savings in a 457(b) retirement plan, you might wonder which taxes you’ll pay on withdrawals after age 70. This is important when it comes to retirement planning. Otherwise, it could be hard to accurately estimate your future income and tax liabilities. While 457(b)…
Retirement accounts like 401(k)s come with specific rules. One of the most important, required minimum distributions (RMDs), dictate when you must start withdrawing money. But when you reach the age typically associated with these mandatory withdrawals, what happens if you still work? The RMD for a 401(k) follows different guidelines…
A backdoor Roth can sometimes be a good idea.The government puts income limits on who can contribute to a Roth IRA portfolio. In 2025, these limits are set at $165,000 for single filers, and $246,000 for joint filers. If you’re above this cap, you cannot contribute money to a Roth…
Whether retirement is decades away or just around the corner, knowing how to build an investment plan for retirement is essential for financial security in your later years. A well-designed retirement plan considers your time horizon, risk tolerance and financial goals to create a roadmap for your future. It’s not…
When you inherit an individual retirement account (IRA), it comes with a set of rules that dictate how and when you must take distributions. Knowing which rules apply to you can help you avoid unnecessary taxes or penalties. It can also help ensure that you make the most of your…
The IRS does permit rollovers between these 401(k) and 403(b) plans, allowing you to consolidate retirement savings when appropriate. However, not all 403(b) plans accept rollovers from 401(k) accounts. This decision is up to the individual plan administrator. While both 401(k) and 403(b) accounts are tax-advantaged retirement plans, they serve different…
For retirement savers preparing for required minimum distributions (RMDs), recent legislation has brought significant changes to the timeline. The SECURE Act of 2019 initially raised the RMD age from 70½ to 72. This gave retirees more time before mandatory withdrawals begin. Then, the SECURE 2.0 Act of 2022 introduced further…
Reinvesting a required minimum distribution (RMD) into a Roth IRA isn’t allowed directly, since RMDs are considered taxable income. However, if you have earned income and fall within the IRS income limits for Roth contributions, you can contribute to a Roth IRA using funds from any source—including money withdrawn to…
