Maxing your 401(k) or TSP will help you get to this Happy Place faster…
There’s a lot of debate about how much you should put in to your TSP or 401(k) plan every year, and whether you should ‘front-end’ load your 401(k) at the beginning of the year, dollar cost average during the year, or back-end load your 401(k) at the end of the year for tax planning.
Here’s a 401(k) hack that works for me at the end of every calendar year.
Are you looking to Retire Early, but don’t want to pay a penalty to access the money you saved before you turn age 59.5?
Got a ton of retirement money stashed in the TSP, an IRA, former employer’s 401k, or other Qualified Retirement Plan?
Are you also looking to implement a withdrawal strategy that does not force you in to a 5-year waiting period like the ‘Roth Conversion Ladder’ does?
There’s a perfectly legal method to get to your Retirement Plan money at age 55 without paying a penalty, and it’s called the Solo 401k.
You won’t see that headline splashed across Lending Club’s home page.
Unfortunately for Lending Club, like most people who file for income taxes, this is the time of year when I review my year-end bank and investment statements to see how things are going.
I guess Lending Club is counting on me (and the rest of its investors) not performing this annual review of investment summary statements.
Because if they were, there would be even more bad press for Lending Club. Continue reading
Recently the WSJ posted an article about all the bookkeeping, tax filing, legal, and administrative fees necessary to operate a company’s 401(k) program
on behalf of its employees. This, by the way, is on TOP of the expense ratios charged within the mutual fund investments available inside the Plan.
If you work for a small company, these administrivia fees add up (and NOT in your favor). Vanguard – the low cost provider of all things investing- estimates these charges as totaling 0.25% in a very large company plan, and 0.58% for a smaller company plan.