Portfolio rebalancing, how to budget your money, what’s an HSA and who needs one? Preparing for retirement is hard. From personal finance basics to retirement planning and everything in between, we’ve got a few ideas to make life a little simpler. Contact MCF with any questions.
When you think of the benefits of your retirement plan, tax-deferred savings and matching contributions are probably top of mind. But there’s more to your workplace retirement plan than meets the eye. Beyond the basics, retirement plans can come with a number of lesser-known advantages that can help you protect, grow, and pass on your savings more efficiently. Here are six perks you might not even realize you have.
Setting and maintaining a personal budget has never been more important. With inflation driving up the cost of housing, groceries, and everyday essentials, many households are finding it harder to maintain the lifestyle they once had. A realistic budget helps you stay in control and plan for both today and the future. When creating a realistic budget, try to stick to the 50/30/20 Rule. 50% of total monthly income to be spent on essential expenses, 30% allocated to discretionary expenses, and 20% dedicated to savings.
As the year winds down, it’s easy for spending to ramp up. From travel and celebrations to those endless online deals that pop up in your feed. But even small splurges can add up fast. According to a recent survey by Achieve and Talker Research, 65% of Americans say they are stressed about their holiday spending, and 73% say that financial stress detracts from their enjoyment of the season. If you’re hoping to enjoy the season and keep your finances on track, here are three simple ways to find balance:
With all the advanced technology, calculators, and strategy tools available, it is still often difficult to understand the difference between what you can save for retirement and what is needed to retire. It is not an exact science, and it comes with many variables at play – investment returns, inflation, unforeseen expenses, all of which can affect the longevity of your savings. Sometimes, it is helpful to see what your account will likely provide over the course of your retirement. This can also help you set an achievable goal.
Before You Take a Retirement Plan Loan Know the Facts Your retirement plan may allow you to borrow from your account—but before you do, it’s important to understand how it can impact your future savings. Think of it like a U-turn on your savings highway. It could cost you more time and money than you expect.
There’s a good chance you will have to get involved with your parents’ finances as they age. One in four adults say their parents rely on them for financial support.1 Your parents might need help managing their money or could rely on you for financial support if their retirement savings fall short. Regardless of the situation, being prepared for these conversations is crucial to avoiding potential challenges. The tips below can help you gain peace of mind and help ensure you’re equipped to assist with their financial matters if necessary.