This is a new question that is being raised; with inflation and spending not being linear, will retirees actually be spending a lot less than previously thought and can they retire on a reduced income stream? This posting in CNNMoney by Jean Chatzky goes through the nuts and bolts of retirement, plus the discovery that on average a lot of retirees can live on twenty percent less than originally thought: http://finance.fortune.cnn.com/2014/01/06/jean-chatzky-retirement/ The article ends with a good train of thought; everyone is different and things change. The planning discussed in the posting is going to be an ongoing thing so you always know where you are financially: no setting and forgetting! You have to be proactive and keep an eye on things to make sure you really do have enough money to retire comfortably. Tough to go back to work in your seventies; maybe you will have to make that additional trip to Vegas to get your retirement income for the month (just kidding – please don’t do that!) For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Has been Featured On https://twitter.com/bstonercpa
Financial Musings of a CPA: 10 easy ways to make money in 2014
Want some New Years resolutions that you may actually be able to keep? How about some money resolutions? See this article by Jennifer Waters on MarketWatch: http://www.marketwatch.com/story/10-easy-ways-to-make-money-in-2014-2014-01-02 You too can be financially responsible this year, even if you can’t lose weight or remember things. For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Has been Featured On https://twitter.com/bstonercpa
Tax Musings of a Burbank CPA: The In-Plan 401(k) Roth Conversion Strategy
Here is a way to convert your traditional 401K into tax-free distributions by converting to a Roth 401K. The upside is you get the tax-free treatment when you retire; the downside is you have to pay tax now on the amounts you convert. See more details in this post by Ashlea Ebeling in Forbes: http://www.forbes.com/sites/ashleaebeling/2014/01/03/the-in-plan-401k-roth-conversion-strategy/ Your employer has to allow Roth 401K conversions (more and more are allowing this) and you need to be able to pay the tax when you file your taxes in 2015. If you can do this, since tax rates are only going to go up in the future it may make a lot of sense to at least think about this. If you have a solo 401K in your corporate or self employed business, you should really look at this, too. Call or email if you have questions. For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Has been Featured On https://twitter.com/bstonercpa