Financial Edge: Hey Self-Employed, Are You Making The Most Of Your Retirement Options?

Saving enough for retirement is a big deal, and retirement is just as real and important for self-employed workers as it is for more conventional employees. Unfortunately, the retirement savings options for the self-employed aren't quite as obvious or automatic as they are for regular employees - whenever someone starts a new job, HR often tells them about any company-sponsored plans that are available, but there's no similar mechanism for the entrepreneur.

Luckily, there is a wide range of options available to those who run their own business. While some approaches are compelling in their simplicity, others allow an owner or operator to squirrel away truly considerable amounts of money for retirement. Although readers should be aware that the details and requirements of these plans can change with the tax laws, here are some of the best options available to the self-employed.

Read more here:
http://www.investopedia.com/articles/retirement/12/retirement-options.asp#axzz25zQqlxm9

Investopedia: How To Get The Most Out Of A 401(k) Program

Workers are increasingly on their own when it comes to providing for their retirement. Pensions are all but unheard of outside of the government or heavily-unionized industries, and both employers and the government have increasingly transferred more and more responsibility to the individual worker. When it comes to employer-sponsored plans like 401(k)s, it is vital for workers, savers and investors (and you should see yourself as all three) to make the most they can out of the plans. While there are some differences with other plans like 403(b)s, most of this advice applies fairly well across the major plans in the United States. (For more, check out Common Questions About Retirement Plans.)



Work Backwards
For folks who have the ambition and the financial wherewithal to truly make the most of their 401(k), one of the best ways to begin is by working backwards. Take your maximum allowable contribution (your 401(k) plan documents should make this number relatively clear, or you can ask for help), divide it by the number of pay periods in a year and see where that leaves you.


Read the full piece here:
http://www.investopedia.com/articles/retirement/11/get-most-out-of-401k.asp

FinancialEdge: The State Of The 401(k)

For better or worse, study after study has shown that workers save more money when they sign up for programs that automatically take part of their earnings and put them in retirement savings programs. The same is also true of automatic withdrawal programs for online savings accounts.


This makes employer-sponsored retirement plans like the 401(k) program very valuable. When employers elect to match some percentage of their employees' contributions, these programs become even more valuable. With so few people saving additional money on their own, 401(k) programs have become increasingly important and their present and future status should be a major concern for all workers.
To read the complete column, follow this link:
http://financialedge.investopedia.com/financial-edge/0711/The-State-Of-The-401k.aspx

50 Years Old And Broke: Now What?

For many people, it is an idea too scary to contemplate. For others, it's reality. Being in your 50s and having no meaningful savings is certainly a frightening and serious situation, but by no means is it hopeless. People are living longer and in better health than ever before and it is never really too late to start making positive moves. (These retirement income distribution methods are all viable; the one you choose will depend on your personal circumstances. Learn more, in 3 Ways To Make Your Retirement Funds Last.)


Fix 'er Up
 First, figure out how you got to be 50 and broke and how you can prevent that from continuing. In some cases, it could have been crippling medical or legal costs that were all but impossible to prevent. In other cases, it may have been major investment losses incurred in the stock market or a result of tying a large amount of money into corporate options and stock that are now worth much less.

Excessive generosity (like paying for college and weddings) may also have depleted the coffers, or low savings may be a product of excessive spending. Some people never think to pay themselves first (in the form of savings) and instead focus on having a new car every few years, top-of-the-line electronics, season tickets to professional sports and so on.

If the cause was out of your control, simply shift your focus to rebuilding your savings and do not dwell on it. But if the cause was controllable or avoidable, make sure to keep the lessons in mind. Sharp stock market losses may indicate you take on too much risk or do not diversify enough, while excessive spending suggests the need for stronger prioritization and discipline. (They may not be sexy, but bonds offer undeniable benefits to investors. Learn more, in Savings Bonds For Income And Safety.)

For the full column, please continue on to:
http://financialedge.investopedia.com/financial-edge/0610/50-Years-Old-And-Broke-Now-What.aspx