If you try to take money out of your IRA, 401(k), or any other qualified plan, you may be subject to a 10% IRS penalty if you are under the age of 59 1/2.  However, there are several exceptions to avoid this penalty.   One exception is retiring early from your job.  If you retire [...]

There are a handful of scenarios where an annuity would be a great fit a consumer.  One of the more popular needs today is wealth transfer.  Consumers want to just leave their money to heirs, and allow it to grow better than a CD.  Annuity carriers now provide “enhanced death benefits” to generate guaranteed growth [...]

An inherited IRA, also known as a beneficiary IRA, can be received by a spouse, and a non-spouse.  The definition of an inherited IRA is simply an individual retirement account that is left to a beneficiary after the owner deceases.  The beneficiary must continue to receive the already calculated distributions from the current account if [...]

There are so many different things we can do to improve our finances to be prepared for retirement now, while we are still working. The goal is not to retire, then work to help sustain our lifestyles. Financial finesse made some good points on things we can do to get ourselves ready for retirement.   1. [...]

Unfortunately, there are some common mistakes that many make with regards to retirement that can be avoided.  Many people aren’t aware of the pitfalls in their plans.  Many retirees begin taking their social security payouts as soon as they are eligible, however by delaying the benefit, the monthly payout increases, and the overall benefit increases [...]

At IRS.gov, the IRS has laid out a set of guidelines for those that inherit IRA’s.    They will separate it into 2 categories:  spousal and non-spousal.  Use the following steps to properly handle an inherited IRA.           Inherited from spouse. If a traditional IRA is inherited from a spouse, the [...]

The IRS requires minimum amounts to be withdrawn annually starting at age 70 1/2 or the year in which he or she retires.  If the retirement plan account is an IRA or if he or she owns 5% of the business sponsoring the retirement plan,  one must take RMD’s at 70 1/2 regardless of retirement [...]

The IRS has placed guidelines for what, when, and how you can roll your qualified retirement plan.   This is a great resource on making your next step of retirement planning.  You can check the full FAQ at www.IRS.gov.   When should I roll over? If the distribution from the qualified plan or IRA is [...]

If you are considering opening a retirement plan or have just recently enrolled in a 401k retirement plans, you may realize that 401k’s make it very easy for you to start saving for your retirement. Your contributions are deducted for you, invested for you, and then a statement is sent to you without you having [...]

The IRS allows for penalty-free withdrawals from an IRA account. The rule requires that, in order for the IRA owner to take penalty-free early withdrawals, he or she must take at least five “substantially equal periodic payments” or equal periodic payments until age 59 1/2 whichever comes later.  The amount depends on the IRA owner’s [...]