Planning your retirement can mean balancing a lot of needs and wants, but one goal generally reigns supreme: stability. Your quest for a reliable source of income in your golden years may prompt you to consider purchasing an annuity. It’s a smart impulse, since annuities can be powerful financial tools. But you must be careful — getting the wrong kind of annuity, or making your purchase at the wrong time, could prove to be an expensive mistake. For You: This ‘Boring’ Investment Could Be the Secret To Never ...

SmartAsset and Yahoo Finance LLC may earn commission or revenue through links in the content below. I am trying to decide if I should pay off my house worth about $750,000. I owe around $120,000 on an adjustable-rate mortgage (ARM). On the other hand, my 4.5% interest rate just ended and I know the interest will continue to rise in this economy. My mortgage is $1,450 per month, having risen $400 in the last year. Interest is around $500 per month. I am 69, a retired teacher, have a state employee pension ...

Working women’s retirement dreams include travel, spending more time with family and friends, pursuing hobbies, and volunteering. Yet more than half say they're guessing at the magic sum they’ll need to feel financially secure in retirement, according to a new survey by the nonprofit Transamerica Center for Retirement Studies. Based on median numbers, women workers across generations estimate they will need $500,000 to meet their goal. At the top end, about a quarter reckoned $2 million or more, and 15% ...

SmartAsset and Yahoo Finance LLC may earn commission or revenue through links in the content below. I’m in my mid-40s, married with four kids. My husband doesn’t want to work and has left the financial responsibilities to me for as long as I can remember. I don’t have much in my savings account or in my 401(k). My annual income is only around $85,000. My eldest is about to start college, which I will have to pay for out of pocket as I have not set up a college fund because money has always been tight. I n ...

Key Takeaways The IRS released the 2026 federal income tax brackets, which apply to tax returns filed in 2027. Understanding your tax bracket can help you make smarter moves, such as when to do a Roth conversion and what your retirement withdrawal strategy should be. Experts suggest performing Roth conversions in lower-income years, which can reduce tax burdens for both you and your heirs. The Internal Revenue Service (IRS) just released the federal income tax brackets for tax year 2026 and everyon ...

Core Insights - Retirement planning is crucial for financial stability, yet many individuals struggle to navigate the plethora of available information [1][2] Group 1: Dave Ramsey's Approach - Ramsey prioritizes becoming debt-free before investing for retirement, suggesting that individuals should pay off all debts except for their mortgage [3] - After achieving debt freedom, Ramsey recommends investing 15% of gross income into retirement accounts, favoring Roth IRAs for their tax-free growth and withdrawals [4] - He advocates for a conservative investment strategy, primarily using mutual funds, and believes individuals can withdraw more than the traditional 4% from their retirement savings [5] Group 2: Suze Orman's Approach - Orman shares some beliefs with Ramsey but encourages saving for retirement even with low-interest debt, such as student loans [6] - She promotes a diversified investment portfolio that includes stocks, bonds, and index funds, differing from Ramsey's focus on mutual funds [7] - Orman considers the traditional 4% withdrawal rule too risky, advising a more conservative 3% withdrawal rate for those retiring in their 60s [7]

As 2025 winds down, here are some moves to help you finish the year strong financially. Morningstar’s director of personal finance and retirement planning, Christine Benz, discusses strategies. This interview has been edited for length and clarity. Benefits of Rebalancing Your Portfolio Q: What are the benefits of portfolio rebalancing, and who most needs to do it? A: The main benefit of rebalancing is risk reduction. You trim securities that have performed really well, presumably ones with higher valua ...

“When in reality, they usually spend more because they have more time to do a lot of the things that they enjoy doing,” certified financial planner Uziel Gomez, founder of Primeros Financial in Los Angeles, told CNBC.Many adults plan for retirement, thinking that they can cut down expenses when they retire.Some older Americans have already expressed that the COLA isn’t enough to cover the rising costs of health care, housing and food. Their concerns are supported by Goldman Sachs Asset Management research, ...

If you are turning 62 soon, you need to avoid making a decision that could shrink your Social Security benefits substantially for life.When you turn 62, you hit an exciting milestone. You become eligible for Social Security benefits for the first time. It may be tempting to jump into claiming these benefits right away so you can retire and start enjoying life.Before you do that, though, there is an important warning about any early Social Security claim that you need to read.This warning could affect your r ...

This type of account offers triple-tax benefits, and is especially useful after you turn 65. And the great part is that you can open it well before retirement age. https://t.co/xqFLe8OZ3J ...