The 401(k) was built on a simple idea. Set aside money from each paycheck to save for tomorrow and get a tax break today. Many workers now have another option: Save the tax break for tomorrow, too.
These six steps can help future caregivers know where aging parents stand financially, as well as help them to avoid surprises that could imperil their own retirement.
In order to maximize your Social Security benefit, you first need to understand the four elements that factor into your payout. A little-known Social Security clause can be a silver lining for select baby boomers who regret claiming benefits early.
Since estate issues, one way or another, affect everyone over time (since death does) and since Medicaid planning has for many years been a topic of popular conversation—and popular misconceptions in the U.S., it is not unusual that both subjects have generated misunderstandings and, in some cases, folklore that has persisted.
It is important for residents and their families to understand the benefits and limitations of each program, eligibility requirements, and any additional costs associated with them.
Before the original SECURE Act, IRA owners who died were able to leave their accounts to their children, grandkids, or other non-spouse individual beneficiaries, and heirs could stretch required minimum distributions (RMDs) over their own lifetimes, thus allowing the funds in the accounts to grow tax-free for decades.
