…underground economy. The underground economy includes legal as well as illegal activities where income is not reported and taxes are not paid. Examples of the underground economy are cash-only transactions and freelancing. How big is the underground economy? One estimate puts the size of the…
…they live. If a retiree puts 20 to 25 percent of retirement savings into an annuity, with Social Security providing supplemental income and the rest of the retiree’s account balance consisting of various other pieces, the retiree is in effect “pensionizing” part of the retirement…
…Security providing supplemental income and the rest of the retiree’s account balance consisting of various other pieces, the retiree is in effect “pensionizing” part of their retirement savings. The annuity option should be available to every 401(k) plan participant, regardless of individual circumstances; it should…
…percent rule,” which involves withdrawing 4 percent of your portfolio in the first year of your retirement, and then 4 percent in each subsequent year, adjusting for inflation. Alternatively, based on life expectancy assumptions, you may elect to divide your account balance by the number…
…have borrowed from your 401(k) plan and subsequently lose your job, you are generally required to pay back the entire outstanding balance of the loan … often within 60 days of termination of employment. Any amount not repaid within the specified time frame is considered…
…would be 100 participants with account balances as of the beginning of the year. Much simpler. The old Schedule E for ESOPs was eliminated in 2009 It’s back. Minimal reporting on the types of investment and how they are used Must disclose how many DIAs,…
…account balances were whole and accurate,” the civil complaint stated. “All the while, Defendants systematically transferred hundreds of thousands of dollars in retirement benefits from the Plan to their own bank account, and for their own gain.” The Richies were ultimately indicted in October 2018…
…contribution models. A comprehensive review of private retirement coverage, individual and household accounts balances, investment trends, costs and net returns, and retention and distribution during retirement. A comprehensive review of societal trends, including wage growth, economic growth, unique small business challenges, serial employment, gig economy,…
…employees settled into working from home and all the flexibility that went along with that. Some were able to achieve a healthy work/life balance with no longer having to contend with a long commute or set office hours. But workplace flexibility goes beyond just working…
…balance for coronavirus-related loans; extends repayment periods up to one year for both new and existing loans; and allows COVID-affected individuals to “self-certify” such requests. In addition, distribution and loan provisions are optional and may be used immediately as long as a plan amendment is…
…interest rates. Too Frequent Rebalancing: RoboAdvisors rebalance portfolio asset allocations with varying frequency, including daily, monthly and quarterly. In my November 28, 2017 BenefitsPro blog, analysis indicated that annual rebalancing was as, or more, efficient than monthly rebalancing. While no one method is most effective…
…to address this emergency savings problem while ensuring Americans continue to save for a secure retirement following an emergency. The legislation creates a new category of distribution in a 401(k) or similar plan that would allow workers who have a certain balance in these accounts…