Investments

Prioritizing Employee Savings and Retirement Benefits

If you’re lucky enough to work for one of the many tech companies that offer multiple ways to save money, you may be wondering which programs to prioritize. Microsoft employees, for instance, have the good fortune of having access to a pre-tax/Roth 401(k), after-tax 401(k), Employee Stock Purchase Plan (ESPP) and Health Savings Account (HSA)….

Read More

Breaking Down the Mega Backdoor Roth Strategy

You may or may not have heard of a Mega Backdoor Roth, but they are becoming increasingly common, especially in the tech world. Often confused with a Backdoor Roth IRA contribution or a Roth 401(k) contribution, this strategy, while sharing similarities with both, is unique for a few reasons.  STANDARD 401(K) REVIEW First, let’s review…

Read More

ESPPs Become More Attractive in a Bear Market

For opportunistic investors, employer stock purchase plans (ESPPs) become more attractive in a bear market. This is because stocks are bought at an additional “discount” on top of the 15% price cut that is inherently built into the plan. ESPPs are employer-sponsored investment plans that allow employees to purchase company stock at a discounted price—typically…

Read More

Changing Jobs? You May Want to Take Your 401(k) With You

If you recently changed jobs or are currently considering an offer for a new one, you have probably thought about your new salary and benefits package, the commute, and perhaps even how you will reward yourself for a job well done. However, there is a good chance you may not have given much thought to…

Read More

Own Company Stock Inside Your 401(k)? Here’s Something to Be Aware Of

These days, companies must get creative about the ways in which they both compensate and motivate their workforce. One of the most popular practices is to offer employees opportunities to own company stock, essentially helping them take ownership of their work performance, whether good or bad. And one of the more popular ways companies support…

Read More

How to Save for Retirement as a One Income Household

When a couple makes the decision to live exclusively on the salary of one spouse or partner, they may take the time to review their monthly cash flow and cut out any unnecessary expenses prior to making it official. However, a topic that is likely to be put on the back burner is the issue…

Read More

Time to Negotiate Your Next Pay Increase? Ask for Stock Instead of More Cash

If there is one thing that workers of all job types across every industry can agree on, it is that they could always benefit from having more money in their paycheck. It does not matter how much a person currently makes or the amount of it they actually spend; there is always room for more….

Read More

Your Employer Just Granted You Stock Options. Now What?

Stock options are no longer just for the few executives at the very top of the org chart. Many publicly traded companies now make them available to non-executive staff. And while splitting compensation between cash and stock has some real benefits, turning those stock option certificates into real dollars takes some careful planning. It is…

Read More

You Just Turned 50 and You’re Behind on Your Retirement Savings. Here’s How to Catch Up

When it comes to saving for retirement, it is never too early to start, but the last decade or so before you reach retirement age can be especially critical. By then, you will probably have a pretty good idea of when (or if) you want to retire, and, more importantly, still have some time to…

Read More

The TCJA Blessed the Backdoor Roth IRA. Why Aren’t More People Using It?

Buried in the text of the 2017 Tax Cuts and Jobs Act (TCJA) lies a statement that Congress approved, blessing the so-called “back-door” Roth IRA: “Although an individual with AGI exceeding certain limits is not permitted to make a contribution directly to a Roth IRA, the individual can make a contribution to a traditional IRA…

Read More

Roth IRAs Are Not for Everyone. Here’s Who They Are For

The key advantage to utilizing a Roth Individual Retirement Account (IRA) is that when done properly, your withdrawals in retirement are not taxed. For that reason, it has become the most coveted retirement vehicle there is. Roth IRAs prompt many savers to wonder whether they should either begin contributing to or converting a portion or…

Read More

Here’s How to Keep Your State from Taking Your Money

Hidden within the layers of bureaucracy of every state government lies the office of unclaimed property. This office serves at the pleasure of both the state treasurer and chief financial officer and is responsible for carrying out the process of escheatment. Escheatment refers to an archaic process whereby the title of financial assets such as…

Read More

Pin It on Pinterest

Join our private community of money nerds.