When Can I Take Money Out of My 403(b)?
403(b)s have essentially the same distribution rules as 401(k)s. The advice given for 401(k) accounts still applies here: taking money out of a retirement account before retirement is strongly discouraged. You may withdraw your money penalty-free at age 59½, and you must begin taking annual withdrawals that satisfy RMD requirements on April 1st of the year you turn 70½. If you withdraw money before age 59½, you will be subject to a 10% penalty in addition to regular income taxes. Continue reading...
How Much Does (and Will) Social Security Pay?
Social Security uses a formula that applies a factor to your average monthly income from the 35 years in which you earned the most. The benefit will be calculated for your Normal Retirement Age (67 for most people today), and you should receive statements in the mail keeping you updated on your projected or actual Social Security Retirement Benefits. Every year, you should get a statement from the Social Security Administration that provides you with exact numbers. The amount depends on the age at which you retire, and the contributions you made to Social Security over the years. The formula uses the 35 years in which you earned the most, and divides it by the total number of months in 35 years, which is 420, which leads to your Average Indexed Monthly Earnings (AIME). Continue reading...
How to use the Broadening Top (Bullish) Pattern in trading
Once the price breaks out from the top pattern boundary, day traders and swing traders should trade with an UP trend. Consider buying a security or a call option at the upward breakout price/entry point. To identify an exit, compute the target price by adding the pattern height (H on the chart) to the breakout price. The pattern height is the difference between the pattern’s highest high and its lowest low. Continue reading...
What is the Head-and-Shoulders Top (Bearish) Pattern?
The Head and Shoulders pattern has five points to it. There is the left shoulder, the left side visit to the neckline area, the head, the right side visit to the neckline, and the right shoulder. A head and shoulders pattern appears as a baseline with three peaks, the outside two are close in height and the middle is highest. The image below is an example of the bearish head and shoulders pattern: Continue reading...
What is a Debt Settlement Company?
A debt settlement company is a company who specializes in helping people with overwhelming debt settle with their creditors. Debt settlement companies can help individuals with debt issues settle with their creditors for less than they owe. Of course, this will give the individual’s credit score a significant dent that stays on public record for seven years, but at least it gets people out from under their crushing debt. A settlement company will attempt to negotiate a settlement deal on your behalf with one or all of your creditors. Continue reading...
What is an Expense Ratio?
Generally associated with mutual funds and exchange traded funds, the expense ratio represents the total annual management fee. The expense ratio is the annual management fee charged to shareholders by ETFs and mutual funds. The annual fee typically comprises the annual management fee, 12b-1 fees (which are associated with research costs), operating costs, and all other administrative type fees that go into the product. The expense ratio encompasses all of these fees as one percentage. Continue reading...
Who are Some of the More Well-Known Investment Managers?
There have been many notable investors who have withstood the test of time. Of those that are still living, Warren Buffett definitely stands out of the crowd. If you had invested $1,000 with him in 1965, the investment would be worth over $6 million today. Some of those who could be considered in the realm of "founding fathers" of sound investment strategy would include J.P. Morgan, Benjamin Graham (author of the famous "The Intelligent Investor"), and John Templeton. Continue reading...
How Long Will It Take Me to Pay Off Debt?
Paying off debt depends on a variety of factors, like the total amount of debt, your payment schedule, the principal amount, and interest rates. There are plenty of financial calculators you can access on the web, which would allow you to calculate your payment schedule. Your financial advisor should also have software available to run these numbers for you, or in the very least, a financial calculator to run the numbers quickly. The 'inputs' you need to complete the calculation are: the size of your debt, your planned payments, and the interest rate you’re paying. Continue reading...
What is adaptive selling?
Adaptive selling is a sales and marketing principal where the product or services offered are framed or actually modified based on the preferences or demographics of the audience or client. Adaptive selling requires the ability to customize a shopper’s experience as they interface with the real or virtual storefront. The sales system leaves room to learn about the customer and to adopt the language and products offered based on changing interpretations of the customer. This may require a well-trained sales representative or a well-designed computer algorithm, as has been implemented on some e-commerce sites. Continue reading...
What is Publication 504, Divorced and Separated individuals?
IRS Link to Publication — Found Here Divorce can be a hard thing on a personal level, and the tax returns can become more difficult to sort through as well. Publication 504 walks through the various choices available to those who are divorced or separated and who may need to adjust how their dependents are claimed, how property is divided up or sold, and who pays the taxes due at the time of divorce. Publication 504 gives detailed instructions concerning how to correctly report and file the proceeds of divorce. Continue reading...