To begin with, withdrawals from traditional employer-sponsored retirement plans like these fall under the Internal Revenue Service's "required minimum distributions" (RMD) guidelines. (You aren't required to take these distributions from a Roth IRA.)
First of all, save early – and save often. Too many people put off saving for retirement until they are in their late 40s – and even their 50s. If you wait until you are in this age group, you can still do quite a bit to help build the resources you will need for retirement – but it will be more challenging than if you had begun saving and investing while you were in your 20s or early 30s.
Not surprisingly, your retirement date likely will be heavily influenced by your financial situation – so, if you have to keep working, that's what you'll do. But if you have a choice in the matter, your decision could have a big impact on your investment strategy.
Your first step in addressing these objectives is to maintain realistic expectations. Consider the issue of paying for college. Right now, the average four-year cost (tuition, fees, room and board) is about $80,000 for in-state students at public universities and approximately $180,000 for private schools, according to the College Board. And these costs are likely to keep rising in the years ahead
Of course, "legacy" can mean many things. In the broadest sense, your legacy is how you will be remembered by your loved ones, friends and the communities to which you belong. On a practical level, establishing your legacy means providing your family and the charitable organizations you support with the resources you would like them to have.
For starters, it's useful to understand that your investment preferences and needs will indeed change over time. When you're first starting out in your career, and even for a long time afterward, you can afford to invest somewhat aggressively, in stocks and stock-based investments; because you have time to overcome the inevitable short-term market drops. At this stage of your life, your primary concern is growth – you want your portfolio to grow enough to provide you with the resources you'll ne
Surrounded by the pastoral setting she worked for more than two decades to protect, Leslie Reed-Evans received the heartfelt congratulations of the Williamstown Rural Lands Foundation at Saturday afternoon's annual meeting.
Libraries have changed a lot in 24 years.
They have gone from having large card catalogs to find the book with the information the patron needs, later adding desktop computers, to now being able to check out wireless hotspot times, iPads, hands-on learning tools for children, a telescope, to a 3D printer. You can even eat and drink in one portion of the library. But, shhh! You still have to keep your voice down.
In fact, your health care costs during retirement may well increase, so you may want to plan for these costs well before you leave the work force. How much can you expect to spend on health care during your retirement years?
BRPC Executive Director Nathaniel Karns knows a thing or two about planning.
He's been in the business for 40 years with most recently a 23-year stint as the executive director of Berkshire Regional Planning Commission.
The City Council on Tuesday bid goodbye to one longtime employee and welcomed her replacement.
Assistant City Clerk Nancy Canales, who retired last week after nearly 19 years with the city, was presented with framed and personalized map of historic North Adams by the City Council.
Once you turn 70 1/2, you generally need to start taking withdrawals – the technical term is "required minimum distributions," or RMDs – from your traditional IRA and your 401(k) or similar plan, such as a 403(b) plan (for employees of pubic schools, religious institutions and other tax-exempt organizations) or 457(b) plan (for employees of state and local governments and governmental agencies).
Stanley "Stash" Cote hung up his mop and broom for the final time on Wednesday.
The longtime custodian spent 39 years cleaning up after the children of the Adams-Cheshire Regional School District.
But Cote's expectation of sweeping up and walking into retirement didn't go as quietly as expected. Instead, he was met with a hall full of students and faculty thanking him with a "walk of honor."
So, assuming you do have a traditional IRA and a 401(k) or similar plan, what should you do with the RMDs? You'll probably require at least some of these distributions for your living expenses, but if you don't need it all, what should you do with the "excess"?