Retirement Planning resources
The main difference between the traditional and Roth 401(k) is that with the pre-tax option, you pay the tax on your contributions and the earnings when you withdraw them at retirement at that current tax bracket, whereas with the Roth, you pay the tax on your contributions upfront, but the earnings can be withdrawn tax free.
Depending on how your workplace 401(k) is set up, your employer can match a certain percentage of your 401(k) contribution. Think about it as free money! This is a great benefit employers often provide to allow you to build up your retirement savings.
While both an IRA and a 401(k) are retirement vehicles, a 401(k) is an employer-sponsored retirement account whereas an IRA does not involve your employer but still allows you to contribute towards retirement. Be sure to look into the contribution limits of each.
Should You Contribute To a Pre-Tax or Roth 401(K)?
We often get many questions around this time of year regarding the key differences between a Roth and Pre-Tax (Traditional) 401(k). This is such a great question and an important
Retirement Inflation-Adjustments for 2022
Happy November everyone! New retirement inflation-adjustments for 2022 have been released, and we want to provide you with a quick breakdown. Business owners and employees, this one applies to you,
What to Know About 2021 RMDs
After being waived for 2020, Required Minimum Distributions (RMDs), which are amounts you must take each year from most retirement accounts once you reach a certain age, are happening again
Here Are The Differences Between A Roth and Traditional 401(K)
Have you been hearing more about Roth 401(k)’s lately. There are more and more options in company 401(k)’s recently, including the Roth option, whereas before many companies only provided traditional
The Benefits of Saving Early For Retirement
Combining asset allocation and early regular savings today helps to prevent playing the catch up game tomorrow. Contact Sherman Wealth Management for an investment strategy that, with periodic review, will
Americans Were Given the Coronavirus Option to Raid Their 401(k). Most Didn’t.
Despite the financial toll of the coronavirus pandemic, few American households have raided their 401(k) retirement accounts to make ends meet. Faced with the prospect of surging unemployment and a