PF Buzz - Personal Finance Social Bookmarking

A discussion of whether to fund your retirement account with pretax (traditional 401(k) or IRA, vs post tax (Roth 401(k) or Roth IRA). The decision is not so simple.
Joe

The Roth IRA provides no deduction for contributions, but instead provides a benefit that isn't available for traditional retirement accounts.

"If someone told you there was a way to earn tax free money for retirement, would you turn it down? That’s exactly why you should have a Roth IRA." Nice overview of why it is a good idea to start a Roth IRA account while you are young.

I'm choosing to stick with my Roth 401k instead of switching back to a traditional 401k or stopping investments all together.

With the S&P 500 being down over 30% year to date investors are getting nervous about their sinking retirement accounts. Many are simply throwing the towel and converting a majority of their stock mutual funds into bond funds in order to prevent their investments fall further in case we experience the next great depression.

Wondering about Target Retirement Funds? Here's some information you'll find helpful.

A college education can be invaluable in today's society. Nearly every parent wants their children to go to college so they can get a high-paying career but many think that it's going to cost them an arm and a leg to put their children through school. While it would cost a considerable sum to fund your children's education, you'll give them a much better chance of success if you don't pay their way.

In the past decade, hedge funds have grown tremendously and they have been loved by investors and fund managers alike. And why have investors liked these costly investments? Guess? Yes exactly, the very high returns.

In this 11-minute podcast, John Ameriks of Vanguard's Investment Counseling and Research group explains the steps you can take to draw down your retirement assets without exhausting your portfolio. Mr. Ameriks discusses withdrawal rates, required minimum distributions, and the various investment vehicles available—from annuities to a new category of mutual funds called managed payout funds. He describes the funds' investment strategies and explains the differences between Vanguard's 3 new funds.