Saturday, December 12, 2009

Strategies for Retirements

By Jorden Meltz

With the Baby Boomers starting to enter into their retirement years, retirement planning will continue to play a bigger role in financial talks. Included in these talks will be a recent change in the rules governing Roth IRA's. Starting January 1st of next year, the $100,000 limit for converting other types of retirement accounts to Roth IRA's will be removed, providing many who take advantage of this new policy regarding Roth IRA's with great tax benefits. For those who currently have retirement accounts this comes as great news, but what about for those just starting their careers. According to a recent study 30% of workers between 21 and 24 do not take advantage of employer sponsored retirement plans. What these people fail to realize is the benefits of compound interest and that by starting to save today it can greatly increase how much they have saved in retirement accounts when they eventually retire. With the economy the way it has been as of recent it is very possible that people have preferred to have their money then put it away in savings but as the economy starts to recover this rationale will probably change and people will begin to realize the benefits of starting to retire at a young age.

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1 comment:

  1. Thanks for sharing the post, I like Strategies. I believe if I will follow them I can surely get a good retirement. I am 45 years old & thinking to have retirement. I will follow the strategies & make a plan. I want to live in a retirement community in Lancaster PA. I heard it is one of the Best Retirement Communities in USA. I am saving for them. They have wonderful apartments & they provide health care services too.