Savings | Common News Update

Jun132018 by adminNo Comments

Here's why most Americans tap their retirement savings early

Most people don't intend to raid their retirement accounts — and that's just the problem. Tapping your retirement dollars early is almost always considered taboo, although, at times, it can seem unavoidable. By far, the majority of Americans said they dipped into their retirement funds to pay off debt or bills, according to a recent report by GoBankingRates. The other most common reasons cited were to cover a financial emergency or medical expense. Less than 10 pe...

May102018 by adminNo Comments

Millennials: Here's what to consider before you dive into a health savings account

Finance

Adopting a health savings account as a young worker could be a smart financial choice. But look before you leap.Millennials' participation in HSAs has jumped in recent years.In 2018, 76 percent of those eligible had enrolled in an account, up from 40 percent in 2017, according to a recent report from benefits administrator Benefitfocus. That's a bigger jump than in any other generation (although millennials still lag behind Gen Xers and baby boomers in HSA adoption).Financial advisors say picking a high-deductible health plan with a health savings account can be a smart way to save for retirement (and future health-care costs).The high-deductible plan premiums are less expensive, and the associated health savings account has a triple tax advantage: Contributions are either pretax or tax-de...

Mar242018 by adminNo Comments

This wedding savings strategy is easier said than done

Finance

Cutting your wedding costs by avoiding "wedding season" may be easier said than done.In a recent Student Loan Hero survey, 8 in 10 couples planning to get married in the next year said they would be willing to choose a "less-preferable wedding date" if it would save money. That includes looking at weekdays and off-season months.No wonder: New data from planning site WeddingWire finds that the average wedding, including the engagement ring and honeymoon, cost $ 36,000 in 2017. The ceremony and reception alone were $ 27,000.Although both figures are $ 1,000 less than in 2016, they still represent a chunk of money.Yet there are still signs couples are overspending. WeddingWire also found that couples underestimated their budget by 42 percent, while Student Loan Hero notes that 74 percent plan...

Feb202018 by adminNo Comments

Fees could sink your retirement savings. What to do about it

Finance

The next time you check your 401(k) account, take a careful look at the fees you're paying."Fees erode returns," and what you don't know could be hurting you, according to Josh Robbins, chief strategy officer at America's Best 401k.Retirement savers often think of their 401(k) fees as "small percentages," and that's a mistake, Robbins said.Take two investors, for example: one who's paying 1 percent in fees and another who's paying 2 percent."The person with 2 percent in fees will run out of money 10 years sooner than the person with one percent in fees," Robbins said. "That's dramatic."To prevent that from happening to you, Robbins recommends you use a tactic he calls "financial archaeology."First, if you're investing in a 401(k) plan, ask for a copy of your fee disclosure and look at the ...

Jan252018 by adminNo Comments

India seeing huge inflows into financial savings: ICICI Bank CEO Chanda Kochhar

Finance

DAVOS: India is seeing a huge surge in the net inflows into financial savings and has reached nearly Rs 28 lakh crore in the last 18 months -- an amount equivalent to entire GDP of countries like Thailand, top banker Chanda Kochhar has said. She also said the flow into financial savings has surged significantly since the demonetisation exercise of November 2016. Kochhar, who was here to participate in the World Economic Forum annual meeting, told PTI in an interview that formalisation of economy and digitisation of banking transactions have proved to be among the most significant benefits of the demonetisation exercise. On the GST and other reforms undertaken in India, she said since 2014, the government has focused on several structural reforms which are strengthening the econom...