Making IRA contributions is more complicated than it used to be; there are traditional, non-deductible and Roth IRAs, and each has different income thresholds for eligibility along with rules about whether you or your spouse have retirement plans at work. However, if you don’t qualify to make a contribution directly, with a couple of extra steps, you can make what is called a &ldquo
A common question I hear is “when can I stop working?” Not that the client necessarily wants to stop working, they just want to know that they can stop. That would be my definition of financial independence; knowing that your investments or other income is enough to support your lifestyle, independent of your work.
While you are working, you add money to your investments to build a nest egg. In retirement, it’s time to start taking that money back out. The income goal in retirement is to mimic the paycheck you were receiving while you worked. This new “paycheck” often comes from several sources, including Social Security and/or pension payments, and perhaps rental incom
Balance in retirement is important – not just finding a balance between spending too much money and being afraid to spend, but also how to spend time. How much alone time do you prefer? How much would you like to engage with friends, family, or former colleagues? What is the right blend of relaxing and being active for you?