The Cost of Skipping Last Year’s IRA Contribution? Let’s say Mary is 30 years old, employed, and has no workplace retirement plan available. It’s tax time, and Mary is trying to decide whether to make a contribution of $5,500 to her IRA for last year. How much could that $5,500 be worth to Mary when …Read More
Is an Investment Advisor Worth the Cost?
Is An Investment Advisor Worth the Cost? Vanguard recently published a research paper that provides specific evidence that an investment advisor can be worth the cost. By how much? Vanguard says “the potential value added” is “about 3%.” But the details are important. Not all advisors adopt the added-value strategy advocated by Vanguard: diversify across …Read More
Kitchen Trick: Whipped Cream that Lasts
Kitchen Trick: Whipped Cream that Lasts Whipped cream is the perfect topping for many desserts. But timing is the problem. If you’re having dinner guests, you can’t really make it in advance. Or if you’re bringing dessert, you have to plan for equipment. And on a warm day, whipped cream droops. Trick: whipped cream stabilizer. …Read More
What’s the Difference Between 401(k)s?
What’s the Difference Between 401(k)s? One company’s 401(k) is not the same as another’s. The differences can mean a lot to the employee. AOL chief Tim Armstrong had to backtrack on changes he announced to the company’s 401(k) plan when he blamed critically ill babies for high expenses that necessitated cost-cutting. Really? Setting aside his …Read More
Fundamentals: Net Worth — the Big Picture
Fundamentals: Net Worth — the Big Picture This article is part of a series on the fundamental aspects of financial planning. If you pay attention to money, you are probably keenly aware of what you earn and how your investments are doing. You might also be aware of what you spend. Your earnings and spending …Read More