retirement savings

How Much Income Will Your 401(k) Provide?

Posted on 05/13/2013 by |Money and Work | Comments

Bulletin Today | Money & SavingsYou may be throwing money into your employer-sponsored retirement plan — let’s hope you are — but do you know how much estimated monthly income your plan will provide over your lifetime? Employers are required by law to provide an outline of what workers can expect to get in estimated monthly retirement income from their traditional pension plans. But that’s not the case for 401(k) and 403(b) plans. [Find out if you're saving enough for retirement with AARP's calculator]. Maybe …

Retirement Gamble: Wake-Up Call on 401(k) Fees

Posted on 04/24/2013 by |AARP Blog Author | Comments

Money & SavingsWorried about how you’re going to pay for retirement? Join the club. A PBS Frontline documentary called The Retirement Gamble shows that you’re in good company. The silver lining: a brighter spotlight on hidden fees, plus information to help make the most of whatever you can sock away. Kudos to journalist Martin Smith, who ‘fessed up to the common mistake of saving for his kids’ education at the expense of his own retirement security (more on why it’s okay – and …

Why the Chained CPI is Wrong for Social Security

Posted on 04/11/2013 by |AARP Blog Author | Comments

PoliticsYesterday, the President included Social Security cuts in his budget through a proposal called the “chained CPI”. Let’s take a minute and break down exactly what that means: The chained CPI would modify the way the cost-of-living-adjustment (COLA) for Social Security is calculated, cutting benefits by $127 billion dollars over the next 10 years alone. That comes out to over $2000 in lost benefits for the average senior. Some have tried to defend this unprecedented inclusion of Social Security benefit …

Changing Jobs? Beware of Bad Information About 401(k) Options

Posted on 04/8/2013 by |Money and Work | Comments

Bulletin Today | Money & SavingsAbout to change jobs? If you have a 401(k) account, you’re at risk of getting bad information when you ask the company managing your retirement plan about your options. Turns out that, in some cases, the people who give advice over the phone push departing workers toward rolling over their 401(k)s into a privately owned individual retirement account (IRA) that the investment company sells. What these plan providers also don’t disclose to workers are the fees associated with that move or other …

Help for 50-Somethings Short on Retirement Funds

Posted on 04/4/2013 by |AARP Blog Author | Comments

Money & SavingsThe following is a guest post from Barbara Friedberg. There is no shortage of people in their 50s with little retirement savings. Pension plans like the ones our parents’ generation relied on are few and far between. Those 401(k) balances aren’t as high as we hoped. Social Security still faces the possibility of the “chained CPI” COLA proposal. Most of us, like my friend Seth, haven’t saved enough. Seth lives in New York City and earned a mid six-figure salary …

Parents, Get Your Financial Life in Order. Then Talk to Your Kids.

Posted on 04/1/2013 by |Money and Work | Comments

Bulletin Today | Money & SavingsA new survey that questions whether parents talk to their school-age kids about money reveals some startling results — namely, that nearly one in five parents expect to lean on their children for financial help in their retirement years. The Parents, Kids & Money Survey by investment firm T. Rowe Price was designed in part to find out whether parents talk to their elementary- and high school-age kids about saving and spending, and just how in-depth they go in guiding their children …