Coalition Urges Labor Department to Protect Retirees’ Nest Eggs

Public interest groups have joined forces in a coalition to prod the U.S. Department of Labor to revise rules requiring financial advisers to act in their clients’ best interests when offering retirement investment advice. SaveOurRetirement.com, a website created by the coalition, is urging the Labor Department to update the so-called fiduciary rule. Without that safeguard, advisers to retirement plans could sell financial products that pay large commissions yet hurt their clients with unnecessary fees, poor returns or excessive risks, the coalition said. Enter for …

Illinois Is First State With New Savings Plan for Workers

Illinois will become the first state with a broad-based effort to automatically enroll private-sector employees without retirement plans into a new savings program. Gov. Pat Quinn signed legislation on Sunday that creates the Illinois Secure Choice Savings Program. Employers with at least 25 workers and no retirement plan will be required to offer employees the option of enrolling in Secure Choice, which allows employees to invest in a Roth IRA through payroll deduction. Employees can decline. “This turnkey program will make it …

IRS Boosts Limits for 401(k) Contributions

If you’ve been wanting to sock away more money in your workplace retirement savings plan, next year’s your chance. This morning the Internal Revenue Service announced that next year’s contribution limits will go up by $500, to $18,000 for 401(k)s, 403 (b) plans at nonprofits and most 457 plans offered by state and local governments, as well as the federal government’s Thrift Savings Plan. >> Boost Your 401(k) Retirement Savings Workers ages 50 and older are entitled to make extra contributions …

8 Year-End Tax Moves to Make Now

As we enter the home stretch of 2014, it’s time to consider some tax moves. Here are a few you might want to consider: 1. Give to charity. For those who itemize, making a charitable contribution could lower your taxes. Rather than just giving cash, consider giving your most highly appreciated securities. You usually will get a deduction equal to the full value of the securities and will not have to pay a capital gains tax. 2. Max out your 401(k). …

Creditors Can Snatch Your (Inherited) IRA, Supreme Court Rules

A U.S. Supreme Court ruling has just made estate planning a lot more cumbersome for some high-net-worth parents who want to leave tax-free money in a Roth IRA to a child. Retirement accounts are protected from creditors in bankruptcy cases so people don’t wind up destitute in old age. However, the court unanimously ruled on Thursday that this is not the case for those who inherit IRAs. The court decision involves a case of a woman who inherited about $450,000 in an IRA from her mother …