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I started my SEP IRA at 30, but I wondered if there were other, nontraditional options for retirement. I asked financial planners how their millionaire clients saved. I'm happy to be saving for retirement now, but I still wonder if I could retire comfortably without saving into a traditional retirement account. To find out, I asked financial experts if any of their millionaire clients had retired without traditional retirement funds. They didn't take on debtIt turns out you can retire as a millionaire without robust traditional retirement funds.

☆ Exclusive: Google's VC firm just led a $12 million Series A investment in Range, a startup that's training AI to give financial advice
▼ + stars: | 2023-05-03 | by ( Darius Rafieyan | ) www.businessinsider.com time to read: +7 min

The company is training an AI model to give financial advice and hopes to make human advisors obsolete within a decade. Enter Range, a startup that's looking to use artificial intelligence and machine learning to make human financial planners obsolete. The company is building out a suite of financial planning tools aimed at aging millennials and designed to help streamline investing, saving, and estate planning. 'We're looking to replace you'These recommendations are reviewed and "massaged" by human advisors before being passed on to clients. She said she's excited about the prospect of making her own job obsolete if it means more people having access to financial planning.

A high-yield savings account is a good place to store money for short-term needs. Many banks offer high-yield savings accounts with variable high interest rates. A high-yield savings account may be the best place to save money for travel or a wedding. The best high-yield savings accounts offer variable annual percentage rates (APYs), some at 3.75% APY or more. Fun moneyIf you really want to reward yourself, consider putting your "just for fun" money in a high-yield savings account.

☆ 'Avoid the 1-click option 100% of the time': 5 ways to trick yourself into saving money
▼ + stars: | 2023-04-20 | by ( Mike Winters | ) www.cnbc.com time to read: +4 min

If you're like most people, you find that saving money is harder than spending it — especially when impulse purchases are just a mouse-click away. To help you save money, financial planners recommend following some sort of a budget, like one that follows the 50-30-20 rule. For that reason, "avoid the one-click option 100% of the time," suggests Brenna Baucum, a CFP in Oregon. Think of purchases in hours worked, not dollars spentAnother mental trick is to think of purchases in terms of hours worked, rather than dollars spent. It involves withdrawing all of your spending money as cash every month and dividing it into envelopes dedicated to different budgeted expenses, like groceries, gas or rent.

☆ 6 things to do with your tax refund other than spend it right away
▼ + stars: | 2023-04-18 | by ( Mike Winters | ) www.cnbc.com time to read: +4 min

That's what many tax filers have been considering this tax season, which ends today, April 18, for most filers. As of April 7, the average 2022 tax refund is $2,878, slightly lower than 2021's $3,175, according to the Internal Revenue Service. Of course, an IRS refund is merely a zero-interest reimbursement for overpayment on taxes throughout the year. To get you started, here are six smart things to do with your tax refund other than spend it right away. "If your tax refund can make a dent to lower the balance or possibly pay off your credit card, do it," says Nycole Freer, a certified financial planner in California.

I'm able to start investing the money for my future, and I cut my tax bill by around $3,500. This included a federal tax bill of around $9,700 and a New York state tax bill of around $3,300. Freelance income often fluctuates year to year, so this type of retirement account is great for meeting that need. All in all, my new tax bill was around $9,400 — with a $7,200 federal bill and a $2,200 New York state bill. If you're a freelancer looking for last-minute ways to reduce your taxes, consider opening up a SEP IRA account before the deadline.

☆ Skittish Savers Are Fleeing Local Banks. Here’s Why They Could Still Be a Great Deal for You
▼ + stars: | 2023-04-06 | by ( ) www.wsj.com time to read: +6 min

In fact, experts say now may be the time to consider what small banks have to offer. Depositors appear to be fleeing small banks because they fear problems in the banking sector could spread beyond the tiny number of troubled banks that have made headlines so far. “Which is bad for them, but good for their customers.”Of course, online banks also offer savers high interest rates that meet or exceed what most small banks offer. Small bank loansIf you are looking for a loan, small banks have a lot to offer, too. And if you already have a relationship with a small bank, you might be able to obtain more favorable borrowing terms.

☆ 6 signs you have too much debt—and how to pay it off
▼ + stars: | 2023-04-05 | by ( Mike Winters | ) www.cnbc.com time to read: +5 min

For just credit card debt, the average amount is $5,910. If you aren't able to add anything to your emergency fund while covering your minimum debt payments, your debt burden is probably too high to comfortably manage. You can only afford to make minimum debt paymentsOnly making minimum payments can be a sign that your debt burden is unsustainable. You're opening new credit card accounts to help pay for older onesOne way to pay down credit card debt faster is through a balance transfer card that offers a 0% interest rate for a limited time, usually 12 to 21 months. To calculate your debt-to-income ratio, tally all of your monthly debt payments and divide that total by your monthly income, after taxes.

Most people only need two bank accounts financial planner Brannon Lambert told HerMoney: A checking account and a savings account. You'll earn more interest with a high-yield savings account than a traditional savings account. See Insider's best high-yield savings accounts right now>>How many bank accounts should I have? Most people just need one checking account and one savings account, Lambert said. The sheer number of bank accounts you have doesn't hurt your credit.

☆ Investing isn't free. But here's why 20% of investors think it is
▼ + stars: | 2023-03-25 | by ( Greg Iacurci | ) www.cnbc.com time to read: +6 min

Investment fees may be a worthy addition to that list in the modern era — though not all investors are aware of this near-universal fact. These firms — whether an investment fund or financial advisor, for example — generally levy investment fees of some kind. watch now"And that makes you much less sensitive to the fees you're paying — in amount and whether you're paying fees at all." Here's the good news for many investors: Even if you haven't been paying attention to fees, they've likely declined over time. This is largely due to investors' preferences for low-cost funds, particularly so-called index funds, Morningstar said.

☆ Barely one-quarter of financial planners are women, but industry experts say 2 simple strategies could move the needle
▼ + stars: | 2023-03-22 | by ( Korie Wilkins | ) www.businessinsider.com time to read: +5 min

Only 23% of financial planners in the US are women. But as women grow their wealth — women control about 32% of the world's wealth, according to Boston Consulting Group — financial firms are evaluating how best to serve them. "People often saw me as someone's assistant," Sandra Cho, the president and founder of Pointwealth Capital Management, told Insider. Anne Marie Stonich, the chief wealth strategist at Coldstream Wealth Management, told Insider its Women and Wealth program focuses on networking and mentoring. Kate Healy, the managing director of the CFP Board's Center for Financial Planning, told Insider that financial firms are getting savvier about creating career paths for women.

If you're in debt or need help with your taxes, you can often get free help. Some situations may require the help of a financial advisor, and a fee-only advisor can be a good choice. Whether you simply don't want to pay for a help or are unable to, there's good news: Expensive professional help isn't the only way to solve your financial problems. The National Foundation for Credit Counseling provides credit counseling for any income level. Investing for retirementThe Financial Planning Association allows financial planners to provide free advice for families experiencing cancer, households needing help after COVID-19, and more.

☆ How to Pick a Financial Advisor
▼ + stars: | 2023-03-17 | by ( ) www.wsj.com time to read: +12 min

Read on to get started:Types of financial advisorsMany financial professionals, including financial planners, securities brokers, investment managers, and insurance brokers call themselves financial advisors so it’s important to know exactly what services an advisor provides before hiring one. Financial advisor designationsThere are myriad designations for financial advisors but only a handful that indicate the expertise most consumers need. CPAs, or Certified Public Accountants, can be certified with a Personal Financial Specialist credential, which combines their tax expertise with personal financial planning knowledge. How to find a financial advisorFinding a financial advisor is not so different from finding any other specialized service you’re in the market for. The right financial advisor can help navigate your financial life, from budgeting everyday spending to fulfilling long-term financial goals over a lifetime including the purchase of a home and a comfortable retirement.

☆ CNBC FA Council members share their strategies for a volatile market
▼ + stars: | 2023-03-08 | by ( Sara Lindsay | ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailCNBC FA Council members share their strategies for a volatile marketCertified Financial Planners and CNBC FA Council members Douglas Boneparth and Stacy Francis share their outlooks and strategies for an unpredictable 2023 market.

☆ Here's how after-tax 401(k) contributions can help with those big retirement savings goals for 2023
▼ + stars: | 2023-02-28 | by ( Kate Dore | Cfp | ) www.cnbc.com time to read: +2 min

Morsa Images | E+ | Getty ImagesThe difference between after-tax and Roth accountsAfter-tax 401(k) contributions are different than Roth 401(k) savings. For 2023, if you're under 50, you can defer up to $22,500 of your salary into your plan's regular pretax or Roth 401(k) account. The percentage of plans offering a Roth 401(k) saving option has surged over the past decade. watch nowHowever, some plans offer additional after-tax contributions to your traditional 401(k), which allows you to save more than the $22,500 cap. In 2021, roughly 21% of company plans offered after-tax 401(k) contributions, compared to about 20% of plans in 2020, the survey found.

This is where having an adequate life insurance policy can make all the difference. Even if you're only interested in a cheap funeral life insurance policy, the price is inevitably lower when you buy early. When I asked Gura about life insurance in the early days after death, he said, "Whole life and universal life insurance used in planning is very, very impactful. For example, let's look at a modest $300,000 whole life insurance policy. Even if you're not ready to have the discussion about end-of-life arrangements, life insurance is also made for the living.

Reuters GraphicsThe U.S. Labor Department is due to release its Consumer Price Index report for January at 8:30 a.m. EST (1330 GMT). For the purpose of calculating inflation, "housing" is considered a service. Reuters Graphics Reuters GraphicsEven outside of housing, the general pace of services inflation has been falling somewhat. Carpenter said he felt that one of Powell's top stated concerns, of low unemployment driving wages higher for workers in the services sector and keeping inflation elevated, may be overstated. "The link from wages to inflation is there, but small, and both services wage and price inflation are trending down," he said, noting a recent White House study indicating wage growth across key services businesses was declining.

☆ This savings account offers a 'triple tax benefit'—but 88% of users are missing out
▼ + stars: | 2023-02-09 | by ( Ryan Ermey | ) www.cnbc.com time to read: +3 min

Traditional retirement accounts, such as 401(k)s and individual retirement accounts, come with an upfront tax break. But a third type of account comes with tax-deductible contributions, tax-free growth in your investments and tax-free withdrawals on certain expenses in retirement: health savings accounts. How health savings accounts workHealth savings accounts are only available to people enrolled in high-deductible health plans. But the HSA comes with some extra benefits. You're also allowed to invest your HSA money in stocks, bonds, exchange-traded funds and mutual funds.

☆ How Much Should I Have in Savings?
▼ + stars: | 2023-02-07 | by ( ) www.wsj.com time to read: +10 min

And when you are ready to stop working, a healthy retirement savings account will allow you to maintain financial independence. How much should I have in retirement savings? Retirement Savings Targets by Age Saving 10 times your salary doesn't have to seem overwhelming. So how do you translate that into a savings goal? Retirement savings should be prioritized over college savings, says Fruzzetti: “In an ideal world, you’d be able to save enough for retirement and college concurrently, but that’s not always possible.” The most realistic plan for many families is to save as much as possible.

Permanent life insurance can build cash value. Beyond that, how do I use life insurance to build wealth? Financial planners and life insurance agents can help you create a budget to determine how much you can afford. Financial planners and life insurance agents can help you create a budget to determine how much you can afford. Before purchasing any life insurance policy, we recommend meeting with a financial planner or experienced life insurance agent.

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We need to stop thinking of life insurance as insurance. Unfortunately, we continue to see well-intentioned life insurance agents who don't sell more comprehensive policies to buyers they deem "too poor" for good life insurance. Common reasons people think they don't need life insuranceThe first and most important thing we want to address is the misconceptions about who doesn't need life insurance. If you buy a more comprehensive permanent life insurance policy, you can also use it as an investment vehicle for yourself. Insider's Featured Life Insurance Companies Lemonade Life InsuranceNationwide Life InsuranceGuardian Life Insurance Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.

Permanent life insurance policies are cheaper than term life insurance in the long run. More than half of Americans overestimate the cost of life insurance, and 30% believe life insurance is only for end-of-life expenses. Whole life insuranceUnlike term life insurance, whole life insurance lasts your entire life. Other types of life insuranceWhile term and whole life insurance are the two primary types of life insurance, there are other options. Variable: A permanent life insurance option, variable life insurance also has a cash-value portion the company invests.

☆ Gen Z workers want to retire before 60—here’s how much they need to save each month to get to $2 million
▼ + stars: | 2023-01-18 | by ( Cheyenne Devon | ) www.cnbc.com time to read: +1 min

Gen Zers, defined as Americans between 18 and 25, aim to retire by 59 on average, according to Northwestern Mutual's 2022 Planning and Progress study. Millennials, defined as those between 26 and 41, intend to retire by 61 on average. On average, American workers think they'll need $1.7 million to retire comfortably, according to Charles Schwab's most recent study, but that varies by generation. Gen Zers and millennials believe they'll need to put away $1.4 million and $1.8 million, respectively. However, a shorter time in the workforce means you'll need to put more money into your retirement savings to meet your financial goals.

To combat the issue of employees forgetting their old 401(k) accounts, Capitalize finds your old account(s) and coordinates the IRA rollover for you. If you indicate that you don't already have an IRA, Capitalize will walk you through opening one. While Capitalize can help you roll your old 401(k)s into a new IRA or an existing IRA, the platform can't help you roll your old account into your current employer's 401(k) account. Bottom lineOverall, Capitalize provides an accessible way for finding old 401(k) accounts and rolling them into an IRA. The platform's features account for some common hang-ups when it comes to 401(k) management, such as not knowing who holds their old 401(k) account or not having an IRA account to serve as a destination for the old 401(k) account's funds.

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