401(k) Plans Archives | Darrow Wealth Managment

401(k) Plans 403(b) Plans Forbes Retirement Planning Secure Act SEP IRA Traditional IRA Updated for 2021

4 Ways the Secure Act 2.0 Would Change Retirement Planning

If passed, the 'Secure Act 2.0' would significantly alter the retirement landscape. Officially called the Securing a Strong Retirement Act of 2021, the bill is essentially a follow up to the 2019 Secure Act. After passing the House Ways and Means Committee yesterday, the proposed legislation is now going to…

Kristin McKennaMay 10, 2021

401(k) Plans 403(b) Plans Asset Management Boston financial advisor Choosing a financial advisor Forbes Investing Retirement Planning

Should I Pay Someone To Manage My 401(k)?

Investors can save over three times as much in a 401(k) compared to an IRA, without even including employer contributions. So, it's little surprise that most Americans rely on employer plans to save for retirement. Given the reliance on 401(k) or 403(b) savings, investors may wonder: should I pay someone…

Kristin McKennaMarch 1, 2021

401(k) Plans Forbes Inheritance Updated for 2021

If You Inherited A 401(k) From A Parent, Here’s When You Need To Take The Money—And When You Should

As part of the Secure Act, most adults who inherit a 401(k) from a parent must take the money in 10 years. Depending on your financial position and life stage, this could complicate your tax situation. After inheriting a 401(k) from a parent, consider ways to balance the benefits of…

Kristin McKennaDecember 15, 2020

401(k) Plans Inheritance Tax & Estate Planning Tax planning Updated for 2021

Inherited a 401(k) From a Parent? Tax Planning for Distributions

If you've inherited a 401(k) from a parent, you likely have questions about your options for the account and the tax impact. Luckily, non-spouse beneficiaries usually have some control over how to manage an inherited 401(k) plan. However, as part of the Secure Act, most adults who inherit a 401(k)…

Kristin McKennaNovember 23, 2020

401(k) Plans Employee benefits Forbes Retirement Planning Tax planning Updated for 2021

Roth 401(k) vs Traditional 401(k): Investing Pre-Tax or After-Tax

Which is better, a Roth or traditional 401(k)? The central difference between a Roth 401(k) and traditional 401(k) is the tax treatment of your contributions. Investors make traditional 401(k) contributions before tax while Roth savings occur after tax. Which is best for you will depend on your current/future tax situation,…

Kristin McKennaOctober 26, 2020

401(k) Plans 403(b) Plans Asset Management Diversification Forbes Investing Retirement Planning

Are Target-Date Funds A Good Choice For Your 401(k)?

Nearly every retirement plan offers target-date funds as investment options. But are target-date funds a good choice? The age-based method of setting your asset allocation makes sense in some cases, but investors can also stay in a target-date fund too long. Put another way, if your financial situation has evolved…

Kristin McKennaJuly 13, 2020

401(k) Plans Financial Planning IRA Rollover Roth IRA Secure Act Updated for 2021

Rolling Over a 401(k) to a Roth IRA: Should You Convert to a Roth?

What are your 401(k) rollover options? You may consider rolling over an old 401(k) to a Roth IRA, which is properly described as a Roth conversion. Converting your old 401(k) or 403(b) to a Roth IRA is worth considering. A Roth IRA offers unique benefits unavailable in other types of…

Kristin McKennaMay 26, 2020

401(k) Plans Infographics IRA Rollover Job Transition

Should I Roll My 401(k) Into An IRA? Rollover Options When You Change Jobs

401(k) rollover options when you change jobs If you've switched jobs and haven't taken your old 401(k) with you, consider your rollover options. There are 4 options for your old 401(k) when you change jobs: 401(k) rollover into an IRA Convert your 401(k) into a Roth IRA Leave your 401(k)…

Kristin McKennaMay 12, 2020

401(k) Plans IRA Rollover Job Transition

How Does an IRA Rollover Work?

How to roll over a 401(k) to an IRA in 5 steps Rolling over an old 401(k) after you leave your job is easy, but how does an IRA rollover work? Though there is usually no time limit to move your old 401(k), you won't want to wait too long.…

Kristin McKennaMay 5, 2020

401(k) Plans Business owners Employee benefits Retirement Planning SEP IRA Solo 401(k)Updated for 2021

3 Retirement Plans for Small Businesses: How They Compare

What's the best retirement plan for small businesses? Business owners with employees have several options: traditional 401(k) plan, SIMPLE 401(k), SIMPLE IRA, and SEP IRA are the most popular. The best option will depend on factors unique to your business such as budget, employee makeup and funding goals (for yourself,…

Kristin McKennaJanuary 7, 2020