Finance & Economy
During difficult economic times, borrowing from your 401(k) can seem like a great idea. There are a lot of positives to a 401(k) loan. However, there’s also a minus side because borrowing from your 401(k) — and borrowing often — can also expose you to a few risks.
I’m going to guess you’ve made a financial mistake or two in your life. Who hasn’t? For some of us, it was more than an occasional late fee or random urge to overspend that brought us to our financial knees.
If you’re a young worker, contributing to a tax-free Roth IRA because you believe the government will keep its promise to allow you to withdraw both contributions and investment gains without paying taxes, you might want to think twice.
The world of 401(k) plans is in an uproar. Finally, someone is questioning the fees that plan participants pay for the mutual fund choices within the plans, and the actual expenses of managing the plans, keeping the records and providing services.
“Many young adults tell us they feel a tremendous amount of pressure to live up to parents’ expectations and to achieve their same level of success,” says Philip Sieg, head of the Ultra High Net Worth Client Segment and Solutions for Merrill Lynch Wealth Management.
Remember the way banks used to slap debit-card users with outrageous bounce fees if you happened to operate too close to the edge
Whether you’re a confused stock market investor or a saver frustrated by low interest rates, this is not the time to make any big moves. The best decisions are made by analyzing facts, but these days the financial facts seem to change day by day.
Would you take a bribe? To do the right things? Things like saving and paying down your debt? That’s part of the interesting psychology behind SaveUp.com, a free website that lets you earn a shot at cash and other prizes, just for doing the right thing.
John W. Rogers Jr., founder, chairman and owner of Ariel Investments L.L.C. in Chicago, one of the nation’s largest African American-owned asset management firms, is among the super-elite when it comes to helping people make the most of their money... Last year, Black Enterprise named him one of the most powerful Blacks on Wall Street. Rogers, 54, is a former classmate and still a friend of First Lady Michelle Obama’s brother. President Barack Obama appointed him to the President’s Advisory Council on Financial Capability. Rogers was in New Brunswick, N.J., recently and sat down for a brief interview with TNJ contributing writer Glenn Townes.
Recipients of federal benefits who receive their payments by paper check have about a year to switch over to an electronic payment method. Under regulations announced by the U.S. Treasury Department in December 2010, all federal benefit payments, such as Social Security, will be paid electronically by March 1, 2013.