What Happens to Investment Funds When Someone Dies?
Summary When someone dies, investment funds such as brokerage accounts, mutual funds and retirement assets typically transfer to a named beneficiary or become part of the estate if no beneficiary is listed. The process depends on how the account is titled, whether a transfer-on-death designation exists and applicable state and federal rules. In many cases, […]
How Long Can a Company Hold Your 401(k) After You Quit?
Summary A company cannot hold your 401(k) indefinitely once you request a distribution, but processing timelines can range from a few weeks to about 90 days due to administrative steps, required notices, and plan procedures according to the Internal Revenue Service.¹ In many cases, the delay is tied to required disclosures and internal processing rather […]
Do I Need a Financial Advisor to Manage My Retirement Account?
Summary You do not necessarily need a financial advisor to manage a retirement account, but some individuals choose to work with one depending on their comfort level with investing, the complexity of their finances, and how much time they want to spend managing their accounts. Some people manage their own retirement savings, while others prefer […]
What Happens to Your 401(k) When You Quit?
When you leave a job, your 401(k) stays with you, but you may have several options for what to do with it. Depending on the plan’s rules and your personal situation, you might leave it with your former employer, move it to a new employer’s plan, roll it into an IRA, or take a distribution1. Leaving […]
What Are the Most Common Types of IRA?
Summary The most common types of Individual Retirement Accounts (IRAs) are the Traditional IRA and the Roth IRA, with additional variations such as the SEP IRA and SIMPLE IRA designed primarily for self-employed individuals and small business employees.1 Each type differs in how contributions are taxed, how withdrawals are treated, and who is eligible to […]
Is It Better to Keep Money in Savings or Invest?
Summary In retirement planning discussions, saving and investing are usually described as two different ways money may be set aside for the future. For many, savings is often associated with holding cash, while investing is commonly linked to long-term retirement timelines and changing account values over time. When people talk about preparing for retirement, they […]
Are Retirement Accounts Considered Investments?
Summary Retirement accounts are not investments by themselves, but they can hold investments inside them. Accounts, such as 401(k)s and IRAs, act as containers that set rules around taxes and withdrawals, while the actual investments, like funds or other assets, are what may grow or change in value over time.¹ Retirement terms can sound abstract […]
What Is a 401(k) and How Does It Work?
Summary A 401(k) is a workplace retirement savings plan that allows employees to set aside money from their paycheck, often with tax advantages, and invest it for future retirement income.1 It works by automatically contributing a portion of earnings into an account that can be invested in options offered by the plan, with rules around […]
What Are the Different Types of Retirement Accounts?
When planning for the future, understanding the various types of retirement accounts is a foundational step. These accounts offer different tax advantages, contribution limits, and withdrawal rules, which can influence how and when you save. Whether you’re employed by a company, self-employed, or simply looking to put more away for the long term, there are […]
Is It Better to Put Money in Savings or Retirement?
When managing your finances, one common question arises: Should you prioritize putting money in a regular savings account or contribute more to retirement accounts? The answer depends on, among other things, your goals, timeline, financial obligations, and how you plan to use your money. Both options serve different purposes, and finding the right balance can […]