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An aggressive saver who can't save enough
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Question: I'm 27 and have had a Roth IRA since I was 16 years old. I've been maxing out that account since I graduated college, and I now also max out my 401(k). But this year my income will be too high to allow me to contribute to either a Roth IRA or traditional deductible IRA. I still have money I want to save, so I'm wondering whether I should just open a regular taxable account and invest in muni bonds, annuities or something else. Any suggestions? --Donald J.
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60 years old and no savings
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Question: I'm one of those Americans who are just not financially prepared for retirement. I'm 60, but have very little saved because my money went into my own businesses, all of which eventually failed. I'm now working for a company and participate in its 401(k). But short of winning the lottery, I don't know what to do to be able to retire. Any suggestions? --Tony F., St. Louis, Missouri
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Paying off debt with a 401(k)
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Question: Should I borrow from my 401(k) to pay off debt? -- Verlyn Regehr, Denver, Colorado
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When is an annuity worth it?
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Question: I just don't understand annuities. There seems to be a lot of buzz about their guaranteed income as a crucial piece of any retirement portfolio. But if I have $100,000, then I already have guaranteed cash to pull from that is not subject to fees or penalties. And I may benefit from higher interest rates in the future. So why would I buy a $100,000 annuity? What am I missing? -- Dave, Denver, Colorado
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To build or not to build your own portfolio?
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Question: Our retirement savings plan at work now offers several target-date retirement funds. I'm about 20 years from retirement, and I'm wondering whether I should consider one of these funds or try to keep a diversified portfolio on my own? -- Michael P., Chillicothe, Ohio
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Retire to Mexico -- the price is right
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The years-long trend of Americans buying homes and expatriating to Mexico has collapsed, done in by a trifecta of the recession, swine flu and an epic crime wave.
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Maximize retirement savings
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Question: I want to max out my 401(k), but my company limits contributions to 20% of salary. Given what I earn, I would have to contribute more than 20% to reach the maximum contribution allowed by law. I know I can handle putting away more, but because of my employer's 20% cap, I can't. Can companies really limit my contributions like that? And, if so, what can I do to save more? -- Laura, Denver, Colorado
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Your toughest retirement puzzle: Long-term care
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Ask someone why he or she bought a long-term-care insurance policy and you will probably hear a story about family. Often a sad or scary story.
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Dialing back the risk in retirement
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A basic tenet of retirement investing states that as you get closer to calling it a career, you should grow more conservative -- tilting away from volatile assets like stocks and toward more stable investments like bonds and cash.
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Should I sign up for my 401(k)?
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Question: My employer offers a retirement savings plan. I'm turning 30 this year and I'm wondering whether to enroll in it. Do you think I should? --P.J., Boston, Mass.
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The 3 stages of retirement
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Question: Most people assume that your income needs will remain constant throughout your retirement years. But my wife and I plan to retire early and do a lot of international travel and volunteer work while we're still young. I can't see us continuing the same travel schedule in our late 70s as in our late 50s. So wouldn't it be safe to assume that our income needs will go down as we get further into retirement? How should we plan for that? --Brad, Arlington, Virginia
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Get your kids to fund a nest egg
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Naturally, affording retirement isn't an issue that weighs heavily on the minds of young people just starting off in the workforce. So it's no surprise that only 28% of workers under age 25 contribute to employer-sponsored retirement plans, as reported by tax information service CCH.
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10 years to retirement - Are you ready?
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Question: I have about 10 years until I retire, and I'm wondering whether I should put my 401(k) savings back into high-risk stock funds or a moderate-risk stock fund like a Standard & Poor's 500 index fund. What do you think? -- Paul, Brockton, Mass.
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How Uncle Sam wants to boost your retirement
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Usually I cringe when our leaders in Washington try to help improve our finances. I'm afraid their efforts may do more harm than good. But two new ideas being discussed inside the Beltway could actually make it easier to prepare for retirement. Both center on the income you'll generate from your 401(k).
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43% say they have less than $10k for retirement
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The percentage of American workers with virtually no retirement savings grew for the third straight year, according to a survey released Tuesday.
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Retire early, save for a home
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Like many households, Wener and Tieun Vieux have suffered a few financial jolts of late.
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The retired couple's guide to livin' the dream
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Question: My husband and I have been happily married for 28 years. Careful spending and sound planning over time has provided us with a very comfortable financial future. Although we're compatible in many ways, our outlook differs when it comes to enjoying our money. I'm more of a saver and I hate to shop. I'm already retired, and when my husband retires in a year we'll begin drawing on our retirement savings. Can you suggest some tips on how we can communicate effectively about spending our money? How do we assure that we'll both have the independence to decide how we want to spend "our share" without judgment? --Margaret M.
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Make the best of a bad 401(k)
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You're probably feeling a lot better about your 401(k) these days, and not without reason. The average balance for experienced workers, after declining 19% in 2008, bounced back 29% last year, including new contributions.
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Retired early, coming up short
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Question: I lost about 40% of my retirement savings after taking early retirement. I'm now 55 and have $650,000 left. Can you suggest a portfolio that provides capital appreciation, income and growth? I require about $6,000 a month to live on. --Bill, Philadelphia, Pennsylvania
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401(k) flub: Turning down free money
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Question: I'm 24 and my 401(k) plan matches $1.25 for every dollar I contribute up to 6% of salary. I currently contribute 3% of my salary and then put $75 a month into a Roth IRA. I do that because I don't want all my eggs in one basket. I'm wondering, though, whether I should stop the IRA contributions and take advantage of the company match instead? What do you think? --Matthew, Sacramento, Calif.
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