Month: February 2022

Retirement Savings vs. Your Kids’ Education Fund: Which Comes First?

Putting Your Retirement Savings First Isn’t Selfish – It’s Smart

Saving for the future can seem like a herculean task, especially for young families who are still settling into careers and are burdened with an abundance of competing financial demands. It can be difficult to see the big picture, let alone plan for it, when you’re raising children, paying off a mortgage, staying on top of household bills, and the countless other expenses that come with living life. So, if you’re having an internal debate about retirement savings versus college savings, you’re not alone.

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The Self-Employed Cash Balance Plan

The Self-Employed Cash Balance Plan

Small Business Owners Can Benefit from These Plans in More Ways Than One

Within many companies, employees enjoy a plethora of benefits that come along with their salary. Typically, there’s paid time off, health insurance, and for some, access to retirement savings accounts through the employer. One way a company may offer to help their employees save for retirement is through a cash balance plan, which works almost like a traditional pension plan but with some differences that make it attractive to small business owners. In essence, a cash balance plan provides self-employed individuals the opportunity to make sizable contributions to a retirement savings account while also enjoying tax benefits for their businesses.

This is an important option to consider because, oftentimes, self-employed individuals end up robbing themselves of the benefits that others get because they’re focused on putting all their money and resources into their business. However, cash balance plans come with tax benefits that significantly help any self-employed individual in the present, while offering a valuable way to save for retirement, too.

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