Estate Planning Attorney with Gilfix & LaPoll Suggests Retirement Savings Tips
Palo Alto, CA (Law Firm Newswire) December 17, 2013 – A prominent estate planning attorney says that autumn is the season to take stock of one's retirement savings.
“As we draw close to the end of the year, it is a good time to think about whether your retirement savings plan is on track,” said Michael Gilfix.
For many people, a 401(k) is a key part of their retirement savings plan. If an employer matches contributions, then it is a good idea to contribute at least the amount that will be matched. But according to Gilfix, one may want to contribute even more (up to the allowable maximum per year). The end of the year is a good time to reassess one's contributions.
“Many people contribute just the amount that their employer matches, but you may want to consider contributing more, up to the maximum, which is $17,500 per year,” said Gilfix, a Palo Alto attorney. “A person age 50 or older can contribute an additional $5,500.”
Gilfix said that 401(k) plans are a smart way to save because funds are deducted from one's paycheck before taxes. The savings are tax-deferred until they are withdrawn during retirement.
Gilfix said that a Roth IRA is another good way to save for retirement.
“While a traditional IRA grants a tax break on money deposited into the account, a Roth IRA gives you a tax break on the money you withdraw during retirement,” said Gilfix. “For 2013, the maximum contribution to a Roth IRA is $5,500, and people age 50 or older can add an additional $1,000.”
Gilfix said that one should take stock of one's retirement savings plan at least once each year, including investment portfolios. Make sure that investments are balanced; rebalancing one’s assets is a crucial step to keeping investments at the right mix of performance and stability.
“If you have investments in stocks and bonds, now is an excellent time to take a close look and see how they have been performing, and what other options are available to you,” said Gilfix. “It is important to maintain a balanced portfolio.”
Facebook: Like Us!
- Gilfix & La Poll attorneys speak at NAELA Summit
Attorneys Michael Gilfix and Mark R. Gilfix of Gilfix & La Poll Associates appeared as featured speakers at two sessions during the 2016 National Academy of Elder Law Attorneys Summit in Newport Beach, California, on January 28 and 29. Michael Gilfix is one of NAELA’s original founding members. They addressed audiences of more than 100 […]
- How an IRA Trust can help avert disaster
By Attorney Elijah Keyes A father designated his son and daughter as the beneficiaries of his large retirement account. The daughter’s husband was physically abusive and the couple had been considering divorce. The father was adamant that his son-in-law receive nothing from his estate. After a very healthy life, the daughter was diagnosed with stage […]
- Home Care and Financial Abuse
Over 8 million older Americans receive care at home or in facilities by strangers. Some caregivers are trained and managed by home health care agencies. Others are hired privately in an effort to save money. Privately hired caregivers may charge as little as $12 or $14 per hour. Caregivers hired through an agency may be […]
- Avoiding fights over inheritance with revocable living trusts
When parents pass away without clear instructions in place about how to divide their assets upon their death, they may leave family members battling over inheritance for years. Such fights can cause rifts that are sometimes impossible to heal. A will contains detailed instructions on how a person wants their assets, such as family heirlooms […]
- Women bear the brunt of costs for Alzheimer’s care, says study
A study by Emory University researchers has found that women shoulder six times the cost of Alzheimer’s disease care than men. The greater burden in expenses is mainly due to the informal care that women provide to family members who have the degenerative brain disorder. Researchers examined three factors to calculate Alzheimer’s care costs using […]