Also in this playlist...
This transcript is automatically generated
-- -- he really know about your -- K well at this crisis has taught us anything.
-- -- each of us need to be win more involved in our retirement savings that even in this year there are some things you can still -- to maximize your account.
And in my hand it's here financial advisor from there has financial services joins us from Washington DC.
A lot of people -- you know play in -- hole I got a 201 K.
Garbage for -- while many people have since either for a when he's come at relatively -- zooming and al-Qaeda properly.
So what are we learn from this -- needs now going forward we get sixty days to the end of the year -- -- -- I think the number one lesson is going to be that they allocation is very important to what I find is a lot of our clients tend to ignore the for a one K it comes from my paycheck I -- really pay attention to it -- -- goes wherever it goes.
I'm encouraging everybody to do at least quarterly reviews of their 401K to make sure that you have the proper allocation so.
When the markets go down they need your account doesn't go down -- much and when they come back up hopefully they'll come back up.
And I had a finality how does somebody know what the proper allocation is that's the question that I get -- all -- time people think.
You know you were for fox -- -- would you deal to tell me what I work with my four downplayed any day everybody individual is different aren't there.
Everybody is vastly different I think that -- the first thing I would do is go to my HR person find out who -- for a one K person is.
The represents -- for the company.
They -- have an allocation of some sort of generic so you're between age so and so if you're single.
It'll get a generic start.
To get a better start obviously to work with financial advisor because it really depends on your -- situation.
It depends on your -- depends on your annual income so there's a whole lot to go that goes into it.
But they're very very basic that I would do is get that generic allocation.
Because your age will determine a lot of the allocation that you should be -- Inflation a lot of her you know people are concerned inflation's gonna start to rear its ugly head he got retirees who are lost a lot of money baby boomers in particular they lost the time they don't have a ton of time left.
And now we have inflation that might you know creep up what what do we do to protect ourselves against that.
In terms of your retirement accounts there really is a -- -- you're trying to do is get the highest returns that you can get.
The way you protect yourself against inflation as -- -- needs to do at least annual reviews of your accounts.
And -- -- the retirement numbers when you initially -- your plan used to I used to live off of 5000 dollars a month term retirement.
Five may easily be six now.
So we need to re run the numbers and it.
What you can -- fact is when you retire and how much are contributing to the plan.
There are -- people out there that aren't maximizing their plans you may need to start maximizing.
The plan in order to be able to reach the amounts that you -- with the inflation calculated into it.
Other than doing that quarterly review that you spoke about your flowing case and if you had a proper allocation there.
What can somebody do between now and the end of the year just to ensure.
That they're they're getting the most that their 401K and there -- Time in general.
Okay maximize maximize maximum Eagles for the magic words this year.
You know everything's on sale as you -- a little bit earlier in the show the stock market is -- not too many games.
Let's start buying more stuff -- must start -- -- at a much lower cost so the first thing I would do is maximize your 401K.
Especially if your company offers and not change.
That's free money go take get -- -- -- you're doubling your money right off the -- Then next thing I would do is look into -- -- -- don't forget that the events are brought fire raises that they gave you tax free growth.
And tax free withdrawals so you want to put it as much money as possible.
Buy these stocks and the mutual funds that's cheapest possible obviously this year and let that money grow for retirement.
If -- maximize your 401K.
And you do not qualify for the -- fire right I would consider the traditional IRA.
Everybody qualifies for the traditional IRA.
The -- question is whether it's deductible or not so it may not be tax deductible.
But any money that you can earmark for retirement today I would definitely do I would get invested in the market as much as possible.
Something else to consider that is not gonna and -- maximize your dollars today but will help you in the future.
Is the converting -- traditional higher rate to -- fire right.
As you know that's something that we can do but for 2009.
Your income your modified adjusted gross income.
Needs to be under a 100000 dollars to qualify for that yet but again I'm encouraging -- Know you and -- right -- and I think these are all great things I think it did.
You know most important thing now is that people should look at where they are where they stand and they still time to go to HR and change their 401K contribution -- so many people cut back on it.
You can still make an attempt now Max out that.
Annual contribution for the year presuming have a money you know a lot of people are struggling with a but if something could yet thank you -- -- -- -- -- to consider.
Something else you might -- -- -- -- on bonuses.
Right you can you can you can allows for a when -- -- contributions -- -- -- -- thank you thanks.
Filter by section