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What would possess a man to
want to cut his own grass?
Retirement and Boredom
That ain’t no way to live - you ain’t got long left!!!
If you have landed on this site someone probably sent you. There may
be a few links here on the home page, but in most cases you are
going to need the full web address of the page you are looking for.
It should be something like: http://www.lawnmowergas.com/the-page-you-are-looking-for.html
The pages are NOT private; we just haven’t got around to making a list yet.
If you cannot find it, contact the person that sent you here.
Newest Member:
Tuscaloosa Fire Department
The Basics of Retirement Pension Plans
Surprisingly, the average person only has $10,000 saved for
retirement. Clearly, that is far from what is needed to live 10, 20
or 30 years - or longer - during retirement years. Even when they
can squeeze extra savings out of their budgets, people may put off
saving money for their later years. Perhaps it seems too complex or
difficult to figure out how to invest the money. But pension plans
can be one way to
provide extra money for retirement years.
Although there are different types of pension plans, they are geared
towards those who are no longer working and then need to replace all
- or part - or their pre-retirement savings. They can be
tax-deferred, adding to the savings that can accumulate and when
teamed with an automatic savings plan, money in pensions can build
up smoothly and steadily. They are among the most convenient ways to
save money for retirement.
One of the most common types of pension plans is known as an
employment-based pension. These are offered by employers as well as
those who are self-employed. Those offered by employers sometimes
have a company match, adding automatic money to what is already
being saved (up to the limits or percentages of the company match).
When a company match is offered, the funds can add up quickly, year
by year, and employees can designate a certain amount to be deducted
from their paychecks monthly.
When money is automatically deducted into an employer matched
pension plan, the money may not even be missed. It just continues to
grow. In many cases, not using an employment-based pension, with
match, is like letting extra and free dollars trickle away,
especially since the match can help make up for any losses in the
plan.
Some fund management companies also have pension plans.
Self-employed workers may decide to choose a Keogh Plan, a way to
secure income during retirement. With Keogh plans, no more than
$49,000 can be contributed annually, but many self-employed people
don't have that much to contribute so they can take advantage of
this type of pension while still saving significant amounts.
Social Security payments are considered a form of pension.
Deductions are made as long as workers are employed and most get an
annual Social Security statement which indicates how much money they
can expect to get monthly after retirement. However, many opt to
have personal pension plans as well, since Social Security payments
are likely to be reduced or eliminated in the future. Even so, there
are people who are using Social Security payments to get by, often
in combination with other types of pension plans (money saved for
retirement).
If people have a Defined Benefit pension plan, this means that they
will get a specific amount monthly. There is a formula which has to
be followed and the income varies, depending on the number of years
worked, retirement age and other factors. Sometimes it is possible
to calculate the defined benefit ahead of time, helping workers plan
budgets for their retirement years. Some of these plans have early
retirement terms, potentially allowing employees to retire early or
be forced to retire early. The paperwork should be read carefully.
Those who are investigating pension plans need to know the
difference between funded and unfunded plans. In funded plans, an
employer generally provides the money for the pension. It can be
hard to determine how much a retiree will get and some of these have
lost money. In a defined pension plan, future retirees are often
able to determine how much they will get monthly and some guarantee
minimum amounts.
No matter which type of pension plan is selected, it is important to
read paperwork carefully, make sure all years of work were credited
properly and review statements regularly. |
