What Is A Realistic Rate of Return For Retirement Planning
Is 10% rate of return a good number to use for retirement planning? May be not, if your investment time horizon is 15 to 20 years. Read more in this article.
» Read moreCategory: Building Wealth
Is The Time To Invest in Gold Now?
In the first week of August, gold was trading above $2,000 for the first time in history. Citi economists predict that gold could reach $2,300 in next six to twelve months, while Bank of America predicts the gold could reach $3,000 over the next 18 months! According to this CNBC […]
» Read moreShould You Abandon Tax-Exempt Bond Fund?
As you know, the majority of securities held in a Tax-Exempt Bond fund are municipal bonds issued by state and local governments. For instance, at least 75% of the securities held by Vanguard Intermediate Tax-Exempt Bond Fund (VWITX) are municipal bonds. High unemployment, loss of tourism, collapse of oil and […]
» Read moreSaving for Retirement Using the Engineering Equation!
In this post, I will be demonstrating how the process of saving for retirement is analogous to the engineering equation! As with any engineering analysis, firstly, we will start with a problem statement. Secondly, we will review variables. And finally, we will review the end result. Problem Statement So here […]
» Read more4 Roadblocks To Achieve Retirement Savings Goal
Do you know that the national average retirement savings balance for all ages is $95,600 according to Fidelity? If you review the data further, the average retirement savings balance is $160,000 for age groups 50 to 59 and $182,100 for age groups 60 to 69. These average retirement savings may […]
» Read moreThe Tale of Retirement Savings: $417 to $2.8 million
Your retirement savings has potential to grow from $417 to $2.8 million over 40 years with consistent investing from every paycheck! Yes, it is possible! How? Read on! After you decide how much to contribute in a 401(k) and/or Roth IRA, it’s time to decide where to invest your retirement […]
» Read moreHow to invest your savings from your first paycheck?
One of the best places to invest your savings from your first paycheck is the retirement accounts: a 401(k) and Roth IRA. Why? Because investing $10,000 per year in your retirement accounts starting in your 20s will make you a millionaire in your 60s! What are 401(k) and Roth IRA? […]
» Read moreEnjoy Now or Save for Retirement
When I talk to younger colleagues at work, the question “enjoy now or save for retirement” often comes up. When we hear about planning for retirement in our 20s most of us cringe. We immediately think about the frugality required to save for an unknown future which is decades away. […]
» Read moreWhat is Your Risk Tolerance?
Risk tolerance is defined as “an individual’s willingness to take risk when a possible outcome is negative”, according to the CFA Institute Research Foundation. In other words, risk tolerance is the willingness to accept negative outcomes in pursuit of favorable rewards in the future. The investment time horizon is one […]
» Read moreWhy is managing inflation risk important?
All investments are associated with Risk. Even the safest investments such as the U.S. Treasury securities issued by the US Department of Treasury and Certificate of Deposits (CDs) issued by FDIC-insured banks or credit unions are associated with risk, Inflation Risk. What is Inflation? Inflation indicates a decrease in the […]
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