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Turbocharge Your Retirement Savings in 2024

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Secure Act 2.0 and Inflation Indexing

Secure Act 2.0 unleashes several key changes directly benefiting individuals like you. If you’re a fan of boosting your savings game, here are some game winning strategies. We will dive into the key changes that are set to redefine the retirement landscape in 2024 and beyond, but before we dive into the game-changers we will highlight the contribution limit increases already on in play thanks to the annual inflation adjustment.

Inflation: Growing Your Nest Egg Faster

Inflation isn’t just affecting your grocery bills; it’s also giving your retirement savings a boost! Here’s how inflation-indexed contribution limits for 2024 benefit you:

Traditional and Roth IRAs: Score big with a $7,000 touchdown this year, up from $6,500 in 2023. That’s an extra $500 to turn your retirement dreams into reality. In addition, if you are 50 and over still in the game, you can make a ‘Catch-Up’ contribution of $1,000. There are some limits on IRA and Roth IRA contributions based on your income, in particular if you are covered by a retirement plan at work, depending on your individual circumstances. More information on a potential curveball is available at the IRS website.

401(k) and 403(b) Plans: Max out at $23,000 in 2024, a jump from $22,500. Every dollar counts when compounding over time! And, if you are 50 and over, bring out the ‘Catch-Up’ play with an additional $7,500 contribution.

Secure Act 2.0: Revolutionizing Retirement Savings

This legislation isn’t just a catchy name; it’s a game-changer for your retirement journey. Let’s unpack the exciting additions:

Catch-Up Contributions on Steroids: Feeling behind in the game? Starting in 2025 ‘Catch-Up’ contributions for people aged 50 and over and still in the game will be indexed for inflation in IRAs and Roth IRAs too. And 2025 brings a turbo boost to retirement plan savings by raising the bar even higher for people ages 60-63 to a whopping $10,000 in 401(k) and 403(b) plans. Time to bridge the gap faster and level up your retirement savings game.

Roth 401(k) RMDs? Not Anymore! Love the idea of tax-free retirement income? Secure Act 2.0 makes it a reality by kicking mandatory distributions (RMDs) out of your Roth 401(k). Your money can grow tax-free, and you can pass it on to future generations without limitations. A game winning touchdown for generational wealth!

Later RMDs, Longer Growth: Secure Act 2.0 has already pushed the trigger age for Required Minimum Distributions (RMDs) to 73. It increases 75 for 2033. This translates to years of additional tax-deferred compounding, potentially boosting your long-term retirement income.

Oops, Missed an RMD? No Panic! Life happens, and sometimes RMDs slip through the cracks. Secure Act 2.0 understands! The penalty for missing an RMD has been reduced to 25%, with further reduction to 10% if you correct the oversight within a reasonable timeframe, however the IRS defines as ‘reasonable’. A breather for unintentional oversights – we’ve all been there.

Annuities on the Move: Need flexibility with your retirement income? Annuities are contracts that provide a stream of income for a specified period or for life. Starting in 2024, you will be able to transfer annuities without tax consequences or surrender charges. If your current retirement plan has an annuity option for retirement income you will now be able to easily roll it over into a plan sponsored by your new employer. This will enhance the portability and availability of annuities for retirement income.

Small Business, Big Benefits: Don’t work for a corporate giant? Worry not! New “Starter 401(k) plans” make offering and participating in retirement plans more accessible, even for the little guy. Secure your future, even if you’re the sole player on your team!

Your Next Steps: Seize the Moment!

With all these changes (and this is just the highlight reel), how do you navigate and maximize your retirement advantage? Feeling a bit overwhelmed? No worries, you can always consult a financial advisor – consider them your seasoned coach. Otherwise, subscribe to our newsletter, and I’ll be your guide through this retirement adventure. Remember, staying informed and taking control of your journey are the power moves for securing your financial future. Get ready to save and invest for a fun-filled retirement – it’s your time to shine on the retirement field!

Welcome to Insightful Investing

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Welcome to a fun way to look at investing for and during your retirement. Insightful Investing is here to get you prepared for the big game of a fun-filled retirement. Whether you’re putting together your game plan or the clock has already started running and you need to make some halftime adjustments, I’m here to coach the quarterback in you so you can win the Super Bowl of retirement.

It’s not just about those number-crunching, portfolio-building, and investment strategies. Nope, I’m here to add a dash of humor, some guidance, and a whole lot of enthusiasm to retirement planning. My aim is to make sure your golden years are as dazzling as a hole-in-one at a golf tournament. Retirement should feel like you’ve won the championship. Imagine it like parading through the streets on “duck boats” celebrating with your fans. After a long career working hard, retirement is your window to kick back and enjoy the spoils with no alarm clocks permitted. It’s about living it up, chasing your passions, and having the financial freedom to make every moment count.

Investing for Retirement

In the upcoming posts on the insights blog and newsletter, expect plain-talking tips to shore up your investment portfolio with the power moves of a horse racing jockey. I’ll share insightful ways to invest for retirement. You will learn the benefits of contributing to retirement accounts like an IRA or a 401k and picking winning funds to accelerate your returns in your retirement portfolios.

Whether you’re zooming toward your 50s or already soaking up that retirement sunshine, you’ve landed on the right turf. I’m here to be your seasoned coach in the investing game. Think of these insights as your trusty guides through the maze of retirement accounts like IRAs, Roth IRAs, 401ks, and 403bs. Together, we’ll dive into the investing world of mutual funds, ETFs, and alternative investments. I’ll make them as easy to understand as a fat pitch in a baseball game. And Dynamic Rebalancing? That’s like having an “in game” adjustment strategy to keep your retirement game plan on target.

So what’s the result of taking charge of your investing? You will feel as secure as a goalie with a great defense in front of him, knowing that your financial future is rock-solid. But wait, retirement isn’t just about money. It’s about embracing life’s sand traps with the finesse of a seasoned golfer. It’s about starting that side hustle you’ve always dreamed of or volunteering for a cause that sets your heart racing faster than a sprinter on the track.

Let’s Have Some Fun Too

Together let’s make sure that retirement isn’t just a finish line; it’s the start of an exhilarating new chapter. At Insightful Investing, I believe your golden years should sizzle with as much fun as an Olympic beach volleyball match! With sound investment management guidance, you can relax knowing finances are secure. You can have the freedom to enjoy more carefree days doing what you love and have a fun-filled retirement!

So, grab your enthusiasm and let’s kick off this retirement extravaganza. Buckle up and join in to make your retirement an adventure that’s more thrilling than horse racing at the Kentucky Derby. With my expertise and your sense of humor, we’ll navigate this retirement game together.