Understanding Traditional IRAs [2026]
A Traditional Individual Retirement Account (IRA) is a personal account that allows you to save for your retirement on top of employer sponsored plans like 401(k), 403(b), and 457 plans. Key aspects of Traditional IRAs: They are a pre-tax investment account, meaning that the money you place in this account, you can deduct your
Understanding Roth IRAs [2026]
A Roth Individual Retirement Account (Roth IRA) is a personal account that allows you to save for your retirement on top of employer sponsored plans like 401(k), 403(b), and 457 plans and then make tax-free withdrawals. Key aspects of Roth IRAs: Roth contributions are post-tax contributions taxed when you earn the income, not when
Understanding Spousal IRAs [2026]
A Spousal Individual Retirement Account (Spousal IRA) is a personal account that allows a couple where one partner helps a non-working spouse or a spouse with very little income save for retirement. The higher-earning spouse can put aside money into a Traditional or Roth IRA in the non-breadwinning spouse’s name and control. [1] ,[2],[3]
Rolling Over Your Thrift Savings Plan (TSP) After Leaving Federal Service
When federal employees leave government service, whether through early retirement or voluntary separation, they have the option to roll over their Thrift Savings Plan (TSP) funds into another eligible retirement account. This process ensures continued tax-deferred growth and prevents unnecessary penalties. Here’s how it works: Timing of Rollover Upon Separation or Retirement After separating from
Employer Sponsored Retirement Accounts Individual Retirement Accounts (IRAs) Investing Investment Accounts
Understanding Simplified Employee Pension (SEP) IRAs [2025]
Simplified Employee Pension (SEP) IRAs are for anyone who is self-employed, owns a business, employs others, or earns freelance income. SEP IRAs offer a way to save a more significant amount than Traditional or Roth IRAs and cost less to set up and maintain than many employer sponsored retirement plans.[1] Key aspects of Simplified
Understanding Minor Custodial Accounts [2025]
Two types of minor custodial accounts exist: the Uniform Transfers to Minors Act (UTMA) and the Uniform Gift to Minors Act (UGMA). A minor custodial account is designed to hold and protect assets for minor beneficiaries. These accounts are set up by a donor (usually a child’s parent/s) so that the donor, another adult,
Understanding Inherited IRAs [2025]
Inherited Individual Retirement Accounts (IRAs) are opened when someone inherits an IRA or employer sponsored account after the original account holder’s death. Though you can inherit an account from anyone, be it a spouse or not, the rules for these accounts differ depending on your relationship with the deceased. In addition, regulations on these accounts
Understanding Taxable Brokerage Accounts [2025]
A taxable brokerage account is an investment account used to trade assets such as stocks, bonds, mutual funds, etc.[1] When it comes to investing, a taxable brokerage account can be a great option to consider. These accounts have no restrictions on income phaseout limits, annual contribution limits, and withdrawal rules. However, no tax benefits
Health Savings Accounts (HSAs) [2025]
Are They Just What the Doctor Ordered? Are health insurance premiums taking too big of a bite out of your budget? Do you wish you had better control over how you spend your health-care dollars? If so, you may be interested in an alternative to traditional health insurance called a health savings account (HSA). How
529 College Savings Plans [2025]
529 savings plans are tax-advantaged education savings vehicles and one of the most popular ways to save for college today. Much like the way 401(k) plans changed the world of retirement savings a few decades ago, 529 savings plans have changed the world of education savings. Tax advantages and more 529