What are the tax benefits of having a 401k?

Gina Buchholz of 401k Plan Professionals provides a brief overview on the tax benefits and advantages of having a 401k....(read more)

LEARN MORE ABOUT: 401k Plans
REVEALED: Best Investment During Inflation
HOW TO INVEST IN GOLD: Gold IRA Investing
HOW TO INVEST IN SILVER: Silver IRA Investing

A 401k is a popular retirement saving plan funded by employers, allowing employees to save their money while enjoying the tax benefits that come with it. While saving for your retirement, a 401k plan offers you several tax advantages that can help you achieve your retirement dreams. One of the most significant tax benefits of a 401k plan is its tax-deferred nature. This means that contributions made to the plan are tax-deductible, reducing your taxable income by the amount you have saved. For example, if you earn $100,000 per year and contribute $10,000 to your 401k plan, you will only pay taxes on $90,000 of your income for that year. Additionally, any growth, investment proceeds, or capital gains earned from your 401k investment will be tax-free till the time of withdrawal. For instance, if you decide to sell some shares or gain profit from your 401k investment, it will not be taxable until you withdrawal the funds. This allows your retirement savings to grow even more while protecting you from paying taxes on your returns. Furthermore, as an employee, you can decide to make automatic contributions to your 401k account, which will also reduce your taxable income while encouraging constant savings towards your retirement. You can decide to contribute as much as 20% of your salary to the account, subject to the maximum limit allowed by the IRS. Another tax advantage of 401k plan is a Roth 401k option. Unlike the traditional 401k plan, Roth 401k contributions are taxed when you contribute, allowing tax-free withdrawals at retirement age. The benefits of this plan are that your contributions will grow tax-free, and you will not pay any taxes on your gains when you decide to withdrawal at retirement age. In conclusion, 401k plans not only provides a secure and comfortable retirement life but also offers several tax benefits during your working years. While planning for your retirement, it is essential to consider the above tax advantages to help you secure your future and maximize your savings. https://inflationprotection.org/what-are-the-tax-benefits-of-having-a-401k/?feed_id=80809&_unique_id=641cef660f5d6 #Inflation #Retirement #GoldIRA #Wealth #Investing #401k #401kplan #401kplanprofessionals #advisors #Retirement #retirementbenefits #retirementplan #retirementplanadvisors #retirementplanning #taxadvantage #taxbenefits #401k #401k #401kplan #401kplanprofessionals #advisors #Retirement #retirementbenefits #retirementplan #retirementplanadvisors #retirementplanning #taxadvantage #taxbenefits

"Is Birch Gold Group a Reliable Choice for Your 2023 Gold IRA Investments?" - A Quick Review #shorts

In this Birch Gold Group review video, I go over what makes this Gold IRA company unique, the pros and cons, their fees, minimums, and much more. Get their free guide here: 👉 FREE Resources: ➜ Gold IRA Company Reviews: Birch Gold Group boasts high ratings from consumer advocate groups. With an A-plus rating from the Better Business Bureau, a triple-A rating from the Business Consumer Alliance, and high marks from Trust Link, Trustpilot, and Google Business, Birch Gold is a top choice to trust your hard-earned retirement savings. Birch Gold Group’s low initial investment minimum is another edge it has over its competitors whose minimums can range from $25,000 to $50,000. A beginning $10,000 minimum investment is all that is required to start a GOLD IRA with Birch which is advantageous for first-time investors. Spanning nearly two decades, Birch Gold Group’s mission and philosophy focus on a commitment to understanding your needs and finding the right fit for you. Their

New York Times Company Continues to Add Online Subscribers at a Steady Clip

Business News by Timothy Sumer - The company’s first quarter results showed total paid subscriptions reaching 4.5 million. Online ad revenue rose 19 percent, to $55 million, thanks, in part, to “The Daily” podcast. from NYT > Business https://nyti.ms/304QC2w via Timothy Sumer

Should I Rollover My 401k to an IRA? YES! #shorts #retirement #financialfreedom

Should I Rollover My 401k to an IRA? YES! #shorts #retirement #financialfreedom Should I Rollover My 401k to anIRA 🤔 || 401k to IRA Rollover Pro's & Con's In this video, I want to talk about rolling over your 401k to an IRA Rollover and if that makes sense for your retirement planning . I want to look at the pro's to rolling over a 401k and also the con's to rolling over a 401k. When you should rollover your 401k to an IRA and when you should NOT rollover your 401k to an IRA. Let's talk about when you should NOT rollover your 401k to an IRA: 1. You are still working and are under the age of 59.5 2. You are 55 and considering retirement (Rule 55) 3. Increased creditor protection in a 401k 4. 401k's offer loans--IRA's do not offer loans Why you SHOULD rollover your 401k to an IRA 1. More investment choices in IRA over 401k 2. Lower investment fees 3. Convert IRA to Roth IRA (Roth IRA Conversion) 4. Consolidation from multiple 401k'

Timothy Sumer

Search This Blog