Timothy Sumer

Individual retirement accounts, better known as IRAs, allow your money to grow tax-free and can be a huge benefit to your retirement assets. If you haven’t yet established an IRA for yourself, contact a financial advisor immediately to learn how to get started. retirement planning advisor Rob De Lessio of Strategic Wealth Designers discussed the difference between a Roth IRA and a traditional IRA. See more financial news at “Of course having an IRA is a smart investment for your retirement,” says De Lessio. “But people need to be careful with making the following mistakes. One, don’t put all your funds into just an IRA or just a Roth IRA, especially if you don’t know what your tax bracket will be in retirement. Split the difference. Two, don’t withhold contributions because you think you’ll have no access to that money now. Roth IRA contributions are liquid and can be withdrawn at any time without taxes or penalties. And third, don’t look at your IRA as mad money. It’s no...

A pension is used as a tool for funding retirement where money is contributed while an employee is working and then received on a fixed basis when retired. While less commonly provided by companies today, pensions are seen as a safer investment than the 401(k), as you are not exposed to market risk and have a guaranteed payment for the rest of the individual’s life. Fiduciary retirement specialist Rob De Lessio of Strategic Wealth Designers joined us on the newscast to discuss pensions and the part that they play in retirement. See more financial news at “A pension’s amount is dependent on years employed by the company and the final average salary of the recipient,” De Lessio says. “That is then multiplied by a percent that is offered by the company. On average, a two percent accrual rate is common amongst pensions. Some companies even provide pension benefits that are adjusted for inflation.” Pension benefits are taxed differently based on the state that the money is bein...