The final task in the area of investments is to establish a monitoring system to evaluate investment performance and to determine whether the fund’s investment objectives have been met. This topic is the subject of a separate monograph published by the Financial Analysts Research Foundation, and it will not be covered at any length here. However, a few comments are pertinent. (more…)

The financial crisis in the world has been on edge especially those who are related to private pension funds whether voluntary or with a solidarity contribution on the part of the state. Of course, in Colombia things are not as severe as in the United States, but with such a tremendous financial position the risk is latent, it does not entail a red alert, even more if one takes into account the disturbing news January 2008 when the Superintendency of Banks reported that the pension and severance (more…)

A Roth IRA is the reverse of the traditional IRA, though limits on the amounts you’re allowed to contribute are identical. Unlike with a traditional IRA, you can’t deduct your contribution on your income taxes. However, your money in a Roth IRA grows income tax free and you can withdraw from it income tax free, which for many people can prove an even better deal. (more…)

Once you identify your personal financial retirement profile, you can move to the next level on the financial planning for retirement. Many people accumulate different types of property for pension that can be used for retirement. The type of property one owns and its tax characteristics can be important in creating an overall retirement strategy that fits well into Level III of the financial pyramid. Let’s take a look at how to create efficiency and diversification in an integrated program. (more…)

Americans are increasingly become aware and responsible for their retirement wealth. Many of us are know that the prospect of living with social security income and a employer pension plan is reduced dramatically and not attractive. More and more pensioners and retirees are less put trust on traditional sources of income; saving for retirement and work part time are seen to be more attractive. But the condition for future pensioners and retirees will be getting worsened. Given the desire to build a large nest egg for retirement was the need to build a replacement income. (more…)

It is hard fact that the best-designed 401k plan in the most prosperous investment condition can’t have an enough income for retirement, if the person is not contributing a significant amount to the plan regularly. This problem can be as result as no continuous access to 401k plan, financial instability to contribute due to low salary, other financial priority in life, family and life needs, (more…)

Most people would never build a whale of a 401k without being encouraged to save. And it’s not your mom or dad ordering you to put money away this time. Your employer encourages you to join its retirement savings programs and even sweetens the pot by making contributions on your behalf. Once you sign the necessary paperwork, your contributions are invested automatically each payday. The money is put away before you get your hands on it. (more…)

Employees of small businesses often end up left out of employer-sponsored retirement plans simply because small businesses do not have the funds available to provide this type of benefit for their employees or small business owners do not know the different retirement plan options available to them. However, small businesses owners can create simple retirement plans to assist employees in their retirement planning. Below is an outline of two different simple approaches for retirement plan comparison. (more…)