- Tax Planning
- Investments 1: Before you Invest
- Investments 2: Your Investment Plan
- Investments 3: Securities Market Basics
- Investments 4: Bond Basics
- Investments 5: Stock Basics
- Investments 6: Mutual Fund Basics
- Investments 7: Building Your Portfolio
- Investments 8: Picking Financial Assets
- Investments 9: Portfolio Rebalancing and Reporting
- Retirement 1: Basics
- Introduction
- Describe How Retirement Planning Fits into Your Personal Financial Plan
- Understand the Principles of Successful Retirement Planning
- Describe Payout Options Available at Retirement
- Explain the Steps of Successful Retirement Planning
- Understand One Method of Monitoring Your Retirement Planning Progress
- Summary
- Assignments
- Retirement 2: Social Security
- Retirement 3: Employer Qualified Plans
- Retirement 4: Individual and Small Business Plans
- Estate Planning Basics
2. Know the retirement vehicles available to you and use them wisely
It’s not what you make but what you have after taxes and inflation that makes you wealthy. The government has a number of specific retirement vehicles which have specific tax advantages to help you as you save for retirement. Understand them carefully and utilize them to your best advantage.
Understand the government retirement plan, which is Social Security. Social Security promises specific retirement benefits. Understand what you are entitled to and the steps you must take to receive those benefits.
Understand employer-qualified retirement plans. There are a number of them including a 401(k), Roth 401(k), 403(b), Roth 403(b), or 457 retirement plans for the employee. Understand these plans, their advantages and disadvantages, and then use them to your best interest.
Understand individual and small-business retirement accounts. These include IRAs—both Roth and traditional—and Keoghs, SEPs and SIMPLEs for the self-employed.
Finally, once you understand these vehicles, follow the priority of money, which will help you achieve your financial goals the fastest.
