Published
on: January 17th, 2006A survey
conducted by the Profit Sharing/401k Council of America in Chicago
reports that more and more US employers are shortening the length
of time it takes for their employees to be eligible to contribute
towards 401k retirement plans. About 427 401k retirement plans
were surveyed and the reports showed 69% of them permit employees
to contribute towards 401k retirement plans within 3 months of
hire date. This is a 4% increase from the last year, that showed
only 65%. (Read Full)
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Published
on: December 13th, 2006
Tree of Life (see company description below) has appointed
the New York Life Investment Management LLC (NYLIM) firm to administer
and manage its $100 million nest egg 401k plan and provide bundled
services. Operating in St. Augustine, Florida, USA, Tree of Life
is a world known distributor of organic and natural food products.
(Read
Full)
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Published
on: December 8th, 2006
A study conducted by Investment Company Institute concluded
that the combined total value of US mutual funds has surpassed
the $10 trillion mark. The size of the mutual fund investments
has increased by $286 billion, up 2.9% from last September. The
largest amount of growth was seen by stock funds, growing up to
$5.67 trillion, up 3.8% from last September. (Read
Full)
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Published
on: December 8th, 2006
In a recent 401k survey conducted by the New York Life Investment
Management LLC (NYLIM), many 401k participants agreed that they
are making the correct investment decisions when it comes to investing
their retirement savings, but still worry that they will not have
enough money to survive on upon retirement. The survey had a sample
population of 8,958 401k participants and 60% of them acknowledge
that they are making the right investment decisions. However,
only 40% out of all 401k participants are certain that they will
not run out of money upon retirement. (Read
Full)
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Published
on: November 18th, 2006A
study conducted by the Investment Company Institute found that
401k Retirement Plans
are the #1 Retirement Saving Investments made by working people
in the USA. This study comes at a time when 401k plans are turning
25 years old (the official birthday of 401k plans is on November
10, 2006). 401k Retirement Plans now have 47 million active participants,
which is more than double the size of Private Defined Benefit
Plans that have about 21 million active participants. 401k Plans
currently hold $2.4 trillion in retirement assets (liquid cash
and investments) while private defined benefit & pension plans
hold $1.9 trillion. (Read
Full)
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Published
on: October 26th, 2006The IRS (Internal
Revenue Service) announced on October 18th, 2006 the cost of living
adjustments to pension and 401k retirement plans for the upcoming
tax year of 2007. These adjustments are carried out by the Commisioner
under Section 415 of the Internal Revenue Code. The 401k max contributions
for the tax year 2007 and previous years is detailed below:
Note: The max 401k contribution for the year
2007 is $15,500 which is up $500 from the year 2006. (Read
Full)
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Published
on: October 5th, 2006Paychex Inc.,
one of the largest payroll, human resources and business solutions
company in USA has added the Roth
401k option to its fleet of 401k retirement services. Introduced
by the Economic Growth and
Tax Reconciliation Act of 2001, the Roth 401k Option is meant
to encourage more small to medium sized businesses to enroll their
employees in 401k retirement plans. Contributions to the Roth
401k are made in after-tax dollars and withdrawals are tax-free
(upon retirement). (Read Full)
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Published
on: September 29th, 2006The US Department
of Labor unveiled a Safe Harbor Plan for corporations that automatically
enroll their employees and workforce in 401k
retirement plans. US Department of Labor Secretary, Elaine
Chao, quotes "Too many workers, some overwhelmed by investment
choices or paperwork, are leaving retirement money on the table
by not signing up for their employers' defined contribution plan.
This regulation would boost retirement savings by establishing
default investments for these workers that are appropriate for
long-term savings" (Read
Full)
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Published
on: September 17th, 2006A study carried
out by 2 Washington DC state organizations revealed that 401k
participants who contributed payments towards their employer sponsored
401k retirement plans over the past 7 years have seen growth rates
of over 50%. This is inspite of the tech boom bust of 2000 and
market declines in 2002.. (Read
Full)
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Published
on: September 13th, 2006
If you fall in the category of low income
savers, you may be eligible for a tax credit of $1000 on contributions
made to 401k retirement plans, 403b plans, 457 government plans,
IRA (Individual Retirement Account) or Roth IRA. This new legislation
called the "Saver's Credit" went into effect in 2002
(thanks to the Economic Growth and Tax Relief Reconciliation Act
of 2001) and is a reduction to your Gross Income (so that you
have a less taxable income). It cannot be used as a $1000 refund
for extra cash flow... (Read Full)
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