Why Do Companies Keep Traditional Pension Plans?

Only 20% of companies maintain traditional defined benefit pension plans (“DB Plans”). More than 40% of companies provided these DB plans 20 years ago. Outlined below are the main reasons why companies continue to sponsor these plans at all: 1. DB Plans are the best retirement plan for employees. Employers who really care about their [...]

By |2016-08-11T09:04:08+00:00February 22nd, 2012|Retirement Blog|0 Comments

Financial Literacy Education

Retirement decisions affect how we will live for the last third of our life. A firm foundation in reading and mathematics is essential for providing us with the tools that we need to make sound financial decisions later. Deciding to invest in higher education is one of the most important decisions of our lives and [...]

By |2018-07-03T00:18:41+00:00December 2nd, 2011|Retirement Blog|0 Comments

Get your retirement house in order

Kenneth B. Petersen is an investment adviser and principal of Monterey Private Wealth Inc. in Monterey. He points out 10 financial planning necessities below. While I agree with Kenneth on each of these points, I have added my own comments at the bottom of each of the first 8 points. 1. Have a personal investment [...]

By |2018-07-03T00:18:41+00:00November 5th, 2011|Retirement Blog|0 Comments

Do you have the right actuary?

Actuaries are educated and trained to analyze risks and determine the financial consequences of these risks. In the case of defined benefit pension plans, they are trained and have experience in the area of retirement risks such as: • What is the promised benefit stream (amount and duration) for the expected lifetime of the plan? [...]

By |2018-07-03T00:18:41+00:00November 1st, 2011|Retirement Blog|0 Comments

DOL Issues Rule On Personalized Advice For 401(k)s, IRAs

In yesterday’s Blog I was pointing out the lack of education that 401(k) sponsors (especially small employers) are giving their employees. Today The U.S. Department of Labor (“DOL”) issued a rule to expand access to personalized investment advice for workers in retirement savings plans, Assistant Secretary of Labor Phyllis Borzi said. This is a big [...]

By |2018-07-03T00:18:42+00:00October 25th, 2011|Retirement Blog|0 Comments

How Will You Take Distributions From Your Retirement Account?

I am very fortunate and grateful to have lived in a generation where I will retire with a combination of several defined benefit pensions, lifetime retiree medical benefits, Social Security and other investment savings. Unfortunately, this is becoming less common each year. Almost all future individuals will eventually have to rely solely on their savings, [...]

By |2018-07-03T00:18:42+00:00October 24th, 2011|Retirement Blog|0 Comments