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There is a major change in store for catch-up contributions on the horizon, according to Clara Sanguinetti, Financial Advisor, who explains that, in 2026, the catch-up contribution limits will be adjusted due to provisions in the SECURE Act 2.0 (signed into law in December 2022). ✔ “For certain earners, if you’re earning over 145K a year, the catch-up contribution in your employer plan has to be made on a Roth basis,” said Sanguinetti, about the forthcoming changes. “Today you can put your catch-up contribution in your traditional 401(k), but come 2026 if you’re earning over 145K, you have to put your catch-up contribution in a Roth 401(k) or 403(b).” 👉 Read more about how you can maximize your retirement savings accounts: https://lnkd.in/gEVJrC2C Rochester Business Journal #SECUREAct #RetirementPlanning #Roth #wealthmanagement #retirement #Savings #trustedfinancialpartners #wewillbethere

401(k) Contribution Limits for 2023 vs. 2024 I am a dedicated Fiduciary Tax and Retirement Planner with extensive experience in helping clients plan for their financial futures. I specialize in creating personalized, comprehensive retirement plans tailored to meet individual needs and goals. I am committed to acting in the best interests of my clients, providing unbiased advice, and ensuring their assets are managed effectively. As a fiduciary, I am bound by law to act in the best interests of my clients. This means I am accountable for ensuring your retirement funds are invested wisely, managed efficiently, and taxed appropriately. Whether you're just starting to think about retirement or already there, I can help you navigate through the complexities of tax laws, investment options, and retirement strategies. My aim is to help you understand your financial situation and make informed decisions that will benefit your financial health in the long run. If you're looking for a dedicated, trustworthy advisor to guide you through your retirement planning process, feel free to connect with me. Let's plan for a secure and comfortable retirement together. Call at 480-270-2802 Visit us on our website: https://lnkd.in/gghwGBXG #Fiduciary #TaxPlanning #RetirementPlanning #FinancialAdvisor#law #assets #advice #goal #future #goals #client #futures #planner #experience #clients #retirement #retirementstrategy #investmentoptions #investmentoption #taxlaw #taxlaws #retirementfund #retirementfunds #retirementplan #retirementplans #beaccountable #investwisely #beto #informeddecision #informeddecisions #financialsituation #bestinterest #financialfuture

The CNBC article outlines strategies for high earners to maximize their 401(k) contributions in 2024. It provides insights into optimizing retirement savings, with implications for both individuals and businesses aiming to enhance financial security through comprehensive employee benefits. Curious about turbocharging your financial security in 2024? The latest insights from @CNBC reveal strategic moves for high earners to maximize 401(k) contributions. This isn't just about personal finance—it's a game-changer for businesses too. Are you unlocking the full potential of your 401(k)? Many professionals overlook the nuances of contribution optimization—a blind spot that can impact both individual and business financial security. Should you reflect on your approach to retirement savings? -Short answer, yes. -Long answer, yes. And work with both a financial advisor and tax professional to understand what your options are. There might be untapped opportunities you haven't explored—opportunities only an expert, licensed financial professional can unveil. Don't navigate the complexities of retirement planning and employee benefits solo. Ensure your financial security strategy aligns seamlessly with your career trajectory. #FinancialSecurity #401kOptimization #EmployeeBenefits #BusinessFinanceInsights

When it comes to corporate professionals, one of the most frequently asked questions I get is: 'What is the difference between a 401(k) and an IRA?' The answer is simple: A 401(k) is an employer-sponsored retirement savings plan while an IRA is an individual retirement account. There are a few key differences between the two: Employer Matching: With a 401(k), your employer may offer to match a certain percentage of your contribution. For example, if you contribute 5% of your salary to your 401(k), your employer may match that 5%, essentially giving you free money towards your retirement savings. With an IRA, there is no employer matching. Annual Contribution Limits: The annual contribution limit for a 401(k) is generally higher than that of an IRA. In 2019, the contribution limit for a 401(k) was $19,000 while the IRA limit was $6,000. Tax Benefits: Both 401(k)s and IRAs offer tax benefits, but the specifics vary depending on which type of account you have. With a 401(k), contributions are made with pre-tax dollars and grow tax-deferred. With an IRA, contributions can be made with either pre-tax or after-tax dollars (depending on whether you have a traditional or Roth IRA) and grow tax-deferred or tax-free (in the case of a Roth IRA). Access to Funds: Because 401(k)s are sponsored by employers, there are usually restrictions on when and how you can access your funds without incurring penalties. With an IRA, you have more flexibility in terms of accessing your funds but may be subject to taxes and penalties if you withdraw money before age 59 1/2. The bottom line is that both 401(k)s and IRAs can be valuable tools for saving for retirement. It's important to take a close look at your own financial situation and retirement goals in order to decide which type of account makes the most sense for you.

When it comes to corporate professionals, one of the most frequently asked questions I get is: 'What is the difference between a 401(k) and an IRA?' The answer is simple: A 401(k) is an employer-sponsored retirement savings plan while an IRA is an individual retirement account. There are a few key differences between the two: Employer Matching: With a 401(k), your employer may offer to match a certain percentage of your contribution. For example, if you contribute 5% of your salary to your 401(k), your employer may match that 5%, essentially giving you free money towards your retirement savings. With an IRA, there is no employer matching. Annual Contribution Limits: The annual contribution limit for a 401(k) is generally higher than that of an IRA. In 2019, the contribution limit for a 401(k) was $19,000 while the IRA limit was $6,000. Tax Benefits: Both 401(k)s and IRAs offer tax benefits, but the specifics vary depending on which type of account you have. With a 401(k), contributions are made with pre-tax dollars and grow tax-deferred. With an IRA, contributions can be made with either pre-tax or after-tax dollars (depending on whether you have a traditional or Roth IRA) and grow tax-deferred or tax-free (in the case of a Roth IRA). Access to Funds: Because 401(k)s are sponsored by employers, there are usually restrictions on when and how you can access your funds without incurring penalties. With an IRA, you have more flexibility in terms of accessing your funds but may be subject to taxes and penalties if you withdraw money before age 59 1/2. The bottom line is that both 401(k)s and IRAs can be valuable tools for saving for retirement. It's important to take a close look at your own financial situation and retirement goals in order to decide which type of account makes the most sense for you.

When it comes to corporate professionals, one of the most frequently asked questions I get is: 'What is the difference between a 401(k) and an IRA?' The answer is simple: A 401(k) is an employer-sponsored retirement savings plan while an IRA is an individual retirement account. There are a few key differences between the two: Employer Matching: With a 401(k), your employer may offer to match a certain percentage of your contribution. For example, if you contribute 5% of your salary to your 401(k), your employer may match that 5%, essentially giving you free money towards your retirement savings. With an IRA, there is no employer matching. Annual Contribution Limits: The annual contribution limit for a 401(k) is generally higher than that of an IRA. In 2019, the contribution limit for a 401(k) was $19,000 while the IRA limit was $6,000. Tax Benefits: Both 401(k)s and IRAs offer tax benefits, but the specifics vary depending on which type of account you have. With a 401(k), contributions are made with pre-tax dollars and grow tax-deferred. With an IRA, contributions can be made with either pre-tax or after-tax dollars (depending on whether you have a traditional or Roth IRA) and grow tax-deferred or tax-free (in the case of a Roth IRA). Access to Funds: Because 401(k)s are sponsored by employers, there are usually restrictions on when and how you can access your funds without incurring penalties. With an IRA, you have more flexibility in terms of accessing your funds but may be subject to taxes and penalties if you withdraw money before age 59 1/2. The bottom line is that both 401(k)s and IRAs can be valuable tools for saving for retirement. It's important to take a close look at your own financial situation and retirement goals in order to decide which type of account makes the most sense for you.

Figuring out the best way to save for retirement can be tricky, especially if you're self-employed. This latest piece from Kiplinger breaks down the two major tax-advantaged accounts: Solo 401(k) and SEP IRA. Each has its benefits and considerations, depending on your specific situation. Whether you're a freelancer, consultant, or running your own business, understanding these options is crucial for a secure retirement. Check out the article to make an informed decision about your retirement savings. #RetirementSavings #Solo401kVsSEPIRA #SelfEmployment #FinancialPlanning #DPH https://lnkd.in/g6wn4FKU

We're halfway through the year -- a good time to take a look at this year's financial goals. Each year, the IRS reviews and sometimes adjusts the maximum contribution limits (and catch-up amounts) for 401(k) plans, individual retirement accounts (IRAs), and other retirement savings vehicles. Are you on track to contribute your maximums in 2024? #financialadvisor #retirement #401k #ira https://lnkd.in/dqNhNS5

Without access to a company 401(k), saving for retirement can look a bit different for self-employed workers. Explore two of the most popular retirement plans for the self-employed: the Solo 401(k) and the SEP IRA.