Author: Gemma Lewis

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Billy Joel spent six years trying to sell his nine-bedroom, 11-bathroom, Florida mansion.

He purchased the property in 2015 for $22 million, and in 2022, he tried to sell it for $64.9 million.

But things didn’t go according to plan — at least, not for Joel. After listing and delisting the mega-mansion, Joel eventually slashed the price by a whopping $22 million to close the sale.

That lengthy process is a cautionary tale for anyone considering a hefty real estate investment. Sometimes, putting all of your eggs in one high-value basket can be a bigger risk than it seems. All of the added costs of property ownership are often overlooked, and they can quickly make your investment seem much less worthwhile.

Even high-profile investments can face prolonged delays and financial disappointments.

Why Joel’s situation is a growing trend

Joel isn’t alone.

The housing market suffered from slower sales in September, when the pace of home sales dropped to its lowest level in more than a decade.

What’s at play? There are plenty of factors, but one is that it’s very expensive to own a home, even once you’ve paid off your mortgage — making it a less appealing investment than it appears at the outset.

How ETFs and REITS can help you avoid costs of owning real estate

The good news is, you can access real estate through real estate investment trusts (REITS) and ETFs, without needing to worry about any of those extra burdens of owning real estate directly.

To make sure you’re investing in the right REIT, services like Moby can give you the peace of mind you’re making the best investment for your needs.

With Moby, you’ll get investment insights broken down into simple, easy to understand formats. They’re written by a team of former hedge fund analysts and financial experts who spend hundreds of hours weekly sifting through the latest financial news and data. And Moby’s picks have beaten the S&P 500’s returns by almost 12%, on average.

If you prefer a collaborative approach to deciding on the best real estate investments for you, Public offers a community-driven platform for investment insights.

Public’s social investing features let you share ideas with their community of investors, and gain insights from your peers. The platform democratizes investing by offering a commission-free platform for trading stocks, REITs, ETFs, cryptocurrencies, treasuries, and even alternative assets.

You can also invest in private real estate investments, which can offer higher returns since they can invest in opportunities that simply aren’t available on the public market. DLP Capital offers tax-advantaged, private REITs through various investment funds. They’re primarily focused on acquiring or developing safe, affordable rental housing for working families across the burgeoning Sun Belt region. Investors in these funds can earn passive income through monthly, quarterly, or annual distributions while making a positive impact on American communities.

Other ways to invest in real estate if you don’t have a mansion to sell

In an interview with the New York Times, Joel revealed he pays $567,686 in property taxes for his Long Island mansion, which he also recently listed on the market. For context, that’s well above the average cost to buy an entire home in the US.

Beyond taxes, being a homeowner also means you’ll face rising maintenance costs. Maintaining a single-family home in the US costs around $18,118 every year, with that figure as high as $25,000 for states like Hawaii and California.

And even though Joel struggled to sell his Floridian home, that’s not to say all real estate is struggling. According to the National Association of Realtors, the nationwide median house price was $404,500 — up 3% from last September. Meaning, for many homeowners, their asset’s value is slowly ticking up.

It’s really just about picking the right city and property in the first place.

With Fundrise, you get access to an expansive portfolio of alternative investment opportunities spanning real estate, private debt and venture capital. With over two million investors and managing over $7 billion in real estate assets alone, Fundrise is an accessible way to diversify your portfolio with the potential of yielding dividends every quarter. That’s something that owning a home just cannot offer.

To get started, all you have to do is share some details about your personal and financial background, along with your investment preference, and Fundrise will recommend a portfolio aligned with your goals.

Residential investments

And if you want access to the real estate market, but don’t want to go all-in like Joel did, there are ways to own just a fraction of a property.

For example, with Arrived, you can add rental assets to your portfolio for as little as $100.

Through its user-friendly platform backed by Jeff Bezos, investors of all income levels can access SEC-qualified rentals and vacation homes with flexible investment amounts. Simply browse their curated selection of homes, choose shares, and start benefiting from the income and appreciation potential.

Commercial real estate investments

While commercial real estate volumes dropped 47% between 2022 to 2023, the average annual return on investment (ROI) is still 9.5%. This is slightly lower than the average ROI for residential real estate, which sits around 10.6%. But again, as Joel’s bad investment has shown us, diversification is a pretty alluring way to make sure you’re not stuck with one massive asset you’re trying to sell.

For those interested in further diversification through commercial properties, First National Realty Partners (FNRP) provides accredited investors with access to institutional-grade commercial real estate investments.

As a private equity firm, FNRP acts as the deal leader and offers white-glove service to investors. The team handles all the legwork for you, from the vetting and buying of properties to the leasing and management details. The firm then distributes its positive cash flows quarterly to investors, so you can increase your income without the hassle of buying and selling property.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Planning for retirement is a long-term financial goal for most Americans, but how many actually reach the coveted seven-figure savings goal? More importantly, how much do you really need?

The answer may surprise you.

With inflation, the rising cost of living, and lower employer contributions to pension plans, saving for retirement is anything but easy right now.

In fact, only 16% of retirees say they have more than $1 million saved, according to a recent CNBC retirement survey.

If you count yourself among the 30% of Americans who say they’ll need at least $1 million for true financial security in retirement, here are a few things to consider if you want to ensure you catch up on saving for that comfy retirement.

Are you behind?

It is worth noting that half of U.S. retirees have less than $145,000 saved, according to a Clever Real Estate retirement survey, about four times less than retirement plan provider Fidelity recommends for retirement.

A shocking 37% of retirees report having no retirement savings at all. This number has been growing due to various factors, including 40% of retirees being forced to take early retirement — for reasons ranging from personal health to being made redundant by an employer.

With so many factors to consider, it’s important to understand exactly what your financial goals are and how to prepare accordingly. It may be worth worth your while to connect with a financial advisor who can help you navigate the retirement planning process can help bring you peace of mind.

WiserAdvisor is a platform that connects you with qualified financial advisors who can create a customized financial plan for your retirement needs.

To get started on your retirement plan, simply fill in your info, browse your advisor matches with WiserAdvisor’s comparison tool, then book a free consultation within minutes to lock in your best financial future.

Factors impacting retirement planning

According to experts like Suze Orman, even if you have a cool $2 million in the bank for retirement, that’s still ‘chump change’. She warned you’ll need plenty more to retire comfortably if you expect to live into your 90s.

The figures are wide ranging. But that’s to be expected, given everyone’s golden number is different. No matter the amount you’re aiming for, starting sooner rather than later is always better.

If you want to put boost your nest egg over time without having to think about it, you can use Acorns to start saving and investing for retirement with just your spare change.

When you make a purchase on your credit or debit card, Acorns automatically rounds up the price to the nearest dollar and places the excess into a smart investment portfolio. This way, even the most essential spending translates to money saved for the future.

For those looking to enhance their investing strategy as well, Acorns offers different tier memberships, including a gold tier that allows you to customize your portfolio by adding individual stocks and includes a retirement account with a 3% IRA match.

If you sign up for Acorns today, you can receive a $20 bonus investment.

More ways to diversify IRA

Whether or not you’re behind, a quick win to accelerate your retirement pot is to maximize your IRA contributions. For 2024, the annual contribution limit is $7,000 if you’re under 50, or $8,000 if you’re over 50.

Contributions to a traditional IRA may be tax-deductible, so you can lower the taxable income you report in the year you make contributions. The money then grows tax-deferred, which means you’ll pay taxes on it once you withdraw the funds during your retirement. This can play to your advantage if you expect to be in a lower tax bracket once you retire. Be careful not to end up hit by a tax torpedo, where your Social Security benefits actually put you in a higher tax bracket than you anticipated.

Contributions to a Roth IRA differ because they’re made with your after-tax dollars, and your earnings grow tax-free. Withdrawals during retirement are also tax-free, so long as you meet the right conditions. This account is more beneficial if you anticipate you’ll be in a higher tax bracket once you retire.

But the next question after making your contributions is what to put those funds toward. There are plenty of investments you can make within an IRA, and the right mix will depend on the level of risk and return you’re seeking.

If you’re keen on making gold a key part of your retirement strategy, consider opening a precious metals IRA with help from Priority Gold. This retirement account can help you stabilize your finances by allowing you to invest directly in physical precious metals rather than stocks and bonds.

One of the country’s most trusted precious metals companies – with an A+ rating from the Better Business Bureau and a 5-star rating on Trust Link – Priority Gold has helped thousands of clients protect their retirement.

Real estate investing for retirement

On the other hand, platforms like Arrived and First National Realty Partners allow you to diversify your IRA with income-producing real estate investments.

Arrived lets you invest in residential rental properties without taking on the work of being a landlord. Backed by world-class investors like Jezz Bezos, the company offers SEC-qualified investments and flexible investment amounts.

The simplified investing process allows accredited and non-accredited investors to tap into this inflation-hedging asset class for a more diversified retirement portfolio.

Here’s how it works: Start by browsing a curated selection of homes, vetted for their appreciation and income potential. Once you find a property you like, you simply choose the number of shares you want to buy and the Arrived team takes care of all the details.

And residential properties aren’t the only way to invest in real estate through an IRA.

Commercial real estate has long been touted as a wise investment for adding stability to your portfolio, outperforming the S&P 500 over a 25-year period.

First National Realty Partners (FNRP) provides access to high-quality commercial real estate investments, allowing accredited investors to access institutional-quality commercial real estate investments — without the legwork of finding deals yourself.

The team has developed relationships with the nation’s largest essential-needs brands, including Kroger, Walmart, and Whole Foods, and provides insights into the best properties both on and off-market. You can engage with experts, explore available deals and easily make an allocation, all on FNRP’s secure platform.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Suze Orman couldn’t have been clearer in her recent podcast when she proclaimed, “The best way to prepare for retirement is to only have Roth retirement accounts — bar none.”

That’s because Roth accounts protect you from the devastating impact of a tax torpedo — and yes, it’s as ominous as it sounds.

But how does this taxation storm happen, and most importantly, how can you avoid it? One of the best ways is to reduce your reliance on Social Security for retirement.

What’s the tax torpedo all about?

The tax torpedo hits when your combined income reaches a certain threshold. It triggers additional taxation on your Social Security benefits.

For single filers with combined income above $34,000 or married couples filing jointly above $44,000, up to 85% of Social Security benefits can be taxed. Even if your income is between $25,000 and $34,000 as an individual or $32,000 and $44,000 as a couple, 50% of your benefits might still be taxed.

This scenario is more common than you may think, with 40% of Social Security beneficiaries paying taxes on their benefits. Plus, the rate at which you’re taxed can also be higher than you’d initially expect if your provisional income calculation bumps you into a higher Social Security tax bracket.

If you’re already worried about where you’ll land with taxes in retirement, rest assured there are accredited professionals who can help.

Advisor.com connects you with vetted financial experts who can help you find the optimal combination of accounts and assets for your financial objectives.

Their online platform is a streamlined way to find the best advisor for you and your needs. Once matched, you can schedule a free, no-obligation consultation to discuss your goals and develop strategies to secure your portfolio.

Yet another deadly blow strikes if you’re in a state that charges income tax as well. Here’s the good news: if you’re using a Roth account instead, you can avoid that tax torpedo’s devastation. There are tons of other ways you can reduce your reliance on Social Security in retirement overall, such as developing a healthier and more robust retirement portfolio.

Orman also emphasized the importance of regularly reviewing your financial portfolio in a recent blog post. “You should log in and make sure your mix of investments — stocks/bonds/cash/ — is in line with your long-term goals.”

Why Roth IRAs matter

Qualified Roth IRA withdrawals (after age 59-and-a-half and meeting the 5-year rule) are tax-free, and they don’t count towards that previous income calculation.

Orman is a big proponent of Roth IRAs and encourages all her followers to get as close to the maximum contributions as possible. In a blog from last year, she wrote, “If you don’t typically contribute up to the maximum, I hope you will consider pushing yourself to increase your retirement savings.”

Because Roth IRA withdrawals are tax-free, they keep your combined income lower, helping you to hopefully avoid triggering the Social Security taxation thresholds. That’s where assets that protect you from inflation or market volatility can lend a big hand.

A gold IRA, for example, allows you to hold physical assets like gold, providing a hedge against both the ups and downs of the market and inflation. Although it will be subject to income tax and will contribute to your taxable income upon retirement, a gold IRA can be a risk-adjusted complement to a Roth IRA, which could be riskier depending on the assets you hold inside.

Priority Gold is a leading dealer of precious metals with an A+ rating from the Better Business Bureau and a 5-star rating on Trust Link.

With over 20 years of industry experience, their experts can answer any questions you may have and give you a complete step-by-step guide on how to set up a gold IRA yourself.

More ways to secure your retirement

When planning for retirement, you don’t just want to consider the types of accounts available, like Roth IRAs or gold IRAs. Make sure you’ve got the right stocks, ETFs, and savings plans bringing in those returns for a comfy retirement.

IRAs can provide certain tax advantages, but if you aren’t properly investing within them, they won’t help much.

“I encourage you to keep returning to this thought exercise,” Orman wrote in a recent LinkedIn post. What are the financial steps you might take today to be kindest to your future older self? The 88-year-old, the 90-year-old, the 95-year-old?”

Add real estate to your retirement portfolio

Beyond investing in the stock market, real estate is a fantastic way to diversify your portfolio for retirement and trim back any reliance on Social Security.

But it can be cumbersome, costly and very admin-heavy.

If you want to buy property in America, the average cost is $495,000 across the country. For most, a 40% down payment on that price tag just isn’t feasible. And that could mean you’re looking at a mortgage rate of around 6%.

Then there’s the added cost of maintenance and upkeep. That averages around $18,000 a year, which is steadily climbing and already 26% higher than four years ago.

You can circumvent that costly mess with First National Realty Partners (FNRP), which allows accredited individual investors to access institutional-quality commercial real estate investments — without the leg work of finding deals yourself.

You can even invest through a Roth IRA — meaning you’ll receive tax-free payments and distributions that won’t be added to your combined income calculation.

FNRP has developed relationships with the nation’s largest essential-needs brands, including Kroger, Walmart and Whole Foods. You can engage with experts, explore available deals and easily make an allocation in an all-in-one personalized portal.

Another way to tap into the income-generating potential of real estate is through Arrived. Their platform allows you to invest in shares of rental homes and vacation rentals without taking on the responsibilities of property management or homeownership.

With [Arrived], you can browse a curated selection of homes, each vetted for their appreciation and income potential. Once you find a property you like, you can choose the number of shares you want to buy and start investing in real estate with just $100.

Continue investing and saving

You can continue to contribute to low-risk investments even in retirement. Conservative vehicles like certificates of deposit can offer as much interest as a high-yield savings account, and often more if you opt for a longer term.

For instance, Discover offers certificates of deposits with maturities ranging from three months to 10 years.

Right now, Discover is offering 4.10% APY on a 12-month term — much higher than the average 0.05% APY offered on some accounts offered by the other big banks.

You can also check out Moneywise’s top picks for Best High-Yield Savings Accounts of 2024 to compare more options for growing your savings safely.

There are also great ways to invest your spare change. Acorns is an automated investing app that makes building a smart portfolio easily accessible.

All you have to do is sign up and follow the steps to link your bank account. The app will automatically round up the total cost of your purchases and invest the difference in a portfolio of ETFs. So, all it takes to help strengthen your portfolio and save for retirement is to make your everyday purchases and watch your money grow. These simple, effective tools for growing your savings are sure to be Suze-approved.

If you want a low-cost way of investing, try using Public.com.

Public.com is a self-directed brokerage platform that charges no commissions on trades. You can also get real-time insights and social features that help you stay updated on market trends. What’s more, you can choose from a basket of investments, such as stocks, ETFs, bonds and alternative assets.

You can start investing with just $1 within minutes.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Robert Kiyosaki has a controversial take on debt: you shouldn’t avoid it. Instead, just embrace it.

Garrett Gunderson interviewed Kiyosaki in 2019, and that’s how he said the rich get richer. His stance is pretty unique from the other big name financial gurus.

Suze Orman emphasizes strict budgeting and frugality, and Dave Ramsey champions a debt-free lifestyle. But Kiyosaki’s perspective is markedly different.

By investing in investments that generate cash flow, while minimizing taxes and tapping into debt, Robert Kiyosaki’s strategy is focused on growing assets rather than cutting costs. Here are 3 of his top tips.

1. Invest for maximum returns and minimize taxes

Kiyosaki suggests prioritizing investments with maximum returns and low tax burdens. That means he opts for alternative assets and specific tax-shielded accounts, like IRAs.

Real estate

In Kiyosaki’s words, “The more debt you have, the more real estate you can buy and the less tax you pay."

For instance, DLP Capital offers tax-advantaged, private REITs, which are primarily focused on acquiring or developing affordable rental housing for working families across the country.

Accredited investors in these funds can earn passive income through monthly, quarterly, or annual distributions while making a positive impact on American communities.

With a track record of identifying high-potential properties and over $5.2 billion in assets under management, DLP Capital helps investors capitalize on real estate’s long-term value.

DLP Capital’s funds target potential annual returns between 9% and 13% — almost at par with the S&P 500 index’s 10.26% returns annually. But you get two distinct advantages by investing in DLP Capital’s funds — portfolio diversification and a potentially lower tax bill.

Gold

Kiyosaki is also a proponent of alternative assets like gold. He openly shares that he owns gold as a hedge against economic downturns.

Unlike fiat currency, the precious metal cannot be printed in unlimited quantities by central banks, and its value is not tied to a single economy or currency. These traits make gold a favored “safe haven” asset, particularly during times of economic uncertainty.

Investors seem to be taking note. So far in 2024, gold prices have surged by 28%, surpassing $2,600 per ounce.

If you’re considering this stable commodity, you can open a gold IRA with the help of Priority Gold. This can help you diversify your portfolio by directly investing in precious metals while also yielding significant tax advantages.

If you want to learn more, get a free gold and silver information guide today.

Crypto

Kiyosaki certainly isn’t shy about his love for digital currencies, famously sharing on X that he has lofty aspirations of owning 100 Bitcoin (he currently owns 76.)

Now would be a pretty good time to own all of those coins, given its price has continued to hit all-time-highs above $90,000 in the past few weeks. Though, it’s an inherently volatile investment – and it’s consistently ebbing and flowing. So, you want to be sure you can stomach that level of volatility and risk before investing in crypto like Kiyosaki does.

You can join the club through Robinhood Crypto. You can buy and sell crypto for as little as $1 without any trading fees or commissions.

What’s more — you can get up to a 1% deposit match on all crypto deposits and transfers.

Robinhood Crypto has the lowest trading cost (on average) in the U.S.. This means you could get up to 3.6% more crypto if you trade through Robinhood Crypto.

2. Use a team of experts

Another way Kiyosaki differs from other financial commentators is that he argues accountants, tax experts, and even attorneys can be key to minimizing taxes. He unapologetically believes that "If you’re a coward and you’re afraid of the IRS, then you’re middle class and poor."

His advice might rub you the wrong way, but there’s something to be said for seeking a professional’s opinion on your finances. After all, it’s a lot harder to see the forest for the trees when it’s your money. And professional financial advisors can play a crucial role in helping you zoom out and make the best plans for your future.

Advisor.com is a free service that helps you find a financial advisor who can shed light on the path to reach your financial goals. By providing you with a short list of personalized matches, Advisor.com allows you to feel confident that you’re getting the right advice for your risk tolerance and income level.

Set up a free, no-obligation consultation with a pre-screened advisor to begin your new plan for financial freedom.

3. Don’t be afraid of debt

In an interview with Forbes, Kiyosaki said, “If you’re gonna go into debt to invest in real estate, find the best rate.”

With interest rates falling, finding a better rate should be easier than it was last year. A quick and efficient way to check out the rates available is the Mortgage Research Center (MRC). The platform can help you easily compare rates and estimated monthly payments from multiple vetted lenders.

All you have to do is enter some basic information about yourself, including your ZIP code, desired property type, price range, and annual income.

Based on the information you provide, MRC will show you mortgage offers tailored to your needs so you can shop for a loan with confidence.

After you match with a desired lender, set up a free, no-obligation consultation to see if you’ve found the right fit.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Without a well-defined plan for spending in retirement, Americans could be facing unexpected and unnecessary stress.

Allianz Life Insurance’s recent study reveals that only 44% of Americans have a retirement income plan.

Allianz’s Vice President of Consumer Insights, Kelly LaVigne, commented “if you don’t know how you will draw from your retirement assets for income, then you aren’t ready to retire.”

Having the right retirement strategy for how and when you’ll spend your income is key to reducing the decisions you’ll need to make once you reach retirement age.

Unfortunately, without a plan, you risk joining the 31% of Americans who are overspending in retirement, according to a report from retirement magazine 401(k)Specialist.

Why it’s so important to have a plan

Having a plan really does pay off.

Research from T. Rowe Price found that individuals with a formal financial plan had two to four times more wealth when entering retirement compared to those without one.

With the help of a qualified professional, like those found through WiserAdvisor, you can easily plan when, where, and how you want to retire.

WiserAdvisor is a free online service that helps you find a financial advisor who can co-create a plan to reach your financial goals. Just answer a few questions, and the extensive online database will match you with two to three vetted advisors based on your answers.

You can view the advisors’ profiles, read past client reviews, and schedule a free consultation with no obligation to hire.

Even if you’re confident in the amount you’ve saved for your retirement, LaVigne insists “it is critical to understand how those assets will be able to fund your life after you retire.” That’s why individuals with higher [net worths should also consider consulting a professional to make the most of their nest egg and the rest of their assets and portfolio.

Arta Finance gives you access to a digital wealth management platform with exclusive financial strategies for public market and alternative investments. These include private equity, quantitative strategies, and venture capital investment opportunities.

You can think of them as an accessible family office which will enable you to make the appropriate financial plan for your best retirement.

How to add to your retirement income

Another big concern among the Americans surveyed is how to best take distributions from their retirement savings when they do retire, with 45% revealing they’re unsure of the best method.

This question is best answered with the help of a financial advisor, and it will largely depend on the type of accounts that you have.

With most IRA accounts, you will pay taxes on the funds you take out. So, the timing of these withdrawals really matters for the potential income tax you’ll incur. However, with a Roth IRA, you are contributing to your account with after-tax income, which means your withdrawals at retirement age won’t be taxed.

This is why financial guru Suze Orman wrote that Americans should be putting “every single cent” into a Roth account in her book, "The Ultimate Retirement Guide For 50 Plus".

And if you have a gold IRA, you’ll want to plan for whether you’d like your withdrawals to be as income, or as the physical asset.

Opening a gold IRA with the help of American Hartford Gold offers both types of withdrawals. When you open a gold IRA with AHG, you own the physical metals — and your assets are stored in a secure depository.

When you sign up with American Hartford Gold, you’ll be eligible for an offer to receive up to $15,000 in free silver, along with the assurance of the best pricing through their price match guarantee.

No matter if your retirement plan involves investing in gold, or its value in cash, the investment is an opportunity to diversify your portfolio and stabilize your finances.

Make sure your family is secure

Finally, a plan is important because it provides your loved ones with security, too.

For workers, an emergency fund doesn’t just safeguard against a job loss. It can also be the ticket to covering surprise expenses without going into debt. And being retired doesn’t make you immune from surprises.

For instance, if you’re concerned that Medicare might not cover all your health care expenses or that you want a little more financial security in retirement, there are other insurance options you can consider

A life insurance plan can provide an extra layer of support, and a financial buffer, for you and your family.

If you’re looking for a policy that will last a lifetime, with a locked-in premium and a cash value that can be tapped into while the policyholder is still alive, a whole life insurance policy from Mutual of Omaha might be worth considering.

With coverage amounts ranging from $2,000 to $25,000 (in WA, $5,000 to $25,000), you can rest assured that your family will always be ready to cover unexpected expenses. It only takes five minutes to fill out a quick online application with your personal and beneficiary information.

Once you register, not only will you be guaranteed coverage, but your benefits will never be reduced due to age or health. Plus, no medical exams or health questionnaires are needed to join.

Another option that can help your family in the event of your death is term life insurance. This is a type of life insurance that offers coverage for a predetermined period, known as the "term," that typically ranges from 10 to 30 years.

Term insurance is usually a less expensive and more flexible option. If the insured individual dies during this term, the policy pays a death benefit to the designated beneficiaries.

Young families and busy professionals looking for fast and affordable insurance can easily connect with Ethos and get term life insurance in 5 minutes, with no medical exams or blood tests.

With Ethos Insurance, you get a policy with up to $2 million in coverage, starting at just $2/day. Ethos’ application process ensures you get flexible coverage options quickly and transparently, allowing you to focus on what matters most.

Enjoying life on a fixed income

Having a suitable retirement plan isn’t only important for your financial goals, it’s just as critical for your peace of mind.

Of those surveyed by Allianz Life, 48% worried about living too frugally and not enjoying retirement as much as they should. Without a clear set of steps for how you want to prepare for — and live — in retirement, you’re subjecting yourself to unnecessary uncertainty. You may be spending more frugally than necessary, or you might not be frugal enough to make those savings last.

Once you have your plan, investing while you spend is another way to double down on savings for the future.

Acorns automates investing and saving to simplify the process of setting aside extra funds.

When you make a purchase on your credit or debit card, they will automatically round up the price to the nearest dollar and place the excess cash into a smart investment portfolio. This way, even the most essential spending translates to money saved for the future.

When you sign up now, you’ll get a $20 bonus investment, too.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Without a well-defined plan for spending in retirement, Americans could be facing unexpected and unnecessary stress.

Allianz Life Insurance’s recent study reveals that only 44 % of Americans have a retirement income plan.

Allianz’s Vice President of Consumer Insights, Kelly LaVigne, commented “if you don’t know how you will draw from your retirement assets for income, then you aren’t ready to retire.”

Having the right retirement strategy for how and when you’ll spend your income is key to reducing the decisions you’ll need to make once you reach retirement age.

Unfortunately, without a plan, you risk joining the 31% of Americans who are overspending in retirement, according to a report from retirement magazine 401(k)Specialist.

Thankfully, there are steps you can take to give yourself and your family peace of mind.

Why it’s so important to have a plan

Having a plan really does pay off.

Research from T. Rowe Price found that individuals with a formal financial plan had two to four times more wealth when entering retirement compared to those without one.

With the help of a qualified professional, like those found through WiserAdvisor, you can easily plan when, where, and how you want to retire.

WiserAdvisor is a free online service that helps you find a financial advisor who can co-create a plan to reach your financial goals. Just answer a few questions, and the extensive online database will match you with two to three vetted advisors based on your answers.

You can view the advisors’ profiles, read past client reviews, and schedule a free consultation with no obligation to hire.

Even if you’re confident in the amount you’ve saved for your retirement, LaVigne insists “it is critical to understand how those assets will be able to fund your life after you retire.” That’s why individuals with higher [net worths should also consider consulting a professional to make the most of their nest egg and the rest of their assets and portfolio.

Arta Finance gives you access to a digital wealth management platform with exclusive financial strategies for public market and alternative investments. These include private equity, quantitative strategies, and venture capital investment opportunities.

You can think of them as an accessible family office which will enable you to make the appropriate financial plan for your best retirement.

How to plan your retirement income

Another big concern among the Americans surveyed is how to best take distributions from their retirement savings when they do retire, with 45% revealing they’re unsure of the best method. This question is best answered with the help of a financial advisor, and it will largely depend on the type of accounts that you have.

With most IRA accounts, you will pay taxes on the funds you take out. So, the timing of these withdrawals really matters for the potential income tax you’ll incur.

However, with a Roth IRA, you are contributing to your account with after-tax income, which means your withdrawals at retirement age won’t be taxed.

This is why financial guru Suze Orman wrote that Americans should be putting “every single cent” into a Roth account in her book, The Ultimate Retirement Guide For 50 Plus.

And if you have a gold IRA, you’ll want to plan for whether you’d like your withdrawals to be as income, or as the physical asset.

A gold IRA with the help of American Hartford Gold offers both types of withdrawals. When you open a gold IRA with AHG, you own the physical metals — and your assets are stored in a secure depository.

When you sign up with American Hartford Gold, you’ll be eligible for an offer to receive up to $15,000 in free silver, along with the assurance of the best pricing through their price match guarantee.

No matter if your retirement plan involves investing in gold, or its value in cash, the investment is an opportunity to diversify your portfolio and stabilize your finances.

Make sure your family is secure

Finally, a plan is important because it provides your loved ones with security, too.

For workers, an emergency fund doesn’t just safeguard against a job loss. It can also be the ticket to covering surprise expenses without going into debt. And being retired doesn’t make you immune from surprises. Many retirees face home repairs as their properties age alongside them. Your monthly Social Security check may not be enough to replace a water heater, or cover hospital expenses if you encounter a medical emergency.

If you’re concerned that Medicare might not cover your expenses or that you want a little more financial security in retirement, there are other insurance options you can consider.

A life insurance plan can provide an extra layer of support, and a financial buffer, for you and your family. If you’re looking for a policy that will last a lifetime, with a locked-in premium and a cash value that can be tapped into while the policyholder is still alive, a whole life insurance policy from Mutual of Omaha might be worth considering.

With coverage amounts ranging from $2,000 to $25,000 (in WA, $5,000 to $25,000), you can rest assured that your family will always be ready to cover unexpected expenses. It only takes five minutes to fill out a quick online application with your personal and beneficiary information.

Once you register, not only will you be guaranteed coverage, but your benefits will never be reduced due to age or health. Plus, no medical exams or health questionnaires are needed to join.

Enjoying life on a fixed income

Having a suitable retirement plan isn’t only important for your financial goals, it’s just as critical for your peace of mind.

Of those surveyed by Allianz Life, 48% worried about living too frugally and not enjoying retirement as much as they should. Without a clear set of steps for how you want to prepare for — and live — in retirement, you’re subjecting yourself to unnecessary uncertainty. You may be spending more frugally than necessary, or you might not be frugal enough to make those savings last.

Once you have your plan, investing while you spend is another way to double down on savings for the future.

Acorns automates investing and saving to simplify the process of setting aside extra funds.

When you make a purchase on your credit or debit card, they will automatically round up the price to the nearest dollar and place the excess cash into a smart investment portfolio. This way, even the most essential spending translates to money saved for the future.

When you sign up now, you’ll get a $20 bonus investment, too.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

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What does it really mean to be wealthy? At what point — specifically, at what income level — does one cross into “rich” territory?

According to Bloomberg, an annual income of $175,000 a year places you in the top 10% of tax filers, signifying you’re statistically wealthy.

But in their 2023 survey, 25% of those earning that much or more described themselves as “very poor”, “poor”, or “getting by, but things are tight.” Half said they’re just “comfortable”, at best.

It’s true that everything from cars to condos are costlier than ever before. But even with those costs accounted for, the question remains: Are Americans underestimating their real net worth?

Warren Buffett thinks so. In a 2022 interview with Charlie Rose, the Berkshire billionaire tried to put things in perspective for modern Americans.

“You live in a new environment where the bottom 2% in terms of income in the United States, the bottom 5% … The top 1% all live better than John D Rockefeller was living when I was six years old. … And today, you can get better medicine, better education, better entertainment, and better transportation.”

And Rockefeller was at one point the richest man in the world. Here are a few key things to remember as you work toward your wealth goals.

Stable investments over riskier bets

According to a recent survey from Bank of America, individuals aged 21 to 43 with at least $3 million in assets only have 25% of their portfolio invested in stocks.

It is worth noting that 93% of these rich, young Americans say they plan to allocate more of their portfolio to alternatives in the next few years, according to the survey.

So, what alternative investments are capturing the interest of these young millionaires?

The Bank of America survey revealed that among wealthy young investors, 45% own gold as a physical asset, and another 45% are interested in holding it. Precious metals are a tried-and-true way to hedge against inflation and market downturns, offering a sense of financial stability over the long term.

One particularly advantageous method is a gold IRA with the help of Thor Metals. Their retirement accounts can help you stabilize your finances by allowing you to invest directly in physical precious metals rather than stocks and bonds.

Opting for a gold IRA can offer a financial cushion that helps you feel more secure about your future.

Comparison: the greatest thief of joy

It’s not surprising that so many Americans struggle to understand what their financial standing really is. A Pew Research study found 83% of Americans use some form of social media in 2024.

Why is that important?

Aside from an array of finance influencers who all have varying opinions on the best way to create wealth, social media also inherently lends itself to comparisons. but remember: Nobody’s showingtheir mortgages or debts on Facebook and Instagram. Instead, they’re just sharing five-star vacations and ritzy nights out.

This is why professional financial advisors play a crucial role in helping you understand your actual financial position and plans for the future. With the help of a qualified professional, like those you can find through Advisor.com, you can find out where you really stand.

Advisor.com is a free service that helps you find a financial advisor who can co-create a plan to reach your financial goals by matching you with a small list of the best options for you to choose from. From their database of thousands, you get a pre-screened financial advisor you can trust. You can then set up a free, no-obligation consultation to see if they’re the right fit for you.

Social media and the FOMO factor

Social media also fuels FOMO (fear of missing out), especially as more people boast about their investment returns or sudden financial “wins.” Watching influencers and celebrities claim they’ve doubled or tripled their money overnight can easily lead to unrealistic expectations.

But getting investment information from reliable, expert sources (not from social media) is crucial.

When asked what he did to learn about the stock market, Buffett told Berkshire shareholders last year that he did a lot of reading.

“The answer would be, in my particular case, it would be going through the 20,000 pages [of Moody’s Manual],” Buffett said.

Moody’s Manual was a series of publications by financial services company Moody’s on publicly traded stocks. These texts provided detailed information on various industries, companies and securities.

Want an easier way to gain useful insights without having to read thousands of pages? Moby gives you access to the best investing research, broken down into simple, easy-to-understand formats.

Moby is made up of a team of former hedge fund analysts and financial experts who spend hundreds of hours every week sifting through the latest financial news. You get top-tier stock reports so you’re up-to-date on the markets. And the proof is in the pudding: Moby’s picks have beaten the S&P 500’s returns by almost 12%, on average.

If you prefer a collaborative approach, Public offers a community-driven platform for investment insights. Public’s social investing features let you share ideas with their community of fellow investors, and gain insights from your peers.

Public also democratizes investing by offering a commission-free platform for trading stocks, ETFs, cryptocurrencies, treasuries, and even alternative assets.

There’s the added bonus of Public’s high-yield cash account with an industry-leading 4.6% APY and there are no fees and no minimum balance required. This can allow you to grow your uninvested cash more effectively over time.

Resist the urge to constantly check

Americans who are constantly checking up on their wealth or investment portfolio might also be incorrectly believing they’re worse off than they are.

Buffett has always preached about investing for the long-term and exercising patience.

“If you worry about corrections, you shouldn’t own stocks,” Buffett once said in an interview with The Street.

Market ups and downs are natural, but fixating on them daily can make you feel like you’re losing ground, leading to potentially short-sighted decisions as well.

Hands-off strategies, like those offered by Acorns, can help.

When you make a purchase on your credit or debit card, Acorns automatically rounds it up to the nearest dollar, and the excess is placed in a smart investment portfolio for you. That way, you don’t have to worry so much about your money being put to work.

When you sign up now with Acorns, you can get a $20 bonus investment too.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.