Bashing the investment habits of millennials is popular lately, but often misguided. Adding to evidence that the kids may be alright: their embrace of Roth IRAs. Millennials contributed to the accounts twice as often as those age 50 and up, according to the Employee Benefit Research Institute. That may be because more seasoned, highly paid workers think their incomes disqualify them from opening a Roth.
Nearly 300,000 U.S. couples will get married this month. With a $30,000 average tab, the highest since theKnot.com began its annual wedding survey in 2007, that’s north of $8 billion spent in June alone. If everyone projected to get married in 2014 splurged like that, the 2 million or so events would cost $63 billion.
Premature withdrawals from retirement accounts have become America’s new piggy bank, cracked open in record amounts during lean times by people like Cindy Cromie, who needed the money to rent a U-Haul and start a new life.
More than half of U.S. savers with taxable individual retirement accounts won’t convert to a tax- free Roth type because they aren’t convinced about the tax savings, according to a Putnam Investments LLC survey.
A cap that President Barack Obama has proposed on the size of tax-advantaged retirement accounts is seen as potentially pushing savers to another product that limits payments to the government: life insurance.
Here's welcome news on the retirement savings front, courtesy of Fidelity Investments. Average balances on IRA saving accounts Fidelity administers reached over $81,000 at the end of 2012, a 53 percent increase from the end of 2008. Fidelity is the top provider of IRAs to U.S. investors, according to a Cerulli Associates survey.