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Retirement Planning

Defined Benefit Plan Definition

A defined benefit plan, also known as a traditional pension plan, is a retirement plan where the employer guarantees a specific annual income for the employee based on various factors. This includes years of service, final salary, and age. The employer bears all the risks associated with funding the plan.

Some defined benefit plans also offer the option for employees to receive a lump-sum payment upon retirement. However, it is important to note that while federal pension insurance protects those who choose the annual income option, those who opt for a lump-sum payment are responsible for managing their funds effectively.

Direct Rollover

A common strategy for individuals looking to transfer funds from a qualified retirement plan to an IRA is through a non-taxable direct rollover. This involves moving the fun...

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Employer-sponsored Retirement Plan

Let's delve into the world of retirement planning and explore the difference between Defined Contribution and Defined Benefit plans. These types of plans are widely used, wi...

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Roth IRA Conversion

When considering the distribution of assets from a Traditional IRA into a Roth IRA, it is important to understand the potential tax implications. A Traditional IRA allows fo...