While in 2018 US stocks have well outpaced international stocks, that is not always the case. Just last year international stocks outpaced US stocks by 6.4% and so far in the fourth quarter emerging markets have topped the US by 1.8%.
Each year the Internal Revenue Service (IRS) releases any new adjustments to retirement plan policies for the upcoming year. In November the changes for the 2019 calendar year were released. Highlights include:
- A Cost of Living increase for the contribution limits on employer retirement plans, 401(k)s, 403(b)s, 457 plans and TSPs, from $18,500 to $19,000
- A Cost of Living increase for IRA contributions from $5,500 to $6,000
- The annual catch-up amount for people over the age of 50 remained at $6,000 for employer plans and $1,000 for IRAs.
Check out all of the adjustment announced for 2019 here.
If you have any questions about the changes, please reach out to John McAuliffe, email@example.com
Before even beginning to create an effective budget, you need to understand what you are saving towards. Read on to learn more about setting savings goals and prioritizing them.
Using a budget to understand your income and expenses can help you plan spending habits, decrease unnecessary and excessive spending, and take control of your finances. For retirement planning, effective budgeting is an important step in deciding how much you can afford to contribute to your retirement plan, and how much you may need in income after retirement.