Retirement, 401-THE
We all dream of a comfortable retirement. Learn all about the various retirement savings accounts and how to maximize them. Careful planning of your retirement income, budget, and lifestyle can help make sure you don't outlive your money.
Retirement Encyclopedia Articles By Title
401(k) rollovers: A step-by-step guide
A 401(k) rollover is the process of moving the funds from an existing employer-sponsored 401(k) to a new account.......
401(k) vesting schedules: Cliff, graded, and immediate ownership
One of the perks of working for an employer is the prospect of a 401(k), 403(b), or other workplace retirement......
5 scams that target seniors and how to avoid them
Incidents of elder fraud and senior identity theft are on the rise. The number of adults over 65 who experienced......
A guide to 55-plus communities and other senior living options
As you get into your 50s, 60s, and 70s, your priorities may shift. Maybe your children have grown and flown, or......
A Medicare primer: Parts A, B, C, and D, plus how to enroll
Medicare is a health insurance plan administered by the U.S. federal government for those age 65 or older. President......
Alternative investments for the 401(k) set
Editorâs note: This article first appeared in Money Matters, a newsletter from Britannica Money, on August 5, 2026.......
Annuities: What they are and how they work
An annuity is an investment that offers a predictable income stream in retirement. You typically buy an annuity......
Annuity death benefit: How to decide if itâs right for your loved ones
You may think of annuities in terms of the benefits they offer while youâre alive, such as a guaranteed stream......
Annuity income and taxes: Consider qualifications, deferrals, distributions, and more
If youâre an annuity investorâor youâre considering an annuity investmentâyou probably know the basic pros and......
Annuity riders: A way to customize your retirement income
Annuities are designed to provide retirement income and help you meet your financial needs as you age. Purchasing......
Are 401(k) fees affecting your retirement savings?
You know youâre supposed to save for retirement, and if your employer offers a 401(k) plan, building a nest egg......
Are you really ready for early retirement?
Do you dream of early retirement? If so, youâre not alone. Itâs tantalizing to think of ditching the rat race early......
Assisted living 101: Questions to ask about timing, care, and costs
Assisted living is just what it sounds like: a helping hand for both the individual moving into a care facility......
Beyond the 4% rule: 5 alternative retirement income strategies
The 4% rule is widely known in retirement-planning circles as a straightforward yet effective way to structure......
Calculating your Social Security benefits? Breakeven ages and how to decide
If youâre like most Americans, youâve been paying into Social Security ever since you received your first paycheck.......
Can you have multiple traditional and Roth IRAs? What if you also contribute to a 401(k)?
Tax-advantaged retirement accounts can help you build wealth for the future and improve your chances of a comfortable......
Catch-up contributions: Rules and limits for older savers
If you spent most of your working years juggling the expenses of home and family, your retirement accounts may......
Charitable remainder trust: An estate-planning tool that supports your retirement and your charities
A charitable remainder trust (CRT) can be a good solution for people who want to turn appreciated assets into retirement......
Collecting Social Security benefits when youâre divorced
Social Security spousal benefits let you claim up to half of your spouseâs retirement benefitâif that amount is......
Community property vs. common-law property: Who owns what?
You meet, you fall in love, and maybe you get married. Chances are, youâre thinking about happily ever after, not......
Contribution limits: 401(k), IRA, HSA, and 529 plans
One of the more vexing aspects of tax-advantaged accounts is keeping track of contribution limits, catch-up contributions,......
Could a multiyear guaranteed annuity be part of your retirement planning?
A multiyear guaranteed annuity (MYGA) works similarly to a certificate of deposit (CD), offering a fixed interest......
Create a lasting impact by leaving a legacy
Leaving a legacy is all about how you want to be remembered in future yearsâwhether by your loved ones or even......
Deferred and immediate annuities: Understanding the difference
Annuities are financial products sold by insurance companies that help retirees generate a guaranteed stream of......
Do gold and other precious metals have a place in your retirement portfolio?
Most people consider traditional investments for their retirement accountsâstocks, bonds, mutual funds, and exchange-traded......
Do I need a will? Itâs about more than just your assets
You may wonder if you need a will. If youâre like many people, you may have been wondering for a while now. People......
Do you qualify for Social Security spousal benefits?
If you are (or were) married, and you worked as a caregiver or part-time (or even full-time at a low salary) for......
Emotional stages of retirement: The joy, the jolt, and the adjustment
Youâve been looking forward to this for years. Retirement! Youâre finally getting out of the rat race. No alarms,......
Employee stock ownership plans (ESOPs): Owning a piece of your employer
An employee stock ownership plan (ESOP) is a qualified retirement plan thatâs primarily invested in employer stock.......
End of life planning: Cremation vs. burial, choosing a nursing home, and more
End-of-life planning can make other difficult discussionsâsuch as mapping out money and spending with your partnerâseem......
Estate planning checklist: Are the pieces in place?
Making an estate plan can feel like a daunting process. For some people, drafting an estate plan will involve attorneys,......
Estate planning strategies for dependents with disabilities
If youâre caring for a loved one with special needs, you may be thinking about how to enhance their care without......
Executor of a will: Managing an estate from probate to distribution
A close relative has died, and youâve been named executor of the estateâthe person responsible for settling the......
Filling the Original Medicare gap: What is Medicare Supplement Insurance?
If youâve read even just a little about Medicare, you may have already come across the synonymous terms Medicare......
Finance 101 for widows: What to do when a spouse dies
Regardless of the extent of your financial and estate planning, the emotional impact of a spouseâs death is something......
Fixed vs. variable annuity: Choosing the right option for your retirement goals
Fixed and variable annuities are insurance products that can each provide a steady stream of income for life, although......
Goodbye saverâs credit, hello saverâs match
Editorâs note: This article first appeared in Money Matters, a newsletter from Britannica Money, on September 20,......
Heirs, wills, and trusts: Estate planning for beginners
Estate planning is the process of deciding what you want to happen to your assets if you die or become incapacitated,......
How defined benefit pension plans manage risk and returns
In a defined benefit pension plan, funds are set aside by the employer today to pay workers later, in retirement.......
How much can you contribute to your 401(k), IRA, HSA, and 529 in 2024?
Each new year brings with it changes to tax laws, including those governing how much you can set aside for retirement,......
How to build generational wealth and pass it on
âGenerational wealthâ is a relatively new term to describe something thatâs been around for centuries, at least......
How to choose a health care proxy
A health care proxy, sometimes known as a health care agent or surrogate, is someone you trust to make medical......
How to create a budget for retirement: A financial plan for your newfound freedom
Youâve finally set a date for your retirement. Congratulations! All those years of long-term planning and saving......
How to find purpose after you retire from your career
Like many things the baby boomers have ushered in during their lifetimes, the rules of retirementâif ever there......
How to get around the 401(k) early withdrawal penalty
Technically, youâre not supposed to touch the money in your 401(k) until youâre at least 59 1/2âand for good reason.......
How to pick the best place to retire: 4 questions to ask yourself
Do all those magazine lists of âretirement-friendly citiesâ make your head spin? The amenities, the weather, the......
How to use AI for retirement and financial planning
Planning for the future means making a lot of assumptions: how much youâll earn, how long youâll work, and what......
How to use the retirement bucket strategy to protect your nest egg
Q: How much money do you need to retire? A: As much as possible. That means maximizing the return on your investment......
If your child is earning money, hereâs why they might want a Roth IRA
Among the things you worry about when it comes to your kids (sleep, schoolwork, staying out of trouble), retirement......
Is it time to rebalance your retirement portfolio?
When you first established your retirement portfolio, you were probably just putting money aside and expecting......
Is your employee 401(k) match enough to retire on?
You may have heard that itâs wise to contribute as much to your employer 401(k) plan as you need to collect the......
Job-hopping? Donât forget to roll: 4 options for rolling over your 401(k)
When you leave a jobâwhether by choice or notârolling over your old 401(k) may be the last thing on your mind.......
Life plan communities: What they offer and how they work
Retirement can bring the freedom to travel, garden, cook, and enjoy life at your own pace. But if maintaining a......
Long-term care insurance costs, from traditional to hybrid policies
If youâre thinking about who will care for you later in life or how to support an aging parent or relative, long-term......
Long-term care insurance: Costs, coverage, and policy types
Paying for costly health care in retirement can add financial stress when you least expect it. Although Medicare......
Longevity risk: What it is and how to minimize it
When you think about saving for retirement, chances are you have a dollar amount in mind as a goal. But even if......
Love your pet to death? Why and how to create a pet trust
In his will, designer Karl Lagerfeld stipulated that a portion of his $300 million fortune go to his beloved cat,......
Making a blended family estate plan? These 7 steps will help
Blended families, in which spouses have remarried and bring children from previous marriages into the new family,......
Medicare IRMAA: Income-related monthly adjustment amount
It often starts with a letter from the Social Security Administration (SSA). Instead of the Medicare premium you......
Medicare Part D: Navigating prescription drug coverage
Medicare Part D provides prescription drug coverage for anyone age 65 and older who is enrolled in Medicare. Alongside......
Members only: Alternative investments may be coming to your 401(k)
Everybody wants something exclusive. To find out whatâs beyond the velvet rope. What perks and privileges await......
My company 401(k) plan offers a Roth option. Should I use it?
Congratsâyouâre saving for retirement! Youâve already decided youâd like to invest in a Roth retirement plan so......
Navigating job loss in your 50s and 60s
Editorâs note: This article first appeared in Money Matters, a newsletter from Britannica Money, on October 14,......
Original Medicare vs. Medicare Advantage: Which is right for me?
Signing up for Medicare is straightforward if youâre eligible. Apply online at the Social Security Administration......
Planning for health care costs in retirement
Health care costs in retirement have become the single greatest financial worry for millions of seniors, outweighing......
Playing your own retirement hand
Editorâs note: This article first appeared in Money Matters, a newsletter from Britannica Money, on July 22, 2026.......
Powers of attorney: What they are and how they work
A power of attorney (POA) doesnât refer to a lawyer. Rather, a POA is a legal document that you (the principal)......
Preparing your will: How an attorney can help
The proliferation of legal services and software available on the Web makes creating your will quick and easyâand......
Probate: What to expect when settling an estate
Probate is often described as something to avoid. You may have heard that it can delay settling an estate or add......
Profit-sharing plans: Retirement money, not a bonus
Profit-sharing plans are a common workplace retirement benefit, although the name can be misleading. These plans......
Pros and cons of taking out a 401(k) loan
Life happens, and sometimes you find yourself in a real cash crunch. If youâve already tapped your emergency funds,......
Regulation, solvency, and other issues facing public pensions
Public pension plans provide millions of state and local government workers nationwide with a key source of retirement......
Renting as a retirement strategy: Freedom from homeownership
Retirementâor the idea of itâoften comes with big lifestyle decisions. Housing is among the biggest and may involve......
Retirement 101: Defined benefit vs. defined contribution plans
When researching retirement account choices, you might come across the terms defined benefit plan and defined contribution......
Retirement income planning: How to get started
If youâre like a lot of people, you have no interest in outliving your money, and you probably donât want to work......
Retirement lifestyle inflation: Too much fun today can make for a difficult tomorrow
Youâve run the numbers and decided you can finally stop working. Perhaps you used the FIRE method (financial independence,......
Retirement planning for the self-employed: How to choose between a solo 401(k) and SEP IRA
So youâve decided to ditch the corporate job and join the ranks of the self-employed. Itâs a bold step. Taking......
Retirement planning: Are you comfy with money math?
Itâs been said that the two best days of your career are the first dayâwhen youâre full of hopes, plans, and aspirationsâand......
Retirement ready: Budgeting, relocating, and leaving a legacy
After several decades of working, saving, planning, and lots of dreaming, itâs finally time to retire. Are you......
Retirement saving basics: 457 plan vs. 403(b)
The well-known 401(k) plan has become the default savings vehicle for many for-profit companies nationwide. But......
Retirement savings and strategy for the homestretch
If the early years of your retirement journey are about setting yourself on the right track, the middle yearsâtypically......
Retirement savings by age: Are you on track?
Life has a way of pushing retirement into the background. Between work, family, paying the bills, and everything......
Revocable vs. irrevocable trust: Whatâs the difference?
Trusts are estate planning tools designed to hold your assets and make sure theyâre used the way you want. When......
Roth conversions: What they are, how they work, pros and cons
Funding a Roth IRA is appealing chiefly because doing so can give you tax-free income in retirement. The trade-off,......
Roth IRA vs. traditional IRA: Which should you choose?
If youâre exploring ways to save for retirement, an individual retirement account (IRA) offers tax advantages that......
Senior identity theft: How it works and 5 ways to stop it
Call it what you willâincidents of elder fraud, senior identity theft, and elder financial exploitation are on......
Senior living options: Finding the right fit for your needs
As you or your family members age, living options may become an important consideration. Although many older adults......
Should you get an annuity in your 401(k) plan?
With longevity increasing and retirees wondering if theyâll outlive their nest eggs, some employees are starting......
Social Security COLA 2027: What you need to know
On October 14, 2026, the Social Security Administration released its cost-of-living adjustment (COLA) for 2027.......
Social Security credits: Are you getting the credit you deserve?
Editorâs note: This article first appeared in Money Matters, a newsletter from Britannica Money, on August 30,......
Social Security Disability Insurance: How to qualify and what affects your benefits
A long-term disability can take you out of the workforce with little or no warning, leaving you without a paycheck.......
Social Security survivor benefits: How they work
When someone who paid into Social Security dies, their family members may be eligible for survivor benefits. Monthly......
Social Security work credits: What they are and how to earn them
Most workers know theyâll eventually qualify for Social Security, but few understand how they become eligible.......
Special needs trust: 8 steps to securing a plan for future care
If you are caring for a family member with special needs or facing a diagnosis that may require special care, your......
The 4% rule: A starting point for your retirement income strategy
What if you could calculate the precise amount to withdraw from your retirement accounts? Is there a magical formula......
The best age to claim Social Security
Editorâs note: This article first appeared in Money Matters, a newsletter from Britannica Money, on June 28, 2026.......
The case for finally making a will
Editorâs note: This article first appeared in Money Matters, a newsletter from Britannica Money, on August 23,......
The natural appeal of green burials
As more consumers weigh the environmental and health consequences of traditional funeral practices, green burials......
The retirement homestretch starts with a solid financial plan
Are you ready for retirement? Youâre in the homestretch when the kids have flown the coop, your mortgage has been......
The rule of 55 and early 401(k) withdrawals
Have you ever wondered whether itâs possible to withdraw some of your 401(k) savings before you turn 59 1/2 without......