How to raid retirement funds in a crisis

By: Liz Weston
Posted on: May 15, 2020

In an ideal world, your retirement accounts would be left alone for retirement. But you’ve probably noticed that we’re not living in an ideal world. Early withdrawals can have serious repercussions, including big tax bills today and potential shortfalls in the future. Please look for other solutions first. You might: —  Halt ongoing retirement contributions to free up... READ MORE

Where to turn amid bond market chaos?

By: Jeffrey R. Kosnett
Posted on: May 13, 2020

I won’t mince words: “Lower for longer,” my overriding view of fixed-income yields, is trending toward “lowest imaginable.” Expect the imminent return of zero, or near-zero, rates on money market funds, three- and six-month certificates of deposit (CDs) and bank deposits. Bonds with 4% and 5% coupons will be called in bunches by their issuers. Mortgage refis will cut the payouts... READ MORE

When will the U.S. economy recover?

By: Anne Kates Smith
Posted on: May 11, 2020

Mark Zandi is the chief economist of Moody’s Analytics. He spoke with Kiplinger’s Anne Kates Smith in a series of interviews on March 26 and 27. This is an edited transcript of their conversations. Q. What’s your outlook for the economy? How deep a recession do you see? A: It’s going to be a struggle between now and this time next year. We’re in the teeth of the downturn now.... READ MORE

Some simple strategies for CD savers

By: Lisa Gerstner
Posted on: May 08, 2020

Since the Federal Reserve slashed the federal funds rate to near zero in March, yields on certificates of deposit, a federally insured savings account with fixed interest rates and fixed dates of withdrawal, have been tumbling. “Unfortunately for savers, we will return to the ultra-low interest earnings that prevailed for years following the 2008 financial crisis,” said Greg... READ MORE

Avoid some common estate plan mistakes

By: Bud Boland
Posted on: April 14, 2020

A few years ago, I received a phone call from a woman understandably upset that she might not inherit any of her deceased father’s large 401(k) plan, even though he was divorced and she was an only child. Unfortunately, about a year before, her father divorced for the second time and failed to remove his ex-wife as the beneficiary of his 401(k). While the man probably never intended... READ MORE

Should your next car be new or used?

By: David Muhlbaum
Posted on: April 10, 2020

At Kiplinger, we’ve hewed pretty closely to the same car-buying advice over the years: Used cars offer the best value. Not overspending on a depreciating asset fits well with our get-rich-slowly philosophy. As designated car guy, I’ve repeated that mantra plenty of times. But recently a friend challenged me on it.  He was looking for something safe for his kids, with a stick... READ MORE