One of the worst side effects of the coronavirus pandemic has been a drastic rise in uncertainty. As our collective attentions are turned toward public health, the economy and our personal well-being, there has been an unfortunate rise in identity theft and fraud as scammers attempt to exploit the situation. Particularly within the senior population.
COVID-19 has provided fuel for cyber criminals to prey upon the public’s concern about this global crisis. Recent scams are designed to trick people into sending money, to disclose personal information or to click on emails and websites that deliver computer malware onto the recipients’ computer or network.
Employee contribution limits will remain unchanged next year. The IRS isn’t increasing employee contribution limits for 401(k)s or flexible spending accounts for 2021.
Limits will remain the same with employees being able to defer up to $19,500 into a 401(k), 403(b) and most 457 plans at work. The limits also remain the same for employee catch-up contributions for those 50 and older, at $6,500. Last year saw a $500 jump in the overall employee contribution limit for 2020 plus a $500 rise in the catch-up limit.
For 2021, the dollar limit for employee contributions to flexible spending accounts, made pretax through salary reductions, remains unchanged at $2,750. However, for health FSA plans that permit the carryover of unused amounts, the maximum carryover amount for 2021 is $550, an increase of $50 from the original 2020 carryover limit.
If you have adult children, do they know how much money you make, how much you have tucked away, and how much you spend each year?
It is quite common that adult children are caught unaware or without access to funds when tragedy strikes. When a parent's finances are revealed only after death, or when a debilitating illness strikes, the responsibility can place a lot of stress on the offspring.
Simple, essential steps for putting your affairs in order
The steady drone of coronavirus news this year has spurred countless older Americans to face a long-procrastinated task: writing — or rewriting — their wills. A 2016 Gallup poll found that more than 30 percent of people 65 and older and more than 40 percent of people ages 50 through 64, do not have a will. The main reasons people stall, according to Caring.com? Most say they haven't gotten around to it, or they don't have enough assets to leave to anyone.
Making smart decisions in times of panic may not be easy, but for those who can keep a cool head and follow a plan, there are some calculated steps you can take towards growing your wealth despite the situation. Now, and for generations to come.
The headlines over the past months have been riddled with two serious threats to the health and well-being of people across the U.S. The first and obvious threat is the novel coronavirus (COVID-19) outbreak. The other obvious danger is the stock market, which entered bear market territory for the first time in 11 years.
If your financial situation has hit a rough spot, there are several things you can do to get your retirement plan moving in the right direction again.
Does it feel like the coronavirus pandemic has pushed all your retirement plans by the wayside? If you recently lost your job or had a reduction in income, you may not be thinking about your long-term future and retirement plans. You may only be focused on surviving from one day to the next.
Regardless of your current situation, all is lost when it comes to retirement planning.
You can get things moving in the right direction again. While there are no easy answers or quick fixes in these uncertain times, there are a few ways you can shore up your retirement plan and get it back on track. Here are some things to consider.