By all accounts
Perhaps you’ve contributed to Traditional or Roth IRAs. Maybe you have 401k accounts from previous employers that may or may not have been rolled over into IRAs. If you or your spouse work for a higher education institution like the University of Michigan, you may have assets in a 403b, 401a or 457b account. Some families have a self-employed earner who may contribute to a SEP IRA, solo-401k, or SIMPLE IRA. There are a plethora of retirement plans and account options out there, and each comes with their own options for saving, investment, and tax planning. Should you combine different accounts to simplify your contributions? Which accounts should you prioritize when it comes to investing excess money? When will you start receiving distributions from different accounts and how can you optimize your tax obligations when that happens? How long do you have to be a participant in certain plans to qualify for catch-up contributions? What kinds of assets can you hold in different accounts?
Wherever your retirement accounts are located, your RIS investment advisor can help you get the most out of them. We’ll look at your investments across all of your accounts and asset types and manage them in a comprehensive, proactive way, helping to preserve, protect, and grow your wealth.
Our advisors work with several types of accounts, such as:
- 401ks, which are offered through private employers and allow you to contribute a percentage of your pre-tax paycheck into an investment account from which you can then withdraw during retirement. Plan sponsors often match their employees’ contributions.
- 403bs and 457bs, which are similar to 401ks but are only for employees of public schools and tax-exempt organizations. They have the same annual contribution limits as 401ks.
- Traditional Individual Retirement Accounts, or IRAs, where you contribute money, which may or may not be deducted on your tax return. Your earnings grow tax-deferred until you make withdrawals.
- Roth IRAs, where your contributions are made with after-tax money, and withdrawals are usually tax-free after age 59 1/2.
- SIMPLE IRAs, which are a retirement plan that works similarly to a 401k, but is for small businesses with up to 100 employees.
- SEP IRAs, which are popular with self-employed individuals due to their high annual contribution limit.
Roll-over and Roth conversion options
If you are actively contributing to a 401k through a current employer, we can help you manage those investments in the scope of your overall portfolio, choosing the options that are best aligned with your goals. If you have the option to roll out of the plan, we can help you determine whether that would be advantageous regarding your investment options, your tax burden, or your flexibility down the line. Your RIS advisor will help find the investment options that are best suited for you.
And if you have a pre-tax 401k account and are considering converting it into a post-tax Roth account, we can run analysis to determine whether that’s the right move for you. If it is, our team can manage that transition directly on your behalf.
Read our case studies to see how we help clients manage their retirement accounts and help to protect and grow their wealth in line with their goals.