Dear Debt Adviser, I'm 47 and have a retirement fund that's worth $209,000. I also have two credit cards with a total balance of $9,900, interest rates of 8.8 and 11.8%, and a combined monthly payment of $200. Should I use my retirement fund to pay my credit card debt? My retirement fund allows me to take out two loans at any given time, and I can get loans for 50 months at 4.25% interest. -- Julie

Dear Julie, I lean toward Murphy's Law when planning. If something can go wrong, it will, and it'll happen at the worst possible time. So I'd be cautious. You certainly could take out a loan from your retirement fund account, but why would you? The negatives of raiding your retirement fund outweigh the positives.

True, you would pay less on interest charges with the retirement fund loan than your credit cards. But you would lose the compounding interest on the money you borrow. In addition, if you change employers or get fired, your loan would become due in full. In most cases you'd be required to repay that loan 60 days after a change in employment. You could end up losing nearly half of your loan to early withdrawal penalties and taxes on the money you borrowed. You have a great start on your retirement savings. I say leave it alone and let it work for you.

If you continue to make the $200 monthly credit card payments, you will pay off the balances in 65 months. This would be 15 months longer than the proposed 50 months on your retirement loan. However, if you could squeeze just $45 more each month out of your budget, you could pay off the balances in the same 50 months.

Also, you need to commit to not adding to the balances of these credit card accounts. New purchases begin to accrue interest from the day of purchase as long as you carry a balance from month to month. My suggestion is to review your monthly spending plan. You will want to accomplish two things: First, try to find the extra $45 you will need to pay off your balances in 50 months. Second, review your plan to make sure your spending is not exceeding your income.

Believe me: Your retirement account will benefit you more if you save it for later. Plus, making a little sacrifice to pay off your credit balances may be just the incentive you need to keep from doing it again in the future. However, if you lack spending discipline and you're still inclined to borrow from your retirement fund, then I suggest that you try to keep up your contributions to the plan in addition to your loan payment.

Good luck!

Bankrate's content, including the guidance of its advice-and-expert columns and this website, is intended only to assist you with financial decisions. The content is broad in scope and does not consider your personal financial situation. Bankrate recommends that you seek the advice of advisers who are fully aware of your individual circumstances before making any final decisions or implementing any financial strategy. Please remember that your use of this website is governed by Bankrate's Terms of Use.

See original here:
Pay Credit Card Debt With Retirement Fund?

While delivering talks to a variety of companies and organizations, retirement expert Jan Cullinane was approached by single women who told her they needed help. Some said they were "happily never married" and looking for a place to relocate. Others, who were widowed and looking for companionship, wanted tips on how to start dating again. Some were divorced but said their ex-husbands had done all of the financial planning, so they wanted advice on how to manage their money.

After hearing these concerns echoed across the country, Cullinane decided to write AARP's The Single Woman's Guide to Retirement. She spoke with U.S. News about how women can make smart decisions on the path to financial stability, love, and self-fulfillment. Excerpts:

You wove anecdotes from single women throughout the book to illustrate certain concepts. Which stories resonated with you the most?

The ones about the "grey divorce," meaning they were married for 20 years or more and then got divorced. Some took a very humorous approach, while one woman was floored by her divorce. Another woman initiated it but was still very sad.

The tips for women who had become widowed and how they dealt with their grief also resonated with me. From the woman who said she got a rescue dog because she didn't want to come home to an empty house at night, to the woman who said yes to everything for the first six months and found that even though that was difficult, it was a way to get her engaged with the world, their stories were moving.

[In Pictures: The 10 Best Places for Single Seniors to Retire.]

Do you think single women have a harder time navigating retirement than single men?

I can't say that I'm an expert on the single men, but I would have to say yes because of the fact that women live longer, so they're going to have that longer horizon. And if they're doing the same jobs as men, they're paid less. They also tend to be more risk-adverse in investing, which sometimes works in their favor but sometimes works against them.

Negotiation skills are another thing. Research shows women aren't as good at negotiating as men. So because they're not as good at negotiating their first salary, and you roll that down for 40 years, that can make a huge difference in their nest egg.

What tips do you have for single women who want to continue working in retirement but want to pursue a different line of work?

See the rest here:
How Single Women Can Thrive in Retirement

Large U.S. employers continue to eliminate traditional pension plans that pay retired workers a monthly lifetime pension in favor of defined contribution and hybrid plans that offer lump-sum payments at retirement, according to a recent survey HR consulting firm Towers Watson.

Among Fortune 1000 companies, only 11 percent still offer a traditional pension plan to newly hired salaried workers, down from 14 percent in 2011 and continuing a long slide from 90 percent in 1985. Conversely, in 1985 only 10 percent of those companies offered only a defined contribution plan to salaried workers -- today that figure stands at 70 percent.

The primary reason for this trend has been financial: Employers don't want the exposure to unfunded liabilities if capital markets perform poorly. At the same time, until recently employees generally hadn't expressed a preference for traditional pension plans and, in fact, have largely embraced 401(k) and other defined contribution plans.

But this trend has its consequences in the workplace, as large numbers of baby boomers have 401(k) balances that are inadequate to fund a traditional retirement. To make matters worse, most retiring workers don't know how to turn their nest eggs into reliable retirement income. Employers also haven't provided much help by offering retirement income options in their defined contribution plans.

"The ongoing shift from [defined benefit] to [defined contribution] plans due to cost and cost volatility is helping to create a next generation of retirement-age workers who may not be able to afford to retire when they would ideally like to," said Towers Watson consultant Kevin Wagner in a statement.

As a result, older workers are delaying retirement, potentially clogging up promotional opportunities for younger workers and helping keep unemployment levels high for the younger generation. And this next generation is beginning to learn from the unfortunate circumstances of the current generation of retirement age workers.

"Interestingly, as this shift in retirement plans continues, other Towers Watson research shows that younger workers are finding DB and hybrid plans more appealing than DC plans," said Alan Glickstein, another retirement consultant at Towers Watson.

The bottom line is that workers of all ages need to start expressing preferences for retirement plans that will enable some level of financial security in their retirement years. Such options include sponsoring traditional pension plans; sponsoring hybrid plans that offer the potential for lifetime retirement income; adequately funding DC plans; and providing retirement income options in DC plans. And there are good business reasons for employers to step up to the plate to help insure the retirement security of their workers.

We can no longer afford to ignore the long-term consequences of short-term thinking about our retirement programs. But we don't need to look to our federal government to solve these problems. Employees and their employers can work together to make it a priority.

Read more:
Retirement Plan Shift Is Creating a Generation of Workers Unable to Retire

Are you shopping for a new 401(k) plan for your employees this holiday season? For many employers, the impetus for switching providers comes from new fee-disclosure rules that took effect in July 2012. The rules require providers to detail all costs associated with their 401(k) plans. The idea was to improve transparency by preventing providers from hiding fees, thereby helping employers shop for the best options to their employees.

But the disclosure rules dont apply to the proposals from retirement plan companies soliciting business.

Thats a problem, because employers could be steered into buying plans that cost more than they were led to believe, says Brandon Bellin, a senior associate actuary for Securian Retirement, a division of Securian Financial Group, based in St. Paul, Minn. Many employeesand employersdont fully understand how much difference a small increase in fees makes over a lifetime of saving for retirement, he explains. For example, consider what happens to an individual who earns $50,000 annually and defers 10 percent of her salary into a retirement plan earning 8 percent. Over 30 years, what might seem to be a small, 1 percent fee increase adds up to $100,000 in lost retirement savings. [Employers] who are unaware of the hidden revenues and fees associated with a particular retirement plan providers proposal put themselves at risk if they move their plans to that provider, Bellin says.

Below are a handful of questions Bellin suggests you ask to ferret out a retirement plans true cost. He acknowledges that because Securian sells retirement plans, hes not a disinterested party. But he says a paper (PDF) he wrote recently about revenue models in the retirement plan industry helps explain why employers should heed his advice.

Where do you make your money? Some companies charge explicit fees that can be evaluated and compared across different plans. Small business plan providers, however, often rely on making money through something the industry calls revenue sharing, Bellin says. These are amounts paid by investment funds to retirement plan providers who offer their funds in the investment options available to employees.

Are there any conflicts of interest? For instance, if the provider is affiliated with a particular mutual fund, that companys funds may generate higher revenue for the provider, who will have an incentive to promote them. Or the initial pitch may feature low-cost investment options that look like good values, but later, the provider may suggest a better lineup that pays higher revenue sharing [to them] and drives up plan costs, Bellin says.

How do expense ratios compare across investment options? Oftentimes, retirement plans default to proprietary target-date funds that automatically move employees savings into more conservative investments as they get older. But despite the fact that many of these funds use low-cost, passive index funds as investment vehicles, they often charge fees closer to those of funds with active managers. In these cases, investment management expenses can be unreasonably high, Bellin says. Its a way [for them] to make more money without being too explicit about it.

Will managed accounts be offered in your plan? For an additional fee, some plans allow employees to purchase professional management services for their assets, called managed accounts. These fees can be substantial and may exceed the actual cost of providing managed accounts, Bellin says. Some retirement companies may use such managed accounts to help subsidize the plans administrative cost. When managed accounts are offered, they should be considered part of the total cost of the plan, he says.

The bottom line: Before choosing a new retirement plan provider, try to get a side-by-side comparison of several providers plans, how much they will charge in fees, an explicit accounting of any fees that might be hidden, and what the total bottom line is for each provider. The other option is to simply avoid providers that get different levels of revenue from different investment funds. That way its transparent and a lot easier to see than having the money hiding in various places, Bellin says. And the employer will avoid the situation where some participants pay more towards plan expenses than others based on which investments they are using.

See the rest here:
What Does Your Retirement Plan Really Cost?

We spend a lot of time and effort accumulating a retirement fund. But at a time when retirement can last for over 20 years, we also need a tax-efficient withdrawal strategy to help our nest egg last longer.

Various types of retirement income are taxed at different rates. Here's a look at the different types of income and their respective tax rates in retirement:

Ordinary income tax rate. Once you retire, you won't have a regular paycheck anymore and your ordinary income tax will decrease significantly. But you'll still probably have to pay tax on these sources of income:

--Rental income

--Business income

--Tax-deferred account withdrawals from traditional IRAs and 401(k)s

--Interest

--Short term capital gains (gain from sales of assets held under 1 year)

--Annuity payouts may be taxable

--A portion of your Social Security benefit may be taxed federally depending on your income

See the original post here:
How to Take Tax-Efficient Retirement Account Withdrawals

I'd like to think that readers of this retirement column are well on their way to building a comfortable retirement. But many people have a long journey ahead of them before they will reach financial independence. Those who are close to retirement and have little or no savings need a serious push to save more. Here's what to do if you have little saved when you are close to retirement:

Stop hoping. There's no more time for you to sit around hoping something good will happen to your net worth. Take charge of the situation by making the necessary changes to have a better retirement. Start saving with your very next paycheck. The more you save, the better things will be for you in retirement.

Fire your financial adviser, if you have one. If your financial adviser hasn't convinced you or at least tried to talk you into saving enough for retirement, he's obviously not adequately addressing your financial needs. And this financial adviser likely gets a cut or fixed fee from the money you do have saved. You can put that extra money into your retirement savings.

Downsize your home. Consider downsizing your home, because chances are good that you can kick your savings up a few notches just by living in a smaller house. Your mortgage payment will be much lower, and your property taxes, utilities, maintenance, and general upkeep costs will all probably go down as well. This single adjustment can sometimes dramatically improve your finances, and you may even feel happier once you are no longer working so hard to pay for your house. You should also consider downsizing other aspects of your lifestyle to reduce your expenses.

Take advantage of catch up contributions. People age 50 or older can contribute more to tax advantaged retirement accounts than younger savers. Use this increased limit to turbocharge your savings and to avoid the tax drag on your investment returns.

Consider investing more conservatively. Many people are tempted to increase their investment risk when they feel they are coming up short on their retirement goals. But not having enough money is actually a strong indication that you should reduce your risk, because bad luck with the markets can be devastating to someone who doesn't have that much left to lose. This goes back to the first point about hope, which is not a sound strategy. Always remember to invest according to both your willingness and ability to take risk.

Don't forget about your health. Medical expenses are likely to go up in the future. But you can significantly reduce your costs by staying as healthy as you can. Exercise often, and make the effort to watch what you consume on a regular basis. This combination will improve your quality of life beyond just dollars and cents because you will have more energy and feel better about yourself.

Being close to retirement with no savings is tough, but the game isn't over yet. It's never too late to take steps to shore up your finances. Your retired self will appreciate any extra savings you can accumulate.

David Ning runs MoneyNing, a personal finance site that shares money moves you can make to significantly increase your chances of having a comfortable retirement. He likes to share simple changes that anyone can make, such as picking the best online savings account and figuring out whether a 0 percent balance transfer credit card makes sense.

Read more:
Last-Minute Retirement Saving Strategies

Most of us say that we want a successful retirement. Unfortunately, too many of us don't think things through, and could end up unprepared for retirement. It's remarkably easy to wreck your retirement years. Here are three steps that are likely to ruin your retirement:

1. Forgo a plan. Planning often seems overrated. After all, a plan can be restricting. Unfortunately, without a plan, there is nothing to help you on your path to retirement. Without a plan, it's too easy to forget about the end game and just focus on what's happening today. If you want a successful retirement you need to look ahead.

A retirement plan forces you to look beyond what you think you want right now. Instead, you need to look at where you want to be, relative to where you are right now. Your retirement plan lays out the steps you need to take to get from here to there and possibly even retire early. Without proper planning, you are likely to find yourself without enough to retire, and in danger of living longer than your money.

Create a realistic retirement plan that allows you to save up for the retirement you want, and that encourages you to start taking the steps that lead to a successful retirement later. If you don't have a road map to a better retirement, you may not ever get there.

2. Rack up debt. One of the biggest retirement killers is debt. When you have debt obligations, your money isn't your own. Instead of using your money to build wealth, you are paying interest straight into someone else's pocket. During retirement, you want fewer drains on your money. Your retirement income is more fixed. If a large portion of that income is going toward paying interest debt, you could end up without enough to pay your retirement costs.

Instead of getting into debt now, live within your means. Make a plan to pay off debt before you retire, including mortgage debt if possible. The fewer obligations you have in retirement, the better off you'll be. Plus, living within your means now is good practice for creating habits that will enable you to avoid outliving your money during retirement.

Learn to live without debt, and your retirement will be more successful in the long run. And you'll be happier knowing that more of your money is being used to help you maintain the retirement lifestyle that you actually want.

3. Neglect your health. The cost of health care continues to rise, and poor health can really ruin your retirement. Not only is poor health expensive, but it also seriously reduces your ability to enjoy yourself in retirement.

Take care of yourself now. While there is no complete guarantee that you won't get sick, or end up with a chronic illness, you can still improve your chances of living with excellent health in retirement. Exercise, eat healthier including brain boosting superfoods, and get the right amount of sleep. Remember to include time for relaxation in your routine.

If you stay active, body and mind, you can improve the odds that you will need fewer medical services. Good health can help you reduce your overall costs in retirement, as well as enjoy yourself better. It's hard to enjoy the money you have saved for retirement if your body is in such bad shape that you can't do anything.

See the article here:
How to Ruin Your Retirement in 3 Steps

Video Link: https://www.youtube.com/watch?v=UzRFZiSLz18

Keynote Speaker: Anthony Galie bull; Presented by SPEAK Inc.
Motivator, Hypnotist and Entertainer Anthony Galie is a psychotherapist, author of the book "Take Control of Your Subconscious Mind," lecturer, and professional trainer on the "Subconscious Aspects of Business. " He is a three time speaker at the prestigious Million Dollar Round Table, one of a very few accorded that honor. And in 2006 he was named one of "The 26 Hottest" speakers by Successful Meetings Magazine. His "Visionary Thinking" and "Hypnotic Goal-Setting" presentations are the perfect blend of entertainment and education. The most common comments from meeting and convention planners are " He had my group spellbound with serious, transferrable information that helped them improve their business performance and I haven`t laughed that hard in years" Anthony has a BA degree in Psychology from Rutgers University, he also attended Florida Atlantic University for his Master`s Degree. In addition to his own practice as a psychotherapist, he has published numerous articles in leading trade and industry journals. For over 27 years, he has helped motivate many of the country`s leading corporations including FedEx, Sears, Merrill-Lynch, Prudential and Bell South, among others. Tony Galie brings a new approach to an old problem: how to get and stay motivated over a long period of time. Most people are only able to stay focused on their goals for a few days at a time - any longer than that and their performance begins to drop. In the absence of repeated, external ...From:speakincViews:0 0ratingsTime:10:45More inPeople Blogs

View original post here:
Keynote Speaker: Anthony Galie • Presented by SPEAK Inc. - Video

Video Link: https://www.youtube.com/watch?v=pI99CGK_BWM

Hallam FM listener invites The Wanted to her 16th Birthday party
Two questions from the Up Close and Personal performance by The Wanted.From:hallamfmradioViews:22 1ratingsTime:01:54More inMusic

Read the rest here:
Hallam FM listener invites The Wanted to her 16th Birthday party - Video

LAWRENCEVILLE, Ga.--(BUSINESS WIRE)--

SED International Holdings, Inc. (NYSE MKT: SED), a multinational supply chain management provider and distributor of leading computer technology, consumer electronics, small appliances, housewares and personal care products, today announced financial results for the first quarter ended September 30, 2012.

A summary of the first fiscal quarter results are as follows:

Our performance during the quarter was disappointing with revenue down particularly in our core PC and TV businesses and our delay in adding profitability through the integration of our Lehrhoff acquisition, said Bob OMalley, president and chief executive officer of SED International. While we have some bright spots in our Latin America businesses, we are taking actions in the U.S. on several fronts this quarter to increase revenue through better selling and marketing alignment with our strategic vendors and to manage our operating expenses through the restructuring of operations and the implementation of selective outsourcing initiatives. We are committed to returning SED International to profitability.

Conference Call

SED International management will host a teleconference and webcast today, Thursday, November 8, 2012 at 4:30 p.m. ET. Interested parties may participate in the conference call by dialing 1-877-941-8416 in the United States and 1-480-629-9808 internationally. For those unable to participate, an audio replay of the call will be available beginning approximately two hours following the conclusion of the live call through November 15, 2012. The audio replay may be accessed by dialing 1-877-870-5176 from the United States or 1-858-384-5517 internationally and entering access conference ID # 4572814. The call also will be available as a live, listen-only webcast on the Investor Relations section of the SED International website at http://www.sedonline.com. Following the live webcast, an online archived webcast will also be available at the SED International website.

About SED International Holdings, Inc.

Founded in 1980, SED International Holdings, Inc. is a multinational, preferred distributor of leading computer technology, consumer electronics, small appliances, housewares, and personal care products. The company also offers custom-tailored supply chain management services ideally suited to meet the priorities and distribution requirements of the e-commerce, Business-to-Business and Business-to-Consumer markets. Headquartered near Atlanta, Georgia with business operations in California; Florida; Georgia; New Jersey; Texas; Bogota, Colombia and Buenos Aires, Argentina, SED serves a customer base of over 10,000 channel partners and retailers in the US and Latin America. To learn more, please visit http://www.SEDonline.com; or follow us on Twitter @SEDIntl.

Safe Harbor

Statements made in this Press Release that are not historical or current facts are "forward-looking statements. These statements often can be identified by the use of terms such as "may," "will," "expect," "believe," "anticipate," "estimate," "approximate" or "continue," or the negative thereof. The Company wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Any forward-looking statements represent management's best judgment as to what may occur in the future. However, forward-looking statements are subject to risks, uncertainties and important factors beyond the control of the Company that could cause actual results and events to differ materially from historical results of operations and events and those presently anticipated or projected. These factors include adverse economic conditions, entry of new and stronger competitors, inadequate capital, unexpected costs, failure to gain product approval in foreign countries and failure to capitalize upon access to new markets. The Company disclaims any obligation to revise any forward-looking statements to reflect events or circumstances after the date of such statement or to reflect the occurrence of anticipated or unanticipated events. These factors and others are discussed in the Management's Discussion and Analysis" section of the Company's Reports on Forms 10-K and 10-Q available at http://www.sec.gov.

More here:
SED International Releases First Quarter Financial Results