Advertiser Disclosure

Advantages a Mutual Fund Has Post Retirement

Advantages a Mutual Fund Has Post Retirement Retirement Planning

While planning for retirement, retirees are mostly confused from among the various options that are available. Mutual funds retirement plans have gained major importance these days. Mutual funds are an investment scheme which is managed professionally and brings people together to invest in bonds, stocks etc. Following are the advantages a mutual fund retirement plan has

  • Safety: Mutual funds provide safety to retirees as the mutual funds are for the longer period and while they give you higher returns, they also provide protection from inflation. So the retirees can stay one step ahead of inflation.
  • Tax Benefits: Retirement plans like IRA and 401(k)s are not taxable and exempt the investors from any capital gain taxes or dividend tax. Other sectored schemes of mutual funds released by the local and state governments are also tax-free.
  • No annuity: For mutual funds, you need not buy annuities, as is the case of pension plans from insurance companies. You can buy it if you think it is beneficial for your poor health and old age. It is completely your choice.
  • Flexible: Mutual funds retirement: plans are flexible and they do not have regular premium payment restrictions. There is also no restriction on partial withdrawals from retirement fixed income funds. One can withdraw partially or stop investing without being charged with any penalty.
  • Start a business: All the retirees, who are workaholic, can work by using a retirement fund to start a business. They can use their retirement income fund from their mutual fund’s retirement plans and follow their passion.
  • Options for various income groups- Mutual funds provide a variety of options to invest in. People with higher income groups can also make investments in high-income retirement funds like backdoor Roth IRA, 401 k after-tax contributions, and other options.

Mutual funds are a much safer option for the retirees because of the above advantages. The best retirement income funds options can be found easily online. You can also look for best retirement funds 2016 to gain an insight into all the funds.

611 VIEWS

top rated cards

Citi® Double Cash Card – 18 month BT offer

cards
  • Purchases Intro APR
    15.24%
  • Regular APR
    15.24% - 25.24%
  • Balance Transfer Int APR
    0%
  • Annual Fee
    $0

Citi ThankYou® Preferred Card

cards
  • Purchases Intro APR
    15.24%
  • Regular APR
    15.24% - 25.24%
  • Balance Transfer Int APR
    0%
  • Annual Fee
    $0

Citi Simplicity® Card - No Late Fees Ever

cards
  • Purchases Intro APR
    15.74%
  • Regular APR
    15.74% - 25.74%
  • Balance Transfer Int APR
    0%
  • Annual Fee
    $0

Citi® Diamond Preferred® Card – 21 Month Balance Transfer Offer

cards
  • Purchases Intro APR
    14.74%
  • Regular APR
    14.74% - 24.74%
  • Balance Transfer Int APR
    0%
  • Annual Fee
    $0
Banking

Effective Mediums To Transfer Money To An International Bank Account

There are times when money has to be transferred to someone we know in a foreign country or to a foreign bank account either for business or personal purposes. However, the transfer process is not as simple as usually claimed as a single transfer inv...
639 VIEWS
Finance

Top Three Private Student Loan Refinancing Companies

The cost of living is increasing with each passing day. This would also mean that the cost of the things we look for, which are absolutely important as education is also going out of hand and is becoming unaffordable with each passing day. That is wh...
320 VIEWS
Investments

How To Choose A Robo Advisor

Robo-advisors (robotic-advisers) are digital systems or robo investment companies that offer computerized, algorithm-pushed economic planning offerings with little to no human supervision. An average robo-guide collects data from clients, along with ...
347 VIEWS