Can You Lose the Rights to Your 401(k)?

Laura Gariepy  Wed, April 26, 2023

Your employer can’t seize your 401(k) contributions or the investment earnings from those contributions when you change jobs voluntarily or when you get fired or laid off. However, your retirement plan is subject to rules imposed by the company and the IRS. Those rules could limit your rights to the funds in your account.

Here are three factors that can impact what happens to your 401(k) when you leave an organization:

What Happens To Your 401(k) When You Get Laid Off?

There is nothing pleasant about getting fired or laid off. It leaves you with much uncertainty about the future — and rightfully so, as this means a temporary halt in income. But although you are no longer earning, your 401(k) is not in danger.

So, what happens to your 401(k) when you get fired or laid off? Your 401(k) is safe even after a job layoff. You are entitled to the funds you contributed to the account and any earnings they generated.

Read on to understand what you can do and what your termination means for your investment.

How to Protect Assets From Stepchildren

Mark Henricks Wed, April 26, 2023

Parents in second marriages may want to leave assets to their own children while ensuring that stepchildren do not inherit. When stepchildren inherit, it can create resentment leading to legal disputes that can cost the estate significantly in delay and attorney fees. By taking specific estate planning steps, however, you can effectively protect assets from stepchildren. A financial advisor can inform you about your options when planning an estate involving stepchildren.

The Best Way To Invest An Inheritance and Protect Your Newfound Wealth

Charlotte Gifford   Tue, April 25, 2023   The Telegraph

Receiving a lump sum inheritance can be life-changing. But when it comes to deciding what you should do with a sudden windfall it is easy to feel overwhelmed by the range of options at your fingertips.

Undoubtedly one of the worst things you could do – besides spending it all at once in a mad frenzy – is put the money in your current account. This will leave your inheritance at the mercy of inflation. If inflation is on average 2 per cent, then in terms of purchasing power a £100,000 lump sum would be worth just £50,000 in 25 years.

How to Ease Your Kids Into Estate Planning

Elizabeth Ayoola  Mon, April 24, 2023 NerdWallet

When parents talk with their kids at the dinner table, estate planning probably doesn’t come up. But considering we aren’t immortal, it should.

It’s worth having age-appropriate conversations to introduce children to the idea of estate planning. As children grow older, parents can provide more specifics about their plans and eventually assist their children in developing their own plans as adults.

The Worst Money Advice That Keeps Going Around, According to Experts

Andrew Lisa  Mon, April 24, 2023 GoBankingRates

Some of the most popular money advice is as unreliable as it is common. From social media drivel to well-intentioned counsel from industry professionals, money misinformation can come from anywhere.

Sometimes it's bad investment advice. Other times, it's misguided suggestions about saving, spending, borrowing or building credit. No matter the subject, all misleading money guidance has one thing in common -- it never helps the person on the receiving end.

Understanding Wants and Needs to Improve Your Finances

Financial Pilgrimage

Whenever you open up a news site, go shopping or fill the gas in your car, it can remind you of how expensive everything is. Financial experts remind us to tighten our belts and watch our spending as the cost of living rises. If we’re not careful, we may be unable to afford to pay for our necessary expenses, let alone extras.

But, for many folks, drawing the line between what is necessary and what is nice to have is challenging. In other words, it can be challenging to differentiate needs from wants.