Everybody needs to plan for their retirement income in order to have a secure future. It is always better to start saving early for a financially-stable retirement. Following are the 10 best retirement plans you may check out:
- Rollover Individual Retirement Arrangement (IRA)
Having a rollover IRA helps you transfer your retirement income investments from one account to another in case you change a job or when you want to invest in a better value-added option for retirement planning.
One of the 10 best retirement plans, 401(k) helps you save over time and takes a contribution from your employer too, thereby making it an option for safe investments for retirees. It has rules and regulations, which ensure that your contribution sums up to an average retirement income for you.
- Defined Benefit Plan
Depending upon factors such as employment length and history of salary, the company administers portfolio management for the employer. This is entirely an employer-sponsored plan.
- Thrift Savings Plan (TSP)
While private sector employees have various options for retirement income investments, the TSP is intended to give Federal employees and members of the uniformed services an opportunity to save up for retirement planning.
- Solo Roth 401(k)
Solo Roth 401 (k) is a safe investment for retirees who have been self-employed throughout their working life. Since they cannot take advantage of the conventional Roth plans, this is a great idea for them to earn some retirement income.
- Traditional IRA
If you are looking for an option that helps you save up for retirement by giving you tax advantages at the same time, then traditional IRA is ideal for you. Depending on each individual case, the deductibles made to the account are partial or full.
- Roth IRA
Roth IRAs are an excellent option for people who think that they will be liable to pay higher taxes nearing their retirement as compared to their current tax contributions. It is one of the 10 best retirement saving plans that you may opt for. The other three options to opt for retirement investment planning are:
- HR 10 Plans
- Health Savings Account
All the above-mentioned options come with different pros and cons and you can pick the best option depending on your financial condition and age. It is highly advisable to engage in retirement income planning so that your future is secure and you don’t have to worry about any expenditures when you retire.