What is the best poduct for retirement for someone self employed?

Posted by Retirement Advisor
retirement
krisclifton asked:


I own my own company and I am the only one. I need to the most beneficial product (s) for my retirement.

LEILA
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This entry was posted on Sunday, October 26th, 2008 at 10:30 pm and is filed under Personal Finance. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

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3 Responses to “What is the best poduct for retirement for someone self employed?”

  1. GSWALLY Says:
    October 28th, 2008 at 5:24 am

    Honestly sit down with someone who knows what their doing. Even if you buy the products online your going to pay the same commision as if you sit down with a professional and they can go over all your options. There is no one answer.

    Depending on your income you qualify for different funds, certain tax products can help.

    Some basic advice though, mutual funds. Find a good slid fund that matches your risk tolerance.

    Second max out your ira contribution its tax deductible.

    I know there are alot of other types of programs out there its impossible to say simply ones the best, otherwise everyone would be in it right.

    If you do do it yourself, dont sell to often, and diversify.

  2. Uncle Leo Says:
    October 29th, 2008 at 1:41 am

    One option is an IRA. It’s pretty easy to set up and handle. Open a Roth IRA if you’re in your 20’s or 30’s. If you’re older, a traditional IRA may be better. You can contribute up to $4,000 to an IRA in 2007, $5,000 if you’re 50 or older.

    If you want to save more than the IRA limits, look into SIMPLE IRAs and SEP-IRAs. The SIMPLE IRA is useful if the net income from your business is around $50,000 or less. You can put up to $10,500 in a SIMPLE IRA in 2007. The SEP-IRA is useful at higher income levels. The amount you can put into a SEP-IRA is determined by a fairly complex formula, but it ends up being around 18% of your net income up to a limit of about $45,000 in 2007.

    Before you choose a plan, talk to a tax accountant to make sure whatever plan you choose makes sense for your personal tax situation. There are a lot of complexities in the retirement account area, even for IRAs. You’ll probably have to pay the accountant a fee, but funding your retirement could involve a lot of money, so the fee is likely to be worthwhile.

  3. Tom T Says:
    October 31st, 2008 at 1:31 am

    For more retirement information head over to