401k Strategies by Age Group

No matter what your age, making contributions into a 401k plan is a good idea that will pay dividends when you reach retirement age.The recent recession has had a huge impact on the 401k balances of people in all age groups, but those who are closer to traditional retirement age may feel those losses more acutely as they struggle to reclaim the fat balances they saw in the 2003-07 bull market. No matter what your age, there are strategies that can help you even the odds and regrow your savings in time for retirement.

401k for Your 20’s

If you’re in your 20s, you may not have given much thought to your retirement at all, and fixed expenses such as rent, bills and student loans may eat up whatever discretionary income you can scrape together. However, people in this age group stand to gain the most from even a small 401k contribution, simply because time and accruing interest are on their side. Experts say that a 25 year old who can afford to contribute $5K to an IRA annually, stands to accumulate $1.6 million by the age of 70 (assuming a 7% interest rate every year). If your employer makes matching contributions, that’s even better.

401k for Your 30s

If you’re in your 30s, the good news is that you still have time to make up for market losses with new savings and, as the market rebuilds itself, you stand to gain from buying stock at bargain basement prices. Now is the perfect time to build a diversified portfolio that can withstand shifts in market weather.

401k for Your 40s

If you’re in your 40s, you might want to invest somewhat more conservatively, preserving the savings you have while continuing to build your nest egg. One rule of thumb is to subtract your age from 110 and allocate that percentage of stocks, while keeping the remainder in steadier bond investments which will provide a more stable return. It’s also a good idea to set up a separate emergency fund that can provide a prudent reserve, so you won’t need to dip into your retirement for unexpected emergencies, such as a job loss or unforeseen medical bills.

401k for Your 50s

If you’re in your 50s, you may have seen a sharp drop in your 401k balance this year and are feeling the need to make some immediate corrections. The good news is that, if you are over 50 and your employer allows catch-up contributions, you can contribute an extra $5,500 a year into your 401k every year after age 50. In addition to growing your nest egg, these contributions will be tax-deferred until retirement (when you will most likely be taxed in a lower income bracket).

401k for Your 60s

If you’re in your 60s, you might want to consider deferring your retirement by a few years, maybe even to age 69 or 70. Experts advise that it will take a year or two to get your portfolio balance back up to where it was, depending on how conservatively you invest over the next two years. Social security payouts will also increase the longer you delay claiming them, by about 7% or 8% per year. That’s a better rate of return than most stock investments are enjoying right now!

401k for Your 70s+

If you’re in your 70s, you won’t have a lot of options to recoup any losses on the market. However, if you can get by without tapping your 401k for a year, the Worker, Retiree and Employer Recovery Act will waive the minimum distribution excise tax in 2009, allowing you to protect what assets you have.

What age group are you in, and how much are you contributing to your 401k? Has the massive decline in 401k portfolios curbed your appetite for risk?

Chattanooga Credit Card Rates

Back to school shopping for the kids is always an exciting time of year. There are the required school supplies such as notebooks, pens, paper and new clothes to replace those that no longer fit. With a couple of kids, a planned excursion to the Northgate Mall and a limited cash flow you need to locate the lowest Chattanooga credit card rates available based on your history.

The big day is here and you are ready. Everyone has their lists and budgets and you have a new card with the best credit card rates in Chattanooga. With everyone organized and on their best behavior, the whole shopping trip is a breeze, thanks to Chattanooga Banking Rates.

Credit Cards and Improving Your Credit Score

Having at least two credit cards and keeping the balances low compared to your limit will help to improve your credit score. Make regular, on-time payments to your account and it is likely the credit card company will increase your limit. Lenders like to see high limits with low balances, because it demonstrates you are trustworthy and responsible.

If you have a low credit score, especially lower than 600, you may want to quickly get a copy of your credit report and see where you can improve your score.

Before you apply for a Chattanooga credit card, be sure to get your free credit report.

For help with improving your Credit Score, you can visit www.GoLookOnline.com

Types of Credit Cards

Chattanooga Banking Rates provides consumers with the tools and information they need to make the soundest financial decisions. One of those decisions is opening the right type of credit cards. Depending on your credit history and income, you can qualify for a variety of types of credit cards.
Common types of credit cards:

• Secured credit cards
• Unsecured credit cards
• Reward Credit Cards
• Debit Cards
• Prepaid Credit Cards
• Travel Rewards Cards

There are also different payment options for credit cards. You can make a minimum monthly payment, get a prepaid card, or pay your card monthly in full. No matter what type of credit card you seek, Chattanooga Banking Rates can help.

Getting a Low Chattanooga, TN Credit Card Rate

Chattanooga Banking Rates recommends that you only spend what you can afford each month, but if you do find yourself not being able to pay your full credit card balance each month, then use a Credit Card with the lowest possible interest rate. Some Credit Cards may offer a much lower interest rate without all the extra perks and cash-back bonuses. These benefits may be great, but if you know you will be paying interest each month, work with the Credit card with the lowest rates.

If you have managed your credit well, getting the lowest credit card rates will be easy. If you’re like many consumers today, it is likely you have late payments, have gone over your credit limit in the past, or have had credit card balances that are too high. Chattanooga Banking Rates will help connect you with the best credit card companies for the most competitive rates.

Credit Card Fraud in Chattanooga, TN

Chattanooga Banking Rates works with Credit Card companies who spend a great deal of money to help protect against anyone trying to steal your credit card. Credit Card Fraud is unfortunately a wide-spread problem, and the best companies continue to improve their security to protect you. As they continue to work hard with our customers and the credit bureaus to prevent and reduce credit card fraud and save money, the lower credit card rates for consumers will go. Be sure to protect your identity and monitor your credit card activity to prevent identity theft, and catch it early in the event that it happens to you.