Ira Limits Strategies – How To Get The Most From Your Ira
Sure, you’re strictly limited in the amount of money that you can set aside in an Individual Retirement Account. But that shouldn’t stop you from investing elsewhere and doing very well. It’s just that those other investments, except for 401ks and such, won’t give you the same benefits as an IRA.
Don’t Let IRA Contribution Limits Restrict Your Retirement Options
Of course, I hope you realize that IRAs and 401ks are not meant to the ONLY form of retirement planning you do. They are meant to supplement your other efforts. To ensure a comfortable retirement, you’ll have to put aside a lot more money than will fit into an IRA — and a 401k — taken together. Then again, if you start early, it won’t be nearly as hard since you get to benefit from decades of compounding yield — just as long as you invest your money wisely.
Max out Your Current Contribution Limits for IRAs
You definitely should take advantage of every penny the government lets you contribute to IRAs. In 2010, the maximum contribution that investors under the age of 50 can make to their IRAs is ,000. If you are 50 years of age or older, you’ll be allowed to invest an additional ,000 for a total of ,000 each year. So if you’re getting closer to retirement, you get to play catch-up.
IRA Limits Encourage Diversity in Retirement Planning
It’s almost hard to believe, but the fact is that Individual retirement accounts actually encourage more aggressive investing. And those aggressive moves can pay of nicely if you’re lucky. But because it’s a limited amount of money that you’re putting at risk, losing out won’t put you in the poor house either.
Self-Directed IRA Give You Access to Non-Traditional Options
Now here’s the real benefit of IRAs. You can choose a self-directed IRA, which will give you access to non-traditional investment options. You’d never have that opportunity with a traditional 401k or most other employer sponsored retirement accounts.
And here’s the best part: some of those investment alternatives offer both the benefits of the more aggressive investment options with a safety level comparable to bonds. And that’s a great way to compensate for those IRA limits.
Of course, once you step into alternative investment territory, it’s best to get help from a financial advisor who specializes in helping his clients with investment options that can yield a much higher return with excellent safety. How would you like the historical 14% return from this safe, unique investment alternative?
You’ll find that it’s especially powerful inside self-directed Roth accounts, which high income earners can finally take advantage of in 2010. And if you’d like to find out more, I’ll be happy to talk with you and tell you about options that can supercharge your retirement savings.
Do you wish you could invest more but are held back by those IRA limits? True, they can put a crimp on your retirement goals — but only if you let them. Read on to discover retirement planning strategies and alternative investments that can put your retirement funds on the fast track.
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