401K Reinrollment: Why Your Money May Be Put Into Target-Dated Funds

401K Reinrollment: Why Your Money May Be Put Into Target-Dated Funds

Target-dated funds are mutual funds that automatically adjust the asset mix of stocks, bonds and cash usually based on the investor’s future retirement date.  Companies have been offering these options for their employees for many years.  Some companies are now even having employees have to acknowledge if they don’t want to have their money put into target-dated funds.

In the hope of helping employees keep their money safe, companies are stepping in and trying to control where they hold their retirement funds.  Employees can continue to choose from their company’s listed fund choices, but if they don’t opt out of the target-dated funds, their money may just be moved for them.

For those people who don’t want to hassle with choices and watching their funds, this may be a good choice.  For those who are more financially savvy, the target-dated funds may not appeal to them; they may prefer to have control over their investments.

There are pros and cons to using target-dated funds based on gender, age and risk tolerance.  For more information about target-dated funds and employers utilizing them, check out a recent article by the Wall Street Journal by clicking here.

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Dr. Diane Hamilton is Interviewed by Dean Voelker

Click the date link to hear the audio file. Please be patient for the file to load in your media player.

  • 07/31/2010 – Dr. Diane Hamilton (Current Show)

    •       click this link to hear the show
    via helpmy401k.us

    Click on the above link and go about five minutes into the show to listen to Financial Talk Show Host and Author, Dean Voelker, interview Dr. Diane Hamilton about young adults, money, online learning, careers, and even Lady Gaga. . . Stay tuned until the end to hear more about Diane’s books: The Online Student’s User Manual, How to Reinvent Your Career and Ten Things The Young Adult Needs to Know to Be Financially Savvy.

    How to Form an LLC With Rental Property | eHow.com

    Many investors use rental property to create “passive income.” Investors can buy apartments, commercial property or even single homes to then rent out to tenants. While these properties can produce cash flow, they can also leave the owner with personal liability for the business. Putting your rental properties into an LLC will limit your personal liability with a very small initial setup cost. You can even form an LLC online for a fraction of the price of meeting an attorney in person.

    Difficulty: Easy
    Instructions
    1. Step 1

      Choose an available LLC name in your state. When forming an LLC, you need to pick a unique name that no other company is using as this name will appear on all of your documents and banking information.

    2. Step 2

      Find an online LLC vendor or contact an attorney. You can work with an attorney one-on-one or form your LLC online by yourself. You’ll need to supply some basic information such as business address and the names and contact information of the owners.

    3. Step 3

      Pick your statutory agent and pay your filing fees. Every LLC needs a registered agent on file with the state, who will be the person to receive legal correspondence on behalf of the company. When applying for an LLC, most states charge a fee that must be paid at the time of filing.

    4. Step 4

      Start operating your rental property under the LLC. The next time you take on a tenant, change all of your rental property forms and contracts to the name of your LLC instead of your personal name. Henceforward, the LLC will be liable for those contracts and you personally will have limited liability.

    5. Step 5

      Start a bank account for your LLC. Your LLC is its own entity, so it can open a business checking account to receive the rental income, pay the rental property expenses and debt service and pay profits to you as the owner.

    via ehow.com

    I had someone ask me today about using an LLC for their rental property. I personally use Keyt Law in Arizona http://www.keytlaw.com/ – I think they do a nice job.

    I use LLCs to protect me financially. Here is a great link to FAQs about why you should use an LLC to purchase real estate: http://www.incorporate.com/real_estate_faqs.html