SEP or 401(k); how to retire early (and in comfort!)

If you want a carefree (and scarefree) retirement, now is the time to act.

1. Start by paying yourself first. You work hard and deserve it.
2. Next, take advantage of a SEP or 401(k) retirement plan.

The tax code lets you sock away your “contributions” in a tax-deferred plan that lets your money compound over the years tax free. (You pay tax when you withdraw funds years down the road.)

When you combine a pay-yourself-first strategy with a tax-advantaged retirement plan, you’ll find yourself where you want to be when you retire.

Sitting pretty.

You’ll get the whole story when you read new article titled Tax Tips: Use a Tax-Advantaged SEP or 401(k) to Retire Early and in Comfort.

Three ways our fact-filled article can help you:

1. We’ll explain the pay-yourself-first concept. Both the Simplified Employee Pension (SEP) and the 401(k) are called “defined contribution plans.” When you pay yourself at the first opportunity and “contribute” to your plan, you’ll get your money compounding for you over many years. Einstein said that “compounding interest is the greatest invention the world has ever produced.” You’ll discover how compounding can go to work for you when you read the full article.
2. We’ll teach you SEP basics. For example, you’ll learn how much you can invest, participation requirements, what to do if you have employees, and much more. You’ll get all the details when you read the full article.
3. You’ll learn what the popular 401(k) plan has to offer. The law lets you make both an employer and employee investment in your (401)k. (Neither is mandatory.) We’ll tell you how much you can contribute, what the legal requirements are, and how you can win with or without employees when you read the full article.