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I Want To Retire At 50 How Much Money Do I Need

March 9, 2012 by · Comments Off on I Want To Retire At 50 How Much Money Do I Need 

I Want To Retire At 50 How Much Money Do I Need, No matter how young you are it’s never too early to start planning for retirement. For most of us, 50 years of age would be an ideal retirement age. You’re still young enough to enjoy life and hopefully have a lot of time to do it. So, how much money do you actually need to retire at 50? Let’s look over the assumptions you need to make to arrive at your personal “retirement quote”.

First of all, you’ll need to cover all of your expenses each year. You’ll probably be more active at the beginning of retirement than at the end, so you’ll probably need more money in the early years for travel, vacations, supporting your kids, etc. However, in your later years you’ll likely need money for healthcare, which has been rising much faster than other expenses. For our purposes, let’s assume equal annual withdrawals to simplify. So, for our example, lets assume you live on $100,000 per year now but that you’ll need $120,000 per year during retirement. Also, assume that social security will cover $25,000. That means you’ll need to withdraw about $95,000 per year from your nest egg.

Next, let’s figure out how fast your retirement savings will grow during retirement. Hopefully you’ve been investing mostly in stocks and should be able to earn around 8-12% per year. Okay, it hasn’t been that smooth for the past 10 years but this has been an anomoloy. Let’s assume things become more “normal” and that during retirement you pare back your stock holdings to around 60% and that, with bonds and cash, you earn an average of 6% during retirement.

Dodd Frank Act Of 2010

February 7, 2012 by · Comments Off on Dodd Frank Act Of 2010 

Dodd Frank Act Of 2010, The Dodd-Frank Wall Street Reform and Consumer Protection Act (Pub.L. 111-203, H.R. 4173) is a federal statute in the United States that was signed into law by President Barack Obama on July 21, 2010. The Act implements financial regulatory reform sponsored by the Democratically controlled 111th United States Congress and the Obama administration.

Passed as a response to the late-2000s recession, the Act brought the most significant changes to financial regulation in the United States since the regulatory reform that followed the Great Depression, representing a significant change in the American financial regulatory environment affecting all Federal financial regulatory agencies and almost every aspect of the nation’s financial services industry.

As with other major financial reforms, some legal and financial scholars on both sides of the political spectrum have criticized the law, arguing on the one hand that the reforms were insufficient to prevent another financial crisis or additional “bail outs” of financial institutions, and on the other hand that the reforms went too far and would unduly restrict the ability of banks and other financial institutions to make loans.

In addition to the headline regulatory changes covering capital investment by banks and insurance companies, the Act introduces new regulation of hedge funds and private equity funds, alters the definition of accredited investors, requires reporting by all public companies on CEO to median employee pay ratios and other compensation data, enforces equitable access to credit for consumers, and provides incentives to promote banking among low- and medium-income residents.

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