Most people would argue that your 40s are one of the best times in your life. You’ve hit your stride—from your personal life to your career—and have learned how to juggle boardroom meetings and soccer practice. From a financial perspective, this is really where the rubber meets the road.
Check out this list to see if you’re on track in your 40s:
And a bonus health tip for your 40s:
Know your numbers. Your 40s are a good time to investigate your numbers for blood pressure, cholesterol levels, blood sugar, and body weight. Knowing them will help you and your doctor identify potentially hidden disease risk factors.
Here’s to a healthy and prosperous life!
Distributions from traditional IRAs and employer sponsored retirement plans are taxed as ordinary income and, if taken prior to reaching age 59 ½, may be subject to an additional 10% IRS tax penalty. A Roth IRA offers tax free withdrawals on taxable contributions. To qualify for the tax-free and penalty-free withdrawal or earnings, a Roth IRA must be in place for at least five tax years, and the distribution must take place after age 59 ½ or due to death, disability, or a first time home purchase (up to a $10,000 lifetime maximum). Depending on state law, Roth IRA distributions may be subject to state taxes.
Investors should consider the investment objectives, risks, charges and expenses associated with municipal fund securities before investing. This information is found in the issuer's official statement and should be read carefully before investing. Investors should also consider whether the investor's or beneficiary's home state offers any state tax or other benefits available only from that state's 529 Plan. Any state-based benefit should be one of many appropriately weighted factors in making an investment decision. The investor should consult their financial or tax advisor before investing in any state's 529 Plan.
Managing Your Finances in Your 40s
October 21, 2021