Public school teachers, charity workers and many employees of religious organizations often find themselves in a bad situation when they realize that their 403(b) earnings aren't sufficient at retirement. High fees and mediocre investment choices in their 403(b) plans are partly to blame. Here are a few tips from the NY times on how to get started:
Key Takeaways:
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The best way to get started is to talk to your colleagues and your boss about starting or changing the retirement plan.
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It may be a little difficult for smaller nonprofits to find a plan provider to help with their retirement plan. Fidelity and Vanguard do not focus on smaller 403(b) plans as much. Money Intel can help!
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Find an advisor that can help facilitate and advise on setting up an employer retirement plan.
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A 401(k) may be easier to set up than a 403(b) - nonprofits will have the option to do a 401(k) instead, unfortunately public school employees have to stick to the 403(b).
- If you think you have a bad plan on your hands, start with evaluating the company that runs it and ask about fees.
Read more in the NY Times article here: http://www.nytimes.com/2016/11/05/your-money/403-b-retirement-plan-tips.html |
