Tuesday,
April 30, 2024
Market recap
Dow Jones
38,386.09
+146.43 (+0.38%)
S&P 500
5,116.17
+16.21 (+0.32%)
Nasdaq
15,983.08
+55.18 (+0.35%)
Top Story
Stagflation worries revisited
The economy needs consumers to spend money, but high and persistent inflation makes this a bigger and bigger ask.
US stocks finished higher on Monday ahead of another busy week of first-quarter earnings
• Tesla shares soared 15.3% after the company gained approval for its Full Self-Driving software in China.
• The Japanese yen hit its lowest level against the dollar in 34 years.
What to be on the lookout for today
• The Case-Shiller home price index for February and consumer confidence figures for April.
• Itâs another blockbuster day of earnings, as Amazon, AMD, Coca-Cola, Eli Lilly, PayPal, Pinterest, McDonaldâs, Starbucks, Stellantis, and 3M will report.
There are other retirement plans besides the 401(k)
When it comes to retirement plans, the 401(k) tends to get the spotlight. But there are other options when it comes to saving for post-work life.
Saving for retirement can be hard, especially when you have many other demands on your money. If you donât have access to an employer-sponsored plan, are self-employed or running a business, or if youâre simply looking to expand your savings vehicles, there are a few options.
Beyond the 401(k)
IRAs. Individual Retirement Accounts can help you save for retirement even if you have 401(k). Contributions to a traditional IRA are made with pre-tax money, and distributions are taxed as ordinary income.
Contributions to a Roth IRA are made with after-tax dollars, but earnings and qualified withdrawals are tax free.
Solo 401(k). This plan works similar to an employer-sponsored 401(k) in that you are using pre-tax dollars, and there are annual contribution limits. For 2024, that limit is $69,000 . One big difference is there is no employer contribution match. These accounts are geared toward solo business owners with no employees other than a spouse.
SEP Plans. Simplified Employee Pensions can be used by small business owners or the self-employed. Contributions can be tax-deductible for the business owner, which can lower taxable income. These plans have a higher contribution limit compared to IRAs.
Todayâs top stories
America is caught in a trade triangle with China and MexicoMexico officially replaced China as Americaâs top trade partner last year. But China has ramped up trade with Mexico as well, leading some to wonder if it is attempting to bypass U.S. tariffs.
Read more >> SoFi CFP Kendall Meade shares tips for financial well beingBeing in debt can be immensely stressful. Thatâs why it serves you to have a strategy to conquer it. Certified Financial Planner Kendall Meade offered some ways to get started in SoFiâs Womenâs Financial Empowerment webinar series.
Read more >> To side hustle or not to side hustle, that is the questionSome people thrive on their side hustles. For a few, these side hustles become their careers. But theyâre not for everyone, and here is why.
Read more >>Other news that caught our eye
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Amazonâs investment in speedier deliveries is paying off: The company said nearly 60% of Prime deliveries arrived on the same day or the next day in the top 60 metro areas last month.
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Williams-Sonoma agreed to a nearly $3.2 million settlement with the Federal Trade Commission for advertising products manufactured in other countries as âMade in U.S.A.â
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Peacock will raise the price of its ad-supported and ad-free subscription tiers by $2 ahead of the Summer Olympics, effective July for new customers and August for existing customers.
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California now has one electric vehicle charging station for every five gas stations.
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The Department of Homeland Security is creating an expert panel to help defend critical infrastructure against AI-powered attacks, including the CEOs from Microsoft, Alphabet, and OpenAI, among others.
Financial planner tip of the day
"Ideally, your life insurance payout should be enough to invest and yield returns that could replace your income annually. For example, if you assume that youâll get a 5% return on the money you invest, you would need $1 million in coverage to replace a $50,000 income."
Brian Walsh, CFPÂŽ at SoFi