Funnel that FICA cut into a retirement windfall2 of 11David Bendix, CPA/PFS, CFP, president of The Bendix Financial Group:Take the money you won't pay in FICA, or Federal Insurance Contributions Act, taxes this year and redirect it to your 401(k). "It's a great concept that you're taking that 2 percent and using it to fund your retirement," he says. "It's one great technique for the coming year."Tip for success: For the maximum impact, talk with human resources ASAP and change your deductions, Bendix says. One hopes the habit of saving a little more will stick with you through next year, too, he says. Related Articles:Face retirement realitiesIRA contribution limitsManage retirement plansInvesting boo-boosRelated Links:Effects of working longerDoes zero-percent hurt score?Carrying multiple credit cardsPay off mortgage early? advertisement
David Bendix, CPA/PFS, CFP, president of The Bendix Financial Group:
Take the money you won't pay in FICA, or Federal Insurance Contributions Act, taxes this year and redirect it to your 401(k). "It's a great concept that you're taking that 2 percent and using it to fund your retirement," he says. "It's one great technique for the coming year."
Tip for success: For the maximum impact, talk with human resources ASAP and change your deductions, Bendix says. One hopes the habit of saving a little more will stick with you through next year, too, he says.
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