Net Worth Advisory Group

A 401(k) plan enables employees to defer receiving and paying taxes on a percentage of compensation. The salary reduction amount is deducted from the employee’s pay and contributed to a retirement fund, where it accumulates earnings tax-deferred.

Net Worth Advisory Group will be teaching a seminar at LaCaille on Tuesday, December 1st at 7:00 pm. Both prospective clients and current clients and their guests are welcome.

In 2009, ordinary income tax rates range from 10 to 35 percent. In 2009, taxpayers in the 10 or 15 percent tax brackets qualify for a capital gains rate of 0, while taxpayers in the 25 percent or higher brackets pay a capital gains tax of 15 percent.

Target date funds (also called lifecyle funds) are mutual funds that link an investment portfolio to a particular time horizon. This date should be correlated with a particular event in the investor's life, usually their expected retirement date.

Net Worth Advisory Group launched it's revised website on Monday, November 16th. The site explains the benefits of working with an independent fee-only financial advisor and provides a list of questions to ask your current advisor.

A mutual fund is an investment management company that pools the money of investors and hires an investment advisor to invest that money in an attempt to achieve a financial objective. Mutual funds can invest in stocks, bonds, or other securities.

Common stock (frequently referred to as equity) represents ownership in a corporation. Stock owners participate in the profitability of a company by receiving dividends, which is the distribution of a company's profits (usually quarterly).

Various entities issue bonds to borrow money. Of course, corporations issue bonds to increase their cash flow. The largest sector of the bond market is U.S. Treasury obligations (treasure bills, notes, and bonds).

Corporate and government entities issue bonds as a way of borrowing money. Investors purchase bonds (lend money) in exchange for interest payments and the promise that the loan will be repaid in the future.

So far this year, an odd couple has emerged as big winners in the financial market. The Dow Jones Industrial Average is up 14 percent, while gold futures are up 19 percent.