for mid-income americans who live abroad, what is the best retirement plan?
466296
Do you have earned income?  Are you filing your tax return in the states?  If so, you might still qualify to open and contribute to traditional IRA or ROTH IRA.  If you're self-employed, you might be qualified to open a SEP IRA where the maximum contribution limit is 42,000 or 100% of income.\n\nDefinitely do save/invest in addition to IRA limit for a secure retirement.
48645
You are wise to purchase land now and build your equity position. In 20 years there can be many changes in our lives. I suspect the land will appreciate or go up in value even if you do not retire there.\n\nIn addition with many boomers retiring in the next decade, I would suspect there will be many active outdoor retirment locations in the US.\n\nWhere would you like to go? How important are weather conditions? How about medical needs?\n\nI have seen those who have retired from the west coast to the South and they cannot take on the huminity.\n\nPresently there is a huge exodus leaving Southern CA for Arizona.\n\nMany Northern Calfornians are going to Oregon, Washington, Idaho and Montanna.\n\nSome are leaving the country to such destinations as Mexico, Costa Rica.\n\nMy plan is to have a free & clear Home in California & Louisiana, where I can travel in between and use them as a base.\n\nI'm presently 55 and Louisiana offers me lower cost that will help in future years.\n\nIts a state where once can enjoy the outdoor life such as fishing, boating, birding to name a few.\n\nBest to you in your future.\n\nI hope I was able to give you a few ideas.
48259
The best area in Florida is anyplace the majority of boomers don't want to be, but which still suits you.  Central Florida, small town away from the beach might be good.\n\nKeep socking that money in the 401k so it grows tax free.  A lot of people think the real estate boom in Fla. can't last.
538726
First, I would make sure you have at least 3 months salary saved up in the bank or in a money market fund for an emergency fund. Financial disasters like getting layed off or sick happen to all of us.\n\nSecond, I would pay off all high interest debt. Pay off everything you can except the house mortgage. Paying off debt is one of the best investments you can make. You will have more money in the future because you won't have credit card bills to pay.\n\nThird, if you have money left, start investing in stocks, bonds, and money market funds. You want to buy a diversified portfolio of stocks, as individual stocks are too risky. For most folks this means buying mutual funds. I like Vanguard.com, other people like Fidelity, TIAA-CREF, and DFA. Buy no-load, low cost funds. If you are like most people you will invest part of your money conservatively, in money market funds and bond funds, and part aggressively in stock funds. Vanguard.com has an on-line questionnaire which will give you an idea how aggressive you want to be. \n\nInvesting in a mutual fund IRA for retirement may give you an income tax break. Talk to your tax adviser. You may also be able to invest in a stock mutual fund via a 401K plan at work.\nTaking advice off someone you met over the Internet and know nothing about is risky. Read these websites for further information.
1186755
Automatic savings.  Open an IRA for retirement and automatically have $200 per month taken out of your pay and put in that account until you max out on the yearly limit.  You could even more than $200 in now, since the year is half over.\n\nPay yourself first.  You can't spend it if you never see it.  Your old self will thank the smart young self that started saving.
922472
The best relative safe one that I have found is a Bond fund that Charles Schwab has--it currently pays 5.8%.  I have some funds in it and did a lot of checking before going in that direction.  Schwab is a good Co. to deal with --no conning or high-pressure.\nRemember the "rule of 72" says that your 5.8% compounded and reinvested will double in 12 and 1/2 years.
496432
Travel and live abroad.
962908
If you are an immigrant and are planning to go back, then you may want to take it out, coz becoming debt free should be your primary goal. But if you are a citizen, a greencard holder or planning to continue to stay here. Please leave it there. Its very great that you have started with your IRA fund. I would not take it out.
881724
You worked a long time and paid a lot of money into your Social Security account.  You can get the checks sent to you wherever you decide to live.  Before you relocate in another country, please check out the other country very well!
108583
All the above answers are good, but I would say it depends..\nWhat are you saving for?  Retirement?  A house?  Vacation?\nBefore wasting your time with a financial planner you really have to decide what your portfolio will be used for.  If it's retirement, by all means use your 401(k) if your employer matches any amount (it's free money and an immediate return on your investment).  If a 401(k) is not available, by all means look at a Roth IRA.  After 5 years your returns are not taxable.  Use the Motley Fool (www.motleyfool.com) for advice.  For long term investment, go with a mutual fund that follows the S&P 500.  I didn't, I was in large caps and mid-caps and haven't made the long term returns that Vanguard 500 returned (over the past 15 years).  Real estate, especially your own home, is a good idea so that it will be paid for before you retire.  Don't overspend yourself on real estate by buying more than you can afford.  Again, figure out what you are saving for and then make a plan based upon what you will need the money for in the future.  Bear in mind when you will need the money as well.  Mutual funds are good for long term (10-15 years+), but if you will need the money in a shorter term (say five years or less) and need for ALL of your original savings to be there, stick with money funds.  They pay more than savings accounts and generally won't lose principal the way your standard mutual funds, or even real estate, could.
1024080
Read the book "From Success to Fulfillment" By Del Pe \nISBN  81-89631-16-0 \nThis book was just recently published in India -- I don't know where you are, but he is a successful business man, and he teaches people how to be successful, not only from the monitary perspective, but from wisdom. He gives you tools and exercises on how you balance your life fully, so that when your are at retirement age, you're happy and you have the security and good health.  Good luck.
299640
There are many ways: \n\nRetirees\nIf you are over 50 years of age, and want to engage in "non remunerative activities" and you are receiving funds from abroad (from a pension or other investments or fixed income) at least to the value of 400 times the daily minimum daily wage per month and a further 200 times daily minimum wage per month for each dependent (e.g. spouse, children) then you can apply for a Retiree Immigration Permit.   Read more about retirement in Mexico on Mexperience.\n\nInvestors\nYou can receive an immigration permit if you are willing to invest your capital in Mexico.    You investment can be directed at industry or services, and must equal a minimum of 40,000 times the minimum daily wage in Mexico City.\n\nProfessionals\nIf you are a qualified professional, you can have your certificates validated by the Mexican Consulate and apply for an immigration permit to live in Mexico.  You must be sponsored by a company who must satisfy the authorities that you are essential to their operative requirements.\n\nAcquiring Mexican Citizenship is an involved process, and it is not easy to do.   As a minimum, you must have been living in Mexico for 5 years (2 years under special circumstances) and have resident status.    Marriage to a Mexican national may allow Citizenship without the residency requirement.    For matters concerning the acquisition of Mexican Citizenship, seek professional advice and contact your local Mexican Consulate.
1177220
First off, your inquiry  is  multiple questions in one... However I would  try and answer as many as possible to the best of my abilities\n\n1.  Anything is possible but there is no guarantee you would earn 40 to 50% on your R/E investment. It would also depend which real estate market you're interest/investing in. For example in California where property values traditionally return higher dividends to investors than the rest of the country, in a relative hot market the norm is between 20 to 30%. Presently the real estate market nationwide is flat... In short--there is no guarantee....\n\n2. Cant answer this questions...it varies depending on services rendered\n\n3. No need to prove source of funds....\n\n4. I dont think so....\n\n5. Again, anything is possible. In fact there are companies that specialize in doing just that.  I personally dont like the idea for I like to have control over my investments..too many people, even with a legal contract, too many headaches. \n\n6.  Buying a piece of property, once you have identify  market and property to purchase, is a relative simple task...at lest for american citizens it is.  Now to roganize a group of investors I suppose it would be more expensive and time consuming. \n\n7. that's utterly up to the individual investor....\n\n8. It's possible but it depends on lots of factros; location, market, price, etc. It's possible but no guarantee...\n\n9. There are too many, complex  tax rules to give a simple answer... I would suspect that capital gains, specially if you are a foreign investor, could be in the 25%, give or take.\n\nI hope I were able to give you a ball park answer to all your questions. My honest advice to you: Consult with an international real estate attorney before investing. Best of luck.
596177
I believe that you do not have to be an American to invest in American stocks. First get a stock broker, you may want one in your area so you can meet with him and talk about your financial goals. Through the brokerage company, who your stock broker works for, (i.e. Smith Barney, Merrill Lynch...) they should be able to pay out your dividends/profits in your currency, Euros. The fees are generally a percentage of what you buy and sell. If you buy $1000 in stocks, they may charge 5% for example and if you sell off some stocks a couple years later, they will take a small percentage of the amount you are selling off. If you are looking for long term investments, I'd suggest a mutual fund over stocks, but both are still gambles on the economy. If you want something really secure, but will yield more than a savings account, I would say put it in an IRA. But of course I don't know how it works in Europe. GOOD LUCK!
308086
- Assuming you're a US resident over 18 -\n\n1. 401k. Put aside as much as you can afford or as much as your employer will match. i.e. My company will match my contributions up to 6% of my salary so that's what I put into my funds each year.\n2. Pay off debts! Credit Cards can be wonderful tools, but they can also bury you and kill your credit rating. As a bonus, use a rewards credit card like Discover or Amex Blue - they pay you back 1% - 5% of what you charge.\n3. IRA's. Open an IRA or a ROTH IRA with a broker like Smith Barney and begin contributing to it on a regular basis. \n4. Set up a high yield savings account - Citibank and Emigrant Direct both offer savings accounts at 4.5% APY.\n5. If you rent, look at buying a house or condominium. (ONLY IF YOU CAN AFFORD IT). Property has traditionally been a great investment.\n\nNo guarantee’s these will make you an overnight millionaire, but they will give you a firm footing to build on.
123484
I agree, A ROTH IRA makes more sense in a lower-middle class income situation.  You don't really need an income tax deduction right now.\n\nThere IS a reason to open a traditional ira, however.  If you were in a high tax bracket, you would be able to lower your reported income by $4,000 this year (or $5,000 if you are over 50 years), thus potentially lowering your tax bracket.\n\nIf you have a 401k at work, ask about the brand new ROTH 401k, which puts after tax money into a 401k for you.  Again, this would be perfect in your situation, since you could put away more than $4,000 (up to $15,000 this year) and the money would come out tax free at retirement, when you could potentially be in a higher tax bracket.
1069826
Check out a Plan 529.  Most states have one and they are very user-friendly.