TIAA Traditional and The Mistake Many Academics Make. What is TIAA Traditional?

TIAA Traditional is a popular fixed annuity offered inside university retirement plans. It pays a minimum guaranteed rate of interest, plus additional amounts, and it’s regarded as a conservative option within a retirement portfolio. However, often professors forget that where, they own TIAA Traditional, makes a huge difference, in how they can access money from this option.

For example, in the New Jersey Alternate Benefit Plan, the 401a retirement choice contract allows transfers out of TIAA Traditional over 84 monthly installments, which is 7 years long! If keeping your investment options liquid at retirement is important to you, avoid making this mistake. Plan ahead- and reposition TIAA Traditional, where it is 100% liquid. Certain 403b accounts offer transfers without any limitations or charges. The trade off is usually around 75 basis points less in return, but the future flexibility for other investment options may be well worth it. An assessment of all guaranteed income sources, including social security, should be taken into consideration before contributing more into TIAA Traditional.

Make sure to get an objective opinion when creating, your long-term, TIAA Traditional strategy.

To join Wealth In Retirement Facebook Group – and click “Join”

Disclosure: Fixed annuities are long-term investment vehicles designed for retirement purposes. Gains from tax-deferred investments are taxable as ordinary income upon withdrawal. Guarantees are based on the claims paying ability of the issuing company. Withdrawals made prior to age 59 1/2 are subject to a 10% IRS penalty tax and surrender charges may apply….(read more)

LEARN MORE ABOUT: Retirement Annuities

REVEALED: How To Invest During Inflation

HOW TO INVEST IN GOLD: Gold IRA Investing

HOW TO INVEST IN SILVER: Silver IRA Investing

TIAA Traditional and The Mistake Many Academics Make

For many academics, retirement planning can often take a backseat to their careers. However, one of the biggest mistakes many academics make is not taking advantage of the retirement planning options available to them, such as TIAA Traditional.

TIAA Traditional is a fixed annuity option available through TIAA, a leading financial services organization dedicated to helping those in the academic, research, medical, and cultural fields plan for their financial futures. TIAA Traditional offers a guaranteed minimum interest rate, as well as the potential for additional amounts, as determined by the company. This can provide retirees with a secure stream of income during their retirement years, which is especially important for academics who may not have access to a traditional pension plan.

One of the most common mistakes many academics make is not fully understanding the benefits of TIAA Traditional and other retirement planning options available to them. Many academics may be unfamiliar with the different types of annuities and retirement plans, and as a result, may not be taking full advantage of the benefits they offer. By not investing in a retirement plan like TIAA Traditional, academics could be jeopardizing their financial security in their retirement years.

Another mistake many academics make is not prioritizing their retirement planning early enough in their careers. With the demands of research, teaching, and publishing, it can be easy to put off planning for retirement. However, by not starting to save and invest in a retirement plan early on, academics may miss out on the benefits of compound interest and may have to play catch up later in their careers.

It’s important for academics to educate themselves about their retirement planning options and to start saving and investing early in their careers. By understanding the benefits of TIAA Traditional and other retirement planning options, academics can ensure they have a secure financial future in their retirement years.

In conclusion, TIAA Traditional is an excellent retirement planning option for academics, offering a guaranteed minimum interest rate and the potential for additional amounts. By not taking full advantage of retirement planning options like TIAA Traditional, academics are making a mistake that could jeopardize their financial security in their retirement years. It’s important for academics to educate themselves about their retirement planning options and to start saving and investing early in their careers to ensure a secure financial future.