Because of our penchant for spending, an over-reliance on Social Security and laws that discourage saving and investing, many experts believe we are facing a retirement saving crisis in America.
Recent studies show half of the U.S. work force has no retirement plan.
And while the bull market of the 1990s helped build wealth for many Americans, the days of 20-plus percent annual returns are not likely to return soon. Thankfully, Congress has provided Americans with more opportunities to save for retirement by passing a comprehensive tax bill. The key is to know where the real opportunity lies. Rather than focus solely on a refund check, think of the bill as a tool to help you invest for the long term in the areas of education, retirement and estate planning. The bill provides strong incentives to save for education.