Saveday’s Fiduciary Responsibility: Safeguarding Your Retirement Investments

At saveday, we take our fiduciary responsibility seriously. When you entrust your retirement savings to us, we prioritize transparency, security, and expertise. Our goal is to provide you with a seamless and reliable investment experience while meeting and exceeding the highest regulatory standards. Let’s explore how we fulfill our fiduciary duty to protect your retirement investments:

Highly Regulated and Transparent:

We’ve integrated the advisory, broker/dealer, and administrative functions into one comprehensive product. This approach allows us to operate under the watchful eye of regulatory bodies such as FINRA, SEC, ERISA, IRS, and DOL. Transparency is a key principle, and you can easily find information about our advisory business and leadership on the SEC’s official website (sec.gov). Likewise, our broker/dealer history and disclosures are accessible on finra.org.

Clearing House Relationship:

To enhance security, saveday doesn’t hold custody of your assets. Instead, we partner with APEX Clearing, a trusted asset custodian serving millions of users and managing billions of dollars in assets. This seamless integration ensures efficient financial operations and provides peace of mind. APEX also serves as a clearing house for other leading FinTech institutions like Stash, SoFi, and FirstTrade.

Asset Security:

When you invest with saveday, your accounts are protected through our custodian clearing company, APEX. We offer SIPC insurance coverage of up to $500,000 per account, along with additional third-party insurance of $1,000,000 per account. Rest assured that your hard-earned savings are in safe hands.

Data Security:

We prioritize the security of your data in line with FINRA and SEC guidance. Our robust data security protocols include annual penetration testing and data encryption. By handling only ACHs from trusted payroll providers and adhering to SOC 2 protocols for asset delivery, we minimize the risk of fraud and ensure the confidentiality of your information.

Diversified Portfolios & Brand Name ETFs:

We follow Modern Portfolio Theory (MPT), a Nobel Prize-winning investment approach. Our diversified portfolios consist of low-cost Exchange-Traded Funds (ETFs) covering major asset classes like US Stocks, International Stocks, US Bonds, International Bonds, and US TIPS. These ETFs, managed by industry leaders, have minimal tracking errors and high liquidity. Our proactive portfolio monitoring and rebalancing strategies align with your long-term goals.

Saveday’s Regulatory Principal:

Barry Mione, our Regulatory Principal, brings over 25 years of experience in creating financially efficient products. With his background as the founder of DLJdirect (now E*Trade) and his expertise gained at Credit Suisse, BMO, and BNY Mellon, Barry ensures that saveday adheres to the highest regulatory standards. You can trust that your retirement savings are in capable hands.

At saveday, safeguarding your retirement investments is our top priority. We strive to provide you with a secure, transparent, and expertly managed investment experience. With our highly regulated platform, trusted clearing house relationship, asset and data security measures, diversified portfolios, and the guidance of our experienced Regulatory Principal, you can have peace of mind knowing that saveday is dedicated to protecting your financial future. Trust us to fulfill our fiduciary duty and help you achieve your retirement goals.

Practical Money Saving Strategies for Young Adults: An Easy Guide to Boosting Your Savings and Planning for Retirement

Hey there, fellow financial enthusiasts!

Your guide, Emma, is back again with more adventures into the world of savings. Today, we’re veering off from the usual explanations of complicated investment theory or finance jargon. Instead, we’re focusing on a subject that resonates with everyone: saving money!

You see, saving is the crucial cornerstone of any successful financial plan, particularly when it comes to retirement. However, for many of us (myself included), it seems to be the most challenging aspect. When you’re young and building your financial foundations, saving can often seem like a formidable mountain to climb. How can we potentially put aside enough for our golden years when we’re grappling with student loans, rent, and striking that delicate balance between treating ourselves and extravagant spending?

Let’s simplify the process. I’ve compiled a list of fail-safe tips that have significantly helped me save more of my hard-earned money. And the best part? They are all easy enough for anyone to apply.

Set Clear Goals

Vague statements about wanting to save have never quite done it for me. Instead, define your goals. What are you saving for? How much should you save each day, week, month, or year to attain this? Platforms like saveday have been incredibly beneficial for me in this regard. Their visual aids and automatic saving formulas have kept me on track for the relaxed, sun-soaked retirement I aspire to.

Create a Practical Budget

Yes, the infamous ‘B-word’ can be daunting, but believe me, having a budget is indispensable. My budget is divided into categories that go beyond the standard “rent,” “utilities,” or “groceries.” I incorporate categories like “gifts” and “eating out.” Budgeting doesn’t necessarily mean cutting out life’s little luxuries. For me, it signifies enjoying life, secure in the knowledge that I am still sticking to my financial goals.

Automate Your Savings

The power of automated savings lies in the old adage, “out of sight, out of mind.” By setting up automatic transfers to your savings account or retirement fund with services like saveday, you can set your money to work for you and eliminate saving as a chore.

Evaluate Your Subscriptions

Recurring expenses are killer. No one has the time to run a full cost-benefit analysis to see if they’re getting the full utility out of their Netflix account but making it a monthly habit to check recurring expenses in your bank account is never a bad call. 

Cultivate Your Emergency Fund

Grow Your Emergency Fund: Having a cushion for unexpected expenses (hello, flat tire!) prevents you from digging into your long-term savings. Aim for three to six month’s worth of living expenses. But remember. Even a small emergency fund is better than none at all!

So there you have it, my top strategies for saving money as a young adult. Remember, the journey of a thousand dollars begins with a single step– or in our case, a single dollar saved. Consider implementing just one tip from the advice above. Best of luck!

Ready for more saving-padding insights? The saveday blog is brimming with valuable advice and effective strategies to help bolster your bank balance. Be sure to revisit my previous post on the benefits of starting your 401(k) journey early– it’s one of the best financial moves you can make!

Next up, we’re pulling back the curtain on the often overlooked aspect of 401(k)s- fees. They’re those pesky little numbers that nibble away your retirement savings. I’ll be here to tell you why. Stay tuned!

Happy saving!

-Emma

ERISA Fidelity Bonds and the 401(k): Eligibility, Requirements, and You

If you’re an HR administrator, Benefits Coordinator, or small business owner, you might be a 401(k) plan sponsor. If so, you may have heard about the ERISA Fidelity bond. This article will help you understand what it is, who it covers, and why it’s crucial for Department of Labor compliance.

What is an ERISA Fidelity bond?

ERISA or the Employee Retirement Income Security Act, provides guidelines for private sector employee benefit plans. This includes 401(k)s and other defined contribution plans. ERISA also covers those who manage and invest plan assets.

In 1974, the U.S. Department of Labor introduced ERISA. Why? To address public worries about the mishandling of private pension funds and other employee benefit plans.

One requirement of ERISA stands out. Those who handle plan funds and other assets must have a fidelity bond. This bond helps protect the plan from fraud-induced losses.

Simply put, an ERISA Fidelity Bond is like insurance. It protects workers’ retirement savings from fraud or dishonest acts.

Who needs to be bonded?

According to Department of Labor (DOL) regulations, if you handle plan funds or assets, you must be bonded.

How much coverage is necessary?

You need Fidelity Bond coverage equal to at least 10% of plan assets. However, the bond amount can’t be less than $1,000. And the Department won’t require a bond of more than $500,000. Or $1,000,000 for plans with employer securities. These amounts apply to each plan listed on a bond.

How can I purchase a bond?

Bonds can be procured from a surety or reinsurer listed on the Bureau of the Fiscal Service’s Certified Companies roster.

Saveday has teamed up with Colonial Surety Company to help clients secure the correct bonding. If you need to purchase an ERISA Fidelity Bond for your plan, you can click here to conveniently buy a bond today.*

For further details on ERISA Fidelity Bonds, you can access the “Fiduciary Responsibilities” PDF via the Department of Labor here.

*saveday is an affiliate of Colonial and earns commission on referrals.

How Saveday’s Modern Portfolio Theory Approach Works for You (and Your Wallet)

Welcome back, savvy savers!

Emma here again, your trusty guide to the world of 401(k)s. Believe me, if I can navigate these financial waters, anyone can! Today we’re venturing into the exciting realm of Modern Portfolio Theory (MPT). If you, like me, have been caught in the Google rabbithole of investment strategies, or if you’ve been offered a 401(k) by your employer, chances are you’ve stumbled upon MPT. 

Maybe you’ve even been just as intimidated as I was. Don’t worry, I’m here to demystify Modern Portfolio Theory for the both of us. Get ready to call yourself an expert!

What is Modern Portfolio Theory?

Harry Markowitz, a groundbreaking economist, discovered the formula behind Modern Portfolio Theory in 1952. It revolutionized investing and even bagged a Nobel Prize! The central idea of MPT revolves around the belief that considering the expected risk and return of a single investment isn’t enough. Instead, it encourages investors to evaluate the risk and return of their entire portfolio.

How does Modern Portfolio Theory Work?

Let’s decode this a bit: MPT operates on a key assumption that investors are risk-averse, meaning they prefer a lower-risk portfolio to a high-risk one if the level of return is the same. As someone who treasures her hard-earned money, I couldn’t agree more with this philosophy. This is where the concept of diversification enters the scene. MPT proposes that by owning a variety of assets with different risk levels, your portfolio can potentially achieve higher expected returns for a specific level of risk.

Minimum Risk with Greater Profit

If this sounds complex, let’s simplify it with an analogy. Picture you’re at a horse race, ready to place a bet. Instead of putting all your money on one horse, you decide to spread your bets across several runners. This way, if one horse doesn’t perform as expected, others might still deliver a win, thereby minimizing your losses. That, in a nutshell, is diversification, an integral part of MPT.

That’s where saveday, my chosen 401(k) platform, comes in. Saveday employs Modern Portfolio Theory to tailor the perfect investment mix based on your preferred risk level. The best part? You retain full control. Saveday strategically spreads your investments across various asset classes such as stocks, bonds, and other securities, aiming for stable, long-term returns.

So, not only does diversification make your portfolio more resilient, but it also allows you to potentially enjoy higher returns. That’s the beauty of Modern Portfolio Theory, and why platforms like saveday use it as their compass in the vast ocean of investments.

In the end, understanding Modern Portfolio Theory equips us with the knowledge to chase the financial future we deserve. Here’s to us, navigating the seas of savings, investments, and a prosperous retirement!

Ready for more savings? The saveday blog has tons of tips and tricks to stuff your wallet. And don’t forget to check out my last post on why claiming your 401(k) young is the best thing you can do! Up next, we’ll talk about lifestyle changes to boost your savings (without cutting the simple pleasures)!

Stay savvy,

Emma

Tax Advantages for Small Businesses: Maximizing Savings and Boosting Growth

As a small business owner, you understand the importance of optimizing every aspect of your financial strategy. When it comes to retirement planning, saveday is here to help you unlock a world of tax advantages that can benefit both your business and your employees. In this blog post, we will explore the remarkable tax benefits offered by saveday and how they can contribute to substantial savings, enhanced growth, and a brighter financial future for your small business.

Tax-Deferred Contributions:


With saveday, you can take advantage of tax-deferred contributions to your retirement plan. This means that the money you contribute to your 401(k) or other retirement savings plan is deducted from your taxable income for the year. By reducing your taxable income, you lower your overall tax liability and keep more money in your pocket.

Employer Contributions:


Saveday allows small business owners to make employer contributions to their retirement plans. These contributions are tax-deductible for your business, resulting in potential tax savings. By investing in your employees’ futures through employer contributions, you not only provide valuable benefits but also enjoy tax advantages that can positively impact your bottom line.

Tax Credits for Startups:


If you are a startup or a small business with fewer than 100 employees, you may be eligible for tax credits when implementing a retirement plan. Saveday can guide you through the process of accessing these valuable tax credits, allowing you to save even more while building a strong foundation for your business’s future.

Employer-Sponsored Retirement Plans:


Saveday empowers small businesses to establish and contribute to employer sponsored retirement plans. These plans offer valuable tax advantages, allowing you to deduct employer contributions as a business expense while helping your employees save for retirement. By leveraging our expertise, you can navigate the intricacies of these plans and optimize the tax benefits for your business and employees.

Stay Ahead of Changing Tax Laws:


Navigating the ever-changing landscape of tax laws can be challenging, especially for small businesses. Our compliance team stays up to date with the latest tax regulations and ensures that your retirement plan remains compliant. With their expert guidance, you can confidently navigate tax laws and make informed decisions that maximize your tax advantages.

We are committed to helping small businesses unlock the full potential of tax advantages when it comes to retirement planning. By taking advantage of tax-deferred contributions, employer contributions, tax credits, and specialized plans like the SEP IRA, you can maximize your savings, reduce your tax liability, and fuel the growth of your small business.

Consult with our experts today and create a tailored retirement plan that aligns with your business goals and secures a prosperous future.

Starting a 401(k) Early: Unleash the Power of Compound Interest & Bust Financial Myths

Hey there, future millionaires! 

Emma here, once again, your broke (but not for long) guide through 401(k) wonderland. Today, we’re diving into the magic of starting a 401(k) early and busting some serious financial myths.

The Magic of Compound Interest: Bonus Money

First things first: let’s talk compound interest, or as I like to call it, “Bonus Money”. When you contribute to your 401(k), your money earns interest. Then, that interest earns interest, and so on. The more time you have, the more this effect snowballs. Starting earlier gives every dollar you contribute the chance to multiply more. This can mean big savings. Claiming your 401(k) in your 20s instead of your 30s could mean hundreds of thousands more by retirement. I think we deserve a pat on the back for that. 

Debunking the Myths of Early Investing

Myth 1: Starting Younger Is a Disadvantage

It’s a common misconception that young people like us ought to just stuff our savings into a bank account and forget about it. Think about it, if your bank account only earns 2% interest every year but inflation is at 3%. You are actively losing buying power by just sitting on it. 

But what if you could outrun inflation? With the average 401(k) growing around 8% annually, you’re not just beating inflation, you’re leaving it in the dust. Fast forward to the future, and you’ll be lounging beachside, sipping a mimosa, basking in your well-deserved financial freedom. 

Myth 2: Claiming a 401(k) Is Too Complicated

Don’t worry, cashing in on your 401(k) isn’t rocket science. In fact, it’s actually more like planting a tree. You start with a seed (your contributions), water it (keep contributing), and over time, it flourishes (thank you, compound interest). The best part? Like a tree, once it’s planted, your savings grow on their own!

Remember, fellow 401(k) newbies, the goal is to make “future us” both proud and loaded. So why wait? Starting a 401(k) early is what you deserve.

Need more tips on retirement savings? The saveday blog is your lifesaver. And don’t forget to check out my last post on different 401(k) types. Up next, we’ll talk about Modern Portfolio Theory. What it is, and why it matters so much that saveday uses it!

Stay savvy!

-Emma

Navigating Retirement Planning as a Small Business Owner

As a small business owner, you juggle numerous responsibilities, from managing operations to nurturing growth. In the midst of it all, it’s crucial not to overlook employee benefits. That’s why we specialize in 401(k)s for small business. This blog post will guide you through the key considerations of retirement planning as a small business owner and introduce you to saveday, a trusted partner in offering 401(k) solutions. Get ready to sail on a smooth and secure journey to your small business’s success.  

Understanding the Unique Challenges of a Small Business:

Retirement planning as a small business owner comes with its own set of challenges. You may not have the luxury of a large HR department or access to the same resources as larger corporations. However, by recognizing these challenges, you can proactively navigate the path to retirement success. 

  1. Establishing a Retirement Savings Plan: 

One of the first considerations is selecting the right retirement savings plan for your small business. Saveday offers an array of solutions designed specifically for small businesses. These options provide flexibility and tax advantages, allowing you to save money while maximizing benefits for yourself and your employees. 

  1. Meeting Regulatory Requirements: 

Navigating the complex landscape of retirement plan regulations can be overwhelming. Saveday simplifies this process by providing expert guidance and ensuring your plan remains compliant with the latest regulations. With saveday, you can rest easy knowing that your retirement plan is in good hands, allowing you to focus on what you do best – growing your business. 

  1. Balancing Cost and Value: 

As a small business owner, every dollar counts. Saveday understands the importance of cost-effectiveness without compromising on quality. We offer some of the lowest and most transparent pricing in the industry, ensuring that your retirement plan remains affordable while delivering exceptional value and benefits to you and your employees.

  1. Engaging and Educating Employees: 

Engaging and educating your employees about the importance of retirement planning is vital. Saveday provides comprehensive educational resources, empowering your employees to make informed decisions about their financial futures. By fostering a culture of retirement readiness, you can strengthen employee loyalty and attract top talent to your small business.  

Solutions for Small Businesses:

Saveday is your partner in navigating the complexities of retirement planning as a small business owner. Our tailored solutions address your unique needs and provide the following benefits: 

  1. No-hassle Plan Set-up and Administration:

Easy payroll integration and simple plan offerings make set-up and roll-out a breeze. No administrative headaches or multi-vendor back-and-forth. You’re just fifteen minutes away from offering a simple, affordable 401(k) plan!

  1. Zero Employer-Cost: 

Saveday’s transparent, all-in pricing model is always $0 for employers. There’s no cost for plan set-up, and no hidden fees. Our low participant cost keeps your employees’ contributions where they belong: growing in their portfolio!

  1. Opt-out Participant Models: 

Auto-enrollment drastically increases employee engagement rates, ensuring employees get the most out of their retirement benefits. Saveday has a wide variety of employee engagement tools including educational resources, retirement calculators, and personalized dashboards. Empower your employees to take control of their financial futures, fostering a sense of ownership and financial well-being. 

As a small business owner, retirement planning should be a top priority. By understanding the unique challenges and leveraging the tailored solutions offered by saveday, you can embark on a successful retirement journey. 

Saveday is your trusted partner in navigating 401(k)s for small business. 

Secure your business’s future today and enjoy the rewards of a well-prepared retirement. Claim your financial freedom and set up your business’s 401(k) now.

The ABCs of 401(k)s: Different Types Explained

Welcome back, fellow 401(k) newbies! This is Emma again, the broke (but aspiring not to be) young adult that used to know nothing about 401(k)s. Today’s hot topic: Decoding the 401(k) Alphabet Soup. AKA: did you know there were different types of 401(k)s? I didn’t – until recently. 

So join me as I sip some homemade (instant) coffee, and subtly congratulate myself for avoiding that fifth Starbucks run. Let’s unravel this together, shall we? 

5 Types of 401(k)s

  1. Traditional 401(k): Like an old pair of jeans, the Traditional 401(k) is your reliable stable. Money goes in before taxes, grows tax-free, and you pay taxes when you withdraw it during retirement. Keepin’ it simple. 
  2. Roth 401(k): This one is like ordering dessert first – and, hey, I’m not judging. You pay taxes upfront, and then – voila – you withdraw the money tax-free in retirement. It’s a future sweet treat! 
  3. Safe Harbor 401(k): Here’s the referee of 401(k)s, ensuring everyone gets a fair deal. Employers must contribute a set amount for all employees, even if they don’t contribute. This keeps everyone on an equal retirement playing field.
  4. Simple 401(k): This one’s as chill as a late night Netflix binge. It’s designed for small businesses, is easier to manage, and has tax breaks similar to a Traditional 401(k). No bells and whistles.
  5. Solo 401(k): This is the “independent spirit,” if you will. It’s perfect for the self-employed or small business owners with no employees. Cue the lo-fi playlist. 

But here’s the important part (how it applies to you and me). Our ever-reliable saveday handles both Traditional and Roth 401(k)s, making it easy-peasy for us beginners to join the retirement party.

There’s lots to learn about 401(k)s but they’re always here to make it simple. Now you can sit back, relax, and toast to informed decisions making “future us” proud. 

Any more questions? The saveday blog is a lifesaver for retirement saving tips and 401(k) FAQs.

Next up, we’re diving into why starting young on 401(k)s is the advantage our wallets need. See you there!

Happy saving!

-Emma 

Revitalizing Your Small Business with the Power of a 401(k) Plan

Running a small business can be a tough game, especially when you’re trying to bring the best people on board. A big part of standing out as an attractive employer is having great perks for your employees, including a 401(k) plan. In this article, we’ll look at how offering a 401(k) plan can help make your small business a top choice for talented workers.

Looking After Your Employees

Offering a 401(k) plan as part of your employee benefits shows you care about your employees’ future. It shows you’re interested in helping them save for retirement, which builds trust and job satisfaction. By offering a 401(k) plan, you’re giving your employees a chance to save for their future, making your business a stable and secure place to work. 

Keeping Employees Engaged

Having a 401(k) plan can get your employees more involved in their work by giving them a way to save for retirement. It helps them feel like their job is important to their long-term financial success. Plus, it shows employees you’re behind them on their retirement savings journey, creating a positive workplace that encourages loyalty and hard work. Happy employees are less likely to pursue alternate employment opportunities, meaning you keep your best workers longer!

Staying Ahead in the Job Market

A 401(k) plan sets your small business apart. It gives you an edge over your competition, making you an employer of choice. People prefer jobs that secure their future. In a SHRM survey, 71% of HR professionals said retirement benefits mattered to employees.

That’s why top talent is your key to small business success. A good benefits package, like a 401(k), shows you care about your employee’s future. But saving for retirement isn’t all a good 401(k) offers. It also promotes involvement, loyalty, and job satisfaction. Start your 401(k) plan today. Attract and retain the best talent. Push your small business to new heights of success.

401(k) Securities: inside your portfolio with saveday

Let’s be real, 401(k)s can be mind-boggling, especially for newbies like us. But fear not! As a fellow young adult who was once clueless about 401(k)s, I’m here to simplify things for both of us. Today, let’s unravel the mysterious world of securities – those fancy investment options you’ve probably heard about. 

What is a security, anyway?

A security is an investment option that you can hold within a 401(k) account. That includes stocks, bonds, mutual funds, exchange-traded funds (ETFs) and more. 

4 Common Securities: 

  1. Stocks: Owning a Roller Coaster

Imagine owning a slice of Apple or Walmart. That’s what stocks are all about – becoming a part-owner of publicly traded companies. Stocks offer long-term growth potential but can be a bit trickier to predict. They can be a bit of a rollercoaster but over time, your savings tend to come out on top. 

  1. Bonds: Ol’ Faithful

Bonds are like the responsible friend. They’re basically loans you give to governments, municipalities, or corporations. They agree to pay you back on a specific date, and in the meantime, they pay you periodic interest payments. Although there are risks, bonds typically provide a steady and predictable income stream, even if low-yield.

  1. Mutual Funds: Power in Numbers

Mutual funds pool money from multiple investors to create a diversified portfolio of stocks, bonds, or other assets. Professional fund managers oversee them, providing instant diversification.

  1. Exchange Traded Funds (ETFs): Flexibility You Need

ETFs combine the best of both mutual funds and individual stocks, offering diversification and trading flexibility. I found out that’s why saveday chooses to invest in ETFs over mutual funds. Check out why in this post here.  

So there’s the skinny on securities. Stocks offer ownership of publicly traded companies, bonds function as loans to large institutions such as governments, mutual funds diversify investments for you, and ETFs offer diversity with greater flexibility. 

The more I learn about 401(k)s, the more confident I become in saveday. With proven Nobel Prize-winning investment methods like Modern Portfolio Theory, they’ve helped my retirement savings grow. It makes me excited for the retirement possibilities ahead!

If you’re craving more insights, head over to the saveday blog. And stay tuned for the next nugget of knowledge, where I’ll be digging in to the different types of 401(k)s!

Happy Saving,

-Emma