Online Retail Under Pressure, New Amazon Service, and Saving(s) for Retirement
Survival Of The Retailest
Aggressive online sellers have low overhead, cheap prices, and 24/7 business hours, traditional retail faces an uphill battle. How do you survive against massive online marketplaces like Amazon? Pam Hammond, a retail owner of a few eclectic gift shops in Ashland, Oregon has a few tips on navigating the waters of the modern-day retail business.
Change your product mix
Delight your customers
Try new things
Change with the times
Be willing to fail
Build relationships
Speaking Of Amazon…
Amazon is launching its new service Amazon Key on November 8th, which allows its couriers to enter your front door and drop packages inside your house instead of leaving it outside your doorstep or in the hallway of apartment complexes that don’t have lobbies with security. This play by Amazon further integrates its brand into the lives of everyday consumers and literally opens the door to new marketing opportunities. The future is here, it’s only a matter of how will we adapt?
Saving For When You’re Older
With the release of Trump’s tax plan, the Republican Party decided to nix the $2,400 cap on 401(k) contributions that it had considered proposing to make up the deficit created by the reduction in taxes. This means your retirement plans are safe…for now. However a survey performed by Manta revealed that 34% of small business owners don’t have a retirement plan. Without the luxury of a company offering a 401(k) or pension, the onus is on the business owner to plan for retirement him or herself.
While retirement planning can be tricky, there are benefits to having your own business. Here are 5 plans to help you get started depending on your priorities.
Solo 401(k) – This is the best plan for maximizing contributions since the pre-tax contribution limit is $54,000 in 2017.
SEP IRA – For the owner looking for easy administration. The drawback is that this plan is 100% employer-funded, meaning employees cannot contribute to their retirement accounts.
Simple IRA – Like the SEP IRA except that it allows employee contributions which makes it slightly more complicated despite its name.
Simple 401(k) – Does not carry the administrative burden of a regular 401(k) but carries contribution obligations to employees’ retirement accounts.
Roth IRA – Usually used to supplement retirement savings, Roth IRA contributions are after-tax so there will be no deductibles upfront. The benefit is that the withdrawal of the funds is tax-free.