Interest Rate Hikes and the “Non-Worker” Retirement Plan

Why everyone is talking about The Fed's benchmark interest rate. Plus, a way stay-at-home parents can still have their own retirement plans.

TRANSLATION TIMEOUT

Decoding this whole “The Fed raising the benchmark interest rate” thing.

In My Humble Opinion is getting the week off. Instead we’re going to do a little Translation Timeout. You might’ve noticed a popular term in the news this week: “benchmark interest rate.” That’s thanks to a lot of chatter in the financial world about a highly glamorous topic: the Federal Reserve. 

The Federal Reserve announced on Wednesday, June 17, that it’s increasing the benchmark interest rate by three-quarters of a percentage point. 

Well if that isn’t just the most plain English sentence that is somehow simultaneously filled to the brim with jargon. Individually, all those words make sense. Together, ehh, maybe not so much! 

Which is totally fine, by the way.

Here is your quite simplified, high-level overview about what’s going on with “The Fed”.