Making money: Shopping for disability insurance, and more

3 top pieces of financial advice — from retirement for the self-employed to dealing with debt collectors

Saving for retirement, little by little.
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Retirement for the self-employed

It isn't as easy for the self-employed to save for retirement, says Farnoosh Torabi at Yahoo, but it's no less important. To amass a nest egg that will carry you through your senior years, consider these three tax-deductible investment tools. The first is an IRA — if you're planning to save less than $5,000 per year, this is the easiest option. If you're putting aside more, consider a Simplified Employee Pension IRA. A SEP IRA allows you to contribute a quarter of your income each year, up to a maximum $51,000 in 2013. And if you want to defer even more, consider a Solo 401(k). These accounts let you defer up to $17,500 in 2013, plus the quarter of your income (up to $51,000) allowed by a SEP IRA. But managing these can be complex and expensive, so consider working with an accountant or financial consultant.

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Shopping for disability insurance

Even if you're healthy, disability insurance is worth considering, says Jeff Reeves at USA Today. While the Social Security Administration provides disability benefits as a safety net, they're "hardly enough to live comfortably." If living on a few months' income or half your paycheck isn't an option, disability insurance might make sense. Your employer might offer a group plan, but benefits vary widely. They typically "don't come close to replacing your full paycheck," with a reimbursement rate of 60 percent and monthly or annual caps on how much you can be paid. If that sounds insufficient, look into supplemental plans, which can make up some of the difference for a modest monthly fee. But remember, like health insurance, their price "is based on your unique situation and needs."

Sergio Hernandez is business editor of The Week's print edition. He has previously worked for The DailyProPublica, the Village Voice, and Gawker.