Archives for Retirement Planning

How Annuities Offer Protection and Growth Potential

How Annuities Offer Protection and Growth Potential

June 14, 2022

National Annuity Awareness Month is upon us! Let’s go over how annuities can be an important part of a retirement plan. June is National Annuity Awareness Month, giving us the perfect reason to discuss how they can positively impact your retirement. Annuities have always played a role in retirement planning, but with growing uncertainty and market volatility, their importance has boomed. They offer the chance for growth along with the protection of principal during market downturns which is guaranteed by the claims-paying ability of the issuing insurance carrier. While they can be a vital part of the retirement-planning process, annuities
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Are You Retiring Within the Next 5 Years?

Are You Retiring Within the Next 5 Years?

April 14, 2022

What to focus on as the transition approaches   You can prepare for the transition years in advance. In doing so, you may be better equipped to manage anything unexpected that may come your way. How much monthly income will you need? Unfortunately, there is no “magic” number for everyone to strive for. Instead, examine your monthly expenses, considering any trips, adventures, or pursuits you have in mind for the near term. As a test, you can even try living on your projected monthly income for 2-3 months prior to retiring. Should you downsize or relocate? Your home is not
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How Market Cycles Can Impact Retirements

How Market Cycles Can Impact Retirements

March 22, 2022

Sequence of returns can play a role in your overall portfolio.   A thoughtful retirement strategy may help you pursue your many retirement goals. That strategy must consider many factors, and here are just a few: your income needs, the order of your withdrawals from taxable and tax-advantaged retirement accounts, the income tax implications of those withdrawals, and sequence of return risk. Just what is the sequence of return risk? In brief, it is the risk that market declines in the early years of retirement, combined with steady withdrawals, could reduce your portfolio’s outlook. A recent CNBC article mentioned how
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Your Year-End Financial Checklist

Your Year-End Financial Checklist

December 28, 2021

  The end of the year can help remind us of last-minute things we need to address as well as the goals we want to pursue and get serious about. To that end, here are some aspects of your financial life to contemplate as this year leads into 2022.  Your investments. Set up a meeting to review your investments with your financial professional. You’ll want to come away from the meeting with an understanding of your portfolio positions and a revisit of your asset allocation based on your age, desires and personal circumstances. Remember, asset allocation and diversification are approaches
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The Latest Facts About Social Security

The Latest Facts About Social Security

November 30, 2021

    On October 13, 2021, the Social Security Administration (SSA) officially announced that Social Security recipients will receive a 5.9 percent cost-of-living adjustment (COLA) for 2022, the largest increase in four decades. This adjustment will begin with benefits payable to more than 64 million Social Security beneficiaries in January 2022. Additionally, increased payments to more than 8 million Supplemental Security Income (SSI) beneficiaries will begin on December 31, 2021.   Biggest COLA Increase in Decades? While many predicted a bump of as much as 6.1% given recent movement in the Consumer Price Index (CPI), the announced 5.9% increase is
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What To Do If You’ve Lost a Retirement Account

What To Do If You’ve Lost a Retirement Account

November 1, 2021

A recent study found that the problem of “forgotten 401(k)” and pension accounts is widespread, and amounts to approximately 24 million accounts containing $1.35 trillion in assets. The issue is so big that Congress is considering creating a national online “lost-and-found” database to help people track down their accounts as part of a larger bill containing more benefits and protections for retirees: the “SECURE Act 2.0” as some are calling it. But until legislation is passed, you will be on your own when it comes to finding your lost retirement money. Whether you changed jobs and forgot about your old
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Retirement Saving at Each Age

Retirement Saving at Each Age

August 26, 2021

While it’s true that each person is unique and every financial plan should be customized according to their situation, it is generally accepted that people should start saving for retirement early in their lives so they can take advantage of compounding returns. Here is some general information and things to consider about saving for retirement for each age group. Gen Z Roth IRA accounts. As soon as children or grandchildren have earned income, either you or they can open and contribute to a Roth IRA (Individual Retirement Account) in their name. Roth IRA contributions can’t exceed the child’s earned income
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7 Tips to Resolve Financial Issues Between Couples

7 Tips to Resolve Financial Issues Between Couples

February 24, 2021

No matter how long you have been together, financial issues can wreak havoc on a committed relationship. According to Investopedia, some of the top money issues between partners include money/personality style clashes, debt, personal spending, children, and extended family differences. When couples don’t agree about spending and saving habits, it can lead to stress, arguments and resentment. Here are seven ways you can address financial issues positively, preferably before they arise. Understand Your Money Styles Think of some extreme examples of money styles in your circle. Like your friend, the foodie, who won’t touch a bottle of wine that costs
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What is a Roth Conversion?

What is a Roth Conversion?

September 25, 2020

To understand what a Roth conversion is, you must first understand some of the basics about the different types of retirement accounts, called “qualified accounts.” Pensions Also called defined-benefit plans, pensions are paid for by employers. They have largely gone away for Americans in the private sector starting with the passage of three laws during the Reagan administration, the Tax Equity and Fiscal Responsibility Act passed in 1982, The Retirement Equity Act of 1984, and The Tax Reform Act and Single Employer Pension Plan enacted in 1986. The lack of pensions is one reason why it’s important for people to
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How Rich Do You Have to Be in Order to Retire?

How Rich Do You Have to Be in Order to Retire?

August 18, 2020

Even though perceptions have changed during the pandemic with more Americans now saying they need less money to feel rich1, when it comes to retirement, most people are still unclear about how much they will need to have saved before they can quit their jobs. The answer to that question is different for every person. Here are some of the things you need to think about in order to get a realistic retirement number in mind.   What do you want to do during retirement? Where will you live? Different people have different retirement goals and visions. You may not
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