- 5 Wealth Management Strategies to Consider
Effective wealth management strategies can significantly enhance financial well-being and maintain long-term security. By incorporating diversified investment portfolios, tax-efficient planning, strategic gifting, estate planning and risk management, individuals can tailor their approach to their unique financial goals. Exploring various wealth management strategies can provide the necessary tools to build and preserve wealth, paving the way… read more…
- What Is the Duty of Loyalty for Fiduciaries?
Fiduciaries are bound by a legal and ethical obligation known as the duty of loyalty, which requires them to act in the best interests of their clients. This mandate ensures that fiduciaries prioritize their clients’ needs above their own, avoiding conflicts of interest and making decisions that benefit the clients. Whether it’s a financial advisor,… read more…
- Wealth Management Advice You Might Want to Consider
Wealth management is a holistic approach to handling financial affairs and creating a strategic plan for managing an individual’s assets. It encompasses various financial services, such as retirement and investment management, estate planning, and more. While often associated with affluent clients, wealth management can benefit a broad range of individuals. Professional wealth management advice from… read more…
- What Is Intergenerational Wealth Planning?
Intergenerational wealth planning is the process of preserving and transferring wealth across multiple generations. This can help you maintain financial stability and preserve a legacy for future family members. This comprehensive approach often includes managing investments, estates and inheritance taxes. By prioritizing intergenerational wealth planning, families can create long-lasting financial security and uphold their values… read more…
- We’re 65 With $1.5 Million in an IRA and $4,200 Per Month in Social Security. What’s Our Retirement Budget?
Age 65 is a major transition for many individuals as they shift to thinking about retirement and begin to contemplate benefits like Social Security and Medicare. Retirement planning means you’ll have to consider taxes, healthcare, your retirement budget and more. With $1.5 million in an IRA and two Social Security payments to rely on, a… read more…
- When Do You Need to Hire a Wealth Manager?
Deciding at what point to hire a wealth manager can have a big impact on your financial well-being. Oftentimes individuals seek out wealth managers when their financial situation becomes too complex to manage on their own. This could be due to a significant increase in assets following an inheritance, the sale of a business, or… read more…
- What Is Wealth Planning and Why Is It Important?
Wealth planning is a comprehensive approach to managing financial resources that focuses on the accumulation, preservation and the transfer of wealth. This process involves creating a strategic plan that encompasses various aspects of personal finance, including investment management, tax planning, estate planning and retirement planning. Engaging in wealth planning can provide a structured path to… read more…
- Ask an Advisor: I Need an Estate Planner But I Have Trust Issues With Financial Advisors. What Should I Do?
I’m single, 85 years old and I need a financial estate planner, as well as an attorney for a will. All of my investments are in mutual funds that I’ve managed myself through the years, mainly because I’ve had bad (and costly) experiences with both financial advisors and lawyers. I, therefore, keep my financial situation to… read more…
- Does a 529 Plan Earn Interest?
Unlike a traditional savings account that earns interest, a 529 plan grows based on the performance of the investments you select within the plan. Most 529 plans offer a range of investment options, such as mutual funds or age-based portfolios, which are designed to grow over time through market appreciation. So while the account itself… read more…
- Ask An Advisor Can I Reinvest My RMD in Stocks or Real Estate? I Worry About Double Taxation
If I am not spending all my required minimum distribution (RMD) money each year, can I roll some of this back into my stocks? If so, will I be taxed on the amount rolled back in? Would this be considered double taxation? If I’m only taxed on the additional interest this money generates when I… read more…
- What Are Tax-Free Distributions From 529 Plans?
A 529 plan is a tax-advantaged savings account designed to help families save for future education costs. Withdrawing money, also called a distribution, from a 529 plan for qualified education expenses, such as tuition, fees, books, and room and board, is tax-free. Neither the federal government, nor most states, will tax the earnings on these withdrawals.… read more…
- Should We Use Cash to Buy Our $1.2M Retirement Home After Selling Our Business?
I’m 63 and totally disabled. My wife owns and operates a family business on a property that we own with no mortgage. Our plan is to sell the business for $795,000 and rent the property for $6,000 a month. We also currently have $1.2 million in the stock market, $400,000 in CDs and high-yield savings… read more…
- Financial Planning vs. Retirement Planning
Financial planning and retirement planning are both important parts of managing your financial health. Financial planning is a broad approach encompassing budgeting, saving, investing, tax planning and risk management to achieve various life goals. Retirement planning specifically focuses on preparing financially for life after work, with the aim of securing a steady income and financial… read more…
- How to Find a High Net Worth Financial Advisor
Those who qualify as high net worth individuals (HNWIs), which is usually those with liquid financial assets of $1 million or more, may benefit from a special type of financial advisor who caters to such clientele. High net worth financial advisors can provide assistance tailored to the needs and interests of high net worth individuals,… read more…
- I’m Thinking of Using a Financial Advisor. How Much Would It Cost?
As published recently in their annual report by the financial blog, Kitces, pricing in finance is dominated by one model above all others: Assets Under Management (AUM). This is a fee structure that, in theory, incentivizes your financial advisor by paying them more as your wealth grows. This can work well in some cases, particularly… read more…
- Who Maintains Control Over a 529 Plan’s Assets?
A 529 plan is a popular tool for saving for college expenses. When it comes to who maintains control over the 529 plan’s assets, in most cases, it’s the account owner. This is often a parent or grandparent. The owners also has the ability to make investment choices and manage withdrawals. The beneficiary, typically the… read more…
- What Is a Personal Financial Advisor?
A personal financial advisor is a professional who provides tailored financial guidance to individuals, helping them manage their finances effectively. These experts assess the financial situations, goals and risk tolerance of clients to create comprehensive plans that encompass budgeting, saving, investing and retirement planning. They also offer advice on tax strategies, insurance needs and estate… read more…
- I’m Going to Get $2,100 Per Month From Social Security. How Can I Reduce My Taxes?
Despite paying into Social Security throughout your working career, your retirement benefits aren’t necessarily tax-free income. In fact, up to 85% of your benefits are taxable, depending on your other sources of income. Several strategies exist for managing and potentially reducing these taxes, including timing retirement account withdrawals and using withdrawals from Roth accounts to… read more…
- Which Investments Are Better Off in My IRA vs. Roth IRA vs. Brokerage Account?
How do I know which of my investments are better off in my IRA, Roth IRA or brokerage account? -Peter It’s great that you’re considering this – many people overlook the importance of where to hold different investments. Often, this is due to a lack of awareness about how significantly it can impact overall returns.… read more…
- Differences of a Fiduciary vs. Trustee
A fiduciary is an individual or organization required to act legally and ethically in the best interests of their clients. This broad term encompasses various roles, including financial advisors, attorneys and conservators. Each are required to prioritize the financial well-being of clients over their own profits. In addition to these fiduciaries, a trustee has similar… read more…
- Fee-Based vs. Commission-Based Financial Advisors
Fee-based advisors charge a set fee for their services, either hourly, by project, or as a percentage of assets under management. This model can offer transparency and reduce potential conflicts of interest, as the advisor’s income isn’t tied to selling specific products. Commission-based advisors, by comparison, can earn money through commissions on the financial products… read more…
- I’m 62, Have $800,000 and Will Receive $2,600 Monthly from Social Security. What’s My Retirement Budget?
Planning for retirement can be both exciting and challenging. Figuring out how much you can realistically spend each year is a key piece of that puzzle. For example, a 62-year-old with $800,000 in savings and a monthly Social Security benefit of $2,600 can reasonably expect an annual income of $63,200 in retirement. Figuring out how… read more…
- I Expect to Live to 100. Should I Convert Some of My $1.4 Million into a Roth at Age 63?
I’m a single woman with no children, turning 63 years old this year but my family has longevity so I’m using 100 years old as my life expectancy mark for retirement planning. I have a combined portfolio of $200,000 in a 5% money market, and $1.4 million in stocks in a 401(k) (mostly dividend stocks)… read more…
- What Is a Retirement Financial Advisor?
A qualified financial advisor for retirement planning can provide invaluable guidance and support as your plan for your golden years. With the increasing complexity of the financial landscape and the growing number of Americans approaching retirement age, the role of retirement advisors has become more important than ever. These advisors often offer a wide range… read more…
- I’m Getting Mixed Advice: Will I Owe Taxes When I Roll Over My Roth 401(k) to a Roth IRA?
I have an after-tax 401(k) that I would like to roll over to a Roth IRA with Schwab. Experts at Schwab say it can be rolled over to a Roth IRA without paying any taxes. I think they are wrong as I will still have to pay taxes on the earnings and capital gains accumulated… read more…