- What to Include in a Financial Advisor Cover Letter
A cover letter isn’t just an add-on to your job application. It effectively highlights and sells your skills and experiences as a financial advisor. Your cover letter is your first opportunity to demonstrate how you can be a good fit for a job. Here are the key components and and tips that could help your… read more…
- What Licenses Are Required to Sell Variable Annuities and Why?
Understanding which licenses and processes are required to sell variable annuities is an essential step for financial professionals–including financial advisors, brokers or insurance agents–who are looking to grow their services with product offerings. Here’s an overview of the steps you’ll need to take to secure these licenses, why they’re necessary and how selling variable annuities… read more…
- Ask an Advisor: I’m 67 With $218k in an IRA. Should I Start My Withdrawals Now to Reduce Future RMD Taxes?
I’m turning 68 shortly and plan to wait to claim my Social Security at age 70 to maximize the monthly benefit. I also plan to retire at the end of the year, if not sooner (so in three months or less). Does withdrawing from my traditional IRAs (current balance is $215,000) to reduce the income… read more…
- Ask an Advisor: What’s the Benefit of Having a Trust vs. Will? We Own 2 Homes, Have IRAs and Another $600k in Assets
What is the benefit of having a trust versus a will? We own our home, have a rental property and we have no debt. My husband and I are retired and both have IRAs, over $500,000 in the stock market and approximately $100,000 in CDs. We have three grown children – one is a stepchild.… read more…
- What Is the Average Net Worth of a 50-Year-Old?
The typical American household led by a 50-year-old has an average net worth of $897,663, according to Federal Reserve data. This stage of life underscores the importance of consistent wealth-building efforts. Comparing net worth benchmarks by age can serve as a useful reference point for assessing your financial standing. By implementing strategic planning and maintaining… read more…
- Common Net Worth Statistics You Need to Know
Measuring your own wealth can be a tricky thing but seeing how you compare with other households can be a useful way to assess your finances. The real financial benchmarks to measure, however, are your own. Are you achieving your goals? Are you on track to keep doing so in the future? Here are a… read more…
- Ask an Advisor: I Have $680K in a 401(k), a Monthly Pension of $1,600 and Another $150K in Cash. Can I Retire at 62?
I currently have $680,000 in a 401(k), $150,000 in savings and a pension of $1,600 per month. Can I retire at age 62? – Hieu This is a good question and the answer depends primarily on what your expenses are and how much you will collect from Social Security. What we can do here is… read more…
- Why It’s Important to Set Financial Goals for the Future
Financial goals can help you visualize necessary steps to make smart money decisions. When looking at the big picture, these goals can prepare you to pay off debt, save for a comfortable retirement and reach other financial milestones. Here’s what you need to know when setting a financial goal. A financial advisor can help you… read more…
- Understanding Portability of the Estate Tax Exemption
Estate planning could seem daunting, but it can also be made simpler by understanding key concepts. One of which focuses on the “portability” of estate tax exemption. Portability is a provision that allows a surviving spouse to add any remaining federal estate tax exemption from the deceased spouse to their own. Here’s how it works.… read more…
- Ask an Advisor: I’m 55 With a $3 Million Net Worth and $5k in Monthly Expenses. Can I Retire Now?
I’m 55 and would like to retire now with a $3 million total net worth. I’m assuming my net worth will grow, on average, 5% until I’m eligible for Social Security. My house is paid off and my lifestyle is simple. I can live with $5,000 per month. Am I making the right decisions? –… read more…
- What Is Comprehensive Financial Planning?
Financial planning is more than just budgeting or saving for retirement—it’s about creating a clear and holistic strategy to manage your finances in a way that aligns with your life goals. Comprehensive financial planning takes this approach a step further by addressing every aspect of your financial life, from investments and taxes to estate planning… read more…
- Ask an Advisor: How Do I Cover $3,000 in Monthly Living Expenses? I’m 58 With $700k in Retirement Savings, But I Won’t Collect Social Security for 7 Years
I’m 58 and I have $700,000 in 401(k)s and IRAs. I have no credit card debt, no auto loan payments and no student loans. I sold my home in California and paid cash for a house in Texas, so I have no mortgage. I’m retired military and bring in about $2,200 per month after taxes.… read more…
- What Should Your Net Worth Be at Retirement?
Your net worth is a key measure of financial preparedness for retirement, reflecting the wealth you’ve accumulated to support yourself after work. While factors like income and gender affect net worth, age is a major determinant, with net worth typically increasing as you grow older. Comparing your net worth to averages can help you gauge… read more…
- Lifestyle Trends and Problems Facing Ultra-High-Net-Worth Individuals
In decades past, millionaire status was well-known, and the subject of innumerable songs, TV shows, and movies. However, a million dollars is almost a modest sum by today’s standards, and an exclusive echelon known as ultra-high-net-worth individuals (UHNWIs) has wealth extending to the tens of millions. Yet, being a UHNWI entails more than just opulence.… read more…
- What Financial Advisor Clients Value More Than Returns, and Why
It won’t come as a surprise that when investors talk to their financial advisors, their top concerns these days are focused on inflation, market volatility and the possibility of a recession. And while any investor wants to maximize their gains, recent research published by the Insured Retirement Institute (IRI) indicates that right now, investors are… read more…
- Differences Between Mass Affluent and High-Net-Worth Individuals
Though the title “millionaire” may carry less prestige than in the past, achieving seven-figure wealth remains a significant marker of success and stability. Mass affluent individuals form a crucial economic backbone with accessible wealth, while high-net-worth individuals (HNWIs) wield greater market influence despite being fewer in number. Understanding the traits and strategies of these groups… read more…
- What Is a Trade Line and How Does It Work?
When you open a new credit account, financial institutions create what is known as a “trade line.” A trade line is a record of a credit account, including its status and activity, as reported by lenders to credit reporting agencies. It reflects your borrowing and repayment behavior, playing a significant role in shaping your credit… read more…
- How to Find a Financial Advisor for the Ultra High Net Worth
Effectively managing substantial wealth brings unique challenges and complexities that require specialized attention. As an ultra-high-net-worth individual, you face distinct financial needs, opportunities, and goals that demand tailored strategies and the expertise of skilled professionals to ensure optimal growth, protection and alignment with your long-term aspirations. A financial advisor can help you make a financial… read more…
- Ask an Advisor: My Wife Claimed Social Security at 65. Can She Collect the Max Spousal Benefit When I Retire?
My wife started collecting Social Security at age 65, but it’s a tiny amount. I am planning on retiring in two years at 65 (67 is my full retirement age). Can my wife collect spousal benefits of 50% of my full retirement benefits once I retire? – James Unfortunately, the likely answer is “no,” although… read more…
- ‘Advisor’ vs. ‘Adviser’: What’s the Difference?
The terms “advisor” and “adviser” are often used interchangeably, leading to confusion about whether there’s a meaningful difference between the two. At first glance, these words appear to be simple variations in spelling, but their usage and implications can vary depending on context. From legal and professional designations to stylistic preferences in writing, understanding the… read more…
- Ask an Advisor: When Do I Have to Take RMDs from the 401(k) That I Inherited from My Wife? She Hadn’t Turned 72
I am 74 years old (I was born Feb 2, 1948). My wife and I both worked for Aetna, but have retired and have 401(k)s from work that are with Vanguard. I received her 401(k) as a spousal inheritance and maintain it in a separate account. I plan to take RMDs on her account but… read more…
- Ask an Advisor: Our Long-Term Care Insurance Now Costs $500 Per Month. We’re in Our Mid-70s and Have Paid $72k in Total. Should We Cancel Our Policies?
My wife and I bought long-term care policies 25 years ago when they were relatively cheap. Now, our premiums have increased for the third time to over $500 per month and will rise again in six years. I figure I’ve already paid about $72,000 in premiums. Now, in our late 70s, I’m trying to decide… read more…
- What Is a High-Yield Corporate Bond?
Corporate bonds, which are a type of debt security, function as a tool for corporations to raise capital. A high-yield corporate bond offers higher interest rates than a typical corporate bond because it carries a higher risk of default. The “high yield” refers to the greater interest or coupon rate that investors receive as compensation… read more…
- Here’s How to Help Your Child (or Grandchild) Buy a Home
Saving for a down payment can be a significant obstacle for first-time homebuyers. If a child or grandchild is struggling to become a homeowner, you may want to help them out with the assets you’ve managed to accrue. A recent report from J.P. Morgan outlined several techniques that can help parents and grandparents lend a… read more…
- Ask an Advisor: I’m 5 Years Away From RMDs But Recently Lost 30% of My 401(k). Should I Stay Aggressive to Regain My Losses or Rebalance?
When I retired in September 2022, my 401(k) was invested aggressively (90/10 split between stocks to bonds) and lost approximately 30%. I left the 401(k) invested in mutual funds in hopes it would gain back some of the losses. A year later it has gained back approximately 20%. I’m not required to take RMDs for… read more…