- Retirement Planning for Federal Employees: Services and Examples
Federal employees receive a retirement benefit package that includes a pension, a tax-advantaged savings plan and Social Security. But many do not fully understand how these benefits work, and that can mean leaving money behind. The FERS pension, the Thrift Savings Plan and Social Security each come with their own rules, deadlines and trade-offs. Whether… read more…
- Retirement Planning for Doctors: Services and Examples
Most physicians spend their 20s and early 30s in medical school and residency, which means their highest earning years tend to start later than those of other professionals. By the time doctors reach attending-level salaries, many are carrying significant student debt while also needing to make up ground on retirement savings. This combination of competing… read more…
- How Do Variable Annuity Guarantees Work?
Variable annuities are often sold on the promise of one compelling idea: you can participate in market gains without bearing the full risk of market losses. It’s an attractive pitch, especially for investors approaching retirement who can’t afford a major setback. However, the word “guarantee” inside a variable annuity contract carries a lot of fine… read more…
- How Are Variable Annuities Regulated?
Variable annuities can be powerful tools for retirement planning. They provide guaranteed income options with tax-deferred growth that few other products can match. However, they are also complex, layered contracts that carry real risks. Therefore, the stakes for consumers are high. That complexity is exactly why variable annuities merge two major regulatory systems: insurance and… read more…
- Retirement Planning for Families: Services and Examples
Planning for retirement can be a challenge for families who are balancing everyday expenses, raising children and sometimes even supporting aging parents. With so many financial priorities competing for attention, long-term goals like retirement can easily fall to the background. But with the right strategies and planning approach, families can build a retirement plan that… read more…
- Retirement Planning for Dentists: Services and Examples
Dentists often spend years building successful practices and earning strong incomes, but turning that success into a secure retirement requires thoughtful planning. Between managing student debt, running a business and navigating complex tax situations, retirement strategies for dental professionals can look very different from those of traditional employees. With the right mix of retirement accounts,… read more…
- What Do Financial Advisors Make for Selling Annuities?
Annuities are a common financial product used in retirement planning, but their compensation structure isn’t always easy to understand. Many investors are familiar with the basic concept of exchanging a lump sum for a stream of guaranteed income, but fewer are aware of how financial advisors are compensated when recommending these products. How advisors are… read more…
- 5 Investments That Can Add Income After You Retire
Once you retire, the purpose of your investment portfolio often changes. Instead of concentrating primarily on growth, many retirees focus on generating reliable income to supplement Social Security, pensions or other sources of income. Choosing the right investments to add income after retiring can help support day-to-day expenses while managing risk in a portfolio that… read more…
- 5 Investments to Consider 10 Years Before Retirement
At 10 years before retirement, investment priorities often begin to shift. The focus typically moves from maximizing growth to protecting accumulated savings while managing risk and preparing for future income. Portfolios at this stage commonly combine growth-oriented assets with stabilizing investments to help limit volatility and support a smoother transition into retirement spending. No matter… read more…
- 5 Investments to Consider Midway to Retirement
Being midway to retirement means you may still have years of earnings ahead. However, the margin for error is smaller than it was earlier in your career. Choosing investments typically involves balancing continued growth with a growing emphasis on risk management and future income. At this stage, you want to protect your progress while positioning… read more…
- How Much Monthly Income Could a $400,000 Annuity Provide?
Imagine turning a single $400,000 investment into a steady monthly paycheck that lasts the rest of your life. For many retirees, that kind of predictable income can feel like a financial safety net in an otherwise uncertain retirement landscape. Annuities provide exactly that, but the amount of income they generate, and whether they make sense… read more…
- What Happens to Your IRA When You Die? Beneficiary Rules and Taxes
An individual retirement account (IRA) can be a significant estate asset. How the account is handled depends on whether a beneficiary is named, who that beneficiary is and which distribution rules apply at the time of death. These factors affect how and when the account is distributed, how withdrawals are taxed and whether probate applies.… read more…
- I’m 50 With $875k in My 401(k) and $5,000 in Monthly Expenses. When’s the Soonest I Can Retire?
Whether you’re making a budget or planning your retirement date, it typically comes down to the same basic math: how much money you can reliably generate and how does that compares to your budget. To help you estimate how much you will need for retirement, let’s work through an example of a 50 year old… read more…
- What’s a Realistic Retirement Budget? I’m 55 With $620k Saved and $68k Income
There are two common ways to think about a retirement budget: you can start with the lifestyle you want or the assets you have. By focusing on a lifestyle, you can identify your target retirement income and then build savings to support that goal. For example, using the 4% rule, if your goal is to… read more…
- My Mother Has $260k in an IRA. Is a Nursing Home Able to Take It?
A nursing home cannot directly seize funds held in an individual retirement account (IRA). However, retirement accounts in many states are generally treated as countable assets for Medicaid eligibility, which means their value can affect whether you qualify for Medicaid coverage of long-term care. In many cases, this requires a “spend-down,” where IRA funds are… read more…
- Do Seniors Over 80 Have to Pay Income Tax?
Reaching your 80s doesn’t automatically mean saying goodbye to income taxes. Many retirees live on fixed incomes and may owe little or nothing to the IRS. However, others with pensions, investment income or retirement withdrawals may still face tax obligations. The key to understanding your tax situation in your later years lies in knowing which… read more…
- Do Roth IRA Gains Get Taxed?
How Roth IRA gains are taxed depends on when and why you withdraw the money. You can typically withdraw growth inside a Roth IRA completely tax-free if you meet certain IRS rules. However, early withdrawals or non-qualified distributions may trigger income tax and even penalties. It can be extremely beneficial to understand the distinction between… read more…
- What’s a Realistic Retirement Budget? I’m 60 With $740k Saved on an $85k Salary.
For most of your working career, the focus of your retirement planning is on accumulating savings and investing that money wisely. As you approach retirement, more attention will go to estimating your income after you stop working, and the kind of lifestyle that this will support. The way to do that is through building a… read more…
- What’s a Realistic Retirement Budget? I’m 66 With $1.1k in a 401(k), Another $80k in Savings and I’ll Have $2,800 in Social Security
A retirement budget compares expected income with planned expenses to see whether spending fits within available income. This process begins by listing income sources and savings and estimating how much they can provide each year. To show how a retirement budget works, let’s break down an example of a retirement profile with a $1.1 million… read more…
- Can You Open a Roth IRA for Your Adult Child?
A Roth IRA offers tax-free growth and tax-free withdrawals in retirement, which can benefit young adults with long time horizons. You can help open a Roth IRA for an adult child if they have earned income and the account is in their name. Starting early allows more time for growth. A financial advisor can help… read more…
- Is There an Income Cap for a Roth IRA?
Roth IRAs allow your savings to grow tax free and allow tax free withdrawals in retirement. Your income determines whether you can contribute and how much you can add. The IRS sets annual income limits based on your tax filing status. These limits decide whether you can make a full contribution, a reduced contribution, or… read more…
- How to Use an HSA to Pay for COBRA
You can use money from a health savings account (HSA) to pay for COBRA health insurance, allowing you to cover premiums with tax-free withdrawals. COBRA premiums qualify as medical expenses under HSA rules, which can make an HSA useful for maintaining coverage after leaving a job. Before using these funds, it’s important to understand the… read more…
- I’m 65 With $950k in an IRA. Is It Worth It to Convert $150k per Year to a Roth IRA to Avoid RMDs and Retirement Taxes?
A Roth IRA conversion is available any time you have money in a qualifying pre-tax account. People choose to make a conversion to reduce future required minimum distributions (RMDs), spread taxes over several years and create a source of tax-free retirement income. But the success of this strategy will depend on your timing. Earlier conversions… read more…
- Can You Use HSA for Health Insurance Premiums After Retirement?
A health savings account (HSA) can support your retirement plan through tax-deductible contributions, tax-free growth and tax-free withdrawals for qualified medical expenses. But not all insurance premiums qualify, so it’s important to know which costs you can and cannot cover with HSA funds. A financial advisor can help you review your expected healthcare needs, compare… read more…
- Medicare vs. Obamacare: Costs, Benefits and Enrollment
When comparing Medicare and Affordable Care Act (ACA or Obamacare) coverage, it helps to look at how each program works, who qualifies and what the costs may be. Medicare is a federal program for people age 65 and older and certain individuals with disabilities. The ACA provides access to private health-insurance plans and income-based subsidies… read more…