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Estates & Trusts

• What Key Estate Planning Tools Should I Know About?

  Wills and trusts allow you to spell out how you would like your property distributed, but they also go beyond that.

• How Can a Living Trust Help Me Control My Estate?

  A living trust can help control the distribution of your estate upon death.

• What Are the Pitfalls of Probate?

  The probate process can be lengthy and complex. There are strategies you can use to help avoid the probate process.

• How Can My Gift Benefit Me and the Charity?

  To retain the tax advantages associated with charitable giving, your gift must be made to a qualified organization.

• How Will I Pay Estate Taxes?

  If you believe your estate will be subject to estate taxes, consider how your heirs will pay the bill.

• What Gifting Strategies Are Available to Me?

  Compare the advantages and disadvantages of different gifting strategies available for planned giving.

• Could My Family Benefit from a Family Limited Partnership?

  One estate planning strategy that families with closely held businesses could consider is the family limited partnership.

• What Is the Best Form of Property Ownership for Me?

  Sole ownership, joint tenancy, tenancy in common, and community property have special benefits for property owners.

• What Is the History of the Federal Estate Tax?

  Careful estate planning is still one of the most important ways to manage and protect your assets for your heirs.

Retirement

• What Is a SIMPLE?

  The SIMPLE plan may appeal to small business owners as it is easy to set up, administer, and allows for a tax deduction.

• What Is a Roth 401(k)?

  A Roth 401(k) is funded with after-tax money, and allows for tax- and penalty-free withdrawal of earnings if requirements are met.

• What Is a Profit-Sharing Plan?

  Profit-sharing plans give employees a share in the profits of a company and can help to fund their retirements.

• What Is a 403(b) Plan?

  A 403(b) plan is a tax-deferred retirement savings plan that can only be offered by a 501(c)(3) tax-exempt entity.

• Why Do People Buy Annuities?

  Annuities, an insurance-based financial vehicle, can provide many benefits that retirement investors might want.

• How Much Do I Need to Save?

  Many realize it’s important to save for retirement, but knowing exactly how much to save is another issue altogether.

• Unforgettable Birthdays

  There are key dates after you turn 59½ that can impact your taxes, Medicare eligibility, and retirement benefits.

• Should You Bank Your Retirement on Your Business?

  Allocating too much of your retirement investments to one company, even your own, can be a risky proposition.

• What Are My Retirement Planning Options?

  There are a variety of retirement planning options that could help meet your needs. Here are some of the most popular.

• Will Social Security Retire Before You Do?

  Greater demand is being placed on the Social Security system as the baby boom generation has begun to retire.

• How Can I Estimate My Future Social Security Benefits?

  The Social Security Administration’s retirement estimator gives estimates of your future benefits based on your actual Social Security earnings record.

• What Is a Self-Employed Retirement Plan?

  Tax-deferred retirement plans for self-employed individuals have higher contribution limits than IRAs.

• What Is an Indexed Annuity?

  An indexed annuity may provide some upside potential and downside protection.

• What Are My Retirement Plan Distribution Options?

  When receiving money accumulated in your employer-sponsored retirement plan, you have two options: lump sum or annuity.

• What Is a Traditional IRA?

  If you do not participate in an employer-sponsored retirement plan, you might consider a traditional IRA.

• What Is a 401(k) Plan?

  401(k) employer-sponsored retirement plans have many benefits, including that the funds accumulate tax-deferred.

• What Is a Roth IRA?

  Qualified Roth IRA distributions in retirement are free of federal income tax and aren’t included in gross income.

Tax Planning

• What Is the Capital Gain Tax?

  Capital gains are profits realized from the sale of assets; a tax is triggered only when an asset is sold, not held.

• What Is the Estate Tax?

  Everything you own, whatever the form of ownership, is subject to federal, and possibly state, estate taxes.

• What Is the Gift Tax?

  The federal gift tax applies to gifts of property or money while the donor is living.

• How Much Money Can I Put Into My IRA or Employer-Sponsored Retirement Plan?

  IRAs and employer-sponsored retirement plans are subject to annual contribution limits set by the federal government.

• What Is a Required Minimum Distribution?

  Required minimum distribution is the annual amount that must be withdrawn from a qualified retirement plan/account.

• When Must Taxes Be Paid on IRA and Employer-Sponsored Retirement Funds?

  With traditional IRAs and most employer-sponsored retirement plans, taxes are not payable until funds are withdrawn.

• What Happens If I Withdraw Money from My Tax-Deferred Investments Before Age 59½

  Tax-deferred retirement account withdrawals before age 59½ generally triggers a 10% federal income tax penalty.

• What Is Tax Deferral?

  There can be a substantial benefit to deferring taxes as long as possible.

• What Tax Deductions Are Still Available to Me?

  Changes to the tax code have left a few key deductions for itemizers, like medical, dental and some business expenses.

Investing

• What Are Dividends?

  It is important to understand how dividends (taxable payments to shareholders) fit with your long-term goals.

• What Is an Exchange-Traded Fund?

  ETFs have unique attributes and attempt to track all types of indexes, industries, or commodities.

• What Is Stock?

  Before investing in stocks, it is important to understand some of the basics and the risks involved in owning stocks.

• What Is Diversification?

  An important element to successful investing is to manage investment risk while maintaining the potential for growth.

• What Is a Bond?

  A bond is simply evidence of a debt from a government entity or a corporation and represents a long-term IOU.

• How Do Mutual Funds and Stocks Differ?

  The difference between purchasing an individual stock versus shares in a mutual fund to potentially earn dividends.

• What Is a Mutual Fund?

  A mutual fund is a collection of stocks, bonds, and other securities with certain benefits and risks.

• What Is a Mutual Fund Load?

  It’s important to understand mutual fund loads, or sales charges, and exactly what they entail so you can make informed investing decisions.

• What Is an Annuity?

  An annuity is a flexible financial vehicle that can help protect against the risk of living a long time because it provides an option for a lifetime income.

• What Is the Difference Between a Fixed Annuity and a Variable Annuity?

  Both fixed and variable annuities could be appropriate options for an individual interested in purchasing an annuity.

• What Investment Risks Should I Know About?

  Understanding different types of investment risk can help investors manage their money more effectively.

• What Is Asset Allocation?

  Asset allocation is a method used to help manage investment risk; it does not guarantee a profit or protect against investment loss.

• How Can I Save for My Child’s College Education?

  There are several funding methods for a child's college education including mutual funds and Section 529 plans.

• What Is Dollar-Cost Averaging?

  Dollar-cost averaging involves investing a set amount of money on a regular basis, regardless of market conditions.

• 529 Lesson Plan: High Scores for 529 Plans

  529 plans are tax-advantaged savings plans that generally allow people of any income level to contribute.

Cash Management

• What Are Some Tips for Managing My Money?

  A sound cash management program uses a disciplined approach: accounting, analysis, allocation, and adjustment.

• How Do Money Market Mutual Funds Work?

  Money market funds can be a highly liquid and effective cash management tool.

• How Can I Better Manage My Short-Term Cash?

  There are numerous investment alternatives available to help provide liquidity.

• What Are Some Smart Ways to Refinance?

  Here are some smart ways to refinance your home.

• What About Financial Aid for College?

  It's important to understand the options, such as financial aid grant programs, when having to pay for college.

• What Savings Alternatives Are Available?

  There are a number of savings alternatives that could help you earn a reasonable rate of return.

Risk Management

• Why Purchase Life Insurance?

  If you have a family who relies on your income, it is important to have life insurance protection.

• Why Are Annuities Considered an Insurance Product?

  An annuity is a contract between you and an insurance company to pay you future income in exchange for premiums you pay.

• Do I Need a Business Owner Policy?

  A business owner policy is an insurance package that assembles the basic coverages required by a business owner in one bundle.

• What Is Life Insurance for Business Owners?

  Company-owned life insurance is one way to help protect a business from financial problems caused by the death of a key employee.

• What Is Disability Income Insurance for Business Owners?

  As a business owner, a disability can create an economic hardship putting both your personal finances and business at risk.

• What Is Term Life Insurance?

  Term life insurance differs from permanent forms of life insurance in that it offers temporary protection.

• What Are the Main Types of Auto Insurance?

  Even if your state doesn’t require certain types of auto insurance, it may be wise to purchase multiple types to ensure you are covered for a variety of situations.

• How Can I Maximize My Insurance Benefits?

  Several factors could undermine the financial security provided by the proceeds of your life insurance policy.

• How Can I Insure My Future?

  To help you choose insurance wisely, determine how much coverage and what kind of policy is best for your situation.

• How Can I Protect My Home?

  Since your home is one of your greatest assets, you should make sure it is adequately protected. That's where homeowners insurance enters the picture.

• What Types of Health Coverage Are Available?

  There are three basic types of medical insurance plans: fee-for-service, managed care, and high-deductible health plan.

• How Can I Determine the Financial Strength of My Insurance Company?

  Using a financially sound insurance company is an important part of ensuring your family’s financial security.

• Am I Prepared for Long-Term Care Expenses?

  The odds of needing long-term care increase as you age. Prior planning can help protect you from financial ruin.

• What Does Medicare Cover?

  Medicare is the federal health insurance program for those persons age 65 and over. But what does it cover?

• What Are the Basic Types of Life Insurance?

  When selecting a life insurance policy, examine all your options, as well as the positives and negatives of each type.

Weekly Market Commentary

• Weekly Market Commentary | September 30, 2024