Articles

Estates & Trusts

• Estate Planning

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

• Living Trusts

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

• Avoiding Probate

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

• Charitable Giving

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

• Controlling the Distribution

  If you haven’t taken steps already, consider planning now for the distribution of your estate’s assets.

• Paying Estate Taxes

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

• Benefits of A-B Trusts

  An A-B trust can be an effective way to help reduce estate taxes and preserve family assets for heirs.

• Gifting Strategies

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

• Charitable Lead Trusts

  Charitable lead trusts are designed for people who would like to benefit a charity now rather than later.

• Charitable Remainder Trusts

  A designated income beneficiary could receive payment of a specified amount from a charitable remainder trust.

• Wealth Replacement Trusts

  A wealth replacement trust could be used to gift appreciated assets to a charity as well as provide for heirs.

• Family Limited Partnerships

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

• Property Ownership

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

• 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

• SIMPLE Plans

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

• IRA Rollover

  If you leave a job or retire, you should consider your options regarding your employer retirement plan assets.

• 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.

• Profit-Sharing Plans

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

• Money Purchase Pension Plans

  A money purchase plan is a retirement plan where employer contributions are based on a fixed percentage of compensation.

• 403(b) Plans

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

• 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.

• A New Chapter for Retirement

  With the changing pension landscape, it is important to take charge of your own retirement security.

• 1035 Exchanges

  A Section 1035 exchange is a tax-free exchange of an existing annuity contract or life insurance policy for a new one.

• Unforgettable Birthdays

  There are key dates after you turn 59 that can impact your taxes, Medicare eligibility, and retirement benefits.

• Your Business and Retirement

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

• Planning Options

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

• Future of Social Security

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

• Social Security Income

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

• Self-Employed Retirement Plans

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

• Retirement Plan Distributions

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

• Traditional IRAs

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

• 401(k) Plans

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

• Managing Retirement Plans

  Employer-sponsored retirement plans are more important than ever, but managing the assets can be confusing.

• Save Now or Save Later

  If you start saving for retirement sooner, the more money you are likely to accumulate and possibly retire sooner.

• Roth IRAs

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

Tax Planning

• 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.

• Estate Tax

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

• Gift Tax

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

• Retirement Plan Limits

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

• Required Minimum Distributions

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

• Charitable Trust Tax Benefits

  For the grantor, there are a few potential tax benefits that can come with setting up a charitable trust.

• Retirement Plan Taxes

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

• Withdrawing Before Age 59.5

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

• Tax Deferral

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

• Tax-Advantaged Investments

  Many traditional tax-advantaged investment strategies have gone away, but there are still some alternatives.

• Tax Deductions

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

• Tax-Advantaged Alternatives

  While stable, CDs can create quite an income tax bill. Fixed annuities and municipal bonds can offer tax advantages.

• Tax Strategies for Retirement Plans

  Consider a trustee-to-trustee transfer to an IRA versus a lump-sum distribution from a workplace retirement plan.

• Tax-Free Investments

  It’s important to understand tax-exempt vehicles when establishing a comprehensive tax planning strategy.

• Mutual Fund Profits

  Want to keep more of your mutual fund profits? You may be interested in strategies to help lower your tax liability.

• Tax-Free Insurance Upgrades

  A 1035 exchange allows you to exchange your life insurance policy for one from another company without tax liability.

Investing

• Dividends

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

• Exchange-Traded Funds

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

• Growth Stocks vs. Value Stocks

  The labels “growth” and “value” reflect different approaches that can be used when making investment decisions.

• Mutual Fund Taxes

  Mutual fund taxes can be cumbersome, but there are ways to help mitigate the amount of taxes you may owe.

• Stock

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

• Zero-Coupon Bonds

  Zero-coupon bonds represent a type of bond that does not pay interest during the life of the bond.

• Diversification

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

• Types of Bonds

  Bonds are issued by many entities and share many characteristics, each type of bond has certain benefits and risks.

• Bonds

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

• Bond Ratings

  Bond ratings gauge a bond issuer’s financial ability to repay its promised principal and interest payments.

• Stock Indexes

  Stock market indexes can be useful benchmarks for gauging the performance of an investment portfolio over time.

• Mutual Funds vs. Stocks

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

• Mutual Funds

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

• Closed-End Funds

  With closed-end funds, investors pool their money together to purchase a professionally managed portfolio of stocks and/or bonds.

• Mutual Fund Loads

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

• Investment Risks

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

• Asset Classes

  There are five broad asset classes that you should take into consideration when constructing your investment portfolio.

• Asset Allocation

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

• College Savings Plans

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

• College Investment Options

  Starting to invest early for college and remaining consistent can help investors reach their goals.

• Stock and Bond Investing Alternatives

  There are other ways to invest in stocks and bonds besides owning individual shares or bonds.

• Dollar-Cost Averaging

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

• 529 Plans

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

Cash Management

• Cash Management Basics

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

• Doubling Your Money

  Before making investment decisions, it is helpful to determine the real rate of return on the investment.

• Cash Management Tools

  Short-term cash management instruments can help you establish a sound cash management program.

• Money Market Funds

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

• Managing Cash

  There are numerous investment alternatives available to help provide liquidity.

• Biweekly Mortgages

  Biweekly mortgage payments can have a dramatic effect on the amount of interest homeowners have to pay.

• Reverse Mortgages

  There are techniques that can enable older homeowners to use their property to finance their lifestyle.

• Smart Financing Ideas

  Here are some smart ways to refinance your home.

• College Financial Aid

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

• Savings Alternatives

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

• Effects of Inflation

  Historically, one of the best ways to fight the effects of inflation has been to utilize growth-oriented investments.

• Home Equity Loans

  Shifting some debt to a home equity loan, which typically allows interest payments to be tax deductible, could have its advantages.

Risk Management

• Why Purchase Life Insurance

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

• Property and Casualty Insurance

  Property and casualty insurance can help protect a variety of assets. Find out what it does and doesn’t cover.

• Business Owner Policies

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

• 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.

• Split-Dollar Life Insurance

  Split-dollar life insurance is an arrangement to purchase and fund life insurance between two parties.

• Last-Survivor Life Insurance

  Couples who want to help protect their legacy from estate taxes could consider last-survivor life insurance.

• 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.

• Term Life Insurance

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

• Whole Life Insurance

  Some of the pros and cons of whole life insurance.

• Universal Life Insurance

  Consider a universal life insurance policy if you want the flexibility to change your premium or death benefit.

• Variable Life Insurance

  Variable life insurance gives you the control to allocate your account value among a variety of investment options.

• 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.

• Insurance Claims

  When it is time to make an insurance claim, it helps if you are familiar with your policies and the steps you should take to file a claim.

• Maximizing Your Insurance Benefits

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

• Insuring Your Future

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

• Protecting Your 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.

• Assessing Disability Income Insurance

  Knowing the basics of a disability income insurance policy is a good first step toward protecting your family.

• Types of Health Coverage

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

• Additional Liability Coverage

  Consider additional liability insurance to help protect you from the potentially devastating effects of liability lawsuits.

• HMOs and PPOs

  Selecting health insurance is often one of the most important decisions you will make. Do you know the different types?

• Evaluating Insurance Companies

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

• Long-Term Care Costs

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

• Medicare Coverage

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

• Types of Life Insurance

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