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A Better Way to Take Your RMDs?- Season 4: Episode 7
Managing Your Financial Future

A Better Way to Take Your RMDs?- Season 4: Episode 7

December 22, 2020

Required minimum distributions (RMDs) are just a fact of life for most owners of an IRA or retirement plan account.  While RMDs are suspended for 2020, under normal circumstances, you typically must begin taking minimum withdrawals from those accounts (in most cases) at age 72. Given these circumstances, if you’re charitably inclined, you may be able to take advantage of a little-known strategy known as a Qualified Charitable Distribution from your IRA, and perhaps get some tax advantages that you otherwise would not have had. How does it work, and who can potentially use it? 
Living Trust or Will? What You Need to Consider
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Living Trust or Will? What You Need to Consider

December 17, 2020

When you’ve worked hard over your lifetime and you’ve done all you can to be a conscientious saver, it stands to reason that you’d want some control over what happens to your assets after you’re gone. Having an estate plan may ensure that your assets are distributed according to your wishes. But what should that estate plan include? Do you need a standard will, or should you have something that offers you a few more options? These are questions that should be considered by anyone who’s concerned about potential conflicts and costs for their heirs. Questions, of course, need answers.
Let’s Strategize With Your IRA- Season 4: Episode 6
Managing Your Financial Future

Let’s Strategize With Your IRA- Season 4: Episode 6

December 15, 2020

IRA’s, whether Traditional or Roth, have unique characteristics. Depending on the type of IRA you have, you may be able to manage your taxes or your income from your IRA by managing the taxes on the withdrawals. Roth IRA distributions are tax-free when the rules for taking withdrawals are all met. So sometimes the tricky part is getting the money into the Roth IRA in the first place. Do you make a regular contribution to your Roth? Should you convert your Traditional to a Roth?  When is it a good idea to do either of these, and when is it not?
Beware the High-Yield Siren Song
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Beware the High-Yield Siren Song

December 10, 2020

Once upon a time in America, a married couple could afford to have one spouse stay at home and take care of domestic responsibilities while the other spouse went out and earned the income.  And while that scenario does still exist today, it’s far less common than it was 30 or 40 years ago. It would seem plausible that having two incomes instead of one would make a family more financially secure.  This is true, but only to an extent – especially for affluent households.  In fact, having two working spouses may in some cases have an adverse effect on a family’s financial situation.
Dealing With Taxes on Your Social Security Benefits- Season 4: Episode 5
Managing Your Financial Future

Dealing With Taxes on Your Social Security Benefits- Season 4: Episode 5

December 8, 2020

Taxes are a fact of life for most people.  Even your Social Security benefits – for which you had the pleasure of paying taxes to receive – are subject to taxation under certain circumstances. And this can hit you unexpectedly, putting a sizable dent in your benefit income. What to do about this?  First thing is to recognize when and how your Social Security benefits may become taxable to you.  This is where planning can play a key role, especially before you begin to take required minimum distributions at age 72.
The Dual-Income Dilemma
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The Dual-Income Dilemma

December 3, 2020

Once upon a time in America, a married couple could afford to have one spouse stay at home and take care of domestic responsibilities while the other spouse went out and earned the income.  And while that scenario does still exist today, it’s far less common than it was 30 or 40 years ago. It would seem plausible that having two incomes instead of one would make a family more financially secure.  This is true, but only to an extent – especially for affluent households.  In fact, having two working spouses may in some cases have an adverse effect on a family’s financial situation. Are two incomes really better than one? 
Don’t Make the Mistake of “Chasing Yield”- Season 4: Episode 4
Managing Your Financial Future

Don’t Make the Mistake of “Chasing Yield”- Season 4: Episode 4

December 1, 2020

If there’s one “rule of thumb” that every investor should know, it’s that there is a distinct correlation between risk and reward.  The greater the potential reward for an investment, the higher the risk.   Conversely, lower-risk investments tend to produce lower rates of return. This is something that many investors often forget — especially those who are new to the game.  If you pay attention only to a particular investment’s prior performance without looking at the potential risks involved, you may be in for a really unpleasant surprise down the road. Purchasing investments based solely on their rate of return is what’s known as “chasing yield,” and it’s a mistake that can and should be avoided. 
Are Cash Value Life Policies Really as Good (or as Bad) as You’ve Heard?- Season 4: Episode 3
Managing Your Financial Future

Are Cash Value Life Policies Really as Good (or as Bad) as You’ve Heard?- Season 4: Episode 3

November 17, 2020

Life insurance appears to be a fairly easy topic to understand.  You pay your premiums to the insurance company, and if you die within the specified period of time, your beneficiaries receive the death benefit proceeds of the policy.  If you outlive the policy, no death benefit is paid. But that’s just one element of life insurance.  Another type is the often-misunderstood (and sometimes mis-sold) cash value policy — and here’s where things can get complicated.  And here’s where “Professor” Rick Plum, CFP® may be able to help you understand. Cash value life insurance isn’t for everyone, but for some individuals, it may indeed be exactly what they need to reach their goals.  Who should consider cash-value life insurance, and who should stay away?  And how do these policies work? 
Sorting Out the Self-Employed Retirement Plan Options
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Sorting Out the Self-Employed Retirement Plan Options

November 12, 2020

Retirement Plan Options blurb: If you run your own business, chances are pretty good that you know a lot about the products or services you offer. That’s why you’re in business for yourself, right?But while you’ve surely got that part of it down, you may find that you aren’t nearly as familiar with your business finances — taxes, payroll, accounting, and employee benefits, just to name a few. For those with employees, the financial complications can become overwhelming, especially if you’re not familiar with all of the rules and options available to you as a business owner. One particularly confusing aspect has to do with employee retirement plans. Even if you have no employees and you yourself are the only one involved, you still may want to set up a retirement plan for yourself. There are several tax-advantaged options available to a business owner, and finding one that’s suitable for you can be a daunting task.
What Are Your Options with a Roth IRA?- Season 4: Episode 2
Managing Your Financial Future

What Are Your Options with a Roth IRA?- Season 4: Episode 2

November 10, 2020

Back in 1998, Congress created one of its most popular tax-incentives in recent history – the Roth IRA. Since then, we’ve seen various changes to Roths, including who may contribute, how much they may contribute, and who is allowed to convert pre-tax IRA money into the Roth world. Because of its popularity, though, the Roth is sometimes improperly used by both investors and by those who give financial advice. While the tax-free withdrawals of a Roth are often attractive, those same tax benefits may also cause someone to put their money into a Roth when there are potentially better options for them. So how does a Roth IRA work? Who should consider contributing, or maybe converting?