Archive for Personal finance
Five vital questions to prepare for your financial future
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(ARA) – Have you ever wondered if you’ll be able to afford retirement? Do you question if your finances will keep you afloat if your family were to experience a medical emergency or another expensive and unplanned event?
“Financial awareness and education are extremely important, which is why people need to take a moment and think about their areas of need and risk and determine which steps are the best ones to take to develop a strong financial future,” says Michael R. Fanning, executive vice president, U.S. Insurance Group, Massachusetts Mutual Life Insurance Company (MassMutual).
Take one hour to review your finances and discover if there are areas where your plans can be stronger.
Here are five questions created by financial experts at MassMutual to ask yourself: Read More→
You’ve Earned Your Money Now Here’s How to Keep It!
“It’s easy for anyone to believe the government protects it’s citizens’ rights. But the truth is, in matters of taxes, once the IRS gets its hands on your money, you can kiss that money goodbye. You must act before that event takes place. At the end of the day, it’s what your and your family get to keep that counts.” ~ Rick Rodgers, CFP
Tax efficient investing has always been important. It will become even more important if the Bush tax cuts come to an end on December 31, 2010. The top 2% of income earners with total family income above $250,000 will be hit especially hard. Some call it the largest tax increase in history.
Join us, Monday, December 2, 2010 as Lee Pelko, CFP from the firm Rodgers and Associates, shares Living Fully After 40 Radio,
some suggestions to consider to
prepare for 2011.
Nine Factors in Deciding On Long-Term Care Insurance
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Robert C Adamski
On behalf of Robert C. Adamski, Attorney at Law
Many more people should be buying long-term care insurance than are actually buying it. Why should people buy it? Because aging parents are likely to need it for an extended nursing home stay. Or, they may need it for assisted living or to have an aide at home each day. Children of those parents may want to buy policies for the parents to shield themselves from the costs of the parents’ care. Planning for the future seems to demand better readiness for long-term care. Read More→
Inheritance Info by Robert C. Adamski, Esq
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Robert C Adamski
Check out Bob’s Inheritance Blog for up to date information which contains a wealth of interesting and useful information and is updated frequently.
Recent topics include:
- Should an insane man inherit from his mother if he kills her?
- Should children from preserved sperm/eggs inherit?
- Tax deferred retirement accounts require withdrawals again
- How to discuss estate planning with a loved one Read More→
Wade W. Slome on Living Fully After 40 Radio, 9/27/10
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Wade W. Slome, CFA, CFP® is President and Founder of Sidoxia Capital Management, LLC and author of How I Managed $20,000,000,000.00 by Age 32. In addition, Mr. Slome has been a media go-to resource – he has been seen on ABC News and quoted in The Wall Street Journal, USA Today, New York Times, Dow Jones, Investor’s Business Daily, Bloomberg, Smart Money, among other media publications. He is also publisher of the investment blog, InvestingCaffeine.com and a contributing writer to Morningstar, Seeking Alpha and The Wall Street Journal partner FiLife.com. Bloomberg identified him as the second youngest manager among the largest 25 actively-managed U.S. mutual funds in 2005. Besides his work at Sidoxia, Mr. Slome is an instructor at the University of California, Irvine extension department, where he teaches the Advanced Stock Investment course.
Danny Kofke
A lot of people think that figuring out financial matters and investing are difficult and are intimidated by it. Danny Kofke, a financially savvy special education teacher, wants to show others that if can figure it out then they can too. In “How To Survive (and perhaps thrive) On A Teacher’s Salary”, Danny explains the steps necessary for others to follow suit and save for life’s journeys.
In his book, Danny shows others how to:
- Retire with a sizeable nest egg
- Teach in a foreign country
- Own all of their possessions – including their cars and houses
- Invest in Roth IRAs and
- Establish a weekly budget
- Live a financially secure life on a modest salary!
Attorney Robert C. Adamski, Legal News to Use – June 15, 2010
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Attorney Robert C. Adamski
Gary Coleman’s death is a lesson to us all
As reported in the press, Gary Coleman made a will while he was married giving his estate to his wife. He then reportedly divorced. What is the probable disposition of his estate? Most states, including Florida, provide that a divorce voids any any provision in a will for a former spouse, who is treated as if he or she died at the time of the divorce. If a person wishes to provide for a former spouse after divorce a person must make a new will. In Gary Coleman’s case his estranged parents will inherit his estate. Because Gary and his parents were estranged the end result is probably something that Gary would not desire. What if Gary Coleman had made a trust which made gifts to his spouse? Would those gifts be void if they divorced? Yes, the Florida Trust Code provides that any provision in a trust for a former spouse is voided by a divorce, and that the former spouse is treated as if he or she died at the time of the divorce. What is the lesson here? Keep up with your estate planning documents as changes occur in your life. Read More→
Robert C Adamski
“Who Wants to Steal Your Inheritance and How to Protect Yourself and Your Family”
Attorney Robert Adamski Helps YOU and Your Family Avoid “Inheritance Hijackers”
Michael Jackson’s untimely death resulted in a slew of questions: Who is in charge of his estate? Which family member gets what? What happens to all of his assets?
We might not all have the assets and the issues that Michael Jackson had, but attorney Robert Adamski maintains that to our loved ones, what happens to our estate is equally important. We all hope that our loved ones will be taken care of after we’re gone, but how can we be sure that someone won’t take what doesn’t belong to them? And if we’ve been gifted an inheritance, how can we make sure that we receive what our loved ones intended?
Making Tax-friendly Investments for Stress-free Retirement
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By Anna D. Banks, GCDF
Nothing in life is permanent. Everything is transient. That is why we must be secured, especially in financial terms, in case things go out of control. We must be always prepared for the future and that is why good retirement financial planning is most practical for a safe and secured future. Financial planning is very crucial like life planning and it requires lot of calculative and methodical moves, like choosing a home involves lots of tax factors like state and local taxes. Retirees should carefully study the tax matters before formulating the retirement financial strategies.
Retirees who wish to continue with their work during their golden years should be aware that the state taxation income varies widely for them and some states support their earned income and provide them extra privileges. Some states consider the retirees income like everyone else’s and some impose tax on all the earned income. Sometimes the taxation amount varies a lot between states. Retirees shifting to new domicile should watch out for the municipal income taxes.
Income from military, government, private pension and other retirement plans are increasingly important sources of income for some retirees. Some states exempt incomes generated from such sources, while some exempt only selected ones. Some place taxable limits on such sources. Some states even tax former residents on retirement plan withdrawals and create a possibility of tax in two states. Some states strictly adhere to the federal tax formulas under the social security benefits and others follow their own specified formulas, while some don’t provide any reimbursements at all.
Retirees should also consider the sales and property taxes, as some states offer tax deductions on properties purchased by retired seniors while others provide homestead benefits. Retired seniors should also study the tax exemptions provided on clothing, food, drugs and household goods. US tax code generally deems the retirement age and sometimes you might face the ugly tax brunt while tapping tax favored retirement benefits. It is very complex to avoid federal income tax, but it is possible to avoid the 10% penalty provided you plan way ahead.
Opt for the IRA withdrawals
If you use the Roth IRA withdrawals then when you withdraw your contributions, they are federal income tax free and penalty free, but sometimes this could be tricky if the source of income is from the following three sources:
• Money from annual tax contribution
• Money generated by converting tradition IRA into Roth IRA
• Earnings accumulated from your contribution
Tax deductions apply to only the first two sources and withdrawal before the retirement age from the third source is usually subjected to income tax.
Advantage of penalty free exemptions
If you have not opted for Roth IRA than the best option would be to opt for income tax withdrawal. Whenever you withdraw, you would owe some amount to the income tax. If you wish to break the rules, then switch to qualified retirement exemptions like 401(k).
Annuitize the Account
This is normally the surest and safest technique to legitimize for a penalty-free retirement account withdrawal, before the retirement age of 59 years and 6 months.
© 2008 Anna D. Banks, GCDF
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Author’s Note:
Do you have any questions about career development or lifestyle changes for Baby Boomers, which you think others, like you, would want to know the answers? Email your questions to me at Anna@AnnaBanks.com.