Social Security benefits can begin as early as age 62, and if taken early will result in a permanent reduction in your benefit amount (up to 30%). Social Security benefits can also be delayed up to age...
Read MoreSeek professional guidance to gain an understanding of how this could affect your taxes in the year you inherit it and possibly beyond. There may be inheritance taxes. If you inherit a retirement account...
Read MoreProbate is a legal process of distributing your assets (your estate) after you die. There is no requirement that a will or property go through probate, but if the property isn’t titled or arranged specifically to...
Read MoreWhen you turn 70 ½, you must begin taking annual RMDs from your IRA and 401(k) accounts. And therefore, paying taxes on the dollars you have previously put into your account pre-tax. However...
Read MoreIn certain cases, yes. See question above for one of those times. However, if you want a specific person or charity to receive your IRA, name them directly. This eliminates the complication or legal issues...
Read MoreGenerally speaking, we prefer if you name a beneficiary over 18, so if your children are adults, then yes. However, minors who receive an inheritance must go through legal steps to have a guardian assigned...
Read MoreDo your best not to! Because… If you are under 59 ½ and withdraw money from your IRA, you will pay taxes and a 10% penalty on the amount you take out. There are some circumstances when the penalty...
Read MoreYou can’t take a loan, but the IRS will allow you to do what is called a 60 day rollover. In essence, you take a tax free distribution from your IRA and you must pay it back within 60 days. They are strict...
Read MoreA good rule of thumb is that you can plan on withdrawing 3-5% of your account value each year. For example, if you have $2 million saved for retirement, you might be able to withdraw $60,000-$100,000...
Read MoreWhen you have enough money saved to live on for the rest of your life. Many people set the age goal at 65 so that they can begin Medicare and not have to worry about private health insurance...
Read MoreWork longer, save more, spend less in retirement, take on more risk
Read MoreYes, up to 85% of Social Security benefits can be taxable. It depends on your filing status and Adjusted Gross Income. For example, if you are married and filing a joint return, and your income is over...
Read MoreThere are several ways to improve your credit score, including: ;ower your credit card debt, keep your revolving debt below your maximum credit line, make all payments on time,make sure your credit...
Read MoreYou can pay the qualified expenses and then contact the 529 plan and withdraw that amount and reimburse yourself. You must withdraw that amount in the same calendar year that you paid the...
Read MoreThe average cost of tuition and fees ranges between $35,000-$45,000 PER YEAR. If one child goes to college for 4 years that is between $140,000 and $180,000 - which could buy them a house! If you...
Read MoreAt a minimum, for an employed individual, use 10x earnings - so if you make $100,000 per year, the minimum amount of insurance you should have is $1Million. Don’t include or deduct your group life...
Read MoreYou should take into consideration the interest rate, payment amount and type of debt you have. However, you also don’t want to forget to consider tax incentives on your retirement contributions...
Read MoreYou can change the beneficiary on a 529 account once per year. You can make that beneficiary yourself, your spouse, or another family member. If your child doesn’t go to college, you can withdraw all...
Read MoreThe death of a child is every parent’s worst nightmare. It’s incredibly difficult to think about. If your child is under 17, consider adding a child rider to your life insurance policy to cover burial costs and lost...
Read MoreExample of someone who should convert: You purchased a 20 year term policy and now you are 17 years into the policy (3 years of coverage left) and you just found out that you are pregnant and have...
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