Authored by: Scott Flowers, LPL Wealth Advisor

Ben Leyhew, MBA, Wealth Advisor

Many people ask if they should start taking social security as soon as they are eligible or wait.

Although many people claim social security as soon as they become eligible, at age 62, the benefits of waiting to apply for benefits cannot be underestimated. Consider it this way:  If you claim early, age 62, your benefit is reduced by 25% for your lifetime.  but if you wait until age 70, you’ll get a 32% increase in your benefit.  You should consider holding off claiming social security retirement benefits, regardless of whether or not you continue to work, until you actually need them.  The longer you wait, up until age 70, the greater your monthly benefit amount.  However, if you need the income, then you should take it when eleigible.

written by:  Ben Leyhew, MBA, Wealth Advisor, Financial Services & Solutions

The answer is an emphatic, NO! Consider the old adage, better late than never.  People are living longer than ever before, which could mean more years in retirement.  Starting to save for retirement later will almost certainly have an effect on a person’s retirement.  If you are starting late, you should consider all the  retirement savings vehicles that are available to you.  Company retirement plans, Roth and Traditional IRAs, as well as retirement plans for self employed individuals can help.  Consult with a financial planner who can show you the options that could help make your retirement a more comfortable one.

Submitted by Jeff Brown, CPA, CFP

Applying for life insurance when young and healthy is a great way to help secure the financial future for your family.  Don’t wait until you have children to start looking for life insurance.  With health and age greatly affecting life insurance rates you want to take advantage of lower premiums.  Make sure you apply for an amount that adequately covers all of your debts, and allows your family several years to adjust to your lost income.  Also be mindful that your income will increase in the future.  Homemakers need coverage to help pay for the rising cost of child care.  Contact your financial professional today to learn how much life insurance your family needs.

Submitted by Scott Flowers, Wealth Advisor

People want to know — “Should I open an ESA or a 529 plan for my child?”

If the money is only for K-12 schools then an Education Savings Account (ESA) makes sense.  With a $2,000 annual contribution limit, distributions are tax-free if they are “qualified education expenses”.  These include:  tuition, books, room, board, etc.  However, certain income limits might restrict parents from contributing to ESA’s.

If the money is for college or post secondary education then a 529 plan may be a suitable option.  With lifetime contribution limits up to $250,000 per child, and distributions tax-free for qualified expenses there is a lot of flexibility.  Contact your financial professional today to explore the best options for your family.

To find out more about college planning, use our college planning calculator located on our Investment Tools page of our website.  This is an easy way to determine how much money you may need to be saving for the future.

Submitted by Scott Flowers, Wealth Advisor

Make sure you apply for adequate coverage, and that you get the best rate available for your occupation.  Some occupations allow for longer payout periods than others so it is important that you review your options.  Adding an “own occupation” rider is a great way to protect a loss of income from your specific job.  Another benefit is the cost of living adjustment (COLA) rider, which raises your benefit with inflation.  Make certain that the policy pays for partial disability as well.  The future option benefit allows for you to increase your coverage on the each anniversary date of the policy.  Contact your financial professional today and see if a disability policy makes sense for you.

submitted by Scott Flowers, Wealth Advisor, FSS

Authored by Ben Leyhew bleyhew@fssplanning.com

http://www.fssplanning.com/about-3/bios/

This is a common issue; one that needs to be reviewed periodically.  Some company plans require that spouses be beneficiary of company retirement plans.  There are times that you might want to designate children, or your estate as beneficiary of retirement plans.  A financial planner can help you determine the beneficiary designation that most fits your individual situation.  The proper beneficiary designation will allow your assets to pass as you intended.

Author:  Jeff Brown, CPA, CFP