FSSPlanning

Should I consider investing in an annuity?

admin — Tue, 07 Feb 2012 22:33:47 +0000

Annuities are financial products that generally provide a regular stream of income. Some annuities pay a fixed amount of interest. Others are attached to a “market index”, such as the S & P 500. You want to make sure that you understand the costs associated with the annuity contract and any period your funds will be restricted (called a surrender period). Be sure to review the investment options within the contract. Also important is to consider the way you access the funds – how do I get my money out? Can I get it out in a lump sum if I want to? Or do I have to access the funds in a series of payments over a period of years. Give us a call and let us help you determine if an annuity would benefit you.

Authored by: Jeffrey O. Brown, CPA, CFP and LPL Registered Principal

How much should I be saving for retirement?

admin — Wed, 01 Feb 2012 22:12:30 +0000

The answer is easy – save as much as you can for retirement. Most “experts” suggest that families save 10% to 15% of their income for retirement. However, many families aren’t doing that. Here are some practical suggestions. You need to make sure you take advantage of all employer retirement plans that offer a matching contribution. If a company retirement plan is unavailable to you, you could consider contributing to a Traditional IRA, Roth IRA, or SEP IRA. In addition, if you own a business, there may be ways that you can save for retirement and gain some tax benefits. Give us a call. We can help you sort out the retirement options and help you choose the best alternative for you and your family.

Written by: Jeffrey O. Brown, CPA, CFP and LPL Registered Principal

When I invest what do I need to consider?

admin — Tue, 24 Jan 2012 17:18:08 +0000

Generally, investing involves three major questions – first, what are my objectives (retirement, specific purchase, college funding, etc.)? Next, how long will the funds be invested (for 2 years, 5 years, until retirement?)? Finally, you need to assess your risk tolerance? Am I very aggressive, very conservative, or somewhere in the middle? The first two questions are easy to answer; assessing your risk tolerance can be a bit more challenging. We have tools to help you assess your risk tolerance. Give us a call and we can start the conversation about these questions and get your funds to work.

Written by: Jeffrey O. Brown, CPA, CFP, LPL Registered Principal

What is the easiest Retirement plan to set up for a small business?

admin — Tue, 24 Jan 2012 17:13:13 +0000

A SIMPLE IRA might be the best plan for your business. They cost much less than 401k plans, and don’t have the same annual testing requirements that 401k’s do. The employer is required to match dollar for dollar of the employee’s contribution up to 3%. Or the employer can contribute 2% of the employee’s non-elective compensation up to $245,000 in 2011 ($250,000 in 2012). Company retirement plans can substantially lower your tax liability, improve employee retention, and go a long way to ensure that you and your employees have a secure retirement. Contact me today to discuss if a company retirement plan makes sense for your business.

Written by: Scott Flowers, LPL Wealth Advisor

What should my 2012 New Year’s financial checklist consist of?

admin — Tue, 24 Jan 2012 17:06:06 +0000

The New Year is a great time to look at your financial affairs. With new additions to the family, more income, and more liabilities; trusts, wills, and life insurance should be the first items to update. Revise company retirement plan contributions to coincide with increased pay. Make room in your budget for affordable contributions to your IRA and HSA accounts. Evaluate education accounts for your children to make sure you are making adequate contributions. With low paying CD’s explore other options that may pay tax free income or substantially more income. With all that can happen in life in a year, make sure your investments are properly allocated to meet your goals and objectives. Contact me today to make sure financial matters are taken care of.

Authored by: Scott Flowers, LPL Wealth Advisor

What should my 2011 end of year investment checklist consist of?

admin — Tue, 17 Jan 2012 21:01:52 +0000

Contribute up to your company match into your company retirement plan. Then make sure you have added all you can into your IRA. If you have a health savings account (HSA) make sure you take advantage of the pre-tax contribution limit for your family. Make certain your children’s education accounts have been funded. For individuals 70 ½ and older make sure you are taking your required minimum distributions (RMD). The end of the year is also a great time to make sure that your investments are allocated properly for your goals and objectives. Contact me today to make sure your investments match your goals and objectives.

Written by: Scott Flowers, LPL Wealth Advisor

I have a child with special needs. How do I plan for their future?

admin — Tue, 08 Nov 2011 21:47:57 +0000

Parents who have children with special needs face a host of challenges. One of the biggest is how to plan for their child’s needs once the parents are gone. Some families have sufficient resources to make this planning easy. However, most families need to engage in some type of significant planning. Educational, living, and housing expenses are just the start. Many parents avoid the planning because they don’t think there is a reasonable way to provide for their special needs child. Give us a call today and we can help you determine the best way to provide for those you love.

Authored by: Jeffrey O. Brown, Registered Principal, CPA, CFP

How do I care for everyone in my non-traditional family?

admin — Tue, 08 Nov 2011 21:40:52 +0000

In today’s world, non-traditional and blended families are becoming more and more prevalent. Financial planning for these groups can be complicated especially when you look beyond the “numbers”. ‘Who gets what’ and “how do I make sure everyone is included’ are common questions. It might be a good idea to talk with a financial planner who can guide you through the process and ask the important questions. Give us a call today and we’ll help you start the conversation.

Written by: Jeffrey O. Brown, Registered Principal, CPA, CFP

Real rate of return on CD’s?

admin — Mon, 10 Oct 2011 15:24:48 +0000

Scott Flowers, Wealth Advisor

What is the real rate of return on my CD’s?

You are likely to have a negative real rate of return. With one year CD rates well below 1% there is no chance of maintaining your buying power let alone making money. Inflation over the last 12 months from August was 3.8% according to the Dept. of Labor Consumer Price Index (CPI). Add taxes the small amount the CD does pay you and you have a negative real rate of return. There are alternatives to CD’s not FDIC insured that pay a much higher dividend while still protecting your principal. Contact me today to learn how you can make more money on your principal.

*CD’s are FDIC insured and offer a fixed rate of return if held to maturity; whereas both the principal and yield of investment securities will fluctuate with changes in market conditions.

Written by: Scott Flowers, Wealth Advisor

Should I rollover my retirement plan into an IRA?

admin — Thu, 06 Oct 2011 20:26:08 +0000

What is the advantage to rolling my retirement plan with work into an IRA?

Flexibility is going to be the major advantage to an IRA. Rolling your qualified retirement plan into a traditional IRA is a non-taxable event, and like a 401k, 457, etc. a traditional IRA is tax deferred vehicle. Unlike company sponsored retirement plans that usually limit you to a certain amount of stocks and mutual funds, you can diversify your portfolio with all of the equities and retirement products that the market has to offer inside of an IRA. Rolling over a company retirement plan is also a great time to consolidate other retirement plans from previous employers. Contact me today to help you with your rollover.

Written by: Scott Flowers, Wealth Advisor