Retirement Income Center: Recent Episodes
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Retirement income planning is a complex and dynamic process that is different from traditional retirement planning, which focuses on the accumulation of wealth. There are many moving parts that must be prioritized long before you retire and monitored carefully to ensure the fulfillment of your retirement vision. Our goal is to make your life easier and enable you to retire, and remain retired, with minimal worries. At Retirement Income Center, we are your true partner in planning, managing, and protecting your retirement income. Visit us online at www.retirementincomecenter.com.
Bob Klein’s article, Doubling the Residential Exclusion is a Win-Win was published in The Street’s Retirement Daily. Since 1998, you can sell your home and exclude gain from your income of up to $250,000 (single filing) and up to $500,000 (married filing joint). But with inflation, shouldn’t that excludable amount be increased? Here’s an idea […] The post Bob Klein’s “Doubling the Residential Exclusion Amount is a Win-Win” Published in Retirement Daily appeared first on Retirement Income Center.
Bob Klein explains how a fixed index annuity works and how it can help you manage downside risk. The post Indexing Strategies to Eliminate Stock Market Risk appeared first on Retirement Income Center.
Bob Klein’s article, Don’t Assume Your Financial Adviser Does Tax Planning was published in The Street’s Retirement Daily. Work with an adviser who, in addition to your investments, will help you with Social Security, Medicare, estate planning, insurance, and long-term care…and tax planning! The post Bob Klein’s “Don’t Assume Your Financial Advisor Does Tax Planning” Published in Retirement Daily appeared first on Retirement Income Center.
A home equity conversion mortgage, or HECM reverse mortgage, can be used to manage and mitigate the sequence of returns risk. The post Insure Sequence of Returns Risk with a HECM Mortgage appeared first on Retirement Income Center.
Bob Klein’s article, Three Ways to Minimize Required Minimum Distributions, was published in The Street’s Retirement Daily. Short of not making contributions to a qualified retirement plan, there are three ways to minimize required minimum distributions. The post Bob Klein’s “Three Ways to Minimize Required Minimum Distributions” Published in Retirement Daily appeared first on Retirement Income Center.
There are six proven strategies for optimizing after-tax retirement income that can increase the longevity of one’s assets in retirement. The post 6 Proven Retirement Income Planning Strategies Beginning at Age 62 appeared first on Retirement Income Center.
Five financial metrics can be used to analyze the pros and cons of unlocking home equity as part of a retirement income plan. The post 5 Key Financial Metrics When Evaluating a HECM Reverse Mortgage appeared first on Retirement Income Center.
Bob Klein’s article, Indexing Strategies to Eliminate Stock Market Risk, was published in The Street’s Retirement Daily. Bob Klein explains how a fixed index annuity works and how it can help you manage downside risk. The post Bob Klein’s “Indexing Strategies to Eliminate Stock Market Risk” Published in Retirement Daily appeared first on Retirement Income Center.
Shain Urwin, retirement mortgage specialist with Fairway Independent Mortgage, joins Bob Klein to discuss the new HECM lending limit and other timely planning issues and strategies related to HECM mortgages in FINANCIALLY InKLEIN’d™‘s new video, Exploring the NEW HECM Lending Limit with Shain Urwin! The post “Exploring the NEW HECM Lending Limit with Shain Urwin!” Published on YouTube appeared first on Retirement Income Center.
Bob Klein’s article, Insure Sequence of Returns Risk with a HECM Mortgage was published in The Street’s Retirement Daily. A home equity conversion mortgage (HECM), better known as a reverse mortgage, can be used to manage and mitigate sequence of returns risk. The post Bob Klein’s “Insure Sequence of Returns Risk with a HECM Mortgage” Published in Retirement Daily appeared first on Retirement Income Center.
David Blanchett and Michael Finke's research found that annuities may give retirees a psychological “license to spend” their savings in retirement. The post How to Enjoy a Guilt-Free Retirement appeared first on Retirement Income Center.
FINANCIALLY InKLEIN’d™‘s first video, Welcome to FINANCIALLY InKLEIN’d™!, has been published. Welcome to FINANCIALLY InKLEIN’d™! introduces FINANCIALLY InKLEIN’d™ and Bob Klein, the channel’s creator. The video encourages pre-retirees and retirees who want to learn how to plan for the decumulation stage of retirement and increase the longevity of their assets to subscribe to FINANCIALLY InKLEIN’d™. The post Welcome to FINANCIALLY InKLEIN’d™! Published appeared first on Retirement Income Center.
Retirement Income Center’s YouTube channel has been rebranded to FiNANCIALLY InKLEIN’d™. FINANCIALLY InKLEIN’d™‘s motto is “Optimizing Your Retirement Income.” Bob Klein created FINANCIALLY InKLEIN’d™ to help pre-retirees and retirees, alike, plan for and experience a less stressful and more financially rewarding retirement. The purpose of FINANCIALLY InKLEIN’d is to educate its audience about innovative strategies […] The post YouTube Channel Rebranded to FINANCIALLY InKLEIN’d™ appeared first on Retirement Income Center.
Bob Klein’s article, 6 Proven Retirement Income Planning Strategies Beginning at Age 62 was published in The Street’s Retirement Daily. Beginning at age 62, it’s important to develop strategies for creating after-tax retirement income to optimize the longevity of your assets for the rest of your life. The post Bob Klein’s “6 Proven Retirement Income Planning Strategies Beginning at Age 62” Published in Retirement Daily appeared first on Retirement Income Center.
Bob Klein was interviewed by Reverse Mortgage Daily to discuss how reverse mortgage professionals can partner and network with financial advisors in a recent article, Financial Planner Shares Advice to Reverse Mortgage Pros on Gaining Referrals. The post Reverse Mortgage Daily Interviews Bob Klein to Help Reverse Mortgage Professionals Network with Financial Advisors appeared first on Retirement Income Center.
Reverse Mortgage Daily featured a conversation between RMD editor Chris Clow and Bob Klein in its most recent edition of The RMD Podcast. In the conversation, Clow and Klein discuss the state of reverse mortgage product education to borrowers and professionals, the reticence many financial planners have about discussing reverse mortgages with clients, and advice to […] The post Reverse Mortgage Daily Features Bob Klein in Podcast appeared first on Retirement Income Center.
Bob Klein’s article, 5 Key Financial Metrics When Evaluating a HECM Reverse Mortgage, was published in The Street’s Retirement Daily. There are five key financial metrics that should be analyzed individually and collectively when considering a HECM. The post Bob Klein’s “5 Key Financial Metrics When Evaluating a HECM Reverse Mortgage” Published in Retirement Daily appeared first on Retirement Income Center.
One retirement income strategy that will be virtually unscathed by President Biden's proposed tax increase is longevity insurance, more commonly known as fixed-income annuities. The post Nonqualified Fixed Income Annuities: A Timeless Tax and Retirement Income Planning Opportunity appeared first on Retirement Income Center.
Bob Klein’s article, How to Enjoy a Guilt-Free Retirement, was published in The Street’s Retirement Daily. Fixed income annuities could be the key to limiting your financial guilt in retirement. The post Bob Klein’s “How to Enjoy a Guilt-Free Retirement” Published in Retirement Daily appeared first on Retirement Income Center.
Savvy business owners planning to sell their business can reduce or eliminate income tax liability from capital gains by using a long-standing IRS-blessed strategy called a charitable remainder trust, or CRT. The post Reduce Capital Gains Tax on the Sale of Your Business appeared first on Retirement Income Center.
It's a great time to purchase or add funds to fixed income annuities as part of an overall retirement income plan given the continued escalating stock market highs. The post Take Some Chips Off the Table and Add Them to Older Income FIAs appeared first on Retirement Income Center.
If you didn't take distributions from your retirement plan and IRA accounts in 2020, you may be surprised by your 2021 RMD. Adviser Robert Klein explains how changes to the rules in 2020 will impact you in 2021 and beyond. The post RMDs Required Again in 2021 appeared first on Retirement Income Center.
Six stealth taxes can increase your income tax liability and reduce your lifetime after-tax retirement income. Planning for each of them should begin long before and continue throughout retirement. The post Six Stealth Taxes That Can Derail Your Retirement appeared first on Retirement Income Center.
This article was originally published in, and has been reprinted with permission from, Retirement Daily. Distributions from a traditional 401(k) plan are generally taxable as ordinary income at your regular income tax rates. This includes pre-tax contributions plus earnings. If your traditional 401(k) plan is rolled over to a traditional IRA, the same rule applies […] The post Carve Out Your 401(k) Company Stock for Favorable NUA Tax Treatment appeared first on Retirement Income Center.
Bob Klein's article, Keep Your Eye on QBI Before You Rothify, was published in The Street's Retirement Daily. A Roth conversion often makes sense but there are times when reduced income tax savings can offset the potential long-term benefits of large conversion amounts.. The post Bob Klein’s “Carve Out Your 401(k) Company Stock for Favorable NUA Tax Treatment” Published in Retirement Daily appeared first on Retirement Income Center.
A Roth conversion often makes sense but there are times when reduced income tax savings can offset the potential long-term benefits of large conversion amounts.. The post Keep Your Eye on QBI Before You Rothify appeared first on Retirement Income Center.
Planning the timing of your Roth IRA conversion carefully cannot only reduce taxable inome but manage Mediare premiums. The post Should You Do a Roth IRA Conversion After Age 62? appeared first on Retirement Income Center.
Bob Klein's article, Keep Your Eye on QBI Before You Rothify, was published in The Street's Retirement Daily. A Roth conversion often makes sense but there are times when reduced income tax savings can offset the potential long-term benefits of large conversion amounts.. The post Bob Klein’s “Keep Your Eye on QBI Before You Rothify” Published in Retirement Daily appeared first on Retirement Income Center.
Bob Klein completed his semiannual training with America’s IRA Experts at Ed Slott and Company, LLC by participating in a virtual workshop November 5th to November 6th. The online workshop, which was attended by members of Ed Slott’s Elite IRA Advisor Group, provided in-depth technical training on advanced retirement account planning strategies, estate planning techniques […] The post Bob Klein Completes Ed Slott and Company, LLC Advanced Virtual Training appeared first on Retirement Income Center.
There are two strategies you can use to avoid the 10% premature distribution penalty: Coronavirus-Related Distributions and 72(t). The post Don’t Qualify for Cornavirus-Related Distributions? There’s Always 72(t) appeared first on Retirement Income Center.
This article was originally published in, and has been reprinted with permission from, Retirement Daily. When you die, you want to make sure that your assets are distributed to your intended beneficiaries. The transfer of retirement plans at death is controlled by beneficiary forms associated with individual plans. Beneficiary forms supersede all other estate planning documents. Directly […] The post 5 Retirement Plan Beneficiary Mistakes to Avoid appeared first on Retirement Income Center.
Winning at the 401(k) game requires strategic play focused on the objective of maximizing lifetime after-tax distributions. The post Winning at the 401(k) Game appeared first on Retirement Income Center.
Bob Klein’s article, How to Maximize Your Lifetime After-Tax Income With Your 401(k), was published in The Street’s Retirement Daily. Winning at the 401(k) game requires strategic play focused on the objective of maximizing lifetime after-tax distributions. The post Bob Klein’s “How to Maximize Your Lifetime After-Tax Income With Your 401(k)” Published in Retirement Daily appeared first on Retirement Income Center.
While they aren't for everybody, reverse mortgages are no longer a program of last resort. A Home Equity Conversion Mortgage, or HECM, can increase retirement spending and provide for a larger legacy when used strategically throughout retirement. The post Not Your Father’s Reverse Mortgage appeared first on Retirement Income Center.
Bob Klein will write articles for The Street’s Retirement Daily. Bob’s articles will appear in the “Planning for & Living in Retirement” section. Retirement Daily is edited by Robert Powell, CFP®. It is a daily newsletter about all things retirement. The post Bob Klein to Write for The Street’s Retirement Daily appeared first on Retirement Income Center.
If you are the beneficiary of a retirement or IRA account that you inherited after 2019, you need to familiarize yourself with the new SECURE Act rules to determine the applicable time frame for taking distributions in order to avoid potential sizable penalties. The post You Have 10 Years to Empty Your Beneficiary IRAs If You Aren’t an EDB appeared first on Retirement Income Center.
Annuity.org has been providing visitors with carefully researched, timely information about annuities and structured settlements for nearly a decade. This free, comprehensive web resource offers professional insight from experienced financial experts on a variety of financial topics to help you make smart decisions about your money. The post Annuity.org appeared first on Retirement Income Center.
Bob Klein and Harris Scher, Vice President of Strategic Partnerships with Everplans, presented a webinar to Retirement Income Center’s retirement planning clients to introduce them to Everplans. Everplans is a simple, secure digital tool that guides you step-by-step through the creation of a complete end-of-life plan that can be shared with loved ones. Retirement Income […] The post Retirement Income Center Introduces Everplans to Retirement Planning Clients appeared first on Retirement Income Center.
Many individuals are unaware of one of the most overlooked Social Security strategies to enhance their lifetime benefits. The post Don’t Leave 50% of Your Spouse or Ex-Spouse’s Social Security Benefits on the Table appeared first on Retirement Income Center.
Nothing is immune from the far-reaching tentacles of the coronavirus pandemic. One of the problems that can occur when a loved one passes has been exacerbated. The good news is that it can be avoided with proper planning. The post Coronavirus Provides New Impetus for Probate Avoidance Planning appeared first on Retirement Income Center.
Although you can rollover, or return, your 2020 IRA and other retirement plan February 1st to May 15th distributions as a result of the 2020 waiver of RMDs, there's another strategy that you can use to reduce future years' income tax liability and optimize lifetime after-tax distributions for you and your heirs. The post Contribute Your 2020 RMD to a Roth IRA appeared first on Retirement Income Center.
Use the CARES Act waiver of 2020 required minimum distributions as an opportunity to optimize your retirement income plan. The post 2020 Required Minimum Distributions Waived appeared first on Retirement Income Center.
As a result of a series of three events, there’s an unprecedented opportunity to do a sizable Roth IRA conversion this year. The post The Roth IRA Conversion Trifecta appeared first on Retirement Income Center.
The stock market decline of almost 30% over the last month in response to the spreading Coronavirus, if sustained, could trigger legislation for retirement plan relief. This could potentially include suspension of required minimum distributions and changes to the SECURE Act that went into effect January 1st. The post Will Congress Suspend 2020 Required Minimum Distributions? appeared first on Retirement Income Center.
Bob Klein has been accepted as a member of Ed Slott’s Elite IRA Advisor Group℠. Members of this prestigious group train with Ed Slott and his team of IRA Experts on a continuous basis. These advisors passed a background check, complete requisite training, attend semiannual workshops, webinars, and complete manadatory exams. They are immediately notified […] The post Bob Klein Accepted as a Member of Ed Slott’s Elite IRA Advisor Group℠ appeared first on Retirement Income Center.
Here are five unique ideas that are designed to benefit you and your spouse over your lifetime. A word of caution: Brush up on your presentation skills since each one will likely be met with dead silence and/or outrage depending upon your spouse. The post 5 Lifetime Valentine’s Day Gifts for Your Spouse appeared first on Retirement Income Center.
Erroneous or outdated beneficiary designations can result in distribution of retirement plan assets, life insurance policies, and annuity contracts to unintended beneficiaries, unfavorable income tax consequences, and expensive and protracted litigation in some cases. The post Avoid Unintended Consequences for You and Your Family appeared first on Retirement Income Center.
Bob Klein discussed Roth IRA conversions for the RICP® program at The American College of Financial Services in King of Prussia, Pennsylvania on November 11th and 12th. Bob teamed up with Dave Littell and Colin Slabach, two of the program’s professors, in the College’s studio to record educational videos for students. The post Bob Klein Discusses Roth IRA Conversions at The American College of Financial Services appeared first on Retirement Income Center.
One underutilized strategy for optimizing the longevity of assets when planning for retirement is a staged, or multi-year, Roth IRA conversion plan. There are seven reasons to start this type of plan today. The post 7 Reasons to Start a Staged Roth IRA Conversion Plan Today appeared first on Retirement Income Center.
A surviving spouse who has the same, or even less, income will often be subject to higher federal, and potentially, state, income tax liability. The post Is Your Widow(er) Included in Your Income Tax Plan? appeared first on Retirement Income Center.
The Association for Long Term Care Planning provides the latest reviews and ratings of insurers and has a list of shopping tips when buying a long-term care policy that can help consumers make a well-informed decision. The post Association for Long Term Care Planning (ALTCP) appeared first on Retirement Income Center.
When presented in the context of retirement income planning, fixed income annuities have proven to be the most appropriate and natural commercial solution for providing sustainable lifetime income. The post Uneasy About the “A” Word? You’re Not Alone appeared first on Retirement Income Center.
Lower tax rates under the new income tax law, combined with the likelihood of higher tax rates in the future, support a Roth solo 401(k) contribution strategy. The post Roth Solo 401(k) Makes More Sense Than Ever appeared first on Retirement Income Center.
Lane Martinsen’s The Holistic Retirement Planning Revolution, forward by Bob Klein, is now available on Amazon and Barnes & Noble. The post Lane Martinsen’s The Holistic Retirement Planning Revolution Published appeared first on Retirement Income Center.
The Tax Cuts and Jobs Act of 2017 contains numerous changes that affect income tax planning and preparation for 2018 through 2025 after which most of the provisions expire. Two of the more significant changes are a reduction in the amount of principal on which residential mortgage interest can be deducted and the elimination of […] The post The Interest Deduction is Dying a Slow Death appeared first on Retirement Income Center.
There are five deductions available to self-employed individuals, including a brand new one in 2018, that can result in substantial income tax savings. The post 5 Self-Employed Income Tax Deductions You Don’t Want to Miss appeared first on Retirement Income Center.
When you buy a house, typical financing is a mortgage equal to 80% of the purchase price. This enables you to purchase a much more expensive home than you would otherwise be able to do without the mortgage. The goal is to increase your equity in the property over time through a combination of paying down the mortgage and appreciation. The post Leverage Your Assets for Retirement appeared first on Retirement Income Center.
Some nerves were recently rattled when the Dow Jones Industrial Average (DJIA) declined 2,052 points, or 7.6%, in six trading sessions, going from a high of 26,952 on October 3rd to a low of 24,900 on October 11th. The loss increased to 2,830 points, or 10.5%, when the DJIA hit a low of 24,122 yesterday […] The post Retain Your Gains with Fixed Index Annuities appeared first on Retirement Income Center.
Retirement Income Center’s podcast was recently named one of the eight best retirement income podcasts on PlayerFM. The post Retirement Income Center Named 1 of 8 Best Retirement Income Podcasts appeared first on Retirement Income Center.
Anyone who wants to avoid tax and receive tax-favored lifetime income on the sale of an unencumbered rental property is a potential candidate for a charitable remainder trust, or CRT. The post How to Avoid Tax and Receive Tax-Favored Lifetime Income on the Sale of a Rental Property appeared first on Retirement Income Center.
The process I use to assist clients with preparing for the financial and personal challenges associated with retirement extends well beyond simply recommending investments. It's about them. The post Which Investments Do You Recommend? appeared first on Retirement Income Center.
Linked benefit plans offer an attractive alternative to standalone long term care insurance assuming that a commitment is made to pay the required premiums and not exercise the return of premium feature. The post Linked Benefit Plans Offer Attractive Alternative to Long Term Care Insurance appeared first on Retirement Income Center.
An important, although unplublicized, benefit of fixed income annuities is protection against elder fraud. The post Protect Against Elder Fraud with Fixed Income Annuities appeared first on Retirement Income Center.
While you may be financially prepared to retire, your ability to successfully transition from the workplace to retirement will be dependent upon planning for three important nonfinancial factors. The post Why Aren’t You Retired? appeared first on Retirement Income Center.
The Tax Cuts and Jobs Act, while controversial, especially in high state income tax states, will result in tax savings for most people. The post New Tax Law – The Mostly Good, the Bad, and the Ugly appeared first on Retirement Income Center.
Given the relatively small limit of nondeductible IRA contributions and complexity of calculating allowable contributions, tracking basis, and calculating the taxable portion of IRA distributions, are they worth the effort? The post Are Nondeductible IRA Contributions Worth It? appeared first on Retirement Income Center.
Making deductible retirement plan contributions and "recapture my deductions" beginning when you turn 70-1/2 may not be the best strategy for optimizing after-tax retirement plan distributions. The post RMDs: Recapture My Deductions – A Questionable Strategy appeared first on Retirement Income Center.
The alternative minimum tax, or AMT, dreaded by many taxpayers for years, has been given a long-overdue facelift by the Tax Cuts and Jobs Act, with an associated reduction in affected individuals from 5 million to 200,000. The post AMT Exposure Minimized Under New Tax Law appeared first on Retirement Income Center.
The new Tax Cuts and Jobs Act contains several provisions that partially, or completely, negate what appear at first blush to be potential tax savings. The post Tax Reform: Now You See It, Now You Don’t appeared first on Retirement Income Center.
If the Tax Cuts and Jobs Act as currently proposed is enacted, middle-income taxpayers who make charitable contributions based solely on tax savings may be less inclined to do so if the amount of their standard deduction is greater than their allowable itemized deductions. The post Charitable Giving Cut for Middle-Income Taxpayers in Tax Cuts and Jobs Act appeared first on Retirement Income Center.
A Tax Credit Longevity Annuity Plan, or TCLAP, would create tax-favored private pension plans while also providing for long-term care benefits. The post The Perfect Storm for a Tax Credit Longevity Annuity Plan appeared first on Retirement Income Center.
I recently did a Google search, “How much do I need to retire?” This is obviously a popular query since it returned 19,600,000 results. After scrolling past the ads, I began clicking on the responses. Excluding retirement calculators, here’s a summary of the top five answers: Yahoo Answers – Best Answer: $750,000 Fidelity: Save at […] The post Do You Have Enough After-Tax Income to Retire? appeared first on Retirement Income Center.
Although 401(k) and pension plans are retirement plans, only a pension plan is designed to provide a known monthly income stream which is generally payable for life. The post A 401(k) Plan Isn’t a Pension Plan appeared first on Retirement Income Center.
Investment in a volatility ETF is a market timing play that's unsuitable as an investment strategy for most individuals planning for retirement or who are already retired. The post Volatility ETFs are Too Volatile appeared first on Retirement Income Center.
If you rely on life expectancy as the basis for all of your retirement planning decisions, there's a 50% chance that you're projected to outlive your assets. The post Life Expectancy: Err on the Optimistic Side appeared first on Retirement Income Center.
Generally speaking, your retirement age shouldn’t be dictated by any single financial or nonfinancial variable. This includes your Social Security full retirement age which is but one cog in the ever-turning wheel of retirement planning. The post Should Your Retirement Age be Dictated by Your Social Security Full Retirement Age? appeared first on Retirement Income Center.
If you have a sustainable income need and it isn't immediate, one or more nonqualified deferred income annuities can provide a unique tax-favored solution. The post Are You Using This Tax-Favored Sustainable Income Strategy? appeared first on Retirement Income Center.
There are six deficiencies of 401(k) plans compared to defined benefit pension plans that transfer the retirement accumulation and retirement income planning responsibilities from employers to employees. The post 6 Deficiencies of 401(k) Plans appeared first on Retirement Income Center.
Now that the 2016 income tax filing season is behind us, we can focus on 2017 tax planning. Although the stock market is down about 3% from record highs, there are a lot of investors with significant unrealized capital gains in nonretirement investment accounts. The dilemma for these individuals is how to sell their appreciated […] The post Avoid Income Tax on Stock Sales with Donor Advised Funds appeared first on Retirement Income Center.
Fixed income annuities can be purchased in retirement plans to provide sustainable lifetime income that can better meet one's retirement needs than unpredictable and fluctuating required minimum distributions, or RMDs. The post Replace Unpredictable RMDs with Secure Lifetime Income appeared first on Retirement Income Center.
As my clients and those of you who have read my MarketWatch RetireMentors articles and Retirement Visions blog posts know, I’m a huge fan of Roth IRA conversions. One caveat: they must be timely. There are two types of timely Roth IRA conversions: Strategic Market-sensitive Strategic Roth IRA Conversion The goal of a strategic Roth […] The post Strategic Roth IRA Conversions Still Make Sense appeared first on Retirement Income Center.
I was recently looking at the results of one of the key word searches that I routinely perform, “retirement survey.” The first two, both of which are headlines of articles in widely-read publications, are as follows: Younger Americans are the Most Optimistic About Retirement, Study Shows Older Workers Feel on Track for Retirement. Are They? […] The post Read Between the Retirement Survey Headlines appeared first on Retirement Income Center.
The basic purpose of a retirement income plan is to develop tax-efficient strategies that are designed to provide predictable income streams to meet an individual’s or family’s financial needs during different stages of retirement. A comprehensive plan should also include provisions for addressing potential life-changing experiences. One such event that’s generally associated with the latter […] The post Is Cognitive Impairment Part of Your Retirement Income Plan? appeared first on Retirement Income Center.
With the Dow Jones Industrial Average (DJIA) crossing the elusive 20,000 barrier last Wednesday for the first time, a lot of people are excited about investing in the stock market. Never mind the fact that the DJIA has tripled in price from its low of 6,470 on March 6, 2009, increasing at a mind-boggling average […] The post Income-Proof Your Aggressive Portfolio appeared first on Retirement Income Center.
I’m not a big fan of rules of thumb when it comes to retirement income planning. The wage replacement ratio is no exception. Rationale for Wage Replacement Ratio What is the wage replacement ratio? It is the percentage of pre-retirement income needed in retirement. 70% to 80% is the general rule of thumb. As an […] The post Wage Replacement Ratio – Flawed Retirement Planning Tool appeared first on Retirement Income Center.
When you retire, how would you like to receive monthly income that provides the following eight advantages:? Lifetime payment Annual increase of 8% for each year that you wait to receive it up to 32% if you wait four years Potential annual cost of living adjustment (COLA) 15%, and possibly 50% or 100%, federal income tax […] The post Bulk Up Your Sustainable Lifetime Income appeared first on Retirement Income Center.
I recently came across the following comment by a reader of an article in an online publication discussing planning strategies that you can use to help you determine if you’re ready to retire: These points are fine. But I’m retired, and I know plenty (of) other retirees. Retirement planning is not all that difficult. Control […] The post Sometimes You Don’t Know What You Don’t Know Until It’s Too Late appeared first on Retirement Income Center.
Phil Collins, best known as the drummer and lead singer of Genesis after Peter Gabriel left the band in 1975, recently announced that his comeback tour, Not Dead Yet, will take place next summer. This follows the pop icon’s announcement a year ago in a Rolling Stone article that he was no longer retired after […] The post Get It Right the First Time – You Probably Won’t Be Able to Unretire Like Phil Collins appeared first on Retirement Income Center.
Elimination of income testing for traditional and Roth IRAs and creation of a universal 401(k)/IRA contribution limit is needed to enable all individuals who aren't participants in 401(k) plans to (a) contribute to an IRA of their choice and (b) accumulate a nest egg in a retirement plan comparable to what's possible with a 401(k). The post It’s Time for IRA – 401(k) Contribution Parity appeared first on Retirement Income Center.
We all need to create a long-term-care plan while we're fully coherent and have all of our faculties. The post Make sure you have a long-term-care plan in place before it’s too late appeared first on Retirement Income Center.
Social Security is a beautiful thing. What other lifetime fixed income annuity allows you to choose a starting age anywhere between 62 and 70, increases your lifetime income by 6% per year for each year that you defer your start date between 62 and full retirement age, or FRA, (66 to 67 depending upon year […] The post Optimize Retirement Cash Flow, Not Social Security appeared first on Retirement Income Center.
When you become a participant in a 401(k) plan that includes a Roth option, you face an interesting dilemma. In addition to deciding what percentage of your salary you would like to contribute to your plan, you need to let your plan administrator know how your contributions should be allocated between the plan’s traditional and […] The post How to put some muscle into your Roth 401(k) appeared first on Retirement Income Center.
With the Summer Olympics in Rio de Janeiro underway, sports are on my mind. There’s an unlevel playing field in the retirement planning world. Forgetting about defined benefit plans which are in a league of their own, 401(k) plans are the clear favorite for employees who want to save for retirement. 401(k) participants enjoy a […] The post The 401(k) Unlevel Playing Field appeared first on Retirement Income Center.
Single premium immediate annuities (SPIAs) and deferred income annuities (DIAs) are often used to provide sustainable lifetime income to replace a portion of employment income in retirement. Both are tax-favored when nonretirement funds are used to purchase them since a portion of each income payment is a nontaxable return of principal. The primary difference between […] The post Period Certain is Cheap Insurance on SPIAs and DIAs appeared first on Retirement Income Center.
When I’m sixty-four? –“When I’m Sixty-Four” by The Beatles (1967) Full Retirement Age (FRA), which is the age at which you’re entitled to receive 100% of your Social Security monthly retirement benefit, increased from 65 to 66 as a result of the 1983 Amendments. Now, FRA is being phased in to increase to 67 for […] The post Should the Social Security eligibility age be increased to 64? appeared first on Retirement Income Center.
The title of my most recent MarketWatch RetireMentors article that was published on June 6th is 5 Reasons to Include Sustainable Income in Your Retirement Plan. Reason #1 is hedge against longevity. Although sustainable, or predictable, income from Social Security, pensions, and fixed income annuities provide lifetime income that can build a solid floor for […] The post Hedge Against Longevity with a Roth IRA Strategy appeared first on Retirement Income Center.
Given the inherent complexity and unpredictable nature of retirement planning, it’s important that sustainable income is included in your plan. Merriam-Webster’s simple definition of sustainable is “able to last or continue for a long time.” Examples of sustainable income include Social Security, defined-benefit pension plans and fixed-income annuities. There are five basic reasons for including […] The post 5 reasons to include sustainable income in your retirement plan appeared first on Retirement Income Center.
I presented an overview of five types of unallowed income tax losses that must be carried forward to the following year in my MarketWatch RetireMentors article, 5 Carryovers to Remember When Doing 2016 Tax Planning that was published on May 4. This post will discuss one of them, passive losses, in more detail since the rules […] The post Leverage Your Rental Property Suspended Passive Losses appeared first on Retirement Income Center.
With the 2015 tax filing season in the rear-view mirror for most of us, it’s time to start thinking about 2016 income-tax planning if you haven’t done so already. The starting point for income-tax planning should always be your prior-year income-tax returns. In addition to giving you a baseline for your projected 2016 income, deductions, […] The post 5 carryovers to remember when doing 2016 tax planning appeared first on Retirement Income Center.
When I think about and evaluate insurance riders for my clients, I look at the potential value my client will receive from adding one or more of them to a particular insurance contract. Insurance riders are optional benefits that aren’t included in the basic policy that may be purchased at additional cost. A rider typically provides […] The post Income Rider is Everything When it Comes to FIAs appeared first on Retirement Income Center.
If you have a traditional IRA or a traditional 401(k) plan that can be rolled over into a traditional IRA, you’re sitting on a potential gold mine. You might ask yourself how this is possible given the fact that (a) you generally can’t take withdrawals from a traditional IRA before age 59-1/2 without a 10% […] The post Don’t Miss Your Roth IRA Conversion Opportunity appeared first on Retirement Income Center.
It’s that time of the year when a lot of people are sitting on pins and needles wondering if they’re going to owe money when they file their income tax returns. Others know they will receive a sizable refund because they receive one every year. What’s the right way? Should you minimize your income tax […] The post Does it matter whether you receive an income-tax refund? appeared first on Retirement Income Center.
I’m a big fan of 401(k) plans that allow Roth contributions, especially for employees who are in low income tax brackets. You can contribute up to $18,000 of after-tax salary in 2016 to a designated Roth account for 401(k) plans that allow such contributions. The limit is increased to $24,000 if you’re 50 and older. […] The post Escape the Roth 401(k) Trap appeared first on Retirement Income Center.
Life-insurance companies have historically been the go-to choice assuming that your goal is to receive a known and predictable amount of secure lifetime income. The product offered by life insurance companies that best meets this need is fixed income annuities. Annual lifetime income from an investment of $1 million Let’s look at an example to […] The post $1 million today or $100,000 a year for the rest of your life? appeared first on Retirement Income Center.
The overriding goal of retirement income planning is to generate sufficient after-tax, inflation-adjusted income streams to match projected expenses during different stages of retirement. Although this can be quite challenging due to all of the unknown variables, there’s one situation where it’s possible to match the timing of the income stream to the expense, and, […] The post Long-Term Care Insurance — Tax-Free Income When You Need It appeared first on Retirement Income Center.
Did your Medicare Part B premium increase 270% in 2016 from what you paid in 2015? Assuming that your health status hasn’t changed, how is that possible? What about the fact that there was no increase in Part B premiums for Social Security recipients since there was no cost-of- living increase for 2016 benefits? Medicare […] The post Did Your Medicare Part B Premium Increase 270% in 2016? appeared first on Retirement Income Center.
It has always been fascinating to me how income-tax laws motivate behavior. Take IRAs for example. Even though the contribution limit is only $5,500, or $6,500 if you’re 50 or older, traditional and Roth IRA contributions continue to be the go-to choice for many individuals planning for retirement. Limited tax savings with QLACs Although it’s […] The post Don’t limit your longevity protection to $125,000 appeared first on Retirement Income Center.
2015 was a successful year for Bob Klein and Retirement Income Center. In addition to servicing his clientele, Bob continued to distinguish himself as a leader in the retirement income planning field through his various activities. Bob began the year by attending the AICPA Advanced Personal Financial Planning Conference in Las Vegas in January. He also attended […] The post 2015 Was a Successful Year appeared first on Retirement Income Center.
One of the questions that I’m often asked is, “How much do I need to save for retirement?” That’s a great question, however, a better one is, “How much should I save for retirement in tax-friendly vs. taxable investment accounts?” Although neither question can be answered with a simple rule of thumb, the second one […] The post Take steps to make your retirement nest egg tax friendly appeared first on Retirement Income Center.
Even if you're not covered by a retirement plan, deductibility of your IRA contribution is at risk if your spouse has a retirement plan and your income is too high. The post Deductibility of Your IRA Contribution Endangered by Your Spouse’s Retirement Plan appeared first on Retirement Income Center.
You’re having a banner year at work and you want to set aside some of your earnings for retirement. Specifically, you want to make a deductible traditional IRA contribution. Your income was $70,000 in 2014 and will increase to $115,000 in 2015 as a result of a sizable bonus. You got married earlier this year […] The post The tax rules that limit the deductibility of your IRA contributions appeared first on Retirement Income Center.
If you’re planning for retirement and you want to receive sustainable lifetime income beginning at a future date, deferred income annuities (DIAs) and fixed index annuities (FIAs) with income riders are potential suitable choices. These are the two types of deferred fixed income annuities that are sold by life insurance companies. The question is which […] The post Deferred Income Annuities Comparing More Favorably with FIAs with Income Riders appeared first on Retirement Income Center.
Deferred income annuities, or DIAs, are one of the two types of deferred fixed income annuities sold by life insurance companies, the other being fixed index annuities, or FIAs, with income riders. DIAs are the simpler of the two products to understand and are often the most suitable choice in many situations. A DIA is […] The post Optimize Deferred Income Annuity Pre- and Post-Income Start Date Payout appeared first on Retirement Income Center.
A RetireMentors column of mine from July 2014 regarding a Social Security loophole’s huge windfall opportunity, discussed a relatively unknown application of the file-and-suspend strategy whereby single individuals could, in effect, insure their retirement benefits. The file-and-suspend strategy was effectively eliminated by the Bipartisan Budget Act of 2015 that was signed by President Obama on […] The post Social Security loophole’s windfall opportunity repealed appeared first on Retirement Income Center.
The Bipartisan Budget Act of 2015 that was fast-tracked (think bullet train) and passed by Congress last week and signed by President Obama yesterday includes provisions that will permanently reduce Social Security benefits for millions of people. The bill comes on the heels of Social Security Administration’s October 15th announcement that there will be no […] The post Social Security Benefits Take Another Hit appeared first on Retirement Income Center.
The Social Security Administration threw a wrench into a lot of retirees’ plans on last Thursday when it announced that there will be no cost of living adjustment, or COLA, for Social Security benefits in 2016. In addition to retirees’ Social Security income remaining flat, approximately 30% of Medicare beneficiaries will face an increase of […] The post Don’t let higher Medicare premiums derail your Social Security plan appeared first on Retirement Income Center.
Although the Dow Jones Industrial Average (DJIA), with its close of 16,472 on Friday, is up 1,000 points from its August 24th low of 15,370, it’s still down almost 2,000 points, or 10%, from its May 19th high of 18,351. Putting things in perspective, a 10% decline is an overdue correction given the fact that […] The post It’s a Good Time to Own a FIA with an Income Rider appeared first on Retirement Income Center.
What is the only tax-deductible and tax-free investment not subject to IRS’ minimum distribution requirements and income limitations? While several possibilities come to mind, you will see shortly that there’s one clear-cut winner. Candidates Let’s look at some candidates, starting with 401(k) plans. Traditional 401(k) plan contributions are deductible and grow tax deferred. Distributions are […] The post Investing in your health can be your best way to avoid taxes appeared first on Retirement Income Center.
It’s never too early to start planning for retirement. Even if you’re 30 years old, you need to start thinking about the fact that one day — whether it’s when you’re 60, 65, or 70 — you will be unemployed for potentially 30 to 40 years. How do you plan for something that may not […] The post Retirement Income Planning 10-Step Checklist appeared first on Retirement Income Center.
I was recently asked by CNBC personal finance writer Tom Anderson, who was writing a story on qualified longevity annuity contracts, or QLACs, “What are the biggest mistakes clients make when buying QLACs?” My answer, which was quoted in Tom’s September 9th An Option for Those Who Fear Outliving Their Money article, was not purchasing a […] The post Don’t Defer Your QLAC Purchase appeared first on Retirement Income Center.
Here we go again. I’m not talking about the Ray Charles country music standard that was popularized as a rhythm-and-blues duet with Norah Jones and earned them (posthumously for Charles) a Grammy Award for Record of the Year in 2004. I’m referring instead to the recent thrashing of the stock market. With its drop of […] The post Depressed markets provide opportunities for Roth IRA conversions appeared first on Retirement Income Center.
A new client recently asked me, “Do most of your clients reduce the equity allocation of their investment portfolio as they get older?” I began my answer with the proverbial, “It depends.” I told him that while many of my clients reduce the equity portion of their investment portfolio as they approach retirement, this isn’t […] The post How to design the ideal retirement portfolio appeared first on Retirement Income Center.
If you're approaching, or are in, retirement, or if you're more sensitive to loss than to gain, FIAs may be an appropriate choice for a portion of your investment portfolio. Don't underestimate the power of zero. The post Don’t Underestimate the Power of Zero appeared first on Retirement Income Center.
For individuals concerned about longevity who are looking for a sustainable source of income they can't outlive, fixed income annuities are an appropriate solution for a portion of a retirement income plan. The post Looking for a Deferred Fixed Income Annuity on Steroids? appeared first on Retirement Income Center.
When the Dow Jones Industrial Average closed at 18,000 last Wednesday, it marked the 12th time that the index traversed this level. Similar to most of the other events, it was short-lived, retreating to 17,899 on Friday. Unlike the previous two barriers of 17,000 and 16,000, which were overcome after eight and three traversings, respectively, […] The post Will 13 be the Dow’s lucky number? appeared first on Retirement Income Center.
One of the reasons that many people don't defer the start date of their Social Security benefits beyond their full retirement age is the belief that their increased benefits will get eaten up by Medicare premium increases. This is not true. The post Deferring Social Security Helps Pay Medicare Part B Premiums appeared first on Retirement Income Center.
With the Dow Jones Industrial Average closing at yet another record high on Tuesday, there are a lot of people wondering when the stock market is going to reverse its upward course. This is natural given the fact that the closing price of 18,312 represents a gain of over 11,700 points since the March 9, […] The post Retrofit your portfolio before the next market crash appeared first on Retirement Income Center.
When the Medicare Access and CHIP Reauthorization Act of 2015, commonly known as the “doc-fix” legislation, becomes law, some Medicare participants will pay 30% more for their Part B premiums. The legislation, which was decisively passed by the House on March 26 and the Senate on April 14 is expected to be signed by President […] The post Medicare Part B premiums increasing up to 30% appeared first on Retirement Income Center.
Make sustainable income a cornerstone of your portfolio beginning at 45. The post Make Sustainable Income a Cornerstone of Your Portfolio Beginning at 45 appeared first on Retirement Income Center.
If you want peace of mind when you retire, you need to have a plan that will generate sustainable income streams that will cover most of your fixed and discretionary expenses. The post Looking for a Pension with a Flexible Start Date? appeared first on Retirement Income Center.
One of the incentives for saving for retirement for self-employed individuals is the tax deduction for retirement plan contributions. A popular choice is the simplified employee pension, or SEP, plan. Deductible contributions of up to 25% of net self-employment income, with a limit of $52,000 for 2014 and $53,000 for 2015, may be made to […] The post 5 benefits of a capital gains retirement strategy appeared first on Retirement Income Center.
Social Security is an important source, and in many households, the largest source, of income for retirees. You can start collecting benefits at any time between age 62 and 70. Since Social Security is an income annuity, the longer you wait, the greater your monthly income will be for the rest of your life. The […] The post 3 Pitfalls of Social Security Optimizers appeared first on Retirement Income Center.
Given the fact that opportunities to reduce RMDs and associated income tax liability are limited, QLACs are an attractive alternative. The post Is a QLAC Right for You? appeared first on Retirement Income Center.
When you retire, how would you like to wake up each morning knowing that 50% or more of your income will automatically be deposited in your checking account each month for the rest of your life? How would that make you feel? If you think like retirees who responded to a recent Towers Watson survey, […] The post How to reduce retirement anxiety appeared first on Retirement Income Center.
If you're married, you and your spouse have estate planning documents that were prepared before 2009, and the current and projected lifetime value of your estate is less than $5.5 million, or potentially $11 million, your plan may be outdated. The post Has Your Estate Plan Outgrown You? appeared first on Retirement Income Center.
2014 was an eventful year for Bob Klein and Retirement Income Center. In addition to servicing his clientele, Bob continued to distinguish himself as a leader in the retirement income planning field through his various media activities. Bob kicked off the year on January 5th as a guest on an hour-long radio talk show, Living Your […] The post 2014 Was an Eventful Year appeared first on Retirement Income Center.
The Social Security Administration gives us a lot of leeway when it comes to choosing a date when we want to start receiving retirement benefits. There’s basically an eight-year window, beginning at age 62 and ending at 70 with corresponding monthly benefit reductions and increases based on full retirement age. Full retirement age is currently […] The post Starting Social Security later—for your spouse’s sake appeared first on Retirement Income Center.
Can we still plan to retire at a specific age? The post Can We Still Plan to Retire at a Specific Age? appeared first on Retirement Income Center.
Since the Treasury and IRS finalized a regulation in the beginning of July blessing the use of qualified longevity annuity contracts, or "QLAC's," a lot of people have been wondering when and where they can buy one. The post QLACs are Here appeared first on Retirement Income Center.
Attention all shoppers: Stay clear of the Roth IRA conversion aisle this Friday. Two years ago I wrote and published an article, Black Friday – Think Roth IRA Conversion. At the time, the Dow Jones Industrial Average [DJIA] declined 1,000 points, or 8%, in two months, closing at 12,588 on November 16, 2012 after finishing […] The post No Black Friday bargains on Roth IRA conversions appeared first on Retirement Income Center.
If you’re retired and you use traditional withdrawal strategies, you probably ask yourself the following question each year, “Should I withdraw 4%, 5%, or 6% of my investment portfolio value?” This question is often accompanied by one or more of the following six questions: Which portfolio value should I use to calculate my withdrawal amount […] The post How annuities can provide a secure retirement withdrawal strategy appeared first on Retirement Income Center.
One of the most important financial goals for retirees is maximization of after-tax income. A Roth IRA can help minimize income tax liability. The post 5 Ways to Reduce Your Tax Liability Using Roth IRA Conversions appeared first on Retirement Income Center.
After increasing almost 2,000 points from a closing low of 15,373 on Feb. 3 to a closing high of 17,280 on Sept. 19, the Dow Jones Industrials Average gave up almost 1,200 points, or 6.7%, in less than 30 days when it closed at 16,117 on Oct. 16. With just seven trading days under our […] The post Don’t let the next downturn undermine your retirement appeared first on Retirement Income Center.
There are a lot of moving parts to consider when doing retirement planning. Healthcare expenses are an important consideration in this process. The post Are Healthcare Expenses Included in Your Retirement Plan? appeared first on Retirement Income Center.
A proposal in President Obama’s 2015 budget, if approved, would require nonspousal IRA beneficiaries such as children to accelerate distribution and taxation of inherited IRAs. All IRA account owners and beneficiaries are required to take annual minimum distributions, or RMDs, using end-of-the-year account values and an Internal Revenue Service life- expectancy table factor to calculate […] The post Extend the life of your children’s inherited IRAs appeared first on Retirement Income Center.
The most recent potential retirement income planning game-changer, qualified longevity annuity contracts, or "QLAC's," have received a fair amount of press since the Treasury and IRS finalized a regulation in the beginning of July blessing their use. The post Don’t Expect to See QLAC’s Soon appeared first on Retirement Income Center.
Beneficiary forms play a crucial role, and often supersede wishes as expressed in your will and other formal estate-planning documents for certain types of assets and life insurance policies. The post Why an air-tight will can’t protect beneficiaries appeared first on Retirement Income Center.
Looking for something different to give to your mom or dad for their next birthday? How about long-term care insurance? Don’t laugh. If they don’t have it already, this will undoubtedly be the most meaningful and memorable gift you give to your parents and you — even if your mom or dad never uses it. […] The post Long-term care insurance makes a great birthday gift appeared first on Retirement Income Center.
My goal in writing Retirement Income Visions ™ is to share innovative planning strategies that you can use to create and optimize your retirement income. The post Retirement Income Visions Celebrates 5-Year Anniversary! appeared first on Retirement Income Center.
Longevity insurance was blessed by the IRS with a regulation allowing the inclusion of an advanced-age lifetime-income option in retirement plans. The post You Don’t Have to Wait Until 85 to Receive Your Annuity Payments appeared first on Retirement Income Center.
Every now and then the Department of the Treasury and IRS surprise us with taxpayer-friendly legislation that addresses pervasive retirement income planning concerns. One of the most anxiety-provoking subjects that frighten many people more than death is the possibility of outliving one’s assets. Recognizing this issue, the Department of Labor, the IRS, and the Department […] The post 6 ways a new tax law benefits a sustainable retirement appeared first on Retirement Income Center.
The introduction to one of my recent MarketWatch RetireMentors columns, You Need a Plan to Retire Before You Plan to Retire, stated, "You're not going to retire when you plan on retiring. You're probably going to retire earlier." The post What is Your Planned Retirement Trigger? appeared first on Retirement Income Center.
As a seasoned CPA, I remember the good old days when there were lots of loopholes in the tax law that I could use to minimize clients’ income tax liability. I also value opportunities to help my clients maximize their Social Security benefits. Like tax loopholes, they’re often not obvious and require intimate knowledge, familiarity, […] The post Social Security loophole’s huge windfall opportunity appeared first on Retirement Income Center.
One of the most important “aha” moments I communicate to clients when we’re doing retirement income planning is the following: You’re not going to retire when you plan on retiring. You’re probably going to retire earlier. This is ironic given the fact that clients often hire me to design and implement a plan that will […] The post You need a plan to retire before you plan to retire appeared first on Retirement Income Center.
Retirement planning is a time-sensitive and arduous task that requires a high level of discipline and commitment over the duration of one's adult years, not to mention specialized expertise. The post Do You Want to RAP or Do You Prefer to RIP? appeared first on Retirement Income Center.
When we make financial decisions, we often don't think about the long-term effects – good and bad – they will have on other people. The post I Paid for My Dad’s Funeral appeared first on Retirement Income Center.
In addition to understanding the details of a potential investment and how it will meet your needs, there are occasions when you need to decide where it will be held. Will your investment reside in a nonretirement or retirement account? There are different income-tax consequences that can affect the longevity of a particular investment as […] The post 8 reasons fixed-income annuities belong in your IRA appeared first on Retirement Income Center.
Deferred income annuities provide payments for your lifetime or for a contractually-defined term. Consider a death benefit feature when purchasing DIAs. The post Consider a Death Benefit When Buying Deferred Income Annuities appeared first on Retirement Income Center.
It’s no secret that high-income households have historically paid more than their fair share of income tax relative to their numbers. For the 2013 filing season for 2012 individual income tax returns, as of July 25, 2013, IRS processed 137 million returns with adjusted gross income, or AGI (gross income minus deductions for AGI), totaling […] The post Wealthy paid 13% more tax on same income appeared first on Retirement Income Center.
The disconnect between the need for sustainable lifetime income in one's retirement income plan will lessen as the marketplace becomes better educated. The post The Retirement Income Planning Disconnect appeared first on Retirement Income Center.
Do you ever wonder if all the sacrifice and delayed gratification associated with saving for retirement is really worth it? Wouldn’t you rather spend some of that money now on a nice trip to Hawaii, assuming that you don’t already live there? Let’s face it; retirement planning is a long, arduous process that requires a […] The post Retirement: The more you know, the more you save appeared first on Retirement Income Center.
When a loved one requires long-term care, it can have a profound effect on a family. Long-term Care Insurance (LTCI) can help you protect your family. The post Want to Protect Your Family? Make LTCI a Priority appeared first on Retirement Income Center.
Rather than trying to accumulate a single lump sum for retirement, we need to accumulate streams of income that will match our projected expenses during various stages of retirement. The post Accumulate Income, Not Assets, for Retirement appeared first on Retirement Income Center.
Generally speaking, one of the benefits of working for a large employer is the ability to participate in a 401(k) plan. This is all well and good, however, your 401(k) plan, in and of itself, probably won’t provide you with adequate retirement income to meet your financial needs in most cases. A 401(k) plan is […] The post Don’t depend on your employer for retirement appeared first on Retirement Income Center.
Because the components of net worth can be quite different from one person to another, it doesn't matter how your net worth compares to someone else. When it comes to retirement planning, what's most important is how you plan for sustainable income and meeting your expenses. The post When It Comes to Retirement Planning, It’s All About You appeared first on Retirement Income Center.
If you’re a participant in a 401(k) plan, you probably signed up for your employer’s plan and continue to participate in it because of the variety of benefits available from this unique type of retirement arrangement. These include: Automatic savings that might not otherwise occur Reduction of taxable earnings for amounts contributed to non-Roth 401(k) […] The post No plan for your 401(k)? You’re not alone appeared first on Retirement Income Center.
Whether you have an annuity contract that's maturing in the near future or you're considering doing a tax-free exchange to replace your existing contract, don't overlook annuitization options on your existing contract. The post A Hidden Treasure: Annuitization Options on Older Annuity Contracts appeared first on Retirement Income Center.
When will you retire? This is a critical decision that will affect how you will spend the remaining 7% to 45% of your life, depending upon when you retire and how long you live. The percentages assume that you retire between age 55 and 70 and live until age 75 to 100. How do you […] The post When it comes to retirement, it pays to be an optimist appeared first on Retirement Income Center.
While many FPDA's provide for indefinite additional investments, several have a limited defined window of opportunity. The post How Flexible are Flexible Premium Deferred Annuities? appeared first on Retirement Income Center.
When planning for a major event, financial or otherwise, the key to success is starting with the right question. If you don’t do this, it’s easy to get sidetracked and not accomplish what you set out to do. The looming question in every person’s mind contemplating retirement is, “Will I have enough assets to last […] The post Planning to retire? Start with the right question appeared first on Retirement Income Center.
The income rider charge is a small price to pay to obtain the unique combination of benefits offered by a FIA income rider. The post Fixed Index Annuity Income Rider Charge – Is It Worth It? – Part 2 of 2 appeared first on Retirement Income Center.
Adding an income rider turbocharges your fixed income annuity. A FIA income rider offers five benefits that cannot be duplicated by any other investment. The post Fixed Index Annuity Income Rider Charge – Is It Worth It? – Part 1 of 2 appeared first on Retirement Income Center.
2013 was a newsworthy year for Bob Klein and Retirement Income Center. Beginning with Robert Powell’s January 11th Now is the Time for Tax-Efficient Investments article published in The Wall Street Journal’s Market Watch that included two links to Retirement Income VisionsTM January 7th The 2013 Tax Law Schizophrenic Definition of Income article, Bob Klein was quoted in […] The post 2013 Was a Newsworthy Year appeared first on Retirement Income Center.
When I began practicing financial planning in the mid-80s, the firm that I worked for, which was on the forefront of the financial planning industry at the time, would prepare a financial plan for my clients using a detailed questionnaire that I completed. I would complete the questionnaire after meeting with each client once or […] The post Retired? Dust off your retirement plan appeared first on Retirement Income Center.
In retirement income planning, one of the most important decisions that needs to be made is the duration of the plan, or plan timeframe. The post Don’t Fall Into the Short Longevity Trap appeared first on Retirement Income Center.
As an avid fan of the potential benefits of Roth IRA conversions, I was drawn to the headline of Ann Tergesen’s Nov. 5 MarketWatch article, Roth IRA conversions spike sharply. According to the article, Roth conversion activity at Fidelity through October rose 12% over the same period last year. When asked about this, Ken Hevert, […] The post Considering a Roth IRA conversion before year-end? appeared first on Retirement Income Center.
If your goal is to receive sustainable lifetime income, in addition to Social Security, consider fixed income annuities offered by life insurance companies. The post Sustainable Lifetime Income When You Need It – Part 2 of 2 appeared first on Retirement Income Center.
If your goal is to receive sustainable lifetime income, in addition to Social Security, consider fixed income annuities offered by life insurance companies. The post Sustainable Lifetime Income When You Need It – Part 1 of 2 appeared first on Retirement Income Center.
It’s fascinating to me as a retirement-income planner to see how people decide when they’re going to retire, assuming that they plan on retiring one day. One of the more interesting approaches that I come across from time to time is what I refer to as the million-dollar payday. Although there are variations, it goes […] The post What’s your $1 million payday really worth? appeared first on Retirement Income Center.
Successful financial retirement requires the performance of a planned sequence of events before and throughout retirement. The post It’s All About Timing appeared first on Retirement Income Center.
Let me ask you a question. Assuming your goal is to create a reliable source of income during retirement, would you be upset if your investment adviser recommended, in exchange for a reasonable annual fee and a premature distribution penalty, or surrender charge, that you invest a small portion of your investment portfolio in an […] The post Your adviser’s retirement-income disconnect appeared first on Retirement Income Center.
Fixed income annuities with income riders can be an important part of a retirement income planning solution in the right situation. The post Cap Rates Are Secondary When Optimizing Retirement Income appeared first on Retirement Income Center.
As you progress through life, your priorities and goals evolve and change. As a result, the tools and methodologies you use to achieve them also change. A good way to illustrate this is by doing a quick analysis of all the vehicles that you’ve ever owned or leased. Prepare a list of every car or […] The post Retirement planning is a two-step process appeared first on Retirement Income Center.