Finance Decoded

May 26, 2020

Did you know there is no minimum age for having an IRA? As long as your child has earned income, you can open an account in their name. Whether they contribute to the IRA with their own money from working or a gift from you, the power of compound interest can help them get a significant head start ...

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As the beneficiary of an inherited IRA, you might be aware of some rules that come with these retirement accounts. However, are you also aware that the rules vary depending on whether you are a spouse, a non-spouse or a trust beneficiary? From required distributions to even the titling of the ...

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An HSA account is one of the most tax-efficient savings accounts available to investors.  While many of the distribution rules are straightforward, there are several exceptions that should be considered before a client takes a distribution from their HSA. What’s a Qualified Medical ...

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Did you know a Health Savings Account, or HSA, offers three different tax advantages? Contributions are deductible, earnings are tax-deferred while in the HSA, and distributions are tax-free when they are used for qualified medical expenses. If you’re enrolled in a high-deductible health ...

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Roth IRA Conversion in the Era of COVID-19 Is it right for you? Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist The COVID-19 pandemic has shaken up nearly every aspect of American life. To say it’s been a difficult time would be an understatement.  However, ...

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If you’re married, planning for retirement usually requires that your nest egg be large enough to shelter two people. Spousal beneficiary mistakes are common and making financial decisions in a time of grief or panic can be especially challenging. Factors such as your age and income needs should ...

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This checklist covers many of the issues to consider during a recession or market correction.  It addresses some strategies particularly useful when the valuations of the markets are low (such as Roth Conversions and gifting strategies) as well strategies to mitigate the negative impact (cash ...

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This checklist includes emergency relief options outlined in:  The CARES Act Families First Coronavirus Response Act Executive orders IRS changes And other relief options specific to COVID-19 as they pertain to individuals  For more information, contact our office at 877-714-2362 ...

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Once you reach age 72, the government requires that a specific minimum amount be withdrawn from your retirement account each year. If you miss the deadline or don’t take enough, Uncle Sam could hit you with a 50% penalty! Did you forget to take a required minimum distribution (RMD) from your ...

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Traditional Vs. Roth IRA Do you know the difference? Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist Traditional Individual Retirement Accounts (IRA), which were created in 1974, are owned by roughly 33.2 million U.S. households. Roth IRAs, however, were created as ...

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Lesser Known Provisions of the SECURE Act What younger investors need to know.   Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist   The SECURE Act passed into law in late 2019 and changed several aspects of retirement investing. These modifications included ...

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Tax Considerations for Retirees Are you aware of these potential tax breaks and tax-saving opportunities? Provided by Walter F. Pardo, Founding Partner An Ed Slott Master Elite IRA Advisor    The federal government offers some major tax breaks for older Americans. Some of these perks ...

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Have you recently lost your spouse and inherited an IRA? In the midst of grieving, determining how you want to handle your new assets may be the last thing on your mind, but there are important decisions to be made. You have a choice to either remain the beneficiary of the account or execute a ...

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That First Distribution from Your IRA What you need to know. When you are in your 70 s, Internal Revenue Service rules say that you must start making withdrawals from your traditional IRA(s). In I.R.S. terminology, these withdrawals are called Required Minimum Distributions ...

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Maxing out your retirement account contributions can be a smart financial move not only to help reduce your tax bill but also to ensure you’re setting aside enough money for the future. But do you know how much you’re allowed to contribute? Contribution limits can vary greatly depending on the ...

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Should You Care What the Financial Markets Do Each Day? Focusing on Your Strategy During Turbulent Times.   Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist   Investors are people, and people are often impatient. No one likes to wait in line or wait longer than ...

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Preparing for retirement can be overwhelming. Between tax, estate, insurance, Social Security, Medicare and investment planning, some important aspects of your financial plan can be easily overlooked if you’re not working with a competent professional. A qualified financial advisor can help you ...

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With a New Year comes a fresh start, which means now may be a good time for you to consider whether or not you’re working with the right tax professional. With the April deadline just a couple of months away, you may have already started reviewing your financial documents for your 2019 return. But ...

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ABLE Accounts for Loved Ones with Disabilities More families should know about these tax-advantaged savings vehicles. Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist   Families with special needs children have a new tax-deferred savings option. The ABLE account, ...

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The SECURE Act Long-established retirement account rules change. Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist The Setting Every Community Up for Retirement Enhancement (SECURE) Act is now law. With it, comes some of the biggest changes to retirement savings law in ...

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You’ve likely already heard about required minimum distributions (RMDs), but do you know what your required beginning date (RBD) is? Your RBD is the date by which you must begin to take RMDs from your retirement account if you have an IRA or employer plan. It is important to note that the rules ...

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Retirement Is a Beginning See if you are prepared to begin your retirement by answering four key questions. Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist   How do you know you are psychologically ready to retire? As a start, ask yourself four questions.   One, ...

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Chances are you have heard about the 3.8% surtax that went into effect in 2013 under the Affordable Care Act—but do you know if and when you might need to pay it? Despite changes to the tax code in recent years, the Medicare tax and net investment income tax remain in effect. This surtax ...

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Debunking Common Retirement Assumptions Don’t fall for these misconceptions. Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist   Financial generalizations are as old as time. Some have been around for decades, while others have only recently joined their ranks. Let’s ...

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Insurance Needs for Empty Nesters and Retirees Thinking about coverage as you enter a new phase. Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist With the children now out of the house, financial priorities become more focused on preparing for retirement. At this ...

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Are you worried about remembering to take your required minimum distributions (RMDs) each year once you hit age 70½? If you’re a traditional IRA account owner, this may be just one of the reasons you’re considering a Roth conversion.  While converting can come with many benefits, such as no RMDs ...

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A Retirement Fact Sheet Some specifics about the “second act.” Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist      Does your vision of retirement align with the facts? Here are some noteworthy financial and lifestyle facts about life after 50 that might surprise ...

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New I.R.S. Contribution Limits Changes for 2020. Provided by Walter Pardo, CWS®, PPC™ CEO/Certified Wealth Strategist   The I.R.S. just increased the annual contribution limits on IRAs, 401(k)s, and other widely used retirement plan accounts for 2020. Here’s a quick look at the ...

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As the year comes to a close, you may be thinking about an array of resolutions you have for the New Year. Start 2020 on the right financial foot by making sure your retirement accounts are in order! Has there been a birth, death, or marriage in the family that may require updating your ...

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December is a busy time of year preparing for the holidays and new year, but don’t let the chaos distract you from your financial to-dos. From a Roth conversion and qualified charitable contributions (QCD) to taking your required minimum distribution (RMD), there are many important financial moves ...

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