44 DOL Fiduciary Rule

DOL Fiduciary Rule for financial planners

The Department of Labor (DOL) Fiduciary Rule was scheduled to start on April 10, 2017 but President Trump signed an executive order delaying the rule 180 days so that the DOL could carry out “economic and legal analysis” on the rule’s potential impact.

If this legislation is not stopped by the new administration, it will require all financial professionals who work with retirement plans to be fiduciaries and be bound legally to meet that standard.  The fiduciary standard demands that advisors act in the best interests of their clients, and to put their clients’ interests above their own. Advisors cannot conceal any potential conflict of interest and all fees and commissions must be clearly disclosed in dollar form to clients.

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#39 Financial Scams Targeting Seniors

financial scams targeted at seniors

This blog is about financial scams that target seniors, but let me start with a few facts about this large and growing population.

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#38 The Cost of Raising Kids

cost of raising kids financial planning

The Cost of Raising Kids – what to expect

The amount you spend will vary based on several factors including:

  • where you live,
  • will you send them to private or public school,
  • do they need daycare,
  • what schooling is available and what kind are you comfortable sending them to

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38 – Social Security Strategies Ending – Ask a Fee Only Financial Planner

Social Security strategies financial plannerMany couples will need to adjust their retirement plans because of two big changes affecting Social Security benefits. Because of Congress’ November, 2015 budget deal, two popular claiming strategies are coming to an end. The “file and suspend” and the “restricted application” options are being eliminated.

Choosing one of these strategies to maximize Social Security benefits in the next six months (May 1, 2016), could add hundreds of thousands of dollars to a married couple over their lifetimes.

You need to do some careful retirement planning, quickly.

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32 When Can I Retire

I wish I could give a quick and easy answer to that question – such as use the 4% rule for retirement (see podcast #3 for the limitations to this rule of thumb). The reality is that everyone’s situation is different and it requires individual evaluation. The 5 primary questions that will determine how much money you need to retire are:

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#12 When Can I Retire – Ask a Fee Only Financial Planner

In this podcast I will answer the question: When can  I retire?

Podcast #12 can be found below.  If you prefer, you can also see our video (Video #12) and blog (Blog 32) on the same topic.

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#11 Taking Money from an IRA without Penalty (72T) – Ask a Fee Only Financial Planner

In this podcast I will answer the question: How can I get money out of my IRA before age 59.5 without a 10% penalty?

Podcast #11 can be found below.  If you prefer, you can also see our video (Video #11) and blog (Blog 23) on the same topic.

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23 Distributions from an IRA without a Penalty

Today’s question: how can I take an IRA distribution without paying the 10% penalty?

If you prefer, we have a podcast and video about this question.

I would like to start by briefly reviewing the rules of an Individual Retirement Account (IRA):

  • Deposits into an IRA are tax deductible. Right on the front page of your tax return you put in the amount of your contribution and deduct it from your income.
  • When you take money out of your IRA you pay income taxes on that money. If you take it out before you turn 59.5, in general, you need to also pay a 10% penalty.
  • At age 59.5 you can take money out of an IRA without a penalty.
  • At 70.5 you need to start taking money out each year. The amount depends on the balance on 12/31 of the previous year and the life expectancy at that time. For a 71 year old, the life expectancy is 17 years. The distribution would be your balance on 12/31 divided by 17.

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20 Roth IRA vs Traditional IRA

Pioneer Wealth Management Group is a fee-only financial planning firm in Dallas and Austin, TX. Milad Taghehchian, a Certified Financial Planner based in Austin, TX, offered to write for our blog this week.

Contributing to your IRA is one of the most important things you can do for your future. But many people don’t know which one to contribute to, or how they can benefit from choosing between the two options. We will outline the differences and run through a quick comparison of the benefits of each one.

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17 Financial Planning for Same-Sex Couples – fee only financial planner

Since Supreme Court struck down the Defense of Marriage Act and the Treasury Department ruled that legally married same-sex couples will be treated as married for federal tax purposes there are only a few differences in financial planning for same sex couples.

The Supreme Court decision affects how couples will be treated in terms of all federal taxes, including income taxes, estate and gift taxes, health insurance, retirement accounts and employee benefits.

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#7 – Social Security – Ask a Fee Only Financial Planner

In this podcast I will answer the question: How can I maximize my Social Security benefit?

The blog that addresses this question can be found at: 16 Social Security

The video for this episode is at: http://youtu.be/-kNQoao-P6c our YouTube channel is video channel

You can find our other podcasts at: Ask a Fee Only Financial Planner podcast and on iTunes

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16 Social Security

This blog is about Social Security.  I want to help you maximize your benefit to have more money in retirement.

Social Security can be an important part in a persons retirement plan. Social Security (also known as the Old-Age, Survivors, and Disability Insurance (OASDI) program) benefits are paid from the 6.2% tax on each employee’s wages (matched by employers) and the 12.4% tax on self-employment earnings.

Eligibility
Over 90% of U.S. workers are covered by Social Security and are eligible to receive both retirement and disability benefits.

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#3 – 4% Withdrawal Rule for Retirement Planning – Ask a Fee Only Financial Planner

In this podcast I will answer the question: What are the benefits and limitations to the 4% withdrawal rule for retirement planning?  (The ‘rule’ states that if a retiree withdrew 4% of their initial retirement savings per year, their savings would last them for 30 years (generally through retirement).)

The blog that addresses this question can be found at: 14 4% Withdrawal Rule for Retirement Planning

You can find our other podcasts at: Ask a Fee Only Financial Planner podcast and on iTunes

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14 4% Withdrawal Rule for Retirement Planning

In this blog, I’m going to discuss the benefits and limitation of the 4% withdrawal rule.

The rule of guideline came out in the 1990s. It states that if a retiree withdrew 4% of their initial retirement savings per year, their savings would last them for 30 years. The withdrawals would increase over time to adjust for inflation.

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