Retirement Planning
Protect Your Heirs by Naming a Trust as IRA Beneficiary
Often, tax-qualified retirement accounts such as IRAs make up a significant part of one’s estate. Naming beneficiaries of an IRA can be an important part of an estate plan. One option is designating a trust as the IRA beneficiary.
Caution: This discussion applies to traditional IRAs, not to Roth IRAs. Special considerations apply to beneficiary designations […]
Can I Undo My Roth IRA Conversion in 2018?
The answer is: It depends.
When you convert a traditional IRA to a Roth IRA, you include the value of your traditional IRA, reduced by any nondeductible contributions you’ve made, in your income for federal tax purposes in the year of the conversion. For conversions prior to 2018, if you subsequently decided to “recharacterize” or undo […]
Social Security Service?
Today, trying to apply for Social Security benefits, or getting direct answers on what your best strategy might be, is annoying at best. Recently, Max Richtman, president and CEO of the National Committee to Preserve Social Security and Medicare, highlighted the difficulty in front of the U.S. House Ways & Means Committee. At the start […]
Quiz: Can you Answer These Social Security Questions?
Most people will receive Social Security benefits at some point in their lifetimes, but how much do you know about this important source of income? Take this quiz to learn more.
1. Can you receive retirement and disability benefits from Social Security at the same time?
a. Yes
b. No
2. If your ex-spouse receives benefits based on your […]
Four Points to Consider When Setting a Retirement Income Goal
No matter what your age or stage of life, targeting a goal for monthly retirement income can seem like a daunting task. Following are four considerations to help you get started.
1. When do you plan to retire?
The first question to ponder is your anticipated retirement age. Many people base their target retirement date on when […]
Budget Deal Impact On Medicare
Several items that the media seems to be overlooking in the recent budget deal are potentially noteworthy changes in how Medicare is administered. One item is the removal of Medicare’s independent payment advisory board, authorized under the Affordable Care Act, to function as a check on higher Medicare expenses. Some had previously […]
Irregular Inflation
You are often told that inflation is the worst enemy for your long-term financial well being. Inflation gradually lowers the value of your retirement dollars, and that’s the reason, if your cash sits under your mattress, it is going to purchase less once you remove it.
But inflation is not a […]
Another Medicare Part B Increase for Higher Income Retirees
Once again, Washington is taking more from retirees with higher incomes. After a retiree reaches a certain income level, retirees have to pay an income-related monthly adjustment (IRMAA). Prior to this year, this adjustment started for individuals with $214,000 a year. Starting in 2018, the threshold goes down to $160,000. At […]
Will a Government Pension Reduce My Social Security Benefits?
If you earned a government pension from a job not subject to Social Security tax withholding (“noncovered employment”) and are also eligible for Social Security benefits through a job where Social Security taxes were withheld, two provisions might reduce your benefits: the windfall elimination provision (WEP) and the government pension offset (GPO).
The WEP affects how […]
How Does Working Affect Social Security Retirement Benefits?
If you’re thinking about working as long as possible to increase your retirement savings, you may be wondering whether you can receive Social Security retirement benefits while you’re still employed. The answer is yes. But depending on your age, earnings from work may affect the amount of your Social Security benefit.
If you’re younger than full […]
