I (Shea) “learned” to color inside the lines when I was in kindergarten. The teacher gave us a blank drawing and some crayons. As we completed our project, she walked around the room giving feedback on our work. She said, “That’s nice Shea. Next time, try coloring inside the lines.” Without looking up I replied, “I just don’t see it that way.” For better or worse, that tends to be how I see the world. On occasion, however, I like to know where the lines are … especially when driving! When it comes to retirement planning, the “lines” are also called “limits.” You are limited in what you can stash away, limited in what you can double up on, and limited in what you can take out and when.
Ed Slott just released his Multiple Plan Table so that you can know your limits when doubling up on contributions. For those of you playing “catch-up,” you will find this table very useful.
I (Shea) am at that strange age when friends start losing their parents. It feels like I just graduated high school and yet, the same year as my 20-year high school class reunion, I’ve also attended several funerals. Some of my friends received an inheritance while others did not. I have witnessed firsthand the negative consequences that a lack of planning can leave on the adult child. Questions of whether or not it was fair or kind swirl around them and their siblings, causing self-doubt and pain. Oddly enough, it’s not about the money … it’s about the feeling of neglect, even if that wasn’t the intention.
Join us today when as find out how some people fail to plan. We’ll also hear some success stories too!
Word on the street is that Baby Boomers HATE the word “retirement.” They find other words for it, much in the same way they figured out how not to be called “Grandma” or “Grandpa.” They call it “Rewirement,” or “The Second Chapter,” or even “Vacation.” Regardless of what you want to call it, retirement itself becomes very real for those who are only one to two years out, ESPECIALLY when there is a downturn in the market.
By year-end 2018, the market dropped almost 20%, and advisors were warning investors to be ready for more volatility in 2019. All of the predictions in the world can’t prepare you for how you’ll need to rethink your money once you’ve collected your last paycheck.
According to the U.S. News & World Report, 80 percent of New Year’s resolutions fail by February. Thankfully, to help us stay in the 20 percent, Kiplinger’sreleased the “15 Steps to a Prosperous New Year.” While we can’t promise that you’ll be prosperous in 2019, we do know that if you aim at nothing, you’ll hit it every time. Why not make a checklist and work through it? Most financial changes are small and incremental … yet, over time, they can be significant!
I know, I know, you’re probably tired of talking about the New Year … and last year … and all of the past years! “Let’s just get on with it!” you say. We hear you loud and clear, but guess what? Ed Slott just released the “Top IRA Rulings of 2018” that will, of course, affect 2019. The list includes: Lower Tax Rates, IRA Recharacterization, Estate Tax Easing, Alimony Taxation and Plan Loans.
Please forgive us, but this show must be done!