Posts by Mark Henricks
Retirement
Amount of Retirement Savings By Gender
Men and women save for retirement differently. There’s a persistent and significant gender gap in the average retirement savings women have versus men, with women more likely to have nothing saved for retirement while men are over-represented among savers with the largest retirement account balances. Men and women have similar access to retirement savings plans,… read more…
Retirement
How Much Should I Have Saved By Age 45?
Saving for retirement is a project that spans around four decades, and progresses through multiple stages. It’s not necessary to have saved enough to fund a comfortable retirement by age 25. Nor is it feasible to wait until you’re about to turn 65 to start putting money away. Mid-way through this process, by around age… read more…
Financial Advisor
How Is Alimony Calculated in New York?
Alimony is a payment from one divorced former spouse to the other that’s intended to provide the lower-earning spouse with sufficient income to meet their needs. Laws in every state provide for alimony, also known as spousal support or spousal maintenance, but they use a variety of ways to set the amount of money to… read more…
Advisor Resources
De Minimis Exemptions By State
State-registered registered investment advisors can be exempt from having to register in every state where they have clients if they don’t maintain a place of business in the state and serve no more than five clients in the state. This is known as the de minimis exemption. However, not all states follow this standard, and… read more…
Estate Planning
States That Won’t Tax Your Estate When You Die
The majority of states do not levy taxes on estates. But, if you live in a state that does, also, you could face a tax if your estate is valued at $5 million or less. Generally, estate taxes are a sizable concern for wealthier people. Luckily, a financial advisor can help you create an effective… read more…
Personal Finance
How Is Child Support Calculated in Florida?
When a couple with minor children splits up in Florida, the state uses a formula to determine the amount of child support. This formula is based on the parents’ combined net income as well as the number of children, the shared parenting schedule, and the cost of health insurance. The court has some discretion ihere,… read more…
Personal Finance
When Do You Stop Paying Child Support in Florida?
For parents in the Sunshine State who pay court-ordered child support, knowing when child support ends in Florida can be an important detail when it comes to their budgeting and financial planning. The obligation to pay child support usually ends in Florida when the child reaches age 18. Exceptions include children who have not graduated… read more…
Personal Finance
How Is Alimony Calculated in Florida?
Alimony payments can be a substantial cost or income, depending on whether you’re an alimony payer or recipient. When alimony is calculated in Florida, divorce law sets out a simple guideline on alimony amounts using a percentage of the income of the higher-earning member of a divorcing couple to generate a maximum payment size. The… read more…
Retirement
I’m 65 and Retiring Soon. How Should I Structure My $1.1 Million Portfolio?
Your financial objectives and risk tolerance will primarily dictate how you structure your portfolio. But you’ll also want to consider taxes and fees, your potential lifespan, need for long-term care and desire to leave an inheritance behind. A financial advisor can help you identify the right portfolio construction strategy for your situation. Connect with a… read more…
Retirement
What Should I Do with My Roth IRA Once I Retire?
Retirement typically means shifting your focus from diligently saving your money over the course of years and decades to managing those funds and spending them responsibly. To learn about all the options for handling your Roth IRA in retirement, talk to a financial advisor. If you have a Roth IRA, you have several options for… read more…
Estate Planning
Average Cost of a Will vs. Living Trust
Wills and living trusts are fundamental estate planning tools that dictate what happens to your assets when you’re gone. More specifically, wills are legal documents that contain instructions about how all of your affairs will be settled after you pass. Meanwhile, living trusts are legal entities that are focused on distributing your assets according to… read more…
Advisor Resources
Strategies for Effective Client Portfolio Construction
Creating and managing an investment portfolio that aligns with a client’s goals, risk tolerance and constraints is an important part of being a financial advisor. Advisors can choose from numerous strategies for constructing client portfolios. Options range from traditional asset allocation to market timing, as well as bucket and core-satellite strategies, and many others. Having… read more…
Retirement
Can I Roll Over the Employer Match in My 401(k) to a Roth IRA?
If you want to roll over money from your 401(k) into a Roth IRA, there’s good news: any employer matching funds in a 401(k) can be converted along with your own contributions and investment earnings. However, you’ll owe income taxes on all the converted funds, which can be a significant issue when converting large balances.… read more…
Retirement
Should I Take a $200,000 Lump Sum or $915 Monthly Payments for a Pension Annuity?
Deciding between taking a lump sum or monthly payments involves assessing a number of factors, including some that are difficult to quantify. The two most important considerations may be when you will receive the lump sum and how long you will live afterward. Getting the lump sum payout sooner increases the lump sum’s value, while… read more…
Retirement
I Have $500k in a Roth IRA, and Will Receive a Combined $2,000 a Month From a Pension and Social Security. Can I Retire at 62?
Figuring out when you can afford to retire often comes down to determining whether your assets will produce enough annual income to support your lifestyle and spending needs. If you need help deciding when to retire, connect with a financial advisor and have them build you an income plan based on your unique financial situation.… read more…
Retirement
How to Make Investments in Your Roth IRA
A Roth IRA is an account, not an investment, so once you’ve put money into the account it still must be invested. Common investment options for Roth IRA accounts include stocks, bonds, mutual funds, exchange-traded funds, money market accounts and certificates of deposit. Some sponsors offer many options, while others only have a few. Self-directed… read more…
Retirement
Types of Annuities for Seniors to Consider
Annuities can provide steady income for as long as you live, which is one reason a senior might purchase one. These contracts with insurance companies come in many different varieties, which can help address seniors’ specific financial needs. However, their variety and complexity can make annuities confusing compared to relatively straightforward investments such as mutual… read more…
Retirement
I’m 59 With $1.3 Million in a 401(k). Should I Convert $130,000 Per Year to a Roth to Avoid RMDs?
Converting a 401(k) into a Roth IRA can be appealing for several reasons. Not only can you make qualified withdrawals from Roth accounts tax-free, but Roth accounts are also exempt from required minimum distributions (RMDs.) That can give you more flexibility when withdrawing from your account in retirement and potentially save you money on taxes. If… read more…
Financial Advisor
Income-Based Repayment (IBR) vs. SAVE for Student Loans
If you owe money on a federal student loan, you may be able to qualify for a repayment plan that will lower your payments and, ultimately, provide for partial forgiveness of the debt. Income-Based Repayment (IBR) and Saving on a Valuable Education (SAVE) are two popular repayment plans that include forgiveness. The two plans are… read more…
Retirement
Guide to Retirement Planning for Millennials
Members of the Millennial generation face special challenges including high levels of student loan debt and inflated housing costs when it comes to planning for a secure retirement. However, by taking proactive steps now, Millennials can set themselves up for a comfortable and secure retirement. Keys include budgeting, saving and making the most of tax-advantaged… read more…
Estate Planning
How Much a Living Trust Costs to Create in New York
Having a living trust as part of your estate plan lets you bypass New York’s probate process, saving money, time and trouble. However, setting up a living trust involves some time, trouble and cost as well. Many estate planners pay attorneys to create and fund a living trust. This can cost from $1,000 for a… read more…
Retirement
I’m 55 With $1.2 Million in My 401(k). Would Catch-Up Contributions Be Worth It?
Catch-up contributions are designed to help people save extra money in tax-advantaged retirement accounts once they hit age 50. For many savers who are behind on their retirement savings goals, catch-up contributions represent a not-to-be-missed second chance at securing a more comfortable retirement. A financial advisor can help you plan and save for retirement. Connect… read more…
Estate Planning
How Long Does Probate Take in California?
The probate process in California can be lengthier than in some other states, averaging about a year but often requiring 18 months and even longer. The stretched-out period required to settle a California estate is due in part to a requirement that the court wait four months for creditors to respond after letters of administration… read more…
Estate Planning
How Much It Costs to Create a Living Trust in California
Because the probate process in California takes longer and costs more than in many states, Californian estate planners are especially likely to use a living trust as part of an estate plan. While they are intended to save time and money when settling an estate, setting up and funding a California living trust does consume… read more…
Retirement
I Want to Convert $920k from a 401(k) to a Roth IRA. How Can I Reduce Taxes?
Transferring funds from a 401(k) into a Roth IRA lets you make tax-free free withdrawals in retirement, avoids rules on mandatory distributions and adds flexibility for estate planning. However, when converting a large amount of money, the potential tax bill becomes a major issue. Fortunately, strategies exist that can reduce the tax bill significantly and… read more…