This Saturday hear
Nancy Hecht CFP® and
Joe Bert CFP®
co-host our program
“On The Money”!
They’ll be discussing . . .
• There are only 8 weeks left!
What you need to do now
to reduce you tax bill for 2013.
• E mail Question: “ If I retire at age 63,
but don’t take my Social Security until 66,
will my benefit be cut.”
• THIS WEEK’S “On the Money 101”:
‘NUA’ Net Unrealized Appreciation
Disclosures:http://www.hechteffect.net/?page_id=31
That’s right, only 8 weeks left in 2013. Visions of holiday dinners and gift buying pop into our minds, but what about our taxes? Yes, I said taxes. It is not too late to make sure you have done all you can for yourself to avoid paying too much in taxes.
Have you fully funded your retirement plan? Have you used your flexible spending account? Have you paid your Property Tax? Have you made all of the charitable deduction(s) you wanted to? These are all important issues and you do not want to leave money on the tax table that can be left in your pocket.
One thing I have done with a couple of my clients is a “mock” tax return. We have gone to www.irs.gov, printed off a blank 2012 1040, applied what we know of the 2013 tax code, and processed a “mock” return. In one case, we were able to see how much could be pulled from the IRA account and not push the client into a higher tax bracket. Another client wanted to pay off their mortgage. We discovered that they could do this and not pay more in tax even though they no longer would have their mortgage interest as a deduction.
So go ahead, do the return. Confirm to yourself that you have done everything you can to lower your own tax picture, and then get to planning for your holidays. After all, there are only 8 weeks left!
disclosures:http://www.hechteffect.net/?page_id=31
“Not true, and “a lot” means different things to different people”. Was my response to the above comment to a caller. Comprehensive financial planning can benefit everyone. Here are just a few of the things we can help you do:
We can help you define your financial goals. Right now I am helping a couple determine if buying or renting is the best financial decision for them. This seems to be a short term decision, however, it will impact their longer retirement plans.
We can help you see if your timeframe is realistic. Many people say they want to retire early, through planning, we can see if that is do-able or not.
We can look at how you are spending and how that impacts your goals. When I hand someone our expense summary worksheet, they are not happy with me. It is the worst, yet most important part of data gathering. I need to know how you are living your life, plus taxes and inflation, to see if you can make that retirement goal at the time that you wish.
Financial planning is for everyone.
disclosures:http://www.hechteffect.net/?page_id=31
Q: I am 68 and retired. My pension, which is $610/month, has been sold. I was offered a lump sum of $100,000 or I can keep the $610/month. Which is better for me?
A: At $610/month you are receiving $7320/year. That is 7.32% based on the $100,000 offer, which is a very good annual yield – guaranteed to you. If you live longer than 13 years, which is very possible, you will have more money with your current monthly pension than the lump sum. I would keep the monthly pension.
disclosures:http://www.hechteffect.net/?page_id=31
Q: I am in a long-term, committed relationship. We own everything jointly. Is it better in the case of illness or death to be married? — D., 80, Leesburg
A: As long as all of your accounts are titled properly to pass without probate and you have all of necessary legal documents in place in the case of illness, then there is no legal reason to get married. — Nancy Hecht
disclosures:http://www.hechteffect.net/?page_id=31
This Saturday hear
Denise Kovach CFP®
and Nancy Hecht CFP®
co-host our program
“On The Money”!
They’ll be discussing . . .
• Habits That Can Ruin
Your Retirement
• Don’t Get Blindsided By This Scam
• Listener Question: Until I can build up a cash emergency fund, should I open a home equity credit line?
• THIS WEEK’S “On the Money 101”:
What is the Securities and Exchange Commission (“SEC”)?
Call or eMail
your questions:
407-290-0058 OR
1-800-328-5858
Denise@FinancialGroup.com
Nancy@FinancialGroup.com
Congratulations – you are finally retired! You deserve that vacation, those meals out 3 nights a week, and the car of which you have always dreamed. But what is the real cost? A common mistake many retirees make is living beyond their means. There is a “why wait” attitude that many retirees have that can lead to disaster. You still need to have a budget and spend modestly, not like the money is burning a hole in your pocket. If you live a modest financial life in retirement, you will reduce the risk of outliving your savings.
Disclosures:http://www.hechteffect.net/?page_id=31
So, we know that you have enough to keep yourself busy, and you have figured out what you are going to do with all of your time – now, we have to discuss the realities of aging.
You have arrived in retirement and the fun has begun, but you are also frustrated with the difficulties of aging. This frustration is something new. It is hard to prepare for something you have not experienced before. Prepare you must. You will move a bit slower, things won’t taste as good, your sight will be off, etc. As long as you maintain a healthy lifestyle, you will endure. Maintain a positive outlook and enjoy!
Disclosures:http://www.hechteffect.net/?page_id=31
Do you have enough to keep yourself busy?
Most of my clients say they have so much to do when they retire, but for many that only lasts a couple of months. After all of the “honey do” items have been completed, and you take that trip to visit your Grandkids, what is next? A little relaxing and doing nothing is fine for a bit. Often, too much free time leads to overeating and overspending. Try to find that perfect combination of things you enjoy doing, pursuits that are meaningful, and relaxing to establish a healthy balance for your time in retirement.
DISCLOSURES:http://www.hechteffect.net/?page_id=31
Most couples spend the bulk of their day apart; working, running, errands, or doing volunteer work. The separate lives we lead while working come to a screeching halt upon retirement. Can your relationship handle it? Whatever portion of your time you now dedicate to each other is very different from a 24/7 life together. You need to think now, before you retire, about how you will spend your time together and apart. Communication is key. Discuss your expectations as well as your individual and joint interests. Things will be a little strange in the beginning, but will smooth out as long as you consider the real changes that come to your relationship with retirement.
disclosures:http://www.hechteffect.net/?page_id=31