Asset Planning, Inc Blog

The latest from the team.

Do You Have a Plan for Your Aging Parents?

It’s a known fact that people are living a lot longer than they used to. Do you have a plan in place for your aging parents? I came across an interesting article in Financial Advisor Magazine about the toll being a care taker for your aging parents can put on you financially and emotionally. If you are facing the prospect of being the caretaker for your parents as they get older, the time is now to start having the important conversations with your family about getting an action plan together for their care.

Click here to read the full article

 

 

 

Continue reading
  45 Hits
45 Hits

IRA Contributions

While we are deep in the midst of tax season, we thought it was a good idea to remind our clients to get in their 2018 IRA contributions. If you are planning on dropping off a check to us the deadline to get them in is Wednesday, April 10th. This will ensure that your contribution is made before the April 15th tax deadline.

2018 contribution limits are $5,500 or $6,500 if you are over the age of 50

Also, now is as good a time as any to get in your 2019 contributions especially because the limits have been increased. The sooner you get these in the longer they have to grow in your IRA which means more retirement funds for you!

2019 contribution limits are $6,000 or $7,000 if you are 50 years of age or older

When it comes to non-deductible IRA contributions please be sure that you are keeping a record of these contributions by completing tax form 8606 for each year you make a non-deductible contribution. We have run into a few cases where no record is kept, and our clients are left scrambling to find that information when it is time to take distributions from their IRAs. This information will be needed to figure out what amount of your distributions will be counted as taxable income to you, so it is very important.

If you have any questions, please don't hesitate to call us.

Continue reading
  97 Hits
97 Hits

Earned Income and Social Security Tax

We came across an article on InvestmentNews.com written by Mary Beth Franklin. It gives a great explanation as well as examples and limits on how Social Security benefits are taxed if you are planning on working while collecting social security. Definitely worth a read if you have any income from other sources while collecting Social Security.

 

Click here to read the full article

 

 

Continue reading
  234 Hits
234 Hits

IRA & 401k Contributions Increase for 2019

2019 annual contribution limits for eligible tax filers:

401(k), 403(b), most 457 plans, and Thrift Savings Plan is increased from $18,500 to $19,000.

IRA contributions increased from $5,500 to $6,000 per year. The age 50+ catch-up contribution limit remains at $1,000.

Tax deduction and Income limitations for 2019:

Taxpayers can deduct contributions to a traditional IRA if they meet certain conditions. If during the year either the taxpayer or their spouse was covered by a retirement plan at work, the deduction may be reduced, or phased out, until it is eliminated, depending on filing status and income. (If neither the taxpayer nor their spouse is covered by a retirement plan at work, the phase-outs of the deduction do not apply.) Here are the phase-out ranges for 2019:

If single or joint married taxpayers are not covered by a work retirement plan, they may fully deduct traditional IRA contributions. Other tax filers may partially or fully deduct contributions if they meet the below exceptions:

  • Single taxpayers covered by a work retirement plan, can fully deduct if modified Adjusted Gross Income (AGI) is below $64,000. A partial deduction is allowed if modified AGI is between $64,000 to $74,000
  •  Married Joint taxpayers, where the spouse making the IRA contribution is covered by a workplace retirement plan, can fully deduct if modified AGI is below $103,000. A partial deduction is allowed if modified AGI is between $103,000 to $123,000
  • Married Joint taxpayers, where the spouse making the IRA contribution is not covered by a workplace retirement plan, but the other spouse is, can fully deduct if modified AGI is below $193,000. A partial deduction is allowed if modified AGI is between $193,000 to $203,000

The Modified AGI phase-out range for Roth IRA contributions is $122,000 to $137,000 for singles and heads of household, $193,000-203,000 for married couples filing jointly.

Continue reading
  246 Hits
246 Hits

2019 Medicare and Social Security Changes

Medicare just released the new premiums, deductibles and coinsurance amounts for 2019.

The standard monthly premium for Medicare Part B enrollees will be $135.50 for 2019, an increase of $1.50 from $134 in 2018.

The annual deductible for all Medicare Part B beneficiaries is $185 in 2019, an increase of $2 from the annual deductible $183 in 2018.

If your modified adjusted gross income as reported on your IRS tax return from 2 years ago is above a certain amount, you'll pay the standard premium amount and an Income Related Monthly Adjustment Amount (IRMAA)

Here is a chart for reference

Medicare Premium Chart 2019

Social Security announced that in 2019 there will be a 2.8% Cost of Living Adjustment(COLA).

Continue reading
  371 Hits
371 Hits

Trump's Proposes to Extend RMD Age

President Trump issued an executive order directing the Treasury Department to extend the age for required minimum distributions from retirement accounts. Currently the age is 70 1/2. His reasoning is that people are working and living longer. This can be good news for some of our clients who don't necessarily need to take the withdrawals at 70 1/2. Here is an articles from Forbes with some pros and cons to the proposed change.

Read Here

Continue reading
  302 Hits
302 Hits

Ebook: Tips to Planning a Successful Retirement

Check out our new Ebook! In it you will find some valuable tips and guidance for retirement planning from our CERTIFIED FINANCIAL PLANNERS®.

Tips_to_Planning_a_Successful_Retirement.pdf

Continue reading
  326 Hits
326 Hits

Time for a Financial Checkup

After the hustle and bustle of the holidays and the start of a new year, most people start to look ahead and like the idea of a fresh start. Take advantage of this motivation by applying it to your finances as well and giving yourself a financial checkup.  Yes, I know that taking a good hard look at your finances is not always something that you look forward to. But being realistic about your current financial situation, making some goals and putting an action plan together will put you on the right track to having a successful retirement with less to worry about and more time to enjoy yourself.

I found an article in the December 2017/January 2018 edition of AARP magazine written by Michelle V. Rafter, that outlines some steps to get you started on your financial check up journey. Check it out by clicking the link below.

https://www.aarp.org/money/credit-loans-debt/info-2017/financial-checkup.html

May 2018 be your most financially fit year ever!

Samantha

Continue reading
  430 Hits
430 Hits

My Social Security Account

In an effort to go green, the Social Security Administration is now only mailing Social Security statements to workers 60 years old and over who are not receiving Social Security benefits. They do however offer a convenient online service that allows you to access your benefit information, earnings records and statements as well as complete a number of other services with the Social Security Administration. You will need to create a My Social Security Account to do so. I have included some instructions taken directly from their site to set up your account along with some detailed information on the benefits of using their online services.

Go to https://www.ssa.gov/myaccount

Click on Sign In or Create Account

My Social Security Account 2

What does a my Social Security account let me do?

If you do not receive benefits, you can:

  • new Request a replacement Social Security card if you meet certain requirements;
  • new Check the status of your application or appeal.
  • Get your Social Security Statement, to review:
    • Estimates of your future retirement, disability, and survivors benefits;
    • Your earnings once a year to verify the amounts that we posted are correct; and
    • The estimated Social Security and Medicare taxes you’ve paid.
  • Get a benefit verification letter stating that:
    • You never received Social Security benefits, Supplemental Security Income (SSI) or Medicare; or
    • You received benefits in the past, but do not currently receive them. (The letter will include the date your benefits stopped and how much you received that year.); or
    • You applied for benefits but haven’t received an answer yet.

If you receive benefits or have Medicare, you can:

Thank you for Going Green!

 

Continue reading
  422 Hits
422 Hits

YOLO

Sandy in the Amazon

During my 30 year career I have encouraged  clients to carefully save and prepare for retirement. Now I want you to reach beyond your comfort zone and embrace something new, something exciting, possibly scary. I was recently in the Galapagos and loved that portion of the trip but I also signed up for an Amazon rainforest extension that pushed my boundaries. This self-declared "prissy girl" was going to a very remote part of the world, completely off the grid. No cell, wifi, satellite, news or electricity- which was great for my daughter to be unconnected. We had dim light by solar, hunidity, heat, lots of bugs, birds, snakes, caimans and creatures. I was in a swamp with the Shaman, a medicine man, a healer of the community. To appreciate what we have, go to where they have not. View the world as exciting and try a new hobby, volunteer, give back, get involved. YOLO means "you only live once" and I have lived by that attitude for years. Take the road less traveled. Take a leap.

Continue reading
  538 Hits
538 Hits

Search Blogs Module

Wait a minute, while we are rendering the calendar
card reader Amazon CFP ® Treasury Department spring cleaning prescription eyeglasses April 11 contribution limit estate planning Brexit vote vision screening 70 1/2. jury duty 2017 Equifax breach Asset Planning app FEMA website Orange County Superior Court executive order settlement options portal assets Shred paperwork retirement planning official certification clients insurance policy policy fees fun atmosphere Flexible Spending Account pet industry Auto insurance disaster areas credit card company retirement accounts check lists house sitter fun facts Medicare Part B ice cream Supplemental Security Income Social Security Administration Two-Step Verification company Social Security Roth IRA banking IRA accounts Notary Public information phishing sites pet supplies 2018 IRA contributions Part B 20 year anniversary Kiplinger Letter home security IRS deadline emergency kit Open House chip-enabled EMV cards CERTIFIED FINANCIAL PLANNER exam phishing scams Healthcare Orange County D premiums car loans https ://seekingalpha 2017 IRA contributions rescue organizations drive /usb self-help topics phone companies interest rates illiegal robocallers DNA test kits spam phone Medicare Part B premiums Financial Planning Magazine credit card fraud blog post EEChecklist-Kits.pdf stockpilingchecklist.pdf money identity thieves web address toilet paper cell phone carriers offer retirement plans pets National Ice Cream month Victor Dergunov home mortgages Facebook profile vacation wells Fargo credit cards Open Enrollment credit freeze life saver Kraig Mathias debt integral member paperwork clutter Medicare question cell phones asset Planning Legal robocalls scams 900 number Medicare retirement client portal Retirement Contribution Limits April 18 2017. “ skimmer ”. estate trust earthquake app 401K VOIP landline phones Wells Fargo customers Mobile Banking Security Tips documents opt-out home emergency preparedness kits Part D premiums . April 15 relief efforts consumer spending 23 andme padlock Fox News story Erin Nelsen non-prescripstion sunglasses president Trump increase emergency folder investment statements privacy notices information Facebook borrowing money partner /owner 4 pm -8pm https :// privacy settings pet Wells Fargo employees breach identity theft 2017 TD Ameritrade National LINC Conference credit score Ice Cream Social ID card Federal Trade Commission website health care costs birth certificates July 4 home emergency kit insurance policies summer gap insurance clone counterfeits October 1 2020. tax season trustee memorial Day weekend parking spots ice cream event notary services Puerto Rico bottom line California Lions Friends tax deadline checklists FSA account numbers credit monitoring service driver license email notifications Affordable Care Act flash drive June 29 home break-ins clients show support home Independence Day