 If I get one question more than any other, it's this one. Whether someone is interviewing a financial advisor or simply trying to figure out what's important to know in their own financial journey, many people simply don't know what's most important to keep an eye on. As I work with those age 50 and over, I would like to help frame your mind on what Certified Financial Planners™ concentrate on with their clients, each and every year.
0 Comments
What Financial Challenges Could High Earners in Georgia Face During the Biden Administration?3/29/2021  This content is developed from sources believed to be providing accurate information, and provided by Larsen Wealth Management, LLC. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security.
 Interviewing financial advisors for this very vital role in your life can be daunting. Plus, the 21st century brings with it new threats to your finances, so your “toolbox” of questions needs to be updated as well. You are trying to achieve many objectives, such as help to plan for key life events and investing your hard earned assets in the most appropriate way. You not only need assistance in achieving your goals but you want to do so in a fashion that represents who you are. You also want peace of mind and time so you can go off and do the things that are most enjoyable to you, which encompasses the majority of your focus and attention.
 In my 20 year plus career here in the Atlanta area, I have noticed a few things about those of us in our 40's and 50's. Whether we saved enough money earlier in life or not, our 40's is a challenging decade to save with kids in college. That's why I have always called the decade of our 50's, the "catch up" decade. It is that mad scramble to make up for lost time and really focus in getting as much into savings as you can to reach retirement, or at least have options. Reaching retirement is exciting, but having enough to maximize your quality of life during retirement is key. You’ve likely heard of a backdoor Roth IRA, but for some looking to maximize their withdrawals in retirement, a mega backdoor Roth IRA may be the way to go.
What is a mega backdoor Roth IRA? Below we’re breaking down what you need to know about this retirement savings strategy.  Student loan debt reached $1.48 trillion in America by the end of 2019, with approximately 45 million borrowers across the United States.1 Here in the State of Georgia, we have the third highest average debt in the nation at $39,272 per borrower2, of which there are a lot of. It is estimated that over 1.6 million Georgia residents currently hold a student loan. Amidst the COVID-19 pandemic, many Americans have experienced financial instability. This means that for 45 million Americans, paying down student loan debt may be harder than ever before.
 The coronavirus pandemic has been hard on everyone in Georgia and throughout the United States this year, and we’ll continue to see big adjustments in our everyday lives for months to come. Whether you’ve personally battled the illness, faced financial difficulties or postponed important plans, it has not been easy on anyone. But this doesn’t mean you should simply stop planning for the future. Here is why you should start a targeted plan now plus six tips for funding your retirement bucket list.
 “It turns out my job was not to find great investments, but to help create great investors,” writes Carl Richards, author of “The Behavior Gap.”1 From increasing our budget mindfulness to taking a steadier approach to investing, Richards has drawn attention to the way our unexamined behaviors and emotions can be our detriment when it comes to living a happy and financially sound life. For Georgia retirees, investing behavior may just be the single biggest factor that determines your success in retirement.
 As we face a “likely" climate where taxes are going to be higher, I wanted to share a couple of optimal planning ideas to avoid - what I call “Tax Torpedoes”. What is a tax torpedo? It’s when your effective rate on certain portions of your income is higher than the statutory tax rate (in essence, the legal tax rate for each bracket of total income).
While every strategy will not be applicable to you, there is at least one idea that regardless of where you are in life, should be considered to potentially reduce your taxes and increase net income.  Are you looking for more control over your retirement investments? A self-directed IRA can be a beneficial plan for many people and enables holders to invest in unique assets, like real estate and precious metals. However, it also comes with increased responsibility and regulations. To find out if a self-directed IRA (SDIRA) is right for you, consider the below factors.
 Whether you’re just easing out of the workforce or you’ve been in retirement for a few years now, making the right financial moves is critical. If you’re working with an advisor or taking a look at your finances yourself, one central goal during retirement is protecting your wealth from unnecessary taxes.
In many cases, there are ways to avoid owing more taxes - but usually, this requires proactive action beyond tax season. Below we’ll explain four tips you can utilize throughout the year to help minimize your tax obligations in retirement. |
AuthorRoy Larsen is a Certified Financial Planner™ practitioner and Fee Only Wealth Manager who resides outside of Atlanta, Georgia. 
Roy's Financial Blog contains articles on the multiple and complex issues of living successfully in Retirement. There are additional resources on our educational website, www.successfulretirementinstitute.com.
Categories
All
|
Larsen Wealth Management, LLC is a Registered Investment Adviser. Advisory services are only offered to clients or prospective clients where Larsen Wealth Management, LLC and its representatives are properly licensed or exempt from licensure. This website is solely for informational purposes. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal capital. No advice may be rendered by Larsen Wealth Management, LLC unless a client service agreement is in place.