Social Security Tax Liability
Posted on March 1, 2016 by bob in Financial, MoneyWise, Social Security
Despite tax software ads on TV, understanding income taxes for planning purposes can be difficult. Sometimes the income tax results can be peculiar if not downright perverse. To illustrate the point and alert the unwary, consider the federal income tax treatment of Social Security benefits. (Fortunately, Social Security benefits are not subject to Alabama income […]
SS Changes May Affect Your Retirement
Posted on January 30, 2016 by bob in MoneyWise
On April 7, 2000 the Senior Citizens’ Freedom to Work Act was signed into law. Among other things, the law created the “file and suspend” and “restricted application” strategies which for 15 years provided married couples an array of strategies to consider for maximizing their Social Security retirement income benefits. On November 2, 2015 the […]
Is a ROTH right for you?
Posted on December 1, 2015 by bob in MoneyWise
A Roth account is the only income tax-free (not just tax-deferred) account structure available to most people. If you do not have money in a Roth account, keep reading. Even if you are already retired or will soon leave the workforce, you may benefit from a Roth. Roth Basics One of the main attractions of […]
Retirement Tax Tactics
Posted on November 3, 2015 by bob in MoneyWise
“…the difference between using a refined retirement income strategy and winging it can be thousands of dollars over a period of years.” Since the tax impact of pulling money out of different account types is not the same, retirees can stretch their money by making well-informed choices about which account to tap for spendable dollars. […]
A Sustainable Retirement Rate
Posted on October 4, 2015 by bob in MoneyWise
Most retirees these days rely mainly on Social Security and a retirement account other than a traditional pension that pays a fixed monthly payment for life. The retirement account may have begun as an employer-sponsored profit sharing plan, 401(k), or similar plan before being rolled into an IRA. While the owner of an IRA may […]
“Bridge the Gap” when you need extra funds
Posted on August 31, 2015 by bob in MoneyWise
Advisors recommend having an emergency fund because financial needs can pop up unexpectedly from time to time. Sometimes, though, that reserve fund may be insufficient or may have been depleted by an earlier need. What to do? If you cannot postpone the spending until you save the needed money, borrowing is the usual course of […]
Financial Flexibility
Posted on July 31, 2015 by bob in MoneyWise
Financial flexibility is the capacity to respond effectively to unexpected financial challenges or opportunities, such as emergencies not covered by insurance or highly attractive investments available for a brief window of time. Financial flexibility is the result of three conditions, each of which is the result of intentional decisions. By knowing the three conditions and […]
Make Money With A Match
Posted on July 2, 2015 by bob in MoneyWise
A recent story by Reuters columnist Liz Weston cited some revealing statistics: — Just over 40% of Americans participate in a retirement plan. (That means 60% do not!) — A quarter of retirement plan participants miss out on some or all of their available match. — The aggregate value of the lost employer-matching contributions is […]
Help Your Money Fly
Posted on June 2, 2015 by bob in MoneyWise
Tried-and-true tips for getting good airfares.
Boomerangs, Boundaries & Expectations
Posted on April 30, 2015 by bob in MoneyWise
With graduation season around the corner, what are the chances you could experience a boomerang child returning to the nest? Some parents may view such an experience as pure joy. If you are not part of that crowd, setting some boundaries and expectations early can help protect family relationships and assist your children with a […]
