The only 2 things unavoidable in life are death and taxes. While neither of these are fun to talk about, making smart decisions around the inevitable can lead to successful outcomes. While it's never pleasant to talk about the death of our parents, or our own demise, planning for an inheritance is an essential part of your overall financial plan. This is an essential part of financial management that helps ensure your family's future is secure.
As we reach the middle of the year, it's a great time for retirees to check in on their finances. Making sure you don’t run out of money during retirement takes careful planning and regular reviews. Here’s a simple guide to help you stay on track.
Deciding what to do with your old 401(k) when you retire or change jobs can feel overwhelming, but it’s a crucial decision that can significantly impact your financial future. Rolling over your 401(k) into an IRA offers numerous benefits that can enhance your investment experience and help you achieve your retirement goals. Here’s why you should consider rolling over your old 401(k):
Summer is here, and it's the perfect time to travel. Many of our clients love to explore new places, and we get excited to see them take amazing trips. We take pride in knowing our financial planning has helped them travel worry-free. At Seaside Wealth Management, we make sure our clients' Social Security is maximized, Medicare is set up well for travelers, and their retirement income is solid and predictable. Our financial plans include a travel budget and account for inflation, so clients know exactly how much they can spend on their adventures. We hope you get out, enjoy some fantastic vacations, and live like every day is Saturday.
With the recent changes brought by the SECURE 2.0 Act, there's exciting news for those with leftover 529 plan funds. Starting in 2024, you can roll unused 529 assets into a Roth IRA for the beneficiary without facing tax penalties. This new option provides flexibility for managing your child's educational and retirement savings. Let’s dive into the details and explore how this can benefit you and your family.
For many people, contributing to a Roth IRA is a fantastic way to save for retirement due to its tax advantages. As long as you are over the age of 59.5 and have had the Roth IRA for at least 5 years, all your distributions in retirement are tax-free. Given the current economic climate, many experts anticipate that tax rates will rise in the near term. Even if no new tax laws are enacted, the Tax Cuts and Jobs Act will sunset after 2025, resulting in higher tax rates. Coupled with the recent federal spending due to the pandemic and increased government debt the likelihood of increased future taxes makes a Roth IRA even more valuable.