Entries filed under 'Retirement Planning'

    Retirement Tip: Teach Your Children about Roth IRAs

    February 16, 2017 3:25 PM by Brian Dobbis

    In an underutilized strategy, parents and grandparents can help minors save for retirement, or college, for that matter. 

    THE ROAD TO RETIREMENT with BRIAN DOBBIS 

    Would you like to help your kids build wealth at a young age? In these uncertain times, who wouldn’t? College expenses are already exorbitant, and by the time “centennials” (born after 1995) reach retirement age, Social Security might be a ghost of its former self.

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    For IRA Beneficiaries, a Little-Known Tax Break with a Big Impact

    November 19, 2015 1:30 PM by Brian Dobbis

    The so-called IRD deduction could soften the impact of estate taxes on inherited retirement assets. Here’s how it works.

    THE ROAD TO RETIREMENT with BRIAN DOBBIS

    There is a large tax break available to people who inherit IRA or 401(k) plan assets—and most taxpayers aren’t even aware of its existence. It’s classified by the Internal Revenue Service as “Income in Respect of a Decedent” (IRD), and it’s worth a closer look from advisor and client alike. 

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    Few Changes to Retirement Plan Contributions and Income Limits in 2016

    October 29, 2015 5:36 PM by Brian Dobbis

    The absence of inflation in the economy precludes the IRS from raising income eligibility and contribution limits on retirement savings plans. 

    THE ROAD TO RETIREMENT with BRIAN DOBBIS 

    On October 21, 2015, the IRS released both the 2016 income and contribution limits for qualified plans and IRAs. As expected, most of the key limits remain flat from 2015 because the cost-of-living index did not rise sufficiently to trigger a statutory adjustment.

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    Heir Care: The Importance of IRA Beneficiary Designations

    October 15, 2015 3:10 PM by Brian Dobbis

    Make sure you are clear about what you’re leaving to whom and that your beneficiaries understand their inheritance options.

    THE ROAD TO RETIREMENT with BRIAN DOBBIS 

    Completing and periodically reviewing beneficiary paperwork is the single most important administrative task a retirement plan participant can take. Overlooking this seemingly easy step can lead to the wrong individual(s) inheriting your retirement nest egg.

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    Saving for Retirement? The Answer is SIMPLE

    September 4, 2015 9:50 AM by Brian Dobbis

    SIMPLE IRAs are flexible, cost-effective, and low-maintenance, making them great starter plans or 401(k) alternatives for small employers. The deadline for implementing 2015 accounts is approaching.

    THE ROAD TO RETIREMENT with BRIAN DOBBIS 

    Advisors who have entrepreneurs and small-business owners as clients or prospects frequently are asked for advice on how to establish a retirement savings plan that will be attractive to their workers and, at the same time, affordable to their clients. 

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    Retirement for the Ages

    July 23, 2015 1:57 PM by Brian Dobbis

    After spending most of your adult life saving for retirement, the last thing you want to do is make a mistake that will jeopardize your carefully constructed nest egg. Just remember three key ages.

    THE ROAD TO RETIREMENT with BRIAN DOBBIS

    Retirement-planning rules can be complicated, but ignoring or misunderstanding them can be costly—in terms of financial penalties and/or lawyers and accountant fees, not to mention considerable time. You get the picture.  Considering that there are more than 40 million IRA accounts containing some $7.6 trillion in assets, and given the many types of IRAs—Roth, traditional, SIMPLE, SEP, SAR-SEP, rollover, inherited, etc., each with their own rules—it’s little surprise that errors occur all the time.

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    Payroll Deduction IRAs: A Win-Win for Workers and Employers

    July 17, 2015 10:15 AM by Brian Dobbis

    These savings vehicles cost employers nothing and give employees full control over their investments as they build their nest eggs. Everybody wins.

    THE ROAD TO RETIREMENT with BRIAN DOBBIS 

    Advisors who want to appeal to small-business owners looking for an easy, flexible, and cost-efficient way to help their employees save for retirement would do well to consider a payroll deduction IRA

    The plans are easy to set up and maintain, and can be established by employers of any size, including self-employed individuals and sole proprietors. 

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    What You Need to Know about the Net Investment Income Tax

    October 24, 2014 1:15 PM by Vito Fronda

    Wealthy taxpayers can take steps now to manage the effects of the NIIT and potentially avoid an unexpectedly large 2014 tax bill.

    THE ROAD TO RETIREMENT Featuring VITO FRONDA  

    A note from Brian Dobbis: I get many tax-related retirement questions, and one of the most frequently asked has to do with the Net Investment Income Tax. I am turning over this week’s blog to Lord Abbett’s tax expert, Vito Fronda. 

    Certain higher-income earners were unpleasantly surprised this year when they paid their 2013 tax bills. The new 3.8% net investment income tax (NIIT), which resulted from the Affordable Care Act, increased the amount of tax due on the earnings generated from certain investments.

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