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Many families do not anticipate long-term care needs until a family member needs it immediately. While crisis long-term care planning is possible, the best time for thinking about long-term care is before you (or a loved one) need it. Planning for the potential need gives you time to learn about the wide variety of services and their costs. It also allows you the authority to make significant care decisions while you are still capable, as opposed to another person making the decisions for you.
What Is Long-Term Care?
Long-term care encompasses a broad spectrum of services and supports necessary for an individual’s personal care needs. The care involves day-to-day help needed by people with illnesses that endure over time. These illnesses tend to be chronic, physical infirmity, or cognitive disability — reducing the individual’s capacity to care for themselves.
Funding Long-Term Insurance Expenses
Medicare
A common misconception about long-term care is that Medicare will ultimately pay for it. Some people expect that Medicare pays long-term care expenses for Medicare recipients. While Medicare may cover limited costs of short-term care, Medicare does not pay for non-skilled nursing home care. This means Medicare does not pay for non-skilled assistance with ADLs, which make up the overwhelming majority of long-term care services.
Medicaid
Medicaid (TennCare in Tennessee) may pay for long-term care services, but eligibility depends on the individual’s financial and medical condition. Medical eligibility is contingent on the applicant’s ability to perform ADLs. The scoring system varies in each state. In Tennessee, this means that TennCare may cover nursing home services for eligible applicants. TennCare may also cover home and community-based services for people who would need to be in a nursing home if they otherwise did not receive home care services. Finally, TennCare may also cover services that will help the applicant remain in his or her home if eligibility is met.
Avoid the Risk
Unfortunately, growing older is a fact of life and healthcare concerns increase with age. Clients can embrace a healthy lifestyle to reduce the risk, but nobody can completely avoid the risk with any certainty. Clients can also choose to live in denial that a LTHC incident may never happen to them and do nothing to protect themselves. Unfortunately the odds do not favor this approach, given that about 70% of individuals over age 65 will require at least some type of long-term care services during their lifetimes and 20% will need five years or more of care (US Dept of Health and Human Services; see Long Term Care.
Transfer or Share the Risk
Clients can pay a credible entity, typically an insurance company, to cover some portion of the risk.
Of course, it is incumbent on us as comprehensive advisors to help clients understand these options and guide them toward making the most effective decision for their situation.
The good news is that a number of recent innovations have made LTHC insurance more economically attractive to share the risk of a LTHC incident with a financially sound insurance company.
Fresno Financial Consultant Takeaways
Fresno portfolio advisor– Soutas Financial appreciated these points:Long-term care encompasses a broad spectrum of services and supports necessary for an individual’s personal care needs. The care involves day-to-day help needed by people with illnesses that endure over time.A common misconception about long-term care is that Medicare will ultimately pay for it. Some people expect that Medicare pays long-term care expenses for Medicare recipients. While Medicare may cover limited costs of short-term care, Medicare does not pay for non-skilled nursing home care.Medicaid (TennCare in Tennessee) may pay for long-term care services, but eligibility depends on the individual’s financial and medical condition.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage Medicare long term care as well as risk management designed to help accomplish those goals.
When searching for Fresno financial advisors, look no further than Soutas Financial & Insurance Solutions Inc. your Fresno financial planning consultant is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning, Tax-Efficient, Strategies IRA, 401(k) & 403(b) Rollovers, Life Insurance, Annuities, Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!
We are an independent firm helping individuals create retirement strategies using a variety of insurance products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173
This material is intended to provide general information to help you understand basic retirement income strategies and should not be construed as financial advice.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
-1028383 – 9/21
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
Our firm is not affiliated with the U.S. government or any governmental agency. Individuals are encouraged to consult with a qualified professional before taking any withdrawals from their retirement assets or insurance policies.
What is Asset Protection?
Asset protection refers to a set of techniques, strategies, and laws that aims to protect assets belonging to individuals and businesses against the claims of creditors who are attempting to legally seize the assets.
If you have substantial assets or are coming into a windfall from a sudden wealth event such as an inheritance, lawsuit, stock options sale, business sale or from a sports/entertainment contract, there are several money moves you should consider to best protect your new wealth against lawsuits and from others.
How Does Asset Protection Work?
Asset protection planning is based on the analysis of various factors that determine the degree of protection required. The following diagram shows the most important factors:
Identity of the Debtor
If the debtor is an individual, it is important to consider any transmutation agreements (agreements that determine whether properties are equally shared by spouses or separate) between the individual and their spouse. It is also important to consider the likelihood of a lawsuit for each spouse – so that property rights for assets can be transferred to the ‘safer’ individual before lawsuits are filed.
If the debtor is an entity, then the individual who guaranteed the repayment is liable to asset seizure in the event of a lawsuit. For asset protection planning, it is important to take note of any clause that obliges an individual to personally repay an organization’s/entity’s debt and the likelihood of creditors seizing personal assets.
Identity of the Creditor
The identity and type of creditor are important for asset protection planning. If the creditor is a powerful organization, like the government, they are likely to possess more power over asset seizure compared to private lenders. Individuals who are liable to an aggressive creditor may require stronger asset protection strategies and vice versa.
Nature of the Claim
The specific types of claims and limitations included in lending agreements determine the strength and type of asset protection required. For example, dischargeable claims (claims that can be written off or “injuncted” by the court) can be used to protect personal assets in the event of bankruptcy and require a relatively lower degree of asset protection.
Consider keeping assets separate. Depending on the state in which you live and the source of your windfall, if you deposit the money into a joint account with your spouse, this money could instantly become half theirs. For some, this isn’t an issue, but for others, this could pose a problem. For example, if you have children from a previous marriage and commingle an inheritance you receive with your new spouse, your children may get less than you expect when you pass away. This problem becomes even more damaging if you are contemplating a divorce.
Review all jointly held accounts. Any money you deposit into a joint account with your children, elderly parents, roommate, or business partner is at risk. If the joint owner files for divorce, incurs a tax lien, or lawsuit judgment, the entire account could be wiped out.
Create business entities to shield assets. If you have a small business or do part-time work on the side without having a formal business structure such as an LLC or a corporation, you are operating as a sole proprietorship. The “sole” means it’s just you, so unlike a partnership, you don’t have to worry about a partner’s actions . . . but all of your personal assets are at risk if you are sued.
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
Fresno Retirement Consultant Takeaways
Fresno portfolio advisor– Soutas Financial appreciated these points: If you have substantial assets or are coming into a windfall from a sudden wealth event such as an inheritance, lawsuit, stock options sale, business sale or from a sports/entertainment contract, there are several money moves you should consider to best protect your new wealth against lawsuits and from others. Asset protection planning is based on the analysis of various factors that determine the degree of protection required.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage strategic wealth management as well as retirement annuity designed to help accomplish those goals.
When searching for Fresno financial advisors, look no further than Soutas Financial & Insurance Solutions Inc. your Fresno financial advisor variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning, Tax Efficient Strategies IRA, 401(k) & 403(b) Rollovers Life Insurance Annuities Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial your top financial advisors in Fresno, Ca., to get your retirement plans on track for success!
Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173
via 6 Asset Protection Strategies To Shield Your Wealth
We are an independent firm helping individuals create retirement strategies using a variety of insurance products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173. This material is intended to provide general information to help you understand basic retirement income strategies and should not be construed as financial advice.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
1028383 – 9/21
While there’s a lot of planning involved in the short-term, your financial decisions in your “younger” years have an impact on how your retirement and stream of income will pan out. If you’re actively thinking about your future retirement plans, here are a few wealth accumulation strategies that will help lead you on a smooth path. Here are 6 suggestions to remember.
Lower Debt, Increase Income
The debt to income ratio is always one of the most important financial indicators when it comes to wealth management. It’s merely your monthly debt expenses compared to your monthly gross earnings. For wealth accumulation purposes, lowering debt is essential.
Save on Vehicles
I was very fortunate that I learned this lesson when I was still in college. This led to me driving a 1998 Chevy Lumina that was completely paid for because I inherited it from my deceased grandmother.
Not having a car payment allowed me to invest into myself, my Roth IRA, and my 401(k).
According to Jason Fogelson for Forbes: “The biggest mistake a car buyer can make, especially in the age of the Internet, is to buy a car without doing research first. Some buyers are so eager to get through the car-buying process that they don’t take the time to find out everything they can about vehicle reliability, pricing and financing.”
I agree. But let’s focus on the financing part for a minute. Car loans come with ridiculous interest rates that nobody should have to pay for to obtain transportation. Car loans can easily be one of the highest-cost debts of many American households.
Too many people view the car payment as “normal.” Sure, it’s normal, but “normal” won’t help you produce wealth, my friend. Instead, consider doing what I did and drive a car that you own outright. It’ll be easier on your pocketbook over the long-term – I promise.
Regular Investment Activity
Investing is a key factor in wealth accumulation. While you may have a steady full-time job or even more than one stream of income, where you put a portion of the income matters.
Save a Percentage of Your Income
Savers like my wife and I are definitely in the minority. Very few people save a substantial amount for the future, but if you think we’re in the minority, then check out Pete from MrMoneyMustache.com who advocates that you should be saving between 30 to 50% of your income. While that’s definitely on the extreme side of things, Pete is just another example of how it can be done.
Granted, the more you make the larger a percentage you can save. The point here is to make some steep sacrifices so that you can put more of your wealth toward investments that are right for you.
Multiple Retirement Contributions
It’s important to remember that while a 401(k) is a great start to making retirement contributions (especially if your company has a matching plan), it doesn’t have to end there. Retirement accounts can come in different forms, from 401(k) accounts via an employer to traditional and ROTH IRAs.
Fresno Retirement Advisor Takeaways
As your Fresno financial advisor we thought this was a good takeaway:For wealth accumulation purposes, lowering debt is essential. Car loans come with ridiculous interest rates that nobody should have to pay for to obtain transportation. Car loans can easily be one of the highest-cost debts of many American households.Granted, the more you make the larger a percentage you can save. The point here is to make some steep sacrifices so that you can put more of your wealth toward investments that are right for you. Retirement accounts can come in different forms, from 401(k) accounts via an employer to traditional and ROTH IRAs.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage stop spend down as well as long-term care strategies designed to help accomplish those goals.
When searching for Fresno financial advisors, look no further than Soutas Financial & Insurance Solutions Inc. your Fresno financial planning consultant is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning, Tax-Efficient Strategies, IRA, 401(k) & 403(b) Rollovers, Life Insurance Annuities, Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!
Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
via 9 Ways To Build Wealth Fast (That Your Financial Advisor Might Not Tell You)
via Three Important Wealth Accumulation Strategies
We are an independent firm helping individuals create retirement strategies using a variety of insurance and investment products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173. This material is intended to provide general information to help you understand basic financial planning strategies and should not be construed as financial or investment advice. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
1028383 – 9/21
Historically, inflation has been highly correlated with unemployment levels. When more people were out of a job, inflation was lower. As more people got jobs, inflation increased. From an economic point of view, this makes sense. Jobs increase income, which increases spending, which increases demand — supplies drop and prices rise. The opposite is true when fewer people hold jobs.1
That’s one thing that makes economic policy so difficult to set. It requires a careful balance of cause and effect, keeping in mind that what’s good for some portions of the population is bad for others. During periods of rising inflation, it’s important to monitor how it might affect us personally, from buying household goods to managing a portfolio. While economists are keeping an eye on the direction and momentum of rising inflation now, you may want to consider adding inflation-protection measures to your investment portfolio at some point. Contact us if you’d like to learn more about allocations to treasury inflation-protected securities (known as TIPS), real-estate investment trusts or commodities to help hedge the effect of rising inflation.2
In April, the inflation rate grew to 4.2%, which drove speculation that the Federal Reserve might reconsider its current stance on interest rates and monetary policy. The consumer price index (CPI) rose significantly for used cars and trucks, food, housing, airline fares, recreation, motor vehicle insurance, household furnishings and operations.
Currently, the federal funds target rate (which serves as the benchmark for bank interest rates) ranges from 0 to 0.25%. Previously, the Fed indicated that it expects to maintain a near-zero interest rate through 2023. The central bank targets an average inflation rate of 2 percent throughout time, so it appears not particularly concerned with the recent spike. In recent comments, Fed chairman Jerome Powell noted that the committee was monitoring “a broad range of financial conditions,” rather than focusing on addressing just one.3
Besides, Fed officials expected inflation to increase as the U.S. economy reopened. The surge in prices is expected to be temporary, as it is simply a matter of a supply crunch after months of pent-up demand. It’s normal that prices for hotel rooms, rental cars, used vehicles, sporting events and restaurants will go back to their pre-pandemic levels. Once jobs, consumerism and inflation reach a level of normalization, the Fed will consider whether it needs to raise the target federal funds rate.4
In terms of the investment market response, CNBC’s Jim Cramer observed that people expected high inflation due to stimulus and jobs numbers. As a result, when the numbers were announced the market didn’t panic – thus far it has taken the high inflation number in stride. Cramer went on to note that raising interest rates won’t solve all the problems that occurred last year. In many cases, only time can resolve them.5
Likewise, time may resolve the current labor shortage, as restaurants and hotels struggle to find enough workers to fill open jobs. Additionally, the current strong economy could solve for the national minimum wage debate without the need to pass new legislation. For example, retailers Amazon, Costco and Target have all voluntarily increased wages to $15/hr or more to meet demand. This strategy follows the traditional economic principle of supply and demand, in which the only way to stay competitive in the labor market is to increase wages. After all, workers have to keep up with the rising costs of housing, childcare, food and transportation.
Speaking of childcare, after decades of working mothers in the labor market, it will be interesting to see if the rising economy also can address the problem of childcare. During the pandemic, more women than men left their jobs to stay home with children sidelined from schools and childcare centers. This phenomenon may continue until employers — or legislators — come up with a solution. It will be difficult for the American economy to advance while there are millions of unemployed women staying home because of trouble securing child care.
The pandemic also convinced twice the number of Baby Boomers to retire than the previous year. Raising wages and providing more childcare resources, paid parental leave and paid vacation time may be the only way to woo more people back into the labor force.6
Fresno Financial Consultant Takeaways
When it comes to Fresno retirement planning Soutas Financial puts your future 1st.Jobs increase income, which increases spending, which increases demand — supplies drop and prices rise. The opposite is true when fewer people hold jobs.1While economists are keeping an eye on the direction and momentum of rising inflation now, you may want to consider adding inflation-protection measures to your investment portfolio at some point. Speaking of childcare, after decades of working mothers in the labor market, it will be interesting to see if the rising economy also can address the problem of childcare.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage strategic wealth management as well as retirement annuity designed to help accomplish those goals.
Are you trying to find an investment advisor? Look no further than Soutas Financial & Insurance Solutions Inc. your Fresno financial planner is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning, Tax-Efficient Strategies IRA, 401(k) & 403(b) Rollovers, Life Insurance, Annuities, Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
Content prepared by Kara Stefan Communications.
1 Greg Depersio. Investopedia. Aug. 22, 2020. “What happens when inflation and unemployment are positively correlated?” https://www.investopedia.com/ask/answers/040715/what-happens-when-inflation-and-unemployment-are-positively-correlated.asp. Accessed June 11, 2021.
2 Greg Iacurci. CNBC. June 8, 2021. “Gold as an inflation hedge? History suggests otherwise.” https://www.cnbc.com/2021/06/08/gold-as-an-inflation-hedge-history-suggests-otherwise.html. Accessed June 11, 2021.
3 Knowledge@Wharton. June 1, 2021. “Inflation: What Lies Ahead?” https://knowledge.wharton.upenn.edu/article/inflation-what-lies-ahead/. Accessed June 12, 2021.
4 Patti Domm. CNBC. June 11, 2021. “Inflation is hotter than expected, but it looks temporary and likely won’t affect Fed policy yet.” https://www.cnbc.com/2021/06/10/inflation-hotter-than-expected-but-transitory-wont-affect-fed-policy.html. Accessed June 11, 2021.
5 Tyler Clifford. CNBC. June 10, 2021. “Jim Cramer reacts to red-hot inflation number: ‘The market took it in stride’.” https://www.cnbc.com/video/2021/06/10/jim-cramer-reacts-to-inflation-report-the-market-took-it-in-stride.html. Accessed June 11, 2021.
6 Sarah Hansen. Forbes. May 15, 2021. “Could Covid-19 Worker Shortages Create A $15 Minimum Wage—Even Without A New Law?” https://www.forbes.com/sites/sarahhansen/2021/05/15/could-covid-19-worker-shortages-create-a-15-minimum-wage-even-without-a-new-law/?sh=1ae0db234929. Accessed June 11, 2021.
We are an independent firm helping individuals create retirement strategies using a variety of insurance and investment products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173 This material is intended to provide general information to help you understand basic financial planning strategies and should not be construed as financial or investment advice. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
1028383 – 9/21
Jobs data can be confusing. For example, the New York Federal Reserve reported in May that among businesses active before the pandemic, 35% remain closed, only 3% of service businesses still closed were likely to reopen, and only 4% of workers will be rehired by currently closed small businesses.1
One industry that has experienced the brunt end of the pandemic is food and beverage. Close to half of all restaurant workers were laid off in spring 2020, and the industry remains down 1.8 million jobs from pre-lockdown numbers.2
On the flip side, resort communities and amusement parks say they can’t find enough job applicants to fill summer positions. That’s particularly detrimental now that people are beginning to travel more, at least domestically. Places like Martha’s Vineyard usually hire labor on temporary visas this time of year, but given how poorly the rest of the world is coping with the pandemic, it’s been difficult to recruit from abroad.3
Job numbers are a leading indicator for the economy. Growing consumer demand creates jobs, and more people working generates even higher consumer demand – and a larger tax pool. The job market is expected to continue growing – barring any setbacks by a vaccine-resistant strain of the coronavirus – which should continue to drive the U.S. economic recovery. If you were affected by the virus, perhaps even benefitting by saving more money, we can help shore up your household finances with versatile insurance products offering both protection and income for emergencies and retirement. Contact us to learn more.
While the struggle remains for many small businesses, overall U.S. data continues to build in a positive direction. In May, the U.S. added 559,000 jobs –many going directly to severely affected industries. For example, food and beverage hired 186,000 more workers, the hospitality industry (composed of amusement parks, gambling and recreation) hired 58,000, and hotels picked up 35,000 jobs. With students resuming in-person classes around the country, state and local schools added 103,000 more jobs and private schools brought on 41,000. The health care sector increased by 46,000 jobs while manufacturing, transportation and warehousing sectors grew by 46,000 positions.4
However, the labor story has been quite different with white-collar jobs. Many companies were able to continue operations and full employment during the pandemic by shifting employees to remote work. Now, on the recovery side of the pandemic, many of those businesses are rethinking their traditional staffing model.
A recent poll by consulting firm West Monroe revealed a new hybrid trend that blends both home and onsite work. About half of executives surveyed said they expected to deploy their hybrid plans by the end of the summer.5 Note that remote work doesn’t just benefit employees – it also offers businesses the opportunity to recruit talent from anywhere in the world as opposed to just the local labor pool.
Fresno Retirement Consultant Takeaways
Fresno portfolio advisor– Soutas Financial appreciated these points: The New York Federal Reserve reported in May that among businesses active before the pandemic, 35% remain closed, only 3% of service businesses still closed were likely to reopen, and only 4% of workers will be rehired by currently closed small businesses.1Job numbers are a leading indicator for the economy. Growing consumer demand creates jobs, and more people working generates even higher consumer demand – and a larger tax pool.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage strategic wealth management as well as retirement annuity designed to help accomplish those goals.
When searching for Fresno financial advisors, look no further than Soutas Financial & Insurance Solutions Inc. your Fresno financial advisor variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning, Tax Efficient Strategies IRA, 401(k) & 403(b) Rollovers Life Insurance Annuities Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial your top financial advisors in Fresno, Ca., to get your retirement plans on track for success!
Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
Content prepared by Kara Stefan Communications.
1 Juliana Kaplan. Business Insider. May 5, 2021. “Only 4% of laid-off service workers will get their old jobs back, study finds.” https://www.businessinsider.com/laid-off-service-workers-only-4-percent-old-jobs-back-2021-5. Accessed June 4, 2021.
2 Sarah Ewall-Wice. CBS News. May 5, 2021. “Biden touts direct relief for businesses with Restaurant Revitalization Fund.” https://www.cbsnews.com/news/joe-biden-restaurant-revitalization-fund/. Accessed June 4, 2021.
3 Megan Cerullo. CBS News. May 5, 2021. “Resorts and theme parks face worker shortage as they open for summer.” https://www.cbsnews.com/news/seasonal-resorts-face-summer-worker-shortages/. Accessed June 4, 2021.
4 Eli Rosenberg. The Washington Post. June 4, 2021. “U.S. economy adds 559,000 jobs in May, as the recovery shows signs of strength.” https://www.washingtonpost.com/business/2021/06/04/jobs-report-may-unemployment-shortage/. Accessed June 4, 2021.
5 Kathryn Moody. HR Dive. April 21, 2021. “1 in 5 employers already have implemented hybrid work, poll says.” https://www.hrdive.com/news/1-in-5-employers-already-have-implemented-hybrid-work-poll-says/598781/. Accessed June 4, 2021.
We are an independent firm helping individuals create retirement strategies using a variety of insurance and investment products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173. This material is intended to provide general information to help you understand basic financial planning strategies and should not be construed as financial or investment advice. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
1028383 – 9/21
As hard as retirement saving and investing may seem, that’s the easy part. The real challenge is figuring out how to make your accumulated savings last throughout your and your spouse’s retirements. You need a strategy, and it’s best to have that strategy developed before retirement begins.
Because life expectancy is longer these days, many retirees need to maintain a growth component in their investment portfolio during retirement. That adds an extra challenge to your distribution strategy. The goals for drawing down funds include minimizing market risk to an equity allocation, coping with variable income that may be impacted by market returns, minimizing taxes, and supporting an increase in income needs associated with late-stage medical and long term care. It’s important to understand how these goals and needs interact to customize a retirement distribution strategy, and we can help you with that. Contact us to learn more.
Given that an investment portfolio may need to keep growing even after you retire, it’s important to consider “sequence of returns” risk. This basically means that if you retire around the time of a significant market decline, you can greatly deplete the principal from which you draw retirement income throughout the long term, subsequently having to reduce your retirement lifestyle or risk running out of money. To combat this risk, retirees should remain flexible. For example, continue to work past your planned retirement date if the market has a setback, or even re-enter the workforce post-retirement to help supplement your income and give investments time recover.1
Once you retire, you can set up a systematic withdrawal plan if you need to supplement your regular household income. If your retirement plan indicates you’ll need more money at different stages, consider the bucket strategy, wherein you allocate certain investments (“buckets”) for different stages so you have new assets to tap as you age. This strategy may also enable you to retain a more aggressive equity allocation in buckets you plan to tap later.2
To help minimize taxes in a retirement portfolio, alternatives could be to first withdraw from taxable assets (e.g., brokerage account), then tax-deferred plans (e.g., 401(k) and traditional IRA) and finally tax-free assets (e.g., Roth IRA). This approach gives your tax-advantaged accounts more time to grow tax-deferred. By planning to tap tax-free assets last, there’s a better chance of leaving tax-free income for your heirs.
However, it’s important to tailor your draw-down strategy for your personal circumstances, taking into account your retirement tax bracket. For example, a moderate-income household with multiple account types may want to draw a combination of tax-free, taxable and tax-deferred assets from the beginning to stay within a lower marginal tax bracket.3
It’s also important to consider the best time to start receiving Social Security benefits. Here, too, conventional wisdom recommends delaying as long as possible; preferably to age 70 for maximum accrual. Wayne Pfau, co-director of the New York Life Center for Retirement Income, would like to see the Social Security Administration extend the age to which additional delayed retirement credits (8% a year starting at full retirement age) accrue on benefits until age 72. This would be an effective way to encourage people to work longer and reward them for doing so. Even if they don’t work longer, investors can draw down income from their taxable accounts to reduce the value of their employer accounts and IRAs. Then, when they do begin drawing their larger Social Security benefit for life, they also benefit from lower required minimum distributions (RMD) to help them stay in a lower income tax bracket.4
The key is to customize a retirement distribution strategy for each household’s situation, taking into consideration factors such as health and life expectancy (of both spouses), retirement income needs, where assets are invested, tax bracket management and what assets are best positioned for an inheritance.
Fresno Financial Planner Takeaways
Fresno financial planning is our utmost concern here at Soutas Financial and we thought these takeaways were worth mentioning again:The real challenge is figuring out how to make your accumulated savings last throughout your and your spouse’s retirements. You need a strategy, and it’s best to have that strategy developed before retirement begins.The goals for drawing down funds include minimizing market risk to an equity allocation, coping with variable income that may be impacted by market returns, minimizing taxes, and supporting an increase in income needs associated with late-stage medical and long term care. It’s also important to consider the best time to start receiving Social Security benefits.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage Medicare long term care as well as risk management designed to help accomplish those goals.
When searching for Fresno financial advisors, look no further than Soutas Financial & Insurance Solutions Inc. your Fresno retirement plan consultant is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning Tax-Efficient Strategies, IRA, 401(k) & 403(b) Rollovers, Life Insurance, Annuities, Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
Content prepared by Kara Stefan Communications.
1 BlackRock. 2021. “Will my income last a lifetime?” https://www.blackrock.com/us/individual/insights/retirement-income. Accessed June 4, 2021.
2 Curtis V. Cloke. Retirement InSight and Trends. May 4, 2021. “Advanced Annuity and Tax Strategies for Retirement Income.” https://www.retirement-insight.com/advanced-annuity-and-tax-strategies-for-retirement-income/. Accessed June 4, 2021.
3 T. Rowe Price. February 2021. “How to Get More Out of Your Retirement Account Withdrawals.” https://www.troweprice.com/content/dam/iinvestor/resources/insights/pdfs/how-to-get-more-out-your-retirement-account-withdrawals.pdf. Accessed June 4, 2021.
4 Ginger Szala. ThinkAdvisor. May 6, 2021. “Wade Pfau Makes Case for Raising Top Social Security Claiming Age to 72.” https://www.thinkadvisor.com/2021/05/06/wade-pfau-makes-case-for-raising-top-social-security-claiming-age-to-72/. Accessed July 7, 2021.
Soutas Financial & Insurance Solutions, Inc. is an independent financial services firm that utilizes a variety of investment and insurance products. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173 AE
This material is intended to provide general information to help you understand basic financial planning strategies and should not be construed as financial or investment advice. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
Information regarding the RIA offering the investment advisory services can be found at https://brokercheck.finra.org/.
1028383 – 9/21
If you find yourself getting closer to the date you pictured retiring but you haven’t been able to save anything toward that goal, then you’re not alone. It’s actually a fairly common situation, financial advisors say.
“I think people just don’t want to talk about it because it’s almost taboo,” says Cory Phillips, a financial advisor at Fort Pitt Capital Group in Pittsburgh, who helps clients prepare for and live in retirement. For people in their 50s, the average retirement account has $160,000, according to Fidelity. But one out of every four adults has no retirement savings at all.
Start saving and harness compound interest
If you have about a decade to go until retirement, there’s still plenty of time for your money to grow in a retirement account like an IRA or an employer-sponsored plan such as a 401(k) or 403(b). When invested in stocks and bonds, your money has the potential to double in as little as seven to 10 years, according to experts, so put as much into those accounts as you can afford to as soon as possible.
You can put up to $19,500 into your 401(k) in 2021, and if you’re 50 and older you can take advantage of catch-up contributions, which allow you to stash an additional $6,500 in your 401(k) account this year. The contribution limit for an IRA stands at $6,000 for 2021, plus an extra $1,000 for those age 50 and above.
Take Your Deductions
It’s important to note that standard deductions aren’t for everyone. In fact, if you have a large amount of mortgage interest, deductible taxes, business-related expenses that weren’t reimbursed by your company, and/or charitable donations, it probably makes sense to itemize your deductions.
Sit down with a CPA and go over your personal situation to determine whether it makes sense to itemize. Then get in the habit of saving receipts and keeping good records. Remember, in the end, it’s not always what you make, but what you save that counts—particularly as you get closer to retirement.
Try to delay collecting Social Security
One of the best and simplest ways to increase your income in retirement is to delay collecting Social Security. To do this, consider continuing to work part-time to cover expenses up until a later age. It can be difficult to remain in the workforce as you age, but Parrish recommends you attempt if at all possible, “because that’ll yield more than just saving some more money,” he says.
Get Disability Coverage
Don’t forget to either obtain disability coverage or make certain that your job offers some sort of group disability benefit. The idea behind obtaining such coverage is simple: to protect yourself and at least a portion of your income and nest egg just in case the worst should happen.
Fresno Financial Consultant Takeaways
Fresno portfolio advisor– Soutas Financial appreciated these points:If you have about a decade to go until retirement, there’s still plenty of time for your money to grow in a retirement account like an IRA or an employer-sponsored plan such as a 401(k) or 403(b). In fact, if you have a large amount of mortgage interest, deductible taxes, business-related expenses that weren’t reimbursed by your company, and/or charitable donations, it probably makes sense to itemize your deductions. Consider continuing to work part-time to cover expenses up until a later age.Don’t forget to either obtain disability coverage or make certain that your job offers some sort of group disability benefit.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage Medicare long term care as well as risk management designed to help accomplish those goals.
When searching for Fresno financial advisors, look no further than Soutas Financial & Insurance Solutions Inc. your Fresno financial planning consultant is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning, Tax-Efficient, Strategies IRA, 401(k) & 403(b) Rollovers, Life Insurance, Annuities, Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!
We are an independent firm helping individuals create retirement strategies using a variety of insurance products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173
This material is intended to provide general information to help you understand basic retirement income strategies and should not be construed as financial advice.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
-1001261 – 8/21
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
Our firm is not affiliated with the U.S. government or any governmental agency. Individuals are encouraged to consult with a qualified professional before taking any withdrawals from their retirement assets or insurance policies.
via No Retirement Savings? Here Are 3 Ways to Catch up Quickly
More than half of Americans age 40 and up expect to continue doing paid work after retirement, according to TD Ameritrade. This includes 86% of people in their 50s, while a remarkable 92% of people in their 40s expect to keep working after dialing back their main career. If you plan to work into your retirement years, financial advisors say there are a few factors to keep in mind.
Hold off Drawing Social Security
Drawing Social Security earlier than full retirement age (that’s 67 years old for people born in or after 1960) reduces your monthly payment, so conventional wisdom says you should wait until full retirement age to claim if possible.
If you plan both to earn income and draw Social Security between the ages of 62 and when you reach full retirement age, take note: For that period of time, your Social Security benefits will drop by $1 for every $2 earned above $17,640, and $1 for every $3 earned above $46,920. These deductions stop after you reach full retirement age.
If you work for a big company
The general rule for workers at companies with at least 20 employees is that you can delay signing up for Medicare until you lose your group insurance (i.e., you retire). At that point, you’d be subject to various deadlines to sign up or else face late-enrollment penalties.
While everyone’s situation is different, there’s a good chance your current insurance through work is a more cost-effective option, said Danielle Roberts, co-founder of insurance firm Boomer Benefits in Fort Worth, Texas.
This may be due to lower premiums and other cost-sharing aspects such as copays or co-insurance, or lower costs for prescriptions under the group plan.
Do the Medicare Math
How much you earn also impacts how much you pay for certain parts of Medicare. “Your Medicare Part B premium is based on your taxable income,” Russell says. An individual with an income of $87,000 or less pays $144.60 a month in 2020 for Part B, but someone with income from above $87,000 up to $109,000 pays $202.40 a month. The highest monthly premium, for individuals making $500,000 or above, is $491.60 (Note that your 2020 Part B premium is based on your 2018 income.)
Fresno Financial Planner Takeaways
When it comes to Fresno retirement planning Soutas Financial puts your future first.If you plan to work into your retirement years, financial advisors say there are a few factors to keep in mind.Drawing Social Security earlier than full retirement age (that’s 67 years old for people born in or after 1960) reduces your monthly payment, so conventional wisdom says you should wait until full retirement age to claim if possible.until you lose your group insurance (i.e., you retire). At that point, you’d be subject to various deadlines to sign up or else face late-enrollment penalties.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage Medicare long term care as well as risk management designed to help accomplish those goals.
When searching for Fresno financial advisors, look no further than Soutas Financial & Insurance Solutions Inc. your Fresno retirement planning advisor is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning Tax-Efficient Strategies, IRA, 401(k) & 403(b) Rollovers, Life Insurance, Annuities, Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!
Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
via If you’ll still be working at age 65, here’s how to handle Medicare
via How Working Past 65 Can Affect Your Social Security Benefits and Medicare Premiums
We are an independent firm helping individuals create retirement strategies using a variety of insurance products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173. This material is intended to provide general information to help you understand basic retirement income strategies and should not be construed as financial advice.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
-1001261 – 8/21
New research by Mark Warshawsky, the retirement income guru who’s now a visiting scholar at George Mason University’s Mercatus Center, suggests more retirees should consider making an immediate annuity part of their retirement portfolio—and also highlights a reason why many people may simply ignore this advice.
When it comes to turning retirement savings into lifetime retirement income, many retirees and advisers rely on the 4% rule—that is, withdraw 4% of savings the first year of retirement and increase that amount by inflation each year to maintain purchasing power (although in a concession to today’s low yields and expected returns, some are reducing that initial draw to 3% or even lower to assure they don’t deplete their savings too soon).
Pros
It’s nerve-wracking to land on the right kind of retirement savings because, let’s face it, that’s what you have to live off of for the rest of your life! Let’s start with the reasons you may want to get a longevity annuity. A longevity annuity:
- Provides peace of mind: Guaranteed lifetime income can provide you with peace of mind through a paycheck that you won’t outlive. The longer you live, the more you’ll get out of the benefit.
- Offers optimal tax benefits: The IRS designates longevity annuities to get the same tax treatment as IRAs. In other words, you don’t have to pay taxes when you take money out of your account as long as it’s a qualified longevity annuity. However, you purchase nonqualified annuities with post-tax funds and might have to pay income taxes each year. Make sure you know what type of annuity you’re looking into.
- Simplifies your retirement planning: With a longevity annuity, you’ll automatically get a paycheck during retirement. It can ultimately simplify knowing what to invest, what to invest in and takes the DIY out of retirement planning.
Cons
Naturally, you’ll face some cons that affect choosing longevity annuities. Let’s take a look at the cons:
- More illiquid than stocks and bonds: You can accelerate some monthly payments, but in general, you’re “stuck” with the same monthly amount.
- No cash value: You don’t have a cash value that you can withdraw for with a longevity annuity.
- Your money becomes isolated from the market. In other words, even if the stock market performs well, you can’t take advantage of the upswings in the market.
Clearly, we all have to make our own decisions based on our particular circumstances about the best way to turn savings into income that we can count on throughout retirement, while also assuring we have a stash of assets we can tap for emergencies and unexpected expenses. There’s no one-size-fits-all solution. That said, I think it’s a good idea for anyone nearing or already in retirement to at least consider an annuity as a possibility. If you rule it out, that’s fine. Annuities aren’t for everyone. Just be sure that if you’re nixing an annuity, you’re doing it for valid reasons, not because of a misplaced faith in your ability to earn outsize returns or because you’re unduly swayed by lump-sum culture.
Fresno Retirement Advisor Takeaways
As your Fresno financial advisor we thought this was a good takeaway: Millions of workers suffered from job loss and wage reductions this year. If you’re among them, your income is likely lower than in past years, which — since you need to pay income tax on the amount you convert — would reduce how much income tax you pay when making this change. You have to meet specific income requirements to contribute to a Roth IRA, and you’ll also face a maximum contribution limit that varies based on your age. Keep in mind that not everyone can contribute to a Roth IRA — at least not the full amount. In 2021, married filings with a modified adjustable gross income (MAGI) below $198,000 can contribute the full amount to a Roth IRA.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage stop spend down as well as long-term care strategies designed to help accomplish those goals.
When searching for Fresno financial advisors, look no further than Soutas Financial & Insurance Solutions Inc. your Fresno financial planning consultant is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning, Tax-Efficient Strategies, IRA, 401(k) & 403(b) Rollovers, Life Insurance Annuities, Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!
Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
via Which Generates More Retirement Income—Annuities or Portfolio Withdrawals?
via Is a Longevity Annuity a Good Guaranteed Retirement Savings Strategy for You?
We are an independent firm helping individuals create retirement strategies using a variety of insurance and investment products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173. This material is intended to provide general information to help you understand basic financial planning strategies and should not be construed as financial or investment advice. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
–1001261 – 8/21
Thelma Sutcliffe turned 114 years old in April, making her the oldest living American and the seventh-oldest person in the world, according to the Gerontology Research Group. The Omaha, Nebraska, resident attributes her relative good health and longevity to the fact that she never had children, never smoked and made it a habit not to worry.1
Not many people make it to 114, but those who do outlive their friends and loved ones. That’s why it’s important to develop passions and hobbies you can enjoy for the rest of your life, no matter how long you live. It’s also a good idea to establish a plan that provides a confident retirement. That may include living below your means and casting a wide net of friends to help ensure you have close ones to grow old with. It also may include buying insurance policies that offer reliable income. If you’d like help planning, please give us a call.
One key factor to consider is where you want to live in retirement, particularly during the later years when you may need help. Paying for full-time care in your own home can be very expensive. However, COVID-19 has caused some hesitation moving to assisted living and nursing homes due to the potential for disease outbreaks in the future. You may want to start thinking and talking with family members about the possibility of moving in with them later in life, if necessary. You could even use proceeds from the sale of your home to build an accessory dwelling unit (ADU) next to their home. Also known as a backyard cottage or granny flat, an ADU can help cut expenses to pay for in-home care – so there is less burden on family members.2
Some ADU floorplans even feature two bedrooms, so you could hire a full-time caregiver and provide room and board. Later, your heirs can use the ADU for rental income or to plan for their own long-term care.
Apart from financial and housing plans, consider developing hobbies you can enjoy later in life. You may cultivate a love of history, art or music early in retirement through volunteer efforts. For example, work as a docent, usher or fundraiser for a local museum, art gallery or concert hall. A heartfelt appreciation of the arts has a way of eliciting joy, even if you develop mobility or cognitive issues.
Fresno Financial Consultant Takeaways
When it comes to Fresno retirement planning Soutas Financial puts your future 1st. Don’t forget these great reminders:It’s also a good idea to establish a plan that provides a confident retirement. That may include living below your means and casting a wide net of friends to help ensure you have close ones to grow old with.You could even use proceeds from the sale of your home to build an accessory dwelling unit (ADU) next to their home.You may cultivate a love of history, art or music early in retirement through volunteer efforts.
Diversifying your retirement assets among a variety of vehicles and alternatives—both insurance and investment oriented, depending on what is appropriate for your situation—may offer you a better chance of meeting your retirement income goals throughout your lifespan. We help our clients with problems sometimes associated with retirement such as stopping spend down and avoiding probate. In doing so we leverage strategic wealth management as well as retirement annuity designed to help accomplish those goals.
Are you trying to find an investment advisor? Look no further than Soutas Financial & Insurance Solutions Inc. your Fresno financial planner is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning, Tax-Efficient Strategies IRA, 401(k) & 403(b) Rollovers, Life Insurance, Annuities, Medicare, we can help you develop an overall retirement income strategy specific to you and your family. We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!
Other Fresno Financial Advisor Articles
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
(559) 230-1648
Soutas.com
Content prepared by Kara Stefan Communications.
1 Leah Asmelash. CNN. April 29, 2021. “She just became the oldest living person in the US and all she wants is to be able to eat meals with her friend again.” https://www.cnn.com/2021/04/29/us/oldest-living-american-trnd/index.html. Accessed May 3, 2021.
2 Zillow. March 18, 2021. “What is an Accessory Dwelling Unit (ADU) – and Tips for Building One.” https://www.zillow.com/resources/stay-informed/2021/03/18/how-to-build-accessory-dwelling-unit-adu/. Accessed May 3, 2021.
We are an independent firm helping individuals create retirement strategies using a variety of insurance and investment products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173 This material is intended to provide general information to help you understand basic financial planning strategies and should not be construed as financial or investment advice. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.
The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
–1001261 – 8/21
Our firm provides links to third-party articles in an effort to assist users in locating information on topics that might be of interest to them. Information presented has not been verified and is not guaranteed, nor can we attest to the accuracy of information provided. Linking to an article or website does not constitute a representation of the services offered by our firm, nor does it constitute an endorsement by our firm of the sponsors of the site or the products presented on the site. The information is not intended to be used as the sole basis for financial decisions, nor should it be construed as advice designed to meet the particular needs of an individual's situation.
Talk to your financial professional and your tax advisor about how Social Security benefits can fit into a complete retirement income strategy. Financial professionals are able to provide you with information but not guidance or advice related to Social Security benefits. We are not affiliated with the U.S. government or any governmental agency.
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