Jun 1, 2018
Learn the things that don’t matter until they do. Learn what
things can come back and bite you if you ignore them over a long
period of time. We also talk about tax planning, new tax changes,
and answer email questions.
Main Questions Asked:
How will the new Trump tax laws affect you?
How to properly plan to keep more of the money you make?
What documents do you need to have in place that will matter
when you need them?
Key Lessons Learned:
- The Trump tax bill. People have lost some property tax and
state tax deductions. Business owners are excited about the
situations. Business owners are putting money back into the
economy. This is a home run for lower-income people who don’t own
homes. Tax laws, investments, and income streams have to be taken
into account when financial planning.
- Roth Conversions. This is a big missed opportunity. With a
traditional IRA, you pay taxes when you take the money out. With a
Roth, you pay taxes up front, the money grows tax-free, and you can
withdraw money tax-free. With a Roth conversion, you convert a
traditional IRA to a Roth and pay taxes on that money when you do
the conversion. Depending on when you need the money, it may make a
lot of sense to do a conversion.
- Required minimum distributions. When you take money out of
these non Roth plans, you pay taxes. At age 70 1/2, you are forced
to take money out of these plans and the percentage increases every
year. Ask who the money is for, because this is a planning
Things That Don’t Matter Until They Do
- Your legal documents. These protect your loved ones or help if
you can’t speak for yourself. You can also decide where you want
your money to go. These can make a huge difference for your family
once you are incapacitated, or when you die.
- Long-term care protections. Guarding against possible long-term
care expenses. If you need long-term care, you will be glad you had
these protections in place.
- Life insurance. Most people don’t like life insurance, but it
can be very valuable when a loved one passes away. It can also be
used as a tool to pay your estate taxes.
- Lifetime income streams. 73% of baby boomers think it would be
very valuable to have lifetime income stream. Most clients want
guaranteed income and then mad money they can speculate on.
Links To Resources Mentioned
Money Map Retirement Review
Thank you for listening!