Frequently Asked Questions
What services do you provide?
We offer Comprehensive Financial Planning, Investment Management, Insurance Planning (both life and long-term care), Retirement Planning, Education Funding, General Estate Planning, and Financial Analysis for those going through a divorce.
How do you get paid?
For our investment management services, there are advisory based relationships and brokerage based relationships. For advisory services, you pay a percentage of your account values under our management. In a brokerage relationship, you are charged a commission every time you buy or sell an investment. Financial Plans are charged a flat fee.
Are you an Investment fiduciary?
When you work with an advisor in a fee-based relationship, that advisor is an investment fiduciary, meaning they are held to the fiduciary standard. An investment fiduciary is legally bound to only recommend investments that are in your best interests
What is portfolio diversification?
Diversity means putting your money into a number of different types of investment options that include different types of asset classes that can potentionally help manage risk. There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification, asset allocation and rebalancing do not protect against market risk. Rebalancing a portfolio may cause investors to incur tax liabilities and/or transaction costs.
What does risk mean? What about asset allocation?
Your risk tolerance is the amount of risk you can accept in order to obtain the returns you want. Your asset allocation is your personal investment mix based in part on your level of desired risk.
Am I on track to meet my financial goals?
You need to establish your time horizon (the amount of time your money remains invested) and your investment goal (the amount of money you need to save). These two pieces of information can help plan for the future.
How do I save for my child's education?
A tax-advantaged 529 college savings plan is specifically designed to help families save for future college expenses. Although contributions to a 529 plan are not tax-deductible, the money is allowed to grow tax-free. When the funds are used for qualified education expenses such as tuition, room and board, books (and even certain K-12 costs), you don’t pay federal income taxes on the withdrawals. Prior to investing in a 529 Plan investors should consider whether the investor's or designated beneficiary's home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in such state's qualified tuition program. Withdrawals used for qualified expenses are federally tax free. Tax treatment at the state level may vary. Please consult with your tax advisor before investing.
What is the difference between an IRA and a ROTH?
A traditional IRA lets eligible workers accumulate retirement savings and defer all taxes until the money is withdrawn. Traditional IRA contributions may be tax-deductible. A Roth IRA is funded with after-tax contributions and offers tax deferral on any earnings in the account. Withdrawals from the account may be tax free, as long as they are considered qualified. Unlike a traditional IRA, there are no income tax deductions allowed for Roth contributions.
Contributions to a traditional IRA may be tax deductible in the contribution year, with current income tax due at withdrawal. Withdrawals prior to age 59 ½ may result in a 10% IRS penalty tax in addition to current income tax.
A Roth IRA offers tax deferral on any earnings in the account. Qualified withdrawals of earnings from the account are tax-free. Withdrawals of earnings prior to age 59 ½ or prior to the account being opened for 5 years, whichever is later, may result in a 10% IRS penalty tax. Limitations and restrictions may apply.
What is a 401(k)?
A 401(k) plan is an employer-sponsored, qualified retirement plan that allows participating employees to contribute a portion of pre-tax salary into the plan (often matched by an employer contribution). A Roth 401(k) is an employer-sponsored retirement plan that allows participants to make after-tax contributions, then enjoy potentially tax-free growth, plus tax- and penalty-free withdrawals after age 59½. The employee owes no further taxes on withdrawals of either the contributions or the earnings following the after-tax contribution.
Do I need life insurance?
Consider that life insurance could replace your income, cover your mortgage balance, pay off other debts, fund future college expenses, and more. We can help you make sure that your family's future financial needs are being addressed.
How can I plan for future healthcare costs?
Rising healthcare costs include inflation in the broader economy, provider laborshortages, expensive treatments and technologies, an aging population living longer, and more. The amount you’ll personally need will depend on when you retire, how healthy you are (and remain), and how long you live. When you get close to age 65, spend time reviewing and considering all your Medicare options, as well as thinking about out-of-pocket expenses.
What is Long-Term Care insurance?
A long-term care insurance policy helps you pay for long-term care services in whole or in part. A long-term care policy may also give you choices about what long-term care services you receive and where you receive them. While policies vary greatly, many have the option to help cover the costs of nursing home care, in-home assistance, or nursing supervision.