High savings + pension = High taxes
Anyone with a good pension and a large 457, 403b, TSP or IRA account balance has a tax problem.That’s because a number of factors usually converge for public sector retirees during retirement that may result
Continue Reading ?
Can You Outsmart Uncle Sam?
Life insurance is one of the most tax-efficient and versatile yet underutilized financial planning tools available. While most people view life insurance as only something that is needed when raising a family, its uses are
Continue Reading ?
Will the WEP & GPO Impact Your Retirement Budget?
As many of you get closer to the end of your career, your retirement planning will begin in earnest. You may do things such as request a pension estimate, reduce your exposure to the stock
Continue Reading ?
The Perils of In-laws
You’ve worked hard and have accumulated assets that will benefit the next generation, namely your kids and grandkids. Throughout this perilous journey, you taught your kids the value of a dollar and your mind is
Continue Reading ?
Will You Benefit From Trump’s Tax Plan?
With the presedential election of Donald Trump and the Republicans in control of both the House and Senate, reforming the tax code will likely be one of the top priorities for the Trump administration. While
Continue Reading ?
The Importance of a Living Will
Some of the most important medical decisions affecting your treatment and care are made in the final weeks, months or years of your life. Unfortunately, so few of us ever think about or act upon how
Continue Reading ?
The Public Sector’s Tax Trap
Having a guaranteed pension and sizable retirement plan may give you peace of mind during your retirement years, but will your income and withdrawals bump you into a higher tax bracket? The answer could be
Continue Reading ?
Death and [Illinois] Taxes
According to Benjamin Franklin, the only two things you can be certain of in life are death and taxes; I’m fairly certain this will not be changing anytime soon. In the state of Illinois, higher
Continue Reading ?
POA – Who Needs It?
The Case for a Power of Attorney If you’ve been admitted to the hospital in the last few years or changed doctors, you were likely asked to complete a number of forms. One of
Continue Reading ?
Prince’s $75 million haircut
Not So Happily Ever After: A Cautionary Prince’s Tale As tributes continue to pour in for Prince – the musical artist who passed away unexpectedly in April at his Minnesota home – the more mundane
Continue Reading ?
Build That Wall!
Up to this point, the 2016 presidential election race has been quite contentious and with eight months left before the final ballots are cast, I’m sure there will be more fireworks ahead. Donald Trump
Continue Reading ?
April 29 Deadline to “File and Suspend”
The Social Security Administration issued an emergency message recently clarifying new rules in the Bipartisan Budget Act of 2015 that eliminate the lucrative (yet vastly under-used) “file-and-suspend” claiming strategy. Anyone who will be at least
Continue Reading ?
Lecture: Planning for Long-Term Care
Long-Term Care affordability is a major concern for most Baby Boomers (for good reason). I will be presenting a lecture at the LaGrange Park Public Library this Saturday (February 20) from 10:30AM – noon to
Continue Reading ?
Living the “Just in Case” Retirement?
If you stop for a minute and think about what the worst part of running out of money actually is, what do you think it would be? Do you think deep depression would hit you
Continue Reading ?
The Taxes 2-Step
With 2015 winding down and winter now beginning, it’s hard to believe another season is quickly sneaking up on us. Whereas Christmastime is known to be the season of cheer, April 15 puts a cap
Continue Reading ?
2 Major Changes to Social Security
The Bipartisan Budget Act of 2015 makes major changes to Social Security claiming rules related to the Voluntary Suspension of income benefits and the filing of a Restricted Application. Changes to the Restricted Application The
Continue Reading ?
Your Pension Crisis and Low Interest Rates
After the stock shock of 2008 and after nearly a decade of decreasing interest rates, many pension fund managers are abandoning their long-held belief that a diversified portfolio of stocks, bonds and other assets will
Continue Reading ?
A Bear Walks Into a China Shop…
Even though the Shanghai stock market fell 35% from June to July, given the panic selling in global markets recently, it’s now finally dawned on investors that the Chinese economy is really slowing down. Some economics
Continue Reading ?
Get Rid of [Some] Money Worries for Good
A lot of you are worried that the stock market is a bit long in the tooth and that your 457 plan and other investments may suffer some painful losses. After all, the Dow Jones
Continue Reading ?
“Claim & Suspend” to Boost Your Social Security Income
As a Certified Financial Planner™ practitioner, I’m always looking for strategies to help my clients maximize their Social Security benefits. There are a number of loopholes in the Social Security system that aren’t obvious and
Continue Reading ?
The Best Age to Take Your Social Security is…
With millions of public sector Baby Boomers retiring over the next 20 years, deciding on when to take your Social Security benefits will be front and center when planning for retirement. Picking the right age
Continue Reading ?
Locked Out of the Roth? Try the Backdoor Roth IRA
Many of you in the public sector have a household income that disqualifies you from making contributions to the popular Roth IRA. For married couples with a Modified Adjusted Gross Income (MAGI) of $193,000 or
Continue Reading ?
457 Plan Protection + Tax-Free Income
What started out as a quiet Saturday morning led to dinner with my wife at a nice restaurant. We decided to celebrate a major financial victory – in just about 1 hour we easily put
Continue Reading ?
Solved! The LTC Rub
When it comes to personal finances and retirement, most of you in government, like your private sector counterparts, worry mainly about two things: high long-term care expenses and inflation. As for inflation, many pensions only
Continue Reading ?
FREE Online Estate Planning Workshop [for the Public Sector] January 29, 2015 at 11:45AM Central
The sad truth is a lot of government workers & retirees risk financial ruin because of improper estate planning. Attend a FREE online workshop for public sector employees and retirees that will show how to
Continue Reading ?
Changes To Your 457 Plan, Other Accounts in 2015
Courtesy of Congress, Christmas came early this year with some beneficial changes for savers taking effect in 2015. Most changes will be positive, but our lawmakers did leave us with a couple lumps of coal.
Continue Reading ?
Tax & Penalty-Free Withdrawals From IRAs Before 59 1/2 are Possible
Many of you have benefited from saving away your hard-earned money into a 457 plan. The 457 plan, like ALL retirement plans, has its advantages and drawbacks. One of the drawbacks of a deferred comp
Continue Reading ?
Cut Your 457 Plan Costs [Wall Street Journal Interview]
Wall Street Journal Interview Sev Meneshian, on Reducing Costs in 457 Retirement Plans Nov. 10, 2014 11:12 a.m. ET Voices is an occasional column that allows wealth managers to address issues of interest to the advisory
Continue Reading ?
FAQs about LTC (1 of 2)
ANSWERED…Your Top 10 Questions About Long-Term Care (Part 1 of 2) 1) What exactly is long-term care? Long-term care is a general term for services needed to help with doing everyday activities. Even though LTC can
Continue Reading ?
Easy (LTC insurance) Riders
1) Inflation Protection An inflation protection rider makes sure that your LTC benefits grow in value every year. The inflation protection rider is very important because your benefits won’t be eaten away by the invisible
Continue Reading ?
The 3 Ways Most Government Workers and Retirees “Plan” for LTC
1) Do Nothing One thing you can do to prepare for the chance of needing expensive long-term care is simply nothing. Using this strategy, you’re just hoping for the best. Either you’re hoping that you
Continue Reading ?
Top FAQs About LTC (2 of 2)
6) How much and for how long will a LTC policy pay you? The answer to this question also depends on the policy that you bought. For example, some policies will cover the entire cost
Continue Reading ?
IRS Announces New 457 Plan Contribution Limits
The Treasury Department Releases 2015 Figures For Your 457 Plan, IRA, and Other Retirement Plan Limits. 401(k), 403(b), Thrift Savings Plan, & 457 plan Contribution Limits The maximum contribution to a 457 plan, 401(k), 403(b),
Continue Reading ?
4 Easy Tricks to Avoid Getting Scammed
Greed has an interesting (and very effective) way of getting in the way of common sense. I know a handful of people that have fallen for a Ponzi scheme and let me be perfectly 100%
Continue Reading ?
You’ll get nothing…and like it! (the NPR interview)
Based on the e-mails I received, a lot of you were disgusted when it came out that Philip Seymour Hoffman wasn’t leaving his millions to his three kids (so he thought). The late actor said
Continue Reading ?
Your 457 Plan and Long-Term Care
A HUGE THANK YOU is owed to the 20 or so public sector employees (both active and retired) who took valuable time from their day to help me with the research presented here. After hours of
Continue Reading ?
IMRF Pension Will Pay You 7.5% (rate can change) on Your Contributions
Contributing to your 457 deferred compensation plan is an excellent way to save for retirement. But did you know the Illinois Municipal Retirement Fund (IMRF) Voluntary Additional Contribution program gives you the opportunity to earn 7.5% (subject
Continue Reading ?
You Can Benefit From More Than Just Your 457 Plan [Chicago Tribune Interview]
***The content in this post is from a Chicago Tribune article*** Click HERE for the link to the site where the article was originally posted. Maxing employee retirement benefits Many Americans 50 or older will
Continue Reading ?
How Can $5 – $3.50 = $8?
There’s a great little pizza place near Public Retirement Planners, LLC in Evanston that I stop in for lunch about once a week. Recently, I picked up a slice of pizza for $3.50 and was
Continue Reading ?
Preserve Your 457 Plan…Celebrate National Biscuit Month!
If you do a simple Web search for “bizarre and unique holidays” you’ll be entertained by what’s out there. For example, there’s National Welding Month, National Picnic Month (this should not apply to ants), National
Continue Reading ?
Attack of the 457 Plan Tax Zombies! (Part 2 of 2)
Terrifying Income Tax Issues Are Lurking For Public Sector Retirees The intention during your working years was to save a lot in taxes now and pay less in retirement – not the same or more,
Continue Reading ?
Attack of the 457 Plan Tax Zombies! (Part 1 of 2)
Why Are Terrifying Income Tax Issues Lurking for Public Sector Retirees? Many of you in the public sector wisely make payroll contributions to your 457 deferred compensation plan to save for retirement. Another reason why you
Continue Reading ?
