Three Tax Surprises You Should Watch Out For When You Retire 

Taxes are unavoidable in every stage of life, including during retirement. Retirees are required by law to pay different forms of taxes on their benefits. While you are preparing for retirement, you should also consider the taxes you must pay. Failure to do this could result in serious financial troubles later in life. 

Here are the major key tax issues to keep in mind while planning for retirement: 

Expect Taxes on Social Security 

It could be surprising for seniors to find out that they have to pay federal taxes on their Social Security benefits. And these taxes do not necessarily consider retirees’ income levels. Whether your income is high or low does not determine if you will pay taxes on your Social Security benefits or not. 

To calculate your post-retirement Social Security taxes, the IRS uses your provisional income, which is the sum of your non-Social Security income and 50% of your total annual benefits. An unmarried recipient whose provisional income exceeds $25,000 will have 50% of their benefits taxed. They could also have 85% of their benefits taxed if their provisional income is beyond $34,000.

On the other hand, couples enjoy slightly more freedom on their benefits. If their provisional income exceeds $32,000, they have to pay taxes on 50% of their benefits. If it exceeds $44,000, they pay taxes on 85% of their benefits. The limit might seem more considerate for couples, but that is probably because the rules have not been revised in decades.    

That is just for federal taxes. Most states do not tax Social Security benefits, but the following states do: 

• Colorado

• Connecticut

• Kansas

• Minnesota

• Missouri

• Montana

• Nebraska

• New Mexico

• North Dakota

• Rhode Island

• Utah

• Vermont

• West Virginia 

If you live in any of these states, you will have to cough up more of your Social Security benefits to fulfill your tax obligations. 

Extra Tax Burdens from RMDs

Required Minimum Distributions (RMDs) tend to add more tax pressures to your finances. As soon as you turn 72, you will be required to make withdrawals known as RMDs from your traditional IRA. However, you will avoid the extra taxes with a Roth IRA. 

RMDs also increase your provisional income. If the increase is significant enough, you might need to pay even more taxes on your Social Security benefits. To avoid the extra tax burden that comes with RMDs, you should consider using a Roth IRA instead of a traditional IRA. If your income is too high for a Roth IRA, you should consider converting your traditional IRA to a Roth IRA instead. 

You May to Pay More on Property Taxes 

While many individuals are lucky enough to pay off their mortgage before retirement, the battle does not end there. They still have to contend with property taxes, which are compulsory and bound to rise with the property’s value. If your property taxes rise exponentially, the only solution is to appeal to the rise and hope for the best. 

Taxes are generally cumbersome, but the worst can happen if you fail to consider them when making retirement plans. Adequate awareness and proper preparation for unavoidable taxes could save you from a lot of unpleasant surprises and financial difficulties during retirement.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.

100 Million People Do Not Know This Basic Social Security Fact — Do You?

When it comes to retirement planning, about 100 million people are making a catastrophic error. According to a recent poll by Nationwide Financial, roughly 40% of Americans believe that Social Security income alone should be enough to live on.

Millions of Americans believe this is likely to be in financial trouble if they base their savings goals on this misunderstanding. This is why.

Americans Overestimate The Importance Of Social Security In Retirement.

Future retirees who believe they would be able to rely completely on Social Security may be astonished to learn how low their benefits will be once they begin receiving their checks.

While the maximum Social Security payout in 2021 is $3,895, just a small percentage of the population will get anything close to that amount. For retired workers, the average benefit is only $1,558. And those who claim Social Security benefits early, which is highly common because most individuals require these benefits when they are still in their early 60s, would receive substantially lower average amounts. Early claims lower Social Security income because, while benefits are available as early as age 62, retirees who file early face early filing fines and lose out on the opportunity to receive delayed retirement credits.

If your Social Security retirement income is expected to be less than $19,000, it’s evident that relying on these benefits as your primary source of income will not work out.

But the truth is that they were never supposed to be your sole source of income because Social Security was created to supplement your savings and pension. It only restores around 40% of your pre-retirement wages.

How to Increase Your Social Security Benefits

You don’t want to be one of the 100 million Americans who will be shocked if they try to survive only on Social Security income. As a result, you must learn the truth about these benefits and begin making plans to supplement them as soon as possible.

Finding a workplace that offers a defined benefit pension is one option. That’s a pension plan that guarantees you a specific amount of money when you retire, with your monthly benefit determined by criteria including how long you worked with the company and how much you earned. However, finding a job that offers this kind of benefit can be extremely tough. If you want a pension, your best choice might be to work for the government, as you’re more likely to acquire one from a state or federal workplace than from a private corporation.

It’s even better to start saving as soon as possible to develop your own retirement nest fund. You can do so by contributing to a 401(k) plan offered by your company or by opening an individual retirement account with a brokerage firm of your choice.

You should calculate how much money you’ll need by logging into your Social Security account to receive an accurate picture of what these payments would give and then save enough money to cover the deficit. You can avoid financial hardship as a retiree if you follow these procedures.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.

3 Surprising Ways to Maximize Your Social Security Benefits

If you’re like the majority of Americans, Social Security benefits will likely account for a large amount of your retirement income. According to figures from the Social Security Administration, roughly 37% of men and 42% of women rely on their benefits for at least the majority of their retirement income.

It never hurts to take steps to increase your benefit amount, regardless of how much you intend to rely on your monthly payments in retirement.

While there are many methods to earn larger paychecks and keep more of them (such as working longer or increasing your revenue), these three are sometimes ignored. You could get more from Social Security than you think if you use any of these tactics.

1. Change Your State Of Residence.

While your Social Security benefits are taxed, each state has its own set of rules and regulations regarding the tax.

Some states levy no income taxes at all, while others exempt Social Security benefits from taxation. There are 37 states that do not levy a tax on Social Security benefits. North Dakota, Colorado, Connecticut, Kansas, Missouri, Minnesota, Montana, New Mexico, Nebraska, Rhode Island, Vermont, Utah, and West Virginia are the only 13 states that tax benefits.

If you live in one of those states now, you may be able to maintain more of your benefits if you relocate. However, before you pack your belongings and move to another state, you should think about all of the fees involved. While you may receive larger Social Security benefits, you may also face additional expenses such as higher living costs, property taxes, or sales taxes.

2. Make a Roth IRA contribution

Your Social Security benefits are nevertheless subject to federal taxes regardless of where you live in retirement. However, by putting more of your retirement assets into a Roth IRA, you can minimize or even eliminate these taxes.

Your combined income, which is half of your yearly Social Security payment plus all other income sources, such as retirement account withdrawals, determines how much of your benefits may be subject to federal taxes. You’ll owe federal taxes on at least a part of your benefits if your combined income is more than $25,000 per year (or $32,000 for married couples filing jointly).

Withdrawals from a Roth IRA, on the other hand, are not included in your total income. The more assets you put into a Roth IRA, the lower your total income would be — and you may be able to avoid paying fed taxes on your benefits entirely.

3. Consider Other Benefits

Most employees are entitled to retirement benefits, but you may also be eligible for spousal, divorce, or survivors’ benefits, depending on your circumstances.

Those who are married to someone who is qualified for Social Security benefits are eligible for spousal benefits. The most you can get is half of what your spouse is entitled to when they reach full retirement age. If you are eligible for more based on your own work history, then you are not eligible for spousal benefits.

Divorce benefits are comparable to marriage benefits, with the exception that you cannot be married right now and your prior marriage must have lasted at least 10 years. The fact that your ex-spouse has remarried has no bearing on the number of divorce payments you are entitled to.

You may be eligible for survivors benefits if a family member passes away. Widows and widowers are usually eligible for these payments. Parents, ex-spouses, children, and other family members may also be eligible. Because the amount you can receive is contingent on several criteria, it’s advisable to check with the Social Security Administration (SSA) to see if you qualify for survivors payments.

Benefits from Social Security can have a big impact on your retirement quality of life, so take advantage of them. You may increase your advantages and spend your senior years more comfortably with a little innovation.

Points to Remember

• Where you live in retirement may have an impact on your benefits.
• You might increase your Social Security payments by contributing to a Roth IRA.
• You may be eligible for divorce, spousal, or survivors benefits in addition to retirement benefits.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.

Retirement planning is a never-ending process. Even if your retirement is only a few years away, it’s never too late to start planning towards it.

If you’re having issues getting on with your retirement planning, maybe these retirement statistics can spook you into taking action.

1. Unsettling Truths

Only 73% of Blended Retirement System Thrift Savings Plan active-duty participants were contributing the required 5% to the Thrift Savings Plan (TSP), according to minutes from the Federal Retirement Thrift Investment Board meeting in August 2021. That means nearly a third of people are squandering free money. If that doesn’t frighten you, think about the fact that the majority of those may not have any other savings set aside for retirement.

What Can You Do?

If you’re worried about having enough income during retirement, find a way to make the 5%—or larger—contribution to the Thrift Savings Plan (TSP) a regular part of your budget.

To do this, you may need to create and stick to a budget and reduce or eliminate several expenses. The common culprits when reducing expenses are unused gym membership and cable TV. You can also save a lot by cooking at home, buying groceries in bulk, and more. Every little money you’re able to save should go straight to your retirement fund.

Also, allocating “found money” like time in service pay increases, promotion raises, cost of employment increases… or a portion of your advance child tax credit payments can help make this a reality. Found money is unexpected money or money that isn’t part of your original income. So you won’t feel any financial constraints by saving them.

2. Terrifying Truth

The Employee Benefit Research Institute has performed a Retirement Confidence poll every year for the past two decades. Only 27% of respondents said they were “extremely certain” that they would be able to live comfortably throughout their retirement years in 2021.

What Can You Do?

 If you’re scared about running out of money in retirement, start putting money aside for it right now. It doesn’t take much to get things started. You can participate in the Thrift Savings Plan (TSP) whether or not the Blended Retirement System covers you. By signing up at myPay or through your service payroll provider, you can contribute as little as 1% of your earnings. This extra 1% will result in a substantial amount when compounded over time.

3. The Frightening Reality

Throughout the epidemic, I praised the increase in the Bureau of Economic Analysis’s savings rate. However, in recent months, it has gotten worse. The most recent figures show a rate of 7.5%. Retirement is simply one savings goal, but there are likely to be many more, and 7.5% is unlikely to be enough. Imagine if you have to save for a mortgage down payment, kid’s college payment, emergency fund, and others in addition to retirement.

What Can You Do?

If you’re scared, you should start saving right now. Don’t limit your savings to just 7.5%. Ensure to go all the way. Stretch yourself as much as possible and save as much as you can, especially if you are approaching retirement.

The retirement savings of someone in their 50s have less time to compound compared to that of someone in their 30s or 40s.

4. The Sobering Reality

According to the Boston College Center for Retirement Research’s January 2021 National Retirement Danger Index update, 49% of working households are at risk of a lifestyle drop when they retire. That was an improvement over the original study, but it was still not a happy ending.

What Can You Do?

Make your own retirement strategy. What would it take for you to live the life you desire and accomplish your goals? There are numerous online tools and calculators available to assist you, such as those found at usaa.com/goals.

Start by calculating how much you’ll need to live comfortably in retirement. How much would you need to take care of yourself, your spouse, and your dependents? Once you have that amount, calculate how much you need to save monthly or yearly to have that much saved up before retirement.

5. The Unnerving Reality

How far would $1,543 get you in terms of sustaining your lifestyle in retirement? In 2021, that will be the average Social Security retirement benefit. You’ll almost certainly require a lot more.

What Can You Do?

Don’t rely solely on Social Security to pay your retirement. Social Security wasn’t created to be the sole source of income in retirement. Rather it was created to complement other income sources and carter for less than 40% of retirement funding.

Ensure you have a plan in place that incorporates numerous sources of revenue. Pensions, IRAs, workplace retirement programs like 401(k), annuities, real estate, non-retirement stocks, mutual funds, bonds, and exchange-traded funds are all ways to supplement Social Security and avoid relying solely on it. While this may sound difficult, it’s very doable once you create a budget and follow it through.

6. The Startling Reality

Employer retirement schemes, such as the 401(k) and the military’s Thrift Savings Plan (TSP), are a cornerstone for retirement savings. Vanguard Investments reported in June 2021 that the average account balance of participants was $129,157.

What Can You Do?

$129,157 might be a good number if you’re 28, but not so much if you’re 58. Find out where you are right now. Focus on solid retirement savings practices if you’re just getting started. If you’re further down the road, it’s time to figure out what you want to save for… I assume that it’s a lot more than $129K.

Use online calculators and other tools to determine how much you need in retirement and how much you can save monthly to achieve that amount.

Have you been jolted into action? I sincerely hope so. 

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.

If you’re thinking you won’t have to pay taxes when you retire because you have paid taxes on Social Security your entire working life, then think again.

More than half of those who receive Social Security payments owe taxes on their earnings during the tax period. Here’s how the Internal Revenue Service (IRS) taxes Social Security and how you might reduce your tax burden.

The IRS’s Approach to Social Security Taxation

Despite the widespread perception that you stop paying taxes after reaching a particular age, your Social Security benefits are taxed for the rest of your life. The amount of taxes you pay on those benefits is determined by your other earnings that year. This includes wages, self-employment income, investment income, and other taxable income.

Up to 85% of your total Social Security earnings may be taxed at your regular income tax rate. However, 44% of people will not owe any income taxes on their Social Security benefits.

Those who earn little or no money outside of Social Security payments are unlikely to pay any taxes on their benefits. Furthermore, persons who receive only Social Security benefits may not be obligated to file a tax return at all.

You’ll need your filing status and combined income to figure out how much you might owe. The combined income calculation is a little complicated, but you can figure it out by adding one-half of your Social Security payments to your adjusted gross income and any non-taxable interest you’ve earned this year.

Use this table to see how much of your benefits will be taxed at your regular income tax rate once you’ve calculated your combined income.

Note: If your combined income is at least $0, up to 85% of your Social Security payments are taxable if you are married and filing separately.

What States Have Social Security Taxes?

Your Social Security benefits may be taxed in some states (so you may have to pay both state and federal taxes on your benefits). Thirteen states currently tax part or all of the benefits you receive.

How to Declare Social Security Benefits

Each January, you’ll receive a Form SSA-1099 from the Social Security Administration (SSA), which details the total benefits you received the previous year as well as the total amount you must submit to the IRS on your federal tax return.

If you lose your form, create a free online account with the SSA and download a copy.

You will report the amount in Box 5 of Form SSA-1099 and the total amount on line 6a of your Form 1040, U.S. Individual Income Tax Return or Form-1040-SR, U.S. Tax Return for Seniors. Your other earnings determine the taxable income during the year, which you should report on Form 1040-SR or line 6b of Form 1040.

Keep in mind that the amount of your benefits that are taxed is determined by your combined income and filing status. This worksheet can be used to calculate the taxable amount of Social Security benefits.

How to Pay Social Security Taxes

You have a few options for paying taxes on your Social Security income if you owe them. To begin, you can pay them on Tax Day, just like you did when you were younger. If you expect to owe taxes, you may want to consider paying estimated taxes quarterly.

Alternatively, if you anticipate that your Social Security benefits will be taxable, you may opt to withhold federal taxes from your monthly payments, just as you did when you worked.

Fill out Form W-4V, Voluntary Withholding Request, and mail it to your local Social Security office. You can choose to have 7%, 10%, 12 percent, or 22 percent deducted from your payments.

How Can You Lower Your Social Security Taxes?

If you think you’ll owe taxes on your Social Security income, there are a few things you may do to reduce your tax liability:

Reduce business profits: If you own a company, you can lower your tax bill by taking advantage of any available business tax write-offs.

Limit retirement withdrawals: You may wish to consider lowering your retirement income withdrawals to reduce your tax burden, but you should consider the required minimum distribution (RMD) laws. You may potentially increase your tax burden if you don’t take out at least a minimum from your most taxable retirement funds after age 72.

Sell capital assets strategically: If you possess capital assets like stocks, bonds, or real estate, you should consult a tax professional to determine the ideal moment to sell them. Any capital assets that are sold at a loss will lower your overall income. Capital gains taxes may apply to any assets sold at a profit, depending on how long you held them.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.

On Wednesday, October 13, 2021, the Social Security Administration announced that federal pensioners’ yearly cost-of-living adjustment (COLA) would be 5.9% in 2022, the highest rise since 1982.

The announcement, however, reignited calls for parity in federal employee retirement systems.

The annual change in workers’ third-quarter consumer price index is used to determine Social Security cost-of-living adjustments (COLA). Members’ yearly annuity increases are also calculated on this premise by the federal government’s Civil Service Retirement System (CSRS). As a result, next year’s annuity payments to CSRS retirees will increase by 5.9%.

With Cost-of-Living Adjustments (COLA) Comes Social Security Increases.

Other major figures related to the Social Security program have increased, in addition to the 5.9% COLA increase in benefits for January.

Up to $147,000 of wages will be subject to the 6.2% Social Security payroll tax, up from $142,800 previously.

Employees on FERS will only have to pay the civil service retirement payment (which can either be 0.8%, 3.1%, or 4.4%, depending on when they got hired).

CSRS Offset employees, however, will continue to pay the same 7% overall tax (6.2% towards the Social Security program and 0.8% to the federal retirement fund), but with the whole money going to the federal retirement fund. “Pure” CSRS employees aren’t subjected to Social Security taxes.

The COLA increase linked to the COVID-19–fueled spike in inflation will be good news for the about 70 million people who rely on the program—including retirees, disabled people, and others. For the average retiree, who receives a $1,565 monthly check in 2022, the increase means an extra $92 each month, increasing the total payment to $1,657.

According to Ken Thomas, National president of the National Active and Retired Federal Employees Association, the 5.9% COLA provides a buffer for seniors against current inflation after years of little or no adjustments.

The Elderly Citizens League, a group that works for senior citizens in the United States, has also emphasized that COLAs applied to Social Security payments have not kept up with market price increases over the last few decades. This annual boost in monthly Social Security payments would go a long way toward protecting seniors’ and disabled people’s buying power.

However, the news is not that good for many federal retirees who retired under FERS, as their 2022 increase will be 4.9%.

FERS retirees receive the entire COLA if CSRS sees an increase of less than 2% every year. FERS participants will only see a 2% increase in COLA if the adjustment is between 2% and 3%.

A statement from the CPI for all urban consumers confirms that inflation rose by 5.4%. The Bureau of Labor Statistics tracks the rate of inflation.

How Do you Calculate Your Increased Benefit?

Take your monthly Social Security payment and multiply it by 5.9% to get the increase you will see on your check. Apply the result to the previous amount you received to get the new check’s total.

Not to worry, beneficiaries will get letters from the Social Security Administration stating how much of their payments will increase.

When Will Social Security Benefits Be Increased?

According to the Social Security Administration, roughly eight million beneficiaries will get their first check on December 30, 2021, with the COLA applied. According to the SSA’s distribution schedule, more than 64 million Social Security recipients will begin receiving the enhanced benefits in January.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.

Concerns About the Rising Cost of the Federal Employee Health Insurance

The health insurance prices for federal employees and retirees rise each year, and 2022 will be no exception. In a recent statement, the Office of Personnel Management (OPM) said that enrollees in the Federal Employees Health Benefits Program (FEHBP) may expect to pay around 3.8% more toward their health premiums in 2022.

Premiums will rise by 2.4% on average next year, with the government’s contribution increasing by around 1.9% in 2022. This is a rather minor increase compared to more recent years. Participants in the FEHBP paid an average of 4.9% more for their health plans in 2021 than they did the previous year, and 5.6% more the year before.

In 2016, the rates were considerably higher. Nothing has yet to surpass the year 2019, when FEHBP participants paid only 1.5% more for their health insurance. It was the smallest total rate hike since 1996 and the smallest increase in participant premiums since 1995.

The Office of Personnel Management (OPM) referenced what this news would mean for the average employee’s paycheck in 2022. If non-postal federal employees get their projected 2.7% pay raise, the average worker will make $3,599 monthly next year. So health insurance will cost employees an average of $171.74 every pay period, or about 4.8% of their income.

According to OPM, employees paid $165.52 toward health insurance in 2021, or 4.7% of their wages. It needs to be stated again that these are only averages. Some plans will have higher rates in 2022, while others will have lower rates.

Take a look at the statement from OPM about next year’s premiums. A member in the Blue Cross and Blue Shield Basic plan will pay $3.42 more per month for insurance, while an employee with a family plan will pay $23.88 more per month.

The typical Blue Cross and Blue Shield plan will increase by $8.71 per month for individuals and $30.31 for families.

OPM also mentioned that the cost of obtaining a Government Employees Health Administration (GEHA) plan for a person will reduce by $7.11 per month, while the cost of a family plan will drop by $25.74 per month.

OPM determines premium rates every year based on how federal employees and federal retirees used the healthcare system the previous year.

OPM attributes the increases to rising expenses of treating chronic illnesses, prescription medications, and developments in medical technology that are driving up healthcare expenditures. The pandemic has also made estimating annual FEHBP premium prices challenging.

Some carriers told OPM that the price of treating and testing COVID-19 individuals influenced their rates, though not a sign in the big picture.

COVID-19 testing and treatment cost FEHBP roughly $1 billion in 2020, accounting for about 2% of all claims. OPM expects those costs to decrease over time, especially as more employees are vaccinated. When we pressed for further information on why the rates for 2022 remained so low, OPM said:

“Actual 2020 trends were less than expected when 2021 rates were set, partly due to the COVID-19 pandemic’s unknown future trajectory. The 2022 rates take into account current 2020 patterns and 2021 experience, as well as cost forecasts for the rest of the year and into 2022. The projected savings from multiple carrier renegotiations with their pharmaceutical benefit managers offset the 2022 rate hike.”

In other words, during the first year of the pandemic, federal employees used the healthcare system less frequently as they postponed elective operations and other semi-optional procedures.

This is beginning to change. According to OPM, FEHBP participants are beginning to file more claims as they plan more regular doctor’s visits or operations that were previously postponed. This trend is expected to continue until 2022, with implications for premiums in subsequent years.

“With the pandemic, we’re still in a unique scenario,” Greg Klingler, CEO of the Government Employees’ Benefits Association (GEBA), said. “We haven’t seen a pandemic like this since 1918, and the FEHB plan was not in place at the time.” “I believe we’re all treading water for the first time here.”

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.

The two major players on your way to retirement are you and your agency. You, because you are the one who wants to retire and is in charge of completing the necessary paperwork. Your agency, which must process your application before submitting it to the OPM for review.

It’s worth mentioning that the procedure at the agency level is not instantaneous, nor is it always timely. It should come as no surprise that the same is valid on the OPM level. A word of advice: keep a stash of cash on hand to get you through this period.

What the agency does

Your agency’s personnel and payroll divisions should process your retirement application within 30 days of its submission. If they’ve hit that target, you’re on your way to being placed on the government’s annuity roll now that you’re retired. That 30-day objective, though, might not be met.

Until the application is forwarded to OPM, you must direct any inquiries regarding the progress of your application to your previous agency’s personnel or payroll office. Most agency payroll offices will let you know when your retirement application has been submitted to OPM. If yours does not, you must follow up with them.

What does OPM do?

When OPM receives your application, you will receive a written confirmation and a retirement claim number preceded by the acronym CSA, which stands for Civil Service Annuitant.

If OPM decides that you fulfill the eligibility conditions for an annuity, it will sanction an interim annuity payment equal to a percentage of your final annuity. OPM does that for two reasons. First, to provide you with some funds while your application is being reviewed. Second, to prevent overpaying you and having to reclaim the difference when your annuity is finally granted.

After OPM has completed processing your application, your regular annuity amount will be established, and the Treasury Department will authorize and pay your first regular annuity payment. (Note: OPM will also give you an Annuity Statement and other information regarding your retirement benefits at the same time. Please keep this statement in a secure location. If you ever apply for a house mortgage or another substantial loan, you’ll be requested to produce a copy to the lender as verification of your annuity entitlement.) Any funds you’re owed as a result of your interim pay status will be applied to your first full payment.

How much time will that take? It’ll depend. The OPM aims to make a final judgment on 90% of applicants within 60 days after receipt. However, it only accomplishes that target approximately 75% of the time, and adjudication can take considerably longer in some cases. Another way to look at it is that the average processing time for applications completed within 60 days is around 40 days. For those who took more than 60 days, it took 110 days — nearly four months — on average.

It’s an old system, with many records still being kept on paper. Then there are the plethora of laws that may come into play. The variances in what is deemed creditable service alone occupy chapters upon chapters in the CSRS and FERS Handbook for Personnel and Payroll Offices. Furthermore, service before x-date may be considered differently from service on or after y-date.

Another reason for delays is incomplete or missing information in the application or accompanying records, which requires back and forth between OPM, you, and your employing agency. That’s one of the main reasons why it’s recommended to start planning for retirement a year ahead of time, rather than just a few months.

You now understand what you, your agency, and OPM must do to get you on the path to retirement and the annuity roll.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.

Which Family Members Are Eligible for FEHB? (or Out)

The Federal Employees Health Benefits (FEHB) program, which covers 8 million federal employees, former employees, annuitants, family members, and former spouses, is the world’s largest employer-sponsored group health insurance program. Federal employees can participate in the FEHB program and cover eligible family members such as spouses and kids under the age of 26 in their coverage.

The FEHB program has three levels of enrollment:

• Self Only
• Self Plus One
• Self And Family

The employee or annuitant and just one eligible family member are covered by a “self plus one” registration. The employee or annuitant, as well as various family members, such as a spouse and children under the age of 26, are covered under a “self and family” enrolment.

Each health insurance plan offered under the FEHB program has a different premium. The federal government covers 72% to 75% of an employee’s or annuitant’s FEHB premium, with the remaining 25% to 28% paid by the employee or annuitant.

It doesn’t matter which FEHB health insurance plan you have or what type of coverage you have (self only, self and family, or self plus one). The percentages of who pays what portion of the FEHB premiums (the annuitant, employee, or the federal government) are always the same and are regulated by law.

The FEHB Program offers over 200 health insurance plan options. Several fee-for-service plans are open to all participants, while others are only available to certain types of employees. Preferred provider organization (PPO) plans are available. Health maintenance organizations (HMOs) are also available in most locations of the United States. To be eligible to enroll in a specific HMO, an employee or annuitant must reside or work within a specific geographic area.

So Which Family Member is Eligible for The FEHB Program?

The FEHB covers you and your “eligible” family members. “Eligible” is the essential word here. Some people you consider family members — and in some situations, even those who live with you — may not be eligible for under the program.

An eligible family member is defined as:

• Your partner;
• A former spouse in some circumstances;
• Children under the age of 26, including legitimately adopted children, acknowledged out-of-wedlock children, stepchildren, and foster children under certain circumstances (see below);
• Children of any age who are unable to support themselves due to a mental or physical handicap that started before the age of 26.

Domestic partnerships, civil unions, and other arrangements that aren’t legally recognized as marriages don’t qualify as eligible family members. Even though they are financially reliant on you and/or live with you, your parents, siblings, and sisters, and other close relatives do not.

In addition, there are several restrictions on stepchildren and foster children’s eligibility. Your stepchildren, for example, remain eligible as enrollees even if you divorce or die, as long as the children live with you in a parent-child relationship.

To be considered for foster care, the child must live with you, and you must be the child’s principal financial supporter and expect to look after the child to adulthood. You must also sign a document stating that your foster child satisfies the standards.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.

While saving and investing are key components of planning your financial future, a successful retirement has more to do with income – how much you can generate, as well as for how long. Without a steady and reliable incoming cash flow that lasts for the rest of your life, you could spend your golden years worrying about when the financial well will run dry. 

Some in the financial industry refer to investment planning – or the “accumulation†period – like climbing a mountain, with the ultimate goal of reaching the top. But the peak of the mountain is just the beginning of the “distribution,†or income, period. 

In many cases, going back down a mountain can be more difficult than climbing up. It can also require a completely different set of skills and tools. That is why it is important to work with an income planner as you approach the time in your life when you’ll be depending on your savings and other income sources for your incoming cash flow. 

Investment Planning versus Income Planning

If you are still in your working years, you may have been setting aside money for the future in hopes that it will grow over time. It could also be that you work with a broker or financial advisor who has set up a retirement investment strategy for you. 

Investment planning is the process of matching your financial goals and objectives with your financial resources. This is a core component of financial planning that starts with determining your short- and long-term monetary goals and objectives. 

There are many different investments that you can choose from. These include:

• Stocks
• Bonds
• Certificates of Deposit (CDs)
• Mutual Funds
• Exchange Traded Funds (ETFs)
• Unit Investment Trusts (UITs)
• Annuities
• Options
• Real Estate  
• Gold, Silver, and Other Precious Metals
• Collectibles 

While all of these may provide you with the opportunity to generate a nice return, they may or may not be right, based on what it is that you are trying to achieve. For example, even though the value of small-cap stocks could increase exponentially within a short period of time, they can also expose you to the risk of loss. 

Therefore, there are many factors to consider before you choose the best investment(s) for your particular needs, such as:

• Risk tolerance
• Time frame until retirement (or other financial goals that you are investing for)
• Other assets / income generators 

There are many potential risks that you can face during your investing years, too. These can include:

• Stock market volatility
• Low interest rates 
• Sequence, or order, of returns 
• Lost opportunity risk (i.e., the inability to invest in something else if your money is tied up in another investment)
• Financial emergencies (such as uncovered medical expenses and/or job loss)

Investment planning will generally change over time, based on how close you are to retirement. As an example, as you approach retirement, you may want to allocate a larger portion of your portfolio to fixed or safe assets so that your portfolio does not suffer a loss in the event of a market downturn. 

While investment planning aims to grow and protect assets, income planning focuses more on generating a reliable, ongoing cash flow so that you can pay your essential living expenses, as well as have some extra funds for non-essentials like travel, entertainment, and fun in your retirement years. 

It is important to plan carefully for your income in retirement because there are many unknowns – starting with how long you will need the income to flow in. Given longer life expectancy today, it is not uncommon for someone to live for 20 or more years after they’ve left the working world. 

Similar to the accumulation period, there are a number of risks that you can face when you are in the income, or distribution, period.  Some of the most common risks to your retirement income are:

• Inflation
• Healthcare and long-term care costs 
• Financial emergencies 
• Early withdrawal fees (depending on when you start accessing your money)
• Loss of one or more income streams (such as the loss of pension income when the worker/retiree spouse passes away)
• Taxes (particularly when accessing funds from a fully taxable account, such as a traditional IRA or 401k) 

One of the biggest risks to your income planning is longevity. That is because if you live a long life, your income must stretch out for a longer period of time. It is also subject to all of the other financial risks longer, too. 

That is why income planning needs to factor in a long payout period. This can be difficult to do using only investments, though. However, there is one financial vehicle that can continue to pay you a set amount of income for the rest of your life – no matter how long that may be. This can be done using an annuity.

Annuities are designed for paying out a specific dollar amount of income for a pre-selected time period (such as 10 or 20 years), or for the remainder of your lifetime. Many annuities will also allow you the option of a joint income recipient where the income continues until the death of the second individual. 

How to Create the Right Investment and Income Plan for Your Objectives

No two individuals or couples have the exact same investment or income goals. Therefore, there isn’t just one single financial vehicle or strategy that is right for everyone across the board.

Regardless of whether you’re in the accumulation phase or the distribution phase of your life, it is essential that you get the right advice – which includes using the proper tools for the specific jobs. 

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services offered through BWM Advisory, LLC BWM Advisory, LLC d/b/a Bedrock Investment Advisors collectively ‘BWM’ does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision. Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.