I understand my Social Security Benefits vary at different retirement ages. When should I plan to start taking my benefits?
For a married couple there over 200 potential scenarios for receiving Social Security Retirement Income benefits. These vary based on age of election, deferral of benefits, spousal eligibility, etc. At TCFG we utilize a unique Social Security “Navigator” to assist our clients in coordinating their Social Security benefits with their other assets in order to maximize both the amount and duration of retirement income payments and estate values. We do this with an eye to the possibilities of different needs at different ages and the protection of assets from creditors, taxes and Government seizure. For a personal analysis of your options contact your TCFG advisor.
How much money will I need to retire?
This is a common question and concern of most workers. This particular question has been brought on by far too many advisors focusing on the “Accumulation Model”. The age at which you retire is only halftime in lifetime planning. The success of a retirement strategy is ultimately measured at your funeral, not by your balances on your retirement date. A more appropriate question for most Americans is, ‘How much income will I be able to enjoy during retirement? ” At TCFG we specialize in retirement income planning, specifically the “Coordinated Retirement Income Strategy”. Our approach seeks to maximize the lifetime income available to our clients from all sources, accumulated assets as well as government programs such as Social Security, 403(b)/457 plans, ERISA qualified plans and other personal private sector assets. Our experience indicates we are able to increase the majority of our clients retirement income from 20 to 40% of that provided by an “Accumulation Model”. We typically accomplish this while reducing market risk, creditor exposure and taxation. Contact your TCFG advisor to arrange for personal Retirement Income Modeling analysis.
I would like to pass my business along to my children. Is it O.K. to just give it to them?
As much as we understand that desire in principle, it is simply not feasible in most instances. There are many issues to consider from valuation, cost basis, Gift Taxes, Estate Taxes, estate equalization, Capital Gains Taxes to key employees and other shareholders and partners. A properly constructed Business Succession Plan will address those issues relevant to your situation and provide an orderly transition of ownership consistent with your wishes. Contact your TCFG advisor to discuss your options.
How large an estate should I provide for my family in the event of my premature death?
This is among the most important questions one should consider and the answer is always based on personal objectives, family dynamics and available resources. An estate too large consisting of inefficient assets, heavily weighted to ERISA retirement plans can be greatly eroded by undue taxation. An estate not properly structured may be consumed by creditors of the deceased. Again, it may not be the size of the estate that is most critical but the liquidity and ability of the estate assets to produce income may be key. Contact your TCFG advisor to arrange a personal analysis and make certain your wishes for your loved ones will be attainable.
We are very charitably inclined and would like to dedicate a large part of our live\’s accumulated assets to our most beloved charities, yet we do not want to disinherit our children or cause any income problems during retirement. We have heard of strategies to pass assets to charities that are tax favored and can also benefit our family. Is this really possible?
There are many ways to gift assets for those that are charitably inclined. In order to maximize any current tax benefits and also be able to leave a legacy for ones heirs it is important to have the right professionals on your team. Your accountant and attorney are the proper resources for tax and legal support. At TCFG we are able to assist with creative funding strategies to meet your goals with a maximum of certainty. With strategic planning you may be able to gift away your children\’s inheritance and leave it to them too! Contact your TCFG advisor to explore options.