Investing

As a new year approaches, it is important to create yourself a year end-check list so you can start the new year stress-free.

Thinking about where to invest your money can be overwhelming and confusing, especially for those who are unfamiliar with all options for investing.

The end of the year is fast approaching. As the calendar days march toward 2021, let’s keep in mind that there are several ideas we should review as you work to get your year-end financial house in order.

For the nation, 2020 has been one of the most difficult years in memory. We are grappling with Covid and its fallout, economic upheaval, racial tensions, wildfires, hurricanes, a presidential election and a polarized electorate.

The basics:

As individuals move from job to job or employer to employer, they are faced with decisions about what to do with their retirement accounts. Early retirement plan rollovers may be a smart option, but it’s important to first evaluate if this strategy supports your overall financial plan. 

As a new year approaches, it is only natural for us to reflect on how things went in 2019. Personal and professional accomplishments may take center stage. Or, we may take stock of any disappointments and re-calibrate as 2020 approaches. Yet, I know it’s a busy time. Christmas shopping, holiday parties, tree trimming, family visits, and year-end cheer may already be stacking up on the calendar. Nevertheless, it’s not too soon to start thinking about taxes. In prior conversations, we have talked about tax reform. Some are comfortable with the new rules. Others are still just wading into the tax reform pool, so to speak. Before we jump into our year-end planning piece, I want to stress to you that it’s my job to partner with you. I can’t over emphasize this, and I would be happy to review your options. As with any tax matters, also feel free to consult with your tax advisor.

I often meet families who created an investment portfolio many, many years ago. And while it seems to have performed great during their pre-retirement years, they are sometimes surprised to learn that those same investments may not serve them well in Retirement.

Rolling over your funds for retirement presents a number of opportunities for error. There are plenty of government and IRS regulations to consider, and running afoul of any of them can be expensive in terms of penalties, fees, and even access to your savings.

Buy low, sell high. That’s how you make money in the stock market, right?  Like most things in life, this simple wisdom gets much more complicated once your boots hit the ground.