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1
Examine Your Retirement Plan’s Stable Value Fund Closely
2
Does your advisor put your interests first?
3
The Financial Plan – Why it is Important to Limit Loss
4
Mutual Funds vs. 529 Account For Your College Savings?
5
2009 New Car Purchases Qualify for Sales Tax Break

Examine Your Retirement Plan’s Stable Value Fund Closely

retirement funds over timeMany employer-sponsored tax-deferred retirement plans, including 401(k)s, offer a unique investment option called a “stable value” fund. If you’ve invested in such a fund, you should take a close look at what’s inside – its value might not be as stable as you think.

For years, I’ve had some of the money in a 401(k) plan with my former employer invested in something called the “fixed income fund.” The fund documents describe it as a conservative cash-like investment with a $1.00/share price.  Over the years, the fund has always yielded more than a money market fund; its current yield is …

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The Financial Plan – Why it is Important to Limit Loss

The Pain to Gain Ratio

  • If you lose 5% of your portfolio, it takes a gain of 5.3% to get back to even.
  • If you lose 20% of your portfolio, it takes a gain of 25% to get back to even.
  • If you lose 50% of your portfolio, it takes a gain of 100% to get back to even.
  • If you lose 90% of your portfolio, it takes a gain of 900% to get back to even.
photo by:kisa naumova

photo by:kisa naumova

Conclusion: If you limit your losses, the road back to prosperity is much easier. Work with your financial advisor to

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Mutual Funds vs. 529 Account For Your College Savings?

Saving for college is a tough job – on par with saving for retirement, and often in direct conflict with that goal as well. Adding to the difficulty of the task is the fact that there are so many different options out there (in terms of investment vehicles) that really muddy the waters for the individual college saver.

One question that comes up very often is whether it is just as effective to utilize tax-effficient mutual funds instead of 529 plans as we save for college. The idea is that the mutual fund can generate a higher overall return than …

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2009 New Car Purchases Qualify for Sales Tax Break

new carThe IRS is reminding taxpayers that the 2009 Stimulus Bill included a little something to help boost auto sales. Those who buy a qualifying new car, light truck, motor home or motorcycle in 2009 can deduct state and local sales tax and excise taxes paid on purchase prices up to $49,500. The deduction will be available for 2009 tax returns (only) whether one itemizes or not.

Showing considerable wit (for an IRS guy, at least), Commissioner Doug Shulman wrote in the announcement of the news, “For those thinking about buying a new car this year, this deduction may give …

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