Fee-Only Financial Planning Advice

Financial Planning in Times of Crisis

Mar 31 2020

We recently saw a social media post warning people not to look at their 401(k) accounts as we are in the midst of a global pandemic related to the spread of COVID-19. And as many have noted, it is possible that if the illness itself doesn’t get you, then anxiety and worry could wear you down instead. You may or may not choose to look at your retirement accounts but you cannot ignore the need for financial planning at this time. Certain industries, companies, and individuals will see a loss of income and it is how they manage to recover …

‘You Make Most Of Your Money In A Bear Market; You Just Don’t Realize It At The Time’

Mar 31 2020

Vitaliy Katsenelson, chief investment officer at Investment Management Associates in Denver, Colo, has written a nice opinion piece for MarketWatch entitled, “Surviving the coronavirus crash: ‘You make most of your money in a bear market; you just don’t realize it at the time’ .” Katsenelson’s first two paragraphs set the tone for the article:

With stock prices sinking fast, a client emailed me saying, “Your move, boss.” So here is our move: Especially in this coronavirus crash, we continue to seek out what we always look for globally — high-quality businesses that we can buy at a significant discount

Update: Tax & IRA Deadline

Mar 30 2020

Over the past several years, you have seen several posts from Albion’s Senior Wealth Advising team designed to help you and your family make a lifetime of good financial decisions.

The first step in making any good decision is to understand the relevant facts. However, given recent events, there have been a plethora of changes that have come out over a very short period. Understandably, it is difficult for anyone to keep up with all these changes.

Our goal in this post, and those coming soon, is to help keep you informed on some of the …

Government Retirement Plans After SECURE Act

Mar 30 2020

Photo credit: diedoe

The SECURE Act made sweeping changes to the rules for most inherited retirement plans, effective January 1, 2020. However, not all inherited retirement plans are changed by that date. If plan in question is a government retirement plan, such as a 457 or 403(b) plan, the implementation date is January 1, 2022. There are a few other cases when 2022 is the implementation date as well. Specifically, the 10-year distribution rule goes into effect in January 2022 for the following two situations:

Plans maintained pursuant to a collective bargaining agreement (unless the collectively bargained agreement terminates

The Lower The Market Falls The More Important It Is To Stay Invested

Mar 30 2020

The lower the market falls, the more important it is to stay invested. Short-term returns should not ruin a brilliant long-term investment strategy. Rebalance your portfolio by selling what has gone up and buying what has gone down. If you can’t stomach rebalancing your portfolio, at least continue to hold. Don’t lose heart and abandon the plan. There is no amount of time or percentage loss after which it is better to give up, sell, and go to cash. It is better to simply remain calm and stay invested. To illustrate that recommendation, here is the average future return… Read More

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