As a key part of your Dallas retirement planning, make sure to discuss Medicare with your Dallas financial advisor before you turn 65.

Turning 65? Here's What to Know About Medicare

The age of 65 is a milestone for many reasons. It’s the usual age when one retires, and it is when people find out for real if their Dallas retirement planning is good enough to see them through their golden years. Any Dallas retirement financial advisor will also tell you that 65 is the age when you become eligible for Medicare. Here’s what our expert Dallas financial advisor from Retire Guides has to say about what to know about Medicare when you turn 65.

How Medicare Affects Your Dallas Retirement Planning

Medicare is a government-sponsored health insurance program for people aged 65 years old and above. When you turn 65, you enter what is called your Initial Enrollment Period for Medicare. It lasts for 7 months, starting 3 months before you turn 65, and ending 3 months after the month you turn 65. The date your Medicare coverage starts depends on which month you sign up during your Initial Enrollment Period. Coverage always starts on the first of the month. If you qualify for Premium-free Medicare Part A, which helps cover inpatient care in hospitals, skilled nursing facility care, hospice care, and home health care. your coverage starts the month you turn 65, unless your birthday is on the first of the month, in which case your Part A coverage starts the month before you turn 65. If you qualify for Part B Coverage, which covers services from doctors and other health care providers, outpatient care, home health care, durable medical equipment such as wheelchairs, walkers, and hospital beds, and preventive health services such as screenings, shots, vaccines, and yearly “wellness” visits, then your coverage starts based on the month you sign up.

Dallas Retirement Planning to Maximize Medicare Benefits

As good as Medicare sounds, it doesn’t cover all your possible medical expenses in your retirement years. That’s why you should sit down with your Dallas retirement financial advisor to talk about getting Medicare Supplement Insurance, sometimes referred to as Medigap, which helps you in covering or supplementing some of the out-of-pocket costs not covered by Medicare. If you want even more comprehensive coverage for your golden years, then you can ask your Dallas financial advisor about getting a Medicare Advantage plan. This is a type of health plan offered by a private company that contracts with Medicare to provide you with all your Medicare Parts A and B benefits. MA plans include health maintenance organizations, preferred provider organizations, private fee-for-service plans, and Special Needs Plans. These plans do require a premium that will vary depending on your circumstances, but these types of plans may offer prescription drug coverage, preventative dental care, and general wellness coverage for your yearly physicals.

Enjoy Security in Your Golden Years Through Dallas Retirement Planning

To learn how to get the most out of your Medicare coverage, turn to your Dallas financial advisor at Retire Guides. Our mission is to help our clients make investments and financial plans through personalized, exceptional financial services from your Dallas retirement financial advisor. We are here to listen to your needs and to create a retirement plan that will let you live your golden years without worries. Schedule an appointment with us today to get started on your Dallas retirement planning! 

An IRA under review with the help of a Dallas retirement financial advisor is an essential part of Dallas retirement planning

Reviewing Your IRA at Year End

An Individual Retirement Account, or IRA, should be an integral part of your Dallas retirement planning. But what exactly is an IRA? What does it do? Why should you review it at the end of every year? Here are Retire Guides’ facts about IRAs that any Dallas financial advisor should inform you about.

What Are IRAs and How Do They Fit into Your Dallas Retirement Planning?

IRA stands for Individual Retirement Account, a long-term savings account that individuals with earned income can use to save for their retirement with the benefit of certain tax advantages. IRAs are mainly meant for business owners and self-employed people who do not have access to workplace retirement accounts such as a 401(k), which is available only through employers. Types of IRAs include traditional IRAs, Roth IRAs, Simplified Employee Pension (SEP) IRAs, and Savings Incentive Match Plan for Employees (SIMPLE) IRAs. Your Dallas retirement financial advisor will advise you as to which type of IRA is best matched to your retirement plans. Annual income limitations apply to deducting contributions to traditional IRAs and contributing to Roth IRAs. IRAs are meant to be long-term retirement savings accounts. The money you keep in it can’t usually be withdrawn before you reach the age of 59 years and 6 months. A tax penalty of 10% of the amount withdrawn is levied on such early withdrawals. 

Why An Annual IRA Review is Essential to Dallas Retirement Planning

At the end of every year, you and your Dallas financial advisor should go over your entire retirement plan and all its components to see if the progress you’ve made in the past 12 months lines up with your retirement goals. If things are going well, it’s a sign that you should stick to your existing plan. If the results come up short, then it might be time to consider taking a new direction in your Dallas retirement planning. Your IRA is an essential component of any retirement plan, which is why you need to be monitoring if you are reaching your savings goals or if you are getting the full benefits of the tax advantages these accounts offer. Either way, you will need the help of a Dallas retirement financial advisor to help you navigate all of your options. And that’s where Retire Guides comes in.

How Retire Guides Enhances Your Dallas Retirement Planning 

As your trusted Dallas retirement financial advisor, Retire Guides will provide you with helpful benchmarks and assist you in reaching maximizing the benefits of your IRA. From helping you select which type of IRA to open to making the most of the tax advantages they offer, we’re here to help you navigate the details so that you can focus on enjoying your retirement. Get in touch with us and let’s start your journey today!

Fort Worth retirees being taxed after retirement.

2023 Tax Season - How Will You Be Taxed in Retirement?

The 2023 Tax Season is upon us. While everyone is busy preparing their income tax returns for filing, some of us—especially those who are advanced in age—may be wondering what this process will look like during retirement. In this article, our Forth Worth financial advisor shall discuss how you will be taxed during retirement and how you integrate it into your Fort Worth retirement planning so that you can work towards your dream retirement.

Fort Worth Retirement Planning: Retirement Income and Taxation

Below is a discussion on the most common sources of income of retirees and how they are taxed accordingly.

Taxes on Social Security Benefits

One persistent belief among retirees is that they don’t have to pay taxes on their Social Security Income. The amount of tax you will have to pay out of your Social Security Income will depend on your overall household retirement income, and whether you file a joint or separate tax returns. Depending on your total income and filing status, up to 85% of your social security benefits may be taxable. You can discuss the specifics of these tax brackets and values with your trusted Fort Worth retirement financial advisor.

Taxes on Pension Income

The general rule for pension incomes is that tax-deferred investments [i.e. IRAs, 401(k)s, and 403(b)s] will be taxed in the year you take the money. The tax rate shall also be based on all your taxable income during the year. Contributors to mentioned tax-deferred investments have the option to convert their pre tax plans to a Roth IRA by paying taxes on the year conversion. While these may cost more at the onset, this option affords retirees predictability as to their disposable income during retirement.

Tax-Free Roth IRA

As mentioned above, contributions made to a Roth IRA account are paid with after-tax dollars and as such withdrawals from a Roth IRA during retirement are entirely tax-free. This is why most Forth Worth retirement planning integrates this into a client’s portfolio as it makes the math of income and expenses easier to manage for retirees.

Other Taxable Accounts

Other sources of retirement income such as investments are taxed at regular rate. Our Forth Worth financial advisor suggests capitalizing on specific investment advantages such as long-term capital gains and qualifying dividends to further lower taxable income. Retirees can also report capital loss to offset capital gains or consider gifting assets that have appreciated to avoid capital gains while taking a tax deduction for the assets’ current value.

Integrating Retirement Taxation into Your Fort Worth Retirement Planning

Retirement planning, including retirement income taxation, can be very complicated if you are unprepared for it. However, our Fort Worth retirement planning experts can help you make your retirement dreams possible. By crafting a retirement roadmap personalized for you, our Fort Worth financial adviser will identify benchmarks and milestones that you can easily. Call us now and let’s journey together towards your dream retirement.

Couple meets with fort worth financial advisor to discuss Roth IRA vs IRA

Roth IRA vs IRA

A secure financial future begins with early Fort Worth retirement planning and with the right type of investments for your needs. That said, many working adults don’t set money aside for retirement early enough, don’t understand the market well enough to choose the right investments for their retirement goals, or both. Thankfully, our Fort Worth financial advisors can not only help you find the best ways to make up for late retirement, but can also help you understand the investment options available for your retirement goals. Two of the options available through our Fort Worth retirement financial advisor are a Roth IRA and a traditional IRA. While similar, they each possess distinct differences, which we’ll explain here so you can make informed decisions for your wealth and your future. 

A Traditional IRA with Our Fort Worth Retirement Financial Advisor 

A traditional IRA is a personal retirement account that builds wealth over time. You pay no taxes on the money you invest at the time of investment, but pay taxes upon withdrawal at whatever the tax rate is at that time. This type of Fort Worth retirement planning account is ideal for those who expect to be in a similar or lower tax bracket upon retirement, when you plan to withdraw your funds. Our Fort Worth retirement financial advisors may also recommend a traditional IRA if the tax rate is low at the time you plan to open the account. There are penalties, however, if you withdraw funds early, as you have yet to pay taxes on these funds. 

How Is A Roth IRA with our Fort Worth Financial Advisor Different?

A Roth IRA is another type of personal retirement account that accrues wealth over time. The main difference from a traditional IRA, according to our Fort Worth financial advisor, is that these funds can be withdrawn tax-free upon retirement. If you open a Roth IRA with our Fort Worth retirement financial advisor, the funds deposited will be taxed at the tax rate in place at the time of investment. Since you have already paid taxes on this money at the time the Roth IRA was established, however, there are no penalties upon withdrawal. Our Fort Worth retirement financial advisors recommend a Roth IRA account to Fort Worth retirement planning clients who are just starting their careers and will likely move into a higher tax bracket over time. If you’re able to initially invest a substantial amount of money into this account, a Roth IRA is a smart choice for your Fort Worth retirement planning portfolio, as it provides a tax-free source of income upon retirement.

Fort Worth Retirement Planning with Retire Guides

Those who know the importance of Fort Worth retirement planning also recognize the benefits of having a trusted Fort Worth retirement financial advisor in their corner who can offer the most lucrative financial planning options on a personalized level. Our expert team knows the complicated investment market and can guide you to make the most for your wealth and your future. Call us today to see how our Fort Worth financial advisors can help you make the right choices that will grow your money over time and ensure financial comfort upon retirement.

An IRA can be an important part of your Fort Worth Retirement Planning.

What is an IRA and Who Needs One?

Most working adults don’t set money aside for retirement early enough. At Retire Guides, our Fort Worth financial advisors are here to answer your questions regarding independent financial planning and give you access to the tools necessary to help you select the investments and financial instruments that will help you reach financial freedom and stability in your golden years. One option available through our Fort Worth retirement financial advisor is an IRA, or Individual Retirement Account. These accounts are set up at a financial institution, and allow you to save for retirement with either tax-free growth or on a tax-deferred basis. IRAs are mainly meant for business owners and self-employed people who do not have access to workplace retirement accounts such as a 401(k), which is available only through employers. But are IRAs a viable financial tool to help you meet your retirement financial goals? 

What is an IRA and How Does it Fit In With My Fort Worth Retirement Planning?

The main types of IRAs are:

Traditional IRA - Your contributions come from money that you can deduct on your tax return, and any earnings can potentially grow tax-deferred until you withdraw them in retirement. Most retirees end up in a lower tax bracket than they were before their retirement, so the tax-deferral means their future withdrawals may be taxed at a lower rate.

Roth IRA - Contributions come from money you've already paid taxes on, so your money may potentially grow tax-free. Withdrawals for those in retirement are tax-free, provided that certain conditions are met.

Your Fort Worth financial advisor can help you choose which IRA is best for you in order to meet your long-term retirement goals. A diversified portfolio of assets, investments, and retirement savings accounts means that you will have the resources to meet any future financial challenge long after you retire.

Maximize The Benefits of Your IRA and Fort Worth Retirement Planning With Retire Guides

If you recognize the importance of Fort Worth retirement planning, then you understand the benefits of having a Fort Worth retirement financial advisor that you can trust. At Retire Guides, we’ll put you in touch with a Fort Worth financial advisor that understands you and your needs so that you can work together to set personalized retirement goals and put together a retirement plan to meet them. Whether you’ve just begun your Fort Worth financial planning process or if you’ve been planning for retirement for some time now, Retire Guides has the experience, knowledge, and history of success to help you secure your future and grow your wealth. Get in touch with us today to set an appointment! 

A couple sits down with their Dallas retirement financial advisor for estate planning.

Does Everyone Need Estate Planning?

Estate planning is one of those financial life steps that are very important, yet few people are ever taught about it, and even fewer end up doing it. This is understandable, as most people never even speak to a Dallas financial advisor until they are well into their working years. With Retire Guides, it’s easier for you to stay on course to retirement because we will provide you with helpful benchmarks and assist you in reaching major milestones. But what about planning for what comes after? While some might dismiss estate planning as just more inconvenient paperwork, it is in fact a powerful tool that, along with some Dallas retirement planning, can ensure that your legacy is secured not just within your lifetime, but for generations to come. Here’s what every Dallas retirement financial advisor will tell you about the importance of estate planning. 

Estate Planning vs Dallas Retirement Planning

So what’s the difference between Dallas retirement planning and estate planning? Both involve sitting down with your Dallas financial advisor to plot out what your long-term lifestyle and financial goals are and putting together a plan to make them a reality. The difference is when each plan comes into effect. Dallas retirement planning is all about how to grow your assets through savings and a variety of investment instruments, all in order to put away something for your retirement and major expenses. Estate planning is all about what happens to those assets after you’ve passed on. Retire Guides is here to help you navigate and enjoy your retirement with a retirement plan customized to your unique goals, along with an estate plan to help those you leave behind with what comes after.

Estate Planning Picks Up Where Dallas Retirement Planning Leaves Off

There are those who wonder what the use of estate planning is. After all, some may think “It’s not my problem anymore.” once they’ve passed. However, there is the matter of the loved ones and the heirs we leave behind. Any Dallas retirement financial advisor will tell you that those who leave behind assets but no estate plan end up subjecting their loved ones to plenty of anguish and uncertainty. Without an estate plan, questions of the validity of any will you leave behind may arise. Lawyers will have to be called in to identify and tabulate your assets and properties, and punishing estate taxes may be levied on your heirs and beneficiaries. All this trouble and aggravation for your loved ones can be avoided by taking the time to sit down with a Dallas financial advisor to do your estate planning. 

Make Your Dreams Reality Through Dallas Retirement Planning and Estate Planning

As your Dallas retirement financial advisor, Retire Guides will provide you with helpful benchmarks and assist you in reaching major milestones both in your lifetime and beyond. With Retire Guides, it’s easier for you to stay on course to retirement and with securing the legacy you leave behind. We’re here to help you navigate and enjoy your retirement with a retirement plan and estate plan customized to your unique goals. Give us a call and let’s start your journey today!

Make 2023 a year of growth and prosperity by sitting down with your Dallas retirement financial advisor to set smart financial goals for the new year!

Smart Financial Goals to Set for 2023

With the new year just around the corner, it’s time to sit down with your Dallas financial advisor and take stock of how much of the past year’s financial goals you’ve managed to achieve. This kind of annual review is an important step in your Dallas retirement planning. It gives you and your Dallas retirement financial advisor the opportunity to adjust both your goals and the steps you take to achieve them. If you’ve outperformed your 2022 goals, for example, then you and your Dallas financial advisor might consider setting more ambitious goals for 2023 and beyond. This kind of personalized Dallas retirement planning is what Retire Guides offers all our clients. You may want to consider working with us as one of your 2023 financial goals!

Setting Short-Term Goals for Dallas Retirement Planning in 2023

The short-term financial goals that you and your Dallas financial advisor might consider setting for this coming year could include setting a monthly budget for you to follow. This will help reinforce your financial discipline and can help you in the future by letting you know what expenses you may want to prioritize and prepare for in your retirement. Another short-term goal to consider is to make sure you have enough insurance coverage to cover your needs, be it for health, home, vehicles, or your business and professional needs.

Setting Long-Term Goals for Dallas Retirement Planning in 2023

The long-term financial goals for 2023 that you and your Dallas retirement financial advisor set should cover the needs of your Dallas retirement planning. This includes making the most of your retirement accounts, be it 401(k) or IRAs, in terms of deposits and tax advantages. Other long-term goals can include choosing a long-term investment strategy to ensure the continued growth of your assets. Yet another long-term financial goal you may want to review is to set up an estate plan to cover the disposition of your assets after you’ve passed on. This ensures that your loved ones are taken care of and that your wishes are carried out.

Dallas Retirement Planning Made Easy With Retire Guides

An annual review and setting of short- and long-term financial goals is the kind of undertaking that requires a close relationship with a Dallas retirement financial advisor that you trust. Retire Guides is here to make put you in touch with professionals who make sure that you meet the goals you set out in your Dallas retirement planning each and every year, and help you make adjustments should your needs and circumstances change. Let Retire Guides put you in touch with the Dallas financial that’s right for you. Get in touch with us today! 

fort worth retirement planning for insurance coverage

How Health Insurance Changes in Retirement

Health insurance in retirement is a crucial aspect aspiring retirees should include in their Fort Worth retirement planning. It is critical, because if unprepared for, health care expenses—especially for those in their advanced age—can easily drain retirement funds. This is especially true for those that are looking forward to an earlier retirement (younger than 65) before they become eligible for Medicare coverage. Having said that, this is something our Fort Worth retirement financial advisor can help you plan for. We can provide you with the steps you need to follow to make your retirement dreams a reality. To this end, our Fort Worth financial advisor shall discuss how health insurance changes in retirement.

Health Insurance Coverage Prior to Fort Worth Retirement Planning

One does not need a Fort Worth retirement financial advisor to recognize that the majority of health insurance coverage in this country is employment-based. That is to say, most people are insured as a benefit of their employment or as a dependent of someone who is actively employed.

Employers are able to provide competitive insurance coverage because it is cheaper for them. By pooling the policies of their employees, administrative expenses become lower and they can minimize the effect of adverse selection which drives up premiums. Adverse selection is the tendency of those who most need insurance (unhealthy, those with preconditions) to apply for health insurance.

Insurance companies manage this risk by also insuring healthy individuals that are unlikely to cost the insurance companies much in healthcare expenses. By insuring multiple individuals, the risk of adverse selection is minimized, which is what happens when employers pool the application of their employees. Lastly, businesses also enjoy tax write-offs associated with the insurance payments they provide to their employees.

Fort Worth Retirement Planning Should Have a Plan for Health Insurance in Retirement

The need for health insurance rises with age. However, this is also the time where health insurance premiums cost the most. Thus, aspiring retirees should work closely with their Fort Worth financial advisor in coming up with a Fort Worth retirement plan with a specific provision on how to afford health insurance in retirement. Aspiring retirees should also understand how Medicare works because this will be their main source of health care insurance coverage once they turn 65. Some households can also benefit from setting up Healthcare Savings Accounts that can become a source of retirement income—which can fund healthcare expenses.

Start Your Fort Worth Retirement Planning Now

A sound retirement portfolio should be able to provide for healthcare expenses after retirement. We have seen in the discussion above that healthcare insurances cost the most when they are most needed. However, this should not discourage aspiring retirees because we all have a resource in abundance that we can utilize to turn the odds in our favor, and that is time. Our experienced Fort Worth financial advisor will give you a roadmap based on your retirement goals that is easy to follow. Call us and start your Fort Worth retirement planning now!

As 2022 makes way for 2023, it's time to sit down with your  Fort Worth retirement financial advisor to get the most out of your Health Insurance in retirement.

Year End Health Insurance Planning

Planning for your retirement is not just about putting away cash into special accounts and accumulating assets and investments. It’s also about anticipating your future needs and expenses so that you’re ready to meet them when the time comes. This is why having a Fort Worth retirement financial advisor to help you is so important. They make sure that your Fort Worth retirement planning covers every conceivable need, such as making sure that you have access to health insurance in retirement. Retire Guides is here to give you advice for the future and put you in touch with a Fort Worth retirement financial advisor who will help you with your Medicare planning to ensure that you will have enough health insurance in retirement.  

Health Insurance as Part of Fort Worth Retirement Planning

Medicare and Medicaid may not always be enough to meet your needs. That's why your Fort Worth financial advisor will insist that health insurance in retirement be a key component of your retirement plans. The simple truth is that as you get older and reach your golden retirement years, visits to the doctors and various medical procedures will become more and more common. Having enough health insurance ensures that you can always afford to get yourself and your loved ones the care they need. It is also a part of your Fort Worth retirement planning that needs to be checked up on and adjusted on a regular basis. Every end of the year is one such occasion.

Year-End Health Insurance Planning

As 2022 ends, your Fort Worth financial advisor will tell you that there are still a few ways that you can maximize the utility of your health insurance. If your health insurance offers a preventive wellness benefit and/or flexible spending account, your ability to use those benefits may end within the plan year this December, so make sure to maximize your benefits before the end of the year. Most health insurance plans offer wellness benefits for preventive health measures, such as annual wellness exams, cholesterol screening, mammography, pap smear, prostate exams, vaccines, and more. If you have a health plan that offers a flexible spending account or FSA, you can use these funds to pay for copayments, deductibles, and other health care costs. This money usually must be used within the plan year. If you’ve been putting off any medical care, be sure to take advantage of your FSA before the year ends.

Make Health Insurance Part of Your Fort Worth Retirement Planning

Planning for health insurance in retirement year in and year out is a sensitive and personal topic requiring a lot of trust and faith to exist between yourself and your Fort Worth retirement financial advisor. Retire Guides is here to make put you in touch with professionals who make sure that your Fort Worth retirement planning will take into account things like health insurance. The search for the right Fort Worth financial advisor is only an appointment away! Pick up the phone and give us a call! 

An accountant and a Dallas retirement financial advisor work together to give retirement planning advice to a client.

Why Accountants and Financial Advisors Should Work Together

When you sit down to start your Dallas retirement planning, it might not be the best idea to do it on your own. Like with most things in life, this critical task can be done better if you put together a team of the right people around you to advise you every step of the way. To get the most out of your Dallas retirement planning, you need to have both an accountant and a Dallas retirement financial advisor in your corner.

Dallas Retirement Planning With An Accountant

You might know an accountant as someone who does your bookkeeping and helps you prepare your tax returns. You can also put them in charge of keeping track of your credit card and bank statements and making sure that your bills are all paid on time. This means that your accountant is always aware of how much money you have coming in, and how much you are spending, and they can help you forecast how much money you have available for investing. When the time comes to sit down for some Dallas retirement planning, this information is critical for choosing what financial instruments and investments to put your money in so that you can meet all your financial goals.

Dallas Retirement Planning With a Dallas Financial Advisor

Your Dallas retirement financial advisor is the person who is informed about the investments and financial instruments that are available to you at any given time. They are also there to advise you about setting personal financial goals and put you on the path to meeting them. Your Dallas financial advisor will need to know all about the state of your finances in order to give the most effective and practicable advice. As you can see, this is why it’s beneficial that they work with your accountant.

Dallas Retirement Planning Goes Best When Your Accountant and Dallas Financial Advisor Work Together

When both your accountant and Dallas retirement financial advisor are on the same page, they can put together their efforts to maximize your returns on your investments, helping you to reach your financial retirement goals earlier. They can schedule your payments of bills and time your investments, all while combining their knowledge of tax laws and regulations to minimize your tax bills. And should sudden and unexpected changes occur to the economy or to your personal financial state, they can make adjustments in order to keep you on track to meet your retirement financial goals. 

Let Retire Guides Help You Find Your Dallas Retirement Planning Dream Team

Dallas retirement planning is a sensitive and personal topic requiring a lot of trust and faith to exist between yourself, your accountant, and your Dallas retirement financial advisor. That’s why Retire Guides is committed to helping you find the right people to work with. This way, you can have peace of mind that your money and your legacy are in good hands. The search for the right accountant and Dallas financial advisor is as easy as scheduling an appointment today!