Financial planning

We focus on what matters most

A successful retirement takes a proper plan

We help set your goals

You’re at the heart of everything we do, so we’ll start by understanding your life stage and discuss your goals together.

Focus on your objectives

To keep your goals on track, we attempt to manage the risk while focusing on gains by working with financial institutions to help manage your portfolio.

Develop a unique strategy

Whether you’re investing for the short-term or long-term, we’ll build a financial plan around your goals.

Support with regular check-ins

We know your goals may change, so we’ll check in regularly to better support you.

Everyone has a different definition for retirement. While we all have different visions and goals for this phase of our life, one thing remains constant: planning for retirement is a responsibility not to be taken lightly. Social Security is the largest source of income for most elderly Americans today, but Social Security was never intended to be your only source of income when you retire. You also will need other savings, investments, pensions or retirement accounts to make sure you have enough money to live comfortably when you retire. A secure, comfortable retirement is everyone’s dream. And now because we’re living longer, healthier lives, we can expect to spend more time in retirement than our parents and grandparents did. Achieving the dream of a secure, comfortable retirement is much easier when you plan your finances.

We can help

We are committed to our clients and the deeply rooted belief is that we grow stronger together. We believe that we aren’t here to serve just today’s clients, but clients for generations to come. With so much change happening in the world today, clients are looking for trusted financial professionals. We are so proud of the legacies we help establish for our clients. As we look ahead to our future, that fundamental principle remains rich in its vision and goals. No matter how much changes happens in the world around us, we will find new ways to create value for our clients.

Traditional IRA

What is an Individual Retirement Annuity (IRA)?

A Traditional IRA is a personal retirement plan to which eligible participants can make tax-deductible and non-deductible contributions each year.

Am I eligible to set up an IRA?

The answer may vary depending on your situation. You can discuss with our financial professional about your situation, or visit IRS.gov.

How much may I contribute to an IRA?

If you and your spouse are not active participants in an employee-sponsored plan, you may contribute the lesser of 100% of your income or the maximum contribution allowed in the corresponding tax year. See the chart below for the maximum contribution allowed during the tax year: Additionally, if you are age 50 or older for the tax year of the contribution, an additional catch-up amount can be contributed. This catch-up option allows an additional $1,000 to be contributed during the tax year. If you are married, you may also have the opportunity to make a deductible contribution into an IRA on behalf of your non-working spouse provided that a joint return is filed for the year. Learn more about your IRA Contribution Limits to determine your specific eligibility and deductible amounts.

Roth IRA

What is a Roth IRA?

A Roth IRA is a personal retirement plan into which eligible participants can make after-tax contributions. The Roth IRA was introduced as part of the Taxpayer Relief Act of 1997. The benefit of a Roth IRA is that an owner may take distributions from it tax free, provided that the account is at least five years old and the account holder is 59 1/2 or older.

What makes you eligible to set up a Roth IRA?

You may make the maximum Roth contribution provided that your adjusted gross income (AGI) does not exceed the low end of the following ranges. For 2020, Roth contributions are reduced (phased out) if your modified AGI for your applicable tax filing status is within the ranges of the following chart: As an example, assume a married individual filing a joint tax return with an AGI of $190,000. In this situation, the individual would be eligible to make a full contribution to a Roth IRA (see chart below to determine contribution limits). If the individual’s AGI was $196,000, only a partial contribution would be allowed. If the individual’s AGI was $207,000, no Roth contribution would be permitted. Unlike the Traditional IRA, there are no limitations based on whether you are an active participant in an employer-sponsored plan. Contributions may be made beyond age 70 1/2 provided you still have earned income.

How much may be contributed to a Roth IRA?

You may contribute the lesser of 100% of income or the maximum contribution allowed in the corresponding tax year. See the chart on the IRS.Gov below for the maximum aggregate contribution allowed for all IRAs during the tax year.

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Additionally, if you are age 50 or older for the tax year of the contribution, an additional catch-up amount can be contributed. This catch-up option allows an additional $1,000 to be contributed during the tax year. As a working spouse, you may also contribute to a Roth IRA on behalf of your non-working spouse provided you file a joint tax return and your adjusted gross income doesn’t exceed the limitations set forth above.

What are the restrictions on a Roth IRA distribution?

As a Roth IRA owner, you may withdraw Roth funds at any time. In order to enjoy one of the primary benefits of a Roth IRA, the withdrawal must be a “qualified distribution”. If so, the funds (including any interest earned) may be withdrawn tax-free and the 10% penalty tax will not apply. In order to be considered a “qualified distribution”, the distribution must be after the fifth-taxable year period beginning with the first taxable year for which you first made a regular (non-rollover) contribution to a Roth IRA and one of the following conditions must also be met.

Payment or distribution is made:

On or after the date you reach age 59 1/2.
To a beneficiary or to your estate after your death.
Because you are disabled.
As a qualified special purpose first time homebuyer distribution ($10,000 limit).

The only exception to the “qualified distribution” rule applies where the funds are used toward educational expenses. In this situation, the earnings are taxed but not penalized by the IRS. Unlike a Traditional IRA, there is no required minimum distribution (RMD) for a Roth IRA.

Can you transfer/rollover existing retirement accounts to a Roth IRA?

Yes, you may transfer existing Roth IRA funds to a Roth IRA. Proceeds of other types of retirement accounts can be transferred/rolled directly into a Roth IRA. Since most other types of retirement accounts consist of pre-tax money, the money would be converted into a Roth IRA. Learn more about your Roth IRA Contribution Limits to determine your specific eligibility and deductible amounts.

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Tax-Sheltered Annuity 403(b)

What is a 403(b) Tax-Sheltered Annuity?

A 403(b) tax-sheltered annuity is a retirement savings program that allows employees to save pre-tax dollars, which grow on a tax-deferred basis until distributions are taken. Employees of public education institutions and 501(c)(3) organizations may participate in a 403(b) program. The term “public education institution” may include kindergarten through 12th grade public schools, charter schools, community colleges, state-funded colleges and universities. A 501(c)(3) organization may include nonprofit (nongovernmental) hospitals, churches, United Way and all its member agencies, museums, zoos, symphonies, most foundations, blood banks, legal aid and humane societies. (NOTE: The IRS notifies 501(c)(3) organizations of their tax-exempt status by sending a letter of determination, so all 501(c)(3) employers should be aware of their 501(c)(3) status.)

Who is eligible to participate in a 403(b)?

Only employers categorized as either public education institutions or 501(c)(3) organizations can set up a 403(b) plan for their employees. An employee may participate in the employer’s 403(b) plan when employee contributions are allowed. In addition, The financial company must be named by the employer as an authorized vendor. In general, the employee may elect to participate in the salary reduction portion of the 403(b) program provided that the minimum contribution elected is $200 or more annually. There are some exclusions to this rule (e.g. employee of a church or qualified church controlled organization).

How much may be contributed to a 403(b)?

You may contribute the lesser of 100% of includible compensation or the maximum contribution allowed in the corresponding tax year. All elective contributions come directly from your paycheck before taxes (however FICA taxes apply unless your employer has opted out of Social Security). See the chart below for the maximum contribution allowed during the tax year:

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Additionally, if you are age 50 or older for the tax year of the contribution, an additional catch-up amount may be contributed. See the chart below for the maximum catch-up contribution during the tax year. As an example, assume the employee is age 52 and earns $40,000 in 2020. This employee may be able to contribute $19,500 without exceeding the elective deferral limit. If the employee works for an employer who allows employee contributions to the 403(b) account, he/she may also be able to contribute up to an additional $6,500.

What are the restrictions on a 403(b) distribution?

Unlike an IRA, Roth IRA, and SEP IRA, typically you may not withdraw funds from your 403(b), dependent upon your employer’s 403 (b) plan specifications. However, the following situations may allow you to be eligible to take a distribution from your 403(b) (this does not necessarily exempt you from taxation, 10% penalty tax, or the vendor surrender charges):

Severance of employment with the sponsoring employer.
Reaching age 59 1/2.
Death or disability of participant.
Qualifying hardship
QDRO (qualified domestic relations order due to divorce or legal separation)
Pre-1989 account values
Employer contributions

Under current federal law, plan participants who were born on or before June 30, 1949 are required to begin taking RMDs at age 70 1/2. Individuals born on or after July 1, 1949 are required to begin taking RMDs at age 72. An exception to this required beginning date applies to account values on December 31, 1986. (Since these values are grandfathered, the required beginning date is the later of age 75 or the date you separate from service.

Can you transfer/rollover existing retirement accounts to a 403(b)?

Yes, in addition to accepting contributory funds, a 403(b) accepts transfers from existing 403(b)s as well as rollovers from IRAs, SEP IRAs, 401(k)s, TSAs, Governmental 457s, profit sharing plans, and other retirement plans and the financial institution must be an approved vendor for a new employer 403(b) plan. In addition, the financial institution must be named by the plan sponsor as an approved vendor within the plan sponsor’s plan document. (See IRS Publication 571).

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Simplified Employee Pension (SEP) IRA

What is a SEP IRA?

A Simplified Employee Pension (SEP) is an IRA, which is funded exclusively by employer contributions. A SEP provides a means of retirement savings for self-employed persons and employees of small businesses. The SEP can be a simple alternative to more complicated and costly qualified plans.

Who is eligible to participate in a SEP IRA?

All employees that meet the following conditions are eligible to participate in a SEP IRA:

The employee is at least 21 years old.
The employee has performed services for the employer in at least three of the immediately preceding five years.
The employee has earned at least $600 in total compensation during the year.
The employee is not covered under a collective bargaining agreement.
The employee is not a nonresident alien.

The employer may offer less restrictive eligibility requirements than those listed above, but they may not be more restrictive.

How much may be contributed to a SEP IRA?

The employer may contribute the lesser of 25% of income or $57,000 for 2020 (subject to cost-of-living adjustments) on behalf of each eligible employee. The employer is not required to make a contribution every year, however provided that a contribution is made, the contribution must be made to all eligible participants on a non-discriminatory basis. The contributions are excluded from the employee’s gross income and will not be reported as taxable income on the employee’s form W-2. Contributions may continue as long as the employee is still working. However, you must begin taking required minimum distributions (RMDs) by the required age under current tax law. RMDs are based on your life expectancy. If you were born on or before June 30, 1949, you are required to begin taking RMDs by April 1, 2020. If you were born on or after July 1, 1949, you are required to begin taking RMDs by April 1, 2021.

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What are the restrictions on a SEP IRA distribution?

You may withdraw SEP IRA funds at any time, and income taxes will be payable on the entire amount. A 10% penalty tax may also be imposed if you are under 59 1/2. Exceptions to this penalty tax (if under 59 1/2) are available. One such exception applies to those situations in which the funds are used by a first time home buyer (subject to a $10,000 limitation). A second exception applies where a SEP IRA distribution is used for qualified educational expenses. However, ordinary income tax will be assessed upon the withdrawal. Please consult your tax advisor to determine whether these or other exceptions apply to your specific situation. Additionally, you must begin taking required minimum distributions (RMDs) by the required age under current tax law. RMDs are based on your life expectancy. If you were born on or before June 30, 1949, you are required to begin taking RMDs by April 1, 2020. If you were born on or after July 1, 1949, you are required to begin taking RMDs by April 1, 2021.

How is a SEP IRA established?

In order to establish a SEP IRA, the employer must execute a formal written agreement (a 5305-SEP or prototype document) to provide benefits to all eligible employees.

An employer is eligible to set up a SEP IRA using a 5305-SEP with a financial institution provided that the following requirements are met:

Currently the employer does not maintain any other retirement plan (besides another SEP IRA).
The employer does not use the services of leased employees.
The employer must set up a SEP IRA for all eligible employees.
The employer cannot be a member of an affiliated service group unless all employees of the group participate in the SEP IRA.

Can you transfer/rollover existing retirement accounts to a Financial Institution SEP?

Yes, in addition to accepting contributory funds, a financial institution SEP IRA also accepts transfers from existing SEP IRAs, IRAs, SIMPLE IRAs (if SIMPLE IRA has been in place for two years), as well as rollovers from 401(k), TSA, Governmental 457, profit sharing and other retirement plans. For more information on establishing a SEP IRA, consult with our financial professional.

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UNIVERSAL LIFE INSURANCE

May be ideal for the consumer who has a need for life insurance, is somewhat conservative, and wants the guarantees of a fixed, minimum interest rate with the potential for additional interest credits. Increasing the death benefit may be subject to additional underwriting approval.

OFFERS

Flexible Death Benefit
Flexible-Premium
Policy cash values are credited a current interest rate that is set by the insurance company, which is subject to change, but will never be lower than a guaranteed minimum interest rate.

LIVING BENEFITS

There are additional benefits associated with our life Insurance and annuity solutions provided by optional riders. We call them Living Benefits, and we have been providing them since 1937. Based on the product, living benefits can provide benefits should a qualifying terminal, chronic or critical illness or critical injury occur, or if your desire is to have an income that you cannot outlive. The best way to understand the impact living benefits can have is to hear from policy owners who have actually used them.

ANNUITIES

An annuity allows a customer to deposit money (premiums) with an insurance company that can earn interest and grow on a tax-deferred basis with the agreement that the insurance company will then provide a series of payments back to the customer at regular intervals.

People typically purchase annuities to provide or supplement retirement income they will receive from Social Security, pension benefits, investments and other sources. You can convert your annuity into a stream of income that can then be paid over a fixed period or for your lifetime. You can take withdrawals of varying amounts when you need the income.

Efficient Investments