You spent the last four years or more earning a degree, countless months sending out resumes, and finally, after your third (or fourth or sixth) interview, you landed your first job – congratulations! Once you’ve paid your bills, bought your groceries, and put gas in your car, you may be wondering what you should do with what’s left of your first paycheck.
Recent studies suggest that many parents are reluctant to discuss their money matters with their children. It can be an uncomfortable topic to discuss, but if your children don’t have at least a basic understanding of your financial situation, you’re essentially leaving them in the dark.
Traditional, SEP, and SIMPLE IRAs are generally funded with pre-tax money, and therefore distributions are taxable as ordinary income in the year of distribution. A penalty may apply, in addition to ordinary income tax, for distributions from these IRAs if the IRA owner has not reached age 59½ or does not have an IRS-approved penalty exception.
While accumulation of wealth is a primary concern, the protection and transfer of that wealth to
future generations is often overlooked. With the incredible transfer of wealth expected to take place in the upcoming years, planning for the transfer of an estate takes on greater importance.
Losing a spouse can be devastating. While coping with the emotional impact of his or her loss, a surviving spouse must somehow find the strength to move forward. Unfortunately, the grieving process can be disrupted by the financial demands placed on a surviving spouse.