- What Is an Acceleration Clause in a Mortgage?
An acceleration clause allows a mortgage lender to demand full repayment of the loan if certain conditions are not met. This clause protects against missed payments, violations of loan terms, or significant changes in the borrower’s financial situation. If triggered, the borrower must pay the remaining balance of the mortgage in full, rather than continuing… read more…
- I’m 60 and Retiring Soon. How Should I Structure My $1.2 Million Portfolio?
Broadly speaking, there are three stages to retirement planning: accumulation, distribution and estate. The accumulation phase refers to your working life, which is when you build the wealth that you’ll eventually retire on. This stage is about savings, growth and long-term investing. The estate phase of your retirement plan is when you make preparations for… read more…
- I’m 52 With $1.4 Million in My 401(k). Would Catch-Up Contributions Be Worth It?
Catch-up contributions are usually worth it, in the sense that it’s always a good idea to boost your retirement savings. If you can increase your savings, it’s generally wise to do so. The question for many households over the age of 50 is whether catch-up contributions are necessary. If you invest in an employer-sponsored plan… read more…
- Will $780K Last if I Retire at 65 With $1,900 a Month in Social Security?
Most of the time, we talk about retirement planning in relation to goals, lifestyle and how to build the wealth to maintain that lifestyle in retirement. But there’s another way to looks at things. Once you reach retirement age, what can you do with what you have? Based on your savings, benefits and other assets,… read more…
- What Is a Discretionary Account and How Does It Work?
A discretionary account allows a financial advisor or portfolio manager to make investment decisions for the account holder. This type of account suits investors who prefer not to manage their investments directly or don’t have the time and expertise to do so. By giving the advisor authority, the investor lets them manage the investments according… read more…
- Comprehensive Guide on How to Manage Your Personal Finances
According to Experian, about 60% of Americans don’t understand their own finances. Within that group, another two-thirds say this has led them to mistakes costing $1,000 or more. So if you don’t feel like you have a great handle on your money, you’re not alone. To improve your personal finance management, consider taking these five steps.… read more…
- Guide to Long-Term Financial Planning for Lawyers
Lawyers often have high student loans to pay and can earn less than what many expect. In 2023, the Bureau of Labor Statistics (BLS) says that the median salary for a lawyer was $145,760 per year, which means that half of those in the legal profession earned less than that. So managing debt is a… read more…
- Guide to Long-Term Financial Planning for Dentists
As a professional field, dentists are comfortably high earners. According to the Bureau of Labor Statistics (BLS), the median a dentist can expect to earn is roughly $166,000 per year, with many earning significantly more. And, unlike the long nights of their patients in law and business, and the 18-hour shifts of their medical colleagues,… read more…
- How Is My Debt Handled If I Get Divorced and Remarried?
Divorce and remarriage can raise questions about how debt is divided and managed between former and new partners. In most cases, debt acquired during a marriage is considered marital debt and may be divided during the divorce process, depending on state laws. However, debt brought into a remarriage typically remains the responsibility of the individual… read more…
- What Is Financial Freedom?
Financial freedom is a term often mentioned in conversations about personal finance, yet its true meaning varies from person to person. For some, financial freedom is the ability to live without worrying about daily expenses, while for others, it represents the long-term goal of not needing to rely on a steady paycheck. Whatever your definition,… read more…
- Can I Get Out of Debt After I Get Divorced?
Divorce can be a challenging and emotional experience. Not only that, the financial implications can linger long after the paperwork is finalized. For many, tackling debt after a divorce is a top priority. Whether it’s dividing credit card balances, car loans or mortgage debt, knowing how to manage the debt you’re left with can help… read more…
- 6 Tips for Creating a Financial Safety Net
A financial safety net protects against unexpected expenses, income disruptions or life-changing events. Without a financial net, even minor setbacks can spiral into significant issues. Building one involves budget planning, thoughtful spending and smart use of financial tools. If you’re just starting to think about creating a financial safety net, a financial advisor can help… read more…
- What to Do When Your Financial Advisor Switches Firms
When your financial advisor changes companies, it can be a moment of uncertainty, leaving you with questions about the future of your investments and financial plans. This situation is not uncommon, as advisors may switch firms for various reasons, including better opportunities, changes in company culture or personal growth. As a client, it’s important to… read more…
- How to Break Up With Your Financial Advisor
Deciding how to leave a financial advisor can be a challenging decision. But it is sometimes necessary to maintain your financial goals. Whether you need a change in strategy, are dissatisfied with services, or want a fresh perspective, parting ways will require careful consideration and clear communication. It’s important to review any contractual obligations, such… read more…
- How 529 Plans Are Treated for Estate Planning and Taxes
A 529 plan can be a valuable tool in estate planning, particularly for families who want to minimize taxes while saving for education. Contributing to a 529 plan can allow you to remove funds from your taxable estate, which may help reduce estate taxes. This type of plan also offers other tax advantages, such as… read more…
- What Is Wage Push Inflation and What Causes It?
Wage push inflation happens when rising wages cause businesses to increase prices for goods and services. Employers may raise wages to attract or retain workers, especially during labor shortages, which benefits employees but raises business costs. These costs are often passed on to consumers, making everyday goods and services more expensive and increasing the cost… read more…
- 5 Ways to Pay Yourself First
“Paying yourself first” is a simple strategy to prioritize savings and investments by setting aside a portion of your income before covering other expenses. This approach helps you consistently work toward financial goals like retirement, emergency savings, or building wealth, while encouraging disciplined saving habits and reducing impulsive spending. A financial advisor can help you… read more…
- How Is Debt Divided During a Divorce in Illinois?
Divorce involves emotional and legal challenges, including how debt gets divided. As an equitable distribution state, Illinois divides debt and assets fairly, though not always equally. The court considers factors like each spouse’s financial situation, contributions to the marriage and the purpose of the debt. Marital debt, incurred during the marriage, is usually shared, while… read more…
- Should You Invest Your Emergency Fund in I Bonds?
Most people keep their emergency funds in traditional savings accounts because of the safety and easy access they offer. However, some turn to I Bonds, which provide inflation protection and a guaranteed return, unlike regular savings accounts. While I Bonds are safe, they offer less access to your money when compared with a bank account,… read more…
- 6 Emergency Fund Investment Strategies to Consider
An emergency fund serves as a financial safety net, providing liquidity when unexpected expenses arise, such as medical emergencies, car repairs or job loss. While most people keep their emergency funds in a traditional savings account, you may also consider investing your emergency funds. Done well, this can boost returns while maintaining access to your… read more…
- Investing in an IRA CD vs. Money Market Account
Picking between an IRA CD and a money market account depends on your financial goals, your need for liquidity and risk tolerance. Both options can provide market interest earnings and offer advantages over traditional savings accounts. IRA CDs are suited for long-term growth with tax benefits, while money market accounts offer more flexibility, liquidity and… read more…
- Should You Pay Off Your Car Loan or Invest?
If you have come into some extra cash, you may be faced with one dilemma: pay off your car or invest? Both options have their benefits, but the decision largely depends on your financial goals, interest rates and risk tolerance, among other factors. Paying off your car loan can offer peace of mind and free… read more…
- How Many Years in Advance Should My Financial Plan Go?
A solid financial plan can provide clarity for both short- and long-term goals, but you may be wondering: How many years should my financial plan cover? There’s no one-size-fits-all answer, but understanding the factors that influence the time horizon for a financial plan can help in making an informed decision. From life goals to market… read more…
- 8 Financial Milestones to Hit by Age 40
Reaching age 40 can present an opportunity to assess financial progress and set the stage for future stability. Many individuals aim to achieve specific financial milestones by this milestone age, like having a well-padded emergency fund or saving for college tuition. By focusing on these goals, people in their 40s can better prepare for the… read more…
- How Much It Costs to Own a Small Plane
Owning a small plane is a dream for many aviation enthusiasts, offering the freedom to explore the skies at your leisure. But before taking the plunge into aircraft ownership, it’s crucial to understand the financial commitment involved. The cost of owning a small plane extends beyond the initial purchase price, encompassing a range of ongoing expenses… read more…