Posts by SmartAsset Team
Retirement Planning
I’m 62 With $850k and a Small Pension. Claiming Social Security Now Costs More Than I Thought.
If you are close to retirement with a nest egg of $850,000 and a small pension, claiming Social Security early may make sense. However, claiming benefits as soon as you become eligible at age 62 will permanently reduce your monthly income. This can add up to a loss over the lifetime of your retirement. What… read more…
Tax Planning
LP vs. LLP: Tax Treatments and Investor Protections
If you are thinking about starting a business with partners or investing in a partnership opportunity, choosing between a limited partnership (LP) and a limited liability partnership (LLP) may affect how your income is structured for tax purposes and how much personal liability protection you actually have. In an LP, general partners typically retain control… read more…
Tax Planning
LLC vs. LLP: Tax Treatments and Investor Protections
Choosing a business structure is one of the first major decisions entrepreneurs and investors face. It’s choice that can have lasting implications for taxes, liability protection and day-to-day operations. Two common options are the limited liability company (LLC) and the limited liability partnership (LLP). While these business structures offer some similar advantages, they differ in… read more…
Inheritance
What to Do With a $5 Million Inheritance
Inheriting $5 million can be a tremendous financial opportunity, but financial planning is still important. With more assets and tax considerations to take into account, it can help to plan ahead. As a result, understanding what you’ve inherited and how you might minimize tax consequences may have as much of an impact on your wealth… read more…
Retirement Planning
We’re 66 and 64 With $1.5 Million Saved. Can We Really Afford to Spend $100k a Year?
You and your partner may have built a comfortable nest egg and expect that Social Security will help support the retirement lifestyle you both want. On paper, your assumptions could make sense, but that will depend on three numbers that retirees often overlook: Your required withdrawal rate, the tax bill on that money, and what… read more…
How to Invest
If You Invested $2K in the SpaceX IPO, How Much Do You Have Now?
SpaceX’s IPO was the biggest in history, raising $75 billion at $135 a share.1 The offering sparked much excitement, with retail investors keen on buying into one of the world’s most closely watched companies. If you had invested $2,000 at the $135 IPO price, here’s how much your investment would be worth today, and why… read more…
How to Invest
Paying Student Loans at 26? Why Waiting to Invest Could Cost You the Most
Paying off your student loans before investing can make sense in some situations, but waiting to invest isn’t always the most cost-effective choice. If you postpone retirement savings or any other financial investments for several years, you may miss out on growth that can compound over time. Your decision may come down to whether the… read more…
Investing for Beginners
90/10 Rule: Investor Uses and the Warren Buffett Example
The 90/10 rule is an investment allocation strategy that allocates 90% of a portfolio to equities and 10% to short-term fixed-income instruments. The strategy was popularized by Warren Buffett in his 2013 letter to Berkshire Hathaway shareholders. There, he outlined instructions for the cash bequest left in a trust for his wife after his death:… read more…
How to Invest
If You Invested $15K in the SpaceX IPO, How Much Do You Have Now?
SpaceX is the largest initial public offering (IPO) in history, raising a record $75 billion and attracting interest from investors keen on owning a stake in Elon Musk’s rocket and satellite company.1 While a blockbuster IPO can fuel expectations of outsized gains, the value of any investment ultimately depends on how the stock performs after… read more…
Retirement Taxes
At What Age Do Seniors Stop Paying Property Taxes? The Answer Depends on Your State.
Homeowners often believe they stop paying property taxes after a certain age. In reality, there is no nationwide age at which property taxes automatically disappear. Whether you qualify for a property tax break depends on where you live, since states and local governments offer their own property tax exemptions or credits. Not knowing what your… read more…
Retirement Planning
I’m 2 Years From Retiring With $810k. A 20% Drop Now Would Hurt More Than One at 75. Here’s Why
When you are close to retirement, every market decline can feel different than it did decades earlier. At this stage, you generally have less time to recover from major losses. While it may be easy to focus on how far the market falls, the timing of a decline can be just as important. A sharp… read more…
Inheritance
What to Do With a $750K Inheritance
A $750,000 inheritance can have an immediate impact on your finances. The first few decisions often determine how much of that money you can keep. And they usually happen before you make your first investment. One early mistake can increase your tax bill and leave you with a smaller inheritance. What You Need to Do… read more…
Roth & Traditional IRAs
We Have $1.6 Million in IRAs. When One of Us Dies, the Survivor’s Tax Rate Nearly Doubles
If you and your spouse have $1.6 million saved across your IRAs, and one of you dies, the surviving spouse could pay a much higher tax rate on the same retirement income. The best opportunity to reduce that future tax bill is often while you’re both alive. But if you’re already the surviving spouse, there… read more…
Inheritance
What to Do With a $2 Million Inheritance
Your first instinct after inheriting $2 million may be to invest. But one of the biggest financial decisions comes before you buy your first stock or fund. Get your tax strategy wrong, and you could lose a significant portion of your inheritance before investing a single dollar. First, Know How Your Inheritance Gets Taxed Before… read more…
Client Acquisition
How to Use AI Lead Scoring as a Financial Advisor
AI lead scoring for financial advisors uses artificial intelligence to help identify which prospective clients are most likely to become clients. Rather than treating every inquiry the same, AI analyzes data from marketing campaigns, websites, email engagement and customer relationship management (CRM) systems to estimate which leads deserve the highest priority. For advisory firms looking… read more…
Retirement Planning
I’m 42 With $30,000 in Student Loans. Should I Pay Them Off or Feed My 401(k)?
At 42, every extra dollar has to compete for a job. Paying off $30,000 in student loans may feel like the obvious choice. But putting that money toward debt instead of retirement could reduce your long-term savings. The decision often comes down to one number that many borrowers overlook. Why the Wrong Choice Can Cost… read more…
Trusts
We Put Our $600k Home in a Trust to Protect It. Here’s the One Thing It Won’t Shield Us From
Putting a $600,000 home in a trust may feel like you’re protecting your estate. But a trust cannot shield your home from every financial or legal risk. You may not have the protection you expect unless you take one planning step that many homeowners overlook. The Missing Step Needed to Make a Trust Work Creating… read more…
Financial Planning
I Managed My Own Money Until $750k. Then My DIY Mistakes Started Getting Expensive.
You may have spent decades building your portfolio and outperforming the market, but as your wealth grows, small DIY mistakes can carry a much bigger price tag. Chasing higher returns could feel like the fix, but overlooking these financial decisions may cost you more. The DIY Mistake That Could Get Expensive The mistake isn’t picking… read more…
Inheritance
What to Do With a $500K Inheritance
You inherit $500,000 and your first instinct is to figure out how to invest it. But before choosing stocks, funds or other investments, there are important decisions that can have an even bigger impact on your financial future. Your first move is important. One mistake and you could hand over thousands of dollars to the… read more…
Advisor Basics
Most People Assume Their Advisor Has to Act in Their Best Interest. Most Are Wrong
People often think that any professional called a “financial advisor” is required to act in their best interest. It feels like a safe assumption, the kind you shouldn’t have to question. But the title itself carries no such guarantee. Depending on how an advisor is registered and compensated, the obligations they owe you can differ… read more…
Roth & Traditional IRAs
A Market Dip Is the Cheapest Moment for a Roth Conversion. Most Retirees Wait Too Long
Market losses typically signal investors to put a hold on big financial moves. But if you’re saving for retirement, a downturn could be one of the least expensive times to complete a Roth conversion. Missing this opportunity could cost you thousands of dollars in unnecessary taxes. Here’s why. Same Shares, Smaller Tax Bill The value… read more…
Roth & Traditional IRAs
I Inherited a $500k IRA. The 10-Year Clock the IRS Started Could Cost Me Six Figures
Inheriting $500,000 in an IRA can seem like a life-changing windfall. But not knowing one important IRS rule could cost you thousands of dollars. The timing and size of your withdrawals can have a major impact on how much inheritance you ultimately keep. Fortunately, you have options to avoid an expensive mistake. A financial advisor… read more…
Inheritance
What to Do With a $1 Million Inheritance
A $1 million inheritance can immediately raise one big question: How should you invest it? But before choosing funds, stocks or other investments, there are important decisions that can shape how much of that inheritance you actually keep. Those first choices often have less to do with investing and more to do with taxes, timing… read more…
Advisor Basics
The Advisor Who Grew My Savings May Be the Wrong One to Help Me Spend It.
You have trusted our advisor with everything, your 401(k), your brokerage account, your retirement dreams. And they grew your nest egg. So naturally, when you retired, you assumed they’d be just as brilliant at turning that money into reliable income. But you could be wrong. Building wealth and spending it safely are two completely different… read more…
How to Invest
How to Invest in OpenAI: Steps for Direct and Indirect Options
Since OpenAI filed a confidential S-1 with the SEC in early June 2026, banks have been targeting a Nasdaq listing as early as the fourth quarter of 2026, though the company has cautioned that timing is not guaranteed.1 Until any listing is complete, buying OpenAI stock directly is not available to most investors. That does not… read more…