Roth conversions
Roth IRA conversions can be an important potential tool for implementing a tax efficient retirement plan. At its core, a Roth conversion involves prepaying a deferred tax liability in exchange for tax free growth going forward. Conversions are ideal for people who are in lower tax bracket today than they are likely to be in […]
Assessing market volatility
In the last quarter of 2018, the market was down 20% from previous highs and we had many clients reaching out concerned about declines and high volatility. But when we examined the market’s movements, we found the volatility to be higher than normal but far from extraordinary. Recently, we have gotten similar questions from clients […]
Rebalancing – why buy stocks now?
Rebalancing the allocation among risky assets in your investment portfolio is an important discipline. It provides a structured way to maintain consistent risk exposure over time and forces us to “buy low and sell high” when it is not always the comfortable thing to do. This quarter is a good example, in the midst of […]
Qualified charitable distributions – a year-end tax tip
Are you 70 ½ or older? Do you still need to take part, or all, of your required minimum distribution (RMD) from your IRA? Are you planning on making any charitable donations before the end of the year? If the answers to these questions are yes, consider making the charitable donation(s) directly from your IRA. […]
The market fools experts yet again (an interest rate story)
In the last year, interest rates have fallen dramatically. At the end of the 3rd quarter in 2018, the yield on a 10-year note from the U.S. Government was 3.05% and today it stands at 1.68%. This decline in interest rates is unusual, but not unprecedented. Given the vast resources of the world’s largest money […]
Recessions and investing
The word “recession” makes investors feel uneasy and with good reason; the correlation between a bear market and an economic recession is very high. For anyone with money in the stock market, especially those nearing retirement, this can be scary. The “r” word has been making headlines in recent months as investors worry about trade […]
Life events to consider – getting married
Congratulations! You are officially married and get to enjoy all the financial benefits that come along with it. After you’ve had some time to relax after the big day, be sure to consider the following. Beneficiary Designations – Update beneficiary designations on any life insurance, retirement accounts, etc., to name your spouse as primary beneficiary. […]
Social security: Child-in-care filing method
Rockbridge is involved in many organizations that advocate for children with disabilities and their caretakers. As a result, we’ve helped numerous families financially navigate through their working years and successfully transition into retirement. Special needs families tend to have common questions, one of which is how and when to file for Social Security benefits. In […]
Tax diversification of accounts in retirement
For nearly all investors, the importance of asset allocation and security diversification cannot be overlooked. Diversification can mean different things to investors, but the concept is pretty well understood – hold several different types of investments and you will be better served than those who are concentrated in one stock or in one narrow investment […]
Not all target date funds are equal
Target date funds have become some of the most common investments in America. Not coincidentally, their rise in prevalence has coincided with 401(k)s gaining in popularity. We have seen it here locally; many of the largest employers in Syracuse (Syracuse University, Carrier, Lockheed Martin, General Electric, Welch Allyn, and Niagara Mohawk/National Grid) had pensions. In […]