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Financial Health

for Healthcare Professionals

Lifetime Planning Income

How do you create an money you worked so hard achieves desired financial goals with the ROTH IRA: a personal retirement
income stream that you to earn and accumulate is least amount of risk. Durable income is plan also, that does not offer a tax
cannot outlive? Lifetime only the scorecard. Spend a strategy for maximizing the perform- deduction in the year you invest the
income planning considers your life wisely preparing ance of a traditional retirement portfolio money, but the money grows and can be
your assets; your liabilities; for retirement in the style to maintain the income necessary to taken out free of income tax, subject to
and your potential, possi- you deserve. fund the lifestyle you want throughout IRS guidelines and restrictions.
ble, and predictable income Physicians should put retirement. SEP: a simplified employee pension
during retirement. away 20% of their income A comprehensive financial plan plan provided by an employer for the
An advisor’s role is to to be prepared to retire in should address principal protection, benefit of its employees.
provide you with a realistic the lifestyle they are accus- inflation protection, tax efficiency, long- Roth 401(k): an employer sponsored
breakdown of your lifestyle tomed to. If you are ambi- term growth, and lifetime income. A plan established for the benefit of
needs and to define what tious and want to retire at comprehensive plan looks at your employees. The employee can make
income strategies fit best. HOWARD age 60, consider putting investments in light of market cycles after-tax contributions, which means
The right advisor is experi- WOLKOWITZ 25% of your income away and market corrections. Market volatili- they will not get a tax deduction for the
enced in distribution plan- every year. ty often brings havoc to a retirement dis- contributions. The Roth 401K offers
ning, which is the opposite of accumu- When you think about retirement, tribution strategy. tax-deferred growth. Tax-free with-
lation planning. There are differences look at the issues you will have to drawals are permitted if IRS guidelines
between wealth building, wealth man- address: Where will you live and what Retirement Plans are met.
agement, and wealth preservation. will the cost of living be? Consider city Retirement Plans involve sophisticat- Defined Benefit Plan: an employer
Retirement is not just about net worth and state income taxes, if applicable, ed areas of the law. Work with retire- sponsored plan where the benefit at
or assets; it is about receiving lifetime and the average cost of a home. The cli- ment plan specialists who are knowl- retirement is known before retirement.
income. You spend your working career mate, cultural amenities, access to high edgeable and current on all retirement The employee can put away a specific
struggling to accumulate assets so you quality healthcare and the costs associ- strategies and tax laws. amount of money for retirement, get a
can live off of them. Because retirement ated with that healthcare, transporta- Questions you should ask your pen- tax deduction on the contribution, have
is a distribution plan, it’s about taking tion, crime rates, etc. will impact your sion advisor about retirement plans: the proceeds put into a fixed, guaran-
money out, not about putting money in. retirement years. • What types of retirement plans are teed account, and receive a guaranteed
Without the help of a wealth manage- there? lifetime income at retirement.
ment team, lifetime income planning is Durable Income • How do they work? Profit Sharing Plan: an employer
more difficult than accumulating assets. The more investment reward we want, • What are the differences between sponsored plan where shareholders
When you are retired, every day is the more investment risk we have to plans and which ones are best for me? agree to distribute profits to employees
Saturday. This is the end game; the take on. A wise retirement strategy There are 7 different types of retire- for retirement.
ment plans that you should consider as Every company and plan design is dif-
you think about retirement: ferent. Consult your advisors to deter-
401(k) Defined Contribution Plan: mine the appropriateness of these prod-
an employer-sponsored plan established ucts, what options are best for you, and
for the benefit of its employees. The costs. Be sure to also review the prospec-
employees may contribute their own tus and disclosures.
money subject to IRS guidelines. The
employer may choose to contribute on a For more information contact Howard
year-to-year basis. In this type of plan, Wolkowitz, Financial Advisor, at
the value or benefit at retirement is HWolkowitz@FinancialGuide.com or
undefined and unknown until the funds (954) 558-3673.
are withdrawn. Your actual plan value
will be based on the performance of Securities and investment advisory servic-
your investments. es offered through qualified registered repre-
sentatives of MML Investors Services, LLC.
IRA: a personal retirement plan, used Member SIPC. [www.SIPC.org] OSJ: 2400 E
when you are self-employed or your Commercial Blvd., 11th Floor, Fort
employer does not have a retirement Lauderdale, FL 33308. (800)320-4180.
plan in place. This plan is subject to IRS CRN201909-218703
guidelines and restrictions.

4 October 2017 southfloridahospitalnews.com South Florida Hospital News