Household Financial Management
In order for us to get you to where you want to be financially, we first have to determine where you are. The “here and now” of your current financial situation will examine:
- Budget and Cash Flow: It is critical to know how much is coming in, how much is going out—and what it is spent on. We can help you get a handle on where the money goes each month.
- Emergency Fund: 27% of U.S. adults have no emergency savings, and almost 60% are uncomfortable with their level of emergency savings. We understand the importance of having a financial safety net, and we can show you how to put that in place for peace of mind.
- Debt: Addressing debt is critical to improving your financial outcome. Credit cards, student loans (your own, or co-signed student loans for a child or grandchild) and other loans can undermine your savings goals. Let us help you navigate these tricky waters.
- Pre and Post Nuptial Agreements and Divorce Settlements: Sometimes it is important to spell out in advance what will happen if a marriage doesn’t work out. And if it’s too late for that and you are negotiating your divorce, it can help to have a financial professional working in consultation with your attorney to ensure that you are not agreeing to something that is fiscally unfair or not in your best interests.
Insurance Planning
Almost all insurance plans require periodic check-ups to ensure they are still meeting your needs. Policies taken out when you were younger may no longer be needed, while entirely different types of insurance may be necessary later in life. We can provide a comprehensive evaluation of your existing insurances, and from there we will educate you on what may better serve your needs now and as you move into the future. We can directly provide the following insurance services through Charthouse Financial Group:
- Life
- Annuity
- Disability
- Long Term Care
And through our strategic partners, we can obtain unbiased marketplace quotes to ensure that you have proper coverage at a fair price for:
- Home
- Auto
- Umbrella/Liability
- Medicare Supplements
Investment Management
At Charthouse Wealth Management, we strive to fine-tune the aspects of investment management that can be controlled, such as:
- Your asset allocation
- Investment diversification
- Your overall costs and fees
We discourage the investment tactics that are not controllable and usually unsuccessful:
- Marketing timing
- Acting on impulse, tips, or hunches
- Reacting to financial media designed to encourage emotional trading
Especially in these rapidly changing times, no one can predict what the future holds. Our investment philosophy is evidence-based and data driven, and relies on broad diversification of assets to avoid concentration risk.
Initial market-based investment recommendations are tailored to our clients risk threshold. From there, we regularly review and monitor together to ensure that as your financial picture changes, your investments reflect your current needs.
Retirement Planning
Preparing for retirement can feel daunting—there are so many important financial decisions to be made. It can be difficult to visualize what the next 10…20…30 years (or more!) will look like when you are in your 50s or 60s. We utilize an educational approach along with a logical timeline for decision-making, to guide you to and through your retirement journey:
- Retirement Savings Vehicles: We help you understand and manage your tax-advantaged savings accounts, such as your 401k/403b/457 employer plans, Roth and Traditional IRAs, SIMPLE and SEP IRAs, Health Savings Accounts (HSA) and Flexible Savings Accounts (FSA). From advice on contribution percentage and investment selection to Required Minimum Distributions—we are here to guide you.
- Comprehensive Income Planning: We use a holistic approach to determine your retirement income needs. We not only address your initial retirement income and inflation protection over time, but also make sure that your Survivor Scenario will protect the income stream after the first spouse passes away.
- Social Security: It is important to understand all the various benefits that may be applicable to you, such as Spousal and Survivor benefits, Dependent Child benefits, and even benefits you may be entitled to on an ex-Spouse’s record. You’ve paid tens of thousands of dollars into the Social Security program—we help you make sure that you are getting the most you possibly can from it.
- Pension Plan Options: Many area companies still offer employer-funded pension plans to supplement your retirement income. It is critical that you know the end result of the various options BEFORE you make your payout election, because these decisions are irreversible. We ensure that you understand how each option works so you can make an informed decision.
- Generating Income from Savings: As you approach retirement, you may need to convert a portion of your savings nest-egg into a steady stream of income to replace your paycheck. We explain all the options available to you, and use a Pros/Cons approach to help you determine your personal comfort level with various choices to create an income plan that works for you.
Tax Planning
We coordinate with your Tax Professional/CPA to help you shift away from simply trying to pay as little tax as possible in any single year to developing a comprehensive and strategic plan that minimizes the amount of wealth lost to taxes over your lifetime, and even across generations, utilizing:
- Tax-Sheltered and Tax-Free Retirement and Health Accounts
- Tax-Loss Harvesting
- Navigating Spousal and Non-Spousal Inherited IRA rules
- Net Unrealized Appreciation on your company's stock owned within your 401k plan
- Proper Asset Allocation within overall investment portfolio to help improve after-tax investment returns
- Charitable and Non-Charitable Gifting
- Tax-Sheltered Bonds
Estate Planning
We have witnessed many costly mistakes and missed opportunities in regard to Estate Planning. We coordinate with your Estate Planning Attorney to ensure that important issues are properly addressed:
- Basic documents: Will, Durable Healthcare Proxy and Power of Attorney
- Risks of naming only one beneficiary for financial accounts
- Gifting
- Understanding the pros and cons of various types of trusts, including generation-skipping, property, special needs trusts, living, bypass, revocable and irrevocable trusts
- Addressing access to your “Digital Assets” after you pass away, such as cryptocurrency accounts, online banking, email and social media accounts
Healthcare Options
Moving from your employer-based insurance to Medicare doesn’t have to be intimidating:
- Should you use Original Medicare or Medicare Advantage? We clarify the differences between the two options so you can make the right decision for your health situation and finances.
- We ensure that you complete a timely enrollment to avoid Part B penalties. We will also help you to avoid IRMAA surcharges when possible.
- Do you have retirement health benefits from your employer, union or military service? We can help you understand how these important benefits can coordinate with Medicare.
Charitable Giving
We can explain the benefits of charitable giving, during your lifetime as well as through your estate:
- Gifting of appreciated assets
- Donor-advised funds
- Charitable trusts
- Private foundations