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The Rude Retirement Awakening Coming to Millennials

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Gen X may only receive 75% of its stated benefits. The Millennials … it may be zero! Even if Congress raises the FICA contributions and eliminates the cap, the future retirement of those under age 40 is in jeopardy. And that’s just the Social Security program – that doesn’t include the mess Medicare is in.

Guaranteed defined contribution plans are almost exclusively for government employees and military personnel funded by taxpayers who are left to fend for themselves with market risk defined contribution plans. Even with an employee match, it won’t be enough to retire on at age 75, which could eventually become the new benchmark for Millennial retirement.

So the generation that lived with their parents will be very much on their own in retirement. But there’s an alternative, a radical departure from the traditional approach to retirement. A revolutionary retirement model that can combine five tax advantaged products, programs and strategies for a tax-free retirement future (providing Congress doesn’t alter the current legislative landscape.)

Presently, the country’s debt, guaranteed social safety net costs and government retirement obligations are over $120 trillion, so higher taxes in retirement are already a foregone conclusion. Taxation is the enemy for present day retirees and it will remain the enemy of tomorrow’s Millennial retirees. And keep in mind that taxes are the No. 1 expense in retirement and it can be managed.

Defined Contribution Plans with Employer Matching Funds (strategy) Free money that’s free is as good as it gets, but it will still be taxable at ordinary income rates which will be higher by the time Millennials retire. And if Social Security is still solvent, income from defined contribution plans will be includable in the provisional income test for benefit taxation as well. The game to be played here is to match to the standard and senior deduction to offset the income from contribution plans like 401(k), 403(b) and IRAs.

Health Savings Accounts (program) are the hottest item for Millennials. HSA accounts are tax deductible and include tax free withdrawals at anytime for insurance premiums like health, dis- ability long-term care and Medicare as well as legitimate medical expenses. If you withdraw money from your HSA account before age 65 for non-medical insurance premiums and expenses, you’ll

pay a 20% penalty and ordinary income taxes at your tax bracket. After age 65 withdrawals are tax- able for non-medical items. Once in a lifetime married couples can transfer up to the annual limit from your IRA account to your HSA account tax-free as long as you haven’t made a contribution in the year of the transfer.

Roth IRAs (program) are not tax deductible, but for most Millennials it’s irrelevant. They’re either paying no income tax or very little. Why tie up your monies in taxable retirement accounts if your blended tax bracket is low? The tax savings in conventional 401(k)s and IRAs isn’t worth the associated regulations that come with ERISA.

Home Equity Conversation Mortgage (program) The HECM laws were modified in October
of last year. And although those modifications have some impact on the benefits, the program itself is still an interesting value proposi- tion for lifetime – tax-free income.

TAMRA compliant Cash Value Life Insurance (product) In the consumer’s eyes life insurance is still thought of as protection

for family members and business associates. But permanent cash value policies have recently found favor with financial advisers and RIAs as a tax-advantaged income product. There are basically three crediting methods for cash value life insurance that should be con- sidered on the basis of the policy owner’s financial profile and risk suitability.

Whole life insurance is a conservative dividend crediting method with contractual guarantees. Indexed universal life insurance is a more moderate crediting method based on either foreign or domestic indices like the popular S&P 500 Index. The product doesn’t participate in dividends, but it also offers a preservation of principle aspect in the crediting account. Variable universal life insurance is a more aggressive crediting method with subaccounts that feature equity and bond instruments with market potential and risk to principle.

Under current law none of these products are includable in the provisional income test for Social Security benefit taxation. So it is conceivable that many Millennial retirees could design a tax-free retirement plan around these four product lines in concert with their Social Security benefits.

Steve Savant is a syndicated financial columnist, talk show host and popular platform speaker. Steve is a nationally recognized videographer, content creator and co-contributor to Advisys, Insmark and LifeSpecs. Steve’s videos and content are distributed to over 280 media outlets and 200,000 Twitter users. To contact him visit www.lifesizesolutions.com, email steve@lifesizesolutions.com or call (520) 261-4599.

 

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Shop The Cheapest Home and Auto Insurance Quotes in Florida with Velox Insurance

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Shop The Cheapest Home and Auto Insurance Quotes in Florida with Velox Insurance

Drivers in Florida that are looking for savings on their car and home insurance premiums can call on Velox Insurance to find the lowest rates on car and home insurance in Florida. Anyone seeking new insurance for auto or home can either call Velox Insurance who has offices in Florida and Georgia to get the lowest rates available. You can shop online, in person or over the phone. Florida drivers and homeowners can get the best rates easier by visiting Velox Insurance.

Visit Velox Insurance today and enter your information and find the low rates you deserve. Or call our office in Georgia at 770-293-0623 or our office in Florida 813-425-5115 and speak to one of our live agents.

Florida drivers that need savings on their auto insurance premiums can with Velox Insurance. When it comes to saving money on your auto or Home insurance in Florida the only way to know if you are getting a good rate for your car, truck or home is to compare your rates with Velox Insurance.

Visit Velox Insurance and enter your information on the website and get the quote you deserve and make the switch today.

About Velox Insurance

Since 2003, we have been serving our communities around Atlanta, GA with affordable insurance.   In 2007, we rebranded our business as Velox Insurance. Velox Insurance, Inc was established with the goal of providing competitive rates and superior customer service to meet insurance needs of our customers in the Southeast.

Our commitment to excellence in providing affordable coverage and value to our customers has propelled our growth to 9 states and 40 locations  throughout Georgia and Florida.

At Velox Insurance, we understand that your time is valuable, so we strive to provide reliable, fast service and to obtain the best coverage at the lowest price for your vehicleproperty and business insurance needs.

We are able to accomplish these goals by partnering with dozens of major insurance companies, which allows us to select the appropriate coverage at the best rate in just a short few steps.

We are also focused on making the insurance shopping experience as convenient and easy as possible for our customers.

With this goal in mind, we created an online platform for our customers to get a quote and purchase immediate coverage online in a matter of minutes. This platform has allowed us to expand to  AlabamaArizonaCaliforniaFloridaIndianaSouth CarolinaTennessee and Texas.

At Velox Insurance, our business philosophy is to continuously evolve to meet the needs of our valued customers. Our mission is to deliver peace of mind at a great value and to provide a world-class customer service experience.

Contact Velox Insurance

Florida Phone: 813-425-5115

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Norwalk Insurance Agency Educates On The Cost of Contractors Insurance

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Norwalk Insurance Agency

Norwalk, Connecticut (findit ) January 20, 2021 – JMG Insurance, a Norwalk specialty insurance agency, offers readers some valuable information regarding how much contractors insurance costs. The new article is guided by the insurance experts at JMG who have extensive experience helping clients find the perfectly priced plan for their needs. They have designed this new article to help readers get a better idea of what factors will affect the cost of contractor’s insurance the most.

JMG Insurance offers readers some valuable information that explains how to calculate what the cost of contractor’s insurance may potentially be. In the article, they explain what contractors insurance is before getting into the things that affect their cost. Some of the factors they go over include the number of employees, the types of contracting jobs, the risks associated with services, and others. They hope that this article will help contractors searching for insurance understand what to expect while also demonstrating the importance of working with experts.

While this new article focuses on explaining how to calculate the cost of contractor’s insurance, JMG’s website offers visitors more information regarding their team, experience, as well as a full list of service offerings. JMG offers personal, business, and specialty insurance that helps clients get the protection they need at the best possible rate. They offer thorough insurance plans for business owners, contractors, errors and omissions, general liability, group benefits, construction companies, and more. Their agency was built on the principles of providing superior customer service and quality insurance solutions for their clients, and they work hard to uphold these values. Their team strives to make the insurance process as simple as possible for every client.

With the addition of this new article, the team at JMG hopes that contractors will have a better understanding of what factors will affect how much a comprehensive insurance plan will cost. For more information, reach out to the qualified contractor insurance experts at JMG today at 1-844-304-7332 or visit their website at https://jmg.com/. Their offices are located at 29 Haviland Street in Norwalk, Connecticut 06854.

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Apply For Student Debt Relief Programs Available to Borrowers with Freedom Loan Resolution

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Students that are living paycheck to paycheck and struggling to make ends meet as a result of their past due student loans can apply for available student debt relief programs with Freedom Loan Resolution. We our a group of experienced student loan debt counselors that know and understand the situation that you are in and we are here to help you apply for the right debt relief program to meet your needs.

Oftentimes, juggling mandatory living expenses such as housing payments, car payments, utilities, and food and credit card bills, there is not enough money left over to pay your student loan debt. Moreover, when you are in a financial hardship, struggling to make ends meet, it can be difficult to figure out the best course of action for your student loan debt. Let us help you apply for the right debt relief program that will help you get the debt relief that you need so you can move forward on the right financial path.

Our student debt counselors are extremely experience and know and understand the situation you are in. With several types of programs available to borrowers right now, we will help you get the relief that you need. You may be eligible for: student loan forgiveness, income based payment plans, and federal student loan consolidation and we will help determine which program you qualify for and is best suited to your needs.  

In student loan forgiveness, students may be eligible for a principal reduction, partial loan forgiveness, or total loan discharge. Each case is different and we will help determine which you qualify for.

For some students, an income based payment plan can be the right choice. With an income based payment plan, students repay their student loans at a rate that is calculated based on their income and family sizes. In some cases, this could mean a payment of $0.00 per month.

With federal student loan consolidation, all of your student loans are consolidated into one new loan with one payment that you can actually afford. This is a great way to tackle your student loan payments without having to juggle multiple loans.

For more information, contact Freedom Loan Resolution to start your student loan debt relief application with us. We look forward to working with you and helping you get the debt relief that you need. Contact our student loan debt counselors now at 888-780-6225.

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