03-17-2007 - Typically when a company is sold to another company the current retirement plan will cease to exist, and participants will be allowed to roll that money either into the new company's plan or into an IRA outside of the plan. Believe it or not I have seen plans that will NOT allow the employee to move their money from the qualified plan until they reach 59 1/2 years of age. However, these are usually smaller companys with an owner trying to protect employees from spending their retirement. I have never seen this stipulation in larger company plans. If you have the option to rollover your money our stance is that it is always better to roll your money into an IRA because of more investment choices, the availability to "Stretch" the taxes over multiple lifetimes, and it offers more planning strategies than does a 401k or similar qualified plans. I suggest you contact your human resources person and inquire of your options. If you, or any of your co-workers, would like help in rolling your money out of the existing plan and into an IRA please feel free to contact us. We will help you in establishing goals, developing an investment plan, and showing you how you can invest for growth while keeping your principal safe. Larry Cox   « less

03-26-2007 - There are a lot of questions I need answered before I can answer your question. Please contact me directly at 251-0808. Larry Cox

03-26-2007 - I do not fully understand your question. Do you live in New York? Are you wanting to know what rates are available?

04-09-2007 - Excellent question. My partners and I do hold some designations for example "IRA Distribution Specialist", and your question addresses many concerns. Most designations are the result of a fee being paid to some organization, and with that comes some training. The end result is that there is knowledge obtained, but is there significantly more than years of experience will provide? And, my answer to your first question is that experience is more important than the designation. In our business, as in any business, there are good advisors and bad ones. Longetivity is one way to discern if an advisor is capable. I do not know of any designation that will insure that you will receive better advice and security over any other. It all comes down to character and experience. A Certified Financial Planner (CFP) is a designation that has a good reputation. But, if you are retiring with all the money that you will ever earn do you need someone to advise you on how to save? At that point in your life you need an experienced investment advisor. If you are just starting out then in my opinion the planner is a little more important, and someone with a CFP is a good place to start interviewing. A few states have begun to restrict some designations. I believe one state no longer allows advisors to call themselves "Certified Senior Specialists". Many designations are really a marketing tool. So buyer beware. Again, in my opinion I would rather work with someone who has the experience in the areas that I need help than to have a designation. Have you ever heard the saying "figures do not lie, but liars figure"? Most anyone who can pay the fee and has some intelligence can gain the designations they want. Go with the experience and the character!   « less

04-24-2007 - I am sorry, but this is a question for a CPA. If you do not have one please call me at my office and I can refer one to you. Larry Cox

05-18-2007 - I am sorry, but I would really need more information to answer your question correctly. I would need to know your total net worth, your liquid net worth, your goals, your income needs and general financial information. You probably do not want to provide that via this site so I invite you to give me a call at 251-0808 or 877-251-0808. Larry Cox   « less

06-06-2007 - Consultations are complimentary. I congratulate you for beginning this process now. We speak regularly on our radio show that entering retirement is something you should plan for and not just walk into. There will be many questions for you to consider before completing your last day. Please feel free to call and schedule an appointment at anytime. 865-251-0808   « less

06-06-2007 - I am not aware of any rule that would require a company to make a distribution within a time limit. My suggestion is to call the company administrator and inquire when the distribution will be made. A reasonable timeframe would be two to four weeks.   « less

06-08-2007 - You ask some very good questions. Let me say first that some of your questions will be better answered by a Certified Public Accountant, and I would encourage you to consult one before implementing any tax strategy. To answer your first question about probate I will say that unless your total estate will be over $1 million the probate process should not be very complicated. If your estate will be over $1 million, then I highly recommend you consult an estate planning attorney. A "stepped up" cost basis is when a person inherits real property (e.g. stocks) and they are able to take the value at the date of death as their cost basis. For example, if you has bought a stock for $10 a share 20 years ago and it appreciated to $100 a share at the time of your death, then your heir would assume a cost basis of $100 a share. No taxes are paid on the actual $90 gain that you achieved. In your case your son would receive a new cost basis at your death, but the value would still be included in your estate for estate tax purposes. Traditional IRA's cannot be passed tax free to a beneficiary. The beneficiary can take distributions out over their life expectancy if the account is set up correctly, but taxes will be paid at their tax rate on the amount withdrawn. If you have a ROTH IRA there is a possibility that the money could pass to your son tax free, but there are requirements that would have to be satisfied before making that determination. With the limited information I have it seems the easiest way to pass these stocks to your son would be to use a Transfer on Death (TOD) account with your financial advisor. This will allow him to have access to the stocks much quicker than going through probate, and also allow him the "stepped up" cost basis. If you have any other questions please feel free to call us at our office.   « less

06-12-2007 - The funds you are hearing about are offered through insurance companies and are segregated funds of the company. Segregated simply means that the insurance company does not own the funds. The money is usually placed with money managers that manage the portfolio similarly to a mutual fund they manage for the general public or institution. These are called "Variable Annuities" becuase the investments inside have variable rates of return. It sounds as if the annuities you have are "fixed rate" auunities. They are very different. The newer "Variable Annuities" we talk about on our show offer a way that will allow your investments to fluctuate (both up and down) with the market, but also guarantee that you cannot lose your principal as long as you remain within the guidelines. There are several companies that offer this type of guarantee, but we have determined the one we prefer over the others. Instead of giving you a specific Insurance Company to contact I found a link that explains the "Living Benefits" in an easy to read format. http://findarticles.com/p/articles/mi_m0EIN/is_2005_Dec_12/ai_n15929896 I hope this helps, and feel free to call the office with any other questions you may have.   « less