Planning Tips from Natalie Choate

Natalie Choate discusses three planning ideas offered by planners who work with retirement benefits. 1)  Avoiding early retirement penalties; 2)  Rolling over qualified life insurance proceeds to create an inherited ROTH; 3)  Using IRA proceeds to purchase an annuity; Read her analysis here....
Read More

The Forrest Gump Stock Market

In his SeekingAlpha article, William Smead, the Chief Investment Officer of Smead Capital, compares the path of the U.S. stock market to the life experience of Forrest Gump.   I found the comparison compelling, especially in light of all the pessimists who are holding up the market's recent pullback as a reason to sell stocks.  The full article can be viewed here....
Read More

72(t) Questions – Modifying a SOSEPP

Natalie Choate discusses early withdrawals from IRAs through a "series of substantial equal periodic payments," including some of the common questions and pitfalls regarding these so-called 72(t) or SOSEPP distributions. She writes:  "Under the SOSEPP exception, payments made before age 59 1/2 that are part of a SOSEPP are exempt from penalty. The series can be designed using any of several IRS-approved methods. However, if the series is "modified" in any way prior to attaining age 59 1/2...
Read More
0

Social Security

Doug Nguyen and Andrew Salata of the Social Security Administration clarify retiree confusion about the impacts of age, marriage, divorce, and do-overs on retirement benefits.  Watch the interview they gave to Morningstar's Christine Benz.  ...
Read More
0

Expanded Index League Tables 2003 – 2012

Our clients are used to hearing me talk about asset allocation as the key driver of portfolio investment returns, and diversification as the principal way to mitigate risk.  We have regularly produced a graphic that we call the NorCap Return Box, which shows 10 years of trailing performance for major asset classes.  This year we decided to expand the Box to include minor asset classes and a wide range of equity styles and strategies.  I think this picture tells the story better than any narrativ...
Read More
0