Under the existing rules for 529 plans, account owners can only make investment selection adjustments once per year (or when there is a change in beneficiaries). Under the new relief just released from the IRS for 2009, 529 plan account owners will now be eligible to make changes... twice.Read More...
Is There Really Much Value to Suspending 2009 RMDs?
Yesterday, President Bush signed into law H.R. 7327, the Worker, Retiree, and Employer Recovery Act of 2008 (WRERA), which included certain provisions designed to suspend so-called Required Minimum Distributions (RMDs) for the upcoming 2009 tax year. But will that really do much to help our clients? Probably not in most cases.Read More...
Learning More About How NOT To Do Financial Planning
The results are in for FPA's first ever video competition on "How NOT To Do Financial Planning", and congratulations to Dave and Rob Daline of Minnetonka, MN, for their winning video "Winston the Pug."
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Are We Really Ready for true Standards of Care?
Continuing the fiduciary financial planning momentum created by the CFP Board's release last year of their updated Standards of Professional Conduct, the FPA has promulgated one of the first formal statements of a "Standard of Care" for the delivery of financial planning services - a step that many consider to be crucial for financial planning to become widely recognized as a profession. But is the planning community really ready to go where this road leads?
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Is the Safe Withdrawal Rate too safe? Or too aggressive!?
As readers of my newsletter know, in May I published research that challenges the safe withdrawal rate as potentially being TOO safe in some environments, where market valuation is not at unfavorable extremes. However, in some feedback I've received from readers, another important point is being made - in some cases, the safe withdrawal rate may also still be too aggressive!
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Using Average Cost Accounting for Exchange-Traded Funds?
The average cost accounting method was first created to allow a taxpayer to simply report the gain on partial sales based on the average cost of all shares purchased (instead of the default FIFO treatment, or by using specific share identification), but was reserved exclusively for mutual funds and not for individual equity securities.
However, it appears now that the rules may be a little broader than anyone realized - because technically, an exchange-traded fund (ETF) may also be eligible, notwithstanding the fact that it trades more like a stock than a mutual fund.
The Plight Of The Independent RIA
A new campaign is underway to help promote the visibility of independent RIAs to the general public. But the focus is not to increase awareness of the differences between RIA and broker/dealer compensation, nor to explore the fiduciary versus suitability debate. Instead, it's simply to convey the message "We exist."
Is the Military Leading the Cutting Edge of Financial Planning?
In the midst of the financial planning community's struggles to figure out how to serve the mass middle market in an effective manner, a surprising new entrant to the field may lead the way in showing how to get it done right. Welcome to the Personal Financial Counselor Network, brought to the U.S. military courtesy of the Department of Defense!
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Negative buzz about Vanguard's IRA beneficiary rules
Do your clients have retirement accounts held directly with Vanguard? More than one? Do you know who the beneficiaries are for each account? Are you SURE you have that right? Sorry, think again.
Things are Heating Up with the Next Generation… of No-Load Life Insurance!
For many years, the no-load space for life insurance products has been very limited, to a large extent because fee-based advisors were perceived as being a very weak target market by the traditional insurance companies.
However, a new entrant to this marketplace is raising the stakes on the pricing and transparency of permanent life insurance, and is starting to get some attention as a result!
