You have choices when it comes to investing. You can go directly to a mutual fund company (such as Vanguard or T. Rowe Price) and choose investments yourself, or you can use a fee-only financial advisor to assist you in choosing investments. One of the most common methods is to work with a broker. Brokers are companies like Edward Jones, plus many, many other companies, including insurance company brokerage divisions, banks, and the like. What’s the Difference? You’re probably wondering – what’s the difference between a broker and, for example, a fee-only advisor? You’re right to be confused, because until you start working with one or the other and you know what the difference is, they look pretty much the same from the outside. Here’s the difference: Brokers are salesmen. It is their job to sell you an investment product, and that’s how the broker gets paid. They are required […]
#noTOP
for one-time articles that should not go to “Tweet Old Post” distribution
Celebrating 15 years: Financial Planning 101
On this date fifteen years ago, April 19, 2004, this blog was officially launched. The article below was the first post ever, and I’ve reposted it here in celebration of the 15 year anniversary of Financial Ducks In A Row. I have not edited the content below, it’s exactly the same as it was originally posted back in 2004. A lot has changed over the years, and I continue to enjoy sharing sound financial principles, information and advice through this medium, and I hope to keep it up for a long time into the future. Nine Essential Tips for a Bright Financial Future 1. See a lawyer and make a Will. If you have a Will make sure it is current and valid in your home state. Make sure that you and your spouse have reviewed each other’s Will – ensuring that both of your wishes will be carried out. […]
Share, tweet, print, email, like or pin this post:
Social Security Changes for 2018
In 2018, there will be some slight changes to Social Security. For individuals receiving benefits, there will be a cost of living (COLA) increase of 2 percent. While 2 percent may not seem like a lot, it certainly does help. Additionally, it’s better than nothing. That is, Social Security remains one of the few retirement vehicles available with a COLA. Many defined benefit pensions (if an individual is lucky to have one) do not have COLA increases. Their payments remain fixed for the retiree’s lifetime. Individuals still working will see the wage base subject to the OASDI tax of 6.2 percent increase from $127,200 for 2017 to $128,700 for 2018. As always, the Medicare tax of 1.45 percent remains on an unlimited amount of wages, with an additional .9 percent tax added for those with incomes above $200,000 (single) or $250,000 (MFJ). For individuals receiving benefits yet continuing to work, […]
Share, tweet, print, email, like or pin this post:
How to Navigate the Equifax Hack
If you’re among the 143 million people who may have been compromised by the Equifax hack, you may be wondering what steps you can take to protect yourself in what is now the greatest data breach in history. Below are steps to take to see if you’ve been affected and what you can do to move forward with the (hopefully) least financial impact to you and your credit. Go to https://www.equifaxsecurity2017.com/ and follow the instructions to see if your data may have been part of the compromise. If so, you’re allowed to sign up for free identity theft protection and monitoring for up to one year. Even if you’re one of the lucky ones whose data hasn’t been compromised, you’re still allowed to sign up for the service. Check your credit reports. Go to annualcreditreport.com and request your free credit report from the three major bureaus: TransUnion, Equifax, and Experian. […]
Share, tweet, print, email, like or pin this post:
Health Savings Account for 2017
When you have a health savings account you’re allowed to make contributions to the health savings account that are deductible from your income. There are limits to the amount that is deductible each year, and these limits are set by the IRS. In order to have a HSA, you must also have a High-Deductible Health Plan (HDHP), which is a health insurance policy that, as the name implies, has a high deductible. Qualified plans have a minimum deductible of $2,600 for families (for 2017) or $1,300 for singles. In addition, HDHPs have a maximum annual limit on the sum of the deductible and out-of-pocket expenses that you must pay. Out-of-pocket expenses include co-payments and other amounts, but do not include premiums paid. The maximum sum of deductibles and out-of-pocket payments for a qualified HDHP in 2017 is $13,100 for family coverage, or $6,550 for single filers. These figures have not […]
Share, tweet, print, email, like or pin this post:
6 Year End Tips for a Financially Productive 2017
As 2016 comes to a close in a few weeks and we start into 2017, here are some good tips to consider to start 2017 off with some good strategies that will hopefully become habits. If you’re not doing so already, set up your payroll deductions to save the maximum to your 401k. There’s plenty of time to your payroll allocated so your deductions start coming out on the first paycheck in January. The 2017 maximum contributions are $18,000 for those under age 50 and $24,000 for those age 50 or older. To deduct the max, simply take the number of pay periods you have annually and divide it into your maximum contribution amount. This will allow you to save the maximum amount over 2017. Consider doing the same to maximize your IRA contribution. Those limits are $5,500 (under 50) and $6,500 (over 50) respectively. Check your allowances on your […]
Share, tweet, print, email, like or pin this post:
How to Save On Holiday Spending
It’s that time of year when Thanksgiving comes and goes and before we know it Christmas will be upon us. For many people, this time of year means the giving and exchanging of gifts to family, friends and loved ones. It also means that many people will be worried about their spending over the Holiday season; with concerns of how to budget, going over budget, or amassing unwanted amounts of credit card debit. Here are some ideas to help keep your Holiday spending in check in order to stick to your budget and avoid the trap of credit card debt – the gift that keeps on giving. Create a spending plan and stick to it. Many individuals have a budget when it comes to what they will spend on gifts for the Holidays. However, it becomes tempting to spend in excess of this budget when we see additional gifts we’d […]
Share, tweet, print, email, like or pin this post:
What to Expect After the Election
Now that the election has come and gone I wanted to send a note on what we should expect for the next four years and beyond. Really, these are no big predictions, but at times we may tend to forget our long-term goals in the hype and excitement of short term events. Expect volatility. Volatility is the norm, not the exception. Therefore, it should come as no surprise that markets will fluctuate, gyrate and generally have many ups and downs over the next four years and beyond. Think of it this way, would we expect any higher returns on our investments if markets were always calm and stable? No. Volatility is the price (risk) we pay for expected higher returns. We can diversify and maintain focus, but volatility will never go away. Expect change. As the saying goes, the only thing that is permanent is change. Do I know what […]
Share, tweet, print, email, like or pin this post:
2017 Retirement Plan Contribution Limits
The IRS recently published the new contribution limits for various retirement plans for 2017. These limits are indexed to inflation, and as such sometimes they do not increase much year over year, and sometimes they don’t increase at all. This year for the third year in a row we saw virtually no increases contribution amounts, and the income limits increased for slightly as they did for 2016. IRAs The annual contribution limit for IRAs (both traditional and Roth) remains at $5,500 for 2017 (third year without an increase). The “catch up” contribution amount, for folks age 50 or over, also remains at $1,000. The income limits for traditional (deductible) IRAs increased slightly from last year: for singles covered by a retirement plan, your Modified Adjusted Gross Income (MAGI) must be less than $62,000 for a full deduction; phased deduction is allowed up to a MAGI of $72,000. This is an […]
Share, tweet, print, email, like or pin this post:
2016 Retirement Plan Contribution Limits
The IRS recently published the new contribution limits for various retirement plans for 2016. These limits are indexed to inflation, and as such sometimes they do not increase much year over year, and sometimes they don’t increase at all. This year we saw a few increases for some contribution amounts, and the income limits increased for most types of accounts after virtually no changes to the contribution amounts in 2015. IRAs The annual contribution limit for IRAs (both traditional and Roth) remains at $5,500 for 2016 (second year without an increase). The “catch up” contribution amount, for folks age 50 or over, also remains at $1,000. The income limits for traditional (deductible) IRAs increased slightly from last year: for singles covered by a retirement plan, your Modified Adjusted Gross Income (MAGI) must be less than $61,000 for a full deduction; phased deduction is allowed up to a MAGI of $71,000. […]
Share, tweet, print, email, like or pin this post:
Tax Benefits for Job Hunting
The IRS recently published their Summertime Tax Tip 2016-24, entitled “Looking for Work May Impact Your Taxes”, with some good tips that you should know as you go about job hunting. The text of the actual publication from the IRS follows, and at the end of the article I have added a few additional job-related tax breaks that could be useful to you. Looking for Work May Impact Your Taxes If you are job hunting in the same line of work, you may be able to deduct some of your job search costs. Here are some key tax facts you should know about when searching for a new job: Same Occupation. Your expenses must be for a job search in your current line of work. You can’t deduct expenses for a job search in a new occupation. Résumé Costs. You can deduct the cost of preparing and mailing your résumé. […]
Share, tweet, print, email, like or pin this post:
Remember Your 2016 RMD
It’s hard to believe that 2016 is coming closer to an end. For some individuals that are required to take required minimum distributions (RMDs) from their retirement plans, it may be a good idea to double check to make sure that happens. If it doesn’t the penalties are harsh. According to the IRS the penalty for not taking and RMD or not taking the full RMD is 50% of the amount not withdrawn. This can lead to significant losses to a retiree that must take RMDs. Generally, most financial planners and or custodians we’ll be able to help the individual and remind them that they have and RMD and how much that amount needs to be. If an individual finds themselves in the precarious position of having forgotten to take the RMD or did not take out enough, there is a remedy. The IRS allows an individual to file form […]
Sterling Raskie, MSFS, CFP®, ChFC®
The latest in our Owner’s Manual series, A 401(k) Owner’s Manual, was published in January 2020 and is available on 
A Medicare Owner’s Manual, is updated with 2020 facts and figures. This manual is available on 
Social Security for the Suddenly Single can be found on Amazon at 
Sterling’s first book, Lose Weight Save Money, can be 
An IRA Owner’s Manual, 2nd Edition is available for purchase on Amazon. Click the link to choose the 
Jim’s book – A Social Security Owner’s Manual, is now available on Amazon. Click this link for the 
And if you’ve come here to learn about queuing waterfowl, I apologize for the confusion. You may want to discuss your question with Lester, my loyal watchduck and self-proclaimed “advisor’s advisor”.