It’s got to be your decision. To help you decide, I will give a quick review of why purchasing insurance makes sense and the two types of insurance available. You can then relate the reason for purchasing insurance to your current need for insurance.
Why do Canadians need life insurance
Ultimately, Canadians buy life insurance because they want to take care of others should something happen to them. They want to protect their survivor’s lifestyle or maximize the inheritance with insurance when they pass away unexpectedly, or naturally after a long, healthy and happy life.
There are two financial needs to consider when determining the amount of insurance needed: How much income would be needed, as well as current and future debts. Current debt may be a mortgage, and future debt may be children’s university expenses or future taxes.
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How much life insurance would you need?
A simple method in determining the how much insurance you need to replace your income is to divide the income needed by a safe investment return.
If you need to replace an annual income of $50,000, and you think you can safely earn 5% on the invested insurance proceeds a year, then divide $50,000 by 5%. This gives you a need for $1 million of insurance, or $1 million minus your existing investments. That is earning 5% a year on a $1 million gives $50,000 a year.
You could argue that you don’t need the $50,000 annual income replacement for life because, your expenses will be lower as you age, you will have other income such as the Canadian Pension Plan (CPP), Old Age Security (OAS), and so on. That’s all true— but this calculation does not take into consideration inflation. Over time inflation will whittle down the value of that $1 million.
Does life insurance cover debt?
Yes, and once you know how much insurance you need to replace income, then just add on the debt.
Maybe when you purchased the insurance your situation looked a bit like this: A $750,000 mortgage and anticipated post-secondary expenses of $250,000 for children, if any, means upping the insurance from $1 million to $2 million.
When you contribute to an RRSP, you must claim the contribution on your tax return for the year. That is, you report the fact that a contribution was made. You do not, however, have to deduct that contribution. You can choose to carry it forward to claim in a future tax year.
Unused RRSP contributions previously reported and available to deduct
Available contribution room
Your deduction limit means how much you can deduct for the year. Your unused contributions are previous RRSP deposits not yet deducted. These unused contributions reduce your available contribution room. So, if you have a $20,000 RRSP limit, but $5,000 of unused RRSP contributions from the past that you have not yet deducted, your available contribution room is only $15,000.
Your available contribution room is how much you can contribute to your RRSP today. You are allowed to overcontribute by up to $2,000, so there is a bit of a buffer. However, if you exceed that $2,000, you are subject to a penalty of 1% per month.
The $66,000 of unused RRSP contributions you have, Svetla, is pretty significant. It’s one of the larger carry-forwards I have come across. It represents tax deductions and potential refunds you have delayed.
Now, should you hold onto unused RRSP contributions?
You can carry forward your unused RRSP contributions indefinitely. They do not expire at age 71, when you would otherwise have to convert your RRSP to a registered retirement income fund (RRIF). It’s uncommon to carry unused RRSP contributions forward, but sometimes it makes sense, say when you’re going to have a much higher income year the following year. Your RRSP deduction may save you more tax if you save it for that subsequent year.
Svetla, it sounds like you are building up your unused RRSP contributions with the intention of using them to offset the tax on your future RRSP withdrawals. This may not be advantageous.
If you’re working and your income is higher now than when you retire, your RRSP deductions would save more tax today than in the future. Unless you expect your tax rate to be much higher later, you are probably better off claiming the deductions now. Furthermore, even if your tax rate was modestly higher in the future, by waiting several years to get those tax savings, it may not be worth it. If you could save 30% today or 35% in a few years, it may still be better to save 30% today just to get that refund in your pocket to do something else with it, like invest it or pay down debt. This is the “time value of money.”
Now, after a fair bit of research and a few interviews with experts on infinite banking, I feel I know enough to pass on the basics—plus what you should think about before signing up.
What is infinite banking?
According to a useful primer from independent insurance firm PolicyAdvisor, “Infinite banking is a concept that suggests you can use your whole life insurance policy to ‘be your own bank.’” It was created in the 1980s by American economist R. Nelson Nash, who introduced the idea in his book Becoming Your Own Banker. He launched the “Infinite Banking Concept” (IBC) in the U.S. in 2000, and eventually it migrated to Canada.
An article on infinite banking that appeared both on Money.ca and in the Financial Post early in 2022 bore a simplistic headline that said, in part, “how to keep your money and spend it too.” The writer—Clayton Jarvis, then a MoneyWise mortgage reporter—framed the concept by declaring that the problem with the average Canadian’s capital is that it’s usually doing just one job at a time: it’s spent, lent or invested.
“But what if you were able to put your money to a specific purpose and continue using it to generate income? That’s the idea behind infinite banking (IB),” Jarvis wrote. He compared IB to a reverse mortgage: “In both cases, you still possess the appreciating asset being borrowed against—your policy or your home—and you have the freedom to pay back the loan at your leisure[.]” But Jarvis also evinced some skepticism when he added: “those who have sipped rather than chugged the IB Kool-Aid say it’s a strategy that may be too complex to be marketed on a mass scale.”
Borrowing from your life insurance policy
If you’re not familiar with the finer details of insurance, infinite banking does seem a bit arcane. Rather than put your money in a traditional bank—which until the last year or so paid next to nothing in interest on accounts—you would invest in a whole life or universal life insurance product, both of which provide some “cash value” from the investment portion of their policies. Then, if you want to borrow money, instead of making hefty interest payments to a bank, you would borrow against your life insurance policy.
As PolicyAdvisor explains, “Because you’re only borrowing from your policy, the insurance company is still investing your entire cash value component. So, your cash value still grows even though you’ve borrowed a portion of it.”
Those new to infinite banking should watch a YouTube primer made by Philip Setter, CEO of Calgary-based insurance broker Affinity Life. In it, he readily concedes that much of the marketing hype portrays infinite banking as some kind of “massive secret of the wealthy,” which essentially amounts to buying a whole life insurance policy and borrowing against it. Setter has sold many leveraged insurance products himself, but to his credit, in the video he calls out some of the conspiracy-mongering that seems to be attached to infinite banking, including the primary message from some promoters that traditional banks and governments are out to rip off the average consumer.
Infinite banking seems to be geared to wealthy people who are prepared to commit to the long term with the leveraged strategy, and who can also benefit from the resulting tax breaks (more on this below). It’s not for the average person who is squeamish about leverage (borrowing to invest) and/or is not prepared to wait for years or decades for the strategy to bear fruit. As Setter warns in his video: “Once you commit to this, there’s no going back.” If you collapse a policy too soon, it’s 100% taxable: “It only is tax-free if you wait until you die … you commit to it until the very end.”
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How are insurance advisors paid for selling infinite banking products?
Asked how advisors are paid, Setter said they receive a lump-sum commission based on the premium amount of the policy. I also asked this of Asher Tward, financial head of estate planning at TriDelta Private Wealth. In an email, Tward said it’s “the same as with any insurance policy—mostly upfront commission based on premiums paid (higher if there is more initial funding). Fundamentally, this is a life insurance sale. If one undertakes an external or collateralized loan versus a policy loan, they may be compensated on the loan as well.”
The simplest answer is yes: Social Security income is generally taxable at the federal level, though whether or not you have to pay taxes on your Social Security benefits depends on your income level. If you have other sources of retirement income, such as a 401(k) or a part-time job, then you should expect to pay income taxes on your Social Security benefits. If you rely exclusively on your Social Security checks, though, you probably won’t pay taxes on your benefits. State laws vary on taxing Social Security. Regardless, it’s a good idea to work with a financial advisor to help you understand how different sources of retirement income are taxed.
Is My Social Security Income Taxable?
According to the IRS, the quick way to see if you will pay taxes on your Social Security income is to take one half of your Social Security benefits and add that amount to all your other income, including tax-exempt interest. This number is known as your combined income (combined income = adjusted gross income (AGI) + nontaxable interest + half of your Social Security benefits).
If your combined income is above a certain limit (the IRS calls this limit the base amount), you will need to pay at least some tax.
The limit is $25,000 if you are a single filer, head of household or qualifying widow or widower with a dependent child. The limit for joint filers is $32,000. If you are married filing separately, you will likely have to pay taxes on your Social Security income.
Calculating Your Social Security Income Tax
If your Social Security income is taxable, the amount you pay in tax will depend on your total combined retirement income. However, you will never pay taxes on more than 85% of your Social Security income. If you file as an individual with a total income that’s less than $25,000, you won’t have to pay taxes on your Social Security benefits in 2021, according to the Social Security Administration.
For the 2021 tax year (which you will file in 2022), single filers with a combined income of $25,000 to $34,000 must pay income taxes on up to 50% of their Social Security benefits. If your combined income was more than $34,000, you will pay taxes on up to 85% of your Social Security benefits.
For married couples filing jointly, you will pay taxes on up to 50% of your Social Security income if you have a combined income of $32,000 to $44,000. If you have a combined income of more than $44,000, you can expect to pay taxes on up to 85% of your Social Security benefits.
If 50% of your benefits are subject to tax, the exact amount you include in your taxable income (meaning on your Form 1040) will be the lesser of either a) half of your annual Social Security benefits or b) half of the difference between your combined income and the IRS base amount.
Let’s look at an example. Say you’re a single filer who receives a monthly benefit of $1,543, which is the average benefit after the cost of living increase in January 2021. Your total annual benefits would be $18,516. Half of that would be $9,258. Then let’s say you have a combined income of $30,000. The difference between your combined income and your base amount (which is $25,000 for single filers) is $5,000. So the taxable amount that you would enter on your federal income tax form is $5,000, because it is lower than half of your annual Social Security benefit.
The example above is for someone who is paying taxes on 50% of his or her Social Security benefits. Things get more complicated if you’re paying taxes on 85% of your benefits. However, the IRS helps taxpayers by offering software and a worksheet to calculate Social Security tax liability.
If you’re ready to be matched with local advisors that can help you achieve your financial goals, get started now.
How to File Social Security Income on Your Federal Taxes
Once you calculate the amount of your taxable Social Security income, you will need to enter that amount on your income tax form. Luckily, this part is easy. First, find the total amount of your benefits. This will be in box 3 of your Form SSA-1099. Then, on Form 1040, you will write the total amount of your Social Security benefits on line 5a and the taxable amount on line 5b.
Note that if you are filing or amending a tax return for the 2017 tax year or earlier, you will need to file with either Form 1040-A or 1040. The 2017 1040-EZ did not allow you to report Social Security income.
Simplifying Your Social Security Taxes
During your working years, your employer probably withheld payroll taxes from your paycheck. If you make enough in retirement that you need to pay federal income tax, then you will also need to withhold taxes from your monthly income.
To withhold taxes from your Social Security benefits, you will need to fill out Form W-4V (Voluntary Withholding Request). The form only has only seven lines. You will need to enter your personal information and then choose how much to withhold from your benefits. The only withholding options are 7%, 10%, 12% or 22% of your monthly benefit. After you fill out the form, mail it to your closest Social Security Administration (SSA) office or drop it off in person.
If you prefer to pay more exact withholding payments, you can choose to file estimated tax payments instead of having the SSA withhold taxes. Estimated payments are tax payments that you make each quarter on income that an employer is not required to withhold tax from. So if you ever earned income from self-employment, you may already be familiar with estimated payments.
In general, it’s easier for retirees to have the SSA withhold taxes. Estimated taxes are a bit more complicated and will simply require you to do more work throughout the year. However, you should make the decision based on your personal situation. At any time you can also switch strategies by asking the the SSA to stop withholding taxes.
The Impact of Roth IRAs
If you’re concerned about your income tax burden in retirement, consider saving in a Roth IRA. With a Roth IRA, you save after-tax dollars. Because you pay taxes on the money before contributing it to your Roth IRA, you will not pay any taxes when you withdraw your contributions. You also do not have to withdraw the funds on any specific schedule after you retire. This differs from traditional IRAs and 401(k) plans, which require you to begin withdrawing money once you reach 72 years old, or 70.5 if you were born before July 1, 1949.
So, when you calculate your combined income for Social Security tax purposes, your withdrawals from a Roth IRA won’t count as part of that income. That could make a Roth IRA a great way to increase your retirement income without increasing your taxes in retirement.
Another thing to note is that many retirement plans allow individuals, aged 50 years or older, to make annual catch-up contributions. You can make catch-up contributions up to $1,000. These must be made by the due date of your tax return. You have until April 15, 2022 to make the $1,000 catch-up contribution apply to your 2021 Roth IRA contribution total.
State Taxes on Social Security Benefits
Everything we’ve discussed above is about your federal income taxes. Depending on where you live, you may also have to pay state income taxes.
There are 12 states that collect taxes on at least some Social Security income. Two of those states (Minnesota and Utah) follow the same taxation rules as the federal government. So if you live in one of those two states then you will pay the state’s regular income tax rates on all of your taxable benefits (that is, up to 85% of your benefits).
The other states also follow the federal rules but offer deductions or exemptions based on your age or income. So in those nine states, you likely won’t pay tax on the full taxable amount.
The other 38 states (plus Washington, D.C.) do not tax Social Security income.
State Taxes on Social Security Benefits
Taxed According to Federal Rules: Minnesota, Utah
Partially Taxed (Exemptions for Income and Age): Colorado, Connecticut, Kansas, Missouri, Montana, Nebraska, New Mexico, Rhode Island, Vermont, West Virginia
No State Tax on Social Security Benefits: Alabama, Alaska, Arizona, Arkansas, California, Delaware, District of Columbia, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Mississippi, Nevada, New Hampshire, New Jersey, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Virginia, Washington, Wisconsin, Wyoming
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Bottom Line
We all want to pay as little in taxes as possible. That’s especially true in retirement, when most of us have a set amount of savings. But consider that if you have enough retirement income that you’re paying taxes on Social Security benefits, you’re probably in decent shape financially. It means you have income from other sources and you’re not entirely dependent on Social Security to meet living expenses.
You can also save on your taxes in retirement simply by having a plan. Help yourself get ready for retirement by working with a financial advisor to create a financial plan.
Tips for Saving on Taxes in Retirement
Financial advisors can offer valuable guidance and insight into retiree taxes. Finding a qualified financial advisor doesn’t have to be hard. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
What you pay in taxes during your retirement will depend on how retirement friendly your state is. So if you want to decrease tax bite, consider moving to a state with fewer taxes that affect retirees.
Another way to save in retirement is to downsize your home. Moving into a smaller home could lower your property taxes and it could also lower your other housing costs.
A man considers delaying Social Security past his full retirement age to increase his eventual benefit.
If you have $1 million in a 401(k) and collect a pension, you may be in a position to delay Social Security until age 70. Doing so can boost your monthly benefit by up to 24%. However, delaying Social Security will mean you’ll have to rely more heavily on your savings for several years and potentially take a large bite out of your nest egg. So is the tradeoff worth it? A financial advisor can review income sources and expenses and help you budget for a comfortable retirement.
Basics of Paying for Retirement
Funding retirement is about having enough income to cover your expenses. You may be ready to retire when your retirement income matches or exceeds your anticipated expenses.
On the expense side, essentials include housing, food and healthcare. Most people also have discretionary expenditures like transportation, entertainment, recreation, education and travel.
People with enough savings can afford to delay Social Security and use their nest egg to cover living expenses and discretionary spending. While delaying Social Security can increase your eventual benefits, it also means depleting savings faster. Making this decision will require you to consider all of your sources of income as well as factors like taxes, market fluctuations and inflation.
Delaying Social Security: The 8% Annual Boost
Your benefit grows by about 8% annually each year you delay Social Security beyond your full retirement age – up until age 70. So, waiting provides a significantly higher income later. On the flip side, if you claim your benefits before reaching full retirement age, you’ll get less.
For instance, if your benefit is $2,000 per month at full retirement age, claiming at 62 would cut it by 30%, leaving you with just $1,400 per month. Waiting until age 70, on the other hand, would boost your monthly check to around $2,480 per month – a 24% increase.
Financial advisors say it likely makes sense for many retirees to similarly delay taking Social Security if they have other income sources.
“The longer you can defer Social Security, the better because your benefit will grow by 8% annually,” said Jeremy Suschak, a certified financial planner (CFP) and head of business development at DBR & Co. in Pittsburgh. “Delaying also makes sense if expenses are low, debts are paid and assets can reasonably cover expenses.”
In addition, there are multiple benefits to having assets in diversified retirement accounts, says Hao Dang, an accredited investment fiduciary (AIF) and investment strategist with Consilio Wealth Advisors in Seattle.
“The location of assets is important for tax, legal and diversification reasons,” Dang said.
“While most distributions from these accounts qualify as taxable income, the eligible age of penalty-free distributions may be different. The rule of 55 for 401(k)s allows for penalty-free withdrawals if you are no longer at your job. IRAs are limited to 59 ½ or older.”
Example: $1 Million Saver Who Delays Social Security for 8 Years
A woman reviews her 401(k) as she considers when the best time for claiming Social Security.
While claiming later increases Social Security significantly, deciding whether or not to delay claiming requires figuring out how you’ll pay your bills in the meantime. Consider a 62-year-old with anticipated retirement expenses of $5,000 per month. Like you, he has $1 million in retirement savings earning a 5% annual return.
He also has a pension that provides $700 monthly, or $8,400 annually. This is approximately the average pension benefit, according to a 2022 Census Bureau analysis of older household income sources.
If he takes Social Security at 62, his $1,400 monthly benefit plus his $700 in monthly pension income will add up to $2,100. With $5,000 in expenses every month, he’ll need to withdraw $2,900 a month from his retirement account. And with inflation, that withdrawal will increase over time to maintain the same lifestyle. With this route, he loses roughly $25,000 of his savings to waiting for Social Security – money that could have otherwise been generating investment returns for the long-term.
But if he delays Social Security until 70, he’ll need to withdraw $4,300 from his 401(k) for eight years, which would lower his balance to just over $800,000 by the time he turns 70. At that point, he’ll start collecting Social Security.
A financial advisor can help you understand the pros and cons of your options.
Limitations: Inflation, Market Returns and Longevity
Deciding when to claim Social Security involves contemplating uncertainty. One big risk is that your investment returns may fall short of your assumptions, which means you’ll either have to withdraw less or accept that your money won’t last as long as you anticipated.
Another possibility: Inflation could outpace long-term projections, requiring you to spend more money to maintain your standard of living. Living longer than expected meanwhile, carries its own set of risks. A longer lifespan means more years of retirement to fund.
Making the Call on Delaying Social Security
A woman weighs her options for claiming Social Security at age 62 or delaying them for several years.
If you have substantial retirement savings and a pension, delaying Social Security can pay off. But first, make sure you can afford to fund expenses from savings. Create a retirement budget accounting for all income sources. See if you can meet spending needs on savings alone for several years.
Next, calculate your increased Social Security benefit from delaying. Weigh if the boost is worth shrinking savings for a few years. Finally, consider other factors like spousal benefits, taxes and unknowns like inflation, market volatility and longevity. To make a plan to minimize your taxes and protect your estate, talk to a financial advisor today.
Social Security Planning Tips
If you’re unsure when the right time is to claim Social Security, start by estimating how much your benefits would be at different ages. SmartAsset’s Social Security calculator can help you project your benefits based on your income and age at which you plan to start collecting.
A financial advisor can help you plan for Social Security. Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
You generally need 40 years of residency in Canada after the age of 18 to qualify for the maximum OAS pension. The maximum monthly payment as of the fourth quarter of 2023 is $707.68 for someone who started their OAS at age 65. Someone aged 75 or older would be entitled to up to $778.45.
Exceptions to the OAS residency requirement
There may be situations where you qualify for the full pension without meeting the 40-year residency requirement. One example would be if you were over 25 and lived in Canada or had an immigration visa on or before July 1, 1977.
Another instance where you may qualify for a higher pension is if you lived in a country with a social security agreement with Canada. Time spent in other countries may count towards your OAS residency formula. If you worked outside Canada for the Canadian Armed Forces or an international charitable organization, this time might also count.
Deferring OAS to increase residency requirements
If you have under 40 years of residency, your pension is pro-rated. You need to have lived in Canada for at least 10 years after the age of 18 if you apply for OAS as a Canadian resident. If you live outside of Canada when you apply, you need 20 years of residency.
Interestingly, Amin, you can defer your OAS pension after age 65 to increase your residency requirements. This can work well for someone who is trying to get to 10 or 20 years, respectively, to qualify for the pension at all. In your case, the deferral will not have an impact on the residency calculation. I will explain why.
The reason is an OAS recipient deferring their pension after age 65 can only benefit from one of two enhancements: one, the years of residency; or two, the age-based increase. If you defer OAS to after age 65, your age 65 entitlement increases by 0.6% per month or 7.2% per year of deferral. You can start it as late as 70 for a maximum 36% increase.
If you get an extra year or 1/40th of residency, that amounts to a 2.5% boost in your OAS.
Unfortunately, Amin, you cannot get the 2.5% residency boost and the 7.2% age boost for deferring. You get the higher of the two, which is obviously the age-based adjustment of 7.2%.
At $499, the course does represent a major investment, but the outlay could be considered a bargain if it helps some DIY retirees escape the clutches of conflicting securities salespersons who actually do care more about their own retirement than that of their clients.
Consider some of the impressive testimonials. Long-time consumer advocate and former Toronto Star personal finance columnist Ellen Roseman asked Prevost “Where have you been all this time?! … Most of us need guidance on taking money out of our savings without depleting our resources once we leave work—and I suspect this interactive multimedia approach to learning will be far more interesting and memorable than simply reading a book. Kyle has done his research and provides plain-spoken views about what’s good and what’s bad in the process of making our retirement income last as long as we do.”
Fee-only financial planner and financial columnist Jason Heath (of Objective Financial Partners) says “Kyle’s course is a great resource for someone preparing for retirement or already retired … His background as a teacher definitely comes across in the course. Too many financial industry people do a poor job of conveying financial topics in a way that makes sense. The approach of the course is meant to teach and empower, and it definitely does just that.”
My review of Worry-Free Retirement
So, let’s take a closer look at the course, which I dipped into in a few weeks in order to write this review. It comprises 16 units, each starting with a short audio-visual overview, followed by more in-depth backgrounders, videos and links to other content. I’d suggest focusing on a single unit per session, as there’s plenty to digest.
The first unit takes you through how much money you’ll probably need to retire in Canada. Subsequent units are devoted to the major government programs like the Canada Pension Plan (CPP) and Old Age Security (OAS), and employer-sponsored pension plans, including both defined benefit and defined contribution plans. Later the course also tackles that perennial retirement chestnut, the 4% safe withdrawal rule (to which Prevost isn’t married but sees as a good starting point for guest-imating retirement income).
I’m particularly partial to unit six, titled “Working for a Playcheck,” as that term was coined by Michael Drak and myself in our jointly authored 2014 book, Victory Lap Retirement. Units seven and eight go into some depth in investing: what to invest in and how to buy and sell securities.
Units nine and 10 go into depth on registered retirement savings plans (RRSPs) and tax-free savings accounts (TFSAs), then handles the whole topic of decumulation and the crucial transition (at the end of the year you turn 71) from RRSPs to RRIFs. No doubt, I will personally revisit that module at the end of next year!
Unit 11 examines how you can create your own pension through annuities. Units 12 and 13 look at mortgages: whether one should retire with one (spoiler: one shouldn’t) and deciding between downsizing and reverse mortgages or home equity line of credits (HELOCs).
Dallas, OR, August 9, 2017 (Newswire.com)
– Trust Builders, Inc.™, a company that produces professional retirement planning software,today announced its new name, Retire Ready Solutions. After over thirty years in the business, Trust Builders, Inc.’s leadership felt it was time to simplify the name to better illustrate the company’s role in providing advisors with innovative retirement education tools.
The company will continue to make and improve The Retirement Analysis Kit (TRAK). The retirement modeling, analysis, and illustration software have been designed especially for use by professional financial advisors working with individuals and those who support plan sponsors and company employees on their quest to retire securely.
The new name, Retire Ready Solutions, clarifies who we are and what we do. Our corporate focus has always been about helping advisors to provide engaging retirement education to their clients. We’ve always been about helping individuals connect to the retirement planning process.
Edward Dressel, President Retire Ready Solutions, formerly Trust Builders Inc.
WHY THE NAME CHANGE IS IMPORTANT NOW
“The new name, Retire Ready Solutions, clarifies who we are and what we do,” said Edward Dressel, President of the Dallas, Oregon-based firm. “Our corporate focus has always been about helping advisors to provide engaging retirement education to their clients. We’ve always been about helping individuals connect to the retirement planning process.”
HOW TRAK HELPS PEOPLE GET READY FOR RETIREMENT
Retire Ready Solutions will continue to innovate in order to help advisors excel in retirement planning. “Our proven tools engage people in retirement planning and show them how they, personally, can increase their current contributions to be on track for retirement. This can motivate them and, perhaps, even put their minds at ease for retirement,” said Dressel. “The reports we create help people see exactly how the higher contributions affect their take-home pay and offer a clear path for success. The reports show them how increasing their income tax deferrals now will help them be more ready for retirement in the future.”
Retire Ready Solutions (formerly Trust Builders, Inc.)helps advisors build their clients’ trust. Founded in 1986 as a retirement investment firm for teachers and other public employees, Retire Ready Solutions specializes in retirement modeling, analysis and illustration software for 401(k), 403(b) and federal retirement plan advisors, agents, and brokers. Retire Ready Solutions is committed to continuously improving its software and to supporting plan advisors with world-class training and support. For more information, visit retireready.com.
Experts at Social Security Solutions discuss why teachers with non-covered pensions might be missing out on their Social Security benefits.
Press Release –
Oct 26, 2016
Leawood, KS, October 26, 2016 (Newswire.com)
– All too often, teachers with non-covered pensions are told that they don’t qualify for Social Security benefits. In many cases, this is not accurate because most teachers have worked some number of years in “covered” jobs where Social Security taxes were either withheld or paid on their behalf.
“There is a great deal of misinformation around non-covered pensions and Social Security for teachers that leads to many teachers not claiming all the Social Security to which they are entitled,” said Robin Brewton, COO, Social Security Solutions, Inc. “We want to close the knowledge gap.”
By not claiming Social Security benefits, many teachers could be losing tens of thousands of dollars in retirement income to which they are entitled. Teachers can learn more about non-covered pensions and Social Security by viewing this complimentary webinar.
About Social Security Solutions, Inc.
Headquartered in Leawood, KS, Social Security Solutions, Inc. (www.SocialSecuritySolutions.com) delivers advice and education about Social Security benefit claiming strategies to consumers and financial professionals. Social Security Solutions, Inc. leverages its expertise, research and technology to help individuals determine the best strategy for collecting benefits in line with their overall retirement goals.
