Financial planner Darcy Bergen advises clients in regard to wealth management issues. A Certified Retirement Financial Advisor, Darcy Bergen works to increase the after-tax income of his retired clients.
To reduce a retiree’s tax burden, retirement tax planning must consider how annual withdrawals, income from benefits, Social Security, and new tax laws intersect. Long-term tax planning usually starts at the beginning of the year and reviews all possible withdrawal timetables to keep clients in the lowest possible tax bracket while maintaining their preferred standard of living.
Long-term tax specialists may encourage their clients to generate investment returns from stocks rather than certificates of deposit or bonds. This is because returns from bonds and CDs are taxed at a higher rate than dividends from stocks. Additionally, any capital losses can be used to offset taxes owed on capital gains.
Short-term planning estimates the tax burden at the end of the year based on relevant tax codes. For example, clients will work with retirement planners to determine the best time to withdraw from IRA or 401(k) accounts in order to reduce the client's overall tax liability.
Darcy Bergen is the president of Bergen Financial Group. At his company, Darcy Bergen provides Americans with retirement and social security planning services.
When should you claim social security? Most people already have an age in mind. It could be 62, 65, 70, or the age at which they plan to retire. However, going about this issue in this way is not advisable. Social security benefits can be accurately calculated. Claiming too early can cost you hundreds of thousands of dollars. And that’s not all - how you claim is also important.
Legally, you can start claiming social security as soon as you reach 62, but that doesn’t mean that is the ideal age for you. Claiming later can be more advantageous. You can even increase your social security benefits by up to 75 percent with the right electives.
You have been saving all your life, so you will want to maximize your income post-retirement. It’s no longer just about having some money for upkeep in retirement, but about living your best life then.
If maximizing your benefits is what you want, consult a retirement planning professional to help you decide just when to claim social security. If you recently claimed benefits, do not be worried. You have a 12-month window from the time you applied for benefits to reverse any social security decisions you made. Consult a retirement planning professional for guidance on how best to proceed.
Financial advisor Darcy Bergen takes pride in helping people across the United States prepare financially for their retirement. The president of Bergen Financial Group, Darcy Bergen provides essential financial advice to people who have achieved milestones in their lives.
Here are three milestones that warrant a meeting with a financial advisor:
- When you get married. When you and your partner tie the knot, you bring your finances together. See a financial advisor to develop a comprehensive financial plan that factors in all your goals. The plan should include a long-term investment strategy to make sure you're taken care of in your retirement.
- When you have a child. When a baby comes, you should create a plan for that new family member. Talk to a financial advisor about how you can invest to secure his or her future, especially with regard to a college education. Also seek advice on the right insurance products for your child.
- When you start working or start a new business. When you start your first job, talk to an advisor to figure out how best to pay off any student debt and also how to harness the power of long-term investing. Similarly, if you start a business, you should have a conversation with a financial advisor about a retirement plan, an exit strategy, and a succession plan.
A experienced financial advisor, Darcy Bergen specializes in estate planning, social security, and retirement planning. The president of Bergen Financial Group, Darcy Bergen helps people plan for their retirement.
If you are investing for retirement, you should not take excessive risks with your savings or other assets. Many people invest with a mindset that portfolio gains will be made simply because they have been made in the past.
They believe that an asset will appreciate in value over time from price A to price B, all the way to price C. That mindset is similar to gambling. It is the appeal of probability, the belief that something will happen just because it can happen, or has happened. Unfortunately, this is not always the case. Even bull markets crash, and when they do, many people lose money.
Consider the last decade of the 20th century, at the height of the Dot Com boom. People invested money in tech stocks that seemed forever on an upward swing. However, the boom went bust and many people lost money. The same thing happened in the housing bubble. People were buying property all the way up to 2006, at the height of the bubble. When it finally burst, many people experienced substantial losses.
Just because an asset has moved from price A to price B, doesn’t mean it will get to price C. It can go lower and if market forces dictate, it can go lower than its starting price A. Consult a retirement planner for advice on how best to protect savings and assets over time.