1. Which Assets Are NOT Affected by your state’s Intestate Succession (dying without a will)? The state of Florida has the following rules:a. Assets transferred to a living trust.
    b. Assets with named beneficiaries (including contingent beneficiaries).
    c. Payable-on-death accounts.
    d. Securities held in transfer-on-death accounts.
    e. Property and assets owned with someone else as joint tenants. with rights of survivorship or tenants by the entirety.
  2. Mortgage rates have risen substantially during the past several months. Does it make sense to accelerate the paydown of your mortgage especially if the loan is 4% or less?a. Managing liabilities (debt on your house) is as important as managing assets.
    b. The value of your house is determined by the market. It increases or decreases based on the market, not the mortgage. The market is always right.
    c. Cash outside the house benefits the borrower. Cash in the house benefits the lender.
    d. Unexpected catastrophic weather events are occurring daily across the United States. Should such an event occur, and you have a mortgage, you could very well have a mortgage partner (lender) that would help in recovering the loss. They want to get paid.
    e. Cash outside the house is paramount when an unexpected catastrophic event occurs.
  3. Do you have a crystal ball about the future of the stock market? Will history repeat itself? In August of 1982 the Dow Jones closed at 831.24. In 1996 the Dow Jones ended the year at 872.78, a cumulative growth of just below 40 points. It was 15 years of the average going sideways. It is important to have a portion of your assets that work under all conditions – good times, bad times, and sideway times, so you can take care of your essential lifestyle without the fear of running out of cash.
  4. Inflation is ticking at a pace of +8% for 2022. If the trend continues and we use the rule of 72 (72 divided by 8) we will need twice as much money in 9 years to replace the funds we are currently using for lifestyle. The important funds you have are the ones in your pocket today. Your money will not be worth as much tomorrow as it is today. Have you planned for this?
  5. Are the changes in the Market having an impact on your investment and savings portfolio? Listed are three points to consider.1. Bull Markets Don’t Last Forever. All bull markets come to an end. The strategies that worked last year may not sustain itself in the future.
    2. Volatility is Here to Stay. Unexpected events like Covid-19, and governments policies are creating headwinds in the financial markets.
    3. Fewer Public Investment Options. In 1996 there were more than 8,000 public companies. Today that number is about 4,000. This could cause higher concentration of risk during potentially high-growth years.

Recommendation: Secure an advisor, understand these concepts, and let him or her guide you to a worry free and successful retirement!

First Benefits Group Inc is neither a legal nor accounting firm, and does not render legal, accounting, or tax advice.

You should contact an attorney or CPA if you wish to receive legal, accounting, or tax advice.

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