How can you simplify your retirement and why does it matter? David shares why you may want to consolidate your retirement savings and the three ways it benefits you.
What’s one easy but important way to simplify your retirement? Instead of making it more complicated than you need to, consolidate it into one retirement bucket to simplify things. On today’s show, David will talk about the three benefits you’ll get once you consolidate.
To start, you’ll have less information to keep track of. Are you juggling between different statements, different custodians, and different beneficiaries? This can be overwhelming and hard to remember everything. Having it all in one place can help you better see what you have and where it’s going.
If you have all of your retirement investments in one place, you’ll have a wider array of options to choose from. Your performance will probably increase because you’ll have access to more and better investment alternatives. Instead of leaving your retirement savings with a former employer, rolling it over to an IRA will give you more flexibility and control.
When it’s time to take out RMDs (required minimum distributions), if you have old 401(k)s with former employers, you will have to take out an RMDs from each account. If you have them rolled over, you can add up the total and take one distribution. But it can be a nightmare and total complication if you have several separate 401(k)s to take distributions from. Not to mention, you don’t want to overlook this and have to pay the penalty if you forget to take out your RMDs from every account you have.
If you’re going to consolidate everything, you’ll want to work with the right advisor to help you. You want someone who will help you manage your plan for you, someone to understand the tax implications, and someone who is a good communicator.
Listen to the full episode or skip around to certain topics.
2:37 - Way less information to keep track of.
4:32 - You’ll have access to more options.
5:35 - RMDs can be a nightmare if they are still with former employers.
7:50 - David shares a client story of someone who needed to consolidate.
“Maybe the biggest benefit is, you’re going to get your beneficiary squared away such that when you die, your money is going to go to who you want it to go to. "
– David Dickens
CONTACT US
OUR LOCATION
10975 Grandview Drive
Building 27, Suite 190
Overland Park, KS 66210
Get Directions
CONTACT US
OUR LOCATION
10975 Grandview Drive
Building 27, Suite 190
Overland Park, KS 66210
Get Directions
We are an independent financial services firm helping individuals create retirement strategies using a variety of investment and insurance products to custom suit their needs and objectives.
Advisory Services offered through CreativeOne Wealth, LLC an Investment Advisor.
Investing involves risk, including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values. None of the information contained on this website shall constitute an offer to sell or solicit any offer to buy a security or any insurance product.
Any references to protection benefits or steady and reliable income streams on this website refer only to fixed insurance products. They do not refer, in any way, to securities or investment advisory products. Annuity guarantees are backed by the financial strength and claims-paying ability of the issuing insurance company. Annuities are insurance products that may be subject to fees, surrender charges and holding periods which vary by insurance company. Annuities are not FDIC insured. Provided content is for overview and informational purposes only and is not intended and should not be relied upon as individualized tax, legal, fiduciary, or investment advice.
The information and opinions contained in any of the material requested from this website are provided by third parties and have been obtained from sources believed to be reliable, but accuracy and completeness cannot be guaranteed. They are given for informational purposes only and are not a solicitation to buy or sell any of the products mentioned. The information is not intended to be used as the sole basis for financial decisions, nor should it be construed as advice designed to meet the particular needs of an individual’s situation.