Jorge C. Jorge, MBA

📈**Why Are Fixed Annuity Rates Rising?**

Fixed annuity rates are higher today due to:

1. **Interest Rate Hikes**: The Fed’s rate increases boost bond yields, allowing insurers to offer better rates.

2. **Inflation**: Higher inflation means annuity providers need to offer more attractive returns.

3. **Market Shifts**: With a growing demand for safer, higher-yielding investments, annuity rates are climbing.

It’s a good time to reconsider your retirement strategy! 🚀

As advisors, we’re often asked:
* “How much should I save for retirement”
and
* “How much should I start with in order to have financial freedom”

As an advisor, my first question is: “How committed are you to your financial future?”

I can help plan for your financial future as long as your committed to it.

https://www.benzinga.com/amp/content/39214187

Charlie Munger Said If You Want To Be Rich, 'Find A Way To Get Your Hands On $100,000' — And Then 'You Can Ease Off The Gas A Little Bit' Charlie Munger, the late vice chairman of Berkshire Hathaway and Warren Buffett's esteemed business partner, was celebrated for his sharp wit and sage advice. Munger, who passed away just shy of his 100th birthday, left behind a legacy of financial wisdom that continues to inspire.

On average, one is required to distribute approximately 3.5-4% of their deferred tax accounts balance when they turn 73. On $1.4MM, that’s a distribution of around $56k, which will be considered taxable income. You don’t “save” by taking RMDs early, you just pay the tax sooner and potentially reduce the RMD balance once you’re required to take a distribution. The bigger question is: At what rate can one withdraw funds from their retirement accounts and not run out of money?

Had enough of those Financial Advisor posts showing up in your feed?

Americans think they'll need $1.46 million to retire, but they've saved an average of $88,000 according to Northwestern Mutual. Working with a financial advisor can help bridge the gap.

Unfortunately, 40% of workers said they didn’t know who they could go to for financial or retirement advice. Just one-third of workers and retirees polled work with a professional financial advisor according to the Employee Benefit Research Institute.

5 Ways Financial Advisors Can Affect Retirement Savings:

1. Maximizing Tax Efficiency
2. Asset Allocation
3. Portfolio Rebalancing
4. Handling Withdrawals
5. Optimizing Social Security or Pensions

Remember, it’s just a conversation. If you need any tips or advice, I’m here to help.

A Financial Advisor Will Boost Your Retirement Savings Working with a financial expert can kickstart your savings through avenues you don’t even know. A financial advisor can help you identify ways to increase your retirement readiness without sacrificing your current standard of living through optimized tax-efficient investments. Despite advisors of

Love it when a client sends ME a birthday greeting!

Did you know that using annuities and life insurance as charitable contributions can be a strategic move?

Annuities offer regular income streams, ensuring consistent support for the charity over time.

Life insurance policies, especially if no longer needed for family protection, can be gifted to a charity, providing a significant future donation.

Plus, you get the satisfaction of knowing your legacy will continue to make a positive impact long after you're gone. It's like securing your spot in the Hall of Philanthropy!

For those who own a life insurance policy, do you know if the company your with is Mutually or Publicly owned?

A mutual life insurance company is owned by its policyholders, meaning they have a stake in the company's success and typically receive dividends. On the other hand, a publicly held company is owned by shareholders who can trade their shares on the stock market like baseball cards, but sadly, without the gum.

Not to say one is better than the other, but from a product offering, and personal career perspective, I stick with the mutuals.

If you have permanent insurance, you likely received an illustration, along with the contract, to demonstrate how the cash value grows.

Did you know that life insurance cash value can typically be customized based on the policy and options chosen, including investment choices and flexibility in premium payments, death benefits, and access to cash?

I bring this up because, unfortunately, many policyholders are unaware how this crucial component of your policy was initially created, and how it determines your policy premiums or performance. Worse, many ads are targeted to persuade us to cancel our policies without considering how this could affect benefits you’re losing.

Review this with your advisor to determine how the cash value was determined and customized to your specific needs.

Following up on my last post (Annuities 101)

Does your feed include any promotions with images like these?

Is it any wonder why there is so much anxiety for something as basic as achieving a comfortable retirement?

4 Essentials in Saving for Retirement:
1. Put some money away for tomorrow, hopefully grow it - definitely not lose it.
2. Not run out of it.
3. Pay just the right amount of tax.
4. Not have it stolen, or “getting something bad” in order to achieve 1-3

Not meant to bash companies that promote themselves, but scare tactics and images of some guy skiing over a mountain of money, just doesn’t solve for basic retirement planning.

Education is key.

If you want to learn more, I know a guy.

Just ask.

Follow me if you prefer straight talk.

Do you know that not all annuities are the same?

While there are many different strategies and features, there really are 4 basic types.

By definition:
An annuity is a written contract, typically between you and a life insurance company, in which the insurance company makes a series of regularly spaced payments to you in return for a premium, or premiums, you have paid.

4 basic types:
1. Immediate - income stream begins within a year of creating.

2. Fixed - fixed interest rate for a certain number of years. (Think CD with deferred tax benefit)

3. Index - somewhat in the market, with downside protection but limited upside potential.

4. Variable - in the market, underlying assets are typically mutual funds.

How one is placed in your financial, or retirement, strategy depends on a few factors. The main ones being: your age and risk tolerance.

Three key aspects of all types:
1. Costs - depend on options and features
2. Surrender period - time and charges vary among type (Immediate income can not be surrendered)
3. Taxes - not taxed until withdrawals are taken.

I’m seeing a lot of media and propaganda about getting in, or out, of annuities. Before assuming anything, research is essential - especially if you feel like, or are being persuaded to, cancel an existing annuity.

And, as always, make sure to consult with your tax and financial advisor to see which may, or may not, fit in your financial plan.

Do you know the 4 key elements for contributing to a ROTH IRA?
(Stick around for the 5th option at the end)

First: a ROTH IRA allows an individual to contribute after-tax money to mutual funds, but the distribution (including gains), done correctly, are tax-free

#1: Roth IRA contributions won't get you an up-front tax deduction
* You don’t get an immediate tax break like you might with a traditional IRA

#2: The maximum annual contribution is the same for Roth IRAs and traditional IRAs
* $7000 (below 50)
* $8000 (over 50)

#3: You must stay below income limits to contribute (full amount) to a Roth IRA
For 2024
*Single filer: $161,000
*Married / Joint Filer: $230,000

#4: You can contribute to a Roth IRA, even if you have a 401(k), 403(b), or 457 plan at work
*Income limits still apply

Bonus point:
#5 Early withdrawals (before 59 1/2)
could trigger a 10% early withdrawal penalty

Consult your tax advisor to learn more and, yes, we can discuss as well.

Typically, CPAs and accountants will refer to me should any of these apply, to open accounts or discuss other options should a ROTH IRA not work for you.

Happy Friday everyone!

I’m going to provide 3 Fun Tax Facts and, as a bonus, some Fun Activities for the season!

Fun fact #1: the IRS gets a copy of ALL your W2s and 1099s!

Fun Fact #2: it doesn't matter when you can expect to receive these critical forms!

Fun Fact #3: you owe taxes on the income, even if the 1099 doesn’t arrive at all!

Have you received yours?

Well then, here are some Fun things to do if you’re still waiting:

* Make a list of Forms 1099 you expect to receive.
* Check the online portal, if available.
* Watch out for corrected Forms 1099.
* Keep your address current.
* Look for errors and report them ASAP.

Don’t go it alone! Please reach out if you’re unclear on which Form 1099s you might receive, why, or even when.

Always remember to consult your super fun tax, legal, and accounting professionals before modifying your tax strategy.

Who said Tax Season can’t be fun??

Do you know your estimated Social Security benefit amount?
Has it been awhile since you checked?

A question that comes up often from my clients, has been around their social security retirement benefit. Then, the famous question: “will social security even be around when I retire”?

Short answer: Yes, but…

The program is to meant supplement your retirement income, not to be the sole source of earnings during this time. Depending on when you retire, the amount changes.

However, when calculating estimated retirement income streams (401ks, Investments, Rental income, etc) many don’t count their estimated social security income.

If you haven’t already, check yours here and review it with your financial advisor:
https://lnkd.in/ek43QnpJ​​​

Did you know that working with an advisor can add 1.5-4% (net of fees) to your portfolio over the long term?

Here are 5 top reasons to turn to a financial advisor now:

1. You’re starting a family

2. You’re buying or selling a home

3. You’re beginning a new relationship — or ending one

4. You’ve received an inheritance, bonus or other windfall

5. You’re approaching retirement — or want to retire early

When I ask a client how they imagined retirement life before we met…

I saw this on LinkedIn and felt it was necessary to expand on this statistic, as the results are more a matter of numbers, not necessarily economic power, and alludes to an issue we need to talk about.

Looked at another way, a third of all single women household heads were at least 65 years old in 2022, while only 22% of single men household heads were in that age group. This may be because women in the U.S. tend to live longer than men (Pew Research 7/2023)

Which brings up a concerning statistic:

* Financial insecurity currently affects more than 15 million seniors in the United States. Older adults are now facing economic insecurity because of many factors, including:

- Social Security benefits are not enough to live on without additional sources of income.

- Many older adults do not save personal funds for retirement, while others live longer and outlast their savings.

- Healthcare for seniors is costly and now takes a larger share of a senior’s income than in previous decades.

So while we applaud home-ownership, despite demographics, the lessons we can take away are:
Work with a financial professional to make sure that home stays in the family, should you wish, and that our seniors get the financial guidance they urgently need.

The Female Quotient on LinkedIn: Singles in America are snatching up homes—and good for them! Fun fact: did… | 18 comments Singles in America are snatching up homes—and good for them! Fun fact: did you know of the 35.2 million single homeowners in the U.S., 58% are women? 🤓🏠 | 18 comments on LinkedIn

January is a wrap, but what a month with great back-to-back events: Agency Team meeting and Alliance Partnership event to launch 2024 in a big way!

1847financial.com

How does your client justify withdrawing extra funds from their retirement account?

Mine:

(Dear Clients, you should all have received emails from my office to schedule your yearly review. If you haven’t already, or don’t check your emails lol, here it is…)

Hi there!

It’s time to schedule your annual review. I’d like to meet with you soon to review your year-end account statements, and discuss the best way forward for you.

In this meeting, we will discuss your current financial strategy, revisit your goals and objectives, and advise you on any important movements that might help keep your financial plan in top shape.

Please contact me at your earliest convenience so we can schedule this important meeting.

I look forward to hearing from you soon.

Someone asked me: “What was your favorite gift this Christmas?”

My answer: Time spent with loved ones.

It reminded me of this essay by Brianna Wiest…

“Let go of people who are not ready to love you. This is the hardest thing you'll ever have to do in your life and it will also be the most important thing.

Stop having difficult conversations with people who don't want to change.

Stop showing up for people who are not interested in your presence.

I know your instinct is to do everything possible to gain the appreciation of those around you, but it's an impulse that steals your time, energy, mental and physical health.

When you start fighting for a life with joy, interest and commitment, not everyone will be ready to follow you to that place.

It doesn't mean you have to change who you are, it means you have to let go of people who aren't ready to be with you.

If you are excluded, insulted, forgotten or ignored by the people you give your time to, you are not doing yourself a favor by continuing to offer them your energy and your life.

Truth is you ain't for everybody and everybody ain't for you. This is what makes it so special when you find people you have friendship with or mutual love.

You will know how precious it is because you have experienced what is not. There are billions of people on this planet and many of them you will find at your level of interest and commitment.

Maybe if you stop showing up, they won't look for you. Maybe if you stop trying, the relationship ends.

Maybe if you stop texting, your phone will stay dark for weeks. That doesn't mean you ruined the relationship, it means the only thing sustaining it was the energy you only gave to keep it.

That's not love, that's attachment.It's giving a chance to those who don't deserve it!

You deserve so much more. The most valuable thing you have in your life is your time and energy, as both are limited. The people and things you give your time and energy to, will define your existence.

When you realize this you start to understand why you are so anxious when you spend time with people, activities or spaces that don't suit you and shouldn't be near you.

You will start to realize that the most important thing you can do for yourself and everyone around you is to protect your energy more fiercely than anything else.

Make your life a safe haven, where only people "compatible" with you are allowed.

You are not responsible for saving anyone.

You are not responsible for convincing them to do better.

It's not your job to exist for people and give them your life!

You deserve real friendships, true commitments and a complete love with healthy and prosperous people.

Decision to distance yourself from toxic people, will give you the love, esteem, happiness and protection you deserve.”

Happy New Year!
My wish to all is that your time be valued as your greatest asset.

Holiday festivities with some great brothers.

Wishing you all, and your loved ones, a peaceful time filled with joyful moments of celebration.

1847financial.com

Celebrating another record breaking year with the team! Looking forward to an even greater 2024, but taking time to enjoy the moment!

www.1847financial.com

Being thankful is motivating…

On this Veterans Day, I extend my heartfelt gratitude to all the brave men and women who have served our nation. Your sacrifice and dedication to preserving our freedom is truly commendable. We honor and appreciate your service today and every day.

Don’t wait to communicate about what will happen when you pass away. It’s a conversation that matters more than you think.
Take these essential steps for estate planning:
· Communicate your desires & directives
· Create a Living Will
· Discuss Power-Of-Attorney
· Prepay for your Funeral
· Plan your Funeral with Family
· Make a List of your Investment and Bank Accounts
· Provide Someone Access to Bank and Investment Accounts
· Provide Someone Access to Social Media Accounts
Reach out today, and let’s start planning for your financial peace of mind.