1. Modify your business plan

Each day, we wake up, brew our coffee or tea, tap the news app on our smartphone, and watch as the world has inevitably changed again or is undergoing some transformation; generally, it seems these days, technologically. One thing that never changes is how the world is constantly evolving, and if you are a business owner, staying on top of these changes is critical to working to ensure your business plans and strategy remain aligned with your financial and business goals.

It is critical to regularly review your business plan and modify it when necessary. An excellent example of a company that not only evolved with the changing world and market and did so by reinventing themselves is Netflix. Netflix was founded in 1997 as a mail-order subscription DVD company. As technology changed and developed, providing viewers the opportunity to stream movies instead of having to rent one, the industry changed, and Netflix changed with it. They modified their business plan and model, which has proved to work so far.

2. Revise your target operating model (if necessary)

The target operating model encompasses the principles of your business and a comprehensive scope of the business blueprint. It allows business owners to pursue a more strategic approach capable of absorbing changes in technology, customer interest, local demographics, business growth, and product diversity and evolving to supply new demands.

3. Explore potential growth opportunity

With the competition businesses faced, the need to stand out and stay relevant is part of the willingness to seek growth opportunities when they present themselves or create new opportunities. To do this often requires business owners to step outside their comfort zone, adopt new trends that may radically transform the way they do business, and view the changing business landscape as a breeding ground for innovation and new ways to problem solve while staying true to your values and beliefs.

4. Study your target market

What is impacting the market at any given time? Is your business affected? Can you capitalize on it or mitigate unnecessary risk? Businesses can study the market to learn more about customers’ changing needs and preferences. As the business landscape becomes more crowded with new companies planting roots, how can you get a competitive advantage? There are a lot of questions that arise when it comes to studying your target market.

5. Consult your financial professional

The financial decisions you make are critical to the growth and evolution of your business. Taking the initiative to consult a financial professional could help you revise your overall business plan and strategy, mitigate any unexpected risks or obstacles, and help reduce financial stress by being prepared.

Important Disclosures:

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.

All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.

This article was prepared by LPL Marketing Solutions

Sources:

Netflix History, Founding & Popular Shows | Study.com

The Importance of Regularly Reviewing and Updating Your Business Plan (linkedin.com)

The Importance Of Embracing Change In Business (forbes.com)

End-of-Year Review Tips for Small Businesses to Finish Strong (yourdigitalresource.com)

KPMG Target Operating Model – KPMG Global\

5 Things To Do After Launching Your Business – Rocket Lawyer

LPL Tracking # 508625

The post You started a business: Now what? appeared first on Tribox Private Wealth.

Many Eggs, Many Baskets

As the adage goes, you never want to put all your eggs into one basket—and jumping headlong into a financial strategy recommended by one person does just that. What if their advice is outdated or does not fit your particular financial situation? What if the person providing the advice may actually be receiving a commission based on the products you select? By getting a second opinion, you will have a stronger strategy and a way to confirm that the initial advice you received was either on target or not suitable for you. 

Another benefit of a second financial opinion is that it can encourage you to reevaluate and reassess your goals. If your personal, employment, or financial situation has changed since the last time you reviewed your portfolio, it is an excellent time to make sure these changes are taken into account in future decisions. You may also need to reevaluate your investments or rebalance your asset allocation. 

Finally, by getting a second opinion, you will also have a chance to compare the costs and fees charged by different financial professionals. You may discover that you are happy to pay a higher fee for more tailored advice; on the other hand, you may decide that your financial situation does not warrant advice from someone whose fees are more at the high end of the scale.

When You May Need a Second Opinion

Situations in which you could benefit from a second opinion include:

• You are a DIY investor. If you have been managing your own investments, it is a good idea to bring in a professional to give your portfolio a top-to-bottom review. You may discover some opportunities you have missed. 
• You have been using the same financial professional since you began investing. If the second opinion matches up with your original financial professional’s advice, you may feel more confident that you are on track. If this advice is different, you will know there is a disconnect somewhere and can work to track it down.
• You do not have a relationship with a financial professional. If you have not yet partnered with a financial professional, you may not be aware of all the services and strategies available. It is important that any financial professional you choose is a good fit for your style and financial situation. An initial interview can help you assess their investment strategies, values, and principles before you become a client. 

There are more circumstances in which a second opinion may be warranted, but these three situations cover a great deal of ground. If you’re concerned about taking your next financial steps or just want a comprehensive review of your balance sheet, a financial professional can help.

Schedule Your 15-Minute Phone Call Today!

In our 15-minute call, we’ll learn more about you and your situation to ensure we’re a good fit.

We are dedicated to providing expert advice tailored to your specific situation.

Schedule a call today!

Important Disclosures

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.

Investing involves risks including possible loss of principal. No investment strategy or risk management technique can guarantee return or eliminate risk in all market environments.

Rebalancing a portfolio may cause investors to incur tax liabilities and/or transaction costs and does not assure a profit or protect against a loss.

Asset allocation does not ensure a profit or protect against a loss.

This article was prepared by WriterAccess.

LPL Tracking #1-05318847

The post The Benefits of Getting A Second Financial Opinion appeared first on Tribox Private Wealth.

Understanding Capital Gains

First, having a good understanding of the concept of capital gains is crucial. In simple terms, a capital gain is the increase in value of an investment or real estate beyond its purchase price. However, this gain is unrealized until the investment sells. The resulting profit from a sale is taxed at a rate that depends on how long the investment was held. Capital gains taxes apply only to capital assets, which include stocks, bonds, digital assets like cryptocurrencies and NFTs, jewelry, coin collections, and real estate.

The current tax law provides for two types of capital gains: short-term capital gains for assets held for less than one year and long-term capital gains for assets held longer than one year.

Be Aware of Tax Laws

Tax law changes must be an essential part of your year-end planning because it determines the amount of taxes you may be obligated to pay. Financial and tax professionals can help you prepare for recent tax law changes that may impact your situation.

For the 2023 tax year, individual filers won’t pay any capital gains tax if their total taxable income is $44,625 or less. The rate jumps to 15 percent on capital gains if their income is $44,626 to $492,300. Above that income level, the rate climbs to 20 percent.

For 2024, it’s anticipated that the capital gains rates will not change, but the income brackets for the rates will change.

Tax-efficiency

A key element of tax planning is understanding and implementing strategies to help minimize taxes. One tax-efficient strategy involves timing the sale of your assets to help capitalize on the federal tax code’s distinction between long-term and short-term capital gains. For example, if an investment has been held for one year and one day, it qualifies for the lower long-term capital gains rate. Depending on the situation, an investor may hold off on selling an investment if approaching that one-year mark since doing so may help lower their overall tax bill.

Focusing on tax-efficient investing is also vital. Tax-efficient investing involves using strategies designed to help manage tax liability. These strategies may include investing in tax-efficient fund options, index funds and exchange-traded funds (ETFs), or asset location – a strategy that involves placing investments that may generate more taxable income into tax-advantaged accounts.

Offsetting Capital Losses

Capital loss offsetting is another component of the year-end tax planning strategy. Capital losses result when you sell an investment for less than what you paid. The losses can then be used to offset capital gains to help manage the overall taxable income. Be mindful, however, that the IRS has restrictions on “wash sales,” which occur if you sell a security at a loss and then buy the same or substantially identical security within 30 days before or after the sale.

In conclusion, year-end tax planning is essential for managing capital gains. Discussing your situation with financial and tax professionals can help mitigate your tax liability and potentially increase your investment’s net return. Remember, the key is not only about how much your investments earn but also how much you keep after taxes.

Important Disclosures:

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial professional prior to investing.

An investment in Exchange Traded Funds (ETF), structured as a mutual fund or unit investment trust, involves the risk of losing money and should be considered as part of an overall program, not a complete investment program. An investment in ETFs involves additional risks such as not diversified, price volatility, competitive industry pressure, international political and economic developments, possible trading halts, and index tracking errors.

This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor.

All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.

This article was prepared by Fresh Finance.

LPL Tracking #491273-04

Sources:

The post Year-End Tax Planning Considerations for Capital Gains appeared first on Tribox Private Wealth.

Here’s a closer look at seven essential areas where reviewing may enable you and your loved ones to better navigate the path to financial success.

Financial goals

As the year comes to an end, be sure to revisit your financial goals. Are you saving for a major purchase, retirement, or education or working to reduce your debt? Take stock of your progress toward these endeavors, and make note of any changes in your circumstances, such as a new job or additional educational expenses. This will help you better understand how you need to adjust your current spending and saving habits accordingly.

Budget

You should also examine your family budget to see how well you’ve adhered to it throughout the year. Look for specific areas where you need to cut back or reallocate funds to better align with your short- and long-term goals. If your family doesn’t currently follow a budget, create one for the upcoming year. It can allow you to make more informed decisions by making clear how much your family brings in and where that money goes each month.

Retirement contributions

For any of your retirement savings accounts, such as a 401(k) or IRA, consider maximizing your contributions before the deadline at the end of the year. These contributions may reduce your annual taxable income, which can help when Tax Day rolls around. And, ultimately, the more you invest in your retirement accounts, the more you’ll benefit from compounding interest over time.

Tax planning

The end of the year is an excellent time to begin planning for the coming tax season. Start by gathering all the necessary documents you can, including your previous year’s tax return and receipts for business expenses, charitable donations, and medical expenses. Have each household member check that their employer has their current address so their tax forms arrive in a timely manner. And if your family experienced any big changes this year, including the birth of a child or a divorce, you may need to update your filing status before completing your next tax return.

Insurance coverage

It’s important to review and update your health insurance policy before the end of the year to make sure you and your family have the coverage you need. It’s also a good idea to look at your other policies, including auto, home, and life, before the year ends. Discuss any recent life or household changes with your various insurance agents to better ensure you have the right coverage for your situation.

Estate planning

Especially if there’s been any major developments in your life this year, be sure to update your will, powers of attorney, and beneficiary designations to reflect your current situation. If you don’t have these documents in place, consider consulting with an estate attorney to get started. Estate planning may not necessarily feel essential, but it can help protect your loved ones during a time of uncertainty.

Emergency fund

If you haven’t already, create a plan for building an emergency fund. It’s recommended that you save enough to cover between three to six months of your total living expenses. While that might seem like a lot, building this fund can help protect your family should you experience any financial setbacks in the coming year. And if you had to use a portion of your emergency fund this year, develop a strategy for building it back up in the next few months.

When you take the time now to assess your family’s financial situation, you can set yourself up for a more secure and prosperous future.

Important Disclosures

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial professional prior to investing.

Contributions to a traditional IRA may be tax deductible in the contribution year, with current income tax due at withdrawal.  Withdrawals prior to age 59 ½ may result in a 10% IRS penalty tax in addition to current income tax.

This information is not intended to be a substitute for specific individualized tax or legal advice. We suggest that you discuss your specific situation with a qualified tax or legal advisor.

This article was prepared by ReminderMedia.

LPL Tracking #489961-02

The post Year-End Financial Planning for Families appeared first on Tribox Private Wealth.

In today’s rapidly evolving business environment, standing still is not an option. The companies that thrive are those that innovate, adapting to change and embracing new technologies.

Innovation is more than just a buzzword – it’s a vital strategy for future-proofing your business. Here’s how small businesses can leverage innovation and benefit from a range of financial credits and incentives.

Research Credit: A Catalyst for Technological Advancement

The Research Credit, also known as the Research & Experimentation Tax Credit, offers a dollar-for-dollar reduction in federal income taxes. It aims to encourage businesses to invest in research and development, stimulating technological progress.

Whether you’re developing new products, refining existing processes, or exploring uncharted territories in your industry, this credit makes innovation more financially viable for businesses of all sizes.

Commercial Clean Vehicle Credit:      

Driving Eco-Friendly Solutions

Environmental sustainability is no longer just a trend – it’s a responsibility. The Commercial Clean Vehicle Credit, available under Internal Revenue Code (IRC) 45W, assists businesses that purchase qualified commercial clean vehicles.

This incentive not only reduces your company’s carbon footprint but also positions your brand as an industry leader in eco-friendly practices. It’s a win-win for both your bottom line and the planet.

Alternative Fuel Vehicle Refueling Property Credit: Energizing Green Transportation

As the world moves towards cleaner energy, businesses can capitalize on the Alternative Fuel Vehicle Refueling Property Credit. This initiative supports companies transitioning to alternative fuels or those providing cleaner fueling options to the public.

If your business operates a fleet of vehicles or is in the fuel supply chain, this credit can facilitate your shift to greener alternatives, promoting sustainability and energy independence.

Utilizing These Incentives Strategically

Utilizing these incentives requires a careful understanding of the eligibility criteria and application process. Collaborating with tax professionals or specialized agencies can help you navigate these complexities.

The Bigger Picture:

Cultivating a Culture of Innovation

Beyond these specific credits and incentives, adopting a culture of innovation can lead to organic growth and competitiveness.

Encourage creativity, foster collaboration, invest in continuous learning, and be open to failure as a pathway to success.

The Future is Bright

Innovation and “looking forward” incentives are more than just opportunities to save on taxes – they are investments in the future of your business.

By leveraging these credits, small businesses can pave the way for growth, sustainability, and success in an ever-changing landscape.

Don’t let your business be left behind. Embrace innovation, take advantage of these incentives, and lead your business confidently into the future.

Important Disclosures:

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.

This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor.

This article was prepared by FMeX.

LPL Tracking #1-05377832

The post Fueling Growth For Your Small Businesses appeared first on Tribox Private Wealth.

Now, let’s flip the script for a moment and talk about something just as important, if not more so – your business. How much time do you invest in planning, strategizing, and calculating the moves that will take your small business to the next level?

Velocity of Money in Fantasy Football

In economics, the concept of the “velocity of money” refers to how fast money changes hands in an economy, stimulating growth and prosperity. The quicker money circulates, the better it is for the economy. Similarly, in fantasy football, the more quickly you adapt and change your roster according to the situation, the more points you generate.

Velocity of Money in Business

Now let’s apply that concept to your business. The time you spend planning and strategizing for your business increases the “velocity” of growth. This means, the quicker you act on opportunities, make changes, or even pivot if something isn’t working, the more your business benefits. And just like in fantasy football, you have to be agile, alert, and responsive to the changing market conditions.

Time Investment Multiplier

Consider this: what if the 4 hours a week you spend analyzing player stats, trade possibilities, and match-ups in fantasy football were directed towards enhancing your business strategy? That’s about 208 hours a year! Imagine the projects you could launch, the marketing strategies you could develop, or even the additional clients you could reach.

Time is the one resource that, once spent, you can’t get back. The question then becomes: How are you dividing your time to generate the best returns? You don’t necessarily have to give up on your passion for fantasy football, but a little balance could tip the scales in favor of your business success.

This fantasy football season, let’s also kick start a season of planning, growth, and success for our businesses.

Important Disclosures:

Securities offered through LPL Financial. Member FINRA/SIPC. Investment advisory services offered through NewEdge Advisors, LLC, a registered investment adviser. NewEdge Advisors, LLC and Tribox Private Wealth are separate entities from LPL Financial.

LPL Tracking #478364

The post Fantasy Football vs Business Planning: The Velocity of Time & Money appeared first on Tribox Private Wealth.

When it’s time to withdraw funds from the 529 plan, you must follow the IRS rules to mitigate penalties. Here is everything you need to know about 529 plan withdrawals:

Decide how much to withdraw- You can take as much money from the 529 plan to cover qualified secondary education expenses without taxes. For K-12 expenses, you should consult your financial and tax professionals because the allowable costs may differ from year to year.

You must take 529 plan distributions during the same year you paid for the qualified expenses because you will need to note this information when you file taxes.

Determine which expenses are qualified. It’s essential first to determine which expenses are qualified for tax purposes to avoid the 10% penalty plus taxes on the accumulation. Add up the costs for these items for the calendar year for tax filing and reporting purposes:

• Tuition and fees
• Books and supplies
• Computers
• Equipment for a class requirement or obtaining a degree

Note that these expenses are not considered qualified:

• Room and board
• Transportation
• Meals

How to avoid tax penalties- 529 plan account owners can withdraw any amount, but only qualified distributions will be tax-free. If you use 529 monies for non-qualified expenses, a 10% penalty will apply to the taxable portion of your withdrawal, plus federal income tax at your tax rate.

Note that the earnings portion of any non-qualified distributions must be reported on the account owner’s or the beneficiary’s federal income tax return.

Get your 529 plan documentation in order- Form 1099-Q, issued by the 529 plan custodian, will list the amount of the 529 plan distribution. Form 1098-T, issued by the education institution, will detail how much of the 529 plan distribution was used to pay tuition and fees. However, it is up to the 529 plan account owner to calculate the taxable portion when filing taxes. For this reason, 529 plan owners must consult their tax professionals to ensure accurate 529 reporting at tax time.

How to withdraw money- Generally, 529 plan owners can withdraw funds by completing a withdrawal form online on the 529 plan’s website. In some instances, they may be able to initiate withdrawals by phone. A third method is manually filling out a withdrawal form and sending it to the 529 plan custodian.

529 plans are an essential way to save for education that may provide tax advantages when used for qualified education expenses. If you have questions about establishing a 529 plan or withdrawing from an existing one, your financial professional can help.

Important Disclosures:

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial professional prior to investing.

Prior to investing in a 529 Plan investors should consider whether the investor’s or designated beneficiary’s home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in such state’s qualified tuition program. Withdrawals used for qualified expenses are federally tax free. Tax treatment at the state level may vary. Please consult with your tax advisor before investing. Non-qualified withdrawals may result in federal income tax and a 10% federal tax penalty on earnings.

This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor.

All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.

This article was prepared by Fresh Finance.

LPL Tracking #1-05375334

Sources:

The post Everything You Need to Know About 529 Plan Withdrawals appeared first on Tribox Private Wealth.

Are you financially prepared for a life-changing event? This checklist is the first step to help you prepare for these events now or in the future.

☐  Getting married

Getting married is an exciting time. Two people have fallen in love, and whether it is their first time at the altar or they are giving it a second chance, they are preparing to spend a lifetime together. However, weddings are not just about champagne, cake, and presents. It also combines two lives into one: physically, emotionally, and financially.

One of the most common stressors that couples face in marriage is their financial situation. Consulting a financial professional as you transition into married life may help mitigate some of the unease and unforeseen challenges that appear. A few things a financial professional could help you with include:

• Creating a budget

• Designing a savings plan for retirement goals
• Preparing an emergency account for unexpected events
• Learning about and planning for possible risks

☐  Buying a house

A home might be the largest purchase you make in a lifetime. Financial professionals do more than help you budget and create strategies for retirement. They can also help people when it comes time to buy a house. There are financial aspects to purchasing a home that can blindside homebuyers later on down the road. Learning what steps to take beforehand can help you mitigate unnecessary issues in the future. Some of these concerns may include:

• What is your break-even point and how long will it take to recoup the costs?
• Do you have the cash for the down payment (enough not to have to pay private mortgage insurance and an additional monthly fee to protect the lender from a default on your loan) and for closing costs?
• Besides the mortgage, what other expenses should you be aware of?  Are you prepared to pay for homeowners insurance, property taxes, utilities, and other unforeseen costs?
• Would a down payment assistance program affect your short-term or long-term financial goals?

☐  Birth of a child

Raising children is a costly undertaking. According to CNBC, raising a child costs more than $230,000 for a middle-class couple until the child leaves home, and that doesn’t include college expenses. More than ever before, parents are turning to financial professionals for help with navigating their financial circumstances as they plan how to pay for childrearing expenses. Although these numbers will not be the same for everyone, here are a few annual costs involved in raising a child to consider:

• Childbirth or adoption: $4,500 to $43,000
• Housing: $3,750
• Food: $2,794
• Healthcare: Can vary significantly
• Daycare and education: $37,400
• Clothing, Toys, and Miscellaneous: $2,856
• Transportation: $1,947

☐  Changing jobs

You might be switching jobs or embarking on a new career path, and it is an exciting time; however, depending on the circumstances, it can also be stressful. How can a financial professional assist you? Each person’s situation is different, but some decisions you may encounter that could affect your financial plans include:

• Comparing benefit packages or incentive stock options
• Enrolling in your new retirement plan
• Deciding what to do with your old retirement account
• Determining the new job’s impact on current and long-term strategies
• Potential relocation costs

☐  Saving for college

The cost of a four-year college these days is closing in on the cost of a medium-sized house, and in 2023, the average cost of attending a four-year U.S. college will be $28,210 for residents and $38,394 for out-of-state students annually. The cost to attend a private four-year school is even higher at $43,795.

If a young parent begins saving for their child’s college at birth, perhaps $500 a month and assuming an annual return of 6%, when the child reaches 18, you could potentially have around $190,000. A financial professional can help parents determine which college savings plans could work with their financial strategy. Here are some options to consider:

• Financial aid and scholarships
• 529 plan
• Coverdell Education Savings Account
• Custodial accounts
• Personal savings
• Permanent life insurance

☐  Death of a spouse

Losing a spouse is one of the most difficult events we can experience. Along with coping with the grief and managing a funeral, the surviving spouse will also have financial decisions that require their attention, for example:

• Managing tangible assets and updating what is needed
• Updating financial accounts
• Preparing funeral and memorial service expenses
• Reviewing short-term financial concerns
• Reviewing long-term financial goals and strategy

☐  Divorce

In the United States, 35%-50% of first marriages and 60% of second marriages end in divorce. Although each situation will be unique, overall, the divorce process can be emotionally draining and financially complex. Consulting a financial professional can help you learn more about your current circumstance and how post-divorce may impact you financially. Helpful documents a financial professional might analyze to help you manage your finances through this difficult time may include:

• Bank statements
• Bills
• Credit card statements
• Life insurance policies
• Documentation of other income streams
• Mortgage statements
• Investment portfolio statements
• A list of debts
• Pension information

☐  Diagnosis of a terminal illness

When a doctor diagnoses a loved one with a terminal illness, it is a very emotional time. There will inevitably be financial implications and people experiencing the impact of the diagnosis may find it challenging to consider these decisions with a clear mind. A financial professional can help families develop a financial plan and get their affairs and assets in order according to their wishes. Here are a few estate planning steps to consider:

• Organize legal, financial, and other important documents
• Update beneficiaries
• Create a plan for health care expenses
• Designate a durable power of attorney
• Arrange care for any dependents
• Consider options for end-of-life care

☐  Planning for aging parents

Taking on the responsibility of caring for aging parents can be rewarding. However, it may also be emotionally and financially daunting. There are health care and home care costs, housing expenses, and an uncertain amount of time involved. Making these decisions should be considered with both compassion and clarity so you can better plan for your parents’ health care needs. It is a sensitive topic and, as a third party, a financial professional may be able to help you explore your options and assist with:

• Budgeting both short-term and long-term fiduciary responsibilities
• Performing a comprehensive review of all assets and debts
• Create a manageable strategy for paying debts down
• Setting up payment plans for ongoing expenses
• Preparing for unexpected costs or emergencies

☐  Starting a business

When you decide to start a business, many moving parts come into play and you could face numerous financial challenges and complexities. Business owners create businesses for a number of reasons, from a love of the industry to financial viability. However, all business owners have something in common: financial decision-making. Whether you are in the startup phase or you have been in business for years, working with a financial professional can help you:

• Manage any mistakes that might occur
• Navigate the risks involved with financial decisions
• Design short-term and long-term strategies and goals
• Provide guidance on keeping your personal and business finances separate
• Create money management and budgeting strategies

Are you ready to start planning your future today?

Inevitably, some events that happen to us will be life-changing; however, with a little help and preparation, these events don’t have to lead to financial ruin or hardship. As Benjamin Franklin once said, “By failing to prepare, you are preparing to fail.” Planning today is the first step to a confident tomorrow. Whether you are embarking on a new journey and need some direction or looking for someone to help you navigate and update your old financial roadmap, schedule an appointment with your financial professional and start planning your future today.

Sources:

Things Financial Planners Wish You Knew About Buying a Home (realtor.com)

2023 Average Cost of U.S. colleges (collegetuitioncompare.com)

Here’s some advice financial advisors offer to new parents (cnbc.com)

Divorce Rate by State 2023 (worldpopulationreview.com)

A Guide to Divorce Financial Planning (2023) (survivedivorce.com)

A Breakdown of the Cost of Raising a Child – The Plutus Foundation

Managing Finances During and After Divorce: 8 Considerations | Comerica

Important Disclosures

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) or insurance product(s) may be appropriate for you, consult your financial professional prior to investing or purchasing.

Prior to investing in a 529 Plan investors should consider whether the investor’s or designated beneficiary’s home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in such state’s qualified tuition program. Withdrawals used for qualified expenses are federally tax free. Tax treatment at the state level may vary. Please consult with your tax advisor before investing.

Please keep in mind that insurance companies alone determine insurability and some people may be deemed uninsurable because of health reasons, occupation, and lifestyle choices.

This information is not intended to be a substitute for individualized legal advice. Please consult your legal advisor regarding your specific situation.

All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.

This article was prepared by Marketing Solutions.

LPL Tracking #1-05372847

The post A Financial Checklist for Life-Changing Events appeared first on Tribox Private Wealth.

1. To Ensure the Business Will Continue

One of the biggest reasons small business owners purchase life insurance is for the continued survival of their business after their death. When a small business owner passes, finding people to replace their responsibilities and deal with all of the costs of succession may be an unnecessary struggle. A life insurance policy will help your business to find a suitable replacement for your duties, help pay off business debts to improve company cash flow and provide the company with the funds to handle unexpected expenses that may come up. If you have a life insurance policy with a cash value, you will also have the ability to tap into those funds if the business is struggling. This is an added benefit many life insurance policies may bring.¹

2. To Satisfy a Partnership Agreement

You probably have a partnership agreement if you own a small business with others. These agreements plan for the event of death or disability of one of the partners. In most agreements, the remaining partners will be able to buy out the shares of the partner who passed or became permanently disabled. Even when business is good, it may be difficult for the other partners to buy the shares from the survivor’s family, depending on their equity. The life insurance policy will often be used to buy these shares from the deceased partner’s heirs.¹

3. It May Be Required for a Loan

Suppose you fund your business with a small business loan or have taken one out to gain additional capital. In that case, the bank may require a Buy/Sell agreement and life insurance policy for the business owners that are guaranteeing the loan. While this is not always a requirement and will depend on the loan amount, the bank, and their underwriting requirements, it may be expected if the lender suspects the business may struggle if the owner were suddenly gone. Essentially, the bank will want to ensure that their debt will be covered in the event of your death, which means the policy will typically need to be a larger amount than the loan debt if required.²

Important Disclosures:

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual or business owner. To determine which insurance product(s) may be appropriate for you, consult your financial professional prior to purchasing.

This information is not intended to be a substitute for individualized legal advice. Please consult your legal advisor regarding your specific situation.

All information is believed to be from reliable sources; however LPL Financial makes no representation as to its completeness or accuracy.

This article was prepared by WriterAccess.

LPL Tracking #1-05361929

^Footnotes:

¹ “Life Insurance For Business Owners: Types, Tips & More,” Forbes https://www.forbes.com/advisor/life-insurance/life-insurance-for-business-owners/

²  ”Protect the Future of Your Small Business With Life Insurance—Yes, Life Insurance,” All Business, https://www.allbusiness.com/protect-the-future-of-your-small-business-with-life-insurance-104608-1.html

https://www.irs.gov/pub/irs-pdf/p3998.pdf  (found on this IRS site- https://www.irs.gov/retirement-plans/retirement-plans-for-small-entities-and-self-employed)

The post 3 Ways Life Insurance Can Help Small Business Owners  appeared first on Tribox Private Wealth.

The month of August is when many parents are preparing to send children back to school this fall. While the checklists grow and the kids soak in the last few minutes of summer break, it’s important to remember college planning and back-to-school shopping. While getting an education can be difficult at times, paying for it can feel like climbing up an unending hill. More and more adults are going back to school, so this doesn’t just apply to kids.

According to the U.S. Census, in the 40+ years since 1980, college costs have increased by 169% – while earnings for workers between the ages of 22 and 27 have increased by just 19%.

Rising Costs of College

Today, the average cost for college – which includes tuition, room and board, and supplies – is $54,800 for private colleges and $27,330 for public in-state colleges (that rises to $44,150 for public out-of-state students).

Planning ahead for your children’s education can alleviate the burden on your family when you or your student must write a check or take out an education loan.

College Savings Plans

College savings plans offer many great benefits. For example, some taxpayers are eligible for a state income tax credit of up to 20% of contributions to a 529 account, which can add up to thousands of dollar per year. With a 529 plan, you put away money that grows tax-free, as long as you use it on education.

These types of savings accounts are also very flexible. Just because a student has a 529 account set up in Kansas, doesn’t mean the assets cannot be used to attend a school in California or Texas, as long as the institution is eligible under the specific 529 rules.

Many plans allow for hundreds of thousands of dollars per beneficiary to be held in a 529 account, with few income or age restrictions.

Another great benefit of a 529 is the donor retains control of the account and makes the decision for when withdrawals are made and for what reason.

Talk to Your Financial Professional

It’s important to consult a financial professional or a 529 plan manager with specific questions regarding how each state’s plan works.

Back-to-school season is a great time to teach children and young adults about budgeting and giving priorities to certain purchases. While parents get ready for that time of the year where they make sure lunches are made and homework is completed, it’s wise to look ahead and begin, if they have not already, planning for their kids’ college education.

With rising tuition costs, the earlier you start planning and saving, the easier sending a child off to school can be.

Important Disclosures

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual security. To determine which investment(s) may be appropriate for you, consult your financial professional prior to investing.

Prior to investing in a 529 Plan investors should consider whether the investor’s or designated beneficiary’s home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in such state’s qualified tuition program. Withdrawals used for qualified expenses are federally tax free. Tax treatment at the state level may vary. Please consult with your tax advisor before investing.

All information is believed to be from reliable sources; however LPL Financial makes no representation as to its completeness or accuracy.

This article was prepared by FMeX.

LPL Tracking # 1-05317563

The post Reading, Writing, and Education Planning appeared first on Tribox Private Wealth.