The advantages of hourly financial planning are becoming apparent to more people.  As more financial advisors slowly adopt this fee structure it is important to examine those advantages and how they serve clients better.  Let’s take a look at how hourly planning financial works, three important advantages, and the best candidates for hourly planning. What...

Some people get this wacky idea to pay down their mortgage faster than their original schedule of payments.  This is a bad plan in many cases!  Why? Let’s assume some variables first: Original mortgage balance – $500,000 Remaining mortgage balance – $478,804 Interest rate – 3% Monthly payment – $2,108.02 Payments made – 24 Payments...

The Solo 401k loan is a very important benefit of a solopreneur’s retirement plan.  IRAs (even SEP IRAs) do not permit loans!  It’s important to follow the rules if you ever need to use this benefit.  In this post, we will explore the specific benefits, pitfalls, and rules of the Solo 401k loan.  By the...

How your financial advisor is paid is one of the most important things to know about them.  It’s important to know not just to know the cost, but to understand how they are incentivized to give to advice.  In this article you will first learn the three ways nearly all advisors can be paid.  Then...

When you choose to work with a financial advisor you make a HUGE decision about the direction of your life.  You must be careful and thoughtful when you make this decision.  There are endless lists of questions you could ask, but this would take a considerable amount of time.  Fortunately, you can quickly weed out...

Asset location is a high value way of increasing your after-tax return by holding investments in accounts with optimal tax treatment.  The term is often confused with asset allocation (which involves the selection of the investments).  Asset location only considers where those investments are held.  The three groups of tax classification are: Tax-as-you-go Tax-deferred Tax-free Let’s...

Have you ever asked how to manage your investments yourself?  Look no further.  You are about to learn how to manage your investments with eight important steps to build wealth and reach your goals. Remember, it’s not just about learning these techniques, but using them effectively.  All the knowledge in the world is useless without...

Your Solo 401k contribution due date depends on whether you have a sole proprietorship or a corporation.  If you have a corporation the employee deferral and the employer profit share are due at two different times.  It is very important to make your contributions by the correct due date to keep your plan in compliance. ...

Do you know how to pick a 401k plan administrator? This post will teach you exactly what you need to consider to make your choice. Your Solo 401k comes with additional responsibility compared to other retirement plans (like IRAs and SEP IRAs).  One additional responsibility is plan administration.  The administrator is responsible for making sure...

Your contributions to your Solo 401k don’t just reduce your taxable income, they are make you eligible for extra tax credits and deductions.  Adjusted Gross Income (“AGI”) is often the input in determining whether you are eligible for tax credits and deductions.  Accordingly, the lower your AGI the more likely it is you will be...