Episodes

  • Top Tax Mistakes to Avoid with Steven Jarvis, #207

    Top Tax Mistakes to Avoid with Steven Jarvis, #207
    Jun 25 2024
    What are some of the biggest tax mistakes you should be avoiding when you file taxes? CPA Steven Jarvis has worked on thousands of tax returns. He focuses on helping people who have a long-term focus. He wants to make sure his clients only pay every dollar they owe and nothing more. It’s not about getting a big tax return. It’s about looking at the long-term picture and being proactive. We dig in and dissect the top tax mistakes you need to avoid in this conversation. You will want to hear this episode if you are interested in... [3:02] Making proactive choices to impact your taxes[4:47] Learning about the foreign tax credit[6:43] Rollovers from 401Ks to IRAs[11:01] Equity compensation and severance pay[13:07] Managing advanced charitable giving strategies[21:10] What you need to know about HSAs[26:32] Pay what you owe—and nothing more Rollovers from 401Ks to IRAs You’ll likely roll over a 401K to an IRA only once or twice in your life. In theory, it should be simple—as long as the rollover is treated as a non-taxable event. It needs to be reported on a 1099-R form, which can be confusing. Tax-adjacent events go on your tax returns but you should not be taxed on them. If you’re working with a tax professional, you need to communicate that you’re doing a rollover. Before the tax return is filed, make sure you look it over to see if your income changed. If it has—and it shouldn't have—a rollover being improperly filed may be the culprit. Managing advanced charitable giving strategies A qualified charitable distribution (QCD) allows you to make a charitable contribution directly from an IRA to a charity. If you donate $1,000, you may save $200–$300 in taxes. If it’s a charity that you care about, great. But if you’re not charitably inclined, spending $1,000 to save $300 doesn’t make sense. But there are some other tax benefits. A QCD comes out of your income before your adjusted gross income is calculated. Why does that matter? Your adjusted gross income is part of the calculation to determine how much you pay for Medicare. Reporting this correctly is key. Most custodians don’t report how much money went to a charity because the IRS hasn’t created a way for them to do it. That’s why you (or your financial planner) must provide this information when your taxes are filed. I will send a breakdown of QCDs, distributions, etc. to my clients so they can report it properly. What you need to know about HSAs Steven sees people penalized for over-contributing to HSAs because the form (8889) is confusing and people fill it out incorrectly. That’s the #1 thing you have to watch out for with these. One of the advantages of an HSA is that it can grow tax-free. If you can pay medical expenses from another source while funding the HSA, you’ll also get a tax deduction. If you don’t need the money for qualified medical expenses down the road, you’ll just have to pay taxes on the money (which you can remove at age 65 without any penalties). If you keep track of your HSA-eligible expenses as you go, and have sufficient documentation, you can also request reimbursement for things that happened in the past. What other issues does Steven find himself correcting frequently? Learn other tax mistakes to avoid in this episode. Resources Mentioned Retirement Readiness ReviewSubscribe to the Retire with Ryan YouTube ChannelRetirement Tax Services PodcastSteven’s book, “Don’t Get Killed on Taxes”Connect with Steven on LinkedIn Retirement Tax Services Connect With Morrissey Wealth Management www.MorrisseyWealthManagement.com/contact Subscribe to Retire With Ryan
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    29 mins
  • Understanding Current Trends in ETFs with Matthew Bartolini, CFA, CAIA, #206

    Understanding Current Trends in ETFs with Matthew Bartolini, CFA, CAIA, #206
    Jun 18 2024

    What are the current trends with ETFs? What’s happening in the fixed-income market? How can investors tackle current challenges? Matthew Bartolini, CFA, CAIA—the head of ETF Research at State Street Global Advisors—joins me to dissect the ETF market and how investors can handle volatility.

    Matthew believes the ETF market will only continue to grow and create opportunities for long-term wealth. He shares how to navigate the factors that impact the market—including Federal Reserve policy, elections, and general trends—in this episode of Retire with Ryan.

    You will want to hear this episode if you are interested in...
    • [1:30] Learn more about Matthew and State Street
    • [2:27] The research on investing and election years
    • [4:54] The current trends in Exchange-Traded Funds (ETFs)
    • [9:20] What’s happening in the bond market
    • [11:21] Balancing risks while prioritizing diversification
    • [13:52] Understanding volatility and yield curves
    • [15:37] Why not put all of your money into corporate bonds?
    • [17:19] The uncertainty we’re facing with the Fed
    • [20:42] Build a strong foundation for your future
    Resources Mentioned
    • Retirement Readiness Review
    • Subscribe to the Retire with Ryan YouTube Channel
    • Connect with Matthew Bartolini on LinkedIn
    • ETF Costs and More with Matthew Bartolini
    • Advanced ETF Concepts with Matthew Bartolini
    • Elections and Equities: The Impact of the US Election on Sector Investing
    • Get more information on trends at SSGA.com
    Connect With Morrissey Wealth Management

    www.MorrisseyWealthManagement.com/contact



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    24 mins
  • How to Evaluate if Your Financial Advisor Is Delivering Value, #205

    How to Evaluate if Your Financial Advisor Is Delivering Value, #205
    Jun 12 2024

    How do you know if your financial advisor is delivering value? Is seeing a financial gain in your investments the only metric you should use? I’ve identified four key areas where your financial advisor should be delivering value to you: Awareness of costs and fees, performance of your portfolio, financial planning benefits, and communication.

    I’ll cover each of these areas in detail in this episode. I’ve also included a checklist you can use to make sure your current financial advisor is delivering value.

    This is Part 5 of a five-part series about financial planners to celebrate the release of my first book, “Fiduciary: How to Find, Hire, and Establish a Trusted Partnership with a Fee-Only Advisor.”

    You will want to hear this episode if you are interested in...
    • [3:03] Area #1: Awareness of costs and fees
    • [9:25] Area #2: How your investments perform
    • [15:32] Area #3: The financial planning provided
    • [17:54] Area #4: Communication
    Resources Mentioned
    • Retirement Readiness Review
    • Subscribe to the Retire with Ryan YouTube Channel
    • Head to RetireWithRyan.com to get this free checklist
    Connect With Morrissey Wealth Management

    www.MorrisseyWealthManagement.com/contact

    Subscribe to Retire With Ryan
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    22 mins
  • What To Expect Once I've Hired A Fee-Only Financial Advisor (Part 4), #204

    What To Expect Once I've Hired A Fee-Only Financial Advisor (Part 4), #204
    Jun 5 2024

    What should you expect once you’ve hired a fee-only financial advisor? Fee-only financial advisors typically offer financial planning, investment management, or a combination of both.

    In this episode, I’ll cover what each process will be like because what you’re hiring your financial advisor to do will determine how your experience will be (and what the relationship will look like).

    This is Part 4 of a five-part series about financial planners to celebrate the release of my first book, “Fiduciary: How to Find, Hire, and Establish a Trusted Partnership with a Fee-Only Advisor.”

    You will want to hear this episode if you are interested in...
    • [0:48] How to Find and Hire a Financial Advisor
    • [2:02] What is financial planning?
    • [3:36] The financial planning process + experience
    • [9:56] Understanding the implementation schedule
    • [12:37] The investment management process + experience
    • [27:15] What we’re covering in part 5
    Resources Mentioned
    • Retirement Readiness Review
    • Subscribe to the Retire with Ryan YouTube Channel
    • Fiduciary: How to Find, Hire, and Establish a Trusted Partnership with a Fee-Only Advisor
    Connect With Morrissey Wealth Management

    www.MorrisseyWealthManagement.com/contact

    Subscribe to Retire With Ryan
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    28 mins
  • How To Find and Hire a Fee Only Financial Advisor (Part 3), #203

    How To Find and Hire a Fee Only Financial Advisor (Part 3), #203
    May 29 2024
    How do you find a fee-only financial advisor who’s the right fit for you? I’ve outlined a detailed process that you can use to not create a list, research your list, and interview and hire the perfect fit for you. I’ll cover it all in this episode. This is Part 3 of a five-part series about financial planners to celebrate the release of my first book, “Fiduciary: How to Find, Hire, and Establish a Trusted Partnership with a Fee-Only Advisor.” You will want to hear this episode if you are interested in... [1:00] What we covered in last week’s episode (Part 2)[4:05] Step #1: Compile a list of financial advisors[9:46] Step #2: Research the list you’ve compiled[15:00] Step #3: Interview your final list of advisors [23:33] What we’re covering in Part 4 of this series Step #1: Compile a list of financial advisors To compile a list of fee-only financial advisors, you need to ask yourself some important questions: Do you want to work with a local advisor that you can meet with in person? Are you willing to work with someone over Zoom or the phone?Is there a specific specialty that you’re seeking? Do you need help with retirement planning, college planning, or business planning? Many advisors specialize in narrow niches (mine is retirement planning for people over 50). Unfortunately, there isn’t one website you check out to find all of the fee-only financial advisors in the United States. However, one of the resources I like to use is the Certified Financial Planner Board of Standards website. This is the governing body through which people obtain their CFP certification. The only downside of the CFP board is that they allow both fiduciary and non-fiduciary advisors to become members. It’s difficult to act as a fiduciary if you’re a broker or carrying an insurance license. If you do work with a CFP, I always recommend working with one that’s fee-only. You can use any of the sites in the resources below—filtered by location and specialty—to compile a list of potential options. Step #2: Research the list you’ve compiled Start by heading to a financial planner’s website and poking around a little. If they state that they’re a fee-only financial advisor, confirm that. What do they offer? Do they offer financial planning only? Or do they only offer ongoing advice and investment management? Research their background by using BrokerCheck. You don’t want to find them there. Instead, you’d hope to see that they were previously registered (but no longer are). Head to Investment Adviser Public Disclosure to see if they’re a Registered Investment Advisor. They can be registered as brokers and insurance agents as well as an IAR. Look up the specific firm and find their “ADV.” The ADV is a disclosure document that every RIA has to file. This is an easy way to find out if they’re a broker, an insurance agent, or if they have any other conflicts of interest. Look up the individual financial advisor. Download the report to look at their work history and any disclosures or complaints that they’ve had. Once you’ve done this, it’s time to vet your top choices. Head over to my website for the full list of 10 questions that you must ask every potential advisor. Resources Mentioned Retirement Readiness ReviewSubscribe to the Retire with Ryan YouTube Channel“Fiduciary: How to Find, Hire, and Establish a Trusted Partnership with a Fee-Only Advisor,” The National Association of Personal Financial AdvisorsThe XY Planning NetworkThe Fee-Only NetworkGarrett Planning NetworkCFP BoardBrokerCheck Investment Adviser Public Disclosure The Fiduciary Pledge Connect With Morrissey Wealth Management www.MorrisseyWealthManagement.com/contact
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    25 mins
  • The 3 Types of Financial Advisors (Part 2), #202

    The 3 Types of Financial Advisors (Part 2), #202
    May 22 2024
    What are the three different types of financial advisors? Why do I believe a fee-only financial advisor is the best? If you’re considering hiring a financial advisor for the first time—or questioning if your current advisor has your best interests at heart—don’t miss this one. It’s part 2 of my series in which I’m covering some of the topics in my upcoming book, “Fiduciary: How to Find, Hire, and Establish a Trusted Partnership with a Fee-Only Advisor.” The goal is to help my listeners find a financial advisor that they can trust You will want to hear this episode if you are interested in... [2:09] Type #1: A stockbroker or insurance broker[4:43] Type #2: Registered investment advisor[7:32] Type #3: A fee-only investment advisor [9:11] The three types of fee-only financial advisors [11:43] The three ways fee-only financial advisors are compensated[15:58] What’s being covered in episode #3 in this series Type #1: A Stockbroker or Insurance Broker The first type of advisor is a broker (stockbroker or insurance broker). They’re compensated via commissions (the old-school way of doing business) and paid per transaction. The more transactions they make, the more turnover, and the more commissions they make. Brokers are incentivized to change client’s portfolios—even if it’s not in their client’s best interest. They’re also obligated to do what’s best for their brokerage firm (to make them more money). That’s why most financial advisors have moved away from the broker model. If you need to buy insurance, a stock, or a bond and you know this person isn’t a financial advisor, it’s fine to work with them—just don’t expect objective advice. Type #2: Registered Investment Advisor and Broker A Registered Investment Advisor is someone who’s registered with the state they do business in or the SEC as an investment adviser representative of a firm. They work with clients on a fee basis. However, these financial advisors are also licensed as a stockbroker/insurance broker. Because brokers don’t have to disclose these conflicts of interest (currently), you don’t know if they’re acting as a broker or fee-only financial advisor. Type #3: A Fee-Only Investment Advisor A fee-only investment advisor is only compensated by the fees their clients pay them. They do not have a broker or insurance license. This is the best option for working with a financial advisor. You know when you ask them a question, there will be no conflicts and they will be acting in your best interest. How do I know? Because a registered investment advisor has a legal obligation to put a client’s interest ahead of their own and must disclose any conflicts of interest. There are typically three types of fee-only financial advisors: Fee-only financial advisors that only do financial planning (retirement planning, business planning, estate planning, etc.). You take their advice and implement their recommendations on your own. They don’t manage any client portfolios. Fee-only financial advisors that only do investment management. They provide investment advice and manage your portfolio. They do not do financial planning. Fee-only financial advisors that offer both financial planning and investment management (known as a wealth advisor). Myself and my firm fall into this category. How are fee-only financial advisors compensated? Hourly: Typically those who aren’t managing portfoliosFlat Fee: This could be for ongoing investment management or project-basedAssets Under Management (AUM) model: You’ll be charged a percentage of your overall assets (the standard is 1%) for annual ongoing wealth management that includes financial planning. When you make more money, your financial advisor makes more money because their fee is tied to the value of your portfolio. How do you know which option is the best for you? Learn more in this episode. Resources Mentioned Retirement Readiness ReviewSubscribe to the Retire with Ryan YouTube ChannelPreorder my book: Fiduciary: How to Find, Hire, and Establish a Trusted Partnership with a Fee-Only Advisor Connect With Morrissey Wealth Management www.MorrisseyWealthManagement.com/contact Subscribe to Retire With Ryan
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    20 mins
  • Financial Advisors: What Do They Do and Why Hire One (Part 1), #201

    Financial Advisors: What Do They Do and Why Hire One (Part 1), #201
    May 15 2024
    I’ve spent the last 18 months writing the first book, “Fiduciary: How to Find, Hire, and Establish a Trusted Partnership with a Fee-Only Advisor,” which will officially be published on May 28th. I wrote this book to help everyone find a financial advisor who will put their interests first. Why? I see too many bad financial advisors harming their clients. With that in mind, I’m going to kick off a series of episodes on financial advisors that will run over the next five weeks. I’ll cover the different types of financial advisors and what they do. I’ll share why the fiduciary model is best. I’ll even cover how to find your ideal advisor, what to expect once you hire one, and how to ensure that your partnership is delivering value. <> You will want to hear this episode if you are interested in... [0:40] Preorder a copy of my book! [3:02] What is a financial advisor?[4:34] What the term “fiduciary” means [8:06] What can financial advisors do?[10:59] Reasons to hire a financial advisor[12:35] Do you need a financial advisor?[18:13] What I’ll cover in the next episode What is a financial advisor? According to Wikipedia, “A financial advisor is a professional who provides financial services to clients based on their financial situation.” Forbes says that a financial advisor is a professional “Who is paid to offer financial advice to clients.” Financial advisors can use many titles, such as financial planner, financial consultant, wealth manager, wealth advisor, investment manager—and so on. I’m guilty of this as I most often use the moniker, “Wealth advisor,” because I help clients with both investment management and financial planning. Not all financial advisors are fiduciaries. “Fiduciary” is an important term that most people aren’t familiar with. A fiduciary doesn’t receive commissions. Instead, they’re only compensated by the fees their clients pay them to better represent their interests. In essence, a fiduciary is a trusted advisor who acts in their client’s best interest. You’re legally obligated to put your client’s interests ahead of your own (and disclose any conflicts of interest you may have). There isn’t a clear path or training to become a financial advisor. There are no higher education requirements. There’s no experience required. There’s no standardization of titles. My goal with this series is to educate you so that you can get what’s best for you—and your money. What can financial advisors do? Financial advisors can help with many different aspects of finances, which is also why they go by numerous titles: They give investment management advice or manage portfolios. They can help you with retirement planning, estate planning, and legacy planning.They can help you with tax planning by looking at projected income and helping you decide how you can minimize your tax burden. A financial planner can help you with insurance planning and deciding if you'll need disability insurance or long-term care in the future.They can help you decide how to save for your kid’s college expenses.They can guide you with overall budgeting and cashflow planning.They can help you with determining a plan for paying off debt. They can help you buy/sell a business and set up business retirement plans.If you need a financial coach, they can meet with you regularly to see how you’re progressing toward your goals. These are just a few of the ways a financial planner can assist you. Financial advisors can help you navigate any major life decision. They keep their finger on the pulse of the financial industry. They have experience managing numerous life scenarios to help you avoid mistakes and take advantage of opportunities. A good financial advisor is an indispensable ally in the growth and preservation of your assets. Resources Mentioned Retirement Readiness ReviewSubscribe to the Retire with Ryan YouTube ChannelPreorder my new book on Amazon Connect With Morrissey Wealth Management www.MorrisseyWealthManagement.com/contact Subscribe to Retire With Ryan
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    19 mins
  • IRS Update For Inherited IRAs and Roth IRAs, #200

    IRS Update For Inherited IRAs and Roth IRAs, #200
    May 8 2024

    Have you inherited an IRA from a non-spouse who passed away after 1/1/2020? Beneficiaries of pre-tax retirement accounts have always had to pay taxes on what they inherit. However, on 1/1/2020, the SECURE Act was passed, changing the annual amount that beneficiaries would have to withdraw. Beforehand, non-spousal beneficiaries could:

    1. Cash out the account in one lump sum and pay taxes on that amount
    2. Take the account out over five years and pay taxes on it
    3. Take distributions the year after the account owner passed away and take withdrawals over their lifetime (a stretch IRA)

    Most non-spousal beneficiaries must empty their inherited account within 10 years following the original owner's death (there are some exceptions for someone who is disabled, the chronically ill, those who are within 10 years of age of the deceased, and minor children).

    Unfortunately, the IRS made some changes. Learn what it is—and if it impacts you—in this episode of Retire with Ryan.

    You will want to hear this episode if you are interested in...
    • [1:50] My on-demand Retirement Readiness Review Course
    • [2:16] What’s new with inherited IRAs?
    • [5:56] The IRS announcement about required minimum distributions
    • [9:32] The IRS changed the penalty for missing IRA distributions
    • [10:07] IRS Notice 2044-25: The RMD for 2024 is being waived
    • [11:13] What should you do with this information?
    • [13:04] What if you inherited a Roth IRA?
    The IRS announcement about required minimum distributions (RMDs)

    Everyone thought that non-eligible beneficiaries who opted for the 10-year window could choose how to withdraw the funds (as long as the account was emptied). We thought that you could minimize distributions in years where their income was higher and take higher distributions when their income was lower, choosing when to pay taxes on the account (and avoiding being in a higher tax bracket).

    Unfortunately, in February 2022, the IRS issued regulations to reflect the changes in the SECURE Act. They divided non-eligible beneficiaries into two groups:

    1. People who inherited an account from someone who passed away before they reached their RMD age.
    2. Someone who passed away after they reached their RMD age.

    If you inherit an IRA from someone who hadn’t yet reached their RMD age could wait until the 10th year to take distributions. However, if the person died after they’d started taking RMDs, the beneficiary would have to take distributions out every year (continuing the distributions of the original owner).

    Thankfully, the IRS extended some relief and said if you were supposed to take RMDs in 2021–2024, the requirement would be waived.

    The IRS also changed the penalty for missing IRA distributions from 50% and reduced it to 25%. If you missed a year where you were supposed to take it—as long as you make up the difference in two years—the penalty would be reduced to 10%.

    What should you do with this information?

    It’s time to do some tax projections of your future income. If you’ve inherited a retirement account, you must deplete it in the next 10 years. If you anticipate being in a higher tax bracket in the future, it may make more sense to take a distribution this year in a lower tax bracket.

    If you inherited an IRA in 2020, you still have seven years left to empty the account. How will it impact your taxes? Where will a distribution land you on the tax bracket scale?

    What if you inherited a Roth IRA? Listen to hear how required minimum distributions work for an inherited Roth IRA!

    Resources Mentioned
    • Retirement Readiness Review
    • Subscribe to the Retire with Ryan YouTube Channel
    • New Beneficiary IRA Distribution Requirements, #180

    Connect With Morrissey Wealth Management

    www.MorrisseyWealthManagement.com/contact



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    Show more Show less
    17 mins