A client came in my office the other day and indicated that he was moving all his money out of the market. “I’m sitting on the sidelines for now”, he said. “I’m just not comfortable with…” and then he went on to explain his position. Just as markets can move in extremes one way or […]
What You Need to Verify A Financial Hardship Distribution
Over the past 26 years of working with healthcare clients, I can’t remember a year where I received more phone calls from participants in retirement plans requesting a distribution due to financial hardship than last year. Upon receiving such a call, we would educate the client’s staff member on the consequences of a plan distribution […]
Planning for IRA Contributions
Over the past several years, I have suggested to healthcare clients who did not have a deductible or “rollover” IRA account and were participants in a retirement plan, that they make nondeductible IRA contributions. While the IRA was not deductible on the personal return, the earnings continued to be tax-deferred. We were also planning for […]
Retirement Plan Update
The IRS has mandated that all qualified plans that use a pre-approved plan document restate their current plan to include the Economic Growth and Tax Relief Reconciliation Act of 2001 (“EGTRRA”). Plans must be restated on an approved plan document by April 30, 2010. If you haven’t made plans for updating your plan, be sure […]