Financial Planning During the Pandemic: 3 Smart Opportunities

Available for Interviews: Jason J. Smith, Estate planning attorney and Elder planning attorney is available to talk about this topic.

Those who are blessed with financial security during these turbulent times are uniquely situated to take advantage of three smart planning opportunities that have sprung up from the major market downturn resulting from the coronavirus outbreak.

1) Double Down on Your
Tax-Advantaged Investments

This is a great time to contribute to your retirement, health savings and college savings accounts.

  1. Quick summary of the three types of accounts, their tax benefits and contribution limits.
  2. There is still time to fund for tax year 2019 thanks to the extension of tax deadlines.
  3. Consider funding for tax year 2020 now in order to take advantage of market lows.
  4. Consider contributing to Roth versus pre-tax retirement accounts to take better advantage of low market prices and rising tax rates – add a “backdoor” Roth IRA for an even bigger boost.

2) Refinance Your Mortgage and Other
Debt at Lower Interest Rates

  1. Mortgage rates have declined and federal stimulus is making cash widely available for lending.
  2. Other interest rates have declined as well – auto, credit card, etc. – check the facts and recommend refinancing.

3 Consider Making a Roth Conversion
for your Retirement Accounts

  1. Circle back to the difference between Pre-tax and Roth accounts.
  2. Conversion triggers income tax but that impact may be offset by stimulus funds received and/or lower income this year.
  3. Tax rates are likely to rise in the future.
  4. Also thanks to the SECURE Act, your non-spouse beneficiaries will be able to keep Roth funds invested for up to 10 years after your death and then withdraw them completely tax free. No such result for pre-tax accounts.


Interview: Jason J. Smith.

Jo Allison
Managing Editor
Director of Public Relations
Success In Media, Inc.


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