Module 1 Flashcards
Catch up contribution
$6000
Defined contribution 415
$53000
SIMPLE Plan
$12,500
SIMPLE catch-up contribution
$3000
Max includable compensation qualified plan
$265000
Highly compensated employee 414
$115000
Key Employee (top heavy plan)
> $170000
SEP participation limit
$600
IRA / ROTH contribution limit
$5500
IRA/ ROTH catch- up
$1000
IRA deduction limits for active participants
Single $61000-$71000
Married filing joint $98000-$118000
Married filing seperately $0-$10000
IRA deduction phaseout limit for spouse who is not an active participant
$183000-$193000
ROTH IRA contribution phaseout limits
Single $116000-$131000
Married filing jointly $183000-$193000
Effective deferrals 401k, 403b,457, sarseps
$18000
Step 1 retirement planning process
Establishing and defining the client-planner relationship
Step 2 retirement planning process
Gathering client data including goals
Step 3 retirement planning process
Analyzing and evaluating the client’s financial status
Step 4 retirement planning process
Developing and presenting the recommendations
Step 5 retirement planning process
Implementing recommendations
Step 6 retirement planning process
Monitoring the implemented recommendations for necessary changes
Any changes to retirement plan?
Yes- return to task 2
No-time interval/ return to task 6
Two qualities retirement goals have to make them useful in planning
Specific and prioritized
Three components of a financial position
Assets
Liabilities
Net worth
Name two strategies clients can employ in living off retirement assets.
Capital preservation
Capital utilization
Capital preservation
Live off income produced by their assets without touching principal
Capital utilization
Both income and principal are tapped for retirement living expenses
