The professionals at Westmark Wealth Management work to diversify and monitor your investment portfolio through disciplined strategies, thereby reducing risks, expenses and unnecessary taxes. Many investors become frustrated when trying to manage their own investments. The difficulty in managing investments comes not in properly diversifying assets based on time horizon and risk tolerance, but in the wisdom it takes to determine the difference between one’s own ability and willingness to take on various types of risk (market risk, inflation risk, tax risk, etc.). In other words, people have difficulty viewing their investments in an unemotional way; therefore, decisions are mistakenly made on “hunches” rather than disciplined strategies that provide a higher mathematical probability of success. In working with the professionals at Westmark Wealth Management, we combine knowledge and experience with industry-leading technology to determine the investment strategies that will give you the highest statistical probability of reaching your goals.
Physicians have a shorter time span to reach financial independence than the average professional. As a result, employer-sponsored retirement accounts alone will not typically provide the contribution levels required to replace the income needed in retirement. Therefore, other tax-efficient wealth accumulation strategies must be implemented to fill this gap. You may have several options for funding retirement you’re not even aware of.
At Westmark Wealth Management, we specialize in helping you to define what a successful retirement means to YOU, and then identify, educate you on, implement, and manage tax-efficient wealth accumulation strategies to reach your retirement goals in the most efficient way possible. If structured properly, your retirement strategies will save you as much as possible in taxes today AND in the future when you distribute your wealth.
Saving for a child’s education is an important goal to many families. There are many variables to consider in deciding how much money to save in this area:
- To what degree do we want to assist in paying for our children’s education? All? Partial? None?
- Do we want to save for college as though our children will be attending private or state school?
- Should we prioritize our own retirement over education savings?
- How much on average does tuition increase annually for a given school?
- Will grandparents or other family members contribute to education expenses?
Well-intentioned parents will often prioritize college savings over other areas of their financial planning such as their own retirement. Many times families are able to adequately save for both, but if resources are limited, one needs to understand that while there are student loans, there are no loans for retirement.
If there are adequate resources to build savings for education, we then explore the various accounts one is eligible to contribute to. The most popular college savings vehicle is a 529 Plan. 529 Plan funds are contributed post-tax, grow tax free, and may be accessed tax free as long as they are used for post-secondary education expenses such as tuition, room and board, books, etc.
One caveat to a 529 Plan is that if funds are removed for reasons other than education, you will be faced with penalties and taxes. For this reason, many families will fund a 529 Plan as though their children will be attending state school, and then withdrawal funds from other investments or savings if their children end up going to a private or more costly school.
The professionals at Westmark Wealth Management will run a projection to help you to determine how much you will need to save for education expenses, as well as provide guidance on the strategies best suited for the education savings goals of you and your family.