Page 25 - Cedarville Magazine Spring 2013 Volume 1 Issue 1
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Planning
for College
Planning for your
child’s college education can be daunting
for any parent. Each family is unique, and
there are many variables that affect how
you should go about saving for your child’s
education. A professional financial planner
or tax advisor can help you with a specific
strategy for your family, but there are some
general guidelines that apply to everyone.
Today:
If your child is only a few years away
from college and you don’t have much
saved, you will need to focus on what
assets, if any, you have that you can use
for college expenses. IRAs or 401(k)
retirement accounts, cash value life
insurance policies, and home equity are
all sources of potential cash.
Tomorrow:
If you expect to qualify for financial aid,
familiarize yourself with the financial
aid process before your child selects
a college. Do a dry run through the
Federal Financial Aid Application
(FAFSA). This will help you estimate
how much money your family will be
expected to pay toward college costs
each year before any financial aid is
awarded.
Long-Term:
Start saving for college as early as
possible, preferably with regular,
manageable contributions that increase
over time.
Lou Vision, IMC
Raymond James & Associates
Dayton, Ohio
American Dream Conference Sponsor
Empty Nest
This is likely the time in
your life when you have
the most discretionary
income. You are at the peak of your earning
potential, and expenses may have decreased
with your children out of the home. The
challenge is balancing all the priorities
that can come with this stage of life —
helping your adult children, growing your
retirement savings, and enjoying your new
lifestyle. Consider the following as you plan
for this phase in life:
Today:
Ask yourself four questions: How
much income per month will I need in
retirement? Howmuch do I have to save
eachmonth now to generate that amount
of income in retirement?What ismy plan
to get there? Can I manage this plan on
my own, or should I seek professional
guidance from a financial planner?
Tomorrow:
Evaluate your progress against your
retirement plan. Sit down with an estate
planning attorney to review your will
and legal documents.
Long-Term:
Review your retirement plan and all
possible sources of retirement income
including Social Security, pension(s),
and your portfolio. Evaluate the level of
risk you are taking in your investments
and confirm that this is appropriate for
your age and your retirement goals.
Scott Simons ’01, CFP®
Financial Counseling, Inc.
Springboro, Ohio
In Retirement
Retirement is that stage in
life when you shift from
building your assets to
using your assets. There are not only
challenges in navigating financial strategies,
but also challenges in sorting out your
security and significance without the daily
boost of interacting with co-workers.
Fortunately, retirement usually comes
with plenty of warning, and there are
several key considerations as you prepare
for it.
Today:
For a married couple, there are more
than 100 combinations of ways to
receive Social Security benefits. Seek out
a financial professional who can help
you determine the best option for you
and your spouse.
Tomorrow:
Protect your retirement savings by
obtaining long-term health care
insurance.These policies canhelpprotect
your assets for your spouse or your
children and give you independence,
dignity, and choices when the time
comes. But don’t procrastinate — any
slight health change can significantly
impact the cost or even your ability to
qualify for this coverage.
Long-Term:
Discuss your retirement plan with your
children. Explain your estate documents.
Introduce them to your advisors or
planners. Let them help you when you
downsize your home (or belongings).
Including your family promotes harmony
during the years when everyone needs to
come together.
Shane Tenny ’98, CFP®
Spaugh Dameron Tenny
Charlotte, North Carolina
Cedarville Magazine
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