The Informed Investor

5 Considerations When Retirement Planning in 2021

February 6, 2021

If you’ve let retirement planning fall to the wayside this year, you’re not alone. With many small businesses struggling and even some professionals being furloughed, saving for retirement isn’t as much of a priority as having sufficient funds to make payroll, pay the mortgage, and meet other non-negotiable obligations. Now that vaccines are being rolled out, there is a light at the end of the tunnel—we hope things will return to normal by the end of year or sooner. This also means it is time to pick up where you left off when it comes to your retirement planning. Here are some smart strategies to help you get back on track.

Hire a Financial Advisor

Many people enjoy managing their own investments, but it’s difficult to achieve the breadth and depth of knowledge of a qualified financial advisor. At ICC, our advisors aren’t just experienced and educated in retirement planning, they also continually increase their knowledge to retain their designations of Certified Investment Management Analyst (CIMA® and Accredited Investment Fiduciary Analyst (AIFA). You’ll never have to wonder if our recommendations are made with your best interests at heart because we adhere to the fiduciary standard, which means we’ve eliminated conflicts of interest.

Use Catch-Up Contributions to Maximize Your Savings

Anyone over the age of 50 can make additional “catch-up” contributions to their 401(k) and IRA. This means that for a 401(k), you are permitted to contribute $26,000 instead of $19,500, and those with an IRA can contribute $7,000, rather than the standard $6,000 for anyone younger than 50.

Think About a Roth Conversion

Investors who have a traditional IRA may wish to consider converting to a Roth IRA depending on your circumstances. Unlike a traditional IRA, you’ll have to pay taxes now, but withdrawals later in life are tax free. Our advisors, including our in-house CPA can consult with your accounting professional to help you decide the best strategy for your retirement.

Pay Off Any 401(k) Loans

If you have had to take out a 401(k) loan this year, pay it off as soon as possible. While having that safety net can be useful in situations like the COVID-19 pandemic, taking money out of your 401(k) means that you are losing out on valuable growth potential. It is also common for employers to bar you from making new contributions until your loan is paid off, which can prevent continual funding for your retirement.

Invest

Should you have some disposable income, now is a good time to consult with a financial advisor about investments to boost your retirement savings. Many investments are designed to adjust your level of risk based on your age, while a strategy known as dollar-cost averaging can effectively compensate for market volatility. Another way in which our advisors help you to manage the uncertainties of the market is by designing a customized, well-diversified portfolio. Your ICC financial advisor can assist you with building a portfolio structured to weather economic volatility.

Learn More About Retirement Planning With ICC

The financial advisors at ICC are hard at work researching current market conditions and translating that knowledge into retirement planning strategies that can benefit you. To learn more about our retirement planning services, contact us today at 702-871-8510.  ICC has been providing investment management services since our founding in 1987. As one of the largest independent financial planning firms in Nevada, we hold ourselves to a higher standard: the fiduciary standard. This means we have eliminated possible conflicts of interest; we do not sell our own investment products nor do we receive commissions, so our only goal is helping you achieve your financial objectives.

 

IMPORTANT DISCLOSURE INFORMATION

The Investment Counsel Company of Nevada (“Company”) is an SEC registered investment adviser located in Las Vegas, Nevada. Company may only transact business in those states in which it is registered, or qualifies for an exemption or exclusion from registration requirements. Company’s web site is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of Company’s web site on the Internet should not be construed by any consumer and/or prospective client as Company’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet. Any subsequent, direct communication by Company with a prospective client shall be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides. A copy of Company’s current written disclosure Brochure discussing Company’s business operations, services, and fees is available from Company upon written request. Company does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to Company web site or incorporated herein, and takes no responsibility therefore. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.

Please remember that different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment or investment strategy (including those undertaken or recommended by Company), will be profitable or equal any historical performance level(s).

Certain portions of Company’s web site (i.e. newsletters, articles, commentaries, etc.) may contain a discussion of, and/or provide access to, Company (and those of other investment and non-investment professionals) positions and/or recommendations as of a specific prior date. Due to various factors, including changing market conditions, such discussion may no longer be reflective of current position(s) and/or recommendation(s). Moreover, no client or prospective client should assume that any such discussion serves as the receipt of, or a substitute for, personalized advice from Company, or from any other investment professional. Company is neither an attorney nor an accountant, and no portion of the web site content should be interpreted as legal, accounting or tax advice.

Please Note: Limitations: Neither rankings and/or recognition by unaffiliated rating services, publications, media, or other organizations, nor the achievement of any professional designation, certification, degree, or license, membership in any professional organization, or any amount of prior experience or success, should be construed by a client or prospective client as a guarantee that he/she will experience a certain level of results if Investment Counsel Company is engaged, or continues to be engaged, to provide investment advisory services. Rankings published by magazines, and others, generally base their selections exclusively on information prepared and/or submitted by the recognized adviser. Rankings are generally limited to participating advisers (see below as to participation data/criteria, to the extent applicable). Unless expressly indicated to the contrary, Investment Counsel Company did not pay a fee to be included on any such ranking. No ranking or recognition should be construed as a current or past endorsement of Investment Counsel Company by any of its clients.

ANY QUESTIONS: ICC’s Chief Compliance Officer remains available to address any questions regarding rankings and/or recognitions, including the criteria used for any reflected ranking. Please review Important Disclosure Information set forth in the last section of this website.

The Barron’s Top 1200 Financial Advisors by State ranking is based on data provided by over 4,000 of the nation’s most productive advisors. Factors included in the rankings are: assets under management, revenue produced for the firm, regulatory record, quality of practice, and philanthropic work. There is no cost or fee to participate in this survey. The questionnaire is completed and submitted online.

The Barron’s Top 100 Independent Advisors ranking reflects the volume of assets overseen by the advisors and their teams, revenues generated for the firms, and the quality of the advisors’ practices. The scoring system assigns a top score of 100 and rates the rest by comparing them with the top-ranked advisor. There is no cost or fee involved to participate in this survey. The questionnaire is completed and submitted online.

The Forbes “America’s Top Wealth Advisors” ranking was developed by SHOOK Research and is based on in-person interviews and telephone due diligence meetings and a ranking algorithm that includes client retention, industry experience, review of compliance records, firm nominations and quantitative criteria, including assets under management and revenue generated for their firms. Investment performance is not a criterion because client objectives and risk tolerances vary and advisors rarely have audited performance reports.  Rankings are based on the opinions of SHOOK Research, LLC and not indicative of future performance or representative of any one client’s experience. Rankings and recognition from Forbes are no guarantee of future investment success and do not ensure that a current or prospective client will experience a higher level of performance results, and such rankings should not be construed as an endorsement of the advisor.  Neither Forbes nor SHOOK Research receives compensation in exchange for placement on the ranking.

The Forbes ranking of “Best-In-State Wealth Advisors,” developed by SHOOK Research, is based on an algorithm of qualitative criteria, mostly gained through telephone and in-person due diligence interviews, and quantitative data. Those advisors that are considered have a minimum of seven years experience, and the algorithm weights factors like revenue trends, assets under management, compliance records, industry experience and those that encompass best practices in their practices and approach to working with clients. Portfolio performance is not a criteria due to varying client objectives and lack of audited data. Neither Forbes or SHOOK receive a fee in exchange for rankings.