Perceptions help us determine what's possible, and they sometimes can also impose limitations when it comes to taking business risks that could pay off big, writes Daniel C. Finley, president and co-founder of Advisor Solutions. He offers an outline for living "beyond any business limitations you might have set up for yourself."
Clients can strengthen their estate plans by taking such key steps as reviewing beneficiary designations, making sure they have sufficient life insurance, using trusts effectively and giving to charities.
The holidays can be a good time for financial advisers to discuss charitable planning with clients and their families, writes Ken Nopar of the American Endowment Foundation. He lists 20 questions advisers should ask clients that cover topics such as their motivation for giving and charitable legacies.
The growth of digital assets makes it important to include them in estate planning, according to attorney Jennifer Zegel. The assets must first be identified, and then estate planning documents should be updated to authorize or restrict access, she writes.
Different interpretations of facts can lead to miscommunications between financial advisers and clients or prospects, writes author and sales coach Dan Solin. He suggests focusing on asking questions to determine what people need rather than trying to convey information.
The many retirement-related provisions of the Setting Every Community Up for Retirement Enhancement Act of 2019 open the door to small business providing the retirement plans they need to order to attract the best workers, according to Rep. Steve Chabot, R-Ohio. "On behalf of small business owners and the millions of workers they support, I urge the Senate to make passage of the SECURE Act a priority," he says.
A recent US Supreme Court ruling prohibiting North Carolina from taxing undistributed trust income because a beneficiary lives there offers a good reminder of the importance of state tax laws regarding trusts, experts say. "Many times our clients focus on one specific issue without completely understanding all the other consequences" of trust taxation, says financial planner Larry Pon, who recommends working with an estate-planning attorney who is well versed in trust law and tax law.
The Financial Industry Regulatory Authority will work with the Securities and Exchange Commission to establish Regulation Best Interest preparedness exams for broker-dealers, FINRA CEO Robert Cook says. "We just want to make sure we understand what some of the challenges that firms are facing at this stage and where they might be needing more guidance," he says.
The Financial Industry Regulatory Authority wants input on a proposal that would limit the ability of a person associated with a broker-dealer to be named a client's beneficiary, executor or trustee. The rule would require a registered person to give notice of such an arrangement to the broker-dealer, which would then decide whether to allow it.
Millennials have proven adept at adapting to changes in the retirement landscape, writes financial planner Eric Brotman. He highlights several things he thinks this generation is doing right, including cutting spending, being more willing to change jobs and delaying big purchases, such as a home.
Retirement in 50 years is likely to be more secure than it is currently, writes Alicia Munnell, director of the Center for Retirement Research at Boston College. She highlights three areas she believes will be a focus over the next half century: filling in retirement coverage gaps, making long-term-care insurance more affordable and making it easier to tap home equity for retirement income.
Clients' inadequate retirement savings was a top concern of financial planners who were surveyed for Financial Planning's Financial Wellness Report. Lack of financial literacy was another major client concern cited by advisers.
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