Retirement Planning in Dallas, TX
Planning for retirement can feel overwhelming, but it doesn’t have to be that way. At Worth Asset Management, we offer comprehensive retirement planning services designed to help you enjoy financial independence in your golden years. Our unique investment strategy is specifically designed to help avoid major losses in the critical five years before and throughout retirement. Our team works closely with you to develop a plan specific to your needs and goals, supporting your transition to a comfortable and stable retirement.
Retirement Cash Flow and Income Planning
Understanding your cash flow and income needs is essential for a successful retirement. We help you create a detailed plan with the goal of managing your expenses and maintaining a steady income stream throughout your retirement years.
Proactive Lifetime Tax Planning
Effective tax planning can have a lasting impact on your level of retirement savings. Our proactive approach allows you to take advantage of tax-saving strategies throughout your lifetime, helping to reduce your lifetime tax burden and optimizing your wealth.
Maximizing Social Security Benefits
We understand that Social Security can be a complex process. Our team provides strategic guidance on the optimal timing and plan for claiming your benefits, helping you get the most out of your Social Security income.
Medicare Tax Planning
Healthcare costs can be a big concern for many retirees. We help you understand and plan for Medicare-related expenses, incorporating tax-efficient strategies to manage these costs effectively.
Required Minimum Distribution (RMD) Planning
RMDs can play a significant role in potential tax impacts on your retirement savings. Our tax-smart withdrawal strategies help you manage RMDs efficiently, reducing tax liabilities and preserving your wealth.
Insurance & Asset Protection Planning
Safeguarding your assets and planning for adequate insurance coverage are key components to any successful retirement plan. Our team assists you in evaluating your insurance needs and implementing strategies to shield your wealth against unforeseen events.
Common Questions About Retirement Planning
How much money is needed to retire?
How much money you need to retire depends entirely on your individual lifestyle, goals, and financial situation. There’s no one-size-fits-all number. Factors such as your desired retirement age, healthcare needs, living expenses, travel plans, and income sources (including Social Security, pensions, or rental income) all play a role in determining how much you’ll need.
Joe Dowdall takes a personalized approach to retirement planning. He builds financial plans by running retirement cash flow projections and estimating future expenses based on your current lifestyle and local cost of living, such as those in the Dallas area. He also factors in inflation, taxes, and required minimum distributions to help clarify what your retirement could look like financially.
How do taxes affect retirement income?
Taxes can significantly impact how long your retirement savings last and how much spendable income you actually receive. Many retirees are surprised to learn that withdrawals from tax-deferred accounts like traditional IRAs and 401(k)s are taxed as ordinary income, and those withdrawals can also affect how much of your Social Security benefits are taxed or trigger higher Medicare premiums.
CERTIFIED FINANCIAL PLANNER® professionals help you design a distribution strategy that considers when and how to draw from various accounts—taxable, tax-deferred, and tax-free—to better manage your tax brackets over time. Strategies such as Roth IRA conversions during low-income years, timing Social Security benefits, and managing required minimum distributions (RMDs) can potentially help reduce your overall tax burden.
When is the best time to take Social Security?
When you start receiving Social Security depends on the individual. It’s essential to analyze your options to maximize benefits based on your life expectancy, marital status, and other income sources. Texas does not tax Social Security, but Dallas retirees need to plan for Federal taxes, which can impact their retirement.
How does income impact Medicare premiums in retirement?
Yes, having a tax plan for Medicare is important because your income can affect your premiums, especially through IRMAA (Income-Related Monthly Adjustment Amount). Strategic planning can help reduce unexpected costs and manage your overall retirement expenses.
When do I take an RMD?
Required Minimum Distributions (RMDs) from most retirement accounts must start by April 1 of the year after you reach the applicable starting age. Under current law:
- If you were born between 1951 and 1959, RMDs begin at age 73.
- If you were born in 1960 or later, RMDs begin at age 75.
After your first RMD, subsequent withdrawals are due annually by December 31. If you choose to delay taking your RMD, you’ll have to take your first and second RMD in the same year, which may push you into a higher tax bracket.
Calculating RMDs can be complex, especially when coordinating tax strategies, and many retirees explore options to help reduce the overall tax impact. Joe Dowdall can provide guidance tailored to your situation.