If You Turned 70 1/2 This Year, Do This.

photo-1455311683036-3e949a996256Take your IRA Required Minimum Distribution.

The IRS requires IRA owners to begin taking taxable distributions from their IRAs after they turn 70 ½. Failure to do so can result in an IRS penalty equal to 50% of your Required Minimum Distribution amount (aka RMD).

To avoid this penalty you must take your RMD no later than April 1 of the year after the year you turn 70 ½. If you turned 70 ½ this year, then your first RMD is due no later than April 1, 2017.

5 Ways to Get Back on Track with Your Financial Goals

A photo by Charles Forerunner. unsplash.com/photos/gapYVvUg1M8Labor Day traditionally marks the end of summer and the beginning of the school year. For those of us who still go to work every day it also means it’s time to shake off the lazy days of summer, roll up our sleeves and get back to work.

September is also a great time to get back on track with your financial goals. Below are 5 things you should do right now to get back on track and end 2016 with a strong finish.

Why Mutual Funds Close to New Investors

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Every now and then when I go to make a trade for a client the mutual fund I recommended will be closed to new investors. This recently happened when I tried to make trades in an account we had just set up for a new client.

When I told him the fund I recommended was closed he asked the logical question: “How come?”

Why do good funds close to new investors? It seems counter-intuitive. Aren’t they in the business of taking in assets and managing money? Why would they turn down an opportunity for new business?