No matter what your age, it is never too early to start to plan for your retirement. There’s more to a retirement plan than just saving money in your savings account.

Juanita Stephens, a financial planner with JStephens Wealth Management — a branch with SagePoint Financial, member SIPC, joined Studio 512 Host Rosie Newberry to teach us everything we need to get started.

So there are actually three types of retirement income? What are they?

  • Taxable bucket: savings accounts, money market, CDs, mutual funds, stocks & bonds
  • Tax-deferred bucket: 401K, IRA, 403b 457, SEP & Simple
  • Tax-advantaged bucket: Roth conversions, Roth IRA, Roth 401K & some permanent life insurance

Trying to pay as little tax as possible helps us have more money for retirement. What is a tax-advantaged investment?

“It is free from all taxes (federal, state, and capital gains) and distributions do not cause social security to be taxed.”

Why is being tax-advantaged so important?

“Our government has continued to print money and spend more than what comes in. Economists have predicted that taxes will be higher in the future to allow our country to catch up with the debt. We want to position as much of our retirement funds as possible into buckets that are free from all taxes.”

How can people get in touch with you?

We Help You Plan For The Life You Want
1000 Gattis School Road, Ste 910
Round Rock, TX 78613

This segment is paid for by JStephens Wealth Management — a branch with SagePoint Financial, member SIPC, and is intended as an advertisement. Opinions expressed by the guest(s) on this program are solely those of the guest(s) and are not endorsed by this television station.