Analyze Your Financial Profile

Nancy Doyle was a guest on WBBM’s Noon Business Hour

WBBM’s Noon Business Hour for 7/12/2017 On July 12th, Nancy Doyle was a guest on WBBM Newsradio Noon Business Hour. The topic was important retirement milestones. Take advantage of catch-up provisions starting at age 50 that allow you to put away even more money for retirement.  For 401(k) and 403(b) plans, those over 50 can save an extra $6,000 for retirement, or up to $24,000.  For IRA and Roth IRAs, the catch-up provision is $1,000 on top of the $5,500 you can put away each year. At what age you start collecting social security has a big impact on the size of the payments for both you and a spouse that may survive you. Keep these milestones in mind as you plan for the future. Note – the segment begins at 19:55.

Manage Your Financial Life Recommended for Those Approaching Retirement

Manage Your Financial Life is recommended as one of three books that are ideal for those approaching retirement – along with works by Jane Bryant Quinn and Barbara Bradley Hagerty. Ms. Kidd Stewart highlights the comprehensive approach outlined in the book. Janet Kidd Stewart: “The Journey: Books for Retirees or Those Getting Close” Australian Financial Review See link below: Australian Financial Review

How to Underwrite Yourself

Underwriting is what banks or insurance companies do when they evaluate risks associated with lending money or providing an insurance policy. To underwrite yourself, you need to take a close and honest look at your finances, ask yourself some questions, consider uncertainties and exposures, and evaluate your risk profile on many fronts. Analyze Your Sources of Income The first consideration is your income. Ask yourself these questions: Is your salary steady or variable? Do you rely on commissions or bonuses? Do you work in a cyclical industry? If your compensation is variable, you should not carry a lot of debt. Likewise, you should make sure to have an ample cash reserve. Evaluate Your Debt When you are thinking of buying a big item, consider if you can actually afford the item, not just whether or not you can afford the payment. Commit to paying off your credit card balances every…

Personal Financial Statements

Evaluate your personal financial statements to gauge your financial health. When evaluating the financial health of a company, bankers and investors rely on three types of financial statements: An income statement, which incorporates income and expenses for a period of time A balance sheet, which shows net worth at a point in time A cash flow statement, which considers not only your household income, but also changes in savings and debt I’ll show you how to create each of them below. Income Statement:  Income – Expenses = Net Income How to create an income statement Add up your salary or other income Start with your after-tax take-home pay. Add any other sources of income from consulting or part-time work and rental or investment income (all on an after-tax basis). Add your partner’s after-tax take-home pay as well as any other sources of income. Subtract your expenses or obligations The main…