Every family is unique, so our Anchor Investments team strives to get to know you so that we can provide customized strategies for your unique financial situation. Whether you’re laying out a financial plan for your child’s college education or looking much further down the road, it’s perfectly normal for you to have questions.
Funding a college education is one of the most valuable gifts you can give a child, but unfortunately, it can also be one of the most expensive. You're not alone if you think a financial goal like this seems intimidating or out of reach, but with careful planning and early saving it doesn't have to be.
How it works for you
The first step in creating a college savings plan is to estimate how much money you may need. To reach this number, you should take into consideration the type of college (public or private) your child may be interested in, your time horizon and, of course, inflation. It’s also important to choose a plan that’s right for your financial situation:
• 529 Plan - For a plan with tax advantages and flexibility, consider a state-sponsored 529 program. Anyone is eligible to make contributions—large or small—and there are no federal taxes when the money is used for qualified higher education expenses. Prior to investing in a 529 Plan investors should consider whether the investor's or designated beneficiary's home state offers any state tax or other benefits that are only available for investments in such state's qualified tuition program. Withdrawals used for qualified expenses are federally tax free. Tax treatment at the state level may vary. Please consult with your tax advisor before investing.
• Custodial Account - With no eligibility restrictions, a custodial account is a simple way to transfer property to a minor. It’s more flexible in that the contributions can be used by the benefiting minor at any time and for any purpose, but the earnings are taxable (often at the minor’s rate).
• Coverdell Education savings Account - With stricter contribution limits and eligibility requirements, an education savings account is less flexible but the account is free from federal income tax if contributions are used for education expenses.
Key benefits to you
• The money you save for your children receives lower or no taxation
• You can grow the money you’ve saved for your children’s education
Starting early and investing consistently are two key factors to working toward your goal. This is not to say that the only way to work toward your goal is to start saving when your child is a newborn. And we also understand that not everyone is able to save hundreds of dollars a month—but that doesn't mean sending a child to college is any less realistic.
Retirement looks different to everybody. Some see it as an opportunity to spend more time with family while others may wish to travel or relax at a cabin on the lake. No matter what your dream retirement looks like, you’ll need to plan ahead in order work toward becoming financially stable when the time comes.
How it works for you
Take some time to review your retirement plan and insurance policies in order to work toward protecting your assets and ensure that you are on track for a comfortable retirement. Starting early and investing consistently are two key factors to working towards your goal.
• How much do I need to retire comfortably?
• What will be my sources of retirement income?
• How have my insurance needs changed?
• Is my plan still on track?
Key benefits to you
• Having a plan for your financial future and retirement
• Once you’ve retired, you can potentially stay retired while living comfortably
• You’ll have a better idea how to respond to changing economic environments
• Planning to be less reliant on Social Security and other uncertain sources of post-retirement income
With comprehensive financial planning from your financial advisory team, you’ll have a plan that helps you craft both immediate and long term goals and then maps out the steps to work towards getting there.
How It works For you
We realize that everyone’s financial situation is unique. A “cookie-cutter” approach simply cannot be effective in helping each individual pursue their goals. Instead, we evaluate your specific needs and build a customized plan using our four-step process.
• We help you identify and prioritize your short- and long-term goals. These may include a new home or car, a college education for your children, or perhaps just a secure retirement for you and your spouse.
• We gather data regarding your assets and liabilities, as well as your employment benefits and those of your spouse. We also determine the comfort level of your risk tolerance and take into account your lifestyle preferences.
• Based on your information, we’ll compare your current situation with your short- and long-term goals and evaluate how they relate to one another.
• We’ll research and analyze several viable strategies that can help you best pursue your goals. Then we’ll make our recommendations and discuss them with you. Once you're satisfied, we’ll establish and agree on a plan of action together.
• We’ll outline a schedule and implement your financial plan in a timely and efficient manner.
• As part of our ongoing commitment, we’ll review the progress of your plan during the year and provide you with updates. We’ll also do a year-end evaluation to assess how your plan is doing and where we can improve.
• Throughout the year, we’ll stay in touch with you to discuss the progress of your plan, changes in the economy and changes in your life. That way we can recommend any necessary fine-tuning to help your plan stay on course. The result will be a strategy that will support you in pursuing your financial goals.
Key benefits to you
• Set goals and have reasonable expectations for pursuing them
• Plan for a comfortable retirement
• Invest wisely and work toward growing your assets.
Securities and advisory services offered through LPL Financial, a registered investment advisor, Member FINRA/SIPC, Insurance products offered through LPL Financial or its licensed affiliates. Anchor Bank and Anchor Investments® are not registered broker/dealers and are not affiliated with LPL Financial.
The LPL Financial registered representative associated with this site may only discuss and/or transact securities business with residents of the following states: Minnesota, Wisconsin, Alaska, Arizona, California, Colorado, Florida, Iowa, Kansas, Kentucky, Michigan, Missouri, Nevada, New Mexico, North Carolina, North Dakota, Ohio, South Carolina, South Dakota, Texas, Utah, Vermont.