Category Archives: Family Finances

Plan on Estate Planning in 2020

Next year is almost here. In just a few weeks, 2020 will arrive. Are you ready?

Yes, it is an election year. It is a leap year. It is a new year to plan and move ahead with those plans. 

Should it also be your “Estate Planning Year”? Yes. As hard as it may be to think about, let alone talk about dying and what happens with all our stuff when that happens… it is a fact of life. 

So, while we have covered the topic of estate planning in other blogs, it is a subject that is worth revisiting. As this year winds down, you can act now to plan for your estate and help protect your family and loved ones. 

As you sit down with your trusted financial and estate planning advisor, keep these five points in mind:

  1. Life Insurance: There was a popular radio commercial about life insurance many years ago that said “Life insurance isn’t for the deceased. It’s for the living!” It seemed like a trite, non-sensical statement but it is so true. Life insurance is primarily used to protect a loved one from loss of income when the spouse or family member dies. Life insurance is a tax-free income that the beneficiary may use for income and expenses. If you’re not sure where to begin with life insurance policies, go to www.consumersadvocate.org/life-insurance/ for the latest reviews.      
  2. Beneficiary Designations: Life insurance, 401(k)s, IRAs and personal property all will be owned by someone upon the owner’s death. So, designate beneficiaries for all of these items. Review and update those beneficiaries every few years. Backup beneficiaries can also be named should the first beneficiary pass away.
  3. Charitable giving: Non-profit organizations receive billions of dollars each year from the generous giving of estates. Legacy giving is popular for churches, temples, alma maters, non-profits, civic groups and other legally designated 501 ( c ) 3  organizations. You can also discuss with your financial advisor the advantages of setting up a CRAT (Charitable Remainder Annuity Trust). 
  4. Form a Trust: Discuss with your estate planning advisor revocable or irrevocable trusts. Discuss your wants and needs and find out if one of these options matches your goals for estate planning.                             
  5. Reduce debt load: Pay off your debts! It is that simple. Your estate may end up paying those debts off which means leaving less for your heirs. Begin now at paying off credit cards, liens, and loans. 

Why work on estate planning now when there’s always tomorrow? It’s a lot of work! Truth is, making an appointment to start the estate planning process, making a plan, and then working towards that plan will set you and your family up for success! Don’t wait, act now. 

A.K. Burton, PC, has an experienced estate planning advisor and attorney on our staff who can help you do it all. We can begin now and take you through the entire process, professionally and compassionately. Contact us at (301) 365-1974 to schedule a consultation. Our accounting firm serves the Bethesda, Rockville, and Montgomery County, Maryland areas.    

Ten Smart Ways to Save Money in 2017

The famous humorist, Will Rogers, once said, “Too many people spend money they earned…to buy things they don’t want…to impress people that they don’t like.”

It is a timeless quote that characterizes so many of us, both personally and professionally. We buy too much, get into debt and find our lives spiraling out of control as our income can no longer support our lifestyle or business.saving money A K Burton

But this is a New Year. And there is hope. 2017 is here and whatever happened or failed to happen last year is history. You can truly start anew with better financial habits.

So, here are Ten Quick Smart Ways to Save Money in 2017:

  1. Pay off Debts: This is the most important one of all. Pay off your debts, maybe starting from the lowest to the largest, as quickly as you can. It may mean fewer meals out or holding off on doing vacation this year, but meet with a financial expert and create pay plans to pay them off. Once this is done, you may be surprised at how your life will improve.
  2. Use Coupons: Just about every grocery store has coupons, most are now in their apps, for their customers. Make a grocery list and use the coupons (or their MVP or preferred customer card) when you buy.
  3. Brew coffee at home: The fufu coffee beverages at $4.00 and more, add up quickly on a weekly basis. Buy several pounds of coffee and brew it at home before you leave for work. Treat yourself on Friday with one Starbucks drink or other similar coffee shop. You may save $500 a year just doing this!
  4. Fill up your car: Gas is expensive, especially in the metropolitan areas. If you can fill up your car instead of getting a few dollars’ worth, you can save quite a bit of money in the long run.
  5. Buy movies online: Going to see a movie can be $15 per person or higher. Plus, the popcorn and candy adds to the outrageous price. Instead, load Amazon Prime or Netflix to your devices and TV. The yearly price may be less than you pay for one or two movies with the family.
  6. Combine errands: We travel so much around the Washington, D.C. Beltway! It may take several hours to just run an errand or two because of the traffic. So, save time and money by combining your errands (grocery, gas, appointments, visits, etc.) if possible. Less stress and expense!
  7. Compare Fees on mobile phone plans: There are many different phone plans now. You may have completed your 2-year contract so look around. There are several vendors which charge only a monthly fee for unlimited usage.
  8. Eat Out Less: This is a tough one and I can understand the reluctance. Eating out is fun at your favorite restaurants. But this can cost hundreds even thousands of dollars a year. So, eat out maybe once a week as a treat. Save up that money for paying off debts, children’s education or home improvements, etc.
  9. Keep a Spending Journal: Record your expenses for several months and see where your hard-earned income is going. This is a proven way to cool the spending jets and get on track for smarter spending.
  10. Volunteer: This may sound kind of weird but hear me out. When you are volunteering and helping the underprivileged in your community it does three things: Makes you appreciate what you do have, gives you an opportunity to share your skills with an agency that is assisting others and, lastly, when you are volunteering you are not out spending. Everyone gains from helping others.

I hope this has been a help to you. Get this year off to the right track by saving your hard-earned money and improving your life and others.

If you need a financial advisor for personal or professional financial counseling from tax planning, to payroll, to choice of Business/Financial Entity planning and many other services, A. K. Burton, PC, can meet all your private and business accounting needs. Call us at (301) 365-1974 for more information.