We all love Roth IRAs. What’s not to love? Instead of putting excess income into a brokerage account that has its dividends and income taxed each year, as well as being subject to capital gains tax when you sell, you put your money into a Roth IRA where you’ll never pay taxes of any kind. Did I mention that you will never pay taxes on the account?

I just listened to "The Investment Answer" by Daniel C. Goldie and Gordon S. Murray, which was recommended by a client. (Thanks, Mike!) I believe their views on how people should approach long-term investing are right on the money. (Pardon the pun!) You can read this book in one sitting, or listen to it in its entirety in just 45 minutes. 

A client recently emailed asking me if, given the recent market downturn, we should rebalance his portfolio. Since I’m sure there are others wondering the same thing I though I’d share with you my response.

Rebalance? Probably not. However, if you have some cash you've been itching to put to work, now might be a good opportunity to do so.

If you want to understand why I believe the best way to invest is to create a low-cost portfolio made up of well-run index funds with a good track record and that’s properly diversified, then rebalance once a year, please read this book. The authors (as well as I) believe in the KISS strategy of investing and have the data to back it up.

Living on Investment Income in Retirement, Part IV: Creating a Smart Withdrawal Plan

I think this article, written by Eleanor Blayney, CFP®, clearly explains why choosing the right account from which to withdraw during retirement is so important. >> Read The Article

As I was reading “How to Make Your Money Last” by Jane Bryant Quinn this weekend (a very well-written and informative book, by the way), I came to her section on investing. She’s not a fan of owning individual stocks, just like me.

This cobbler’s children wear shoes!

"The cobbler's children have no shoes" refers to the phenomena where people are successful at doing something in their professional lives, but don't practice it in their personal lives. Well, my kids were close to being shoeless, but no more!

The stock market will go up...and down.

Bond yields will rise...and decline.

I'm always fascinated this time of year as every so-called financial "expert" on TV or in print feels the need to proclaim their prediction of what the markets will do over the next 12 months.

Do you regularly donate to organizations such as a religious institution, alma mater, or a 501(c)(3) charity? Good for you!

Do you own investments with a low cost basis that you'd like to sell but don't want to pay the capital gains tax that will result? Even better!

A Donor Advised Fund may be the perfect vehicle for you!

The days of working for the same company for 40 years then retiring with a gold watch and a pension paid for life are long gone.