Traditional IRA VS Roth IRA

An Individual Retirement Account (IRA) is an account set up at a financial institution that allows an individual to save for retirement with tax-free growth or on a tax-deferred basis.

A Traditional IRA lets you postpone taxes and any earning that grow tax-deferred until you withdraw them in retirement. You can deduct the maximum annual contribution on your income tax return. For 2021 the maximum contribution limit is $6,000, or $7,000 if you’re 50 or older. You must begin taking required minimum distributions (RMD’s) from your account by April 1 of the calendar year following the year you turn 72 (age 70 ½ if you attained age 70 ½ before 2020). A Traditional IRA is best suited for retirees who expect to be in a lower tax bracket than they were in pre-retirement.
A Roth IRA lets you contribute after-tax dollars which grow tax-free and can be withdrawn tax-free. There are earnings limits but no required distribution at 72. The 2021 contribution limit is up to $6,000, or $7,000 if you’re 50 or older. Individuals age 59 1/2 or older holding accounts for at least 5 years can withdraw money without paying federal taxes. You pay taxes on your money upfront, let your money compound, and then withdraw in retirement tax-free.
Disclaimer: Past performance is not indicative of future results. Starfox Financial Services, LLC makes no promises or guarantees. Investments will go up or down depending on market conditions. The information presented is general in nature and not specific to any investor. Starfox Financial Services, LLC does not give tax or legal advice. Please consult your advisor for how this may relate to you.
Source: Charles Schwab

There’s Never Been a Better Time

You may not realize this, but building wealth to secure your long-term goals starts with one, simple step: Building good financial habits, now.

Saving and investing wisely. Managing debt. Controlling your spending. And defining what matters most in your financial life—for today and tomorrow—are the building blocks of a secure future.

And there’s never been a better time to lay that foundation.

At Starfox Financial Services, we’re ready to help you plan for your future. We know sometimes even thinking about financial stability can feel intimidating, especially if it means limiting the things that you’ve worked hard for. But with the right financial plan in place, achieving your goals of tomorrow doesn’t have to mean giving up what makes your life rich, today.

Wondering how it works? We can show you, or you can see yourself at the Start My Plan link below.

An emergency fund is money that’s set aside for unexpected expenses, such as a medical bill or loss of income. They allow you to cover these unplanned expenses, so you don’t have to use a high-interest credit card or take out a loan. Individuals should aim to save 3-6 months’ worth of their basic living expenses. Learn 5 simple steps to start your emergency fund today.

 

How to start:

  1. Determine your emergency fund goal
  2. Save money in a separate account away from day to day spending
  3. Set up automatic transfers until you hit your goal
  4. Put in a high-yield savings account
  5. Only use for emergencies

 

Calculate your emergency fund goal here

Starfox Financial Services is proud to announce Will Warren has successfully passed the Series 65 exam and is FINRA registered as an Investment Advisor Representative. The Series 65 is an exam and securities license required for individuals to act as investment advisors in the US. We continue to grow and advance our team’s knowledge to help meet our clients’ needs.
Congrats Will!

 

Read Will Warren’s Bio Here 

Instructions
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View your accounts, holdings, and investment allocation with Starfox Financial Services, LLC. Track your progress toward achieving your financial goals. Review your latest custodial statements or the latest commentary.

How to Access the Client Portal:

Please choose the device you will use to login into the client portal. This will direct you to the proper instructions.

Note: You will not be able to access the client portal if you have not received an email with your username & password.

If you have not received this information OR are having any problems accessing the portal please contact [email protected]

1. Not knowing your full retirement age

You’re not entitled to your full monthly benefit until you reach what’s known as full retirement age (FRA).

Not knowing your full retirement age can cause you to claim Social Security at the wrong time.

2. Filing too early

The Social Security Administration (SSA) allows you to file as early as age 62. However, for each month you file for Social Security ahead of FRA, your benefits get reduced by a small percentage.

3. Not checking your annual earnings statements

Checking that statement for errors is important, because if you spot a mistake that works against you it could cause your benefits to go down.

The Motley Fool
Disclosure: Past performance is not indicative of future results. Starfox Financial Services, LLC makes no promises or guarantees. Investments will go up or down depending on market conditions. The information presented is general and not specific to any investor. Please consult your advisor for how this may relate to you.

Hello Boomer, Welcome to Retirement.

The COVID-19 pandemic has forced many Baby Boomers to retire sooner than expected. Nearly 5 million people ages 55 to 70 have lost their jobs since March and are unlikely to return to the workforce according to a report from New School’s Retirement Equity Lab.

Are you ready for retirement? 

We Can Help You…

  • Plan for Retirement (Financial Planning)
  • Enjoy Retirement (Portfolio Management)

At Starfox, we offer both Financial Planning and Portfolio Management to help you maximize your retirement income and make it last. Financial planning is about managing and budgeting for your future financial needs, while portfolio management is investing your current capital to grow your wealth.

Our team is committed to helping our clients plan for a secure retirement. Whether you’re thinking about retiring or already retired we are here to help you achieve your financial goals.

Request a Complimentary Consultation

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This commentary on this website reflects the personal opinions, viewpoints and analyses of the Starfox Financial Services, LLC employees providing such comments, and should not be regarded as a description of advisory services provided by Starfox Financial Services, LLC or performance returns of any Starfox Financial Services, LLC Investments client. The views reflected in the commentary are subject to change at any time without notice. Nothing on this website constitutes investment advice, performance data or any recommendation that any particular security, portfolio of securities, transaction or investment strategy is suitable for any specific person. Any mention of a particular security and related performance data is not a recommendation to buy or sell that security. Starfox Financial Services, LLC manages its clients’ accounts using a variety of investment techniques and strategies, which are not necessarily discussed in the commentary. Investments in securities involve the risk of loss. Past performance is no guarantee of future results.

Tax Day – July 15th, 2020

Don’t delay, the extended deadline to file your taxes is approaching.

Taxpayers who need more time can request an extension through their tax professional, tax software, or by using the free file link at IRS.gov. Submit form 4868 for individuals and form 7004 for businesses. The automatic extension date is 10/15/2020.

The IRS urges taxpayers who are due a refund to file electronically as soon as possible. Filing electronically with direct deposit is the quickest way to get your refund. You are likely to receive your refund within 21 days.

Make sure to file your taxes even if you are unable to pay them. The penalty for not filing will be more expensive than the failure to pay. The IRS is willing to make arrangements for those who cannot pay in full (payment plans).

 

For more information visit: https://www.irs.gov/newsroom/tax-day-now-july-15-treasury-irs-extend-filing-deadline-and-federal-tax-payments-regardless-of-amount-owed

What makes us unique? At Starfox Financial Services, as a fiduciary, our team has a duty to act for the benefit of our clients above ALL else. We put our clients FIRST!

100% Fee-Only Service, we receive NO COMMISSIONS or WRAP FEES from any of the securities we recommend.

We hold a relationship of trust with our clients and are dedicated to being fully transparent. We pride ourselves in giving our clients our un-divided loyalty and effort.

At Starfox we work with our clients to develop a plan for financial independence and help to confront competing goals such as saving for retirement, college or paying down debt. We begin the financial planning process with an analysis of the current situation, goals, objectives and any issues. Our clients have access to a custom planning portal to see all their accounts and their progress toward achieving their goals.

Let us help you develop a plan to move from financial dependence to an ultimate goal of financial independence.

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Jose Palafox and Bill Friebel of Starfox Financial Services, LLC share a video update that reviews 2017 and the upcoming year.

Watch the video below for the January 2018 Update:

Starfox Financial Services, LLC does not provide tax or legal advise. Please consult with your tax advisor or attorney. This summary is courtesy of our CPA friends. Consult https://www.congress.gov/bill/115th-congress/house-bill/1/text for details.

Past performance is not indicative of future results. Starfox Financial Services, LLC makes no promises or guarantees. Investments will go up or down depending on market conditions. The information presented is general in nature and not specific to any investor. Please consult your advisor for how it may relate to you.

Download the January 2018 Update presentationCLICK HERE

Discussion Topics
▪ Tax Reform
▪ Market Update
▪ Outlook for 2018

Questions? Feel free to contact us:
➢ 281-764-2139 or 760-946-0700
➢ Jose Palafox, Founder, Advisor, Portfolio Manager – [email protected]
➢ Bill Friebel, CFP®, Partner, Advisor, Client Service/Planning – [email protected]