Important Milestones

Jeanne Tackett | Nov 15, 2024

Important Milestones - 2024

Financial planning is all about being prepared for the future. But with so much going on in life, it can be easy to let important financial milestones slip by unnoticed. This can be a costly mistake. By familiarizing yourself with key financial milestones, you can take steps to ensure you are on track to meet your financial goals.

Here's a quick look at some of the important financial milestones listed in the image you sent us:

•Age 18: This is the age of majority in most states. It's also the age at which some UGMA and UTMA custodial accounts terminate. This means the minor for whom the account was created now has control over the assets in the account.

•Age 26: If your adult child is covered under your health insurance plan under the Affordable Care Act (ACA), they may lose coverage at this age.

•Age 50: Individuals age 50 and older are eligible to make catch-up contributions to retirement accounts, such as IRAs and 401(k)s. These catch-up contributions allow you to save more money for retirement.

•Age 59.5: This is the age at which you can begin withdrawing money from your IRA without having to pay a 10% early distribution penalty.

•Age 62: You can begin claiming Social Security retirement benefits at age 62. However, if you do so before your full retirement age (FRA), your benefits will be reduced.

•Age 65: If you have a Health Savings Account (HSA), you can begin making withdrawals from the account to pay for Medicare premiums without penalty at age 65.

•Age 66: This is the full retirement age (FRA) for most people born between 1943 and 1954. If you were born in 1960 or later, your FRA is age 67.

•Age 70: You can begin receiving your maximum Social Security benefit at age 70. This is also the age at which you must begin taking required minimum distributions (RMDs) from your traditional IRA and 401(k) accounts.

•Age 72 (Born before 1960) or 73 (Born in 1960 or Later): This is the age at which you must begin taking required minimum distributions (RMDs) from your traditional IRA and 401(k) accounts.

How a Financial Advisor Can Help

These are just a few of the many important financial milestones you'll encounter throughout your life. A financial advisor can help you create a financial plan that takes these milestones into account and helps you achieve your financial goals.

We Can Help You:

•Develop a personalized financial plan

•Set and achieve your financial goals

•Choose the right investments

•Save for retirement

•Protect your assets

If you are interested in learning more about how a financial advisor can help you, contact us today for a free consultation.

Securities offered through LPL Financial, Member FINRA / SIPC. Investment advice offered through Total Clarity Wealth Management, Inc., a registered investment
advisor and separate entity from LPL Financial.This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor.