Mid-Year Financial Check-In: What Should You Actually Be Reviewing?

, , ,

Half the year is behind you. Before the summer fully takes over, there’s one question worth asking — is your financial plan still pointing where you think it is?

Pause. Evaluate. Adjust.

January resolutions are easy to make. June is where they get honest.

By now, the market has moved, your income may have shifted, life may have handed you something unexpected — and the financial plan you started the year with might be quietly drifting off course without you realizing it. A mid-year check-in isn’t about panic. It’s about clarity.

Most people assume a financial review means staring at spreadsheets and recalculating budgets. But a real mid-year reset is something more purposeful: it’s a deliberate pause to ask whether your money is still working toward the life you actually want.

Here are the six areas worth looking at right now — and the questions that matter most inside each one.

Retirement planning is not meant to stay static. A mid-year check-in is a natural moment to revisit where you stand.

A Financial plan isn’t a destination, it’s a direction.  Mid’year is when you check if you’re still headed there.

RWM Financial Group

 

1.  Are Your Retirement Contributions Still on Track?

This is the one most people intend to address and never quite get around to. If you set a contribution rate at the start of the year, July is the right moment to check the math. Are you on pace to hit your annual maximum? Have you taken advantage of any catch-up contributions if you’re 50 or older?

Contribution limits are adjusted periodically by the IRS and may change from year to year. Before making contribution decisions, review the current IRS limits for 401(k)s, IRAs, and catch-up contributions or speak with your financial professional to determine the limits that apply to your situation. ¹

One question worth asking your advisor: Has your income changed enough in 2026 that your tax strategy around retirement accounts should shift?

  • Check year-to-date contributions against your annual target
  • Confirm your beneficiary designations are still current
  • Review whether a Roth conversion makes sense given current income
  • If you have a 401(k) match available, make sure you’re capturing all of it

2.  Does Your Emergency Fund Still Match Your Life?

Three to six months of expenses is the rule of thumb — but whose expenses? The version of your life from January, or the version you’re actually living right now?

If your rent went up, you added a car payment, or your household situation changed, your emergency fund target may have shifted without you updating the math. A fund that felt adequate in January might fall short today. And in the opposite direction: if you’ve been disciplined about saving this year, you may have more than you need sitting in a low-yield savings account — money that could be working harder elsewhere.

3–6

Months of expenses is the standard emergency fund target²
 

47%

of Americans cannot cover a $1,000 unexpected expense from savings³
 

2x

Self-employed individuals should target double the standard reserve

High-yield savings accounts and money market funds have become more attractive options in recent years. If your emergency fund is sitting in a traditional savings account earning close to nothing, now is a good time to reconsider where that liquidity lives.

Your emergency fund should reflect the life you’re living now, not the one you planned in January.

RWM Financial Group

3.  Is Your Debt Working Against Your Plan?

Debt isn’t inherently a problem — but unexamined debt is. The mid-year mark is a useful moment to look at the full picture: what you owe, at what rates, and whether your current payoff approach is still the right one.

Interest rates have not become irrelevant in 2026. If you’re carrying balances on variable-rate credit cards or have an adjustable-rate loan, it’s worth reviewing whether refinancing or consolidation makes sense. On the other side of the ledger, if you’ve been aggressively paying down low-interest debt while neglecting higher-yield investment opportunities, that trade-off deserves a second look.

  • List all outstanding debts with current interest rates
  • Identify whether any variable rates have changed since January
  • Evaluate refinancing opportunities for mortgages or student loans
  • Confirm you’re not carrying high-interest credit card balances month to month

One framework worth discussing with your advisor: the difference between wealth-building debt (a mortgage, a business loan at favorable terms) and wealth-eroding debt (high-rate consumer credit). Not all debt deserves the same urgency.

4.  Does Your Investment Risk Still Match Your Goals?

Markets don’t ask your permission before they move. If the first half of 2026 shifted your portfolio’s composition — even by a few percentage points — your actual risk exposure may no longer match the level you agreed to when you built your investment strategy.

This is called portfolio drift, and it’s entirely normal. But left unaddressed, it can mean you’re taking on more risk than you intended heading into a volatile second half of the year — or, conversely, that you’ve become too conservative at exactly the wrong time.

Mid-year is also a natural moment to revisit your time horizon. If retirement is now three years closer than when you last reviewed your allocation, that matters. The question isn’t just “how has the portfolio performed?” — it’s “is the portfolio still built for the version of my future I’m actually planning for?”

  • Review current asset allocation vs. your target allocation
  • Assess whether rebalancing is warranted
  • Revisit your risk tolerance — not just your risk capacity, but your comfort level
  • Discuss any concentrated positions that may have grown disproportionately

Portfolio drift is silent.  You don’t feel it happening, until it matters.

RWM Financial Group

5.  Business Owners: Are You Using the Tools Available to You?

If you own a business, the mid-year mark carries additional weight. This is the last realistic window before year-end tax planning becomes reactive rather than strategic.

Business owners have access to retirement vehicles that most employees don’t — Solo 401(k)s, SEP-IRAs, and SIMPLE IRAs, each with contribution structures that can dramatically reduce taxable income when used correctly. The question isn’t just whether you have these accounts open. It’s whether you’re maximizing them given what your business has earned in the first half of the year.

July is also a useful moment to revisit your entity structure, your estimated quarterly tax payments, and whether any major purchases or investments planned for Q4 should be moved up into Q3 for tax positioning purposes.

  • Review Q1–Q2 business revenue against full-year projections
  • Confirm estimated quarterly tax payments are accurate and on schedule
  • Evaluate Solo 401(k) or SEP-IRA contribution capacity for the year
  • Discuss any major capital expenditures with your advisor before Q4
  • Review your business entity structure — is it still optimized for your income level?

6.  Has Life Changed Since January?

This is the section most financial checklists skip — and it may be the most important one.

Financial plans aren’t made in a vacuum. They’re built around the life you’re living. And life has a way of changing in ways that don’t automatically trigger a call to your advisor. A marriage, a divorce, a new child, a parent who needs support, a health diagnosis, a new job, a relocation, an inheritance — all of these are inflection points that ripple through your financial picture in ways that aren’t always immediately obvious.

If something significant has happened in your life between January and today, your plan deserves a review. Not because something is wrong — but because a good plan is one that fits your actual circumstances, not your circumstances from six months ago.

  • Any change in marital status or family composition
  • A job change, promotion, or shift in income
  • A major health event or change in insurance coverage
  • An inheritance, gift, or significant windfall
  • A move to a new state (tax implications vary significantly)
  • Any beneficiary designations that may need updating

A plan that doesn’t account for the life you’re actually living isn’t really a plan, it’s a guess.

RWM Financial Group

Ready to Do Your Mid-Year Review?

You don’t need to have all the answers before we talk. That’s what the conversation is for. Schedule a mid-year review with the RWM team — and walk away with a clear picture of where you stand and what, if anything, needs to shift.

Schedule a Review

 

Sources

¹ Internal Revenue Service (IRS), Retirement Topics — Contribution Limits. Available at: https://www.irs.gov/newsroom/401k-limit-increases-to-24500-for-2026-ira-limit-increases-to-7500

² Consumer Financial Protection Bureau, Emergency Savings Guidance

³ Bankrate Emergency Savings Report, 2026

This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. If you are seeking investment advice specific to your needs, such advisory services must be obtained on your own separate from this educational material.

There is no guarantee that the views or strategies discussed are suitable for all investors or will achieve desired results. Investors should consult a financial professional to determine what may be appropriate for their situation.

Savings accounts are FDIC insured up to applicable limits and offer variable rates that may change over time, whereas securities are not FDIC insured and are subject to market risk, including possible loss of principal.

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although a money market fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

Investing in mutual funds involves risk, including possible loss of principal. Fund value will fluctuate with market conditions and it may not achieve its investment objective.

Traditional IRA account owners have considerations to make before performing a Roth IRA conversion. These primarily include income tax consequences on the converted amount in the year of conversion, withdrawal limitations from a Roth IRA, and income limitations for future contributions to a Roth IRA. In addition, if you are required to take a required minimum distribution (RMD) in the year you convert, you must do so before converting to a Roth IRA.

 

You Have a Retirement Plan. But Do You Understand It?

, , , ,

Most people know they have a retirement plan.

Far fewer know how it actually works.

They’re contributing every paycheck. They log in once or twice a year. Maybe they glance at the balance when the market is up.

But understanding your retirement plan goes beyond simply participating in it.

Because having a plan and having a strategy are two very different things.

At RWM Financial Group, one of the biggest things we see during reviews is this: people are often doing the right things… without knowing why they’re doing them. And over time, that disconnect can create missed opportunities, unnecessary risk, and real confusion about whether your plan is truly supporting your goals.

 

1. Your Contribution Rate Matters More Than You Think

A lot of employees choose a contribution percentage once and never revisit it. But life changes — and so should your plan.

Income changes. Goals change. Retirement timelines change. What made sense three years ago may not make sense today. And even increasing your contribution by just 1–2% can make a meaningful long-term difference thanks to compound growth.

The important questions to ask:

  • Are you contributing enough to support your future goals?
  • Are you taking full advantage of your employer match?
  • Are you increasing contributions as your income grows?

 

Retirement planning is not meant to stay static. A mid-year check-in is a natural moment to revisit where you stand.

 

2. Employer Match Is Part of Your Compensation

One of the most overlooked parts of a retirement plan is the employer match — and it’s also one of the most impactful.

Many employees don’t realize they may be leaving money on the table simply by not contributing enough to receive the full match. That match is part of your overall compensation package. Not understanding how it works can mean missing out on significant long-term growth.

A mid-year check-in is a great time to review:

  • What your employer offers and how the match formula works
  • Whether you’re maximizing the match
  • How vesting schedules affect when that money is truly yours
  • How those contributions impact your long-term savings trajectory

“Your employer match is not a bonus. It’s part of your compensation.”

 

3. Investment Allocation Should Align With Your Goals

One of the biggest misconceptions in retirement planning is that choosing investments is a one-time decision.

Your allocation — how your money is divided between stocks, bonds, and other assets — should reflect your age, your timeline, your risk tolerance, and your financial goals. What felt appropriate during one stage of life may feel completely different later. And over time, market performance can drift your allocation away from where it started without you ever noticing.

Many people are invested too aggressively without realizing it. Others may be sitting too conservatively and limiting their long-term growth potential.

During periods of market volatility, understanding why you’re invested a certain way becomes even more important. That’s where education matters — not reacting emotionally, not chasing headlines, but understanding the strategy behind the allocation.

“Plan vs. Strategy: Having an account is a plan. Understanding how it’s built is a strategy.”

 

4. Fees Matter — Even When They Seem Small

Fees inside retirement plans are often misunderstood because they’re not always obvious. They don’t announce themselves — they quietly reduce your returns year after year.

Small percentages may not feel significant in the short term, but over decades they can have a real impact. Even a difference of 0.5% in annual fees can add up to tens of thousands of dollars over a 20–30 year timeline.

That doesn’t mean the lowest-cost option is always the best option. It means understanding:

  • What fees exist inside your plan
  • What services are attached to them
  • Whether the value aligns with the cost

 

Transparency matters. And asking questions about fees should never feel uncomfortable.

“Understanding your fees is part of understanding your future.”

 

5. “Set It and Forget It” Can Become Risky

Automating your retirement contributions is a genuinely good habit. It removes friction and ensures you’re saving consistently.

The problem is when automation becomes a reason to disengage entirely.

Life changes fast:

  • Career changes
  • Family growth
  • Income shifts
  • Economic changes and market cycles

 

Your retirement strategy should evolve alongside those changes. A retirement plan should not feel confusing or distant. You should understand what you own, why you own it, and whether it still aligns with where you want to go.

That’s why regular reviews matter — not because something is “wrong,” but because staying informed helps people make more confident decisions.

“Having a retirement plan is important. Understanding it is where confidence starts.”

 

Mid-Year Is a Good Time to Check In

If you haven’t reviewed your retirement plan recently, this is a good time to start. A few simple questions can go a long way:

  • Am I contributing enough?
  • Am I receiving the full employer match?
  • Do my investments still align with my goals?
  • Do I understand the fees inside my plan?
  • Has anything changed in my life that should change my strategy?

 

You don’t need to have all the answers. But understanding your plan is one of the most important steps toward feeling more confident about your future.

Whether you’re an employee reviewing your personal retirement strategy or a business owner evaluating your company’s plan, the team at RWM Financial Group is here to help guide the conversation.

Schedule a retirement plan review or mid-year check-in to better understand how your current strategy aligns with your goals.

 

 

This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. If you are seeking investment advice specific to your needs, such advisory services must be obtained on your own separate from this educational material.

 

Outlook 2025: Pragmatic Optimism

LPL Research is pleased to present Outlook 2025: Pragmatic Optimism. Our annual update offers a complete comprehensive analysis of the economic and market environment and highlights potential implications for investors and their portfolios.

Looking back on 2024, it clearly echoed many of the themes from 2023. There were some brief economic growth scares along the way, but the broader economy continued to defy expectations and surprised once again to the upside. Stocks continued their strong performance, putting the S&P 500 on track to record its second consecutive year of 20% plus returns. Powerful trends in artificial intelligence and technology have continued unabated and largely overshadowed other factors like election uncertainty, continued geopolitical tension, and some rich stock valuation levels. After the election, the anticipation of potentially market-friendly policies from the incoming administration also helped to bolster stocks.

The bond market, in contrast, experienced another lackluster year. While the Federal Reserve (Fed) initiated a long-awaited easing cycle, policy ambiguity and uneasiness over rising debt levels led to increased volatility in bonds, but no clear directional trend.

As we look ahead to 2025, we remain cautiously optimistic. Cautious because we know that no market environment is ever permanent, and that change is always potentially around the corner. Optimistic because we recognize constructive long-term technology trends are in place. Plus, potential tax policy and deregulation efforts in 2025 could provide some semblance of a tailwind — particularly from an economic perspective. While risky asset returns are not expected to be as robust as 2024, 2025’s investment environment should prove to be favorable for investors.

These are just some of the insights you’ll find in Outlook 2025. The full report, combined with guidance from RWM Financial Group, will help you navigate through market complexities and crosscurrents and continue to work toward achieving your goals.

READ THE FULL REPORT

Please reach out to us at RWM Financial Group. We look forward to the opportunity to extend our services and to help position your investment portfolio for long-term success.

Member FINRA/SIPC Tracking #659982 (exp. 12/25)

 

Important Information

This material is for general information only and is not intended to provide specific advice or recommendations for any individual. There is no assurance that the views or strategies discussed are suitable for all investors or will yield positive outcomes. Investing involves risks including possible loss of principal. Any economic forecasts set forth may not develop as predicted and are subject to change.

References to markets, asset classes, and sectors are generally regarding the corresponding market index. Indexes are unmanaged statistical composites and cannot be invested into directly. Index performance is not indicative of the performance of any investment and do not reflect fees, expenses, or sales charges. All performance referenced is historical and is no guarantee of future results. Any company names noted herein are for educational purposes only and not an indication of trading intent or a solicitation of their products or services.

All index data from FactSet.

The Standard & Poor’s 500 Index (S&P500) is a capitalization-weighted index of 500 stocks designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries.

All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.

This research material has been prepared by LPL Financial LLC.

How Companies Can Ensure Their Plans Align with Employee Goals-And How RWM Financial Group Can Help

, , , ,

Alright, let’s cut to the chase—everyone wants to feel like they’re part of something meaningful, right? For companies, aligning their big plans with what their employees are aiming for isn’t just a nice-to-have; it’s a must if they want everyone on board, motivated, and ready to go the extra mile (without a grumble). Here’s a laid-back take on how companies can connect their big dreams with their people’s personal goals—and how RWM Financial Group is here to support you, from financial education to setting up 401(k)s that bring everyone closer to their goals.

Keep It Real with Open Communication

Start with good ol’ fashioned honest talk. Regular check-ins, genuine chats about ambitions, and the kind of culture where everyone can throw their ideas on the table make all the difference. Leaders, don’t just nod along—ask employees about what lights their fire! Whether it’s career growth or financial stability, open conversations lay the groundwork for connecting individual goals with company plans. Here at RWM Financial Group, we help companies communicate the importance of financial wellness by offering tailored workshops and one-on-one sessions on topics like retirement savings and 401(k) options.

Get Clear on Shared Goals

If the company’s goals are a mystery, how’s anyone supposed to get excited about them? Lay it out clearly—where’s the company headed, and why? When everyone knows the end game, it’s way easier to see how their own goals fit in. Clear goals aren’t just for big shots at the top; they’re for everyone, so make them simple, relevant, and inspiring. For instance, sharing the company’s commitment to providing a top-notch 401(k) plan can help employees see how their long-term financial goals line up with the organization’s priorities. With RWM Financial Group’s support, companies can set up retirement plans that serve everyone, from seasoned execs to the newest hires.

Give Development a Front Seat

If you want people to stick around and feel pumped, invest in them. We know that financial security is high on the list for most employees, which is why we offer services that encourage financial growth—like educating employees about maximizing their 401(k) contributions or saving for personal goals. These resources can make a big difference in how people feel about their jobs. From small business teams to larger corporations, RWM Financial Group provides tailored support for your unique workforce’s financial future.

Use a Goal-Setting Game Plan

Think frameworks like OKRs or SMART goals. Yeah, they sound a little corporate, but bear with us. These systems give structure to goal-setting and make it easy to see who’s crushing it. Plus, they give everyone a chance to brag (or reflect) on their progress. And just like with career goals, financial goals benefit from structure. We at RWM can help you create a structured 401(k) plan for your employees, enabling them to set, track, and adjust their retirement goals as they grow with your company.

Roll with the Punches

Employees’ goals aren’t carved in stone, and that’s a good thing. New skills, new passions, and sometimes just life mean goals change. Be open to mixing things up—whether it’s remote work, new projects, or different roles. A little flexibility keeps things fresh and lets people feel like they’re growing with the company, not just for it. RWM’s flexible approach to financial planning works the same way: we’re here to make sure your employees’ financial plans grow with them, whether that means updating 401(k) offerings, adjusting contributions, or addressing new financial education needs.

Show Some Love for a Job Well Done

When employees hit a milestone or crush a goal that matters to them (and the company), throw a little celebration! Public recognition, a bonus, or even a well-timed “Thank you!” can work wonders. Financial rewards and benefits—like a robust 401(k) match—are a big part of showing employees they’re valued. At RWM, we can help you set up a 401(k) plan that gives employees a financial boost as they work toward their personal and professional milestones.

Embrace Feedback and Keep It Moving

The road to alignment is paved with feedback—so make it a two-way street. Regular check-ins, team debriefs, and the occasional survey help everyone stay connected and keep strategies relevant. It’s like tuning a car; little tweaks here and there make sure it’s still running smoothly, no matter how long the journey. RWM Financial Group offers feedback loops for your financial plans, too, helping employees and employers review, tweak, and optimize 401(k) plans and other financial resources to keep everyone on track.

Share the Big Picture (Because It Matters!)

Employees don’t just want to clock in and out; they want to see the impact of their work. Tie their goals and contributions back to the company’s purpose—whether it’s creating the next great product, helping customers in meaningful ways, or just making the world a better place. When people see the bigger picture, it makes the day-to-day a whole lot more satisfying. At RWM Financial Group, we believe in building financial stability and growth for your team, which ultimately feeds into a stronger, more motivated company culture. With the right financial tools, like a well-managed 401(k) plan, employees feel more secure about their future—allowing them to focus on their work with confidence.

Aligning company plans with employee goals takes some effort, but the payoff? Worth every bit. By keeping communication open, investing in growth, and celebrating achievements, companies can build a workplace that’s fulfilling for employees and productive for the business. And RWM Financial Group is here to support every step—from helping employees get the most out of their 401(k)s to providing financial education for small businesses and large corporations alike. When everyone’s in sync, working together becomes a lot more fun, and success turns into a team sport.

This information was developed as a general guide to educate plan sponsors, but is not intended as authoritative guidance or tax or legal advice. Each plan has unique requirements, and you should consult your attorney or tax advisor for guidance on your specific situation. In no way does advisor assure that, by using the information provided, plan sponsor will be in compliance with ERISA regulations.

End of Year Retirement Plan Checklist: October -December Compliance Guide

, , , ,

As we approach the final quarter of the year, it’s crucial to stay on top of important retirement plan deadlines to ensure compliance with the U.S. Department of Labor and IRS regulations. From timely deposits to participant notices, adhering to these deadlines will help keep your plan in good standing. Here’s a month-by-month guide to help you navigate the final months of 2024.

OCTOBER: Payroll and Enrollment Checks

Audit Payroll and Plan Deposits

Ensure that all third-quarter payrolls and plan deposit dates comply with the U.S. Department of Labor’s rules. This means verifying the timely deposit of participant contributions and loan repayments to avoid penalties.

Enrollment Follow-Up

Employees who became eligible for your retirement plan between July 1 and September 30 should have received and returned their enrollment forms. If any forms are missing, this is the time to follow up to avoid compliance issues.

Safe Harbor Notices

If you offer a calendar-year safe harbor plan, you must issue the required notices to employees during October or November. These notices are critical as they must be provided within 30–90 days of the beginning of the plan year. Additionally, if your plan includes features like an Eligible Automatic Contribution Agreement (EACA), Qualified Automatic Contribution Agreement (QACA), or Qualified Default Investment Alternative (QDIA), make sure the appropriate notices are distributed during this time.

NOVEMBER: Preparation and Communication

Plan Announcements

Start preparing announcements to educate employees on the advantages of your retirement plan and any upcoming changes that will take effect in January. Communication is key to ensuring employees understand and appreciate their benefits.

Encourage Address Updates

With Form 1099-R for reportable transactions set to be mailed in January, now is a good time to run a campaign encouraging participants to update their mailing addresses to avoid missing documents.

Update Enrollment Materials

Verify that all enrollment materials, fund prospectuses, and other plan-related information provided to employees are current. These materials should reflect any changes in the plan and align with regulatory requirements.

Quarterly Statements

Within 45 days of the end of the last quarter, distribute the quarterly benefit and disclosure statements to plan participants. This should include a detailed breakdown of plan fees and expenses charged to individual accounts during the prior quarter.

Annual Plan Notices

Prepare and distribute any necessary annual plan notices, including 401(k) safe harbor notices, QDIA annual notices, and automatic enrollment/default investment notices. These notices must be sent at least 30 days before the end of the plan year.

DECEMBER: Year-End Preparations

Year-End Compliance Testing

Begin preparing to send year-end payroll and updated census data to the plan’s recordkeeper in January for year-end compliance testing. This is essential for calendar-year plans and ensures that your plan is in line with regulatory testing requirements.

Distribution Options for Terminated Participants

Verify that participants who left the company during the second half of the year have selected a distribution option for their account balance and returned the necessary forms.

Plan Operations Review

Conduct a thorough review of plan operations to identify any possible Employee Retirement Income Security Act (ERISA) or tax-qualification violations. If any issues are discovered, it might be necessary to use an IRS or U.S. Department of Labor self-correction program to remedy them before they become a larger issue.

By following these monthly action items, you can ensure that your retirement plan remains compliant and that participants are well-informed and supported. Staying proactive in the final quarter helps avoid last-minute stress and ensures a smooth transition into the new year.

Unveiling the Hidden Pitfalls of Retirement Planning: A Mission for Financial Maverick

, , , , , ,

In the high-stakes world of retirement planning, navigating hidden fees and complex investment structures can feel like flying a jet through a storm without a radar. Much like the iconic pilots of Top Gun, who train to be the best in high-pressure situations, understanding and mastering your financial landscape is a mission that requires precision, skill, and the right team by your side. At the 28th Annual Conference in Durant, Oklahoma, RWM Financial Group took the stage—aviators on, Top Gun music playing—to guide attendees through the hidden pitfalls of retirement planning in their presentation, “Vanishing Assets: The Hidden Pitfalls of Retirement Planning.

Understanding the Roles: Financial Advisor, TPA, and Custodian – Your Financial Wingmen

Just as Maverick relies on his wingmen to execute a flawless mission, your retirement plan relies on key players: the Financial Advisor, Third-Party Administrator (TPA), and Custodian. These roles work together like a well-coordinated flight team. The Financial Advisor, your “Top Gun” pilot, leads the charge by guiding investment decisions, educating participants, and ensuring regulatory compliance. The TPA handles the operational logistics, while the Custodian safeguards your assets. Each plays a critical role in ensuring your retirement mission succeeds without a crash landing.

Hidden Fees: The Financial MiG Threats

In the same way Maverick faces unexpected threats in the sky, hidden fees are the silent MiGs of your retirement plan, capable of chipping away at your wealth without warning. RWM Financial Group emphasized that these hidden costs—whether embedded within investment products, commissions, or referral fees—can undermine your financial altitude. To stay in control, it’s crucial to demand transparency and keep your financial radar sharp, ensuring that every fee is disclosed and accounted for.

Best Practices: Your Flight Manual for a Successful Mission

Just as Top Gun pilots follow their flight manuals to complete each mission, RWM Financial Group recommends following best practices to ensure your retirement plan stays on course. Establishing an Investment Policy Statement, reviewing fee structures regularly, and ensuring that fiduciary duties are met are essential steps in your financial playbook. Like any good pilot, you need to know your instruments—monitor your fees, evaluate service quality, and always be prepared for course corrections when necessary.

Key Insights: Lessons from the Top Gun School of Retirement Planning

The conference highlighted that Tribal communities, much like elite pilots, face unique challenges and need specialized strategies to succeed. RWM Financial Group encourages building a strong support network—your own “squadron”—that understands Tribal needs and values. By tailoring programs to serve not just the current generation but the next seven, you create a lasting legacy, much like how the Top Gun academy molds future leaders.

Actionable Takeaways: Execute Your Mission with Confidence

As Top Gun teaches, executing your mission requires preparation, precision, and the ability to adapt under pressure. The RWM team’s actionable takeaways—such as conducting fee comparisons, ensuring fee transparency, and engaging specialized advisors—are designed to keep your retirement plan flying high. By reclaiming hidden assets and refining your strategies, you can lead your financial squadron to victory.

Flying through the complexities of retirement planning doesn’t have to be a solo mission. With the right team and a keen understanding of the landscape, you can navigate past hidden threats and secure a prosperous future. Just like Maverick and his wingmen, RWM Financial Group is here to guide you through the turbulence, ensuring your retirement mission ends with a successful landing.

Ready to take command of your retirement planning? Our team of financial “Top Guns” is ready to help you soar toward your financial goals with precision and confidence.

Exciting News: RWM Financial Group’s New Partnership with Global Retirement Partners, LLC

, ,

At RWM Financial Group, our commitment to providing you with exceptional service and support is unwavering. We are excited to announce a significant step forward in our journey to serve you better. Effective September 16th, 2024, RWM Financial Group transitioned our compliance and regulatory oversight to Global Retirement Partners, LLC.

Why This Change?

The financial advisory industry is constantly evolving, with new regulations and increasing complexities. To stay ahead and continue offering you the best possible service, we have decided to partner with Global Retirement Partners, LLC. Based in San Rafael, CA, Global Retirement Partners is an SEC-registered investment advisor with over $140 billion in assets
under advisement. They specialize in the retirement plan space, providing robust regulatory support and comprehensive resources

What This Means for You

We understand that change can sometimes be unsettling, so we want to assure you that this transition is primarily a back-office change. Here’s what you can expect:

Unchanged Account Access

You will continue to log in to your accounts the same way you always have. Your account numbers and access to your information will not change.

Consistent Service

The services you receive, your fee structure, and our relationship with you will remain the same. Our commitment to providing you with exceptional service is stronger than ever.

Enhanced Support

This partnership further strengthens our regulatory and compliance support, including access to in-house legal counsel and a wider range of operational resources. This means even more robust support and services for you.

Broader Access to Investment Options

Our partnership with Global Retirement Partners will provide expanded access to a broader range of investment platforms, giving you more flexibility and choice in managing your investments. This enhancement enables us to tailor our strategies better to meet your individual needs and financial goals.

The Benefits

By aligning with Global Retirement Partners, we are positioning ourselves to provide you with an even higher level of service. This move aims to strengthen our ability to navigate the complex regulatory environment more effectively, ensuring that we remain compliant and ahead of industry standards. The enhanced resources and support will allow us to focus more on your needs and less on administrative tasks, ensuring a smoother experience for our clients.

The expanded access to a variety of investment platforms means we can continue to offer diversified strategies tailored to your unique financial objectives, helping us serve you better in achieving your long-term goals.

Thank You for Your Trust

We are honored to have you as our client and are excited about this new chapter in our journey together. Your trust and support mean the world to us, and we are confident that this change will bring about even better service and support for you.

We look forward to continuing to serve you and to the exciting opportunities this new partnership will bring!

This partnership represents our commitment to enhance your financial journey with superior support, expanded resources, and a steadfast focus on your success. We are excited to take this step forward together!

Understanding the Different Types of 401(k) Plans for Businesses

, ,

A guide from RWM Financial Group

As a small business owner, providing a retirement plan for your employees not only helps attract and retain talent but also offers significant tax advantages for your business. However, navigating the variety of 401(k) plans can be daunting. This guide will help you understand the differences between traditional and Roth 401(k) plans, as well as other retirement savings options, so you can choose the best plan for your business and employees.

Traditional vs. Roth 401(k) Plans

Both traditional and Roth 401(k) plans allow employees to save for retirement, but they differ in terms of tax treatment:

Traditional 401(k):

  • Tax-Deferred Contributions: Employee contributions are made pre-tax, reducing their taxable income for the year.
  • Taxable Withdrawals: Distributions in retirement are taxed as ordinary income.
  • Employer Contributions: Matching contributions are also tax-deferred, providing immediate tax benefits to the business.

Roth 401(k):

  • Post-Tax Contributions: Contributions are made with after-tax dollars, meaning there’s no immediate tax break.
  • Tax-Free Withdrawals: Qualified distributions in retirement, including earnings, are tax-free, offering potential long-term tax savings.
  • Flexibility for Higher Earners: Unlike Roth IRAs, Roth 401(k)s have no income limits, making them accessible to all employees regardless of their salary.

Both plans allow for high annual contribution limits and employer matching, which can enhance the retirement savings of your employees.

Other Retirement Savings Options

Aside from traditional and Roth 401(k)s, small businesses have other retirement plan options:

SIMPLE 401(k):

  • Designed for businesses with 100 or fewer employees.
  • Offers a simpler, less costly alternative with fewer compliance requirements.
  • Employer contributions are mandatory, but they can be structured as either a matching contribution or a non-elective contribution.

Safe Harbor 401(k):

  • Helps employers pass non-discrimination tests by making mandatory contributions to employees’ accounts.
  • Contributions are immediately vested, which can be a strong incentive for employee retention.
  • Can be paired with traditional or Roth 401(k) options.

SEP IRA and SIMPLE IRA:

  • Easier to set up and maintain, with lower administrative costs compared to 401(k) plans.
  • Ideal for very small businesses or sole proprietors.
  • SEP IRAs are funded entirely by employer contributions, while SIMPLE IRAs require both employer and employee contributions.

Choosing the Right Plan for Your Business and Employees

Selecting the best retirement plan involves understanding your business goals, budget, and the needs of your employees. Here are some key considerations:

Business Size and Resources:

  • For small businesses with limited resources, SIMPLE 401(k) or SEP IRA plans may offer a good balance of benefits and ease of administration.
  • Larger small businesses looking to maximize contributions and offer robust benefits may prefer traditional or Roth 401(k) plans.

Employee Preferences:

  • Understanding your employees’ preferences regarding tax treatment can guide whether a traditional or Roth 401(k) is more attractive.
  • Offering a mix of plans can cater to a diverse workforce, enhancing overall satisfaction and participation rates.

Cost and Compliance:

  • Consider the administrative costs and compliance requirements of each plan. For instance, 401(k) plans, while more complex, offer higher contribution limits and potential for employer matching.
  • Safe Harbor 401(k)s can alleviate some compliance burdens but require mandatory contributions.

Long-Term Goals:

  • If long-term tax savings for employees are a priority, a Roth 401(k) may be appealing.
  • For businesses looking to maximize immediate tax deductions, traditional 401(k) contributions provide a clear benefit.

RWM Financial Group is dedicated to helping businesses and individuals achieve financial security through tailored retirement planning and investment solutions. Contact us today to learn more about how we can support your financial goals.

Interested in Setting Up a 401(k) Plan for Your Business?

Setting up a 401k retirement savings plan for your business is a great way to save money on taxes and provide your employees with a valuable benefit. 

Consider contacting our team for assistance. At RWM, we provide a clear path to secure retirement for employers and employees of successful businesses.

This information was developed as a general guide to educate plan sponsors, but is not intended as authoritative guidance or tax or legal advice. Each plan has unique requirements, and you should consult your attorney or tax advisor for guidance on your specific situation. In no way does advisor assure that, by using the information provided, plan sponsor will be in compliance with ERISA regulations.

Mid-Year Financial Check-Up: Why It’s Important and How to Conduct One

, ,

Hey there, financial aficionados and savvy savers! Can you believe we’re already halfway through the year? Time flies when you’re having fun or knee-deep in work, family, and trying to remember where you left your car keys. With the year’s midpoint upon us, it’s the perfect moment for a Mid-Year Financial Check-UP. Whether you’re a meticulous planner or a free spirit, this check-up is your golden ticket to ensuring your financial goals are still on track.

Why It’s Important

  • Stay on Track: Remember those financial resolutions you made with a sparkle in your eye on January 1st? A mid-year review helps you see if you’re still on course or have wandered into the financial wilderness.
  • Adjust to Changes: Life happens! Job changes, unexpected expenses, or even windfalls can significantly impact your financial plans. A mid-year check-up allows you to adapt your strategies to your current situation.
  • Boost Your Confidence: Knowing where you stand financially can give you peace of mind and the confidence to make informed decisions for the rest of the year.

How to Conduct a Mid-Year Financial Check-Up

  • Review Your Financial Goals:
    • Personal Goals: Take a look at your savings, debt repayment, and investment goals. Are you on track to meet them by year-end? If not, it’s time to tweak your approach.
    • Business Goals: For entrepreneurs, review your business’s financial health. Are your revenue targets within reach? How are your expenses tracking?
  • Evaluate Your Budget:
    • Compare your actual spending against your budget. Are there areas where you’re consistently overspending or understanding? This insight can help you reallocate funds to align better with your goals.
  • Assess Your Savings:
    • Check your emergency fund, retirement accounts, and any other savings goals. Have you saved as much as you planned? If not, consider automating your savings to stay disciplined.
  • Debt Check-In:
    • Review your debt repayment progress. Are you on track to pay off high-interest debt? If you’ve taken on new debt, how is it impacting your overall financial picture?
  • Investment Performace:
    • Look at your investment portfolio. Are your investments performing as expected? If not, it might be time to rebalance your portfolio or consult with a financial advisor.

Tips for Adjusting Strategies Mid-Year

  • Revisit Your Priorities:
    • Sometimes, our goals change. Maybe that dream vacation fund is less critical now than boosting your retirement savings. Adjust your priorities and redirect your financial resources accordingly.
  • Cut Unnecessary Expenses:
    • Identify any recurring expenses that no longer serve you. Cancel those unused subscriptions and direct that money towards more meaningful goals.
  • Boost Your Income:
    • Consider ways to increase your income. This could be asking for a raise, taking on freelance work, or starting a side hustle.
  • Update Your Financial Plan:
    • Life evolves, and so should your financial plan. Make any necessary adjustments to ensure it still aligns with your long-term objectives.

Benefits of a Mid-Year Review

  • For Personal Finances:
    • Clarity and Direction: A mid-year review provides a clear snapshot of your financial health and helps you stay focused on your goals.
    • Proactive Adjustments: By identifying issues early, you can make proactive adjustments rather than reactive fixes.
  • For Business Finances:
    • Strategic Planning: Regular reviews help business owners make informed decisions, plan for the future, and stay agile in a changing market.
    • Improved Cash Flow Management: By evaluating income and expenses, you can better manage cash flow and ensure your business remains financially healthy.

Why Choose RWM Financial Group?

At RWM Financial Group, we understand the importance of a solid financial foundation. As a SmartVestor Pro with Dave Ramsey, we are committed to providing trusted financial advice and guidance. Our team of experts is here to help you navigate your mid-year financial check-up with confidence. Whether you’re reviewing personal goals or assessing your business finances, we’ve got you covered with the expertise you need to make informed decisions.

So, let’s raise a glass (or a calculator) to the mid-year mark! Conducting a financial check-up now can set you up for a stronger, more secure finish to the year. Remember, it’s not about perfection but progress. Here’s to making the second half of the year even better than the first!

Happy Reviewing!

Powerful 529 Plan Benefits

,

When it comes to saving for education, 529 plans are one of the most versatile and powerful tools available. These tax-advantaged accounts offer a range of benefits that can help you support your child’s educational journey from kindergarten through college and beyond. Here are some key features of 529 plans that make them an excellent choice for forward -thinking families.

More Than Just Tuition

529 plan assets are incredibly versatile. While many people know that these funds can cover tuition and books, they can also be used for essential modern educational tools like computers and internet access. This makes 529 plans adaptable to the evolving needs of education in the digital age.

Not Just for College

One of the lesser-known benefits of 529 plans is their applicability to K-12 education. You can use up to $10,000 per year per student for tuition at private schools, providing significant support for your child’s education well before they reach college.

Support for Apprenticeships and Debt Repayment

Beyond traditional educational expenses, 529 plans also support registered apprenticeship programs. This means your investment can help your child gain valuable skills in trades. Additionally, these funds can be used to repay up to $10,000 in student loans, making it a versatile tool for managing education-related debt.

Early Bird Gets the Worm

Starting early with a 529 plan can make a huge difference. The longer your money has to grow, the more substantial your savings will be when your child is ready for college. Compounding interest over the years can significantly boost the amount available for educational expenses.

Flexibility with Funds

The flexibility of 529 plans extends beyond tuition. You can use these savings for a variety of qualified education expenses, including room and board, books, and even computers. This ensures that your child’s comprehensive educational needs are met.

State Tax Deductions

Depending on your state, contributions to a 529 plan might qualify for state tax deductions or credits. This can provide immediate tax benefits, making your savings efforts even more rewarding.

Change of Plans? No Problem!

If your child decides not to attend college, 529 plans offer flexibility. You can transfer the account to another eligible family member without penalty, ensuring your savings benefit someone in your family.

Estate Planning Perks

Contributions to a 529 plan are considered completed gifts for tax purposes. This can help reduce the size of your taxable estate, offering a strategic benefit for grandparents who want to support their grandkids’ education while managing their estate.

Control Over Funds

As the account owner, you maintain control over the funds in the 529 plan. You decide when and how the money is used, ensuring it supports your child’s education as you intended.

Low Impact on Financial Aid

529 plans generally have a lower impact on financial aid calculations compared to other savings accounts. This can help maximize the financial aid your child may receive, making higher education more affordable.

Crowdfunding Education

Some 529 plans offer gifting options, allowing friends and family to contribute directly to your child’s college savings. This feature makes it easier to involve loved ones in funding your child’s future, harnessing the power of community support.

Potential for Growth

Investing in a 529 plan offers the potential for your savings to grow over time through a variety of investment options. Whether you prefer conservative or aggressive portfolios, you can tailor your investment strategy to match your risk tolerance and financial goals.

Peace of Mind

Having a dedicated plan for your child’s education expenses can greatly reduce financial stress. Knowing that you have a strategy in place, combined with the tax advantages of 529 plans, can provide peace of mind and confidence in your financial planning.

529 plans are more than just a savings account; they are a comprehensive tool designed to support educational aspirations and financial stability. Whether you’re planning for the immediate future or long-term goals, these plans offer flexibility, growth potential, and significant tax benefits. Start exploring 529 plans today to secure a brighter future for your child.

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 state benefits such as financial aid, scholarship funds, and protections from creditors 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.

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.