Individuals and Family Planning

It's all about the options you don't know you have, and the insight you don't know you need. The world of investing is constantly changing. This is where professional assistance helps you. If everyone could get ahead by just reading a financial magazine or two, we might all be millionaires! But as good as he is, the great golfer Tiger Woods doesn't pick up the latest issue of Golf Digest to improve his swing. He hires a professional swing coach. A financial firm can be your professional coach — especially if that one takes a comprehensive look at your overall life situation, goals and dreams. It's about more than your money. It's about your LIFE. The right firm should be one that helps improve your life in addition to your portfolio.

This question is easier asked than answered and depends on your personal circumstances. There is not just one way that works best for anybody. Most people benefit more by utilizing a combination of choices — maybe an employer sponsored plan combined with a brokerage account; an IRA combined with a deferred annuity; etc. There are a thousand ways to invest — but only a few are right for you. To get an idea of what options might work for your specific situation, you should consult a financial advisor. The Granite team has a passion to help you to arrive at the right answer. And it costs you nothing to learn about the options.

You have several options at this point. When you actually retire, you need to speak with a professional who not only knows the options, but can counsel with you about some of your needs in the near future. You might want to:

1. Borrow from your 401k. If so, then you will want to roll your 401k into the 401k plan of your next employer (you would not be able to borrow from a 401k that had been rolled into an IRA). While borrowing from the 401k is not highly recommended, it is an option available to you.
2. Transfer your 401k into an IRA where:
   i) You would have more investment options than in the 401k
   ii) You could use various investment vehicles and strategies to bring down-side protection to your value in volatile markets.

You really should seek counsel with someone like the Granite team and design a plan that fits your needs.

Take a trip to MAUI! Cruise the world. But if you don't want your inheritance gone faster than you can count it, then you need to design a plan. It's been said, over 80% of inherited wealth is gone within 18 months! An inheritance is a hard thing to grasp mentally. On the one hand, it is nice to have a large sum of money at once. On the other hand, the real value of an inheritance is not what it can do for you now, but what it needs to do for you later. It's okay to spend some now if you need, but having a plan can help ensure your money becomes a legacy that lasts a lifetime. Your plan should also incorporate your taxation issues and your retirement goals. It may be possible that you don't need the inheritance, thus allowing it to extend down to your kids for growth over an even longer period of time. Talk about a legacy! The Granite team is able to help you understand your options.

There are two basic ideas that you should always remember:

• Start as early as possible
• Any amount of contribution to a fund is better than nothing — increase the amount as you can

For many families, a 529 college plan could possibly offer the most benefits. Contributions to a 529 are not tax deductible, but all gains do accrue tax deferred. Then, when it is time for college (or any qualifying program of learning beyond high school — e.g. a technical school, etc.), the entire account, including all the possible gains, is available for the beneficiary for qualified educational expenses with NO CAPITAL GAINS TAXES OR INCOME TAXES. Contact the Granite team to discuss all your options.