Implement
Purpose: To execute the customized plan and make any necessary adjustments to your accounts, investments, and retirement strategies to align with the goals we’ve set.
How We Implement the Plan:
- Account Adjustments and Transfers
- What we’ll do:
o We’ll move forward with any required changes to your accounts. This might include transferring funds between accounts, rolling over 401(k)s or IRAs, setting up a Roth IRA, or adjusting contributions to tax-advantaged accounts.
o If a Roth conversion is part of the plan, we’ll start the conversion process by transferring the appropriate amounts from traditional IRAs or 401(k)s into Roth accounts, taking care to manage the tax implications.
- Action Items:
o Set up contributions to any HSAs, Roth IRAs, or other tax-advantaged accounts. o Execute Roth conversions based on the timeline and amounts we’ve outlined. o Open or update any investment or savings accounts necessary to facilitate the plan. 2. Investment Rebalancing
- What we’ll do:
o We’ll rebalance your investment portfolio according to the strategy we’ve outlined. If we’ve decided to reduce risk by shifting from equities to bonds, for instance, we’ll execute those trades.
o We’ll also set up an automatic review and rebalancing schedule to ensure that your portfolio stays aligned with your retirement needs and risk tolerance.
- Action Items:
o Shift your portfolio allocation as per the customized strategy (e.g., increasing bonds or dividend stocks for a more stable income).
o Set up regular portfolio reviews and rebalancing to maintain your target asset allocation. 3. Withdrawal Strategy Implementation
- What we’ll do:
o If we’ve developed a specific withdrawal plan (e.g., taking tax accounts first, then tax deferred accounts), we’ll ensure that your retirement accounts are set up to facilitate t strategy.
o We’ll make sure you have easy access to your funds as per your income needs. • Action Items:
o Set up systematic withdrawals from the appropriate accounts.
o Coordinate required minimum distributions (RMDs) from traditional IRAs or 401(k)s when you reach the age threshold.
o Establish automatic transfers to ensure you receive a steady income stream as outlined in the plan.
- Tax Planning and Coordination
- What we’ll do:
o Implement any tax-saving strategies such as Roth conversions or managing withdrawals to keep you in a lower tax bracket.
o We’ll work closely with your tax advisor (or provide one if needed) to ensure the implementation is in line with tax regulations and to minimize tax liabilities.
- Action Items:
o Set up Roth conversions in a tax-efficient manne
o Work with your tax professional to monitor and manage tax implications of withdrawals and conversions.
o Ensure HSA and other tax-advantaged contributions are optimized.
- Healthcare and Longevity Planning
- What we’ll do:
o Ensure that any healthcare-related provisions are implemented, such as funding HSAs or purchasing long-term care insurance.
o We’ll also make sure you have a strategy in place for covering future healthcare costs, possibly setting aside specific funds for medical expense
- Action Items:
o Fully fund your HSA if eligible and appropriate for tax-free healthcare withdrawals.
o Ensure that any long-term care insurance is in place and aligned with your overall retirement plan.
- Legacy and Estate Planning
- What we’ll do:
o Implement any legacy strategies, such as setting up a trust, purchasing life insurance, or ensuring beneficiaries are updated on your account
o We’ll coordinate with your estate planning attorney if you have one to ensure all your estate documents (wills, trusts) align with your retirement and legacy goals.
- Action Items:
o Update beneficiary designations on accounts like IRAs, Roth IRAs, and life insuranc policies.
o Ensure that estate planning documents (trusts, wills) reflect the retirement strategy an legacy goals.
Final Steps in Implementation:
- Coordination: We’ll work closely with your other financial professionals (e.g., tax advisor estate attorney) to ensure the entire plan is implemented smoothly and in alignment with your goals.
- Account Setup: We’ll take care of any necessary account openings, transfers, or administrative steps needed to implement the plan.
- Automatic Monitoring: Set up ongoing monitoring systems to ensure that your income, taxes, and investments are working together as planned.
Regular Follow-Up and Adjustments:
- After implementation, we’ll schedule regular check-ins (typically annually or semi-annually) to review the performance of the plan and make any necessary adjustments. Life events, market changes, or tax law changes might require tweaks, and I’ll ensure we stay proactive in managing your plan.
