Future value (FV) is the value of a current asset at a future date. It is useful for extrapolating the expected return on an asset. The math uses an assumed rate of growth. For investors and financial planners the use
The present value (PV) is the current value of all future sums of money or stream of cash flows given a specified rate of return. Future cash flows are discounted based on the time value of money referred to here
Income, for planning purposes is any source of income that comes into your personal or professional balance sheet. Most people see this is income from their employment. We focus chiefly on investment income. This come from a few different sources:
What are the best investments for dentists? You’ve invested in your education, in your practice, and in your staff, but how do you make investments for yourself to ensure the health of your personal retirement and practice? These are the
Generally debt is any monies owed. it is broadly defined as “Any negative on your balance sheet.” But we think there are key distinctions in the way debt is owed. This causes us to divide debt into two definitions, erosive
The short answer is usually to always pay off high interest erosive debt like a credit card first (The First 8 “Good” Money Habits). You cannot consistently return more than credit card interests rates, therefore, you should pay it off
A IRA without investment limitations Annual Contribution Max: $6,000 or $7,000 if over 50 years old. Why we like Self Directed IRA’s: Available to anyone Makes several non marketed assets available to invest (Including, Franchises, Commercial and Residential Properties, Precious
Getting corporate retirement plan benefits for when you are going it alone Annual Contribution Max: $57,000 or 25% employees pretax income Why we like Solo 401(k)’s: Easy to administer, low-cost retirement plan designed for self-employed individuals and owner-only (spouse can
Simple without being simplistic Annual Contribution Max: $13,500 Why we like SIMPLE IRA’s: They are easy to set up and require little to no fiduciary oversight Employee’s can direct the assets with total control Low contribution limits {Total elective contribution
Purpose built for Small Business Owners and Self-Employed Annual Contribution Max: $57,000 or 25% employees pretax income Why we like SEP IRA’s: High contribution limits For employees, immediate vesting can be an advantage Total investment control Easy set up and
A “Catch All” Retirement Plan Annual Contribution Max: $6,000 or $7,000 if over 50 years old. Why we like Traditional IRA’s: Available to anyone Wide variety of investment choices Total control over the amount of control you want Ability to
