Insurance Planning

Could the Affordable Care Act be Right for You?

 It’s hard to believe it has been just about a year since the Affordable Care Act officially rolled out.  Between technology issues from healthcare.gov and confusing plans, it was tough for many Americans signing up to truly understand the health care coverage.  But one year later, many of those issues have been resolved and the next “enrollment period” for 2015 runs November 15th through February 15th, 2015. 

What You Pay for Going Uninsured

If you are not covered under an employer plan and you do not sign up for coverage on the “exchange”, you will face a penalty for not carrying insurance.  In 2014, the “fine” for not having insurance was 1% of income or $95/person, whichever was greater (for most, it was the 1% of income).  Effective 2015, that penalty will increase to 2% or $325/person, whichever is greater.  As the years progress, the penalties for not having insurance will increase as our government attempts to dramatically reduce the amount of uninsured individuals in the country. 

Could You Reduce Your Monthly Premiums?

If your income is within certain parameters based on the number of people in your household, you could qualify for subsidies that could potentially reduce your monthly insurance premiums or provide for a free care period.  This link to healthcare.gov shows those qualifying ranges. At The Center, we have identified this as a planning opportunity for certain families and individuals, especially those who are retired but not yet age 65 and Medicare eligible.  By coordinating with a client’s CPA and doing some proactive tax planning, income can be drawn from certain accounts to keep your adjusted gross income (AGI) as low as possible to potentially qualify for a reduced insurance premium (drawing income from taxable accounts instead of IRAs, deferring Social Security, etc.) … potentially saving thousands each year. 

Including Adult Children on a Plan

It’s also worth mentioning that children can stay on their parent’s insurance plan up to age 26 – even if the child is still attending school, married, not living at home, not financially dependent on their parents and eligible to enroll in their own employer’s plan.  Often times, coverage is much cheaper for the parent to have the “child” on their plan as opposed to the child actually obtaining coverage on their own.  We’ve seen some clients have their kids pay them the cost of maintaining them on their plan so the child is still contributing to their coverage, but at a much more reasonable rate that usually offers more comprehensive coverage in general.    

As you can see, there are many things to consider with the new health care changes. Since the Affordable Care Act has been around for almost a year now, hopefully more and more folks are becoming familiar with those changes.  Although we are not insurance experts, we can still give you some insight on your coverage. Please don’t hesitate to contact us if you have any questions or would like to dive deeper into your personal financial situation.

Nick Defenthaler, CFP® is a Certified Financial Planner™ at Center for Financial Planning, Inc. Nick currently assists Center planners and clients, and is a contributor to Money Centered and Center Connections.

The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any opinions are those of Center for Financial Planning, Inc. and not necessarily those of RJFS or Raymond James. C14-034475

How to Pick Between 3 Types of Life Insurance

 For most couples, having life insurance during the wealth-accumulating years can make a lot of sense. Also, some people may consider having a policy even in retirement, if their goal is to leave a financial legacy.  Life Insurance has a lot of potential benefits to consider such as:

  • Replacement for the loss of income of a spouse
  • Paying off liabilities such as a mortgage, auto loans, or credit cards
  • Covering education costs for children
  • Providing a lump sum for the surviving spouse to utilize in retirement
  • Leaving a legacy to family or charitable organizations

When it comes to life insurance, it’s not simply deciding if you want it. It’s also deciding which kind. Here are three main types of life insurance:

Level Term Insurance

 This is the easiest type of insurance to understand because it is similar to other types of insurance you have (auto, home, disability etc.).  With Level Term Insurance you pay a premium each year and, if you die, the insurance carrier will pay a death benefit to your beneficiaries.  Typical term periods are 10, 20, or 30 years.  While you are in the level term period, your premium will remain the same.  Once your policy is outside of the level term period, the premium will begin to increase; oftentimes it will increase substantially. A few reasons where this type of insurance is appropriate:

  1.  Replacing income in the event of an untimely/unexpected death
  2.  Paying off liabilities
  3.  Funding education goals

Universal Life Insurance

This is sometimes referred to as “permanent term insurance”.  This product is usually underwritten to make sure a death benefit remains in place until age 90, 95, or 100.  Sometimes there is a cash value in the earlier years of the policy, but this is usually eaten up by internal costs and expenses as the policy reaches maturity.  This product is often used when someone wants to leave a financial legacy to their kids, church, or charity. Also, it can be used to ensure alimony or other similar court settlement agreements are paid, even in the event of an unexpected death.

Whole Life Insurance

This type of insurance is conservatively underwritten, and because of this, it is often the most expensive type of insurance.  It does have a cash component that takes several years to begin accruing.  A lot of the products I have seen take approximately 10 years to break even from what you have paid in premiums compared to what’s available in cash value.  This is another type of permanent insurance that is frequently used in legacy planning.  When Estate Taxes were an issue for many Americans (back when the exclusion amount was $3.5 Million or less) these policies were purchased to provide liquidity to pay Uncle Sam at death.

What is the right type of insurance for you? 

We typically recommend Level Term Insurance for clients when the primary goal is income replacement during the wealth-accumulation years. It’s the most affordable, and usually isn’t a significant burden on cash flow.  However, if your goal is to leave a financial legacy, and you can afford it, then Universal Life or even a Whole Life policy might make sense.

The best strategy, when making these decisions, is to work with a qualified financial professional that understands all the moving parts of your personal situation and is making a recommendation that is in your best interest.

Matthew Trujillo, CFP®, is a Registered Support Associate at Center for Financial Planning, Inc. Matt currently assists Center planners and clients, and is a contributor to Money Centered.

The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. Any opinions are those of Center for Financial Planning Inc. and not necessarily those of RJFS or Raymond James. Investments mentioned may not be suitable for all investors. These policies have exclusions and/or limitations. The cost and availability of life insurance depend on factors such as age, health and type and amount of insurance purchased. Policies commonly have mortality and expense charges. In addition if a policy is surrendered prematurely, there may be surrender charges and income tax implications. Guarantees are based on the claims paying ability of the insurance company. C14-019165

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5 Steps to Being Cautious While Still Taking Life’s Chances

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In the arena of finance, risk is inherent.  Think about the risks you take everyday. When it comes to investment expectations there is always the risk that the outcome will be different than anticipated. When it comes to the income your family depends upon, there is always the risk of job loss. When it comes to budgeting, there is always the risk of inflation, which could leave you without enough to keep up with the rising cost of things around you. When it comes to your family, there is always the risk that someone could face a health challenge or a long-term illness.

Learning About Risk

After 25 years working with people, I have seen families lose children and grandchildren to tragedy.  I have witnessed divorce and marriage and have seen first-hand financial windfall and destruction. Helping clients through all this has helped me gain a better understanding of risk tolerance and realize that risk preferences vary greatly.  Most people want to avoid risk as much as possible, but many have to learn that the hard way.  Remember your first loss? The big one? How did it affect you? If it was truly the big one, then it made you sit up and take notice.  It left an impression on you and your decisions.  And it may have given you a deeper understanding of what risk really means.

5 Steps to Managing Risk

Despite the fact that we all must learn to live with risk, there are steps we can take to help mitigate the downside when it comes to financial planning:

  1. Diversification, asset allocation and rebalancing: While this won’t make you rich quick, it should help reduce overall portfolio volatility.

  2. Insurance: For a relatively small cost you can provide for the safety of a young and growing family for many years and provide protection in case of premature death or disability.

  3. Emergency Funds: Always maintain the appropriate emergency balance for your situation.  A simple rule of thumb is 3-6 months of expenses. Then you may want to consider choosing investments that are marketable and liquid for your taxable portfolios.

  4. Long-term Care Insurance: To avoid a catastrophic financial blow if a spouse develops a long-term illness and needs expensive health assistance, consider long-term care insurance when you’re in your late 50s.

  5. Estate Planning:  By taking just a few minutes to write out a plan, there’s a better chance of things happening as you wish. Write a holographic will (handwritten and signed) or go to your state website and pull off the appropriate documents (like wills, powers of attorney, patient advocate designations, etc.). Complete them or set up a meeting with an estate planning attorney to help you with this process. 

If you need help getting started with any of these steps or making a personal plan to help you prepare for life’s inherent risks, contact me at matthew.chope@centerfinplan.com.

Matthew E. Chope, CFP ® is a Partner and Financial Planner at Center for Financial Planning, Inc. Matt has been quoted in various investment professional newspapers and magazines. He is active in the community and his profession and helps local corporations and nonprofits in the areas of strategic planning and money and business management decisions. In 2012 and 2013, Matt was named to the Five Star Wealth Managers list in Detroit Hour magazine.

Five Star Award is based on advisor being credentialed as an investment advisory representative (IAR), a FINRA registered representative, a CPA or a licensed attorney, including education and professional designations, actively employed in the industry for five years, favorable regulatory and complaint history review, fulfillment of firm review based on internal firm standards, accepting new clients, one- and five-year client retention rates, non-institutional discretionary and/or non-discretionary client assets administered, number of client households served.

Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute investment advice. Any opinions are those of Center for Financial Planning, Inc. and not necessarily those of Raymond James. Diversification and asset allocation do not ensure a profit or protection against loss. Rebalancing a non-retirement account could be a taxable event that may increase your tax liability. Investing involves risk and you may incur a profit or loss regardless of strategy selected. C14-005525

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The High Cost of Dying

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 Death is the inevitable end of life and most of us do not spend much time thinking about it or the cost. According to the National Funeral Directors Association the average funeral can exceed $10,000 when you include cemetery costs. How we memorialize our loved ones is dictated by religious, cultural and societal practices, which may increase the cost dramatically.

Three Options for Funeral Planning

Most funeral practices are regulated at the state level with recent efforts to standardize practices through the national association. There are several ways to prepare for funeral costs.

  • Final Expense Insurance is a low-cost whole life insurance with face values in the amounts of $5—25,000. An advantage of these policies is the ease at which they can be obtained. The disadvantage is the proceeds do not necessarily have to be used for funeral expenses.
  • Pre-need Funeral Contracts are basically insurance policies. The money is placed into a trust, as regulated by most states. Clients should receive information on the policies over the years.
  • Funeral Trusts allow individuals to pre-pay funeral services so the money will be available when needed. Again, most states require the money to be put into a master trust, appropriately invested with clients knowing the name of the institution where it is held and receiving periodic reports.

Funeral Rule Legislation Protects Relatives

One of the most significant pieces of consumer protection legislation is the Funeral Rule, enforced by the Federal Trade Commission. This rule makes it possible for consumers to purchase only those goods and services they want, rather than an entire package of goods and services offered by the funeral home. Funeral homes must provide a general price list that includes all items and services the home offers and the cost of each one. Generally, this rule provides:

  1. A person has the right to choose the funeral goods and services they want
  2. The funeral provider must give a person a general price list that states what is wanted in writing
  3. If state or local law requires individuals to buy any particular good or service, it must be stated with references to the law
  4. The funeral director cannot refuse to handle a casket or urn purchased somewhere else
  5. Funeral directors that provide cremations must make alternative containers available to consumers
  6. Individuals cannot be charged for embalming if not authorized

This legislation was passed to counteract many abusive practices that existed within the industry.

In addition to the cost of funerals, the biggest assistance living individuals can give to their loved ones is to leave their wishes on what services they would like for themselves. These wishes should be stated in writing and placed where they will be found. It is recommended it not be in the will, which may not be discovered until after the funeral. It is a great gift to the family to know they are providing the type of service their loved one desired.

Any information is not a complete summary or statement of all available data necessary for making an investment decision. Any opinions are those of Center for Financial Planning, Inc. and not necessarily those of Raymond James. You should discuss any legal matters with the appropriate professional. C14-007746

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Health Care Costs: The Retirement Planning Wildcard

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Planning ahead for retirement income needs, we typically think about how much it will cost us to live day-to-day (food, clothing, shelter) and to do those things we want to do, like travel and helping grandkids pay for college.  The costs we don’t often think about, those that could potentially wreak havoc on retirement income planning, are health care costs.  According to an October 2012 article from the Employee Benefits Research Institute, an average 65 year-old couple will need $283,000 to have a 90% chance of having enough money to cover health care expenses over their remaining lifetimes (excluding long-term care).

Longevity is a critical factor driving health care costs.  According to the Social Security Administration’s 2020 study, for a couple, both 66 years of age, there is a 1 in 2 chance that one will live to age 90 and a 1 in 4 chance that one will live to age 95.  Add to these longevity statistics the fact that Medicare is now means-tested, so the more income you generate in retirement, the higher your Medicare premiums.

So, what can you do to proactively plan for this potential large retirement cost?

  1. If you plan to retire early, plan on the costs of self-insuring from retirement to age 65.  Some employer’s may offer retiree healthcare, or you can purchase insurance on the Health Insurance Exchange through the Affordable Care Act (these are still dollars out of your pocket in retirement).

  2. Consider taking advantage of Roth 401(k)s, Roth IRAs (if you qualify), or converting IRA dollars to ROTH IRAs in years that it makes sense from an income tax perspective.  This will give you tax-free dollars to use for potential retirement health care expenses that won’t increase your income for determining Medicare premiums in retirement.

  3. Work with your financial planner to determine if a vehicle like a non-qualified deferred annuity might make sense for a portion of your investment portfolio, again dollars that can be tax advantaged when determining Medicare premiums.

  4. Most importantly, work with your financial planner to simulate the need for future retirement income for health care expenses.  Although you will never know what your exact need will be, providing flexibility in your planning to accommodate for these expenses may help provide you confidence for future retirement.

Contact your financial planner to discuss how you can plan to pay for your retirement health care needs.

Sandra Adams, CFP®is a Partner and Financial Planner at Center for Financial Planning, Inc. Sandy specializes in Elder Care Financial Planning and is a frequent speaker on related topics. In 2012 and 2013, Sandy was named to the Five Star Wealth Managers list in Detroit Hour magazine. In addition to her frequent contributions to Money Centered, she is regularly quoted in national media publications such as The Wall Street Journal, Research Magazine and Journal of Financial Planning.

Five Star Award is based on advisor being credentialed as an investment advisory representative (IAR), a FINRA registered representative, a CPA or a licensed attorney, including education and professional designations, actively employed in the industry for five years, favorable regulatory and complaint history review, fulfillment of firm review based on internal firm standards, accepting new clients, one- and five-year client retention rates, non-institutional discretionary and/or non-discretionary client assets administered, number of client households served.

The information has been obtained from sources considered to be reliable, but we do not guarantee that it is accurate or complete, it is not a statement of all available data necessary for making an investment decision, and it does not constitute a recommendation. Any opinions are this of Center for Financial Planning, Inc. and not necessarily those of Raymond James. Every investor’s situation is unique and you should consult with your financial advisor about your individual situation prior to making an investment decision. Please discuss any tax or legal matters with the appropriate professional. C14-005524

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Tax Prep: New Laws & Recent Changes to Help You File

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Here at The Center, we think of tax season as the most magical and exciting part of the year, but you might not see it that way.  As you prepare to get your taxes in order, it is important to discuss some of the new laws going into effect for 2014 and to revisit some changes from 2013. Earlier this month, Matt Trujillo and Nick Defenthaler attended a portion of the University of Michigan tax seminar to brush up on the ever-changing landscape in the world of taxes.  Below are a few key points that they felt may impact you:

Expiring Provisions in 2014

  • Deduction for expenses of elementary and secondary school teachers

  • Option to deduct state and local general sales taxes

  • Tax credit for energy efficient home goods (windows, doors, appliances, furnaces, etc.)

    • Don’t let home improvement sales people lead you to believe that the new product they are trying to sell you will generate a tax credit!

    • Elimination of private mortgage insurance (PMI) deduction

      • Consider checking a website such as Zillow or consult with a real estate agent to get an idea of what your home may now be worth.  With the housing market improving, you may now have greater than 20% equity in your home.  Consult with your lender to determine the best steps to eliminating your PMI. 

Reminder of changes from 2013

In 2013, the Medicare tax changes went into effect for “high income earners” based on certain thresholds:

  • Single – Modified Adjusted Gross Income (MAGI) greater than $200,000

  • Married Filing Jointly – Modified Adjusted Gross Income (MAGI) greater than $250,000

This tax has two components, one based on wages earned above the thresholds and another based on net investment income above the thresholds.

  • 0.9% additional Medicare tax on wages above thresholds

  • 3.8% tax on the lesser of total net investment income or the amount of earnings above the thresholds (net investment income consists of dividends, interest, capital gains, rental income, etc.  It does NOT include distributions from qualified retirement plans such as an IRA or 401k)

  • Ex.  A married client’s MAGI for 2013 is $300,000.  They also have $20,000 of net investment income.  They are $50,000 over the $250,000 threshold.  However, the $20,000 is less than the $50,000 overage; therefore, the 3.8% tax is based on the $20,000, resulting in an additional tax of $760 ($20,000 x 3.8%). 

Affordable Care Act (Obamacare)

One of the biggest tax talking points for 2014 are the tax ramifications of the Affordable care act or “Obamacare”. A few key take-aways for 2014:

  • it's widely known that the penalty (in 2014) for not having insurance is the greater of $95 or 1% of income - this penalty will increase for the next several years to entice people to get health insurance.

  • For those individuals or families that are between 100% and 400% of the federal poverty level, you may qualify for a government subsidy to help offset your insurance premium costs.

  • In 2014 you will need to use a combination of last year’s earned income, and your projections of this year’s income to figure out whether or not you qualify.

  • If you find you are right on the cusp of qualifying for a subsidy, but are concerned about having to pay back the subsidy in full if you underestimate your income ... fear not!  The rules regarding income are a “cliff”, meaning if you are wrong by $1 dollar you are subject to a penalty. However, the maximum penalty for 2014 is $400.

Example: Joe and Jane are 55 with no dependents.  They estimate their income to be $62,000 and that qualifies them for a government subsidy.  However, Joe gets an unexpected bonus at the end of 2014 and his income ends up being higher than 400% of the federal poverty level.  In this scenario, Joe and Jane will be subject to a maximum $400 penalty.

Tax planning can be very confusing, especially since the IRS seems to change the tax code more often than electronics companies push new products.  Please don’t hesitate to contact us if you have questions about your personal tax situation. Although we are not CPAs, we can still help to make your overall financial plan as tax efficient as possible and work together as a team with your tax professional to ensure we are all on the same page.

Nick Defenthaler, CFP® is a Support Associate at Center for Financial Planning, Inc. Nick currently assists Center planners and clients, and is a contributor to Money Centered and Center Connections.

Matthew Trujillo is a Registered Support Associate at Center for Financial Planning, Inc. Matt currently assists Center planners and clients, and is a contributor to Money Centered.

The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any opinions are those of Center for Financial Planning, Inc. and not necessarily those of RJFS or Raymond James. Please note, changes in tax laws may occur at any time and could have substantial impact upon each person’s situation. While we are familiar with the tax provisions of the issues presented herein, as Financial Advisors of RJFS, we are not qualified to render advice on tax or legal matters. All examples are hypothetical. Please consult the appropriate professional if you have questions about these examples and how they relate to your own financial situation. C14-002577

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Medicare Open Enrollment

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 For a retired couple*, healthcare costs can exceed $10,000 per year and over $250,000 for a lifetime. It’s pretty obvious, given those totals, why making the right Medicare choices is critical. In addition to ever-increasing health care costs, Medicare premiums are projected to go up at a rate that is higher than the 1.7% Social Security cost of living increase for 2013. So, even if you dread digging into your Medicare options, there is no time like the present. It is officially Medicare Open Enrollment (October 15-December 7, 2012) which means it is time to review your A’s, B’s, C’s and D’s. If you are age 65 or older and are enrolled in Medicare, during Open Enrollment, you can make changes to:  

  • Medicare Part D plans
  • Medicare Advantage *
  • Medigap Plans

*Medicare Advantage plans can also be changed from January 1 to February 12, 2012.

It is just a short window so it is important that you carefully evaluate your needs and the available plans to make sure that you are in the most appropriate and cost-effective plan for your situation. You can do your own analysis by using the online tools provided by or look for the help provided by local senior organizations or independent Medicare consultants. Taking the time to find the best plan for you can be financially life changing. Contact your financial planner for resources in your area.

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Open Enrollment: Disability Insurance

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 Too often disability insurance is overlooked or underutilized.  It is natural to assume good health enjoyed today will continue uninterrupted until retirement.  Because this is not always the case, paying for disability insurance today when it is not needed is like dotting the “i’s” and crossing the “t’s” in a comprehensive financial plan for the future.  In the event a health crisis occurs, disability insurance is designed to replace a portion of your income lost during the period of disability. 

Employers that include disability insurance on the menu of choices generally offer two types:

    ✔ Short term disability – provides benefits for a limited period of time – usually six months or less.

    ✔ Long term disability – provides extended benefits after an employee has been disabled for a period of time.

Short Term Disability Insurance:

    ✔ Bridges the gap between sick pay and long term disability coverage. 

    ✔ Coverage typically lasts between 10 to 26 weeks.

Long Term Disability:

    ✔ Benefits employees who are disabled as a result of sickness or accident and unable to work for a lengthy period of time (usually more than six months).

    ✔ Long term disability insurance does not provide insurance for work-related accidents or injuries that are covered by workers compensation insurance.

What else do you need to know?

    ✔ The cost of group coverage is often less expensive than the cost of individual coverage

    ✔ Group policies often have fewer underwriting restrictions than individual policies.  A physical exam is not typically required.

    ✔ “You can’t take it with you” is a phrase that normally applies to group disability insurance.  When you leave your job most often the coverage does not convert to an individual policy.

    ✔ If you know you are leaving your job, consider applying for individual coverage before you quit. Assuming you are insurable this strategy eliminates lapses in coverage.

    ✔ Consult a Certified Financial Planner™ to determine how disability insurance fits into your long-term financial picture.

We want to make sure you don’t miss your opportunity to take advantage of employer provided benefits during open enrollment period.  That’s why we are focusing an 8-blog series on your options when it comes to open enrollment. Typically, open enrollment is offered toward the end of each calendar year and provides a window of time to make new elections or change current benefit coverage.  It’s easy to confirm this period of time by checking with your human resource department or benefits coordinator.

The information contained in this report does not purport to be a complete description of the securities, markets or developments referred to in this material.  The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete.  Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. Any opinions are those of Center for Financial Planning, Inc., and not necessarily those of RJFS or Raymond James.  You should discuss any tax or legal matters with the appropriate professional.

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Open Enrollment: Health Insurance and Medicare Enrollment

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 Reviewing health care insurance options is as important as getting a physical or flossing (and about as much fun).  For employees age 65 and older, this decision becomes more complicated due to Medicare eligibility.  Major questions arise for this group of employees: 

  • What, if any, health insurance coverage will my employer provide when I turn 65?
  • Should I apply for Medicare at age 65?
  • If I apply for Medicare, what parts should I apply for (A, B, D)? 

Legally, employers can drop employees from their group health plans once they turn 65.  But Medicare secondary payer rules prevent employers from reducing health benefits to current employees due to their eligibility for Medicare (except for very small employers).  So, the employer must offer equal health benefits to all employees; coordinating health benefits with Medicare is allowed as part of this offering.  

Employers with more than 20 employees typically offer group health coverage to 65+ employees, with Medicare acting as the secondary payer.  In this case, eligible employees should enroll in Medicare Part A, hospital coverage, which is free.  These employees should also get a deferral from Medicare so that they are not subject to penalties for enrolling in Parts B and D in the future.  

Employers with less than 20 employees offer group coverage that is the secondary to Medicare.  In this case, eligible employees should enroll in Medicare Parts A and B (Part B covers medical services, including doctor visits).  Failing to enroll in both parts of Medicare could leave them responsible for paying out-of-pocket for anything that Medicare would have covered.  

Here are some tips and considerations for employees age 65+ in making health insurance and Medicare enrollment decisions:

    ✔ Coordinate with your spouse. If you are both still working at age 65, you can compare employer health plans and how they work with Medicare.  If spousal/family coverage is available, choose the optimal plan. 

    ✔ Get in writing the details of your employer-provided coverage to help you decide how to handle Medicare choices. 

    ✔ Plan to enroll in Medicare Part A (it’s free!) up to 3 months prior to your 65th birthday.  You can sign up online or at your local Social Security office. 

    ✔ If you are planning to enroll in Medicare Part B or Part D (prescription drug coverage), you can enroll up to 3 months prior to age 65 or within 8 months of retirement or loss of group health coverage (if you miss the 8 month Special Enrollment Period, you will need to wait until the next General Enrollment Period for that coverage).

    ✔ Consult with a CERTIFIED FINANCIAL PLANNER™ to help you choose the benefits that are most appropriate for your financial situation. 

    ✔ Most importantly, do your research and plan ahead; Medicare has strict enrollment periods and rules that come with financially penalties. 

This is the third blog in our 8-part open enrollment series. Check back in the upcoming days for more important tips to help you make the best choices for the upcoming year.

Sandra D. Adams, CFP® is a Lead Financial Planner at the Center for Financial Planning, Inc. In 2012, she was named to the Five Star Wealth Managers list in Detroit Hour magazine. In addition to her frequent contributions to Money Centered blogs, she is a regularly quoted in national media publications such as the Wall Street Journal, Research Magazine and the Journal of Financial Planning.  Sandy is a frequent speaker on the topic of Elder Care Financial Planning.

Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation.  Any opinions are those of Center for Financial Planning and not necessarily those of RJFS or Raymond James.

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