LWM Insights

Rising Rates & My Portfolio

This past December the Federal Reserve announced they will be increasing the federal funds interest rate by 0.25% to 1.50%.  The good news is fundamentals seem to be stable enough that the Federal Reserve continues to tighten monetary policy.  This gives the economy a vote of confidence.  In the media, we often hear about rising… Read more »

Year End Planning & Budgeting

Household Information Who besides you knows where to locate information about professional contacts, assets and obligations?  How challenging would it be for other members of the household or family to figure things out if the unexpected happens?  Life is unpredictable and it’s best to be prepared.  Use our “Personal Financial Key” and keep it in… Read more »

Health Savings Account

The Health Savings Account or “HSA” was authorized by the Medicare Prescription Drug Improvement and Modernization Act of 2003 as a way to encourage consumers to manage their own health care costs.  As those costs continue to rise, Health Savings Accounts have come into focus as they are frequently included in discussions about health care… Read more »

Do I Need a Trust?

Historical Perspective Trusts trace their origins to the feudal system in thirteenth-century England.  The use of a trust grew out of the king granting use of his land to feudal overlords.  The idea of giving to another person the legal ownership of property, not for the benefit of the recipient, but rather for the benefit… Read more »

The Most Powerful Force in the Universe?

Time & Money The HP12c is a calculator that is used in the financial industry pretty regularly. Amongst its vast array of functions, one of its most used is its ability to calculate the time value of money. Time value of money represents the idea that $1 today could be worth more in the future… Read more »

A Story of Our Own

Our Lexington Family Every firm has important milestones throughout its life. Most milestones represent a significant firm-wide accomplishment such as growth goals, revenue goals, client satisfaction standards and other industry recognized benchmarks. For us at Lexington Wealth, is important to also celebrate the milestones of our LWM family. Who we are, ultimately defines what we… Read more »

Understand & Create Your Wealth Plan

Know Your Budget Start simply. Begin to understand what you have. What money is coming in and what is going out. You’ll hear words like income and expenses, assets and liabilities, but it’s not that complicated. The obvious is: less should go out than comes in. Sources of what comes in can be paychecks, social… Read more »

College Planning: Understanding Loans & Grants & Taxes

Last August LWM published an Insights focused on different vehicles to save for college. A reasonable follow up is to focus on how to pay for college. College is expensive and less than .03% of college students receive enough grants and scholarships to cover all the costs.1 Assistance for covering the cost of a college… Read more »

Capital Gains and Losses – Timing is Everything?

“The hardest thing in the world to understand is the Income Tax.” Albert Einstein Accordingly, do your best to understand tax laws and have them work FOR you whenever possible. We believe you can minimize portfolio taxes without compromising the essence of your investment strategy. Unlike most forms of income, the timing of taxation on… Read more »

Long-Term Care – How Will You Address It?

The discussion of Long-Term care should begin by saying it is not about medicine but rather it is about life. People are living longer today. Unfortunately, as we age, we will face more challenges in our daily living. Overview You can expect to need care if you are unable to function or live without assistance… Read more »

A Story from our Family Office

About a year ago, I lost one of my dearest clients when he passed away suddenly as a result of health-related complications. A wonderful man with a reputation for always treating others with kindness, Edward had, over the course of many years, amassed significant wealth for his family and his favorite causes by investing both… Read more »

Considering Downsizing?

You may be considering downsizing your current home for many reasons. Maybe you are an “empty nester” and it’s just too big. Perhaps you need equity from the home to support your retirement lifestyle. You might like more time to travel and attack your bucket list but the time (and stress!) required to maintain the… Read more »

Mindfulness – Start the Year off Right!

Did you know you have an average of 60,000 unique thoughts on any given day? And some people estimate that 80-90% of those thoughts are the same as the day before? Imagine what you could do with that space if even 20% of your mind was freed up. Imagine if you could shed stress and… Read more »

Empower Women

Get Ready! We’re launching the LWM Empower Women Series in 2017. The goal of this series is for our ladies to come to a welcoming setting where they can ask the questions they never asked. Take charge of your financial life. Be empowered. No question is a stupid question and we’ll answer in the simplest… Read more »

The Benefits of a Donor Advised Fund

What is a Donor Advised Fund? A Donor Advised Fund, DAF, is an account to which an individual can make an irrevocable, charitable contribution of assets and realize immediate tax benefits. The donation can be cash or appreciated securities. The assets in the DAF can be invested and appreciate tax-free. (Investment options depend on the… Read more »

Tax Loss Harvesting: Why & How We Do It

A relatively new client of Lexington Wealth Management called and told us her tax preparer had reviewed her account statements and warned her that her portfolio was “losing money.” She nervously asked what was happening, and we explained she hadn’t actually lost money. In fact, she had made money, but in the course of doing… Read more »

College Planning: The Funding Years

The annual cost of college continues to rise, leaving many families uncertain of how they will pay for it. Sallie Mae’s recent report, “How America Saves for College 2015,” showed 59% of parents expressed some apprehension about saving for college.1 The first step in addressing this issue is to understand the different savings options available… Read more »

Reversing a Roth IRA Conversion

There are many sound reasons for converting funds in a Traditional (tax-deferred) IRA to a Roth (taxexempt) IRA. For instance, you anticipate being in a much higher marginal tax bracket in the future or you currently have favorable tax attributes, (charitable contribution carryovers or large business losses – NOLs), that can help offset the majority… Read more »

Estate Planning Essentials

As is often said, everyone has an estate plan. It’s just a question of whether or not you created it or settled for the one provided for you under the intestacy laws of your state of residence. Most folks don’t realize this, nor are they aware that, no matter how large or small, they do,… Read more »

Cybersecurity – How to Protect Yourself

As the world changes with ever advancing technology, our personal identity is increasingly vulnerable to cyber attacks. Fraudsters are getting more and more creative on ways to steal your identity through your computer.