The Demographic Glitch That May Cause Your Taxes to Double
The Baby Boomer generation is well-known for being the product of the post-World War II baby boom, and for rejecting and redefining traditional values in many ways. However, did you know that the Baby Boomer generation also represents a “demographic glitch” in a way that is important to all of us? Allow me to explain.
Will an Oncoming ‘Tax Train Wreck’ Threaten Your Retirement?
At Hanson Wealth Management, we are committed to helping our clients achieve lives of meaning and purpose. What does that mean? Well, the specifics are different for everyone, but we believe every person’s strategy should include a comprehensive approach to financial planning. Most especially, it means having a retirement plan that takes into account the impact of potentially increasing taxes on your retirement distributions. Why is this so important? Well, to put it simply, there is a storm brewing that can put your retirement financial outlook in jeopardy: taxes are very likely to increase. In this article, we explain […]
Bring your Daughter to Work Day
We loved having a special guest in the office for Bring Your Daughter to Work Day! Lillian, Brian’s daughter, spent the day getting a behind-the-scenes look at what we do and quickly became part of the team. Lillian brought great energy and plenty of smiles along the way. Days like these are a great reminder of the importance of family and the opportunity to share what we do with the next generation—while making a few fun memories in the process.
Achieving the 0% Tax Bracket: How to Utilize Your ‘Taxable Bucket’
One of the foundational ideas in David McKnight’s Power of Zero philosophy is that future tax rates may be significantly higher than they are today. Rising national debt and growing entitlement programs may potentially impact retirees relying on taxable and tax-deferred accounts, possibly leading to higher income tax burdens in retirement. To prepare for that potential reality, one goal of tax-efficient retirement planning is to structure your finances so that your retirement income falls into the 0% federal tax bracket. While Roth IRAs and certain life insurance policies play key roles in this strategy, there’s another often-overlooked component that’s […]
The Retirement Risk Trifecta You Need to Know About
David McKnight, in his Power of Zero series, outlines a compelling case for rethinking the way we prepare for retirement. One of his most urgent warnings centers on a trio of risks that have the power to unravel even a well-planned retirement. This “retirement risk trifecta”—tax risk, market risk, and long-term care risk—poses unique challenges that call for deliberate, forward-looking strategies. At Hanson Wealth Management, we help clients address each of these risks in a coordinated and thoughtful way. Let’s explore how these three threats interact, and how a Power of Zero-informed approach can help you respond proactively.
How to Pass Down Wealth Without Burdening Your Family
Planning to leave a financial legacy is often one of the most meaningful aspects of a retirement strategy. Yet, many families find themselves unprepared for the responsibilities that come with inherited wealth. Without proper planning, heirs may face unexpected tax implications, legal complications, or even internal conflict. That’s why it’s important to pass down wealth without burdening your family by using thoughtful strategies that align with your broader financial goals. At Hanson Wealth Management, we help retirees think beyond basic inheritance to craft legacy plans that are efficient, intentional, and designed to support long-term family success.
Why Estate Planning is About More Than Just a Will
When most people think about estate planning, they picture a will—one document that determines how their assets will be passed on. While a will is an important piece of the puzzle, estate planning beyond a will involves a comprehensive strategy that addresses more than just who inherits what. It’s about protecting your financial future, planning for unexpected events, and creating a legacy that reflects your values. At Hanson Wealth Management, we believe that a well-rounded estate plan can support your overall retirement strategy, especially when paired with forward-looking tax planning principles like those in the Power of Zero approach.
Staying Agile: Adjusting Your Retirement Plan in a Changing Economy
Retirement used to feel like a finish line—now it’s more of a pivot point. The economic landscape continues to shift with inflation, interest rate changes, and market volatility influencing how retirees draw income, manage taxes, and allocate assets. For many, adjusting your retirement plan in a changing economy is no longer optional—it’s essential. A retirement strategy designed ten or even five years ago may not be as effective today. Whether it’s due to market downturns, rising healthcare costs, or unexpected tax policy changes, the ability to adapt can make a significant difference in maintaining financial resilience over the long […]
Inflation and Your Retirement: Strategies to Maintain Purchasing Power
Inflation has always been a factor in financial planning, but for retirees, it takes on a more direct and lasting impact. Without the benefit of annual wage increases, those living off fixed or semi-fixed income sources may find that everyday expenses begin to feel heavier over time. That’s why understanding and implementing effective strategies to maintain purchasing power in retirement is essential. While inflation may be out of your control, preparing for it can help reduce its impact on your lifestyle, healthcare, and financial longevity.
The Rising Cost of Healthcare and What You Can Do About It
Healthcare expenses are one of the most significant—and often unpredictable—costs in retirement. From prescription drugs and routine care to long-term care needs, the rising cost of healthcare in retirement has become a central planning issue. While many retirees expect Medicare to cover the majority of their expenses, the reality is that out-of-pocket costs often increase over time. Without proper planning, these rising costs can strain retirement income, especially when combined with other risks like tax increases or market volatility. This is where a Power of Zero approach can offer a different way forward. By shifting resources to more tax-efficient […]