2
Local firm helps baby boomers retire
Williamsport Sun-Gazette, Sunday, January 20, 2008
By ALISSA EATON were making per year, then you
aeaton@sungazette.com are shorting yourself,” Moff
said.
“It’s never too late to start,” But not lowering their stan-
James O. Moff III, said of sav- dard of living, could be very
ing for retirement. hard for some baby boomers.
Moff is the owner of Moff “Twenty eight percent of
and Associates, which offers boomers will have to work part
securities and investment advi- time to supplement their retire-
sory services through a repre- ment and it usually isn’t by
sentative of Woodbury choice,” Moff said.
Financial Services, Inc. Moff also said there are
Moff has also been teaching options for those who are retir-
a financial strategies class, ing.
which is a four part seminar “The main thing is that you
that gives tips for successful want to be really conservative.
retirement. You want your money to be
“From teaching that class, I
working for you but you need to
would say that 50-percent of
the baby boomers are prepared make sure those large swings
for retirement and the other 50- in the market are not affecting
percent are not,” he said. “It is a you,” he said.
problem.” “You want to stay retired,
Retirement should be a con- not have to go back to work,” he
cern for people because there added.
ALISSA EATON/Sun-Gazette Moff said he looks at each of
are things that can happen to
people that are unforeseen, Mary Kyler talks with James O. Moff III about her retirement finances. Moff said his clien- his client’s cases individually
according to Moff. tele consists of baby boomers and those from other generations too. and helps them make a plan for
“You could unexpectedly their retirement goals.
loose a job or become disabled,” “I will go through their
Moff said. “So it’s important to “My practice is more concen- and those from other genera- and that is making them more income needs and work out a
start saving early, in case some- trated on people that want to tions too. “I would say that it’s concerned about their retire- plan for them and make sure
thing like this happens to you.” have an income from their about eighty (percent to) twen- ment. they are comfortable,” Moff
Moff suggests a minimum of retirement dollars,” Moff said. ty (percent),” Moff said. “No one wants to lower their said.
10-percent per pay check being But Moff said that his clien- But the fact of the matter is standard of living and if you “There is always a solution
saved for retirement. tele consists of baby boomers that people are living longer retire with less than what you to every situation,” Moff added.
Local insurance services owner: Seniors have Medicare options
By ALISSA EATON and an individual insurance company,” private companies approved by Available in many areas. If you have
aeaton@sungazette.com Burns said. Medicare that provide different ways to one of these plans, you don’t need a
“It is extremely important when get your health care and prescription Medigap policy. These plans include:
When it comes to purchasing a someone is looking for addiction cover- drug coverage in the Medicare • Health Maintenance
Medicare supplement or Medicare age to look at their own situation Program. The Medicare plan that you Organizations (HMO),
advantage plan, it is important for sen- because one size never fits all,” Burns choose affects many things like cost, • Preferred Provider Organizations
iors to know they have options, accord- added. benefits, doctor choice, convenience, (PPO)
ing to Catherine Burns, owner of Burns said that her office makes and quality. • Private Fee-for-Service Plans
Catherine Burns Insurance Services. appointments with individuals and Your Medicare plan choices include: • Medicare Special Needs Plans
Medicare is a social insurance pro- goes over their situation and makes a • The Original Medicare Plan — • Medicare Medical Savings
gram administered by the government decision with them that is the best for This is a fee-for-service plan that covers Account Plans (MSA)
that provides health care to people who that person. many health care services and certain These plans may cover more servic-
are either 65 and over or who meet She also said it is good for people to drugs. You can go to any doctor or hos- es and have lower out-of-pocket costs
other special criteria. start looking before they turn 65. “A pital that accepts Medicare. When you than the Original Medicare Plan. Some
There are four parts to medicare; good six to eight months before some- get your health care, you use your red, plans cover prescription drugs. In some
hospital insurance, medical insurance, one turns 65 is a good time to start white, and blue Medicare card. plans, like HMOs, you may only be able
Medicare advantage plans and pre- looking,” she said. “It’s wise to talk with The Original Medicare Plan pays for to see certain doctors or go to certain
scription drug plans. 3 or 4 reputable people and explore all many health care services and sup- hospitals to get covered services.
“The deductibles and co-pays can avenues before making a decision.” plies, but it doesn’t pay all of your * Medicare Prescription Drug
leave people at risk,” Burns said, “Talk to people who know their health care costs. There are costs that Plans — These stand-alone plans add
explaining that Medicare can still leave stuff,” she added. you must pay, like coinsurance, copay- prescription drug coverage to the
people with large amounts of money to Burns wants people to know there ments, and deductibles. These costs are Original Medicare Plan, some
pay. are salespeople that may only offer one called “gaps” in Medicare coverage. You Medicare Cost Plans, some Medicare
After people are eligible for of the items, a Medicare advantage might want to consider buying a Private Fee-for-Service Plans and
medicare, recipients have a choice: a plan or a Medicare supplement and Medigap policy to cover these gaps in Medicare Medical Savings Account
Medicare supplement or a Medicare will only push their item. Medicare coverage. You can also add Plans. · Click here for more informa-
advantage plan. “People need to get information on prescription drug coverage by joining a tion on Medicare Prescription Drug
“The Medicare advantage plans are both,” Burns said. Medicare Prescription Drug Plan. Plans.
private contracts between Medicare Today’s Medicare is working with • Medicare Advantage Plans — — Source: medicare.gov
Tax season stress? How to Xxperience Matters
3
Williamsport Sun-Gazette, Sunday, January 20, 2008
prepare for potential bills
(ARA) – As the April 15 tax dead- Here are five simple savings tech-
line creeps closer many people may niques:
still be wondering: will I owe? It may 1. Evaluate your entertainment
be time to take proactive steps to set expenses. Americans spend more on
aside money that can be used to cover entertainment than they do on other
the extra expense you may soon face. vital expenses such as gas, furniture
Whether you underestimated your and clothing, according to the Bureau
withholdings or experienced an unan- of Labor Statistics. Entertainment is
ticipated bump in income, you would- one of the easiest areas in which to
n’t be alone if you found that you owe find savings. How much do you spend
money on your taxes. Owing a lot — or in a month on movies, restaurants and
even just a little — can be stressful other outings? Simply staying home
and burdensome, especially as the bill and watching TV, or eating your own
arrives while many are still paying off home-cooked meal, can create sub-
debts incurred during the holidays. stantial savings.
“The good news is, preparing to pay 2. Reduce your rates – on every-
for a tax bill may be easier than you thing from phone bills to credit cards.
think,” says Stephen Semprevivo, You may be paying more than you
president of LowerMyBills.com. “Many need to for simple monthly expenses
people can find simple ways to save
some money that can then be used to
pay off any taxes they might owe. Even
such as insurance, cell phones or
Internet service. Sites
LowerMyBills.com can help you
like James S. Armstrong
if you ultimately find that you don’t
owe anything, you can use the money
search across multiple service
providers to find low rates on these
and other monthly bills.
A S S O C I AT E S
you saved to buy yourself a treat or, E S T. 1 9 7 2
better yet, to put away in savings.” (See TAX, Page 4)
HM
Barbara B. Hudock, CIMA® Tax Planning & Income Tax Preparation
Managing Principal
Founding Partner
Jason J. Moyer, CFP®
JAMES S. ARMSTRONG SR. (not pictured)
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JAMES S. ARMSTRONG JR.
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4
Tax season stress? How to
Williamsport Sun-Gazette, Sunday, January 20, 2008
prepare for potential bills
3. Spend to save – really. Unless you’re will- even suspect you’re going to be facing a big tax
ing to alienate everyone in your life, holiday bill, consider consulting a tax consultant or
gifts will always be an expense. Since you have other financial advisor. These professionals may
to spend on holiday gifts anyway, do so wisely by be able to help you find ways to trim your budg-
taking advantage of seasonal sales. From post- et and set more money aside to pay your taxes.
holiday sales to Presidents’ Day to Easter, the They may also be able to help reduce the
months before tax season are full of opportuni- amount you owe, or set up a payment plan with
ties to purchase – and save on – holiday gifts for the government.
next year. Next November, when everyone else ”It’s never too late, or too early, to start sav-
is scrambling and spending, you will have the ing and preparing for tax season,” says
satisfaction of knowing your holiday shopping is Semprevivo. “With a few money-saving tech-
done and that you saved money doing it. You niques, you may be able to save enough to cover
can earmark those savings for paying next your tax payments this year and put a little
year’s taxes. away to take care of next year as well.”
4. Minimize your mortgage payment. Right For more information on how to save money
now there’s a lot in the news about adjustable on your monthly bills, visit
rate mortgages that are resetting to higher www.LowerMyBills.com.
rates – with bigger monthly payments. If you
have an ARM that’s about to reset, or if you just — Courtesy of ARAcontent
want to get better terms on your fixed-rate loan,
it may be a good time to consider refinancing.
Sites like LowerMyBills.com can help you
investigate your refinance options. Just be sure
to read all the terms of your loan carefully, and
if possible, consult a financial advisor or other
professional.
5. Consider seeking professional help. If you
AMT “Patch” passes congress – IRS
processing of some tax returns delayed
(ARA) – Auspiciously, the day before
adjourning for Winter Break, Congress
The passage of this legislation boosts
the AMT exemption and extends a
1604 East Third Street • Williamsport, PA
passed another one year fix — averting number of credits for 2007.
higher taxes for the majority of middle- In 2006, approximately four million
income America facing the dreaded households were required to pay the
Alternative Minimum Tax (AMT). The AMT. Without ratification of another
Senate version of the bill, which does provisional one-year patch to boost the
not compensate for a $50 billion loss of amount of the AMT exemption, an
tax revenue, won majority favor and additional 20 million households would
was signed into law by President Bush. (See AMT, Page 5)
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AMT ‘Patch’ passes Congress – IRS
5
Williamsport Sun-Gazette, Sunday, January 20, 2008
processing of some tax returns delayed
(From Page 4) Good advice for taxpayers this tax
season: use e-file. Those who submit
have to pay an estimated average of their IRS return electronically will still
$2,000 more in federal taxes for 2007.
fare better because, as the IRS works to
Another 27 million filers, who claim a
process backlogged returns, returns
variety of credits closely connected to
received electronically will be
the AMT (i.e. child and dependent care,
education, residential energy and processed faster.
state/local taxes), were also in danger ”We encourage our customers who
of feeling the AMT pinch. use e-file to enter their tax data into
Speculation that the start of this tax TaxACT and submit their electronic
season would be delayed has been return as they would normally — the
addressed by the IRS. The 2007 tax program is current and up-to-date.
season will start on time for everyone Once the IRS begins accepting returns,
except a small portion of taxpayers. returns will be processed. TaxACT cus-
Taxpayers who utilize five credit forms, tomers can rest easy knowing no other
however, will face IRS processing method will help them to get a faster
delays. The IRS has targeted Feb. 11 as tax refund — in as few as ten days,”
the likely processing date for taxpayers says Stephanie Behrends, spokes-
filing the following: woman for 2nd Story Software, Inc. —
* Form 8863 – Education Credits makers of the popular tax program
* Form 5695 – Residential Energy TaxACT.
Credits ”Those who e-file their tax return
* Form 1040-A, Schedule 2 – Child also receive “Proof of Filing” which is an
and Dependent Care Credit acknowledgement issued to the filer
* Form 8396 – Mortgage Interest reflecting when the IRS received and
Credit accepted the return. Conversely, if an
* Form 8859 – District of Columbia error is detected, the IRS can commu-
First-Time Homebuyer Credit nicate the problem fast – even pin-
Of the 22 million taxpayers who pointing the location of the error in the
used tax software to prepare and elec- tax return.”
tronically file their tax return last year, Do you have more questions regard-
some may wonder, “Considering the
number of last minute legislation
ing the AMT and how it may impact
you? More information is available at
ATTENTION:
changes, will tax software be current
and reliable to use this tax season?”
www.IRS.gov — just enter keyword
“AMT” or “Alternative Minimum Tax”.
SENIORS ON MEDICARE
To ensure taxpayers have the oppor- To get a clear picture of the AMT’s • Need supplement coverage?
tunity to submit their return, the IRS impact on your return or for more infor-
made all revised forms associated with mation regarding TaxACT, visit • Confused by all the plans available?
the AMT available immediately to tax www.TaxACT.com and start your free
professionals and software companies Standard tax return. • Which plan is best suited for you?
who produce and support software and If so, call us at:
online services. — Courtesy of ARAcontent
327-1006 or toll free 1-800-548-9119
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6
Banks have become more convenient, but at what cost?
Williamsport Sun-Gazette, Sunday, January 20, 2008
(ARA) – When was the last time you on up to 10 transactions a month.
actually stepped into your local bank • Take advantage of debit card flex-
branch? Can’t remember? You’re not ibility.
alone. Millions of Americans now do If it’s not possible to always make
their banking online or through ATMs, cash withdrawals from ATMs owned by
rather than in person, because it gives your bank, consider getting cash back
them convenient 24-hour access to when you make a purchase using your
their funds. debit card. Merchants from depart-
But this convenience comes with a ment stores to supermarkets now offer
cost – sometimes a very high cost. the option of getting cash back. As long
An average ATM fee for non- as your bank doesn’t charge for debit
account-holders is about $1.78, accord- card transactions, cash back amounts
ing to Bankrate.com’s 2007 Checking to a free ATM transaction.
Study. Add to that the fee your own • Make the most of your online
bank may charge for using an ATM banking.
they don’t own, and you can pay close to Online banking has surpassed ATM
$5 in fees for that $20 cash withdrawal use and rivals phone use as a preferred
you just made. method of banking for millions of
Additionally, some banks charge for Americans. In 2007, 79.7 million people
online banking privileges. Nearly 80 used online banking and that figure is
million Americans now bank online, expected to climb to 101 million by
according to eMarketer. 2011, according to eMarketer.
”In many ways, technology has While many financial institutions
proven to be a windfall for the banking charge for online bill pay, some do not.
industry,” says Todd Sipe, president “Comparison shop for financial institu- al days. Thrivent Financial Bank little bit of interest than to pay an over-
and CEO of Thrivent Financial Bank. tions that offer this valuable service makes deposited funds available in just draft fee,” Sipe advises.
“Consumers can, however, minimize free of charge,” Sipe says. “Online bill one business day. To learn more about surcharge-free
the fees and surcharges they pay to use pay is free at Thrivent Financial Bank Find out if your bank will allow you ATM transactions, free online banking
banking technology by making smart and many other institutions.” to open a line of credit that can be
choices and using the industry’s natu- • Learn how to avoid overdraft linked to your checking account. That and other financial products, visit
ral competitiveness to their advan- charges. way, if you overdraw your funds, the www.thriventbank.com.
tage.” Before you swipe that debit card or overage can come out of the line of cred-
Here are some tips for reducing submit your online bill payments, be it. “It’s almost always cheaper to pay a — Courtesy of ARAcontent
technology-related bank surcharges: sure you understand your bank’s policy
• Not all ATM fees are created on overdrafts. Keep careful track of
equal. your debit card expenditures and ATM
The best way to save on ATM fees is withdrawals – not tracking these
to limit your transactions to machines transactions is a fast way to overextend
owned by financial institutions where yourself.
you have an account. However, when Be sure you know how your bank
you’re traveling, that may not always processes checks and check card trans-
be possible. Surcharges can vary wide- actions, as this may result in overdraft
ly – Bank of America recently charges. Checks may be processed
announced it will charge $3 for non- sequentially by check number, or by the
customers who make withdrawals at amount of the transaction, first pro-
most of its ATMs. cessing from smaller to larger sums or
Thrivent Financial Bank allows its from larger to smaller sums. Qualified Clients Receive:
customers to use any ATM in the world Also, keep in mind how long it takes
without penalty and will reimburse your bank to process a deposit. Some FREE ELECTRONIC FILING
them for fees imposed by other banks can withhold deposited funds for sever-
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Don’t suffer the alternative – the alternative minimum tax, that is
7
Williamsport Sun-Gazette, Sunday, January 20, 2008
(ARA) - The individual Alternative exemption, however, expired at the end AMT. Guessing wrong, however, could ing simple questions in layman’s terms.
Minimum Tax (AMT), implemented in of 2006. If Congress fails to ratify anoth- prove costly. Unfortunately, there are a TaxACT simultaneously calculates your
1969, is a parallel income tax system er provisional one-year increase in the vast number of factors that will trigger projected tax with the regular tax sys-
that was created to prevent 155 wealthy next few months, the number of house- the alternative tax for any given taxpay- tem and the AMT system based on the
Americans from aggressively using tax holds paying the AMT will escalate er,” says Stephanie Behrends, spokes- taxpayer’s tax bracket and the most
credits, deductions, and legal tax shel- exponentially from approximately 4 mil- woman for 2nd Story Software. recent tax information available.”
ters as tools to help them avoid having lion in 2006 to nearly 23 million for ”TaxACT Preview is a taxpayer’s ally, Visitors need only to complete the
to pay federal income tax. The idea was 2007. allowing users to perform what-if sce- site’s free online registration to gain
simple: Create a minimum tax that To determine if a taxpayer owes tax narios to determine their estimated tax access to TaxACT’s Online Deluxe
ensured everyone pays Uncle Sam his under the AMT, filers must calculate liability,” she says. “Users simply need to Preview version. The tools available at
due. their taxes under both the regular tax step through the TaxACT interview www.taxact.com allow users to generate
Fast forward to present day and and AMT systems —- making the entering their forecasted income and a forecasted federal and state income
you’ll find millions of middle-income “Alternative Minimum Tax” tax a bit of deductions for the tax year by answer-
Americans are now getting snared by a misnomer considering taxpayers must (See DON’T, Page 8)
Century
the AMT. The main reason the AMT now pay the higher of the two. The biggest
reaches into the pockets of the middle- factor impacting AMT filers is that they
class is because regular income tax are no longer eligible to claim certain
brackets are indexed for inflation but deductions and exemptions (i.e. educa-
the AMT thresholds are not. The result tion credits, child care credits, and the
has been the steady expansion of house-
holds who find themselves hit by the
AMT — especially households with a
large number of children, education
deduction for state and local taxes).
Sound complicated? It can be if tax-
payers don’t plan ahead and use the
tools that are available to them as a sig-
Accounting & TA X S E RV I C E
credits, residential energy credit and/or nificant portion of taxpayers may be sur-
state and local taxes. prised when they are suddenly hit with Individual, Business, Corporate
Why haven’t Americans been clamor- a big tax bill, plus possible penalties
ing for an immediate overhaul to the come next April. Some planning tools & Partnership Returns Prepared
AMT? Thus far, the full effects of the are even free, such as the tool offered by
AMT have been deferred by Congress 2nd Story Software, Inc., makers of the FREE Federal & State E-filing
enacting a series of temporary patches popular tax program TaxACT.
— boosting the amount of the AMT ”It seems unlikely that lawmakers Payroll & Bookkeeping Services
exemption. will fail to pass another patch to serve as
The last temporary fix to increase the a quick fix to hold down the reach of the 642 PINE ST. WILLIAMSPORT 326-3381
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8
Make a resolution to teach kids money management skills
Williamsport Sun-Gazette, Sunday, January 20, 2008
(ARA) Resolutions are usually a New smart shopper pays off, especially since
Year’s tradition, but resolving to help a spending comes easy to all of us. Good
child develop good financial habits is a spenders are careful with money and
worthy commitment any time of the make smart decisions — making the
year. money they have go farther.
”We all know the importance of liter- • Investing: Smart savers put some
acy in the lives of our children,” says Gil of their money in investments, where it
Llanas, director of the Northwestern will earn more than in a savings
Mutual Foundation. “We spend hours account. Investments are money set
reading books with them, but how many aside for the long-term — years in the
of us realize that our children need to be future.
literate about money matters, too?” • Giving: Teaching children to
TheMint.org is a Web site that makes “share” their money demonstrates an
learning about money management a understanding of others that are less
fun experience for children grades six to fortunate, and that those of us who
12. The site is a partnership between the “have” things should help those who
Northwestern Mutual Foundation and “have less” than we do.
the National Council for Economic • Tracking: Money can slip through
Education (NCEE), and offers a variety one’s fingers easily. Determining and
of information, games and activities sticking to a budget is important. So it’s
illustrating the ABC’s of personal a good idea to keep track of money that’s
finance. coming in (income) and going out
A 2006 Jump$tart Coalition study (expenses).
showed that high school seniors receive
a failing grade in financial literacy, yet About TheMint.org: TheMint.org fea-
only a small percentage of schools offer tures information, games, calculators
such classes. “Therefore, this all-impor- and activities for kids, parents and
tant task lies with a parent,” says teachers to help bring financial literacy
Llanas, “and every day is the right day to life. Most sections are written in a kid-
to make financial literacy a reality for friendly style so families can work
your child.” together — or older children can work
independently in learning money les-
A parent’s roadmap sons. However, some sections have been
developed exclusively for teachers and
Where to begin? For parents, there parents. New to the site in 2008 are
are two key ways to help their children short, interactive polls allowing users to
understand responsible money manage- weigh in on current financial literacy
ment: topics affecting Americans.
• Create conversations about money.
Parents should create conversations — Courtesy ARAcontent
about money with their children — not
lectures, but casual remarks and obser- financial habits to be sure they’re mod- where to start when talking about
vations on situations that arise in the eling responsible behavior. It’s no secret finance with a child. Helping a child, at
normal course of the day. Topics could that children quietly observe adults — any age, discover how to manage money
include why money is valuable, where it we’re teaching financial behavior all the should start with the basics:
comes from, where it goes, what hap- time, whether we mean to or not. • Saving: This is easy for some, hard-
pens when you borrow it, the impor- er for others. Some tricks to saving more
tance of a “rainy day fund,” what it Covering all the angles money include paying yourself first,
linking saving to expenses, keeping a
means to invest or how to live on a budg-
et. Financial headlines are all about the money diary, cutting expenses and being
• Model responsible behavior. stock market, millionaires and blue-chip a smart shopper.
Parents should also review their own companies, so it can be difficult to know • Spending: This is where being a
Don’t suffer the alternative – Patricia S. Young
Certified Accountant
the alternative minimum tax 516 ColumbiaPublic Milton, PA 17847
Avenue,
(From Page 8) Phone: (570) 742-3455 email: psycpa@ptd.net
tax refund or liability amount – which will provide valuable insight into their tax
situation. Once the final version of TaxACT releases in early January 2008, users Fax: (570) 742-1886
can easily finalize their tax return and print and/or e-file their federal tax return
for just $9.95. Providing Accounting, Audit, Tax Preparation, Bookkeeping,
Do you have more questions regarding the AMT and how it may impact you? Payroll and Other Business Services for lndividuals, Businesses,
More information is available at www.IRS.gov — just enter keyword “AMT” or
“Alternative Minimum Tax”. and Non-Profit Organizations Reasonable Rates, Pick-up and
Delivery Available for Taxes
— Courtesy of ARAcontent
Extra precautions help prevent
9
Williamsport Sun-Gazette, Sunday, January 20, 2008
identity theft during tax season
(ARA) - For most Americans, tax use a shredder that features cross-cut longer need. lowes.com or check with your tax pro-
season means frustrating hours spent capabilities, such as the Fellowes PS- For additional identity theft preven- fessional.
with piles of paper, but for identity 77Cs, which ensures private informa- tion tips and information on how long
thieves, this time of year provides an tion is reduced to small, unidentifiable to keep financial records, visit www.fel- — Courtesy of ARAcontent
open-door opportunity to steal your pieces, making it nearly impossible for
personal information. thieves to piece the information back
Identity theft is a crime that has together.
gained momentum in recent years, In addition to shredding, below are
claiming more than 23,000 victims several tips people should consider this
each day. While it’s important to protect year to ensure tax season is more man-
confidential information year-round, ageable.
people are especially vulnerable to the
crime during tax season.
From W-2 forms to old pay stubs and Filing taxes the old
investment information, Americans fashioned way: Through
send and receive a large quantity of
confidential information that is a gold the mail
mine for identity thieves.
”Similar to the holiday shopping • Keep tax paperwork and other
season, tax time provides a variety of documents in a safe and accessible
opportunities for identity thieves,” says place, such as a fireproof box in your
Jay Foley, executive director, Identity home.
Theft Resource Center. “It is essential • Regularly check the mailbox for W-
that consumers are cautious when han- 2 forms and other documents contain-
dling their tax-related information.” ing sensitive information that arrive by
In recent years, more people have mail. If you don’t receive these docu-
turned to electronic filing for added ments by Feb. 15, contact the IRS for
assistance at (800) 829-1040 as missing
convenience.
In fact, according to the IRS, the
2007 tax-filing season set a record for
forms may be an indication that an
identity thief went through your mail.
• Send completed tax returns from
Bennett & Associates
the number of electronic filers with
more than 75 million tax forms filed
online.
a locked mailbox or the post office. If
mailing from home, do not put the
Insurance Consultants
While e-filing may offer a simplified
approach to an already dreaded filing
mailbox flag up. This only alerts identi-
ty thieves that there may be an outgo-
ing check in the mail.
& Financial Advisors
process, it may also give consumers a
false sense of security when it comes to • Make sure tax forms, backup doc- Assisting Seniors Preserve Their Savings & Assets
protecting against the crime. Similar to uments and enclosed checks are not
mail filing, consumers must still collect visible from the outside. Try wrapping
necessary paperwork required to com- your forms in an extra sheet of paper to
plete tax forms. disguise the contents of the envelope. • Reduce/Eliminate Probate & Taxes
”The convenience of e-filing doesn’t
decrease consumer’s vulnerability to Filing taxes online • Increase Your Retirement Income
identity theft during tax season,” says
Nancy Heaton, senior global marketing • Choose a tax filing service you are
• Tax Deferred Annuities • Medicare Supplements
manager at Fellowes, Inc., the leading familiar with. The IRS doesn’t offer
shredder manufacturer. “In reality, the software or direct filing, but it provides
same amount of paperwork is required a list of approved companies at
Serving Seniors Since 1974 • Over 135 Yrs. Experience
for tax back-up. That’s why it’s essen-
tial for consumers to shred any papers
www.irs.gov/efile.
• Make sure personal computers are
Kent A. Bennett LUTCF, CEPS, RFC, MSAA
containing confidential information protected with updated firewall and Certified Elder Planning Specialist
that are used to file their taxes.” secure software systems which contain
It’s also critical to properly store and antivirus and anti-spyware programs. Registered Financial Consultant
destroy sensitive back-up documents • If you are storing important tax-
used during tax season. related documents on your computer,
Medicare Supplement Accredited Advisor
Once you have determined what you change your passwords frequently
need to keep and what can be between December and April.
destroyed, make sure you properly dis- • Ensure that every Web site you Kent A. Bennett, Clara F. Bennett,
pose of this sensitive information.
Shredding is one of the most effective
are using during tax filing is encrypted
to protect personal information when
Barry K. Rake, Kimberly A. Hill
ways to get rid of confidential informa- transmitted. E-mail: KBennett@kabainc.biz • 1-800-548-9119
tion you no longer need.
When destroying records, it’s best to
• Once you have submitted your tax
forms, shred any information you no
249 Broad Street Montoursville • 327-1006
10
Uninsured Americans affect everyone’s health coverage;
Williamsport Sun-Gazette, Sunday, January 20, 2008
Physicians group works to get all Americans covered
(ARA) – When Dr. Nancy Nielsen was Americans covered. Whether it’s crowd-
attending graduate school she learned ed emergency rooms or escalating
firsthand what it was like to be unin- health care costs for all, the issue of the
sured. During that time, she had two uninsured touches everyone. The United
children who were delivered through States spends nearly $100 billion annu-
public health clinics because that was ally to provide uninsured patients with
her only option. When her 14-month-old health services, often for preventable
daughter had a fever of 106 degrees, she diseases or diseases more efficiently and
brought her to the emergency room and effectively treated with an earlier diag-
spent the next month’s grocery money noses.
on medical care. ”The increase in the number of unin-
Dr. Nielsen went on to medical school sured Americans is a forceful reminder
and is now president-elect of the
that action is desperately needed. One
American Medical Association (AMA),
working to get more Americans health in seven Americans are uninsured.
insurance coverage. Her story is only That’s not just a statistic, it’s a tragedy,”
one of many stories of the uninsured in says Dr. Nielsen. “Providing health care
America. According to the United States coverage for all Americans is no easy
Census, one out of seven, or 47 million task, but we’re committed to bringing
Americans, do not have health insur- patients and their physicians together
ance. to advocate for a solution — and to get
”In the past, the perception has been one.”
that the uninsured live in the shadows Earlier this year, the AMA launched
— the homeless, the downtrodden, the a three-year, multi-million dollar cam-
chronically unemployed. Today, many paign called Voice for the Uninsured to
Americans need look no further than spur legislative action to cover the unin-
their own families or working neighbors sured in America. In the first phases of
to find someone without health insur- the campaign, the AMA is reaching out
ance. Eighty percent of the uninsured to voters and candidates to talk about
are in working families,” says Dr. the problem and encourage Americans
Nielsen. to vote in 2008 with the issue of the
How does that affect you? Dr. Nielsen uninsured in mind. The AMA also
points out that: launched a new Web site,
• Employer-based health insurance www.VoiceForTheUninsured.org, where
isn’t a guarantee, and your own family people can learn more about the AMA’s
situation can change in a heartbeat. proposal to cover the uninsured, sign a
Already forty percent of employers don’t petition, and share their personal sto-
offer coverage for employees and their
ries.
families.
• The uninsured live sicker and die ”The fight to cover the uninsured is
younger. Many uninsured put off treat- an issue that is deeply personal to me,”
ing common ailments due to financial Dr. Nielsen says. “Living without insur-
constraints and don’t see a doctor until ance affected me, and it affected my chil-
the condition evolves into something dren. It touched my life, and it can just
more serious. It could be a woman with as easily touch yours. We want to give
no opportunity for early detection of voice to the 47 million Americans with-
breast cancer or a man who chooses to out health insurance — because it has
feed his family over seeing his doctor for become too heavy a burden on too many
chest pains. hard-working people.”
• Even those with insurance cover-
age pay the price of not having all — Courtesy of ARAcontent
How the ‘emotion quotient’ impacts your retirement
(ARA) - How you feel about your Prudential Financial, Inc. sites five to react in ways that may not be in Prudential Annuities. “For Americans
investments can greatly influence their dominant emotions and tendencies their best interest. in the The Retirement Red Zone,
ultimate outcome. That’s the finding of that can influence investment deci- * Products that provide both accu- understanding the emotions that can
a recent study exploring the link sions: fear, regret, inertia, aggressive- mulation and income guarantees help influence their behavior can help mod-
between emotions and financial deci- ness, and susceptibility. mitigate the effects of behavioral risk. erate the potential negative effects of
sion-making in investors approaching, The study also found: ”The role emotions play in invest- behavioral risk.”
or in, the critical investment window * Three of four investors — 76 per- ment and retirement decisions is being If there’s one thing everyone wants
five years before and after retirement. cent — are affected by their emotions recognized as an important factor in during retirement, it’s financial securi-
In its “Behavioral Risk in the to a moderate or high degree. creating a successful retirement,” says ty. When confronted with market fluc-
Retirement Red Zone” report, * Emotions can influence investors David Odenath, president of
(See HOW, Page 11)
How the ‘emotion quotient’ impacts your retirement
11
Williamsport Sun-Gazette, Sunday, January 20, 2008
(From Page 10) life of any other person you designate),
which protects against outliving your
tuations and losses on retirement sav- assets.
ings, it’s natural to feel some concern or Annuity guarantees are based on
even fear. the claims-paying ability of the issuing
Problems arise when short-term company, so it’s important to choose
losses cause you to hastily switch one with proven financial strength.
investment strategies and lose sight of When it comes to investing for
long-term goals. retirement, emotions can run high.
Whether you feel confident, anxious,
The potential advantages regretful, or a mix of emotions regard-
ing your investment strategies, now is
of variable annuities a good time to meet with your financial
professional to discuss all of your
For those concerned about how their options, especially if The Retirement
emotions might influence their invest- Red Zone is drawing near.
ment strategy, a variable annuity can Your financial professional can help
offer some help. A variable annuity is a determine which annuity product,
contract between you and an insurance optional benefits, and investment allo-
company, under which the insurer cation may be suitable for your retire-
agrees to make periodic payments to ment needs. And that’s something you
you, beginning either immediately or at can feel good about.
some future date. Investors should consider the con-
You purchase a variable annuity tract and the underlying portfolios’ All guarantees are backed by the Optional living and death benefits
contract by making either a single pur- investment objectives, risks, charges claims-paying ability of the issuing may not be available in every state and
chase payment or a series of purchase and expenses carefully before invest- company. Guarantees do not apply to may not be elected in conjunction with
payments. ing. This and other important informa- the underlying investment options. certain optional benefits.
A variable annuity offers growth tion is contained in the prospectuses,
opportunities through a range of Annuity contracts contain exclu- The fees are in addition to fees and
which can be obtained from your finan-
investment options, typically that sions, limitations, reductions of benefits charges associated with the basic
cial professional. You should read the
invest in stocks, bonds, and money prospectuses carefully before investing. and terms for keeping them in force. annuity. See the prospectus for more
market instruments. Your needs and the suitability of an Your licensed financial professional can detailed information.
Advantages include: annuity product should be carefully provide you with costs and complete
• Death benefit. Variable annuities considered before investing. details. — Courtesy of ARAcontent
offer a guaranteed death benefit. If you When evaluating your needs, please
die before payments begin, your benefi- consider other variable annuities avail-
ciary is guaranteed to receive a speci- able from Prudential Financial compa-
fied amount — typically at least the nies.
purchase amount. Variable annuities are issued by
• Tax-deferred growth. Variable Pruco Life Insurance Company (in New
annuities are tax-deferred. That means York, by Pruco Life Insurance
you pay no taxes on the income and Company of New Jersey), Newark, NJ
investment gains from your annuity and distributed by Prudential
until you withdraw your money. Annuities Distributors, Inc., Shelton,
• Guaranteed income for life. Many CT. All are Prudential Financial com-
variable annuities offer, for an addi- panies and each is solely responsible
tional fee, the ability to receive periodic for its own financial condition and con-
payments for the rest of your life (or the tractual obligations. In the insurance Business since 1879, we offer:
• Medicare Supplement Insurance
• Long-Term Care Insurance
• Home Health Care Insurance
• Annuities / Life Insurance
Victoria Stillman • Drug Discount Cards
Accounting & Tax Services
1540 Northway Road, Williamsport
(just South of Loalsock High School) 570-368-1533
570-326-3682 960 Plaza Drive
Fax 322-2906 Montoursville, PA
Still accepting 2007 tax returns by drop-off.
Making 2009 appointments. New clients always welcome. 04-B010 Neither Bankers nor its agents are connected with the U.S.
Government or the Federal Medicare Program.
12
IRA INFO
Williamsport Sun-Gazette, Sunday, January 20, 2008
Making Financial Dreams a Reality since 1909
Roth IRA?
Traditional IRA?
Which one will provide you with what you need at
retirement? How do you decide?
We’ll give you the facts and help you create a
A Subsidiary of Jersey Shore State Bank
retirement program that’s right for you.
705 Washington Blvd. WIlliamport PA.
Call today.
www.comprehensivefinancialgroup.com
Registered Representatives of and securities offered through ING Financial Partners, Inc. Member SIPC. 705 Washington Boulevard, Williamsport, PA 17701. (570) 322-4627.
The Comprehensive Financial Group and Jersey Shore State Bank are not subsidiaries of nor controlled by ING Financial Partners, Inc.
Advisory services may only be offered by Investment Adviser Representatives in connection with an appropriate ING Financial Partners, Inc. advisory services agreement and
Disclosure Brochure (Form ADV Part II), as provided. JA099-14-83127-4