Invest in Your Family and Community

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Why do you invest? For many people, here's the answer: "I invest because I want to enjoy a comfortable retirement." And that's certainly a great reason, because all of us should regularly put money away for when we're retired. But you can also benefit by investing in your family and your community.

Let's start with your family members, particularly the younger ones. How can you invest in their future? One of the best ways is to help send them to college. A college degree is still a pretty good investment: The average lifetime earnings of a college graduate are nearly $1 million higher than those of someone with a high school degree, according to a study by the U.S. Census Bureau.

To help your children or grandchildren pay for any college, university, vocational school or other postsecondary education, you may want to open a 529 savings plan. With this account, withdrawals are federally tax free, as long as the money is used for qualified higher education expenses, including those from trade and vocational schools. (However, if you withdraw some of the earnings on your account, and you don't use the money for qualified expenses, it will be taxable and can also incur a 10 percent federal tax penalty.) Plus, you retain control of the funds until it's time for them to be used for school, so if your original beneficiary chooses not to pursue some type of higher education, you can name a different eligible beneficiary.


Another way to invest in your family is to help your adult children avoid feeling obligated to provide financial assistance to you. For example, if you ever required some type of long-term care, such as an extended stay in a nursing home, could you afford it? The average cost for a private room in a nursing home is more than $100,000 per year, according to a study by Genworth, an insurance company. And Medicare typically pays very few of these expenses. So, to avoid burdening your adult children – while also preserving your own financial independence – you may want to consider some type of long-term care insurance. A financial advisor can help you determine what coverage may be appropriate.

Moving beyond your family, you may want to invest in the social fabric of your community by contributing to local charitable, civic, educational or cultural groups. Of course, now that we're in the holiday season, it's the perfect time for such gifts. Furthermore, your gift will be more appreciated than in years past because one of the chief incentives for charitable giving – a tax deduction – was lost for many people due to tax law changes, which raised the standard deduction so significantly that far fewer people chose to itemize deductions. However, you might still be able to gain some tax benefits from your charitable gifts. To name one possibility, you could donate financial assets, such as stocks that have risen in value, freeing you of potential capital gains taxes. In any case, contact your tax advisor if you’re considering sizable charitable gifts.

Saving for your retirement will always be important. But don't forget about investing in your family and your community – because these investments can provide satisfying returns.

This article was written by Edward Jones for use by your local Edward Jones financial advisor. Courtesy of Rob Adams, 71 Main Street, North Adams, MA 01247, 413-664-9253.. Edward Jones, its employees and financial advisors cannot provide tax or legal advice. You should consult your attorney or qualified tax advisor regarding your situation. For more information, see EdwardJones.com.

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Hunter College Snaps MCLA Men's Basketball's Winning Streak

MCLA Sports Information
NORTH ADAMS, Mass. -- MCLA's Noah Yearsley scored 26 points, but it wasn't enough as the men's basketball team saw their nine game winning streak snapped by Hunter College 84-79 Friday afternoon in non league action.
 
In the opening half, neither team led by more than six points as the Hawks (5-13) took a slim 41-39 lead into halftime. The same held true in the closing half, but with six minutes remaining, Hunter led 67-62. MCLA (12-5) responded with a 7-0 spurt to grab a 69-67 lead as Yearsley scored five points in the run, but still with five minutes left to play.
 
After trading leads over the next several minutes, Hunter took the lead for good on Melvin Collins' three point play with under two minutes remaining making it 77-74. MCLA's Ki-Shawn Monroe converted for two on the other end to get within a point, but George Keener's bucket and FT extended back to a four point edge with under a minute remaining.
 
Monroe cut it in half with 25 seconds left, but MCLA was forced to foul. Keener made three FT's down the stretch to preserve the win and end the Trailblazers winning streak.
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