Popular Investment FAQs

Our Most Popular Investment FAQs

How do I access my account over the web?

If you have a NetExchange Client Access number, hit our link, "My Account Access," and enter your financial institution number, user id and password provided to you by ING.

If you have an account but no NetExchange Client Access number, please call the office and ask for Carol King. She will get an application out to you. Fill it out and return it to our office for processing. ING will send you an access number. Keep it somewhere safe.

I am retired but do not need funds from my investment account right now. When am I required to take a distribution?

The IRS requires you to take a distribution by April 1 of the year after you reach age 70½. These requirements are designed to ensure that you do not defer the income and taxes indefinitely.

If you do not follow these regulations, the IRS will penalize you by taking 50% of the minimum amount you should have withdrawn.

How much is the minimum required distribution on an IRA?

You may calculate this by dividing the balance of your account at the end of the latest calendar year by your Uniform Life Expectancy Factor (the IRS will tell you what it is). If you have a younger spouse who is your sole beneficiary, then your required minimum distribution (RMD) will be based on your joint life expectancy. On our web site in the Learning Center, we offer a simple calculator that can help you quickly estimate your RMD.

Your financial advisor can best assist you, however, in developing a strategy for taking distributions, regardless of your age.

How can I figure out how much I will need for retirement?

First, you would need to decide the lifestyle you would want and where you would live. How much would you need to cover these items?

To figure out how much you will need, a very general rule is to multiply your current annual income by .80 (80%). This gives you a starting point. Then, subtract your annual expected social security benefit. Remember that inflation eats away annually at your retirement funds. So you multiply your annual income after social security by an inflation factor taken from a standard table. That will give you the future additional income needed. In the Learning Center, we offer some simple calculators that will get you started.

In addition to the above, there are more multiplication operations drawn from various standard tables. It is not complicated, but it does take some knowledgeable assistance. We cover this thoroughly in our seminar.

The best way to cover your retirement, however, is to find a trustworthy broker, specializing in retirement funding, who can help you through the maze and get you settled in an appropriate portfolio.

I don't know how to find a broker I can trust. Any suggestions?

The United States Securities and Exchange Commission (SEC) says the best advice it can give anyone is this: ask questions before you hand over your money to someone.

But knowing the best questions to ask isn't always easy. For one, many people are intimidated when confronting an expert and are hesitant to ask questions. For another, people don't always know what questions to ask.

To help you, we have prepared a set of questions that begin very generally and become more focused as you elicit more information.

WE RECOMMEND THE FOLLOWING QUESTIONS:

• How long have you been in the investment business?
• In what areas do you specialize?
• What do you consider your niche area?
• Would you provide references from clients?
• What type of products do you recommend?
• Do you have proprietary products?
• What is the minimum account size?
• Are you securities registered or simply insurance licensed?
• How many clients do you have?
• How often do you contact your clients? And how?
• How often do you do account reviews with clients?
• How often do you look at each account?

While these questions are no guarantee of protection for you, they will start the conversation and help you distinguish the different kinds of people in the investment business.