District & Union Education
Overview
There are several ways we can help you secure your financial future.
These are the major services we offer:
Life Insurance
Teacher’s Pension provides a variety of
insurance services depending on your family’s specific needs and objectives.
To take care of the people you love and the life you have built, a solid protection plan is an important part of your financial strategy. The right plan will fit your priorities, needs and aspirations.
Our financial professionals can help you personalize a life insurance plan that not only safeguards your family's future but also empowers you to enjoy life more today.
- Coverage during working years only
- Pension max planning for retirement
- Supplimental tax-free plans for retirement
- Specific coverage in the case of a heart attack, stroke, cancer, or other major medical conditions
LifeInsurance -
Permanent Life Permanent Life Insurance plans have no expiration date and are designed to ensure your family will receive the death benefit regardless of when you pass with a savings component. Permanent Life Insurance policies enjoy favorable tax treatment.
The two primary types of Permanent Life Insurance are Whole Life and Universal Life. Whole Life Insurance offers coverage for the full lifetime of the insured, and its savings can grow at a guaranteed rate. Universal Life Insurance also offers a savings element in addition to a death benefit, but it features different types of premium structures and earns based on market performance.
Temporary (Term) Life
Term Life Insurance, also known as pure life insurance, is a type of life insurance that guarantees payment of a stated death benefit if the covered person dies during a specified term. Once the term expires, the policyholder can either renew it for another term, convert the policy to permanent coverage, or allow the policy to terminate. Many refer this to “renting insurance.”Term life premiums are based on a person’s age, health, and life expectancy.These policies have no value other than the guaranteed death benefit and feature no savings component as found in a whole life insurance product.
How much life insurance do you need?
Asset Protection -
• Are your retirement accounts, home equity and other assets protected?
• What if there’s an illness or injury that happens, and your income is affected, will you have to liquidate your assets to pay your mortgage or other bills?
- Disability
- Terminal Illness
- Critical Illness (Cancer, Heart Attack, Stroke, ALS disease, Organ transplant, blindness)
- Chronic Illness (Long-term care, in home care)
- Critical Injury
No one ever likes discussing or planning for sickness, injury, or death. Part of comprehensive financial planning is to ensure you are properly protected while your retirement assets are growing. One of the main reasons why individuals cannot afford to retire, other than proper savings, is medical expenses and liquidating assets prior to retirement due to unexpectedlife events.
RETIREMENT PLANS
403b Plans
A 403(b) plan (tax-sheltered annuity plan or TSA) is a retirement plan offered by public schools and certain charities. It’s similar to a 401(k) plan maintained by a for-profit entity. Just as with a 401(k) plan, a 403(b) plan lets employees defer some of their salary into individual accounts. The deferred salary is generally not subject to federal or state income tax until it’s distributed. However, a 403(b) plan may also offer designated Roth accounts. Salary contributed to Roth account is taxed currently, but is tax-free (including earnings) when distributed.
Eligible employers are: Public school, college, or university, Church Charitable entity tax- exempt under Section 501(c)(3) of the Internal Revenue Code.
457 Plans
Plans of deferred compensation as described in IRC section 457 are available for certain state and local governments and non-governmental entities tax exempt under IRC 501. They can be either eligible plans under IRC 457(b) or ineligible plans under IRC457(f). Plans eligible under 457(b) allow employees of sponsoring organizations to defer income taxation on retirement savings into future years. Ineligible plans may trigger different tax treatment under IRC 457(f).
401k Plans
A 401(k) is a feature of a qualified profit-sharing plan that allows employees to contribute a certain amount of their wages to individual accounts.
Elective salary deferrals are excluded from the employee’s taxable income (except for designated Roth deferrals). Employers can contribute to employees’ accounts.
Distributions, including earnings, are includible in taxable income at retirement (except for qualified distributions of designated Roth accounts).
TRADITIONAL IRA vs. 403b/401k
Who can contribute?
Traditional IRA
You can contribute if you (or your spouse if filing jointly) have taxable compensation but not after you are age 70 1/2 or older.
403b / 401k Plans
You can contribute at any age if you (or your spouse if filing jointly) have taxable compensation and your modified adjusted gross income is below certain amounts (see 2014 and 2015 limits).
Are my contributions tax deductible?
Traditional IRA
You can deduct your contributions if you qualify.
403b / 401k Plans
Your contributions are deductible.
How much can I contribute?
Traditional IRA
The most that you can contribute to all of your traditional and Roth IRAs is the smaller of:
• $5,500 (for 2018) or $6,500 if you’re age 50 or older by the end of the year
• Your taxable compensation for the year
403b / 401k Plans
$18,500 up to age 50
$24,500 over age 50
What is the deadline to make contributions?
Traditional IRA
Your tax return filing deadline (not including extensions). For example, you have until April 15, 2015 to make your 2014 contribution.
403b / 401k Plans
Contributions must be made through payroll.
When can I withdraw money?
Traditional IRA
You can withdraw your money at any time. Withdrawals before age 59 1/2 could be subject to an IRS early distribution charge of 10%.
403b / 401k Plans
At age 59 1/2, at separation from service, or other qualifying event. Withdrawals before age 59 1/2 could be subject to an IRS early distribution charge of 10%.
Do I have to take required minimum distributions?
Traditional IRA
You must start taking distributions by April 1 following the year in which you turn age 70 1/2 and by December 31st of later years.
403b / 401k Plans
You must start taking distributions by April 1 following the year in which you turn age 70 1/2 and by December 31st of later years unless you are still currently employed by the employer that sponsors your plan.
Start Planning Today.
Contact Us for a Quote to protect your family and your assets