1-520-327-1019 info@wellspringfp.com

Resources / Education

Passive Investment Strategies

passive investments vs active investments

We always try to do things right for you at Wellspring Financial Partners. Now, you’d expect that we would say that and, to be frank, I’m sure Wells Fargo might have said the same thing to their customers over the last couple of years. Really, I’m sure they did! For all of our sakes’ let’s move beyond Wells Fargo and for the sake of objectivity let’s look for outside evidence to make sure passive investment is as good as what…

Read More >

Getting It Right

We always try to do things right for you at Wellspring Financial Partners.  Now, you’d expect that I would say that and, to be frank, I’m sure Wells Fargo might have said the same thing to their customers over the last couple of years.  Really, I’m sure they did! For both our sakes’ let’s move beyond Wells Fargo and for the sake of objectivity let’s look for outside evidence to make sure it is jiving with what Wellspring is saying. …

Read More >

Experimenting with Your Work

I thought it worthwhile to view the world of ‘work’ over a period of say… 5,000 years just for the sake of convenience. And, in this view, think about how a grand experiment is being done with the fruits of your work. People have been lending money to each other for a long, long time.  Normally, the lending of money occurs when three things happen; Someone needs resources (money) that they don’t possess today to buy something they want…

Read More >

5,000 or Bust

I thought it worthwhile to view the world of ‘work’ over a period of about 3 or so millennium!  Let’s round it to 5,000 years just for the sake of convenience. People have been lending money to each other for a long, long time.  Normally, the lending of money occurs when three things happen; Someone needs resources (money) that they don’t possess today to buy something they want They have to look like they are able to pay it…

Read More >

When Do You Need a Financial Adviser?

Adviser

(The Answer ….…..Yesterday!) When you get your first real job, money management is relatively simple. You pay your bills, put aside a little fun money, and if you are smart, you save what is left. Easy! In time, you meet your life’s partner and suddenly there are two incomes to consider, two lives. You start looking possibly for a home, which brings along mortgage and insurance considerations. And you also start thinking about the ‘what ifs’ in life. How…

Read More >

Allowable Plan Expenses: Can the Plan Pay?

The payment of expenses by an ERISA plan (401(k), defined benefit plan, money purchase plan, etc.) out of plan assets is subject to ERISA’s fiduciary rules. The “exclusive benefit rule” requires a plan’s assets be used exclusively for providing benefits. ERISA also imposes upon fiduciaries the duty to defray reasonable expenses of plan administration. General principles of allowable expenses include the following: The expenses must be necessary for the administration of the plan. The plan’s document and trust agreement…

Read More >

Organizing Your Fiduciary File

As a plan sponsor and fiduciary of your company’s retirement plan, keeping an up-to-date fiduciary file is critical. To begin, we recommend preparing your file in four key sections; contents of each section could include the following: I. Documents: plan document, IRS determination letter, summary plan description, investment policy statement, 404(c) policy statement and notice, form 5500s, service provider contracts, nondiscrimination test results, corporate tax returns, corporate board resolutions, etc. II. Administrative: evidence of employer contributions, distribution documents, audit…

Read More >

Conflict of Interest of Fiduciary Rule: A Plan Sponsor’s Q & A – Part I

After years of proposed regulation issuance, comment periods, drafting and anticipation, the Department of Labor (DOL) finally published final guidance regarding the definition of “fiduciary” on April 8, 2016. It is important for plan sponsors to understand the reasoning behind, and the scope, of the final rules. The following Q&A is meant to assist you in understanding the regulations and how they pertain to you, your plan and your participants. Q: Why did the DOL issue these new rules? A: The definition of “fiduciary” for purposes of providing…

Read More >

Q&As on Roth 401(k)

The Roth 401(k) is 10 years old! With 62% of employers now offering this option, it’s more likely than not that you can make Roth contributions to your 401(k) plan.1 Are you taking advantage of this opportunity? What is a Roth 401(k) plan? A Roth 401(k) plan is simply a traditional 401(k) plan that permits contributions to a designated Roth account within the plan. Roth 401(k) contributions are made on an after-tax basis, just like Roth IRA contributions. This…

Read More >

How many types of government savings bonds are there, and what’s the difference between them?

While the U.S. government has issued 13 types of savings bonds, there are currently only two series available for purchase through the U.S. Treasury Department: Series EE bonds and Series I bonds. U.S. savings bonds are nonmarketable securities, which means you can’t resell them unless you’re authorized as an issuing or redeeming agent by the U.S. Treasury Department. Savings bonds are guaranteed by the federal government as to the timely payment of principal and interest. You can buy Series…

Read More >