Insights

Federal employees have multiple retirement benefits available to them, but the greatest value comes from understanding how those benefits work together. Explore key considerations for coordinating your FERS pension, TSP, Social Security, healthcare, taxes, and estate plan for retirement.

What's Inside: Top Reasons to Own Life Insurance; Making It Make Sense: The Roth 5-Year Rule; Moving to Another State? Consider These Tax Moves; Index Funds: Traditional and Not-So-Traditional; Teachers and Coaches Finally Get the (Tax) Break They Deserve; and After the Storm: Navigating Storm Damage Claims

Stocks closed last week generally higher as tech and AI shares attracted investors, while Treasury yields continued to rise as a notable sell-off pulled bond prices lower. This result is likely due to traders trying to balance strong corporate earnings and solid economic momentum with stubborn inflation and the likelihood of additional Federal Reserve policy tightening.

Healthcare costs can play a significant role in retirement planning. Camilla Carvalho, Wealth Manager at Corbett Road Wealth Management, explains what to review during Medicare's Annual Enrollment Period and how coverage decisions may connect to your broader financial strategy.

Last week marked the first adjustment in interest rates in the last three years as investors spent the latter part of the week trying to figure out the implications of monetary tightening, rising Treasury yields, persistent inflation, and advancing crude oil prices.

The Fed is expected to raise rates this week, but a repeat of 2022’s hiking cycle is not our base case. In five of the past six hiking cycles, stocks were positive over the following year, underscoring that economic conditions and inflation trends matter more than the direction of rates alone.

Estimated tax payments can be an important consideration for retirees and investors whose income is not subject to regular paycheck withholding. Georgia Lord, Head of Financial Planning at Corbett Road, explains who may need to make estimated payments, key 2026 deadlines, the safe harbor rule, and strategies for managing taxes when income comes from sources such as pensions, RMDs, dividends, interest, and capital gains.

Despite strong returns last Friday, it was not enough to offset losses accumulated earlier in the week. Each of the benchmark indexes listed here closed the holiday-shortened week in the red as investors tried to reconcile rising energy prices, increasing inflation, climbing Treasury yields, and the increasing likelihood of an interest rate hike by the Federal Reserve.