Protect & Grow

In this episode of Protect and Grow Chicagoland Retirement, host Peter sits down with Tim Stearns, CFP®, to dive deep into the mechanics of Roth conversions. While the concept of a Roth conversion is simple, the execution requires careful planning around timing, income tax brackets, age milestones, and funding sources for tax liabilities.Tim breaks down how to "nibble on the tax bill" through multi-year strategic planning rather than converting large balances all at once. They cover key windows of opportunity—including in-service distributions at age 59 1/2 and highlight potential pitfalls to avoid, such as IRMAA Medicare surcharges, Social Security tax implications, and the early withdrawal penalty rule.Key Takeaways:Good, Better, Best Tax Funding: Why using external cash is the ideal way to pay conversion taxes while keeping the full principle invested.The 59 1/2 to Age 62 Sweet Spot: How to capitalize on tax bracket planning before the two-year Medicare IRMAA look-back period begins at age 63. RMD Mechanics: How Required Minimum Distributions interact with Roth conversions and why RMDs must be satisfied first. Long-Term Benefits: How Roth accounts protect against future tax rate hikes, alleviate the "widow's penalty," and create a tax-free legacy for beneficiaries.

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If you prefer to listen to the videos they will be posted in audio form on this page. https://protectandgrow.libsyn.com/site?_ga=2.261998026.658482677.1678457675-23497610.1666730944

DISLCAIMER: Securities offered through Crown Capital Securities, L.P. Member FINRA / SIPC OSJ

Is your 401(k) working as hard for your future as you are? In this episode of Protect and Grow Chicagoland Retirement, certified financial planning professional Tim Stearns, CFP (founder at TJ Stearns, Inc.) joins host Peter to dive deep into one of the most powerful—yet often misunderstood—tools for retirement planning.

While a 401(k) is often a person's largest single asset outside of their home, it is not a complete retirement plan on its own. Tune in as Tim breaks down how to optimize this account during your working years and how to properly transition it when you're ready to retire!

What You'll Learn in This Episode:

• 💡 The Power of Automation: Why setting your contributions on "autopilot" and automating annual increases builds long-term wealth.

• 💵 Free Money on the Table: How to ensure you're capturing your full employer match so you never leave money behind.

• 📊 2026 Contribution Limits & Catch-Ups: What you need to know about the latest IRS limits, including standard contributions, catch-up limits for those 50+, and special SECURE Act provisions for ages 60–63.

• 🔄 Traditional vs. Roth 401(k): How to evaluate whether taking tax deductions now or enjoying tax-free growth later aligns with your retirement timeline.

• 🎯 Smart Investment Allocation: Tips for avoiding over-concentration in company stock, aligning risk tolerance with your age, and reviewing investments annually.

• 🚪 When & Why to Exit Your 401(k): Why a 401(k) is built for accumulation, but may be an imperfect tool for distribution—plus how to utilize in-service distributions at age 59½ or the Rule of 55.

• ⚠️ Top 401(k) Mistakes: Common pitfalls to avoid, from unnecessary loans to failing to update beneficiaries or delaying income planning.

Many pre-retirees assume that Medicare will seamlessly cover all their medical needs in retirement. In this episode of Protect and Grow, Certified Financial Planner™ Tim Stearns busts common healthcare misconceptions and breaks down the true, out-of-pocket costs retirees face.

From Medicare premiums, deductibles, and IRMAA surcharges to coverage gaps like vision, dental, and long-term care, Tim explains why healthcare planning and tax planning must go hand-in-hand. Tune in to learn actionable strategies—including hybrid insurance policies and HSAs—to help shield your retirement savings from unexpected medical expenses.

For more updates on when Tim Stearns uploads a new video follow these social medias Facebook - https://www.facebook.com/TJStearnsInc/?ref=aymt_homepage_panel

If you prefer to listen to the videos they will be posted in audio form on this page. https://protectandgrow.libsyn.com/site?_ga=2.261998026.658482677.1678457675-23497610.1666730944

DISLCAIMER: Securities offered through Crown Capital Securities, L.P. Member FINRA / SIPC OSJ

Are you relying too heavily on Social Security, ignoring long-term care costs, or underestimating the tax hit on your nest egg? In this episode of Protect and Grow Chicagoland Retirement, host Tim Stearns, CFP, and Peter break down the most critical financial wake-up calls every future retiree needs to address before it's too late.

Together, they dive deep into:

The Social Security Myth: Why Social Security was only designed to cover up to 40% of your retirement income.

Hidden Healthcare & Long-Term Care Costs: Navigating out-of-pocket expenses that Medicare doesn't cover and why 70% of retirees will need long-term care.

Sequence of Returns Risk: Protecting your portfolio from market volatility during the crucial early years of retirement.

The Tax Trap: Why taxes—not healthcare—are often a retiree's single biggest expense, and how RMDs can trigger unwanted surcharges.

For more updates on when Tim Stearns uploads a new video follow these social medias Facebook - https://www.facebook.com/TJStearnsInc/?ref=aymt_homepage_panel

If you prefer to listen to the videos they will be posted in audio form on this page. https://protectandgrow.libsyn.com/site?_ga=2.261998026.658482677.1678457675-23497610.1666730944

DISLCAIMER: Securities offered through Crown Capital Securities, L.P. Member FINRA / SIPC OSJ

Retirement isn't expensive because of one big bill—it's the accumulation of all the small, ongoing expenses that continue even after your paycheck stops. In this episode of Protect and Grow, certified financial planning professional Tim Stearns, CFP (founder of TJ Stearns, Inc.), breaks down the true cost of retirement and how to prepare for a 30+ year income plan.

Key Topics Covered in This Episode:

Housing & Maintenance: Why a paid-off home isn't free (taxes, HOA, repairs, and insurance).

Food & Utilities: How everyday inflation and lifestyle choices compound over decades.

Transportation: Budgeting for vehicle replacements and ongoing upkeep.

The 3 Biggest Retirement Expenses: Taxes, healthcare (Medicare, long-term care), and the "silent thief"—inflation.

Emergency Reserves: Why you need a contingency plan for life's unexpected surprises.

For more updates on when Tim Stearns uploads a new video follow these social medias Facebook - https://www.facebook.com/TJStearnsInc/?ref=aymt_homepage_panel

If you prefer to listen to the videos they will be posted in audio form on this page. https://protectandgrow.libsyn.com/site?_ga=2.261998026.658482677.1678457675-23497610.1666730944

DISLCAIMER: Securities offered through Crown Capital Securities, L.P. Member FINRA / SIPC OSJ

Are your 401(k) withdrawals silently increasing the taxes on your Social Security benefits? Many retirees view Social Security and tax-deferred accounts (like 401(k)s and traditional IRAs) as completely separate systems, but decisions made in one directly impact the other.

In this episode of Protect and Grow Chicagoland Retirement, host Peter talks with Tim Stearns, CFP®, founder of TJ Stearns, Inc., to discuss how to coordinate your retirement income streams, minimize taxation, and build a lasting financial blueprint.

Key Topics Covered:

• Earnings Baseline: Why pre-tax 401(k) contributions during your career do not reduce your Social Security earnings credits.

• Business Owner Trap: How business deductions differ from 401(k) contributions and can unintentionally lower future Social Security payouts.

• The Retirement Tax Surprise: How drawing taxable income from a 401(k) can trigger taxes on up to 85% of your Social Security benefits and push you into higher Medicare (IRMAA) brackets.

• Roth Strategies & RMDs: How leveraging Roth accounts and strategic withdrawal sequencing helps protect survivor benefits and gives you long-term tax control.

• Single vs. Married Tax Brackets: Preparing for the "widow tax penalty" when a surviving spouse inherits accounts with narrower tax brackets.

Get Your Written Retirement Blueprint Planning for retirement requires coordinating all pieces of your financial picture—from investments to taxes and Social Security claiming strategies

📞 Call TJ Stearns, Inc. Today: 847-749-2295

successful retirement doesn't happen by accident—it takes a solid structure. 🏗️ Whether you're nearing retirement or already enjoying your golden years, host Tim Stearns breaks down the essential strategies needed to build, protect, and optimize your financial foundation. 🛡️

From organizing income streams and tax-efficient strategies to risk management and estate planning, we share actionable insights so you can retire with confidence and complete peace of mind. 📈🏖️

📲 Hit subscribe to start structuring your path to lifelong financial independence today! 🎯📊

Planning for retirement isn't just about saving—it's about building a predictable, dependable stream of income that lasts a lifetime. 🏖️ Overwhelmed by interest rates, bond yields, annuities, and market volatility? We're here to cut through the financial jargon.

Join us for actionable, easy-to-understand strategies on retirement fixed income, wealth preservation, and smart risk management.

📲 Subscribe now to start building a stable, worry-free financial future! 🎯📊

Markets don't move in a straight line — so how would your portfolio actually hold up if things got rocky? In this episode of Protect & Grow, Tim Stearns, CFP®, walks through what it means to stress test your investment portfolio: looking at risk exposure, volatility, and how prepared your money really is for a downturn. Rather than reacting after a market drop, this episode is about proactively identifying where your portfolio may be vulnerable — so you can make adjustments on your terms, not the market's. 📌 In this episode: What it means to "stress test" a portfolio How to identify hidden risk and overexposure The role diversification plays in weathering volatility Questions to ask to know if your portfolio matches your risk tolerance This content is for educational purposes only and does not constitute financial, tax, or legal advice. Please consult a licensed professional regarding your specific situation before making financial decisions. For more information contact Tim Stearns, CFP® and his team at TjStearns at (800) 640-2256 and visit the website at www.tjstearns.com

Retirement brings a new chapter in how people think about money and what comes next. This video explores some of the ways money is managed after working years are over, and how people consider what happens to their finances down the road. There are no promises or specific advice here—just an overview of common themes around money, legacy, and planning for the future. If you're interested in understanding more about this stage of life and the choices involved, this video may offer some useful perspectives. For more information contact Tim Stearns, CFP® and his team at TjStearns at (800) 640-2256 and visit the website at www.tjstearns.com