Wealth

• toomeyinvest
• Wealth
• May 7, 2025

Achieving Your Personal Financial Goals with a Trusted Financial Planner

Setting personal financial goals is an essential step toward building a secure and fulfilling future—but reaching those goals takes more than just good intentions. Whether you’re saving for retirement, planning for a major life milestone, or simply trying to get a better handle on your finances, working with a trusted financial planner can make all the difference.

At Toomey Investment Management, we believe that personalized guidance is key to financial success. Here are a few ways a financial planner can help you work toward achieving your personal financial goals:

1. Clarify Your Vision
   It all starts with understanding what you truly want. A financial planner helps you define clear, realistic goals—whether it’s buying a home, funding your child’s education, or enjoying a comfortable retirement. With a clear vision in place, you can start building a practical plan.
2. Create a Strategic Roadmap
   A financial planner doesn’t just look at your savings account—they evaluate your full financial picture. From investment strategies and tax planning to budgeting and insurance, your planner will develop a comprehensive, step-by-step approach to help you reach your short- and long-term objectives.
3. Stay Accountable and On Track
   Life changes, and so should your financial plan. Regular check-ins with your planner ensure your strategy adapts to new circumstances, helping you stay focused and avoid costly missteps.
4. Make Informed Decisions with Confidence
   One of the biggest advantages of working with a financial planner is having a knowledgeable partner by your side. With access to expert insights and tailored advice, you can feel confident about the decisions you make.

At Toomey Investment Management, we take the time to get to know each client personally. As a multi-generational, family-run firm, we value relationships and offer continuity you can trust—helping you build wealth with purpose, and peace of mind.

Let us help you turn your financial goals into a reality. Contact Toomey Investment Management to schedule a consultation today.

• toomeyinvest
• Wealth
• October 21, 2024

Choosing the Right Investment Strategy

When it comes to investing, one size does not fit all. The key to successful investing is choosing the right strategy that aligns with your personal financial goals, risk tolerance, and time horizon. Making informed decisions in these areas can significantly impact your financial future and overall peace of mind.

Aligning with Your Financial Goals

The first step in crafting a sound investment strategy is to define your financial goals. Are you saving for retirement, funding a child’s education, or building wealth for a major purchase? Your goals will determine the types of investments you should consider. For example, long-term goals like retirement might benefit from growth-oriented investments such as stocks, while short-term goals may require more conservative options like bonds or money market accounts.

Understanding Risk Tolerance

Risk tolerance is the degree of variability in investment returns that you are willing to withstand. It’s essential to assess how comfortable you are with potential losses in the short term. If you have a higher risk tolerance, you may be more inclined to invest in equities, which can offer higher returns but also come with higher volatility. Conversely, if you are risk-averse, you might prefer fixed-income securities that provide more stability but lower returns. Understanding your risk tolerance helps in selecting an investment mix that you can stick with, even during market downturns.

Considering Your Time Horizon

Your investment time horizon, or the length of time you plan to hold an investment before taking money out, is a crucial factor in determining your investment strategy. A longer time horizon allows you to ride out market fluctuations, making higher-risk investments more viable. However, if your time horizon is short, you may need to focus on more conservative investments to preserve your capital.

Seek Professional Guidance

Choosing the right investment strategy involves balancing your financial goals, risk tolerance, and time horizon. It can be a complex process that requires careful planning and a deep understanding of the financial markets. This is where professional guidance becomes invaluable. At Toomey Investment Management, we help clients develop tailored investment strategies that align with their unique circumstances. Our experienced advisors work closely with you to understand your goals and craft a plan that fits your needs.

Don’t leave your financial future to chance. Contact Toomey Investment Management today to learn how we can help you create an investment strategy that positions you for success.

• toomeyinvest
• Wealth
• April 24, 2024

Legacy Planning Tips for Baby Boomers

Data from the U.S. Census Bureau show that there are 76.4 million Americans from the “Baby Boom” generation living today. Baby Boomers – those individuals born between 1946 and 1964 – are currently of an age to retire or prepare to retire (even the youngest ones). In the coming years, the wealth transfer from the Baby Boomers to younger generations is expected to be record-breaking: estimates have found that approximately $72 trillion worth of assets are currently possessed by Baby Boomers, and much of this wealth will ultimately be transferred to heirs. 

At the same time, many Americans from this generation have failed to properly build an estate plan. One study found that only 43 percent of Americans have a will. This is an issue of concern, particularly for Americans with dependents such as a spouse, children, or even elderly parents – who may rely on them for financial support. Estate planning is a critical way property owners and investors can protect their loved ones in the future. With the right guidance, individuals can create a legacy that will maximize the amount of wealth they transfer to heirs by limiting taxes, errors, and unnecessary administrative costs.

Strategies for Preserving and Passing on Wealth

Generally speaking, these strategies involve the creation of wills or living wills. At its core, a will is a comprehensive legal document that outlines an individual’s final wishes and how they want their assets distributed. A will also identify who will manage an estate and care for any minor children or dependents after an individual’s death. Legacy planning may also include the creation of trusts. A benefit of a trust is that it will generally allow heirs to bypass the expensive and time-consuming process of probate and make an individual’s assets immediately accessible upon death. Trusts can also be used to reduce estate taxes, protect heirs from creditors, and ensure that assets that are designated for dependents are distributed according to the legacy holder’s wishes.

Planning for Philanthropy

The Baby Boomers have traditionally been generous when it comes to charitable causes, and many may wish to include these favored causes in their estate planning. Charitable giving can result in disputes among family heirs, however, so it’s critical that these charitable legacies be crafted properly so they are not legally open to challenges.

Legal and Tax Considerations for Legacy Planning

Few people today are hoping to pay as much as possible in taxes when their estates are transferred. That said, an improperly planned estate can be costly to heirs when tax considerations are not carefully weighed. Estate taxes are those that are levied on the value of an individual’s assets at the time of their death. This tax is calculated based on the total value of an individual’s estate, including personal property, cash, investments, and real estate. Tax considerations are highly complex and may be affected by state, federal and even local law. Estate taxes can significantly reduce the amount of wealth available to heirs, so proper legacy planning needs to involve understanding the rules and planning ahead to minimize taxation. An experienced financial advisory firm can ensure that clients have a comprehensive and legally binding plan in place that is designed to eliminate confusion, family conflict, unnecessary costs, and taxation when the time comes to transfer a legacy.

In addition to wills and trusts, inter-vivos trusts, also known as living trusts, play a crucial role in estate planning. These trusts allow individuals to transfer assets during their lifetime, effectively removing them from the probate estate. Living trusts provide numerous benefits, including avoiding the probate process, ensuring privacy, and facilitating a smoother distribution of assets to beneficiaries. Furthermore, within the context of wills, it’s essential to include advanced healthcare directives. These directives outline an individual’s medical preferences in case of incapacity, ensuring their wishes are honored and providing clarity to loved ones during difficult times.

An experienced financial advisory firm can ensure that clients have a comprehensive and legally binding plan in place that is designed to eliminate confusion, family conflict unnecessary costs, and taxation when the time comes to transfer a legacy.

• toomeyinvest
• Wealth
• April 9, 2024

Navigating Financial Success: Wealth Management in Connecticut

While many Connecticut residents love our state and wouldn’t live anywhere else, there’s no denying that life in the Constitution State is expensive. According to the Cost of Living Index, Connecticut residents pay 13 percent more than the national average for living expenses. Housing in Connecticut is 24 percent higher than the national average, and utilities clock in at 30 percent higher. For everyday living items such as food and clothing, groceries cost about nine percent more than the national average, and clothing is also nine percent more expensive.

The good news is that incomes are higher in Connecticut. Per capita personal income in Connecticut notched in at $52,034 in 2022, second only to Massachusetts. Median household income stands at $90,213.

Building wealth in a high-cost, high-income state looks a bit different than it does in other parts of the country. Higher taxes make tax abatement strategies more urgent, for starters. A high cost of living makes saving for retirement more challenging. For this reason, it’s essential to engage in proactive wealth management and define clear personal financial goals.

What is Wealth Management?

Wealth management is an essential, multifaceted process designed to strategically plan and manage your assets, incorporating a range of activities from financial investments to tax planning, retirement planning, estate planning, and beyond. While it’s possible to undertake wealth management on your own, the complexity of the financial landscape often necessitates the expertise of a financial planner. The ultimate aim of wealth management is not just to maintain but to significantly enhance your financial security and grow your wealth over time, ensuring it is well-protected against potential uncertainties.

Navigating the intricacies of asset management without professional guidance can be daunting and might lead to missed opportunities for enhancing and preserving your wealth. A private wealth advisor plays a critical role in your financial journey, leveraging expertise to potentially enhance the performance of your investment strategy, minimize your tax liabilities, and tailor your financial plans to fit the unique contours of your life and family dynamics.

In a high-cost, high-income environment like Connecticut, the value of a local wealth manager becomes even more pronounced. Connecticut-based wealth managers possess a deep understanding of the state’s economic climate and are well-versed in navigating its specific challenges and opportunities. These professionals have a proven track record of helping clients develop and refine effective wealth management strategies, staying abreast of relevant state laws and regulations to ensure a seamless and efficient wealth-building process.

Why Choose a Private Wealth Advisor?

Choosing to work with a private wealth advisor means opting for a partner who can provide personalized, strategic guidance tailored to your financial landscape. This partnership is invaluable for those committed to achieving long-term personal financial goals and ensuring their wealth not only grows but thrives in today’s ever-changing financial environment. With their expertise, private wealth advisors offer peace of mind and a path to financial confidence, making them an indispensable resource for anyone serious about securing and enhancing their financial future.

Toomey Investment Management, Inc. is a Wallingford, Connecticut-based financial advisory company that offers clients expertise in independent portfolio management. Toomey Investment Management’s independence enables a client-centric approach to wealth management, focusing on understanding individual personal financial goals and crafting personalized strategies to achieve them.

At TIMI, our business model is designed to treat all of our clients equally and fairly. We realized long ago that the financial industry dedicated many resources to capture money from prospective clients but much less on service and accountability for existing clients. At Wallingford, Connecticut-based TIMI, we listen carefully, keep in touch, and return your calls and communications quickly, so you can count on us. We will work effectively to optimize your financial situation and solve your problems—whether you’re focused on saving for retirement, refining your investment strategy, or maximizing the effectiveness of your asset management plan. Call us at 203-949-1710 or visit our website for more information.

• toomeyinvest
• Wealth
• October 24, 2022

How to Build Wealth: Strategies You Can Start Now

If the idea of building your wealth seems overwhelming and complicated, this is a post you need to read. The reality is that it doesn’t have to be at all and it’s something that’s within reach for anyone.

In simplest terms, wealth is your assets minus your debts. So, to build wealth, you need to focus on increasing your assets and reducing your debts. It really is that simple.

To get there, there are several things you can start doing right now to build wealth so you can live the life you want.

The Self-Subscription

It’s amazing how many subscription services there are in 2022. Data shows that U.S. users pay for four streaming services on average and 7% of Americans have six or more! And that’s before we account for all the other residual monthly costs we have. What if, instead of those 3 or 4 monthly service subscriptions, we subscribed to our own investment accounts? Simply put, if it wasn’t for retirement plans at work that automatically defer some of our salaries for us, the retirement crisis in this country would actually be far worse. Treating your investments as a monthly bill that your credit score depends on may be the first step to true financial freedom.

Live More Modestly

All too often, people have income increases and as a result, they immediately increase their spending. So even though you’re making plenty of money, you end up with little or no savings. Don’t fall into that trap. Spend less than you earn and make building wealth a top priority.

Live modestly and always pay attention to where your money is going. Make a list of everything you spend money on for an entire month, and then look for areas where you can cut back. You might have no idea how much you spend on things you don’t need until you see it all right in front of you.

Debt Control

The best way to get into a better financial situation is to have a handle on your debts. Although a number of financial personalities have championed paying off all debts, we think debt is one of the most important tools you can use to enhance your long-term wealth. If your secured debt (collateralized) is low interest, paying this over time will free up cash assets to invest elsewhere while earning a higher rate of return than the money you’d be saving by eliminating your cheap debt. Utilizing a healthy credit score to advantageously borrow cheap money is a far cry from the high-interest unsecured debt people should avoid at all costs. Little tricks like these shine a bright light on the many ways to utilize debt instead of eliminating almost all of it completely.

Make Your Money Work for You

Once you have funds available to invest, you can let your money grow over time thanks to compound growth. If your employer sponsors a retirement plan, take advantage of it. If the company provides matching contributions, allocate enough of your own money to get the full match. You should also be investing in taxable, and tax-free accounts to ensure maximum withdrawal flexibility later in life. Accounts like these will enable you to invest in accounts that allow access to your investments prior to age 59 ½ without having to pay penalties or ordinary income taxes. Having a diversified tax strategy is just as important as having a diversified portfolio.

Get Professional Help with Wealth Building

At Toomey Investment Management, we focus on keeping our portfolio costs low, as well as helping our clients understand how the investment process works. We have designed a series of models that we use to choose the right investments for each client’s goals. Contact us today to discuss how we can help you build wealth for the future.

• toomeyinvest
• Wealth
• May 11, 2021

Wealth Transfer? Here’s What You Need to Know

When it comes to planning the distribution of your estate, there are many questions clients are often asking themselves. Are my heirs responsible? How can I avoid the probate court? How can I make sure my grandchildren are taken care of? Then after considering the moving pieces associated with these complex decisions, clients seldom know where to start. Our answer often starts with one thing: taxes.

In fact, not many people think about the tax treatment of different accounts for their heirs, but it is one of the most important estate planning topics that should be considered. If you’re leaving an inheritance, or are an heir yourself, the tax code can have a substantial effect on the how the assets are to be distributed. Here are some of the basics you should consider as you’re planning your estate.

Consider Individual Tax Liabilities

Do you have a large amount of your estate in an IRA? Well, whenever there is a pretax account granted to someone, they also inherit a tax liability. Do you own a non-qualified annuity? People seldom realize that all of the gains in that annuity are taxable to their heirs upon distribution. And the tax they will pay on that inheritance will be based on; you guessed it, that individual’s own marginal income tax rate. So even if you are intent on dividing your estate equally amongst siblings, the actual net inheritance can change drastically due to personal tax circumstances. Understanding the rules for distributions after life will help you make more prudent choices that best suit you and your family.

Understand Other Tax Liabilities

If the inheritance being passed to someone is in the form of property or an estate there may also be taxes to consider that could also significantly change the inheritance amounts. For example, in some circumstances, a state estate tax will be levied on any property left to heirs. In many cases, this tax may be taken from the value of the estate before the assets are distributed. A capital gains tax may also come into play if a property that’s inherited is sold for a profit after the date of death. It’s important to understand the state and federal tax laws that will apply to your inheritance.

Tax Mitigation Strategies

There are many ways we can plan your wealth transfer in a more tax efficient manner.  Utilizing life insurance, converting a portion of your pretax assets during life, or creating a comprehensive gifting program to your family members are all viable strategies. There are also ways to define how and when assets can be inherited with private trusts. It’s always important that prior to taking any meaningful steps, you have a firm grasp on all of the options available. This will ensure you are making decisions with conviction.

Speak with a Trusted Financial Adviser

Meeting with a financial advisor to discuss your future financial plans is critical if you want to create a tax-efficient inheritance strategy. Optimizing in this way requires strategic insight, advice, and planning. Call Toomey today!

• toomeyinvest
• Wealth
• March 15, 2021

A Wealth Transfer Boom is Coming – Here’s What You Should Know

Talking about the untimely passing of a loved one is never easy. However, having these important conversations early and taking the time to responsibly plan for how wealth is transferred to heirs is a critical topic.

As baby boomers are soon expected to pass on trillions of dollars in wealth to their families over the next few decades, this very topic has become a key area of focus for many.

It’s about more than just mapping out a plan you feel good about, but also keeping it up to date over the years and having your heirs in on the conversation early so they can make future plans as well.

At Toomey Investment Management we can help you to understand the different methods available to effectively leverage, pass and distribute wealth to your heirs. An estate plan is unique to every client and because of that, the process may benefit from a firm with an independent approach. Our clients can expect a transparent experience as we analyze the market for investment vehicles that correlate with your goals.

If you’re on the cusp of entering your retirement years or have started to think about more effective management of your assets, we have some key things you’ll want to consider when it comes to wealth transfer.

The event of this money shifting has already been referenced by many as the “Great Wealth Transfer.”

First, a little background. As we mentioned, the generation born between 1944 and 1964 – also known as Baby Boomers, spent the decades of their core working years amassing a lot during economic strong years and are now moving into the retirement years. Market projections indicate they’ll be transferring around $60 trillion in wealth to millennials and Gen X by 2061. The effects of these inheritances are far-reaching and without a solid plan, those funds – even large sums – could easily be squandered.

Unexpected wealth can happen quickly and beneficiaries may not be able to keep a solid perspective when it happens. By making them aware of the future wealth and giving them time to speak with an advisor there is time to make a solid foundation and plans for preserving and growing those inheritances.

So what can you do now? Start having these conversations about money and future inheritances with your Gen X and Millennial kids and grandkids if you plan to pass money down in the future so that they can start planning early.

A trusted financial advisor can assist with understanding tax obligations, planning for expenses, and even allocating inheritances to meet their own financial goals.