Milestone Asset Management Group LLC
Financial Planner and President
During Michael’s career, he has had the opportunity to structure very unique and complex solutions for high net worth investors. Prior to founding Milestone Asset Management Group, Michael spent well over a decade working with High Net Worth individuals and their families at Fidelity Investments. Michael was responsible for overseeing close to a Billion dollars worth of client assets, specializing in management, retention, and development of High Net Worth Clients, who have at least $1million in investable assets.
Michael also co-founded Visionary Private Wealth Management Group in 2013, a very successful RIA and in 2016 Michael launched Milestone Asset Management Group LLC. Michael is a committed fiduciary to his clients. Active in the community, Michael serves as:
- Board of Directors Avon Chamber of Commerce
- Sargent at Arms & Board of Directors member, Avon-Canton Rotary International Club
- Board of Directors Avon Dollars for Scholars
Michael resides in Avon, CT with his wife, Nelly, and their three beautiful children. When he is not at work, Michael enjoys spending time with his family and training in the mixed martial arts, specifically the art of Brazilian Jiu Jitsu.
BS, Finance, Suffolk University
Disclosure: The posted information is for informational purposes only. This message does not constitute an offer to sell or a solicitation of an offer to buy any security. All opinions and estimates constitute Michael Mezheritskiy's judgment as of the date of the report and are subject to change without notice. Accordingly, no representation or warranty, expressed or otherwise, is made to, and no reliance should be placed on, the fairness, accuracy, completeness or timeliness of the information contained herein. Milestone Asset Management Group LLC is a registered investment advisor offering advisory services in the state of Connecticut and in other jurisdictions where exempted.
Good morning this is a very tricky question. The loan from your 401k technically is not taxable, but it is. Let me explain. When you borrow from the 401k plan you get your check, deposit it in to your bank account and you then start to make payment on it. So far no taxes, however here is the catch, when you are paying your loan off, unlke 401k contirbutions, your loan payments do not come out pre-tax they come out AFTER TAX. However as soon as your loan payments hit your 401k plan they become pretax money and therefore when you take it out later in life (retirement) you will be taxed on that ammount again.
This is confusing so let me give you an example: You take out $10,000 as a loan, you are paying it off with after tax money and eventualy you pay it off. Now when you retire and you are taking that 10,000 distirbution out it will be taxed to you again.
So as you can see at the end of the day loans are double taxed. This is not to say that loan is a good or a bad option this is simple answering your question.
Feel free to reach out if you need clarification.
Thank you for your question. When you inherit a 401k plan, it will be part of your father’s estate. However the balance in the 401k is not taxable to you. Your late father’s employer would create a beneficiary 401k account for you where the assets will be transferred to. Once the assets are under your name, depending on your fathers age, you will have to take out a minimum required distribution (MRD) (if he was over the age of 70 1/2). This year’s MRD will be based on your late father’s life expectancy however going forward it will be based on yours. That is the only requirement you have for distributions. Now if you do choose to take extra money out, then you will owe ordinarily income taxes on what you withdraw, however there will not be a 10% early distribution penalty for you if you are under the age of 59 1/2.
This is a very confusing topic if you need any additional help or clarification please do not hesitate to reach out.
Good morning, thank you for your question. The 457 plan is a very unique plan, in that they do not have an early distribution penalty on withdrawals. However you should contact the plan administrator to double check.
Best of luck
Thank you for your question.
If you use one of the discounted brokers such as Fidelity. Schwab, Scottrade, Etrade, TD they do not carry any account maintenance fees. The only fee you should see is a cost of executing trades. If you decided to purchase mutual funds, ETF's then you want to pay attention to expense rations as well as transaction fees. However many discounted brokers offer hundreds of no transaction fee funds (with expense ratios) as well as commission free ETFs. However if you are trading stocks then your only cost should be the trading commission. Please feel free to ask any additional questions, as I am sure you have quite a few as you are getting started.
Best of luck
Good afternoon, you did not specify your age. If you are under the age of 59 1/2 then distributions from QDRO (divorce accounts) are not subject to a 10% early distribution penalty. Just ordinary income tax. There is no way around paying taxes, however if you are under the age of 59 1/2 and need to take a distribution, I would caution you, that if you rollover that QDRO 401k in to an IRA you will no longer be able to access the money with out 10% penalty, as it would no longer be a QDRO account. Therefore if you need to take the money out and you are under the age of 59 1/2, I believe you should consider leaving the money in the 401k and draw from there, rather then rolling it to an IRA.
Best of luck