Novak Financial Partners

09/01/2026

The first thing to do with an inheritance is nothing.

Not because the decisions aren't important, but because they are.

An inheritance can come with tax rules that aren't always obvious. Withdrawing an inherited IRA all at once could create a significant tax bill. Selling inherited investments may result in little or no capital gains tax because of the stepped-up cost basis. And different assets can require completely different strategies.

Before you invest it, spend it, pay off debt, or make any other major financial decision, understand what you actually inherited and the rules that come with it.

We put together a guide covering what to do first, the tax rules to know, and the common mistakes to avoid after receiving an inheritance.

Read the full guide below.

Most inheritances aren't taxable, but inherited IRAs and appreciated assets come with real rules. A step-by-step guide to handling inherited money well.

08/25/2026

Madi and I recently bought a new car.

Before we started shopping, we had to answer the big question: how much car can we actually afford?

Once we had our price range, the rest was easy.

I wanted a used, loaded model.

She wanted a new, base model.

So we compromised and bought a new, base model.

Link in comments.

08/20/2026

A friend recently asked us to review a whole life insurance policy he purchased when he was 22 years old.

He'd been contributing $150/month for nearly 10 years.

When we reviewed the policy, here's what stood out:
• Total premiums paid: Nearly $16,000
• Cash value: About $14,000

This is why we don't view life insurance as an investment.

Life insurance is designed to protect your family. Investments are designed to build wealth. They're built to accomplish different goals.

The good news is that because his total premiums exceeded the policy's cash value, he was able to surrender the policy without generating a taxable gain and use the proceeds toward a home renovation.

If you purchased a whole life insurance policy years ago, it may be worth reviewing to make sure it still aligns with your financial goals.

08/18/2026

Refinancing your student loans can save tens of thousands in interest. It can also permanently eliminate federal protections worth far more than that.

We put together a simple framework to help you decide before you do, covering loan type, forgiveness eligibility, and how refinancing fits into your broader financial plan.

Refinancing can save thousands, but federal loans lose PSLF and income-driven repayment protections for good. A simple 5-step framework to decide if it makes sense.

08/13/2026

We've reviewed a lot of investment portfolios this year, and we continue to see the same things when we look under the hood:

• 5.50%–5.75% upfront sales charges
• 0.50%–1.50% ongoing expense ratios
• Capital gain distributions in taxable accounts

And almost every time, the client or prospective client has no idea.

One of the easiest things you can do today is Google the ticker symbol of one of the funds you own. In less than a minute, you can often see the expense ratio, whether there's a sales charge, and other important details.

You deserve to know exactly what you're invested in, what it's costing you, and why.

If you'd like a second opinion on your portfolio, we'd be happy to take a look.

08/11/2026

The traditional inheritance often arrives after someone dies, when their children are already in their 50s or 60s, with careers established, mortgages mostly paid off, and retirement already in sight.

It is generous, but it is often less impactful than giving earlier.

A $50,000 gift to a 35-year-old buying their first home, paying for childcare, funding a wedding, or maxing out retirement accounts can change the trajectory of their financial life. The same dollars received decades later may simply add to an already established nest egg.

There is another benefit people rarely talk about: you get to see it.

You are there for the new house. You are at the wedding. You watch your kids and grandkids enjoy opportunities your money helped create.

Of course, this only makes sense if your own retirement is already secure.

We put together a guide covering the pros and cons of giving an inheritance early, the 2026 IRS gifting rules, and one simple strategy for helping move family wealth in a tax-efficient way. Read it here:

A smaller gift at 35 has more impact than a larger inheritance at 65. Here is how lifetime gifting works, what the 2026 gift tax rules allow, and a strategy for moving money into tax-advantaged accounts.

08/06/2026

We currently work with 70 clients across 22 states.

While many of our meetings are held virtually, we also work with several families right here in Southern Illinois.

In fact, we've met every one of our local clients in person, despite not having a traditional office.

We believe financial planning should be convenient. If you're local, we're happy to meet from the comfort of your own home, your office, or another location that's convenient for you.

If you've been wondering whether your financial plan could be better, we'd love to have a conversation.

08/04/2026

You retire at 63. Social Security can wait until 70. RMDs don't start until 75.

For 12 years, your taxable income is the lowest it will ever be again.

Most retirees spend decades saving for retirement and never realize they have a 12-year tax-planning window sitting right in front of them.

We put together a guide to the Roth conversion window:

A couple retiring at 63 with $2M in a traditional IRA can convert $1.29M over 10 years and save over $160K in lifetime taxes. Here's the 2026 strategy.

07/28/2026

Claiming Social Security at 62 means more years of benefits, but smaller monthly checks.

Waiting until 70 means larger monthly checks, but fewer years to collect them.

There are compelling cases for each.

The biggest mistake we see is treating Social Security as a standalone decision.

Here's the framework we use to help clients decide when to take social security:

Claiming at 62 locks in a 30% reduction. Waiting to 70 boosts your benefit by 24%. Here's the math, plus the Roth conversion connection that changes the calculation.

07/21/2026

Over the past year, we’ve had several clients and friends introduce us to their parents as they prepare for retirement.

The questions are usually similar:

When should we take Social Security?
Should we do Roth conversions?
How should we invest differently in retirement?
Do we need a trust?

So we put together a simple Retirement Readiness Checklist with the main things we think people should review before retiring.

A practical 10-question checklist for anyone nearing retirement: Social Security timing, Roth conversions, Medicare, income planning, estate documents, and more.