close
You are now leaving the peoples.com website and entering an external website.
Ok
Cancel
Important

You must have a People's United Bank personal checking account to access AlwaysChecking.

Don't yet have a checking account?

Explore checking

Skip to navigation Skip to main content Skip to login Skip to footer
People's United Bank, N.A, is now part of M&T Bank. Today, keep banking the way you always do. Learn more
menu
People's United logo with tagline, A division of M&T Bank
  • search
  • Log in Log in
arrow_drop_up
  • Personal
  • Business
  • Other
Invalid Character
Can't Login? Enroll in Online Banking
Invalid Company ID
Invalid User ID
Can't login? Enroll in eTreasury+
  • Online Investing
  • Commercial Credit Cards
  • Client Point
  • Consumer Loan Servicing
  • LockBox Exceptions
  • LockBox Research
  • Personal Credit Card
  • United Bank Credit Card
  • Retirement iPlan
  • Shareholder Services
  • One-Time Loan Payment
  • PCLC Online Payments
Search search
Site Menu
  • Personal
  • Business
  • Wealth
    • Personal
      • PRIORITIES
      • Personal Investing
      • Saving for Education
      • Retirement Planning
      • Trusts, Estates and Charitable Planning
      • Insurance, Income and Annuities
      • Private Banking
      • IRAs
      • CAPABILITIES
      • Investment Strategies
      • Philosophy
      • Process
      • People
      • Systematic Investing
      • Brokerage Services
      • About People's United Advisors
      • About People’s Securities Inc.
    • Institutional
      • PRIORITIES
      • Institutional Investing
      • Retirement Solutions
      • Global Custody and Escrow Services
      • Cash Management
      • Business Wealth Management
      • Private Banking
      • CAPABILITIES
      • Investment Strategies
      • Philosophy
      • Process
      • People
      • Systematic Investing
      • About People's United Advisors
    • Insights
      • OUTLOOK
      • Monthly Insights
      • Quarterly Magazine
      • In the News
      • LEARN MORE
      • Advice
      • Investing
      • Retirement
      • Trust and Estate
    • Working With Us
      • OUR ADVISORS
      • Find an Advisor
      • INVESTMENT TEAM
      • Meet Our Team
  • ATM & Branch
  • Customer Support
  • About Us
  • Careers
  • About Us
  • Careers
  • Personal
  • Business
  • Wealth
  • ATM & Branch
  • Customer Support
Peole's United logo with tagline,  A Division of  M&T Bank
  • Personal arrow_drop_up
    • PRIORITIES
    • Personal Investing
    • Saving for Education
    • Retirement Planning
    • Trusts, Estates and Charitable Planning
    • Insurance, Income and Annuities
    • Private Banking
    • IRAs
    • CAPABILITIES
    • Investment Strategies
    • Philosophy
    • Process
    • People
    • Systematic Investing
    • Brokerage Services
    • About People's United Advisors
    • About People’s Securities Inc.
  • Institutional arrow_drop_up
    • PRIORITIES
    • Institutional Investing
    • Retirement Solutions
    • Global Custody and Escrow Services
    • Cash Management
    • Business Wealth Management
    • Private Banking
    • CAPABILITIES
    • Investment Strategies
    • Philosophy
    • Process
    • People
    • Systematic Investing
    • About People's United Advisors
  • Insights arrow_drop_up
    • OUTLOOK
    • Monthly Insights
    • Quarterly Magazine
    • In the News
    • LEARN MORE
    • Advice
    • Investing
    • Retirement
    • Trust and Estate
  • Working With Us arrow_drop_up
    • OUR ADVISORS
    • Find an Advisor
    • INVESTMENT TEAM
    • Meet Our Team
  • search
  • Log in
arrow_drop_up
  • Personal
  • Business
  • Other
Invalid Character
Can't Login? Enroll in Online Banking
Invalid Company ID
Invalid User ID
Can't login? Enroll in eTreasury+
  • Online Investing
  • Commercial Credit Cards
  • Client Point
  • Consumer Loan Servicing
  • LockBox Exceptions
  • LockBox Research
  • Personal Credit Card
  • United Bank Credit Card
  • Retirement iPlan
  • Shareholder Services
  • One-Time Loan Payment
  • PCLC Online Payments
close

Putting Good Financial Habits Into Action in 2021

Two business women, one in a gray suit and one in a copper blouse, shake hands in the conference room of a high-rise city building at a table with financial papers, a tablet and coffee.
SAVE PDF

We’ve written before about cultivating good financial habits that can help you ensure long-term financial security. In the current market environment of heightened anxiety (even as stocks continue to outperform), we think it’s more important than ever to translate good intentions into tangible action. We’d highlight four broad areas:


1. Estate and Trust Planning: Changes Ahead?

Review the basics: making sure you have a will, a health-care proxy, and a financial power of attorney, and that your beneficiaries are still who you want them to be. But go further than that.

With the Democrats in control of both Congress and the White House, the likelihood of higher estate taxation has increased. While the unified gift- and estate-tax exemption is currently a high $11.7 million for an individual and $23.4 million for a married couple, President Biden has indicated that he’d like to see exemptions at $3.5 million/$7 million, the marginal estate-tax rate at 45% rather than the current 40%, and elimination of the step-up in cost basis for heirs of estates. But don’t restructure any financial plans yet if you have substantial assets: No one knows which, if any, of Biden’s proposals will find their way into law and what they’ll look like when final. Rather, this is a time to talk with your financial and tax advisors.


2. Retirement: A 401(k) Review Is in Order

Check on your retirement savings, of course. But here’s something that investors sometimes forget: locating all their prior 401(k) plans and deciding what to do with them. You can let them ride, roll them over into an IRA, roll them over into your current 401(k) if you have a new plan that allows for it, or cash them out. But take that last option only if you need the funds desperately and immediately, because the distribution will be taxed as ordinary income, with a 10% penalty attached for good measure unless you’re at least 59½ years old.

For most investors, rolling over into an IRA or a new 401(k) works best. See our article for details.

And remember that when it comes to savings, a little goes a long way. Even an increase of only 1% or 2% each year to your savings can have a large impact, thanks to the miracle of compounding.


3. Insurance: Do You Need More, or Less?

How much life insurance should you buy and should you go for “pure” term insurance or a permanent policy that accrues cash value? Or maybe you don’t need life insurance anymore because you can provide protection for your dependents through other means. If so, you can cancel the policy, or perhaps sell it. Make sure you speak with a life-insurance expert about issues like these, and read our paper on The Meaning of Life Insurance.

Health insurance is as important as life insurance for most of us, and not just basic medical coverage. You might look into long term-care, critical-illness, and disability policies.


4. Investing: Stay in the Market

You’ve heard it before: Investing is highly emotional, often ruled by greed (when the markets are ebullient) and fear (when they’re sliding). If you let these emotions guide your investing, you’ll probably buy near market highs and sell near lows. And emotions may tempt you into market-timing. But to be a successful timer, you’ll need to pinpoint when to sell and when to get back into the market. Doing either one, let alone both, is impossible for most investors. Who, for example, would have called the last market trough on March 23, 2020—or the surge between then and the end of February 2021? A professional advisor can help take the emotional biases out of investing.


Rome Wasn’t Built in a Day

Taking only the best financial actions isn’t something you can expect to do in a day. Rather, it’s an ongoing, evolving process that ideally you’re involved in every day. We’ll help you get a long-term plan together that will chip away at the challenges and position you well to achieve your goals.

Related Articles

The Road Ahead

Consolidated Appropriations Act 2021

The More Things Change: Meeting Your Needs in a Digital World

View More

People’s United Advisors can help

Come see us about prudent investing.

Red and blue telephone. Call this phone number for help, to speak with an expert or for more information

800-772-8778

People's United Advisors official logo

People's United Bank, N.A. merged into M&T Bank. It is now People's United, a Division of M&T Bank. Although account documentation or other materials may continue to reflect the People's United Bank, N.A. name or logo, new wealth management accounts opened on or after that date will be opened with M&T Bank or it's People's United Advisors Inc. or Wilmington Trust, N.A. affiliates. For more information please go to www.wilmingtontrust.com, reach out to your relationship manager or refer to your account agreement(s).

Investment products are offered through People’s United Advisors, Inc., a registered investment advisor. People’s United Advisors, Inc. is a wholly-owned subsidiary of M&T Bank. Investment products may involve risk, including possible loss of principal.

Investment Products:

• Are Not Insured by FDIC or any Federal Government Agency
• Are Not a Deposit of or Guaranteed by a Bank or any Bank Affiliate
• May Go Down in Value


Form CRS - ADV Part 2A - Privacy Policy - Legal Disclosure

PUA is not soliciting any action based on this material. It is for general informational purposes only. It does not constitute a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual investors.

On April 2, 2022, People’s United Bank, N.A. merged into M&T Bank. It is now part of M&T Bank and its former branches and most services will operate as the People’s United division of M&T Bank until we complete the integration of our systems later in 2022. M&T Bank is a Member FDIC, Equal Housing Lender and Equal Opportunity Lender.

By using People's United Online Banking, you agree to the People's United Electronic Services Agreement.

ABOUT
  • About Us
  • Careers
  • Community
  • Press Room
  • Investor Relations
SITES
  • Personal
  • Business
  • Wealth
  • Site Feedback
SERVICE AND SUPPORT
  • Support Center
  • Security Center
  • Find a Branch
  • Mobile Banking
  • Online Banking
TERMS & CONDITIONS
  • Privacy
  • Online Terms
  • Servicemember Information
  • Accessibility Options
Peole's United logo with tagline,  A Division of  M&T Bank