Aspen Financial & Insuance Solutions by Mark Cunningham

10/28/2026

The $1,900 bracket jump most retirees don't see coming

Tax brackets in retirement are invisible until they're not.

Here's the trap:

You retire. You're making $45,000 from Social Security + withdrawals. Feels like a 12% tax bracket year, right?
Then your brokerage sells some long-term investments at a gain. $15,000 profit. "Still feels low," you think.
Then you have an RMD of $18,000. "Okay, now we're at $78,000 total income."
Your CPA tells you: "You're actually paying an effective 18% rate, not 12%."

Where'd the difference come from?

Tax bracket creep.
Here's what happened invisibly:
First $45,000 of income: 12% federal (you expected this)
Next $15,000 capital gain: 0% federal (you thought this was free, but...)
Next $18,000 RMD: 22% federal bracket

BUT: Social Security taxation kicks in because your "combined income" (1/2 of SS + other income) exceeded $32,000 (single) / $44,000 (married)
Result: 85% of excess Social Security becomes additional taxable income

The 15K capital gain wasn't 0%. It was 0% federal + it triggered 15% additional Social Security taxation.

The RMD wasn't 22%. It was 22% federal + it pushed another $5,000 of Social Security into taxation.

Effective rate: 18%. Expected rate: 12%.

Difference: $1,900 on a $78,000 income year. And this repeats every year you don't manage brackets.

Here's the framework:

Your "tax cliff" zones in retirement:
Income Threshold - What Happens - Tax Increase
$32k (single) / $44k (married)
Social Security taxation kicks in +0–15% on SS
$44k (single) / $55k (married)
Long-term cap gains drop from 15% to 20% +5% on gains
Next tier depends on state - State income tax kicks in
+3–13%

RMD required at 73 or 75 (depending on when you were born)
Forced income inclusion - Can't avoid!

The strategy:

Year-end tax planning isn't about "reducing taxes." It's about sequencing income to minimize bracket creep.

Use Roth conversions in low-income years (before RMDs)
Bunch charitable giving (QCD strategy)
Time capital gains around loss-harvesting years
Coordinate RMD timing with spouse (if married)
One year of planning saves thousands. Doing it every year from 60–90 saves six figures.

Want to stress-test your brackets for next year? Let's run it. 970-800-3616.

10/19/2026

A Smarter Retirement Income Strategy: How Maria's Early Social Security Claim Resulted in an $80,000 Benefit.

Maria called me at 61, stressed.

"I know I should wait until 70 to claim Social Security for the maximum benefit," she said. "But my portfolio is down 12% this year, and I'm panicked."

Her instinct was typical: Delay Social Security, preserve the portfolio, claim the maximum later. But I asked a different question: What if the sequence order matters more than the individual amount?

Here's her situation:

Portfolio: $850,000 (down from $950,000).
Planned Social Security: $2,400/month at 70 vs. $1,600/month at 62. Early retirement gap: Ages 62–70 (8 years). Annual income need: $60,000.

Most advisors say: Delay Social Security, keep drawing from the portfolio, hope it recovers.

Here's what happens:

Year 1: Draw $60,000 from portfolio (down market = locking in losses)
Year 2: Draw $60,000 again (portfolio recovers, but you've already sold at a loss)
Years 3–8: Repeat
Year 9: Finally claim Social Security at 70, but portfolio is damaged.

Result: Portfolio depleted faster, less growth recovery room.

Here's what I recommended instead:

Claim Social Security at 62 ($1,600/month = $19,200/year)
Use her IUL cash value for the bridge gap ($40,000/year for 8 years). Keep the portfolio UNTOUCHED for the first 8 years (let it recover)

At 70, portfolio is larger, Social Security is claimed, IUL is replenished from lower withdrawals.

What actually happened:
Claimed at 62, used IUL strategically (borrowing tax-free),
portfolio had NO withdrawals in the 2 worst years of the market.
By year 8, portfolio recovered to $950,000+, claimed Social Security at 70 (not much larger, but paired with recovered portfolio).

Difference over her lifetime:
First path: Portfolio dwindles, she's forced to reduce spending at 80.

Second path: Portfolio stable, income predictable, legacy possible.

She'll get roughly $80,000 more in cumulative retirement income over her lifetime because she sequenced differently, not because she optimized one pillar. That's the power of sequencing.

Is your retirement sequenced right? Or are you optimizing the wrong thing? Let's check. 970-800-3616.

10/16/2026

The RMD (Required Minimum Distribution) decision tree nobody shows you!

Once you're 72, the RMD decision becomes annual.

Here's the framework:

Decision 1: How much do you actually need? Need it for living expenses? Take the full RMD from any account. Don't need it? Go to Decision 2.

Decision 2: Can you donate to charity? Yes, and you're 72+? Use a QCD (Qualified Charitable Distribution). Satisfies your RMD requirement reduces taxable income no 10% bonus tax on excess charitable deductions ideal if you're charitably inclined!

Decision 3: Which account first? IRAs (lower income inclusion) before 401(k)s (full income inclusion).

But: If you have a Roth conversion strategy in progress, the order changes If you have net unrealized appreciation (NUA) in employer stock, the timing changes again.

Decision 4: Tax bracket positioning. Are you in a low-income year (e.g., retired early)? Consider pulling extra from pre-tax accounts now (while rates are low) instead of forced RMDs later. Are you in a high-income year (pension, rental income, Social Security)? Consider minimizing RMD by donating instead.

The complexity:

RMD is not standalone. It interacts with:

Social Security taxation (combined income test) Medicare premiums (IRMAA thresholds) Investment income (long-term capital gains rates) Tax bracket (15% vs 22% vs 24%)

One decision that feels small cascades across your entire financial picture.

Overwhelmed by the options? That's normal. Let's map your RMD strategy. 970-800-3616

Send a message to learn more

09/29/2026

Why Your Retirement Strategy Might Be Outdated

Here's a confession: I see a lot of retirement plans that still split money into silos—stocks, bonds, insurance—like they're supposed to solve different problems. But what if they could work together?

Three scenarios I see often:

Scenario 1: I'm in bonds and CDs because I'm afraid of stocks. You're likely losing to inflation. At 2.5% returns, you're losing purchasing power.

Scenario 2: I'm in a 60/40 portfolio and I'm sleeping okay. Good, but are you prepared if the market drops 35% in Year 3 of retirement? That's sequence risk.

Scenario 3: I have an annuity, but I'm worried about money left on the table in up years. Guaranteed income floor = peace of mind. But you might be leaving growth on the table.

What if you didn't have to choose?

Indexed Universal Life (IUL) is designed around a simple principle: participate in market gains, protect against losses.

Your money compounds at 12–13% in good years
Your money stays flat (0% floor) in bad years
You can access this money tax-free via policy loans
Your heirs inherit a death benefit

Combine this with an annuity? You've solved the sequence-of-return puzzle.
I'm not saying IUL is right for everyone. But if your retirement plan forces you to choose between growth and security, we should talk.

What's your biggest concern about retirement income? Reply or message me—I'm here to help.

09/24/2026

One of the biggest retirement decisions people make is when to start Social Security.

The decision feels simple: Claim at 62, 67, or 70?

But here's what most financial advisors miss: Your claiming age isn't just about how much you get each month. It's also about what you pay for Medicare 2 years later.

Here's the pattern I see:

Person A (single) claims Social Security at 62.
Social Security income: $2,000/month
Other income that year: $115K
Medicare hits at 65 → IRMAA Tier 2 → extra $203/month

Person B (single) claims Social Security at 67.
Social Security income: $2,960/month (40% more)
Other income that year: $120K
Medicare hits at 69 → IRMAA Tier 2 OR Tier 3 depending on withdrawal strategy.

The question most people never ask: "What's my total cost—Social Security benefits MINUS Medicare surcharge?" That's the real decision. Not just "Which age maximizes my monthly check?" but "Which age maximizes my net cash flow, tax bill, and Medicare costs combined?"

Most claiming decisions I see are made blind to the Medicare piece. That's the gap I fill. If you're within 5 years of claiming, there's one conversation worth having before you decide.

Send a message to learn more

09/18/2026

I just had a consultation with a couple planning to retire at 66.
Their advisor had optimized for tax brackets and RMDs. Smart work.
But nobody had looked at IRMAA.

Here's what happens:
💰 Income from pension, investment accounts, and Social Security = $285k combined
📍 That puts them in IRMAA Tier 2 for Medicare (2026)
❌ Instead of $203/month in standard premiums, they pay $406/month (combined)
❌ That's an extra $2,436 in Medicare costs for that year

Now here's the thing: IRMAA recalculates EVERY YEAR based on current income. So their premiums move year-to-year based on their actual income from 2 years ago. This couple could reduce their IRMAA in the coming years by adjusting withdrawal strategy.

It didn't have to be this way. If they'd shifted $30k from taxable accounts to Roth conversions during years 63-64, they'd have landed below the Tier 2 threshold at $274k. Annual Medicare costs would drop by $1,464—and they'd have MORE retirement flexibility in the process.

This is the invisible tax. It's in the numbers. It's predictable. But it only gets fixed if someone's looking for it.

IRMAA planning isn't optional for clients over $200k household income. It's as important as tax planning and income sequencing. If your retirement plan isn't stress-testing against IRMAA thresholds, you're leaving money on the table every single year.

2026 Thresholds:

Single: $109,000 ← Tier 1 triggers here
Married: $218,000 ← Tier 1 triggers here
Single: $137,000 ← Tier 2 triggers here
Married: $274,000 ← Tier 2 triggers here
Surcharges: $81–$487/month depending on income tier

Want the full breakdown? I've got a one-page guide that maps all 5 tiers and the planning levers that actually work.

Send me a message and I'll send it your way.

Send a message to learn more

09/14/2026

This happened to one of my clients, and I want to share it because I think it’ll help someone reading this.

Tom (not his real name) is 65 and just enrolled in Medicare. He did really well in 2024—got a promotion, made a bonus, picked up some consulting work. His income hit $145K that year.

Great year financially. He was happy about it.

Two weeks into Medicare enrollment, his bill arrives. He’s expecting the standard $202/month for Part B.

The bill shows $405/month.

He calls me confused. “Mark, what is this? Did they make a mistake?”

No mistake. It’s IRMAA—Income-Related Monthly Adjustment Amount. A Medicare surcharge based on the income he reported on his 2024 tax return.

Because his income was $145K in 2024, Medicare is charging him an extra $203/month starting right now.

The lesson? Before you take a big bonus, before you take IRA distributions, before you make ANY income decision at age 63 —know what your Medicare costs will be TWO YEARS LATER.

Because the decision you make could cost you starting at 65.

If you’re thinking about claiming soon, let’s talk. No obligation. Just the numbers.

09/09/2026

Are you maximizing your Social Security and Medicare benefits? Many people leave thousands on the table by not understanding their options. I specialize in retirement income planning—helping you navigate Social Security claiming strategies and Medicare enrollment to build the retirement security you deserve. Whether you're asking "When should I claim?" or "Which Medicare plan is right for me?" I can help you compare options and create a personalized plan. Schedule your complimentary consultation today and let's talk about your retirement. Call (970) 800-3616 or visit www.afisolutionsllc.com.

08/20/2026

What if better employee benefits didn’t require a bigger benefits budget?

Virtual benefits can give employees convenient access to valuable healthcare resources—wherever they live or work.

Available options may include:
• Virtual care access
• Prescription support
• Mental health resources
• Simple, employer-friendly enrollment

If you’re a business owner looking for practical ways to support your employees and strengthen your benefits package, let’s talk.
Send me a message for a complimentary, no-pressure conversation about the available options.

08/17/2026

If the market dropped tomorrow, would your retirement plan still do its job?

Annuities and Indexed Universal Life insurance—often called IUL—can help address different financial concerns:

• Annuities may provide protected growth and guaranteed lifetime income.

• IUL can provide lifelong death-benefit protection while building cash value based partly on the performance of a market index, subject to policy terms, caps, and costs.

These strategies aren’t right for everyone, and they aren’t interchangeable. The key is understanding how each may fit into your complete financial picture—not buying a product simply because it sounds attractive.

Would you like to know whether either strategy deserves a place in your retirement plan? Let’s have an educational, no-pressure conversation.

What matters most to you: lifetime income, protecting your family, or leaving a legacy?