Find a Financial Advisor in Northampton County

One household, two towns: an example from Northampton County

Here is an invented example. Frank is 62 and spent thirty years in a manufacturing job in the Bethlehem area. His wife Donna is 60 and works part time at a school office. They own a twin home they paid off, and their daughter lives a few streets away with two grandchildren. Frank has a small pension from his employer, a 401(k) he rolled over a few years ago, and a decision to make about when to claim Social Security.

Their questions are very Northampton County. Should Frank take the pension as a monthly check or a lump sum? What does the local earned income tax mean if Donna keeps working? Could the house flood the next time the river rises? And how do they leave something to the grandchildren without a surprise from the state inheritance tax?

This page follows that kind of household through the main topics, one section at a time.

Northampton County at a glance

According to the U.S. Census Bureau, 2020 to 2024 American Community Survey, Northampton County has about 324,411 residents, a median age of 42.0 and a median household income of $89,184. The median home value is $308,600, median gross rent is $1,395 and 71.1% of households own their home. About 34.7% of adults have a bachelor’s degree or higher, and 20.3% of residents are 65 or older. Unemployment is reported at 4.6%.

If you are new to hiring help, read the guide to choosing a financial advisor first.

Financial advisors in Northampton County: costs and what you pay for

The phrase financial advisor does not tell you how a person is paid. Some advisors charge a yearly percentage of what they manage. Others charge a fixed fee, an hourly rate or earn commissions on the products they sell. In a county where many families have a pension and a paid-off home rather than a large portfolio, a percentage fee may not fit. A flat fee for a retirement income review can cost less over time.

Before you hire anyone, ask for a one-page summary showing every fee, including fund expenses and account charges, in dollars for your balance. Compare it with the service you will receive. One simple question settles most of it: what would I pay in year one, and what would I get?

Financial planners in Northampton County: planning around the local tax stack

A financial planner puts together the full plan. In Pennsylvania, a planner has to keep the tax layers straight. The state has a flat personal income tax, but most municipalities and school districts also levy an earned income tax, and some add a small local services tax. Where you live and where you work can change which rate applies. People who commute across the Delaware River to New Jersey or over to New York should check how two states treat the same paycheck.

A planner also helps with the bread and butter: an emergency fund, debt payoff, college savings and insurance. For families with children headed to nearby colleges or trade programs, the guide on college savings covers 529 plans.

Investment advisors in Northampton County: income-minded portfolios

Investment advisors manage portfolios or recommend securities. Many households in the county hold a rolled-over 401(k) from a manufacturing, health care or logistics employer. Moving the account is simple, but the investment choices afterward deserve attention: how much to hold in stocks and bonds, how to keep fees low and how to avoid drifting into a risky mix as markets move.

Pennsylvania regulates state-registered advisers through the Department of Banking and Securities, and the SEC covers larger firms. Check the registration, ask whether the advisor manages money on a discretionary basis and see how they report performance. The investing guide explains common terms.

Wealth management in Northampton County: family businesses and long-held homes

Wealth management applies where there is more to coordinate. In the county, typical examples include a family-owned contractor or restaurant, a medical practice, a large share of equity in a house bought decades ago, and inheritances from parents who stayed in the area.

Pennsylvania has an inheritance tax rather than an estate tax. Rates depend on who inherits, with transfers to a spouse generally exempt and transfers to children taxed at a lower rate than those to more distant relatives. The rules and exemptions change, so confirm them with an attorney. A wealth manager coordinates beneficiary designations, titling of property and gifting so the result matches your wishes. The estate planning guide explains the documents.

Retirement planning in Northampton County: a state that treats retirees kindly

Pennsylvania generally does not tax Social Security benefits, and it does not tax qualifying retirement distributions once you meet the age requirement, though you should confirm current rules with the Pennsylvania Department of Revenue. That makes the state attractive for retirees, and it changes the order in which you draw down accounts. Federal tax still applies to most withdrawals, and local taxes may apply to earned income if you keep working.

A plan should cover when to claim Social Security, what to do with a pension, how to cover healthcare before Medicare, and how long a portfolio needs to last. One in five residents is already 65 or older, so many neighbors can tell you what they wish they had done earlier. The retirement planning guide walks through each step.

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Life insurance in Northampton County: keeping coverage in step with life stages

Young families need term insurance to cover a mortgage and income. Older couples may keep coverage to help a surviving spouse maintain a pension or to leave money to children. If a pension pays out only while the retiree lives, a survivor option or a life policy can protect the spouse. Many workers also lose group coverage when they retire, so check what ends and when.

Compare term and permanent policies by total cost and by what each does. Be cautious with products that bundle insurance and investing, and ask for a written illustration. The life insurance guide covers the main types.

River floods and aging homes

Northampton County sits where the Lehigh River meets the Delaware at Easton, and low-lying areas along both rivers have flooded in the past. Standard homeowners insurance generally excludes flood damage, so owners near water should ask about a separate flood policy through the National Flood Insurance Program or a private insurer. Many homes in the older boroughs were built decades ago, so budget for roofs, heating systems and electrical updates. A planner can set a home repair reserve as a percentage of the house value.

The Slate Belt, Bethlehem and Easton: three different local economies

The county is not uniform. In the north, the Slate Belt communities such as Bangor, Pen Argyl and Wind Gap grew around slate quarrying and still have a small-town character and lower home costs. Bethlehem is known for its steel history, with the former Bethlehem Steel site reinvented as an arts and events venue, and for Lehigh University and Moravian University. Easton is the home of Lafayette College and sits across the Delaware River from New Jersey. Warehouses and logistics operations have grown along the highway corridors, and health care is a large employer.

For your finances, this means pay varies widely. A union tradesperson, a college administrator and a warehouse manager all live in the county but have different benefits, so ask your advisor to plan around your actual employer plan.

Commuting to New Jersey and New York

Some residents work in New Jersey or the New York area. That can mean higher pay but also tax filing in two states and credits for taxes paid elsewhere. Keep pay stubs and W-2s organized and tell your tax preparer where you work. Long commutes raise car costs, so include them in your budget.

Paying for an older home

Many houses in the boroughs and along older streets are decades old. Budget for the unglamorous items: a new roof, a boiler, wiring, sidewalks and sewer lines. A common guideline is to set aside a modest percentage of the home value each year, but your own inspection report is a better guide. If you are a retiree on a fixed income, add the repair reserve to your withdrawal plan so a surprise bill does not force you to sell investments in a down market.

Caring for parents and grandchildren

Households in this county often include several generations nearby. Adult children help parents, and grandparents help with childcare or tuition. Decide what you can give without hurting your own retirement, and put it in writing in plain terms. If you plan to pay a grandchild’s tuition, ask about paying the school directly or using a 529 plan, which can have different tax effects. Talk with an estate attorney before adding a child’s name to a deed, since doing so can have gift tax and capital gains consequences.

Areas we serve in Northampton County

Advisors who serve the area, by phone or video, work with residents of Bethlehem and Easton and with households in places such as Nazareth, Bangor, Hellertown, Wind Gap, Pen Argyl and Palmer Township. Wherever you live, you can meet from home.

How to choose a financial advisor in Northampton County: your checklist

1. Ask whether they will put in writing that they act in your interest.
2. Request the full fee in dollars per year for your balance.
3. Look up their record on FINRA BrokerCheck and the SEC adviser search.
4. Ask what they have done for households like yours, such as pension holders.
5. Confirm that your money stays with a separate custodian in your name.
6. Find out how often they review your plan.
7. Ask who else will work on your account.
8. Interview at least two advisors before choosing.

Frequently asked questions