In recent years, there has been a significant shift in investment perspectives toward sustainability and ethical considerations. Investors are increasingly looking beyond financial returns and seeking opportunities that align with their values. One of the most prominent trends in this space is ESG investing, which stands for Environmental, Social, and Governance. ESG investing involves evaluating companies based on their performance in these three areas and integrating these factors into investment decisions. But first, let’s explore each component of ESG to understand the growing trends in su ..read more

Property taxes play a significant role in American households’ finances, with the average household spending $2,869 annually, according to a recent WalletHub report. These taxes impact not only homeowners but also renters, as they influence monthly rental rates and contribute to state and local government revenues. If you’re considering a move in retirement, particularly to maximize a fixed income, property taxes will become part of your deliberations. Property Taxes Vary Widely Across the Country We’ve been amazed when speaking to a friend in a state like Alabama, who pays 400 dollars per mon ..read more

Filing taxes can be a daunting task for many individuals, and sometimes life’s circumstances can make it even more challenging to meet the April 15 deadline. Whether it’s due to unexpected life events, complexities in financial situations, or simply needing more time to gather necessary documents, there are several reasons why someone might find themselves in need of filing an extension on their federal income tax return. Complex Situations Demand More Time One common reason for filing an extension is complexity. Taxpayers with intricate financial affairs, such as multiple income sources, inve ..read more

Investment Commentary –February 20th, 2024 Year to Date Market Indices as of February 20th, 2024 • Dow 38,563 (2.32%) • S&P 4,975 (4.21%) • NASDAQ 15,630 (4.01%) • OIL $78.27 (9.73%) • Barclay Bond Aggregate (-1.30%) • Gold $2,035(-1.74%) What does the election mean for taxes? The decision on the 2017 TCJA could either add $2.6 trillion to the deficit, increasing federal debt, or to taxpayers, potentially impacting consumption. Therefore, this is likely to be one of the most consequential policy decisions the next administration makes. Permanent provisions: Corporate tax rate reduced ..read more

When it comes to planning for retirement, the adage “Don’t put all your eggs in one basket” couldn’t be more apt. Diversification is a fundamental principle that underpins the construction of a resilient retirement portfolio, offering a strategic approach to balancing risk and return for long-term financial success. Understanding Diversification Diversification is the practice of spreading investments across different asset classes, industries, and geographic regions to reduce the impact of any single investment’s poor performance on the overall portfolio. The goal is to create a well-rounded ..read more

For those who wish to invest in their future, smart financial planning extends beyond selecting promising assets. It involves a keen understanding of tax implications to maximize returns and minimize liabilities. Tax-efficient investing is not just a strategy; it’s a roadmap to ensuring that investors retain as much of their hard-earned money as possible. Our goal is to help clients optimize their profiles while striving toward maximum tax efficiency. Mastering these key points can help you build a more stable future. Asset Location Matters One fundamental principle of tax-efficient investing ..read more

As we enter 2024, the new year brings revised contribution limits for retirement plans. Understanding these limits and maxing out contributions is fundamental to ensuring a secure financial future. For 401(k), 403(b), 457 plans, and Thrift Savings Plans, the 2024 contribution limit has been set at $23,000. This allows individuals to allocate a substantial portion of their income towards retirement savings, capitalizing on the power of compound growth over time. What’s even more encouraging is the catch-up contribution provision for individuals aged 50 and over, allowing an additional $7,500 co ..read more

As retirees embark on a new chapter in their lives, understanding the intricacies of tax rules becomes paramount for effective financial planning. The last thing you want is a surprise at tax time in the spring! As you prepare to retire in the next few years, learn how your tax situation will change in retirement. Required Minimum Distributions (RMDs) The IRS mandates that retirees with tax-deferred retirement accounts, such as Traditional IRAs and 401(k)s, must start taking required minimum distributions (RMDs) by a certain age (73 for people born between 1951 and 1959 and 75 for those born i ..read more

Estate planning is a meticulous process aimed at securing one’s legacy and ensuring a seamless transfer of assets to the next generation. Within this intricate tapestry, life insurance emerges as a powerful and versatile tool, playing a pivotal role in wealth preservation and navigating the complex terrain of tax implications. Preserving Wealth Life insurance, beyond its conventional role as a financial safety net, stands as a strategic asset in preserving wealth across generations. By designating beneficiaries and aligning policy payouts with specific financial goals, individuals can safeguar ..read more

The Internal Revenue Service (IRS) is set to roll out a wave of adjustments for the upcoming 2024 tax year, presenting modifications to over 60 tax provisions as outlined in Revenue Procedure 2023-34. These changes are poised to leave a lasting impact on tax returns filed in 2025, introducing a series of alterations across various facets of the tax code. One standout adjustment in this roster is the standard deduction for married couples filing jointly in the 2024 tax year. The figure experiences a substantial uptick, reaching $29,200—an increase of $1,500 from the preceding tax year. Meanwhil ..read more