What is a Roth Conversion and Why Should I do One?
Retirement Account Types When saving in a retirement account an investor has two options, to save money pre-tax or Roth. Pre-tax savings result in a tax deduction of the amount contributed each year (assuming you are not over any applicable income limits), tax-deferred growth of the investments, and an income tax bill each year as […]
Should I Add my Kids to the Payroll? Understanding the Tax Benefits of Shifting Income to your Children
If you are a business owner in one of the top tax brackets, adding your kids to the payroll can be a great tax move that shifts income from your tax bracket down to your child’s bracket – which in many cases can be a 0% rate as we will explore further in this post. […]
What is the Augusta Rule and How can I use it as a Business Owner?
IRS Section 280A(g), better known as the “Augusta Rule”, is a special rule in the tax code that allows for the rental of a personal dwelling for less than 15 days without being taxed on the rental income. Utilization of this rule in conjunction with a legitimate expense to your business can allow you to […]
What are Required Minimum Distributions?
As you embark on your journey toward financial independence and a secure retirement, it’s crucial to understand the intricacies of various retirement account rules. One such rule that comes into play is the Required Minimum Distribution (RMD). In this guide, we’ll unravel the mystery behind RMDs, explaining what they are, who they apply to, and […]
5 Smart Strategies to Reduce RMDs: A Guide to Optimizing Your Retirement Distributions
As investors approach the age of 73, the IRS mandates that they initiate Required Minimum Distributions (RMDs) from their retirement accounts, irrespective of their financial needs. For those who have diligently saved and find themselves facing larger distributions than necessary, exploring strategies to mitigate this impact becomes crucial. In this guide, we’ll delve into five […]
Strategies to Avoid Capital Gains Taxes on Investments
Strategies to Avoid Capital Gains Taxes on Investments When deciding to sell out of an investment in a taxable investment account it is important to consider the potential tax ramifications of any decision you make. Generally, any investment held for less than a year will be subject to regular income tax rates upon sale while […]
Merging Finances After Marriage: Key Considerations for Financial Bliss
Getting married is an exciting milestone, and it’s not just about merging your lives but also your finances. Combining your financial worlds can be both rewarding and challenging. In this blog post, we’ll explore essential considerations for merging finances after tying the knot, helping you pave the way for a harmonious and financially sound future. […]
2024 Annual Limits
As we enter 2024, it is prudent to update funding amounts for various account types to reflect new contribution limits. With inflation higher than normal in 2023, contribution limits saw larger than normal increases for the new year. Below we will overview annual limits for notable financial planning items. Retirement Accounts Account Type Limit Catch-Up […]
Maximize Your Charitable Impact: Five Tax-Efficient Giving Strategies
Discover five smart strategies to give more tax efficiently and make the most of your charitable contributions. Learn how to optimize your tax benefits while supporting the causes you care about.
SECURE Act Planning Strategies: Optimizing Beneficiary Designations
Learn essential strategies for efficient estate planning in light of the SECURE Act. Explore how beneficiary designations on IRA accounts can impact taxes and your heirs’ financial future.
