In December 2014 the Achieving Better Life Experience (“ABLE”) provision was signed into law providing a means for saving and paying for disability-related expenses. Recently the IRS issued proposed regulations which may be relied upon until (and if) final regulations are proposed. Highlights include: * States may offer tax-favored accounts or contract with other states [...]
Sex sells. This isn't a surprise. But while we're titillated (how's that for a delicious pun?) by financial porn the feeling is fleeting. The results are disastrous. Just how bad is it? Kudos to Jimmy Atkinson at Fund Reference for putting together this plain language comparison (with pretty charts for the USA Today crowd) for [...]
Hey IRS, you want a fight? Bring it on! A recent IRS decision limits individuals to one IRA rollover a year in hopes of avoiding exploitation of a loophole allowing the use of retirement accounts as short-term, tax-free loans The strategy was simple. Withdraw money from an IRA and use it to cover short-term cash [...]
Much has been (and will continue to be) made over who or what is a fiduciary and why it matters. Similarly how an advisor is compensated remains contentious. Need proof? Consider the lengths some financial 'professionals' will go through to obfuscate how they make their money.
It’s a catchy title but we’re guilty as charged. We shamelessly ripped off the brand. Sue us! Self-deprecating humor aside we’ve put together a quick and dirty summary of the major components of an HO policy to help decipher the oftentimes cryptic declaration pages (which we all read, right?). PART A (Dwelling) protects the physical [...]
New data suggests the cost of LTC remains on the rise. Below are the median averages and their respective growth rates. Home Health Aide $20/hr representing a 1.27% increase from prior year 1.03% annualized growth over prior 5 years Adult Day Care $69/day representing a 5.94% increase from prior year 2.79% annualized growth over prior [...]
You’re about to reach age 70 ½. You’re facing Required Minimum Distributions from your IRAs. Want to avoid them? Still working? Here’s how: Although RMDs are required for IRAs they are NOT required for Qualified Retirement Plans (“QRPs”) such as a 401(k). As such rolling IRA balances into an employer’s QRP will allow deferral of [...]
You're in good hands with Allstate....unless they've set up a captive! Even worse - we're subsidizing this risk with our tax dollars. Whether it's home, auto, life, etc. the insurance industry is putting at risk the very risks we pay them to assume.
The fiduciary standard is an ongoing debate in financial services. Who is a fiduciary, what is a fiduciary obligation, is it right for everyone and what happens if it’s cost prohibitive? To understand the debate requires a bit of context. Historically financial services were delivered piecemeal. Need to get your tax return filed? Call a [...]
In a drive to improve accuracy and fairness the three largest consumer credit reporting agencies (TransUnion, Equifax and Experian) announced changes to the way they will do business. The changes while minor are a step in the right direction paving the way for more accurate credit reporting which, in turn, should lower borrowing costs on [...]