When to Exercise Stock Options
When should you exercise stock options? With stock options, employees have the right (not obligation) to buy the shares (called exercising). Vesting is often the
Category: Tax planning
Tax planning and wealth building strategies from Kristin McKenna, CFP®. Tax-conscious wealth planning is critical for any high-income taxpayer: asset location and tax-efficient investing, stock option and equity compensation exercise and sale strategies, qualified small business stock, retirement income tax planning and bucketing strategies, deferred compensation, employer plans for business owners, charitable tax planning and donor-advised funds, reducing taxable income, changes in tax law.
When to Use Pre-Tax vs Roth 401(k) Contributions
Should you make after-tax Roth or pre-tax contributions to your 401(k)? Roth accounts can be powerful wealth-building tools. But paying tax early doesn’t always make
Expecting a Windfall from Stock Options or Selling a Business? New Tax Proposals May Cost You.
Tax planning for a sudden liquidity event just got more complicated. If you’re expecting a big windfall from selling a business or employee stock options
Worried About Taxes Going Up? 9 Ways To Reduce Tax
While there likely isn’t a magic bullet to wipe out your tax bill, there are ways to layer tax-efficiency into your plan. If you’re concerned
2022 IRS Contribution Limits
The IRS has released the 2022 contribution limits for retirement plans and other cost-of-living adjustments.
Net Unrealized Appreciation Rules for Company Stock in a 401(k)
If you have company stock in your 401(k), you may want to consider whether to take advantage of net unrealized appreciation at retirement. Under the
How to Donate Your RMD Using Qualified Charitable Distributions
Updated for 2023. Can you give money to charity using your IRA? For individuals 70 1/2 or older – the answer is usually yes. What
How to Donate Stock to Charity: Donor-Advised Funds
Giving appreciated stocks can be a great way to maximize your gift to charity and your tax benefits. When you donate cash, you’re giving after-tax
Avoid the Double Tax Trap When Making Non-Deductible IRA Contributions
Updated for 2023. Anyone with earned income can make a non-deductible (after tax) contribution to an IRA and benefit from tax-deferred growth. But it may
Explaining the Backdoor Roth and Mega Backdoor Roth IRA
Updated for 2023. Many individuals have heard of the backdoor Roth before, but the mega backdoor Roth is getting a lot of attention recently. Here