The IRS has released the 2021 contribution limits for retirement plans and other cost-of-living adjustments. (more…)
Kristin McKennaOctober 28, 2020
Which is better, a Roth or traditional 401(k)? The central difference between a Roth 401(k) and traditional 401(k) is the tax treatment of your contributions. Investors make traditional 401(k) contributions before tax while Roth savings occur after tax. Which is best for you will depend on your current/future tax situation,…
What is a brokerage account? A brokerage account is a non-retirement investment account. Essentially, a brokerage account is the opposite of a retirement account like an IRA or 401(k) in nearly every way. There are no restrictions (income, investment options, limited additions, access, etc.) or tax benefits. Because there are…
Kristin McKennaSeptember 28, 2020
If you're inheriting a trust fund, you likely have questions about how the distribution payouts to beneficiaries work and the tax implications. While general information about how trust funds work is useful, there are limitations. Trusts can be complex, highly customizable tools, so what applies to one situation may not…
Kristin McKennaAugust 31, 2020
Deciding whether or not to take the offer of a voluntary early retirement package or buyout from an employer is a big decision. Taking an early retirement, perhaps at 55 or 60 years old, can have a lasting impact on your finances, even when it's the right choice. If you've…
Kristin McKennaJuly 20, 2020
When your paychecks stop, you'll have to decide where to turn for retirement income. Many individuals have several options: cash savings, IRAs and retirement accounts, Social Security, and taxable brokerage accounts. For years retirees have wondered if they should use retirement accounts to delay Social Security. Now that investors can…
Kristin McKennaJuly 15, 2020
How are stock options taxed? If you have stock options or equity-based compensation as a large part of your income, the tax treatment of your stock options is especially important. How stock options are taxed depends on the type of options you have (incentive or non-qualified) and your sale and…
Kristin McKennaJune 24, 2020
What should you do with excess cash? If you are holding too much cash, consider how to use the extra money to your benefit. If you have extra cash in the bank, you may be wondering if you should invest the money or pay down debt. Assuming you already have…
Kristin McKennaMay 27, 2020
It doesn't always make sense to convert a traditional IRA to a Roth IRA. Your current and projected tax rate is often a main component of the decision, but there are other issues at play. Converting a traditional IRA to a Roth doesn't make sense unless you have cash to…
Kristin McKennaMay 27, 2020
What are your 401(k) rollover options? You may consider rolling over an old 401(k) to a Roth IRA, which is properly described as a Roth conversion. Converting your old 401(k) or 403(b) to a Roth IRA is worth considering. A Roth IRA offers unique benefits unavailable in other types of…
Kristin McKennaMay 26, 2020
