Retirement

If you received a Paycheck Protection Program (PPP) loan, but did not deduct payroll expenses on your 2020 tax return, this is what you need to know. First, the IRS completely changed its guidance on deductibility of 2020 expenses due to the enactment of legislation in late 2020 (see “Current Law,” below). Second, taxpayers who

Last Friday, the New York Times made a splash with its report, “Long Slide Looms for World Population, With Sweeping Ramifications,” laying out the consequences of persistently-low fertility rates all across the globe. “The strain of longer lives and low fertility, leading to fewer workers and more retirees, threatens to upend how societies are organized

Your estate plan is much more likely to be successful when you recognize and avoid the most common mistakes and take some key actions that often are overlooked. Most estate planners will tell you that the same estate planning mistakes and oversights recur with frequency, whether an estate is worth a billion dollars, a few

When the pandemic hit, priorities changed overnight. Healthy and working became the litmus test of whether you were on the fortunate side of the COVID-19 coin. This reduction in expectations has changed views on wealth. In its annual Modern Wealth Survey, Charles Schwab asked 1,000 people in the US to gauge their views on how

If you have any interest in having the IRS hear your voice, there are two mechanisms. One is the Taxpayer Advocacy Panel (TAP), which is a volunteer effort with a three-year commitment. Another means of getting through to the IRS is the yearly Priority Guidance Plan (PGP). As the new year for the IRS begins

President Biden’s proposed massive expansion of Medicaid home-based long-term care is running into trouble in the Senate. And it may be done in, not by hard-core conservatives, but by a small group of self-styled Senate moderates. In his American Jobs Plan, Biden proposed increasing the federal share of Medicaid’s home and community-based services (HCBS) program

Sometimes it makes sense to add risky assets to a conservative portfolio. Holy grail for the fixed-income investor: an asset that has a decent return of its own and runs counter to the bond market. Blend this magic stuff with your Treasury bonds and you’d have a solid core holding—something that wouldn’t be utterly destroyed

Have you ever thought that the IRS could use some help, that is, to improve services to taxpayers? Would you like to make a difference on behalf of your fellow taxpayers? Taxpayers may not realize it (or might not even believe it), but there is a way they can get involved at a meaningful level

You Might Need to Plan Now Even if You’re Not Really Wealthy For wealth folks reviewing and beefing up insurance coverage and planning before income and estate tax rates may rise may be an obvious step. But, urgent planning is needed by many even moderate wealth taxpayers now! Very wealthy people are pursuing estate tax

The pandemic changed a lot of things, including how we view work and retirement. According to Bloomberg, a new “life is short” mindset is driving many affluent Americans to retire now, as their stock portfolios and home values continue to surge. In fact, 1.2 million more baby boomers retired last year than the historical annual

Many of our parents signed their estate plans decades ago. The documents may still be valid but if they are stale or outdated, you may spend significant money trying to use them down the road. Even worse, the documents may not properly put your parents’ wishes into action. Having an attorney review and update the

This is a true story about what we sometimes refer to as an “elder orphan”. These folks have no children, they are single, and they can be very vulnerable to the worst abuse. Ralph, in his late 80s had a home in an expensive part of CA. As he grew more frail with age, and

The Chicago Policemen’s Annuity and Benefit Fund (PABF) —commonly referred to as the Chicago Police Pension Fund—is one of the worst funded public pension plans in the United States today, with a funding ratio of only 23 percent. A group of retired and disabled officers, along with widows, has long questioned the trustees and management

If you thought investing in your 401(k) plan was hard, just wait until the time comes when you have to start taking money out of your retirement plan. Are you ready for this? “In pre-retirement planning, the investor needs to decide three things: how much to invest, asset location and asset allocation,” says James DiLellio,

One of the most common mistakes I see people make is overestimating their tax rate in retirement. This is important for a couple of reasons. First, as Roth 401(k) and 403(b) plans become more common, estimating your future tax rate is a big factor in deciding whether you should make Roth or pre-tax contributions. Second,

The ivory tower of higher ed, the U.S. government, the financial industry, the bumper sticker barrage, a healthy pinch of pride, and, yes, even our genuine love for our children have all converged to serve up a big fat guilt sandwich for parents of college-bound kids. We’ve been made to think that we’re damned if

You’re retired. Congratulations. Now what? For decades, during most of your working years and especially at the end of your career, it’s all been about one question. “The most common question asked by pre-retirees regarding their financial situation is ‘At what age should I plan to retire?’” says Ann Martin, Director of Operations of CreditDonkey

Forensic investigations in Rhode Island, North Carolina, Kentucky and Ohio reveal that gambling 30 percent or more on high-cost, high-risk, secretive alternative investments has exposed pensions to massively greater risks and reduced net returns. The time is ripe for legislators, regulators, and law enforcement to act to stop the looting. A recent New York Times NYT

There’s an old adage when it comes to building a seven-figure retirement account: “Save early and often.” Implicit in these four words lies the powerful concept of compound interest. You’ve heard the term “compounding,” you’ve probably grown numb to its true meaning. In case you need reminding, it refers to the fact that, over time,

By Rosie Wolf Williams, Next Avenue The last year changed so many things in all our lives, including how we spend. Although the recent reduction of pandemic restrictions has some people starting to splurge, COVID-19 has been a time of frugality for many Americans, especially older ones, according to a CouponFollow survey and Next Avenue interviews with consumers.