How Disability Insurance Works (When You Can’t)
One topic that often is overlooked when it comes to personal finances is risk exposure. Risk is why all sorts of insurance products exist. Sure, we know we need car insurance in case we are in an accident and medical insurance in case we have an accident or severe illness. These types of insurance policies […]
Saving into a Roth IRA
As we have said in previous blogs, it is important for individuals to attempt to save money into three distinct “buckets” during their working years. These buckets are the pre-tax bucket, the after-tax bucket and the Roth bucket. This blog will focus on saving into the Roth bucket. Roth savings accounts grow tax-deferred and qualified […]
Should I borrow from my 401k?
In our recent blog, Understanding the Ins and Outs of 401(k) Plans, we touted the great benefits of 401(k) plans. Some investors might also see this as a source of potential funds for personal loans. Your 401(k) is a powerful savings vehicle that is intended to be a nice nest egg to fund your retirement. […]
Income Tax Breaks for Homeowners
The U.S. government has a long standing history of including incentives in the income tax code to encourage home ownership. This is because of the positive impact home buying has on the economy – consumer spending makes up over two-thirds of the U.S. economy. Purchases of homes, especially new construction, creates a ripple of consumer […]
401k: Understanding the Ins and Outs of the Most Popular Retirement Tool
Whether you’ve just started a new job, or you’ve been at one for years, odds are that your employer has given you the option to participate in an employer-sponsored 401(k) retirement plan (401k). The 401(k) plan is one of the most popular retirement tools for working individuals. Despite its popularity, surveys have shown that many […]
Savings Rate vs. Investment Return: Which is more important in wealth creation?
Most people have heard the advice to save early. We wrote a blog in 2014 titled Importance of Investing at a Young Age and Best Practices. In addition to emphasizing the importance of saving early, it also answers the common question of “where” to invest your savings. When it comes to investing though, most individual […]
Do I Need A Living Trust?
Much has been written about the use of a living trust as a means of reducing the cost of passing your assets to your heirs at death. For most people, the primary motivation for creating a living trust is to avoid the probate process. In general, any assets which are in a decedent’s individual name […]
An Analyst’s Up-close View of the Energy Market
After recently returning from a natural resources conference in Denver, I thought it would be beneficial to share some of my takeaways. The conference was a mix of listening to CEO’s discuss trends in the market and touring companies in the field. One of the main focuses of the event was the energy space – […]
Payroll Withholding – Time for a Reality Check
After sweeping tax reform by Congress in December 2017, the Internal Revenue Service (“IRS”) rushed to update the tax withholding tables used by employers and payroll services to determine the amount of Federal income tax to withhold from employees’ paychecks. With many changes expected to positively impact the average taxpayer, namely lower tax rates, higher […]
What is a Backdoor Roth IRA?
Roth IRAs are a powerful way to save for retirement. The beauty of a Roth IRA is that all growth and withdrawals from the account are tax-free and having a tax-free income source in retirement can be extremely beneficial. It is important to keep in mind that any contributions to a Roth account will be […]