Owners of individual retirement accounts who are at least age 70 1/2 can contribute some or all of their IRAs directly to charity. The motivation to do so is that it can be advantageous from a tax perspective in some cases. If you have a traditional IRA, you must begin taking required minimum distributions (RMDs) […]
“LADIES AND GENTLEMEN – PLEASE FASTEN YOUR SEATBELTS” If you have every flown with a commercial airline, you have undoubtedly heard these words. This message is broadcast whenever the plane has encountered turbulence and there is resulting concern about the safety of the passengers and crew. After last week’s performance of the stock market, investors […]
Under current tax law, dividend and capital gain income for couples with income of $100,000 or less can be tax-free. The income must come from qualified dividends and long-term capital gain. Qualified Dividends: Although dividends can be received from both US and foreign companies, not all dividends are considered “qualified”. The IRS tracks companies whose […]
The tax reform legislation signed into law on December 22, 2017, brings several important enhancements to 529 college savings plans. Beginning on January 1, 2018, account owners may take tax-free withdrawals up to $10,000 annually from their accounts for tuition expenses at public, private, or religious schools. This provision applies to elementary, middle, and high […]
One of our clients recently asked us if he was invested in the best exchange-traded funds. He readily accepts our investment management philosophy. He understands the importance of asset allocation, diversification, asset location (for tax efficiency), cost containment and rebalancing. But he knows we use a variety of funds to build client portfolios and he […]
Through 2017, taxpayers with children were entitled to an exemption of $4,050 for themselves and each of their children. Taxpayers were also entitled to a Child Tax Credit of $1,000 per child under the age of 17. The Child Credit was phased out for single payers with an adjusted gross income of more than $75,000 […]
Click here to read our fourth quarter market commentary.
Congress passed the “Tax Cuts and Jobs Act” in late 2017. The legislation can be found on the House Ways and Means website. The Act changes the tax treatment of spousal support (or “alimony”) payments in one important way. Under the new rules, alimony is no longer deductible for the payor, and money received as […]
Congress passed the “Tax Cuts and Jobs Act” last week. The President signed the legislation on Friday, December 22, 2017. The legislation can be found on the House Ways and Means website. Here is a brief review of the changes that will affect individual taxpayers: Income Tax Rates There will be seven income tax brackets: […]
Springwater’s article on “Financial Mistakes Divorcees Make” was published in the Winter 2017 edition of the Oregon State Bar’s Family Law Newsletter. You can read the article, and the newsletter, here (PDF opens in new window). PLEASE SEE important disclosure information at www.springwaterwealth.com/blog-disclosure/.