Yes, getting a paper divorce can help you financially but it can also be a financial negative depending on your personal situation. Below are a few of the consideration that immediately spring to mind, which you will want to explore.
You have three choices for the funds in your old 401(k) plan. The two you mentioned (leaving it where it is or rolling it over to your new employer) and third, rolling it over to an IRA. The best option for you would depend on several different factors, but generally . . . .
You can think of a credit score as your report card for how effectively you manage your finances, specifically your loans. The myth is that a credit score is a measure of how much debt you have, and that racking up more debt will result in a higher credit score. The truth, however, is . . . .
It is possible you will have to pay some additional taxes due to your Social Security being taxed. Up to 85% of your Social Security benefits can become taxable depending on how much you earn in total. The formula is based on . . . .
The recent approval of the SEC’s Regulation Best Interest (Reg BI) has killed any hope that financial advisers at Broker/Dealers would finally be required to be fiduciaries for their clients. The SEC went out of its way to create a regulation that would confuse consumers into thinking they have legal protections, when they don’t.
For address changes you would use IRS Form 8822, which will allow you to change your address anytime during the year. It is good practice to always submit Form 8822 as the method for changing your address, and not rely . . . .
Brokerage firms are bound by federal and state law regarding the distribution of assets after death. They also have to worry about potentially being sued if they do something a potential beneficiary might not like.
While generally a trust cannot get the Principal Residence Exclusion, it is possible if the trust is set up correctly and the circumstances are correct. The devil, as always, is in the details and you will want to get professional . . . .
Federal taxes are progressive taxes, meaning you start getting taxed at a low rate, then, as you earn more money, the additional money you earn is taxed at a higher rate. The way the calculation works, everyone pays the same . . . .
The key difference between the Married Filing Separately verses the Filing Single status is if you are legally married on the last day of the tax year (December 31st for most people). No other day during the year matters for . . . .
The Head of Householdfiling status is a special status which offers preferential tax brackets for some single individuals. The brackets are between the Single filing brackets and the Married Filing Jointly brackets . . . .
Probably the best way to deal with this would be to see if the social group has a religious purpose or in some other way falls under the church’s charitable purpose. If so, the church can establish a new bank account . . . .
Don't assume this year's taxes and tax deductions will be similar to last year's taxes. The tax reform bill, which passed in December 2017, gutted most of the deductions and maimed many of the rest. Just like characters in . . . .
The Standard Deduction is the amount every taxpayer can deduct from their income, and with the changes to the tax law, more taxpayers than ever will now be taking the Standard Deduction. A lesser known fact about the Standard Deduction, however, is it can be increased for those over age 65 or who are blind.
The 2019 inflation-indexed changes gave increases across-the-board for all retirement accounts, including workplace retirement plans and Individual Retirement Accounts (IRA). Here are the maximums you can contribute to your retirement accounts in 2019.
The end of last week saw a stock market drop which has many spooked. Words like ‘market crash’, ‘historic drop’, and ‘recession’ abound and many are selling their investments in fear of a massive downturn. Here are the 4 things you can do to keep the market downturn from ruining your financial plan.
While it currently only applies to one company, the IRS has opened the door for companies to being offering an employee benefit whereby workers have an opportunity to both pay down student loan debt and save for retirement with the same dollars.
Fidelity has won the race to the bottom, with two index mutual funds carrying 0% expense ratios. That’s right, no expenses paid for from fund investors. Investors should wonder, however, how Fidelity could potentially make its money. I have my bets….
The SEC is proposing updated rules regulating how financial services companies offer investment advice. Unlike the Department of Labor’s Fiduciary Rule, the SEC advice seems to protect the broker/dealer industry more than the individual investor.
Focusing on debt payoff can cost you hundreds of thousands of dollars. Debt payoff strategies abound on the internet, and many mainstream financial gurus have built an empire on the common-sense approach to focus your financial efforts first on paying off your debt. The math, however, doesn’t work out in their favor.
The importance of budgeting is undeniable, but many don’t do it because it is time consuming and difficult. Learn how to build a basic budget in 15 minutes which meets both your financial needs and goals.
Consumers who have had contact with Coceptive Credit Union should beware, all evidence suggests the organization is not an actual credit union and is breaking numerous laws by operating as a credit union in California.
Eight investment management firms threatened to stop using the CFP designation if the CFP Board expanded it’s fiduciary rule. Despite the bullying, the CFP Board still voted to improve the consumer protections in their Standards of Professional Conduct.
If you're excited about getting a tax refund, imagine how excited you would be if you could double ot triple the value of the refund. Here are a few smart ideas to use your tax refund for that will amplify the boost to your cash flow.
Financially savvy people know the best time to start on next year’s taxes is the beginning of this year. Your tax return is a historical document about what happened last year, so there is very little you can plan and change. Next year, however, hasn’t happened giving you control over the tax planning environment.
The Stock Brokerage and Insurance Industries are fighting hard against the Department of Labor's Fiduciary Rule, which would require their advisers to put their client's interests first and disclose conflicts of interest. The industries got the 5th Circuit Court to agree that, unlike Registered Investment Advisers, stock brokers and insurnce agent are just salespeople
A reader asked about using 0% balance transfers offers to manage their credit card debt. While these can be beneficial, they can also pose additional risks. Many people who use this strategy find themselves further behind than when they started. Here are some of the common pitfalls to avoid.
Waiting until April to do your taxes could cost you more than you think. Submitting your taxes early isn’t just for those expecting a big refund. Advantages of early filing include easier money management if you owe additional taxes, opportunities for greater deductions, and reducing the risk of identity theft and fraud.
Updates to the tax code which go beyond the new tax brackets and changes to deductions. The new code will impact everything from divorce to education savings. And everyone from parents of disabled children to real estate investors.