Category: Personal Finance
Down market could be right time to convert IRA to Roth IRA
Markets are down, and accordingly so is the value of many IRA accounts. This decline may be a window of opportunity to convert IRAs into Roth IRAs. Tax will be due on the value of the IRA converted, but the...
Understanding the key elements of the SECURE Act
Recently signed into law, the Setting Every Community Up for Retirement Enhancement (SECURE) Act is landmark legislation that may affect how you plan for your retirement. Many of the provisions go into effect in 2020, which means now is the...
Five tips to make the most of your non-cash donations
According to a recent article in USA Today, taxpayers should take into account these five tips when making non-cash donations this holiday season. Assess the condition of your items. The IRS says clothing and other household items should be in...
IRS launches new tax withholding estimator
The IRS encourages everyone to use the Tax Withholding Estimator to perform a quick “paycheck checkup.” This is even more important following the recent changes to the tax law for 2018 and beyond. The Estimator helps you identify your tax...
IRS cancels postcard-sized income tax return
According to a recent article from The CPA Practice Advisor, plans to provide taxpayers with a postcard-sized Form 1040 have been officially scrapped. The IRS is now working on a version that‘s shorter than the traditional 1040, but looks more like the typical...
SECURE Act and estate tax clawback could affect inherited money
A recent MarketWatch article highlighted two recent tax initiatives that could affect the wealthy. The SECURE Act would eliminate big tax advantage for IRA beneficiaries. Few noticed when the House of Representatives in May overwhelming passed the imaginatively named “Setting...
Cryptocurrency owners may owe back-taxes
The Internal Revenue Service is warning more than 10,000 holders of cryptocurrency that they may be subject to penalties for skirting taxes on their virtual investments. The IRS has begun sending letters to taxpayers who potentially failed to report income...
Maximizing higher education tax credits
There are two education credits available to college students (or parents of students) on their personal income tax returns. American Opportunities Credit (AOTC) Credit can be as much as $2,500 (dollar for dollar reduction of tax liability). If you have...
Department of Treasury reminds Michiganders that Principal Residence Exemption doesn’t expire
The Michigan Department of Treasury is reminding Michiganders that a Principal Residence Exemption – known as a PRE – does not expire. Inaccurate posts being shared on social media are claiming that Michigan taxpayers will experience a surge in property...
Guest Author Jim Niedzinski, CFP®, AIF®: The Benefits of Donor-Advised Funds
Jim Niedzinski, Wealth Advisor from Planning Alternatives, shares how to save taxes on charitable donations and make giving easier with a donor-advised fund. Jim Niedzinski, CFP®, AIF® , Wealth Advisor at Planning Alternatives, discusses the benefits of Donor-Advised Funds Jim Niedzinski is in his 20th year as a wealth...