How Much Annual Income Can Your Retirement Portfolio Provide?
More ways to help stretch your savings Don’t overspend early in your retirement Plan IRA distributions so you can preserve tax-deferred growth as long as possible Postpone taking Social Security benefits to increase payments Adjust your asset allocation Adjust your annual budget during years when returns are low Tax considerations Prolonging your savings may require […]
U.S. Credit-Card Debt Levels See Record Drop in 2020
U.S. Credit-Card Debt Levels See Record Drop in 2020 Despite the financial challenges experienced by Americans as a result of the coronavirus pandemic, U.S. credit-card debt dropped to record levels in 2020, decreasing by almost $83 billion.1 This unprecedented drop was likely the result of individuals receiving financial assistance through the Coronavirus Aid, Relief, and […]
Gift and Estate Taxes
If you give away money or property during your life, those transfers may be subject to federal gift and estate tax and perhaps state gift tax. The money and property you own when you die (i.e., your estate) may also be subject to federal gift and estate tax and some form of state death tax. […]
National Consumer Protection Week: Beware of Pandemic Scams
National Consumer Protection Week is a coordinated campaign by federal and state government and nonprofit partner organizations to help people understand their consumer rights and make well-informed decisions about money. For more information, visit ftc.gov. This past year, scam artists have taken advantage of people’s concerns over the coronavirus pandemic to defraud them of money. […]
IRA and Retirement Plan Limits for 2021
Many IRA and retirement plan limits are indexed for inflation each year. While some of the limits remain unchanged for 2021, other key numbers have increased. IRA contribution limits The maximum amount you can contribute to a traditional IRA or a Roth IRA in 2021 is $6,000 (or 100% of your earned income, if less), […]
Revisiting the 4% Rule
New research suggests that retirees could make larger initial withdrawals, particularly in a low-inflation environment. Saving for retirement is not easy, but using your retirement savings wisely can be just as challenging. How much of your savings can you withdraw each year? Withdraw too much and you run the risk of running out of money. […]
Taxation of Investments
It’s nice to own stocks, bonds, and other investments. Nice, that is, until it’s time to fill out your federal income tax return. At that point, you may be left scratching your head. Just how do you report your investments and how are they taxed? Is it ordinary income or a capital gain? To determine […]
2020 Year End Tax Tips
Here are some things to consider as you weigh potential tax moves between now and the end of the year. 1. Defer income to next year Consider opportunities to defer income to 2021, particularly if you think you may be in a lower tax bracket then. For example, you may be able to defer a […]
4 Key Estate Planning Documents Everyone Should Consider
Do you have the four? No matter your age, health or wealth, most people should have these 4 documents. IMPORTANT DISCLOSURES Dightman Capital does not provide tax or legal recommendations. The information presented here is not specific to any individual’s personal circumstances. To the extent that this material concerns tax matters, it is not intended or written […]
Reaching Retirement: Now What?
The decision of when and how to tap your Social Security benefits can be complicated. You might want to review your options long before your planned retirement date to be sure you fully understand the pros and cons of each. You’ve worked hard your whole life anticipating the day you could finally retire. Well, that […]
