On October 21st, the IRS announced updated 401(k) and IRA contribution limits for 2023. Qualified Retirement Plan Contribution Limits: The maximum amount someone can contribute from their own compensation to a qualified retirement plan during the year, through 401(k) or 403(b) pre-tax and/or Roth after-tax contributions combined, has increased from $20,500 in 2022 to $22,500 in 2023. In 2022, participants age 50 and over could contribute… Read More
Archive for the ‘ Blog ’ Category
When Is It Time to Hire a Financial Advisor?
When considering hiring a financial advisor, you may weigh several pros and cons and ask yourself several questions: What services does a financial advisor provide? What is it like being a client of a wealth management firm? Is this the right choice for me? Is hiring a financial advisor right for you? While working with a financial advisor may not… Read More
Retirement Planning Strategies: Retirement Mistakes You Should Avoid
You’ve spent years working and saving for your retirement. You seemingly have done everything right and have avoided common mistakes; you’ve started saving early, took advantage of your employer’s 401(k), or set up a retirement plan for your own business. However, is there more you should be doing? Retirement planning is a strategic process allowing you to fulfill your lifestyle… Read More
Q4 2021 Market Recap
The market finished 2021 strong, with the S&P up 11% in 4Q21 and up 28.7% overall in 2021. Despite growing concern about the rapidly spreading omicron variant, strong earnings results and positive underlying economic indicators fueled equity market gains. The yield curve flattened over the quarter, short-term interest rates rose as investors prepare for potential 2022 rate hikes, while longer-term… Read More
What is in Biden’s Proposed $1.75 Trillion Framework
On the morning of Thursday, October 28th, President Biden announced a new $1.75 trillion economic framework. The framework includes taxes on wealthy Americans and corporations, new childcare benefits, climate support, and expansion of healthcare programs. Major Proposals Included In The Framework Tax Changes: 15% minimum tax for large corporations that report annual revenue of more than $1 billion to shareholders… Read More
Do You Have a Spending Plan for Retirement?
Creating a spending plan is critical to ensure your assets last throughout your retirement. Soon-to-be retirees may need to adjust their spending as retirement often brings a new lifestyle. Consider these questions when discussing your spending plan with your financial advisor. What Will Your Retirement Cost? What will your cost of living be? Do you plan to stay in your current… Read More
Six Ways Women Can Gain Financial Momentum Post Pandemic
The Covid-19 pandemic significantly impacted many working women. Women with younger children felt this struggle the most when daycare and school doors closed. Many working women were forced to put their career ambitions on the backburner to suddenly homeschool their children and provide full daycare. As restrictions are easing and life is getting back to normal, it’s time for your… Read More
Simple Methods for A Painless Tax Preparation
For many individuals and families, taxes are not the definition of fun. You are probably relieved that you can finally relax and say to yourself, “I’m so glad I don’t have to go through this again until next year”. But why would you put yourself, and your CPA, through this stress and procrastination? With this year’s tax deadline behind us,… Read More
There is still time to fund your IRA for 2020!
Your IRA is a great investment tool for your retirement. For 2020, you can contribute up to $6,000 into your IRA ($7,000 if you’re age 50 or older). If you haven’t filed your tax return yet, you can still make 2020 IRA contributions until April 15th, 2021. Why should you maximize contributions? Maximizing your contribution allows for the greatest growth of your… Read More
Long-Term Care Planning: Do You Need Long-Term Care Insurance?
A tough conversation to discuss with clients is the need for long-term care insurance. No one wants to think about not being able to take care of a loved one, let alone themselves. You work your entire life to have a comfortable retirement; wouldn’t you want to protect your assets if you were to need care? What if I told… Read More
It’s Not Too Late to Reverse Your 2020 RMD
Earlier this year, the CARES Act injected our economy with over two trillion dollars to provide COVID-19 relief for business owners, individuals, and retirees. The CARES Act waived Required Minimum Distributions (RMDs) that were scheduled to be paid in 2020. If you have already taken your RMD, you have the ability to roll the money back into your retirement plan. … Read More
How the SECURE Act Impacts Your Business
The Setting Every Community Up for Retirement Enhancement Act of 2019, also known as the SECURE Act, passed in December of 2019 with the goal of increasing access to retirement accounts and helping Americans save for their retirement. Employers can look forward to greater accessibility and tax credits, but should also be wary of greater penalties and fines when failing… Read More
The Coronavirus Bear and Its Place in History
The pace with which the Coronavirus bear toppled the longest-running bull market in history was startling. The Dow Jones Industrial Average officially entered the “Coronavirus bear market” in just 20 trading days, easily making it the fastest such slide in stock market history. The second fastest was 1929 and that took 36 trading days. Lest we forget: the highest closing… Read More
Is The Coronavirus Different?
The coronavirus has officially been named a pandemic by the CDC as it has spread from China to the rest of the world, including the US. At Prosperity, we are actively watching the market reaction and our clients’ portfolios. We will continue to monitor the outbreak and communicate with you as events unfold. Is the Coronavirus Different? Many clients ask… Read More
Charitable Giving And Gifting Strategies This Holiday Season
Winston Churchill once said, “We make a living by what we get, but we make a life by what we give.” Charitable giving and gifting allows you to not only support the causes you care about and pass your assets to your family and friends, but it also allows you to leave a legacy that will pass the test of… Read More