f you’ve recently received an inheritance—whether large or small—you may be feeling a mix of emotions. There’s often gratitude, or even surprise (I once had a client receive 100k from an elderly neighbor that he had helped over the years), sometimes guilt, and almost always one big question: “What should I do now?” While there’s no one-size-fits-all answer, here are a few smart steps to consider:
This blog highlights the importance of financial literacy for teens and young adults, covering key benefits like budgeting, saving, avoiding debt, and building financial independence.
For most people, their most valuable financial asset is their ability to make a living. If you rely on a paycheck for everyday and recurring expenses, it is important to have disability insurance. Disability insurance pays a portion of your income if you cannot work for an extended period due to illness or injury.
A shakeup is on the way for borrowers in these two key areas
Here’s how it works: If you're single and 65 or older, and your income is under $75,000, you’ll be able to deduct: The standard deduction: $15,750 The senior bonus: $1,950 The new extra deduction: $6,000 That adds up to $23,700 in deductions—before we even get into anything else. If you’re married, both age 65+, and your combined income is under $150,000, you’ll get: The standard deduction: $31,500 The senior bonus: $3,200 The new extra deduction: $12,000 ($6,000 each) That’s a total of $46,700 in deductions. Now, this deduction starts to phase out once your income crosses certain thresholds:
Tax certainty – The new law makes permanent many parts of the Tax Cuts and Jobs Act of 2017 (TCJA).1 This tax certainty is helpful to individuals but also businesses who need to plan several years into the future. Without certainty around tax deductions for business investment, businesses can hold back spending and hiring. · Makes permanent current tax rates. College · Expanded uses for 529 college savings plans – Funds can now be used to cover post-secondary training and credentialing. · Student loan payments by employer – Currently excluded from taxable income up to certain limits; new law extends it and indexes the cap for inflation