What is an annual portfolio rebalancing plan, and why do you need one? When you first construct a portfolio, the assets are balanced according to your investment objectives, risk tolerance, and time horizon. However, that balance, known as “weighting,” will likely change over time depending on how each segment performs. If one segment grows at a faster rate than...
There are literally thousands of mutual funds out there to choose from, and most share the basic characteristics that have made them a popular investment option: Among them are liquidity, diversification, and professional management. But only some mutual funds carry another potential benefit, which is a high dividend yield. Here we take a look at...
As another year draws to a close, taxpayers everywhere need to take stock of their income, deductions, and credits for the year and take the necessary steps to minimize their tax bills for 2021. Here is a list of things you can do before you ring in the New Year to reduce the amount you...
What Is Buying a House on a Concrete Slab? The foundation that your house is built on can have a major impact on the structural integrity of your home. A slab foundation is made of concrete that is typically 4″ to 6″ thick in the center. The concrete slab is often placed on a layer...
Medicare is the nation’s healthcare program for citizens age 65 years and up, and younger people who meet certain eligibility criteria. Medicare Part A, Part B, Part C, and Part D cover many major medical expenses for participants. Choosing the right Medicare plan can be confusing, and it may be difficult to decipher all of...
Taxable Social Security Income Filing Status Income Percentage of Social Security That Is Taxable Single, Head of Household, Qualifying Widower, and Married Filing Separately (where the spouses lived apart the entire year) Below $25,000 All Social Security income is tax free. Same $25,000 to $34, 000 Up to 50% of Social Security income may be...
What Is Form 9465: Installment Agreement Request? Each year, many Americans file their tax returns and discover that they owe more income tax than they can afford to pay immediately. Additionally, many taxpayers owe back taxes and have no idea how to pay their tax debt. Fortunately, the Internal Revenue Service (IRS) has a program...
Roth 401(k) and Roth 403(b) plans can be a smart choice if you want tax-free income in retirement and are willing to pay some taxes upfront. Here’s a look at how the plans work, some of their pros and cons, and how they stack up against traditional 401(k) and 403(b) plans. Key Takeaways If your...
Although many employers allow workers to save for retirement using qualified retirement plans, such as a 401(k), 403(b), or 457, these plans have rules that can be cumbersome for both employers and employees. Some small businesses instead choose SIMPLE (Savings Incentive Match Plan for Employees of Small Employers) IRAs. These plans have fewer rules, are...
The Internal Revenue Service (IRS) says you can roll a 403(b) plan into a 401(k) plan if you work for an employer that offers a 401(k). You can also roll a 403(b) plan into a solo or independent 401(k) plan if you are self-employed. However, if you work for an employer that does not offer...