Since marginal tax rates are at a historical low, Roth conversions are all the hype right now. Many investors are doing their research to decide if they should jump on the conversion train. If you're in this group or are just learning about the strategy, here are three reasons to consider a Roth conversion. You… Continue reading 3 Reasons to Consider a Roth Conversion
In RCs and I Ain’t Talking Cars, I explained what a Roth conversion is, how to complete the process, and why you may want to consider it. But I didn't talk about the backdoor Roth. While it's technically a Roth conversion, the execution is slightly different. If you’re unfamiliar with the differences between Traditional IRAs… Continue reading The Trojan Horse of IRAs – The Backdoor Roth
One of the most frequent questions I hear from investors is ‘should I contribute to tax-deferred accounts, like a Traditional -401k, Individual Retirement Account (IRA), or Simplified Employee Pension (SEP) or should I contribute to my Roth -401k or IRA?’ Before we get there, let’s do a quick refresher on both options. Tax-Deferred Accounts You… Continue reading Traditional or Roth – Which Should I Choose?
Early this year, I signed up for my first two ultramarathons, a 50k (31miles) and a 50-mile race. An ultramarathon (ultra) is any race over the traditional marathon distance of 26.2 miles. In the process of training, I’ve discovered that these longer races are the perfect length of time to let my mind wander. This… Continue reading Life Isn’t a Marathon, It’s an Ultra
When someone is looking at lending options, occasionally their 401(k) is one of them. Why wouldn’t you take a loan from your 401(k); you’re technically paying yourself interest, right? Unfortunately, it’s not that straightforward. In most cases, an investor can distribute money from their 401(k) as a loan. The loan value can be up to… Continue reading 401(k) Loans – Are You Really Paying Yourself Interest?
Many people own a trust as part of their estate plan. Prior to 2020, it was common to have the beneficiary of an IRA be a trust. A See-Through Trust allows individuals to pass IRAs, via a trust, to their trust beneficiaries. There are several reasons to name a trust as the beneficiary of an… Continue reading How the SECURE Act Could be Detrimental to Your Beneficiaries
Hindsight is a powerful tool to add clarity to past decisions. Hindsight can also prepare us for similar situations in the future. Given the current state of our markets and the economy, we don’t know if we’re in the clear just yet. Even though we don’t know what the future holds, we can use what… Continue reading A Case For More Cash?
I’ve had friends, family, and clients inquire about buying specific companies and sectors after the massive drawdowns due to COVID-19. The theme seems to be airlines, cruise lines, and casinos. Three of the biggest airlines are down between 50 and 60 percent YTD. The three largest cruise lines are down between 65 and 80 percent.… Continue reading Is it Time to Buy Airlines, Cruise Lines, and Casinos?
Whether it’s water cooler talk, on the golf course, or between friends and family, you’ve probably had a conversation about your portfolio performance. From what I’ve witnessed, it’s either a chest out, head held high ‘I had an X percent return last year, how’d you do?’ or a less enthusiastic ‘I was down X percent… Continue reading Are Big Returns Really That Important
The Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020 is releasing a whopping $2 trillion in government aid. Since there are countless resources outlining the details of the new Act, my goal is not to recreate the wheel, but to provide insight on actions you should consider as you navigate the provisions specific… Continue reading Insight On The CARES Act