Maxing out your 401(k) contributions for 2024 may seem like a no-brainer for some individuals, but financial advisors suggest that it may not be the best option for everyone. While employees can defer up to $23,000 into 401(k) plans, with an extra $7,500 for workers age 50 and older, there are some important factors to
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The recent announcement by Federal Reserve chair Jerome Powell has hinted at possible interest rate cuts, signaling a shift in monetary policy. This potential change has left investors contemplating on how to navigate their portfolios in light of these developments. Financial advisors, such as Winnie Sun and Lee Baker, advise that long-term investors with diversified
The concept of remote work has become a fundamental aspect of the U.S. labor market, marking a significant shift in how people approach their jobs. Before the Covid-19 pandemic, remote work was a rare occurrence, with only a small percentage of workers having the opportunity to work from home. However, as the pandemic forced organizations
Retirees face the challenge of managing various sources of income including Social Security, pensions, retirement plans, and other investments. In order to avoid IRS penalties, retirees must either withhold taxes or make quarterly payments. For the year 2024, the quarterly estimated tax deadlines fall on April 15, June 17, Sept. 16, and Jan. 15, 2025.
When it comes to retirement planning, required minimum distributions (RMDs) are a necessary evil that retirees must navigate. However, instead of viewing RMDs as a burden, experts suggest that these mandatory withdrawals can actually be an opportunity to enhance your investment portfolio and overall financial strategy. Strategic Portfolio Trimming Certified financial planner Matthew Saneholtz emphasizes
As former President Donald Trump and Vice President Kamala Harris unveil their economic agendas, the focus on tax changes has taken center stage. With trillions in tax breaks enacted by Trump via the Tax Cuts and Jobs Act set to expire after 2025, more than 60% of taxpayers could see higher taxes in 2026 without
For the past 15 years, the federal minimum wage in the United States has remained at a mere $7.25 per hour. This stagnant rate has left many workers struggling to make ends meet, prompting calls for change from various quarters. Democratic presidential nominee Kamala Harris has pledged to fight for working families by raising the
Vice President Kamala Harris recently rolled out a new economic plan that includes an expanded child tax credit worth up to $6,000 for families with newborn children. This proposal aims to build upon the higher child tax credit introduced through the American Rescue Plan in 2021, which gave families a maximum credit of up to
As retirement draws closer for investors, it is crucial for them to understand the potential threat posed by the “sequence of returns risk.” This risk, also known as “sequence risk,” is often underestimated and overlooked by retirees. It occurs when poor investment returns are coupled with withdrawals, especially in the early stages of retirement. This
Former President Donald Trump recently proposed an idea that has sparked quite a bit of controversy when it comes to Social Security. He suggested ending taxes on benefit income for seniors, claiming that they should not have to pay tax on their Social Security checks. While this proposal may seem appealing to beneficiaries at first