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Retirees face several unique challenges when managing their income, particularly when it comes to taxes. From understanding how taxes relate to Social Security and Medicare to determining when to tap taxable and tax-advantaged accounts, individuals must juggle a complicated mix of factors. Putting together a retirement-income strategy that strives to manage taxes is a complex task indeed. Investors may want to seek the help of a qualified tax or financial professional before making any final decisions

Municipal bonds are issued by public entities such as state and local governments, health systems, universities, and school districts to help finance the building and maintenance of infrastructure projects such as roads, airports, water systems, and facilities. The interest paid by municipal bonds is generally exempt from federal income tax, as well as from state and local taxes if the investor lives in the state where the bond was issued.

In December 2022, Congress passed the SECURE 2.0 Act. It introduced two new rules relating to 529 plans and student debt that will take effect in 2024. The first provision allows for tax- and penalty-free rollovers from a 529 plan to a Roth IRA. The second provision allows student loan payments made by employees to qualify for employer retirement matching contributions. The overall goal is to help young adults start saving for retirement.

The Inflation Reduction Act of 2022 provided the IRS with an influx of funding to modernize outdated technology and rebuild a depleted workforce. We discuss audit rates and the factors that can cause an individual to be chosen for an audit, as well as tips to help taxpayers avoid unwanted attention from the IRS. With a greater focus on compliance, now is the time to consult an experienced tax professional for personalized guidance.

Read about the valuable opportunity for those age 50 and over who are still working to super-charge their retirement savings and manage their income tax liability. Catch-up contributions offer the chance to invest additional amounts over and above the standard annual limits in IRAs and workplace retirement plans. Discuss the tax benefits associated with traditional IRAs and Roth accounts, as well as the potential penalties for distributions prior to age 59 1/2.

This blog post explores the power of dividends in a portfolio and why investors are increasingly turning to them as an income-producing investment. It discusses how dividend payments have represented roughly one-third of the total return on the Standard & Poor's 500 stock index since 1926 and why reinvesting dividends can lead to even more dramatic returns. Learn about corporate incentive to pay dividends, the differences among dividends, and the tax implications of dividend payments. Whether you're looking to maximize the returns of your investments or add income to your portfolio, dividends may be worth considering.

This blog post provides an overview of how the Federal Reserve's adjustment of the federal funds rate can affect consumers and investors. Learn how the federal funds rate, prime rate, and other interest rates can fluctuate, and how these changes can affect different types of investments. Discover the implications of the Fed's monetary policies and how to maintain a long-term perspective when making investment decisions.

Learn about the importance of keeping and managing your financial records, along with some helpful tips on what records to keep, how long to keep them, and how to store them securely. It also gives insight into creating a personal document locator and offers advice on how to properly dispose of sensitive documents.