Tag Archives: Roth and IRA

Like many estate-planning decisions, whether it is best to invest in a traditional 401(k) retirement savings plan or a Roth 401(k) comes down to taxes. More specifically, does it make more sense for you to pay taxes on your withdrawals in the future or on the contributions you make today? Weighing these options requires a […]

Engaging in estate and financial planning without paying attention to taxes can be a fool’s errand. Tax awareness can be tantamount to all aspects of saving, investing and spending. Failure to consider the tax implications of any estate or financial plan component may negatively affect expected returns and result in significant tax liabilities. Tax Terms […]

Under the Secure Act 2.0, generous grandparents have even more reasons to establish 529 educational savings plans for their grandchildren in 2024, when new rollover provisions take effect. Contributions to 529 plans grow tax-deferred and can be withdrawn by beneficiaries tax-free when used to pay for qualifying education expenses, including tuition, books, computers, and room […]

Effective Jan. 1, 2024, investors with unused dollars in certain 529 college-savings plans can roll their remaining balances into tax-free Roth IRAs for the benefit of those plans’ named beneficiaries without risk of penalties or income-tax exposure. Moreover, investments in Roth IRAs may continue to grow free of tax for beneficiaries to withdraw in retirement […]

The IRS released its annual cost-of-living adjustments for retirement savers in 2023, increasing the contribution limits and income eligibility requirements in the new year. One week previously, the Social Security Administration announced an 8.3 percent increase in Social Security and Supplement Security Income benefits, which it expects will help retirees weather higher consumer prices and […]

With the end of the year around the corner, you have a limited amount of time to maximize your retirement savings opportunities in the most tax-efficient manner. Following are some steps to consider taking before December 31. Max out your contribution to a workplace 401(k) retirement plan. For 2023, the maximum amount you may defer […]

Your income-tax liabilities for a particular year generally are set by the time the clock strikes midnight on December 31. However, there are some last-minute moves you can make in the New Year to reduce your tax bill before the individual income tax filing and payment deadlines in April. Max Out Retirement Savings Opportunities You […]