There is currently an initiative on the November ballot in Oregon to repeal Oregon’s estate tax. This Death Tax Phase-Out Act (Measure 84) would reduce the existing tax each year until 2016, when it would reach zero. The tax currently applies to the amount of an estate over $1 million - which, coincidentally, is the minimum amount many financial experts say that baby boomers should possess in order to not outlive their assets.
I’ll admit it: I’m addicted to Facebook. When I heard that shares of stock would become available to the public this spring, I thought to myself, “I have to own a share of this company.” It seems most providers of other addictive items have stiff competition. Think coffee, soda, cigarettes, liquor, smartphones; each are offered by multiple brands. When I think of how to connect with friends far and near, there is only one place where everyone seems to be. For the simple reason that you won’t find me (or many others) on Google+ or MySpace, it appears there will be a lone survivor in the race for social network supremacy. If you’re not using Facebook, I fear society will force you to jump on the bandwagon, or (tragically?) be left behind
The 529 College-Savings Plan is a neat planning vehicle, but I want to highlight another legacy building idea: the Roth IRA for children. We have one business-owner client that has been able to contribute to their son’s Roth IRA since he was born (A young Roth IRA account owner can only contribute up to 100% of ‘earned income’, or $5,000, whichever is less). We are eager to see the value of his account at age 59.5, after which he can take TAX-FREE withdrawals.
Hey, it’s January and the holiday spending season is over, but let’s talk shopping! And specifically: shopping at home. What fun! Especially for retirees. You are probably visualizing lounging in jammies, bottomless mug of decaf in hand, perusing QVC, Amazon, The Shopping Channel, and eBay, just to name a few. Well, no. Sorry. In true New Year’s Resolution spirit, I say, it is time to get serious, and tighten that money belt!
Last month, the North American Securities Administrators Association (NASAA) came out with their annual list of financial products and practices to which unsuspecting investors fall prey. At the risk of losing your interest, I’ll shed light on just a few. On the list, you’ll find various forms of Ponzi schemes.
With some bit of fanfare, 2010 began a new era in regard to Roth IRAs for high income earners. While those single income tax filers earning more than $122,000 and couples earning more than $179,000 are still not eligible to contribute to a Roth IRA, anyone is eligible to convert existing Traditional IRA dollars into a Roth IRA.