Washington lawmakers have passed a series of tax increases to address projected budget shortfalls. Bills passed and taxes include: House Bill 2081 increases B&O (business and operation) taxes on businesses. Businesses pay B&O tax on gross revenue, not profits, and depending on the type of business and revenue, the increases will range from 0.03% to […]
4 Best Practices for Qualified Charitable Distributions (QCDs)
Time flies when you are charitably inclined! In 2013 I wrote the article “Should You be Making Charitable Contributions From Your IRA?” highlighting the benefits of utilizing QCDs. Since that time, we have processed thousands of QCDs for clients, helping them optimize their charitable giving while controlling tax and Medicare IRMAA (Income-Related Monthly Adjustment Amount) […]
Restricted Stock
In addition to hourly wages or salary, employers often incentivize their employees with compensation in the form of company stock. Company stock can be awarded to employees without restriction or can be awarded through an Employee Stock Ownership Plan (ESOP) or purchased through an employee stock purchase plan (ESPP). These plans can have various goals; […]
THE SUN IS SETTING ON ULTRA HIGH NET WORTH ESTATES
Estate Tax Exemption for 2024 and beyond What is the Estate Tax Exemption? In 1789, Ben Franklin penned the famous phrase “In this world, nothing is certain except death and taxes”. It was not until 1916 that the estate tax was instituted, and death itself became taxable. There are certain amounts that are exempt from […]
Just When You Thought You Were Out of Debt
American households are drowning in consumer debt, with the Federal Reserve Bank reporting a new record of over $1.13 Trillion in Credit Card debt in 2024.[1] Total consumer debt, including the largest category, mortgage debt, is also standing at an all-time high of $17.5 Trillion.[2] In our new high interest rate environment, the interest payments […]
Year-End Charitable Giving Strategies
As the end of another year approaches, most altruist investors are considering their year-end charitable giving. When focusing on the goal of bestowing a meaningful gift to another person or charity, some careful planning can go a long way to ensure the maximum amount goes to the intended recipient. This planning should take place on […]
Your Future Income Tax Brackets May Be Higher Than You Assume
Future assumed income tax brackets are a major consideration when making current decisions, such as the decision to convert a traditional retirement plan to a Roth plan and often, the assumptions we make are too low. When making assumptions about your future tax bracket, there are a few factors that often get overlooked. Below are […]
The SECURE ACT 2.0: Three Good features
On December 29th, 2022, the SECURE 2.0 ACT was signed into law. It includes a few provisions that are beneficial for taxpayers. I have outlined three of them here: New IRA Required Minimum Distribution (RMD) Age The act raises the age at which RMDs are required to age 73 (previously 72). For taxpayers who were […]
Generational Wealth Transfer Strategies to Minimize Taxes and Fees
Four Simple Gifting Strategies How do you transfer your wealth and property to the next generation before you pass on? While the question may be unappealing to consider, gift and trust planning is a critical part of your long-term financial plan. By planning ahead, you can better direct exactly where your hard-earned wealth ends up […]
Updated: What to Know and How to Plan for Washington State’s “LTSS” Trust Act
Article updated on February 7, 2022 On January 27th, Washington State Governor, Jay Inslee, announced a delay in the implementation of the WA Cares Fund payroll tax until July 1, 2023. The delay is the result of concerns brought forward by Washington State lawmakers and the general public over specific components of the law. As […]