Key Takeaways There are several potential tax benefits for education expenses—some in the form of credits and others as deductions Recent tax law changes made 529 plans more flexible Review your situation to see which tax benefits work for you With all that’s been going on in the world, it’s hard to keep up with […]

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Key Takeaways Two COVID-19 stimulus bills included new tax credits and deductions Changes to the 2020 tax year could amount to hundreds of dollars in applicable credits or deductions There are many things from 2020 we’d like to forever leave behind. Unfortunately, paying income taxes can’t be one of them. Barring a government announcement of […]

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Key Takeaways The forms you need to prepare your tax returns—including W-2s and 1099s—should start arriving by February Your income level and the complexity of your situation will determine whether you file Form 1040 or a 1040A You’ll also attach certain schedules if you have itemized deductions, capital gains or losses, or are self-employed The […]

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Key Takeaways Short-term capital gains are taxed as ordinary income; long-term gains are taxed at lower rates For 2020, capital gains tax rates range from zero to 20%, but policymakers occasionally alter these rates and thresholds Certain derivatives are taxed at a blended 60/40 rate of long-term and short-term capital gains Having a new stock […]

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Key Takeaways Wash sales apply to shares of the same security, as well as so-called “substantially identical securities” such as different share classes of the same company Your broker tracks wash sales within its system, but if you have accounts with more than one broker, you’ll need to keep track yourself  Understanding wash sale triggers […]

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Key Takeaways Year-end charitable donations are critical for nonprofit organizations Many charities are seeing greater needs while receiving fewer donations  Recent legislation has changed how charitable donations may affect tax returns The holidays are a time for giving—a time to reflect on the year’s bounty. Many people use November to start planning their charitable donations. […]

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Key Takeaways Understand the IRS rules that allow realized capital losses to offset up to $3,000 in realized capital gains per calendar year  See an example of tax-loss harvesting in action Learn how an automated tax-loss harvesting service can help investors be more tax efficient and potentially improve after-tax returns Looking to pursue an optimal, […]

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Key Takeaways The end of the year is a good time to think about long-term financial goals and get your taxes in order Consider increasing 401(k) contributions and other simple year-end tax strategies Federal COVID-19 pandemic relief led to rule changes on RMDs for IRAs and 401(k) retirement accounts  Year-end tax planning is something you […]

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