For many, December 31 means a New Year’s Eve celebration. From a tax perspective, however, it should mean thinking about the filing status you’ll use when filing your tax return for the year. The one you use depends partly on whether you’re married on that date. THE FIVE STATUSES When you file your federal tax [...]
A Health Savings Account (HSA) coupled with a high-deductible health plan can be a powerful tool for funding medical expenses on a tax-advantaged basis. For 2020, individuals with self-only coverage can make up to $3,550 in tax-deductible contributions to an HSA, while those with family coverage can contribute up to $7,100. These limits are increased [...]
When it comes to retirement planning, many people tend to focus on two things: opening a retirement savings account and then eventually drawing funds from it. However, there are other important aspects to truly doing everything you can to grow your nest egg. One of them is celebrating your 50th birthday. This is because those [...]
If your company faces the need to “remediate” or clean up environmental contamination, the money you spend can be tax –deductible as ordinary and necessary business expenses. Unfortunately, every type of environmental cleanup expense cannot be currently deducted – some cleanup costs must be capitalized (spread over multiple years for tax purposes). Of course, to [...]
There’s a tax-advantaged way for people to save for the needs of family members with disabilities – without having them lose eligibility for government benefits to which they’re entitled. It can be done through an Achieving a Better Life Experience (ABLE) account, which is a tax-free account that can be used for a variety of [...]
The term “sandwich generation” was originally coined to describe Baby Boomers caught between caring for their aging parents and their children. Now the term applies to whichever generation happens to be grappling with the problem. If you’re in the middle part of the sandwich, one thing that can help is having one or more honest [...]