The year’s unusual economic and investment uncertainties have not been witnessed in decades. High inflation, raising interest rates, and declining prices in both the equity and fixed income markets have been painful for investors, consumers, and businesses. My last blog (titled "Is The Economy in Recession?") discussed these difficult conditions and a debate among [...]
It is not easy to be an investor or an economist these days! The stock and the bond markets have mightily struggled during the first six months of 2022. Almost all of us feel the impact of high inflation when we go the grocery store, buy gas for our cars, or do just about [...]
Nobody likes surprises, especially when it comes to the subject of money! When I work with mid-life professionals thinking about career transition and/or retirement, they are often surprised to learn that they will eventually be forced to withdraw money from their Traditional IRAs and Traditional 401(k) plans later in life. That is correct! The [...]
When I think about these first three months of 2022, the word patience comes to mind. The recent two-year anniversary of Covid-19 hitting our shores reminds me of the havoc and disruption that the pandemic imposed on our lives, but more importantly how so many people overcame the hardships through a heavy dose of [...]
The Bureau of Labor Statistics released the February Consumer Price Index (CPI) data on March 10th, showing headline CPI climbed 0.8% month-over-month while core CPI, which excludes volatile food and energy prices, rose 0.5% month-over-month, both around consensus estimates. The one-year increase in headline CPI, at 7.9%, is the highest since early 1982, reflecting [...]
Core bond investors have experienced one of the worst starts to the year ever, potentially calling into question the validity of bonds in a portfolio. Despite the poor start, the value proposition for bonds has not changed much. Moreover, with yields on most fixed income markets moving sharply higher, now could be a good [...]
About 77% of retirees between the ages of 62 and 75 plan to spend down at least some of their retirement assets. The top reasons cited include lifestyle, medical expenses and health insurance, housing expenses, and discretionary spending. The remaining 23% intend to maintain or grow their assets. Why would retirees not want to [...]
Every year, the Internal Revenue Service announces cost-of-living adjustments that affect contribution limits for retirement plans and various tax deduction, exclusion, exemption, and threshold amounts. Here are a few of the key adjustments for 2022. Estate, Gift, and Generation-Skipping Transfer Tax The annual gift tax exclusion (and annual generation-skipping transfer tax exclusion) for [...]
Here are some things to consider as you weigh potential tax moves before the end of the year. Defer Income to Next Year Consider opportunities to defer income to 2022, particularly if you think you may be in a lower tax bracket then. For example, you may be able to defer a year-end bonus [...]
During the 12 months ending in June 2021, consumer prices shot up 5.4%, the highest inflation rate since 2008.1 The annual increase in the Consumer Price Index for All Urban Consumers (CPI-U) — often called headline inflation — was due in part to the "base effect." This statistical term means the 12-month comparison was [...]
