September 2021
Sep 1, 2021With Historically Low Yields, Income Investors Rethink Bonds
Yields on high-quality bonds are at a 50-year low, and experienced investors, who might have enjoyed 5 to 10 percent yields on AAA bonds in the 1980s and 1990s, are now earning 1 to 3 percent. This has a dramatic impact on retirement income, creating a dilemma for many investors: Should I stay the course and accept the low yields (and the risk of having my bonds called) or look at other strategies to close the income gap?
April/May 2021
Apr 18, 2021Real Estate Investing can Change the Game
As the saying goes, don’t put all your eggs in one basket or you might lose everything at once. Portfolio diversification is key; having a variety helps mitigate the risk of the decline in your investment.
Wealth
Nov 25, 2020Prepare for a Successful Transaction When Selling Your Company
Selling your company, or a portion of the interests in your company, may be one of the most significant events during your life or career. A successful transaction will yield financial and operational benefits, while a bad transaction may have damaging and lasting consequences.
September 2020
Sep 12, 2020Explore Ways to Engage Employees in a Work-from-Home Environment
Business leaders across many industries have been riding the roller coaster of the COVID-19 pandemic. Companies, tradition- ally operating in offices, shifted to employees’ homes with little notice. While our technology infrastructure allowed this to happen with relative ease, the toll on our interpersonal skills may fall under the radar. As business leaders, we need to make a conscious effort to lead our teams in both the current and future business landscapes.
August 2020
Aug 15, 2020Know Your Business’ Cash Needs in Uncertain Times
As COVID-19 continues to impact our health care system and reopening strategies, it is more important than ever to monitor your business cash flow. Many businesses are getting by with funds received via PPP loans, but those loans were intended as a short-term fix. For many companies there may not be more relief programs, and those loans may not be fully forgiven — which means they will need to be repaid.
April 2020
Apr 8, 2020Ensure You’re Ready for Retirement
ACCORDING TO A RECENT STUDY by the General Accountability Office, 29 percent of Americans 55 and older do not have any retirement savings or pension plan, and those who have saved are woefully behind, with households age 55–64 averaging $104,000 in retirement assets.
March 2020
Mar 9, 2020Foreign-Derived Intangible Income Tax Benefits
IF YOUR U.S.-BASED BUSINESS SELLS PRODUCTS to the foreign marketplace or provides services to foreign customers, you may be entitled to significant tax benefits.
February 2020
Feb 11, 2020Tax Tips to Keep in Mind When Preparing for Retirement
RETIREMENT IS A WHOLE NEW phase of life. You’ll experience many new things, and you’ll leave others behind — but what you won’t avoid is taxes. If you’ve followed the advice of retirement plan consultants, you’re probably saving in tax- advantaged retirement accounts. These types of accounts defer taxes until withdrawal, and you’ll probably withdraw funds in retirement. Also, you may have to pay taxes on other types of income: Social Security, pension payments or salary from a part-time job. With that in mind, it makes sense to develop a retirement income strategy.
January 2020
Jan 8, 2020Let it Be
PARTICIPATING IN A COMPANY’S retirement plan is a smart and important decision — smart because you put away small amounts today for a comfortable retirement later.
December 2019
Dec 13, 2019Ups and Downs
THE FEDERAL FUNDS RATE is the interest rate targeted by the Federal Reserve. It is the interest rate banks charge each other for overnight loans. After the recent cut on Oct. 30, 2019, the third cut this year, the rate will hover between 1.5 percent and 1.75 percent. The federal funds rate is not the rate used by banks for lending to individuals and businesses; that is the prime interest rate, currently at 4.75 percent. Since 1994 banks commonly calculate the prime interest rate as the federal funds rate plus 3 percent (in this case 1.75 percent plus 3 percent). Every U.S. bank sets its own prime rate; however, most utilize the same one.
November 2019
Nov 13, 2019Virtual Reality
TIME IS NOT ON THE SIDE of taxpayers who failed to report their Bitcoin and other virtual currency transactions to the IRS. The IRS recently announced it is sending letters to virtual currency owners who have not reported transactions on income tax returns. By the end of August, more than 10,000 taxpayers received these letters.
October 2019
Oct 9, 2019Out of State Obligations
A LITTLE MORE THAN A YEAR AGO, the Supreme Court, in the closely divided South Dakota v. Wayfair decision, ruled states can require most online retailers and many other sellers to collect sales tax, upending more than two decades of legal precedent. The decision affects businesses such as software vendors, equipment retailers, information sellers and any other business selling goods or services subject to sales tax. In other words, it reaches just about everyone. Whether you own a business or are a consumer, it impacts you in some manner. You may pay more now for the item purchased or, as a business owner, you are saddled with much more compliance work, needing to file various tax returns in additional states.
September 2019
Sep 1, 2019Planning Now for Next Year’s Financial Goals
AS WE APPROACH the last quarter of the calendar year, it is a good time to look back at your 2019 financial goals to see if you are on target. Have you saved as much as you wanted? Have you paid down some debt? Remember, if you pay more than the minimum amount due, you not only pay off your debt earlier than scheduled but also save on interest fees.
August 2019
Aug 1, 2019Tariffs and Trade Wars
AS WE HAVE ALL HEARD, the United States is involved in a trade war with China. It has been ongoing for some time, and the tariffs continue to increase — what began as a 10 percent tariff now attaches a 25 percent tariff to many goods. The administration may levy additional tariffs which could be 10 or 25 percent. Uncertainty is the constant.
July 2019
Jul 1, 2019Retirement Reform
AT PRESS TIME, THE SECURE ACT still needed to pass the U.S. Senate, but it appears to have bipartisan support, based on the 417–3 vote it received in the House of Representatives in late May. If it passes, retirees and those saving for retirement can expect some exciting changes. The Tax Cuts and Jobs Act of 2017 did not really touch on retirement reform.
June 2019
Jun 1, 2019Small-Business Solutions
SOME SMALL BUSINESSES ARE unable to procure conventional financing, whether due to being startups or lacking collateral or the cash needed for the initial down payments. A Small Business Administration loan can be the vehicle that allows someone to buy a dream business, a building or equipment. If you have not been able to get a loan conventionally, ask your finance professionals to direct you to the SBA; it may provide a solution.
May 2019
May 1, 2019Looking Ahead to Tax Time
TAX TIME IS A GREAT TIME not only to review your 2018 taxes but also to dig in to what 2019 has in store for you. You can’t impact your 2018 taxes at this point, but you can make a difference in your 2019 taxes. If you haven’t already discussed 2019 with your tax professionals, you should connect with them while it is fresh in your mind. Tax planning should occur throughout the year, but starting earlier in the year allows you enough lead time to make the changes for the greatest impact on your taxes.
April 2019
Apr 1, 2019Student Loan Debt Continues to Rise
STUDENT LOAN DEBT IN 2019 reached the highest level ever. According to Forbes, more than 44 million borrowers collectively owe more than $1.5 trillion in student loan debt in the United States alone. Student loan debt now represents the highest consumer debt category, behind only mortgage debt, and is higher than both credit cards and auto loans. Borrowers in the class of 2017, on average, owe $28,650 according to the Institute for College Access and Success.
March 2019
Mar 1, 2019Tax Time
AS WE ALL KNOW, the U.S. government shut down for 35 days earlier this year. As of this writing, another shutdown loomed. Because of the shutdown, the IRS has been short-staffed. Even though IRS workers were ordered to return to work, many continued to skip, claiming financial hardship due to not receiving a pay check, citing their inability to put gas in their car or pay for child care, among other reasons. They were to receive back pay upon returning to work.
February 2019
Feb 1, 2019Continue to Contribute to Your Retirement Plan
WHILE THE STOCK MARKET continues to contain a lot of uncertainty, it is still prudent to open and contribute to a retirement account. If you are concerned about investing in equities, you could deposit your contribution into a very low-risk — or no-risk — account like a money market account. Investing in your retirement account makes sense for several reasons. It reduces your current year’s taxable income by the amount contributed to your retirement account. The earnings on your investment grow tax-deferred; you do not pay income tax on the contributions or earnings until you withdraw money. And you get into the habit of putting money aside which will grow to a much larger number when you reach retirement (potentially you will be in a lower tax bracket when you withdraw the money when retired).
January 2019
Jan 1, 2019Fresh Start
AS WE TURN THE CALENDAR TO 2019, it is a good time of year to prioritize tax planning. Individuals are cash-basis filers, which means the taxable activities that occur during the calendar year are the items considered taxable income and tax deductions. Many closely held small businesses also file their tax returns on the cash basis. Cash-basis filers have some ability to determine their taxable income and, with proper planning, may be able to defer some income taxes from one year to the next.
December 2018
Dec 1, 2018Ups and Downs
“WHAT GOES UP …” We can all finish that sentence. We have just encountered — and perhaps will continue to encounter — a decline in the stock market. No prognosticator knows exactly how much of a decline there will be, what stocks will be affected more than others and how long the decline will last. We just know it is inevitable. We also know no one knows the right time to get in and out of the market. Timing it is extremely difficult.
November 2018
Nov 1, 2018The Going Rate
LIBOR: THOSE FIVE LETTERS in that order are pretty powerful and impact many of us. LIBOR stands for London Interbank Offer Rate, the interest rate participating banks offer to other banks for loans on the London market. It is the average rate at which a group of 20 banks estimate they’d be able to borrow funds from each other in five currencies across seven time zones. In its simplest terms, LIBOR is a number produced daily in response to a theoretical question posed to a group of large banks: What interest rate would you have to pay to borrow money from other banks? It is the most widely used benchmark for short-term interest rates in the world, primarily because most of the world’s largest borrowers borrow money on the London market.
October 2018
Oct 1, 2018Changing Interest Rates
RECENTLY, FEDERAL RESERVE Chairman Jerome Powell suggested he expects the Federal Reserve to continue gradually raising interest rates if the U.S. economic expansion remains strong. The Federal Reserve has a target 2 percent rate for inflation. At this time the economy is growing at close to that rate, and customarily that means the Federal Reserve will vote to increase interest rates. Why would it mess with a good economy? Many people ask that same question — President Trump is one of them. Chairman Powell’s stated goal is to strike a balance, maximizing employment and keeping price increases stable. So what is the big deal if interest rates are increased?
September 2018
Sep 1, 2018Estate Planning: A Holistic Approach Part 2
DIFFERENTIATING BETWEEN PROBATE and non-probate assets is critical. The easiest way to understand the difference is to determine if the property, through its titling or beneficiary designation, directs the distribution of the asset to its beneficiaries at the time of the owner’s death. Common probate properties include real property owned outright or as a tenancy-in-common, nonqualified bank or brokerage accounts not held in joint-tenancy, interest in corporations and other legal entities, jewelry and automobiles. Common non-probate assets include real property held jointly; life insurance (unless the decedent’s estate is the beneficiary); qualified retirement accounts such as IRAs, Keoghs, profit-sharing plans, pension plans and 401(k) plans; bank or brokerage accounts with a named beneficiary on the account; and beneficial interests in a trust account expiring at death.
August 2018
Aug 1, 2018Estate Planning: A Holistic Approach
UTILIZING A HOLISTIC APPROACH to estate planning is critical, particularly when determining how property will be distributed and the associated tax consequences. The role of advisors is to work in harmony with the client in order to understand the client’s testamentary objectives and what the client wants to accomplish with his or her wealth while alive.
July 2018
Jul 1, 2018Robo vs. Human
PERHAPS YOU HEARD OF A ROBO-ADVISOR, or use one for your investments. Robo-advisors are technology platforms that provide automated investment services, ranging from trade execution only to those that employ algorithms to determine a client’s asset allocation and risk tolerance. The typical roboadvisor uses a generic questionnaire to collect information from its clients. It then applies that information to determine the client’s risk tolerance and an appropriate mix of investments, generally low-cost exchange-traded funds (ETFs) or other passive investments. This model completely eliminates human labor from the financial planning and investment process — hence the term “robo.” Several robo firms expanded this model to offer access to human financial professionals for an additional fee. Such access, however, is usually limited to electronic communication.
June 2018
Jun 1, 2018New Tax Laws
IN THE LAST TWO ISSUES, we discussed the tax law changes that impact corporations and addressed international tax law changes. This month’s column focuses on the tax law changes associated with individuals. One of the bigger changes in the new tax law involves tax brackets. The highest tax bracket in 2018 is 37 percent, down from the 2017 high rate of 39.6 percent. Additionally, the brackets have become a bit larger, meaning each rate bracket taxes more dollars than in the past, so it takes longer (more taxable dollars) to reach the highest tax bracket.
May 2018
May 1, 2018The Toll Tax
PRIOR TO THE ENACTMENT of the Tax Cuts and Jobs Act, the United States was one of the few developed nations operating on a worldwide system of taxation. This tax regime, coupled with some of the highest statutory corporate tax rates in the world, created a far less attractive business environment for U.S. companies operating in an increasingly global economy. With little incentive to bring foreign earnings back to the United States for reinvestment, many American companies retained foreign earnings offshore to avoid paying U.S. taxes imposed upon repatriation. In an effort to incentivize U.S. companies to repatriate foreign earnings and increase U.S. investment and job growth, the new tax reform adopts a modified territorial tax regime, effective for the 2018 and subsequent tax years. This new system of taxation provides a 100 percent exemption from U.S. corporate taxation for dividends received by a 10 percent U.S. corporate shareholder from certain foreign corporations.
April 2018
Apr 1, 2018Impact of Tax Reform
ON DEC. 22, 2017, the tax world changed as the Tax Cuts and Jobs Act became law. It affects all of us, and below is a little insight into some of the changes that will have the most impact. These are not all of the changes, nor are they discussed in depth but merely highlighted so they are in your mind when tax planning. Next month, this column will touch on businesses, pass-through entities and some international tax changes.
February 2018
Feb 1, 2018Family Wealth Transition
HOLLYWOOD MOVIES USUALLY PORTRAY the reading of the will as a family gathering around in suspense, anxiety and agony. You’ve seen it in films or in commercials on television. Lucky family members win the prize inheritance and are in celebration, while others are left out of the will, completely forgotten and with nothing. This scene of the estate plan details being revealed after death can create some potential problems, and in an ideal world should never happen.
January 2018
Jan 1, 2018Maximize Your Benefits
PLANNING FOR AND SUBSEQUENTLY transitioning into retirement is cumbersome enough without trying to figure out the Social Security riddle. Minimize the stress — and maximize the benefits — by separating facts from myths and knowing when to take Social Security.
December 2017
Dec 1, 2017Road to Retirement
IN TODAY’S WORLD, the responsibilities of preparing for retirement fall upon each individual. When you retire, you will discover income taxes do not stop because you stop working. For this reason, age-based tax planning should be an integral part of your overall retirement strategy.
November 2017
Nov 1, 2017Just in Case
YOUR FINANCIAL ESTATE can ultimately end up in a lot of places other than where you intended. Without proper planning, you may wind up leaving a significant portion of your hard-earned assets to the government, creditors or unintended heirs.
October 2017
Oct 1, 2017Building a Sound Investment Portfolio
IF YOU DON’T HAVE A SOLID foundation for your portfolio, how can you build and construct a strong portfolio meant to endure the years leading you to and through retirement? Like building an itinerary, a sound portfolio begins with where we want to go and how much time we have.
September 2017
Sep 1, 2017Your Financial Roadmap
YOU’RE PLANNING AN INTERNATIONAL TRIP, except this journey leads toward your financial future. You must ask yourself: Where am I now? Where do I want to be? How am I going to map out my path? Will I take advice from peers, blogs or professionals? A successful financial future begins with creating a plan and requires
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Daily
Mar 4, 2025What to Expect from This Year’s Philadelphia Flower Show
Spring is just around the corner (thank goodness!), and there’s no better way to celebrate than to surround yourself with blooms at the world’s oldest — and largest — horticultural event: the annual Philadelphia Flower Show. Presented by the Pennsylvania Horticultural Society, and dating to 1829, this year’s event is currently underway at Pennsylvania Convention Center in Center City, wrapping up March 9.
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Madrid: The Charm of an Authentic City
They say Madrid is in vogue for many reasons: its lifestyle, its heritage, its cuisine and all of its new attractions. And it’s true, because Madrid is on the radar of travelers looking for a cutting-edge destination that still holds onto its essence. Join us as we explore its charms.
Must Haves
Mar 4, 2025Get Away for the Weekend in Style with a Well-Designed Duffel
Roundabout Weekender Tote The Alexis Drake Roundabout Weekender Tote offers a sleek combination of style, function and craftsmanship. At 14.5 inches by 27 inches by 10 inches, the Roundabout’s impressive capacity can support any weekend, long or short, without sacrificing its sleek silhouette. Meticulously handcrafted from full-grain cow and bison leathers sourced within the United States and lined with woven canvas, four large pockets keep the sizable interior organized, while reinforced handles and an optional shoulder strap provide superior support. Available in a variety of striking, limited-run color combinations, with customizable details. $598.
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Mar 4, 2025Chase Opens Sapphire Lounge by The Club Location at Philadelphia International Airport
Chase’s newest Chase Sapphire Lounge by The Club location has opened, a new addition to Philadelphia International Airport, located post-security in the connector between Terminals D and E and measuring 20,000 square feet.
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Royal Air Maroc Marks Five Years with oneworld: Strengthening Connectivity Between USA and Africa and Expanding Global Reach
Royal Air Maroc proudly enters its fifth year as a member of the prestigious oneworld alliance. Since joining in April 2020, RAM has demonstrated resilience during the COVID-19 pandemic, emerging as a dynamic airline that enhanced its digital services and expanded its network. The airline plans to grow its fleet to 200 aircraft by 2037, reinforcing its global presence.
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Mar 4, 20254 Can’t-Miss Events in Oahu This Spring
Those visiting Oahu, Hawai’i, this spring will be delighted to find an exciting list of must-do experiences. Below are a variety of Oahu’s top events to travel for this spring:
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Mar 3, 2025Away We Go!
March 2025
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Feb 28, 2025What to Know About This Year’s Cincinnati Music Festival
July 24–26, Paycor Stadium and Andrew J. Brady Music Center resounds with music as the Cincinnati Music Festival gets underway. Launched in 1962 and ranking as one of the country’s largest music festivals, CMF celebrates the very best of R&B, jazz, soul, and hip-hop.
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A Summer Sojourn Along Europe’s Rivers with AmaWaterways
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February 2025
Feb 28, 2025Wholly Immerse in Your Adventures with New Advances in Technology
OM System Tough TG-7 OM System might sound like a new arrival in the camera space, but it’s just the new name for industry stalwart Olympus. Continuing the theme of continuity, TG-7 updates the much-loved TG-6 underwater camera. Capable of descending as far as 50 feet below the waves, TG-7 features three preset modes to help beginners take stunning photos and video at different depths, as light behaves differently the deeper you go. Add on the PT-059 underwater case, and the camera will be safe down to 147 feet and you can also add optional lenses such as FCON-T02, for circular images, and FCON-T01, a tele converter for longer shots. $500.