April 2015

30 Apr

The Psychology of Saving

How many households have the right outlook to build wealth?

Why do some households save more than others? Building household savings may depend not only on cash flow but also on psychology. With the right outlook, saving becomes a commitment. With a less positive outlook, it becomes a taskand tasks and chores are often postponed.

02 Apr

The Top 12 Tax Frauds

A look at the IRS "dirty dozen" list.

Have you heard of the "dirty dozen"? Each year, the IRS lists the top 12 recurring federal tax offenses—frauds, cheats, feints and schemes that ethically challenged taxpayers, tax preparers and crooks try to perpetrate. Watch for these scams in all seasons, not just tax season.

02 Apr

Tax Efficiency in Retirement

How much attention do you pay to this factor?

Will you pay higher taxes in retirement? Do you have a lot of money in a 401(k) or a traditional IRA? If so, you may receive significant retirement income. Those income distributions, however, will be taxed at the usual rate. If you have saved and invested well, you may end up retiring at your current marginal tax rate or even a higher one. The jump in income alone resulting from a required minimum distribution could push you into a higher tax bracket.

02 Apr

Investing Internationally

An intriguing idea even when U.S. benchmarks are beating foreign ones.

If domestic stocks are performing ably, why invest elsewhere? When the S&P 500 is returning double digits, it may seem unnecessary to include shares from foreign companies in your portfolio. While it may not be necessary, it could be a savvy move.