If you want to leave a lot to charity, you can use a couple of tools in your estate planning – one of which is the pricey and time-consuming job of launching your own Rockefeller Foundation. Another method, though, might save you a lot of money and effort: a donor advised fund.
With 2014 well over and the spring of 2015 looming, you may find yourself gathering all of last year’s tax information and getting ready to file your income taxes. Maybe you expect a refund or maybe you dread writing a check to Uncle Sam. If the latter, here are some tips to reduce your tax burden for 2015.
Being a proactive investor means paying attention to more than just your investments’ fees and expenses. What your dividends yield is very important. And their tax situation is, as well, as dividends are taxable income.
Every possible tax deduction can help when your money is tight. Yet many available legal deductions go unclaimed each year simply because most taxpayers still don’t know the breaks exist. From eyeglasses to airline baggage fees, you might qualify for at least one often-forgotten deduction – and maybe more than one.
In the turmoil of the end of your marriage, you may sign a divorce settlement agreement quickly, even with relief. That important – and possibly ill-considered – paper may start you on a new life. It might also ignite a tax nightmare for you in the future.
Your decision to defer taxes via a 401(k) or traditional individual retirement account seems to make sense today for your future. Deferring taxes in an IRA can certainly reduce the taxes you owe in the current year. But predicting the impact of tax deferral in the future becomes more complex, and may cost you more in the long run.
Many young taxpayers miss out on tax-saving opportunities because they just aren’t aware of them. Here are some tax credits and deductions that you shouldn’t overlook.
Rules recently changed for estate planning, especially planning for large estates. If you drafted your estate plan before the new rules kicked in, examining your plan again might save you thousands of dollars.
Selling your business can fulfill many dreams: your lifetime of professional achievement, pride in leaving behind a thriving enterprise – and a potentially large cash payout. But especially if you look to leave a chunk of your estate to charity and are short on heirs, such a bonanza can turn into a mess unless you use the right instruments to protect your money.
Even though only a few weeks remain in this calendar year, you can still make a few financial moves to avoid serious tax surprises next April.