Review Category : Politics

What Itemized Deductions Will Look Like In 2018

To itemize or not to itemize, that is the question?  With all of the tax law changes recently passed by President Trump in the GOP tax bill, one of the considerations you’ll need to get your arms wrapped around quickly is whether you will want to itemize your deductions when you file your taxes in 2019 or you will simply use the standard deduction. For 2018, the standard deduction amounts will increase from $6,500 for individuals, $9,550 for heads of households (HOH), and $13,000 for married couples filing jointly, to $12,000 for individuals, $18,000 for HOH, and $24,000 for married couples filing jointly. Since the personal exemption is being completely eliminated, you’ll need to do the math about whether this was a good deal for you or not.  For those married couples filing jointly, if you have three or more children, I actually think you went backwards on the new tax plan if you were filing the standard deduction. For ...

Read More →

Five Things You Didn’t Know About The GOP Tax Bill

With the GOP Tax Bill on the verge of passing, President Trump has suggested that this 1.5 trillion-dollar tax cut will be a HUGE Christmas present for the entire United States of America.  As with any type of new tax reform, there will be items you hear in the media about the winners and losers.  You’ll also hear about the major bullet points including the income tax brackets, the corporate tax cut to 21%, the small business pass through tax cuts, and certainly the minimization of state, local, and property income tax deductions on your itemized deductions.  What really separates us from our competition is to work hard on digging several layers down to give you some insight into the small tax changes that you won’t hear about that could affect your bottom line. Here are five things you didn’t know about the GOP Tax Bill Say Goodbye To The Home Equity Loan Deduction – The part of this bill ...

Read More →

What You Should Know About The Current Trump Tax Plan

Almost a year after President Trump was elected to office, none of the main agenda bills have passed in Congress.  With Thanksgiving looming around the corner for a Congress shut down here in 2017, one of the big questions will be whether the major tax bill passes before the end of the year.  This single tax plan could have a big effect on how the market finishes here in 2017 and its potential impact into 2018.   Here are the key points you should know about the current Trump Tax Plan. Businesses Get The Biggest Cut The current proposal is to reduce the tax rate of “C” Corporations (currently mostly large corporation) to move from the current 35% down to 20%.   Consider this impact for a company that makes $20 billion dollars and currently pays $7 billion dollars in taxes.  Those companies would in theory get back another $3 billion dollars in freed up cash flow.   The current proposal still considers ...

Read More →

The One Time 10% Tax You Should Know

Many Americans are wondering how the President Elect Trump tax plan will affect the type of mutual funds and ETF’s that they buy going into 2017.    One of the items bandied about in a serious way by President Elect Trump is to bring in trillions and trillions of dollars by repatriating money from companies’ accumulated offshore earnings through a one-time 10% tax to bring those dollars back to the United States.   This tax is a substantial reduction from the current 35%, which would mean a massive tax save to large corporations. The thought process behind this strategy is to get some 2.6 trillion dollars (source Joint Committee On Taxation) back into America.  If that money is returned into the hands of many large U.S. Multinational corporations, the philosophy is that jobs would follow quickly behind this influx of money and perhaps a throwback to the heydays of manufacturing. However, the capital influx could heavily influence where you invest your money ...

Read More →

Are Charitable Deductions Going To Be Wiped Out Under Trump?

For many American families who prepare for year end tax planning, no discussion is complete without talking about charitable contributions.   Many families make charitable contributions by tithing a percentage of their family income, giving cash to local charities, or they end up taking non-cash items from their household and donating them to a worthy charity.  With the potential shake up in the tax law under a Trump regime, will you have your charitable contributions completely wiped out in 2017? First things first.   You don’t really need to worry about charitable contributions if you don’t itemize your deductions at all.  Today, a single filer has a $6,300 standard deduction and a married couple has $12,600 for a standard deduction. In addition, you get to deduct you, your spouse, and your children as personal exemptions on your tax return.  The suggested policy going forward would be to wipe out the personal exemptions and offer a larger standard deduction of $15,000 for a ...

Read More →

Where To Invest Under A Clinton Presidency

As I shared a few months ago, Americans aren’t quite sure what to make of this three ring circus we are calling a Presidential election.   With the two candidates in the throes of back and forth debates, the stock market has seen its share of nervous jitters going up and down almost in yo-yo like fashion.   What will happen with the markets if Hillary Clinton is elected President nobody knows for sure, but here are some potential smart money moves to be considering if Clinton becomes POTUS.   Will she borrow more money?  Will she change Obamacare to Hillarycare?  Will she build a wall? Will she bring jobs back to America? Infrastructure – While I cannot give you specific stocks, mutual funds, or exchange traded funds (you’ll have to call me or e-mail me for that info;), I will divulge that one of the best opportunities under a Clinton presidency will be US infrastructure. Consider this for a  . . If ...

Read More →

Don’t Be Fooled By Hillary’s Small Business Plan

I usually don’t read the USA today, but I happened to have a chance to read an article recently (http://usat.ly/2bVCjaz) about Hillary Clinton’s plan to be the President for small business owners.   I was intrigued by the article to see what real change might be coming and as an entrepreneur of many businesses I quickly realized that the proposal was something that only the Stay Puff Marshmallow business person would actually gain any benefit from currently.    Here are the points from the article and then I’ll share on each point my insights on what meaningful proposals could really truly help small business owners do better.  BTW, I haven’t really seen any proposal from Trump yet at all but I do know what I hear from local owners every week Hillary Proposed Problem: Citing licensing and other burdens, Clinton’s campaign says it takes longer to start a business in the U.S. than in countries such as Canada or Denmark.  I laughed ...

Read More →

VIDEO: Where To Invest In A Trump Presidency?

Americans aren’t quite sure what to make of this three ring circus we are calling a Presidential election. With the nomination fairly certain to be Donald Trump on the Republican side, there has been major discussion about what a Trump President might look like for the future of our economy. Will he borrow more money? Will he balance the budget? Will he build a wall? Will he bring jobs back to America? These are amongst the many issues that have been speculated about on the media outlets across the country. Here are my smart money moves on where to invest under a Trump regime… Read Full Article at: https://shar.es/1JMhPM ...

Read More →

Where To Invest Under A Trump Presidency

Americans aren’t quite sure what to make of this three ring circus we are calling a Presidential election.   With the nomination fairly certain to be Donald Trump on the Republican side, there has been major discussion about what a Trump President might look like for the future of our economy.   Will he borrow more money?  Will he balance the budget?  Will he build a wall? Will he bring jobs back to America?   These are amongst the many issues that have been speculated about on the media outlets across the country.  Here are my smart money moves on where to invest under a Trump regime. Infrastructure- While I cannot give you specific stocks, mutual funds, or exchange traded funds (you’ll have to call me or e-mail me for that info;), I will divulge that this will be one of the best opportunities under a Trump presidency.   Consider this for a  moment. . . If you have a parent or grandparent that ...

Read More →

Breaking Down The Tax Plans Of Our Future President

With both the Republican and Democratic debates heating up now, it is probably a good time to attempt to separate fact from fiction when it comes to the future plans of the nominees on how they will change the tax code.  With our national debt soaring to 19 trillion dollars, it is certain we will need a way to balance our budget and right the ship of the financials in this country.  As a finance and accounting guy, I full well know that you cannot run a negative debt situation in perpetuity.  It just doesn’t work.  So, here are the cliff notes to some of the tax plans being bandied about by the frontrunners. Donald Trump (www.donaldjtrump.com) – Trump’s plan has married couples earning less than $50,000 paying no income taxes which will remove more than 75 million households and offers a top tax rate of 25%. The Trump Tax Plan Achieves These Goals: If you are single and earn ...

Read More →