If you’ve saved a lot for retirement, or your parents have, you could be affected by recent changes in the rules about retirement distributions. The recently enacted Secure Act eliminated the “stretch IRA,” a strategy used by affluent investors to pass tax-advantaged money to their heirs. The stretch IRA allowed nonspouse beneficiaries — typically children […]
Recent Blog Posts
Q&A: New Secure Act changes some retirement rules
Dear Liz: At age 70½, when I must withdraw money from my IRA, may I donate those dollars to a charitable organization without paying tax on the withdrawn funds? Answer: The short answer is yes, but you should know there have been some recent changes to retirement plan rules. Required minimum distributions now start at […]
Q&A: A tricky Social Security plan
Dear Liz: In a recent column, you described the difference between withdrawal and suspension of Social Security benefits. I am 64 and want to take Social Security for two months to get out from under a few one-time bills. I’ll then withdraw my application and pay back the money. Do I understand that I’d have […]
Q&A: How to keep tax benefits when renting out your primary residence
Dear Liz: If my wife and I sell our primary residence of 12 years, I understand we can exclude up to $500,000 in home sale profits from taxes. But if we rent it for a year or two, then sell, have we lost that tax break by converting it to income property? Answer: As long […]
Friday’s need-to-know money news
Today’s top story: Alter your buying habits in 2020 and keep the change. Also in the news: When the gift of giving brings a tax on receiving, student loan forgiveness and taxes, and 7 alternatives to costly payday loans. Alter Your Buying Habits in 2020, and Keep the Change Cutting back on impulse buying. When […]
Thursday’s need-to-know money news
Today’s top story: How to get traction paying off your credit cards in 2020. Also in the news: 8 moves to consider for IRAs and 401(k)s under the new Secure Act, using points and miles for wedding travel, and the 5 best states for retirees in 2020. How to Get Traction on Paying Off Your […]