Facing down the fiscal cliff

Facing down the fiscal cliff

Join Putnam’s tax, investment, and financial-planning experts for a look at the likely consequences of the looming fiscal cliff. Moderated by Wealth Management Strategist William D. Cass, CFP, the conference call will feature Michael J. Atkin, Fixed Income Portfolio Manager, and Christopher P. Hennessey, lawyer and CPA, Putnam Business Advisory Group. Date: Wednesday, November 7, 2012

Many heirs miss out on a valuable tax deduction

Many heirs miss out on a valuable tax deduction

While estimates may have decreased due to the Great Recession, baby boomers are still likely to inherit trillions of dollars as wealth is transferred from the previous generation. In fact, a 2010 study by MetLife estimated the boomer generation will inherit $8.4 trillion (based on 2007 data). Indeed, on a historical basis, inheritances or gifts

Sandwich Generation: tax breaks available

Sandwich Generation: tax breaks available

According to a Pew Research Center poll, 29% of parents with grown children had a child move back home in recent years, primarily due to economic conditions. At the same time, about 10 million boomers care for an elderly parent, according to a 2011 study by the MetLife Center for Long-term Care. Living situations have

Election elevates tax reform debate

Election elevates tax reform debate

This election season has re-energized the debate about the tax code and how to make it more effective. In general, most proponents of “tax reform” call for simplification through a combination of fewer (and presumably lower) marginal tax rates and an elimination or sharp reduction in tax preference items. To understand the evolution of the

Deadline to undo a Roth conversion coming soon

Deadline to undo a Roth conversion coming soon

Now is a great time to review Roth IRA conversions that occurred during 2011 within your book of business, and, if appropriate, contact clients to confirm they would like to keep the conversion in place. Roth IRA owners who converted accounts in that period have until October 15, 2012 (the tax filing deadline plus extension),

Competing proposals in Congress continue election season tax debate

Competing proposals in Congress continue election season tax debate

As Congress prepares for its August recess, the Democrat-led Senate and Republican-led House are unveiling proposals to address the expiring Bush-era tax cuts. While both political parties appear to be sensitive to the potentially damaging impact of the so-called “fiscal cliff” in 2013, there are some key differences on how each would address the issues.

Asset Location

Asset Location

While most clients have an understanding of asset allocation, many are not aware of the term asset location. This refers to how client assets are held based on the tax characteristic of the underlying account — taxable, tax deferred, and tax free. Since taxes always pose a risk to clients’ wealth and the prospect exists

A closer look at the individual mandate

A closer look at the individual mandate

Now that the Supreme Court has ruled the health-care reform law (with one exception related to Medicaid expansion) as constitutional, questions on specific provisions will undoubtedly emerge. During the Court’s deliberation, much of the attention focused on the individual mandate to purchase insurance. While a majority of justices concluded that the individual mandate violated terms

Supreme Court upholds health-care law; new taxes to be initiated in 2013

Supreme Court upholds health-care law; new taxes to be initiated in 2013

The U.S. Supreme Court ruled Thursday to uphold the federal health-care reform law, voting in favor of a mandate that requires most individuals to buy health insurance or pay a penalty. In a 5–4 vote, the Court said that the mandate is constitutional when viewed as a tax. The law’s “requirement that certain individuals pay

Advisors’ top 3 questions, answered

Advisors’ top 3 questions, answered

Tax uncertainty has returned as a dominant theme in financial planning this year. With many federal tax programs slated to expire at the end of 2012, advisors are looking for insights on policy outcomes and what strategies they can use to mitigate the effects of potential higher tax rates. In this latest video, financial-planning experts