While the holiday season is a time for family and friends, it is also the best time to review tax strategies for the coming year. Tax planning includes optimizing pre-tax and post-tax retirement plan contributions, stock option exercise optimization, Roth conversions, tax-loss harvesting, choices of investment vehicles and accounts, optimizing the order of withdrawals, and many more.
Given the complexity of these tax considerations, it's vital to work with a trusted wealth manager to best understand each approach and its implications. It's also essential to understand the economic climate's effect on taxes, especially the impact of inflation. Along those lines, recent federal rule changes have been announced that investors should be aware of ahead of the new year 2024.
We discuss in this episode of The Wealth Effect Podcast:
📊 Inflation-Adjusted Tax Brackets
💵 2024 Retirement Plan Limits
📈 Consumer Inflation Expectations
Matt Faubion, CFP®
Founder - Wealth Manager
Show notes and charts:
Tax bracket thresholds are adjusted for inflation
Consumers expect higher inflation
The Social Security cost-of-living adjustment is 3.2% for 2024
The bottom line: Investors should be aware of tax and benefits changes as they review their tax strategies for the coming year, ideally with the help of a professional. If you have any questions about how any of this impacts your personal situation, feel free to book some time for us to meet here!
What is the proper portfolio strategy for you as an investor and your wealth plan? Let's find out - Reach out through the link below to start the first step in our complimentary risk and portfolio evaluation!
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