Leverage IRC 199A for Massive QBI Tax Savings
The planning opportunities created by IRC Section 199A after the Tax Cuts and Jobs Act are tremendous. Here's how you can help clients reduce their tax burden through creative strategies around the QBI deduction. Read more about the 3 buckets of QBI deduction strategies in the link: https://t.co/LGwmQamC11
Buy on Earnings Surprises, Sell Within 15 Months
I love when stock pickers have very disciplined unique strategies like Josh Goldberg. He only buys after earnings surprises and doesn't hold longer than 15-months. From the book, Stock Market Maestros
Career Growth Powers Your FIRE Portfolio
Best FIRE strategy nobody talks about: 1. Improve yourself 2. Make more money 3. Invest the surplus Your career funds the portfolio.
Preserve Capital: Reallocate and Lock in Profits
It’s important to reallocate and manage your portfolio correctly as your positions grow. A lot of retail investors fail to crystallize profits. Manage your money correctly and remember the first rule is always preserve capital. Follow @thelonginvestor #investsmart #howtoinvest #stockmarkettips
Keep Housing Costs Below 25% of Net Income
If these numbers make you uncomfortable... You’re probably overpaying 😬 The rule is simple: Your rent or mortgage should NEVER exceed 25% of your take home pay. Not gross. Overspending on housing is one of the biggest barriers to building real wealth... So if you want...
Diversify with Real Assets as Stocks and Bonds Stall
Bonds flat and stocks lower YTD. Why owning things like commodities, real and hard assets, shorter duration bonds, and managed futures in this volatile inflation 🌎 is more important than ever.
Missed RMD? Penalty Waiver Possible, Avoid Amending Returns
Missed Depreciation On A Rental? Why Amending Prior Returns Is Usually The Wrong Move: Missing a Required Minimum Distribution (RMD) can incur a hefty tax penalty of up to 25% of the missed amount – however, the IRS allows individuals...
Growing HSA to $6k with Yearly $1k Boost
Slowly building this HSA account almost at $6,000 one of the best account. Also every year increasing it to have $1000 extra till I max. Right now $4000 my portion and employer put $1000.
Great Returns Can Hide Dangerous Stock Concentration
François Rochon is a well known investment manager who has compounded at ~15% annualized for 30 years (!) In 2002 though he was much more obscure. A single stock was 20% of his portfolio. Below he shares his thoughts on...
Buffett & Munger Reveal True Cost of Equity
Most investors misunderstand the cost of equity. Below is the most explicit Buffett has ever been on his cost of equity... BUT the real insights come from Charlie Munger's push back and Buffett's Punch Card Idea ⬇️Link⬇️
States Tax Cars Where They’re Garaged, Not Registered
Let’s talk about the Montana car tax strategy. The idea is simple: Montana has no sales tax. So people form a Montana LLC, buy the car through the LLC, register the car in MT, and—poof—no sales tax. Is it legit? There...
Smart Strategies to Diversify Concentrated Stock Positions
My conversation with Wes Gray (@alphaarchitect) & Brent Sullivan (@TaxAlphaInsider) on how to handle concentrated stock positions. We cover: • 351 to ETF conversions • Tax managed long/short • Direct indexing • Exchange funds 🍎 Apple: https://t.co/8EyAQJRS2b 🍏 Spotify: https://t.co/2KzvgNXoiD 📺 YouTube: https://t.co/8ibUEisaZM
Five Essential Steps to Maximize Social Security in Your 60s
Here are five steps everyone in their 60s should take now to help ensure they make the most of Social Security. https://t.co/G4kqCF6jjT
Contribute Pre‑tax in High‑tax State, Retire Tax‑free Elsewhere
An easy tax arbitrage many people don't think about: Do a pre-tax 401(k) in a state with a high income tax vs withdrawing in a 0% tax state. Example - contribute pre-tax in CA/NY (say 10% marginal) but retire in 0% state,...
Time Horizon, Not Volatility, Determines Investment Risk
The biggest risk in investing isn’t volatility. It’s a short time horizon. Worst S&P 500 annualized returns since 1928: 1 year: -44% 5 years: -13% 10 years: -2% 20 years: +2% 30 years: +8% The longer you stay invested, the smaller the risk of a bad outcome. https://t.co/E6zeCB4Ir8
T‑CRUT Bypasses 10‑Year Rule as IRA Beneficiary
As a non-person entity, the T-CRUT is not subject to the 10-Year Rule and can be designated as the IRA beneficiary while naming the original non-spouse beneficiary as an income recipient of the trust and a charitable organization as the...
Understanding Multi‑Asset Funds: Purpose and Differentiation
Loved to discuss multi asset funds with @Shiprasorout on the concept, what they are intended for and how they differentiate themselves:
Age‑Based Stock Rule Costs More Than 60/40
Most investors follow a rule nobody ever properly tested: subtract your age from 100, put the rest in stocks. A new Yale study finally ran the numbers. Following that rule costs the equivalent of 2% of lifetime consumption. A static 60/40...
Midstream MLPs Gain Double Tailwind From Falling Rates
Midstream MLPs are the toll roads of energy — they get paid regardless of commodity prices. Now with rates falling, yield spreads are widening and borrowing costs are dropping. Double tailwind. @InfraCap @JDHatfield_ICAP break it down 👇 https://t.co/VsVjJ2Qwhm
Stay Calm in Volatile Markets with Proven Habits
The best investors stay calm when markets are volatile, and these financial habits can help you stay the course. https://t.co/hO1oDA3Gyi
Small Investors Should Use Tax Wrappers for Yext Tender
$YEXT spread for an odd lot tender at low end of Dutch Auction range is now ~$50 on ~$520 deployed for ~10 day capital lock-up. This is the stuff small investors should locate within tax wrappers to maximize after tax...
Buffett Chooses Stocks Over Real Estate for Liquidity
Investing legend Warren Buffett explains why he often prefers the stock market over real estate. Stocks can be bought or sold in seconds, while real estate deals can take months of negotiations. A powerful lesson in value investing, smart capital...
EncorEstate Introduces Standalone Special Needs Trust for Advisors
This is a challenging spot, because if you don't outright specialize in clients with special needs children, most advisors may only come across these scenarios once or twice in a career, and won't necessarily have a good network of attorneys...
60/20/20 Beats Traditional 60/40 with Gold, International
It has been my thesis for the past 5 years that the “new” 60/40 is more like a 60/20/20. To illustrate this the chart below shows that a hypothetical 60/20/20 portfolio, allocated as noted in the chart, could have sharply...
Avoid Chasing Soaring Stocks; Volatility Erodes Quick Gains
Chasing stocks that are soaring can be tempting — but those gains can vanish quickly amid market volatility. https://t.co/sMK6GH12Xx
Prioritize Sustainable Returns Over Maximum Short-Term Gains
Instead of asking: "How can I earn the highest return possible?" Investors should ask: "What are the highest returns I can sustain for the LONGEST period of time without going bust." This changes entirely how you invest.
Step‑up Basis Wipes Out Taxes on Inherited Gains
Step up in basis is one of the most powerful tax provisions and can wipe out a lot of taxes. Say your dad bought $200k of stocks in a brokerage account that are now worth $2M. He passes them down to you...
Fundamentals Sustain Success, Not Just Hype
A mentor I had 20 years ago would say, “You might be able to pump them up, but fundamentals have to keep them up.”
Hold ISOs 1‑Year/2‑Year for Capital Gains
ISOs are attractive because, under the right conditions, gains from their exercise and sale can qualify for long-term capital gains treatment. However, to receive this preferential tax treatment, employees must wait to sell the employer stock until at least one...
Estate Planning Must Address Digital Access Challenges
Many assume estate planning is handled once documents are signed, but DIGITAL estate planning does not behave that way. For many clients, the real issue is an ACCESS problem: email, cloud photos, financial logins, business accounts, and Terms of Service...
Flexibility Makes the 4% Rule Truly Foolproof
Hot take: no one has ever run out of money using the 4% Rule. Why? Because, in the real world, people are flexible. During a market crash, no one is going to increase their spending by inflation because "the rule said...
Work Hard, Find Mispriced Bets, Bet Big Wisely
“It’s not given to human beings to have such talent that they can just know everything about everything all the time. But it is given to human beings who work hard at it—who look and sift the world for a...
Consistent Dollar‑Cost Averaging Beats Market Timing
This circles back to investing consistently through Dollar Cost Averaging in a low-cost passive index fund that tracks the market. Remember, "Time in the Market, Beats Timing The Market." 📣 https://elmads.com/?p=4958 — The Power of Cost Averaging Investment Strategy
Self-Directed IRAs Empower New Era of Retirement Investing
Retirement investing is changing, and most people don’t realize it yet. In this episode, Henry Yoshida (CEO & Co-Founder of Rocket Dollar) breaks down why the traditional retirement system was never designed for true investor control, and how private markets, real...
AI Can't Beat Markets; Hedge Funds Already Arbitrage Any Edge
While I think there are some great use cases for AI to do investment research (got an investment thesis, let it help crunch the data, or sift through a zillion 10-K filings to spot which companies match your criteria), I...
Shift From Efficient Frontier to Temporal Risk Management
I created a tool to visualize your sequence risk in a portfolio. We talk a lot about the "efficient frontier", but the EF turns investing into a performance chasing and alpha optimization problem. The average investor doesn't care about this...
4 Simple Ways W‑2 Employees Can Lower Taxes
Tax time: The time of the year where your eyes pop out of your head, wondering how you could be paying so much to the government. Fear not, there are SOME things you can do to reduce your tax burden. Yes,...
Hold Index Funds Through Volatility, Not Market Predictions
Buying and holding index funds through highs and lows is a great strategy. But i bet if you saw this chart in 2013- You would've guessed the market is about to crash.
Small Losses Demand Disproportionately Larger Gains—Protect Capital
A 10% loss requires a 11% gain to get back to even. A 20% loss requires a 25% gain to get back to even. A 50% loss requires a 100% gain to get back to even. A 90% loss requires a 900% gain...
Moving Back Home May Not Save Money
Don't miss Martha C. White on @ThisMorningShow with Gordon Deal talking about how moving back in with your parents might not be saving you as much money as you had hoped. https://t.co/GR2x1oNj4a
Athletes Flee UK Over Heavy Tax on Prize Money
I'm in the privileged position of having many pro athletes as clients and friends. Many have thrown up their hands and decided to leave the UK. As a professional golfer for instance, £1 million in prize money is treated...
Earn Income in Retirement to Preserve Your Nest Egg
In retirement, you’re not necessarily looking to replace your salary, but earning some income can be a way to preserve your nest egg. https://t.co/wOfHYW9AWm
Donate Shares, Secure Home, Redefine Wealth
💰 Personal finance links: donating shares not cash, understanding your home insurance, and why wealth is more than just money. https://t.co/bdDm8cuhWn image: https://t.co/Erm8sUw9Vp https://t.co/BfNyG6Ndyd
Turn $304K Debt Into $1M in 7 Years
My wife and I went from $304k in debt to $1M in 7 years. Here's how we did it in 30 min/mo:
Investing Made Simple: Open Roth IRA in Minutes
It’s never been easier to invest. You can literally open a Roth IRA in under 5 minutes, contribute $100, and buy fractional shares of ETFs with ZERO fees. Or sign up for your 401k and contribute 3% or 5% or 10% of...
Today's Yield Predicts Bond Returns with 97% Accuracy
Want to know where bond returns are headed? Just look at today’s yield. Over the last 50 years, the correlation between starting yields and forward 7-year returns is 97%. Higher yields = higher future returns. Lower yields = lower future returns. Bond investing is just...
Tiny Money Moves Can Grow Middle-Class Wealth
10 Small Wealth-Building Choices That Turn A Middle-Class Income Into A Big Net Worth https://t.co/76wSbTzRSX
Even Millionaires Face Bank Upsell Tactics
A millionaire walked into her bank to renew a fixed deposit. Simple transaction. In and out. But the relationship manager had other plans. "Before we process that renewal, let me show you something better."
Building a 15‑stock All‑Weather Portfolio to Beat S&P
If I’m being honest I’m thinking of putting together 15 instruments and treating it like the Ray Dalio all weather strat Never holding more than 15 instruments at any given time Only buying shares no options And attempting to beat the...
Down Payment Could Outgrow House: Consider Opportunity Cost
If you bought to buy a $1 million house and put 20% down, your down payment alone would be worth ~$1.6 million in 30 years if invested in the stock market (Yes, accounts for inflation) Always factor in the opportunity cost of...