The alphabet soup of retirement plan options can be overwhelming. What's the difference between a 401(k), 403(b), 457, SIMPLE and IRA plans? Here's what both employers and individuals need to know. Employer-Sponsored Retirement Plan Options 401(k), 403(b), and 457 plans From the outside, 401(k), 403(b), and 457 plans can look similar. They have the same annual contribution limits and are…
You're probably aware that federal tax laws and state tax laws don't always agree. As you do your tax planning and prepare for filing season, it's important to know the provisions that differ for your state. State tax conformity is the practice of state governments adopting the federal Internal Revenue Code (IRC) for their own income tax systems. States can…
You may remember that the One Big Beautiful Bill Act (OBBBA) includes a provision commonly called "No Tax on Tips". Last year, the government issued a preliminary list of occupations covered under this provision. Based on feedback from the public, the Treasury Department has now issued final regulations that expand that list of occupations and adds some additional clarification. The…
If you have taxable income from sources such as investments, self-employment, or pass-through entities, you may need to make estimated tax payments throughout the year. If you work for an employer, you're familiar with the federal and state withholding that's deducted from each of your paychecks. But if you have income from other sources, such as your side hustle, investment…
It's tax season, and you're probably in the midst of going through a bunch of paperwork. What better time to create a system to manage all those documents so you can retrieve them later? First: organize, categorize, and digitize. While you might still use physical folders, a digital backup of your documents is more searchable and secure. Here are some…
While your brains (and ours!) might still be thinking about 2025 taxes, here are some new provisions that take effect beginning in 2026: Child and Dependent Care Tax Breaks The maximum child and dependent care credit will now be between $1,050 and $1,500 for one dependent and between $2,100 and $3,000 for two or more dependents, depending on income level…
Required minimum distributions (RMDs) are the minimum amounts you must withdraw from your retirement accounts each year beginning at age 73. In general, you must start taking withdrawals from your traditional IRA, SEP IRA, SIMPLE IRA, and retirement plan accounts when you reach age 73. If you participate in a workplace retirement plan (for example, 401(k) or profit-sharing plan), you…
Trump accounts are a new type of individual retirement account (IRA) for eligible children. The IRS has released Notice 2025-68, which provides a general overview of how Trump Accounts work and addresses certain initial questions. Contributions Contributions to Trump accounts cannot be made before July 5, 2026. After that, there are five types of contributions that can be made: The…
Checking your credit report regularly is one of the simplest and most effective ways to protect your financial health. Your credit report is a detailed record of how you use credit, including loans, credit cards, payment history, and any accounts opened in your name. Lenders, landlords, insurers, and even some employers rely on this information. That means errors or fraud…
The IRS announced on Monday, January 26 that tax season has begun! What's new this year? Form 1099-DA Taxpayers who bought, sold, or received digital assets, including cryptocurrency, stable coins, or NFTs, must report those transactions. Some taxpayers may receive Form 1099-DA from brokers. But even if you don't receive the form, all taxpayers must answer the digital asset question…