January 19, 2022 | Small Business | by Blaine Thiederman MBA, CFP Understanding the tax consequences and reporting requirements of different business entities is crucial for entrepreneurs. Here’s a breakdown of what you need to know. Key Points: Selecting the right business structure is a strategic decision that impacts your financial landscape. Whether your business […]
Tax Planning
Solo 401k Contribution Limits for 2023
Solo 401k Contribution Limits for 2023
The Solo 401k plan remains a standout choice for the self-employed in 2023, offering substantial contribution limits that empower entrepreneurs to save aggressively for retirement. The elective deferral limit has been raised to $22,500, a significant increase that allows for greater tax-deferred savings. For individuals over 50, the catch-up contribution limit provides an additional $7,500, […]
High-Income Earners: Navigating the Roth Contribution Limits
High-Income Earners: Navigating the Roth Contribution Limits
Earning too much for a Roth IRA? There’s a workaround. Let’s explore how high-income earners can still take advantage of Roth accounts. Key Points: Introduction: Hey, high rollers! If you’re raking in the big bucks, you might think a Roth IRA is off-limits. But hold on—there’s more to the story. Let’s dive in. Roth IRA […]
The 5-Year Rule in Roth IRAs: A Timeline You Can’t Ignore
The 5-Year Rule in Roth IRAs: A Timeline You Can’t Ignore
Five years in a Roth IRA can make or break your tax-free withdrawals. Let’s decode the 5-year rule that everyone should know about. Key Points: Introduction: Hello, financial enthusiasts! You’ve probably heard about the 5-year rule in Roth IRAs. It’s a timeline that can either be your best friend or your worst enemy. Intrigued? Let’s […]
Recharacterizing Your Roth: The Pro-Rata Rule Unveiled
Recharacterizing Your Roth: The Pro-Rata Rule Unveiled
Think you can dodge taxes with Roth recharacterization? Think again. Let’s unveil the complexities of the pro-rata rule. Key Points: Introduction: Hey, financial aficionados! Ever thought about recharacterizing your Roth IRA contributions? It sounds like a simple “undo” button for your Roth conversion, but it’s not that straightforward. Let’s dive in and demystify the pro-rata […]
Stock Options Vs. RSUs: A Comprehensive Guide to Your Equity Compensation
Stock Options Vs. RSUs: A Comprehensive Guide to Your Equity Compensation
Key Points The world of equity compensation can be a confusing landscape to navigate. With multiple options such as Employee Stock Options and Restricted Stock Units (RSUs) on the table, it can be a challenge to understand the ins and outs of each. So, let’s delve deeper into these two popular forms of equity compensation […]