RMDs for Baby Boomers
In 2016, the first wave of baby boomers turned 70½, and many more reach that milestone in 2017 and 2018. What’s so special about 70½? That’s the age when you must begin taking required minimum distributions (RMDs) from tax-deferred retirement accounts, including traditional IRAs, SIMPLE IRAs, SEP IRAs, SARSEPs, and 401(k), 403(b), and 457(b) plans. …
Read moreTax Reform: Senate Bill vs. House Bill
Republican members of the Senate Finance Committee released highlights of their tax reform bill on Thursday, a week after the House released theirs. Below are the highlights with a comparison of the two. Tax rates Senate: There are seven brackets in the current tax code. The senate bill maintains the seven brackets with changes to …
Read moreTrump may veto tax bill with 401(k) cuts
If Congress passes tax reform that includes cuts to 401(k) deductions in the code, President Trump will consider vetoing the bill, according to Mick Mulvaney, director of the Office of Management and Budget. Speaking at a symposium at Georgetown University on Wednesday, Mulvaney reiterated that President Trump and the White House have two requirements of …
Read more2018 Annual Retirement Plan Limits
The IRS announced retirement plan limits for 2018. See the chart below for limit increases. Retirement Limits 2017 2018 Covered compensation limit $270,000 $275,000 Defined benefit maximum limit $215,000 $220,000 Defined contribution plan maximum limit $54,000 $55,000 Salary deferral limit 401(k), 457(b), 403(b) $18,000 $18,500 Catch-up contribution limit (Age > 50) $6,000 $6,000 Highly compensated …
Read moreFive Myths About Group Disability Insurance
You may think that the chances of becoming disabled during your working years are slight, and even if you did get hurt or had to miss time at work, you could get by because you have group disability insurance. Unfortunately, you may be in for a big surprise. Here are some myths and misunderstandings about …
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