Posts by Mark Henricks
Financial Advisor
How Much Do You Need to Retire by 2060?
The year 2060 is a long time off, but now is not too early to start planning for retirement when it rolls around. With evolving economic landscapes, fluctuating inflation rates and changing life expectancy, determining the right amount to save can seem daunting. However, understanding the fundamentals of retirement planning can help demystify this process.… read more…
Financial Advisor
How Much Do You Need to Retire by 2070?
Changes to the economic landscape, falling life expectancy and even potential changes to Social Security benefits all mean future retirees face challenges unlike those of past retirees. Even looking as far as 2070, however, some timeless retirement planning recommendations still hold. It remains essential to consider factors such as inflation, healthcare costs and lifestyle expectations… read more…
Financial Advisor
How Much Do You Need to Retire in Your 50s?
Retiring in your 50s requires careful financial planning and, first and foremost, a clear understanding of how much you need to retire comfortably. The amount necessary to retire in your 50s can vary significantly based on lifestyle choices, healthcare needs and the cost of living in your desired location. It’s also crucial to consider factors… read more…
Tax Policy
New Jersey vs. New York: Which Is Better for Taxes?
Comparing New Jersey vs. New York taxes highlights differences in how income, property and sales taxes affect residents on both sides of the Hudson River. New York typically imposes higher income tax rates, especially on high earners, while New Jersey’s property taxes rank among the highest in the country. Sales tax rates are also different,… read more…
Financial Advisor
Form 1045: How to Apply for a Quick Tax Refund
Form 1045 is a tax form that can allow taxpayers in certain situations to apply for a quicker refund of taxes paid in prior years. The form, officially known as the Application for Tentative Refund, can be used by filers who have unused general business credits, net Section 1256 contract losses or carryback of a… read more…
Market News
Timing the Bottom: Is It Still a Good Time to Invest in NVDA?
Investors may be able to achieve superior returns with less volatility from investments in NVDIA stock by timing their investments over a long period rather than investing all their funds immediately. Dollar-cost averaging, a popular strategy for timing investments, generally leads to slightly lower returns compared to investing a lump sum. However, investors who use… read more…
Financial Advisor
Form 1099-Q: What Is It, Who Files It and Who Gets It?
The Form 1099-Q tax document goes out to taxpayers involved in educational savings plans, such as 529 plans or Coverdell Education Savings Accounts. Financial institutions issue these forms to report distributions made from these accounts. Typically, the financial institution managing the account has the responsibility of filing the form with the IRS. The institution also… read more…
Market News
Tesla Delivery Numbers Q1 2025: What Investors Need to Know
Tesla’s first-quarter deliveries slumped to 336,000 compared to 387,000 in the first quarter of 2024, a 13% drop. Meanwhile, it produced 362,615 cars for a -16% decrease year over year. Energy storage products saw deployment growth at 156% since last year, with 10.4 GWh delivered in Q1. The electric-car maker’s shares tumbled in the hours… read more…
Financial Advisor
Risk Appetite vs. Risk Tolerance: What Are the Differences?
Risk appetite and risk tolerance are often used interchangeably, but these financial terms represent distinct concepts. They also play somewhat different roles in shaping investment strategies and financial planning. Risk appetite refers to the level of risk an entity is willing to pursue to achieve its financial goals. It is a strategic choice that aligns… read more…
Financial Advisor
Risk Appetite: Types, Purpose and How to Determine It
Risk appetite is a term for the level of risk an individual or organization is willing to accept in pursuit of their goals. This concept is relevant to investors as well as businesses aiming to align their strategies with their risk management frameworks. Understanding and addressing risk appetite enables individuals and companies to better navigate… read more…
Financial Advisor
Social Security Fairness Act: Are Payments Retroactive?
The Social Security Fairness Act addressed long-standing concerns related to the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO). The WEP and GPO had reduced Social Security benefits for millions of public sector employees. The act’s provisions have significant implications for retroactive payments and the anticipated timeline for benefit adjustments. Consulting a financial… read more…
Financial Advisor
Installment Sale: What It Is and Tax Benefits
An installment sale is a way of selling an asset that calls for the seller to receive payments over time rather than in a single lump sum. This type of sale is commonly used in real estate and business transactions. It can allow the seller to spread out capital gains taxes and potentially reduce their… read more…
Financial Advisor
Personal Banker vs. Financial Advisor: Who to Work With?
When it comes to managing your finances, choosing the right professional to guide you can make all the difference. Two common options are personal bankers and financial advisors, each offering distinct services tailored to different financial needs. A personal banker typically works within a bank, assisting with everyday banking needs such as opening accounts, securing… read more…
Financial Advisor
Form 1099-INT: What Is It, Who Files It and Who Gets It?
When tax season rolls around, one of the most common documents taxpayers receive is Form 1099-INT. This form, issued by banks, credit unions and other financial institutions, reports interest income earned over the tax year. If you’ve earned at least $10 in interest, you can expect to receive a Form 1099-INT from the institution that… read more…
Financial Advisor
Form 1099-B: What Is It, Who Files It and Who Gets It?
Form 1099-B is a tax form issued by brokers or barter exchanges to both the IRS and the taxpayer. It provides details about sales of stocks, bonds, or other securities. Typically, brokers are responsible for filing this form with the IRS, while investors receive a copy. Investors then use the information on the form to… read more…
Financial Advisor
Form 1310: How to Claim a Refund for a Deceased Taxpayer
Form 1310, officially known as the “Statement of Person Claiming Refund Due a Deceased Taxpayer,” is a document that allows you to request a tax refund on behalf of someone who has passed away. If you are an executor or personal representative of a deceased individual, you may need to know to properly complete and… read more…
Financial Advisor
Form 1095-C: What Is It, Who Files It and Who Gets It?
Form 1095-C is a tax form many larger employers have to send to their full-time employees, detailing the health insurance coverage offered to them. This document confirms whether an employee was offered health insurance and provides information about the coverage itself, including the months it was available. Employees need this form to verify their health… read more…
Financial Advisor
How the Alternative Minimum Tax (AMT) Affects Stock Options
Stock options can be a powerful tool for wealth building, but they come with tax implications that many investors overlook—especially when it comes to the Alternative Minimum Tax (AMT). This parallel tax system was designed to ensure that high-income earners pay a minimum level of tax, but it can unexpectedly impact employees who exercise incentive… read more…
Financial Advisor
Complete Guide to California’s Alternative Minimum Tax (AMT)
California’s tax system is complex, and for certain taxpayers, the Alternative Minimum Tax (AMT) can add an extra layer of financial obligation. California’s AMT operates alongside the state’s standard income tax. It employs a separate calculation that disallows many common deductions. If your income exceeds certain thresholds or includes specific tax preferences—such as incentive stock… read more…
Financial Advisor
What Are the Tax Rates for the Alternative Minimum Tax (AMT)?
The Alternative Minimum Tax (AMT) is a parallel income tax system designed to ensure that high-income individuals pay a minimum level of tax, regardless of deductions and credits that might otherwise lower their tax liability. Unlike the regular income tax, which has a progressive structure with several tax brackets, the AMT operates under a separate… read more…
Social Security
I’m Going to Earn $3,400 per Month in Social Security. How Can I Reduce My Taxes on It?
Many people don’t owe federal income taxes on their Social Security retirement benefits. However, with $3,400 in monthly benefits, you could be one of the many people who do have to pay taxes on this income. From zero to 85% of your benefit income may be taxed as ordinary income, depending on your filing status… read more…
Financial Advisor
Texas Corporate Tax: What It Is and How It Works
Unlike many states, Texas does not impose a traditional corporate income tax. Instead, it levies a franchise tax, which is a type of gross receipts tax. This means that businesses are taxed based on their total revenue rather than their net income. The franchise tax applies to most entities, including corporations, limited liability companies and… read more…
Financial Advisor
How Is IRS Section 1245 Used for Real Estate Taxes?
IRS Section 1245 determines how certain types of property are taxed upon sale. Specifically, it deals with recapturing depreciation on personal property and specific kinds of real estate. When applicable, this rule can significantly impact the tax liabilities of property owners. When a property that has been depreciated is sold, IRS Section 1245 requires that… read more…
RMDs
I’m Starting IRA Withdrawals at Age 65. Will They Count Toward My RMDs Later?
Withdrawals from an IRA that start before required minimum distributions (RMDs) are due can reduce the amount of your future RMDs, although not on a dollar-by-dollar basis. RMDs are calculated based on the balance in your retirement account, not on previous withdrawals. However, by reducing the balance in your account, early withdrawals can reduce the… read more…
Advisor Fees & Costs
I Have $1.4 Million Invested with My Advisor Who Charges a 1% Fee. Am I Paying Too Much?
The fee your advisor charges is based on the services you’re receiving, the individual advisor’s fee structure and other factors, including the amount of money you have to invest. With $1.4 million invested, many advisors would likely charge about 1% of the account balance as an annual fee. However, this could vary widely among advisors.… read more…