As of the passage of the Tax Cuts and Jobs Act of 2017, recharacterization of a Roth IRA conversion is no longer an option. What can you do to now, to simulate the benefit had by recharacterization of a conversion?
It should be noted that regular contributions to a traditional or Roth IRA can still be recharacterized – it’s only a traditional IRA-to-Roth IRA conversion that is disallowed.
If you recall, the primary reason that you would want to recharacterize is if you converted funds and then, by the time you pay the tax, the holdings that you converted have …Read More
Have you ever wondered – “Hey, I have this taxable stock account with my favorite stock (or mutual fund, or bond, or CD, or what-have-you). Can I just transfer the stock over to my IRA as an annual contribution?”
In a word, NO. Contributions to IRAs are only allowed in cash. In order to complete the contribution, you’d have to liquidate the security holding, paying any tax on capital gains, and then use the cash proceeds to make your contribution.
The reason for this is simple – if you contribute the actual stock to an IRA from an account that …Read More
Contrary to popular belief, real estate investing isn’t all HGTV flower boxes and passive income filling your bank account. Whether you’re purchasing a single-family home, duplex, or commercial property, managing a rental property is a huge financial and personal undertaking.
Before you dive headfirst into a real estate project, you’ll want to do your homework.
So what factors should you consider?
Rental Properties Are Highly Concentrated Assets
Investing in rental properties will likely tie up a significant portion of your net worth in one place. A quick google search will show you all the millionaires and billionaires who got