Retirement Watch Weekly
Bob’s Journal for 4/7/22
Major Changes in Market Trends in the First Quarter Most investment markets made sharp turns in the first quarter of 2022. The new trends began late in 2021, but there were many analysts who believed the changes were temporary. Instead of reversing, the new trends accelerated in early 2022. The sustained rise in inflation led […]
‘DIY’ Estate Planning Software vs. Hiring an Estate Planner [Pros & Cons]
Here’s a question I’m seeing more and more from my readers… “Is it a good idea to use do-it-yourself software or websites in preparing your estate plan?” The answer is both Yes, and No. First off, estate plan preparation software for individuals is nothing new. It has been around since the early days of the […]
Bob’s Journal for 3/31/22
The Correction-or-Bear-Market Debate After stock market indexes decline more than 5%, investors often ask the same two questions. What’s the difference between a correction and a bear market? Are we headed for a bear market or a correction? There’s no official or formal definition of either a correction or a bear market. Most market observers […]
The Retirement Watch Guide to Understanding the Last Will & Testament
There’s a lot more to know about wills than many people realize. The additional knowledge can often result in a much improved estate plan. Let’s first review some basic terms and concepts of the will. A will is a written statement of your instructions and intentions regarding your estate. The phrase “last will and testament” […]
The Risk of Stagflation Increases
Are we about to face another period of stagflation like the one in the 1970s? Before Russia invaded Ukraine, the economy already was facing a series of supply and demand shocks that pushed inflation to its highest levels in 40 years. The invasion has caused new supply shocks, reducing global supplies of oil, natural gas, […]
Asset Location Drives After-Tax Investment Returns
After-tax investment returns are what matter, but few investors take a key step that could minimize the taxes on their portfolio returns. Research from the Schwab Center for Financial Research, Morningstar, AQR Research, and others shows that taxes are one of the main determinants of an investor’s bottom line. A major factor in increasing after-tax […]
You Can Replace Bonds and Have Higher Income, Greater Safety
Bonds have been harming portfolios more than helping them since early 2020, and that’s likely to continue for a while. Investors are looking for alternatives to their fixed-income holdings. We started decreasing our holdings of traditional fixed-income investments in our Retirement Watch portfolios when the Fed began trying to end the extraor- dinary monetary policies […]
How to Report a QCD on Your Tax Return
To receive the benefits of a qualified charitable distribution (QCD) from a traditional IRA, you must report it correctly on your income tax return. The IRA custodian will issue a Form 1099-R reporting the distribution. The form will show the total amount of distributions from the IRA during the year, both QCDs and any other […]
