Home Financial Services/Products Links Contact Us Client Login Newsletters Email Newsletter #33 (02-1-21) Posted on March 11, 2021 by Martin Knight in Financial Articles, Monthly Newsletters | Comments Off on Email Newsletter #33 (02-1-21) Just 48 days till Spring, and it can’t arrive a day too early. And while I look forward to Spring and some warmer weather, there’s always another day shortly after March 20 that dampens my mood—April 15, tax day! These next 74 days get a little busy around here as we try to get out the 1099’s and get in the final IRA payments. We actually like to be active, so that part is not too bad. It is the call from our CPA that I dread. Don’t get me wrong; I usually have a good idea whether it is going to be good or bad—it’s almost always bad news. But it is the degree of badness that causes my heartburn. Here are a few points about this time of year. First, for your Pershing accounts, the 1090R’s (retirement distributions) should be available now. The 1099’s DIV and INT are scheduled for completion a little later. Depending on the account’s investments, they might not be ready until the middle of March. If you’re in a hurry or just need to know, send me an email or call, and I’ll check. If it is ready, I can email or US mail it to you. For procrastinators, we must receive your 2020 IRA or retirement plan contribution checks before you file your 2020 tax forms. Please allow for Postal Service delays. (We’re still getting Christmas Cards.) If you don’t have an IRA and your CPA suggests that you should start one, please let us know as soon as possible so we can begin the paperwork. The paperwork is not complicated, but it’s not instantaneous either. Some good news this year—any Stimulus Checks you might have received are tax-free. The money is not taxed as income. Also, the PPP loans, if forgiven, do not count as income. And your business can still write off the expenses covered by the PPP. These gifts come to you from your great-great-grandchildren. The 2020 standard deduction increased by $200 per person over tax-year 2019—that’s a $12,400 standard deduction per person and $24,800 Married Filing Jointly. Not bad at all. No detailed deduction records needed—just file the simple form. The 2021 tax-year brings back the Required Minimum Distribution (RMD) from IRA’s and retirement accounts. If you are 72 years of age or older, you must take some money out of your account. It does not start out as a lot of money—in fact, that first year it is a little less than 4%. As an example, if you turn 72 and have a retirement account with $100,000, the RMD amounts to $3,906. We have the calendar year to do these. Finally, I wanted to mention that we are bringing on a new advisor soon, Mark McGuire, CPA. He still needs to complete his regulatory exams for FINRA and the SEC, but he is a CPA and has a very successful tax-practice already. Mark retired in 2020 from the Maryland State Police as a Major, and he and his wife Shelley and Daughter Sydney just moved to Venus, Florida. (Eventually, all CPA’s might end up in Florida.) The year 2020 proved to Mark, and the rest of the world, that physical location doesn’t much matter anymore. He does almost all of his accounting services over the phone, internet, and secure portals. So if you need tax preparation, Mark is an excellent place to start. Here is his website: https://mssmanagementllc.com/ Thanks for reading, and as always, give us a call if you have any questions or concerns, MK ← Previous Post Next Post → Does My Portfolio Fit Me? Recent Posts Email Newsletter #36 (11-15-2021) Email Newsletter #35 (08-29-2021) Email Newsletter #34 (03-01-2021) Email Newsletter #33 (02-1-21) Key Financial Data 2021 Categories Financial Articles Market Articles Monthly Newsletters Links Downtown Chestertown Let's Make a Plan DISCLAIMER Geneos Wealth Management, Inc. is not affiliated with Chesapeake Bank & Trust Co. Investments are: Not FDIC Insured; Not a Deposit; No Bank Guarantee; May Lose Value; Not Insured by any Federal Government Agency. CONTACT INFO Address: 106 Spring Ave. Chestertown MD 21620 800-994-0221 or 410-810-0735 OFFERED THROUGH: Securities and advisory services offered through Geneos Wealth Management Inc., Member FINRA & SIPC. Privacy Statement ↑