The Motley Fool

APRIL 22, 2024

Fortunately for me, my full-time employer sponsors a tax-advantaged retirement account, and offers a contribution-matching program. The only options were some mutual funds that are balanced based on your risk tolerance and projected retirement date. Turns out I could, but it was a slightly complicated process.

Mutual Funds 245

Mutual Funds Exchange-Traded Funds Accounting Taxes 245

The Motley Fool

OCTOBER 13, 2023

If you contribute some of your earnings to an IRA, you can shield some income from taxes. They give you a limited penalty-free withdrawal to buy a home If you're funding an IRA to have savings down the line in retirement, then it's generally best to leave that money alone until retirement. IRAs allow you to buy stocks individually.

Mutual Funds 246

Mutual Funds Taxes Accounting Funds 246

The Motley Fool

APRIL 19, 2024

Money in your 401(k) account grows in a tax-advantaged way -- either by postponing taxation via a traditional 401(k) or by avoiding it altogether via a Roth 401(k). Some 401(k) accounts charge relatively steep fees, which can eat into your returns. It's usually smart to contribute enough to grab the maximum match, as it's free money.)

Mutual Funds 246

Mutual Funds Taxes Accounting Funds 246

The Motley Fool

JUNE 3, 2024

In particular, people with net worths of $1 million or higher tend to have more of their money in the following: Stocks/mutual funds Real estate Business interests Those in the $10,000 and $100,000 tiers invest in those, too, but not nearly as much. Take the professionally managed hedge funds available to wealthy investors.

Hedge Funds 246

Hedge Funds Mutual Funds Investing Venture Capital 246

The Motley Fool

SEPTEMBER 12, 2024

With a traditional 401(k), the more you put in, the more income you can potentially shield from taxes, up to the yearly IRS limit. First, by limiting you to investment funds, 401(k)s make it difficult to build a customized retirement portfolio. However, non-medical HSA withdrawals at age 65 or later are subject to taxes.

Mutual Funds 244

Mutual Funds Taxes Funds Portfolios 244

The Motley Fool

DECEMBER 22, 2023

Not only do the holidays inspire goodwill and cheer, but many people are interested in writing off their donations as we close out the tax year. But there's also a lot of confusion about charitable donations and when you can write them off for tax purposes. To write off a charitable deduction, you'll need to itemize your tax return.

Taxes 246

Taxes Mutual Funds Exchange-Traded Funds Consulting 246

The Big Picture

DECEMBER 4, 2024

Would you like to diversify but also defer paying big capital gains taxes? I’m Barry Ritholtz and on today’s edition of at the money we’re going to discuss how to manage concentrated equity positions with an eye towards diversification and managing big capital gains taxes. None of these solutions are optimal.

Taxes 52

Taxes Mutual Funds Accredited Investors Asset Management 52

The Motley Fool

FEBRUARY 26, 2024

With its high contribution limit, tax advantages, and potential for a company match, it could be your biggest source of savings once you retire. Always get your company match There's no better return on your investment than ensuring you get the company match in your 401(k). It's hard to beat an immediate, guaranteed 50% or 100% return.

Mutual Funds 245

Mutual Funds Investing Accounting Taxes 245

The Motley Fool

DECEMBER 27, 2023

Image source: Getty Images Making donations to charities is a generous thing to do, and it can also help reduce your tax bill. But if you want to make the most of your charitable giving, smart tax planning should also be part of your agenda. Let's look at a few positive results that can happen from tax deductible charitable giving.

Taxes 147

Taxes Mutual Funds Assets Accounting 147

The Motley Fool

APRIL 15, 2024

They invest heavily in stocks and mutual funds Baby boomers have the largest percentage of their wealth in stocks and mutual funds. The average historical rate of return for the S&P 500 is about 10% annually. Here are five successful habits of baby boomers that we all would be wise to consider.

Mutual Funds 246

Mutual Funds Finance Financing Consulting 246

The Motley Fool

SEPTEMBER 21, 2024

You'll mostly see target date funds , mutual funds , and maybe some company stock. On top of that, you'll run up against some fees that could chip away at your returns. Sure, you could dip into your 401(k), but you'll face a 10% penalty on top of paying taxes.

Mutual Funds 245

Mutual Funds Taxes Management Fees Accounting 245

The Motley Fool

MAY 29, 2024

Mutual funds update their price at the end of each market day, and they come with extra layers of tax reporting, too. This is significantly lower than the average ETF (0.16%) or mutual fund (0.47%), allowing you to keep more of your returns. It also stands apart with an enormous scale, holding a massive $1.5

Exchange-Traded Funds 245

Exchange-Traded Funds Mutual Funds Investing Stock Exchanges 245

The Motley Fool

SEPTEMBER 30, 2024

For example, a Roth IRA offers exceptional tax benefits, making it an outstanding retirement planning tool. It also comes with immediate tax benefits. For example, taxes on 401(k) contributions are deferred until retirement, meaning you can lower your taxable income during your working years by contributing more to your 401(k).

Mutual Funds 246

Mutual Funds Exchange-Traded Funds Taxes Assets 246

The Motley Fool

MAY 29, 2024

These are offered by employers and allow workers to allocate a portion of their paycheck each month to fund retirement. Generally, 401(k)s give you the option to invest across a number of different mutual funds. Retirement accounts such as an IRA offer tax advantages you won't find in a traditional brokerage account.

Taxes 245

Taxes Mutual Funds Passive Investors Accounting 245

The Motley Fool

MAY 11, 2024

Over 91 million American households have already received a tax refund in 2024. Just 9% of Americans plan to invest their tax refund, according to a January survey from Bankrate. You don't need to be a genius to take your tax refund and turn it into a much more valuable asset. Should you invest your tax refund all at once?

Taxes 130

Taxes Mutual Funds Assets Funds 130

The Motley Fool

JUNE 27, 2024

Money in your 401(k) account grows in a tax-advantaged way. If it's a traditional IRA, you'll get an upfront tax break, as you can deduct your contribution each year from your taxable income. The table below shows the returns of various asset classes between 1802 and 2021, per Wharton Business School professor Jeremy Siegel.

Mutual Funds 246

Mutual Funds Taxes Accounting Stock Market 246

The Motley Fool

JULY 19, 2024

Even if you add investments outside of retirement accounts, like individual stocks, bonds, and mutual funds, 50% of American households have less than $9,000 invested. The IRA comes with tax incentives. For every dollar you contribute to a traditional IRA, you can deduct it from your tax return. In 2022, just 5.2%

Taxes 243

Taxes Mutual Funds Exchange-Traded Funds Accounting 243

The Motley Fool

OCTOBER 28, 2024

The simple explanation is this means investing equal dollar amounts at specific intervals in your favorite stocks, ETFs, or mutual funds. As a basic example, instead of investing $6,000 at a set point in the year in a S&P 500 index fund, maybe invest $500 in the same index fund at the beginning of each month.

Mutual Funds 246

Mutual Funds Taxes Stock Market Stock Market 246

The Big Picture

DECEMBER 14, 2023

At the Money: Mutual Funds vs. ETFs with Dave Nadig, Financial Futurist for Vetta Fi (December 13, 2023) What’s the best instrument for your investments? Mutual funds or ETFs? But over the past few decades the mutual fund has been losing the battle for investors attention. Dave Nadig : Absolutely not!

Mutual Funds 72

Mutual Funds Funds Exchange-Traded Funds Taxes 72

The Motley Fool

OCTOBER 28, 2024

Let's assume your 401(k) earns an average annual return of 7%. However, if you withdraw that $10,000 now, not only do you lose that potential growth, but you may also face early withdrawal penalties and taxes (which could be between 20% and 30%, depending on your tax rate), leaving you with only $7,000.

Mutual Funds 246

Mutual Funds Debt Finance Financing 246

The Big Picture

JANUARY 24, 2024

At the Money: How to Pay Less Capital Gains Taxes (January 24, 2024) We’re coming up on tax season, after a banner year for stocks. Successful investors could be looking at a big tax bill from the US government. On this episode of At the Money, we look at direct indexing as a way to manage capital gains taxes.

Taxes 98

Taxes Mutual Funds Capital Asset Management 98

The Motley Fool

SEPTEMBER 21, 2024

The good news is that there are other (some might say better) ways you can earn decent returns. You can also buy bonds through ETFs or mutual funds. Funds are baskets of securities and can be a more accessible and affordable way to add bonds to your portfolio. But the returns are usually much higher.

Mutual Funds 230

Mutual Funds Debt Taxes Accounting 230

The Motley Fool

FEBRUARY 19, 2024

A family office may offer financial planning, investment management, tax expertise, and charitable giving opportunities. Hedge funds are often far riskier than investing in a mutual fund, and they are exclusively for people with at least $200,000 in income or $1 million in net worth.

Hedge Funds 239

Hedge Funds High Net Worth Individuals Mutual Funds Mergers and Acquisitions 239

The Motley Fool

NOVEMBER 30, 2023

Exchange-traded funds, or ETFs, can be superb investing vehicles. ETFs are both cost- and tax-efficient, and they can instantly diversify a portfolio across a broad swath of the equity markets or within a specific sector/theme. The VOO is also widely owned by individual investors, mutual funds, hedge funds, and institutional investors.

Mutual Funds 246

Mutual Funds Exchange-Traded Funds Hedge Funds Stakes 246

The Motley Fool

JANUARY 31, 2024

Check out the table below, showing the returns of various asset classes between 1802 and 2021, per Wharton Business School professor Jeremy Siegel: Asset Class Annualized Nominal Return Stocks 8.4% The long-term annual average return of the S&P 500 is around 10%. Bonds 5% Bills 4% Gold 2.1% for long-term government bonds.

Mutual Funds 246

Mutual Funds Exchange-Traded Funds Accounting Taxes 246

The Motley Fool

SEPTEMBER 9, 2023

Also keep in mind that most retirement income is still taxed like regular work-based income, so you may be pocketing less than you're withdrawing from an IRA, for example. Again, you'll want to adjust your portfolio accordingly if you expect to need higher average returns. That said, there are some tax implications to consider.

Mutual Funds 246

Mutual Funds Legal Taxes Education 246

The Motley Fool

SEPTEMBER 4, 2023

The program could increase its revenue by increasing tax rates or raising the payroll income tax cap. Investors should build a portfolio of stocks, bonds, mutual funds, exchange-traded funds (ETFs), and other securities. There are a few different options to overcome the projected solvency issues.

Mutual Funds 246

Mutual Funds Exchange-Traded Funds Assets Taxes 246

Walkner Condon Financial Advisors

MAY 31, 2024

Breathe Easier Next Tax Season with These Planning Strategies Every year, most of us smile when we see April 15th in the rearview mirror. The completion of our tax returns being filed marks the beginning of a nine month period where we don’t need to think about funny acronyms and form numbers.

Taxes 105

Taxes Liabilities Mutual Funds Assets 105

The Motley Fool

MAY 28, 2024

Even for people at or over the age of 65, mutual fund company Vanguard reported that their clients' average 401(k) balance in 2022 stood at just a tad over $230,000. Last year's average contribution was on the order of 4.8%, according to mutual fund company and plan manager Fidelity. Over the past 15 years, 88% of U.S.

Mutual Funds 130

Mutual Funds Taxes Education Accounting 130

Integrity Financial Planning

NOVEMBER 7, 2022

Using a strategy called tax-loss harvesting, you can earn capital gains tax credits on your investment losses. What is Tax-Loss Harvesting? This strategy is when you sell stocks, mutual funds, exchange-traded funds (ETFs), and other investments carrying a loss to offset gains from other investments sold.

Taxes 98

Taxes Mutual Funds Exchange-Traded Funds Investing 98

The Motley Fool

JULY 9, 2024

The longer your investments have to grow, the bigger your returns will generally be. While stock market performance and interest rates on CDs can vary (and past performance is never an indicator of future returns), over time, those investments typically grow in value. Now, how do you make sure you hit that 4% return rate?

Mutual Funds 130

Mutual Funds Banks Taxes Accounting 130

The Motley Fool

JULY 14, 2024

Here's how I plan to retire as a millionaire and pay no taxes. Once it's open, you can contribute up to $7,000 in 2024, and the amount typically stays the same or rises every tax year. The beauty of that is you don't pay taxes on your distributions in retirement. So let's walk through this together.

Exchange-Traded Funds 189

Exchange-Traded Funds Mutual Funds Taxes Accounting 189

The Motley Fool

NOVEMBER 15, 2024

I'll still be paying FICA taxes on this income, after all. But, the effective rate of return on your contributions to the Social Security fund is usually in line with the average U.S. Treasury yield. This puts them in a ballpark ranging anywhere from 2% to 5%, depending on the year. What works for me might not work for you.

Mutual Funds 246

Mutual Funds Taxes Banks Funds 246

The Motley Fool

MAY 18, 2024

The average 401(k) balance for retirees age 65 and older The data comes from mutual fund giant and retirement plan manager Vanguard. Just know there are rules about what sort of IRA you can contribute to in any given year and whether or not those contributions are tax-deductible. But how much more? It depends.

Mutual Funds 246

Mutual Funds Accounting Taxes Funds 246

The Motley Fool

JANUARY 8, 2024

For example, a fund that tracks the S&P 500 gives you a very small piece of the top 500 U.S. Over the past 30 years, the S&P 500 has generated average annual returns of over 10%. However, let's assume you invested $1,000 in an S&P 500 index fund and earned a more conservative rate of 8%.

Investing 244

Investing Mutual Funds Exchange-Traded Funds Assets 244

The Motley Fool

MAY 13, 2024

They allow you to save for retirement, while also saving on taxes. Your contributions are tax-deductible, and you only pay taxes when you withdraw your money in retirement. Read more: unlock best-in-class perks with one of these brokerage accounts What kind of returns do IRAs offer? Just look at the 30-year growth.

Mutual Funds 130

Mutual Funds Taxes Accounting Funds 130

The Motley Fool

FEBRUARY 5, 2025

Instead, interval funds repurchase their shares from investors at prespecified intervals and in limited quantities. This restriction is generally in place due to the less liquid nature of the fund's investments and allows fund managers to pursue returns without having to manage daily redemptions. See the 10 stocks 2.

Mutual Funds 130

Mutual Funds Funds High Net Worth Individuals Hedge Funds 130