Welcome to our Video and Audio Podcast Review of our Q3 2024 Newsletter. For those on the road or just unable to grab the time to read, our podcast type review gives you the behind the scenes insight to our thoughts, observations and deep views of the entire Newsletter.
Click the Download button below, for a direct link to an electronic version (an early peek-good ole fashion paper versions are on their way to you shortly) and here for our Newsletter page
Let’s get going! We hope you enjoy!
Q3 2024 Newsletter
(YouTube)
Never Mind for Post Year 2020 BENEFICIARY RMD’s – Still Empty in 10 Years
BENEFICARY – Not Spousal Inherited IRA’s do not have to take an annual RMD this year (2024) but the account MUST be completely emptied within a decade. With the decade clock ticking no matter the “on and off” annual rule changes by the IRS, we continue to make distributions in low-income years to help prevent a large tax bill near the end of the decade timeline. The RMD waiver can be handy, but only pushes the obligation out. It is better to pay a little tax along the way rather than a large and higher bracketed bill all at once.
Tug of War – Capital Market Comments
For the first time most of the developed nations pushed funds in the form of stimulus directly to consumers in greater quantity, longer length, and in larger reach than had ever occurred before.
To say it was a success would be an understatement. Not only was the slowdown/recession one of the shallowest ever in history for most countries, in hindsight, it worked so well, inflation, a long wanted but long-lost economic event occurred, with much greater magnitude than ever expected – a subject for another time – but the far right of the chart is not going to the 2% stated goal level so far
Take special note of the 2022 and 2023 acceleration in spending levels, much unlike the prior recovery period of 2013-2015 – the clearing after the prior great financial recession. This is the fiscal stimulus that continued, much differently from prior cycles and the “ah ha” moment of why the economy did not act as it usually does during an increase of interest rates.
This spending, as shown in the next chart, showed up in the form of Government hiring. Another Ah, ha moment, as the labor force, with employers scared from a shortage of workers and with extra sources of hiring, remained resilient, unlike prior cycles.
Talk to you in the Fall!
John A. Kvale CFA, CFP
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
www.jkfinancialinc.com
www.street-cents.com
