Category Archives: Tax Related

Tax Comparison Chart – Link to 2018 Tax Estimator

In our continued pursuit of Tax Research and Planning ideas, we wanted to show you these items …

More on this in the coming Newsletter-

Here is a neat graphic comparing 18 and 17 Taxes

TAX Comparison 18 to 17 FINAL-TCJA-Filers-Chart

Broadly – the bottom line, across the board, taxes will be lower.

Favorite Detailed Tax Analyzer

After scrolling the net for a good tax estimator, we came back to our old favorite site, Dinkytown….

Here is our 2018 Dinkytown favorite 2018 Tax Estimator.

This link is to the more detailed version as there is a basic version that did not give us enough comfort in doing estimates….

Have a Great “Less Taxing” Day!

Happy Friday!

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

Clumping – A must given new tax laws … Friday

We are finally digging our teeth into the new tax laws … they are not 100% set in stone yet as there are many unanswered items… and likely IRS statements that will clarify and change items as the year progresses…

There is one item we are pretty confident-

Clumping of Expenses

We are going to speak at length on this over the year, so not to worry about being reminded…

The new standard deduction amount is $12k – Making for a hefty hurdle to itemize for married couples ($24k), especially with a NEW $10k SALT (State and Local Taxes) deduction limit…

Clumping TaxesAre your eyes glazed over yet? It’s ok, we will be digging deeper into this throughout the year ….

Drawing from IRA’s is also in play under the appropriate circumstances … look for more on this shortly as well…

Today is a Friday … and while a little heavier than our normal post for the weekend … it sets us up for what is to come on our tax talks… get out and have some fun … talk to you next week!

Oh… and for those wondering, the 13 year old had 9 matches total and won 6 – in some VERY HOT conditions… All good!

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

May 2018 Podcast Video, Financial Planning and Capital Market Update – By John Kvale

Hello and Welcome to our May 2018 Financial Planning and Capital Market Update!

If you are too busy to read, feel free to listen as we describe our post and thoughts in friendly podcast format.

May 2018 Video

Financial Planning Tip (s) –

Social Security Website and Items to check while you are perusing

In our Social Security related post here, we discuss the tons of new options for use as well as the fantastic updates the Social Security Administration has done with their website.

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The most important item to check if you are not already drawing Social Security is your credits… which can be done on this site… recall there is a possible time sunset of loosing your benefits if you do not have the Social Security Office notified, leading to a possible lower benefit.

New Tax Table and Rates – Personal

Here are the new tax tables… if they look complicated, well it is because they ARE !

Marginal-Tax-Rates-Chart-for-2018-1

Expect much more on this throughout the coming months as we dig DEEP into the actual rates and the planning techniques necessary to optimize our tax liability …. One Important five letter word…. CLUMP – more later on this!

Capital Market Comments

Interest Rate Yield Curve – Rates – Inverted Yield Curve

Bottom line, at its most basic level the yield curve should go upward and outward just as our home made chart below (the starting point for our discussion.)

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When it does completely the opposite or inverts, as seen below… a recession is just around the corner for as long as the eye can see!

2s 10s Spread W Recession sfredgraph

Expect a complete detailed video over the summer on this phenomenon … along with another review in the coming Newsletter… It can be boring info, not to worry … we will liven it up!

Have a Great Day – Talk to you at the end of June!

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

New 2018 Total Tax Rate Table – The big Enchilada – Trust Tax Rates – Basically Same

Partially a product of our two day seminar last week and in part from our commencement of planning for our 2018 tax planning, we wanted to present the following chart for our collective reference.

It is busy due to a fair amount of old tax laws remaining in place.

2018 Total Tax Table

Marginal-Tax-Rates-Chart-for-2018-1

Trust Tax Rates Basically the Same

Trust and Estate Kiddie Tax Rates

Be sure to funnel excess income overages from Trusts out of the Trust into a lower tax bracket if at all possible.

This is a fantastic starting place for our 2018 Tax Planning discussions.

Have a Great “2018 Tax Rate” Day!

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

Protesting that Property Tax – While your there double check your Homestead Exemption too…

Those in the Dallas area know it as DCAD or the Dallas County Appraisal District … the agency that assesses our home property values and then sends us the nice green paper page with the damage due later in the year…..

Property Tax Protest

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If you think your property value has been accessed too high … thereby making your property taxes too high, you may want to protest… Using DCAD or Dallas as an example, there are three different waves of property values accessments that go out at different times, each with different deadlines. (Only one per family, just three different mailings.)

Bottom line, check with the controlling agency in your area for details.

We have found success with these protests when the data is clearly inflated, however we have had more failures than success.

One last item, we have found the greatest success with in-person visits rather than hiring an outside firm, as long as the request is reasonable.

In many cases a mailing or an on-line protest may be a good idea… again check with your controlling agency for details.

Do some legwork by checking other homes of similar nature against yours… while you may think yours is over stated, if you find it understated against similar properties in the respective agency, you might think twice before protesting.

Homesteading Your Home

In the state of Texas and many other states (but not all) across the country, homesteading your home will give you a discount on your property taxes.  Check your individual state for this option and generally you will have had to reside in the home on January 1 of the current year to complete a homestead. Again, check your state, but you will likely have no disadvantage to homesteading your home and will likely only be able to homestead your primary residence.

Here is a good definition of Homesteading from Wikipedia – our biggest favored option is again the discount on our taxes-

Homestead exemption laws typically have four primary features:

1 Preventing the forced sale of a home to meet the demands of creditors, usually except mortgages, mechanics liens, or sales to pay property taxes

2 Providing the surviving spouse with shelter

3 Providing an exemption from property taxes on a home

4 Allowing a tax-exempt homeowner to vote on property tax increases to homeowners over the threshold, by bond or millage requests

For the purposes of statutes, a homestead is the one primary residence of a person, and no other exemption can be claimed on any other property anywhere, even outside the boundaries of the jurisdiction in which the exemption is claimed.

In some states, homestead protection is automatic. In many states, however, homeowners receive the protections of the law only if they file a claim for homestead exemption with the state.

Have a good “Less Property Tax” Day!

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

Property Tax Pre-View … Friday

We were putting the final touches on a Property Tax post, as the deadline is near for early receivers of tax notices in the Dallas Area … BUT we realized today is a ……..img_1056

With a couple of longer posts this week, we decided to let us all slide into the weekend on easy street. Just this once… kidding of course…

Our Weekend

A big local (thank goodness) tennis tournament for the 13 year old (seven of the next eight weekends include a tournament.) With a five match win streak including two victories (smaller tournaments) the family is excited.

Ahhh … but right now…. today …. Well it is a Friday …. late spring, heading into a soon to be pool opening month … enjoy your weekend and your day!

Talk to you next week!

John A. Kvale CFA, CFP

PS The office remodel is REAlly taking shape– more to come soon!

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

April 2018 Podcast Video, Financial Planning and Capital Market Update – By John Kvale

Hello and Welcome to our April 2018 Financial Planning and Capital Market Update!

If you are too busy to read, feel free to listen as we describe our post and thoughts in friendly podcast format.

April 2018 Video

Financial Planning Tip (s) –

With Tax season finally over, here we mentioned how it seemed to never end…but we digress…

It appears the Cyber Thieves are back at it again, and have a new technique involving Social Security. Here in our Social Cyber Post, we discuss just how they are doing this.Cyber Attack

Bottom line, if you see something suspicious, be sure to notify the appropriate agency.

Capital Market Comments

Early Discussions of the Interest Rate Yield Curve – Rates

This is going to be fun …. In the first of a multi-part series here, we discuss the basics of the yield curve.

Bottom line, at its most basic level the yield curve should go upward and outward just as our home made chart below (the starting point for our discussion.)

 

20180424_122733630_iOS

 

Have a Great Day! Talk to you at the end of May!

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