Category Archives: Tax Related

Well Almost All 1099’s Posted Last Friday … 1099 R Waiver Last Year Reminder … Presidents Day Holiday Monday … Office Hours …

We were so confident that all 1099 ‘s dropped due to an internal email we received, that we sent our notice here on Monday …. Upon second reading and confirmation, a few stragglers did not post until yesterday the 11th ….

First Corrected ‘s will occur two weeks from the 11th or February 25th !

Just as a quick reminder, 1099 R’s are the form for IRA and other Qualified Distribution tax distribution reporting. Last year due to Covid, RMD’s and other mandatory distributions were NOT required…. so if we did not take an RMD, no reporting is coming our way!

Again, long tax year and many changes …just a confusion related reminder!

Presidents Day

Markets, Banks, Postal Services, most Government offices and our office will be closed on Monday…

Today, with kiddos getting out early, we will exit early for all the streets collective safety…

It’s cold and while many of our Northern friends are picking on us for a mid to low teen temperature reading, we do get the +100 degrees temp in the summer, making for hopeful less teen temps in the Winter…..

And all that know the area, you may not be surprised with the terrible 100 plus car pile up and casualties … Our prayers and best wishes sent!

Have a Great Friday, Stay Warm and Dry if the wish fits, look for some great information next week and …

Happy Presidents Day Weekend !

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



Consolidated Misc 1099’s Are Posted, Only One Week to First Corrected ‘s … Auto and Tech Collaboration Pre-View

As mentioned here, the all encompassing 1099 Misc Tax form posted to our Vaults last Friday afternoon … Expect good ole fashion paper versions to eventually make their way to our collective mailboxes…

We say eventually as the postal service is struggling with consistent delivery as mentioned here, and our continued experience as well. We actually received a Holiday Card last week that was post marked early December … not sure what happened, but it seems to continue.

Recall the 1099 Misc is a summary of all taxable investments, reported from all asset classes. Due to the multiple party reporting, there are frequently “Corrected” 1099 Misc forms as any one asset having a restatement mandates a completely new form.

Good News, next week will be our first Corrected Run and we should have a good idea of total correction quantities based on the first correction…. In years past we have had from almost everyone getting a correction, in which we ask everyone to hold off on filing until the next corrected run, to in most recent years only a handful of corrections, which gives us a soft green light to those ready to file sooner!

Auto Tech Collaboration Pre-View

Not sure if you have caught wind of this yet, but there has been a sudden partnering of Tech Companies with Auto manufacturers in somewhat hurried fashion …. We have taken note … the partnerships are occurring with heavy duty name brands and likewise Tech titans….

Look for more on this soon…. maybe later this week if we do not get another good Part II Capital Market Valuation chart…

Hope your team won last night…..

Have a Great “1099’s are here” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



Tax Forms Update – Fastest Availability In Vault, Correction Schedules, Friday

With 2019 Tax Filing being delayed, it seems like we just put taxes to bed in many cases and BOOM here we are again !

The good news, is we all have not had time to forget all the forms and filings that usually occur with a full year of rest (Hopefully – haha!)

On another good news note, we are happy to announce ALL of your tax forms will be available the second they are completed on line in each of our personal Vaults – YAA!

Tax Forms Update-

As of last night as this post was coming together, most 1099 R’s (Distribution reporting from Qualified/IRA/Retirement plans) were complete. This makes sense as they are straight forward, any funds withdrawn are reported and that is that…..

The 1099 Misc is a different story. Recall it houses a summary of EVERY taxable investment, interest, dividends, Gains and Losses, and your first born – kidding on the last one – seeing if you are with me!

But given the massive amount of information collected from tons of different parties it’s no surprise that there were only a handful of these available per last nights peek – Was actually surprised there were any!

The majority of them will be out in the next few business days!

But Wait – Don’t grab that electronic 1099 Misc from your Vault, toss it into your Tax Software and hit send, just yet- We ALMOST ALWAYS ask you to hold off until the first corrected statements occur….

For the year 2020 the First corrected 1099 Misc, is February 19, 2021

Certainly it is fine to get started on your taxes either by forwarding your information to your tax professional or entering this information into your software (here is the 1099 Misc Instructions from our Vendor), but again, don’t hit send or let your tax professional hit send until we get past the first corrected statements.

On February 19, if we only have a couple of corrected statements we will let you carry on … but occasionally we have had almost all clients receive corrected’s, in which we keep you in the stable until the second corrected round occurs.

We will keep you updated on all fronts !

It’s a Friday, Have a Good Day and Weekend ! (Short here because long up there!)

john A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



RMD (Required Minimum Distributions) Changed to Age 72 Reminder … Stimulus Payment Method Reminder … Friday!

Very late in 2019, which sometimes seems like an eternity ago, and with the waiving of mandatory distributions in 2020, due to several comments and questions this week we wanted to briefly remind folks.

RMD – Required Minimum Distributions Commence at age 72 Now!

This week we had several occasions to discuss and remind that as of December 2019 due to the Secure Act RMD’s (Required Minimum Distribution‘s) were moved up from age 70 1/2 to age 72. We will talk about this in much greater detail in our next quarter newsletter along with a more detailed post just directed at the RMD new age requirement and the various other items that were adjusted by the afore mentioned Secure Act!

Stimulus Payment Method Reminder

Also due to repeat conversations …always happy to have as you give us terrific content and others are certainly in the same situation … ok digressing… this week about the method of payment for the stimulus funds. As a reminder the IRS essentially issues us a rebate for the stimulus funds as such they’re using the banking instructions that they had on file for our 2019 tax return. If you had no banking instructions on file they will be mailing the stimulus.


OK sorry for being a little heavy on a rainy Friday .. here in Texas it’s been very overcast for almost a week which seems like a year this time of the year, but that’s OK enjoy your Friday … have a great weekend will talk to you next week!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



Where’s My Stimulus Check Link – BREAK IN- Possible Third Stimulus Information …. Friday, Reminder Monday Financial Institutions Closed, Early Day for Us Today!

The Appropriations Act of 2021, signed into law very late in December, as mentioned here, provided for a $600 per qualified person in your household, stimulus deposit.

With multiple data points of folks receiving their stimulus, most on January 4th or 5th of this month via ACH Deposit from the IRS, if you have not and were thinking you should…. read on!


Yesterday afternoon, the first crumbs of an outline of a third stimulus began hitting our screens. As mentioned in the original post (link above) there were some debate on a $600 or $2000 amount, with the afore mentioned $600 already being processed. The new stimulus plan, so far (not in law yet) calls for a $1400 amount, basically getting the total to the argued $2000 amount. Nothing iron clad yet, but since we were on he topic, thought we would give you a heads up….

Now back to our regularly scheduled Post!

Who and Where on the Stimulus Check

This stimulus deposit is being provided through the Internal Revenue Service office and as such they are using 2019 Tax Return information to send the stimulus. If you have had a change of bank account or other information since filing your 2019 US Tax Return there may be confusion on getting the funds to you.

Who is eligible for the second Economic Impact Payment?

Generally, U.S. citizens and resident aliens who are not eligible to be claimed as a dependent on someone else’s income tax return are eligible for this second payment.  Eligible individuals will automatically receive an Economic Impact Payment of up to $600 for individuals or $1,200 for married couples and up to $600 for each qualifying child.  Generally, if you have adjusted gross income for 2019 up to $75,000 for individuals and up to $150,000 for married couples filing joint returns and surviving spouses, you will receive the full amount of the second payment. For filers with income above those amounts, the payment amount is reduced.  (This from the IRS site)

Here is the link to the US Government tracking site:

Once open need to Click on “Get My Payment” Tab

Be very careful when opening this site to NOT allow your browser to jump to any other site than that associated with the IRS as you will be asked for confidential information!

Holiday Reminder

Monday, in honor of Martin Luther King (MLK), banks, Capital Markets and our offices will be closed. With kiddos hitting the ground via early release today, we will also be out of the office early in order to keep the streets safe (haha), but tethered electronically for emergency needs.

Have a Great Friday and Weekend!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



The Check is in the Mail! … Nope, the Checks are Being Lost – Strongly Consider Electronic Deposits – Tax Payments – Friday

“The Check is in the Mail!”

Remember that good ole saying?

Well, today we are finding it is just not true …. They are getting lost.

Maybe this is some type of continuation of the extreme slowness in money we saw back in December that we mentioned here.

We are getting multiple contacts from all different parts of the country and the tax system, that payments to the IRS via good old fashion check are not getting there, and in some cases are 2 to 3 months delayed.

For those needing to Pay Q 4 ES 2020 payments next week ….

We should all strongly consider making direct deposits to the federal government via the website and for those paying in taxes to their state directly to your individual state  … make draws from your respective asset accounts directly to the state rather than trying to mail checks.

Between trouble with the postal system, new stimulus checks being issued by the IRS, and just a likely backlog due to remote workers .. the days of mailing the check the night of the due date may be in the past for our collective safety.

Preview – Friday

Next week we will take on some new tax facts and the stimulus check associated with the stimulus plan … items that you may need to know and can share with others too….

Ahhhhh…. but today is a Friday, enjoy your day and your weekend!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



PPP – Paycheck Protection Program Part II, What You Need to Know!

As mentioned last week here in this announcement post, in brevity form, due to the Holidays near the end of the year, an additional stimulus act, was actually signed into law on a weekend (Sunday December 27th, 2020 to be exact)

This new stimulus bill called “The Appropriations Act of 2021” is a massive over 5000 page document, that touches many parts of the economy but most importantly for us … made a second round of PPP II, Paycheck Protection Program funds available.

25% Any Quarter Y/Y Sales Decrease, PPP I before PPP II

The two most important points to know about the second round of the paycheck protection program are as follows:

  1. In order to receive a second round of PPP payments you must have had a 25% decrease in sales in any one quarter in year 2020 versus the same quarter in 2019.
  2. The second most important item to know, is in order to have qualified to take the second round of the PPP II, program you must have taken the first round and used it. If you have not taken the first round you will be forced into taking the first round PPP I before you can get to the second round.

Tax Deduction Clarity

The massive page bill also clarified the ability to write off the loan for tax purposes. Said another way even though the loan is forgiven, as long as the loan was used appropriately, entities will be able to write those expenses off of their taxes effectively making what some call a double dip possible, which was congress’s original intention, but became confused by several IRS statements.

Employee Headcount, Max Loan, Looser Usage

A few other miscellaneous items include lowering of the threshold from 500 to 300 employees, limiting the maximum amount of the forgivable loan to a maximum of $2 million versus the higher amount in the original program, and more flexible spending options versus the mandatory 75% payroll usage in PPP I.

$150k Easy File Forgiveness Threshold

One last item included in the bill was a threshold of a basically $150K for non-invasive forgiveness. What that means if someone had taken the PPP loan of $150K or less, in either part one or part two you were basically have a simple one page document where are you certified you use the funds appropriately and the entity which you receive the loan is not to request any further documents. This does not mean that the small business Association cannot audit in the future but is meant to make the forgiveness program fluid and easy. Think twice of initiating any loan just over the $150k hurdle as the hassle may not be worth the extra funds.

Have a Great “PPP II Updated” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



December 2020 Financial Planning and Capital Market Review – Goodbye Year – Hello 2021 By John Kvale

Hello and Welcome to our December 2020 (yes the final review of 2020!) 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 audio format as well as Video!

Newbies –

We like to articulate our thoughts and review on a Monthly basis our Financial Planning Tips, Capital Markets and current events!

Hope you enjoy!

December 2020 Video – Final of Year


Financial Planning Tips

Retirement Levels and Contribution Amounts

In our post here, we review the coming 2021 Retirement levels of contributions and max amounts….

With the most popular highlighted and also matching the catch-up amounts, there are a few changes, but for the most part much of the same from last year 2020 !

Money Begins Moving at a Snails Pace

Oddly, something we had not experienced before…. early in the Month of December, as mentioned here in our Warning Post — money slowed to a trickle pace…

While not sure if this was a result of remote workers, last minute movements, procrastination or a combination of all, money slowed alarmingly…. So much so that we have marked our calendars for an earlier start to year end “Stuff” for 2021 !

Thankfully we are happy to announce, we made it through with not too terrible of delays… but got me once, shame on you …. you know the rest !

Capital Market Comments

Why Price is So Important

In a carefully chosen extreme example, meant to remind but not alarm, in this rewind/remember 1999 post of what can happen if price is not remembered, we show the length a badly timed “all in” purchase – again carefully chosen can take almost two decades to get back to even…

“Price is what you pay, value is what you get!”

Final Thoughts As Year Ends

As the year wound down, we shared a collection of points that we hope made you chuckle but also had some serious items as well…. here in this post. If you missed it … worth your time!

There you have it, so long 2020 – That is your December, final for the year review.

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



PPP (Paycheck Protection Plan) Part II, One Especially Time Sensitive Item – Stimulus Checks Repeat … Overview…

Being off, and promising a lighter than normal posting during the holidays was interrupted by the signing of Part II of the Cares Act Sunday, December 27, 2020 …. AKA Appropriations Act of 2021 (all 5593 pages here!)

Given the time of year we will keep this high-level and will expand in great detail shortly, but wanted to give you a couple important bullet points that may be very refreshing, and one call to action should you have not used PPP Part I but want either PPP Part I or II (Your window for both may be closing fast!)

Part II of the Cares Act – AKA Appropriations Act of 2021

PPP Part II has basically the same guidelines for the vast majority of folks in total amount, BUT with a qualifying hurdle to get PPP Part II threshold of having any one quarter of revenues/sales in 2020 being down 25% from 2019.

To clarify, if you as a business owner had only 75% sales revenue in any (just one) quarter versus that same quarter in 2019 you will qualify for PPP Part II.

What follows is most time sensitive, while we do not know anyone in this situation, you guys may and please share if you do.

If you or someone you know did not get PPP Part I  but want PPP I OR II, they need to apply for Part I first … and there is a very limited pool of money. It is not possible to get PPP Part II without first getting PPP Part I. With a very limited pool of money for PPP Part I, it is possible that it may run out in short order, discrediting someone from getting PPP Part I and II …again please share at your leisure.

PPP is Forgivable and Tax Deductible for Appropriate Expenses

Some really good news on the tax front. This latest act clarified that businesses will be able to expense their loan proceeds along with forgiveness. Said another way, the loan will be forgiven if used appropriately, and the use of that loan will be allowed to flow through the Income Statement effectively allowing what Congress had originally intended, a double dip use of the money, forgiveness and tax deductions for appropriately used funds.

Stimulus checks – Break In – $600 Seems to be the Number but No Promises!

The most important thing to know from a high-level is if your income didn’t change much and you received a stimulus check earlier this year, it’s likely you will receive another.

The amount of the stimulus check is $600 (or $2000 – becoming more unlikely) and includes all parties including qualified children. As an example a husband and wife with two qualifying children would start out with four checks of $600 or $2400.

The phase outs are very similar, if not almost the exact same as the prior. Which goes to our original statement, if not much has changed and you received an original stimulus check you will probably receive another one but only around the most likely base amount of $600 per person amount.

BREAK IN – Literally as I was Working on this Post – The following hit my Inbox:

Treasury and IRS Begin Delivering the Second Round of Economic Impact Payments to Millions of Americans

WASHINGTON – Today, the Treasury Department and the Internal Revenue Service will begin delivering a second round of Economic Impact Payments to millions of Americans as part of the implementation of the Coronavirus Response and Relief Supplemental Appropriations Act of 2021.  The initial direct deposit payments may begin arriving as early as tonight for some and will continue into next week.  Paper checks will begin to be mailed tomorrow, Wednesday, December 30. This second round of payments will provide critical economic support to those who, through no fault of their own, have been adversely impacted by the COVID-19 pandemic.

“Treasury and the IRS are working with unprecedented speed to issue a second round of Economic Impact Payments to eligible Americans and their families,” said Secretary Steven T. Mnuchin. “These payments are an integral part of our commitment to providing vital additional economic relief to the American people during this unprecedented time.”

Eligible individuals will receive an Economic Impact Payment of up to $600 for individuals or $1200 for married couples and up to $600 for each qualifying child. Generally, if you have adjusted gross income for 2019 up to $75,000 for individuals and up to $150,000 for married couples filing joint returns and surviving spouses, you will receive the full amount of the second payment.  For filers with income above those amounts, the payment amount is reduced. 

This second round of payments will be distributed automatically, with no action required for eligible individuals.  If additional legislation is enacted to provide for an increased amount, Economic Impact Payments that have been issued will be topped up as quickly as possible.

The swift issuance of this second round of payments follows the successful delivery of more than $270 billion in CARES Act Economic Impact Payments earlier this year, providing crucial economic support to nearly 160 million Americans.

Later this week, you may check the status of your payment at  For more information about Economic Impact Payments, please visit

This email was from about 5PM Tuesday evening December 29th …. reading todays news just before this post in the AM today, it is still not 100% what amount is going to be sent. Just FYI

Now back to our regularly scheduled Post!

Again we will expand on this in the coming weeks, but primarily wanted to deliver the message about the PPP Part I and PPP Part II scenario.

We apologize for interrupting your holiday season, but felt this was important enough to quickly alert and maybe share some good news to many on the Tax Write Off Front and call to action those that passed on PPP I and may want it or PPP II now!

Have a Great New Year’s … Thanks for your time!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



Q1 2021 J.K. Financial, Inc. Newsletter … Video Audio Podcast Review – Reminders, Updates, New Tax Rates, By John Kvale

Welcome to our Video and Audio Podcast Review of our Q1 2021 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.

In this start to a new year, we update the pictures on the Video and also the entry and exit music. Our editor actually greatly adjusted the colors and fonts of the Newsletter this year, which we really liked as well.

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

This Newsletter is chocked full of reminders from events and experiences we had with you in the field last year the would be helpful looking forward into 2021!

J.K. Financial q 1 2021 newsletter

Let’s get going! We hope you enjoy!

Q 1 2021 Newsletter


The Homestead Reminder

With a very large number of moves in 2020 …. much greater than we can ever recall, in this Article we remind of the Homestead.

In the year 2020 we have had more change of residences than we can ever recall over the past three decades. As a reminder, and using Texas as a template, if you live in your home on January 1 you can do what is called a homestead tax exemption. Once again through the lens of Texas, this is a particularly good tax savings exemption that everyone should do if you live in Texas. 

Q 1 2021 J.K. Financial, Inc. Newsletter Lead Financial Planning Article

And just a bit more description from the same Article …

From – a fantastic non-profit resource we use frequently – again only for Texas residences, those living in other states may want to check for a similar organization. 

What property qualifies as a “homestead?” 

A “homestead” is a house or other residential structure that you own, together with up to 20 acres where the structure sits if the land is used for residential purposes. A manufactured home on a rented lot qualifies as long as you own the home. Manufactured homes must meet additional requirements for a “Statement of Ownership and Location,” but if you did not receive the paperwork from the prior owner and cannot locate the seller after making a good faith effort, you can submit the affidavit in Form 114-A. 

Estate Planning Tops Our Minds

It was literally a race for the greatest increase over normal years, for folks moving to a new residence (per above) or reviewing and updating their Estate Plans.

Has Anything Changed Since My Documents Were Written? 

Just because five, seven or even ten years have transpired does not mean that you automatically need to update your documents.  If everything looks right, and things have not changed then those documents are likely just fine. 

On the other side of the equation if things have changed in the past twelve months (or even less) that would make your documents incorrect, you likely need to do an update so your directives are appropriate. 

Q 1 2021 J.K. Financial, Inc. Newsletter Second Lead Financial Planning Article

If we are not in possession of a copy, please send to us or upload to your Vault as we keep things safe and most importantly FOREVER!

Q 4 2020 ES Reminder – The Safe Harbor

Mid-month, January 15, 2022 to be exact is the final due date for Quarterly Tax Payments ( Q 4 2020 ES Tax Payments.) With a pushed out ordinary filing date due, it seems like to many we just filed last year’s taxes (2019), and here we are already rushed to complete 2020. Hence the reminder. 

Here is what is looks like


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Here is the link to Publication 505 for 2020 ( which gives you full instructions on how to file. Here is the link to Form 1040 ES Publication for 2020 ( which contains the final voucher. 

The Safe Harbor

Lastly, if you are in a situation where you tax bill may be dramatically different from the prior year, in this case 2019, consider trueing up your 2020 taxes to at least 110% of year 2019 total Federal tax withholding.  To help avert any penalties or interest.

Retirement Contribution Levels and Medicare IRMA Amounts

While we have posted these levels earlier here, and we know the formatting was a bit wonky, we wanted to review them again directly from the Newsletter.

Here are last years most common levels along with whats up for 2021 – mostly unchanged

IRMA – Income Related Monthly Adjustment Amount – Medicare Part B Surcharge 

 If your modified adjusted gross income is above a certain amount, you may pay an Income Related Monthly Adjustment Amount (IRMAA). Medicare uses the modified adjusted gross income reported on your IRS tax return from 2 years ago. This is the most recent tax return information provided to Social Security by the IRS. “ 

Here are the 2021 limits and adjustments: 

We hope you enjoy … talk to you Next Quarter – Happy 2021 !!!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.