Here is our October 2016, Financial Planning Tip (S) and Monthly Economic Review, along with a Video for your viewing and listening pleasure. Hope you enjoy!
October 2016 Video
Financial Planning Tip(s) –
Charitable Giving from An IRA
Yes we CAN finally donate funds from an IRA, as our post reminds, as long as we meet the following requirements:
- Already be age 70 ½ on the date of distribution
- Submit a distribution form to the IRA custodian, requesting that the check be made payable directly to the charity
- Ensure that no tax withholding is being done
- Send the check directly to the charity, or to the IRA owner to be forwarded along to the charity
Tricks for Getting Health Insurance
Here are a few great ideas we have learned over the years, as mentioned here for getting Health Coverage:
- Stay on your significant others coverage as long as possible–
- Be a member of a select group-
- Create a Group–
- Six month Cobra Extension–
- Employer Qualified Long Term Benefits–
- Military Members –
Cool College Review Information
Our somewhat humorous, but handy review of Princeton College Ranking Review. Some good and others, well maybe you would rather not be a part.
Economic Update
Banks are Lending
On the far right…. look at that money dripping out of the banks and into the US Economy….
Speaking of Economy, how about this NICE GDP (Gross Domestic Production) release- Far right graph bar rising… THAT’s GOOD!
Have a Great Day!
See you next month !
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
Rates Rise and No One Blinked, Report Cover Letter
The once dreaded and feared interest rate raise seems to have run its course from a fear standpoint. Just a few quarters ago when Ben Bernanke was the Federal Open Market Committee (FOMC) chairperson, the whisper of a long-awaited rate hike lead to market calamity and many to believe rates would be permanently artificially low.
Near the end of this most recent quarter, current FOMC chair Janet Yellen raised rates to the 1% level, a level not seen in almost a decade and without much capital market trepidation. Longer term the short-term interest rate controlled by the FOMC may not go all the way back to the higher levels once seen historically, however a 2-3% rate would still be stimulating from our perch. It is possible the gradual move higher will extend this current economic expansion.
Speaking of rates, in our Q3 2017 Quarterly Newsletter we do a complete deep dive on interest rates, among many other items, that may have changed Residential Housing Prices movement for the foreseeable future. While so many argue of reasons for Housing volatility, the answers are less vivid than many may think.
Continued optimism from company executives seems to have given them confidence to expand their businesses dropping the unemployment rate to levels many thought not possible via hiring’s of workers. It is possible an employed consumer is a happy consumer who is also a consumer who spends more. With consumer spending making up over two thirds of Gross Domestic Production (GDP) this bodes well for domestic and world growth, as long as it continues.
Given low but rising interest rates (finally) a happy higher price valued Home Owner (again full details in the Newsletter), a happily employed consumer, it is no wonder many assets and most capital assets, especially the US markets are priced to perfection (high compared to historical values). The fantastic news is that our overseas counterpart capital markets are not priced as high and it looks like investors are finally beginning to warm to their markets. Our good friend diversification keeps us exposed to these markets as the possibly reawakening occurs. Look for more on this on our street-cents.com blog.
Summer doldrums?
Maybe, but we always keep our guards up as risk can happen fast, even if the less tenured folks are at the wheel of the capital markets.
Have a Great Summer!
John A. Kvale CFA, CFP
Q 2 2017 Cover Letter
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
Share this:
Like this:
Leave a comment
Posted in Interest Rates, Investing/Financial Planning, Market Comments, Performance Report Cover Letter, Political
Tagged GDP, Q 2 2017 Cover Letter, Rates