Tag Archives: Phase Out

Why we like HSA accounts? (Part 1)

There are fewer tax favorable investments and write-offs/pre-tax investments today as the tax code has become stricter and some of the favorable stimulus tax savings have sunset.

One of our favorites tax savers DOES still exist!

HSA Accounts

A Health Saving Account (HSA) is available to individuals and families who have a high-deductible health insurance plan. Not sure if you do, the safest, easiest way to find out is to make a call to your Health Insurance provider as they will know instantly.

Contributions to a HSA are pre-tax and grow tax deferred until use. Best of all, no matter your income, HSA contributions are not phased out or lost at higher income levels.

This from HSA Bank, one of our favorite providers (more on this in Part 2)


You can even make a 2016 contribution in year 2017, similar to an IRA, however the record keeping is challenging and we prefer correct year/non-delayed HSA funding.

In addition to these limitations, you cannot fund an HSA account once you have Medicare coverage! But you can still use these pre-tax funded dollars for qualified medical expenses ….
OR save them for future use ….To be continued….

Have a Great TAX SAVINGS day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.



Year End Tax Tips – Clumping or Pushing Property Taxes

From now until near the end of the year we will be highlighting very special tax tips to help maximize your tax savings. Property Tax

Here is the first in a special tax savings series heading into year-end.

Clumping Your Property Taxes

If you have limited deductions, review your property taxes and see if it makes sense to clump two years into one

If you have been using standard deductions (not itemizing) see if clumping two property tax payments into one year will get you over the standard deduction – if it does, any extra dollars over your standard deduction will be a tax savings you otherwise would not have received.

Pushing Your Property Taxes Out a Year

If you have had a super year and may face a phase out in deductions due to a high income this year (at certain income levels you lose your deductions) you may want to consider pushing your property taxes into another year. If your deductions are partially or completely phased out, you may receive minimal tax benefit with ANY deductions.

There are a lot of moving parts in these situations, if you have a question give us a call — these are certainly not a recommendation to do either without further review.

Have a Great Tax Savings Wednesday!

John A. Kvale CFA, CFP

8222 Douglas Ave # 590
Dallas, TX 75225




A Subtle Tax Increase, “The Phase Out”

Each year as we arrive in the latter stages of tax season, we are hit with a theme of the year. While the disruptive cost basis transition continues, this year has it’s own unique theme.

Phase Outs, Subtle Tax IncreasesIncome Tax

This tax season we are spying a new sneaky theme that first slowly came into sights last year, but is more prominent this year, The Phase Out. A phase out is the loss of a deduction or at least a partial loss. This year we are seeing slightly higher taxes through not an increase of our tax rates, but a lowering of some of our deductions, aka the phase out.

If you are seeing a deduction you have normally taken in years past become partially unavailable, or restricted in some way, check it twice, but most likely you are seeing a Phase Out, a not so subtle tax increase if it has you in it’s crosshairs.

Have a Great Day!

John A. Kvale CFA, CFP

8222 Douglas Ave # 590
Dallas, TX 75225