Tag Archives: taxes

August 2020 Podcast Video, Financial Planning and Capital Market Update – By John Kvale …

Hello and Welcome to our August 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!

August – 2020 Video (YouTube)

Financial Planning Tip  –

Mysterious Form 5498

In a luckily timed post (two showed up in the mailbox the same day of the reminder) here we discussed the extra late arriving Form 5498.

This is a confusing settle up form that requires not action other that to add to your tax file in order to avoid unnecessary taxes!

Fraud Wire Delay Reminder

In this post we remind those setting up new Wire/Linking instructions to financial accounts, especially non liked titled accounts to be careful and have patience.

Fraudsters are attempting to take advantage of the situation!

Capital Market Comments

Gone Too Far

You know us to be very positive – all through the many negatives that have occurred !

You also know we will call it like we see it!

Markets have officially gone too far and are ahead of themselves, expect bumps and no extra risk taking is warranted at this time – CAREFUL!

Have a Great August Update!

Talk to you at the end of September!

John A. Kvale CFA, CFP

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

Mysterious Tax Form Coming … The Extra Late Arriving Form 5498 !

During normal tax reporting years, just after the final push for regular Mid April filings is complete … along comes the late arriving Form 5498 in May …

This year with the extended regular filings, this mysterious tax form is making it’s way to us even later than normal!

Form 5498 – Who Get’s One and What it’s For

Form 5498 arriving any day now is the settle up for the IRS for most types of Rollovers …. it notifies the IRS that a distribution made in 2019 (yes way back in 2019) has been reinvested and is not taxable.

This form also notifies the IRS of other personal retirement plan contributions such as the SEP – Simplified Employee Pension Plan among others.

File it with you regular tax files but don’t worry that you have missed something… its for Uncle Sams use mostly!

Have a Great “Form 5498” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.

jkfinancialinc

street-cents

Tax Reminder Preview … Taxes Due Next Wednesday… Friday

They may have pushed tax due dates out… but the line in the sand still stands… and it is next Wednesday….

We are feeling the heat, which is excellent…so glad to help!Uncle Sam

On Monday a more direct reminder and details….

After two longer posts this week, we will leave your eyes less strained..haha

Ahhhh… today is a Friday, heading into a mid summer weekend…

Be Safe, Have a Good Friday, and a Super Weekend!

John A. Kvale CFA, CFP

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

Fast January, Tax Audit Pre-View, “AO” … Friday

Not sure about you guys, but in several conversations this week, as well as a few reflection times, it was super hard to believe January is almost gone… Wow!

Speaking of Fast January, how about already another Friday… with a short week and turn around travels next week, looks like we are in full stride….

Tax Time Commeth

Given the mailbox (and inbox) is likely beginning to fill with those pesky tax forms, we have a few neat stats on Tax/Audits/IRS reviews to share soon… We actually attempted to get them into the Q1 2020 Newsletter to no avail… a good problem (too much content) … We think you may find some of the statistics very interesting, but of course never push the gray when dealing with Uncle Sam!

Here is a Teaser:

TaxAudit 2018 stats

AO – Australian Open

Regular readers know sports … and especially Tennis (Australian Open) is big at the homestead…. between a 17 hour + time zone change and the 15 year old deciding to do 6 am — YES … 6 am tennis practice, the candle has been burning a bit at both ends…. maybe the reason for the Fast January… all good!

Ahhh….but as mentioned early, today is a Friday…maybe a Fast Friday in January, but still a Friday … enjoy your weekend and get ready for some fun Tax Facts Next Week!

Have a Great “Fast Friday” Day!

John A. Kvale CFA, CFP

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

A Much Forgotten But Fast Growing Expense Reminder: Personal Property Taxes!

With multiple inner circle friends and clients expressing fatigue at the escalating Property Tax bill… we set off to do some research. Our most interesting findings are when we feel like we are on an island, and no one else is discussing a subject …

With very little public information on the subject of Personal Property Taxes (think Home/Car) in just a step for steppers like fashion, we turned to our investment resources for some possible clarity –

It took us a lot longer than we thought to find sources that would connect the dots of the puzzle of escalating Property Taxes, but here is what we found!

Total US Property Tax Collections 1987 to Present

US State Local Property Taxes 1988 to 2018

Total Property Tax Percentage Change Year Over Year 1987 to 2018

US State and Local Property Tax Percentage Increase 1987 to 2018

The average annual increase since 1987 is 4.8%%  Why?

Case Shiller National Home Price Index 1987 to 2018

Case Shiller Average Home Price 1987 to 2019

Oh no ….

This is an annual 3.9% growth from 1987 to present –

So asset prices have increased at a 3.9% pace over the last 30 years but taxes at 4.8%?

May not seem like much, but over time IT IS….

3.9 V 4.8 House Growth Versus Tax Growth

We do not want you to think conspiracy or other… just be aware that tax rates are growing faster than assets rates…. oddly, per our Social Security Retirement discussion, wage growth is growing much faster than inflation…leading to a better standard of living, which tax rates are more correlated with…. additionally there are certain municipalities across the country that have struggling finances and are taking more aggressive measures to shore up the coffers.

Bottom line: Property Taxes are growing at a rate MUCH faster than our assets … if you are buying an asset, especially a house, keep an eye on the Property Tax Amount!

Have a Great “Tax Growth versus Asset Growth 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.
jkfinancialinc
street-cents

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

Tax Reform Act Update – Holiday Schedule Reminder

You may have noticed we have been stealth as it relates to the 48 hour old Tax Reform Act.

There have been many already speaking of the new tax law changes … with multiple last minute adjustments and it being one of the largest tax reforms in several decades, we want to get educated before discussing our thoughts in too much detail.

We do know that as of April 2018 the old laws will apply for 2017 settle up. In a “Lets not get the cart before the horse way!“, we will be speaking of both tax planning ideas over the next few months.

Holiday ScheduleHolidays christmas-3026690__340

Physically, we will be in and out over the holidays, including the week AFTER New Year’s due to a weird kids schedule this year.

Always tethered electronically, we will not be far!

Happy Holiday Season!

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

Q2 2017 Newsletter Podcast and Audio Review By John Kvale

Here are a few of the topics discussed in our new Podcast, Audio Video review.

  • David Cameron Speaks at length
  • University of Michigan Sentiment Indicators
  • Updated Price Earnings Multiple
  • Three Travel Tips to save you aggravation and time

Q2 2017 Newsletter Podcast and Video Review

 

Have a Great 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

 

Ever wonder why your Federal Income taxes are so tricky? 2017 Tax Rates…..Friday

As we close in on tax season there will be excitement (refunds) and disappointments (amounts due) …. as a side note it seems there are more of the latter than the former, but I digress.

Being HUGE proponents of tax planning and deep dive tax analysis, here are the tax rates we wade through to get the best possible result on your tax returns !

2017 Tax Rates

From our friend Michael Kitces…

img_0707

Have a super Less Taxing 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

 

 

Q1 2017 Newsletter Podcast and Audio Review By John Kvale

Here are just a few of the topics discussed in our new Podcast, Audio Video review. Due to the podcast format it is longer, but we think well worth the listen/view !

  • Taxes, Tax Deadlines, New Tax Dates, Tax Savings Ideas, Possible New Tax Rates
  • Economic Cycle Length
  • Interest Rates
  • Two cool Apps of the Quarter
  • 2016 Review
  • Managing your 401k, contribution reminders and matching stategies

Q1 2017 Newsletter Podcast and Video Review

Have a Great 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