Qualified dividends and selling stock that was held for > one year get the capital gains treatment. (Most) everything else is taxed as ordinary income.
Capital Gains or Income? How Are Your Investments Taxed?
read more
Post Categories
Inflation is Quietly Decimating Your Savings. What to do about it
Inflation historically ranges from 2 – 3.5% and compounds over time, drastically reducing the purchasing power of your savings
Retiring Early? Withdraw from an IRA or 401K Without Penalty
Make early distributions from your retirement savings, via 401K separation from service (age 55+), substantially equal periodic payments, or a Roth ladder
Need More Money to Retire? Consider a Reverse Mortgage
Once you know the risks, a reverse mortgage may be a viable option to supplement your income and decrease the risk of running out of money during retirement
Rollover Revisited: Why Sticking With a 401K May Be Better
When changing jobs, should you rollover to a new employer’s 401K, or a rollover IRA instead? Pros and Cons.
Before You Cash Out an Inherited IRA, Review Better Options
Depending on your cash needs, you have several options for cashing out, or letting (most) of your inherited IRA grow free of taxes until you need it
Beyond Index Funds: Why Buy Actively Managed (Sometimes)
Choose an actively managed funds that aligns with your investing style, values, and risk tolerance. Use the tools provided by your financial institution to evaluate return, plus performance and risk measurements including alpha, beta, standard deviation, and Sharpe ratio.
12 Things to Consider When Choosing a New Locale to Retire
Will moving allow you to stretch your retirement dollar? Either a move within the United States or abroad?
Index Fund Investing for Beginners
Save for your long-term financial goals by investing in Stock and Bond Index funds, the easiest and most cost-effective way to invest
This information has been provided for educational purposes only and should not be considered financial advice. Any opinions expressed are my own and may not be appropriate in all cases. All efforts have been made to provide accurate information; however, mistakes happen, and laws change; information may not be accurate at the time you read this. Links are included for reference but should not be considered an implied endorsement of these organizations or their products. Please seek out a licensed professional for current advice specific to your situation.
Liz Baker, PhD
I’m an authority on investing, retirement, and taxes. I love research and applying it to real-world problems. Together, let’s find our paths to financial freedom.
