Personal Finance Articles

The extension of the so-called Bush tax cuts through 2012 means you may still qualify for the 0% federal income tax rate on long-term capital gains and dividends. This low rate applies to long-term capital gains and qualified dividends that would otherwise fall within the bottom two federal income-tax brackets, which are 10% and 15%. [...]

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Most Americans who die in 2011 or 2012 won’t be exposed to the federal estate tax, thanks to the $5 million federal estate tax exemption – but you may still need an estate plan in the form of a will and possibly even a living trust. One goal of estate planning is avoiding probate, a [...]

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Declining property values and changes in tax rules mean it may be a good time to transfer property to your heirs by using a qualified personal residence trust (QPRT). With a QPRT, you create a trust and transfer your home into it. In doing so, you reserve the right to live in your home for [...]

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Has index evolution led to index pollution? The 1976 launch of the Vanguard 500 Index Fund created an entirely new philosophy of investing – holding all the stocks in the market instead of trying to pick potential winners. The concept of indexing is certainly simple. Instead of trying to beat the market, you try to [...]

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Historically, gold has been considered a “safe haven” in times of economic and geopolitical instability as well as inflationary environments – meaning it might be an option to consider today. Gold’s greatest potential advantage may be its tendency to perform differently from other assets. As a result, it can help diversify a portfolio of traditional [...]

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Self-employment tax is frequently the largest component of tax liability for someone engaged in a trade or business. In fact, this tax is owed on business profit even when no regular income tax is due. Self-employment tax is paid in addition to any regular income tax assessment. Self-employment tax refers to taxes for Social Security [...]

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If you are trying to live off your investments, you may be struggling right now. That’s because interest rates are lower than they have been in years and the prices of many household items are rising. What can you do if you need income? Following are three options to think about: Blue-Chip Stocks: Many large, [...]

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Almost 44 million Americans care for someone 50 years or older, spending about $5,500 a year providing that care. If you’re one of them, you may be entitled to a tax break by claiming the care recipient as a dependent on your tax return. However, there are some eligibility requirements: The recipient must be either [...]

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The municipal bond market has confronted turmoil in recent months. The turmoil, however, is primarily the result of fear, which means it may not be necessary to avoid municipal bonds altogether. Many states are dealing with severe budget shortfalls, raising concerns that they may not be able to meet their obligations to bondholders. One investment [...]

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Tax time is here again. But there are some 2010 rule changes to keep in mind. Following are some of the items: The due date is April 18. Income tax returns for individual calendar-year taxpayers are normally due by April 15, but that date is a holiday in the District of Columbia. You can extend [...]

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