Recent Articles from Wayne Farlow
The two-year tax reprieve
If you are considering retirement and have an ownership position in your business worth $250,000 or more, the two year extension of the “Bush tax cuts” could provide an opportunity for significant tax savings. For the next two years, long term capital gains and qualified dividends will be taxed at a maximum rate of 15 […]
Invest in your health
The Patient Protection and Affordable Care Act (PPACA) has altered much of the traditional health insurance landscape. One health insurance plan that has remained virtually unchanged is the High Deductible Health Plan (HDHP), which can be combined with a Health Savings Account (HSA.) The only modifications that PPACA made to HSAs were to: 1. Restrict […]
Celebrate abundance—financial and otherwise
For me, Thanksgiving is a time to express gratitude for my many blessings and to celebrate abundance. It is also a time to reflect upon the seventh step in the Seven Steps Toward Financial Abundance, “Have Faith in Your Continued Financial Abundance.” In these times of high unemployment, investment uncertainty, political turmoil and international tensions, […]
The myth of low inflation
The Federal Reserve continues to fret over low inflation rates and how this could lead to deflation. While the Fed claims that we have virtually no inflation, my recent personal experience has been just the opposite. The cost of living, especially the cost of food, energy and health care, appears to be rising at rates […]
Inflation, deflation—how about MEflation?
Lately, there has been considerable press about how the US is on the precipice of deflation, where prices, wages and asset values decline. However, with food and energy prices rising and health care costs continuing to increase, it is hard to see any deflation. Recently, an economist explained this apparent paradox in a manner that […]
How to live with a sense of financial abundance
Do financial concerns ever keep you awake at night? Are financial issues putting stress on your marriage? Do you live in fear of financial scarcity? If any of these apply, your personal finances may be controlling your life. People often believe that financial abundance means having more money. I have met many people, with lower […]
New taxes on the horizon
The health care bill, enacted in March, includes two new Medicare taxes on the “wealthy.” While you may not consider yourself wealthy, there is a reasonable chance that you may have the opportunity to pay one or both of these taxes. Let’s examine these new Medicare taxes to determine if they might be part of […]
Managing portfolio risk
If you are a business owner or work for a public corporation, a significant amount of your net worth may be in the form of your ownership in the company. You may be taking on significantly more investment risk than you have intended. Let’s look at some ways to minimize the risk associated with this […]
Eight essential steps to avoiding investment pitfalls
I have found that some of the commonly accepted investment “advice” can be misleading, creating potential pitfalls for investors. Some of this misleading “expert advice” comes from such respected journals as Money Magazine or the Wall Street Journal. Let’s look at some ways to avoid the more common investment pitfalls. 1. Always differentiate between investing [&helli[...]
The number 16—with 11 zeros behind it
The Congressional Budget Office recently projected the federal budget deficit for fiscal year 2010 to be $1.6 trillion. Many economists and financial experts in our federal government have told us that a $1.6 trillion deficit is required to re-stimulate our economy. They claim that this deficit is not a problem that should concern us. I […]
The Social Security mulligan
For golfers, a mulligan is a “do-over,” typically of your drive on the first hole. However, even the most avid golfer may not know that a mulligan is also available for your Social Security benefits. If you are already collecting Social Security benefits or years away from collecting your benefits, knowledge of the Social Security […]
Small business owners—read this!
A recent Wall Street Journal article stated that with unemployment hovering at 10 percent, about 20-23 percent of all US workers are now self-employed. If you have self-employment income or own a small company, it is important to be aware of the tax saving options available through retirement plans. We will consider four retirement plan […]