Nobel Prize-winning psychologist Daniel Kahneman demonstrated this with his loss aversion theory, showing that people feel the pain of losing money more than they enjoy gains. The natural instinct is to flee the market when it starts to plummet, just as greed prompts people to jump back in when stocks are skyrocketing. Both can have negative impacts.
For young families, the immediate cost of raising a child can be testing financially. Just when you thought you were in the clear from student loan repayments and your never-ending car lease, a hungry mouth appears with countless sleepless nights and a hefty price tag attached. But diapers, baby formula, and stuffed toys aren’t the only financial burdens parents should worry about.
Has a dog or cat grabbed hold of your heart? It doesn’t take much. A paw on the arm. A lick on the nose, or a soft purr or whimper can turn most of us into dog or cat parents in minutes. With animal shelters across the U.S. frequently at their max, there are a record number of dogs and cats available for adoption. Of course, there are also those that are looking for a particular breed, and are willing to spend hundreds, if not thousands of dollars when they find it.
Congratulations Newlyweds! Your fresh union symbolizes a new beginning facing the world. But before the glow of wedded bliss wears, it’s crucial to talk about finances. Let’s be straight, financial talks should be had well before the ring, but did you know that “68 percent of engaged couples surveyed held a negative attitude about discussing money with their fiancé.1”
By Matt Ahrens, CIMA® and Scott Schaeffer
Qualified Charitable Distributions
A Qualified Charitable Distribution, or “QCD” is a direct transfer of funds from your IRA custodian, payable to a qualified charity. QCDs can be counted toward satisfying your required minimum distributions (RMDs) for the year so long as certain rules are met.
There are many ways that we support our favorite charitable causes. However, one of the most beneficial ways to support a favorite charity now and into perpetuity is through planned giving.
Almost any large nonprofit organization has a planned giving department that will guide you through the maze of giving options available. While planned giving can be very beneficial – and profitable for organizations, it’s also an effective way for you to realize significant tax benefits, have income provided, and be assured that the organization or charity that you’ve supported for years will continue to be provided for in the future.
By Tony Moeller, CPA
Historically, November has been one of the best months for stocks and begins the major averages’ best half-year (November through April) per the Stock Trader’s Almanac.
Currently, the two biggest headwinds facing investors are the impeachment hearings and trade negotiations with China. The market has shrugged off the impeachment hearings, while there is more anxiety associated with a China trade deal. The Federal Reserve is not intent on further interest rate decreases, unless it sees a slowdown and/or threats to the economy, in which case it would cut rates to help stabilize the economy.