Month: August 2021

How does this work?: Create a 529 college savings plan account (New York has an excellent program) and set your child as the beneficiary.   You can make a lump-sum contribution of up to five times the annual gift tax exclusion (5 times $15,000 is $75,000 in 2021), elect to spread the gift evenly over five …

CAN YOU LEGALLY AVOID ESTATE AND INCOME TAXES? YES, WITH THE ASSETS IN A LEGACY 529 PLAN Read More »

TO DO’S: Create a new non-deductible traditional IRA account and in January 2022, contribute $7,000 attributed to the 2021 tax year and $7,000 to 2022.  Leave in cash. Convert this IRA to a Roth IRA as soon as practical thereafter (likely within a couple of weeks of funding).  Since you just contributed it, there will be …

CAN YOU TURN A $14,000 INVESTMENT INTO $73,000 OF TAX SAVINGS? MAYBE, HERE’S HOW: Read More »