I’m sure everyone is well aware by now that inflation hit a 40-year high of 9.1% earlier this year. In the past few months, this has decreased but is still sitting at 7.1% according to the November report released by the U.S. Bureau of Labor Statistics. Now, what does this have to do with Social Security benefits? Well, the Social Security Administration (SSA) uses cost-of-living adjustments (COLA) to offset inflation. Back in October, the SSA announced that the COLA for 2

In 2023, retirement accounts will get a much-needed cost-of-living adjustment as inflation continues to rise. For most, this means you will be allowed to contribute more money to your work based 401(k) plan or an IRA. See below for a comparison of 2022 contribution limits and the new limits for 2023. 2022 Contribution Limits · 401(k), Thrift Savings Plan, 457 Plans, and 403(b) o $20,500 · Catch-up limits for 401(k), Thrift Savings Plan, 457 Plans, and 403(b)

As we approach the end of the year, one important tax minimization strategy is through charitable donations. In 2021, special rules allowed taxpayers to deduct up to $300 for single filers and $600 for joint filers without having to go through the trouble of itemizing deductions. Congress allowed that rule to expire and the rules have returned to normal, itemization on Schedule A. For 2022, you are allowed to contribute cash donations up to 60% of your Adjusted Gross Income

Bonus Depreciation is a great tax incentive that allowed businesses to immediately deduct a large percentage of the purchase price of eligible assets, rather than write them off over their “useful life.” This was created to encourage investment by small businesses and stimulate the economy. The Tax Cuts and Jobs Act (TJCA), raised bonus depreciation to 100% in 2017. This allowed businesses to deduct the full amount of the purchase price in the year that it was placed in servi

Federal student loan borrowers and the court system now have more time to figure out what is going on with debt forgiveness before payments resume. The payment pause has been extended, once again, through June 30, 2023. This date has been extended from the most recent pause deadline of December 31, 2022. Biden decided to grant this extension due to the ongoing legal issues that face the student loan forgiveness program. With two rulings that are currently blocking forgiveness