What are Real Estate Funds?
Real estate mutual funds invest in publicly-traded companies in the real estate industry, and are slightly different than REITs. A real estate mutual fund invests in companies in the real estate industry. These companies will include real estate brokerage companies in the commercial, residential, or raw land sector, as well as the lending institutions that are involved in such transactions, among other holdings. Continue reading...
Can I Take a Periodic Distribution From My Cash-Balance Plan?
Periodic distributions are one of the main ways that former employees enjoy the benefits of a Cash Balance plan. Yes, you can take periodic distributions from your cash-balance plan. As opposed to the other option (lump-sum distribution), opting for the periodic distribution can help you sleep better at night, knowing that you have a fixed stream of income for the rest of your life. This Life Annuity option is mandated by law to be an option to participants of a cash balance plan. Continue reading...
Do I Need Life Insurance if I have an Annuity?
If an annuity or pension will pay your spouse a survivor’s benefit that is adequate to support his or her lifestyle, then you may not need to a life insurance policy to cover this need. Annuities are seen as longevity insurance which protect against outliving money, while life insurance protects beneficiaries if the insured person dies younger than expected. If something happens to you and you have an annuity, your surviving spouse would either continue to receive periodic benefits or take a lump-sum distribution, depending on what kind of payout option you chose when you signed the contract. In the case of the lump sum it may only be for the amount of principal that had not been paid out yet in annuity payments. Continue reading...
Who Can Participate in an HSA?
In order to be eligible for an HSA, you must be enrolled in a high deductible health plan (HDHP) that is HSA-eligible. You must also not be enrolled in Medicare and you cannot be claimed as a dependent on someone else’s health plan. Your health insurance must also be part of a high deductible plan with substantial out-of-pocket costs. How Does a Health Savings Account Work? Where Should I Put my Healthcare Savings? What is Medicare and Medicaid? Continue reading...
What is Form 2848: Power of Attorney and Declaration of Representative?
IRS Link to Form — Found Here Sometimes individuals need representation to argue their case to the IRS or the tax court. To this end, there is an IRS form, the 2848, which designates an individual to represent the taxpayer on tax matters. The person receiving agency must be qualified and certified to perform such work. CPAs, Enrolled Agents (EAs), tax attorneys, and a few other professionals are qualified to represent taxpayers (or non-taxpayers, as the case may be) on tax matters in a tax court or IRS audit. To give one of these registered tax advisors the authority to serve as your agent and proxy for such matters before the IRS and tax courts, you must file a Form 2848. Continue reading...
What are Federal Agencies?
Agencies are entities which are created by the federal government to fulfill an obligation or role that is deemed to be in the best interest of the country. Agencies might also also be known as Commissions, and they can be formed by legislative action, or through the direction of a specific Department or Branch of the government. Some federal agencies are known as Commissions, Task Forces, or Administrations, but all are generally tasked with a specific responsibility or focus. Continue reading...
What is currency risk?
Countries, investors, and international businesses have to frequently assess currency risk, which is the chance that exchange rates will change unfavorably at inopportune times. An investment in a foreign security or company, or income payments coming from foreign sources, can be at risk for exchange rate changes. If an investor or company has financial interests which are based in another currency, or if the investor engages in Forex trading, currency risk looms over the future value of the holdings, on top of any typical market risk. Continue reading...
What is a commodity index?
Commodity indexes are also called commodity price indexes, and they are informational services which reflect the price action in a designated commodity or basket of commodities. Indexes are often tracked by mutual funds or ETFs, and these can be confused with the actual index. Indexes are computed and published by market research firms. They can serve as benchmarks against which the performance of a specific asset or an investment portfolio can be compared, or they can serve as the model that index funds seek to emulate. Continue reading...
What are realistic expectations for my portfolio performance?
Realistically, you should not plan on getting more than about 10% average per year over the long term for a portfolio of diversified equity exposure and you should really plan on getting less than that to be on the safe side. Everybody wants to have a portfolio that outperforms the market when the markets are rising and does not lose money when the markets are falling. We have a secret for you – it’s not possible. Continue reading...
AI Robots: Instructions
With AI Robots, you can view bought and sold trades with potential profit and stop loss in real-time. Receive timely alerts with each trade. Here are the steps: Step 1. Review AI Robots' past performance for free. Step 2. Select an AI Robot you might be interested in based on their customization and statistics. Step 3. Subscribe and follow one AI Robot and get a monthly $60 credit to purchase other products. Step 4. Subscribe and follow two or more AI Robots and get a monthly $120 credit to purchase other products. Step 5. Sign up for 1-on-1 sessions or webcasts. Continue reading...