How to Fund Your Roth with Babysitting Money
with No Comments

For domestic tasks like babysitting there are often two options: independent contractor or household employee. Taking the time to educate yourself on the difference may be worth your while.

Q&A: How Often Do You Communicate with Clients?
with No Comments

We adapt to the needs of our clients. However, absent other instruction, we do have a few intentions.

Q&A: Can I Do a Backdoor Roth and a Reverse Rollover to a 401(k) In the Same Year?
with No Comments

This person has an IRA balance, but is about to empty it with a reverse Rollover. So the question is one of timing: can they do the IRA Rollover before the nondeductible contribution so that their cream and coffee never mix?

Q&A: How Do You Address Issues Outside Your Area of Expertise?
with No Comments

We see ourselves as your primary care provider for finances and strive to become experts in every specialty that you need while accompanying you on any referral to another firm we need to make.

Help! I Inherited a Nondeductible Basis!
with No Comments

If you inherit a traditional IRA from a person who had a basis in the IRA because of nondeductible contributions, that basis remains with the IRA assets as they come into your ownership.

Q&A: What is Your Client’s Average Portfolio Size and Life Stage?
with No Comments

We have a large distribution of clients at all portfolio sizes and, surprisingly, have all life stages near equally represented.

Q&A: Which Products Do You Buy and Which Do You Avoid?
with No Comments

The selection of what products we purchase or avoid for clients is based solely on what we believe gives our clients the best chance to meet their goals.

Q&A: Should I Donate QCDs When I Have a Nondeductible Basis?
with No Comments

Luckily for the charitably-inclined individuals with nondeductible balances, QCDs are excluded from your Form 8606 taxable and nontaxable calculations.

Q&A: How Does Your Faith Affect Your Investment Philosophy?
with No Comments

There are several ways that I see my faith influence my work.

Q&A: Can Single Filers Benefit From Roth Conversions?
with No Comments

There are several ways that a Roth conversion benefits people regardless of their filing or marriage status.

Q&A: Why Not Invest Only in the U.S?
with No Comments

Diversification among many different countries provides a more consistent return than investing entirely in the United States.

Q&A: Can I Reimburse More Than My Actual Room and Board Expenses From My 529 Plan?
with No Comments

Every school sets a budget or allowance for room and board, referred to as the cost of attendance. Are you allowed to reimburse yourself for the entire amount of Room and Board even if you did not spend that much?

Q&A: Should I Get a Car Loan To Stay Invested?
with No Comments

With these moderate interest rates, the only clearly wrong decision in my view is buying a car on loan because you cannot afford it outright.

Q&A: How Should I Balance Retirement Savings With Other Needs?
with No Comments

Anything which is not contributing toward your financial independence should be considered part of your lifestyle spending.

Q&A: Can I Still Use a QCD to Get State Tax Credits?
with No Comments

If a portion of your charitable gift is nondeductible, then no portion of the gift can be counted as a Qualified Charitable Distribution. But there is one accepted loophole for QCDs.

Does An Inverted Yield Curve Mean I Should Get Out Of The Markets?
with No Comments

It is easy for an inverted yield curve to spook investors.

Q&A: Do You Offer Roth Conversion Planning for Someone Who Is Not a Client?
with No Comments

Kudos to you for noticing the value of Roth conversions! We have three ways we can help.

Q&A: I Have a Marotta-Managed 401(k). What Should I Invest In?
with No Comments

We often get the question from plan participants, “What should I invest in?” Here are our recommendations in order.

Do Top-Ranked Funds Repeat?
with No Comments

Dimensional’s analysis found that top funds do not repeat.

What is the Correlation of the Asset Classes?
with No Comments

Asset classes are best defined by looking at the correlation of their returns. These four 2015 articles take a close examination at the three appreciation asset classes.

Q&A: How Does the SECURE Act Change QCDs?
with No Comments

“I will be turning 70 1/2 and wanted to start making contributions to charity from an IRA and taking the QCD at that time. Would this bill require me to wait two more tax years, until I am 72, to do this?”

When Should I Worry About Performance?
with No Comments

Some performance is cause for concern. Other times, you need not worry. Here are 5 times you should not worry and 4 cases when you should.

Q&A: How Much Attention Should Fees Get?
with No Comments

“Has the focus on expense ratios caused the public to lose focus of more critical financial measures, such as performance?” Actually, expense ratios and 12b-1 fees should get even more attention than they are getting. Here’s why.

Q&A: How Do I Calculate My RMD from a Complicated 401(k)-to-IRA Rollover?
with No Comments

Among the most complicated and frustrating IRA rules are required minimum distributions (RMDs). This case is a classic example.

Q&A: Moving Across State Lines With a Tenants by the Entirety Account
with No Comments

“I’m moving to a state which does not recognize Tenants by the Entirety. What do I need to do?”

Q&A: Can I Amend My Estate Plan by Hand?
with No Comments

When it comes to legal, if your attorney is allowed to make the edit, you are allowed to make the edit.

Q&A: Can I Do Backdoor Roth and an IRA Rollover In the Same Year?
with No Comments

This person has no IRA balance, but is about to get one with an IRA Rollover. So the question is one of timing: can they do the IRA Rollover after the nondeductible contribution has already been converted so that their cream and coffee never mix?

Q&A: What is the Average Real Return of the Stock Market?
with No Comments

The real return of the stock market going forward is often debated.

Q&A: Can I Turn My Real Estate Income Into a REIT to Get the QBI Deduction?
with No Comments

You are allowed to deduct “up to 20 percent of their combined qualified real estate investment trust (REIT) dividends,” and this deduction is unlimited. So it begs the question: Is there a way I can deduct my normal real estate income?

Is ‘Buy On The Dips’ A Good Investing Strategy?
with No Comments

“Buy on the dips” is a good strategy only because of the first word.

Do Dividend Paying Stocks Make Better Investments?
with No Comments

For all of these reasons, our recommended investment strategy does not focus on dividend-paying stocks.

Q&A: What Happens if an Inherited IRA Fails to Get Inherited?
with No Comments

There is a tangled web of rules and options. For any given family situation and set of desires, there is a best answer when it comes to meeting your wishes, minimizing the tax owed, and optimizing your estate plan.

Q&A: Are Forgiven Student Loans Subject to Income Tax?
with No Comments

Student loan forgiveness is normally taxable and reported to the IRS on a 1099-C, but there are big exceptions.

Does Per Capita or Per Stirpes Include Spouses?
with No Comments

People think about marriage differently. These views and more shape the way that people want per stirpes and per capita to work.

Q&A: Do We Need Contingent Beneficiaries If We Have Wills?
with No Comments

The short answer is absolutely yes you do. Here’s why.

Do Stock Buybacks Bring Real Value?
with No Comments

Stock buyback programs are a method of returning profits to shareholders without causing a taxable event.

What Is The Average Holding Period For A Stock?
with No Comments

The average holding period for a stock is not simply the inverse of liquidity.

What Is Shareholder Primacy?
with No Comments

Since only a small portion of stock is traded each day, a large majority of shareholders prioritize the long term appreciation of the value of the company.

What Is The 30-Day Election Period For Retirement Plan Rollovers?
with No Comments

The regulation is an attempt to protect participants who don’t understand the rules set up by the government.

Q&A: Can I Use 529 Funds for Off-Campus Housing?
with No Comments

In general, you can use 529 funds to pay for your student’s off-campus housing costs.

Review of CFP Board’s Ten Questions For Your Advisor
with No Comments

Although these questions may help some people discern which professional to sign up with, I like our ten questions better as they cut to the heart of the matter. That being said, the more you know about an advisor the better.

Our Firm is a Statistical Outlier
with No Comments

We are a statistical outlier: We are young; we are female.

Should My Portfolio Asset Allocation Include Emerging Markets?
with No Comments

A blended portfolio can perform better even as some of its components under perform due to the rebalancing bonus.

Q&A: Have You Ever Been Publicly Disciplined for Any Unlawful or Unethical Actions in Your Career?
with No Comments

We believe following our eight principles to safeguard your money provides a better safeguard than checking for past violations.

Q&A: Do Others Stand to Gain from the Financial Advice You Give Me?
with No Comments

You deserve advice from a firm where you don’t have to second guess where their loyalties lie.

Q&A: How Will I Pay for Your Financial Planning Services? How Much Do You Typically Charge?
with No Comments

It is relatively easy for fee-only fiduciaries to answer the question “How much do you charge?” The only fee they collect is the fee that the client directly pays them.

Q&A: Does a Power of Attorney Agent Have a Fiduciary Duty?
with No Comments

A reader asks, “As her descendant and agent following the rules as written, it is my understanding that I could gift myself $14,000 each year. But can I really?”

Q&A: Will You Be the Only Financial Planner Working with Me?
with No Comments

At Marotta Wealth Management, we believe that a team collaborating on your behalf provides you with better service.

Q&A: What Types of Clients Do You Typically Work with?
with No Comments

We believe that the basic principles of financial planning are the same no matter how many zeros you add.

1 2 3 4

Subscribe to our newsletter!