Your account is composed of: 1. Contributions, 2. Earnings. Contributions to a Roth IRA can be distributed to the creator any time.

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Earnings – without owing taxes or penalties:

1. you have to be at least 59½ years old
2. and the account has to be five years old.
3. even if you’re already 59½, you have to have established and held the Roth for at least five tax years. That is basically the 5-year rule for Roths.

The 5-year rule only limits when you can withdraw your earnings from your Roth IRA. That means the interest, dividends, capital gains, and any other income your Roth investments have accumulated. Contributions are not limited – these were after-tax already, ie: there was no deduction when you deposited them.

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NEED ASSISTANCE? Other helpful links: Calendar / Rates / Get a ‘YourSpace’ Portal

• Plan ~ YourVISION
• Develop ~ NetWorthBasics.com
• Execute ~ RealtyNetWorth.com

Now, more than ever, we are looking at your larger picture, considering ‘all the pieces’ to the tax/ net worth puzzle.

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Related Articles: Retirement

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> Request Appointment < click here. Other questions/ comments:

The new analysis re: the returns of exchange-traded fund SPY or SPDR S&P 500 E.T.F., which started trading on Jan. 29, 1993 – which mirrors the Standard & Poor’s 500-stock index – shows SPY’s overall price gain from its inception through 1/2018 ( time of article & data) has been 541 percent cumulatively, not counting dividends. But look closely and a remarkable fact emerges.

• Separate the daytime from after-hour returns and all of that price gain since 1993 has come outside regular trading hours.
• eg: If you had bought SPY at the last second of trading on each business day since 1993 and sold at the market open the next day — you’d get all of the net after-hour gains — your cumulative price gain would be 571 percent.
• But, if you had done the opposite, buy at open, 9:30 a.m., and sell at close, you have lost 4.4 % !

Caveat: Orders tend to build up overnight, hence:

• in a rising market, that will produce an upward price surge at open, but
• during declining markets, overnight sell orders may tank at open.
• and in a rising market, that will produce an upward price surge when the market opens. But during extended declines, overnight sell orders may cause prices to plummet when the market opens.

What now? I have many stock investing spreadsheet templates you may like. I edit these in realtime with the client ~ via virtual or in person meetings ~ to help you know where you’ve been, where you are, and estimate where you are headed. Contact me for assistance. Our approach will be looking at the bigger picture. You can also begin by sharing you’re thoughts, dreams, needs, goals, and comfort parameters.

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A word about Real Estate:

• From them:  https://www.realwealthnetwork.com/learn/best-places-to-invest-money-right-now
• From me:
  • https://realtynetworth.com/2017/03/20/what-kind-of-roi-to-expect-with-your-fixer-upper/
  • https://realtynetworth.com/category/investing/

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Related Articles:

• Series: Some basics ~ Stock market investing

• Trusts-and-wills-some-basics

• Michigan Retirement Benefits – what’s taxable?

• Wills-estates-trusts-and-inheritance/

Year-end tip(s):  Update your Assets spreadsheet. Keep a draft of your Trust/ Will documents on a google drive format for easy sharing with your insurance/ legal/ and tax counselors.

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• Tax Bill Makes 2018 the Year of the Deal – WSJ

• Cut Your Tax Bill: What to Do Before Jan. 1 – WSJ

• Tax Bill Removes 4.2 Million Households From Income Tax in 2018

• 
• This one looks pretty good!

  • Tax Geek Tuesday: Making Sense Of The New “20% Qualified …

• Consequences Of New Tax Law According To J.P. Morgan Chase

• What the New Tax Law Means for You – Barron’s

• 5 Homeownership Changes Coming Under New Tax Law – NerdWallet

Year-end tip: Your deductions may be worth more this year than next, consider advance paying some deductable expenses.

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Whats’ a ‘retroactive election’?

Most small-business owners and even some tax preparers don’t realize that you can make a retroactive election to be an S-Corp for 2017 if you already have been operating as an LLC all year long. A tax accountant or CPA can help you with the procedure and make reference to the proper revenue procedures to include with your Form 2553. Many believe there is a hard and fast 75-day rule at the beginning of the year to make this election for all of 2017. This is certainly not the case. Talk to your CPA to follow the correct procedure to get a retroactive election accepted.

Year-end tip: Make a retroactive election for your LLC to have an S-Corp for all of 2017, and get your payroll allocation completed before year-end.

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Handy little tool to estimate your property taxes.

https://treas-secure.state.mi.us/ptestimator/PTEstimator.asp

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