Silver Sneakers 101 Once you turn 65, the world of Medicare opens to you, and you also gain access to its offshoot supplemental programs. You likely know about Part A, Part B, Medicare Advantage, and other sections, but you may not know about the senior fitness offering “SilverSneakers.” SilverSneakers is a versatile and free fitness plan for Medicare recipients. Not every insurance company that has Medicare Advantage or other Medicare Supplement Insurance plans has SilverSneakers as a choice. But it’s definitely worth asking about whenever you add or change your coverage. SilverSneakers grants free access to over 15,000 fitness locations across America. Call ahead to find out if your local gym participates. You might also inquire if their location offers special SilverSneakers classes. These fitness sessions are designed for Medicare-aged students.1 Not all SilverSneakers’ benefits are centered around the gym, however. For those who prefer different types of exercise, FLEX,
Tax Deductions You Won't Believe While Americans are entitled to take every legitimate deduction to manage their taxes, the Internal Revenue Service (IRS) places limits on your creativity. Here are some examples of deductions from the IRS that were permitted and some that were, well, too creative.¹ Creative Deductions that Passed Muster Usually a child’s school-related costs are not deductible. However, one taxpayer was allowed to deduct the cost of travel, room, and board as a medical expense for sending a child with respiratory problems to a school in Arizona. Pet food typically doesn’t qualify as a write-off, except in the case where a business owner successfully argued that it was a legitimate expense to feed a cat protecting their inventory from vermin. Does your child have an overbite? If so, you may find that the IRS is okay with a medical deduction for the cost of a clarinet (and lessons) to correct it. A deduction for a swimming pool won’t float with the IRS, exc
Tax Deductions You Won't Believe While Americans are entitled to take every legitimate deduction to manage their taxes, the Internal Revenue Service (IRS) places limits on your creativity. Here are some examples of deductions from the IRS that were permitted and some that were, well, too creative.¹ Creative Deductions that Passed Muster Usually a child’s school-related costs are not deductible. However, one taxpayer was allowed to deduct the cost of travel, room, and board as a medical expense for sending a child with respiratory problems to a school in Arizona. Pet food typically doesn’t qualify as a write-off, except in the case where a business owner successfully argued that it was a legitimate expense to feed a cat protecting their inventory from vermin. Does your child have an overbite? If so, you may find that the IRS is okay with a medical deduction for the cost of a clarinet (and lessons) to correct it. A deduction for a swimming pool won’t float with the IRS, exc
Fixed or Variable Mortgage, Which Should You Pick? Buying a home is the single-largest financial commitment most people ever make. And sorting through mortgages involves a lot of critical choices. One of these is choosing between a fixed or variable interest rate mortgage. True to its name, fixed-rate mortgage interest is “fixed” throughout the life of the loan. In contrast, the interest rate on a variable-interest rate loan can change over time. The mortgage interest rate charged by a variable loan is usually based on an index, which means payments could move up or down, depending on prevailing interest rates.1 Fixed-rate mortgages have advantages and disadvantages. For example, rates and payments remain constant despite the interest rate climate. But fixed-rate loans generally have higher initial interest rates than variable-rate mortgages; the financial institution may charge more because if rates go higher, it may lose out. If prevailing interest rates trend lower, a fixe
New Retirement Contribution Limits for 2023 The Internal Revenue Service (IRS) has released new limits for certain retirement accounts for the coming year. After months of high inflation and financial uncertainty, some of these cost-of-living-based adjustments have reached near-record levels. Keep in mind that this update is for informational purposes only, so please consult with an accounting or tax professional before making any changes to your 2023 tax strategy. You can also contact your financial professional, who may be able to provide you with information about the pending changes. Individual Retirement Accounts (IRAs) Traditional IRA contribution limits are up $500 in 2023 to $6,500. Catch-up contributions for those over age 50 remain at $1,000, bringing the total limit to $7,500. Remember, once you reach age 73, you must begin taking required minimum distributions from a Traditional IRA in most circumstances. Withdrawals are taxed as ordinary income and, if taken bef
Term vs. Permanent Life Insurance According to industry experts, most people don't have enough life insurance. The American Council of Life Insurers recently reported that average coverage equals $183,780, which is equivalent to approximately 3.5 years in terms of income replacement (with the median income being $54,132 in 2022, according to the Bureau of Labor Statistics). That's only half the recommended 7-year threshold.1,2 Furthermore, almost half of consumers said that their households would be in immediate or near-immediate financial trouble if the primary wage earner died today.3 When considering life insurance, one of the most important factors to understand is the difference between term and permanent insurance. Here’s an inside look at both. Term and Perm Term or Perm? Term life insurance is temporary; it provides a death benefit for a specific term, such as 10, 20, or 30 years. Unlike other types of life insurance, it does not accumulate a cash value. If the po
Building Your Legacy Carve your name on hearts, not tombstones. A legacy is etched into the minds of others and the stories they share about you.1 Shannon L. Alder The desire to leave a legacy may be the height of altruism for it is a gift to the future, the benefit of which you may never witness, nor ever feel its appreciation by others. Creating your legacy does not happen overnight, and it doesn’t come without a strategy and hard work. Your Framework Create Your Vision: You should have an end in mind before you begin. Start by reflecting on what you value and care most about. Consider your passions and the unique skills you have. Your career and hobbies are good places to start. Be sure to ask your friends and family to weigh in. They may offer a perspective that you don’t see about yourself. Determine Your Legacy: Think about the legacy you wish to leave and impact you want to make. A legacy can come in many colors. It can be financial, institutional, instructi
Travel, Without the Baggage Air travel is stressful. While some stress may be unavoidable, like the long lines at security, other sources of stress, like dealing with luggage check-in and baggage claim, can be reduced. If you think checking in luggage for your two-week vacation is inescapable, think again. Here are some ideas to help you get by with just a carry-on and by-pass the hassles (and fees) of checking in luggage. How to Pack Lightly There are several simple strategies that may help you survive your next getaway with only carry-on luggage. Start with a Small Bag Humans tend to fill up the space allowed them. So, start your packing with a bag that will meet the carry-on criteria. Mix and Match Pack clothes that can be mixed and matched so you can wear a variety of outfits with fewer clothes. Bring the Right Clothes Ready-to-wear and fast-dry apparel will allow you to more readily re-use clothes. Two Shoes Maximum Shoes take up a lot of room, so consider a o