It was 40 years ago last week that BusinessWeek magazine proclaimed the end of stock investments. Stock markets have gone up and gone down since then. But mostly up. S&P 500 closed at 42 on Aug. 13, 1979 2,926.32 on Aug. 13, 2019 Stock dividends are up: $6 in 1979 $56 in 2019 Inflation has raised prices …
Investments
What is Risk Tolerance?
If you are talking with an investment representative, a stockbroker or a financial advisor, you most likely will talk about “risk tolerance.” Risk tolerance is a term used in the investment business to talk about the willingness of a client to accept a loss in the value of their investment account over a short period …
Tax savings for 2018
The new federal tax law takes effect for tax year 2018. One of the biggest changes is a near doubling of the standard deduction to $12,000 on single returns, $18,000 for head-of-household filers and $24,000 on joint returns. That’s up from $6,350, $9,350 and $12,700 in 2017. Individuals age 65 or older and blind people …
What’s My 401k Statement Trying to Tell Me?
For most Americans, their 401k savings program at work is their single largest retirement asset. According to a recent report from Transamerica, “Thirty-nine percent [of baby boomers] expect their primary source of retirement income to be self-funded from accounts such as 401(k)s, 403(b)s, and IRAs or other savings.” The Pension Rights Center estimates that a full 65 percent …
What You Should Know About Your Life Savings
Lately, I’ve been hearing some confusion on the part of folks I’ve been talking to about their financial goals. For example, a person said to me, “I’m not sure I want to save money into my IRA this year because I think the stock market will fall soon and I don’t want to lose my …
Fake News: Financial Style
We hear quite a bit about “fake news” these days. It’s a term that doesn’t have a reliable definition. But one thing is true: all the talk of “fake news” has made some people much more likely to question the information they receive. I think some healthy skepticism is prudent. It’s my hope that this …