Do 401k contributions reduce AGI and/or MAGI?

June 30, 2024 No Comments

A: Traditional 401(k) contributions effectively reduce both adjusted gross income (AGI) and modified adjusted gross income (MAGI). Participants are able to defer a portion of their salaries and claim tax deductions for that year. A Roth 401(k), similarly to a Roth IRA, is funded through

Do retirement account withdrawals affect tax brackets?

June 30, 2024 No Comments

A: Can withdrawals from retirement accounts affect which tax bracket you fall in? Whether income from retirement account withdrawals can push you into a higher tax bracket depends entirely on the type of account. Any income you earn after retirement from part-time employment or rental

Do tax brackets include Social Security?

June 30, 2024 No Comments

A: A portion of your Social Security benefits may be subject to federal taxation using tax brackets. Your tax bracket is determined by your net taxable income as shown on line 43 of Form 1040. This value is your gross income minus all allowable deductions.

Does Canada have Social Security numbers?

June 30, 2024 No Comments

A: Social Insurance numbers (SINs) in Canada are equivalent to Social Security numbers (SSNs) in the United States. Canadian residents use their SINs for various government programs. The Canadian government started the SIN program in 1964 to administer the Canada Pension Plan and Canada’s varied

Does Manchester United (MANU) own Old Trafford stadium?

June 30, 2024 No Comments

A: Old Trafford Stadium was built for and is currently still owned by Manchester United Football Club (Man Utd.). This means that it is therefore owned by the club’s parent company, Manchester United Plc., a company incorporated in the Cayman Islands. Manchester United Plc is

How are IRA withdrawals taxed?

June 30, 2024 No Comments

A: The way in which IRA withdrawals are taxed depends on the type of IRA. In a Roth IRA, there is no tax due at withdrawal on either contributions or earnings, provided you meet certain requirements: the account must have been active for at least

Can savings from a Roth 401(k) be used for college without penalty?

June 30, 2024 No Comments

A: With college tuition ever on the rise, many parents look to their retirement savings to assist with university fees. However, using a Roth 401(k) to supplement education expenses may not be as easy as with other retirement plans. Unlike a Roth IRA, there is

How are non-qualified variable annuities taxed?

June 30, 2024 No Comments

A: Non-qualified variable annuities are tax-deferred investment vehicles with a unique tax structure. These investments grow without incurring taxes until the time funds are taken out of the account, whether by client withdrawals or annuitization. Beneficiaries of a non-qualified annuity may also face certain tax

Can I roll a traditional IRA into a 529 college account for my grandchild?

June 30, 2024 No Comments

A: The short answer: Not without paying taxes. But as with much of the tax code, there are various nuisances and exemptions to expound. The IRS considers moving money from your IRA to a 529 plan as a distribution included in your taxable ordinary income.

Can I roll my 401(k) and/or IRA funds into a more liquid investment fund without penalty?

June 30, 2024 No Comments

A: Choosing your retirement plan investments requires the assistance of an expert who is able to analyze your options and to help you choose the investments that best suit your profile. The investment advisor will take into consideration your risk tolerance and how soon you

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