People who are rushing to invest in municipal bonds to lower their tax liability could have an unwanted surprise when it comes to Social Security and Medicare. Municipal bond interest is included in income calculations for Social Security and Medicare, which could lead to higher premiums.
Some savvy investors who hold cryptocurrencies in an IRA can benefit by not having to pay capital gains taxes on trades, but for most people, the investment is too risky to hold in a retirement account, writes columnist Alexis Leondis. Risks include extreme volatility, high fees and potential fraud.
Many investors who focus on environmental, social and governance issues put less emphasis on the "social" part, but it is very important, Andrew Parry of Newton Investment Management advises. Effectively incorporating social efforts means emphasizing "business model, corporate purpose, and the compatibility of capital allocation and investment decisions with these aims," Parry writes.
Applying for Medicare at the appropriate time can help older adults avoid problems like late-enrollment penalties. Danielle Roberts of Boomer Benefits says adults shouldn't make the mistake of assuming they don't need Medicare and miss the enrollment window.
Every decade brings new financial challenges and opportunities, writes Rod Mims of Athene USA. Mims highlights four things people in their 40s and 50s should consider, including retirement budgeting and legacy planning.
The Conference Board's index of leading economic indicators shows a 0.7% increase for June, building on improvement in May. While the increase is slightly below economists' predictions, it indicates economic recovery continues.
A growing number of clients are curious about bitcoin, and advisers need to have answers ready, according to Ric Edelman, founder of the Digital Assets Council of Financial Professionals. Even if an adviser isn't fond of bitcoin, they still need the knowledge to educate clients about cryptocurrencies, Edelman writes.