After a cold, rainy, and sometimes even snowy April, spring has finally arrived here in Pittsburgh. And, as I’ve noticed in recent client meetings, people of all ages are excited to get out again. When I came to HBKS in August 2021, many of our meetings were conducted remotely or over the phone, as some clients were still uncomfortable coming into the office. Now, nearly all of our meetings with local clients have been in person.
Another trend I’ve noticed in recent meetings is that people are traveling again. And not just to a family member’s home nearby or a local lake spot, but to the West Coast, to national parks, even to Europe. Four folks in the past month have told me they are going to Italy this spring or summer. With COVID restrictions on the decline globally, people seem more excited than ever to travel.
Some folks with big travel plans have been saving up for the moment. And to those folks, kudos! But others who don’t have their savings account to the point where they can budget their dream trip can still take heart. Capital gains rates are at historically low levels, and, given the down market to start 2022, investment gains are lower—in many cases, there are losses—making it a good time, at least from a tax perspective, to take distributions.
As such, a review of the 2022 tax implications of taking distributions from a variety of investment vehicles:
Individual/Joint Taxable Accounts and Individual Stocks
Traditional/SEP/SIMPLE IRA and 401k/403b
Roth IRA/Roth 401k/403b
If you have a big trip or large expense on the horizon, and your aren’t sure of the most efficient way to fund it, contact our advisory team at 724-934-8200; or email me at email@example.com. We’ll help you develop a plan that works best for you.
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