Tax Strategies Archives – Page 4 of 4

Charitable Giving through a Donor Advised Fund

A Donor Advised Fund (DAF) is a specialized account for designed to facilitate charitable giving. A Donor Advised Fund is a valuable tool to consider for anyone who is charitably minded as it provides a number of benefits such as tax deductions, tax-free growth, and charitable flexibilitye What is a Donor Advised Fund and How Does it Work? Donor advised funds have become increasingly popular in recent years as a way for individuals to manage their charitable giving. These funds allow donors to make a contribution of cash or appreciated assets to a public charity, which then establishes a separate…

April 25, 2023
in Saving Tax Strategies

Healthcare costs in the United States can be quite high, and managing these expenses can be a significant challenge for many people. Fortunately, there is a financial tool available that can help you save money and invest in your future healthcare needs: Health Savings Accounts (HSAs). This article reviews what HSAs are, their features, and how to maximize their benefits. What are Health Savings Accounts A Health Savings Account (HSA) is a separate account that holds money set aside to reimburse you for qualified medical expenses incurred by you or your family members. Similar to retirement accounts, if you are…

How to Report a Backdoor Roth Conversion

The Backdoor Roth strategy is a great way to get more savings into Roth IRAs if you are high-income and you’ve maxed out your other retirement options. If you have performed a Backdoor Roth or are considering performing one, it is important to understand the proper way to report the transaction, as it requires additional steps to ensure your money is not taxed twice and the IRS is satisfied. The Backdoor Roth Conversion Steps Contribute to a Traditional IRA Convert the Traditional IRA to a Roth IRA Report the transaction on your tax return What Documents You'll Receive While performing…