Biden's First 100 Days: Tax, Wealth, and Estate Planning

While the specifics of 2025 tax legislation remain uncertain, one thing is clear: strategic, proactive planning and coordination with the tax preparer is essential. Rather than waiting for policy changes to be finalized, we believe proactive steps taken sooner rather than later help build flexibility into your wealth plan and reduce exposure to what can be household’s largest annual expense: taxes.

With the increasing availability of Roth 401(k) options in many employer plans, the decision on tax deferred vs. after tax contributions has added another layer of complexity to the retirement savings calculus. In short, investors and savers are now faced with the question of if they should elect a Roth option and how much of their hard-earned retirement savings dollars should be put into a traditional tax deferred savings plan (i.e. tax deferred 401(k), 403(b), etc.) versus a Roth (after-tax) plan?

As the 2023 holiday season fades into memory, February ushers in tax preparation season. For retirees, managing federal and state income taxes becomes crucial as it often becomes a major yearly expense. Managing taxes effectively can give retirees more confidence in the sustainability and consistency of their retirement cash flow over what is usually a multi-decade retirement timeframe.

The recently passed Secure Act 2.0 does not have the magnitude of changes as the original Secure Act, but it does contain a few impactful changes and many minor changes. Find out what you need to know in this month's blog.