Featured post:
The Estimated Tax Penalty is at a 16-Year High
The United States has a “pay as you go” tax system in which payments for income tax (and, where applicable, Social Security and Medicare taxes) must be made to the IRS throughout the year as income is earned. This can… Read Now >>
New Child Tax Credit—What You Need to Know
November 3, 2021
The American Rescue Plan enacted earlier this year established a new Child Tax Credit program. It increased the credit from $2,000 per child to $3,000 per child for children over the age of six. For children under the age of… Read Now >>
The Basics of Depreciation
October 27, 2021
Depreciation is a tax benefit that is often underutilized, misutilized or simply misunderstood by many American taxpayers and business owners. If you are thinking about making a significant purchase of property for personal and/or business use (car, real estate, computer,… Read Now >>
Information About the Principal Residence Gain Exclusion Break
October 20, 2021
We’ve been looking at year-end tax planning on the Illumination Wealth Blog. 2021 is coming to an end soon and there are tax law changes on the horizon for 2022 and beyond. It’s time to adjust your tax plan. Take… Read Now >>
Year-End Tax Planning for New Tax Laws: Estate Taxes
October 13, 2021
In our previous two articles, we covered the proposed individual tax changes and business tax changes that have been proposed as part of the American Families Plan backed by President Biden and the House Ways & Means Committee. The goal… Read Now >>
Year-End Tax Planning for New Tax Laws: Business Taxes
October 6, 2021
This is the season for year-end tax planning. Updating your tax plan and overall financial planning strategy for 2022 is even more important because of potential tax changes on the horizon. President Biden and the House Ways & Means Committee… Read Now >>
Year-End Tax Planning for New Tax Laws: Individual Taxes
September 22, 2021
President Biden and the House Ways & Means Committee have proposed a number of significant tax changes as part of the American Families Plan. If enacted, we could see some new tax laws starting as soon as 2022. This time… Read Now >>
Using Real Estate to Pay for College
September 15, 2021
Last week, we talked about different ways to save for college and pay for your children’s college expenses. You can invest in a 529 plan or explore other college savings methods that may offer you steady funding when it’s time… Read Now >>
The Best College Savings Alternatives to 529 Plans
September 8, 2021
The past few articles have been focused on the pros and cons of 529 plans as a popular method for college savings. They are a great conservative long-term savings plan when they fit in well with your overall financial plan.… Read Now >>
What Happens to 529 Plan Funds if Not Used for College?
September 1, 2021
Many families invest in 529 plans for college savings. They are a great way to put money aside and gain tax-free investment earnings until the funds are ready to be used for expenses like tuition, books/supplies, room and board. But,… Read Now >>
The ABCs of 529 Plans
August 25, 2021
If you are saving for your children’s college expenses, you have likely heard of a 529 plan. This is a popular option that’s specifically designed for college savings. As with any investment program, there are pros and cons to 529… Read Now >>
