The Washington Update from Andy Friedman

The President’s Fiscal Blueprint for a Second Term
and The Timing of Tax Changes

This legislative update discusses President Obama’s 2012 budget plan, which likely will serve as a blueprint for his fiscal and tax policies if he is elected to a second term. The update also discusses the extension of the payroll tax cut through 2012, and the likely outcome of Congress’ deliberations over the extension of the Bush tax cuts scheduled to expire at year-end.  Read more...

A Unique Opportunity to Transfer Wealth Without Tax:
Combining Trusts, Life Insurance, and Annuities

Investors have an unprecedented opportunity to transfer wealth to future generations free of gift and estate taxes, provided they act before the end of 2012. By using a trust and taking advantage of unusual investment opportunities, the gifted assets can grow free of income taxes as well as estate taxes, providing an even greater legacy for heirs in future years. This white paper explains how investors can take advantage of this new opportunity.  Read more...

Investing in a Rising Tax Environment 2012

The Bush tax cuts are slated to expire at the end of 2012 and it is quite unclear Congress and the Administration will agree to extend them -- at least for affluent families -- in this election year. This white paper reviews strategies investors and advisors can consider now that may blunt the effects of future tax increases.
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Preparing for a Secure Retirement: The 401(k) Rollover

Recent years have seen a decline in retirement asset values, the elimination of many corporate pension plans, and threats to the long-term viability of the Social Security system.  Now more than ever it is important that retirement assets be invested wisely in vehicles that can produce a reliable income stream, have the potential for appreciation, and can lower downside risk.  Unfortunately, 401(k) plans may not offer the sort of sophisticated investment choices that can best achieve these results.  This white paper discusses how investors may take control of their retirements by moving their 401(k) assets to IRAs that provide a broader array of investment choices, and in what circumstances they are well-advised to do so.  Read more...

The “Super Committee” Fails: What Happens Now?

The Congressional “Super Committee” failed to agree on a deficit reduction plan before its November 23 deadline. The Committee’s failure triggers a process called “sequestration,” under which automatic spending cuts of $1.2 trillion are implemented over ten years beginning in 2013.  The failure also will lead to a string of legislative decisions -- most crucially involving taxes -- that must be made in the coming year.  Read more...

Investment Opportunities and The High Federal Budget Deficit

The federal budget deficit is projected to reach a new high in 2011, exceeding even the record deficits of recent years. The high deficit may portend ominous consequences for the economy and the government’s ability to continue to function in its present state. But it also provides opportunities for investors. This white paper describes the extent to which Washington is likely to address the federal budget deficit and how investors can profit from -- or at least blunt the negative effects of -- the current fiscal situation.  Read more...