The tax overhaul that officially became law as of Jan. 1, 2018 understandably brings with it a wide range of financial implications and effects that are already being seen. One of the latest developments is the fact that technology giant Apple is bringing more than $252 billion in overseas holdings state-side and paying hefty taxes — to the tune of $38 billion — on it. Some smaller-scale offshoots include $2,500 bonuses being given to Apple employees on top of plans to create 20,000 new jobs here in the U.S. Of course the new tax law affects more than this company, but it just goes to show the wide-reaching implications.
According to a Jan. 18, 2018 Business Insider article, an increasing number of Americans polled by The New York Times and SurveyMonkey approve of the tax revision — now at 46 percent and up from 37 percent as of December 2017. While the overall effects of the new law won’t be seen for years to come, it is already affecting the way most Americans conduct their financial planning processes. That’s why Financial Fiduciaries LLC of WI and Tom Batterman are paying such close attention; doing what’s in the best interest of their clients is what drives this operation.
According to The Santa Fe New Mexican newspaper, one of the major changes as it pertains to investment accounts is the fact that you can convert an IRA account into a Roth account – but that it can’t be switched back at a later date. This is but one change that is worthy of reading up on, according to Financial Fiduciaries WI and Thomas Batterman. That’s because this operation of legally-bound fiduciaries are looking out for your best interests and not trying to sell investment products for a commission. The investment angle that you eventually decide on, with guidance from Financial Fiduciaries WI, is one that will benefit from years of industry knowledge and can be reviewed online at any time.
Other tax law changes that are expected to affect investment procedures include standard deductions and limitations on state tax deductions. The take-away here, according to Thomas Batterman fee-only and the experts at Financial Fiduciaries WI, is that fewer taxpayers are going to benefit from itemized deductions. According to a December 2017 article from CNN Money, there will be a $10,000 cap on state individual property taxes come 2018. The fact that the change reverted from an unlimited property tax deduction meant many people went rushing to pre-pay their property tax bills. Was this the best plan of action for the average consumer? With the advice of Financial Fiduciaries WI and Tom Batterman, you’ll know how your 2018 tax filing will different from last year’s and if you should start reorganizing current investments to prosper in the coming years.