Category: Wealth Management

Wealth management helps you give more charity

The last two months of the year are of great importance because of so many festivals and events. However, one the most heartwarming and socially import mat event is Thanksgiving. The thanksgiving is an occasion where not only does the whole family gather together and rekindle the love and affection, but it is also the occasion where everybody becomes a philanthropist and detonate as much charity as possible. Although it is a very Nobel deed and it does give you a tax efficient saving utilization. However, you still have to make a strategy as to where and to whom you want to donate your charity. In this regard, I am providing you some excellent wealth management tips so that you get the most in this season of giving.

A proper wealth management is a key to philanthropy, and thus it should be the most crucial part of your overall charity plan. Mention below is some of the tips which may prove helpful while taking your charity-giving decision.

Analyze your long-term investments:

No doubt, everyone should do charity, according to his or her capacity, however, when it comes to doing charity at the risk of your future, I suggest you better stress test your long-term investments. So it would be wise first to save your own nest and then make amendments to others. You can defer your plans to give away charitable lifetimes gifts and make your benevolent giving with estate plans and wills.

Test the charity for effectiveness:

Although I do realize that making a financial contribution in someone’s future is a soul-satisfying task, however, you have to do your homework before making any move. You have to determine the effectiveness of the charity by analyzing how much of your charity is going to utilize in the welfare programs and how much is consumed on the administrative and other expense of the organization.

Tax deductibility:

Philanthropy comes with a benefit for both the giver and the receiver. If you are giving your money out to help someone this Thanksgiving season, then there is something in it for you too. The tax deduction is something which is associated with the charity giving. However, the charity you chose would impact the tax deductions directly. There are many organizations, charities to whom is not tax deductible. So while making a donation-giving, you have to be sure about the tax deduction status.

It is not the only case as there are certain charitable organizations which offer return gifts in exchange for donations and these gifts may decrease the amount of tax deduction. So you have to be conscious while accepting the gifts.

RMD’s – a charity tool

You can also use the RMDs to make a charitable contribution. An IRA allows you to create a 100k gift from you RMDs. This kind of charity is known as qualified Charitable Contribution. This grant is beneficial in a sense as it allows you to the deductions of tax on the amount of RMDs contributed.
In the end, I just want to add that a proper wealth management can help you come up with some charity giving strategies that can benefits you as well in return.

Is Being Too Economical Actually Costing You More

Too Economical Costing You More

While being frugal can mean saving for your future, there are some special cases where it can turn against you instead. You have to understand that expenses do not always mean the cost price of a product. The true value lies in getting the most bang for every dollar you spend. The most likely scenarios where you should look at the bigger picture instead of just trying to be typically economical are mentioned below. This can actually make you pre-aware and help you make a more evolved decision when faced with any of these categories in your life.

Premiums for preventive care

Never skip any maintenance or periodical checkups you have scheduled. Dental cleanings, annual full body checkups or any particular diagnostic checks for maintenance of lifestyle diseases, need proper checking at periodic intervals. Ina absence of that, the situation can fast ball in to a much bigger problem fast, which will ultimately cost you much higher in terms of medical costs. Even if you do have insurance, you would not be covered for all of it.

Do not skimp on insurance premiums

If you buy a low coverage insurance, it might actually cost you much more than you anticipated. A bare minimum coverage might be as much effective as having no insurance at all. You should analyze if you would be able to cope with replacing or living without the asset you underlay for the insurance coverage, such as the car , mortgage, property belongings and/or income ( in case of disability or life insurance). If you do not have a second option to deal with such a loss, do not skimp on the associated insurance premium and leaving yourself short of the risk cover.

Know when to skimp

Do not get pulled in by the announcements of sale or low price offers. The only time you should consider skimping on prices or considering value offers is if you know the product you are buying will only be used once. In clothes that can be statement, dresses for Prom or a bridesmaid dress in a particular style or color. Do not skimp on the makeup though, since it will have a direct effect on your skin and you can use the products multiple times again for different events.

Added savings options

Instead of buying the cheaper option, look for added savings options on the quality product that you have in the market. High quality products will breakdown less and give you a much better performance for your money. Compare prices online and also browse through coupon sites to get the best priced deal for your higher quality product, than skimping on the price for a lower quality option that keeps breaking down on you.