NESTEGG News – April 2019

April 17, 2019

OUR MARKETS

Recent economic reports reveal an economy slowing a bit more than expected in early 2019, reports Raymond James Chief Economist Scott Brown. While most Federal Reserve policymakers expect to leave short-term interest rates unchanged over the course of the year, there is a growing chance the Federal Reserve will cut rates by the end of the year.  We think the economy will continue to advance in 2019, but at a slower pace than last year. Much has been made of a flattening yield curve, and it bears watching if the pattern sustains itself over an extended period. The quarter ended positively for the Dow Jones Industrial Average.  We have almost fully recovered from October and December of last year.

 

TAX UPDATE

We are seeing both sides of the new tax structure; clients who benefited and those who did not.  We would like to review your tax return so we can better understand how to manage your taxes in the new structure.  Some general thoughts are:

  • Roth IRA’s and 401k’s are even more powerful in certain situations
  • Maxing out your 401k, SIMPLE or SEP is a guaranteed tax reduction
  • Reconfiguring charitable contributions is important

 

 

LILY AND SHILO

A picture from our trip to visit Ryan at the University of Utah.  Right before Lily shredded and consumed a pound of granola.

HENRY

Eric and Jamie’s pup, enjoying the spring weather.

 

BEST BRUNCH?

Our ongoing search for the best brunch in Boise took us to Fork this past weekend.  It is worth checking out and a close second to Red Feather! The French toast and avocado toast are amazing.  If there is another great place we should try, please share!

 

PROTECT YOURSELF FROM DIGITAL THREATS

The multitude of connected devices, social media sites and online shopping sites have fundamentally changed the way we interact with the world around us. Each year brings new ways to connect to friends, businesses, and others in ways we never previously imagined. But with each new connection, we increase the risk our private personal information falls into the wrong hands. With news of data breaches and hacking victims more and more frequently, it can feel like the only way to stay safe is to completely unplug. The good news is there are ways to protect yourself without living in a bunker with a flip phone.

 

 

CHARITABLE GIVING

If you are like most middle-income American’s, you probably just found out from your taxes, that your contributions are no longer tax deductible.  Here are some tips:

  • If you are 70 ½ or older, contribute directly from your IRA
  • Consider bunching your charitable contributions every 2 – 4 years.
  • Consider a donor advised fund, like Idaho Charitable Fund.

 

 

ROTH CONVERSION

Some of you will experience a lower marginal tax rate.  This may be a great time to perform a Roth conversion.  If you believe you are a candidate, let us know and we will review the details.

 

KELLY’S MOVIE REVIEW

Green book is one of my favorite movies of the last 5 years.  It’s hard to imagine this took place during my lifetime. When Tony Lip, a bouncer from an Italian-American neighborhood in the Bronx, is hired to drive Dr. Don Shirley, a world-class Black pianist, on a concert tour from Manhattan to the Deep South, they must rely on “The Green Book” to guide them to the few establishments that were then safe for African-Americans. Confronted with racism, danger-as well as unexpected humanity and humor-they are forced to set aside differences to survive and thrive on the journey of a lifetime.

 

I hope you found this to be educational and helpful. As we always emphasize, it is our job to assist you! If you have any questions or would like to discuss anything in further detail, please give us a call. As always, feel free to pass this on to someone important to you.

Thank you very much for the trust and confidence you’ve placed in our team.

Kelly Wood, AAMS
Financial Advisor – Wood Tarver Financial 
Eric Tarver
Financial Advisor – Wood Tarver Financial