Archive | October, 2012

Washington Hotline – October 30, 2012

CEOs Support Higher Taxes and Debt Solution The nonpartisan Committee for a Responsible Federal Budget in cooperation with former Sen. Alan Simpson and former White House Chief of Staff Erskine Bowles has created a “Campaign to Fix the Debt.” Bowles and Simpson were co-chairs of the National Commission on Fiscal Responsibility and Reform. They proposed […]

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Bonds: The Long and Short of It

Pity today’s fixed-income investor. In the current ultra-low interest rate environment, finding a bond with a yield that outpaces inflation — let alone one that generates enough income to live off of — is not an easy task. One must either fish in the murky waters of “junk” — those issues considered non-investment-grade that are […]

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Washington Hotline – October 23, 2012

  Washington News Is Tax Reform Possible? In 2010, the National Commission on Fiscal Responsibility and Reform considered possible options for reforming the income tax system. The bipartisan commission was co-chaired by former Senator Alan Simpson and former White House Chief of Staff Erskine Bowles. The Bowles-Simpson tax solution involved a substantial reduction in the […]

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Social Security 2013 Cost of Living Adjustments

Cost-of-Living Adjustment (COLA): Based on the increase in the Consumer Price Index (CPI-W) from the third quarter of 2011 through the third quarter of 2012, Social Security and Supplemental Security Income (SSI) beneficiaries will receive a 1.7 percent COLA for 2013. Other important 2013 Social Security information is as follows: Tax Rate: 2012 2013 Employee […]

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Who Invests in ETFs? Prudent, Long-Term Investors

A recent study from Vanguard addresses the stereotype that investors with exchange-traded funds (ETFs) are active traders and aggressive market timers.1 To the contrary, according to Vanguard, ETF investors are likely to exhibit long-term, buy-and-hold behavior, and their distinctions from mutual fund investors may be explained by personal and account characteristics. Critics of ETFs have pointed […]

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Section 529 Plans: Saving for College

Created in 1996, Section 529 plans offer a tax-advantaged vehicle for college savings. This article will explore the pros and cons of the plans and contrast them with other available savings options. Synopsis: Section 529 plans are state-sponsored college savings plans that allow flexibility in choosing a school and the opportunity for late starters to […]

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