Small business owners face many challenges, which may become even more significant during inflation. As inflation hit new highs in recent years, small business owners are being tested and challenged by high costs and high interest rates that have caused some to close their doors. So, how do small business owners weather the storm of inflation? Here are a few tips to help you get through it.

Forbes Recognizes Enzo T. Pellegrino, CFP® As a Best-In-State Wealth Advisor

San Antonio, TX - April 4, 2024 - Enzo T.

March was yet another strong month for stocks, with the S&P 500 rallying roughly 3%, bringing first quarter returns to about 10%.  This robust start to the year comes on the heels of a great close to 2023.  In fact, when we look at the last 6 months the S&P 500 has gained over 20%. (YCharts)

While it’s important to participate in periods of stock market strength we’re always on the lookout for signs of economic and market weakness.  Currently, we are positioned for growth as we believe there are few signs of an imminent recession. 

One of the most important influences on the outlook for both the economy and stock market this year is Federal Reserve policy.  The intense focus on the Fed comes as a result of shifting policy (from restrictive to accommodative), and investors’ desire to know when the expected shift will become reality.

The March Fed meeting was an interesting and important one as it provided some updated clarity on this topic.  Today, we’re going to highlight the biggest takeaways from that meeting:

When it comes to financial accounts like the IRA, details are everything. Look past the surface, examine it closer, and you may be surprised that numerous accounts, including your IRAs, contain hidden gems and little-known facts you didn’t know existed. These are the moments when you may discover there are some rules out there that may benefit you and your financial strategy.

Baby Boomers — those born between 1946 and 1964 — hold about $20 trillion in wealth.¹ Over the next few decades, many Boomers may transfer this wealth to their Gen X, millennial, and Gen Z children, perhaps incurring a hefty tax bill. Here are some ways to handle multigenerational estate planning so that the generations after you may keep these assets in the family.

A qualified charitable distribution, or QCD, allows you to distribute funds from your IRA to an eligible charity (a 501(c)(3) organization) as long as you’re 70 1/2 years of age or older. Since the gift will go directly to the charity, you can exclude the dollar amount of the gift from your taxable income up to $100,000 each year.

Approximately 60 million workers contribute to a 401(k)-retirement plan. A 401(k) is a tax-advantaged retirement savings plan companies offer employees and is funded through elective salary deferrals. There are several \ benefits to having a 401(k), especially if you are a high earner, that offer ways to build a substantial retirement. However, there are some downsides to keep in mind.

If you're considering giving back to society or a cause as part of your financial planning, there are many ways you can do so. You can make an impact while receiving tax benefits by including philanthropic giving as part of a holistic approach to charitable giving in your financial plan.

The combination of investments you choose is as important as the individual investments themselves. In fact, many experts argue that it's even more important, since the mix of various types of investments accounts for most of the ups and downs of a portfolio's return.

A backdoor Roth IRA transfers money from a traditional account to the Roth. The “mega” backdoor is a strategy employed by people with a 401(k) plan at work. It is often pursued by higher-income earners who aren’t able to contribute to a Roth IRA because their income exceeds the limit.