The Gig Economy is an activity where people earn income providing on-demand work, services, or goods. All Income from Gig work needs to be reported on your tax return. The company you are working with must only report it to IRS on Form 1099 if it is over a certain limit. You must report your […]

In today’s world of change and being different, the Gig Economy is a relatively new term for a way of earning money. The Gig Economy relates to individuals making money through offering personal services or renting personal property, often through the use of an app or website. Think Uber or Lyft drivers for rideshare services. […]

Required Minimum Distributions (RMDs) have been in the financial news a lot lately. There is much confusion about RMDs and hopefully, we can clear some of that up.

We get questions on what an RMD is: all I can take, how is the amount determined, do I have to take out of each account, etc.

Many people are shocked to discover when they begin collecting Social Security that part of their benefits can be taxable. Up to 85% of your Social Security benefits may be taxable at the federal level, depending on your other income. The taxability of Social Security varies from state to state. Most states do not tax […]

With so many people finding themselves out of work and trying to make ends meet due to COVID-19, unemployment benefits are helping many to supplement the loss of wages. When filing for unemployment benefits, many people choose not to have federal or state tax withheld. Having no taxes withheld means the weekly amount received is […]

Roth conversions are a means of paying the taxes on retirement accounts that are currently tax-deferred. Tax-deferred means I am not paying taxes now and I will have to pay taxes in the future. Roth conversions allow you to pay taxes based on the value of the account today. In the future, the account will […]

Those of you who already work with Planning with Purpose understand that we are huge proponents of Roth accounts. Do you really understand the reasons why?

On March 21, 2020 IRS extended the 2019 tax season to July 15th due to the Covid-19 outbreak. This is an automatic extension; taxpayers do not need to file an extension. Unlike most extensions, it also extends the date of any balance due on 2019 tax without penalty or interest to July 15th. This extension […]

We often hear questions and see confusion regarding the terms taxable, tax deferred and tax-free.