In a recent issue of The American, Andrea, Head of Advanced Planning, discusses social impact investments. As it is becoming increasingly common to invest in a manner consistent with specific values and principles, you may want to learn about how to weave social investment into your investment plan. For the full article, please click here.
The Tax Cuts and Jobs Act was officially introduced by the House Ways and Means Committee Chairman, Kevin Brady on 2 November 2017. The 429 page proposed legislation builds on the baseline framework that was introduced back in September.
The new pension freedoms on offer since 6 April 2015 have allowed individuals to become more strategic in the way they access their UK retirement funds. Traditionally, the tax-efficient way to drawdown your assets in retirement is to access taxable assets, tax deferred assets and tax exempt assets. These freedoms provide the ability to meet retirement needs in a way that can also mitigate your tax bill.
It is not uncommon for individuals to hold a position in company stock within their 401k plans. These shares are often held alongside broader fund investments usually until an individual either leaves employment with the company or retires.
After much anticipation, last week Republicans released their roadmap for revamping the US tax code. Passage of large scale tax reform will almost certainly be met with resistance and this is only the first step in the process but it provides some important insight into the intended direction of the upcoming debate that will take place over the next few months.
We are now firmly post summer holidays and autumn is getting into full swing. With year end fast approaching, it can be a good time to begin thinking about year end planning strategies to help minimise tax.
The topic of money and how it should be saved, spent and invested is often intensely personal. What money means to individuals many times represents an amalgamation of life experiences, outlook and your innate behavioural tendencies. As different people view financial decisions and subsequent planning needs in very different ways, it can be a topic that is avoided among family members so as to maintain privacy, or avoid tense and awkward conversations.
Many people, at one point or another, think about leaving the ranks of conventional employment to start their own business. Sometimes the proposed business venture will be within the same industry and sometimes it will be a complete departure from their career to date. Taking the plunge into the world of self-employment can be scary but also incredibly rewarding. After all, being your own boss allows you to build something meaningful and should provide you with some flexibility that is often difficult to find when working for someone else. Giving credence to some of the important financial considerations can help you properly prepare for the transition.
Historically UK pensions have been a good way to achieve UK tax relief and it is also an opportunity for US persons living in the UK to efficiently use their excess foreign tax credits on their US tax returns. However, with the introduction of the tapered allowance for new pension contributions from tax year 2016/17, high earners are now restricted in their ability to make sizeable contributions and have fewer opportunities to seek tax relief.
There are many different considerations that come into play regarding trusts, depending on the type of trust you own and the tax status of the individuals who settle the trust and retain an ongoing benefit from the trust. As such, it is often important to review some of the basic rules associated with what makes a trust a US trust as opposed to a non-US ‘foreign’ trust.