Ziese & Associates, Ltd.




Tax & Financial Services For Individuals and Small Businesses

Doing your taxes on your home PC?

We can still help. Consultations ($ 35 per half hour) are available to answer your questions and help you minimize your taxes. Call us.

We provide tax preparation and record keeping services for individuals, trusts, and small businesses. We are well-versed in both state and federal tax procedure and tax law. Kathy represents many clients who have income from several states, requiring multiple state tax returns. Bob provides estate and trust planning, creation, and administration.

NEW TAX  NEWS

 

March 2004

 TAX    NEWS

                IRS ‘LOST' RECORDS EXCEPTION DEPENDS ON CIRCUMSTANCES

                SOMETIMES, THE IRS WINS YOUR JUDGMENT

November 2003

TAX    NEWS

Rx for Savings: Use Flex- Dollar Accounts

 

July 2003

TAX    NEWS

JOBS & GROWTH TAX RELIEF RECONCILIATION ACT OF 2003

 

March 2003

TAX    NEWS

             Tips for keeping and shredding records

 

December 2002

TAX    NEWS

             Adoption Credit

September 2002

TAX    NEWS

                Minimum IRA Distributions Reduced Again

                Important Times to Seek Advice

                                                                June 2002

TAX    NEWS

                Guard Against Identity Theft

                Non-Profit Toolkit Available

March 2002

TAX    NEWS

                Gift Tax Limit Increased

                Retirement Contributions Limits Increased

See Our Newsletter page for earlier information

 


 

Topics of Continuing Interest

May 2000

Good News for Seniors Collecting Social Security

On April 7, 2000, President Clinton signed into law the "Senior Citizens’ Freedom to Work Act of 2000". Some sources have incorrectly stated that at age 65 you can earn as much as you want without having to pay back your Social Security benefits.

In reality, the Act changes the "age 70" provisions for unlimited earnings to "retirement age". The keyword is "retirement age" which is defined as the age when a taxpayer can receive full Social Security benefits. For those who reach age 65 prior to January 1, 2003, this is age 65. For those who reach age 65 after 1/1/2003, the "retirement age" changes depending on when the taxpayer was born.

Year of Birth

Normal Retirement Age

1938

65 and 2 months
1939 65 and 4 months
1940 65 and 6 months
1941 65 and 8 months
1942 65 and 10 months
1943-54 66
1955  66 and 2 months
1956 66 and 4 months
1957  66 and 6 months
1958 66 and 8 months
1959 66 and 10 months
1960 and after 67

 

 

 

 

 

 

 

 

 

 

Don't Roll All of Your 401(k) into an IRA?

If you change jobs or take early retirement, you don't have to transfer all of your 401(k) savings into an individual IRA. The standard advice is to roll the 401(k) into an individual IRA. But, if your last company funded the 401(k) with their own stock, you may fare better by taking possession of the company stock. You will owe up-front tax on the cost basis of the employer shares, but the increased value isn't taxed until you or your heirs sell the stock. The math is tricky- don't do it if you have to use 401(k) assets to pay the tax or if your company stock is a loser.

Why Doesn't my Social Security Statement tell me how much I can expect to receive in spouse's benefits when my husband retires?

Social Security keeps only a record of individual's earnings as reported by their employer or by an individual if he or she is self-employedBecause SS doesn't know whether you're married or to whom you're married, SS can't give you an estimate of how much you would receive as a spouse.  If you're married and will receive benefits based on your spouse's earnings record, at full retirement age, you would expect to receive an amount equal to half of what your spouse receives.  If you retire earlier than your full retirement age, your benefits would be reduced according to your age at the time you begin receiving them.

 

Retirement Planning Strategies

Business Week magazine's Annual Retirement Guide ----  Business Week annually publishes it's guide  retiring. The articles on the Web site have pointers to information on Asset Allocation, Reverse Mortgages, and other retirement topics.

Valuable Web Sites

Here are some of the Web sites we visit for uptodate information:

    US Internal Revenue Service Digital Daily

    New Jersey Division of Taxation

    Federal Reserve Bank of New York

     Social Security Administration

     FHA & HUD
 
 

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