Website Logo
Website Logo

Abnormal Economy, Abnormal Markets

While still below January’s pre-pandemic level, the U.S. economy has made great progress since the lifting of lockdowns and restrictions. Yet today’s economy is far from normal and, in many ways, is quite abnormal. The rapid closing and reopening of large swaths of the nation’s economy, combined with massive government support, has caused numerous distortions not seen in normal times. For example: Home sales are booming despite high unemployment. Government bond yields are at record lows despite a flood of newly issued debt. And many online and so-called essential retailers have seen their sales soar while others deemed nonessential have […]

Read More…

How the CARES Act May Affect Your 2020 Taxes

October 2020 The CARES Act was passed in the spring in an effort to help Americans through the pandemic and ensuing economic turmoil. It also may provide a few additional tax benefits for donors to your organization. There has been a fair amount of confusion given the expedited rollout of the CARES Act this year. Our experience is that clarity on such changes in many instances comes too late in the tax year, resulting in donors and organizations being unable to maximize the potential benefits. This information is intended to help you understand how current tax law changes can help […]

Read More…

The Recovery Begins

We’ll start with good news: the recession that began in February has already ended. That is not to say that the economy is back to where it was in January. It is far from it. But, according to the National Bureau of Economic Research (the official arbiter for defining U.S. recession periods), a recession is a period of diminishing rather than diminished activity. And as states began easing lockdown restrictions, economic activity was no longer diminishing, but rather expanding. For example, see May’s record monthly increase in retail sales as shown in the chart below. Thus, the steepest recession since […]

Read More…

New Laws and Tax Strategies for 2020

June 2020 Over the past six months, Congress has passed two new laws that affect retirement, charitable giving, and estate planning. The new laws known as the SECURE (Setting Every Community Up for Retirement Enhancement) Act and the CARES (Coronavirus Aid, Relief, and Economic Security) Act present changes and opportunities for some common planning concerns. In this paper we discuss a few of the laws’ changes and provide suggestions for actions that may be beneficial to your own financial plan.   Changes to Required Minimum Distributions (RMDs)   The SECURE Act raised the starting age for RMDs from qualified retirement […]

Read More…

Maintain a Disciplined Approach

April 2020     Mitigation efforts to slow the spread of COVID-19 are affecting the daily lives of people around the world. Some 2.6 billion people are now living under government imposed restrictions due to the virus. What seemed in February to be an event limited mostly to China, much like SARS in 2003, has quickly become a global pandemic. The mandatory closings of schools, businesses, and other institutions to slow the virus’s spread has layered financial losses on top of health concerns and left many investors fearing more to come.   The degree to which the virus mitigation efforts […]

Read More…

A message about the market’s reaction to Coronavirus

Given recent events, extreme volatility, and understandable concern, we want you to know we are very much present and assessing new information as it becomes available. We have a long-established business continuity plan in place, designed to ensure the safety of our staff and visiting clients and to ensure we are available for you at any time. As is so often the case, bouts of extreme market volatility are generally triggered by unforeseen events and culminate in capitulation and panic selling. Are we there yet? Impossible to say, but we do know this much: extreme measures are now being taken […]

Read More…