February 2019

February 6, 2019

February 2019 E-Newsletter

This month, Susan and Jill celebrate 15 years in business! We have truly enjoyed these years of helping our clients make wise financial decisions and we are grateful to you as well as our amazing staff for helping us grow and succeed. We love coming to work every day!

We’re growing and seeking to add a planner in our Portland office. If you know of, or hear about, a CFP® practitioner with experience please let us know.

According to the National Retail Federation, consumers spend quite a lot on Valentine’s Day. $2 billion will be spent on flowers, $1.7 billion on candy, $4.3 billion on jewelry and $1 billion on cards. 20% of consumers spend money on valentines for their pets.

2018 Tax Packets

A few weeks ago, Carrie sent out tax packets to all clients with some or all of the following information:

At the very least your packet should have included the letter to the accountant. Please let us know if you have not received this information yet.

Speaking of Taxes…

We recommend that you get tax information to your accountant as soon as possible! Most accountants are working under a heavy load of clients, and will be quick to put you on extension if they don’t have your documents well before April 15th. An extension may buy you more time to file, but it doesn’t give you a reprieve from paying what you may owe the IRS. In fact, you could end up paying a penalty when you do file the actual return later in the year (note that for 2018 the penalty was reduced, but still exists.) In addition, filing early prevents fraudsters from filing a return in your name. Here’s a link to the IRS page on preventing identity theft.

You can help your accountant by forwarding as much tax information as you can now, or before their deadline. Let them get you loaded into the software so they can finish your return quickly when you send in the last pieces of information.

2019 Goals

Did you make a New Year’s Resolution? According to Franklin Covey, one-third of resolutions are abandoned by the end of January. To help you achieve success they suggest making them SMART: specific, measurable, achievable, relevant and time-bound. Among all of us here at Cornerstone, our 2019 goals include paying off student loans, running her first 5K race, sitting for the CFP® exam, running outside through the winter, home improvements and incorporating new time management practices. Can you guess which of our employees belongs to each goal?

Retirement Plan Limits are Up

The contribution limit for all types of retirement plans is up in 2019. For example, you can contribute $6,000 to an IRA or Roth IRA ($7,000 if over age 50) and $19,000 to a 401(k) ($25,000 if over age 50). We recommend increasing what you save to take advantage of the new limits. You’ll thank yourself when you reach retirement!

« Go back to Financial Planning Newsletters