The changes made to the tax code by the Tax Cuts and Jobs Act (TCJA) of 2017 are now being felt full fledge, and despite early fears, some filers have been pleasantly surprised by their tax returns for 2018. Historically, one of the more loathsome tax rules over the years was the Alternative Minimum Tax (AMT) which disproportionately impacted earners in the Northeast and West Coast where wages and cost of living are higher. In 2018, the rules around AMT have changed increasing the amount of income you must earn to be impacted by the tax.
Before treating yourself on a new flat screen tv, consider your long-term finances and how one smart decision today can have a positive impact going forward. Although saving and investing are always a key to long term financial freedom, it may not be the best use of a tax refund windfall based on your current situation. There are a few things to consider before deciding on how a tax refund should be used:
The National Football League (NFL) season reached its conclusion yesterday when the New England Patriots defeated the Los Angeles Rams 13-3 at Mercedes-Benz Stadium in Atlanta, Georgia to win the Super Bowl. While New England Patriots fans are busy celebrating their sixth Super Bowl win in the past eighteen years and Los Angeles Rams fans are licking their wounds, some investors are looking to the final score to get a sense of how the stock market is likely to perform for the rest of the year.