Interest Rate Expectations, 2024 IRS Standard Deduction, Annual Gift Tax Exclusion Increases

In this episode of the Planned Solutions Incorporated Podcast, As the last several months have demonstrated, the future path of interest rates is unknown. However, the expected path of interest rates can be discerned by examining the futures markets where investor thinking is reflected in prices and expectations for rate changes. Currently, the market is predicting that the current interest rate cycle has peaked and the Federal Reserve will start to lower interest rates by May 2024. Also, The federal standard deduction for income taxes will increase for all tax filers in 2024. However, many of the itemized deductions may have also increased due to increased mortgage rates and property taxes. Therefore, it is important for taxpayers to review their filing options, especially when it comes to state taxes, which often have a lower standard deduction than the federal level. Plus, The amount that an individual can gift to another individual in a given tax year without owing gift taxes, or being required to file a gift tax return, will increase from $17,000 to $18,000 in 2024. In some cases, gifting can be an important part of a long-term estate planning strategy. In addition, it is important to plan any gifts carefully to make sure they do not put retirement planning goals at risk and are structured properly to reduce any costs and tax filing obligations. Plus a look at the Planned Solutions Incorporated Office Bulletin Board - With the holidays quickly approaching, we want to make sure you are aware of our holiday schedule for this year. December 25th 2023 Closed January 1st 2024 Closed Given the above holiday schedule, as well as the holiday schedule of many of the companies that we work with, we ask that any forms or other requests that must be completed before year-end be submitted as soon as possible. If any paperwork or requests come in close to the end of the year, we will use our best efforts to process the forms or fulfill the requests but cannot guarantee that it will be completed in time due to factors beyond our control. Chase Armer's book- Financial Planning Insights is now available at: https://www.amazon.com/Financial-Planning-Insights-Decades-Planner/dp/1098306279?ref_=ast_author_mpb To subscribe to the Personal Finance Review (the written form of all the content we discuss on the podcast) please e-mail [email protected] The Personal Finance Review is published and distributed biweekly by Planned Solutions, Inc. for informational purposes only. Please seek the advice of a qualified financial planner before taking any action. Planned Solutions, Inc.