Page 16 - Boca Exposure - December '21

Page 16, Boca Exposure
Book Review

Small Steps … Big Changes: Importantly, this is a book you In addition to being a Certified Life Coach, motivational
The Personal Stories Of A Life can benefit from reading front speaker, writer and trainer, Dale Brown has a Master’s Degree
in Physical Education and 20 years’ experience training elite
page to last ... or by turning to
Coach any “session” whenever you level athletes and traveling throughout the world with U.S.
feel the need for advice about a Olympic gymnastic teams and officiating high level athletic
By Nils A. Shapiro specific problem. events. I believe that she brings a “whole person” approach to
Many readers of As an interesting and helpful her understanding of human nature and the issues we all face.
Seabreeze newspapers need bonus, Dale has added at the end of Long retired now, I devoted most of my own career to the
no introduction to Dale each chapter a list of “take-aways” – publishing industry, including 15 years with a major book
Brown, the author of this brief thoughts to keep in mind from company. I have brought publishers and authors together for
month’s book selection. the previous section that will help books that have sold millions of copies, and in recent years
Dale’s own health and you to stay on the right path. have edited the authors’ manuscripts of 16 books. (I claim no
wellness column, Reality After reading Small Steps ... Big Changes, I purchased five credit for Dale Brown’s book; she accomplished that on her
Check, has appeared from more copies from Amazon and had them shipped to my five own.) Yet I can honestly say that I have not read any that will
time to time in a number of grown grandchildren, four of whom are married. It was my way provide wiser, more helpful advice and information than Small
Seabreeze’s publications. of introducing my family to a wise woman I had met more than Steps ... Big Changes.
Her professional training as a dozen years ago – and whom I know will become a valuable I highly recommend it – for interesting reading, and for the
a certified life coach and motivational speaker – in addition friend-and-advisor-in-print to them in the coming years through comfort of knowing it will be there for you should you ever
to other skills, which will be touched upon later here – have the pages of this wonderful, important new book. need its guidance.
provided Dale with a wealth of experience in helping clients
to confront, understand and successfully resolve the many
different kinds of issues that all of us must come to terms with
at various times in our daily lives.
What’s more, Dale’s writing style is warm, friendly and
very personal; you soon have the feeling that you are hearing
The problems discussed here range so widely that they Appropriate Checklists for
from a very dear and caring friend. Raymond James Financial Services, Inc.

are certain to cover virtually everyone’s personal situation, Arthur Rottenstein
whether they relate to your own issues or those of family Year-End Tax Planning
members or friends that you wish could be changed: an Registered Securities Principal
annoying attitude; whining and complaining; constant What are appropriate checklists for year-end tax 561-241-6616
blaming; denial of a problem; being too judgmental; a negative planning? ArthurRottenstein@
RaymondJames.com
Tax planners often develop checklists to guide taxpayers toward year-end
outlook on life; poor communication skills; inability to cope strategies that might help reduce taxes. Typically, suggestions are grouped bocaratonfinancialplanner.com
with crises; the need to “lighten up”; getting rid of bad habits; into several different categories, such as "Filing Status" or "Employee
Matters," for ease of reading. When year-end approaches, it might be wise
aging gracefully; setting goals for yourself ... these topics just to review each suggestion under the categories that may apply to you.
scratch the surface of 62 sections that are covered in the pages Filing status and dependents
• If you're married (or will be married by the end of the year), you should
of this book. compare the tax liability for yourself and your spouse based on all filing Joseph Carpenito
You are certain to recognize yourself, or someone you care statuses that you might select. Compare the results when you file jointly
and when you file married separately. Determine which results in lower
about, in a number of the life situations described in these pages. overall taxation. Financial Advisor
It is only natural that, when any of us is in one of these • If you and several other people financially support someone but none of 561-241-6616
you individually qualifies to claim the individual as a dependent, you should
difficult personal situations, complex emotions and other factors consider making an agreement with all of the other parties to ensure that Joseph.Carpenito@
block us from thinking clearly enough to deal with the problem at least one of you can claim the individual as a dependent. Certain tax raymondjames.com.
benefits may be available if you can claim an individual as a dependent.
ourselves. That’s why Dale Brown – who combines training as Family tax planning 301 Yamato Road, Suite 3160
a certified life coach with her own natural wisdom and caring • Determine whether you can shift income to family members who are in Boca Raton, FL 33431
lower tax brackets in order to minimize overall taxes.
nature – has drawn on all of her many years of experience and Tip: However, under the kiddie tax rules, the unearned income of a child
success with clients to provide here, as in personal private in excess of $2,200 (in 2020 and 2021) is taxed at the parents' tax rates. The kiddie tax rules apply to: (1) those under age 18, (2) those age 18 whose earned
income doesn't exceed one-half of their support, and (3) those age 19 to 23 who are full-time students and whose earned income doesn't exceed one-half of
counseling sessions, the sensible, small, easy-to-take steps that their support.
are so often all that is needed to resolve the problem and set one • Consider making gifts of up to $15,000 (in 2020 and 2021) per person federal gift tax free under the annual gift tax exclusion.
Use assets that are likely to appreciate significantly for optimum income tax savings.
back on the path to a happy, more relaxed and fulfilled life. • Take advantage of tax credits for higher education costs if you're eligible to do so. These may include the American Opportunity (Hope) credit and the
Lifetime Learning credit. Note that these credits are based on the tax year rather than the academic year. Therefore, you should try to bunch expenses to
maximize the education credits.
Council Corner: Tip: If you have qualified student loans (and meet all necessary requirements), you may be entitled to take a deduction for the interest you paid during the
year. The maximum amount you can deduct is $2,500.
Employee matters
#RunTheCity Update • Self-employed individuals (who generally use the cash method of accounting) can defer income by delaying the billing of clients until next year. You may
also be able to defer a bonus until the following year.
• Use installment sale agreements to spread out any potential capital gains among future taxable periods. However, the gain on the sale of publicly traded
– Almost Done! stock or securities cannot be spead out.
Business income and expenses
• Accelerate expenses (such as repair work and the purchase of supplies and equipment) in the current year to lower your tax bill.
• Increase your employer's withholding of state and federal taxes to help you avoid exposure to estimated tax underpayment penalties.
• Pay last-quarter taxes before December 31 rather than waiting until January 15.
• In certain circumstances, it may be possible for the full cost of last-minute purchases of equipment to be deducted currently by taking advantage of
By Boca Raton City Section 179 deductions or additional first-year depeciation deductions.
Councilman Andy Thomson, • Generally, you are able to make a contribution to your employer retirement plan at any time up to the end of the year.
Financial investments
who was first elected during • Pay attention to the capital gains tax rates for individuals and try to sell only assets held for more than 12 months.
the special City Council • Consider selling stock if you have capital losses this year that you want to offset with capital gain income.
• If you plan to sell some of your investments this year, consider selling the investments that produce the smallest gain.
election in 2018, and re- Personal residence and other real estate
elected without opposition • Make your early January mortgage payment (i.e., payment due no later than January 15 of next year) in December so that you can deduct the accrued
interest for the current year that is paid in the current year.
to the Council. • If you want to sell your principal residence, make sure you qualify to exclude all or part of the capital gain from the sale from federal income tax. If you
We keep moving in my meet the requirements, you can exclude up to $250,000 ($500,000 for married couples filing jointly). Generally, you can exclude the gain only if you used the
home as your principal residence for at least two out of the five years preceding the sale. In addition, you can generally use this exemption only once every
#RunTheCity initiative, two years. However, even if you don't meet these tests, you may still be able to qualify for a reduced exclusion if you meet the relevant conditions.
where I’m running and • Consider structuring the sale of investment property as an installment sale in order to defer gains to later years. (However, the gain on the sale of publicly
traded stock or securities cannot be deferred.)
cleaning all 475 miles of • Maximize the tax benefits you derive from your second home by modifying your personal use of the property in accordance with applicable tax guidelines.
Boca Raton streets in 2021. Retirement contributions
• Make the maximum deductible contribution to your IRA. Try to avoid premature IRA payouts to avoid the 10 percent early withdrawal penalty (unless you
At this point, the journey is almost complete! Since Jan. 1, meet an exception). Contribute the full amount to a spousal IRA, if possible. If you meet all of the requirements, in 2020 and 2021 you may be able to deduct
here’s what we’ve done: annual contributions of $6,000 to your traditional IRA and $6,000 to your spouse's IRA. You may be able to contribute and deduct $1,000 more if you're at
least age 50. Contributions to an IRA can generally be made at any time up to the due date (not including extensions) for filing a given year's tax return.
- Ran 374.53 miles (79 percent of Boca Raton streets); • You may also be able to make nondeductible contributions to a Roth IRA. The same dollar limit applies to all contributions to your traditional and Roth
- Cleaned up 1,212.96 pounds of trash, including 504 IRAs combined. Qualified distributions from a Roth IRA can be received tax-free.
• Set up a retirement plan for yourself, if you are a self-employed taxpayer.
pieces of PPE; • Set up an IRA for each of your children who have earned income.
- Identified 313 safety improvements; • Minimize the income tax on Social Security benefits by lowering your income below the applicable threshold.
Charitable donations
- Had 413 volunteers join us to help keep their city clean • Make a charitable donation (cash or even old clothes) before the end of the year. Remember to keep all of your receipts from the recipient charity.
and safe. • Use appreciated stock rather than cash when contributing to charities. This may help you avoid income tax on the built-in gain in the stock, while at the
same time maximizing your charitable deduction.
That last part has been the most rewarding. Volunteers • Use a credit card to make contributions in order to ensure that they can be deducted in the current year.
from community groups and nonprofits across our city Adoption and medical expenses
• Take advantage of the adoption tax credit for any qualified adoption expenses you paid. In 2021, you may be able to claim up to $14,440 (up from $14,300
have partnered with #RunTheCity, including Christ in 2020) per eligible child (including children with special needs) as a tax credit. The credit begins to phase out once your modified AGI exceeds $216,660 (up
Community Church, Boca Raton Innovation Campus, from $214,520 in 2020), and it's completely eliminated when your modified AGI reaches $256,660 (up from $254,520 in 2020).
• Maximize the use of itemized medical expenses by bunching such expenses in the same year, to the extent possible, in order to meet the 7.5% threshold
Boca Raton Regional Hospital, Boca Raton Historical percentage of your AGI.
Society, Riviera Civic Association, Boca Save Our This information, developed by an independent third party, has been obtained from sources considered to be reliable, but Raymond James Financial
Beaches, the Spanish River High School cross-country Services, Inc. does not guarantee that the foregoing material is accurate or complete. This information is not a complete summary or statement of all available
teams, Rotary Club of Downtown Boca Raton, Boca Raton data necessary for making an investment decision and does not constitute a recommendation. The information contained in this report does not purport
to be a complete description of the securities, markets, or developments referred to in this material. This information is not intended as a solicitation or
Community Church, Addison Mizner School PTA, and an offer to buy or sell any security referred to herein. Investments mentioned may not be suitable for all investors. The material is general in nature. Past
the Junior League of Boca Raton. After speaking to their performance may not be indicative of future results. Raymond James Financial Services, Inc. does not provide advice on tax, legal or mortgage issues. These
matters should be discussed with the appropriate professional. Securities offered through Raymond James Financial Services, Inc., member FINRA/SIPC, an
classes, several elementary school children asked me to independent broker/dealer, and are not insured by FDIC, NCUA or any other government agency, are not deposits or obligations of the financial institution,
join them to run and clean their communities. are not guaranteed by the financial institution, and are subject to risks, including the possible loss of principal. Investment Advisory services offered through
Raymond James Financial Services Advisors, Inc. The information contained within this commercial email has been obtained from sources considered reliable,
but we do not guarantee the foregoing material is accurate or complete.
Council Corner on page 18