Retirement Portfolio Asset Allocation by Age: What You Need to Know
As investors approach retirement, their portfolio asset allocation changes. This change is due to a decrease in volatile assets. Older investors decrease portfolio volatility because they soon will start taking distributions. Taking distributions from a volatile portfolio can negatively impact investment principal and, thus, retirement income.
How to Know if You Qualify for a 1031 Exchange
So you’ve done your research and made your decision: you want to take advantage of a 1031 exchange to defer taxes related to your real estate investment. So how exactly do you qualify for this tax strategy?
The Top 10 Things You Should Know About 1031 Exchanges
Internal Revenue Code §1031 provides real-estate investors with a powerful tool known as a “1031 exchange.” What does it do exactly? It allows investors to hold on to gains they’ve made from their real-estate investments without having to pay taxes on the gains. That’s pretty sweet.
What is the 3K Capital Loss Rule?
Declaring losses on tax returns is one way to offset capital gains. Reducing capital gains in this way reduces the investor’s potential tax bill. But there are certain rules to follow, and not all losses can be deducted for the current year.
You Can 1031 Exchange Into A REIT, Here's How
Can you transition a property into a Real Estate Investment Trust (REIT) using a 1031 exchange? Yes, but it requires caution. While the IRS doesn't consider direct exchange of REIT shares as 'like-kind,' a sequence of steps that are followed can facilitate the successful completion of the exchange. This implies that transforming an investment property into a REIT via a 1031 exchange is feasible but entails meticulous compliance with IRS rules.
