Even adults can score some freebies on Halloween.
Krispy Kreme is giving out free donuts for Halloween at participating locations. With the promotion, you can get any doughnut you want (even a fancy Halloween-themed creme-filled number) for free. So you’re not stuck waiting in line to just get an original glazed (even though they are delicious).
Krispy Kreme’s Facebook event for the promotion says that the deal excludes grocery and convenience stores, and is not available at Krispy Kreme stores in Mobile or Foley AL, Jersey City NJ, Iowa, Louisiana, or Nebraska.
Fortune reports that Chipotle will be giving anyone who shows up to one of its stores in costume on Halloween a burrito, burrito bowl salad, or taco for just $3, and By texting “Boorito” to 888222, patrons will be entered into a contest for a year of free burritos, as long as they don’t live in Alaska, Hawaii, or Canada.
Hey! We need your help. To kick off 2018 Oak Street Advisors will be doing a blog series "100 Financial Planning Questions answered in 100 days"
What questions would you like to see answered in this series?
To get you started here are some of the categories we plan to cover:
While there is a laundry list of topics to discuss from President Trump’s vague tax reform initiative, I’m going to focus on how various rumblings about the tax plan on 401(k) plans could affect not only those employer plans, but what could possibly develop into a great shift of assets out of 401(k) plans and into other retirement vehicles.
First, know that Trump stated that there will be no change to the way 401(k) plans are run, and the tax advantages inherent with said plans.
Yes, it’s 2017 and we get our tax plan details via Twitter.
However, there have been rumors from Republicans that to pay for the tax cuts they propose, they will limit most of the deductions Americans use today to lower their taxable income. One of the ways representatives are ideating to make up for the proposed tax cuts would be to lower the limits on deductibility of 401(k) contributions.
One proposal calls for lowering the deduction limits in such plans from $18,500 in 2018 to only $2,400 annually. This is a significant decrease and if it moves forward, could forever change the approach many businesses take in designing an employer-sponsored retirement plan.
While they plan to lower limits inside 401(k) plans, they intend to increase limits for after-tax contributions in Roth IRAs and therefore, would probably do the same for Roth 401(k) contributions. Clearly motivating Americans to pay the taxes now so they can pay for their tax plan, rather than incentivize savers to defer paying taxes until retirement.
These changes will motivate employers to adopt Roth 401(k) options, switch to SIMPLE IRA plans (that have very specific limitations in plan access and contribution limits) or simply get rid of these plans altogether. If employers continue to reap the benefits of tax deductions for Roth 401(k)s, just as they do for traditional and Roth 401(k) plans currently, then we may see things continue as is.
However, if the government eliminates those tax benefits for employers to pay for the tax cuts we will see the demise of the majority of 401(k) plans. This reduces tax benefits for both employers and plan participants. In such a scenario, we would see a great transfer of assets from 401(k) plans to Roth IRAs from both employers and employees. A great opportunity for advisors- with many setbacks for investors.
First, savers will be able to access ALL of their principle within a Roth IRA. Currently, 401(k) plans limit borrowing to 50% of the account balance or $50,000. I don’t see this as a benefit to Roth IRA owners. If anything, it will allow for more opportunity for account depletion by gaining access to a much larger pile of retirement money that was previously inaccessible.
Second, in reducing the matching component of a traditional or Roth 401(k) plan, I see a reduction in the number of Americans who save for retirement. We all know Americans don’t save enough for retirement now, imagine how many fewer would without the monetary incentive to receive “free money” from employer matching contributions.
Lastly, the effect on the small business owner needs to be discussed. Yes, Trump plans to lower corporate taxes for C-Corps to 20% and down to 25% for other small business entities. However, losing the ability to max out their 401(k) accounts with both their contributions as an employee and matching from the business ($53,000 in 2017) would be detrimental to middle class small business owners. Many are used to deferring tens of thousands of 401(k) contributions each year, so limiting this to $2,400 would certainly deter small business owners from establishing or maintaining a costly 401(k) plan.
Don’t get me wrong, I LOVE a Roth IRA and Roth 401(k) for younger investors. And millennials tend to better savers then past generations, as we watched first hand as the previous generations struggled through the Great Recession and are currently weathering life with what seems to be insurmountable student loan debt. However, the change proposed by the government will truly only benefit that generation. Older investors moving to a Roth vehicle, especially those planning to receive less taxable income in retirement compared their current employment income, are left out to dry.
Now, the government could allow business owners to continue to make non-elective deferrals through Roth 401(k) plans, but based on the way things are looking to be structured, I highly doubt that benefit would remain as Trump’s plan calls for taxation now to pay for the cuts rather than incentivizing savers to defer taxes until they withdraw assets in retirement.
Financial planning and investment management are about connecting your resources to the lifestyle you want to live. Investments are neither good nor bad. What matters is do they help you reach your goals. People who are clear on what they want from their life and their money can find happiness no matter the balance in their checkbook.
To make that clear we are highlighting some clients who are living well and achieving their goals. This month we are featuring E. Monroe, who recently returned from a work/pleasure trip to Alaska. This is certainly on my bucket list and maybe on yours too.
I work for a local travel agency. My primary role is to facilitate travel for the group of clients we
serve. Many are retirees and part of a neighborhood travel club or one of the other types of
travel groups we serve.
Ninety percent of the time, I am in the office coordinating the many aspects of group travel.
Every once in awhile, I will have the good fortune to travel with our larger groups, as was the
case this summer.
My Alaska cruise and land tour was not something I picked as a vacation for myself. It was a
work trip. Although I am always excited about the opportunity for a new experience, it was hard
to wrap my head around going to someplace where the high temperatures would struggle to hit
60 in August. But I am so glad I went!
Our cruise departed from Vancouver, Canada. We secured a hotel allowing the group to arrive
the day prior, which is always recommended. Several couples flew in a day or two early and
enjoyed tours of this beautiful city.
Once on board the Celebrity Millennium our agents were working on details for our group, and
the guests were enjoying the restaurants and lounges while waiting for their staterooms.
Finally that festive moment arrives when all are on board, the muster drill is complete, the ship
horn sounds to alert you that we are underway.
The ship navigates through the Inside Passage; a coastal route for oceangoing vessels along a
network of passages which weave through the islands on the Pacific coast of North America.
Current weather conditions will dictate your experience here. Ours was misty fog, which lent to
an eerie quality on these calm waters.
Ketchican, The Salmon Capital of Alaska was our first port day. This city, as common in Alaska,
is only accessible by sea or air and boasts an average yearly rainfall of 12.5 feet on the liquid
sunshine gauge. I was happy to see our group really taking advantage of the many shore
excursions available. Mine was my first ever kayak experience with a guide who gave us a
wonderful tour around the active harbor. Whales were present, although we only saw their
spout. I learned about the 5 different types of salmon here!
Icy Straight Point was our next stop. The bustling city of Hoonah (population 350) with it’s proud
and resourceful natives, the Tlingit, taught us about what it takes to survive in this remote land.
Juneau is the state capital, accessible by sea or air only. The highlight here was a whale
watching expedition. We saw humpbacks splashing their massive tails, orca schools and an
island of sea lions.
Skagway, a town born from the 1898 Gold Rush, is accessible by land and we were greeted
with the first true day of sunshine here! Our excursion took us through some breathtaking
scenery, complete with salmon running to spawn in a stream with bear trampled banks. Our
destination was the camp where the Iditarod dogs train in the summer time.
Hubbard Glacier is the longest glacier in Alaska. We woke to this amazing sight from our
balcony. Weather conditions allowed our captain to position the Millenium only a quarter mile
away from this natural wonder.
At the end of the cruise, the ship docked in Seward, one of the oldest and most quaint
communities in Alaska. Here, coaches transported us to the closest airport in Anchorage. Some
chose to spend an extra day here, and about 35 of us continued on a land tour that included
Talkeetna, Denali National Park and Fairbanks. We saw a moose, a rare sighting of a wolf, dall
sheep, 3 grizzly bear and a distant view of Denali (formerly Mt McKinley).
So, in closing I will just say GO! Take that trip to Alaska! It is an amazing experience and very
different depending on when you travel in that short window of late May through mid
If you have an experience you would like to share please give me a call, I would love to hear from you!