Improve Your Own Financial Life

It’s the responsibility of our Federal Government to make decisions that are in the BEST interest of ALL Americans. To do their job correctly they need to slow down, read, absorb, discuss, review and reflect on each and every new bill that comes before them. They should look at, NOT just “both sides” of the isle, but ALL SIDES of a bill, to be sure it makes the MOST sense for the country as a whole. I only hope that the new Congress can work together on something as serious as healthcare reform, and really get it right! We cannot afford any financial mistakes on this one.

Take advantage of the “Qualified Charitable Distribution” (QCD) deduction:

One of the lesser known pieces of legislation passed in the lame duck session of Congress last month, is one that allows seniors to make direct donations to charities from their IRAs in January, and have it count as a 2010 tax deduction. This is a great benefit for older Americans, because once you reach age 70 ½, you must begin withdrawing a minimum amount from your IRA each year, aka an RMD. If you fail to take out your RMD, you may be subject to a 50% tax penalty! However, if you make a “qualified charitable distribution,” you can take your normal RMD, and donate it to the charity of your choice, income tax free. This legislation was originally passed in 2006 for years 2007 and 2008, but the lame duck session of Congress re-introduced it for 2010, and extended the deadline until January 31st of this year. So, if you’re retired and haven’t taken your RMD yet for 2010, this is a great way to AVOID the penalty and do something GOOD for an organization you believe in!

Now is the time to realize that neither the New Congress nor any future laws, are solely responsible for your financial success. YOU are! No matter who will be elected President or Congressman or woman in the future, you must do YOUR part to improve your own financial life. Pass your own personal legislation to REDUCE debt and SAVE more for your retirement, today!