Finance Knuggets

Feb 28, 2024

I recently learned about the potential impact of the Capital Gains Tax Exclusion for Homeowners, specifically the Section 121 Exclusion that helps homeowners reduce capital gains taxes after selling their homes. There are eligibility tests and numerous exceptions that may apply, so it’s important to know the requirements before determining whether one qualifies.

I also came across an interesting article discussing the potential benefits of using a 25×4 Portfolio Allocation in the current economic climate, as opposed to the traditional 60/40 portfolio. With interest rates and inflation at their highest in decades, many investing experts are suggesting that this alternative portfolio allocation may be a better option.

In other news, it seems that Congress is facing challenges with important must-pass legislation due to intraparty fighting. The article delves into the movements and future expectations of Congress, highlighting the current dysfunction and the potential impact on democracy.

Finally, I learned about the rising cost of loneliness in retirement and the potential threat it poses to a happy and healthy retirement. It’s interesting to note that the article provides steps to build social capital and mitigate the impact of loneliness in retirement. Additionally, there were some tips shared on managing retirement savings in the stock market, including options such as lifetime annuities, high dividend portfolios, balanced portfolios for IRA withdrawals, and a conservative estimate of market performance.

Stay Well!