The Federal Reserve has decided to keep interest rates steady after a report showed inflation rising at a slower pace than expected. This decision indicates that the Fed is closely monitoring economic indicators and adjusting its policies accordingly. Investors are eagerly awaiting further updates from the central bank on its plans for future rate hikes.
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Taking Your Required Minimum Distribution (RMD) Right Now Could be a Brilliant Move for Retirees
Investing in retirement accounts like IRAs and 401(k)s offers tax advantages, as contributions are tax-deductible and earnings are tax-deferred until withdrawal. However, starting at age 73, individuals must take required minimum distributions (RMDs), which can create a tax burden if reinvested improperly. Taking RMDs during market downturns can be beneficial, as it allows investors to withdraw more shares, reinvest them in taxable accounts for potentially lower capital gains taxes, and reduce future RMDs. Full Article
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