Refresh and renew your portfolio this spring
Review your cash flow and tend to your RMDs as tax season approaches.
April 7: Good Friday
May 29: Memorial Day
Dates To Remember
For deadlines that fall on a weekend, action may need to be taken by the preceding weekday.
April 18: Tax day – the deadline to file your 2022 tax return and pay taxes or request an extension. Also, first quarter estimated tax payments are due, if required.
April 17: Last day to contribute to traditional and Roth IRAs or health savings accounts for 2022.
Nurture financial wellness
April is National Financial Literacy Month, the perfect time to tune in to new personal finance resources. That includes the Raymond James “For What It’s Worth” podcast: quick educational episodes that spotlight our industry specialists’ perspective on current events and how they affect your financial picture. Plug into sage insight through your favorite podcast app, or listen online at raymondjames.com/fwiw.
Things to do
- Mind your RMDs: If over 72, take required minimum distributions (RMDs) from your IRAs and qualified plans. You must begin RMDs by April 1 the year after you turn 72. Subsequent distributions must be taken by Dec. 31 each year. That means if you reached 72 during 2023, and you delayed your 2022 initial RMD until April 1, 2023, you still have to take your 2023 RMD before Dec. 31, 2023. For more information, go to irs.gov/rmd.
- Home in on housing: If you’re considering buying or refinancing a home, keep an eye on mortgage rates and plan to review the terms with your advisor – this transaction will impact your financial plan.
- Consider an extension: If applicable – particularly if you hold securities subject to income reallocation – ask your tax advisor if filing an extension with the IRS would be beneficial.
- Tune up your portfolio: Similar to your retirement accounts, consider a seasonal review of your portfolio to ensure your allocation is optimal for your objectives.
Review your cash flow: Make sure all expenses are considered and that you’re still allocating enough to your savings, retirement and “rainy day” accounts. Flexible liquidity is key.
- Consolidate and donate: Create a spring cleaning ritual and let go of the clutter consuming space in your home – digitizing your files is a good place to start. Though giving items away offers its own benefits, remember to get a qualified appraisal for more valuable donations.
- Comb through your credit report: Making a habit of checking your credit report at least once a year can help you detect and dispute errors.
Withdrawals from tax-deferred accounts may be subject to income taxes, and prior to age 59 1/2 a 10% federal penalty tax may apply. Roth IRA owners must be 59 1/2 or older and have held the IRA for five years before tax-free withdrawals are permitted. The process of rebalancing may result in tax consequences. Asset allocation does not guarantee a profit nor protect against loss. Investment products are: not deposits, not FDIC/NCUA insured, not insured by any government agency, not bank guaranteed, subject to risk and may lose value. © 2022 Raymond James & Associates, Inc., member New York Stock Exchange/SIPC. © 2022 Raymond James Financial Services, Inc., member FINRA/SIPC. Raymond James financial advisors do not render legal or tax advice. Please consult a qualified professional regarding legal or tax advice.