Understanding Tax Loss Harvesting

Understanding Tax Loss Harvesting
What is Tax Loss Harvesting? When investments in taxable accounts do not perform as hoped and actually lose value, investors may be able to take advantage of tax benefits to help offset their losses. The concept of tax loss harvesting is fairly straightforward. It involves identifying investments that have lost value and selling them in order to generate capital losses. Then, investors can use those losses to offset capital gains realized by othe..
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Some Things Investors Need to Know About Booms and Busts

Some Things Investors Need to Know About Booms and Busts
Economies and markets are cyclical. They may include periods of wealth creation and times of bursting bubbles that bankrupt companies in a major downturn. "Boom and bust" cycles may last anywhere from a few months to a few years or longer. During boom times, the economy grows, there are more jobs, and the market provides investors with healthy returns. But during a bust, the economy contracts, jobs are lost, and the market falters. Eventually, th..
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Staying on Track with Your Retirement Investments

Staying on Track with Your Retirement Investments
Investing for your retirement isn't about getting rich quick. More often, it's about having a game plan that you can live with over a long time. You wouldn't expect to be able to play the piano without learning the basics and practicing. Investing for your retirement over the long term also takes a little knowledge and discipline. Though there can be no guarantee that any investment strategy will be successful and all investing involves risk, inc..
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Value Investing and Todays Affluent Portfolio

Value Investing and Todays Affluent Portfolio
A Philosophical Question Every consumer likes a good bargain, particularly value investors, who seek out stocks trading for less than their intrinsic value. By choosing companies the market has undervalued, or investing in mutual funds with similar objectives, value investors may realize positive returns. With proper diversification, the prudent use of a value-based investment philosophy may well serve the long-term needs of today’s investor. G..
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LPL Financial Research Midyear Outlook 2022: Navigating Turbulence

LPL Financial Research Midyear Outlook 2022: Navigating Turbulence
Markets rarely give us clear skies, and there are always threats to watch for on the horizon, but the right preparation, context, and support can help us navigate anything that may lie ahead. So far, this year hasn’t seen a full-blown crisis like 2008–2009 or 2020, but the ride has been very bumpy. We may not be flying into a storm, but there’s been plenty of turbulence the first part of 2022. How businesses, households, and central banks s..
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July 2022 Client Letter

July 2022 Client Letter
Dear Clients and Friends,   As the calendar has turned to July, investors would certainly like to forget the first six months of 2022. However, the Fourth of July Independence Day holiday does bring with it reason for celebration. Not only is it the 246th birthday of the United States of America, but July has historically been a pretty good month for stocks. Over the past 10 years, the month of July has been particularly good, with the S&P 500 I..
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Reasons You Should Plan to Live Until You’re 95

Reasons You Should Plan to Live Until You’re 95
How long do you think you will live? How long does your money need to last? If you’re like most people, you get this age wrong. The consequence? Faulty retirement planning, overspending now and running out of money before you actually reach your true longevity. Or spending too little now, depriving yourself of a comfortable retirement before your death. Tough Call Your longevity is the statistically expected number of years of life you have rem..
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A Survival Guide for a Bear Market – Six Crucial Steps

A Survival Guide for a Bear Market – Six Crucial Steps
A bear market is a prolonged period of price declines in securities, an index such as the S&P 500, or the overall stock market of usually 20% or more from a recent high. Bear markets can also signal economic downturns such as a pandemic, recession, or geopolitical crisis and may be cyclical or longer-term. Pessimism and overall negative investor sentiment may occur during a bear market, often leading to heard behavior, hasty decisions, and fear s..
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Steps to Protect Yourself From Identity Theft

Steps to Protect Yourself From Identity Theft
Identity theft is one of the fastest growing crimes in the United States, with as many as 10% of Americans over age 16 becoming victims last year, according to a bulletin from the Bureau of Justice Statistics. Identity theft is a type of fraud in which a thief uses your personal information to conduct transactions in your name. Criminals may, for example, use your identity to open or empty bank accounts, obtain credit cards, or take out loans. In..
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Largest Increase in Inflation Since December 1981

Largest Increase in Inflation Since December 1981
On Friday, June 10 th , the U.S. Bureau of Labor Statistics (BLS) reported that the Consumer Price Index for All Urban Consumers increased 1.0% in May after rising 0.3% in April. Worse, over the past 12 months, the Consumer Price Index increased 8.6%. According to BLS, “the increase was broad-based, with the indexes for shelter, gasoline, and food being the largest contributors. After declining in April, the energy index rose 3.9% over the mont..
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June 2022: A Bear Market is Officially Here

June 2022: A Bear Market is Officially Here
A bear market is officially here thanks largely to stubbornly high inflation. For many of us, it has probably felt like a bear market for a while now, but the S&P 500 Index didn’t close more than 20% below its January 3 record high until Monday. Tech stocks are down a lot more—the Nasdaq Composite is more than 32% below its November 2021 record high.   It’s hard to find a silver lining in inflation over 8%, but here’s the good news. Good..
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Are You a Non-Spouse Beneficiary of an Inherited IRA? The IRS Has New Rules for You

Are You a Non-Spouse Beneficiary of an Inherited IRA? The IRS Has New Rules for You
If you are a non-spouse beneficiary of an IRA, proposed IRS rules regarding distributions may impact your situation. In February 2022, the IRS and Treasury Department reinstated SECURE Act RMD requirements for IRAs inherited in 2020 or later. The new rules apply to non-spouse beneficiaries and distributions, and override earlier releases published in May 2021. Here are the essential distribution requirements non-spouse beneficiaries need to know ..
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Required Distributions: Changes You Need to Know

Required Distributions: Changes You Need to Know
The Setting Every Community Up for Retirement Enhancement (SECURE) Act of 2019 changed the rules for taking distributions from retirement accounts inherited after 2019. The so-called 10-year rule generally requires inherited accounts to be emptied within 10 years of the original owner's death, with some exceptions. Where an exception applies, the entire account must generally be emptied within 10 years of the beneficiary's death, or within 10 yea..
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Protect Financial Information from Prying Eyes on the Web

Protect Financial Information from Prying Eyes on the Web
As more and more consumers search for financial information on the Internet, they may inadvertently leave themselves open to being “tracked” by certain companies and individuals. Visitors to financial websites have created a large mass of information that is, in some cases, hardly private. Many marketing companies routinely employ software programs designed to identify you and your “surfing” habits on financial websites. Some are basic an..
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Three Things You'll Wish You'd Known Before Retirement

Three Things You'll Wish You'd Known Before Retirement
Retirement is one of the biggest life transitions adults will ever deal with. After 20, 30, or 40 or more years in the workforce, new retirees can find it hard to adjust to the reduced amount of structure in their daily lives. But after a few years of the retired lifestyle, what would retirees warn their younger selves about? Read on for three things you'll likely wish you knew before retiring.   Travel May Not Always Be an Option When you're st..
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What is a SIMPLE?

What is a SIMPLE?
There are many types of employer-sponsored retirement plans. One that may appeal to small businesses and to self-employed individuals is the savings incentive match plan for employees (SIMPLE) because, as the name implies, it is easy to set up and administer, and employers are allowed to take a tax deduction for the contributions that are made.   SIMPLEs can be established by small businesses that have 100 or fewer employees (who were paid at le..
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Annual Returns and Intra-Year Declines

Annual Returns and Intra-Year Declines
This chart illustrates a key point. Long-term investors should not overreact to short-term volatility. The bars in the chart show the price return for the S&P 500 each year back to 1980. The dots show the peak-to-trough decline that occured each year. The dots to an extent are somewhat inevitable. The market doesn't move in a straight line and each year will contain some correction. In fact, the average peak-to-trough decline in the past 42 years..
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Estate Planning: Don’t Just Set It and Forget It

Estate Planning: Don’t Just Set It and Forget It
Estate planning is critical for efficiently transferring your money, property, and assets to your beneficiaries after you die. The reason people choose an estate plan is that it avoids probate. One thing to keep in mind about your estate plan is not to set it and forget it. As life continues to change, your estate plan should reflect those changes too. Here are a few things to keep in mind as you continue to monitor and update your estate plan: ..
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Is the Sell in May and Go Away Really a Strategy?

Is the Sell in May and Go Away Really a Strategy?
One of the oldest stock market strategies is to “Sell in May and Go Away.” But what does this phrase mean?  Is there any historical reason for selling stocks in May and leaving the market?  What are the risks?   The “Strategy” “Sell in May and go away” is a well-known trading adage that suggests that investors should sell their stocks in May to avoid a seasonal decline in the stock market.  An investor selling his or her stocks in..
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Grow Old with Me--Live (Almost) Tax-Free

Grow Old with Me--Live (Almost) Tax-Free
What will you look for as you approach your "golden" years? Sunshine and the beach at your feet, or colder climates with your favorite cross-country skiing course outside your door? An affordable condo on the golf course with room for a visit from your grandchildren? Friends and family close by, or new "elder" friends living in close proximity? Excellent medical facilities nearby?   While the income of older Americans may be freer from encumbran..
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Summit Financial Services, Inc
145 Pinelawn Road
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Melville, NY 11747
Phone: 631-595-5700
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