Financial Focus


Look for ways to cut investment taxes


Like millions of your fellow citi-


zens, you may be filing your taxes this week. If you think that things might have turned out differently had you paid less in investment-related taxes, you might want to take steps soon to help ensure a different outcome in 2011. Here are some “tax-smart” strate-


gies to consider: • Invest in municipal bonds. If you’re


in one of the upper income brackets, you might benefit from owning mu- nicipal bonds. Te interest payments from “munis” are typically exempt from federal income taxes, and may also be exempt from state and local taxes, depending on where you live. (However, the interest from some types of munis may be subject to the alternative minimum tax, or AMT.) • “Max out” on your Roth IRA. If you


qualify for a Roth IRA, try to fully fund it every year. Your earnings grow tax-free, provided you’ve had your ac- count at least five years and you don’t take withdrawals until you’re at least 59-1/2. And now, it’s easier to con- vert a traditional IRA to a Roth IRA.


Under previous rules, you could only convert if your modified adjusted gross income (MAGI) was $100,000 or less. But starting this year, you can convert funds to a Roth IRA even if your MAGI is over $100,000. And if you convert in 2010, you can report the taxable income from the conver- sion over a two-year period, in 2011 and 2012. • Distribute assets between taxable


and retirement accounts. You’ll want to look at all your investments as a whole to determine if they’re work- ing together to help you achieve your goals. But in considering ways to con- trol investment taxes, you may also find it useful to look at two separate categories: your tax tax-deferred re- tirement accounts, such as your tradi- tional IRA and your 401(k), and your taxable accounts, which hold all the investments not in your retirement accounts. As a (very) general rule, you might want to put income-producing securities, such as taxable bonds, into your tax-deferred retirement ac- counts. When you ultimately take out this money, presumably at retirement,


REVIEW. RENEW. RETIRE.


There are many opportunities this year to help you renew your efforts to save for retirement and stay focused on reaching your retirement goals. These opportunities include:


❚ ❚ Opening or fully contributing to a traditional or Roth IRA by April 15 to help maximize saving for retirement in a tax-advantaged manner


❚ ❚ Consolidating retirement accounts to get a clearer picture of your retirement


❚ ❚ Converting all or part of a tax-deferred IRA to a Roth IRA so you can receive tax-free income*


in retirement


Call today to schedule a review. We’ll meet face to face to gain a better understanding of your current situation and discuss your opportunities to help move your retirement forward.


* Earnings distributions from a Roth IRA may be subject to taxes and a 10% penalty if the account is less than five years old and the owner is under age 59½.


Bill Boughton, AAMS® Financial Advisor


.


61 Weaver Boulevard Weaverville, NC 28787 828-645-0341


www.edwardjones.com/renew Member SIPC


your withdrawals will be taxed at your income tax rate, but by then, you may be in a lower tax bracket. Conversely, you may want to put growth-oriented securities, such as stocks, in your tax- able account; as long as you hold these assets at least a year, you’ll only have to pay the long-term capital gains rate, which is currently 15 percent if you’re in one of the top three tax brackets. (Tis rate may soon rise, however.) • Sell your “losers” throughout the


year. If you own investments that have lost value and that you don’t need to keep for other reasons (such as port- folio balance), consider selling them throughout the year. Your losses can offset any capital gains you might have achieved; if you don’t have any gains, the losses can offset up to $3,000 of your regular income. Plus, any losses that you don’t use in a given year can be carried forward indefinitely for use against future capital gains. Before embarking on any of these


strategies, consult with your tax advi- sor. Every “tax-smart” move may not be appropriate for your individual sit- uation. But if you’re concerned about the impact of investment taxes, it can certainly pay to explore all your op- tions.


Tis article was written by Ed-


ward Jones for use by Bill Bough- ton, Weaverville’s local Edward Jones Financial Advisor. Edward Jones, its associates and financial advisors do not provide tax or legal advice.


Maggie B’s opens new wine bar


Maggie B’s Wine and Specialty


Store in Weaverville is opening its new wine bar with a celebration from 5 pm to 8 pm on Tursday (April 15). Guests to the store will now be able to enjoy seating and taste various foods and wine. A $5 corkage fee will be applied.


North End Computers LLC


A full sales and service company that is here to “listen” about your computing needs.


Time is money. Call if you are having issues with, or


thinking of purchasing a new computer. If you need a replacement part we may have it in stock.


Phone 828.989.7617 or 828.645.2507 Dell certified in laptop repair


Http://www.north-endcomputers.com


Medicare Suppliment Gone Up? Paying Too Much?


You have the choice of changing companies Any month during the year with no exclusions or waiting periods for pre-existing health conditions. Plan F Benefits are equal with every company.


No Deductables or Co-Pays! Why Pay More?


Joe King, CSA, CLTC 828-692-5555


Fresh & Delicious Cakes, Pies & Cookies Wedding Memories are Meant to


edding Memories are Meant to be Kept for a Lifetime.


be Kept for Should be ust as Special.


Should be Just as Special. Place Your Order Now for


Spring & Summer Weddings Wester North Carolina’


estern North Carolina’s ONL RB Certified Cake Decorator!


ONLY RBA Certified Cake Decorator!


Make an appointment today for a


Consultation FREE


146 Weaverville Hwy. (828) 645-2038 Tues-Fri 9-6, Sat 10-2 www.BakeShoppeAsheville.com


STARGAZERS FLORAL DESIGNS PROM PARTY OPEN HOUSE


would like to invite all High School students & parents to attend our


April 21, 2010 3:30 - 6:00pm


Directions: Patton Ave. to Leicester Hwy., 8.5 miles on the left. Look for signs


www.weavervilletribune.com


828-683-1600 Kristi Ball–Mayrand


Register to win great gift certifi cates for Mani/Pedi,


Hair Styling, Tanning and much more. Also, grand prize $100 Visa card.


Beautiful Prom Dresses from Wedding Inspirations


Food and Drink provided April 8 - April 14, 2010 - THE TRIBUNE 9 Lifetime. Your Cake our Cake


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20