McClintock Financial

Bedtime Story: U.S. Federal Tax Code. How many pages have you read?

Understanding Marginal Income Tax Brackets An inside look at how marginal income tax brackets work.

Struggling with sleep? Your savings habit might be the key! 💤

A new study from Bristol University reveals:
🛏️ Regular saving, even small amounts, can improve sleep quality
🛏️ Savers report feeling more relaxed and optimistic about the future
🛏️ Low-income savers have similar life satisfaction to richer non-savers

Despite rising costs, saving remains crucial for financial resilience. Remember:
▪️ 6 in 10 people have a savings habit
▪️ Simple, flexible accounts with incentives can help
▪️ Shop around for the best savings options that fit your lifestyle

Every little bit counts towards better financial and mental well-being! 🌟



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Sleep could be boosted by saving small amounts of money - study A quarter of UK adults have less than £100 tucked away, but a report says a savings habit aids mental wellbeing.

Home prices are starting to cool as active listings jump by 35%, signaling a shift in the housing market.

Important takeaways for consideration:

Listings Rise: A 35% increase in active listings is providing more options for buyers and cooling off price surges.

Buyers Benefit: Cooling home prices may create more favorable conditions for potential buyers.

Sellers Strategy: For sellers, understanding these market dynamics is crucial for setting competitive prices and expectations.

Staying updated on these trends can help you make informed decisions whether you're buying, selling, or investing in real estate.

How do you think this surge in listings will impact the housing market in the coming months?



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Home prices begin to cool as active listings jump 35% For the four weeks ended June 23, the typical home sold for slightly less than its asking price, according to real estate brokerage Redfin.

Over age 50? You may be able to catch-up on retirement.

Catch-Up Contributions Workers 50+ may make contributions to their qualified retirement plans above the limits imposed on younger workers.

U.S. home prices are set to rise by 5% this year, with a more modest increase expected next year.

Key takeaways for the real estate market:
🏡 Home prices are projected to climb 5% in 2024, reflecting ongoing demand.
The pace of price increases is expected to slow down next year, providing some relief for buyers.
💼 Investors and market watchers should stay informed about these trends to make strategic decisions.

While the overall housing market continues to be challenging, there could be relief in the future, with housing prices possibly cooling off as rates ease.

How do you think these price trends will impact your real estate plans?



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US home prices to rise 5% this year, more modestly next U.S. home prices will rise a bit faster this year than previously expected due to limited available supply, according to analysts polled by Reuters, who saw affordable properties coming to market remaining below levels of demand in coming years.

Learn the language of life insurance.

Term vs. Permanent Life Insurance When considering life insurance, it's important to understand your options.

Do your financial concerns feel stressful? Take a look at this video for some best practices when it comes to your financial strategy.

Behavioral Finance An amusing and whimsical look at behavioral finance best practices for investors.

Despite ongoing inflation concerns, the U.S. economy continues to show resilience, according to recent GDP data.

Key insights to keep in mind:
📊 The U.S. GDP grew at an annual rate of 2.1%, indicating steady economic growth.
🛍️ Consumer spending remains robust, fueling economic activity despite higher prices.
The Federal Reserve's actions aim to balance growth and inflation, ensuring long-term stability.

Our nation’s economy continues to defy critics, showing a robustness that can be encouraging. Long-term forecasting is still tricky, with many factors, including the Fed, at play.

Do you believe this economic resilience is sustainable in the long run? Share your thoughts!



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US economic growth last quarter is revised down from 1.6% rate to 1.3%, but consumers kept spending The U.S. economy grew at a sluggish 1.3% annual pace from January through March, the weakest quarterly rate since the spring of 2022, the government said in a downgrade from its previous estimate.

What role would taxes play in your investment decisions? Find out in this message.

Tax Efficiency in Retirement What role would taxes play in your investment decisions?

Ask yourself hard questions: Do I know enough about estate management? Will my family be ready?

Estate Management Checklist Is your estate in order? This short quiz may help you assess your overall strategy.

The Federal Reserve has recently shifted its approach to monetary policy, now focusing on "scenario analysis" rather than providing explicit guidance on interest rate cuts. This change reflects the uncertainty policymakers face in taming inflation.

Here's how these decisions may impact you:

Diverse Economic Paths: The Fed is exploring multiple scenarios, such as rising joblessness, delayed inflation decline, or unexpected inflation acceleration. This means market conditions could vary widely, affecting investment returns.

Uncertainty Management: By not committing to a single economic forecast, the Fed aims to better manage public and market expectations. However, this could lead to more volatile market reactions as investors interpret potential Fed actions.

Investment Strategy: In times of uncertainty, diversification becomes even more crucial.
Consider spreading investments across different asset classes to mitigate risks associated with unpredictable economic shifts.

What are your thoughts on the Fed's new approach?



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Fed shifts talk to 'scenarios' as policy grows less certain Federal Reserve Chair Jerome Powell said in a May 1 press conference he didn't want to talk about economic "hypotheticals," but that's what he and other U.S. central bank officials have shifted towards in discussing monetary policy that has hit an uncertain juncture in the effort to tame inflation.

The Federal Reserve's decision to keep rates higher for longer might not be as alarming as it seems.

Why? There are a few reasons. Higher interest rates aren't substantially negatively impacting our economy or the stock market, and a higher-for-longer stance could help keep inflation in check.
While this might make Wall Street and Main Street a bit uneasy, it's important to remember that these decisions are made with economic stability in mind.

Weigh in below: How do you feel about the Fed's decision to keep interest rates steady but still higher than they've been?



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www.cnbc.com

Developing a retirement strategy? It's critical to know the differences between investment types.

Traditional vs. Roth IRA One or the other? Perhaps both traditional and Roth IRAs can play a part in your retirement plans.

Does your business have a retirement strategy that fits your short, long-term needs?

Choosing a Retirement Plan that Fits Your Business To choose a plan, it’s important to ask yourself four key questions.

While the Federal Reserve has signaled that three rate cuts are coming this year, billionaire hedge fund manager Steve Cohen shared some exciting insights on the financial landscape:

🎯 The Federal Reserve may struggle to bring inflation down to its 2% goal. If growth is too rapid, we could see wage inflation due to labor constraints. This could impact your investment strategy.
🎯 Despite concerns, the market could see up to three rate cuts this year. This could offer opportunities for savvy investors.
🎯 The current market rally isn't a bubble—it's a reflection of investors pricing in future growth, particularly from AI.



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www.cnbc.com

When you come into some extra money it can be hard to know — should you spend it, save it, or invest it? The answer depends on a few scenarios. Here's how to tell what's best for you.

Money | When to Spend It, Save It, and Invest It | Smart Money Tips For better or for worse, your relationship with money affects everything else you do in life. It can make things easier, and it can make things a whole lot harder, which means the sooner you can figure out when to pinch and when to splurge, the better off you'll be! And so, whether you have a little...

So … should you save or invest your money? It’s a question worth asking, and the answer may be easier to reach than you think.

Should you be Investing or Saving Right Now? | The Motley Fool Saving means setting aside cash for future use, while investing means using cash to buy other assets that you expect to produce profits or income.

🌟 When will the Fed make its first move? More economists are starting to believe it’s a late 2024 decision. But remember, the stock market is a discounting tool, meaning it’s looking 6 to 9 months into the future. So, today’s S&P 500 is seeing business conditions in the October-to-December timeframe.

Time does a lot. It heals all wounds, waits for no one ... and helps our money grow. Even if you're new to investing and are starting out with a small amount, time can help YOUR money grow. Learn more here.

Smart Investing on a Small Budget Having a small budget shouldn’t keep you from investing in your financial future. Here are smart ways to invest your dollars and grow your nest egg.

Don’t forget to review and refresh your insurance policies this spring! Make sure your home, life, and auto policies are up to date. Then, ensure you’re getting the best deal by comparing premiums.

It’s Time to Spring Clean Your Insurance Policies As you are organizing and refreshing for the warmer months ahead, take time to review your insurance policies.

Half of execs believe their skills will be obsolete in two years. The chair of the SEC thinks AI will spark a financial crisis. What does such concern or uncertainty mean for your future and your financial strategy?

How Will the Economy React to AI? What do concerns or uncertainty about AI mean for your future and your financial strategy?

Good news for taxpayers this year! The IRS has made some inflation adjustments that could result in bigger tax refunds for many.

Here's what you need to know:
▪️ The IRS has adjusted many of its provisions for inflation, increasing the standard deduction and raising its tax brackets by 7.1%, a historically large adjustment.
▪️ If your income didn't keep pace with inflation last year, you could see a larger refund of up to 10% more.
▪️ Taxpayers who may see bigger refunds include middle- and lower-income workers. These homeowners tapped into expanded home energy tax credits and low-income families with children due to an expansion of the Earned Income Tax Credit.
▪️ However, it's not all good news. Some taxpayers, especially those who took on side gigs last year, could owe more, and Social Security beneficiaries may face higher taxes.

Remember, understanding your tax situation can help you plan better for the future. Start early, use the resources available, and if you need help, don't hesitate to seek it!

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2024 tax refunds could be larger than last year due to new IRS brackets. Here's what to expect. Taxpayers saw their tax refunds shrink last year due to the expiration of pandemic benefits. But some people may get a boost in 2024.

This week, Amazon is replacing Walgreens in the Dow Jones Industrial Average, marking a significant shift in the investment landscape.

Key takeaways:
Walmart's recent stock split prompted this change, which will increase exposure to consumer retail and other sectors like advertising and cloud computing.
This move reflects the American economy's evolving nature and the tech giant's growing influence in our daily lives.
Investors betting on the average will now have more exposure to Amazon, a company that has diversified beyond online retail to lead in cloud computing and advertising.

As an investor, you may see an impact on your portfolio due to increased exposure to Amazon and the tech sector. It's essential to understand the risks and rewards associated with these changes.

This shift in the Dow also highlights the importance of staying updated with the latest market trends. Be ready to adapt your investment strategy to the evolving economic landscape. 💡🔄

Stay tuned for more updates and financial insights!



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Amazon to replace Walgreens in Dow Industrial Average next week The change will give investors greater exposure to consumer retail, as well as cloud infrastructure and advertising.

Spring cleanup is a great time to dust off old account statements and check for any missing money. Is there an old 401k or HSA you forgot to roll over? Follow these steps to check for unclaimed funds.

You may be 'missing' thousands of dollars: Here's how to find forgotten 401(k) money Tracking down 401(k) accounts you left behind can mean adding more money to your nest egg.

Investing might seem like a scary world, but really, getting back to the basics can be a big help for beginners. Here's the 411.

Stock Market Basics: What Beginner Investors Should Know - NerdWallet Understanding the stock market is key for investors who want to buy and sell stocks. Our guide has the information you need about stock trading and the stock market.