How Long Can I Keep My Money in My Retirement Account?

How Long Can I Keep My Money in My Retirement Account? Barnett Financial & Tax

In most cases, you can’t actually keep your money in your retirement accounts forever. Even if you don’t need the money from your retirement accounts, many of them will require you to begin withdrawing from them when you are 73 years old.[1] This is called a required minimum distribution (often shortened to RMD). More specifically,…

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How Safe is Your Money in the Bank Today?

Money in the Bank: What You Need to Know Barnett Financial & Tax

With the recent turmoil in the banking sector, it’s understandable to worry about your bank savings. But before worrying, it’s important to know how your money in the bank is protected. So, how safe is your money, really? Where is my money? First, let’s talk about how your bank actually stores your money. When you…

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Exploring The Difference Between an Investment and an Expense

Exploring The Difference Between an Investment and an Expense Barnett Financial and Tax

In theory, the definitions of an investment or an expense are quite clear-cut. An expense, or cost, is simply the dispensing of time, money, or resources. An investment, while an expenditure, comes with the expectation of a return.[1][2] While the two ultimately have the same goal –to acquire a good or service—their intentions and outcomes…

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Don’t Forget the Tried-and-True Value of Compounding Interest

Don’t Forget the Tried-and-True Value of Compounding Interest Barnett Financial & Tax

If you forgot what compounding interest was, let’s refresh. Compounding interest is the process by which the interest earned on an investment is reinvested so that the initial investment grows over time. It may not seem like it, but compounding returns is a powerful tool that can significantly increase the value of an investment over…

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Be the Financial Compass for Future Generations

Be the Financial Compass for Future Generations Barnett Financial & Tax

Building towards retirement, you have made many financial decisions. Perhaps you maxed out your credit card on clothes in your early 20s or chose the wrong payment plan for your car loan or home mortgage. Regardless, you’ve navigated many financial obstacles and gained wisdom that can now be passed on to your kids and grandchildren.…

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5 Post-Holiday Shopping Tips for Retirees

5 Post-Holiday Shopping Tips for Retirees Barnett Financial & Tax

Holiday shopping can be stressful, and unless you took advantage of Black Friday or Cyber Monday, you might find it tough to find the deals you need to keep your gifts within your budget. Well, post-holiday shopping may be the perfect opportunity to take advantage of clearance sales on your favorite products and gifts. Use…

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3 Factors to Know for Rising Interest Rate Conditions

3 Factors to Know for Rising Interest Rate Conditions Barnett Financial & Tax

The 2022 economy has broken multiple records, first, with the highest inflation rate in 40 years, and now, the highest federal reserve interest rates since 2008.[1] In efforts to curb raging inflation, the US Federal Reserve has raised interest rates six times in 2022, reaching a target of 3.75% in November.[2] This rise in the…

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What You Need to Know about Index Funds and Mutual Funds

What You Need to Know about Index Funds and Mutual Funds Barnett Financial & Tax

On their surfaces, index funds and mutual funds may seem interchangeable. Both offer diversification of assets and are commonly invested in a basket of stocks that aim to meet a certain investment goal. However, there are many key distinctions that separate an index fund from a mutual fund – distinctions that may be crucial to…

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