Sentences with phrase «tax benefits because»

As a reward, you receive tax benefits because the charity owns the policy so it's not included in your estate and premiums are income tax deductible.

In most cases, whole life insurance offers tax benefits because cash value is absolutely not taxable unless used.

Both sides have valid arguments; however, a buy - and - hold strategy has tax benefits because long - term investments tend to be taxed at a lower rate than short - term investments.

Costrell noted that if a private company set up a retirement structure like that, it would be forced to forfeit tax benefits because it's illegal to take money out of the paychecks of younger workers for the benefits of their older peers.

You may not even notice that you're receiving a tax benefit because it has little effect on the amount of tax you owe at the end of the year (or the size of your refund), but it's there in the form of a net paycheck that's about $ 125 per month bigger than it would be without the tax savings.

Not exact matches

That's because the possible tax benefits - and potential penalties - vary greatly for companies that fall just above and just below that threshold.

The first question to ask yourself is, are you providing this profit - sharing plan because you truly want to benefit the employee, or were you sold that it's a tax advantage?

According to some advisors, HSAs are also the Holy Grail of savings vehicles because of their rare triple - tax benefit.

On the other hand, 71 percent favor the law's Medicaid expansion, 66 percent of young adults favor the prohibition on denying people coverage because of a person's medical history, 65 percent favor requiring insurance plans to cover the full cost of birth control, 63 percent favor requiring most employers to pay a fine if they don't offer insurance and 53 percent favor paying for benefit increases with higher payroll taxes for higher earners.

Other benefits of investments using debt include tax advantages and a higher return on my investment (ROI) because I've used less of my own money to purchase the asset.

Another caveat is that Americans don't benefit from the lower Albertan rate because Uncle Sam taxes its citizens and permanent residents wherever they live.

But Cohn says regular people should be excited about the plan, too, because the benefits from business tax cuts will «trickle down» to them.

The lower corporate tax rate benefits retailers more than most, because it is a largely domestic industry.

Best of all, because of often - overlooked tax benefits, SEPs can actually improve bottom - line results for companies like Buckingham Computer.

«It's important think through whether or not they're going to be in a higher tax bracket in future years, because if they are, then it may not make sense to take the whole benefit in the first year.»

Because of the tax benefits, there are a few rules for opening, funding and withdrawing from an IRA.

«A ruling by a Louisiana appeals court recently stated that the entire death benefit from a single premium annuity plan paid to the beneficiary named in that plan was subject to inheritance tax because it was part of the deceased annuity owner's estate,» says annuities specialist Steven Hart.

Tax reform has historically benefited small cap stocks because smaller companies are often more domestically focused.

Even without matching, the 401 (k) can still make financial sense because of its tax benefits.

But because you are putting the money in after you've paid tax on it you don't get the benefit of the tax - free savings going in, but you do get it when taking the money out.

Even with the added benefits of becoming a homeowner, you would still pay slightly more in income taxes after the move because of California's state income tax.

There are potential tax benefits to offering a plan, because plan contributions for the business owner are deductible as a business expense.

Committed to investing over the long term — at least 10 years — because it may take that long or more for the tax - deferred benefits to offset the associated costs.

Cynics say the tax breaks provided to ESOPs are money losers because the majority of American taxpayers pay higher rates to make up for the cost of ESOP tax benefits.

Because your life insurance premiums are paid with after tax dollars, the death benefit is able to be paid out in lump sum without any state or federal taxes being withheld.

«Because IRA's are tax preferred savings accounts and not employee benefit plans, any new fiduciary rules regarding IRAs should be drafted by the Treasury Department.

The new tax law will make it harder to benefit from itemized deductions for state and local tax, partly because of an increase in the standard deduction and partly because of a new limit on this particular deduction.

That's important because a large part of Uber's value (maybe it's only true value) hinges on the fact that it doesn't employ its drivers — that means no payroll taxes, benefits costs or insurance.

Because the costs of bringing these companies in is so high, the tax benefits are ultimately low.

Under the Republican tax overhaul, a significant number of households will lose the tax benefit from charitable giving because they will no longer itemize their deductions.

Because tax rates increase with taxable income, a dollar of deductions generally benefits a high - income taxpayer more than a low - income taxpayer.

«The worst part [of the NDP plan],» Mintz added, «is that it doesn't have good economic impacts because small business deductions contribute to a wall of taxation, so if they grow, they lose some of their benefits and get hit with higher taxes....

The group incentive nature of employee stock ownership and profit sharing makes this an effective way to create and reinforce a sense of common purpose, and to encourage higher commitment and productivity.23 It is also the case with ESOPs that the new ownership might not be viewed by the firm in the same way as other added compensation because the ownership is financed through loans to buy new capital as company stock, with Federal tax incentives, and the shares are not paid as normal wages and benefits out of company budget reserved for this purpose.

ESOPs, which combine corporate finance with employee benefits, have risen in popularity because they can provide tax benefits to companies and their shareholders, generate stable cash flow and may boost employee morale and loyalty.

Because the EITC is a tax credit, rather than a deduction, even low - income parents who take the new, larger standard deduction of their tax returns would still benefit.

Banks will benefit in the long run from the lower corporate tax rate, although they are currently taking large accounting charges because of the new tax law.

A «true» lease can offer low cost financing because the lessor takes advantage of tax benefits that are passed to the lessee in the form of reduced payments.

Anyone who has over $ 1 million in passive investments in their corporation because they will no longer receive the full benefit of the small business tax rate.

That is because the vast majority of the tax benefit goes to higher - income taxpayers.

So you are saying that LS20 is bad to hold outside a tax wrapper, because the entire dividend is taxed at normal income tax rates (20/40/45), whereas buying a 4:1 mix of a pure bond fund and pure equity fund should save some tax, because the div from the equity fund is taxed at dividend tax rates (7.5 / 32.5 / 37.5) and it benefits from a # 5k allowance (reducing to # 2k, next year)?

No matter what your age, because a Roth IRA may improve your tax picture, it makes sense to take the time to see whether you would benefit from one.

For some people, an annuity is a good option because it can provide regular payments, tax benefits and a potential death benefit.

Because pass - through entities are not required to pay corporate taxes, they won't benefit from this new legislation, but C corporations will.

Freelancers are different than employees because they are not eligible for benefits, they pay their own employment taxes, and they have much more freedom and control over when, where, how, and with whom they work.

Some people are concerned that additional income will trim the benefits because they will be left with more taxes to pay.

Because my income is low, I receive no tax benefit from contributing towards my RRSP.

Communities across Illinois are being forced to cut local services and raise taxes to afford their pension payments, putting residents who rely on local government services at risk because of the inherent failures of defined - benefit plans.

Polls by CNN and others showed the tax changes were unpopular because of a perceived benefit to the wealthy.

Families who may think they are middle class but don't pay tax will find that they have not benefited from these tax breaks because these tax credits are not tax refundable.

In terms of tax benefits, this status is usually considered less advantageous because it can result in a higher overall tax for a married couple.