I was recently working on our taxes for 2022, and it looks like our effective federal tax rate was 1.4% (about 6% if you include Social Security and Medicare taxes). According to the Tax Policy Center, the average effective federal tax rate in 2021 was 8.1% (14.7% including payroll taxes), so our rate appears quite … Continue reading Our Effective Federal Tax Rate Was 1.4% In 2022; Here’s What Made That Possible
When you buy a stock, mutual fund, or ETF, you are often asked whether you want to reinvest your dividends. This may seem trivial to you, but it could have a big impact on your investments, depending on how frequently dividends are issued and how large they are in comparison to the share price. To … Continue reading Should You Reinvest Dividends?
I keep hearing people say that putting money into the stock market now, when it's hitting new highs practically every day, is a bad idea, and that you should instead wait for the next dip or crash to invest. This seems sensible on its face. Why buy overvalued stocks now when you could theoretically buy … Continue reading Should You Wait To Buy The Dip? Why This Strategy May Cost You
Cozy Nest Egg 