Money Matters

1. Saving Honors God and Serves Others. Many are familiar with Jesus’ instruction to “not lay up for yourselves treasures on earth” (Matthew 6:19). However, the Bible does call us to set aside for future needs. Proverbs 21:5 says, “The plans of the diligent lead surely to abundance, but everyone who is hasty comes only to poverty.” Saving honors God because it values money as a gift that He has given to us. Jesus also tells us, “For where your treasure is, there your heart will be also” (Matthew 6:21). His point is not that wealth itself is evil, but that we’re not to choose material things over godliness.

2. Don’t Assume Tomorrow, But Prepare For It. 2 Corinthians 2:13-14 says, “For I do not mean that others should be eased and you burdened, but that as a matter of fairness your abundance at the present time should supply their need, so that their abundance may supply your need, that there may be fairness.” Paul isn’t saying to ‘give until it hurts,’ but to give out of abundance, helping the needy instead of hoarding riches. In addition to giving, I encourage my clients to plan for financial margin and set long-term goals. Proverbs 27:23-24a says, “Know well the condition of your flocks, and give attention to your herds, for riches do not last forever”.

3. Give Generously. If we truly believe “the earth is the Lord’s, and everything in it,” then sharing what we’ve been given is foundational (Psalm 24:1). Our first command in giving is to tithe, honoring God with our first fruits. The Bible also talks about generous giving extensively (Luke 6:38, 1 John 3:17-18, 2 Corinthians 9:7-8). For Christians, giving isn’t primarily about money. It’s about the nature of God, how he gives to us, and our relationship with Him. We’re to give out of thankfulness for our undeserved blessings, reflecting Christ’s love. 

4. Biblically Aligned Investing. In Matthew 25:14-30, Jesus gives the parable of the talents. The servants who invest the talents are told, “well done.” It wasn’t about how much they were given, or how much more they gave back, but that they were faithful to use these gifts to increase their impact. At OneAscent, we believe there’s an additional layer to biblical investing: values-based investing. We avoid companies that profit from things that are dishonoring to God and to His creation, and elevate companies that positively impact the world. 

We want our clients at OneAscent to feel confident that their investments support their financial goals and honor God. I’d love to talk with you about a financial plan and investment strategy that reflects these biblical principles! Call us at 205-313-9142 or email wealth@oneascent.com.

-Holden Gully, CFP® 

Lead Advisor, OneAscent

205-313-9142, holden.gully@oneascent.com

Money Matters

1. Parents Be on the Look Out. If you have been receiving the Advance Child Tax Credit Payments, please be aware that the current schedule of payments ended with the payment that was paid on December 15, 2021.  In January 2022, the IRS will be mailing Letter 6419 to all families that received the Advance Child Tax Credit Payments.  This is a very important letter that you will need to keep with your other 2022 tax-related documents.

2. Gather Documentation Now. As tax season approaches, it is best to go ahead and gather or request your 2021 annual childcare expense statements, pharmacy reports, charitable donation receipts, etc. Even though the federal standard deduction is high, it may be beneficial for you to gather these to claim on your state return.

3. Business Owner Reminder. Forms W-2, Forms 1099-NEC and any other 1099-type forms need to be provided to the recipient by January 31, 2022, and also mailed to the IRS by that date as well.  

-Michael A. Hamner, CPA 

Benefield & Hamner, CPA’s

206 Huntley Parkway, Pelham, 35124

(205) 621-4033

www.cpabh.com

Money Matters

Brought to you by: Community Partner Vision Financial Group, Inc.

You see it in prices at the grocery store and the gas station. You feel it in your monthly budget. So why don’t the financial markets seem too concerned about inflation?

Remember, financial markets are considered “discounting mechanisms,” meaning they are looking six to nine months into the future. And by June 2022, the financial markets expect that inflation will be lower than today.1

One lesser-known indicator that helps support this forecast is called the Baltic Dry Index. It measures the cost of transporting raw materials, such as coal and steel. The index has been trending lower for several weeks, which in the past has suggested that prices may be more manageable in the months ahead.2 No indicator is fool-proof. That’s why the Baltic Dry Index is just one of the many indicators that our professionals follow when watching inflation. They also keep a close eye on the Fed, which is responsible for controlling inflation.3

With the economy improving, the Federal Reserve has indicated it will be tapering bond purchases this month. That may help with inflation. The Fed also has prepared the markets for higher interest rates in 2022. That, too, may help.4 For now, it’s important to understand that inflation can influence interest rates, which often play a role in how a portfolio is constructed. We’re keenly focused on what’s next for inflation to determine if any portfolio changes are appropriate in the future.

-Vision Financial Group 

4505 Pine Tree Circle, Birmingham, AL 35243

www.vision-financialgroup.com

205-970-4909   

This material was prepared by MarketingPro, Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. 

Securities offered through Concourse Financial Group Securities, Inc. (CFGS), Member FINRA/SIPC. Advisory services offered through Concourse Financial Group Advisors, a DBA for CFGS, a Registered Investment Advisor. Vision Financial Group, Inc. is independent of Concourse Financial Group Securities, Inc.

Citations

1. Investopedia.com, 2021
2. CNBC.com, November 10, 2021
3. ClevelandFed.org, 2021
4. CNBC.com, November 3, 2021

Money Matters

Brought to you by: Community Partner Vision Financial Group, Inc.

The end of the year can help remind us of last-minute things we need to address and the goals we want to pursue. To that end, here are five aspects of your financial life to think about as this year leads into the next. 

1. Your investments. Set a goal to review your investments with your financial professional. You’ll want to come away from the meeting with an understanding of your portfolio positions. Look over your portfolio positions and revisit your asset allocation. Remember, asset allocation and diversification are approaches to help manage investment risk. They do not guarantee against investment loss.

2. Your retirement strategy. You may want to consider contributing the maximum to your retirement accounts. It’s also a good idea to review any retirement accounts you may have through your work. This is also a great time to decide on making catch-up contributions if you are eligible. 

3. Your tax situation. It’s a good idea to consider checking in with your tax or legal professional before the year ends, especially if you have questions about an expense or deduction from this year. Also, it may be a good idea to review any sales of property as well as both realized and unrealized losses and gains. Look back at last year’s loss carryforwards. If you’ve sold securities, gather up cost-basis information. As always, bringing all this information to your financial professional is a smart move.1

4. Your charitable gifting goals. Plan charitable contributions or contributions to education accounts and make any desired cash gifts to family members. The annual federal gift tax exclusion allows you to give away up to $15,000 in 2021, meaning you can gift as much as $15,000 to as many individuals as you like this year. Such gifts do not count against the lifetime estate tax exemption amount, as long as they stay beneath the annual federal gift tax exclusion threshold. Besides outright gifts, you can explore creating and funding trusts on behalf of your family. The end of the year is also a good time to review any trusts you have in place. Using a trust involves a complex set of tax rules and regulations. Before moving forward with a trust, consider working with a professional who is familiar with the rules and regulations.1,2

Your life insurance coverage. The end of the year is an excellent time to double-check that your policies and beneficiaries are up to date. Several factors could impact the cost and availability of life insurance, such as age, health, and the type of insurance purchased, as well as the amount purchased. If a policy is surrendered prematurely, you may pay surrender charges, which could have income tax implications. You should consider determining whether you are insurable before implementing a strategy involving life insurance. Finally, don’t forget that any guarantees associated with a policy are dependent on the ability of the issuing insurance company to continue making claim payments.

-Vision Financial Group 

4505 Pine Tree Circle, Birmingham, AL 35243

www.vision-financialgroup.com

205-970-4909   

Securities offered through Concourse Financial Group Securities, Inc. (CFGS), Member FINRA/SIPC. Advisory
services offered through Concourse Financial Group Advisors, a DBA for CFGS, a Registered Investment Advisor. Vision Financial Group, Inc. is independent of Concourse Financial Group Securities, Inc. This material was prepared by MarketingPro, Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. 

Citations

1. turbotax.intuit.com, October 16, 2021
2. irs.gov, October 14, 2021

Money Matters

Brought to you by: Community Partner Vision Financial Group, Inc.

What has changed for you in 2021? For some, this year has been as complicated as learning a new dance. Did you start a new job or leave a job behind? That’s one step. Did you retire? There’s another step. If notable changes occurred in your personal or professional life, then you may want to review your finances before this year ends and 2022 begins. Proving that you have all the right moves in 2021 might put you in a better position to tango with 2022. Keep in mind this article is for informational purposes only and is not a replacement for real-life advice. Please consult your tax, legal, and accounting professionals before modifying your tax strategy.

Do you engage in tax-loss harvesting? That’s the practice of taking capital losses (selling securities worth less than what you first paid for them) to manage capital gains. You might want to consider this move, but it should be made with the guidance of a financial professional you trust. (1) In fact, you could even take it a step further. Consider that up to $3,000 of capital losses in excess of capital gains can be deducted from ordinary income, and any remaining capital losses above that amount can be carried forward to offset capital gains in upcoming years. (1)  

Do you want to itemize deductions? You may just want to take the standard deduction for the 2021 tax year, which has risen to $12,550 for single filers and $25,100 for joint. If you do think it might be better for you to itemize, now would be a good time to get the receipts and assorted paperwork together. (2,3)

Are you thinking of gifting? How about donating to a qualified charity or non-profit organization before 2021 ends? Your gift may qualify as a tax deduction. For some gifts, you may be required to itemize deductions using Schedule A. (4) While we’re on the topic of year-end moves, why not take a moment to review a portion of your estate strategy. Specifically, take a look at your beneficiary designations. If you haven’t reviewed them for some time, double-check to see that these assets are structured to go where you want them to go, should you pass away. Lastly, look at your will to see that it remains valid and up-to-date.   

Check on the amount you have withheld. If you discover that you have withheld too little on your W-4 form so far, you may need to adjust your withholding before the year ends.

What can you do before ringing in the New Year? New Year’s Eve may put you in a dancing move, eager to say goodbye to the old year and welcome 2022. Before you put on your dancing shoes, consider speaking with a financial or tax professional. Do it now, rather than in February or March. Little year-end moves might help you improve your short-term and long-term financial situation.

-Vision Financial Group 

4505 Pine Tree Circle, Birmingham, AL 35243

www.vision-financialgroup.com

205-970-4909   

Securities offered through Concourse Financial Group Securities, Inc. (CFGS), Member FINRA/SIPC. Advisory services offered through Concourse Financial Group Advisors, a DBA for CFGS, a Registered Investment Advisor. Vision Financial Group, Inc. is independent of Concourse Financial Group Securities, Inc. This material was prepared by MarketingPro, Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. 

Citations

1. Investopedia.com, January 8, 2021 
2. NerdWallet.com, April 12, 2021
3. Investopedia.com, August 23, 2021 
4. Investopedia.com, December 28, 2020

Money Matters

Brought to you by: Community Partner Vision Financial Group, Inc.

The point of the POA. A power of attorney (POA) is a legal instrument that delegates an individual’s legal authority to another person. If an individual is incapacitated, the POA assigns a trusted party to make decisions on his or her behalf. 

There are nondurable, springing, and durable powers of attorney. A nondurable power of attorney often comes into play in real estate transactions, or when someone elects to delegate their financial affairs to an assignee during an extended absence. A springing power of attorney “springs” into effect when a specific event occurs (usually an illness or disability affecting an individual). A “durable” power of attorney allows an assignee, or agent, to act on behalf of a second party, or principal, even after the principal is not mentally competent or physically able to make decisions. Once a principal signs, or executes, a durable power of attorney, it may be used immediately, until it is either revoked by the principal or the principal dies.1 

What the POA allows in financial terms. Financially, a Power of Attorney is a tremendously useful instrument. An agent can pay bills, write checks, make investment decisions, buy or sell real estate or other hard assets, sign contracts, file taxes, and even arrange the distribution of retirement benefits.

Advanced healthcare directives: HCPOAs and Living Wills. Some illnesses can eventually rob people of the ability to articulate their wishes, and this is a major reason why people opt for a Health Care Power of Attorney (HCPOA) or a living will. There are differences between the two. A Health Care Power of Attorney (also called a “healthcare proxy”) allows an agent to make medical decisions for a principal, should they become physically or mentally incapacitated. A living will gives an assignee similar powers of decision, but this advanced directive only applies when someone faces certain death. The assignee has the authority to carry out the wishes of the incapacitated party. 

Would you like to learn more? It may be time to meet with an attorney who specializes in these issues. You can find one with the help of an insurance or financial professional who has assisted families with legacy planning. Keep in mind this article is for informational purposes only. It’s not a replacement for real-life advice. Make sure to consult your legal professional so you can better understand what type of powers of attorney is a best fit for your situation.

-Vision Financial Group 

4505 Pine Tree Circle, Birmingham, AL 35243

www.vision-financialgroup.com

205-970-4909   

This material was prepared by MarketingPro, Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This information has been derived from sources believed to be accurate Securities offered through Concourse Financial Group Securities, Inc. (CFGS), Member FINRA/SIPC. Advisory services offered through Concourse Financial Group Advisors, a DBA for CFGS, a Registered Investment Advisor. Vision Financial Group, Inc. is independent of Concourse Financial Group Securities, Inc.. 

Citations

1. AgingCare.com, August 23, 2021

Money Matters

Brought to you by: Community Partner Vision Financial Group

Several women-dominated industries were hit hardest by the pandemic. Since the 1980s, unemployment rates have trended higher amongst men than women during a recession. In previous periods of economic downturn, this made sense. Male-dominated industries, like construction and finance, were typically some of the most impacted by a recession.(1) 

But with the onset of COVID-19, we’ve seen a shift in what workforces are the most impacted. The unemployment rate among women more than quadrupled from 4.4% in March 2020 to 16.1% in April 2020. That’s a 2.5% higher rate of unemployment in women than men.1 

There are a few reasons why this past year’s economic downturn is being called a “she-cession.”

Several women-dominated industries, including hospitality and leisure and entry-level food positions, were hit hardest by the pandemic. And when schools, nurseries, and daycares shut down, parents scrambled to cover. This increased need for full-time childcare meant many working mothers adjusted their professional roles to accommodate. 

While the government offered several short-term assistance options to help those affected by the pandemic, there are long-term, compounding financial hardships that should be addressed by a professional. If you have experienced financial strain due to the long-lasting effects of COVID-19, do not hesitate to reach out. We are here to help get your financial goals back on track.

-Vision Financial Group 

4505 Pine Tree Circle, Birmingham, AL 35243

205-970-4909 

vision-financialgroup.com

This material was prepared by MarketingPro, Inc. and does not necessarily represent the views of the presenting party, nor their affiliates. Investment Advisory services offered through Investment Advisors, a division of ProEquities, Inc., a Registered Investment Advisor. Securities offered through ProEquities, Inc., a registered broker-dealer and member of FINRA & SIPC. Vision Financial Group, Inc. is independent of ProEquities, Inc. 

Citations

1. Federal Reserve Bank of St. Louis, 2020