Bruce Starks, CPA, CFP® – Page 13

Passing Property Via Will

Course: Investment PlanningLesson 14: Evaluation Portfolio Performance Student Question: Hello – I’m a little confused about the example (below) discussing an heirloom of only sentimental value. Why would this be titled at all for a will, especially since an earlier lecture said items of no value would pass through will as the situation does not…

Alternatives to Medicare, Part IV

Good to Know This is the final article of a IV-part series to help early retirees make informed healthcare coverage choices when they retire before age 65—and are ineligible for Medicare. The previous three parts in the series were: Faith-Based Cost-Sharing Affordable Care Act Policies Short-Term Limited Duration Insurance We’ll begin with an application summary…

Percentage of Completion Method

Course: Income Tax PlanningLesson 10: Recognition of Expenses, Losses, and Deductions Student Question: Question 5 (below) did not make sense to me. I started out by breaking down by year — 400,000/2,100,000*3,000,000 and so forth, but did not arrive at the correct answer. So then I tried adding up 3 year — 400+650+700/2100000*3,000,000. That wasn’t…

Will AI Replace Human Financial Advisors?

CFP® Certificants in the News Surprisingly, about 3 in every 10 investors either trust or somewhat trust purely AI-generated financial advice, according to a recent article by CFP Board. However, financial advice from a human financial advisor still reigns for most investors—almost 9 of 10 trust their advisor’s advice. Interestingly, the trust level in AI-generated…

Donating Short-term Appreciated Securities

Course: Income Tax PlanningLesson 15: Property Transactions Student Question: In the lesson, deducting donations of ‘cash’ versus ‘long term appreciated securities’ are differentiated. I’m curious about “short term appreciated securities”. In other words, if I own a stock – bought at $10,000 and it’s worth $50,000 when I donate, but I’ve only owned it 6…

Mid-Quarter Depreciation Convention

Course: Income Tax Planning Student Question: Hello, see the question below. I got this question right, but the explanation of why I got it right is weird. I thought mid-month depreciation was only used for real property, and this is saying it is used for equipment. Then, the explanation of the correct answer talks about…

Early Retirees—Alternatives to Medicare, Part III

Good to Know This article is part III of a IV-part series to help early retirees make informed healthcare coverage choices for the years before they’re eligible for Medicare. In Part I, we peeled back the onion on faith-based medical cost-sharing ministries. In Part II, we illustrated how Affordable Care Act (ACA) Policies can help.…

Maximum Potential Gain On Long Call

What is the maximum potential gain for an investor who is long a call? It is limited to the amount paid for the option Capped by the exercise price It is equal to the loss of a similar short put position Unlimited CLICK TO REVEAL ANSWER Expand The correct answer is number 4. An investor…

Early Retirees—Alternatives to Medicare, Part II

Good to Know This article is part II of a series to help early retirees make informed healthcare coverage choices for the years before they’re eligible for Medicare. Remember that the first article in this series described how faith-based medical cost-sharing ministries can offer cost-effective coverage for those clients willing to accept behavioral exclusions from…

401(k) Plans and Same-Sex Couples

CFP® Certificants in the News Financial planning for same-sex couples is as important as planning for opposite-sex couples according to CFP Board. For context, the Supreme Court’s 2015 decision in Obergefell gave same-sex couples the right to marry and, once married, to enjoy the same rights as opposite-sex married couples. However, the new rights generally…