1 | Week In Review

Why Did Markets & Bonds Close The Week Up As War Continues?

Both the markets and the 10 Year Treasury closed the week up – despite the graphic images of war in Ukraine. Why is the economy reacting in this fashion, and is a recession imminent? Annex Wealth Management’s Mark Beck and Derek Felske discuss.

2 | Poll Recap

Noticing A Larger Bill At The Grocery Store?

In our recent poll, we asked readers “Are you noticing a larger bill at the grocery store?”

It’s hard to miss – 97% of readers answered yes.

Today, many of us are seeing inflation on nearly all the shelves at the store. In January, the Labor Department quoted a sharp rise of a 7% surge in general food prices, an increase that hasn’t been reported since 1981.

With no reprieve in sight, it’s likely the prices at the grocery store will keep rising to offset the costs of production. Many readers said this has affected how they spend – perhaps they’re keeping a sharper eye out for deals or skipping their local grocery store for a discount supermarket like Aldi. Others have decided to ride out the price hikes while keeping their shopping habits the same.

If you are looking to save, here are some simple tips:

Save in the meat aisle:

Look for markdowns or nearly expired meat. Then freeze, freeze, freeze.

Turn small savings into big savings:

Get the grocery store card. Cut the coupons. Shop with an app. These small steps add up to big savings. Also, get cash back. Shop with a credit card that gives you grocery store points.

Buy in bulk:

Membership fees will pay for themselves if you frequent those stores like Sam’s and Costco. Buy in bulk. Larger packages often have lower per-unit pricing.

https://www.foxbusiness.com/economy/farmers-feel-the-squeeze-of-inflation

3 | Client Exclusive

Review & Optimize Tax Savings Vehicles Before The Tax Deadline

Tax Day, which is April 18th this year, is quickly approaching. Many of us know Tax Day is generally the deadline to file your taxes. What you may not know is this important day is also the deadline for making contributions to certain accounts that may benefit you.

It’s always a good idea to check if you’ve maximized your retirement savings for 2021. The IRS allows for certain types of account contributions to be made in 2022 and applied towards 2021. However, you must make such contributions by the tax deadline.

Let’s get specific:

• Review your Traditional IRA contributions for 2021. You may still be able to contribute up to $6,000 for tax year 2021, and an added $1,000 catch-up, if you’re 50 and older.
• If you’re eligible to make Roth IRA contributions, you have until April 18th to fund your 2021 contribution. Traditional IRA’s share the same funding deadline.
• If you have a spouse, he or she may be eligible to make IRA or Roth IRA contributions as well, even if they don’t have their own source of income.
• If you own your own business, there are unique accounts available to you that may still be funded for 2021, even though we are already well into 2022.
• Be aware of the income limitations. You may want to prepare an accurate draft of your tax return filing prior to making any contributions for 2021. That way, you can confirm the amounts which you are eligible to contribute. This is especially true if your income is approaching certain thresholds.
• If you have a 529 plan, some states such as Wisconsin allow you to contribute for 2021 up until April 18th, 2022 and still receive the tax deduction (up to $3,380 per beneficiary) on your Wisconsin return.
• Once you file your taxes, you may be expecting a refund. For your convenience, below are the links to both the IRS and Wisconsin websites that allow you to track the status of your refund.

Federal: https://www.irs.gov/refunds

Wisconsin: https://www.revenue.wi.gov/Pages/Apps/TaxReturnStatus.aspx 

If you have any questions about potential tax savings opportunities, please contact your Client Service Manager or Wealth Manager.

4 | Did You Know?

Envestnet & Orion Will Retire Tomorrow

As a reminder, Envestnet and Orion will be retiring on February 28 as Black Diamond takes over as the sole investment reporting tool for your use.

In addition to your custodial access, Black Diamond provides a further detailed view of your investment accounts managed by Annex Wealth Management. Though you don’t have to use the Black Diamond platform, it does offer you the ability to see in-depth and up-to-date reports on your accounts and portfolio activities.

You can also view your Quarterly Performance Reports online through Black Diamond should you choose, but if you prefer paper Quarterly Performance Reports, you will still receive them in the mail.

If you have not created your login yet, please contact us at annexportal@annexwealth.com to request a secure link to Black Diamond where you will receive your secure username and create your login password.

You can also view our Black Diamond Client Experience User Guide which explains navigation of the tool and answers some frequently asked questions. https://clients.annexwealth.com/technology-help/

Ask Us A Question!

6 | Financial Fact

Gross losses from gift card fraud in 2021 exceed $148 million.

fortunly.com

7 | Annex Radio

Events & Webinars

Annex Wealth Management has always been committed to client growth and education. Planning and saving can be demanding. We’ve found that when our clients master key concepts, it often enhances working together to reach their goals. Because these are not sales presentations, our clients benefit from a truly informative experience.