Financial Musings of a Burbank CPA: Letting your investment winners run and protecting your downside Part 2 of 5

This article is the second of a five part newsletter series I published a couple of years ago on investments – Letting Your Winners Run and Protecting Your Downside (this stuff never gets old!) Part 2 0f 5 – Asset Allocation and Industry Diversification: In Part 1 of this 5 part series on general investing we discussed that there are ways to limit losses and let your winners run when you invest your money.   Asset Allocation is the process on investing a certain percentage of your money in different asset classes, the object being that different assets behave differently – some are going up when others are going down. The object of the allocation is that most of the time most of the assets are going up, so the allocation will over time generate positive returns. Allocation classes are normally stocks, bonds, commodities (gold, silver, land, oil, etc) and of course, cash. A lot of the allocation classes can be further broken down (stocks into large, mid and small cap stocks; most catagories into domestic and foreign investments, etc.) It is best to figure out what percentage to allocate to each asset class, maybe at the first of the [...]

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Financial Musings of a Burbank CPA: Letting your investment winners run and protecting your downside Part 1 of 5

First of all – Happy Martin Luther King’s Birthday. Hope you have the day off (my firm has the general policy that the owner doesn’t get holidays off during tax season, which started after my wife’s birthday on January 9th. Oh well.) This article is the first of a five part newsletter series I published a couple of years ago on investments – Letting Your Winners Run and Protecting Your Downside (this stuff never gets old!) Part 1 0f 5 – Investing to protect assets and minimizing losses:  This week I am beginning a five part posting on general investing. I used to have my series 7 and 66 brokerage licenses and have managed my own investment accounts for about 20 years. There are many ways to find stocks, bonds and other assets to invest in – investment newsletters, research services, your brother in law, etc. but the most important item is to protect your investments so that you minimize losses and let your winners run. The old adage of buying low and selling high is so obvious we usually pay it lip service, but it is amazing how many people don’t really follow it. Next in Part 2 I [...]

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Tax Musings of a Burbank CPA: New Federal Filing and Extension Dates for 2016 Business Entities

And a Happy New Year to you all. Well, now that January is here, just a reminder that the IRS has changed federal filing dates for various business entities (just to make life a little more interesting.) 1. YOU ARE A SOLE-PROPRIETOR OR A SINGLE PERSON LLC:   Your filing date is the same for 2016 returns – April 18, 2017 with an extension of six months to October 16, 2017. 2. YOUR ENTITY IS A PARTNERSHIP OR A REGULAR LLC:  Your filing date for 2016 returns is now March 15, 2017 with an extension of six months to September 15, 2017. 3.  YOUR ENTITY IS AN S-CORPORATION:  Your filing date for 2016 stays the same - March 15, 2017 with an extension of six months to September 15, 2017. 4.  YOUR ENTITY IS AN C-CORPORATION:  This is a little more complicated - -  If you have a calendar year C – Corp your filing date is April 18, 2017 with a 5 month extension to September 15, 2017 until 2026, when it changes to 6 months.  - If you have a fiscal year C – Corp with an year end of June 30, your filing date is September 15, 2017 with a 7 month extension to [...]

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