Tax Updates & Holiday Party 🎉🌟

Published: Tue, 11/05/24

Updated: Tue, 11/05/24

Photo by Allison Dearmin, Northern Lights in La Veta, CO

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A Few Questions with Lindsey

Capstone clients often turn to financial advisor Linsey Simek for advice on their portfolios and investments, but have you ever been curious about her favorite karaoke song? We decided to have a little fun and asked her some light-hearted questions—here’s what she had to say:

Lindsey Shares Expertise at Leading Conference

Capstone advisor Lindsey Simek recently joined esteemed colleagues in Denver for the Private Wealth Mountain States Forum where she discussed the rising importance of ESG and the sustainability movement in private equity. The forum is a valuable opportunity to connect with industry leaders, discuss the most pressing challenges facing wealth management today, and exchange ideas to enhance our commitment to serving clients in a rapidly evolving landscape.

IRS Announces 2025 Tax Brackets, Standard Deductions and Other Inflation Adjustments

The IRS announced its 2025 inflation-adjusted tax brackets, with income thresholds increasing by 2.8%, the smallest rise in several years due to cooling inflation. The standard deduction for married couples filing jointly will increase to $30,000, while for single filers it will rise to $15,000. Most taxpayers use the standard deduction to reduce their taxable income rather than itemizing deductions. U.S. taxes are progressive, meaning higher income is taxed at higher rates. For instance, the 10% tax bracket for married couples filing jointly in 2025 starts at $23,850.

Capital gains tax thresholds will also rise, with married couples earning up to $96,700 paying 0%, and those between $96,700 and $600,050 paying 15%. The estate-tax exclusion will rise to $13.99 million, and the tax-free gift limit will increase to $19,000 per recipient.

These adjustments aim to prevent "bracket creep," where inflation pushes taxpayers into higher brackets without real income gains. More info >

Social Security Announces 2.5% Benefit Increase for 2025

The 2.5% cost-of-living adjustment (COLA) increase will boost the average Social Security payment by about $50 starting in January. This year, the average monthly benefit payment for retirees is about $1,927, according to the Social Security Administration. After the 2.5% increase, that will rise to $1,976 per month. Married couples who both collect Social Security will see their average benefit rise to $3,089 per month next year, up from $3,014 currently.

During the past three years, seniors received above-average cost-of-living adjustments as inflation hovered well above the Federal Reserve's 2% annual target. But now, with inflation nearing the Fed's goal, the latest annual COLA reflects cooling prices.

While this year's adjustment helps maintain some purchasing power, it reminds us that relying solely on Social Security may not be enough for a comfortable retirement. Diversifying income sources and looking ahead remain crucial strategies.

Join us for a festive holiday celebration filled with delicious appetizers, drinks, and good company. We're thankful for our wonderful clients and would love to share some holiday cheer with friends. Don't miss out on the fun—we can't wait to celebrate with you!

Holiday Party

Thursday, December 5

6:00-8:00pm

Capstone Office, 620 N. Tejon St., Colorado Springs

We agree, Mr. Faulkner! Gratitude sparks the connections that matter most. The Capstone team is thankful for your friendship and trust, and this Thanksgiving, we wish you and your family abundant blessings and joy!

Capstone built our reputation on friendly service, impeccable honesty, and respect for every client. Our clients’ needs drive our relationship, and the focus is always on you. We strive to be highly responsive to your requests and are skilled at creating solutions customized to your goals, values, and situation. Reach out anytime with questions. We're happy to help!

Capstone Investment Financial Group, LLC

Colorado Springs/Denver

719-477-9883

info@capstoneinvest.com

620 N Tejon St
Colorado Springs CO 80903
USA

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