By Maddy Vitale
From the simplest financial matters, all the way up to the most complicated changes in tax laws, Ocean City Financial Group is here to help residents understand and navigate today’s financial climate.
“There are a lot of changes happening with tax laws right now,” said Ocean City Financial Group Financial Planner Jodie Booth. “People of all financial levels are affected and are looking for guidance.”
Booth, a married mother of two who graduated top of her class in finance at Stockton University and received several accolades and awards, said she understands going to a financial planner could be daunting. At Ocean City Financial Group, located in the heart of town at the top of the Crown Bank building on 8th Street and Asbury Ave., clients of all personal wealth levels receive the same personalized service.
“If I was going to a financial planner, I could see how it would be intimidating, I would worry they would judge me. But everyone can benefit from talking to a financial planner – especially in this changing environment.” Booth said.
A personalized, warm touch and understanding, as well as expert advice in financial matters, is the service both Booth and Mark Reimet, who opened Ocean City Financial Group in 1997, provide.
Reimet, a married father of two who lives in Ocean City, has carved out a niche as a planner in three specific ways ¬– advising families on risk management and investment planning needs, working with business owners on employee benefits and retirement planning and helping retirees with investment and estate planning needs.
Reimet has seen a lot of changes in the market and the world of financial planning, since he began in 1988. But one thing he hasn’t seen, is such a comprehensive change in the tax laws.
“These are the biggest changes to tax law since Reagan’s Tax Reform Act of 1986,” Reimet said. “Many of my clients have been asking questions, trying to understand how it pertains to them and how to properly plan for it.”
Here are five of the biggest takeaways for Ocean City residents:
- Most Americans would see at least a 10% reduction in income taxes, effective through 2025.
- The standard deduction of $6,350 for single taxpayers and $12,700 for joint returns would increase to $12,000 and $24,000 respectively.
- The maximum annual child tax credit would increase from $1,000 per qualifying child to $2,000 with $1,400 refundable, phased out beginning at $200,000 single and $400,000 joint, reducing tax for qualifying families with children or other dependents.
- Section 529 plans would be allowed to be used for K-12 tuition and related expenses annually in addition to post-secondary expenses.
- Estate and gift tax exemption would be doubled from $5 million to $10 million (inflation adjusted, $11.2 million exception in 2018), reducing the number of estates subject to estate tax and providing more opportunity for lifetime planning.
While these changes have been passed by the Senate, House of Representatives and signed by the President, many of the provisions will require action from the Treasury Department and the Internal Revenue Service, in order for the changes to be implemented. And many of these changes do not extend beyond 2025, possibly causing taxes to increase at that time.
“The time to do the planning is now. There is no better time to gift for estate planning, transfer of assets or wealth or legacy planning,” Reimet said. “The financial advisor is often the best liaison to manage the process of planning with your tax counsel and attorney.”
For more information visit oceancityfinancialgroup.com or call Ocean City Financial Group at (609) 814-1100.