Reference

An IRS form used to report payments of $600 or more made to non-employees, such as independent contractors.

The time limit allowed by the IRS to complete an indirect rollover before the distribution is taxed and potentially penalized.

American Opportunity Tax Credit is a tax benefit that helps students and their families cover the costs of the first four years of post-secondary education by reducing the amount of income tax they owe.

A professional evaluation of the value of an item or the cost of repairs to determine the amount an insurance company should pay for a claim.

The first and largest decentralized cryptocurrency, created by an anonymous person or group known as Satoshi Nakamoto.

A trust that pays a set amount to a charity for a specific time, after which the remaining assets go to non-charitable heirs.

A debt repayment strategy where you focus on paying off the debt with the highest interest rate first to save money over time.

A debt repayment strategy where you pay off debts with the highest interest rates first to minimize total interest paid.

A debt repayment strategy where you pay off your smallest debts first to build momentum before tackling larger ones.

A debt repayment strategy where you pay off your smallest debts first to build psychological momentum.

A 10% penalty charged by the IRS on most retirement account withdrawals made before the account owner reaches age 59 1/2.

The transfer of unclaimed estate assets to the state when no heirs are found.

An amount of money put into a retirement account that exceeds the annual legal limit set by the IRS.

A formal request to the IRS for additional time to submit a tax return, usually granting six extra months.

The official IRS form used to apply for an automatic six-month extension to file a federal individual income tax return.

A type of unemployment that occurs when people are between jobs or are entering the workforce for the first time. It is considered a natural and healthy part of a dynamic economy.

The very first block of a blockchain network, serving as the foundation for every block that follows.

Annual Gift Tax Exclusion — The specific amount of money or value one person can give to another in a single year without having to report it to the IRS.

The process by which a privately owned company begins offering its shares to the general public for the first time.

Grantor Retained Annuity Trust is a legal arrangement where you transfer assets into a trust for a set time while keeping an income stream, which helps minimize taxes when passing wealth to heirs. It is essentially a way to move your investments to your children while locking in current tax values to avoid future gift tax hits.

High Deductible Health Plan is a health insurance policy where you pay lower monthly premiums but must pay a larger portion of your medical costs out-of-pocket before the insurance kicks in. It is like having a car insurance policy that only covers major accidents, requiring you to pay for routine repairs yourself.

Initial Public Offering is the first time a private company sells shares of its stock to the general public on a stock exchange. This is the moment a company 'goes public,' allowing everyday investors to buy ownership in the business for the first time.

Internal Revenue Service: This is the government agency responsible for collecting taxes and making sure people and businesses follow federal tax laws. Think of them as the people who manage the country's piggy bank by ensuring everyone pays their fair share.

Specific expenses allowed by the IRS that can be subtracted from your adjusted gross income to reduce your tax bill.

A federally funded program that assists low-income households with their home heating and cooling energy costs. The program also provides emergency assistance during weather-related crises and funding for minor energy-related home repairs.

Master Limited Partnership: This is a type of business structure that is traded on public stock exchanges but is taxed like a partnership, often used by energy companies like those moving oil or gas. It is designed to pass profits directly to investors without the company itself paying a corporate income tax first.

The illegal practice of selling a security short without first borrowing it or ensuring it can be borrowed for delivery.

The principle of setting aside savings immediately after getting paid before paying any bills or buying necessities.

The first person or organization named to inherit the funds in a retirement account upon the owner's death.

A retirement savings plan that meets specific IRS requirements to receive favorable tax treatment for both employers and employees.

An IRS official who specializes in examining and auditing tax returns to ensure compliance with the law.

A Right of First Refusal is a contractual agreement that gives a person the first opportunity to buy an item or property before the owner is allowed to offer it to anyone else. It is like being given the first chance to buy a friend’s car at a set price if they ever decide to sell it.

An IRS provision allowing employees who leave their job at age 55 or older to take penalty-free distributions from their current 401(k).

A type of 401(k) plan that automatically satisfies certain IRS fairness tests by requiring the employer to make specific contributions.

The status of a loan when a borrower misses a payment, beginning the first day after the payment was due.

A tax credit that allows a certain amount of assets to be passed to heirs or given as gifts tax-free during your lifetime or at death.

A tax-free monthly payment from the Department of Veterans Affairs to veterans who were injured or became ill during their military service.

A mortgage loan available to veterans, service members, and their spouses, guaranteed by the Department of Veterans Affairs.