Good news! Inflation is beginning to show signs of slowing down. However, that does not mean you should give up your financial savings habits.
Peter T. Malone, CFA, CFP, Director and Portfolio Manager at Crestwood Advisors, spoke with Yahoo Finance on financial mistakes people should avoid when it comes to inflation.
Click here to read the full article
How to leverage income tax credits for renewable energy, home improvements and EVs
The Inflation Reduction Act (”the Act”) of 2022 marks a pivotal moment for individuals seeking to contribute to a more sustainable future, while simultaneously reducing their income tax liability.
This legislation, with a focus on reducing carbon emissions today and creating a more energy-abundant future, also includes substantial revisions and enhancements to income tax credits associated with renewable energy, home improvements, electric vehicles (EVs) and electric bikes.
Individuals stand to gain substantially from these incentives if they understand how to use them effectively. Here, we offer a high-level guide to navigating the landscape of these tax credits.
Rooftop Solar
Originally established in 2005, the Investment Tax Credit, commonly known as the Federal Solar Tax Credit, provides a tax incentive for solar photovoltaic (PV) installation. Under the Act, this tax credit was extended and enhanced. The current benefit is 30% of the value of your installed rooftop solar system.
With the cost of an average home system running around $15,000, this tax credit could be worth over $4,000 or more. The credit is uncapped, so the larger your system, the larger your benefit.
Heating & Cooling
The Act also offers expands tax credits for energy-efficient home improvements. This includes but is not limited to, energy-efficient windows and doors, insulation, HVAC systems, and certain types of roofing. For individuals with one or more properties, this can result in substantial tax savings. It also presents an opportunity for individuals to enhance the value of their properties while reducing their carbon footprint.
Electric Vehicle Tax Credits
The Act provides tax credits available for the purchase of new EVs and may allow an individual to upgrade their transportation method to more sustainable option while also benefiting from a tax break. While qualifying for the credit is somewhat complicated, here are a few takeaways:
Notably, the Act removes the manufacturer cap previously associated with the electric vehicle tax credit. Now, no matter how many electric vehicles a manufacturer sells, customers can still receive the full tax credit, which makes high-end electric vehicles a more financially attractive option.
The Act has opened new avenues for individuals to mitigate their tax liabilities, support renewable energy, and make sustainable choices in their personal lives. By investing in renewable energy, making energy-efficient home improvements, and choosing electric vehicles, these individuals can align their financial strategies with a sustainable future.
If you want to learn more about what tax credits you might benefit from, there are many websites that provide education and assistance. Two helpful ones are Rewiring America and the IRS.
Regional bank stocks have tumbled due to the recent instability of the banking sector. So, here’s the big question: are they a good buy?
Crestwood CIO John Ingram spoke with Money about investing in bank stocks.
Read the full article here
Nicole DellaPasqua, a certified financial planner at Crestwood Advisors in Boston, spoke with Financial Planning about financial planners working from home and the best practices they can put in place to make remote work successful.
Learn how to mitigate the remoteness of remote work by reading the full article here
At the beginning of each year, individuals set personal, professional, or financial goals for themselves. How often do you revisit these goals, and what have you accomplished thus far? As we approach the second half of the year, we urge you to revisit your goals and all that you hoped to accomplish for 2023. While we may not be able to guide you with your personal goals, we can help accelerate your 2023 financial goals across the finish line.
Financial Plan: Are you on track?
Goal Review: Over time, plans may change. It is important to review your goals regularly to ensure you are still on track for your short-term and long-term objectives. Has a life-changing event occurred? Is retirement around the corner? Reevaluating what is important to you and discussing how this impacts the next 2, 5, or 10+ years is crucial. While these are evolving conversations, it is essential to make sure your financial plan accurately depicts your idea and vision of the future!
Commitments to Saving & Investments: Have you followed your plan?
Retirement Contributions: Make sure that you have adjusted your contributions to maximize your savings for 2023. The maximum amount you can contribute to your 401k in 2023 is $22,500 (plus an additional $7,500 if you are 50 or older by the end of the year). If you do not have a 401k, we can help evaluate your options for saving toward retirement.
Monthly Savings: Periodic additions to investment accounts are a great way to compound growth and take advantage of investment opportunities as they arise. Stay committed to saving above and beyond contributions to retirement accounts. This will help grow your portfolio when you need it most. Whether it is following a monthly budget or setting up an automatic transfer to your investment accounts, putting aside any amount is beneficial.
Debt Repayment: Are there changes to be made?
Given the current interest rate environment, now is the time to review your goals for paying down any outstanding debt or other liabilities. While we are uncertain of where rates will go in the future, the recent increase has affected cash flow for many individuals with fluctuating lines of credit, margin balances, or adjustable-rate mortgages. Talk to us about your perspective on maintaining a debt balance, and let’s develop a plan to pay off your liabilities strategically.
Charitable Goals: What are your intentions?
Many people have goals of gifting to charities annually. Rather than waiting until the end of the year and rushing to make gifts, consider a monthly or quarterly donation to causes you feel most passionate about. What is your tax picture for the year? Consider your intentions for gifting and review what you have accomplished. We can help you decide how to gift and what assets are most appropriate to gift.
Items to Review: What is on the back burner?
Now that the 2022 tax season is behind you, please send us a PDF copy of your 2022 tax return. With a copy of your tax return, we may identify tax planning opportunities and help facilitate conversations with your tax preparer.
If it has been a while since you last reviewed your estate plan, there may be outdated items that should be revised. Ensure that the named individuals in your estate plan are still the most appropriate choices (ex. Healthcare Proxies, Powers of Attorney, or Trustees). We can help review your current plan, identify areas of shortfall, and make changes to titling or beneficiaries as directed.
Review your insurance coverage and consider any changes that are needed. If you have policies that have not been reviewed for many years or that may need to be adjusted, we can connect you with an agent who can provide comparisons to other policies, review any shortfalls in your current coverage, and evaluate the cost-efficiency of making a change.
Improve your odds for a successful year! The first step is evaluating the goals which you set to accomplish in 2023. The second step is to let Crestwood help you! Let’s end 2023 with a bang and accomplish all that you set out to complete! Your team is here to help.
Our CIO John Ingram, spoke with Yahoo Finance about the downward trend of inflation for 2023. The good news is experts are seeing a decline in inflation, consumers are just wanting to know when.
Read the full article here
John Morris, managing partner and wealth manager, spoke with Capital Analytics Associates about ESG and blockchains emerging as popular trends for potential investments.
Read the full interview here
FOR IMMEDIATE RELEASE
Boston, Mass. (May 15, 2023) – Crestwood Advisors (“Crestwood”), a boutique investment advisory and wealth management firm based in Boston, is pleased to announce it has been named to the first-ever USA Today ranking of Best Financial Advisory Firms in the U.S.
USA Today developed the list in tandem with independent market research and data firm Statista. More than 32,000 Registered Investment Adviser (RIA) firms were considered by Statista, and the top list recognizes the top 500 firms that are most frequently recommended and best rated by the survey participants. In addition to survey results, Statista also included metrics in relation to assets under management in the final analysis.
“We are grateful to be recognized by USA Today on their inaugural list of the nation’s best financial advisors,” said Crestwood CEO and Managing Partner Michael Eckton. “We have proven again and again that our intense focus on serving our clients and supporting our employees is key to being a leading wealth management firm in today’s highly competitive market.”
Last year, Crestwood Advisors was named to the inaugural Forbes/Shook Top RIA Firms list of the top 100 firms in the nation. Earlier in 2022, the firm was named to the prestigious Barron’s 2022 Top 100 RIA Firms list.
As a growing wealth advisory firm, Crestwood’s nearly 50 financial planning and investment professionals, who serve families and individuals across New England, strive to meet clients wherever they are in life, providing guidance, tools and financial solutions to help them succeed.
The full methodology for the Best Financial Advisory Firms 2023 list can be found here. Crestwood did not pay a fee to appear on the published list.
Please see Crestwood Advisors’ important disclosures regarding awards and recognitions here.
We are pleased to celebrate the 20th anniversary of Crestwood Advisors!
Over the last two decades, Crestwood Advisors has grown from a small team crammed into a single office above Quincy Market to a leading wealth advisory firm. We were pleased to be listed on the inaugural Forbes/SHOOK Top 100 RIA Firms List, Best Financial Advisors Firms by USA Today and the perennial Barron’s Top 100 RIA List.
We began with the idea of building a highly client-centric advisory firm that would go beyond what traditional banks, brokerages or other competitors were willing to deliver. This premise has not changed, although we serve many more successful client families than we did 20 years ago, and we have built an organizational culture that has attracted the finest talent in our industry. Our firm began humbly with an emphasis on research and investment management, and we have expanded our expertise to counsel successful individuals and families through comprehensive financial planning, estate, tax, and philanthropic planning, as well as risk management.
None of this would be possible without our extraordinary clients. Thank you for the support and trust you have placed in us. You have welcomed us into your lives, and we are reminded daily what a privilege it is to be included in your family milestones, successes, and challenges. Without you, we would not be the vibrant business we are today. We now engage with more than 600 families in 40 states with combined assets of more than $4.5 billion. Today, we serve our clients out of offices in Boston, MA as well as Darien and Westport, CT.
We are incredibly grateful to have added so many dedicated & insightful partners and colleagues to the firm over these many years. Our partners and colleagues have provided a solid foundation for Crestwood to continue growing year after year – we are grateful for the dedication and enthusiasm you show every day. Your thoughtful and professional work allows Crestwood to continue advancing alongside our clients. Finally, thank you to our team members’ families, who provide the support for all of us to bring integrity and motivation to Crestwood and to spend meaningful time with our clients.
With 20 years of wealth management success comes 20 years of gratitude. Thank you for an amazing journey – we look forward to our shared future with you!
In March 2004, the U.S. Senate designated April as Financial Literacy Month to raise awareness of the importance of financial education and the consequences of a lack of knowledge about personal finances.
Financial literacy affects everyone: your family, friends, neighbors, colleagues, and community members. The concern arises because many do not receive the appropriate level of education on personal finances during their high school or college years.
When the time comes to make financial choices in adulthood, those without access to information or proper financial education risk making errors with critical decisions that can negatively affect their financial futures.
While getting an education early can help, more advanced financial topics arise as we move throughout our lives. Here are some basics and when you may start to face them. Learning these topics and being prepared to tackle them will help everyone!
o Value of a dollar: Learning the value of a dollar through chores or a part-time job can help develop an understanding of the concept of money.
o Compounding interest: Understanding compounding interest and how a dollar grows is a concept taught in school during most algebra classes.
o Spending plan: Teaching kids and teenagers how to allocate their money into different categories like spend, save, and donate will help them understand the purpose and uses of money.
o Credit score and debt management: Building credit and managing debt is a skill that can be difficult to navigate for all ages. Knowing the composition of your credit score, good vs. bad uses of debt, interest rates, and strategies for paying off debt is relevant for most adults.
o Investing: How, when, where, and why to invest should be understood at a basic level for young adults. The information available is vast, but individuals should look to respected financial institutions for education.
o Setting goals: Setting savings goals for short, medium, and long-term goals is necessary to have a path ahead for the future. Financial goals change as life does (marriage, children, etc.), so setting new goals will be required as time passes.
o Net worth: Adults should develop a net worth statement showing assets minus liabilities. This is helpful to gauge your current financial standing and how close or far you are from meeting the goals you set.
o Employer benefits: Learning how to take advantage of and maximize employer benefits like retirement plans (401(k), 403(b), etc.), medical and dental benefits, and Health Savings Accounts (HSAs) is low-hanging fruit. Making the most of your benefits now allows for an easier road ahead.
o Protection: Ensuring financial protection with life, disability, and property and casualty insurance is essential at all ages but should be looked at closely as you accumulate assets and have more financial obligations. Also, having estate planning documents to protect you and your family is essential in adulthood.
Late Career and Retirement
o Financial plan: A financial plan is crucial as you begin to think about the next chapter. Understanding how much you have accumulated and how to make it last during retirement is at the forefront of most people’s minds when creating a financial plan.
o Long-term care planning: Having a plan for how you will pay for medical expenses and specialized care as you age makes a big difference when a major medical event does occur.
Advanced Ages
o Avoiding abuse: Protecting yourself from scams and thieves is important at all ages, but those at advanced ages are particularly vulnerable. Educating yourself on how to prevent and avoid loss and asking someone you trust for help overseeing your finances may save you stress and loss of money.
o Leaving a legacy: It may have been many years since you created your estate planning documents. Will your assets transfer as you currently desire? What type of legacy would you like to leave behind?
As your financial situation and decisions become more complex, having a team of experienced professionals who can educate and advise you is critical to a successful financial future. Contact your team at Crestwood if you have questions about your financial situation or have a family member/friend that could use our help.