How to Make Your Financial Dreams a Reality

In his “I Have a Dream” speech, the Rev. Martin Luther King Jr. encouraged us to think about the real possibilities of a brighter future — a future that affords us to live in comfort and prosperity. It is in that spirit that we encourage you to evaluate your dream of financial security. >> AARP’s Financial Freedom Program There are several steps you should consider to help you work toward financial freedom as you kick off the new year with a …

Be Generous, but Give What You Can Afford

African Americans/blacks have a history of giving. More than two-thirds give to churches and organized charities. We also give to family members who need help paying bills, college students who need tuition assistance and others. We are responsive to our churches and Greek-letter organizations that make appeals. >> AARP Financial Freedom: News, Tips, and Resources for Your Financial Health I applaud the giving tradition and am, indeed, part of it. Yet it is important that our gifts are part of …

Obama Budget Would Drastically Alter IRA Rules

President Barack Obama calls them loopholes, although investors consider them playing by the rules. Yet under the president’s newly released budget, some of the tax strategies used by high-income earners to contribute to Roth IRAs or maximize the tax benefits on inherited IRAs would go away. Right now, to make a full or partial contribution to a tax-friendly Roth IRA, income must be under $131,000 for an individual and $193,000 for a married couple. High earners have gotten around this by …

President’s Budget Would Trim Estate Exemptions

President Barack Obama’s proposals to increase middle-income tax cuts would come partly at a price to the estates of higher-income households. Under the new budget released Monday, the president calls for turning back the clock on estate taxes to 2009, when an individual could shelter $3.5 million — double that for married couples — from the federal estate tax. Currently, the exemption amount is $5.43 million per person. The top tax rate on estates would also go up under the president’s …

Where AARP Stands on Chairman Ryan’s Budget Proposal

As AARP reviews the details of House Budget Committee Chairman Paul Ryan’s fiscal year 2015 budget proposal, we encourage members of Congress to consider the impact on real people when looking for ways to address our nation’s financial challenges. Chairman Ryan’s proposed budget fails to address the high costs of health care and instead shifts costs onto seniors and future retirees. Repealing the benefits of the Affordable Care Act ignores the progress we’ve made to improve access to health care …

Obama Budget Proposal Targets Medicare Savings

As expected, President Obama’s budget proposal abandoned a call to change the way annual increases in Social Security benefits are calculated and continued a call for Medicare savings. Announced March 4, his plan, which goes next to Congress, would hit some Medicare providers, drug companies and higher-income Medicare beneficiaries as part of $402 billion in estimated health care savings over the next decade. Among the proposed changes for beneficiaries: Charge higher premiums for Parts B and D for higher-income people …