In this episode, I go through the three tax-efficient strategies for maximizing the value of your charitable giving.
Key Timestamps:
00:00 – Intro
01:25 – Standard deduction explained
04:40 – Strategy 1: Bunching
05:46 – Strategy 2: Donor-Advised Funds
07:04 – Strategy 3: QCDs
08:41 – Recap & final thoughts
Resources Mentioned:
Episode 37 on Donor Advised Funds (DAFs)
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
In this episode, I go through the three things that need to be true for it to make sense to keep your house as a rental property.
Key Timestamps:
00:00 – Introduction
00:49 – 1. The Math
03:31 – 2. Qualitative Fit
05:21 – 3. Long-Term Fit
09:06 – Recap & Final Thoughts
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
In this episode, I discuss the basic principles of term insurance and why for most families it is the preferred method of life insurance over permanent insurance, SBP, and VGLI.
Key Timestamps:
00:00 Introduction & why term life insurance
01:10 Principles of Term Insurance
03:35 How much term insurance do you need?
05:35 Calculating your coverage
07:10 Comparing Term vs. Permanent, VGLI, and SBP
12:09 Final thoughts & summary
Resources Mentioned:
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
In this episode, I discuss the art of the backdoor Roth IRA for high income earners. We walk through what it is, how to do it, and key mistakes to look out for.
Key Timestamps:
00:00 Introduction to the Backdoor Roth IRA
02:21 Step-by-Step Guide to Backdoor Roth IRA
04:51 Key Caveats and Pro-Rata Rule
07:26 Fixing Past Contribution Mistakes
10:06 Conclusion and Final Tips
10:47 Additional Resources and Disclaimer
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
In this episode, I dive into when it makes sense and does not make sense to refinance your mortgage when rates are falling.
Key Timestamps:
00:00 Introduction: Is Now a Good Time to Refinance?00:55 Understanding Refinancing Basics02:03 VA Loan Refinancing: Uncle Earl Explained03:12 When Refinancing Makes Sense06:06 When Refinancing Doesn't Make Sense08:02 Veteran-Specific Provisions for Refinancing09:50 Conclusion and Final Thoughts
Resources Mentioned:
Episode 16: VA Loans with Evan Kaufman
Episode 50: Refinancing VA Loans with Evan Kaufman
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
In this episode, I dive into the provisions of the One Big Beautiful Bill Act (OBBBA) passed on July 4, 2025 and how it is likely to impact your tax bill this year and for the years to come.
Key Timestamps:
00:00-Introduction to the One Big Beautiful Bill Act
01:22- Understanding the Tax Rate Extensions and Standard Deductions
02:43- Charitable Giving and Itemized Deductions
04:53- State and Local Tax (SALT) Deduction Changes
06:45- Child Tax Credit and Senior Deduction
08:55- Tax Exemptions on Tips, Overtime, and Business Provisions
11:16- Estate and Lifetime Gift Tax Exemptions
12:55- Vehicle-Related Tax Provisions1
5:40- Education and Trump Accounts
17:31- Actionable Takeaways and Conclusion
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
In this episode, I dive into the essentials of college savings, focusing on 529 plans and how to decide the best approach for your family. I cover the pros and cons, recent rule changes, and practical tips for making smart education funding decisions.
Key Timestamps:
00:00 - Introduction and Personal Update
01:56 - Philosophy of Education Savings
04:12 - 529 Accounts Overview
06:48 - What 529 Plans Cover
08:27 - Pros of 529 Plans
11:54 - Cons of 529 Plans
14:09 - Making the Right Decision
16:41 - Outro and Resources
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/70
Today, I talk about how the way you consume financial news can have a huge impact on your emotional state and your long-term success as an investor. I’ve noticed that most financial media today—especially TV and digital platforms—is designed to get you riled up, not to inform you. It’s biased, sensationalized, and built to sell ads, which makes it really dangerous for investors who are trying to stay focused on the long term. Studies show that many investors underperform their actual investments by 3–7% because of emotional decision-making, often driven by news consumption. My advice? Stop watching the news and start reading it. Limit your intake—maybe 15 minutes a day or even just once a week—and stick to reliable, relatively unbiased sources like The Economist (which I read in print), The Wall Street Journal (minus the opinion section), Financial Times, Bloomberg, Morningstar, and Investopedia. Building a smarter, calmer news habit helps you stay informed without being overwhelmed or emotionally swayed—and ultimately makes you a better, more focused investor.
Key Takeaways:
• The average investor underperforms their own investments by 3–7%, largely due to behavior driven by emotional news cycles.
• The Economist and The Wall Street Journal are trusted, relatively balanced sources of financial information.
• Doomscrolling is a destructive habit, especially when it comes to financial decision-making.
• Opinion sections and talk shows are entertainment, not reliable sources of economic insight.
• Choosing quality over quantity in your news consumption makes you a more informed, more resilient investor—and a more grounded person overall.
• Most modern financial media is designed to entertain and provoke, not to inform objectively.
Key Timestamps:
(00:00) – Introduction and Personal Update
(00:33) – The Impact of News on Investing
(01:50) – The Problem with Modern Financial Media
(03:48) – Recommended Financial News Sources
(06:37) – Building Smarter News Habits
(08:12) – Conclusion and Final Thoughts
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/69
I talk about the often misunderstood process of probate and why simply having a will isn’t enough to avoid it. Most people assume a will guarantees a smooth transfer of assets, but the truth is, many of those assets still go through probate - a public, court-supervised process that can take months or even years and cost thousands in legal fees. I explain why we want to avoid probate and how to do it. There are three main ways I recommend: first, owning property jointly - especially with a spouse - so it transfers automatically; second, using beneficiary designations on financial accounts and insurance policies, which actually override what’s written in a will and allow for faster transfers; and third, setting up a revocable living trust, which keeps everything private, gives you more control, and avoids probate altogether. I share how I’ve seen this work for clients and why smart estate planning is one of the best gifts you can leave your loved ones.
Key Takeaways:
• Probate is a public legal process where a court oversees the distribution of your assets after death.
• Legal fees during probate can cost 3–5% of your estate’s value, reducing what your heirs receive.
• Joint bank accounts transfer directly to the surviving co-owner, skipping probate.
• Roth IRAs must be individual accounts, so naming both primary and contingent beneficiaries is critical.
• Trusts can include specific instructions for how and when beneficiaries receive assets.
• Proper estate planning minimizes stress, cost, and confusion for your loved ones after you pass.
Key Timestamps:
(00:00) – Understanding Probate: What It Is and Why It Matters
(01:00) – The Drawbacks of Probate
(02:17) – Three Strategies to Avoid Probate
(03:26) – Beneficiary Designations: A Crucial Step
(05:41) – Setting Up a Living Trust
(07:21) – Summary and Final Thoughts
(08:15) – Conclusion and Additional Resources
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/68
Today, I explain that while a market correction - defined as a 10% or more drop - is never fun, it’s actually quite normal and often healthy. Historically, corrections happen every year or so, and the average recovery time is about four months. I walk through data showing that after 10%, 20%, or even 30% declines, markets tend to rebound strongly over one-, three-, and five-year periods. I stress that trying to time the market doesn’t work - you can’t afford to miss the best days, which often come right after the worst ones. I emphasize that policies like tariffs are temporary and shouldn’t shake our long-term investing strategy. Businesses adapt, markets recover, and the long arc of investing continues upward. For those with excess cash, downturns can be a good time to invest, rebalance, harvest losses, or consider a Roth conversion. I also encourage listeners to reassess their risk tolerance, especially if they’re nearing short-term goals. My main message: zoom out, stay focused on the long term, and remain optimistic - this time is not different.
Key Takeaways:
• Market corrections are a normal part of investing, not a reason to panic.
• Tariffs and trade tensions may cause short-term market movements, but their long-term impact is often overstated.
• Staying invested through downturns is a key to building wealth and fear-based decisions can derail years of smart investing.
• Corrections can create buying opportunities if you’re positioned wisely.
• Comparing today to past corrections helps put things in perspective.
• Volatility can test your resolve, but staying the course is usually the right call.
Key Timestamps:
(00:00) – Market Corrections: Frequency and Impact
(02:29) – Expected Market Rebounds After Declines
(05:56) – The Importance of Staying Invested
(07:55) – Temporary Nature of Policies
(10:05) – Businesses' Adaptability and Long-Term Outlook
(11:16) – Practical Steps During Market Downturns
(13:52) – Conclusion and Final Thoughts
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/67
I explore the S Corp election, a tax strategy that can help business owners—especially LLCs and sole proprietors—reduce self-employment taxes. When operating as an LLC or sole proprietor, all income is subject to self-employment tax at 15.3%, but electing S Corp status allows me to split my income between a salary (taxed normally) and distributions (which avoid self-employment tax). I discuss when this election makes sense—typically when net profit exceeds $50,000 and is expected to grow—along with the need to set a reasonable salary, run payroll, and file additional tax forms. While this strategy can save money, I also highlight the downsides, including added paperwork, payroll costs, and potential IRS scrutiny if salary justification isn’t handled properly. I walk through the steps to elect S Corp status, point out common mistakes to avoid, and emphasize the importance of consulting a tax professional before making this decision.
Key Takeaways:
• Unlike LLCs and sole proprietors, S Corps allow owners to split income into salary (taxed normally) and distributions (which avoid self-employment tax).
• Generally, S Corp election makes sense when net profit exceeds $50,000, and it becomes a strong consideration at $100,000+
• The IRS requires S Corp owners to pay themselves a fair market salary before taking distributions to prevent tax avoidance.
• The IRS may scrutinize S Corps, particularly if owners pay themselves an unreasonably low salary while maximizing distributions.
• Businesses with fluctuating or low profits may not benefit from S Corp election due to payroll and compliance costs.
• S Corp owners should maintain distinct business and personal accounts and use accounting software for tracking.
Key Timestamps:
(00:00) – Understanding S Corp and Self-Employment Tax
(02:03) – Tax Benefits of S Corp Election
(03:27) – When to Consider S Corp Election
(04:29) – Setting a Reasonable Salary
(06:07) – Downsides of S Corp Election
(07:38) – How to Elect S Corp Status
(09:06) – Who Should Avoid S Corp Election
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
I’ve noticed that many people don’t fully understand their home and auto insurance coverage, often just relying on default options or what the agent recommends. I want to highlight four common mistakes I see: (1) Having low deductibles, which results in higher premiums for minor claims; (2) Low liability limits, which can expose you to significant financial risk in serious accidents; (3) Coverage mismatches, especially in home insurance, where the policy may not reflect the current replacement cost or include umbrella coverage for those with a higher net worth; and (4) Not shopping around for better rates every couple of years, as insurers tend to gradually raise premiums over time. The key takeaway is that insurance should be for covering major financial risks, not small, routine expenses. I recommend regularly reviewing and adjusting your coverage to make sure you’re getting the best protection and value.
Key Takeaways:
• Many people don’t fully understand their home and auto insurance coverage and often rely on default options or agent recommendations.
• Having low deductibles can lead to higher premiums for minor claims, such as windshield repairs or small damages.
• Many people neglect to shop for better insurance rates regularly, leading to higher premiums over time as insurers tend to increase rates gradually.
• Insurance should be used to cover major financial risks (like a house burning down or a serious accident) rather than small, routine expenses (like a cracked windshield).
• Regularly reviewing your insurance policy ensures that your coverage, deductibles, and liability limits are appropriate for your current needs and financial situation.
Key Timestamps:
(00:00) - Common Insurance Mistakes
(00:51) - Mistake 1: Low Deductibles
(04:30) - Mistake 2: Low Liability Limits
(07:38) - Mistake 3: Coverage Not Matching Home Value
(08:48) - Mistake 4: Not Shopping Policies Regularly
(10:03) - Conclusion and Final Thoughts
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show, Car Insurance, Home Insurance
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/65
I recently worked with a client on a tax planning strategy that perfectly illustrates the power of proactive financial planning. The client owned a rental property and was approaching the five-year deadline for the Section 121 exclusion, which allows homeowners to exclude up to $250,000 in capital gains if they’ve lived in the property for at least two of the last five years. After reviewing their situation, I realized that selling before the deadline would save them $33,000 in capital gains taxes. We worked together to make it happen, and they successfully sold the property just weeks before the cutoff. This experience reinforced how crucial it is to time financial decisions strategically, especially when considering income fluctuations and long-term goals. Tax planning isn’t just about looking back—it’s about thinking ahead and making informed choices that align with your future. Too often, tax preparers focus on past filings, but I believe in looking through the windshield, planning for the next five to ten years. This case was a great example of turning financial goals into action through smart, forward-thinking tax planning.
Key Takeaways:
• Proper tax planning can lead to significant, measurable savings for clients.
• Understanding whether gains are taxed as ordinary income (short-term) or at lower capital gains rates (long-term) is essential in tax planning.
• Rather than reacting to past tax years, forward-thinking tax planning helps optimize future financial outcomes.
• While tax savings are important, financial decisions should ultimately align with personal goals, not just tax benefits.
• Good planning integrates tax strategy, investment choices, and long-term goals to create a cohesive financial plan.
Key Timestamps:
(00:00) – Client Case Study: Saving on Taxes
(01:43) – Timing the Sale for Maximum Tax Benefits
(03:16) – Details of Section 121 Exclusion
(03:26) – Additional Considerations for Military Members
(05:01) – Proactive Tax Planning Strategies
(05:56) – Final Thoughts and Takeaways
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/64
In this episode, I wanted to highlight the many benefits available to veterans with VA disability ratings, as I was surprised by how extensive they are during my own claims process. I go over key benefits, especially those that are lesser known, particularly for 100% disabled veterans. These include commissary and exchange privileges, waived VA loan funding fees, tax-free compensation (which can be substantial), healthcare benefits that expand significantly at 50% and 100% ratings, student loan forgiveness for 100% total and permanent disability, property tax exemptions in some states, Chapter 35 education benefits for dependents, and even free in-state tuition in certain states. When combined, these benefits can add up to millions of dollars in value over time. I emphasize the importance of knowing your benefits, ensuring your rating is accurate, and filing for increases if warranted. If you haven't filed a VA claim but believe you're eligible, it's worth pursuing, as these are benefits you're legally entitled to. Hopefully, this episode helps veterans or their loved ones understand what’s available to them. Let me know if you have any questions, and thanks for listening!
Key Takeaways:
• Disabled veterans can access commissary and exchange privileges, hiring preferences, and burial benefits.
• Veterans with at least a 10% disability rating can have their VA loan funding fee waived, potentially saving thousands.
• Some states offer full property tax exemptions for 100% disabled veterans, while others provide partial exemptions.
• Spouses and children of 100% disabled veterans may qualify for additional education benefits similar to the GI Bill.
• Even at lower ratings, benefits can add up to tens of thousands of dollars, while a 100% rating can be worth millions over a lifetime.
• Veterans should not feel guilty about filing; these benefits are legally granted based on service-connected conditions.
Key Timestamps:
(00:00) – VA Disability Benefits
(01:36) – VA Loan Funding Fee Waiver
(02:19) – Compensation Details
(04:10) – Healthcare Benefits
(05:18) – Student Loan Forgiveness
(06:58) – Property Tax Exemptions and Vehicle Registration
(07:53) – Chapter 35 Benefits
(09:21) – In-State Tuition for Children of Disabled Veterans
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
Mentions:
Current Veterans disability compensation rates: https://www.va.gov/disability/compensation-rates/veteran-rates/
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/63
In this episode, I break down the key changes we can expect in the 2025 Republican tax bill and what they might mean for you. With a Republican majority in Congress and President Trump back in office, major tax reforms are likely on the horizon—think lower individual tax rates staying in place, a potential repeal or increase of the SALT deduction cap, and a higher child tax credit. Business owners could see an expanded QBI deduction and the return of 100% bonus depreciation, while there’s also talk of eliminating taxes on tips, overtime, and Social Security benefits. Plus, clean energy tax credits may be on the chopping block, and estate tax changes are on the table. Tune in as I walk through what’s coming, how it could impact your finances, and what to keep an eye on as the bill takes shape later this year!
Key Takeaways:
• The lower individual tax brackets from the 2017 Tax Cuts and Jobs Act (TCJA) are expected to become permanent, avoiding the scheduled 2026 increase.
• The 20% deduction on qualified business income (QBI) is expected to remain and could increase to 30% or 35%, benefiting small business owners.
• There’s discussion about making tips, overtime pay, and Social Security benefits tax-free, though this remains uncertain
• Credits for electric vehicles, solar panels, and other green energy incentives are likely to be phased out or eliminated altogether.
• The final bill is expected mid-2025, so individuals and businesses should monitor changes closely to adjust tax strategies before year-end. Stay tuned for updates!
Key Timestamps:
(00:00) – Overview of Expected Tax Changes
(02:30) – SALT Tax Exemption Changes
(04:17) – Enhanced Standard Deduction
(05:08) – Enhanced Child Tax Credit
(06:13) – Qualified Business Income Deduction
(07:47) – Reintroduction of 100% Bonus Depreciation
(09:03) – Miscellaneous Income Tax Changes
(10:05) – Removal of Clean Energy Credits
(11:03) – Estate Taxes and Conclusion
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show, tax changes, estate taxes, EV tax credits, solar panels, green energy incentives, SALT, Tax Cuts and Jobs Act, President Trump, Republican majority
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/62
I explore a common question I hear frequently: “Can my spouse quit their job?” Using a real-life client case study, I break down the financial and emotional considerations of transitioning to a single-income household. By analyzing their $350K combined income, with $800K already saved for retirement and a strong financial foundation, they decide the tradeoff is worth it for less stress and more family time. This exercise highlights the importance of evaluating not just numbers but also lifestyle priorities, whether it’s reducing hours, cutting expenses, or rethinking long-term goals. I hope this discussion inspires listeners to reflect on their own situations and find the balance that works best for their family.
Key Takeaways:
• Quitting a job doesn’t necessarily mean a drastic loss of financial stability, but it does take serious consideration of personal goals and situations.
• For families with young children, childcare is often a significant expense. Removing this cost can offset the financial impact of one spouse staying home.
• Financial decisions should factor in lifestyle priorities, such as spending time with young children or reducing household stress, not just numbers on a spreadsheet.
• Families can consider cutting discretionary spending, such as dining out or shopping, to make up for the reduced income. Downsizing major expenses like housing or cars can also create more flexibility.
• Beyond childcare, other work-related expenses—like commuting, vehicle depreciation, and professional attire—can be reduced or eliminated if one spouse quits their job.
• The couple prioritizes spending time with their kids during their formative years, recognizing that this opportunity is limited and irreplaceable.
Key Timestamps:
(00:00) - Introduction: Can My Spouse Quit Their Job
(00:36) - Case Study: Real-Life Scenario
(01:43) - Financial Breakdown: Income and Expenses
(03:14) - Analyzing the Impact of Quitting a Job
(04:57) - Qualitative Considerations and Lifestyle Changes
(07:27) - Summarizing the Decision-Making Process
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/61
As we step into 2025, I wanted to take a moment to review the routine tax and contribution limit changes that come with the new year. This episode focuses on the updated limits for 401(k)s, IRAs, HSAs, and other retirement plans, along with key adjustments to Social Security, the annual gift tax exclusion, and standard deductions. For instance, the 401(k) elective deferral limit is now $23,500 for those under 50, with a special new catch-up contribution for those aged 60-63. While most changes align with inflation, they’re crucial to understand for effective tax planning. Though income tax rates remain stable this year, bracket thresholds and deductions have been adjusted. I also touch on planning tips, like updating recurring contributions to retirement accounts. This isn’t to be confused with anticipated broader tax reforms from the incoming administration, which I’ll cover in a separate episode. Thanks for tuning in, and here’s to staying tax-savvy in 2025!
Key Takeaways:
• The 401(k), 403(b), and TSP elective deferral limit for those under 50 is now $23,500. For those 50 and older, the catch-up contribution remains $7,500, allowing a total of $31,000.
• A catch-up provision allows individuals aged 60-63 in 2025 to make an additional catch-up contribution of $3,750, bringing their total potential contributions to $35,250.
• The annual contribution limit for IRAs remains unchanged at $7,000, with an additional $1,000 catch-up for those 50 and older.
• Health Savings Account (HSA) limits have increased to $4,300 for individuals and $8,850 for families, with a $1,000 catch-up contribution for those 55 and older.
• The annual gift tax exclusion has increased to $19,000 per person, up $1,000 from 2024.
• The lifetime exemption amount for 2025 is $13.99 million per person, up from $13.61 million in 2024.
Key Timestamps:
(00:00) - Introduction to 2025 Tax Changes
(00:50) - 401k and Retirement Plan Updates
(02:30) - IRA and HSA Contribution Limits
(03:31) - SEP IRA and Solo 401k Limits
(04:11) - Social Security and Gift Tax Adjustments
(06:04) - Income Tax Rates and Deductions
(07:11) - Capital Gains and QBI Adjustments
(07:47) - Conclusion and Final Thoughts
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
In this episode, I tackle key questions about estate tax and gifting strategies, highlighting the importance of proactive planning to pass wealth to future generations. Annual gifting is one of the simplest ways to remove money from your taxable estate without reducing your lifetime exemption per spouse. I clear up common misconceptions, such as the belief that gifts over $18,000 are taxable (they aren’t; they simply require reporting and reduce your lifetime exemption) and that recipients of gifts or inheritances owe taxes (they generally do not). I also discuss exceptions, like direct payments for educational or medical expenses, which don’t count toward gift limits and can be powerful tools for gifting. I wrap up by encouraging you to start thinking about your legacy and taking action now, especially if you’re a business owner or high-income earner. Tax laws can always change, so staying proactive now can help protect your family and create a lasting impact. Thanks for listening, and I’ll see you next year!
Key Takeaways:
• Be sure to keep track of and report your untaxed gifts. This is important to ensure they don’t end up counting against your lifetime exemption.
• Always get up to date with your state and local laws, and know how they interact with federal regulations.
• Wealth can come faster than you think. High earners in their 30s and 40s may end up surprised, and should keep an active plan for themselves and their heirs.
• Legislation changes. Wealth transfers are favored today, but the law may not always read that way. Active planning will help you leave something behind.
Key Timestamps:
(00:00) - Understanding Estate Tax and Annual Gifting
(01:03) - Historical Context of Estate Tax Exemptions
(02:00) - Current Estate Tax Exemptions and Future Considerations
(03:50) - Annual Gift Tax Exclusion Explained
(08:08) - Misconceptions and Reporting Requirements
(10:30) - Exceptions to Gift Limits
(11:45) - Conclusion and Final Thoughts
(13:16) - Closing Remarks and Resources
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show, Estate Planning, Wealth Transfer, Estate Tax, Gift, Financial Gifts, Tax Write Off
Mentions:
• IRS Form 709: https://www.irs.gov/forms-pubs/about-form-709
• State Estate Taxes: https://taxfoundation.org/data/all/state/estate-inheritance-taxes/
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/59
Erik discusses how the recent election win by Donald Trump and the Republican party could potentially impact your financial portfolio. Erik highlights three main areas of concern: financial markets and investments, interest rates, and taxes. The discussion covers possible inflationary effects, changes in financial market dynamics, expected volatility in interest rates, and potential tax code modifications. Erik emphasizes the importance of staying invested, monitoring interest rates, and understanding the likely changes in tax policies to make informed financial decisions in the coming years.
Key Takeaways:
• How will a Trump and Republican win affect financial markets and investments?
• What are the potential impacts on interest rates due to proposed policies and economic conditions?
• How might taxes change under a Republican majority, and what should individuals consider for tax planning?
Key Timestamps:
(00:00) - Introduction: Impact of Trump's Win on Finances
(01:23) - Financial Markets and Investments
(05:15) - Interest Rates and Their Implications
(08:11) - Tax Changes and Planning
(13:39) - Download the Ultimate Military Finance Checklist
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
I dive into the Southwest Companion Pass, a travel hack I’m currently using that offers huge savings for frequent travelers. The pass allows you to bring a companion along on any Southwest flight for just the cost of taxes, making it an incredible deal if you often fly with someone. To earn the pass, you need 135,000 qualifying points, which can be done efficiently through Southwest credit cards and carefully timing your spending to hit signup bonuses early in the year. I stress the importance of tracking expenses diligently to maximize the two-year eligibility period, ensuring you get the most value out of the pass. For me, the potential savings—$4,000 to $6,000 in travel value over two years—makes this a no-brainer, especially if you’re a responsible credit card user or a business owner. I also share tips for maintaining the pass long-term, like alternating eligibility with a spouse. If you fly Southwest frequently, this is an easy way to make your travel budget go much further.
Key Takeaways:
• The Companion Pass allows you to bring a companion on any Southwest flight for just the cost of taxes.
• Earning the pass early in the calendar year maximizes its value because it’s valid for the rest of that year and the entire following year. Aim to hit qualifying thresholds in January.
• The strategy only works if you pay off balances in full each month to avoid interest. Carrying debt undermines the benefits of the Companion Pass.
• You can requalify for the pass after 24 months by canceling your Southwest cards and reapplying. Many couples alternate who earns the pass to extend the benefit indefinitely.
• This hack is especially valuable for frequent travelers, those who live near Southwest hubs, and business owners or side giggers who can easily meet spending requirements.
Key Timestamps:
(00:00) - Introduction and Personal Hack
(00:25) - Understanding the Southwest Companion Pass
(01:29) - Steps to Earn the Companion Pass
(07:03) - Maximizing the Companion Pass Benefits
(10:28) - Conclusion and Final Thoughts
(11:28) - Additional Resources and Farewell
Key Topics Discussed:
BLUF Veteran Finance Podcast, Military Finance, Veteran Financial Planning, Military Money Management, VA Benefits, Military Retirement Planning, Financial Literacy for Soldiers, Military Budgeting Tips, Debt Management for Service Members, VA Loans, Military Investment Strategies, Saving for Deployment, Thrift Savings Plan (TSP), Transitioning to Civilian Life, Military Tax Benefits, Financial Independence for Veterans, Military Money Manual, The Military Money Show
Mentions:
Companion Pass information: https://www.southwest.com/rapid-rewards/tiers/companion-pass/
Chase Southwest Rapid Rewards Performance Business Card: https://www.referyourchasecard.com/226o/JUSTZTPE0R
More of Baskin Financial Planning:
Download the Ultimate Military Finance Checklist, with 7 pages of critical things to be thinking about to clarify your journey to financial freedom.
Think you might need some financial help? Book an intro call with me to see if we would be a mutual fit.
Questions or comments, drop me a note at: erik@baskinfp.com
www.baskinfp.com/post/56