Core Viewpoint - The U.S. stock market is highlighted as a significant source of wealth creation, with President Trump emphasizing its strength and the potential financial windfall for Americans due to recent tax legislation [1][5]. Tax Refunds and Financial Strategies - The Tax Foundation estimates that the One Big Beautiful Bill Act will reduce individual taxes by $129 billion for 2025, leading to higher tax refunds for millions of taxpayers this season [3]. - Investment firm Piper Sandler projects that tax refunds could average about $1,000 higher than usual this year, with some taxpayers potentially receiving refunds of $10,000 or more [4]. - Trump encourages Americans to recognize the benefits of the tax legislation, suggesting that over 20% of refunds will be returned to taxpayers [5]. Investment Opportunities - The S&P 500 index fund is recommended as a suitable investment for most individuals, providing exposure to 500 of America's largest companies and instant diversification [6][7]. - Acorns, an investment app, allows users to invest spare change into an S&P 500 ETF with as little as $5, making investing accessible to a broader audience [8][9]. Gold as a Safe Haven - Ray Dalio emphasizes the importance of a well-diversified portfolio, highlighting gold as a key asset for hedging against economic downturns [10][11]. - Gold prices have increased by over 70% in the past 12 months, with JPMorgan CEO Jamie Dimon suggesting that gold could rise to $10,000 an ounce in the current environment [12]. - Gold IRAs offer tax advantages while allowing investors to hold physical gold, combining the benefits of retirement accounts with gold investment [13]. High-Yield Cash Accounts - Wealthfront Cash Account offers a competitive APY of 3.30%, with new clients receiving a boost to 4.05% for the first three months, significantly higher than the national deposit savings rate [15]. - The account has no minimum balances or fees, providing easy access to funds while allowing cash to earn income [16]. Financial Advisory Services - Advisor.com connects individuals with vetted financial advisors to tailor strategies based on unique financial situations, helping with wealth growth and long-term financial security [17][18].

In July, we passed the largest tax cuts in American history, including no tax on tips, no tax on overtime, no tax on Social Security for our great seniors. President Trump made a lot of proclamations about tax policy in his campaign and now throughout his administration. And it's very important for taxpayers to check what the president has said.What the tax breaks do is reduce your taxable income, and perhaps you will pay less tax, but it's not an outright elimination of tax for any of those things. Most of ...

In July, we passed the largest tax cuts in American history, including no tax on tips, no tax on overtime, no tax on social security for our great seniors. >> President Trump made a lot of proclamations about tax policy in his campaign and now throughout his administration. And it's very important for taxpayers to check what the president has said.What the tax breaks do is reduce your taxable income and perhaps you will pay less tax, but it's not an outright elimination of tax for any of those things. >> Mo ...

Core Insights - The upcoming tax season presents opportunities for individuals to optimize their tax refunds and reduce liabilities through strategic actions in Q1, particularly under the Big Beautiful Bill Act, which could increase average refunds by up to $1,000 and reduce individual income taxes by $129 billion in 2025 [1]. Tax Strategies - Prior-Year IRA Contributions: Individuals can contribute up to $7,000 for the 2025 tax year if under 50, and up to $8,000 if 50 or older, until the tax filing deadline [3][6]. - Retirement Savings Impact: Maxing out IRA contributions at the current limit of $7,000 over 20 years with a 6% return could yield $296,348, compared to $169,341 if contributing the average of $4,000 [4]. - Health Savings Account (HSA) Contributions: Contributions to HSAs are tax-deductible and can be made for the previous tax year, with limits of $4,300 for self-only coverage and $8,550 for family coverage for 2025 filings, plus a $1,000 catch-up contribution for those aged 55 and older [5][6]. - Self-Employment Deductions: Self-employed individuals can utilize various deductions to lower tax liabilities, including home office expenses, business-related software, phone and internet costs, mileage, and professional services [7].

Tax filing season is in full swing, and while preparing your taxes can often be filled with stress, misplaced documents, and worries about proper filing, this year, there may be a silver lining. According to analysts, many Americans may get larger refunds in 2026 due to Trump’s 2025 One Big Beautiful Bill legislation. Most Read from Fast Company Last year, the average refund was $3,167, but, given there are a number of new changes and deductions, experts say many Americans are looking to get back an add ...

Core Insights - Taxpayers can anticipate larger-than-usual refunds for the 2025 tax year due to provisions in the One Big Beautiful Bill Act (OBBBA) [2] Tax Cuts Under OBBBA - Maximum child tax credit increased by $200 [7] - Standard deduction raised by $750 for single filers and $1,500 for joint filers [7] - State and local tax (SALT) deduction cap increased to $40,000 for taxpayers earning less than $500,000 annually [7] - New $6,000 additional deduction for seniors, phasing out for incomes over $75,000 (or $150,000 for joint filers) [7] - New $10,000 auto loan interest deduction, phasing out for incomes over $100,000 (or $200,000 for joint filers) [7] - New deduction for up to $25,000 in tip income, phasing out for incomes over $150,000 ($300,000 joint) [7] - New deduction for up to $12,500 in overtime income ($25,000 for joint filers), phasing out for incomes over $150,000 ($300,000 joint) [7] Financial Recommendations for Tax Refunds - Paying down debt, especially high-interest credit card debt, is recommended as the best use of tax refunds [3][5] - The average credit card balance in the U.S. was $5,595 per cardholder as of Q2 2025, while the average federal tax refund last year was $3,116, indicating that refunds can significantly reduce debt [4] - Building up an emergency fund is advised, ideally covering three to six months of essential expenses [6]

There are steps people can take to avoid prolonged waits for a deceased loved one’s tax refund https://t.co/QLoOHl9We4 ...

Core Insights - Many Americans are expected to receive larger tax refunds this year due to tax cuts from a bill signed by President Trump, which included several tax breaks for 2025 [1] - The IRS will issue refunds electronically, but those without direct deposit information will face delays [2][3] Group 1: Tax Refunds and Delays - The average tax refund in 2025 was $3,167, with estimates suggesting an increase of $675 to $1,000 for this year [5] - Individuals without direct deposit will experience longer wait times for their refunds, particularly affecting low-income and older populations [4][5] - The IRS processed 93.5 million tax refunds in 2025, with only 7% issued by check, equating to approximately 6.5 million refunds [6] Group 2: Electronic Payments vs. Paper Checks - The IRS indicates that paper checks are 16 times more likely to be lost, stolen, or delayed compared to electronic payments, which are issued in less than three weeks [7] - The move towards electronic payments is seen as beneficial, as checks are considered costly, inefficient, and insecure [7]

Core Insights - Taxpayers often experience confusion or frustration when their tax refunds are smaller than expected or absent, despite little change in income [1] Group 1: Common Refund Surprises - Expecting a refund every year is the most common surprise, as refunds are based on mathematical calculations rather than past experiences [2] - Changing jobs frequently leads to refund surprises due to potential mistakes in completing withholding forms, which can alter tax withholdings without immediate visibility [4] - Earning more money does not guarantee a larger refund; higher income can push taxpayers into a new tax bracket, resulting in a smaller refund or unexpected tax liabilities [5]

Core Insights - The Internal Revenue Service (IRS) is facing significant challenges this tax season, including short staffing and the transition from paper checks to digital refunds [1] Group 1: Staffing Issues - The IRS has experienced a 27% reduction in its workforce over the past year, following a period of increased staffing due to funding from the Inflation Reduction Act [5] - Leadership turnover and the implementation of complex tax law changes are compounding the staffing challenges faced by the IRS [6] Group 2: Transition to Digital Refunds - The report highlights that while most refunds were issued electronically last year, taxpayers without direct deposit information may face delays of up to six weeks for their refunds [2] - Vulnerable taxpayers, including those without bank accounts or who are elderly or disabled, may be disproportionately affected by the IRS's move away from paper checks [3] - Average refunds last year were $3,167, which is a significant amount for many households [3] - Only 6% of taxpayers filed their returns on paper, and just 7% received their refunds via paper check [4]