Blog/News

Video Library

Scroll through the Perspective Financial Services Video Library to watch original, brief videos on a wide range of personal financial planning and investing topics. (more…)

What is in the Inflation Reduction Act? 

Patrick EngWhat is in the Inflation Reduction Act?  A staggering brew of green energy spending and corporate taxes, as well as major changes to Medicare. Will new Medicare laws help retirees? And will the new laws help the economy? Maybe. Or maybe not. When it comes to massive legislation, the future is always a bit hazy.

The timeline below details some of the major Medicare law changes that are planned. Since health care is one of the biggest unknown costs in retirement, lowering drug costs and making spending more predictable for Medicare recipients could absolutely have a positive impact on millions of people. The new rules also could mean premium changes as insurance companies figure out their models.

Whether the overall bill will live up to its name, lower inflation, and have a net positive impact  on the economy also remains to be seen. Some economists project the bill will end up modestly reducing inflation and trimming the federal budget over the next decade. Others are concerned about the impact of the new corporate tax rules written into the legislation.

Legal challenges or post-election changes could end up altering much of what’s in the new legislation. Much depends on the actual execution of the new rules. As is usually the case, only time will tell.

 

 

What is in the Inflation Reduction Act

Sources:
https://www.kff.org/medicare/issue-brief/how-will-the-prescription-drug-provisions-in-the-inflation-reduction-act-affect-medicare-beneficiaries/
https://www.morningstar.com/articles/1109390/the-inflation-reduction-acts-impact-on-retirees
https://www.kff.org/medicare/issue-brief/prices-increased-faster-than-inflation-for-half-of-all-drugs-covered-by-medicare-in-2020/
https://www.kff.org/medicare/issue-brief/insulin-out-of-pocket-costs-in-medicare-part-d/
https://www.cdc.gov/vaccines/programs/vfc/awardees/vaccine-management/price-list/index.html
https://www.moodysanalytics.com/-/media/article/2022/assessing-the-macroeconomic-consequences-of-the-inflation-reduction-act-of-2022.pdf
By |2022-09-23T15:02:02-07:00September 27th, 2022|Current Affairs, Health Care|

Recession News (Sort of)

recession newsAre we in a recession? It depends on who you ask. Recession news can be complicated, especially in 2022.

The most common definition of a recession is two consecutive quarters of negative growth. The economy met that bar after the most recent report on gross domestic product (GDP), which showed the economy shrank in the first half of 2022.

Still, we won’t know whether we’re actually in a recession for several more months. Why? The official arbiter of recessions is the National Bureau of Economic Research (NBER), and its recession criteria depends on more data than GDP. To formally declare a recession, the NBER looks for a significant and widespread decline in economic activity that goes on for a while.

2022 Recession News

We may very well be in a recession. However, a mixed bag of positive and negative economic factors makes it weird and hazy.

On the positive side: The labor market remains strong, still creating plenty of new jobs. Consumer and business investment also is looking sturdy.

On the negative side: Inflation is obviously on everyone’s radar, as is the Fed’s latest interest rate hike.

Whether we’re officially in a recession or not, the economy is flashing some undeniable warning signs. Despite recent gains, we can expect more market volatility. That’s the cyclical nature of the economy and investment markets. Ups and downs are normal.

The best thing we can do is have faith in our proven investment strategy, stick to our written financial plans, and ride out the current storm.

Photo by Andrea Piacquadio via Pexels.com
By |2022-08-23T12:55:47-07:00August 31st, 2022|Current Affairs, Investing|

Elder Financial Exploitation

Jacob Cavaleri

Did You Know?

Each year, more than 3.5 million older adults are victims of financial exploitation and are swindled out of more than $3 billion altogether. The average loss per person is $34,200.

The Older Americans Act defines elder financial exploitation broadly as “the fraudulent or otherwise illegal, unauthorized, improper act or process of an individual, including a caregiver or fiduciary, that uses the resources of an older individual for monetary or personal benefit.”

This form of exploitation can be found across all social, educational, and economic boundaries. A humbling example that may hit close to home for some people is Cindy McBride’s story.

Her formal name may not sound familiar. Arizona sports fans often refer to her as “Flag Lady”— yes, the same lady we have watched for years, wave her flags in the upper deck of Chase Field, home of Diamondbacks baseball. She fell victim to a Facebook scam in which someone posed as an Air Force general, gained her friendship and trust, and swindled her out of nearly $200,000.

Sadly, such scams (via telephone, mail, social media, and email)  are common. The perpetrators of elder financial exploitation can be anyone. Often the crime involves theft of money or property by those you’d least expect, including family members, caregivers, and financial advisers.

Not all people who fall victim of these exploitations are as vocal about it as McBride. Hopefully her situation can serve as a source of caution and a way to begin a conversation with loved ones about the risks.

In most instances of suspected elder abuse, including financial exploitation, you should contact adult protective services. If the older person is in danger or a crime has been committed, call 911.

Click here to learn more and get tips for protecting yourself and your loved ones.

 

 

By |2022-08-23T12:59:01-07:00August 25th, 2022|Cyber Security, Financial Planning|

When to Waive Health Care Privacy

when to waive health care privacyMost adults are familiar with the HIPAA documents we’re asked to read and sign at doctor offices and hospitals. The Health Insurance Portability and Accountability Act was passed in 1996 to set standards for protecting personal health information. That’s important. We all value and deserve privacy. Yet, it’s important to know when to waive health care privacy.

When to Waive Health Care Privacy

In estate planning documents like health care powers of attorney, living wills, and advance health care directives, it’s a good idea to waive your HIPPA rights. Doing so allows physicians and other health care professionals to share medical information with your designated representative so that informed health care decisions can be made on your behalf. Without HIPAA authorizations in these documents, doctors may be unwilling to discuss medical information. That could delay decision-making regarding care and end-of-life wishes.

Children who may have recently turned 18 years of age should also sign a HIPPA waiver granting parents access to their health care information in the event of an emergency.

Now is a good time to take stock of your family’s health care powers of attorney and related documents to ensure the best care possible for yourself and the people you love.

Photo by Pixabay
By |2022-07-29T09:33:52-07:00August 15th, 2022|Estate Planning, Health Care|