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How To Reduce Social Security Taxes In Retirement by Jennifer Lang Financial Services

·1 min read

Retirees Fall Into the "Tax Torpedo" Taking Social Security Early.

Houston, Texas --News Direct-- Jennifer Lang Financial Services, LLC

Combining taxable IRA and retirement plan income with Social Security income in the same year causes retirees’ effective tax rates to soar. The effect can be reduced or avoided by taking IRA or other retirement plan distributions first and claiming Social Security later. IRA Conversions allow retirees to replace the retirement income they would have drawn from Social Security with penalty-free withdrawals from Fixed Indexed Annuities buying them additional years. Learn more: JenniferLangFinancialServices.com

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Jennifer Lang Financial Services, LLC.

Jennifer Lang

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mail@jenniferlangfinancialservices.com

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    (Bloomberg) -- Ant Group Co.’s profit rose to $3.4 billion in the December quarter after Chinese regulators thwarted its record initial public offering and told it to scale back its sprawling business.Billionaire Jack Ma’s fintech giant contributed nearly 7.2 billion yuan to Alibaba Group Holding Ltd.’s earnings, a company filing showed Thursday. Based on Alibaba’s one-third stake in Ant, that translates to 21.8 billion yuan ($3.4 billion) in profit, up 50% from 14.5 billion yuan in the previous three months. Ant’s earnings lag one quarter behind Alibaba’s. Ant declined to comment.The tally underscores the earnings powers Ant boasted before authorities demanded China’s largest fintech company fold its financial business into a holding company, curtailing its growth prospects. Regulators have issued a battery of proposals that threaten to curb Ant’s dominance in online payments and scale back its expansion into consumer lending and wealth management.While Chairman Eric Jing has promised staff that the company will eventually go public, it’s likely to be worth much less than before the crackdown that saw the IPO halted in November. Fidelity Investments halved its valuation estimate for Ant to about $144 billion in February, compared with $295 billion assigned in August.Ant isn’t alone in facing the clampdown. The government imposed wide-ranging restrictions on the financial divisions of 13 companies including Tencent Holdings Ltd. and ByteDance Ltd. Units of JD.com Inc., Meituan and Didi Chuxing were also among companies summoned to a meeting where regulators handed out stricter compliance requirements in April.The company’s affiliate Alibaba reported its first loss in nine years, vowing to hike spending for expansion next year in technology and community commerce.(Updates with Alibaba profit details in last paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.

  • Fisker Soars as EV Deal With Foxconn to Include U.S. Factory

    (Bloomberg) -- Fisker Inc.’s existing agreement to develop an electric vehicle with Foxconn Technology Group will now include a factory in the U.S., the companies said in a statement Thursday.The joint project -- codenamed Project PEAR -- is targeting a start of production in the U.S. by the fourth quarter of 2023. The companies said they’re considering multiple sites around the world to support eventual global manufacturing capacity of 250,000 units a year. The partners plan to unveil a prototype of their jointly developed car later this year.Los Angeles-based Fisker’s shares rose as much as 22% to $12.13 in late trading in New York. The stock is down 32% this year through Thursday’s close. Hon Hai Precision Industry Co., the main listed arm of Foxconn, is up 12% for the year in Taipei.Electric vehicles have risen in prominence in recent months, with everyone from established automakers like Geely to smartphone purveyor Xiaomi Corp. making big investments in the category. Foxconn has an EV platform that will be used to launch two light vehicles in the fourth quarter of this year, Chairman Young Liu said in February. The company has also inked a manufacturing deal with Chinese startup Byton Ltd. and been among a coterie of suppliers and assemblers linked with a potential Apple Inc. car.Read more: IPhone Maker Foxconn to Help Launch Electric Cars This YearFisker is one of a wave of startups to go public via a special purpose acquisition company, or SPAC, and seek a fast-track challenge to Tesla Inc. in the EV market. It’s also the second battery-powered-car venture founded by its namesake founder and chief executive officer, Henrik Fisker, a longtime auto designer. Fisker’s first venture, Fisker Automotive, filed for bankruptcy in 2013.China Tech Giants Bet $19 Billion on Global Electric Car FrenzyUnder the agreement, Fisker and Foxconn will jointly invest in Project PEAR -- short for Personal Electric Automotive Revolution -- with each company taking proceeds if the launch is successful. Foxconn has said it will decide between Mexico and Wisconsin for the site of its first electric-car plant this year. The companies didn’t disclose any specifications of the vehicle they’re developing.The companies said the jointly developed vehicle will be priced below $30,000. Taiwan-based Foxconn, best known for assembling iPhones, is the second major manufacturer with which Fisker has announced a partnership since reaching a deal to go public last year. In October, the EV startup said Magna International Inc. would help it build its debut model. The Ocean electric SUV is scheduled to start production in late 2022 at a Magna facility in Graz, Austria.(Updates with other Foxconn EV projects in fourth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.

  • MSCI China Enters Bear Market After Tech Selloff; Alibaba Slumps

    (Bloomberg) -- China’s most widely-followed stock benchmark tumbled into a bear market after a selloff in some of the nation’s biggest technology firms.The MSCI China Index slid 3% Thursday, extending losses from its mid February high to more than 20%. This is the second time the gauge has fallen into a bear market in a little over a year. Last March, major equity benchmarks slumped following the spread of the Covid-19 pandemic.Meituan Shares Drop for 10th Session on Consumer Group CriticismStock benchmarks in Hong Kong and on the mainland are among the world’s worst performers since February as Beijing cracks down on heavyweight tech firms over monopolistic practices, further worsening investor sentiment already soured by concerns of liquidity tightening in China.“I wouldn’t be at all surprised if we were to see an ongoing 10% correction in the MSCI China over the next quarter or so,” John Woods, Asia Pacific chief investment officer at Credit Suisse Group AG, told Bloomberg TV on May 12, citing increased regulatory intervention as a top concern. “This is weighing on the extremely important tech sector.”Tencent Holdings Ltd., Alibaba Group Holding Ltd. and Meituan have accounted for more than 40% of the index’s decline since the February high, Bloomberg data show. Alibaba tumbled to the lowest in almost a year in New York, after reporting its first quarterly loss since 2012 on Thursday. Investors were disappointed about its results and concerned that its spending outlook could pressure margins.Read: Alibaba Hits Lowest Since June on Spending Plans: Street WrapA Hong Kong gauge tracking Chinese technology stocks has lost more than 30% since a February high. Beijing had pledged to curb the “reckless” push of technology firms into finance and crack down on monopolies online. It has forced Jack Ma’s Ant Group Co. to revamp its businesses and fined giants including Tencent and Meituan for violating anti-trust regulations. This week, Meituan slumped after its CEO posted a poem seen as critical of Beijing.(Updates details in the fifth and sixth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.

  • Prudential shares fall as Jackson demerger shifts to second half

    Shares in Prudential fell 5% on Thursday as the life insurer said the spin-off of its U.S. business would not take place until the second half. Analysts were expecting the demerger, announced last year following pressure from activist investor Third Point, to take place this month. Prudential had previously said the demerger would take place in the second quarter.

  • Singtel reviewing digital businesses after $907 million hit

    Singtel, whose biggest shareholder is state investor Temasek Holdings, also said it expects to report full year net exceptional losses of S$1.21 billion ($907 million). Singtel has been trying to diversify for years amid slowing growth in its traditional carrier business. It bought Amobee for $321 million in 2012 and Trustwave for $770 million in 2015.

  • Vietnam’s Masan Exploring Options for Animal Feed Unit

    (Bloomberg) -- Masan Group Corp., a Vietnamese conglomerate, is exploring options for its animal feed unit that could include selling a stake to a strategic partner, according to people familiar with the matter.The company is working with advisers to weigh introducing fresh investment in the business, which is currently held under its listed Masan MeatLife Corp. unit, said the people, who asked not to be named as the information is private. It is seeking to raise as much as $1 billion from a deal, they said.Masan is also mulling a possible initial public offering for the animal feed unit, one of the people said. The company’s management believes Masan MeatLife is under-appreciated by the market, the person said.Deliberations are at an early stage and may not lead to any transaction, said the people. A representative for Masan Group declined to comment.Shares in Masan MeatLife closed up 6.5% on Thursday, their highest level since the end of Jan. 2020, giving the unit a market value of $865 million.A $1 billion deal would be Vietnam’s biggest since 2017, when Vietnam F&B Alliance Investment JSC bought 54% of Saigon Beer Alcohol Beverage for $4.4 billion, according to data compiled by Bloomberg.Masan Group is controlled by Vietnamese tycoon Nguyen Dang Quang. Founded in 1996, the Ho Chi Minh City-based firm is best-known for its fish sauce which it sells under brands including Chin-Su and Nam Ngu, according to its website. It has interests in retailing and mining as well as a stake in Vietnam Technological & Commercial Joint-Stock Bank, commonly known as Techcombank.Masan MeatLife is one of the largest fully-integrated feed-farm-food business platforms in Vietnam, its website shows. In 2015 the company merged its two animal feed businesses, Anco and Proconco, and three years later began selling fresh, chilled meat under the MeatDeli brand.(Updates with Masan MeatLife share price in fourth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.