Joe Ramos, CEO & Sr. Wealth Advisor
Joe Ramos, CEO

Letter from the CEO

Tax Planning Update


June 2010

On March 30, the President signed into law the Health Care and Education Reconciliation Act of 2010, which modified the Patient Protection and Affordable Care Act signed on March 23, 2010, completing reform of the nation's health insurance and delivery systems. Many of the core provisions of the reform go into effect over the next several years, including the individual coverage mandate, employer coverage requirements, and new taxes on high earners and high-cost health plans. In "Patient Protection Act: Detailing New Tax Provisions," we provide more information about the new laws.

When you start a new job, you must fill out a Form W-4, which determines the amount of Federal income tax that is withheld from each paycheck. To avoid problems with overpayment or underpayment, you may want to match the amount withheld as closely as possible to your actual tax liability, adjusting your rates and allowances as your status changes. We provide more information in "Withholding and Your Tax Strategy."

Finally, in "Items of Interest," we explain the potential benefits of above-the-line deductions and the potential tax implications of scholarship income.

As always, we welcome your comments,

C. Joseph Ramos