Financial Advisor David Giertz Writes About How Federal Tax Changes Affect Investors

David Giertz is a FINRA registered broker in the financial industry. He started out his career at Financial Horizons Security Corp. in 1989. He began as a financial services provider and quickly rose through the ranks. After just four years he joined Citicorp Investment Services as an executive. He continued to work in high-level positions at Nationwide Investment Services Corporation for several years. At one time he was the senior v.p. of their Financial Distribution and Sales department.

In a February 2018 article, David Giertz outlined how the new tax laws affect people when it comes to saving for retirement. He said that there five main things that investors need to be aware of going forward. The first is that the health savings account contribution limits are changing. Most people aren’t aware, he says, that an HSA can be used as a retirement account. In fact, they are triple-tax advantaged and can be superior to an IRA or 401(k) in a number of ways.

As he explains it, an HSA isn’t taxed for either capital gains or dividends, money in them can be used tax-free for medical expenses, and after age 65 they can be used on anything tax-free. He says the contribution limit is going up to $3450 for individuals and $6900 for families.

David Giertz also says that the limit on 401(k)’s is going up to $18,500 in 2018 and people over age 50 can contribute $24,500. His third point is that IRA deduction limits are changing depending on income. As income increase the tax deduction limit decreases. He says this starts at $63,000 for single taxpayers and the heads of households. Married couples start to phase out at $101,000.

Also, Roth IRA limits are changing. He says that single people and heads of households cannot contribute to a Roth IRA for those earning $120,000 to $135,000 a year. Finally, David Giertz says that the limits on the Saver’s tax credit are also changing. In order to get this federal tax credit people need to earn less than $63,000 for married couples, $31,000 for single taxpayers, and a head of household needs to earn less than $47,250.