What is Ordinary Loss?
Any loss incurred by a taxpayer that is not considered a capital loss. Ordinary losses can stem from many causes, including casualty and theft. Ordinary losses that are larger than a taxpayer’s gross income for the year can leave the client with zero taxable income on their 1040. Read more for examples and further explanation including related video clips and also comments
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Tag: savings
Registered Retirement Savings Plan Deduction – RRSP Deduction definition explanation
What is Registered Retirement Savings Plan Deduction – RRSP Deduction?
The amount that a Canadian taxpayer contributes to his or her RRSP. This amount can be deducted from the taxpayer’s annual income to arrive at his or her taxable income for the year. Read more for examples and further explanation including related video clips and also comments
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Flexible Spending Account – FSA definition explanation
What is Flexible Spending Account – FSA?
A type of savings account available in the United States that provides the account holder with specific tax advantages. Set up by an employer for an employee, the account allows employees to contribute a portion of their regular earnings to pay for qualified expenses, such as medical expenses or dependent care expenses. Read more for examples and further explanation including related video clips and also comments
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Y-Share definition explanation
What is Y-Share?
A class of mutual fund shares that often has a high minimum investment, such as $500,000 per lot, and the added benefit of waived or limited load charges and fees. Due to the high minimum investment required, Y-shares are often only accessible by large institutional investors. Read more for examples and further explanation including related video clips and also comments
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Portable Benefits definition explanation
What is Portable Benefits?
Benefits that have been paid into or accrued in an employer-sponsored plan and that can be transferred to a new employer’s plan or to an individual who is leaving the workforce. Applies to benefits from health plans, retirement plans and most other defined-contribution plans.
Portability of benefits can be found within most 401(k) plans, 403(b) plans and health savings accounts (HSAs). Read more for examples and further explanation including related video clips and also comments
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Retail Lender definition explanation
What is Retail Lender?
A lender who lends money to individuals rather than institutions. Banks, credit unions, savings and loans institutions, and mortgage bankers are all examples of retail lenders. Retail lenders are used generally for lending money for mortgages, auto loans and consumer-finance loans. Read more for examples and further explanation including related video clips and also comments
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Short-Term Investments definition explanation
What is Short-Term Investments?
An account in the current assets section of a company’s balance sheet. This account contains any investments that a company has made that will expire within one year. For the most part, these accounts contain stocks and bonds that can be liquidated fairly quickly. Read more for examples and further explanation including related video clips and also comments
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Jingle Mail definition explanation
What is Jingle Mail?
A situation where a homeowner mails his or her house keys to a mortgage lender due to an inability to meet mortgage payment obligations and a lack of equity in the property. If a homeowner is upside-down in a mortgage and feels the entire loan is a lost cause, he or she may choose to walk away from the property altogether and relinquish it to the original lender instead of going though the foreclosure process. Read more for examples and further explanation including related video clips and also comments
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Autonomous Consumption definition explanation
What is Autonomous Consumption?
The minimum level of consumption that would still exist even if a consumer had absolutely no income. This contrasts with discretionary consumption, which is used for non-essential items. When combined with discretionary income, a person’s autonomous consumption determines his or her real income, or real wages. Read more for examples and further explanation including related video clips and also comments
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Order Management System – OMS definition explanation
What is Order Management System – OMS?
An electronic system developed to execute securities orders in an efficient and cost-effective manner. Brokers and dealers use OMSs when filling orders for various types of securities and are able to track the progress of each order throughout the system. Read more for examples and further explanation including related video clips and also comments
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