Your Advisor's Thoughts

Always Something to Be Thankful For!

Thanksgiving…

For so many of us this day marks the beginning of the holiday season. The excitement of turkey roasting, family hosting, and Christmas shopping can quickly obscure the opportunity for grateful reflection. For others the concept of being “thankful for all that we have” is a very difficult one. Maybe money is tight this year, or health and family concerns weigh on your mind. This is a painful reality for so many in our community, and all the tasty recipes and beautiful table settings cannot compensate for the hurt or lack that so many feel.

So in light of these realities, how can we truly celebrate Thanksgiving Day with an attitude of gratitude?

Make a conscious effort to be more aware of what you have than what you don’t!

Simple words – but they really are such a challenge for all of us. We can all quickly reel off a list of our wants, but when did you last consider what you might be taking for granted? There are so many things we each enjoy every day… a beautiful Fall day with magnificently colored trees, the companionship of a pet, a place to call home, a hug from a loved one. We are so truly blessed, but we lose the blessing when we focus on our lack rather than the abundance of even simple things.

Express your gratitude to just one person this week.

Receiving just a few words of gratitude can go a long way toward brightening someone’s day. We all love to be told how much we are appreciated… look for someone that you can recognize with just a few encouraging words, and likely you will benefit as well!

We are thankful for each of you, our clients and colleagues, and wish you all a blessed Thanksgiving!

Phil, Greg, Charlotte, Jackie, Carol and Jen

Securities offered through Trustmont Financial Group (TFG) Inc. Member FINRA/SIPC Advisory services offered through Trustmont Advisory Group (TAG) Inc. 200 Brush Run Road, Greensburg, PA 15601 724-468-5665 Neither “Your Best Interest” Financial Services, Inc. nor 401kPRO are affiliated with TFG or TAG.

2011 Federal Energy Tax Credits

Tax season is quickly approaching! Have you made improvements to your home over the last year to improve its energy efficiency? Maybe you are considering home system upgrades and are wondering about the possible tax benefits. The Federal tax credits for making energy efficient improvements continue to be extended in 2011, but at lower levels than in previous years. For 2011 the credit varies depending on the type of improvement.

The improvements in this first list qualify for a tax credit of 10% of the cost of the improvement, up to $500 or a specific amount from $50 - $300. Remember that for these items, installation costs are not included.

• Insulation
• Roofs

- Metal roofs with appropriate pigmented coatings

- Asphalt roofs with appropriate cooling granules

- All must meet ENERGY STAR requirements

• Windows and doors

- Must be ENERGY STAR qualified

- Windows, maximum of $200

Each of the items in the next list qualify for the same tax credit (10% of the cost of the improvement, up to $500 or a specific amount from $50 - $300) but in these cases, installation costs can be included in the cost calculations:

• Furnaces & boilers

- Natural gas, propane, oil, hot water

- Capped at $150

- Must meet 95AFUE

• Advanced main air circulating fan

- Capped at $50

- Must use no more than 2% of the furnace’s total energy

• Central air conditioners

- Capped at $300

- Split systems: SEER > 16, EER > 13

- Package systems: SEER > 14, EER > 12

• Air source heat pumps

- Capped at $300

- Split systems: HSPF>8.5, EER >12.5, SEER >15

- Package systems: HSPF > 8, EER >12, SEER >14

• Water heaters

- Natural gas, propane, oil

- Capped at $300

- Energy factor > 0.82 or thermal efficiency at least 90%

• Electric water heaters

- Capped at $300

- Energy factor > 2.0

• Biomass stoves

- Capped at $300

- Thermal efficiency rating at least 75%

To claim the credit, the improvements must be made to an existing home that is your principal residence. New construction and rentals do not qualify. A lifetime limit of $500 is now in effect. Therefore, if you have already received $500 in these tax credits from tax years 2006-2010, you are not eligible for any additional energy tax credits.

The following improvements still qualify for 30% tax credit with no maximum limit:

• Geothermal heat pumps
• Solar energy systems
• Small wind turbines

In the case of these items, the credit applies to existing homes and new construction for principal residences and second homes. Rentals do not qualify. Installation costs are included in the credit.

The following qualifies for a tax credit of 30% of the cost (installation costs included), up to $500 per .5kW of power capacity:

• Fuel cells

- Residential fuel cell and micro-turbine system

- Efficiency of at least 30% and capacity of at least 0.5kW.

The credit applies to existing homes and new construction that will serve as your principal residence. Rentals and second homes do not qualify.

Please note:

• Not all Energy Star qualified products qualify for a federal tax credit.
• No federal tax credits are given for appliances.

We recognize that for many private taxpayers it is a challenge to stay on top of the ever-changing tax laws. The tax team here at “Your Best Interest” Financial Services, Inc. stays current on tax law changes by continually attending educational seminars and reading professional tax publications. Jackie Ward, the YBIFS Tax Operations Manager, will be posting here occasionally over the next few months to provide you with relevant information in an easy-to-understand format. Remember, our tax department is available to assist you year round, not just during tax season. If you ever need help, or just have a question, please call Jackie at 610-485-1010.

Stay tuned…

This is a guest blog by Jackie Ward, the Tax Operations Manager at “Your Best Interest” Financial Services, Inc.

Securities offered through Trustmont Financial Group (TFG) Inc. Member FINRA/SIPC. Advisory services offered through Trustmont Advisory Group (TAG) Inc. 200 Brush Run Road, Greensburg, PA 15601 724-468-5665 Neither “Your Best Interest” Financial Services, Inc. nor 401kPRO are affiliated with TFG or TAG.