Optimism Contributes to Positive Well-Being
Did you know that something as simple as a positive outlook on aging can add years to your life? A study done at Yale showed "the median survival of those in the more positive self-perceptions of aging group was 7.6 years longer than the median survival of those in the more negative aging self stereotype group…" (Levy). This remained true even when variables such as age, gender, socioeconomic status, loneliness, and functional health were included as covariates.
Stock Market Seasonality
You may have heard that stock market performance and trading volume can fluctuate depending on the time of year. It's an interesting phenomenon supported by decades of historical data. For example, the "January Effect" refers to the tendency for stocks to generate stronger returns during the first month of the year, often driven by small-cap performance. The market has also produced historically higher returns in the days leading up to and following major holidays, such as Christmas. No one knows exactly why these patterns occur. Many hypothesize that it's some combination of investor holiday optimism, institutional trading behavior, and money from year-end tax-loss harvesting and bonuses being invested all at once.
In any case, as we enter the historically slower months of August and September, it's important to remember that stock market seasonality is just an interesting historical trend, not a strategy to base your investing decisions on.
1099-NEC Income Reporting Limits Change
This January, businesses only need to file a form 1099-NEC for a contractor or service provider once total payments hit $2,000 for calendar year 2026. This limit is up from $600 in prior years and was adjusted in the tax legislation that was signed into law in July of 2025.
Gross proceeds paid to an attorney (reported on form 1099-Misc) still remain subject to the prior $600 threshold.
Not all states have adopted these changes, so state 1099 forms may still need to be filed. This is something we will be watching as we approach tax season for 2026 returns.
This only changes the filing requirement, not the underlying obligation for taxpayers to report all their income, regardless of whether a 1099 or other tax form is issued.
530A Accounts Webinar
Last week, we held a webinar covering planning considerations around 530A accounts (also known as Trump Accounts). These new investment vehicles are built to give children a head start on saving for retirement, and even comes with a one-time, $1,000 contribution from the government for eligible children. While these accounts can be useful, they won't fit into everyone's long-term financial strategy. If you're interested in learning more, you can find the webinar recording on our website.
Taxes and financial planning are complex, but you don’t have to navigate them alone. A financial advisor can help you stay informed about tax law changes, optimize your savings and investments, and avoid costly mistakes. If you need tailored guidance, our team is here to help. Talk to an advisor or call (603) 589-8010 to integrate tax planning into your comprehensive financial strategy.
Disclaimer:
This material is provided for educational and informational purposes only and is not investment, tax, legal, or financial advice. It does not consider any individual’s investment objectives, strategies, tax situation, or time horizon, and it is not an offer to sell or a solicitation to buy any security. Financial aid rules, tax laws, and school policies change frequently and vary by institution; figures cited are as of October 2026. Investing in a 529 plan involves risk, including the possible loss of principal. Before investing, review the plan’s offering documents for its investment objectives, risks, fees, and expenses, and consider whether your home state offers tax benefits only for its own plan. Please review your personal situation with your tax and/or financial advisor before acting.
Views expressed are subject to change based on market and other conditions. Any projections, market outlooks, estimates, or other forward-looking views are based on assumptions, are not indicative of future performance, and actual results may differ materially. Information is obtained from third-party sources believed to be accurate, but Milestone makes no representation as to its accuracy, completeness, or timeliness and accepts no liability for decisions based on it. Past performance is not indicative of future results. All investments involve risk, including the possible loss of principal.
Milestone Financial Planning, LLC (“Milestone”) is a fee-only financial planning firm and registered investment advisor headquartered in Bedford, NH. Registration does not imply a certain level of skill or training. Milestone works with clients on an ongoing, long-term basis, providing financial planning, tax planning, retirement planning, and investment management services. Fees are based on assets under management and may include a financial planning fee. Milestone receives no commissions or referral fees and, as a fiduciary, is required to act in clients’ best interests. Advisory services are offered only where Milestone and its representatives are properly licensed or exempt from licensure. More information, including fees and principal risks, is available in Milestone’s Form ADV Part 2A. For help with your investments or financial planning, contact one of our fee-only advisors.
