The Dr. Friday Radio Show

Dr. Friday Burke
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The Dr. Friday Radio Show is a weekly radio show broadcast live on 99.7/WWTN every Saturday from 2PM-3PM CST. If you are outside of the listening area of the radio station (Nashville, TN), you can also download the iHeart App on your smartphone and search WWTN to hear the LIVE show. You can also listen to past episodes on the Dr. Friday Tax and Financial Firm website (https://drfriday.com), on Apple Podcasts, Google Play and many more.

  1. 4D AGO

    Dr. Friday Radio Show – January 31, 2026

    Tax season is open and Dr. Friday jumps right in, clearing up confusion around tips and overtime deductions and the documentation required. She warns against preparers who charge by refund or fabricate numbers, then takes calls on senior deductions, energy credits, gift tax rules, IRS resolution delays, and business/investment questions. Summary Points Tips and overtime deductions must be backed by employer-provided numbers; do not make up figures or pay preparers based on refunds. Senior Schedule 1A means testing can reduce the deduction to zero; negative values do not carry. Energy credits and vehicle interest deductions require documentation like manufacturer IDs and VIN/FIN. Gift tax basics: large gifts may require Form 709; recipients generally do not report the gift. IRS resolution and amendments can be slow; choose qualified representation and keep records. Business and investment call-ins cover HELOC interest limits, capital gains/loss netting with $3,000 annual loss limits, and 1099 deadlines. Episode FAQ Q: Is it okay for a preparer to charge a percentage of my refund?A: No. Fees should not be tied to refund size. Q: If a parent pays off my mortgage, do I owe tax?A: The recipient generally does not report it; the giver may need to file Form 709 if over the annual exclusion. Q: How do capital losses work against gains?A: Losses offset gains first; up to $3,000 of net loss can offset ordinary income, with the rest carried forward. Transcript 00:00 She’s not a medical doctor, but she can sure cure your tax problems or your financial woes. She’s the how-to girl. It’s the Dr. Friday show. If you have a question for Dr. Friday, call her now, 737-WWTN. 00:17 That’s 737-9986. So here’s your host, financial counselor, and tax consultant, Dr. Friday. Today I’m Dr. Friday, and the doctor is. in the house on this wonderfully cold Saturday. Actually very nice to be working in my office because it’s a bit nippy outside otherwise. 00:39 So we’re going to be talking today. Obviously, tax season has officially opened. We are working taxes as we speak. There has been some confusion a little bit about the tax um deduction that you’re getting on your uh tips and over time 00:59 I had one situation come through the door and I thought it was interesting. And actually I it was confirmed because I had another tax person. You guys hear me talk about Don all the time 01:10 She’s always working like I am on Saturdays and things. But anyways, she had the exact same thing happen on her side. So I think I want to put this out more as a warning than anything else because both of us have seen situations where people are preparing taxes for individuals 01:27 And you guys know I’m always talking about making sure you have somebody that is licensed, someone that’s going to stand behind the work, someone that’s going to be there when the IRS may send a sweet little love letter saying they’ve changed your return. or anything else and you want to make sure that you have the situation where you’re like, okay, I have this problem. 01:49 Well, anyways, they’re using the wrong numbers is what it really comes down to on the W-2. So W-2 box 14 has a number. Now I’ve had it come in in a couple different ways, different labelings. 02:03 I had one that was O B B B T T for overtime. I don’t know what TT stood for, but it should have been OT as far as I’m concerned. And then another one came in as like OT premium. On all the ones we worked on, we just called it overtime, trying to keep it simple. 02:18 But um that number isn’t something that you can make up. It isn’t something that your tax person, and in one of the cases, the tax person apparently got them like $6,000 back because of their overtime. 02:32 Um and that turned around to be um a a six and they took a thousand of it. Never should your tax price ever be based on your refund. Okay, it’s that simple. It should never happen. 02:45 So if that is something that your tax person is bringing up, you need to make sure that it is um I would walk away because you know they’re probably doing something fraudulent. All right, we’re going to go right to the phone lines because I am lucky today. 02:57 We got Pat online one. Pat, I am here for you. What can I do? Yeah, hi, thanks. I’m I’m talking about the uh enhanced deduction for seniors on Schedule one A. Yep Specifically line 33 and 34. 03:16 If the if you do the math on starting with 31 and you subtract 75,000 from 31, line 33 would be zero or less. Do you really put a number in there? Did you really put a negative number in there? 03:30 Or do you just move the the Okay, so then on thirty four it’s the same thing. It asked for a a computation. So that would have been a negative number also. Yeah, you can’t go to a negative on a tax return. 03:42 So it has to just go to zero. Okay, so then on line thirty-five, if those other two are zero, it says enter to six thousand and that’s the that’s the correct thing. You got it. Yes, ma’am. 03:53 Hi, thank you very much. No problem. All right. Thanks. I’m glad Pat’s work you too. Pat is working on her taxes. So um and what Pat was talking about, she’s obviously over the age of 65, and so she’s working on the additional money that you get when you’re over age 65 of $6,000. 04:13 She’s talking about the means testing that they do. And the same thing happens guys when you’re filing the additional Schedule 1A for the tips and overtime. Um, so those are going to be the same situation. 04:27 So just making sure that, you know, when you’re looking at these numbers, I have a young lady that came in and She um she’s qualifying for the the additional I believe it’s coming in on uh thirteen B for the purpose of this uh year on ordinary tax. That’s where um the additional deduction in her case was a little over ten thousand dollars is coming in and that does make a huge difference. 04:51 She was getting like $1,100 and now she’s getting like $4,400 Um that $10,000 can make a difference. And if if you’re getting that, doesn’t mean I’m going to charge you more. That was the whole point before that. 05:03 And so if there are people out there that’s going to talk people into if you have a W-2 and you walk in and they say, well, did you have overtime? And you say, yes. And you may have had over time, but if it’s not reported on the W-2, you better have a letter from the employer that shows it. 05:24 Because you tracking the overtime, the hours, multiplying it out, isn’t going to qualify because we need to prove those are the exact same hours that the employer used when reporting this information. And remember, if you’re tracking your total overtime, then you are going to have a situation where it’s a third of it, right? 05:45 Because time and a half, right? See the the time is two thirds and then a half of that. So you’re only going to get a portion of that number. You’re not getting a hundred percent of that number. 05:57 So You need to make sure that your employer’s number and yours match. If your employer is no longer your employer and they have not provided that information, we are allowed to do our best to recreate But I would be on the safe side on that. 06:11 You had better have timesheets or uh pay stubs, something that’s giving us the details of that information. And assuming that you’re just doing time and a half because if it’s double time or even triple time, it asks that in our our form that we’re completing. 06:28 We have to tell them, did you get normal to uh overtime? Did you get overtime if it was less than eight hours with someone paying you more in overtime? Um, those kind of questions are what you’re going to answer when you’re on. your tax system. And so uh same thing I had I wanted to bring up uh we are doing some energy credits for 2025 and in the past We have not had to have a manufacturer ID. You do have to have that. 06:57 If you have new windows, you need to make sure you call Window World or whoever and I will tell you we called Window World while we’re there in the office with one of my clients and they were very good about getting us that number ASAP. They were quick. 07:10 They were efficient. Um, it was wonderful because I kind of figured, oh gosh, we’re gonna end up not being able to get this number. And they had it on file. So they’re probably getting used to having that information, but you need it for your tax preparer or for you to prepare taxes if you have qualified windows, qualified doors. all of that kind of situation. We want to make sure that you have all the proper information so that you don’t lose out. 07:37 Remember if you’re if you purchased a car in 2020 You’re gonna want to make sure that you have um the fin number, right? making sure that Finn number qualifies and that you can take off that particular interest. 07:53 But you need additional, not just the note that says, hey, I paid this much interest. You need the FIN number. You need to know when the loan was taken over. Was it a fur was it in 08:04 A um new car? Was this something that you try to refinance? All kinds of questions are going to be asked. And not hard. We can handle it, guys. But being organized Totally gonna make life easier for all of us. 08:18 So just putting that out there, making sure that you and I are on the same page. We don’t want to have any issues when you’re in the office when we’re just trying to kick out those numbers. 08:27 We don’t want to have to wait. And then turn around and say something about, you know, oh, we can’t take this because we don’t have this and we don’t have that. Much easier if we can get that information and go forth. 08:38 Okay, so if you’ve got questions, maybe you’re working on your tax

    47 min

  2. JAN 26

    Dr. Friday Radio Show – January 24, 2026

    This week, Dr. Friday breaks down the Trump account election (Form 4547) and what it means for parents, grandparents, and employers. She also revisits tips and overtime reporting, the new car loan interest deduction, and the recordkeeping needed for basis and mileage. The show closes with guidance on selecting ethical preparers and staying ahead of 2025 filing changes. Summary Points Form 4547 election for the Trump account can apply to children 17 and under; contributions are optional and may come from parents, grandparents, or employers. Tips and overtime totals must come from employers (box 14 or a statement); do not guess amounts when filing. New car loan interest deduction requires a new vehicle, lien-secured loan, VIN/FIN, US final assembly, and purchase after 12/31/2024; income phaseouts apply. Cost basis matters; without records the IRS can treat basis as zero. Mileage and expense deductions require logs and generally apply only to self-employed/1099 income, not W-2 wages. Red flags: preparers who will not sign the return or charge a percentage of the refund. Episode FAQ Q: What is the Trump account and how do I elect it?A: It is a child savings account elected on Form 4547 with the 2025 return; participation is optional and contributions are not required every year. Q: What do I need for the car loan interest deduction?A: A qualified new vehicle, lien-secured loan, VIN/FIN, US assembly, and proof of interest paid for that year. Q: Can I deduct mileage if I am a W-2 employee?A: No. Mileage deductions require business use and logs and generally apply to self-employed or 1099 work. Transcript 00:00 Hey, I’m Dr. Friday, and the doctor is in the house. We are here on this cold Saturday. Good day to be inside, not have to worry about being outside. May mean that many of you aren’t really listening today because you’re not in your cars going all over the place like you usually are. 00:16 But today we’re going to talk a little bit about a call. I had a phone call earlier this week from another tax person. that I worked really well with. And Donna, she she also does taxes. 00:30 But anyways, we were talking about the Trump account and the election on the 4547. and who should be filing it. And I’ll be honest, when that first came out, I was thinking it was only for parents that had had a child in the year of 2025. 00:47 And then it was going to be for those three years. Not not taking a bigger picture or looking at a bigger picture. And so I want to talk a little bit about how this is really going to affect anyone that has a child 18 and under but I should let’s just say seventeen under because in the year which they turn eighteen it becomes um an adult as far as for this account. So if you have 13, 14 year olds and maybe you’re thinking, I would love to have some sort of account, not a 529 plan, because that sometimes limits Und where uh the school or what they can do. 01:20 They cannot have IRAs because they’re not working yet. So this Trump account is really A a great thing uh because for a lot of my parents who are looking for find out or even grandparents or employers that are looking to put up to twenty five hundred dollars bonus into their uh employees children’s accounts, this all works. 01:41 You cannot be an employee. The employee can’t do it. The employer could do it or grandparents or you as the parent can put it in there But anyways, up to $5,000 a year. If the child was born in 2025, 26, 27, 28, they’re going to add another $1,000. to this. But I mean this is huge because think about in 18, well in some cases 18 years, there’s also a couple other organizations Dill is gifting a supercharge additional funds to the account. 02:13 They’re putting $250 for the first 25 million children. And also another company was doing it as well. But there’s a couple others. So if you have a child, but they’re basically saying that if you contribute that $5,000 for the full 18 years or 17 years. 02:33 Uh plus that 1,000. When that child hits 18, they would have $377,000. If they continue to let it grow and work, they would have um an additional um two million dollars by the time they’re 65. 02:50 If you just put zero contribution just let that one thousand dollars grow over their next um 10 years from when it happens, that would be like $17,000. I’m not a financial planner. 03:03 I’m not telling you I’m I’m not gonna really take calls on how that’s all crunching or working because that’s not my expertise. Expertise. But to me, it is going to be taxable when the children take the money out, unless they use some of it for first-time home buyers, because there’s a exclusion you only have to pay tax ordinary tax i should say on that you don’t have the penalty involved there is some college credits you can get out um uh that you wouldn’t have to pay the penalty on um but ordinary income tax. So this is going to be uh interesting because it is not tax Deferred, yet when the kids take the money out, it is taxed. 03:40 So in theory, there would be some double taxation in my mind, unless I’m not fully understanding how this works It looks like the employer, if they put in the $2,500, that is deferred. But the money that we’re putting in as parents or grandparents or or something like that. 03:57 As far as I know, that is not deferred, but yet it would become this is being treated like an IRA. So there’s still some moving parts. I have a question on one of it would be is if I’m putting after tax dollars in, is there a way to track that so that 04:10 We’re not paying tax on that original contribution at least, not so much the growth, because the growth would be taxed possibly or not, but uh these are not Roths, these are traditional So this is a wonderful thing because normally we can’t start doing anything for kids until they actually get the first job. And if you haven’t gotten your first job yet, and normally seven or eight-year-olds or four-year-olds 04:31 Do not have jobs. Um, so this would be a way of adding money up until they really do get their job, and then Starting an actual Roth or an IRA, whatever you you find to be the best thing for them. 04:45 And then when they’re working, contributing with that. This will stay in the child’s name. The parents don’t have the ability to spend this money. It is in the children’s name. This is supposed to be a way of helping that generation. 04:56 So think about 15, 20 years from now All those kids that might have been fortunate enough to have, instead of buying 15 Xboxes over their lifetime and other things, putting the money into this where they’ll act actually get a really good start, maybe even have money to use to pay for their own college or to start their own businesses. This would be a serious start for that generation um that maybe right now they wouldn’t have that kind of start because normally, let’s be honest, the the parents wouldn’t be sitting on those funds, especially if there’s multiple children. The form of 4547 has to be filed with your 2025 tax return. 05:36 You have to elect to have that done. So whoever’s doing your taxes, if you know this needs to be part of that conversation, we need to have the conversation. Are you going to be doing this? 05:49 Do you want to have this account set up? I don’t necessarily unless somebody that’s listening and you can call in 615-737-9986. 615-737-9986. If you have a little bit more knowledge, if 06:05 If you’ve read something that might not be a pro, I’m not seeing anything because I mean there’s no mandate. You don’t have to contribute to this. You don’t have to do it every year 06:15 But again, if you happen to have an employer that might want to help with that instead of bonusing the money some other way that might be taxed, this would be not taxed. Maybe you have grandparents that are putting money into something or want to put money in or they’ve started a savings account for the children. 06:31 Maybe this would be a great way for for them to help. It doesn’t always have to be um the parents, but you know, I mean obviously it’s designed to help this next generation get a leg up. 06:42 So it’s called the Trump account. You do have to elect to be in it. Not every child is going to fit in it and not everyone’s Going to qualify, I guess, for it. Um, there I’m sure there’s limitations like everything else in life, but this is something you need to be bringing up with your tax person to make sure that they understand, you understand. what you have and where it’s coming and all that so that you make sure you have the right information going through Uh so that way, sorry guys, you hear the the dogs in the back there, but um but uh anyways um It’s a it’s a snow day. I couldn’t put them outside. 07:22 So um we just need to make sure that if you are filing your own taxes or you have your own tax situation that you have the ability to take and put that all um in the in the knowledge of what you have or who you have and all of that. So just make sure that we have that going forward and that you don’t forget if this is something you’re interested in in having this conversation with um your tax person because it’s kind of important all right so now let’s talk about um a couple of the other things that are getting ready we’re gonna get ready to file your 20 07:55 2025 taxes. We some people call it the 2026 tax season. Either way, you want to make sure direct deposit Is going to be basically something you probably want to look into. You’re going to want to make sure that you have reviewed some of the new tax laws, right? 08:12 Because we have a number of new tax laws that may affect you. I’ve talked to a couple. people this week in fact and some of them were all talking about um the uh the inter

    46 min

  3. JAN 19

    Dr Friday Radio Show – January 17, 2026

    Kick off the 2025 filing season with Dr. Friday as she walks through the additional senior deduction and how the new tips and overtime deduction works at year end. She stresses documentation, correct W-2 reporting, and the importance of keeping business and personal records separate. Callers ask about overtime calculations, hobby vs business income, filing status after a spouse’s death, car loan interest rules, and selling inherited property. Summary Points The extra $6,000 senior deduction ($12,000 married filing jointly) applies with income limits and requires joint filing if married. Tips and overtime deductions are claimed when filing 2025 returns; W-2 withholding does not change and employers must provide totals. Tip deductions are limited to tip-based occupations and net income; Form 4137 and W-2 reporting matter for compliance. Employers and employees should keep signed records to avoid audits and mismatched tip reports. Caller Q&A covers overtime premium calculations, hobby vs business rules for flipping/egg sales, head-of-household status for widows, vehicle loan interest requirements, and step-up basis for inherited homes. Episode FAQ Q: Do tips or overtime reduce tax automatically on my paycheck? A: No. The deduction is applied at filing time, and you need employer-provided totals to support it. Q: Who qualifies for the senior additional deduction? A: Taxpayers age 65+ with required SSN and income limits; married couples must file jointly to qualify. Q: How do I keep a side gig from being treated as a hobby? A: Separate business and personal payments, show a profit motive, and keep records; repeated losses can make it a hobby with limited write-offs. Transcript 00:00 have some questions today it’s a beautiful saturday uh it’s a little nippy outside to be quite honest the 17th and we’re getting ready to go into a full-blown tax season we’re gonna cover a little bit of the questions that keep coming in i know the last couple weeks We’ve had um some different shows on, but let’s get into the 2025 tax season. We file in 26. 00:21 Some people refer to it as the 26th tax season, but We are filing the year of 2025. If you want to join the show, you can. 615-737-9986. 615-737-9986. So we’re going to do a quick run through of some of the changes and that people keep calling and requesting more information on. 00:42 Let’s talk about first What they refer to as the senior or anyone over the age of 65. You have an additional $6,000 deduction. This is only going to be for the years that you filed 25 through 28 at this time. 00:59 In addition to your standard deduction. So whatever your standard deduction is or itemized deduction, whatever that is, you will have an additional $6,000 deduction. If you’re married, $12,000 deduction. 01:13 This does have a income limitation. So if you are single, that income limitation is going to to be um 75,000 it will work its way up from there and married couples it will be 150,000. 01:28 The good news in that conversation basically is there’s no penalty for being married. And we have talked about that over and over. You must be a U. S. citizen. You have to include your social security number. and filing jointly if married. So if you’re married filing separately and you’re over the age of 65, you will not qualify for this deduction. So again, if you’ve got questions, you can join the show. 01:52 615-737-9986. 615-737-9986. And that way we can deal with your situation. So again, one more time, really quick, standard deduction, which the standard deduction basically for what single person. is going to be 14,000. Then you’re going to add another 2,000 if you’re single. So $16,6 plus you’ll get that $6,000 deduction. And if you’re married filing jointly, the standard deduction is $29. 02:25 2 plus you’ll get sixteen hundred dollars each. So That’s going to be $32,400 plus $12,000 on top of it. And this applies to both itemizers and non-itemizers. So standard deduction or itemizing. 02:44 Either way makes it no difference. You’re still going to qualify. You just have to be over the age of 65. Okay. This next one, I think I’ve probably taken 20 or 30 phone calls in the last 15. 02:56 20 days. This has to do with tips. There seems to be a slight misconception because people People were thinking that they were not going to be paying any tax on tips on or from their wages. 03:12 Let’s clarify, this is a tax End of the year tax deduction or um you’re going to get the money based on what happens at the end of the year because again, it is income-based. So your W-2, your employer is not going to change. anything from what you had been filing before. Effective starting in 2025, but if you’re an employer and you’re listening There has been several different things coming down the line, but bottom line is you don’t necessarily have to put this on they’re giving us a window. 03:49 So you don’t have to have it on the W-2, but you do have to provide. the information to the employees of what their um tips and this would also apply to overtime. We’ll talk a little bit about that because again, a huge miss 04:03 But on the tips that are being reported, because in box one, three, and five on the W-2, their tips could be in there. Now sometimes if they’re waiters or waitresses, some of those tips could also be on line seven, which you hadn’t already. already paid tax on this will be a huge relief for those individuals. This will be a maximum annual deduction of $25,000, um, which I think pretty much in Tennessee a lot of the waiters and waitress. 04:30 I think that will be a nice kick in there. Self-employed individuals deduction cannot exceed net income. So If you’re in, I don’t know, this let’s say you’re a hairdresser or a nail specialist or something and you get tips and you’re reporting these because you’re self-employed and you do have to be in a specific business 04:51 They’re not going to say, hey, you’re an accountant and you’re living off tips. That would be very wed, right? It’s not not normal. That would not be on the typical situation. They’re not going to allow someone like myself to report tips and deduct it. 05:04 It needs to be in a profession kind of known for tips. So that’s one of the things they’re going to ask for. Um You have to have a specific trade. It needs to fall under the 199A. An employee of an employer must have that, including social security number filing, joint, so married filing separately. 05:24 This is not going to qualify. You can be single, head of household, or married finally jointly. Married finally separately will not happen. Employers and other payers must report certain cash tips and the occupation of the tips to the IRS or SSA information. 05:43 Treasury and IRS will provide penalty relief for the year of 2025. We’re scrambling here as well and we use ADP, uh, but they’re changing. I mean, really a lot of this is coming in new to them. 05:56 So what happened in 2025 isn’t going backwards So again, effective 2025 through 28, same thing as we talked about with the seniors, qualified tips received through an occupation that receives customarily and regularly tips through December 31st of 2020. 2024. 06:15 I mean honor before December 31st, 20, and reported on W-2 or 1099. So if you have people that are being 1099 And this is going to be a little bit unusual. It’ll be interesting to see. 06:29 I I have not yet done a 1099 and reported tips on a 1099. because normally a 1099 is used for I provide a service, you send me back the money, you 1099 me because of it. So it is something that has to be other statements furnished to an individual like a 4137 that are individually directly reporting their tips. 06:54 So I’m gonna put a little clause out here. I think sometimes the IRS and the government gets pretty darn smart, even though I know a lot of people don’t like it But if you are an individual and you have not been reporting all of your tips, and I will tell you, long time ago, many, many Decades um ago. 07:17 But anyways, I was a waitress and I reported what I had to report. There was a lot more cash back in those days. Nowadays it’s a little bit harder because almost all bills are paid with uh credit cards and tips show up on those credit cards. But I think the IRS is looking for industries that may be underreporting tips. The reason this is so important is that an employer is responsible for paying a matching social security and Medicare, right? 07:44 Uh what comes out of your check is sometimes some of you that actually receive large amounts of of tips may know at the end of the year you almost always end up owing money because enough did not come out. So just make sure the form again is a 4137. 08:00 It is currently what they’re going to be used. This is a brand new form that’s out there. Social Security, Medicare tips, and unreported tip income. And then they’re going to need the name, the employer’s name, the cash amount that you’re saying. 08:14 So this is going to cause some pretty interesting audits in my personal opinion. I think the IRS is going to be looking at that to see exactly how that’s going to tie into what they know. 08:27 But again, employers you need to be reporting because if your employees start reporting that you did not report all of their tips, there’s going to be um at least a state department of labor, possibly a federal department of labor leading. May it not be this first year, might not be the second year, but keep in mind this is running from 25 through 28 and they have two years to audit. 08:48 So just putting that out there so you have that information. Making sure you know what’s going on and how that’s going to affect you because, well, it is going to affect your business possibly. 08:59 So I would start now making sure that all the employees that I had was reporting to you any tips, make sure

    46 min

  4. JAN 6

    Dr. Friday Radio Show – January 3, 2026

    While taxes are usually the star of the show, Dr. Friday takes a detour “off the grid” this week to discuss a critical component of business health: cybersecurity. Joined by Matt Folker and Dennis Buzard from Innovative Solutions Through Technology (ISTT), Dr. Friday explores why small and medium-sized businesses are often the most vulnerable to hackers. From “sniff tests” for emails to the dangers of leftover COVID-era remote access, this episode is a must-listen for any business owner looking to protect their data, their employees, and their legacy. Key Summary Points The Goal is Risk Elimination: ISTT’s primary objective isn’t just fixing computers; it’s identifying hidden risks in a network and eliminating them before the “bad guys” find them. The 30-Minute Assessment: Dennis explains their entry-level scan, which takes about 30–45 minutes. If their simulation software can run on your system, it means a hacker’s malware can too. Good “Cyber Hygiene”: Matt shares simple but effective tips, such as the “toothbrush rule” (never share your password) and the “sniff test” (if an email looks off, it probably is). Ransomware is a Business: Modern hackers aren’t just locking your data; they are stealing it to sell. Matt shares a cautionary tale of a business owner whose retirement plan was ruined after a breach forced him to pay for identity protection for every employee from the last seven years. Hidden Entry Points: Your computer isn’t the only way in. Hackers often use “Internet of Things” (IoT) devices like office thermostats, printers, and security cameras to bridge into a company’s main server. The “Good Guy” Support: Beyond security, ISTT discusses the importance of professional IT support to prevent “jerry-rigged” solutions that accidentally open security holes during emergencies like payroll processing. Episode FAQ What is ISTT? ISTT stands for Innovative Solutions Through Technology. They are a Kentucky and Tennessee-based IT and cybersecurity firm that provides technical assessments, end-user training, and managed IT support. What happens during the free evaluation? Dennis Buzard visits your office for 30–45 minutes to run a sample scan on a few workstations. About a week later, they provide a 25–30 page detailed report (in layman’s terms) explaining where your security holes are. I’m a small business with only a few computers. Do I really need this? Yes. Dr. Friday notes that many small businesses rely on outdated setups from decades ago or “big box store” Wi-Fi solutions that aren’t secure. Hackers often target smaller firms because they lack the robust IT departments of major corporations. Does ISTT use offshore support? No. All ISTT employees are based locally in Kentucky and Tennessee, though they serve clients across the majority of the United States. Transcript Dr. Friday 00:00 All right, we are here with the Doctor Friday show. The Doctor is in the house, and we have some guests in the studio. Matt, could you say your name, please? Matt Folker 00:08 Uh yeah, my name is Matt Folker. Dr. Friday 00:10 And what’s your job title? Matt Folker 00:11 Uh well I’m got a little bit of everything, but um pretty much I’m the chief information officer for a company called ISTT, which is also a mouthful. It stands for Innovative Solutions Through Technology. Yes, I run out of breath every time I say it. That’s why we say it ISTT. But uh thanks for having me on today. Dr. Friday 00:28 Thanks for joining me, and I’m so sorry. Everyone that knows me knows I am Horrible with names. Dennis is also here. Dennis, you want to tell him a little bit about who you are? Dennis Buzard 00:37 Yeah, Dennis Buzard. I’m the senior sales manager with ISTT, uh helping folks uh stay safe and not let any cyber issues hit them. Dr. Friday 00:44 All right. And that’s what the show’s about today, guys. We’re gonna get into a little bit off the normal path. Taxes are fine and exciting and for me totally fun. But I think sometimes we need to, you know, let our brain rest and go and think about something else. And I um being an enrolled agent, we have to keep things kind of cyber safe And so I called these guys and Dennis came to my office and did this really cool evaluation. And so Matt, I guess we’ll just let you tell a little bit about what is the first step. How does IST keep the bad guys out? Matt Folker 01:22 So uh really it boils down to uh our objective is to eliminate risk. Okay, we we want to go into a facility and we do some technical assessments. We have some cool technology that helps us with this, but overall uh our objective is to find risk uh and eliminate it. Dr. Friday 01:40 And I guess the next question following that would be, how do you do that? Matt Folker 01:44 So um like when when Dennis went to your office, he had a little USB drive that I’d loaded up for him. Um and basically it does Kinda just an entry level scan, kinda looking to see if at least you’ve got your front door is is shut and locked, which, you know, most of the time the doors are wide open. Uh but that’s okay. That’s part of the business. That’s why we’re here. Um but uh our our objective is to find things that have been overlooked and sometimes it’s things that have been set up incorrectly when it was first set up fifteen, twenty years ago and was just kind of forgotten about. Um but then we we evaluate, you know, what users have access to what, those kinds of things. Um and really the the skinny of it is if it’s really easy for, you know, one of your employees to come in and access some things that they shouldn’t shouldn’t have access to. uh then that means the bad guys can too. Uh and so if you have a really simple password, for example, um then It’s gonna be really easy for those bad guys to to get that password, or if you don’t have two FA, uh, which we can we can go into a little bit of that a little bit later. But But yeah, basically we are looking for risk uh and we are trying to eliminate that and we and we eliminate it uh via technology. Dr. Friday 03:00 Right. And I think that’s the any business owner or maybe you work for a firm where you work under the, you know, the the office staff and you know that maybe nothing’s been updated for a while, nothing’s been taken care of for a while. And you’re like, cause I mean my office Uh you know, Matt hit her on the head. We’ve kinda just continued with what was set up decades possibly ago. Pretty sad. I mean we’ve updated the softwares we’ve updated and we think if we’ve got McAfee or Norton that it says it’s security software, hello, um, that we’re actually doing what we need to do. But we know now Thank you, Dennis. Um that we were not actually necessarily doing everything that we should. So so now let’s say you go in and you find the flaws. What would be the next step Um for someone, you know, not talking financial so much as, you know, what would you be doing to help them secure their borders? Matt Folker 03:55 So basically uh once we we’ll compile a report, okay, and uh a lot of it is kind of technical, nerdy jargon. Uh and that’s why I keep Dennis really close. So Uh ’cause he he’ll he’ll keep he’ll keep me close and uh he he’s a much better communicator than I am, as you can tell. Uh that that said, um we we run this report um and then we review it with the the business owner or the decision maker of Hey, here’s all of the holes that we found and just lay the data out. Here it is. Here’s what we found. If you want to hire us to help you close some of those gaps. Great. If not, here’s the data. Here’s the report. Our objective is to make the community a safer place, whether you use us or not. Dr. Friday 04:39 And I I have to say that was a huge selling vehicle for me because I was thinking, Okay, I have Norton, I have the he’s gonna come in, he’s gonna say, Okay, there’s these little things, passwords. I know mine aren’t the most high tech, maybe Now knowing they’re even less high tech. But anyways, um, you know, I didn’t I didn’t think about it too much because I was figuring we we have these different things, but After seeing the report, it’s kind of guys like when you get in a love letter from the IRS and it says, we’re changing your tax return and you have no idea why. And they send you this whole booklet of stuff. This guy came into my office and he had to have twenty-five, thirty pages of all kinds of jargon. And Matt is correct. I’m feel myself a fairly intelligent individual, but with looking at that, I’m like, Dennis, break it down. Get it down to the layman terms because there’s a lot of information. It wasn’t necessarily something that an everyday person But the hackers would understand this information. And that’s what was scary for me. Matt Folker 05:36 So here’s a here’s a good example of I I’m gonna put myself in your shoes. Dr. Friday 05:40 Okay. Matt Folker 05:40 Um I have three three boys uh ages eleven, nine, and five. And my two oldest, uh, in in twenty seventeen, the hospital that they were born in had a huge breach. And uh two of my kids, they had their social security numbers stolen. And so in twenty seventeen or twenty eighteen when I went to file my taxes, uh, and y I I wasn’t late, but you know, I filed it in end of March somewhere in there. Um my taxes got rejected because someone had already filed taxes against my children. Yes. Okay. So you know, but so one kid was four, the other kid was two, uh and they had already had their identity stolen. Okay. Totally sad. And it’s it’s been, you know, there was two years of nightmare uh and a lot of paperwork, but at the end of the day, I can’t change my kids social security number. That’s what was assigned to them. Yep. And when they hit adulthood I expect they’re gonna have a lot of issues. They’re gonna have,

    39 min

  5. 12/29/2025

    Dr. Friday Radio Show – December 27, 2025

    In this episode, Dr. Friday is joined by her long-time friend and colleague, Hank Parrott of Estate and Financial Strategies. Together, they dive deep into the critical importance of the “Team Approach”—ensuring your financial planner and tax professional are working in unison rather than in silos. As we head into the new year, Hank and Dr. Friday discuss how to maximize your retirement income without triggering unnecessary taxes. They cover complex topics like IRMA surcharges on Medicare, the strategic timing of Roth conversions, and how to turn high medical costs, such as assisted living, into tax-saving opportunities. If you want to ensure you aren’t leaving money on the table or paying the IRS more than your fair share, this is a must-listen episode. Episode Summary Points The Team Approach: Why it is vital for your financial planner and tax preparer to communicate to prevent costly mistakes and amended returns. Understanding IRMA: How selling property, stocks, or doing large Roth conversions can spike your Adjusted Gross Income (AGI), triggering higher Medicare Part B and D premiums (Income-Related Monthly Adjustment Amount). Roth Conversions: Strategies for converting traditional IRAs to Roths over time to manage tax brackets and avoid “tax shock.” Medical Deductions & Assisted Living: How to use the high costs of memory care or assisted living to offset taxes on IRA withdrawals, effectively allowing for tax-free “spend downs” of assets. Qualified Charitable Distributions (QCDs): A strategy for those 70½ and older to donate directly from an IRA to a charity (tax-free) rather than withdrawing the cash first. Estate Planning: The “10-Year Rule” for inherited IRAs and how to plan for your heirs. Workshops & Evaluations: Information on Hank Parrott’s upcoming educational workshops and how to get a comprehensive financial evaluation. Episode FAQ Q: What is IRMA and how does it affect my retirement?A: IRMA stands for Income-Related Monthly Adjustment Amount. It is a surcharge added to your Medicare Part B and Part D premiums if your income exceeds certain thresholds (e.g., over $212,000 for a married couple filing jointly). Dr. Friday and Hank warn that one-time events like selling a house or a large Roth conversion can accidentally trigger this extra cost. Q: Can I deduct assisted living costs on my taxes?A: Yes, in many cases. If a resident is in assisted living or memory care primarily for medical safety and requires assistance with daily living activities (like dressing or medication management), a large portion of the monthly fee may be considered a medical expense. This can create a significant itemized deduction on Schedule A. Q: What is a QCD?A: A Qualified Charitable Distribution (QCD) allows individuals aged 70½ or older to transfer money directly from their IRA custodian to a qualified charity. This counts toward your Required Minimum Distribution (RMD) but does not count as taxable income, offering a tax advantage over withdrawing the money and then donating it. Q: Why shouldn’t I just pay off my mortgage with my retirement funds when I retire?A: Hank Parrott advises caution here. Taking a lump sum from a tax-deferred account (like a 401k or IRA) to pay off a mortgage creates a massive taxable event in a single year, potentially pushing you into the highest tax brackets and triggering other costs like IRMA. A staggered distribution strategy is often more tax-efficient. Transcript Dr. Friday 00:00 Alrighty, we are here on the Doctor Friday show. The Doctor is in the house, and today we have an awesome guest, one of my best friends, Hank Parrott Estate and Financial Strategies. He is one of the best financial planners. If you don’t have one, you need to get him. And if you do have one, you need to come in and get a free evaluation. So that way you know if you actually have the best person because you don’t know. Sometimes you have to have someone check out the number, see if it’s a better deal. Sometimes we kind of get stuck in a a little bit of a a system, okay, I’ve I’ve got my accountant, I’ve got my tax thing, I’ve got this. And we don’t really go back and see are they really giving us the best advice? Are they really looking at the current tax changes? Because wow I think one of the biggest things we’ve known each other for a number of years. We don’t need to count how many numbers. Uh, but one of the things I’ve always learned You had to go there, didn’t you, boss? Um but no, we have known each other a long time and most of what I know of financial planning has come from sitting in on meetings because every year you bring your clients and I bring mine. We all do these conversations and while you’re in the office a lot of times you’re evaluating Hank Parrott 01:03 and and it’s that team approach which we’re big believers in and it it’s a combination of working with uh on on taxes together for uh for our clients as well as Uh estate planning, working with, you know, we’ll bring in an estate planning attorney like uh Russ Cook over in Brentwood, uh board certified estate planning attorney, great guy. Uh Jack McCann in Cool Springs, another great guy, both real estate and uh estate planning. So w when we do that team approach, now you’re you know, they say two heads are better than one, three maybe even better yet. Exactly. Uh bring it all to bear and and this is one of those areas with uh when we get together we got what, about six I think six different days that we Just our clients in tax season. But that that means that whole day we get we’re getting 10, 12 of our clients at least in. And then I can come spend the day with you. Dr. Friday 01:59 And I get to pick your brain. And and vice versa. But what’s nice about those meetings that I do with you and I I mean I do a lot of different financial people as far as everyone has their own financial planner, but you’re the only one that really ever maximizes that same partnership because How many times does someone have a mistake on a tax form? And I’m like, I can’t this is what it says, Hank. I can’t change it. And you’re like on the phone dealing with that issue right there. So the client is getting such a nice simple relationship versus I’m sending them back to their financial person, then they’re gonna say, well, this is what it you know, and it could take months. It could take a bunch of things. A lot of times you actually get it before we actually leave the office. They’ve got a amended or corrected return so we know we can continue. It just makes that experience and also The um future tax planning. A lot of times people want to know about are we going to do a conversion? How much will my RMD? How’s that going to affect my IRMA? All these kind of questions come up and all those words I just use is because I sit in these meetings and now I know more about I mean, uh even in my tax office we talk a lot more about like Irma because it gets affected a lot faster. Everyone’s making But Irma is a big number. So if you sell a piece of real estate, for example, or you’re coming out of uh working a real job and going into retirement. But most of the time it’s when people do big stock sales or something and then the next thing they know they get a love letter from Social Security saying we’ve reduced your benefits And they think it’s Social Security being reduced, but actually it’s Irma being affected. And since you’ve looked it up, what is the affection of IRMA on a basic? Hank Parrott 03:40 If you are a married couple uh filing jointly and you exceed two hundred and twelve thousand between two twelve and two sixty-six, uh, you’re gonna add about seventy-four dollars to your uh Part B uh premium and an additional 1370 on your Part D prescription coverage. Dr. Friday 04:00 And I think that’s on AGI, which is your adjusted gross income, not modified, which is after your standard deduction. So this would be more like your gross income. Hank Parrott 04:11 Hit with it a lot of time, they sell a property, or maybe they’ve sold off a bunch of stock and they’ve so they’ve bumped up Dr. Friday 04:19 Through any or it could be an IRA distribution or conversion. That’s the one. I’ve had a number of them come in this last year. We’ve been playing the game a little bit. And before I was always just worried about tax brackets. Hank Parrott 04:30 Right. Dr. Friday 04:31 And then the last couple of years we in our meetings with your clients and stuff, it kept coming back with the Irma situation. Irma was being affected and people didn’t, you know, because I’m only I’m a tax person. I won’t keep you in the twenty-two, I want to maximize twenty-two, but if I do I now have affected your other side, possibly, Irma. So you want to have that team effect is all I’m saying, because you go to a tax person and say, how much can I convert? I’m gonna say tax wise this is what you can convert and this is how much, but what no one’s gonna say in that meeting most likely is now I’ve affected your IRMA and you’re gonna be paying $75 more a month for your healthy care for another year. And if you do these for multiple years, that could add up. It needs to be at least in the mathematics. Hank Parrott 05:11 And this is one of the things with Irma that a lot of people, you know, this is by the way, IRMA is a Acronym income related monthly adjustment amounts. And basically this has to do with Medicare. Dr. Friday 05:22 Right. Hank Parrott 05:23 So on your Medicare, if you’re 65 or older, that’s where this can affect you. And and when you’re doing a Roth conversion. You got to think of things not just about the tax on the conversion. That you’re taking out of that. It’s going to be taxable income that year. You’re then going to put it into Roth IRA. Dr. Friday 05:41 Yep. Hank Parrott 05:42 And if you’re over 65, you’ve got to be con

    40 min

  6. 12/22/2025

    Dr. Friday Radio Show – December 20, 2025

    In this episode, Dr. Friday is wrapping up 2025 with critical updates on the “One Big Beautiful Bill” (OBBBA) and what the changing tax landscape means for your wallet. With the holiday season in full swing, Dr. Friday takes a break from her beehives to break down the new 2025 tax brackets, the major increase in the SALT deduction, and the newly established “Trump Fund” for children. Whether you are looking for last-minute year-end moves or planning for retirement distributions, this episode is packed with essential financial strategies. Episode Summary Points Year-End Deadlines: While it is late in the game for 2025, there is still a small window for Roth conversions or maximizing 401(k) contributions before the final paycheck of the year. Historical Tax Perspective: A look back at tax rates from 1913 to present, noting that despite current complaints, we are historically in a lower tax period compared to the 92% rates of the 1940s. 2025 Tax Brackets: A breakdown of the new brackets (10%, 12%, 22%, 24%, 32%, 35%, 37%) and the elimination of the marriage penalty for couples earning under $600,000. Mortgage Interest: Clarification on the $750,000 mortgage cap (post-2017) and confirmation that interest on second homes is deductible if the combined loan value is within limits. New SALT Cap (OBBBA): The State and Local Tax (SALT) deduction cap has increased from $10,000 to $40,000 for 2025, bringing “bunching” strategies back into play. Medical Deductions: Tips on deducting medical expenses (over 7.5% of AGI), including essential assisted living costs. The Trump Fund: Details on the new government-seeded investment accounts ($1,000) for children born after Jan 1, 2025, and contribution rules for families. Social Security Taxation: Advice for retirees on the “Provisional Tax” calculation—if your combined income exceeds $25,000 (single) or $32,000 (married), your benefits are taxable. Charitable Giving: The benefits of using Qualified Charitable Distributions (QCDs) for those over age 70½ to give directly from IRAs tax-free. Episode FAQ Q: Did the limit for State and Local Tax (SALT) deductions change for 2025?A: Yes. Under the new legislation (OBBBA), the SALT cap has increased from $10,000 to $40,000. This allows taxpayers to deduct significantly more for property taxes and sales tax, making itemizing deductions beneficial for more people. Q: Do I need to have taxes withheld from my Social Security checks?A: It is highly recommended if you have other sources of income (like a pension or investment interest). If your combined income (Adjusted Gross Income + 50% of Social Security) exceeds $25,000 for individuals, up to 85% of your Social Security benefits becomes taxable. Q: What is the “Trump Fund” mentioned in the show?A: This is a new program for children born on or after January 1, 2025. The government opens a $1,000 investment account for the child. Parents and grandparents can contribute up to $5,000 annually until the child turns 18. It functions similarly to an investment fund with penalties for early withdrawal. Q: Can I deduct the mortgage interest on a second home?A: Yes, provided the combined mortgage debt of your primary and secondary homes does not exceed $750,000 (for loans originated after Dec 16, 2017). Q: What is a QCD and who should use it?A: A Qualified Charitable Distribution (QCD) allows individuals aged 70½ or older to donate directly from their IRA to a qualified charity. This money is not counted as taxable income, making it a more tax-efficient way to give than writing a personal check. Transcript 00:01 No, no, no. 00:02 She’s not a medical doctor, but she can sure cure your tax problems or your financial woes. 00:07 She’s the how-to girl. 00:09 It’s the Doctor Friday show. 00:15 Question for Dr. Friday, call her now. 00:17 737-WWTN. 00:19 That’s 737-9986. 00:23 So here’s your host, financial counselor, and tax consultant, Dr. 00:27 Friday. 00:28 G’day, I’m Dr. Dr. Friday and the doctor is in the house on this absolutely beautiful Saturday. 00:35 I was actually able to go out to my beehives and make sure they were all happy. 00:38 Didn’t want to open them with 00:39 It’s too cold outside, but it is a pretty day. 00:42 So everybody is out flying around and hopefully you guys are out doing your last minute Christmas shopping. 00:48 Um, it’s probably almost too late 00:51 to think about any kind of conversions or anything like that. 00:56 In my opinion, I doubt you’re gonna have a lot of financial planners that will be putting in a lot of extra time into uh dealing with, you know 01:06 That kind of stuff. 01:07 They’re pretty much probably full up and ready to close out the year at the thing, but the you still have time. 01:14 Theoretically, um a Roth conversion or 01:18 Contributing if you haven’t received your last paycheck, you could maximize your 401k. 01:24 Um, those kind of things would be a way of helping to reduce your current income situation. 01:30 But seriously, it’s the 20th and not a lot of activity probably happening in the next few days. 01:36 I came across this with one of my 01:38 One of my good friends, Hank Parrot, he had this uh saying by Albert Einstein. 01:43 I thought it was kind of a good one. 01:44 And why not? 01:45 Since I know most of you guys are out there probably shopping. 01:48 Preparing my tax return is too difficult 01:51 For a mathematician, it takes a philosopher. 01:54 The hardest thing to understand in the world is income tax. 01:58 That was what Albert Einstein said. 02:00 And think about back in the day, he was doing taxes. 02:03 It really wasn’t as complicated as it is now. 02:06 I mean, now it’s ten times the size of the King James Bible. 02:11 So I thought that um 02:12 Little information would be good for you. 02:14 Top income rates throughout history. 02:16 We all think that we’re paying a lot in taxes, and I’m sure some people feel that way. 02:21 And taxes has changed who they’re taxing, right? 02:24 So back in 1913, when the tax code was about 6%, that was actually only on the top earners, right? 02:32 I mean, you had to be making more than, you know. 02:34 $10,000. 02:35 And back in 1913, that would have been making like $200,000 today. 02:41 Um, and that’s my personal estimate. 02:43 I’m sure that’s not the exact conversion 02:46 But then if you look at like by by 1916, you’ll see that the tax rate went up to 80%. 02:55 80%. 02:56 Do you think those people felt like they are paying too much in taxes? 02:59 That’s when they started finding loopholes. 03:02 They find try to find some way to save. 03:05 And then by 2025, it was back down to about 25%. 03:09 Then we start kicking our way up the highest in the last. 03:12 hundred plus years was about ninety-two percent tax. 03:17 And that was right around nineteen forty-three. 03:22 That’s what they were paying in tax. 03:23 And then it kind of works its way down. 03:25 And we’re not actually, of course, the lowest was back in 1913, but we’re right around the lowest. 03:31 But the the lower period, there was some low periods back in the 1980s. 03:35 where we were pretty close to what we are, maybe a little bit less, but mostly we are at the lower period of our lifetimes of the tax cut. 03:45 So if you think you’re paying too much today in taxes, you must be prepared because it used to be when when 03:53 when I was working and still am, but when people used to always say, you save, save, save now, because when you hit retirement, you’ll be at a lower tax bracket. 04:02 But the question is, for some people, depending on what their work history was, they may may or may not be, but basically most of us right now are at a lower bracket than we most likely will be 04:14 Especially if you look at the spending of our government, most likely will be in our lifetime. 04:19 So the the the likeliness of taxes going down further 04:23 I think is fairly rare. 04:25 Will it stay the same? 04:27 I hope. 04:27 That would be great, at least for the next 20, 30 years. 04:30 I’d like that. 04:31 But, you know, no one really knows what’s going to happen. 04:35 So we do taxes based on what the current tax laws are. 04:38 And then we have to change those. 04:40 So the new tax brackets for 2025, 2000, 10%, 12%, 22, 24, 32, 35, 37. 04:48 Those are the brackets 04:50 And you can see there’s a big jump between 12 and 22. 04:54 And not only, and they’ve done a fairly good job. 04:58 of making there be no marriage penalty. 05:01 So if you’re single, your your 22 ends at 103 and a married couple 206 05:08 No penalty. 05:09 The penalty actually comes into play when you’re in the 35% going into the 37%. 05:15 At that point, if you are both high income earners. 05:20 Um, you know, there is a lot of penalty because you lose a huge amount of money uh being married at that point. 05:27 But up until you get past the 32 or a couple making more than about six hundred thousand dollars. 05:33 You don’t really have much of a marriage penalty at this point. 05:36 Not too sure why we have any marriage penalty. 05:39 It doesn’t really make a lot of sense. 05:41 But you know what? 05:42 No one really asked us. 05:43 So all we can do again is dealing with the tax picture. 05:47 All right. 05:48 So then we’ve got mortgage interest. 05:49 Here’s some good things about the OBBBA, the new one, the deduction for mortgage interest. 05:56 Of course, that stays if you have a home for $750,000. 05:59 You purchase it after December 17th, that’s the mortgage you can have. 06:03 So if you have a home today you purchased last year and the mortgage is a million dollars, you will not get

    47 min

  7. 12/16/2025

    Dr. Friday Radio Show – December 13, 2025

    Is your estate plan a “cure” or a “woe” for your family? In this episode, Dr. Friday is joined by board-certified estate planning attorney Russ Cook of the Cook Telman Law Group. With over 30 years of experience, Russ dives into the critical steps every family should take to protect their assets from creditors, minimize taxes, and avoid the public headaches of probate. From the dangers of putting children on bank accounts to the massive tax benefits of Tennessee Community Property Trusts, this episode is a masterclass in financial peace of mind. Summary Essential Documents: Every adult should have a Durable Power of Attorney (financial), a Healthcare Power of Attorney, and a Living Will to ensure decisions are made if they become incapacitated. The Joint Account Trap: Russ advises against adding children’s names to bank accounts. Doing so exposes your money to your child’s creditors, lawsuits, or divorce settlements. Use a Power of Attorney instead. Will vs. Trust: A Will must go through probate—a public, court-supervised process. A Revocable Trust remains private, avoids probate, and allows for a seamless transition of assets. Special Needs Planning: Learn the difference between Third-Party Supplemental Needs Trusts (which protect government benefits for heirs) and First-Party “Payback” Trusts. Tax-Saving Trusts: Discover how a Tennessee Community Property Trust provides a full “step-up in basis” on assets after the first spouse passes, potentially saving survivors thousands in capital gains taxes. When to Update: Review your estate plan every 2 to 7 years, or immediately following life changes like marriage, divorce, or the acquisition of new real estate. Business Protection: Business owners should ensure their LLC or corporate interests are correctly titled in their trust to avoid legal gridlock or forced liquidations upon death. Episode FAQ Q: Why shouldn’t I just put my child’s name on my bank account to help me pay bills?A: If that child gets sued, files for bankruptcy, or goes through a divorce, your bank account becomes an asset their creditors can seize. Filing a Power of Attorney with your bank grants them the ability to help you without the legal risk to your funds. Q: Does a Revocable Trust change how I use my money day-to-day?A: No. A revocable trust is not a separate tax entity during your lifetime; you remain the trustee and beneficiary. You can buy, sell, or refinance assets just as you did before. Q: Can I put my IRA or 401(k) into my trust?A: You shouldn’t transfer ownership of a retirement account to a trust while living, as the IRS will view it as a total distribution and tax it immediately. Instead, you should name the trust as the beneficiary of the account. Q: How does a “Spendthrift Trust” work?A: This is designed for heirs who may struggle with addictions or poor financial choices. The money is managed by a trustee who doles out funds for the heir’s needs rather than giving them a lump sum that could be lost quickly. Transcript 00:01 No, no, no. 00:02 She’s not a medical doctor, but she can sure cure your tax problems or your financial woes. 00:07 She’s the how-to girl. 00:09 It’s the Doctor Friday show. 00:15 If you have a question for Dr. Friday, call her now. 00:17 737-WWTN. 00:19 That’s 737-9986. 00:23 So here’s your host, financial counselor, and tax consultant, Dr. 00:27 Friday. 00:29 Alrighty, the doctor is in the house. 00:32 We are here. 00:33 We’re going to talk today a little bit about maybe some of the things you don’t know you should be doing for estate planning, or especially since we have an at 00:41 attorney on the line, we’re gonna try to get some good information about what you should and shouldn’t do when you’re thinking about planning or even just 00:50 giving things to your children, maybe putting your name on bank accounts. 00:54 We have Russ Cook on the phone. 00:57 Hey Russ, you there? 00:59 Yeah, I am. 00:59 Thanks for inviting me. 01:01 No problem. 01:02 Been a while since I’ve seen you, even though I seem to send things back and forth. 01:06 So he’s with Cook Telman Law Group. 01:09 Um, and uh Russ and I have known each other for a lot of years. 01:13 We’ll just leave it at that. 01:15 And um and it’s uh it’s it’s always great when I get to to get him on the phone because I think a lot of times 01:23 First, Russ, why don’t you tell them a little bit about what you do, how long you’ve been doing it, all the good stuff so they know who you are. 01:31 Oh, that’s great. 01:32 Yes. 01:32 Um I’m a board certified estate planning attorney. 01:36 I’ve been doing this for over thirty years. 01:39 My father and grandfather were also estate planning attorneys. 01:43 Uh, went to law school in D C, got sick of the traffic and then moved to Nashville. 01:49 Yeah. 01:50 Well I don’t blame you on that one. 01:51 one. 01:51 I can only I’ve only visited DC and I can imagine living there or anything else. 01:56 That’s just a little too busy. 01:58 The whole East Coast is a little too busy for me. 02:00 Um, all right, so one of the biggest questions a lot of times people think is um is a lot of my clients as their parents get older 02:08 They want to be able to make sure they can help or manage or even um situations where elderly people are sometimes targeted for fraud, different things like that. 02:19 What can be some steps that you should take maybe to help? 02:23 you know, to protect if you can. 02:25 I mean like should you put your name on the bank account? 02:27 Should you um what documents should be being gotten together so that you can do something to help or protect your um family or yourself as you get older? 02:36 That’s a lot of people. 02:38 Yeah, it is it is a great question. 02:41 Uh uh I get it a lot and the documents that I suggest clients 02:46 have in place are durable power of attorney. 02:49 It’s a power of attorney in which you are appointing a family member to make financial decisions for you in the event you cannot 02:58 A power of attorney for health care and a living will. 03:01 The reason the power of attorney for financial matters is so important is that it allows the person that you’ve named 03:08 to make uh decisions concerning your assets in the event that you become incapacitated or need help just kind of managing things day to day 03:19 And you mentioned putting names on bank accounts. 03:21 We usually tell clients not to do that. 03:24 In fact, we always tell clients not to do that because 03:28 we found that when the child runs into creditor problems then the creditors can go after those bank accounts. 03:35 So if you have your daughter on the bank account and she gets divorced, then your son in law might end up with it. 03:42 So 03:43 we try to keep the bank account with just the client as the owner and you can file the power of attorney with the bank and they’ll honor it and allow your child to still continue 03:55 to control the account or sign for you I guess in a way but you don’t have that risk of it being attached. 04:02 So I guess that was a question. 04:03 Um so on the durable POL of attorney, let’s say they come in, they get all those documents set up with you guys. 04:09 Is that something you should go ahead and go to the bank and put down? 04:13 I mean, now while everybody maybe doesn’t need it? 04:16 Or is it something you only really need to think about unless somebody is 04:20 Um because you know, I mean if they’re already incapacitated then it’s a little harder maybe. 04:25 Or maybe it’s not because the power of attorney. 04:27 Well, we usually recommend that you do go to the bank right after you sign one and 04:32 and put it uh give it to the bank officer and let them have it on file. 04:37 And the reason that I say that is because and 04:40 Some banks are very good at accepting those and whenever you’re dealing with brokerage firms, however, they might have their own version of that. 04:49 that they would want you to sign in addition. 04:52 So obviously if you wait until you’re incapacitated, you won’t be able to sign the one that they present you 05:00 ‘Cause you won’t you’ll be incapacitated. 05:02 So I think getting it done now is the best bet because you don’t run into that risk. 05:08 Yeah, and and that’s good news. 05:10 ‘Ca 05:10 I mean, because that’s what I was trying to figure out. 05:12 Had a client come in and maybe it was uh a brokerage account. 05:16 It was like a Schwab account, which would be, I guess, a brokerage account. 05:18 And that was one of the things they said is that even though they had it 05:22 They had just put it in the file, right? 05:24 Waiting, figuring they would use it when they needed. 05:27 And they had a difficult time trying to get that switched over. 05:31 when the time came or, you know, when because she hadn’t passed away, but she had become um she she wasn’t herself or whatever it’s called where you basically start losing your memories and things. 05:43 So um 05:44 She, you know, they they had uh they had to go through and they had to get her what is it, incapacitated? 05:49 There’s a term anyways, and I’m so good at these legal terms, Russ. 05:52 Um But they go to court and get something. 05:56 There you go. 05:57 They had to do that, which 05:58 Seems like that if they had been done the way you wanted it or the way it should have been done, it seems like they would have been able to get it with the pile of attorney that they had. 06:08 already signed or whatever, but apparently that’s not the case. 06:12 Um so yeah, so the the thing is, and now let’s talk a little bit

    47 min

  8. 12/08/2025

    Dr. Friday Radio Show – December 6, 2025

    G’day! In this episode of the Dr. Friday Show, the Doctor is in the house to help you navigate the end of the year and prepare for the 2025 tax season. Dr. Friday breaks down the major changes introduced by the “One Big Beautiful Bill” (OBBB), including shifting tax brackets, new credits for families, and substantial changes for service industry workers. Whether you are looking to maximize your retirement contributions before December 31st or trying to understand the new rules regarding auto loan interest, this episode is packed with essential financial advice. Episode Summary Points: Year-End Retirement Planning: Reminders to maximize 401(k) contributions before the final paycheck of the year and utilizing Spousal IRAs. The “SALT” Cap Increase: The State and Local Tax (SALT) deduction cap has increased from $10,000 to $40,000 for the 2025 tax year. Social Security Taxation: Clarification that Social Security is not tax-free, but seniors (65+) now receive a qualified deduction ($6,000 for individuals, $12,000 for couples). Service Industry Tax Breaks: New exemptions for federal withholding on tips (up to $25k) and overtime pay (up to 250 hours). Auto Loan Interest Deduction: A new ability to deduct up to $10,000 in interest for new, U.S.-assembled vehicles purchased for personal use after Dec 31, 2024. Student Loan Updates: Warning regarding the expiration of forgiveness programs in July 2026 and hardship deferments in 2027. Estate & Gift Tax: The annual gift exclusion rises to $19,000 per person for 2025. The “Trump Account” for Children: Details on the $1,000 government contribution for U.S.-born children starting in 2025. Episode FAQ: Q: Is Social Security income tax-free in 2025?A: No. Social Security can still be taxed up to 85%. However, under the new bill, there is an additional standard deduction for those age 65 and older ($6,000 for singles, $12,000 for married couples) which may reduce your overall tax liability. Q: Can I deduct the interest on my car loan on my 2025 taxes?A: Yes, but there are strict requirements. The vehicle must be new, assembled in the U.S. (VIN starting with 1, 4, or 5), purchased after Dec 31, 2024, and used solely for personal reasons. The deduction is capped at $10,000 in interest and phases out for high-income earners. Q: I have a teenager who is working. Can I put money into an IRA for them?A: Absolutely. As long as the child has earned income, you (or a grandparent) can contribute to a Roth IRA in their name. You can contribute up to the amount they earned or the annual limit ($7,000), whichever is lower. Q: Are there stimulus checks coming for seniors in 2026?A: There are discussions about a potential payment (rumored around $1,390) for low and middle-income individuals in 2026, but this is not yet confirmed. If it happens, Social Security recipients likely won’t need to file extra paperwork to receive it. Transcript: 00:01 No, no, no, she’s not a medical doctor, but she can sure cure your tax problems or your financial woes. 00:07 She’s the how-to girl. 00:09 It’s the Doctor Friday show. 00:15 If you have a question for Dr. Friday, call her now. 00:17 737-WWTN. 00:19 That’s 737-9986. 00:23 So here’s your host, financial counselor, and tax consultant, Dr. 00:27 Friday. 00:30 G’day, I’m Dr. Friday, and the doctor is in the house. 00:34 We are here live in studio and we are going to be talking about planning for 2025. 00:42 some of the things that came in with the one big beautiful bill, making sure that we understand maybe some of these uh child tax credits that are coming up 00:51 When they expire, when they change. 00:53 If you’ve got questions, you can certainly join our show at 615-737-9986-615-737. 01:04 9986 taking your calls talking about my favorite subject, which is taxes and what’s going to qualify and what’s not going to qualify. 01:15 Hopefully gets the bottom of a couple of the questions I’ve been asked uh during this last week or so, just simple questions about IRAs converting them, what the um 01:26 marginal tax rates are, things like that. 01:28 So we can actually make some good decisions on capital gains. 01:32 If you sold something, if it’s over. 01:34 um you know 139,000 under 139 if you’re married filing separately the you know 119 or single 01:42 what that means, how that works, and what that’s going to do for all of us. 01:46 So if you want to join the show, you can 615-737-9986, 615-737. 01:56 9986 taking your calls, talking about, like I said, all the things that have to do with taxes and uh trying to get to explain what we should be preparing for, what we need to know as far as Social Security rates, what’s our max. 02:11 In 2025, of course, for Social Security was 176,000. 02:15 What’s going to be expected in 2026 after 2025? 02:21 I don’t think there’s anyone on caller one, right? 02:24 Because there’s no name in there. 02:25 So I’m just assuming that’s not for me. 02:27 All right, so let’s get to it. 02:29 Let’s talk about my favorite subjects. 02:32 and see what we can do to make this all work out for us. 02:36 And um if again if you have questions 615-737 02:42 9986, 615-737-9986. 02:48 And you know, if you have questions, just give us a call. 02:51 Let’s see what we can do as far as getting through some of the um 02:54 information we’re going to share here. 02:56 So first thing I guess is if you’re in 2020, well we’re all in 2025, but if you’re still trying to maximize 03:05 your 401ks, which is ones that you usually have to contribute to prior to the end of the year because it usually comes out of your paycheck. 03:15 You want to make sure that you 03:18 Do that in the next few you may only have one paycheck left, to be quite honest. 03:22 Um, and so you want to make sure you’ve maximized that. 03:25 If you qualify, you may still be able to put the $7,000 03:29 into a traditional or Roth IRA if you are age 50 and older, that would be $8,000 the maximum. 03:37 And also remember that 03:40 If you if your spouse cannot contribute, but you’re a and you’ve earned enough for both of you, you can contribute for your spouse into a traditional and or Roth IRA, depending on 03:54 your taxable situation and you know there is limitations to what’s available and what’s not. 04:00 So federal tax brackets for the single 04:04 Still single, married filing jointly, single, married filing separately, jointly, and head of household. 04:10 Um we still have the same code. 04:11 The basic, you know 04:13 12 to 2 37% that really hasn’t changed. 04:18 Um, it basically means the the first twelve thousand will go. 04:21 I mean, you have zero or ten percent. 04:24 um for in single people making less than 12,000 after the standard deduction for married people making less than 24,000. 04:31 And then it goes to the 12% from the $12,000 to $50,000 04:34 And then for married people, that would go from 24 to 88. 04:38 Remember, these numbers are after you’ve taken your standard deduction or your itemized deduction, depending on what it is. 04:46 you have or where you’re at. 04:47 So in for the 2026 filings, those standard deductions will be 16100. 04:54 uh 3224150. 04:58 But for 2025, remember we’re going in right now, we’re getting ready to file our 2025 05:06 Taxes, which are single people 15,000, marry couple 30,000, and head of household 22,5 05:14 So we keep those numbers going so we know. 05:16 And then if you’re over the age of 65, remember if you are deducting as a um 05:23 blind or single person, married person, you have sixteen hundred dollars, two thousand dollars for single or head of household, and married couples, you would be able to double that 05:33 So it’d be 15 and 16 and 16. 05:36 So additional $3,200 would be deductible for you on what you’re going to have coming in on your taxes. 05:46 The OBBB did bring in the um uh charitable contributions for scholarship grants, all of that. 05:55 Um 05:56 And they come in effect, but most of those are not coming into effect until 2026 for individuals. 06:04 So 06:05 If you have something like that and you’re trying to figure out what you have coming this year versus the next year or whatever, the $6,000 for anybody over the age of 65 06:17 From 2025 through 2028, the designated dollar amount comes through. 06:22 And then qualified deduction for married couple is $12,000. 06:27 So that one is in effect for 2025. 06:30 I saw a lot of videos out there saying that it didn’t come in effect until 2026. 06:38 But according to the IRS website, it’s starting in 25. 06:42 So again, that’s for individuals that are 65 and older 06:45 You do not have to be claiming Social Security. 06:49 People used it or they they’re marketing it somewhat as a way of helping you 06:54 deal with Social Security tax. 06:57 And I had several people this week calling and saying, well social security is free now. 07:01 I don’t have to worry about filing taxes because now Social Security is free. 07:05 Mm no, not really. 07:07 Social Security is not free, still can be taxed up to 85%. 07:12 All they’ve done is give people age 65 and older an additional deduction. 07:17 Which may or may not um make a huge difference in your situation. 07:22 Obviously, it won’t if you’re already in a tax-free situation, then it makes no difference at all. 07:27 Um, but in 07:29 normal situations or tax situations we have, then you will have some situation where you might have uh the ability to uh 07:39 Um save some money or or whatever. 07:42 But in most cases, if you’re making 22 if you’re in the 22 or 24% tax bracket 07:47 You will definitely be ab

    47 min
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About

The Dr. Friday Radio Show is a weekly radio show broadcast live on 99.7/WWTN every Saturday from 2PM-3PM CST. If you are outside of the listening area of the radio station (Nashville, TN), you can also download the iHeart App on your smartphone and search WWTN to hear the LIVE show. You can also listen to past episodes on the Dr. Friday Tax and Financial Firm website (https://drfriday.com), on Apple Podcasts, Google Play and many more.

Information

  • Creator
    Dr. Friday Burke
  • Years Active
    2019 - 2026
  • Episodes
    200
  • Rating
    Clean
  • Copyright
    © Dr. Friday Tax and Financial Firm, Inc.
  • Show Website
    The Dr. Friday Radio Show