Insights

What's Inside: Prime Workforce Stays Strong; QLACs: Your Retirement Accounts Can Act Like Pensions; Are Extended Warranties Worth It?; Life Insurance in Retirement; Versatile 529 Plans Can Help with More than Just College; and A Backup Plan for Your Paycheck

The temporary U.S.–China tariff suspension is a clear step forward, lowering effective tariff rates to more manageable levels. But uncertainty remains, especially for small businesses and the direction of future negotiations. Sentiment-based “soft” data continues to fall sharply, while hard economic indicators remain resilient.

What's Inside: Cost of Living Varies Widely Across the U.S.; Funding the Federal Government; Have You Checked Your Social Security Statement Lately?; Catch Up for a More Comfortable Retirement; ETFs Are Closing the Gap with Mutual Finds; and Debt After Death: What Happens to Debt When Someone Dies?

While we typically use April Musings to recap the first quarter, the events since March 31 have been too significant to ignore—most notably, the newly implemented tariffs and their potential ripple effects on the economy and markets.

What's Inside: Tax Time - Procrastination Is Common and Can Be Costly; Say Hello Again to a So-So Job Market; The Versatile Roth IRA; Are You Missing the Bull's-Eye with a Target-Date Fund?; Breaking Down the Numbers - the Soaring U.S. National Debt; and Return of Premium Term Life Insurance - Is It Right for You?

Investors anticipated tax cuts and deregulation after the election but overlooked the full impact of tariffs, which are now unsettling business planning and sentiment. While uncertainty can slow economic growth, history shows that geopolitical events rarely cause recessions—thus the risk of a major bear market is low.

Trade tensions have escalated significantly with new US tariffs imposed on imports from Canada, China, and potentially, the EU. While the longer-term impact is uncertain, the administration’s goals appear to be increasing tariff revenue and reducing the trade deficit. Despite some concerns from companies, the broader economic effect will likely be limited if US economic growth remains strong.

The U.S. economy led global growth in 2024, fueled by a strong labor market, easing inflation, and resilient consumer finances. These key factors underscore continued growth and support an optimistic economic outlook for the year ahead.