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    Friday’s big stock stories: What’s likely to move the market in the next trading session

    NVIDIA founder, President and CEO Jensen Huang speaks about the future of artificial intelligence and its effect on energy consumption and production at the Bipartisan Policy Center in Washington, D.C., on Sept. 27, 2024.
    Chip Somodevilla | Getty Images

    Stocks @ Night is a daily newsletter delivered after hours, giving you a first look at tomorrow and last look at today. Sign up for free to receive it directly in your inbox.
    Here’s what CNBC TV’s producers were watching as the Dow Industrials rose more than 460 points on Thursday, and what’s on the radar for the next session.

    Nvidia

    It was the stock story of the day, and CNBC TV will keep focusing on the move Friday. More CNBC.com users searched for this stock than any other ticker symbol even beating the ever-popular 10-year Treasury yield on Thursday.
    Nvidia hit a new high Thursday morning, almost hitting the $153 mark. The stock ended the day off its high, closing up 0.5%.
    CNBC TV “Squawk Box” anchor Becky Quick set the big theme of the session, noting that it seems hard for Nvidia to rally because expectations are so high. She recalled a similar solid earnings report three months ago, followed by a stock drop. Shares rallied 15% over the next three months. During the premarket, Quick interviewed analyst Ray Wang of Constellation Research, who said, “Nvidia is growing exponentially versus the rest of the S&P 500.”
    With Thursday’s 0.5% gain, Nvidia is now up 196% in 2024. Shares have climbed 53% in six months and added 10% in November. 
    Nvidia is the third top performer in the S&P so far this year. The top five winners in the index for 2024 are at the bottom of this note.
    Nvidia is a core holding in Jim Cramer’s Charitable Trust. He last bought it on Aug. 31, 2022. It’s up 850% since then. 

    Stock chart icon

    Nvidia in 2024

    Bitcoin

    It went below $97,000 on Thursday morning, then jumped back above that level. Throughout the day, bitcoin topped the $98,000 mark, crossed the $99,000 threshold for a new high and then came off that level. As of 7:34 p.m. ET, it was at around $98,400.
    There is surely more to come in the seconds, minutes and hours after this note goes out. 

    MicroStrategy

    On Friday, co-founder Michael Saylor will be on “Squawk Box” in the 7 a.m. hour.
    The stock was beat up from the feet up on Thursday after Citron Research put out a short report. By the way, the Securities and Exchange Commission charged Citron founder Andrew Left earlier this year, alleging that he misled investors on previous reports. 
    MicroStrategy dropped 16% on Thursday.
    The stock is up nearly 530% in 2024,
    MicroStrategy used to be a software company, but it turned into a proxy for bitcoin. The company has bought billions of dollars’ worth of the cryptocurrency in the last several years.

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    MicroStrategy in 2024

    Fannie and Freddie

    The two are up big since Donald Trump won the presidential election.
    Fannie Mae and Freddie Mac are government-sponsored mortgage companies.
    There is speculation in the investing world that the new administration may try to privatize both entities. This would put them outside of government control.
    Fannie Mae is up 130% since the election.
    Freddie Mac is up 160% since the election.
    Fannie Mae rose nearly 5% Thursday, while Freddie Mac gained 6%.

    Amazon and Tesla, Bezos and Musk

    Jeff Bezos has moved on from the day to day at the internet shopping giant but he remains executive chair of the board. He and Elon Musk, who seems to be focusing a lot on politics right now, wound up in a short online duel of tech billionaires.
    On X, the social media platform, Musk accused Bezos of telling people to sell their Tesla and SpaceX holdings because he had believed Donald Trump was about to lose the election. There was no attribution.
    A short time later, Jeff Bezos simply posted: “Nope. 100% not true.”
    Musk a few hours later posted, “Well, then, I stand corrected” with one of those emojis where the face is laughing with tears.
    Shares of Tesla are up 35% since the election. Amazon is down 0.5% in that period.

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    Tesla and Amazon in 2024

    Uber and Tesla, Khosrowshahi and Musk

    Uber slipped after investor Brad Gerstner told Scott Wapner of CNBC’s “Halftime Report” that he was selling the stock. The stock ultimately closed marginally higher Thursday, up 0.06%.
    Gerstner made the case that Tesla would be the big winner in autonomous driving, setting up a good battle in the still-emerging autonomous driving industry.
    Uber is now down 6% since the election.
    Uber’s CEO Dara Khosrowshahi has been critical of some of the President-elect Trump’s policies in the past.

    S&P 500 leaders with about 25 trading days left in 2024

    Vistra, the energy company, is at the top of the S&P so far this year, up 332%.
    Palantir ranks second, up 257%.
    Nvidia is third, up 196% year to date.
    Axon Enterprises, manufacturers of the Taser, is up 144% in 2024.
    Targa Resources is fifth, up nearly 140% this year.

    Buckle before the bell

    The retailer will issue quarterly results before the bell. It’s the only notable report we’ll see Friday.
    The stock is up 13% over the past three months.
    Buckle hit a high last week but is down 4.25% since then.
    Buckle has about 450 locations in 42 states. This includes one shop at the East Towne Mall and another in the West Towne Mall — both are in Madison, Wisconsin. More

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    Most employees don’t leverage this ‘triple-tax-free’ account, advisor says. Here’s how to use it

    FA Playbook

    As of 2024, only 18% of participants invested their health savings account balance, down slightly from the previous year, according to a survey from the Plan Sponsor Council of America.
    Those employees could be missing out on their HSA’s triple tax benefits, experts say.
    Many advisors encourage clients to invest HSA funds long term to build a health-care nest egg for retirement.

    Marco Vdm | E+ | Getty Images

    Many employees have a health savings account, which offers tax incentives to save for medical expenses. However, most are still missing out on long-term HSA benefits, experts say.
    Two-thirds of companies offer investment options for HSA contributions, up 60% from one year ago, according to a survey released in November by the Plan Sponsor Council of America, which polled more than 500 employers in the summer of 2024. 

    But only 18% of participants invest their HSA balance, down slightly from the previous year, the survey found.
    That could be a “huge mistake” because HSAs are “the only triple-tax-free account in America,” said certified financial planner Ted Jenkin, founder and CEO of oXYGen Financial in Atlanta.
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    Health savings accounts are popular among advisors, who encourage clients to invest the funds long term rather than spending the funds on yearly medical expenses. But you need an eligible high-deductible health plan to make contributions.
    Some 66% of employees picked an HSA-qualifying health plan when given the choice, according to the Plan Sponsor Council of America survey.

    However, the best health insurance plan depends on your family’s expected medical expenses for the upcoming year, experts say. Typically, high-deductible plans have lower premiums but more upfront expenses.

    HSAs can look like a ‘health 401(K)’

    HSAs have three tax benefits. There’s an upfront deduction on contributions, tax-free growth and tax-free withdrawals for qualified medical expenses.

    If you invest it wisely, it can look like a health 401(k).

    Ted Jenkin
    Founder and CEO of oXYGen Financial

    “It’s one way to deal with the inflationary cost of health care,” said Jenkin, who is also a member of CNBC’s Financial Advisor Council. “If you invest it wisely, it can look like a health 401(k).” 
    A 65-year-old retiring today can expect to spend an average of $165,000 in health and medical expenses through retirement, up nearly 5% from 2023, according to a Fidelity report released in August.
    That estimate doesn’t include the cost of long-term care, which can be significantly higher, depending on needs.

    Why employees don’t use HSAs for long-term savings

    There are a couple of reasons why most employees aren’t investing their HSA balances, according to Hattie Greenan, director of research and communications for the Plan Sponsor Council of America. 
    “I think there’s a lot of confusion about HSAs and [flexible spending accounts],” including how they work and how they’re different,” she said.
    While both accounts offer tax benefits, your FSA balance typically must be spent yearly, whereas HSA funds can accumulate for multiple years. Plus, your HSA is portable, meaning you can take the balance when changing jobs. 
    However, many employees can’t afford to cover medical costs yearly while their HSA balance grows, Greenan said. “Ultimately, most participants still are using that HSA for current health-care expenses.” More

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    73% of workers worry Social Security won’t be able to pay retirement benefits. Here’s what advisors say

    FA Playbook

    73% of non-retired Americans are concerned that Social Security may not pay their benefits if Social Security’s retirement trust fund is depleted.
    Financial advisors say it’s still best to wait to claim to get the biggest monthly checks.

    Sporrer/Rupp | Image Source | Getty Images

    Most Americans are concerned about what may happen to Social Security when its retirement trust fund crosses a projected 2033 depletion date, according to a new Bankrate survey.
    Nearly three-quarters, 73%, of non-retired adults and 71% retired adults say they worry they won’t receive their benefits if the trust fund runs out. The October survey included 2,492 individuals.

    Those worries loom large for older Americans who are not yet retired, according to the results. That includes 81% of working baby boomers and 82% of Gen Xers who are worried they may not receive their benefits at retirement age if the trust fund is depleted.
    “Once someone’s actually staring at the prospect of the end of their full-time employment, the seriousness of the need to fund that part of their life comes into full view,” said Mark Hamrick, senior economic analyst at Bankrate.
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    Still, a majority of millennials and Gen Zers surveyed, at 69% and 62%, respectively, are similarly concerned.
    Social Security relies on trust funds to supplement its monthly benefit payments that currently reach more than 72.5 million beneficiaries, including Supplemental Security Income beneficiaries.

    While payroll taxes provide a steady stream of revenue into the program, the trust funds help to supplement benefit checks. Social Security’s actuaries project the fund the program relies on to pay retirement benefits will be depleted in 2033. At that time, an estimated 79% of those benefits will still be payable.

    What financial advisors are telling clients now

    Financial advisors say they frequently field questions from clients on Social Security’s future. And they often tell their clients it’s still best to wait to claim benefits, if possible.
    Retirees can claim Social Security retirement benefits as early as age 62, though they take a permanent lifetime reduction. By waiting until full retirement age — generally from 66 to 67, depending on date of birth — individuals receive 100% of the benefits they’ve earned.
    By delaying from full retirement age to as late as age 70, retirees stand to get an 8% annual boost to their benefits.

    When talking with clients, George Gagliardi, a certified financial planner and founder of Coromandel Wealth Strategies in Lexington, Massachusetts, said he tells them Washington lawmakers are unlikely to leave Social Security’s solvency unaddressed by the trust fund depletion deadline.
    But even if that does happen, it still makes sense to delay claiming Social Security benefits until 70, if possible, unless there is a critical situation where it makes sense to claim early, he said.
    “My bottom line on the whole thing is, you don’t know how long you’re going to live,” Gagliardi said. “But basically, you want to bet on longevity.”
    Experts say retirees need to be mindful of longevity risk — the potential that you will outlive your savings.
    Social Security is “inflation indexed longevity insurance,” said CFP David Haas, owner of Cereus Financial Advisors in Franklin Lakes, New Jersey. Every year, benefits are automatically adjusted for inflation, a feature that would be difficult to match when purchasing an insurance product like an annuity.
    “You really can’t get that from anywhere else,” Haas said.

    While more than a quarter — 28% — of non-retired adults overall expect to be “very” reliant on Social Security in retirement, older individuals expect to be more dependent on the program, according to Bankrate. The survey found 69% of non-retired baby boomers and 56% of non-retired Gen Xers expect to rely on the program.
    To avoid relying on Social Security for the bulk of your income in retirement, you need to save earlier and for longer, Haas said.
    “You need to compound your savings over a longer period, and then you’ll be flexible,” Haas said.
    To be sure, shoring up a long-term nest egg is not a top-ranked concern for many Americans now as many face cost-of-living challenges. A separate election Bankrate survey found the top three economic concerns now are inflation, health care costs and housing affordability. More

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    More young men are struggling financially. Here’s how that helped Trump win

    One factor that drove young men to the polls may have been perceived economic disparities, experts say, which ultimately helped Republicans win on Election Day.
    Men were also more likely than women to say they believed the results of the election would impact their financial life in the short term, one recent survey found. Those voters largely favored Trump.

    Voters stand in line at a polling station in Washington, D.C., on Election Day, Nov. 5, 2024.
    Nicolas Economou | Nurphoto | Getty Images

    Going into Election Day, Americans were sharply divided. But the gender gap was among the most glaring splits, with more women backing Vice President Kamala Harris and a majority of men supporting President-elect Donald Trump.
    Women favored Harris by an 8-point margin, with the vice president securing 53% support compared with Trump’s 45%. Men backed Trump by a 13-point margin, with 55% favoring Trump and 42% backing Harris — resulting in a 21-point gender divide, according to NBC News exit polls.

    Trump gained massive support among men on economic issues specifically, including among Hispanic and Black voters, who were feeling particularly pessimistic, according to NBC News exit polls. Inflation was the top concern among voters overall, followed by the current state of the economy, the NBC polls said.
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    A factor that drove young men to the polls may have been perceived economic disparities, according to experts, which ultimately helped Trump win. 
    “Men feel like there’s no pathway for economic mobility for them,” said Julia Pollak, chief economist at ZipRecruiter.

    ‘That is a huge, huge gap’

    There is a growing disillusionment taking hold.

    Men are steadily dropping out of the workforce, especially those between the ages 25 and 54, which are considered their prime working years.
    A study by the Pew Research Center found that men who are not college-educated leave the workforce at higher rates than men who are. At the same time, fewer younger men have been enrolling in college over the past decade.
    In 1995, young men and women were equally likely to hold a bachelor’s degree, at 25%. Today, 47% of women ages 25 to 34 in the U.S. have a bachelor’s degree, compared with 37% of men their age, also according to Pew.
    “That is a huge, huge gap,” Pollak said.
    Schools often tout a four-year degree as the ideal scenario. And in many areas, vocational programs and other alternative pathways “aren’t as widespread” as they used to be, Pollak said.
    At the same time, some traditional blue-collar jobs that used to employ more non-college-educated men declined due to automation and globalization, leading to job displacement and uncertainty about future employment prospects, experts say.

    Altogether, you have a group who feel like they’re “being left behind,” Pollak said.
    Brett House, an economics professor at Columbia Business School, agreed: “The great concern is that we are developing a pool of young men that are neither developing the additional skills [nor] education necessary to participate fully in the labor force,” he said — particularly in “former manufacturing industrial powerhouse states.”
    These days, young men are more likely to be considered NEETs — not in employment, education, or training — a cohort that has been hardest hit by globalization and the decline of manufacturing in this country, according to Richard Fry, a senior researcher at Pew.
    “When you don’t get rewarded for working, you work less,” Fry recently told CNBC. “That is a basic tenet of labor economics.”

    Men were more likely than women to say they believed the results of the election would impact their financial life in the short term, according to a separate survey by the National Endowment for Financial Education. Those voters largely favored Trump.
    Those with less than a high school diploma and those with a two-year degree were also most likely to say their financial life will be impacted by the presidential election. NEFE polled 1,000 adults in October about their financial feelings in relation to the 2024 general election.
    “It’s reasonable that many Americans were weighing their current financial well-being and prospects for the future while casting their votes this November,” said Billy Hensley, NEFE’s president and CEO. Hensley is also a member of the CNBC Global Financial Wellness Advisory Board.

    Young women have ‘made huge gains’ in the workforce

    Meanwhile, women have “made huge gains” in their education and careers and are working as much as, if not more than, their male counterparts, according to Ali Bustamante, an economist and director at the Roosevelt Institute.
    Today, women are getting married and having children later, if at all, and are prioritizing their careers, Pollak said. They’re looking to the government to make that choice less difficult through universal child care and access to abortion, she said.
    “There was a time when people were either mothers and wives, or spinsters who worked,” Pollak said. “Now women often are prioritizing the career person over the wife and mother.”

    However, while the issue of reproductive rights became a major factor in the 2024 presidential race, it did not drive more women to vote. It also did not prove to be one of the most important issues facing the country among voters overall, exit polls showed.
    “Trump’s message resonated with young men,” said Fatima Goss Graves, president of the National Women’s Law Center Action Fund. “The pain that people in this country have been feeling in terms of the economy is real.”
    Still, other issues — such as paid leave, affordable housing, child care and equal pay — are also hugely important to families, she said.
    “This was one election, but I think it would be a mistake to suggest that women will stop fighting in larger numbers either for reproductive freedom or the things they care about,” Graves said. “We have work to do.”
    Subscribe to CNBC on YouTube. More

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    Thursday’s big stock stories: What’s likely to move the market in the next trading session

    A check in monitor is see in the Nvidia office on November 20, 2024 in Austin, Texas. 
    Brandon Bell | Getty Images

    Stocks @ Night is a daily newsletter delivered after hours, giving you a first look at tomorrow and last look at today. Sign up for free to receive it directly in your inbox.
    Here’s what CNBC TV’s producers were watching as stocks ended Wednesday mixed, and what’s on the radar for the next session.

    Nvidia if you missed it

    On Thursday, we’ll keep covering Nvidia’s quarterly report. 
    The company posted adjusted earnings and revenue that topped expectations in the third quarter. Nvidia also issued a better-than-expected forecast for this quarter.
    Revenue jumped 94% on a year-over-year basis.
    Several customers are already getting the company’s next-generation chip, which is called Blackwell.
    The results seemingly weren’t strong enough for investors. The stock is down in extended trading.
    The stock is up almost 3% in three days. Nvidia is up about 10% in November, and it’s up more than 190% in 2024.

    Stock chart icon

    Nvidia in 2024

    Best ideas: Amazon and Apple

    JPMorgan analyst Doug Anmuth issued a note Wednesday morning saying, “We’re expecting solid online holiday season sales growth of +7.5% Y/Y.”  The firm called Amazon “our best idea.”
    Toni Sacconaghi of Bernstein issued a note on Wednesday, calling Apple a “best idea.” He said, “We view Apple as a quality compounder, with mid-single digit revenue growth, improving margins, disciplined capital return, and double-digit EPS growth.”
    Apple is 3.6% from the Oct. 15 high. The stock is up 19% in 2024.
    Amazon is 6% from last week’s high, when it hit $215.90 a share. Amazon is up about 9% in November.

    Tech dividends

    In September, the software giant Microsoft said it would increase its dividend.
    The dividend, which will rise eight cents to 83 cents a share, is payable on Dec. 12 to shareholders of record on Nov. 21. The dividend yield is 0.8%.
    Cisco Systems has a dividend yield of 2.8%.
    IBM currently has a dividend yield of 3.1%.
    Apple’s dividend yield is 0.4%.

    Stock chart icon

    Microsoft shares in 2024

    Cannabis

    NJBiz.com reports that New Jersey’s legalized market for marijuana saw major growth in its latest quarter, with recreational sales coming in at $238.7 million.
    Nevertheless, Canopy Growth remains 75% from the April high. The stock is down 18% in November.
    Tilray is 56% from the April top. Shares are down 21% in November.
    GrowGeneration is 51% from the April high. The stock is down 13% in November.

    JPMorgan downgrades

    Earlier this month, Baird cut its rating on the banking giant’s stock. This morning, Oppenheimer downgraded JPMorgan to “perform.” Oppenheimer’s analyst wrote, “It is hard for us to imagine the stock outperforming, especially from this level.”
    The banking giant is 2.9% from the Nov. 6 high.
    JPM is up 8.5% in November. The stock has soared 41.5% in 2024.
    The S&P 500 Financials hit a high on Tuesday. The sector is up 31.4% in 2024.
    The SPDR S&P Bank ETF (KBE) is 4% from the Nov. 11 high. The fund is up 29% in 2024.

    Stock chart icon

    JPMorgan Chase shares in 2024

    Target vs. Walmart

    Target missed earnings estimates and cut its full-year guidance Wednesday morning after Walmart’s big report the day before.
    If you put the two stocks toe to toe, here’s what you’d find. Walmart is near a high. Target is 33% from the April high.
    In November, Walmart is up 6.4% and Target is down about 19%.
    In 2024, Walmart is up 65.9%, and Target is down 14.5%.
    CNBC’s Lori Ann Larocco is reporting Wednesday night that one of Target’s problems is shipping.  She reports: “Target re-routed and pulled forward shipments, loading up on inventory to make sure they had the merchandise needed for the holiday season.” Larocco also reports that CEO Brian Cornell said Wednesday that there were “costs associated with rushing shipments and preparing for the short-lived port strike in October that hurt the company’s quarterly performance.” More

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    Acurx Pharmaceuticals to add up to $1 million in bitcoin for treasury reserve, following MicroStrategy’s playbook

    Thomas Trutschel | Photothek | Getty Images

    The board of Acurx Pharmaceuticals on Wednesday approved the purchase of up to $1 million in bitcoin to hold as a treasury reserve asset.
    Shares of the company were last lower by more than 6% after spiking about 8% in premarket trading.

    “As demand for bitcoin grows, and so does its acceptance as a major and primary asset class, we believe that bitcoin will serve as a strong treasury reserve asset for cash not needed over the next 12 to 18 months,” CEO David P. Luci said in a statement.
    “Its limited supply and inflation-resistant characteristics provide a functional store of value,” he added. “This new treasury strategy is a finance strategy and has no impact on our overarching drug development plans.”
    The move takes a page out of MicroStrategy’s playbook. In 2020, the enterprise software company famously adopted bitcoin as its primary treasury reserve asset, acquiring 21,454 bitcoins at roughly $11,653 each, just before the bull run a few months later. MicroStrategy has aggressively bought more bitcoin since then, as recently as this week, bringing its total to 331,200 bitcoins. Its stock is up more than 500% for 2024.
    Bitcoin adoption by corporate treasurys is an important but slow-growing catalyst for crypto. The cryptocurrency is trading at all-time highs, and it is widely expected to double by the end of 2025 due to President-elect Donald Trump’s promise of a more crypto-friendly environment for businesses.
    With that regulatory overhang expected to lift next year, investors are keeping a watchful eye for the next big company to begin buying bitcoin. Tesla and Block followed MicroStrategy in 2021. Another smaller company, Semler Scientific, did so this year.

    On an X spaces event Tuesday evening, MicroStrategy Chairman and bitcoin evangelist Michael Saylor said he plans to pitch the board of Microsoft in December on his bitcoin treasury strategy.
    The theme has broadened to the government level this year, with Sen. Cynthia Lummis proposing a national strategic bitcoin reserve this summer. Trump similarly made mention of a potential national bitcoin stockpile in the same week.
    The price of bitcoin is up 122% this year.

    Don’t miss these cryptocurrency insights from CNBC PRO: More

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    Social Security beneficiaries to soon receive notices revealing the size of their 2025 benefit checks

    Changes for 2025, including a cost-of-living adjustment and new Medicare Part B premium rates, will affect the size of Social Security beneficiaries’ checks.
    In December, beneficiaries can expect to see benefit notices online and in the mail.

    Westend61 | Getty

    A new 2.5% cost-of-living adjustment

    In 2025, retirement benefits will increase by about $50 per month, on average, according to the Social Security Administration.

    That’s due to the 2.5% annual cost-of-living adjustment.
    Notably, the benefit boost for 2025 will be the lowest since 2021. As the pace of inflation has subsided, the cost-of-living adjustment has come down with it, since the Social Security Administration uses government inflation data to calculate the annual change.
    Beneficiaries saw the highest increases in four decades in 2023, when the COLA was 8.7%, and in 2022, when benefits went up by 5.9%. However, the annual COLA started to come down in 2024, with a 3.2% annual adjustment.
    “Although price increases have moderated, it’s not as though inflation is over,” said Joe Elsasser, a certified financial planner and president of Covisum, a Social Security claiming software company.  
    If the pace of inflation picks up again, the annual COLA could go up again, he said.

    Arrows pointing outwards

    Monthly Medicare Part B premiums to go up

    Retirees who are enrolled in Medicare Part B — which covers physician services, outpatient hospital services and certain home health services and durable medical equipment — pay monthly premiums.
    Medicare Part B premiums are often deducted directly from Social Security checks. Beneficiaries can also request to have Medicare Advantage or Part D premiums deducted from Social Security benefit payments, according to Mary Johnson, an independent Social Security and Medicare analyst.
    In 2025, the standard monthly Part B premium will go up to $185 per month — a $10.30 increase from $174.70 this year.
    At the same time, Medicare Part B beneficiaries will see their annual deductibles go up to $257 in 2025 — a $17 increase from the $240 annual deductible for 2024.
    Medicare Part B premiums are based on a beneficiary’s modified adjusted gross income, or MAGI, from two years prior. In 2025, beneficiaries who had less than or equal to $106,000 in MAGI in 2023 will pay the standard monthly Part B premium, as will married couples with less than or equal to $212,000.
    However, beneficiaries with higher incomes will be subject to income-related adjustment amounts, or IRMAA, that increase their monthly premium payments.
    About 8% of Medicare Part B beneficiaries are affected by those income-related adjustments, according to the Centers for Medicare and Medicaid Services.

    Income changes may prompt higher taxes

    Social Security beneficiaries may request to have withholding for federal taxes deducted from their benefit payments.
    Beneficiaries may want to consider whether they want to adjust those withholdings, particularly if they anticipate more of their benefits could be taxed, according to Jim Blair, vice president of Premier Social Security Consulting.
    Social Security benefits are taxed on a formula called combined income — the sum of adjusted gross income, nontaxable interest and half of Social Security benefits. Beneficiaries may pay no taxes on their benefits, if their combined income is low enough, or up to 50% or 85% of their benefits may be subject to federal taxes if their combined incomes are above certain thresholds.
    “What we’ve seen with clients is kind of a surge in other income that has caused more of their Social Security to be taxed,” said CFP Brian Vosberg, president of Vosberg Wealth Management in Glendora, California.

    For example, retirees who have $200,000 in money market accounts or certificates of deposit are seeing higher interest payments on that sum after the Federal Reserve’s string of rate hikes in recent years. That interest income may require beneficiaries to pay a higher federal tax rate on their benefits, Vosberg said.
    Proactive tax planning can help alleviate that situation, Vosberg said. Strategies such as buying an annuity that lets that interest grow tax-deferred or reducing income from other areas, such as IRA withdrawals, can help minimize the tax bite, he said.
    Retirees should also take note if their incomes have meaningfully changed in the past couple of years, according to Blair. If that’s the case, their monthly Medicare Part B premium rate may no longer be accurate. Beneficiaries can notify the Social Security Administration of life-changing events that affect their incomes and Medicare premiums by filling out a Form SSA-44.   More

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    Thanksgiving meals are expected to be cheaper in 2024 as turkey prices drop

    A “classic” Thanksgiving meal for 10 will cost about $58 in 2024, roughly 5% less than 2023, according to the American Farm Bureau Federation.
    Turkey prices had the largest impact on that decline.
    Food inflation overall has decreased significantly from pandemic-era highs.

    Filadendron | E+ | Getty Images

    Thanksgiving is a time to gather with loved ones, to show gratitude for life’s abundance — and, of course, to eat.
    And when it comes to Thanksgiving food, it seems Americans are getting relief on their grocery bills this year following a few years of escalating costs.

    A “classic” Thanksgiving feast for a party of 10 will cost $58.08 in 2024, on average — down 5% from 2023 and down 9% from 2022, according to the American Farm Bureau Federation, a trade group for farmers and ranchers.
    Its analysis includes turkey, cubed stuffing, sweet potatoes, dinner rolls, frozen peas, fresh cranberries, celery, carrots, pumpkin pie mix and crusts, whipping cream and whole milk.

    Prices for this food basket were at a record high in 2022, at $64.05, the Farm Bureau said.
    Households that add ham, russet potatoes and frozen green beans into the mix would pay $77.34 in 2024, on average — an 8% decrease from 2023, the Farm Bureau said.
    The annual decline in prices will be welcome news to many households: 44% of people hosting Thanksgiving this year are concerned about the cost of the event, according to a recent Deloitte survey.

    The decrease is largely due to various supply-and-demand dynamics driving down prices for key staples — turkey, most importantly — and an overarching decline in U.S. food inflation, according to economists.
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    “Food inflation has been pretty tame,” said Robin Wenzel, head of the Wells Fargo Agri-Food Institute. “You’re seeing some good relief there.”
    That said, a classic Thanksgiving meal is still 19% pricier than it was in 2019, according to the Farm Bureau.
    “Declines don’t really erase the dramatic increases we had,” said Bernt Nelson, a Farm Bureau economist.

    Turkey has been a ‘curious item’

    Turkey price movements had “definitely the biggest impact” on the overall cost of a Thanksgiving meal this year, Nelson said. That’s because a 16-pound bird accounts for 44% of the overall Thanksgiving grocery bill, he said.
    The national average cost for a 16-pound turkey is down 6% from 2023, according to the Farm Bureau. Overall turkey prices have decreased about 4% in the past year, according to the consumer price index.
    Turkey has been a “curious item this year,” Nelson said.
    On one hand, turkey supply is down “significantly,” he said. Farmers raised about 205 million turkeys in 2024, down 6% from 2023, according to the U.S. Department of Agriculture. That’s the lowest figure since 1985, Nelson said.

    Monty Rakusen | Digitalvision | Getty Images

    Largely, that’s because of the impact of bird flu, a lethal and contagious disease among birds that has contributed to the deaths of about 14 million turkeys since 2022, he said.
    Lower supply would tend to raise prices, all else equal. But consumer demand has decreased as well. To that point, turkey consumption per capita has fallen by about one pound this year, he said.
    The aggregate impact has been lower turkey prices.

    Weather and labor impacts

    Meanwhile, prices fell notably — by 14% — for whole milk, a staple ingredient in pie and other recipes, Nelson said.
    That’s largely attributable to “favorable” weather conditions in the U.S. for dairy cattle — both in terms of their overall well-being and for crops they eat — thereby helping boost milk production, Nelson said.
    Of course, not everything is cheaper.
    Prices for processed foods such as dinner rolls and cubed stuffing increased more than 8% from 2023, for example, the Farm Bureau said. That’s primarily attributable to non-food-related inflation such as labor costs, pushing up prices “for partners across the food supply chain,” the group said in its analysis.

    Food inflation has been pretty tame. You’re seeing some good relief there.

    Robin Wenzel
    Wells Fargo Agri-Food Institute

    Aside from labor costs, there were many contributors to fast-rising grocery prices during the pandemic era.
    For example, in 2022, food prices grew faster than in any year since 1979, partly due to a bird-flu outbreak that affected egg and poultry prices, while Russia’s invasion of Ukraine “compounded other economy-wide inflationary pressures such as high energy costs,” according to the USDA.
    Higher costs for energy, including gasoline and diesel fuel, translate into higher prices across the food supply chain, such as distribution of groceries to store shelves, experts said.
    “Food price growth slowed in 2023 as wholesale food prices and these other inflationary factors eased from 2022,” the USDA said, and it has declined further in 2024.

    How to trim Thanksgiving costs

    Consumers looking to save money on their Thanksgiving meal in 2024 can do so by toggling between store brands and name brands for certain grocery items, according to Wenzel of the Wells Fargo Agri-Food Institute.
    A menu of completely store-brand items to feed 10 friends and family members would yield a total savings of $17, according to a Wells Fargo analysis.

    Consumers often pay a premium for name-brand items, but that’s not true in all cases this year.
    For example, name-brand cranberries are cheaper than the store brand, on average, Wenzel said.
    “When shopping this year, it really comes back to doing a little bit of research,” Wenzel said.      More