Happy Friday! I (Noah) think there is a very good chance Judah will go past the due date (tomorrow). But for Jenny’s sake, I hope not. The most common guesses are from the 12th to the 15th. If you want to try and guess, send me an email. Let's dive into a two-minute look at the economy, an interesting story, and a financial planning secret.
📊 Economy – The Fed Walks a Tightrope
The Federal Reserve kept rates steady at 4.25%–4.5% this week, warning that sustained tariffs could lead to higher inflation, slower growth, and rising unemployment. Despite strong hiring and spending, consumer confidence is low, and businesses are cautious.
Meanwhile, the White House is negotiating new trade deals to ease the pressure. After reaching an agreement with the UK, President Trump is now working on a similar deal with Europe, potentially reducing tariffs and expanding market access. The Fed is waiting to see if these moves provide stability or if uncertainty will continue to weigh on the economy.
🌍 Interesting Stories – An American Pope
Robert Francis Prevost, a Chicago native, was elected as the first-ever American pope, taking the name Leo XIV. The 69-year-old is also a Peruvian citizen and fluent in five languages, making him a natural bridge-builder in the global Catholic Church. In his first remarks, Pope Leo XIV emphasized peace and building bridges.
💡Financial Planning Secret – It’s Not Just $19,000
A common misconception we hear as financial advisors is that you can only give away $19,000 per person annually, but that’s just the annual gift tax exclusion. In reality, the federal lifetime gift and estate tax exemption is $13.99 million per person in 2025 (and set to drop in half next year). This allows far more flexibility for strategic wealth transfers. Why does this matter for Washington residents? Washington has a separate estate tax, with a much lower exemption, just $2.193 million. That means strategic lifetime gifting could significantly reduce your future Washington estate tax bill.
To talk with a Spokane financial advisor, schedule a no-cost, no-commitment discovery call today.
About the Author
Noah Schwab CFP® is a financial advisor in Spokane, Washington, specializing in helping retirees with 401k Roth conversion strategies.
- Fiduciary. No commission, no insurance products
- Offering investment management and financial planning
