This page recaps the key insights, discussions, and planning strategies shared during our Q1 2026 Lunch & Learn. Whether you attended the event or are reviewing the material for the first time, you’ll find a complete summary of what was covered and how these topics may fit into a broader financial plan.

Company Updates

We opened the session with updates on upcoming events and ways clients can stay connected throughout the year.

Upcoming Events and Opportunities

Our next Lunch & Learn is scheduled for Wednesday, April 22, 2026, at the Holiday Inn in Independence. Clients are always welcome to suggest future educational topics, and ideas can be shared by emailing Maddie@WASmithFinancial.com.

We also highlighted several upcoming opportunities to invite friends or family members to learn more about financial planning, including a Client Referral Event on Thursday, March 26, 2026, along with multiple public dinner seminars taking place on:

• Thursday, February 5, 2026
• Tuesday, February 10, 2026
• Tuesday, March 17, 2026
• Thursday, March 19, 2026

These events are designed to be educational, approachable, and informative.

A Look Back at a Holiday Favorite

For those who missed it, the 2025 Christmas video is still available to watch. This year’s theme was inspired by Christmas classics such as It’s a Wonderful Life, Elf, Die Hard, and Home Alone, and featured appearances by Jerry Masisak as “John McClain” and Zach Bush as “Ralphie.” The video can be viewed on our website.

Economic Update & Market Outlook

Navigating an Economy That Feels “Okay, but Uneasy”

Andrew Toccaceli and Coley Neel led a thoughtful discussion around the current economic environment, acknowledging what many investors are feeling today.

The economy appears stable on the surface, yet uncertainty remains. Markets have performed well, but confidence has not always kept pace with returns. In this environment, we emphasized the importance of discipline and perspective.

2025 Review and 2026 Expectations

We reviewed market performance from 2025 and shared expectations for 2026, including potential actions by the Federal Open Market Committee (FOMC) and insights from the Summary of Economic Projections (SEP).

While overall valuations remain elevated, performance has been driven largely by the top 10 stocks in the market. We discussed the widening gap between the so-called “Magnificent 7” and the rest of the index, reinforcing why portfolio construction and risk management matter more than chasing headlines.

Planning Strategies for Your Grandchildren

Thoughtful Ways to Build a Meaningful Legacy

A significant portion of the Lunch & Learn focused on strategies grandparents can use to support younger generations in intentional, tax-aware ways.

Strategy 1: 529 Plans

529 plans were discussed as a strong option for education-focused planning. These accounts allow for tax-deferred growth, with withdrawals generally tax-free at the federal level when used for qualified education expenses.

Key considerations included:

• The account owner maintains control
• Beneficiaries can be changed as plans evolve
• Multiple 529 plans can exist for the same child
• Funds may be used for college, certain K-12 tuition, vocational training, and trade schools
• Ohio residents may deduct up to $4,000 per beneficiary per year from Ohio taxable income
• Under SECURE Act 2.0, unused funds may be rolled into a beneficiary’s Roth IRA, subject to specific rules and lifetime limits

We walked through an example showing how contributing $4,550 per year for 10 years could grow to roughly $60,000, and how stopping contributions at age 10 could allow the balance to grow to approximately $95,630 by age 18.

Strategy 2: UTMA and UGMA Accounts

UTMA and UGMA accounts were presented as a more flexible option for general-purpose gifting. Assets can be used for nearly any expense that benefits the child, such as education, weddings, first homes, vehicles, or starting a business.

Important considerations included:

• Assets legally transfer to the child at the age of majority, which is 21 in Ohio, with the option to delay until age 25
• Broader investment flexibility than 529 plans
• Potential impact on financial aid eligibility
• Different tax treatment, including exposure to the “kiddie tax”

Combining Strategies

We also shared how combining planning tools can be effective. Using a monthly contribution of approximately $379, a family could potentially build:

• Around $95,000 in education-specific funds by age 18
• Approximately $68,120 in general-purpose assets by age 21

That totals roughly $163,750 per child, with the potential for significantly more if parents and grandparents coordinate their efforts.

Gifting Strategies

Giving With Intention While You’re Living

We concluded the session with a discussion on broader gifting and charitable planning strategies.

Annual Gift-Tax Exclusion

Individuals may gift up to $19,000 per recipient per year without filing a gift tax return. The current lifetime gift and estate tax exemption is $15 million per individual. Gifts may be made using cash or assets, though the tax impact depends on the source of funds.

Qualified Charitable Distributions (QCDs)

For individuals age 70½ or older, QCDs allow direct transfers from a traditional IRA to a qualified charity. These gifts can satisfy required minimum distributions while being excluded from taxable income, up to $100,000 per person per year.

Donor-Advised Funds (DAFs)

DAFs allow individuals to make charitable contributions now and distribute funds to charities over time. Contributions may be made using cash or appreciated assets, with potential tax benefits in the year of contribution. Assets inside the DAF can be invested and may grow before grants are made, though contributions are irrevocable.

Using Life Insurance as a Gifting Tool

Life insurance was also discussed as a way to leverage annual gifts into a larger, tax-efficient benefit for children or grandchildren when structured appropriately.

Want to Talk This Through?

If any of the strategies discussed here raised questions or sparked ideas, our team is happy to help. Whether you attended the event or are reviewing this recap for the first time, your advisor can walk through how these concepts may apply to your personal situation.

You’re always welcome to reach out to schedule a conversation or connect with our office for additional guidance.