dsmWealth: January 2, 2025

Turns out, Hopper can really sing. So can Mr. Potato Head, Clawdia the Lobster, Happy Hippo and an expanding cast of costumed characters who entertain crowds at “Unmasking the Singer,” a lighthearted fundraiser for the Salvation Army. It’s a local take on “The Masked Singer” on TV.

This year’s “Unmasking the Singer” event, hosted by Steve Berry, is scheduled for 6 p.m. Feb. 22 at Hoyt Sherman Place. (Admission is $30, with VIP tickets for $100.)

Here’s how it works: The Salvation Army recruits local celebrities to perform in costume. Folks in the audience don’t know who’s inside that penguin outfit or spooky Michael Myers mask, but they can vote for their favorites by scanning a QR code in their programs. Each scan counts as one vote and costs $1.

These are not exactly karaoke performances, but they feature the performers’ own voices. Each competitor performs to a song he or she prerecorded, since the masks tend to muffle the sound. Apparently, it can be hard to make yourself understood if you’re wearing a Hunny Bunny costume.

A panel of judges oversees the fun and offers some color commentary. At the end of the program, after all the votes are counted, the winning singer takes off his or her mask to reveal his or her identity. The 2023 winner was State Rep. and former Congressman David Young, disguised as Freddy Krueger.
Tamyra Harrison, the Salvation Army’s development coordinator, said the idea for the event came to her after watching something similar in Quincy, Illinois. It seemed like a novel way to raise money for a good cause. “It’s something fun to do that’s not a banquet,” she said.

Each of the previous events, in 2022 and 2023, raised more than $50,000. The Salvation Army puts those proceeds to immediate use at its food pantry and through its rent and utility assistance programs, which are in especially high demand during the winter. The nonprofit also runs a summer camp, as well as youth and adult programs year-round.

In 2024, the Salvation Army served more than 47,000 people in Greater Des Moines, according to the nonprofit's own records. It provided more than $11,000 in utility assistance and more than $64,000 in rent and mortgage assistance. It also served some 32,000 breakfasts from its mobile canteens, as well as distributed $25,000 in gift cards for food and more than 10,000 toys to area kids.

Proceeds from “Unmasking the Singer” buttress the local Salvation Army’s finances, which rely heavily on the Red Kettle Campaign. This season, volunteers rang as hard as they could, but the nonprofit leaders have extended their deadline to Jan. 31 to reach their fundraising goal.

Iowa's income taxes dropped with the ball on New Year's Eve
BY STEVE DINNEN

Happy new year, Iowans: Your government is celebrating by taking another step in its march toward a flat income tax.

For the taxes you’ll pay in 2026 for income earned in 2025, the new rate is 3.8%. That’s a one-third drop from the 5.7% rate in 2024.

The impact on W-2 wage earners will be felt immediately, as withholding for the new rate kicked in right on Jan. 1.

Tax watchers say Iowa now has the sixth lowest income tax in the country — not including the nine states, including neighboring South Dakota, that collect no income taxes at all.

The new change is a remarkable decrease from the top rate of 8.98% just three years ago. That placed Iowa among the top 10 highest taxing states. Back then, the state used nine separate brackets in its graduated income scale.

Iowa first implemented a state income tax rate in 1934, when it ranged from 1% to 5%. The top tax rate fell briefly below the current flat tax rate in 1953, when it was trimmed to 3.75%.

Will Iowa eliminate state income taxes? That’s a question for lawmakers. There are indications that lawmakers may tinker with property taxes in the upcoming legislative session.

Americans over 80 share financial wisdom and regrets
BY VERONICA DAGHER FOR THE WALL STREET JOURNAL

Sue Jones thought she had more than enough money to live on when she was in her 50s. She wasn’t counting on living to her 90s.

The 91-year-old resident of Lewisburg, Tennessee, and her late husband, Ewell Jones, saved about $50,000 in a retirement account in addition to his roughly $2,900-a-month pension and Social Security. Her income no longer covers her rising bills. She was in and out of the hospital several times this year, racking up medical bills and prescription-drug copays. Her children are helping with expenses.

“I planned to die at a more normal age, but that’s not what God had in store,” she said.

These days, there is a lot of life to live after the traditional retirement age. The average American life expectancy at birth is nearing 80 years, according to the World Bank. That is almost a decade longer than it was when people approaching 65 were born. Some make it a lot longer.

It is scrambling the calculations around how to budget — and how to splurge. What people plan for at 50 years old often isn’t how life plays out over the following decades.

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You're retired. What's the best way to withdraw your savings?
BY BRIAN J. O'CONNOR FOR THE NEW YORK TIMES

Here’s the first thing to remember about withdrawing retirement money: It’s all about the cash flow.
The second thing? You might want to get some help managing it.

America is hitting a phase some experts call "Peak 65," with more than 4 million people turning 65 in 2024, 2025 and 2026. According to one survey, that’s an average of 11,200 people every day each of those years. Whether they’re retiring or getting ready to retire, a huge number of workers will need to significantly change how they think about their finances.

After decades of building a nest egg, retirees must suddenly switch to making sure that money lasts for nearly 30 years — or even longer.

“While you’re working, what we prioritize is building net worth over time, aiming for the highest net worth possible,” said Mike Crews, a certified financial planner and chief executive of North Texas Wealth Management in Allen, Texas. “When you retire, it’s no longer about that, it’s realizing that retirement is all about cash flow. That’s a total mind shift for people.”

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