Search found 3809 matches

by kaneohe
Mon Jan 16, 2017 11:43 pm
Forum: Personal Finance (Not Investing)
Topic: IRS estimated payment - be careful of due date if paying online
Replies: 12
Views: 1084

Re: IRS estimated payment - be careful of due date if paying online

Try calculating 4% interest on your payment. I think that's your penalty....interest based on days late so for 1 day, you might sleep a bit better. :happy
by kaneohe
Mon Jan 16, 2017 7:36 pm
Forum: Personal Finance (Not Investing)
Topic: A basic question about MAGI
Replies: 10
Views: 625

Re: A basic question about MAGI

if you lose that precious link.........here's an easy one to find if you just google "IRMAA" https://www.ssa.gov/pubs/EN-05-10536.pdf (this is the same one MtnBiker cited) on p.5 you will find: *********************************************************** How does Social Security determine i...
by kaneohe
Mon Jan 16, 2017 7:15 pm
Forum: Personal Finance (Not Investing)
Topic: Very confused with W4 Allowances
Replies: 21
Views: 1314

Re: Very confused with W4 Allowances

All the .gov W4 worksheets and web wizards do nothing for me. These days I do it like this: 1. File taxes 2. If I paid too much or too little, adjust accordingly (ie raise or lower the allowances) Right now I have 40 for California, 18 for Federal :annoyed I've asked our payroll dept for guidance h...
by kaneohe
Mon Jan 16, 2017 6:01 pm
Forum: Personal Finance (Not Investing)
Topic: A basic question about MAGI
Replies: 10
Views: 625

Re: A basic question about MAGI

The MAGI used is line 37 of Form 1040 increased by any tax exempt income on Line 8b. It does include the taxable portion of SS (from 0 to 85%) from Line 20b. pshonore is correct. If you truly "know" that 85% of SS is taxed (20b/20a) , then 85% of SS is included in MAGI..........but do you...
by kaneohe
Mon Jan 16, 2017 3:00 pm
Forum: Investing - Help with Personal Investments
Topic: How does maxing out Roth IRA work?
Replies: 13
Views: 1230

Re: How does maxing out Roth IRA work?

CAsage used the term "recharacterize". That means to change the character of the contribution from Roth to TIRA (or the opposite). If you originally contributed to a Roth, if you recharacterize you will end up w/ a TIRA....but non-deductible due to income. You suggested you were not intere...
by kaneohe
Sun Jan 15, 2017 9:57 am
Forum: Personal Finance (Not Investing)
Topic: Roth IRA and Retirement Questions
Replies: 5
Views: 545

Re: Roth IRA and Retirement Questions

seconding retiredjg's thought that Roths can be "touched" early. Here is a small portion of a table by kawill from the fairmark.com site: You can withdraw (original) contributions at any time w/o tax or penalty. If you do a "real" backdoor Roth ( with no taxable portion ) convers...
by kaneohe
Sat Jan 14, 2017 1:57 pm
Forum: Personal Finance (Not Investing)
Topic: Help with taxes
Replies: 27
Views: 1827

Re: Help with taxes

Assuming you know your income for the yr and that you calculate the tax correctly, you should be able to withhold the correct amount by periodically checking your YTD withholding and your expected withholding for the rest of the yr. If you find you are not withholding enough, one of the easier ways ...
by kaneohe
Fri Jan 06, 2017 10:40 pm
Forum: Personal Finance (Not Investing)
Topic: Estimated taxes
Replies: 16
Views: 1402

Re: Estimated taxes

............................................... 3. You owe less than $1,000 when you file in mid-April. If your total tax outstanding is less than this amount, you don't have underpayment penalties. Basically, you can get a $1,000 interest-free loan from the IRS every year if you wish. ...............
by kaneohe
Thu Jan 05, 2017 3:54 pm
Forum: Personal Finance (Not Investing)
Topic: Estimated taxes
Replies: 16
Views: 1402

Re: Estimated taxes

..................... I paid $9281 in total taxes for 2015 and if I put the $1250 in estimated this month, looks like total will be $8568 so I will remember need to be sure pay in at least what paid previous year (.......................... I don't understand this........you said you paid $1250 eac...
by kaneohe
Thu Jan 05, 2017 1:04 pm
Forum: Personal Finance (Not Investing)
Topic: Estimated tax payments on long term cap gain, with half of last years income
Replies: 8
Views: 528

Re: Estimated tax payments on long term cap gain, with half of last years income

yes , you can do 4 = payments of est. tx aiming for >90% of this yrs tax or you can increase withholding on the one salary or some combo of the 2.
http://fairmark.com/estimate/est101.htm
by kaneohe
Thu Jan 05, 2017 10:44 am
Forum: Investing - Help with Personal Investments
Topic: IRA Withdrawal+Rollover...Did I make a big OOPS?
Replies: 5
Views: 332

Re: IRA Withdrawal+Rollover...Did I make a big OOPS?

You should be fine...........just don't do an indirect rollover like you did within 12mos (not a calendar yr). You didn't do something similar within the previous 12 mos?
by kaneohe
Thu Jan 05, 2017 10:39 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard can't figure out how to do a simple Roth recharacterization - help!
Replies: 3
Views: 392

Re: Vanguard can't figure out how to do a simple Roth recharacterization - help!

Did you have other stuff in this Roth IRA besides the shares you wanted recharacterized. That complicates things a bit but it is a standard procedure. Maybe the folks who put in the order don't know how to calculate that and so the other folks say it is wrong. Perhaps it it is time to escalate this ...
by kaneohe
Wed Jan 04, 2017 4:03 pm
Forum: Personal Finance (Not Investing)
Topic: How to calculate the IRA Deduction Limits
Replies: 17
Views: 550

Re: How to calculate the IRA Deduction Limits

If you are covered but your spouse is NOT they can contribute fully and you can do a Roth. Which is what we do, Less complicated What is the IRS definition of covered? we both have the option to contribute to our 401K but we never did (only roth ira contribution since no match). Is that still consi...
by kaneohe
Wed Jan 04, 2017 3:51 pm
Forum: Personal Finance (Not Investing)
Topic: How to calculate the IRA Deduction Limits
Replies: 17
Views: 550

Re: How to calculate the IRA Deduction Limits

Typically the few times in the past when this has affected me, I have found a simple linear relationship between the amount allowed/disallowed and the full amount allowed.........e.g. if you get a full deduction at 99K and no deduction at 119K (for TIRA MAGI), then you would get half the deduction a...
by kaneohe
Wed Jan 04, 2017 11:02 am
Forum: Investing - Help with Personal Investments
Topic: Indirect Rollover - 1099-R in 2016 but 5498 in 2017?
Replies: 2
Views: 124

Re: Indirect Rollover - 1099-R in 2016 but 5498 in 2017?

Can someone help clarify what I'm supposed to do. I took a distribution from my Roth IRA in Dec 2016 and it will go back into the Roth IRA in Jan 2017. Wouldn't that mean the broker will issue a 2016 1099-R to code the distribution, but a 2017 5498 form to account for the money going back in? So wh...
by kaneohe
Tue Jan 03, 2017 7:31 pm
Forum: Personal Finance (Not Investing)
Topic: $300 CitiBank Bonus - Deadline 1/12/17
Replies: 9
Views: 1361

Re: $300 CitiBank Bonus - Deadline 1/12/17

I guess that's just how my simple-minded brain thinks. If I get a 3% CD for 6 mos. and then put it a 1% savings account for 6 mos. that's how I think about it. In a similar manner for the Citi offer, I think of it as 24% for 1 mo. and 1% for 11 mos. in the savings account. Maybe I should be a Citi s...
by kaneohe
Tue Jan 03, 2017 11:05 am
Forum: Personal Finance (Not Investing)
Topic: Help With Math & Savers Credit
Replies: 35
Views: 2276

Re: Help With Math & Savers Credit

Good advice from teen persuasion. I would encourage OP to play around w/ F8880 (just a few lines involved) so that you understand how this works. Also the 1040 so you understand AGI. It would be a shame to be $1 on the wrong side of a threshold and have your multiplier drop by a factor of 2.
by kaneohe
Tue Jan 03, 2017 1:44 am
Forum: Personal Finance (Not Investing)
Topic: $300 CitiBank Bonus - Deadline 1/12/17
Replies: 9
Views: 1361

Re: $300 CitiBank Bonus - Deadline 1/12/17

pascal wrote:
kaneohe wrote:
Eurookat wrote:Geez move $15k and hold it there for $300?


24% for 30 days............


:D Dude, thats 2% not 24%


annualized
by kaneohe
Mon Jan 02, 2017 10:34 pm
Forum: Personal Finance (Not Investing)
Topic: $300 CitiBank Bonus - Deadline 1/12/17
Replies: 9
Views: 1361

Re: $300 CitiBank Bonus - Deadline 1/12/17

Eurookat wrote:Geez move $15k and hold it there for $300?


24% for 30 days............
by kaneohe
Mon Jan 02, 2017 10:32 am
Forum: Investing - Help with Personal Investments
Topic: Current Social Security Taxation Rules
Replies: 4
Views: 668

Re: Current Social Security Taxation Rules

................................................ His estimate is $17,208 annually. So he can safely have $16,396 of other incomes during retirement and not pay a cent on his Social Security, correct? He will have a Pension, $2,870 annually, and has a Traditional 401k with 120k. .......................
by kaneohe
Sun Jan 01, 2017 3:22 pm
Forum: Personal Finance (Not Investing)
Topic: Help With Math & Savers Credit
Replies: 35
Views: 2276

Re: Help With Math & Savers Credit

If you had the same retirement plan in 2015, you can check your W2 for 2015. Look at the amount in Box 1 and see if it agrees with your idea of what your salary is. If Box 1 is less than what you think your "bragging" salary is by the amount of your 401K contribution, then your salary was ...
by kaneohe
Sat Dec 31, 2016 4:08 pm
Forum: Personal Finance (Not Investing)
Topic: Help With Math & Savers Credit
Replies: 35
Views: 2276

Re: Help With Math & Savers Credit

You need to understand this form also https://www.irs.gov/pub/irs-pdf/f8880.pdf along w/ the 1040. There are a few moving parts interacting here so it is critical that you understand the whole picture. In line 6 of F8880 , there is a 2K mentioned. That's the most that the credit is figured on. So if...
by kaneohe
Sat Dec 31, 2016 11:03 am
Forum: Personal Finance (Not Investing)
Topic: Any tax benefits in prepaying real estate tax for high earner? Pease and AMT worries
Replies: 7
Views: 691

Re: Any tax benefits in prepaying real estate tax for high earner? Pease and AMT worries

............................. What makes me worried is TaxCaster doesn't change when I mark my taxes at $8,000 or $16,000 Questions: 1) is taxcaster correct or is there a benefit for prepaying my 2017 taxes? ......................................! I'm guessing that Taxcaster does "change"...
by kaneohe
Sat Dec 31, 2016 10:38 am
Forum: Personal Finance (Not Investing)
Topic: Qualified Charitable Distribution: "public charity" definition
Replies: 15
Views: 584

Re: Qualified Charitable Distribution: "public charity" definition

Does one need a receipt? I have QCDs where I forwarded the check(s) asking for a receipt and got no response. Fido however did confirm the checks were received and cashed. I don't know if you need the receipts absolutely but they can't hurt. Every yr I get early birds who send receipts promptly and...
by kaneohe
Thu Dec 29, 2016 10:43 pm
Forum: Personal Finance (Not Investing)
Topic: Do the IRS standard deduction and personal exemption factor into MAGI?
Replies: 2
Views: 420

Re: Do the IRS standard deduction and personal exemption factor into MAGI?

definition of MAGI for TIRA deduction: https://www.irs.gov/publications/p590a/ch01.html#en_US_2016_publink1000230489 From the wksht you can see that certain adjustments (deductions) are added back to AGI making the MAGI possibly higher than AGI. From the 1040 adjustments section on p.1 (lines 23-35)...
by kaneohe
Thu Dec 29, 2016 10:04 am
Forum: Investing - Help with Personal Investments
Topic: IRA to ROTH Conversion in Advance of RMD
Replies: 14
Views: 1015

Re: IRA to ROTH Conversion in Advance of RMD

Speaking of taxes, 2 questions: 1) Fidelity is offering to withhold the necessary taxes on my conversion. Is there an advantage to doing so? 2) If she does bump into the 25% bracket with the conversion, will she be required to pay cap gains on all dividend/cap gain income? Or, similar to W2 income,...
by kaneohe
Wed Dec 28, 2016 10:18 am
Forum: Personal Finance (Not Investing)
Topic: Another Social Security question
Replies: 9
Views: 1126

Re: Another Social Security question

The SS earnings test is based on gross earned income, so that won't help. ................................ The SS booklet says: If you’re self-employed, we count only your net earnings from self-employment https://www.ssa.gov/pubs/EN-05-10069.pdf The question seems to be: Is the SEP contribution an...
by kaneohe
Wed Dec 28, 2016 9:37 am
Forum: Personal Finance (Not Investing)
Topic: Another Social Security question
Replies: 9
Views: 1126

Re: Another Social Security question

Have no idea but Sch C line 19 instructions have this: Line 19 Enter your deduction for the contributions you made for the benefit of your employees to a pension, profit-sharing, or annuity plan (including SEP, SIMPLE, and SARSEP plans described in Pub. 560). If the plan included you as a self-emplo...
by kaneohe
Wed Dec 28, 2016 8:47 am
Forum: Personal Finance (Not Investing)
Topic: Is it possible to undo a tIRA-->rIRA recharacterization?
Replies: 5
Views: 482

Re: Is it possible to undo a tIRA-->rIRA recharacterization?

not 100% sure so pls confirm ....but a recent thread here suggests that you can recharacterize a contribution only one time (don't recall the thread). If it is true that the recharacterization is as if you had originally contributed to the Roth, you might explore the possibility of withdrawing your ...
by kaneohe
Tue Dec 27, 2016 9:31 pm
Forum: Investing - Help with Personal Investments
Topic: withhold CA state taxes from vanguard capital gains?
Replies: 6
Views: 451

Re: withhold CA state taxes from vanguard capital gains?

So, if your withholding for 2016 is at least (i.e. more) 100% of what you owed in 2015 or 90% of what you owe now, I think you are safe. Unfortunately my total CA withholding for 2016 is less than 100% of what I owed in 2015. I should have planned ahead better and withheld at least that much, but I...
by kaneohe
Tue Dec 27, 2016 5:51 pm
Forum: Personal Finance (Not Investing)
Topic: Is my theory correct (Taxes and Tuition Reimbursement)
Replies: 3
Views: 476

Re: Is my theory correct (Taxes and Tuition Reimbursement)

Makes sense to me.......folks do a similar thing in bunching up expenses (like charitable contributions, property & income taxes) every other yr and taking the std deduction in the alternating yrs. Sounds like you can prepay if your school allows: From Pub 970 Prepaid expenses. Qualified educati...
by kaneohe
Tue Dec 27, 2016 2:43 pm
Forum: Personal Finance (Not Investing)
Topic: Maximizing credit card rewards, am I overthinking?
Replies: 15
Views: 1704

Re: Maximizing credit card rewards, am I overthinking?

Please, I am too old and lazy, don't be cryptic. This is not the maximum you can get but you can get some easy money with this set of cards. None of them have an annual fee. American Express Blue Everyday (no fee) 3% at supermarkets(not Walmart) Costco Visa for gasoline anywhere 4% (Requires Costco...
by kaneohe
Tue Dec 27, 2016 1:06 pm
Forum: Personal Finance (Not Investing)
Topic: Maximizing credit card rewards, am I overthinking?
Replies: 15
Views: 1704

Re: Maximizing credit card rewards, am I overthinking?

Does anyone know if you are a household member of amazon if you still get the 5% back (i.e. if its your credit card?) If you are the Prime member , you can get the Amazon Prime Store Card w/ it's 5% Amazon rewards. If you are not the Prime member, you get the Amazon Store Card which doesn't have th...
by kaneohe
Mon Dec 26, 2016 1:29 pm
Forum: Personal Finance (Not Investing)
Topic: Help With Math & Savers Credit
Replies: 35
Views: 2276

Re: Help With Math & Savers Credit

1)I believe that the taxes are larger than the credit (for the details originally given) because only one spouse contributed $4k (eligible for max $1k), rather than each spouse contributing $2k to be eligible for up to $2k. 2)Now given the changed details, it looks like OP may only be eligible for ...
by kaneohe
Sun Dec 25, 2016 7:56 pm
Forum: Personal Finance (Not Investing)
Topic: Help With Math & Savers Credit
Replies: 35
Views: 2276

Re: Help With Math & Savers Credit

kaneohe wrote: The numbers in a previous post in this thread (12/23) suggest that even if OP has a traditional 401K, OP would get the full benefit of that savers credit. The number is from tax software. Is that software incorrect? Your comments suggest that the Roth would be better. Or did I misund...
by kaneohe
Sun Dec 25, 2016 3:53 pm
Forum: Personal Finance (Not Investing)
Topic: Help With Math & Savers Credit
Replies: 35
Views: 2276

Re: Help With Math & Savers Credit

The numbers in a previous post in this thread (12/23) suggest that even if OP has a traditional 401K, OP would get the full benefit of that
savers credit. The number is from tax software. Is that software incorrect? Your comments suggest that the Roth would be better.
Or did I misunderstand?
by kaneohe
Sun Dec 25, 2016 8:34 am
Forum: Personal Finance (Not Investing)
Topic: Help With Math & Savers Credit
Replies: 35
Views: 2276

Re: Help With Math & Savers Credit

[quote="hushpuppy"]................................................................ Therefore, with the numbers you provided the use of a traditional 401k or IRA would be completely wasted and would result in potential future taxation that use of Roth type accounts would completely avoid. ...
by kaneohe
Fri Dec 23, 2016 11:55 pm
Forum: Personal Finance (Not Investing)
Topic: [Withdrew Roth IRA 2016 contributions, can they be redeposited?]
Replies: 8
Views: 816

Re: [Withdrew Roth IRA 2016 contributions, can they be redeposited?]

I believe that you had to make clear when you made the withdrawal that you were withdrawing current year contributions (as opposed to simply making a withdrawal ). You had to also withdraw any earnings on that contribution and declare them as taxable income. I'm not sure if you can do anything about...
by kaneohe
Fri Dec 23, 2016 11:11 am
Forum: Personal Finance (Not Investing)
Topic: Help With Math & Savers Credit
Replies: 35
Views: 2276

Re: Help With Math & Savers Credit

Form 8880 (Saver's Credit): 8) Enter the amount from Form 1040, line 38 Form 1040 Line 38 is AGI . Calculation of AGI uses, not your gross pay , but your pay after pre-tax contributions like 401K so you should be using 13600 as your Federal Gross income for your 1st job (shown on W2). Your 1st examp...
by kaneohe
Fri Dec 23, 2016 10:54 am
Forum: Personal Finance (Not Investing)
Topic: depositing checks over the $250k FDIC limit
Replies: 13
Views: 994

Re: depositing checks over the $250k FDIC limit

[quote="coalcracker" ] 1 )Is it a joint account? Then the limit is $500k. 2) Also, you could open a separate savings or money market account at the same bank. They are separately insured.[/quote] I am not sure if those are accurate statements. I encourage people to never have more than $2...
by kaneohe
Thu Dec 22, 2016 6:58 pm
Forum: Investing - Help with Personal Investments
Topic: Superfunding 529 Mistake
Replies: 6
Views: 1087

Re: Superfunding 529 Mistake

I'm not seeing where it explicitly tells you you must fill out form 709,................................... F709 instructions: For each of the 5 years, you report in Part 1 of Schedule A one-fifth (20%) of the amount for which you made the election. In column E of Part 1 (Schedule A) list the date ...
by kaneohe
Thu Dec 22, 2016 5:25 pm
Forum: Personal Finance (Not Investing)
Topic: Understanding AMT
Replies: 19
Views: 2147

Re: Understanding AMT

Qualified dividends and long-term capital gains. The marginal rate on these is 15% for most investors paying regular tax, but 22% in the phase-out range under the AMT, and 15% outside the phase-out. Thanks for giving me an idea of what triggers the AMT. To be clear, with regards to my example, I wo...
by kaneohe
Thu Dec 22, 2016 4:43 pm
Forum: Personal Finance (Not Investing)
Topic: Getting Non-deductible Traditional IRA basis to zero.
Replies: 15
Views: 1606

Re: Getting Non-deductible Traditional IRA basis to zero.

I believe that once you have RMDs, any QCD charitable contributions (up to 100k/year) only use the deductible portion, and leave the part with basis alone. This could help you concentrate the basis part and reduce the tax on any Roth conversion after a few years of that. I don't see any mathmatical...
by kaneohe
Thu Dec 22, 2016 1:22 am
Forum: Investing - Theory, News & General
Topic: Great CD Promo! Andrews FCU 84 mo 3.01%
Replies: 151
Views: 17368

Re: Great CD Promo! Andrews FCU 84 mo 3.01%

1) I asked Andrews FCU how to retitle from JTWROS to living trust. They said they needed a certified copy of the trust. How do you get a certified copy of the trust? 2) I received the ATM cards and then later the letter w/ the PINs and directions on how to change. After I typed in the ATM card numbe...
by kaneohe
Wed Dec 21, 2016 10:41 pm
Forum: Personal Finance (Not Investing)
Topic: Understanding AMT
Replies: 19
Views: 2147

Re: Understanding AMT

........................... 1) For 2016 rules, a married couple, no kids under 65, filling jointly, taking the standard deduction and person exemptions, could generate up to $20,700 in income and another $75,300 in long term capital gains leaving them with and AGI of $75,300 still under the $83,900...
by kaneohe
Wed Dec 21, 2016 1:44 pm
Forum: Personal Finance (Not Investing)
Topic: Understanding AMT
Replies: 19
Views: 2147

Re: Understanding AMT

kaneohe, I don't see an option for "View full report", but when I do turbo tax just above the taxes owed in big red numbers, there's a caption, "Estimated Amount Owed". There's a carrot next to it (^) that, when I click it, gives me the information you describe. Thanks, that was...
by kaneohe
Wed Dec 21, 2016 10:29 am
Forum: Personal Finance (Not Investing)
Topic: Understanding AMT
Replies: 19
Views: 2147

Re: Understanding AMT

You might have to look for the detailed report: ******************************************************************************************** Here is the normal ending for the HRBlock calculator: Your Summary ................................. What you should have paid in taxes:$2,100 ...................
by kaneohe
Tue Dec 20, 2016 4:27 pm
Forum: Investing - Help with Personal Investments
Topic: How To? - 529 vs Taxable Analysis
Replies: 22
Views: 1048

Re: How To? - 529 vs Taxable Analysis

I think the biggest point I would share is that 529 plans don't really "lock up your money" per se. You can take out the basis contributions without penalty if you needed access. No, you can't. It's only the Roth IRA that lets you do that. When you pull out money from a 529, you pull out ...
by kaneohe
Tue Dec 20, 2016 1:54 pm
Forum: Investing - Help with Personal Investments
Topic: How To? - 529 vs Taxable Analysis
Replies: 22
Views: 1048

Re: How To? - 529 vs Taxable Analysis

You can change the assumptions in this simple model to fit your situation. start w/ 100units (just to simplify math) 1) Put in 529. Get 100K deduction saving you 6% or 6 units. Basically you start out w/100 units in529 and 6 units in a taxable side fund. Assume the investments double over your time ...

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