Search found 215 matches

by panhead
Thu Dec 14, 2017 11:23 am
Forum: Investing - Help with Personal Investments
Topic: Reached 50X annual spending. Now what?
Replies: 56
Views: 5914

Re: Reached 50X annual spending. Now what?

At 50x any reasonable portfolio would have dividends & interest that would pay all of your expenses and likely a bit more, so your AA isn't so critical. The suggestions above are all reasonable. I'm younger and am almost at 33x spending and I'm sitting at 50/50. This is my "I don't know nuthin" port...
by panhead
Wed Dec 13, 2017 4:12 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable vs. Tax Deferred - not much difference?
Replies: 38
Views: 2325

Re: Taxable vs. Tax Deferred - not much difference?

Also, a big part of this is if your employer has a match. It's almost impossible to argue against investing enough to get the match in such a plan, unless you don't like free money. As a last point, if you have a workplace 401k, its hard to beat how easy it is to invest. Set your contribution rate ...
by panhead
Wed Dec 13, 2017 3:41 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable vs. Tax Deferred - not much difference?
Replies: 38
Views: 2325

Re: Taxable vs. Tax Deferred - not much difference?

What is your marginal tax bracket? What tax bracket to you plan to be in when you retire? The nice thing about 401k (and other deferred vehicles) is that they reduce your taxes at your marginal rate. So if you are in the 33% bracket, You are saving $330 in taxes for each $1000 you invest as long as ...
by panhead
Wed Dec 13, 2017 3:25 pm
Forum: Investing - Help with Personal Investments
Topic: I I have rollover IRA, do I need to make new traditional IRA for backdoor roth?
Replies: 7
Views: 485

Re: I I have rollover IRA, do I need to make new traditional IRA for backdoor roth?

If you are ever in a situation to roll another 401k int an IRA, I would not commingle the money I am in IT and the lifespan of a particular job can be somewhat short. Often under five years in my experience. I have an existing Vanguard Rollover 401K that I just keep adding money to whenever I leave...
by panhead
Wed Dec 13, 2017 2:56 pm
Forum: Investing - Help with Personal Investments
Topic: I I have rollover IRA, do I need to make new traditional IRA for backdoor roth?
Replies: 7
Views: 485

Re: I I have rollover IRA, do I need to make new traditional IRA for backdoor roth?

The old Ira would remain open, just have zero dollars in it. It is ok to use the old account for new contributions. If you are ever in a situation to roll another 401k int an IRA, I would not commingle the money, but since the balance would be zero and you will be doing backdoor roths, just using t...
by panhead
Wed Dec 13, 2017 11:49 am
Forum: Investing - Help with Personal Investments
Topic: How to get some taxable income out of a 401k quickly
Replies: 18
Views: 1027

Re: How to get some taxable income out of a 401k quickly

Tashina, If you are trying to create income on your tax return, but dont need the cash, I think doing the rollover to an ira, and then converting the 10k to a roth accomplishes that. If you can do that in one step instead of two, even better. I would suggest if you do this, to do it at fidelity sin...
by panhead
Tue Dec 12, 2017 8:54 am
Forum: Investing - Theory, News & General
Topic: Any of you trade just a little as a hobby?
Replies: 57
Views: 4950

Re: Any of you trade just a little as a hobby?

I used to do this in my Roth IRA with a small amount of $$, but I stopped due to a realization of the amount of work this would actually take to even have the possibility of being successful. In the end, if I recall correctly, I think I about broke even, ie, I would have been better holding the mark...
by panhead
Sat Dec 09, 2017 3:09 pm
Forum: Personal Consumer Issues
Topic: Save all this money, what do you splurge on?
Replies: 174
Views: 12845

Re: Save all this money, what do you splurge on?

1) 1969 Camaro SS350 4 speed 2) 1970 Nova SS396 4 speed 3) Hunting cabin with land When I am driving one of these cars or relaxing at my cabin all my stress is gone We could be related. Change the Camaro to a firebird and the Nova to a Mopar and the Hunting cabin to a lakehouse, and add in a motorc...
by panhead
Sat Dec 09, 2017 2:41 pm
Forum: Investing - Theory, News & General
Topic: Just not getting it
Replies: 82
Views: 10774

Re: Just not getting it

(eg AMAT, MU, FB, GOOG, NFLX, NVDA, BA, AAPL) to ITOT (total market), they all come out ahead at 1, 2, 5, and 10 year time frames (GOOG the exception at 2 year time frame). Not a few of them. Every single one. And not just by a little. By multiples of 4 to 10+ times greater. The BH argument, I assu...
by panhead
Fri Dec 08, 2017 7:09 am
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

spectec wrote:
Thu Dec 07, 2017 11:08 pm
Maybe he's planning to take a long, long look at 2014, since the statute of limitations on it expires in 4 months (unless you originally filed an extension). :)
Maybe?! :sharebeer
by panhead
Fri Dec 08, 2017 7:08 am
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

Billionaire wrote:
Fri Dec 08, 2017 6:27 am
I work for the IRS. Thanks for the heads-up. I'll be looking for your amended 2016 return.
That explains your screen name! :happy
by panhead
Thu Dec 07, 2017 7:22 am
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

Thanks for all of the replies and suggestions. My CPA called me back last night and we discussed the returns and what happened. He is a partner in this firm and he primarily does the reviews not the actual returns as he has staff for that. He instantly saw the mistakes and what I was talking about a...
by panhead
Thu Dec 07, 2017 7:11 am
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

There was a similar topic on the forum recently. I always suggest amending all the returns. Otherwise, your sleep will be impacted. Yes, I'm either going to do this or do nothing. I'll decide after speaking to my CPA. Never again. I'm with you, from now on, I'm going to do my own taxes. I would get...
by panhead
Thu Dec 07, 2017 7:11 am
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

On a related note, if you've already figured out the problem, I found filing the amendment to be far easier than what my imagination had led me to believe. Over the years I've done this at least thrice, once when I owed and twice when IRS owed. The whole process was surprisingly smooth each time. I...
by panhead
Wed Dec 06, 2017 4:30 pm
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

Amending a return is fairly simple. You can learn and do it yourself. On Form 1040X, be sure to clearly explain the reason for amending the return. Include a table that have 3 columns: "as original filed", "as filed", and "difference" to show your calculation. You will need to recalculate your AMTI...
by panhead
Wed Dec 06, 2017 4:29 pm
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

I had to deal with an issue that crossed tax years. The problem in year 1 was incorrectly corrected in year 2 by my CPA. If you look across both years, it's a wash, but if you at each year individually, and strictly follow the rules, there was a potential for underpayment fees and penalties. Worst,...
by panhead
Wed Dec 06, 2017 4:27 pm
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

My experience is that the IRS will take three years to figure out that you underpaid, then will send you a very large bill that isn't correct (They have a tendency to calculate everything assuming a cost basis of $0). Then you will need to amend anyway, to show them where their error is and calcula...
by panhead
Wed Dec 06, 2017 4:26 pm
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

Are you certain that you know the correct treatment of RSU and ESPP? Did you have a discussion with your CPA and both agree that your returns were done incorrectly? Collect all the facts: grant date, vesting schedule, signed documents, whether Section 83(b) election was made, how much was included ...
by panhead
Wed Dec 06, 2017 2:40 pm
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

On a related note, if you've already figured out the problem, I found filing the amendment to be far easier than what my imagination had led me to believe. Over the years I've done this at least thrice, once when I owed and twice when IRS owed. The whole process was surprisingly smooth each time. I...
by panhead
Wed Dec 06, 2017 12:34 pm
Forum: Personal Consumer Issues
Topic: Do people still use AAA?
Replies: 181
Views: 10928

Re: Do people still use AAA?

I cancelled AAA few years ago and instead added "emergency road service" to Geico. The savings is quite signficant. AAA costs about $56/year while Geico only $4.80. And if my credit card provides this service for free, I will even drop Geico. Few months ago, I got stranded on the highway. Called Ch...
by panhead
Wed Dec 06, 2017 12:30 pm
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

Personally, I would forget about all the amending and just do it yourself going forward. The cost (in time) to you would likely be over $1,000. I spent a lot of time helping someone else out who had botched returns in the past, done by a CPA. After doing all the calculations correctly and researchi...
by panhead
Wed Dec 06, 2017 12:11 pm
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

There was a similar topic on the forum recently. I always suggest amending all the returns. Otherwise, your sleep will be impacted. Yes, I'm either going to do this or do nothing. I'll decide after speaking to my CPA. Never again. I'm with you, from now on, I'm going to do my own taxes.
by panhead
Wed Dec 06, 2017 12:04 pm
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

Are you certain that you know the correct treatment of RSU and ESPP? Did you have a discussion with your CPA and both agree that your returns were done incorrectly? Collect all the facts: grant date, vesting schedule, signed documents, whether Section 83(b) election was made, how much was included ...
by panhead
Wed Dec 06, 2017 11:21 am
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

Provided that statement was true at the time the taxpayer signed the return, then he has done nothing wrong. There is nothing in the statement that obligates the taxpayer to amend the return if new information comes to light at a later time. There is considerable discussion within the tax preparati...
by panhead
Wed Dec 06, 2017 9:19 am
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

File all the incorrect returns. It won't look good if you only file returns where you were due a refund because clearly you could see the error. Copy your CPA, get a refund of his fees and reimbursement of any penalty. Yeah, I'm leaning toward this though its a lot of work. I seriously doubt I will...
by panhead
Wed Dec 06, 2017 9:18 am
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Re: Worth it to Amend incorrect CPA prepared tax returns?

I am not an expert but I believe if you know that a return that has been filed is incorrect you have a legal obligation to amend and correct the error if the original return understates your tax liability. To ignore it hoping that they don't detect it would seem to me to constitute fraud. I also th...
by panhead
Wed Dec 06, 2017 7:38 am
Forum: Personal Finance (Not Investing)
Topic: RSUs: Restricted Stock and taxation
Replies: 13
Views: 841

Re: RSUs: Restricted Stock and taxation

I forgot one very important point: the cost basis is reported as -0- on my 1099 and it is not reported to the IRS. This is what led me to believe I had to determine it per share from the statement of income that my company provides. I have now seen that my brokerage on its website shows the "adjust...
by panhead
Wed Dec 06, 2017 7:28 am
Forum: Personal Finance (Not Investing)
Topic: Worth it to Amend incorrect CPA prepared tax returns?
Replies: 33
Views: 1850

Worth it to Amend incorrect CPA prepared tax returns?

I've been posting questions lately about problems I've found with my tax returns over the last three years prepared by my CPA. Going forward I will be doing my own returns, but I am trying to decide if it is worth it to try to amend the previous returns. The first two years (2014/15) The return mish...
by panhead
Tue Dec 05, 2017 3:19 pm
Forum: Personal Finance (Not Investing)
Topic: RSUs: Restricted Stock and taxation
Replies: 13
Views: 841

Re: RSUs: Restricted Stock and taxation

Tax software allows adjustments to cost basis if the 1099 is not correct. Yes, I've been playing with different flavors of the software and noticed you can either enter the basis or make an adjustment to it. I understand which way you enter it affects the underlying forms which I need to understand...
by panhead
Tue Dec 05, 2017 12:04 pm
Forum: Personal Finance (Not Investing)
Topic: RSUs: Restricted Stock and taxation
Replies: 13
Views: 841

Re: RSUs: Restricted Stock and taxation

$1000 W-2 income with $400 withheld for taxes (all this will be on W-2) $600 Cost basis w/ $25 short term loss (1099, schedule D) Number of shares is not very meaningful for filling out tax forms or budgeting. I forgot one very important point: the cost basis is reported as -0- on my 1099 and it is...
by panhead
Tue Dec 05, 2017 11:58 am
Forum: Personal Finance (Not Investing)
Topic: RSUs: Restricted Stock and taxation
Replies: 13
Views: 841

Re: RSUs: Restricted Stock and taxation

Thanks everybody, looks like I understand it correctly then. If only my CPA did..... If your CPA doesn't understand this, I'd seriously consider finding a new CPA. They're supposed to be explaining it to you . I had another thread about how my partnership return was incorrect, this is what led me t...
by panhead
Tue Dec 05, 2017 11:49 am
Forum: Personal Finance (Not Investing)
Topic: RSUs: Restricted Stock and taxation
Replies: 13
Views: 841

Re: RSUs: Restricted Stock and taxation

Thanks everybody, looks like I understand it correctly then.
If only my CPA did.....
by panhead
Tue Dec 05, 2017 10:00 am
Forum: Personal Finance (Not Investing)
Topic: RSUs: Restricted Stock and taxation
Replies: 13
Views: 841

RSUs: Restricted Stock and taxation

I've researched this topic through this board and some other sites but would like to make sure I understand it correctly with the way my company reports this transaction. The way my company reports this initially is a pay correction pay stub. If my RSU plan says I get 100 shares and at the time of v...
by panhead
Tue Dec 05, 2017 7:44 am
Forum: Personal Finance (Not Investing)
Topic: Mortgage is About To Be Paid - I'm Scared!
Replies: 43
Views: 5680

Re: Mortgage is About To Be Paid - I'm Scared!

When I started, I put everything to my student loans. The day they left me, I was thrilled. Then I went after the mortgage. It will be paid in about one year. At that moment, I will not have any debt and I will most likely never have any debt again. This is going to be a huge point of change. I am ...
by panhead
Mon Dec 04, 2017 12:48 pm
Forum: Personal Consumer Issues
Topic: How to convince DW that high miles used car is OK
Replies: 106
Views: 6671

Re: How to convince DW that high miles used car is OK

If you live in the rust belt this is simply not true unless you replace your car every three to four years. I've even seen truck frames rust out in 5 years and be structurally unsafe. If you are not going to oil undercoat your car every year, at least run it through a good undercarriage wash after ...
by panhead
Mon Dec 04, 2017 7:42 am
Forum: Personal Consumer Issues
Topic: How to convince DW that high miles used car is OK
Replies: 106
Views: 6671

Re: How to convince DW that high miles used car is OK

I have owned 2 cars whose brake lines failed under 150,000 miles. Its a serious shock to put your foot on the brake and it hits the floor as you keep going! Unless you like the feeling of your stomach moving up your throat its not worth the "thrill". How to prevent this from happening? Just buy a n...
by panhead
Mon Dec 04, 2017 7:37 am
Forum: Investing - Help with Personal Investments
Topic: 401k in plan rollover vs. mega backdoor Roth
Replies: 15
Views: 975

Re: 401k in plan rollover vs. mega backdoor Roth

This can become very complex. ....This is another reason to favor the Roth IRA for such rollovers if the plan permits... Alan S said so... that's good enough for me to keep doing my rollover to Roth IRA instead of to a Roth 401k. I agree! Thanks again Alan for shining some light on the lesser known...
by panhead
Sun Dec 03, 2017 9:31 am
Forum: Investing - Help with Personal Investments
Topic: 401k in plan rollover vs. mega backdoor Roth
Replies: 15
Views: 975

Re: 401k in plan rollover vs. mega backdoor Roth

Has anyone on here done an in plan 401k rollover of after tax contributions to a Roth account within the same plan as per IRS notice 2013-74? I was preparing to do a mega backdoor Roth when I stumbled across a paragraph in my summary plan description document that indicated it was possible to roll ...
by panhead
Sun Dec 03, 2017 8:21 am
Forum: Personal Consumer Issues
Topic: How to convince DW that high miles used car is OK
Replies: 106
Views: 6671

Re: How to convince DW that high miles used car is OK

I have owned 2 cars whose brake lines failed under 150,000 miles. Its a serious shock to put your foot on the brake and it hits the floor as you keep going! Unless you like the feeling of your stomach moving up your throat its not worth the "thrill". How to prevent this from happening? Have your ca...
by panhead
Sun Dec 03, 2017 8:00 am
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

From IRS pub 534, the definition of listed property: Listed Property Defined Listed property is any of the following. 1.Any passenger automobile (defined later). 2.Any other property used for transportation. 3.Any property of a type generally used for entertainment, recreation, or amusement (includi...
by panhead
Sat Dec 02, 2017 3:41 pm
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

I believe Form 4562 is required if any depreciation is claimed, not just new assets. Since rentals commonly involve structures that are depreciated over long periods, they would be included. From Form 4562 Instructions: From Form 4562 Instructions: Who Must File Except as otherwise noted, complete ...
by panhead
Sat Dec 02, 2017 2:00 pm
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

Thanks again to everybody who replied and helped me to understand what was done and verify the correct way to file the partnership going forward! I really hate it when I pay good money to the "experts" and things still aren't done correctly.
by panhead
Sat Dec 02, 2017 1:58 pm
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

If the net income reported on the partners' K-1s was accurate, then there is no compelling reason to amend. Just have the 1065 prepared correctly going forward. If one amends, I believe the Statue of Limitations for audit is reset again. This too is interesting and is yet another good reason for me...
by panhead
Sat Dec 02, 2017 1:57 pm
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

abuss368 wrote:
Sat Dec 02, 2017 11:38 am
MarkNYC wrote:
Sun Nov 26, 2017 5:13 pm
If the net income reported on the partners' K-1s was accurate, then there is no compelling reason to amend. Just have the 1065 prepared correctly going forward.
Agreed.
Yup, this is exactly my plan!
by panhead
Sat Dec 02, 2017 1:56 pm
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

- your CPA likely misentered the number on the wrong line, as real estate income should flow through from 8825 to line 2 on that form not to line 3a/3b. 8825 is where your expenses should be entered, which should take input from 4562 for depreciation of the real estate assets. I just went through t...
by panhead
Sat Dec 02, 2017 1:55 pm
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

You'll also want to refile your 2014 & 2015 returns...I would likely ask your current CPA to do those and 2016 amendment for free and then plan to find another CPA for tax year 2017, as it will be like pulling teeth to get money back from the previous CPA to hire a new. I have seen CPAs literally m...
by panhead
Sat Dec 02, 2017 11:09 am
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

I got a call from my accountant the other day and he verified that the partnership rental income was done incorrectly. He completely understood the forms and the issue I was asking about and was surprised that this got missed during the review they do of the returns. I have found some other mistakes...
by panhead
Sun Nov 26, 2017 7:18 pm
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

If the net income reported on the partners' K-1s was accurate, then there is no compelling reason to amend. Just have the 1065 prepared correctly going forward. Thanks for the input. This is what I'm currently thinking. There are only two of us partners and the income/loss reported on the k1's woul...
by panhead
Sun Nov 26, 2017 9:32 am
Forum: Personal Finance (Not Investing)
Topic: IRS form 1065 help: rental property in a partnership
Replies: 25
Views: 1118

Re: IRS form 1065 help: rental property in a partnership

- your CPA likely misentered the number on the wrong line, as real estate income should flow through from 8825 to line 2 on that form not to line 3a/3b. 8825 is where your expenses should be entered, which should take input from 4562 for depreciation of the real estate assets. I just went through t...