Search found 331 matches

by teen persuasion
Thu Oct 19, 2017 7:23 am
Forum: Investing - Help with Personal Investments
Topic: Shift from Roth to 401k?
Replies: 3
Views: 346

Re: Shift from Roth to 401k?

Where are you in the 15% bracket? IOW, would shifting to traditional 401k contributions lower your AGI enough to get you in range for the Retirement Saver's credit, or EITC? What about state tax avoided, and possibly state tax credits (my state matches EITC at 30%, for another boost)? I've learned t...
by teen persuasion
Mon Oct 16, 2017 9:49 pm
Forum: Investing - Theory, News & General
Topic: Roth as good as you think?
Replies: 29
Views: 3339

Re: Roth as good as you think?

I don't think it's an OR question, I think it's an AND question. For us, traditional 401k AND Roth IRAs. For each, we choose the option that gets us the largest savings. Using traditional 401k contributions doesn't simply save on fed and state taxes, it also nets more refundable fed and partially ma...
by teen persuasion
Mon Oct 16, 2017 7:34 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare Questions - Please Help
Replies: 24
Views: 1366

Re: Medicare Questions - Please Help

You are very welcome - I just wanted to make sure you didn't accidentally lock yourself into a lower payout.
by teen persuasion
Mon Oct 16, 2017 12:08 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare Questions - Please Help
Replies: 24
Views: 1366

Re: Medicare Questions - Please Help

From SSA: https://www.ssa.gov/planners/retire/claiming.html Timing of Multiple Benefits (also called “Deemed Filing”) What was the loophole? The law provides incentives to delay claiming retirement benefits: monthly benefits grow larger for each month you delay receiving retirement benefits between...
by teen persuasion
Mon Oct 16, 2017 8:55 am
Forum: Personal Finance (Not Investing)
Topic: Medicare Questions - Please Help
Replies: 24
Views: 1366

Re: Medicare Questions - Please Help

From SSA: https://www.ssa.gov/planners/retire/claiming.html Timing of Multiple Benefits (also called “Deemed Filing”) What was the loophole? The law provides incentives to delay claiming retirement benefits: monthly benefits grow larger for each month you delay receiving retirement benefits between ...
by teen persuasion
Mon Oct 16, 2017 6:32 am
Forum: Personal Finance (Not Investing)
Topic: Medicare Questions - Please Help
Replies: 24
Views: 1366

Re: Medicare Questions - Please Help

Thanks for the replies. First priority is seeing if we can use the hold harmless feature, and second priority is picking a plan (it is a little early for that). So here is the situation on hold harmless: I am planning to take my SS at age 70 . We would like to use DW's SS to enable Medicaid Part B ...
by teen persuasion
Tue Oct 10, 2017 7:03 am
Forum: Personal Finance (Not Investing)
Topic: [Boglehead vs Mr Money Mustache philosophies]
Replies: 203
Views: 13651

Re: [Boglehead vs Mr Money Mustache philosophies]

Mustachians have as a basic tenet that you can reach the point of "enough". Quit playing the game, you've won - you are free to do whatever you like now. Being flexible with plans and contingencies can lower the bar to reaching "enough". Bogleheads feel that "enough" is a minimum, but more is better...
by teen persuasion
Tue Oct 03, 2017 7:11 am
Forum: Investing - Help with Personal Investments
Topic: FAFSA question; Fidelity 0.5% pension mgmt fee
Replies: 6
Views: 599

Re: FAFSA question; Fidelity 0.5% pension mgmt fee

If the student is entering college in fall 2019, they will file the FAFSA in October 2018 using 2017 tax return and asset values as of the date of filing (Oct 2018). Assets already inside retirement accounts are NOT included in available asset calculations. However, contributions to retirement accou...
by teen persuasion
Fri Sep 29, 2017 6:42 am
Forum: Personal Finance (Not Investing)
Topic: Are we suckers for not pursuing Public Service Loan Forgiveness?
Replies: 18
Views: 2009

Re: Are we suckers for not pursuing Public Service Loan Forgiveness?

As the first borrowers are approaching the finish line, I keep hearing anecdotal stories of people getting denied for a variety of reasons. First, people were being told that their position/employer they'd worked for 10 years didn't qualify. My sister recently told me her DH received a letter that h...
by teen persuasion
Wed Sep 27, 2017 6:09 pm
Forum: Personal Finance (Not Investing)
Topic: next year health insurance plan provided by company
Replies: 13
Views: 916

Re: next year health insurance plan provided by company

DH's previous employer had a tiered system based on salary, or rather a calculation to approximate salary. He was salary, but treated as hourly in ways (had an assigned hourly rate * fixed 35 hrs per week for payroll purposes). He also only received 21 biweekly paychecks; staff in other sections wer...
by teen persuasion
Wed Sep 27, 2017 12:28 pm
Forum: Investing - Help with Personal Investments
Topic: Best way to build wealth
Replies: 32
Views: 4475

Re: Best way to build wealth

30k a year salary before taxes. And thank you! carguy1993, With 30K of salary, the first thing that you should learn is the tax credit. EITC https://ttlc.intuit.com/questions/1899157-what-are-the-qualifications-for-the-earned-income-credit-eic-or-eitc Saver's Credits https://www.bogleheads.org/wiki...
by teen persuasion
Tue Sep 26, 2017 6:55 am
Forum: Personal Finance (Not Investing)
Topic: Social Security Question [Social Security Offering Lump Sum]
Replies: 26
Views: 3099

Re: Social Security Question [Social Security Offering Lump Sum]

Could the apparent 9 months vs 6 months be due to a spousal application? IOW, both the OP's 6 months retroactive payments + 6 months retroactive spousal payments (somewhat less than half the OP's payment).
by teen persuasion
Mon Sep 25, 2017 7:17 pm
Forum: Personal Finance (Not Investing)
Topic: Novice doing some tax planning for 2018
Replies: 21
Views: 1839

Re: Novice doing some tax planning for 2018

Total Gross Salary for Both of us: 212,000. -9000 health insurance ( this is taken out pre-tax) -72,000 ( 403b and 457 contributions ) -5,616 ( two children) -5000 ( flex spending) -12,000 ( property taxes ) -7000 ( mortgage interest; this was ballparked ) -9000 ( FICA, FICA medicare, NYS income ta...
by teen persuasion
Sun Sep 24, 2017 11:28 am
Forum: Personal Finance (Not Investing)
Topic: Calling out the not so rich bogleheads
Replies: 233
Views: 25263

Re: Calling out the not so rich bogleheads

I have been an avid follower of this forum for quite some time now and would firstly like to say there's nothing quite like it anywhere on the web. It provides so much useful information on so many different things that I would rate it as one of the most useful websites as it pertains to investing ...
by teen persuasion
Fri Sep 22, 2017 6:50 pm
Forum: Investing - Help with Personal Investments
Topic: Maximum 401K limits for 2017
Replies: 23
Views: 3901

Re: Maximum 401K limits for 2017

Hijacking this thread to confirm something that was just contradicted by a helper at Fidelity who talked to a "specialist" when I was asking about it: He told me that the employer match is NOT counted toward the total contribution limit of $54,000. We made it clear that we were NOT talking about th...
by teen persuasion
Fri Sep 22, 2017 4:07 pm
Forum: Personal Finance (Not Investing)
Topic: The Magic of Savings Rate
Replies: 97
Views: 10835

Re: The Magic of Savings Rate

Love MMM but he's no Boglehead (nor does he attempt to be). Bogleheads (if one had to generalize) do believe in simplicity, low expenses, and LBYM...but not extreme frugality. The problem with the chart is that the less one makes, the more difficult it becomes to save a percentage that will achieve...
by teen persuasion
Fri Sep 22, 2017 12:54 pm
Forum: Personal Finance (Not Investing)
Topic: The Magic of Savings Rate
Replies: 97
Views: 10835

Re: The Magic of Savings Rate

Love MMM but he's no Boglehead (nor does he attempt to be). Bogleheads (if one had to generalize) do believe in simplicity, low expenses, and LBYM...but not extreme frugality. The problem with the chart is that the less one makes, the more difficult it becomes to save a percentage that will achieve...
by teen persuasion
Thu Sep 21, 2017 10:40 pm
Forum: Personal Finance (Not Investing)
Topic: The Magic of Savings Rate
Replies: 97
Views: 10835

Re: The Magic of Savings Rate

Let''s not argue about details you don't have much control over (taxes). In a developed country, you will be taxed. Why even bother considering that part of your income when you never even see it in your bank account? But I do have control over my taxes, thru the very act of saving in retirement ac...
by teen persuasion
Thu Sep 21, 2017 10:16 pm
Forum: Personal Finance (Not Investing)
Topic: The Magic of Savings Rate
Replies: 97
Views: 10835

Re: The Magic of Savings Rate

Let''s not argue about details you don't have much control over (taxes). In a developed country, you will be taxed. Why even bother considering that part of your income when you never even see it in your bank account? But I do have control over my taxes, thru the very act of saving in retirement ac...
by teen persuasion
Thu Sep 21, 2017 9:55 pm
Forum: Personal Finance (Not Investing)
Topic: The Magic of Savings Rate
Replies: 97
Views: 10835

Re: The Magic of Savings Rate

I realize the MMM post wasn't included in the OP; someone mentioned it was an obvious reference to it, so I thought I'd offer the link. Another helpful quote from the Shockingly Simple post: ** definition of take-home pay: gross income minus all taxes. Remember to add back in any 401k or other savin...
by teen persuasion
Thu Sep 21, 2017 9:45 pm
Forum: Personal Finance (Not Investing)
Topic: Life Insurance Policy to "shelter" money from Financial Aid calculations
Replies: 23
Views: 1269

Re: Life Insurance Policy to "shelter" money from Financial Aid calculations

One more discussion of FAFSA vs PROFILE: https://www.nerdwallet.com/blog/finance/know-college-financial-aid-applications/ Looks like home equity is a mixed bag: for FAFSA it is better to have large home equity vs mortgage debt + equivalent in taxable assets, but the article implies equity reduces ai...
by teen persuasion
Thu Sep 21, 2017 9:11 pm
Forum: Personal Finance (Not Investing)
Topic: Life Insurance Policy to "shelter" money from Financial Aid calculations
Replies: 23
Views: 1269

Re: Life Insurance Policy to "shelter" money from Financial Aid calculations

It is my understanding from the little I know about these elite private schools that very few people actually pay the full tuition (only the very wealthy-which we are not). I bring in about $100K/yr - wife has been unemployed for a while. I agree with the FAFSA calculation that most schools use and...
by teen persuasion
Thu Sep 21, 2017 9:00 pm
Forum: Personal Finance (Not Investing)
Topic: Life Insurance Policy to "shelter" money from Financial Aid calculations
Replies: 23
Views: 1269

Re: Life Insurance Policy to "shelter" money from Financial Aid calculations

The FAFSA EFC formula calculations: https://www.google.com/url?sa=t&source=web&rct=j&url=https://studentaid.ed.gov/sites/default/files/2017-18-efc-formula.pdf&ved=0ahUKEwjhkOKf1rfWAhVLKCYKHS34DrEQFggkMAA&usg=AFQjCNHhArYoIRREIVAVjgGKa5H87XhJPw Since you mention this is a school requiring the PROFILE ...
by teen persuasion
Thu Sep 21, 2017 6:55 pm
Forum: Personal Finance (Not Investing)
Topic: The Magic of Savings Rate
Replies: 97
Views: 10835

Re: The Magic of Savings Rate

For example imagine 1) I make 1 million/year b) pay 400k in taxes c) live on 25k d) save 575k So I have a savings rate of 57% and according to the chart I can retire in 14 years. It takes about 2 seconds of thought to say that is total BS and that you will actually hit retirement around 1.5-3 years...
by teen persuasion
Thu Sep 21, 2017 6:47 am
Forum: Personal Finance (Not Investing)
Topic: The Magic of Savings Rate
Replies: 97
Views: 10835

Re: The Magic of Savings Rate

What is normal and what is impossible is largly defined by the people you know. Change the social group and your definition of normal will change. As a group, it feels strange to see you make fun of people with savings rate under 10% and their reasons why they don't save more and turn around and ma...
by teen persuasion
Mon Sep 18, 2017 9:35 pm
Forum: Personal Finance (Not Investing)
Topic: Calling out the not so rich bogleheads
Replies: 233
Views: 25263

Re: Calling out the not so rich bogleheads

Around age 35, DH was unemployed due to his employer closing its doors. He decided to take the NAFTA benefits to pursue a graduate degree for a new field. I was SAHM to our then 4 children, so unemployment was our income, at least for the first year. When it ran out, he reluctantly took a job with t...
by teen persuasion
Mon Sep 18, 2017 7:54 pm
Forum: Investing - Help with Personal Investments
Topic: New Job, First Time Investing, How-To
Replies: 21
Views: 1600

Re: New Job, First Time Investing, How-To

Teen persuasion, Does it still come from gross if I am contributing to a roth 401k? I was not sure, but I assumed that since it is after tax money it would be a percentage of take home pay that is deposited. My experience has been that DH's 401k contributions are exactly 50% of his gross; then he h...
by teen persuasion
Mon Sep 18, 2017 6:58 pm
Forum: Investing - Help with Personal Investments
Topic: Divorced parents saving for kids college
Replies: 16
Views: 1180

Re: Divorced parents saving for kids college

Our divorce decree is general in this regard. We agree to share the cost of college in general. Generally speaking, we work these things out without an issue. I was just looking for the simplest/cleanest approach. I sincerely wish for the kids that this stays the case forever. But a LOT can change ...
by teen persuasion
Mon Sep 18, 2017 7:20 am
Forum: Investing - Help with Personal Investments
Topic: New Job, First Time Investing, How-To
Replies: 21
Views: 1600

Re: New Job, First Time Investing, How-To

Contributions I don't have exact figures. Paid bi-weekly I will experience 8 pay periods this year. Each pay period $550 is deducted an placed in HSA. 40% of pay is placed in r401k. I estimate about 23k income before anything taken out. which means about 3k per pay period. I estimate 18,726 after t...
by teen persuasion
Sun Sep 17, 2017 8:51 pm
Forum: Personal Finance (Not Investing)
Topic: Pocket money allowance for college student
Replies: 48
Views: 2663

Re: Pocket money allowance for college student

We haven't given the kids allowances during college. They've all had work study options on their financial aid, but each school has handled that in different ways - some assign you a job, others leave the job search entirely up to the students. They are limited to a max of 10 hours per week in semes...
by teen persuasion
Sat Sep 16, 2017 10:16 am
Forum: Personal Finance (Not Investing)
Topic: Mother-In-Law dying, Wife wants to buy a Porsche
Replies: 51
Views: 5143

Re: Mother-In-Law dying, Wife wants to buy a Porsche

Have your wife and her half sister discussed with their mother why the half sister is not getting part of the investments? This may be another source of stress/tension after her passing and it may be better to resolve any issues now. I read it as mom has a half sister who has a half interest in the...
by teen persuasion
Tue Sep 12, 2017 12:11 pm
Forum: Investing - Help with Personal Investments
Topic: Earned Income Credit ???'s for First-Timer . . .
Replies: 6
Views: 688

Re: Earned Income Credit ???'s for First-Timer . . .

Also check the investment income limitation. If your investment income is > $3400, you are ineligible for EITC, regardless of AGI. That's just line 8a, right? Should be good w/ that if that's the case. Just some CD interest and money market, nothing crazy (~2k) NC got rid of state EITC. Bummer. Lin...
by teen persuasion
Tue Sep 12, 2017 8:05 am
Forum: Investing - Help with Personal Investments
Topic: Earned Income Credit ???'s for First-Timer . . .
Replies: 6
Views: 688

Re: Earned Income Credit ???'s for First-Timer . . .

Looking up $44k AGI in the 2016 EITC chart, MFJ with one child is about $130 credit. Contributions to tIRA usually don't increase EITC, unlike payroll retirement contributions. This is because the credit is calculated twice, once on line 7 wages, and again on AGI. Your credit is whichever credit cal...
by teen persuasion
Tue Sep 12, 2017 7:20 am
Forum: Investing - Help with Personal Investments
Topic: did I make a mistake funding a traditional IRA?
Replies: 17
Views: 2063

Re: did I make a mistake funding a traditional IRA?

Whoa, guys, that is not how the Saver's credit is calculated. Only the first $2k of retirement contributions per person count. Anything over $2k is ignored. If you qualify for the 50% level, your credit is a max of 50% * $2k, for a max of $1k per person. If you qualify for the 20% level, your max is...
by teen persuasion
Sun Sep 10, 2017 10:05 am
Forum: Investing - Help with Personal Investments
Topic: Clueless on taxes but have luxury of both 403b and 457 space
Replies: 30
Views: 2953

Re: Clueless on taxes but have luxury of both 403b and 457 space

Is your investment income > $3400? If yes, you are not eligible for EITC.

The contributions to NY529 will only reduce NY taxable income, not federal taxable income.
by teen persuasion
Sat Sep 09, 2017 5:25 pm
Forum: Investing - Help with Personal Investments
Topic: Clueless on taxes but have luxury of both 403b and 457 space
Replies: 30
Views: 2953

Re: Clueless on taxes but have luxury of both 403b and 457 space

I wonder if with your income, retirement contributions, and children that you would be able to take advantage of several tax credits including the EITC and thus pay no income taxes and actually have the government pay you money, too. You would probably have to contribute lots to your retirement acc...
by teen persuasion
Wed Sep 06, 2017 6:54 pm
Forum: Investing - Help with Personal Investments
Topic: Wacky NY college savings plan?
Replies: 9
Views: 1000

Re: Wacky NY college savings plan?

My two kids currently in college are at two different SUNYs, and neither will qualify for the "free" tuition, despite being well under the income limits. I looked into the details as soon as it was announced. There are so many restrictions, I doubt many at all will qualify. It is also a small portio...
by teen persuasion
Tue Sep 05, 2017 1:07 pm
Forum: Personal Finance (Not Investing)
Topic: how often does high ACT score == scholarship?
Replies: 85
Views: 4890

Re: how often does high ACT score == scholarship?

How did your son do on PSAT? To the best of my knowledge, he did not take the PSAT. Check with his high school. In this area, all students take the PSAT in grade 10. They don't sign up for it (like the SAT/ACT), the school simply administers the test during school hours on a set date in October, I ...
by teen persuasion
Tue Sep 05, 2017 7:37 am
Forum: Personal Finance (Not Investing)
Topic: HSA payroll deduction vs direct contribution
Replies: 3
Views: 422

Re: HSA payroll deduction vs direct contribution

Direct contributions are added back to available income on the FAFSA, increasing EFC. There is no comparable add back of payroll HSA contributions, so EFC is lower.
by teen persuasion
Mon Sep 04, 2017 7:57 am
Forum: Personal Finance (Not Investing)
Topic: How old were you when you got your first credit card?
Replies: 46
Views: 2009

Re: How old were you when you got your first credit card?

Eighteen, it was part of a bundle deal with student loans, back when you had to go into a bank and sign actual, physical papers to take out federal loans. It had a $300 limit, I used it primarily to purchase college texts (well, a few, anyway) and then paid it off immediately. The bank also started ...
by teen persuasion
Fri Sep 01, 2017 6:42 pm
Forum: Personal Finance (Not Investing)
Topic: Help me make sense of my 2017 federal tax calculation
Replies: 22
Views: 2133

Re: Help me make sense of my 2017 federal tax calculation

I don't see any personal exemptions in your list, for you + spouse + child?

Is your spouse covered by a retirement plan at work? If she is not, her MAGI limit is higher than yours (you are participating in your plan).
by teen persuasion
Fri Sep 01, 2017 4:19 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Advice for lowering AGI/Taxable?
Replies: 51
Views: 5195

Re: Tax Advice for lowering AGI/Taxable?

Forecasting according to 2017 changes and last pay-stub numbers (week 34 of 52 weeks, and calculating accordingly), the below should hold true: 2017 Tax Income Return (Mock per TurboTax): Total income: $77,000 AGI: $74,000 Total Deductions: $21,226 Total Exemptions: $16,200 Taxable income: $39,574 ...
by teen persuasion
Fri Sep 01, 2017 3:30 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Advice for lowering AGI/Taxable?
Replies: 51
Views: 5195

Re: Tax Advice for lowering AGI/Taxable?

Biggest question is can you actually cash flow everything for the foreseeable future? Can you be dump nearly all your pay into TSP and cover daily expenses and minimum debt payments? In the new year, continue covering daily expenses and minimum debt payments and contribute to tIRAs before the deadli...
by teen persuasion
Fri Sep 01, 2017 1:18 pm
Forum: Personal Finance (Not Investing)
Topic: Stop income tax withholding
Replies: 15
Views: 1534

Re: Stop income tax withholding

DH has been claiming 14 for years, to get his fed withholding to zero (lots of refundable credits) and we've had no problems. Once I began working, I followed suit, also no problems. Fourteen was chosen because our state objects to 15+, despite the fact that I calculated we should claim 25 to get ou...
by teen persuasion
Thu Aug 31, 2017 6:22 pm
Forum: Personal Finance (Not Investing)
Topic: IRS tax letter triggered by Turbotax's 8606
Replies: 50
Views: 6581

Re: IRS tax letter triggered by Turbotax's 8606

sophie1 wrote:
Thu Aug 31, 2017 5:43 pm
And I'm waiting with bated breath for NY state to come up with free fillable forms for everyone.
+1
by teen persuasion
Thu Aug 31, 2017 7:54 am
Forum: Personal Consumer Issues
Topic: Hurricane Harvey has me rethinking my approach to disaster preparations
Replies: 72
Views: 6304

Re: Hurricane Harvey has me rethinking my approach to disaster preparations

We prepare for the extreme weather common to our area, it's to some degree a way of life. The people running out to get food is foreign to me - I have a stockpile of nonperishables that I cycle thru over time (purchased during sales cycles), we could go a long time on the stuff in the house. No natu...
by teen persuasion
Mon Aug 28, 2017 12:54 pm
Forum: Investing - Help with Personal Investments
Topic: What counts as income? (planning retirement withdrawal strategy)
Replies: 13
Views: 1251

Re: What counts as income? (planning retirement withdrawal strategy)

"Roth IRA earnings: Depends on age" What does this mean? Do earnings not count as income after 60? Withdrawals of earnings in a Roth IRA are tax free if the withdrawals are "qualified". In general after age 59.5 withdrawals of earnings are tax free, yes. Under most circumstances that don't involve ...
by teen persuasion
Sun Aug 27, 2017 9:23 am
Forum: Investing - Help with Personal Investments
Topic: Roll over my 401(k) to my spouse's IRA?
Replies: 11
Views: 653

Re: Roll over my 401(k) to my spouse's IRA?

One reason for desiring a shift from one spouse to the other: state retirement account withdrawal taxability. We will be in this situation. DH has a traditional 401k, but I have no access to a 401k. I contribute to an IRA, but it is all Roth. Our state does not assess state income taxes on the first...
by teen persuasion
Thu Aug 24, 2017 8:49 pm
Forum: Personal Finance (Not Investing)
Topic: Advisor for near term College Planning
Replies: 3
Views: 390

Re: Advisor for near term College Planning

The EFC formulas for 2018-19 :
https://ifap.ed.gov/efcformulaguide/att ... de1819.pdf

Have your friend run thru the calculations starting on page 9 using numbers from several different scenarios, to see how it directly affects the EFC.
by teen persuasion
Wed Aug 23, 2017 10:06 pm
Forum: Investing - Help with Personal Investments
Topic: Help Me Plan My Retirement
Replies: 14
Views: 2206

Re: Help Me Plan My Retirement

OP, I'm going to start with question 3: how much do you need to retire at age 60? First, you need to know how much you intend to spend annually in retirement. Then you will want to decide on a withdrawal rate. For a 30 year retirement, 4% is considered a SWR (safe withdrawal rate), though some Bogle...