Search found 101 matches

by chestnut
Thu Mar 05, 2020 9:52 am
Forum: Personal Investments
Topic: Vanguard, Backdoor Roth. Won't let me convert
Replies: 9
Views: 431

Re: Vanguard, Backdoor Roth. Won't let me convert

It took 7 days for the fund to become available each time I did this. (2019 & 2020).

Edit: Ours is brokerage. We did it in April 2019 & Jan 2020. External Bank transfer to tIRA to Roth. It clearly stated it would take 7 days and showed that the fund was not available.
by chestnut
Tue Feb 25, 2020 12:11 pm
Forum: Personal Consumer Issues
Topic: Postponed travel due to Corona Virus. Am I am overreacting ?
Replies: 232
Views: 24387

Re: Postponed travel due to Corona Virus. Am I am overreacting ?

First time ever, we have 3 trips booked for this Spring - Madrid/Seville/Lisbon in Mid March, Puerto Rico in mid April and Swiss (6 cities) in mid May. All are non-refundable air & hotel as they are package deals. We will keep a close eye on the situation and the CDC warnings. If warranted, we won't...
by chestnut
Mon Feb 24, 2020 4:58 pm
Forum: Personal Finance (Not Investing)
Topic: Form8606-H&R block math rounding error-how to fix-backdoor roth
Replies: 12
Views: 572

Re: Form8606-H&R block math rounding error-how to fix-backdoor roth

It is not a form 8606 problem. Rather, it is a HRB’s problem. TurboTax carries the line 9 amount to five decimal places and that will result in a basis of 7,000 for the OP. Yes, agreed. As I mentioned in my original post, H&R block uses 3 decimals hence the problem is showing up in form 8606. It is...
by chestnut
Mon Feb 24, 2020 2:29 pm
Forum: Personal Finance (Not Investing)
Topic: Form8606-H&R block math rounding error-how to fix-backdoor roth
Replies: 12
Views: 572

Re: Form8606-H&R block math rounding error-how to fix-backdoor roth

kaneohe wrote: Mon Feb 24, 2020 2:09 pm In theory, the rounding errors should balance out over time?
Agreed! Again, the issue is not about paying $1 more in taxes -- but when I contributed $7000 and converted $7004, nontaxable portion should be $7000, not $6997. Just that glaring wrong numbers in 8606, is a problem!
by chestnut
Mon Feb 24, 2020 1:30 pm
Forum: Personal Finance (Not Investing)
Topic: Form8606-H&R block math rounding error-how to fix-backdoor roth
Replies: 12
Views: 572

Re: Form8606-H&R block math rounding error-how to fix-backdoor roth

I always compare (double check) the final summary page from H&R Block to FreeTaxUSA. It was off by a $1 and it exactly pointed to this. So, thankfully I knew where the issue was very easily. :happy

At least no other known issues -- unless they are in both H&R Block & FreeTaxUSA :D
by chestnut
Mon Feb 24, 2020 1:09 pm
Forum: Personal Finance (Not Investing)
Topic: 1099-DIV Box 8 - Foreign Country or US possesion - H&R Block error
Replies: 7
Views: 480

Re: 1099-DIV Box 8 - Foreign Country or US possesion - H&R Block error

HueyLD wrote: Mon Feb 24, 2020 9:55 amEnter RIC.
Thank you! Entering RIC, fixes the error.
by chestnut
Mon Feb 24, 2020 12:57 pm
Forum: Personal Finance (Not Investing)
Topic: Form8606-H&R block math rounding error-how to fix-backdoor roth
Replies: 12
Views: 572

Re: Form8606-H&R block math rounding error-how to fix-backdoor roth

How much time are you going to spend on this to save $1? You are absolutely right. It adds only $1 to my total tax. But the idea that a software math approximation makes the nontaxable portion to be inaccurate bothers me. I wanted to check with this forum of experts and if I don't hear any way to c...
by chestnut
Mon Feb 24, 2020 12:20 pm
Forum: Personal Finance (Not Investing)
Topic: Form8606-H&R block math rounding error-how to fix-backdoor roth
Replies: 12
Views: 572

Re: Form8606-H&R block math rounding error-how to fix-backdoor roth

kaneohe wrote: Mon Feb 24, 2020 12:08 pm Does the software allow you to fill in the form manually?
No, it doesn't allow me to make any changes to this form in the software. And, if I use the override feature and edit an entry in the form 8606, it says that I can't do e-filing since I did a manual override.
by chestnut
Mon Feb 24, 2020 9:54 am
Forum: Personal Finance (Not Investing)
Topic: 1099-DIV Box 8 - Foreign Country or US possesion - H&R Block error
Replies: 7
Views: 480

Re: 1099-DIV Box 8 - Foreign Country or US possesion - H&R Block error

Unfortunately, H&R block flags this as an error and I can't file the return without fixing it.
by chestnut
Mon Feb 24, 2020 9:45 am
Forum: Personal Finance (Not Investing)
Topic: Form8606-H&R block math rounding error-how to fix-backdoor roth
Replies: 12
Views: 572

Form8606-H&R block math rounding error-how to fix-backdoor roth

Backdoor roth in 2019 for 2019 -- Contributed to tIRA $7000 and converted the entire amount $7004 to Roth (made $4 in the fund before conversion). H&R Block takes 3 decimals and the nontaxable portion only comes out to $6997 instead of $7000. This makes the taxable amount $7 instead of $4. Is there ...
by chestnut
Mon Feb 24, 2020 8:55 am
Forum: Personal Finance (Not Investing)
Topic: 1099-DIV Box 8 - Foreign Country or US possesion - H&R Block error
Replies: 7
Views: 480

1099-DIV Box 8 - Foreign Country or US possesion - H&R Block error

In Vanguard 1099 DIV, it shows the Foreign Tax paid from LifeStrategy Growth & LifeStrategy moderate growth funds, but no entry for Box 8. In H&R Block while entering the 1099-DIV, I entered the foreign tax paid in Box 7. H&R block gives error at the end while validating saying Box 8 (Foreign Countr...
by chestnut
Sat Feb 01, 2020 9:00 am
Forum: Investing - Theory, News & General
Topic: VG Monthly Statements Are HORRIBLE!
Replies: 97
Views: 8538

Re: VG Monthly Statements Are HORRIBLE!

I just found out that for brokerage accounts you can create a custom transaction report that can be sorted by fund, just like the mutual fund reports. (Perhaps its been available for a year or so, based on mention here on Bogleheads.) So, while it takes a couple of mouse clicks to generate, I'm muc...
by chestnut
Tue Jan 21, 2020 7:09 pm
Forum: Personal Investments
Topic: Vanguard LifeStrategy don't have total Capital gain distr in box 2a
Replies: 1
Views: 293

Vanguard LifeStrategy don't have total Capital gain distr in box 2a

I downloaded the Vanguard 1099-DIV today. The LifeStrategy Growth and LifeStrategy Moderate growth funds have no capital gains distribution in box 2a. It shows 0. Last year they both had Capital gain distributions. I know generally, these two funds are not great for taxable account. I guess it is go...
by chestnut
Fri Jan 17, 2020 12:02 pm
Forum: Personal Investments
Topic: Roth IRA contribution VS. backdoor Roth conversion
Replies: 7
Views: 335

Re: Roth IRA contribution VS. backdoor Roth conversion

Thank you for the responses. I learn something new everyday from this forum! Thank you!! Wish I had known about the backdoor Roth earlier... Thanks to this forum and people who volunteer their time to help novice like me, I have now done backdoor roth for my husband for 2019 (in April 2019) and 2020...
by chestnut
Fri Jan 17, 2020 11:59 am
Forum: Personal Investments
Topic: Roth IRA contribution VS. backdoor Roth conversion
Replies: 7
Views: 335

Re: Roth IRA contribution VS. backdoor Roth conversion

An amount up to the sum of past Roth IRA contributions can be distributed from a Roth IRA without penalty at any time at any age. Money that found its way to a (non-inherited) Roth IRA by another path can't. Do you mean the original contribution amount through Roth direct contribution can be withdr...
by chestnut
Fri Jan 17, 2020 10:18 am
Forum: Personal Investments
Topic: Roth IRA contribution VS. backdoor Roth conversion
Replies: 7
Views: 335

Roth IRA contribution VS. backdoor Roth conversion

Question about Roth Contribution vs backdoor Roth Conversion: Since both Roth contribution for people within income limits and the backdoor Roth are both after tax money, why anyone would bother with Roth contribution and worry about income limit exceeding. Why not always do backdoor Roth (if one ha...
by chestnut
Thu Jan 16, 2020 11:17 am
Forum: Investing - Theory, News & General
Topic: VG Monthly Statements Are HORRIBLE!
Replies: 97
Views: 8538

Re: VG Monthly Statements Are HORRIBLE!

Vanguard now has a new custom report tool that allows you to generate a report for a varying time period. This is available only for the brokerage accounts. Really nice to just be able to download all year activity in one statement for each account. You can select ROTH, taxable, tIRA in the pulldown...
by chestnut
Sat Jan 04, 2020 9:38 am
Forum: Personal Investments
Topic: Vanguard: "Your Account Needs to be Transitioned"
Replies: 47
Views: 11510

Re: Vanguard: "Your Account Needs to be Transitioned"

https://www.vanguard.com/pdf/vbafqm.pdf gives details of Moving your Vanguard funds to a Vanguard Brokerage Account. Certain issues and limitations after transitioning are mentioned in other threads... For me one main issue and I don't plan to transition unless it is addressed... I reinvest dividend...
by chestnut
Mon Dec 16, 2019 1:22 pm
Forum: Personal Investments
Topic: Rollover tIRA and ROTH end of year or wait until new year?
Replies: 9
Views: 300

Re: Rollover tIRA and ROTH end of year or wait until new year?

Thank you! I will send it out soon -- Not market time it... then 60 or 90 days will not become an issue.
by chestnut
Mon Dec 16, 2019 10:57 am
Forum: Personal Investments
Topic: Rollover tIRA and ROTH end of year or wait until new year?
Replies: 9
Views: 300

Re: Rollover tIRA and ROTH end of year or wait until new year?

Thank you! I spoke to Vanguard and GE couple of times each. Vanguard said that tIRA is a direct rollover and no endorsing the check as it is in their name FBO my name. The second check which is in my name, they asked me endorse and send the ROTH account and fund numbers written on that check and wil...
by chestnut
Mon Dec 16, 2019 10:36 am
Forum: Personal Investments
Topic: Rollover tIRA and ROTH end of year or wait until new year?
Replies: 9
Views: 300

Re: Rollover tIRA and ROTH end of year or wait until new year?

Since I want them to invest in the current fund I have with them, I instruct them with both the account numbers and the current Funds information explicitly when I send the checks. If I had wanted the money to go into a settlement fund then I would have to say that also explicitly. Since I just want...
by chestnut
Mon Dec 16, 2019 10:12 am
Forum: Personal Investments
Topic: Rollover tIRA and ROTH end of year or wait until new year?
Replies: 9
Views: 300

Re: Rollover tIRA and ROTH end of year or wait until new year?

Thank you! i completely agree with not timing the market and also being it a long term investment. Only thing is it doesn't go into the settlement fund. Since i already have both tIRA and roth IRA with Vanguard with investments in Total Stock Market Fund, I will just mark that account number for eac...
by chestnut
Mon Dec 16, 2019 9:23 am
Forum: Personal Investments
Topic: Rollover tIRA and ROTH end of year or wait until new year?
Replies: 9
Views: 300

Rollover tIRA and ROTH end of year or wait until new year?

Hello, I am took the GE early pension lump sum payment and I received two checks mailed to my home address -- (GE doesn't mail checks directly to the financial institutions). First check is pre taxed $ that's going to be rolled to my existing Vanguard traditional IRA (Total stock market Index) . Thi...
by chestnut
Sat Nov 30, 2019 8:19 am
Forum: Personal Finance (Not Investing)
Topic: H&R BLOCK Pre-Order 2019 Software Offer
Replies: 317
Views: 29078

Re: H&R BLOCK Pre-Order 2019 Software Offer

livesoft wrote: Sat Nov 30, 2019 8:14 am One only needs to "activate" when one wants to E-file.
Thank you! I didn't know that and it solves my problem.
by chestnut
Sat Nov 30, 2019 8:04 am
Forum: Personal Finance (Not Investing)
Topic: H&R BLOCK Pre-Order 2019 Software Offer
Replies: 317
Views: 29078

Re: H&R BLOCK Pre-Order 2019 Software Offer

Can I still install and activate the software again on a second computer later? Info: We purchased from NewEgg yesterday the windows downloadable version of Fed Deluxe + State. If we download, install and activate the software now, can we later do the same again on a different computer? My computer ...
by chestnut
Mon Nov 18, 2019 10:51 am
Forum: Personal Finance (Not Investing)
Topic: GE pension lump sum - pre tax vs post tax
Replies: 6
Views: 496

Re: GE pension lump sum - pre tax vs post tax

Thank you for the responses. Update: I called both vanguard and GE to get details. Though easier would have been two direct rollovers from GE to Vanguard tIRA and ROTH - GE will not do direct rollover for either - pre tax to tIRA, after tax to ROTH. In the list of options GE provides, I have to choo...
by chestnut
Mon Nov 18, 2019 9:36 am
Forum: Personal Finance (Not Investing)
Topic: GE pension lump sum - pre tax vs post tax
Replies: 6
Views: 496

Re: GE pension lump sum - pre tax vs post tax

Thanks! Just to clarify, I already had 401k that I rolled over when I left the company. This is the pension that they are giving an option for a lump sum buyout. Is that considered similar to 401k?

Thanks!
by chestnut
Mon Nov 18, 2019 8:04 am
Forum: Personal Finance (Not Investing)
Topic: GE pension lump sum - pre tax vs post tax
Replies: 6
Views: 496

GE pension lump sum - pre tax vs post tax

I am offered the GE early pension option. When I go through the option, it shows two amounts - pre-tax majority of the amount and post tax small portion. But the options to do direct rollover allows all to go into either tIRA or ROTH -- no option to separate them in the rollover. But it gives option...
by chestnut
Thu Nov 14, 2019 8:32 am
Forum: Personal Finance (Not Investing)
Topic: $10K wire transfer - loan to son - tax implications?
Replies: 11
Views: 1148

Re: $10K wire transfer - loan to son - tax implications?

Thank you for the responses! Since both ours and our son's banks are credit unions, we could transfer the $10K instantly without any fee using "shared branch transaction" at our loca branch. He is using the money for the upfront cost of the rental apartment he is going to lease -- so no cash transac...
by chestnut
Tue Nov 12, 2019 9:43 am
Forum: Personal Finance (Not Investing)
Topic: $10K wire transfer - loan to son - tax implications?
Replies: 11
Views: 1148

Re: $10K wire transfer - loan to son - tax implications?

Jack FFR1846 wrote: Tue Nov 12, 2019 9:39 am The bank would only report $10k if you deposited it in cash.

You can GIVE your son $10k (up to $15k this year) with no reporting required.
Thank you! Anything we have to do to identify this as a loan vs gift for tax / IRS purposes?
by chestnut
Tue Nov 12, 2019 9:33 am
Forum: Personal Finance (Not Investing)
Topic: $10K wire transfer - loan to son - tax implications?
Replies: 11
Views: 1148

$10K wire transfer - loan to son - tax implications?

Hello! We plan to wire transfer $10,000 to our son's bank account as a loan that he plans to pay back in the next few months. Will $10K loan require any extra tax implications / forms to be filed - For $10K do bank require IRS reporting? We are just lending him money as he is transitioning from grad...
by chestnut
Thu Sep 05, 2019 2:57 pm
Forum: Personal Consumer Issues
Topic: First-hand experiences with United Basic Economy for families?
Replies: 180
Views: 8235

Re: First-hand experiences with United Basic Economy for families?

I'm traveling with 2 adults and 3 small children (ages 4 through 6) soon. I can save $400 or more by choosing Basic Economy instead of Regular Economy. These are the downsides of Basic Economy: --No carry-on bags: no problem. I hate bags anyway. --No re-schedule or refunds: I'm willing to take the ...
by chestnut
Mon May 06, 2019 7:55 am
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

Re: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

We followed up and called both IRS and H&R Block. H&R Block person just opened a case about the software not updating/calculating 80% when filling F2210. But they can't provide any advice regarding whether to do amended return or about forms 2210 or 843. IRS after 45 minutes wait was even less helpf...
by chestnut
Fri May 03, 2019 10:19 am
Forum: Personal Finance (Not Investing)
Topic: Backdoor roth -- Please confirm all done correctly
Replies: 11
Views: 824

Re: Backdoor roth -- Please confirm all done correctly

decapod10 wrote: Fri May 03, 2019 10:12 am You should receive a 1099-r from Vanguard to report this conversion with your taxes
ok! Sounds good!
by chestnut
Fri May 03, 2019 10:14 am
Forum: Personal Finance (Not Investing)
Topic: Backdoor roth -- Please confirm all done correctly
Replies: 11
Views: 824

Re: Backdoor roth -- Please confirm all done correctly

David Jay wrote: Fri May 03, 2019 10:06 am After reading several “oops” threads, it is a pleasure to tell you that you did a backdoor correctly.
:happy

Trust me -- each of those threads were in my mind when I was actually going through the steps of contribution and conversion. Telling myself not wanting to add to the oops thread :D
by chestnut
Fri May 03, 2019 10:08 am
Forum: Personal Finance (Not Investing)
Topic: Backdoor roth -- Please confirm all done correctly
Replies: 11
Views: 824

Re: Backdoor roth -- Please confirm all done correctly

TravelforFun wrote: Fri May 03, 2019 10:02 am What you described is correct if your spouse doesn't have an existing IRA account with money in it.

TravelforFun
Thank you! Yes, that's correct - spouse had no IRA account before I opened this tIRA account with vanguard. Only has 403b with Fidelity.
by chestnut
Fri May 03, 2019 9:57 am
Forum: Personal Finance (Not Investing)
Topic: Backdoor roth -- Please confirm all done correctly
Replies: 11
Views: 824

Backdoor roth -- Please confirm all done correctly

I would like to thank the forum and the experts who have posted so much information on the backdoor roth with detailed steps. I have read all those and looked through the sample tax form and felt comfortable with all the steps and finally took the plunge. I would greatly appreciate if you can verify...
by chestnut
Tue Apr 30, 2019 1:45 pm
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

Re: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

Yes we did start the return before March. We will call IRS again tomorrow. Any ideas on how we can clarify this and not pay the penalty? Any forms to file? Fill out form 2210 per the IRS instructions as follows: “To request this waiver, an individual must file Form 2210, Underpayment of Estimated T...
by chestnut
Tue Apr 30, 2019 1:44 pm
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

Re: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

kaneohe wrote: Tue Apr 30, 2019 1:37 pm If you don't get help from IRS, consider an amended return w/ F2210 requesting the 80% waiver.
https://www.irs.gov/pub/irs-pdf/i2210.pdf

see p.2/3 of the instructions re: tax reform waiver. Complete only Pt I of the 2210 and then the wksht in the instructions.
Thank you!
by chestnut
Tue Apr 30, 2019 1:42 pm
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

Re: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

We could have caught this if we had chosen calculate penalty instead of "IRS bill us later" in the H& R Block software. Then it would have shown the penalty amount and we would have investigated why it is charging us penalty. We calculated our tax owed amount and since it was less than 20% this year...
by chestnut
Tue Apr 30, 2019 1:33 pm
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

Re: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

pdavi21 wrote: Tue Apr 30, 2019 1:30 pm
chestnut wrote: Tue Apr 30, 2019 1:27 pm Yes we did start the return before March.

We will call IRS again tomorrow. Any ideas on how we can clarify this and not pay the penalty? Any forms to file?
Form 843.
Thank you! We will look into this!
by chestnut
Tue Apr 30, 2019 1:32 pm
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

Re: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

Additional information: Status: Married Filing Joint return. Filed the tax on April 2 -- After 80% tax rule was announced. Filed Electronically using H&R Block Software. No We didn't file anything extra (F2210) for 80% waiver -- We were not prompted by the software. Perhaps you started your return ...
by chestnut
Tue Apr 30, 2019 1:27 pm
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

Re: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

Yes we did start the return before March.

We will call IRS again tomorrow. Any ideas on how we can clarify this and not pay the penalty? Any forms to file?
by chestnut
Tue Apr 30, 2019 1:22 pm
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

Re: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

Additional information: Status: Married Filing Joint return. Filed the tax on April 2 -- After 80% tax rule was announced. Filed Electronically using H&R Block Software.
by chestnut
Tue Apr 30, 2019 1:13 pm
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

Re: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

pdavi21 wrote: Tue Apr 30, 2019 1:08 pm There's a thing for making over 150k. Did you two do that?
Not sure what you mean! Can you please explain?
by chestnut
Tue Apr 30, 2019 1:12 pm
Forum: Personal Consumer Issues
Topic: EXTREMELY frugal things from our parents and grandparents
Replies: 110
Views: 10756

Re: EXTREMELY frugal things from our parents and grandparents

- Keep soap remnants, all held together with elastic bands. Don't know how he combined them later. If you take the old small piece of soap, you can attach it to the new bar when they're both wet, and it will stay attached. Bottles of moisturizer, etc. are the worst for not being able to get everyth...
by chestnut
Tue Apr 30, 2019 1:05 pm
Forum: Personal Investments
Topic: IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding
Replies: 19
Views: 1583

IRS tax penalty 2018 - we paid more than 80% thro' paycheck withholding

We got a letter/bill from IRS yesterday for a tax penalty. We had one W-2 and investment income for 2018 and all federal tax withholding were from the paycheck. We paid more than 80% of tax we owed through bi-weekly pay checks and paid the 18% owed when we filed the taxes in early April. I thought f...
by chestnut
Tue Apr 02, 2019 9:23 am
Forum: Personal Finance (Not Investing)
Topic: CA tax - Can parent pay using their check
Replies: 21
Views: 1190

Re: CA tax - Can parent pay using their check

Update: My daughter called the Customer Service line --for first time filers - part year residents who don't have CA driver's license no online payment option. Only check or money order with the paper filing.

Once it is processed then she can pay online for subsequent years.