Search found 54 matches

by zrail
Wed Jun 19, 2019 3:22 pm
Forum: Personal Consumer Issues
Topic: Single cup coffee/espresso options, 2019
Replies: 84
Views: 4869

Re: Single cup coffee/espresso options, 2019

I just got the least expensive original-line Nespresso after throwing out yet another almost full bag of stale beans that I was grinding and using in my aeropress. I’m now a huge fan. They have a reasonable selection of coffees, including official Starbucks capsules if that’s your thing (I think the...
by zrail
Fri Jun 14, 2019 2:27 pm
Forum: Personal Finance (Not Investing)
Topic: Checks without my account number
Replies: 39
Views: 3884

Re: Checks without my account number

That’s simply not how the check clearing system in the United States works. To clear a check you need the routing number, account number, and a check number. Your bank’s bill pay service is functionally similar, unless you find yourself in situations where you need to physically hand someone a chec...
by zrail
Thu Jun 13, 2019 11:34 am
Forum: Personal Investments
Topic: Left MegaCorp, Disadvantages to Rolling 401K & Pension to Self-Directed Solo 401K?
Replies: 28
Views: 1892

Re: Left MegaCorp, Disadvantages to Rolling 401K & Pension to Self-Directed Solo 401K?

All of this is making me strongly consider winding down my solo 401k (documents from mysolo401k.net). I don’t foresee contributing to it at any point in the next 5-10 years and I just have a single fund in it right now. My next employer’s 401k has a brokerage window so maybe I’ll just roll it all in...
by zrail
Sun Jun 09, 2019 3:58 pm
Forum: Personal Finance (Not Investing)
Topic: Checks without my account number
Replies: 39
Views: 3884

Re: Checks without my account number

That’s simply not how the check clearing system in the United States works. To clear a check you need the routing number, account number, and a check number. Your bank’s bill pay service is functionally similar, unless you find yourself in situations where you need to physically hand someone a check...
by zrail
Thu Jun 06, 2019 8:54 am
Forum: Personal Investments
Topic: Can S-Corp offer HSA without offering health insurance
Replies: 21
Views: 1215

Re: Can S-Corp offer HSA without offering health insurance

The only time an HRA was used by an S-Corp owner was if their spouse was employed by the S-Corp and a family plan health insurance policy was provided for the spouse which also covered the S-Corp owner. The ACA changed the landscape for HRAs and in 2017 Congress/IRS started QSEHRAs for small busine...
by zrail
Thu Jun 06, 2019 6:16 am
Forum: Personal Finance (Not Investing)
Topic: Form 5500EZ
Replies: 9
Views: 528

Re: Form 5500EZ

The only time you would need to terminate a one-participant 401k is if the business sponsor ceases to exist. A disregarded single member LLC and sole proprietor generally exist from inception until death. I have never heard of the IRS requiring such a business entity to terminate a one-participant ...
by zrail
Thu Jun 06, 2019 5:31 am
Forum: Personal Investments
Topic: Can S-Corp offer HSA without offering health insurance
Replies: 21
Views: 1215

Re: Can S-Corp offer HSA without offering health insurance

A one-owner S Corp can also offer an HRA, which lets you pay for all non-premium health care expenses entirely pre-tax. You don’t accrue money in these plans but you can use it in conjunction with your spouse’s HSA. They contribute the max to the HSA pre-tax and your business reimburses for out of ...
by zrail
Wed Jun 05, 2019 9:26 am
Forum: Personal Investments
Topic: Can S-Corp offer HSA without offering health insurance
Replies: 21
Views: 1215

Re: Can S-Corp offer HSA without offering health insurance

A one-owner S Corp can also offer an HRA, which lets you pay for all non-premium health care expenses entirely pre-tax. You don’t accrue money in these plans but you can use it in conjunction with your spouse’s HSA. They contribute the max to the HSA pre-tax and your business reimburses for out of p...
by zrail
Sun Jun 02, 2019 12:56 am
Forum: Personal Finance (Not Investing)
Topic: For those who earn $500k+ per year. How'd you do that?
Replies: 369
Views: 37440

Re: For those who earn $500k+ per year. How'd you do that?

Wife makes ~500k at a mega law firm (market bonuses move it around a bit). She did it by going to a top college and a top law school and working all the time. 100 hour weeks pretty regularly. She's a workaholic. I followed the same path and bowed out before partnership and now make ~150k as a publi...
by zrail
Sun May 26, 2019 6:41 pm
Forum: Personal Consumer Issues
Topic: Best bassinet
Replies: 25
Views: 1279

Re: Best bassinet

This is my favorite topic lately! Rent the SNOO. You will not regret it. We rented it for our second and it’s been incredible. She’s been sleeping through the night (at least 4 hour stretches) since 2 months old and does almost 9 hours almost every night now at 6 months. You can keep them in it unti...
by zrail
Thu May 23, 2019 6:01 am
Forum: Investing - Theory, News & General
Topic: "A Set-It-and-Forget-It Target-Date Series From Vanguard"
Replies: 120
Views: 13591

Re: "A Set-It-and-Forget-It Target-Date Series From Vanguard"

And if you want an asset allocation that remains constant, the Vanguard Life Strategy.series of funds offer a nicely-diversified portfolio in a single low-cost fund that rebalancs automatically. Does anybody know if Fidelity has the equivalent of VG's Lifestrategy funds? Or, can VG's Lifestrategy f...
by zrail
Tue Apr 23, 2019 9:36 am
Forum: Personal Finance (Not Investing)
Topic: Fidelity as a one stop shop
Replies: 753
Views: 80902

Re: Fidelity as a one stop shop

Another option is to open joint CMA account, so you end up with 3 CMA accounts - yours, joint, and hers. In your profile settings, you add her account so you can see it when you are logged in. Then, you transfer money from yours to joint (instant), and from joint to hers (instant as well). When she...
by zrail
Mon Apr 22, 2019 7:14 am
Forum: Personal Finance (Not Investing)
Topic: Rolling a Solo 401k into another
Replies: 1
Views: 138

Re: Rolling a Solo 401k into another

Typically all the businesses you own 100% are considered a “controlled group”. A controlled group can only have a single 401k plan for the whole group. As owner you have one combined $55k limit for the group. You should just have your plan provided change the name of the sponsor to your other company.
by zrail
Sun Apr 14, 2019 5:48 pm
Forum: Investing - Theory, News & General
Topic: Why no 199A deduction for Total Stock REITs?
Replies: 2
Views: 359

Re: Why no 199A deduction for Total Stock REITs?

According to the wiki VTSAX is 1.72% REITs. I’m guessing that the per-share number for those dividends rounds to $0 so they just don’t bother.
by zrail
Sat Apr 13, 2019 8:55 am
Forum: Personal Investments
Topic: Is the disaster scenario for stocks a reason not to invest or pull out of the market?
Replies: 94
Views: 7123

Re: Is the disaster scenario for stocks a reason not to invest or pull out of the market?

I think people have a tendency to generalize based on extremely rare events like the Great Depression and Great Recession. They see these terrible events that are talked about all the time and assume they happen all the time and ignore the fact that things like that just don’t happen very often. The...
by zrail
Wed Mar 27, 2019 10:00 am
Forum: Personal Finance (Not Investing)
Topic: Help Try to Get Fidelity to Offer Online Contributions to Solo 401(k) Plans
Replies: 14
Views: 896

Re: Help Try to Get Fidelity to Offer Online Contributions to Solo 401(k) Plans

The alternative is to pay someone for plan documents and just open as many Fidelity Investment-Only accounts as you want. I personally use MySolo401K but there are a bunch of options out there. I have separate investment-only accounts for traditional, Roth, and after-tax non-Roth for both me and my ...
by zrail
Tue Mar 05, 2019 11:48 am
Forum: Investing - Theory, News & General
Topic: Vanguard is Discontinuing their VanguardAdvantage Accounts
Replies: 623
Views: 53163

Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

The Fidelity CMA is a taxable brokerage account with a FDIC insured core position and a few other niceties. You can purchase any funds, equities, bonds, Treasuries, CDs, etc that you want. If you purchase a money market fund in the CMA Fidelity treats that as “available cash” and will automatically ...
by zrail
Sat Mar 02, 2019 9:31 am
Forum: Investing - Theory, News & General
Topic: Vanguard is Discontinuing their VanguardAdvantage Accounts
Replies: 623
Views: 53163

Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

A Fidelity CMA is an ordinary brokerage account with an FDIC-insured core position and debit card refunds. That’s it. Fidelity will automatically sell money market positions within a brokerage account (any brokerage account) to satisfy purchases or withdrawals. This means that you can purchase a mon...
by zrail
Wed Feb 20, 2019 5:03 pm
Forum: Investing - Theory, News & General
Topic: "Repurchase Agreements" in Vanguard Federal MM Fund
Replies: 10
Views: 942

Re: "Repurchase Agreements" in Vanguard Federal MM Fund

Fidelity’s treasury only money market fund has no minimum. Just saying :)
by zrail
Mon Feb 18, 2019 7:28 pm
Forum: Personal Finance (Not Investing)
Topic: Joining finances - what's easiest?
Replies: 38
Views: 2131

Re: Joining finances - what's easiest?

That sounds simple enough! Exactly what I am looking for, except for also just wanting a bit of separate pocket change each month. Thank you. We have one family checking account, one family savings account, and one family credit card. We have never felt the need to split our income. We work togethe...
by zrail
Sun Feb 17, 2019 4:24 pm
Forum: Personal Finance (Not Investing)
Topic: Fidelity as a one stop shop
Replies: 753
Views: 80902

Re: Fidelity as a one stop shop

Thank you, that sounds good. But may I ask why you are not using the brokerage account for the check transactions directly? Paranoia, I suppose. We use bill pay on that account but we don’t have check writing turned on. We write so few paper checks that topping up the CMA periodically hadn’t been a...
by zrail
Sun Feb 17, 2019 3:57 pm
Forum: Personal Finance (Not Investing)
Topic: Fidelity as a one stop shop
Replies: 753
Views: 80902

Re: Fidelity as a one stop shop

The CMA core position is FDIC insured. The CMA cannot have margin turned on. The debit card for the CMA refunds all transaction fees. Those are the only substantial differences from a regular Fidelity brokerage account as far as I can tell. We use a brokerage account for our primary account and have...
by zrail
Thu Jan 17, 2019 8:51 am
Forum: Personal Finance (Not Investing)
Topic: Using Cash Reserves to Provide Consistent Cash Flow into Checking Acct
Replies: 9
Views: 953

Re: Using Cash Reserves to Provide Consistent Cash Flow into Checking Acct

I solved this basic problem by having all of my income deposited into a brokerage account and then paying substantially all monthly expenses, absent things that require a live check, from that account. We float everything we can on a 2% cash back card that auto pays from the brokerage account, and t...
by zrail
Fri Jan 11, 2019 9:52 am
Forum: Personal Finance (Not Investing)
Topic: Fidelity Cash Management Account - Investments
Replies: 20
Views: 2480

Re: Fidelity Cash Management Account - Investments

Fidelity counts all of the money market funds in a brokerage or CMA account (which is literally just a brokerage account with a few extra features) as settled cash available to trade or withdraw, depending on deposit timing rules. Therefore they’ll sell money market funds to satisfy withdraws or oth...
by zrail
Sun Jan 06, 2019 7:14 pm
Forum: Personal Finance (Not Investing)
Topic: Do I still owe self-employment social security taxes?
Replies: 2
Views: 344

Re: Do I still owe self-employment social security taxes?

Schedule SE will take care of it. You won’t owe Social Security on the 1099 income.
by zrail
Fri Jan 04, 2019 2:21 pm
Forum: Personal Finance (Not Investing)
Topic: Wrap investing assets in an LLC
Replies: 19
Views: 1267

Re: Wrap investing assets in an LLC

I don't get how an LLC can provide you protection - wouldn't you be the owner of the equity in the LLC? If you were sued, the equity could be a source of repayment. Plaintiff gets a judgment against you and obtains a judgment lien against the equity in the LLC. Depending on state law, LLC’s can hav...
by zrail
Thu Jan 03, 2019 1:53 pm
Forum: Personal Finance (Not Investing)
Topic: [Tax Help] Post-employment payment: W2 or 1099?
Replies: 14
Views: 567

Re: Post-employment payment: W2 or 1099?

I would wait. There is no rush and they will have the forms to you in a few weeks so you’ll find out then. I wouldn’t be surprised if it just got wrapped into your W2.
by zrail
Wed Jan 02, 2019 3:18 pm
Forum: Personal Finance (Not Investing)
Topic: Wrap investing assets in an LLC
Replies: 19
Views: 1267

Re: Wrap investing assets in an LLC

Banks are going to ask if you’re self-employed and since you will say yes you’ll have to show two years of 1040s including all schedules. I don’t know of any circumstance where the government will care about paystubs outside of assistance programs, which you are unlikely to be applying for if you ha...
by zrail
Wed Jan 02, 2019 12:55 pm
Forum: Personal Finance (Not Investing)
Topic: Wrap investing assets in an LLC
Replies: 19
Views: 1267

Re: Wrap investing assets in an LLC

What is the actual problem you’re trying to solve with that? All mortgage underwriting is going to make you substantiate income for at least two years, which means either 1040s or W2s. The point of putting yourself on formal payroll would be to generate a W2 every year.
by zrail
Wed Jan 02, 2019 7:08 am
Forum: Personal Finance (Not Investing)
Topic: Wrap investing assets in an LLC
Replies: 19
Views: 1267

Re: Wrap investing assets in an LLC

I’ve thought about this quite a lot over the last few years and basically came to “nope” as my conclusion. The benefits of asset protection via an LLC are significantly oversold, in my opinion. It takes a lot of work (i.e. lawyer fees) to even potentially have a positive effect and without that up f...
by zrail
Mon Dec 31, 2018 6:09 pm
Forum: Personal Finance (Not Investing)
Topic: Can my employEE Solo 401K contribution be funded from 2 separate businesses (S-Corp and LLC)
Replies: 5
Views: 295

Re: Can my employEE Solo 401K contribution be funded from 2 separate businesses (S-Corp and LLC)

You likely have a controlled group of businesses if you own both businesses. A controlled group is treated as one company for 401k purposes so all of your W2 (S-Corp) and self-employment income (sole prop) is counted for employer contributions and you only need one plan. That means you only get one ...
by zrail
Mon Dec 31, 2018 3:38 pm
Forum: Personal Investments
Topic: Why companies don't allow post-tax 401k contribution?
Replies: 11
Views: 1366

Re: Why companies don't allow post-tax 401k contribution?

Another thing is that access to an after tax subaccount is incompatible with the safe harbor rules.
by zrail
Sat Dec 15, 2018 10:31 pm
Forum: Personal Finance (Not Investing)
Topic: Fidelity as a one stop shop
Replies: 753
Views: 80902

Re: Fidelity as a one stop shop

We use Fidelity for everything: taxable, cash management, IRAs, solo 401k, UTMAs and 529s. We use a normal brokerage account for taxable investing and day to day cash management and all of our "trusted" direct deposits and automatic withdrawals (credit card payments, insurance automatic payments, et...
by zrail
Thu Dec 13, 2018 11:56 am
Forum: Investing - Theory, News & General
Topic: Ok to invest in an LLC?
Replies: 33
Views: 1790

Re: Ok to invest in an LLC?

In my limited experience, operating agreements state membership in an exhibit and say “as amended from time to time” and have a whole section with rules for admitting new nembers. Single-member llc operating agreements are the only ones I’ve seen that omit all of that.
by zrail
Sun Dec 09, 2018 7:30 pm
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 4545
Views: 1169497

Re: What Movie Have You Recently Watched?

Frozen.

Twenty six times and counting.

Why yes I do have a toddler why do you ask?
by zrail
Sat Dec 01, 2018 7:12 am
Forum: Investing - Theory, News & General
Topic: Stock Buybacks Don't Increase Share Prices
Replies: 33
Views: 2882

Re: Stock Buybacks Don't Increase Share Prices

My understanding of market capitalization is Number of outstanding shared * current market price A share buyback works by reducing the left side of that formula in the hopes that the market will see increased earnings per share (same earnings, fewer shares) and increase the right side. Market cap do...
by zrail
Sat Nov 24, 2018 10:49 am
Forum: Personal Investments
Topic: Lump Sum into a taxable account, with monthly withdrawals to pay down mortgage?
Replies: 12
Views: 1224

Re: Lump Sum into a taxable account, with monthly withdrawals to pay down mortgage?

If you’re planning on moving in 10 years why are you accelerating payments at all? I would just lump sum invest and leave it. If you need it for the new house, you’ve got it without having to work out as much bridge financing.
by zrail
Mon Nov 12, 2018 6:30 pm
Forum: Investing - Theory, News & General
Topic: Feedback on "auto pilot" strategy
Replies: 6
Views: 857

Re: Feedback on "auto pilot" strategy

When I read the thread title I imagined we'd be discussing auto-investing in a LifeStrategy fund. I have so many questions! Are you building a portfolio of individual stocks? Does the Robinhood API let you buy fractional shares? If not, how are you dealing with the need to rebalance partial shares? ...
by zrail
Sun Nov 04, 2018 8:15 am
Forum: Personal Finance (Not Investing)
Topic: Fidelity Visa Rewards - Do you move the cash out of Fido?
Replies: 48
Views: 3984

Re: Fidelity Visa Rewards - Do you move the cash out of Fido?

We use the Fidelity card as our primary card and a Fidelity brokerage as our primary cash account (direct deposit, automatic payments, automatic taxable investing). Rewards just go into the cash position in that account.
by zrail
Sun Oct 28, 2018 7:00 pm
Forum: Personal Investments
Topic: All-in-one funds vs tax efficient allocation
Replies: 5
Views: 808

Re: All-in-one funds vs tax efficient allocation

This plan seems foolish to me. Presumably you had a reason why you went with all in one funds in the first place, be it simplifying what you need to do when the market changes or what your heirs will need to do when withdrawing. All in one funds have a very important function: they minimize the numb...
by zrail
Sun Oct 28, 2018 4:10 pm
Forum: Personal Finance (Not Investing)
Topic: Vanguard as a trustee
Replies: 33
Views: 3335

Re: Vanguard as a trustee

My understanding is that Vanguard won’t be a trustee If the trust includes any non-financial assets. They will accept non-Vanguard assets but over time will take every opportunity to convert to their own.
by zrail
Sun Oct 28, 2018 3:54 pm
Forum: Investing - Theory, News & General
Topic: Are you too wealthy for a LIQUID emergency fund?
Replies: 29
Views: 5132

Re: Are you too wealthy for a LIQUID emergency fund?

This is one of those perennial personal finance topics that everyone loves to discuss but at the end of the day there cannot be a general resolution. Everyone’s liquidity needs are different. At the beginning of the journey people have an “emergency fund”. As they proceed they decide two things: fir...
by zrail
Sun Oct 21, 2018 4:26 pm
Forum: Personal Finance (Not Investing)
Topic: Investing via LLC or S Corp - is there a self employment tax?
Replies: 6
Views: 496

Re: Investing via LLC or S Corp - is there a self employment tax?

LLC is an entity type. S-Corp is a Federal tax designation. LLCs, by default, have Federal pass through income status, the same as a sole proprietorship or partnership. That means all income that the entity earns retains it’s character as it passses to the owner’s Federal tax return. Captital gains ...
by zrail
Tue Sep 18, 2018 8:21 pm
Forum: Personal Finance (Not Investing)
Topic: Life Insurance...Social Security also pays?
Replies: 25
Views: 1577

Re: Life Insurance...Social Security also pays?

Don't think you can sock away the benefits in a savings account in the child's name with an eye for future college funds, a car for h.s. graduation, trip to Europe, etc. At the end of the term SSA will send you a form requesting a breakdown by category for how the money was spent, and, if any is le...
by zrail
Sun Aug 12, 2018 10:38 am
Forum: Personal Finance (Not Investing)
Topic: REITs - 20% Qualified Income Deduction
Replies: 70
Views: 5552

Re: REITs - 20% Qualified Income Deduction

Mutual funds are pretty explicitly pass through entities. I don’t understand how someone could look at these regulations and say REIT funds aren’t included, but I’m not an expert.
by zrail
Sun Aug 12, 2018 8:16 am
Forum: Personal Consumer Issues
Topic: Joint checking accounts.
Replies: 26
Views: 2228

Re: Joint checking accounts.

All direct deposits go to our joint account and then we have small automatic transfers to individual accounts. Seems to work well.
by zrail
Thu Aug 09, 2018 3:24 pm
Forum: Personal Investments
Topic: 529 vs. placing appreciated securities into a UTMA account
Replies: 8
Views: 544

Re: 529 vs. placing appreciated securities into a UTMA account

I don't know how CA laws are going to change (I don't think many states have publicly contemplated how TCJA affects their own tax forms yet), but I will say that this is exactly how I'm handling my daughters' college savings. My plan is to dump appreciated shares into their UTMAs every year and tax ...
by zrail
Sun Aug 05, 2018 8:03 am
Forum: Personal Finance (Not Investing)
Topic: Earn 1.5% on your checking account without the usual hoops (at Fidelity)
Replies: 72
Views: 13978

Re: Earn 1.5% on your checking account without the usual hoops (at Fidelity)

I set this up last week. The key thing in my mind is that they’ll only liquidate money market funds in the linked brokerage account, so if there is money in there you don’t want available for immediate spending just buy into a bond fund.
by zrail
Wed Aug 01, 2018 11:50 am
Forum: Investing - Theory, News & General
Topic: Fidelity Files for Four Fidelity ZERO℠ Funds (0.00% ER)
Replies: 807
Views: 86997

Re: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)

How will this self-indexed index be created and managed and how will that differ from existing indexes?
The indexing methodology is linked from Fidelity's info page. It seems pretty straightforward.