Search found 32 matches

by Chronos
Sun Sep 06, 2020 8:37 pm
Forum: Personal Investments
Topic: strategy to minimize tax when Convert Traditional 401k to Roth IRA
Replies: 19
Views: 1107

Re: strategy to minimize tax when Convert Traditional 401k to Roth IRA

Hi Eventually we all need to convert 401k traditional to IRA roth. After some google search, I found the following ideas: 1. move to state-tax free states to avoid state tax on conversion 2. start in early retirement before begins SS benefit to avoid tax on SS benefit 3. convert certain amount each...
by Chronos
Sun Sep 06, 2020 8:16 pm
Forum: Personal Investments
Topic: strategy to minimize tax when Convert Traditional 401k to Roth IRA
Replies: 19
Views: 1107

Re: strategy to minimize tax when Convert Traditional 401k to Roth IRA

The year you turn 63, your MAGI will begin to be used to determine IRMAA for the 2-year look back, assuming you begin Medicare B in year you turn 65. I didn't know this before, here explained more details, for those who may interest https://www.kitces.com/blog/irmaa-medicare-part-b-part-d-premium-s...
by Chronos
Sun Sep 06, 2020 7:48 pm
Forum: Personal Investments
Topic: strategy to minimize tax when Convert Traditional 401k to Roth IRA
Replies: 19
Views: 1107

Re: strategy to minimize tax when Convert Traditional 401k to Roth IRA

You don’t necessarily need to convert all the Traditional account to Roth. This is true because one would not necessarily need to pay tax on traditional 401(k)/IRA withdrawals because of the standard deduction and the many years that one has to make withdrawals. The standard deduction is only 12,40...
by Chronos
Sun Sep 06, 2020 7:42 pm
Forum: Personal Investments
Topic: strategy to minimize tax when Convert Traditional 401k to Roth IRA
Replies: 19
Views: 1107

Re: strategy to minimize tax when Convert Traditional 401k to Roth IRA

Hi rkhusky, Will you have any other income in retirement, such as a pension? I don't have pension, I am saving for 401k and Roth IRA, my goal is to save 1.5mil to be ready to retire. My current plan is to withdraw 401k when retirement start maybe in 60s and then begins SS at 70, then rIRA. What are ...
by Chronos
Sun Sep 06, 2020 7:21 pm
Forum: Personal Investments
Topic: strategy to minimize tax when Convert Traditional 401k to Roth IRA
Replies: 19
Views: 1107

Re: strategy to minimize tax when Convert Traditional 401k to Roth IRA

OP, Do you need to use ACA health insurance? If yes, the ACA subsidy consideration matters. KlangFool KlangFool, thanks for reminder. Ideally I want to retire at 60, but it would depend on if have enough money then. So if as plan goes retire at 60, I would need ACA health insurance to bridge the 5-...
by Chronos
Sun Sep 06, 2020 7:10 pm
Forum: Personal Investments
Topic: help to understand SS benefit tax calculation
Replies: 13
Views: 1209

Re: help to understand SS benefit tax calculation

Above posts have already explained the calculations in details. Should be enough to understand and follow. Here is another article with detailed example just in case it might help anyone who are as confused as I was. https://www.kitces.com/blog/the-taxation-of-social-security-benefits-as-a-marginal-...
by Chronos
Sun Sep 06, 2020 7:06 pm
Forum: Personal Investments
Topic: help to understand SS benefit tax calculation
Replies: 13
Views: 1209

Re: help to understand SS benefit tax calculation

Thanks a lot, everyone. A few more questions: 1. For row 3, the SS tax would be = 9874*10% = 1* 12%? For row 5, the SS tax would be = 9874*10% + (14450 -9874)*12% ? This is only tax for SS benefit? you will still need to pay regular fed tax for Non-SS income? For example, for row 3, besides the SS ...
by Chronos
Sun Sep 06, 2020 5:04 pm
Forum: Personal Investments
Topic: strategy to minimize tax when Convert Traditional 401k to Roth IRA
Replies: 19
Views: 1107

strategy to minimize tax when Convert Traditional 401k to Roth IRA

Hi Eventually we all need to convert 401k traditional to IRA roth. After some google search, I found the following ideas: 1. move to state-tax free states to avoid state tax on conversion 2. start in early retirement before begins SS benefit to avoid tax on SS benefit 3. convert certain amount each ...
by Chronos
Sun Sep 06, 2020 4:57 pm
Forum: Personal Investments
Topic: help to understand SS benefit tax calculation
Replies: 13
Views: 1209

Re: help to understand SS benefit tax calculation

Thanks a lot, everyone. A few more questions: 1. For row 3, the SS tax would be = 9874*10% = 1* 12%? For row 5, the SS tax would be = 9874*10% + (14450 -9874)*12% ? This is only tax for SS benefit? you will still need to pay regular fed tax for Non-SS income? For example, for row 3, besides the SS t...
by Chronos
Sun Sep 06, 2020 3:18 pm
Forum: Personal Investments
Topic: help to understand SS benefit tax calculation
Replies: 13
Views: 1209

help to understand SS benefit tax calculation

Hi Bogleheads, I have trouble to understand the SS tax calculation on wiki https://www.bogleheads.org/wiki/Taxation_of_Social_Security_benefits#Appendix:_derivation_of_tax_rate_boundaries, particularly the marked row in this table. Can anyone explain how "Taxable SS" and "Adjusted gro...
by Chronos
Sat Sep 05, 2020 1:59 pm
Forum: Personal Investments
Topic: should I get second IRA Roth account?
Replies: 5
Views: 678

should I get second IRA Roth account?

I currently only have one IRA Roth account with Fidelity. I just learned that if the account is less than 5-year old from 1st contribution, then you may suffer distribution tax or penalty. I am now ok with fiedlity, but say if later on I don't like Fidelity need to move money to ML, then the new ML ...
by Chronos
Mon Aug 31, 2020 11:53 am
Forum: Personal Investments
Topic: FSKAX vs VTI
Replies: 15
Views: 1289

Re: FSKAX vs VTI

Also, I prefer to hold ETFs in a taxable account for portability. I do not expect the best brokerage for me today will be the best brokerage for me in 10 or 20 years so portability is a consideration. a quick google search, said you can transfer investments in-kind as long as new brokerage offer th...
by Chronos
Mon Aug 31, 2020 9:50 am
Forum: Personal Investments
Topic: FSKAX vs VTI
Replies: 15
Views: 1289

Re: FSKAX vs VTI

another thing puzzled me, people always talk about ER and prefer lower ER, here VTI has er = 0.03%, FSKAX = 0.015%, but the outcome performance seems identical, so even if VTI charges er = 30%, as long as it delivers same performance why ER matters? if the performance results exactly same, why would...
by Chronos
Mon Aug 31, 2020 9:44 am
Forum: Personal Investments
Topic: FSKAX vs VTI
Replies: 15
Views: 1289

Re: FSKAX vs VTI

I think the behavioral advantage of automatic hands off contribution investing with FSKAX which is not available with ETF's will likely way, way exceed any de minimus advantage in taxes. Trying to understand here, do you mean FSKAX as mf can be invested fractional, i.e. if i only have 10$ i can inv...
by Chronos
Sun Aug 30, 2020 7:23 pm
Forum: Personal Investments
Topic: FSKAX vs VTI
Replies: 15
Views: 1289

FSKAX vs VTI

i know there are a few previous posts have compared the two and think VTI etf is more efficient than FSKA in a taxable account. But I just looked at the two and the key numbers slightly changed. Although FSKAX has a higher turn over rate 11% , but since QDI is 100%, does that mean the turn over rate...
by Chronos
Sun Aug 30, 2020 7:22 pm
Forum: Personal Investments
Topic: can't find fidelity 3m t-bill new issues
Replies: 8
Views: 634

Re: can't find fidelity 3m t-bill new issues

Thank you all, for the kind answers and help! @Katietsu, thank you for the reminder. I am not sure. I parked about 10k emergency fund at FZDXX, the yield is 0.01, almost nothing, I want to see if the ladder would be better off, but seems not:( @Jerry55, thank you for the example, I guess I will not ...
by Chronos
Sun Aug 30, 2020 3:31 pm
Forum: Personal Investments
Topic: can't find fidelity 3m t-bill new issues
Replies: 8
Views: 634

Re: can't find fidelity 3m t-bill new issues

Got it, thanks a lot. another stupid question, if I proceed to order, I don't see price, it said "The estimated value of this order cannot be calculated until after the security's price and yield have been established.". So when will I know the order price? Anyway to estimate the price now...
by Chronos
Sun Aug 30, 2020 3:17 pm
Forum: Personal Investments
Topic: can't find fidelity 3m t-bill new issues
Replies: 8
Views: 634

can't find fidelity 3m t-bill new issues

Hi I am trying to create a T-bill ladder, i want to buy 3m t-bill, which should be available now and auction date is tommorrow 8/31. But when logged on to fidelity, news&research-> fixed income, bonds, cds-> New issues, i only see 4 treasury, https://i.postimg.cc/7Z6zxyyD/Capture.jpg For the 4 t...
by Chronos
Sun Aug 23, 2020 1:44 pm
Forum: Personal Investments
Topic: 401k company match question
Replies: 3
Views: 332

401k company match question

I went through some 401k posts today, and understand better of the plan, but puzzled by one thing. 1. first hypothesis case, Tom earns $400k/year, company matches up to 6%, since the 401k employee contribution limit is $19500, so Tom can only contribute 4.875% = 19500/400k, and can only get company ...
by Chronos
Thu Aug 20, 2020 2:22 pm
Forum: Personal Investments
Topic: ETF and mutual fund dividend
Replies: 1
Views: 156

ETF and mutual fund dividend

Do ETF and mutual fund also have ex-dividend date as stock? and if you sold mutual fund and ETF before ex-dividend date, you won't get dividend?
by Chronos
Thu Aug 20, 2020 1:57 pm
Forum: Personal Investments
Topic: ML charges fee 0.04 for IVV , while others charge 0.03
Replies: 2
Views: 294

Re: ML charges fee 0.04 for IVV , while others charge 0.03

Thank you for explanation, that solved my puzzle :happy
by Chronos
Thu Aug 20, 2020 8:59 am
Forum: Personal Investments
Topic: ML charges fee 0.04 for IVV , while others charge 0.03
Replies: 2
Views: 294

ML charges fee 0.04 for IVV , while others charge 0.03

I checked on Yahoo finance and Fidelity research, both showed expense ratio for IVV is 0.03, but on ML showed 0.04. Was the expense ratio setup by the ETF fund or the broker separately?
by Chronos
Sat Aug 15, 2020 3:05 pm
Forum: Personal Investments
Topic: would 401k after tax over-contribute stop company match
Replies: 2
Views: 196

would 401k after tax over-contribute stop company match

Currently my company matches 401k every month of a fixed amount. I have maxed pre-tax contribution 19500$, and on the way to max 401k after-tax contribution, but worried if total 401k contribution reached annual limit of $57K, then that would automatically stopped company contribution in the rest of...
by Chronos
Sun Aug 09, 2020 8:36 pm
Forum: Personal Investments
Topic: Organize fidelity brokerage account
Replies: 10
Views: 1036

Organize fidelity brokerage account

This is a dumb question. I currently mixed stocks, ETF, Mutual fund, MMF in one brokerage account. It looks messy, just curious if others are doing same thing? Or if you got multiple brokerage account and separate them by category, say stocks in one acount, ETF/Mutual F/MMF in the other?
by Chronos
Sun Jun 07, 2020 7:59 pm
Forum: Personal Investments
Topic: please help on VLGSX
Replies: 5
Views: 491

please help on VLGSX

I put 3k to VLGSX last Thursday, and on last thursday, friday two days, lost $115 :(
I just want to put the spare money in mutual fund to earn some interest, thought this is a safe place. Now should I pull money out or wait till it recovered loss?

Appreciate your advice!
by Chronos
Sat May 30, 2020 12:25 pm
Forum: Personal Investments
Topic: FDPXX
Replies: 1
Views: 189

FDPXX

Hi FDPXX money market fund is available at both Merrill edge and Fidelity. However the 7-day yield is very different, at merrill, https://olui2.fs.ml.com/Publish/Content/application/pdf/GWMOL/ICCRateSheet.pdf, 7-day yield is 0.16%; at fidelity, https://fundresearch.fidelity.com/mutual-funds/summary/...
by Chronos
Thu Apr 30, 2020 11:13 am
Forum: Personal Investments
Topic: how to go around ATM daily limit to withdraw cash for emergency
Replies: 25
Views: 2752

Re: how to go around ATM daily limit to withdraw cash for emergency

User with only 3 post history, asking about daily withdrawl limit....having been victim recently of a theft, still dealing with credit companies.....I dont feel we should be giving any tips. Call the bank directly and they will tell you... I am sorry to hear that you have been victim for theft, but...
by Chronos
Thu Apr 30, 2020 11:09 am
Forum: Personal Investments
Topic: how to go around ATM daily limit to withdraw cash for emergency
Replies: 25
Views: 2752

Re: how to go around ATM daily limit to withdraw cash for emergency

I think credit card cash advance is possibility in emergency. I did some google research, and found this page https://www.magnifymoney.com/blog/best-of/20-credit-cards-no-cash-advance-fees189115277/ I have applied Penfed credit card, it's 0 fee for cash advance. The APR is 17.99%, but I will transfe...
by Chronos
Wed Apr 29, 2020 9:00 pm
Forum: Personal Investments
Topic: how to go around ATM daily limit to withdraw cash for emergency
Replies: 25
Views: 2752

Re: how to go around ATM daily limit to withdraw cash for emergency

With the Fidelity debit card you can walk into any bank branch and do a cash advance (no fees, up to about 15k for me). I just called fidelity customer service, they said fidelity doesn't charge for cash advance fee, but the other bank may do. Have you encounter any bank doesn't charge cash advance...
by Chronos
Wed Apr 29, 2020 8:19 pm
Forum: Personal Investments
Topic: how to go around ATM daily limit to withdraw cash for emergency
Replies: 25
Views: 2752

Re: how to go around ATM daily limit to withdraw cash for emergency

Bank with a company that has physical branches. If you're going online-only, not being able to do this is one of the trade-offs. I am worried that if any emergency situation happened and need large amount of cash immediately, how to get cash out immediately? Can you describe an actual situation tha...
by Chronos
Tue Apr 28, 2020 9:56 am
Forum: Personal Investments
Topic: how to go around ATM daily limit to withdraw cash for emergency
Replies: 25
Views: 2752

how to go around ATM daily limit to withdraw cash for emergency

I currently parked emergency cash in fidelity, vanguard, and ally, the vanguard doesn't have atm or bank, can only be transferred to other place then withdraw. The daily ATM withdraw limit for fidelity and ally is 500 and 1k. I am worried that if any emergency situation happened and need large amoun...
by Chronos
Fri Apr 17, 2020 2:17 pm
Forum: Personal Investments
Topic: dividend of FUMBX and SPRXX
Replies: 4
Views: 394

dividend of FUMBX and SPRXX

I parked some cash at fidelity index fund FUMBX and MMF SPRXX. Both have ex-div date in the end of month, like Apr 30.

If i withdraw in mid of month, will I get half of monthly interest or 0 because I missed ex-div date?

Thank you

Od