Search found 21 matches

by gmehta
Mon Sep 30, 2019 6:06 pm
Forum: Investing - Theory, News & General
Topic: Where do institutions that offer high-yields savings account invest
Replies: 9
Views: 706

Re: Where do institutions that offer high-yields savings account invest

dbr wrote:
Mon Sep 30, 2019 5:51 pm
2% is not high. It is a historically low interest rate.
True. Though they market it as High Yield Savings Account
by gmehta
Mon Sep 30, 2019 5:35 pm
Forum: Investing - Theory, News & General
Topic: Where do institutions that offer high-yields savings account invest
Replies: 9
Views: 706

Where do institutions that offer high-yields savings account invest

Curious about this: There are quite a few institutions that offer high yield savings accounts. These are Goldman sachs, discover, sofi etc. Where do these guys invest to give a yield of 2%? Do they invest in other high yield instruments or is there something simple they invest to give 2% yield to cu...
by gmehta
Fri Mar 01, 2019 12:31 am
Forum: Personal Investments
Topic: Stock market current state and investing
Replies: 25
Views: 2020

Re: Stock market current state and investing

I am new to investing and am in my early 40s. I have decided to go with 3 fund portfolio after going through this forum for the last few weeks. After a 10 year bull run everyone is expecting a stock market crash soon. I have cash sitting in savings account apart from my 401K that I plan to invest i...
by gmehta
Fri Mar 01, 2019 12:30 am
Forum: Personal Investments
Topic: Want no interest, dividends or distributions in 2019
Replies: 45
Views: 4756

Re: Want no interest, dividends or distributions in 2019

H-Town wrote:
Thu Feb 28, 2019 6:26 pm
Private Equity funds.
How does one invest in PE funds?
by gmehta
Wed Feb 27, 2019 5:40 pm
Forum: Personal Investments
Topic: Great Goofs
Replies: 47
Views: 4617

Re: Great Goofs

1. Not putting money in 401K for first 3 years (leaving money on the table for the match)
2. Not having enough wisdom about investing and starting late in the game at 35 for the simple 3 fund portfolio investment
by gmehta
Mon Feb 11, 2019 3:50 pm
Forum: Personal Investments
Topic: Alternative to checking account for short term deposit
Replies: 18
Views: 1362

Re: Alternative to checking account for short term deposit

How short is your short term? I have put money in VCADX for now. It is intermediate Muno Bond Fund. Returns are Federal and State Tax exempt.
by gmehta
Tue Feb 05, 2019 4:47 pm
Forum: Personal Investments
Topic: Which out of VTI, VXUS, BND to hold in ROTH IRA
Replies: 11
Views: 1638

Re: Which out of VTI, VXUS, BND to hold in ROTH IRA

Which out of VTI, VXUS, BND to hold in ROTH IRA In general it's better to put assets with higher expected growth (stocks) in Roth accounts and assets with lower expected growth (bonds) in pre-tax accounts. That's because you've already paid the taxes in the Roth accounts so future growth is tax-fre...
by gmehta
Mon Feb 04, 2019 12:35 pm
Forum: Non-US Investing
Topic: Is there a 529 (US) equivalent in Australia
Replies: 2
Views: 362

Is there a 529 (US) equivalent in Australia

Hi,

Does anyone know if there is a college savings plan in Australia (similar to the 529 we have in US)?


Thanks
by gmehta
Fri Feb 01, 2019 9:14 pm
Forum: Personal Investments
Topic: Which out of VTI, VXUS, BND to hold in ROTH IRA
Replies: 11
Views: 1638

Which out of VTI, VXUS, BND to hold in ROTH IRA

Hi,

I am looking to invest in the 3 funds. I know that ROTH IRA allows tax free growth. My question is which out of these 3 funds should be held in ROTH IRA and why.

Thanks
by gmehta
Wed Jan 30, 2019 7:19 pm
Forum: Personal Investments
Topic: Can you do short term trading using RothIRA
Replies: 2
Views: 227

Can you do short term trading using RothIRA

This may sound silly. Had a question about short term trading. Can you do that with funds in Roth IRA. Given that you have certain money in Roth IRA and you want to do some short term trades on certain stocks, would it be allowed. Also since the Roth is post tax and not taxable when withdrawn at 60,...
by gmehta
Wed Jan 30, 2019 12:57 pm
Forum: Personal Investments
Topic: California high tax bracket, where to park cash?
Replies: 18
Views: 2519

Re: California high tax bracket, where to park cash?

I'd probably want stable value so I'd go with a money market, or national or CA muni money market, or savings account, or short term treasury. I would probably check rates every few months and bounce around but you're talking about very little difference at this point. Today's auction rate is 2.60%...
by gmehta
Wed Jan 30, 2019 12:53 pm
Forum: Personal Investments
Topic: California high tax bracket, where to park cash?
Replies: 18
Views: 2519

Re: California high tax bracket, where to park cash?

I think you have the right idea. I find US Treasury Bills/Notes to better than Savings/CDs as you save state tax. Obviously Municipal bonds you save both federal and state taxes. The tax equivalent yield is usually calculated as: advertised yield / (1 - tax rate) So if you are in the 24% federal br...
by gmehta
Wed Jan 30, 2019 12:50 pm
Forum: Personal Investments
Topic: Questions about Short Term Investment in Vanguard Treasury Money Market Fund
Replies: 4
Views: 563

Re: Questions about Short Term Investment in Vanguard Treasury Money Market Fund

I am assuming you don't need all cash in one shot. if yes, why not do few 1yr ladders of CDs of 5k each with Ally (2.75% rate for 1yr CD) along with the options that you are thinking for rest of the money. @godsgift73: Would it also make sense to look at something like VCADX (Vanguard California In...
by gmehta
Wed Jan 30, 2019 12:17 pm
Forum: Personal Investments
Topic: Questions about Short Term Investment in Vanguard Treasury Money Market Fund
Replies: 4
Views: 563

Questions about Short Term Investment in Vanguard Treasury Money Market Fund

Hi, I have some cash (150-200K) that I am looking to hold for Real Estate Investing in the next 12-18 months. I don't want to keep cash in my account so looking at short term investment that will generate something, which is better than nothing. Some options that I looked at were 1. Savings Account ...
by gmehta
Fri Oct 19, 2018 1:39 am
Forum: Personal Investments
Topic: How much post-tax dollars can you really put in tIRA each year
Replies: 7
Views: 874

Re: How much post-tax dollars can you really put in tIRA each year

https://www.bogleheads.org/wiki/Bbackdoor_Roth_IRA Have you read this? Your questions are confusing.........your title sounds like you want to put post-tax dollars into TIRA but post "How does backdoor work if I cannot contribute pre-tax dollars to tIRA?" suggests you want to contribute pre-tax. Wh...
by gmehta
Thu Oct 18, 2018 11:35 pm
Forum: Personal Investments
Topic: How much post-tax dollars can you really put in tIRA each year
Replies: 7
Views: 874

Re: How much post-tax dollars can you really put in tIRA each year

Contributions from pre-tax money is for a Traditional. Post-tax contributions are for a Roth. The combined limit is $5500 if under age 50. Next year it will go to $6000. @Flyer24: Sorry I am confused. I have been reading backdoor to Roth IRA if you maximize your 401K. How does backdoor work if I ca...
by gmehta
Thu Oct 18, 2018 11:18 pm
Forum: Personal Investments
Topic: How much post-tax dollars can you really put in tIRA each year
Replies: 7
Views: 874

How much post-tax dollars can you really put in tIRA each year

Hi, Trying to understand how much post-tax money can you really contribute to Traditional tIRA. Have been reading that the limit is $5,500 per year if you are under 50. Is that really the case. Is the limit $5,500 on pre-tax or post-tax contribution or is that the same whether you do either. Thanks
by gmehta
Thu Oct 18, 2018 1:35 am
Forum: Personal Investments
Topic: Is there a benefit of investing in Traditional IRA if company provides 401K
Replies: 23
Views: 2101

Re: Is there a benefit of investing in Traditional IRA if company provides 401K

@chuck: As per IRS, if the AGI for married filing jointly is > $199K, then you can contribute nothing to Roth IRA correct. https://www.irs.gov/retirement-plans/plan-participant-employee/amount-of-roth-ira-contributions-that-you-can-make-for-2018 In that case, the only option remaining for investmen...
by gmehta
Wed Oct 17, 2018 2:57 pm
Forum: Personal Investments
Topic: Is there a benefit of investing in Traditional IRA if company provides 401K
Replies: 23
Views: 2101

Re: Is there a benefit of investing in Traditional IRA if company provides 401K

@chuck: As per IRS, if the AGI for married filing jointly is > $199K, then you can contribute nothing to Roth IRA correct. https://www.irs.gov/retirement-plans/plan-participant-employee/amount-of-roth-ira-contributions-that-you-can-make-for-2018 In that case, the only option remaining for investment...
by gmehta
Wed Oct 17, 2018 2:04 pm
Forum: Personal Investments
Topic: Is there a benefit of investing in Traditional IRA if company provides 401K
Replies: 23
Views: 2101

Is there a benefit of investing in Traditional IRA if company provides 401K

Hi, My employer provides a 401K match. I have invested the $18,500 in the 401K for this year. Company doesn't provide any IRA. Also since my salary is around 200K, I don't think I am eligible for Roth IRA anyway. Given that, does it make sense to invest in Traditional IRA (another 5500). What is the...
by gmehta
Tue Oct 16, 2018 4:13 pm
Forum: Personal Investments
Topic: What does having bond ETF in Tax Advantaged accounts mean?
Replies: 2
Views: 314

What does having bond ETF in Tax Advantaged accounts mean?

Hi Bogleheads, I am relatively new to investing. Been working in US for last 6 years Have around 50K invested in my 401K so far.My 401K is with Fidelity and the money is invested in RFITX https://www.americanfunds.com/individual/investments/fund/rfitx I am looking to start investing around 4-5K into...