Search found 73 matches
- Sat Jan 06, 2024 10:54 am
- Forum: Personal Finance (Not Investing)
- Topic: HELOC/boat purchase
- Replies: 33
- Views: 3011
Re: HELOC/boat purchase
I have an existing HELOC which I believe gives me access to 150,000 at 8.9%. I opened it years ago and remember it had an introductory rate of....3% but I never used it. I am in the process of upgrading a boat for the family - I will need around 61,000. The dealership offers financing with a bank at 9%. I have access to around 25,000 in savings - and over 1 million in a brokerage account (outside of my 403b/Roth/457/529). My wife and I are HS teachers - we make over 250,000 annually and live well below our means with our 3 children. What do you feel is the wisest way to go about financing this new purchase? I really appreciate any thoughts one can share - I'm entering new territory with such a purchase. If you itemize and the boat qualifie...
- Fri Nov 10, 2023 10:40 am
- Forum: Personal Finance (Not Investing)
- Topic: Missed a contribution on prior year 8606
- Replies: 2
- Views: 462
Re: Missed a contribution on prior year 8606
Are you making the Traditional IRA contribution to a zero balance IRA account, then converting it all to a Roth IRA, then again leaving a zero balance in the Traditional IRA until next year? (aka "Backdoor Roth IRA contribution") Sort of. I have a rollover IRA that I need to move back into my new 401k before I convert these contributions (that are to a separate IRA) to a Roth -- to avoid the pro rata rule. So in the interim, I have several years of uninvested annual contributions in this traditional IRA account that I haven't done anything with. Once I roll the rollover _back_ into a 401k, then I will be free of the pro rata rule, and can convert these contributions to Roth. Of course I'll have a few bucks in taxes to pay on the ...
- Fri Nov 10, 2023 8:16 am
- Forum: Personal Finance (Not Investing)
- Topic: Missed a contribution on prior year 8606
- Replies: 2
- Views: 462
Missed a contribution on prior year 8606
I have made non-deductible contributions to my traditional IRA to then perform a conversion to Roth. However, I seem to have missed tracking a contribution, perhaps on my 2021 or 2020 taxes. This is likely because I made a 2020 contribution around March 2021 but I haven't fully tracked it down in my statements--which I am currently doing. After reading the WIKI: Penalty for failure to file Form 8606. Although IRS forms and publications say "you will have to pay a $50 penalty if you don’t file a required Form 8606, unless you can prove that the failure was due to reasonable cause,"[2] experience has shown that penalty is (almost?) never assessed if you simply send the IRS any such forms you neglected to file. Send them to the same ...
- Tue Aug 08, 2023 12:24 pm
- Forum: Investing - Theory, News & General
- Topic: Did the high rate of return really lead to financial independence?
- Replies: 48
- Views: 7962
Re: Did the high rate of return really lead to financial independence?
That last part of your comment is not what I’ve found. It’s dependent on the state of the investment markets, of course, but after taxes and a modest lifestyle expense a mid seven figure 70/30 portfolio is typically going to outperform a $400,000 income at a 40-50% savings rate. A reasonable 6% return on $5MM (that’s as mid seven figures as you can get) is going to be $300,000, and I’m pretty sure a $400,000 annual household income in my state of residence puts you in the top 1%, so it’s a fair comparison. My 70/30 portfolio return is in the range of $500,000 this year so far and it’s not $5MM, nor is it particularly aggressive. I was thinking this as I read the comment but figured $5.5MM was closer to "as mid seven figures as you can...
- Thu Jan 12, 2023 10:33 pm
- Forum: Personal Investments
- Topic: Investing after tax IRA before conversion
- Replies: 14
- Views: 1594
Re: Investing after tax IRA before conversion
This really is what I'm asking about: the taxable gains that accrue. I wonder if I should just keep making taxable contributions and let it grow.
I don't think my situation is uncommon in the wild, though it may be on this forum. Thanks to everyone for their comments. All provide things to consider.
- Wed Jan 11, 2023 10:27 pm
- Forum: Personal Investments
- Topic: Investing after tax IRA before conversion
- Replies: 14
- Views: 1594
Re: Investing after tax IRA before conversion
I'm also curious if growth in the IRA that only has post tax contributions is good or bad. You seem to be of the opinion that you have two different pools of money that are to be treated differently, a Rollover IRA and an IRA with only post-tax contributions. The IRS treats all IRAs together as a single pool of money, so gains in the IRA with post-tax contributions has exactly the same implications as gains in your Rollover. It will be taxed in exactly the same manner - at time of withdrawal from the IRA (either through distribution or conversion). I didn't mean to give you that impression of my opinion. My after tax contributions are in one ira; my pretax contributions are in my current 401k and a rollover ira. For me now, they ARE separa...
- Mon Dec 26, 2022 8:36 am
- Forum: Personal Investments
- Topic: Investing after tax IRA before conversion
- Replies: 14
- Views: 1594
Re: Investing after tax IRA before conversion
Let's leave the investing question aside for now and clarify the situation: I have ~500k in a rollover IRA from my previous employer's 401k. Spouse and I do not qualify for deductible IRAs . A couple years ago I got wise and started doing after tax IRA contributions for each of us. Spouse has no other IRAs so I immediately convert that one to Roth. . . . Meanwhile, I have 2 prior years' contributions in my after tax IRA and am about to add another 6k. I have not invested this IRA, which is at Fidelity; it sits in SPAXX. IRAs are not deductible or non-deductible, but their contributions are. This is what I think is meant: I have ~500k in a rollover IRA from my previous employer's 401k. [This money was pre-tax, else it would have been rolled...
- Mon Dec 26, 2022 8:29 am
- Forum: Personal Investments
- Topic: Investing after tax IRA before conversion
- Replies: 14
- Views: 1594
- Wed Dec 21, 2022 1:41 pm
- Forum: Personal Investments
- Topic: Investing after tax IRA before conversion
- Replies: 14
- Views: 1594
Investing after tax IRA before conversion
Hello Bogleheads! I have ~500k in a rollover IRA from my previous employer's 401k. Spouse and I do not qualify for deductible IRAs. A couple years ago I got wise and started doing after tax IRA contributions for each of us. Spouse has no other IRAs so I immediately convert that one to Roth. My 401k allows roll-ins but I have to liquidate and send the check myself. I'm wary of the time out of the market and how much time that will take to fully process - there is no good time except with the benefit of hindsight (shrug). Meanwhile, I only have 2 prior years' contributions of only post tax money (plus tiny mm gains) in this IRA and am about to add another 6k. I have not invested this IRA, which is at Fidelity; it sits in SPAXX. I have 3 quest...
- Wed Jul 06, 2022 9:08 am
- Forum: Personal Consumer Issues
- Topic: Central A/C bad capacitor symptoms?
- Replies: 55
- Views: 14533
Re: Central A/C bad capacitor symptoms?
When the capacitor is bad the compressor won't start but the fan will be running. Your fan is bad or it doesn't have power. If you have a multimeter you might be able to self-diagnose. The fan is probably back ordered or out of production, though. Good luck! Wrong. There’s usually 1 or 2 compressor capacitors AND a fan capacitor. A bad FAN capacitor can prevent an otherwise ok fan motor from running. I'm sure there are all manner of configurations but I've rarely seen an AC unit with a fan capacitor. Either way, it shouldn't be hard to diagnose with a multimeter. Each of my ACs, different brands, have fan capacitors. Some are mounted directly on fan motor. While I prefer to test the capacitor, one trick is to CAREFULLY rotate the energized...
- Mon May 23, 2022 6:16 pm
- Forum: Personal Finance (Not Investing)
- Topic: Noisy HVAC, Tech says it's normal, Disclose to potential buyer?
- Replies: 10
- Views: 1320
Re: Noisy HVAC, Tech says it's normal, Disclose to potential buyer?
I believe I've had that before. It sounds like a trumpet or an elephant. Brief, half a second to 1 second.
If that's what you hear then it's ok. There's a valvd that releases pressure when the system swaps between heat and cool (I think). This is to keep the unit from freezing, either at the coil or the unit, depending on mode.
Nothing to disclose.
If that's what you hear then it's ok. There's a valvd that releases pressure when the system swaps between heat and cool (I think). This is to keep the unit from freezing, either at the coil or the unit, depending on mode.
Nothing to disclose.
- Sun Mar 06, 2022 7:21 am
- Forum: Personal Consumer Issues
- Topic: email server(?)
- Replies: 25
- Views: 2267
Re: email server(?)
This response is a lot like the financial ones where a simple question derails into other things exposed when asking. TL;DR: Mail seems like an easy place for malware to enter your computer. I would start with the windows upgrade, then get thunderbird up to this decade. I agree with others, you need to be off win 7. Good ransomware isn't passive, it's managed by people over time. Good ransomware is aware of the things you do to avoid it like plugging in a USB drive and making calls to various online backup services. That's relatively trivial stuff once your operating system is hacked. It happens to companies too, and often their backups are corrupted by the ransomware because the ransomware waited until all cycles/copies were fully corrupte...
- Tue Nov 09, 2021 6:16 pm
- Forum: Personal Consumer Issues
- Topic: 4Glte mobile hotspot, are its days numbered?
- Replies: 11
- Views: 1216
Re: 4Glte mobile hotspot, are its days numbered?
4g is within the frequency bands of 5g so there's really no reason other than wanting to, to disable. Why would they want to? Maybe they're losing money on your unlimited hot spot. Dunno.
- Wed Oct 27, 2021 8:23 pm
- Forum: Personal Consumer Issues
- Topic: Grade 3 student - what extra study to take?
- Replies: 44
- Views: 3588
Re: Grade 3 student - what extra study to take?
Something fun, not study. We all need more of that.
Don't steal youth from the young!
Though, I was not exceptional so no actionable recommendations. Maybe practice up on conditional and conditional subjunctive to be perfect?
Amazing that we can discuss this but not crypto.
Don't steal youth from the young!
Though, I was not exceptional so no actionable recommendations. Maybe practice up on conditional and conditional subjunctive to be perfect?
Amazing that we can discuss this but not crypto.
- Sun Oct 03, 2021 8:32 am
- Forum: Personal Finance (Not Investing)
- Topic: So We're Going to Have a Baby - 529s, Health Insurance, Life Insurance, Other Financial Considerations
- Replies: 35
- Views: 3565
Re: So We're Going to Have a Baby - 529s, Health Insurance, Life Insurance, Other Financial Considerations
With health insurance you cannot change plans when you have a baby. You will be able to add a dependant to whatever plan you already have until open enrollment comes around again. Baby will be covered under mother's plan for the first days / weeks automatically even if you don't eventually add baby to a plan. Verify this but was my experience.
- Wed Jun 16, 2021 7:33 am
- Forum: Personal Finance (Not Investing)
- Topic: Custom Home Build Cost
- Replies: 18
- Views: 2585
Re: Custom Home Build Cost
In over your heads for the cost? A 2.5m loan on a 1.5m income... Seems ok. No one would be asking about a 250k loan on a 150k income.
You may be in over your heads controlling costs and getting value for your money on a custom build depending on your prior experience.
I'd go for it.
You may be in over your heads controlling costs and getting value for your money on a custom build depending on your prior experience.
I'd go for it.
- Thu Jun 03, 2021 6:51 pm
- Forum: Personal Consumer Issues
- Topic: What exactly is the selling point of "pre-paid" cellular/mobile plans?
- Replies: 118
- Views: 12245
Re: What exactly is the selling point of "pre-paid" cellular/mobile plans?
If you're not a heavy bandwidth data user then you probably don't care. If you use your gigs, distributed evenly over the month, and you're in an area where deprioritization isn't a problem, then prepaid can be a real money saver.
Deprioritization is a problem for me in my area with my service so I have no choice but to post pay if I want to maintain my priority (i.e. throughput).
YMMV
Deprioritization is a problem for me in my area with my service so I have no choice but to post pay if I want to maintain my priority (i.e. throughput).
YMMV
- Wed May 12, 2021 5:39 am
- Forum: Investing - Theory, News & General
- Topic: Guideline 401k adds 0.08% aum fee
- Replies: 28
- Views: 5121
Re: Guideline 401k adds 0.08% aum fee
So, now the inevitable question: what/who should we change to if we're not happy with this? Any other providers offering a deal to move in light of this? Is guide line still better than those it directly competes with?
- Thu Apr 29, 2021 7:50 pm
- Forum: Personal Finance (Not Investing)
- Topic: Payoff mortgage before selling
- Replies: 2
- Views: 490
Re: Payoff mortgage before selling
Thanks, I was thinking that they charge for the payoff but if I just paid a lump sum I wouldn't get that charge. What do I know though. I've never actually paid off a mortgage without another mortgage
- Thu Apr 29, 2021 7:41 pm
- Forum: Personal Finance (Not Investing)
- Topic: Payoff mortgage before selling
- Replies: 2
- Views: 490
Payoff mortgage before selling
I'm going to sell one of my rentals in the next few months. I can let the settlement pay off the loan or I could pay it off now. The money I would use is earning less than the mortgage interest rate, even after taxes.
Will I save anything at settlement by having a paid off house or will it just complicate things?
Will I save anything at settlement by having a paid off house or will it just complicate things?
- Wed Mar 31, 2021 7:48 pm
- Forum: Personal Finance (Not Investing)
- Topic: $1M / $5M Geico Umbrella Policy in Florida: Are These Numbers Insane?
- Replies: 40
- Views: 4565
Re: $1M / $5M Geico Umbrella Policy in Florida: Are These Numbers Insane?
I didn't know that was a thing. What's the threshold for outgrowing a non-HNW insurer? Surely, for insurance, you can include your house in your net worth!
- Tue Mar 23, 2021 8:47 am
- Forum: Personal Investments
- Topic: After Tax Traditional to Roth - timing, taxes and forms
- Replies: 6
- Views: 748
Re: After Tax Traditional to Roth - timing, taxes and forms
Thank you for the replies. I didn't realize that inherited IRAs would affect the conversion. Guess I'll have to rethink this whole thing. This is the first time you have mentioned inherited ira but those do NOT get included. I guess I misunderstood this part from the wiki: "Because IRAs are Individual accounts, the IRAs of one spouse do not affect the proration of the other spouse's conversion, even when filing MFJ. Similarly, if an individual has an Inherited IRA with some basis in it as well as their own Traditional IRAs (with or without basis), the tax calculations for the Inherited IRA are done separately from the other Traditional IRAs the beneficiary may have." It's clearer from the examples further down that inherited IRAs...
- Mon Mar 22, 2021 9:03 pm
- Forum: Personal Investments
- Topic: After Tax Traditional to Roth - timing, taxes and forms
- Replies: 6
- Views: 748
Re: After Tax Traditional to Roth - timing, taxes and forms
Thank you for the replies. I didn't realize that inherited IRAs would affect the conversion. Guess I'll have to rethink this whole thing.
- Mon Mar 22, 2021 12:53 pm
- Forum: Personal Investments
- Topic: After Tax Traditional to Roth - timing, taxes and forms
- Replies: 6
- Views: 748
After Tax Traditional to Roth - timing, taxes and forms
The scene: I opened a traditional IRA with Fidelity this year. In early March 2021, I contributed 6k (unable to take the deduction) for tax year 2020. I have a pre-existing Roth with Fidelity. I have a rollover IRA (prior 401k, 100% pre-tax) with Fidelity. This is the only traditional IRA I have. I see the 8606 show up in TurboTax (yay). I have a current 401k that will accept the rollover IRA. The questions: - Can I transfer the 6k to my Roth *now* and at some point in this calendar year get the rollover IRA rolled into my 401k? - Should I invest the 6k per my asset allocation (100% total stock market) and pay taxes on the gains (if applicable) when I finally make the transfer from the IRA to the Roth? - Should I leave the 6k in the cash fu...
- Fri Feb 26, 2021 1:41 pm
- Forum: Personal Finance (Not Investing)
- Topic: How much does your employer contribute toward your health insurance?
- Replies: 26
- Views: 1644
Re: How much does your employer contribute toward your health insurance?
Mine pays 100%.
Wife's pays 100% of family plan for her and the kids minus me.
Both silver national plans with decent coverage.
Wife's pays 100% of family plan for her and the kids minus me.
Both silver national plans with decent coverage.
- Wed Jan 13, 2021 6:37 am
- Forum: Personal Consumer Issues
- Topic: Small tank water heater for sink and dishwasher
- Replies: 9
- Views: 814
Re: Small tank water heater for sink and dishwasher
Your dishwasher has a heating element in it. You probably don't need to give it immediate hot water. It will take care of itself. If you're concerned about your sink water that's a different issue.
- Sat Dec 26, 2020 8:56 am
- Forum: Personal Investments
- Topic: Super Conservative in Early Retirement?
- Replies: 48
- Views: 5754
Re: Super Conservative in Early Retirement?
My mini fridge keeps going out so I intend to invest for my Haiers.JoeRetire wrote: ↑Sat Dec 26, 2020 6:40 amI own a large hay field, so hope to invest for my hayers.abuss368 wrote: ↑Fri Dec 25, 2020 2:35 pmPriceless.ruralavalon wrote: ↑Fri Dec 25, 2020 1:04 pmI may be going bald, so hope to invest for my hairs.CyclingDuo wrote: ↑Fri Dec 25, 2020 12:05 pmWe always invest for our hares...
Merry Christmas!
CyclingDuo
- Fri Dec 25, 2020 7:50 am
- Forum: Personal Consumer Issues
- Topic: Word Solver Programs / Apps
- Replies: 15
- Views: 1420
Re: Word Solver Programs / Apps
Painter
- Mon Dec 14, 2020 6:03 pm
- Forum: Personal Investments
- Topic: Short term return
- Replies: 6
- Views: 568
Re: Short term return
I definitely will need need the money but if it were to be up or down a bit I'd be just fine. I think one of these funds may be what I need. Thank you for the comment.ruralavalon wrote: ↑Sat Dec 12, 2020 10:34 am
The best savings accounts are around 0.50% -- 0.60%: bankrate.com.
There are currently no good choices with both high safety and reasonable return.
How certain is the "may need"? If willing to have some risk then a conservative balanced fund might work, such as:
1) Vanguard Target Retirement Income Fund (VTINX), 30% stocks/70% bonds, SEC Yield = 1.70%;
2) Vanguard LifeStrategy Income Fund (VASIX) 20% stocks/80% bonds, SEC Yield = 1.76%.
- Mon Dec 14, 2020 6:00 pm
- Forum: Personal Investments
- Topic: Short term return
- Replies: 6
- Views: 568
Re: Short term return
No, there are no good options that are actually helpful. For 18 months beating some yield or another is not a particularly useful thing to do as there is not enough time in investment for higher yield to benefit significantly. The one question to ask is how painful it would be if at the time you want the money the value has increased or decreased by an unpredictable amount. The standard deviation of annual returns for VWEHX is about 7%, meaning it could happen in any given year that the holding would gain or lose 5% or 10% (including yield) just like that. I doubt you would really want high yield bonds. What you mean by "may" would still need some thought. If you really want more return and risk is ok, then invest part of the mon...
- Sat Dec 12, 2020 9:48 am
- Forum: Personal Investments
- Topic: Short term return
- Replies: 6
- Views: 568
Short term return
I have low six figures that I may need at any point over the next 18 months. Currently, it's in a Capital One high yield savings. Any options that can beat this? I'm ok with mild risk (e.g. Highly rated bonds).
Any reasonable recommendations that preserve liquidity within 30 days notice but also generate more return than I'm getting?
I currently have accounts at Vanguard and Fidelity.
Thank you for reading!
Any reasonable recommendations that preserve liquidity within 30 days notice but also generate more return than I'm getting?
I currently have accounts at Vanguard and Fidelity.
Thank you for reading!
- Wed Nov 11, 2020 9:44 am
- Forum: Personal Consumer Issues
- Topic: Any Lego experts out there?
- Replies: 30
- Views: 3948
- Wed Oct 21, 2020 11:53 pm
- Forum: Personal Finance (Not Investing)
- Topic: Personal capital: Retirement plan review and $100
- Replies: 8
- Views: 1408
Re: Personal capital: Retirement plan review and $100
I'm curious why you get picked for this offer. Seems like their algorithms would know that your portfolio is not likely to improve with their added fees. I inherited an account at ameriprise. They immediately started telling me how I can save on fees. I also immediately transferred it away from ameriprise.
I don't believe they would intentionally waste their money. Maybe something about your MN accounts warrants review anyway. Just thinking out loud.
I don't believe they would intentionally waste their money. Maybe something about your MN accounts warrants review anyway. Just thinking out loud.
- Mon Sep 28, 2020 6:16 pm
- Forum: Personal Consumer Issues
- Topic: Vacuum for mostly hardwood floors...
- Replies: 48
- Views: 4207
Re: Vacuum for mostly hardwood floors...
Shark ion p50.
Love it.
Also have a Dyson but rarely use it
Love it.
Also have a Dyson but rarely use it
- Tue Aug 04, 2020 4:55 pm
- Forum: Personal Investments
- Topic: Can a small company offer decent 401k options?
- Replies: 26
- Views: 1556
Re: Can a small company offer decent 401k options?
We have guideline and it has been fine with low expense ratio vanguard funds as the only option. Fees are low and you can get a tax credit these days to offset startup costs.
- Tue Aug 04, 2020 4:51 pm
- Forum: Personal Finance (Not Investing)
- Topic: Marcus lowers savings APY from 1.05% to 0.8%
- Replies: 32
- Views: 3777
Re: Marcus lowers savings APY from 1.05% to 0.8%
Maybe, but when I just logged in it says I'm still getting 1%. That may change tomorrow...sycamore wrote: ↑Tue Aug 04, 2020 2:55 pmI'm not sure when it happened, but Capital One as of August 4th is at 0.8% for 360 Performance Savings https://www.capitalone.com/bank/savings ... s-account/nisiprius wrote: ↑Tue Aug 04, 2020 1:57 pm Capital One 360 Performance Savings still at 1.00%, they say. And my 7/31/2020 monthly interest payment was 1/1187th of the balance, so that checks out. Not bragging, just dumb luck, Capital One has been "only just OK" for a long time now, and I'm sure they'll cut too. But at this particular millisecond 1.00% is the number I'm seeing.
- Tue Jul 21, 2020 6:52 pm
- Forum: Personal Finance (Not Investing)
- Topic: Do you lose passive income loss?
- Replies: 12
- Views: 2119
Re: Do you lose passive income loss?
No. You can take that when you sell the property though.
- Tue Jul 21, 2020 8:30 am
- Forum: Personal Investments
- Topic: Total Newb-need advice on my Ameriprise conundrum
- Replies: 32
- Views: 2269
Re: Total Newb-need advice on my Ameriprise conundrum
Just left ameriprise for Fidelity so I'll shara a bit of info: - you don't need cost basis for anything. US Laws in the last ten years require it to transfer with your account. - ameriprise will charge $125 per account when you close. Fidelity will credit, likely vanguard will do the same but you do have to show it on the statement and you have to ask unless the fee comes through on the transfer itself... Mine didn't. - some funds were not transferable (technically it's the receiving entity not accepting them for various reasons). After Fidelity pulled everything it would accept, I called ameriprise and they liquidated everything that was left. I had trading ability but not in the account that had stuff that Fidelity wouldn't accept so I ha...
- Sun Jul 12, 2020 9:22 am
- Forum: Investing - Theory, News & General
- Topic: 529 to Niece/Nephew then transfer to son daughter - Avoid gift tax
- Replies: 8
- Views: 1533
Re: 529 to Niece/Nephew then transfer to son daughter - Avoid gift tax
Why don't you just make yourself the beneficiary then change it when you need to?
- Tue Jun 30, 2020 7:01 am
- Forum: Personal Consumer Issues
- Topic: Painting new drywall
- Replies: 24
- Views: 2077
Re: Painting new drywall
Yes they will. Also they'll shake it which is a bonus. When I buy off the shelf colors or not tinted I always have them shake it up in the machine.indexfundfan wrote: ↑Tue Jun 30, 2020 6:48 am Thanks for all the recommendations.
I intend to get this product -- Kilz PVA Interior Primer from Home Depot
https://www.homedepot.com/p/KILZ-PVA-5- ... /202665645
Just wondering if HD would tint the primer for me?
Kilz is pretty pricey. I use a cheap primer in a 5 gallon bucket. 2 coats on new drywall.
- Mon Jun 29, 2020 8:05 am
- Forum: Personal Consumer Issues
- Topic: Need tips on buying a used car with a trade in
- Replies: 20
- Views: 1323
Re: Need tips on buying a used car with a trade in
Don't forget that (some STATES, YMMV) trading a car in to a dealer will reduce the amount you're taxed on by that amount. If you sell outright private party, you'll pay full taxes on the buy.
Example:
15k purchase
6k trade in to dealer
9k tax value for sales tax calculation
Example 2:
15k purchase
6k private party sale
15k tax value for sales tax calculation
Taxes also vary per state so what this is worth varies. The point is that private party sales will usually be more but this is a minor factor to consider.
Example:
15k purchase
6k trade in to dealer
9k tax value for sales tax calculation
Example 2:
15k purchase
6k private party sale
15k tax value for sales tax calculation
Taxes also vary per state so what this is worth varies. The point is that private party sales will usually be more but this is a minor factor to consider.
- Sun May 31, 2020 9:33 am
- Forum: Personal Consumer Issues
- Topic: Starting a SaaS
- Replies: 3
- Views: 665
Re: Starting a SaaS
You didn't say what kind of saas so this may not apply.
The major cloud providers have a few forms you can fill out to sell saas directly through their platforms. The templates are annoying but it simplifies a lot to get to all their customers. Their fees are onerous...
Another big issue is the tax nexus depending on how your software is installed like Adobe cloud and versions of office 365 or not at all like this forum for example. You need a tax person for this.
GL!
The major cloud providers have a few forms you can fill out to sell saas directly through their platforms. The templates are annoying but it simplifies a lot to get to all their customers. Their fees are onerous...
Another big issue is the tax nexus depending on how your software is installed like Adobe cloud and versions of office 365 or not at all like this forum for example. You need a tax person for this.
GL!
- Thu May 28, 2020 10:44 pm
- Forum: Personal Finance (Not Investing)
- Topic: Ameriprise TOD requires new account with them?
- Replies: 4
- Views: 521
Re: Ameriprise TOD requires new account with them?
All this makes sense. I'll report back when it's all settled. Thank you
- Thu May 28, 2020 1:44 pm
- Forum: Personal Finance (Not Investing)
- Topic: Ameriprise TOD requires new account with them?
- Replies: 4
- Views: 521
Re: Ameriprise TOD requires new account with them?
Do these accounts hold a single mutual fund each? If not, why the 5 accounts, since this sets up the possibility of a separate fee for each account times 5 beneficiaries resulting in a totally ridiculous fee total of 3,125. In one recent survey, Ameriprise levied the highest total fees of any financial firm, higher even than EJ. High exit fees go hand in hand with high expense ratio fees. It's Ameriprise so that probably answers your question about why the 5 accounts, and naturally some unnecessary complexity, funds with loads and high expense ratios, a deferred annuity account (Riversource maybe), etc, etc. It does look like some may not be IRA and something may be an after tax brokerage. The annuity also carried a death benefit, not sure...
- Thu May 28, 2020 8:46 am
- Forum: Personal Finance (Not Investing)
- Topic: Ameriprise TOD requires new account with them?
- Replies: 4
- Views: 521
Ameriprise TOD requires new account with them?
Had another thread about this relatively small pending inheritance but this is a bit more tactical.
Ameriprise suggests that I'll be getting a new account for each account of the deceased. There are multiple accounts and multiple beneficiaries. 5x5 to be exact. They charge $125 per account in closure fees. I don't want an ameriprise account. Can I have my portion of the inheritance sent elsewhere to avoid 600 in fees when I close them right after? I'd like to suggest this to everyone else too but want it worked out a bit. Ameriprise isn't saying I can't do it, they're just saying, "usually a new account is opened at ameriprise and the assets are transferred there for tax reasons." (paraphrased)
Any thoughts?
Ameriprise suggests that I'll be getting a new account for each account of the deceased. There are multiple accounts and multiple beneficiaries. 5x5 to be exact. They charge $125 per account in closure fees. I don't want an ameriprise account. Can I have my portion of the inheritance sent elsewhere to avoid 600 in fees when I close them right after? I'd like to suggest this to everyone else too but want it worked out a bit. Ameriprise isn't saying I can't do it, they're just saying, "usually a new account is opened at ameriprise and the assets are transferred there for tax reasons." (paraphrased)
Any thoughts?
- Mon May 25, 2020 9:57 am
- Forum: Personal Investments
- Topic: Inheriting an IRA this year
- Replies: 10
- Views: 857
Re: Inheriting an IRA this year
I can transfer the full contribution for me and my spouse for 2019 from our brokerage account to our Roths. I will do this when they open tomorrow.
I will also initiate the roll-in of my rollover IRA to my current 401k. Then will have no pre tax IRAs. Will do same to spouse's, as applicable. Then regardless of income on future years we won't be hit by pro rata concerns.
I do have a mortgage. Just refinanced to a 2.5 15yr from a 3.5 30; was about 4 years in.
For 2020 contributions, any reason not to leave it in brokerage account until I do taxes next year? What happens if I cannot contribute to a Roth but already did? In brokerage I'll just pay taxes on dividends until then. It's all vtsax so not crazy.
I will also initiate the roll-in of my rollover IRA to my current 401k. Then will have no pre tax IRAs. Will do same to spouse's, as applicable. Then regardless of income on future years we won't be hit by pro rata concerns.
I do have a mortgage. Just refinanced to a 2.5 15yr from a 3.5 30; was about 4 years in.
For 2020 contributions, any reason not to leave it in brokerage account until I do taxes next year? What happens if I cannot contribute to a Roth but already did? In brokerage I'll just pay taxes on dividends until then. It's all vtsax so not crazy.
- Mon May 25, 2020 8:28 am
- Forum: Personal Investments
- Topic: Inheriting an IRA this year
- Replies: 10
- Views: 857
Re: Inheriting an IRA this year
Any particular reason why you "don't do backdoor Roth" ? This inheritance might be the push you need to put in $12k each (for 2019 and 2020), so that' takes $24k either off your taxable investments or your inheritance. Then it would $6k each starting in 2021. If a Traditional IRA is standing in the way, roll it into your work place 401k plan. You might be missing out on years of tax-free growth for fear of simple paperwork. You are also allowed to contribute $15k per child to the 529 plan. With three kids, that's a great opportunity for you to stash more money quickly into the 529 plan up to at least your in-state tuition for full 4 years. 529 plan funds can still be stretched to fund the education of your unborn grand children. ...
- Sun May 24, 2020 11:11 am
- Forum: Personal Finance (Not Investing)
- Topic: ELI5 P2P payments: explain like I'm 5, person to person payments
- Replies: 5
- Views: 591
Re: ELI5 P2P payments: explain like I'm 5, person to person payments
+1 for zelle. However, it's for sending money to people your know. There's no recourse or disputing. If you're buying something from someone you don't know, even zelle says it's not the right service. Cash is king there, or PayPal I suppose.Cubicle wrote: ↑Sat May 23, 2020 10:49 pm +1 for Zelle. I feel, maybe unfoundedly, most secure with Zelle as it is a product of the big banks. As opposed to a 3rd party product from Square, PayPal, etc... No fees, usually instant.
The Zelle recipient gets a notification money has been deposited into their account. Text or email.
I still use zelle in those situations but when I'm holding the item I'm buying and am still standing next to the seller or buyer...
- Wed May 20, 2020 7:58 pm
- Forum: Personal Investments
- Topic: Inheriting an IRA this year
- Replies: 10
- Views: 857
Re: Inheriting an IRA this year
^^ This is where I am -- from a "hedging bets" perspective. Wife says take it all immediately and invest it however we invest it.celia wrote: ↑Wed May 20, 2020 7:42 pm
I suggest withdrawing at least 1/(total number of remaining withdrawal years left) each year. If the relative died this year, that means withdraw at least 1/10th this year, 1/9th next year, ...
I say this because the bonds in your own tax-deferred accounts are important to remain there, to keep future RMDs in check. The Inherited IRA will only be around for a max of 10 years.
- Wed May 20, 2020 7:56 pm
- Forum: Personal Investments
- Topic: Inheriting an IRA this year
- Replies: 10
- Views: 857
Re: Inheriting an IRA this year
First thing you need to do is to squash the growth in this inherited IRA. Make this an all-bond part of your portfolio. Compensate by switching from bonds to equities within your OWN retirement accounts. I am assuming that you are maximizing all available tax-advantaged space for you, including backdoor Roth, Mega backdoor Roth (if available), ditto for your wife, money in 529 plans for your kids, etc. Front load 529 plans, perhaps. This will result in substantial decrease in your paycheck, and draw your living expenses out of the Inherited IRA. Essentially you will have "stretched" this IRA money indirectly. You may have paid 22% or 24% tax on the withdrawals from Inherited IRA, but given that SECURE act removed the stretch feat...