Search found 92 matches

by Contador314
Wed Feb 01, 2023 9:21 am
Forum: Investing - Theory, News & General
Topic: Is there a date speficif calculator or chart for the S&P 500 performance?
Replies: 8
Views: 702

Re: Is there a date speficif calculator or chart for the S&P 500 performance?

MrsRobinson1968 wrote: Mon Jan 30, 2023 8:45 pm For example, if I wanted to see how the S&P 500 has performed for a specific date range, how would I look that up?
https://dqydj.com/sp-500-return-calculator/
by Contador314
Wed Jan 25, 2023 8:37 am
Forum: Personal Investments
Topic: 2022 HSA Overfunded by $3 - Next Steps
Replies: 18
Views: 2137

Re: 2022 HSA Overfunded by $3 - Next Steps

RandomGuyOnInternet wrote: Thu Jan 19, 2023 12:54 pm I can confirm that HSA bank charges a $25 administration fee for removal of excess contributions.

RandomGuy
If all your contributions were through payroll I would ask your employer to fix it. They can remove the funds and classify it as a correction(it happened to me by error one year - very frustrating). You wont be charged, maybe your employer will. I would say thats on them however, as they should have capped your max contribution. Ive done payroll for years and that is easy to set up and not asking much of your employer.

If you made contributions outside of payroll they would have no way of knowing, so that would be on you.
by Contador314
Sat Jan 14, 2023 10:48 pm
Forum: Personal Finance (Not Investing)
Topic: When you have a close call for Roth vs Trad’l, thoughts on this approach?
Replies: 111
Views: 9580

Re: When you have a close call for Roth vs Trad’l, thoughts on this approach?

privateID wrote: Fri Jan 13, 2023 4:26 pm
1) NY State taxes - Alot going on here. NY has a progressive tax system (similar to Federal) with NY adjustments. SS is not taxed. The first $20K per individual of retirement income is state tax free. All of these factors make computing NY state taxes complicated (although in this case a ballpark estimate is fine).
Can you contribute to traditional and then convert it to Roth(up to the 20k)? I do this in Illinois. Fed tax is a wash, but you deduct the conversion on your state taxes since it is exempt. If you were to recognize the income in retirement you would already be above the 20k threshold, so more valuable to do it now.
by Contador314
Fri Jan 13, 2023 10:20 pm
Forum: Personal Finance (Not Investing)
Topic: Vehicle bought in name of LLC for section 179
Replies: 2
Views: 337

Re: Vehicle bought in name of LLC for section 179

pchads wrote: Fri Jan 13, 2023 7:03 pm I am planning to buy model Y with LLC registration, Can I add LLC owned car to my existing auto insurance which covers vehicles registered on my/spouse name. ? This is for California.
I doubt it, but you wouldnt want to anyway from a tax perspective. The business can deduct the premiums, a personal policy would not be deductible.

Also, the 179 deduction will decrease your basis in the car. So if you totaled the car you will most likely receive more money from insurance than your basis, and owe taxes.

Im not positive but if that insurance check is written to you personally, the entire payment might be taxable since YOU have no basis, your business does.
by Contador314
Wed Jan 11, 2023 6:42 pm
Forum: Personal Investments
Topic: New to HSA - would please like some advice
Replies: 15
Views: 1524

Re: New to HSA - would please like some advice

Thanks lakpr for the response. Yes, I'm about 20 years out from retirement and will make sure to keep all my receipts. I'd mentioned in the original post which might be the best way to contribute to the HSA - via regular payroll deductions or a lump sum. So far there's been one vote for lump sum. As for regular payroll deductions, there's the benefit of the saving on FICA taxes (7.65%). Would that benefit make payroll contributions the best way to contribute? You could just lump sum through payroll if you can cash flow it. I just started a job in Novemeber 22 and made the full 3,650 contribution in December 22. As long as you know you will keep an hsa for the full year afterwards you are good to go, but Read up on the 12 month rule. FYI, t...
by Contador314
Tue Jan 10, 2023 10:41 pm
Forum: Investing - Theory, News & General
Topic: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."
Replies: 224
Views: 20408

Re: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."

The dollar is not backed by gold, but it is backed by the largest holder of gold. They will use it if they have to. That is why I don't trust gold to be reliable to hedge economic tail risk. An economic meltdown in the US could be accompanied by the US govt selling gold to meet obligations. What gold held by individuals will be worth in such a scenario is anyone's guess. Good point, but I think selling the gold in a market situation would be the last resort. I think they would set a fixed price of gold at first. That would quell a lot of fear and dollar flight at least for a period. If we couple that with running government surpluses then I don't see why the currency would collapse. This would be very economically painful for a while obvio...
by Contador314
Tue Jan 10, 2023 8:39 pm
Forum: Investing - Theory, News & General
Topic: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."
Replies: 224
Views: 20408

Re: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."

I have a small collection of old liberty silver half dollars that any vendor would be more than happy to accept. Of course, I would be forfeiting 95% of the silver value of the coins. No one uses gold or silver as operational currency anymore because the government stopped minting it and only USD is legal tender. While it is technically legal to transact in gold, or anything else you want to, it would be an accounting nightmare to accurately track and translate transaction value to USD to legally report your taxes. If the dollar ever did hyperinflate (I dont find that likely at all, but who knows for sure) then people would ignore the legal tender laws out of pure necessity and governments would have to revert to gold and silver. What othe...
by Contador314
Tue Jan 10, 2023 2:41 am
Forum: Investing - Theory, News & General
Topic: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."
Replies: 224
Views: 20408

Re: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."

In the financial world that axiom is gold. It doesn't need backing from something else because it is the backing. It's the golden constant. That is purely arbitrary. I could just as easily say that gold is backed by dollars and other fiat currencies because you generally have to sell the gold to spend it. Gold has no central administration to maintain price stability. There is no anchor to its value. The world had moved on from using gold as a currency. It largely only has any value at all to the extent that someone is willing to buy it. (There is some production use for dental crowns and some industrial usages). Except it's not arbitrary. The market, when left to its devices, equilibrates to using gold. Really? Where can I use gold to buy...
by Contador314
Sun Jan 08, 2023 8:16 pm
Forum: Investing - Theory, News & General
Topic: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."
Replies: 224
Views: 20408

Re: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."

Just to put it out there.. It's often said land is a solid investment because: "they're not making any more of it." (Maybe not strictly true, but it means so long as economies and populations grow, the value of real things is likely to grow.) I think the problem for investors, in a world with so much debt, is that positive real returns (at least from 'safe' assets) are not currently available (bar TIPS). Sure, we expect inflation to be transient, but with the only option the world has now being to inflate away debt, it really doesn't make sense to have positive real yields. I think we want inflation around 4-5%, and yields around 3-4%. That way, the debt pile is shrinking – running in reverse the process that's generated so much ...
by Contador314
Sun Jan 08, 2023 2:30 pm
Forum: Investing - Theory, News & General
Topic: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."
Replies: 224
Views: 20408

Re: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."

Just to put it out there.. It's often said land is a solid investment because: "they're not making any more of it." (Maybe not strictly true, but it means so long as economies and populations grow, the value of real things is likely to grow.) I think the problem for investors, in a world with so much debt, is that positive real returns (at least from 'safe' assets) are not currently available (bar TIPS). Sure, we expect inflation to be transient, but with the only option the world has now being to inflate away debt, it really doesn't make sense to have positive real yields. I think we want inflation around 4-5%, and yields around 3-4%. That way, the debt pile is shrinking – running in reverse the process that's generated so much ...
by Contador314
Sun Jan 08, 2023 11:41 am
Forum: Investing - Theory, News & General
Topic: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."
Replies: 224
Views: 20408

Re: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."

Many invest in order to set aside surplus capital today for spending later, in the hope/desire of that having maintained, or better still have increased in purchase power, rather than losing purchase power. Hurdles to that include costs and taxes, regular interest/dividend payments have to be rolled, after taxes, fund managers costs, brokers fees, market makers spreads ...etc. and involves counter party risks. Gold in contrast has the potential to maintain purchase power without any counter party risks or having to reinvest/roll. I was just referencing the bretton woods agreement. You could even say gold was money until 1971 but I get your point. However, if you buy gold, you have stopped investing that money. I really think people would b...
by Contador314
Sat Jan 07, 2023 8:40 pm
Forum: Personal Finance (Not Investing)
Topic: Let kids spend freely?
Replies: 39
Views: 5435

Re: Let kids spend freely?

I remember always having a passbook savings account at the local bank. Not sure if banks still do those but looking back it was definitely a great intro to banking. No debit cards, I would just deposit gifts/allowance of cash or checks and they would print the history and balance into the passbook. If I wanted money I would go withdraw cash from a teller. I used that until I got a job and just rolled it into a checking account.

I assume my parents probably had access to the history as well but not sure.
by Contador314
Sat Jan 07, 2023 5:00 am
Forum: Personal Finance (Not Investing)
Topic: Job application requires an exact salary number
Replies: 164
Views: 11019

Re: Job application requires an exact salary number

Sounds like a red flag to me, but out of pure curiosity I would put in a low number to get the interview. If they offer you a job just say you have another offer at your desired salary(plus a little more for negotiation).

Is that dishonest? Maybe, but I can't help but feel they are begging for it with such a ridiculous application requirement.

Best case, it ends up being very lucrative. Worst case, you have helped them realize that their hiring process is flawed.
by Contador314
Sat Jan 07, 2023 4:14 am
Forum: Investing - Theory, News & General
Topic: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."
Replies: 224
Views: 20408

Re: WSJ: "This Should Have Been a Great Year for Gold. Here’s Why It Isn’t."

If you are looking at gold as an investment, then you are already playing a losing game. Gold was, until the end of WWII, MONEY. Talking about gold as an investment is like saying you are going to invest $100USD in $100USD. Gold has never promised, and never will, a real return. All you can really expect is that an ounce of gold today will be an ounce of gold 30 years from now. Will that give you the same purchasing power 30 years from now that it does today? Historically(all recorded human history), that has been the case. Why? Who knows, but there is no other tangible asset that has that kind of track record. If you want to have more money in the future than you do today, then participate in modern society and invest in income producing a...
by Contador314
Wed Dec 14, 2022 12:22 am
Forum: Personal Finance (Not Investing)
Topic: Healthcare and other considerations heading into a no-income period
Replies: 21
Views: 2006

Re: Healthcare and other considerations heading into a no-income period

Your cobra payments are eligible for tax-free reimbursement from your hsa. You should work that into your calculations. Good point, although many on this forum are in the "don't touch the HSA and let it grow tax-free" camp... Is it particularly advantageous to use the HSA funds for COBRA payments if I have sufficient funds to pay for COBRA in my taxable accounts? No, it isn't especially advantageous. Using the HSA permanently gives up tax-advantaged space if you are maxing out your tax-advantaged accounts; this is just as true if you have no income and cannot contribute anything as if you have income and are maxing them out. However, there may be an advantage in using the HSA if it avoids the need to sell something in your taxabl...
by Contador314
Tue Dec 13, 2022 4:35 am
Forum: Personal Finance (Not Investing)
Topic: Healthcare and other considerations heading into a no-income period
Replies: 21
Views: 2006

Re: Healthcare and other considerations heading into a no-income period

elgobog wrote: Thu Dec 08, 2022 12:25 pm
1. Healthcare: Once my current employer’s healthcare plan is terminated, am I better off with COBRA for a family plan, or with an insurance provider off the state’s health exchange (WA state)? What about dental / vision? We are "normal" healthy healthcare consumers. Given that I plan to start my own business in the coming months, are there better methods to obtain healthcare and gain tax advantages while doing so? Any tips are appreciated.
Your cobra payments are eligible for tax-free reimbursement from your hsa. You should work that into your calculations.
by Contador314
Tue Dec 13, 2022 4:35 am
Forum: Personal Finance (Not Investing)
Topic: Healthcare and other considerations heading into a no-income period
Replies: 21
Views: 2006

Re: Healthcare and other considerations heading into a no-income period

elgobog wrote: Thu Dec 08, 2022 12:25 pm
1. Healthcare: Once my current employer’s healthcare plan is terminated, am I better off with COBRA for a family plan, or with an insurance provider off the state’s health exchange (WA state)? What about dental / vision? We are "normal" healthy healthcare consumers. Given that I plan to start my own business in the coming months, are there better methods to obtain healthcare and gain tax advantages while doing so? Any tips are appreciated.
Your cobra payments are eligible for tax-free reimbursement from your hsa. You should work that into your calculations.
by Contador314
Tue Dec 13, 2022 4:05 am
Forum: Personal Finance (Not Investing)
Topic: Heath insurance: When to transition away from COBRA?
Replies: 18
Views: 2094

Re: Heath insurance: When to transition away from COBRA?

ktdintex wrote: Mon Dec 12, 2022 9:34 pm
I’ll have to look into whether to deduct the COBRA premiums, but sounds like I can safely deduct the healthcare exchange premiums.
I would not deduct COBRA as a SEHID. It seems pretty clear that if the policy is not in the name of your business (its in your former employees name) then it is ineligible.

It is however, a qualified health expense. You can possibly deduct a portion in itemized deductions. The other option is to use hsa funds tax free, if you have one.

Good luck
by Contador314
Sun Dec 11, 2022 2:01 am
Forum: Personal Finance (Not Investing)
Topic: Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA
Replies: 8
Views: 761

Re: Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA

Hello @Contador314, I am not going to address the main question in the original post -- just giving you a sideways input that you might want to consider. Illinois has a peculiar law in their books, that "retirement income" is not taxable. Income added via Roth conversions is also included in that law, irrespective of the taxpayer's age. What I am saying here is that, if you were to convert all that commingled Traditional IRA to Roth, you will not have to pay any state taxes on it. You escaped the state taxes when you originally contributed to the 401(k) / SIMPLE IRAs, and you also get to convert that to Roth IRA with no additional state taxes cost. Given that you are only 31, and presumably have at least another 30 years of your ...
by Contador314
Sat Dec 10, 2022 5:06 pm
Forum: Personal Finance (Not Investing)
Topic: Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA
Replies: 8
Views: 761

Re: Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA

The value of all the four accounts I combined is currently $80k (pretax and roth). I should just start spending that one first in retirement and keep all ERISA plans separated going forward This makes sense. You are only 31, so hopefully, there will be lots of time to squirrel away lots more money in those other *separate* plans in the future. And if you are using these accounts for holdings of various sorts, perhaps you could put the "equities" in the protected plans, and more of the bonds/etc., in the current accounts as time goes forward. Or whatever makes sense for you, obviously... (You can change the investments over time in each plan as you see fit, and as long as you don't move money between plans, that won't be a problem...
by Contador314
Sat Dec 10, 2022 4:43 pm
Forum: Personal Finance (Not Investing)
Topic: Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA
Replies: 8
Views: 761

Re: Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA

galawdawg wrote: Sat Dec 10, 2022 3:58 pm Do you really believe that bankruptcy is a possibility in your future?

Just purchase a robust umbrella insurance policy to cover those risks that you can insure for and don't sweat the rest! :beer
No but its just annoying that a $2k contribution would have such ramifications. If its easy enough to fix I would like to do it now. If its a big ordeal or can't be fixed I won't lose sleep over it, but thought this might help someone avoid my mistake.
by Contador314
Sat Dec 10, 2022 4:35 pm
Forum: Personal Finance (Not Investing)
Topic: Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA
Replies: 8
Views: 761

Re: Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA

In most states, it won't matter because most states provide full creditor protection for owned IRA and Roth IRA accounts. ERISA protection in a qualified plan does not carryover to the IRA after a rollover, however in the few states that limit IRA creditor protection you get unlimited dollar protection for rollover IRAs in bankruptcy, but as little as 1.5mm (inflation adjusted) for an account that is not a pure non commingled rollover IRA. For this protection, you must file for bankruptcy, therefore this protection is inferior to most state protections for which no BK filing is required. What state do you live in and/or are most likely to move to? Now, if you were to become subject to the bankruptcy protections due to inferior state level ...
by Contador314
Sat Dec 10, 2022 3:34 pm
Forum: Personal Finance (Not Investing)
Topic: Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA
Replies: 8
Views: 761

Retaining Creditor Protection on Employer Sponsored Plans After Rollover to IRA

I have been doing some reading on creditor and bankruptcy protections for different kinds of retirement accounts and I am wondering if I made a stupid mistake a couple years ago, and if it can be corrected. I have rolled over 4 separate employer sponsored plans over the years to a single "Rollover IRA Brokerage" (all pre-tax) account at Vanguard. The plan types that were rolled over are: 1. Cash balance plan (never made any employee contributions, all employer contributions) 2. 401k account (never made any employee contributions, all employer contributions) 3. Simple IRA account 1 (mostly employee contributions with 3%employer match) 4. Simple IRA account 2 (mostly employee contributions with 3% employer match) As I understand it,...
by Contador314
Sat Dec 10, 2022 4:20 am
Forum: Personal Finance (Not Investing)
Topic: Trust and basis question
Replies: 2
Views: 372

Re: Trust and basis question

If a trust is created in which to transfer real estate assets to adult children, what basis is used when they sell after the trust's grantor passes away? Would they have an adjusted cost basis since the trust was opened by the grantor, a stepped up basis at the time the trust was created, or a regular stepped up basis at time of death? Not a trust expert but I believe that depends on if it is a revocable("living trust" I think they are referred to) or irrevocable trust. Generally, an irrevocable trust triggers a gift tax which would create the new basis for the recipient based on the value on the gift tax return. A living trust is mainly a way for estate beneficiaries to avoid probate at time of death. You arent actually transfer...
by Contador314
Mon Nov 21, 2022 9:19 am
Forum: Personal Finance (Not Investing)
Topic: Removing ding from credit --> options?
Replies: 36
Views: 2779

Re: Removing ding from credit --> options?

Broken Man 1999 wrote: Mon Nov 21, 2022 8:39 am
Contador314 wrote: Mon Nov 21, 2022 5:11 am Just tell the bank you will close your account if they don't reverse it. If they say they won't, just hang up and call again to close the account and tell them why. Be polite and they will probably do it, or at least tell you youre best course of action.
Why would a bank care if they lost a customer they had sent a report to the credit reporting groups?

Seems they would be glad to lose him.

Broken Man 1999
Why would they not want to keep a paying customer? He isn't defaulting on the debt.
by Contador314
Mon Nov 21, 2022 5:11 am
Forum: Personal Finance (Not Investing)
Topic: Removing ding from credit --> options?
Replies: 36
Views: 2779

Re: Removing ding from credit --> options?

Just tell the bank you will close your account if they don't reverse it. If they say they won't, just hang up and call again to close the account and tell them why. Be polite and they will probably do it, or at least tell you youre best course of action.
by Contador314
Thu Oct 27, 2022 11:37 am
Forum: Personal Investments
Topic: My incredibly stupid I Bond mistake
Replies: 34
Views: 6224

Re: My incredibly stupid I Bond mistake

chemocean wrote: Thu Oct 27, 2022 9:25 am
Contador314 wrote: Thu Oct 27, 2022 8:38 am I wonder if that would allow her to elect to pay taxes without having to pay on the other bonds sitting in the gift box. Might be a good way to spread out taxes as opposed to if you cashed multiple bonds in one year.
Also, once you elect to pay taxes annually, it applies to ALL bonds in the account. Also look at the TD website, I think one of the choices to pay or not to pay accrued taxes annually is irreversible.
But are they in her account if they are sitting in the gift box? OP makes it sound like she has never bought any other ones.
by Contador314
Thu Oct 27, 2022 9:04 am
Forum: Personal Investments
Topic: My incredibly stupid I Bond mistake
Replies: 34
Views: 6224

Re: My incredibly stupid I Bond mistake

I wonder if that would allow her to elect to pay taxes without having to pay on the other bonds sitting in the gift box. Might be a good way to spread out taxes as opposed to if you cashed multiple bonds in one year. She can't pay taxes on a bond before it is delivered. You can elect to pay taxes on ibonds in they year they accrue. Normally not worth doing but this is a special circumstance. The problem is that normally if you make that election you have to do it for all bonds bought prior, which would be a big hit on the100k. But these are sitting in a sort of limbo so maybe they dont count? Just a thought, havent researched it. Thoughts are: 1. Accept 10k from the gift box in year 1 2. Elect to pay the tax on the accrued interest before ...
by Contador314
Thu Oct 27, 2022 8:38 am
Forum: Personal Investments
Topic: My incredibly stupid I Bond mistake
Replies: 34
Views: 6224

Re: My incredibly stupid I Bond mistake

I wonder if that would allow her to elect to pay taxes without having to pay on the other bonds sitting in the gift box. Might be a good way to spread out taxes as opposed to if you cashed multiple bonds in one year.
by Contador314
Fri Oct 21, 2022 11:47 pm
Forum: Personal Investments
Topic: HSA Account Help and Guidance
Replies: 14
Views: 1225

Re: HSA Account Help and Guidance

Also, it seems like HSAs have a lot fewer creditor/bankruptcy protection than say, a roth ira would have. Depends on the state, but there are federal protections for iras.
by Contador314
Fri Oct 21, 2022 11:43 pm
Forum: Personal Investments
Topic: HSA Account Help and Guidance
Replies: 14
Views: 1225

Re: HSA Account Help and Guidance

I am considering using my unreimbursed expenses to cover a larger roth conversion this year. I have close to $15k of unreimbursed expenses I can draw(mostly Cobra payments, a nice perk of the HSA).

Something I stumbled across the other day:

If you use an hsa like an ira, than the taxable distributions in retirement are not reported as retirement income. Rather, they go on the "other income" line. This is unfortunate for my state since retirement distributions(including roth conversions before retirement age) are always tax free, but the hsa distribution would not be.
by Contador314
Sun Sep 25, 2022 11:47 pm
Forum: Personal Finance (Not Investing)
Topic: [Speculation on future of Ally Bank - Seeking Alpha article]
Replies: 132
Views: 17326

Re: Ally Bank concerns??? Bankruptcy???

Transfers work fine for me right now. Using website on Chrome on a Windows computer. I'm pulling my money out as fast as I can. Do you have more than $250k in one of their FDIC accounts? If you don't, I am not sure where the panic is coming from. The odds of the FDIC not covering your insured deposit is the same as social security not paying any checks next month. Even if that did happen, any dollars you managed to get out would be worthless anyway. If you do have more than $250k, pulling your money out would only hasten the bankruptcy of the bank. Please find this response as I already addressed it somewhat: https://www.bogleheads.org/forum/viewtopic.php?p=6888150#p6888150 Sorry didn't see that. However, that goes to my latter point. Ever...
by Contador314
Sun Sep 25, 2022 11:05 pm
Forum: Personal Finance (Not Investing)
Topic: [Speculation on future of Ally Bank - Seeking Alpha article]
Replies: 132
Views: 17326

Re: Ally Bank concerns??? Bankruptcy???

Marseille07 wrote: Sun Sep 25, 2022 9:14 pm
anon_investor wrote: Sun Sep 25, 2022 9:13 pm Transfers work fine for me right now. Using website on Chrome on a Windows computer.
I'm pulling my money out as fast as I can.
Do you have more than $250k in one of their FDIC accounts?

If you don't, I am not sure where the panic is coming from. The odds of the FDIC not covering your insured deposit is the same as social security not paying any checks next month. Even if that did happen, any dollars you managed to get out would be worthless anyway.

If you do have more than $250k, pulling your money out would only hasten the bankruptcy of the bank.
by Contador314
Fri Aug 26, 2022 7:14 am
Forum: Personal Finance (Not Investing)
Topic: HSA - Spouse job loss
Replies: 3
Views: 537

Re: HSA - Spouse job loss

Wife was laid off today. We each have health insurance individually at our own employer. She was on a PPO plan but I am on a high deductible plan with an HSA. So I'm going to add her to my plan. I currently contribute the maximum allowed to the HSA for an individual, divided equally among each pay period throughout the year. Am I ok to contribute double this amount per period as long as she is on my plan? The hope would be she finds another job soon and gets her own insurance again. Sorry to hear, yes that would be fine. You might want to consider making the full remaining family annual contribution asap, and just leave it in cash if you might need it soon. Your wife would have to sign up for an hsa plan or stay on yours for at least a yea...
by Contador314
Fri Aug 26, 2022 6:51 am
Forum: Personal Finance (Not Investing)
Topic: Biz owners - Quickbooks or Xero for single employee s-corp?
Replies: 17
Views: 1447

Re: Biz owners - Quickbooks or Xero for single employee s-corp?

I am starting a new consulting business on the side that will consult for one client and have one employee (it's an s-corp). Basically money in from one source, payroll/distributions out to one source, and some minimal travel expenses here and there. Any particular reason you elected to be an s corp? A single member llc would be incredibly easier to track and report, along with not having to pay for payroll services. I work with clients all the time that just elected to be an s corp because they heard somewhere that saves taxes. That might be true sometimes, but 9/10 times you will be more than making up for taxes with higher compliance costs (payroll, cpa fee for separate return, bookkkeeping if you don't stay on top of it, etc.) On top o...
by Contador314
Fri Aug 26, 2022 6:28 am
Forum: Personal Finance (Not Investing)
Topic: Biz owners - Quickbooks or Xero for single employee s-corp?
Replies: 17
Views: 1447

Re: Biz owners - Quicbooks or Xero for single employee s-corp?

I How do you plan to prepare your 1120S return for the S-Corp? Quickbooks integrates nicely with TurboTax (both are from Intuit) if you're going to DIY, and many accountants can just take a copy of your file if you decide to use them instead. I’d assume the CPA would prepare that based on the books. I have someone else do taxes, so TurboTax integration isn’t a huge deal. Ask your CPA if they have a "Quickbooks Online Accountant" account. If they sign you up and and pay your subscription then you get a 30% discount on all monthly fees indefinitely. I am an accountant and I do this for a family member. I pay their subscription, then just put it on my monthly bookkeeping invoice for reimbursement. That might make QB payroll easier a...
by Contador314
Sun Jul 24, 2022 7:51 am
Forum: Investing - Theory, News & General
Topic: What was your perception of Enron and Worldcom before they collapsed
Replies: 20
Views: 2049

Re: What was your perception of Enron and Worldcom before they collapsed

z3r0c00l wrote: Sun Jul 24, 2022 6:32 am
Contador314 wrote: Sun Jul 24, 2022 6:09 am
Enron's CEO Jeff Skilling was recently released from prison in 2019, so don't buy anything he's selling.
The gall he has in starting an online platform to trade oil and gas is pretty shocking. He wasn't banned for life?
Ha i did not even know he started a business, but not shocking. I'm sure he's banned from public markets but anyone can start a private business.

I live in Chicago and his brother Tom Skilling has been the weatherman my whole life. There must be a joke there somewhere - one tells you its raining, while the other...
by Contador314
Sun Jul 24, 2022 7:44 am
Forum: Investing - Theory, News & General
Topic: What was your perception of Enron and Worldcom before they collapsed
Replies: 20
Views: 2049

Re: What was your perception of Enron and Worldcom before they collapsed

Less than 2 years ago Berkshire Hathaway bought a completely fraudulent company for billions of dollars, and Buffett made the deal. Very curious: Which company? RM https://www.theguardian.com/business/2020/may/19/german-company-allegedly-cons-warren-buffett-out-of-643m A German manufacturing company is being investigated for fraud after allegedly conning the legendary US investor Warren Buffett into paying at least four times over the odds for its business by Photoshopping company orders and invoices. In February 2017 a unit of Buffett’s Berkshire Hathaway Inc paid €800m (£715m) to buy Wilhelm Schulz, a family-run manufacturer of stainless steel based in Krefeld, western Germany – a rare foray into the world of family-run mittelstand compa...
by Contador314
Sun Jul 24, 2022 6:09 am
Forum: Investing - Theory, News & General
Topic: What was your perception of Enron and Worldcom before they collapsed
Replies: 20
Views: 2049

Re: What was your perception of Enron and Worldcom before they collapsed

Less than 2 years ago Berkshire Hathaway bought a completely fraudulent company for billions of dollars, and Buffett made the deal.

I went to school for accounting and Enron was talked about in every class, and this was 10 years after the scandal. What is striking to me is how similar Enron was to every other fraud, they just got more people to believe it than anyone else in history.

The relevant point is not making the same mistake Enron employees made and put your entire net worth into a single stock.
Buffetts mistake was easily survivable.

Enron's CEO Jeff Skilling was recently released from prison in 2019, so don't buy anything he's selling.
by Contador314
Fri Jul 01, 2022 12:21 am
Forum: Personal Investments
Topic: 401k Options Debate
Replies: 29
Views: 1566

Re: 401k Options Debate

There are two different types of fees in a 401k. There are fund expense ratios (charged by the fund itself, usually target dat funds are very low) and administrative fees. Admin fees are charged by the actual 401k servicer, i.e. Empower Retirement. It is sometimes a ratio of account balance or a flat fee, but usually around .5%. An employer has the option to charge the employee for admin fees or cover the costs. Sounds like your employer is like mine, and your friends have nicer employers than both of us. A target date fund charging .72 by itself almost sounds criminal, so I doubt thats it but I could be wrong. Hate it! Haha he's always rubbing it in my face. I feel ya. I actually left that job and the fees were a not insignificant reason....
by Contador314
Thu Jun 30, 2022 11:55 pm
Forum: Personal Investments
Topic: 401k Options Debate
Replies: 29
Views: 1566

Re: 401k Options Debate

There are two different types of fees in a 401k. There are fund expense ratios (charged by the fund itself, usually target dat funds are very low) and administrative fees. Admin fees are charged by the actual 401k servicer, i.e. Empower Retirement. It is sometimes a ratio of account balance or a flat fee, but usually around .5%. An employer has the option to charge the employee for admin fees or cover the costs. Sounds like your employer is like mine, and your friends have nicer employers than both of us. A target date fund charging .72 by itself almost sounds criminal, so I doubt thats it but I could be wrong. Hate it! Haha he's always rubbing it in my face. It's unfortunate that your employer is using the A shares, but as far as managed ...
by Contador314
Thu Jun 30, 2022 11:05 pm
Forum: Personal Investments
Topic: 401k Options Debate
Replies: 29
Views: 1566

Re: 401k Options Debate

There are two different types of fees in a 401k. There are fund expense ratios (charged by the fund itself, usually target dat funds are very low) and administrative fees. Admin fees are charged by the actual 401k servicer, i.e. Empower Retirement. It is sometimes a ratio of account balance or a flat fee, but usually around .5%.

An employer has the option to charge the employee for admin fees or cover the costs. Sounds like your employer is like mine, and your friends have nicer employers than both of us.

A target date fund charging .72 by itself almost sounds criminal, so I doubt thats it but I could be wrong.
by Contador314
Tue Jun 28, 2022 12:38 am
Forum: Personal Investments
Topic: Filing form 5500-EZ - Loan counted?
Replies: 6
Views: 716

Re: Filing form 5500-EZ - Loan counted?

I read through the links and it seems quite clear it is counted. Many thanks for that. What I am surprised at is that Form 5500 documents are publicly searchable and available for "public inspection". Apparently that's why financial advisors tell people not to put their actual name on the Solo 401k plan. I made the mistake of putting my real name as part of the plan. Has anyone gone through the process of changing the plan name to something less personally identifiable, for security and privacy reasons? I doubt you can search solo 401ks, but just a guess. Sorry I meant to say the process for determining assets and liabilities is the same. I think the main point of the search is for employees to see the audit report from a CPA. I ...
by Contador314
Mon Jun 27, 2022 12:07 am
Forum: Personal Investments
Topic: Filing form 5500-EZ - Loan counted?
Replies: 6
Views: 716

Re: Filing form 5500-EZ - Loan counted?

I agree, it is counted. Your 401k is essentially a separate entity from you. The outstanding amount is a loan to you, but a receivable(asset) to the 401k, including accrued interest.

If you want to see an example, you can search for any company's form 5500 online for free. I dont know if the ez forms are publicly available but it is the same process. Link below:

https://www.efast.dol.gov/5500search/
by Contador314
Fri Jun 17, 2022 8:32 pm
Forum: Personal Finance (Not Investing)
Topic: does a loan to a family member require interest payments?
Replies: 26
Views: 3803

Re: does a loan to a family member require interest payments?

I didnt read all the posts so i apologize if this has been brought up.

If you calculate and pay the afr rate you have no problems with the irs. Seems likes this has been covered in detail BUT:

If your family member does not disclose the the loan in their mortgage application, that is a federal crime.
by Contador314
Thu Jun 16, 2022 8:07 pm
Forum: Investing - Theory, News & General
Topic: Favorite TV Business News Source? Bloomberg, CNBC, Fox, any decent programs ???
Replies: 33
Views: 2651

Re: Favorite TV Business News Source? Bloomberg, CNBC, Fox, any decent programs ???

"The Compound" on youtube is very entertaining, and I find that it is far more informative than any cable news program. Josh Brown is the main guy, and he is regularly a guest on cnbc.

https://youtube.com/c/TheCompoundRWM
by Contador314
Thu May 26, 2022 12:20 pm
Forum: Personal Finance (Not Investing)
Topic: Accounting for Sale of Company Stock (RSUs) for 2022 tax withholding
Replies: 6
Views: 619

Re: Accounting for Sale of Company Stock (RSUs) for 2022 tax withholding

If you sell the shares immediately, there should be no taxable gain/loss to account for. Although I have read there can be some lag time between when the company initiates the shares and when you actually receive them. That could potentially create a gain/loss but should be minimal. You will pay ordinary income tax and FICA on the value at the vesting date. That value you paid taxes on is your basis(cost) to be subtracted from your proceeds from the sale. I agree that you should confirm with HR the withholding method used and then punch it in to online calculator to estimate. If they do under-withhold, you should bump up your withholding on any remaining paychecks to cover the difference(assuming theres enough time). This will save you much...
by Contador314
Tue Apr 26, 2022 4:20 pm
Forum: Personal Consumer Issues
Topic: How Cobra works after job loss?
Replies: 52
Views: 5011

Re: How Cobra works after job loss?

OP here. I finally got my medical insurance reinstated, however now it had an interesting twist: When I refilled my prescription, the pharmacy charged me a copay amount much higher than I used to pay (>$200). AQ, You should refuse to accept the prescription at that time. Now, it is too late. That happened to me. I did not reject the prescription paid via my insurance. In my case, it was significantly cheaper via Goodrx (with no insurance) than with my prescription insurance. Do not accept any prescription if the price is not correct. You cannot return the prescription after you accept it, KlangFool How could OP have been charged a copay if the insurance plan wasnt active? I would guess that what OP paid was the list price of the medication...
by Contador314
Mon Apr 25, 2022 11:18 pm
Forum: Personal Consumer Issues
Topic: How Cobra works after job loss?
Replies: 52
Views: 5011

Re: How Cobra works after job loss?

OP here. I finally got my medical insurance reinstated, however now it had an interesting twist: When I refilled my prescription, the pharmacy charged me a copay amount much higher than I used to pay (>$200). AQ, You should refuse to accept the prescription at that time. Now, it is too late. That happened to me. I did not reject the prescription paid via my insurance. In my case, it was significantly cheaper via Goodrx (with no insurance) than with my prescription insurance. Do not accept any prescription if the price is not correct. You cannot return the prescription after you accept it, KlangFool How could OP have been charged a copay if the insurance plan wasnt active? I would guess that what OP paid was the list price of the medication...
by Contador314
Mon Apr 25, 2022 10:27 pm
Forum: Personal Investments
Topic: Investing options with an SMLLC side business?
Replies: 5
Views: 472

Re: Investing options with an SMLLC side business?

I also have a single member LLC for a side business. Seeing as I already max out everything with my employer, is there anything i can set up with the side business for additional investing especially (but not only) something with tax benefits? Although you are maxing your employEE deferrals at your W-2 job you can still make employER contributions to either a solo 401k or a SEP IRA. It sounds like you are a sole-proprietor which means the maximum you can contribute is roughly 20% of net income (minus self-employment tax). Since you are using the backdoor Roth method, using the SEP IRA would interfere with that because of the pro-rata rule, but the solo 401k (as long as you have no employees) would work. For example, if your side job nets a...