Bogleheads.org

bloom2708 wrote: ↑Tue Mar 14, 2023 9:28 am https://www.dinkytown.net/java/compare- ... -fees.html

Give this tool a whirl.

The 30-40 year numbers will be an eye opener.

That is quite the eye-opener! Even when I compare my one-fund portfolio with its expense ratio of 0.15% to its component funds, at 0.03, 0.06, and 0.07, it's not just eye-opening, but more like eye-popping.

I still wonder how to quantify the benefit of having that one fund, i.e. avoiding behavioral mistakes, and automatic rebalancing.

Thank you again - this is very helpful.

Technically this makes you a nominee recipient. On the one hand, the IRS specifically states that you don't need to furnish your spouse with a 1099: Nominee/middleman returns. Generally, if you receive a Form 1099 for amounts that actually belong to another person, you are considered a nominee recipient. You must file a Form 1099 with the IRS (the same type of Form 1099 you received) for each of the other owners showing the amounts allocable to each. You must also furnish a Form 1099 to each of the other owners. File the new Form 1099 with Form 1096 with the IRS Submission Processing Center for your area. On each new Form 1099, list yourself as the “payer” and the other owner as the “recipient.” On Form 1096, list yourself as the “Filer.” ...

It matters for social security benefits And it could also affect calculation of self-employment taxes on Schedule SE, e.g., if one spouse already has 2022 wage income over $147K but the other does not. If the income is reported, the IRS will probably not flag it. The other concern is the SE tax credits for Social Security. The SSN on the Schedule C and Schedule SE gets the credits. If the spouse is the one self employed, then the spouse should get the SS credits. An option would be to have the schedule C report the income and back it out as an expense listed as reported under wrong SSN. Then report the income under the spouse. This will satisfy the IRS matching program and get the income reported to the correct taxpayer. Then get the PayPa...

It's not hard to understand that lower fees for the same products mean more money for the investor.

But what about behavioral issues? I had been in a 3-fund portfolio with those nice, super-low fees, and simplified to one balanced fund (AOR), whose expense ratio is 0.15 instead of 0.03 for ITOT, 0.07 of IXUS, and 0.06 for IUSB. I'm assuming that not having to decide when to rebalance has a value. Is that value worth the extra expenses?

nalor511 wrote: ↑Sun Mar 12, 2023 7:04 pm

Uncle Morris wrote: ↑Sun Mar 12, 2023 6:58 pm We file jointly.

My spouse received income via Paypal, and the SSN on that account is mine. So the 1099 from Paypal has my SSN.

Is this a problem? Can we report it (correctly) as her income, not mine, or will the IRS be looking for that amount on my part of the return?

Is there some reason you don't want to file it under *your* part of the return? Technically if your SSN is on the account, it's your income.

It's her business. If the income were mine and the expenses (and non-Paypal income) were hers, wouldn't that be messy?

We file jointly.

My spouse received income via Paypal, and the SSN on that account is mine. So the 1099 from Paypal has my SSN.

Is this a problem? Can we report it (correctly) as her income, not mine, or will the IRS be looking for that amount on my part of the return?

Thank you, spammagnet!

There are a few different ways that Quicken handles passwords that I am aware of: You type your password into Quicken each time you do a download. Quicken passes the password to the financial institution but does not save it. You have to type it in every time. I trust Quicken not to save my password if they say they are not. You type your password into Quicken and Quicken saves it in an encrypted vault either locally on your PC or in the cloud. You don’t need to re-enter it unless it changes in the future. There is a potential exposure if Quicken were hacked, although the passwords are encrypted. Quicken does a one time connection to the financial institution using the password you enter. A security token is created that is used for future...

There are a few different ways that Quicken handles passwords that I am aware of: You type your password into Quicken each time you do a download. Quicken passes the password to the financial institution but does not save it. You have to type it in every time. I trust Quicken not to save my password if they say they are not. You type your password into Quicken and Quicken saves it in an encrypted vault either locally on your PC or in the cloud. You don’t need to re-enter it unless it changes in the future. There is a potential exposure if Quicken were hacked, although the passwords are encrypted. Quicken does a one time connection to the financial institution using the password you enter. A security token is created that is used for future...

I've slogged through most of this thread (admittedly, not every post), and I'm unclear on how secure Quicken is. If I understand correctly, you can choose to manually download transactions from your financial institutions and then, on your PC or Mac, import them into Quicken. Or you can choose to give Quicken your passwords, and it will connect to your accounts and download transactions. If you only import manually, meaning that you do not give Quicken your passwords, then is it correct to say that there is no increased security risk? I ask in the post-LastPass breach era, which makes me wary of giving a third party any passwords (both for security reasons and because financial institutions may deem any resulting breach as authorized by yo...

I don't think there's any increased security risk if you're using Web Connect, because you don't give your passwords to Quicken in that case. You just log into the bank's web site using your browser (which is something you'd be doing anyway to get monthly statements) and download a data file which you import into Quicken. However, not all institutions will provide a Quicken file for download, so this isn't always an option. It's my understanding that if you turn off cloud syncing you can also use Direct Connect and keep your passwords local. While the Quicken app on your PC/Mac has your passwords, they are not uploaded to Quicken or Intuit; on the Mac they are stored in the keychain, I don't know how they are stored on Windows. So I feel l...

I've slogged through most of this thread (admittedly, not every post), and I'm unclear on how secure Quicken is. If I understand correctly, you can choose to manually download transactions from your financial institutions and then, on your PC or Mac, import them into Quicken. Or you can choose to give Quicken your passwords, and it will connect to your accounts and download transactions. If you only import manually, meaning that you do not give Quicken your passwords, then is it correct to say that there is no increased security risk? I ask in the post-LastPass breach era, which makes me wary of giving a third party any passwords (both for security reasons and because financial institutions may deem any resulting breach as authorized by you...

It's past the deadline, but there are online services to file electronically. I can't say how good or legitimate they are; I used Turbotax, which offers it for free to TT clients (using a form interface that looks like it was developed in the 1980s).

IMHO, one might coast for a year or so. Six years is a lot of one's life to spend coasting unhappily.

Thanks, MP123!

I found the IRS announcement from December 2022 that they were postponing the lower threshold for issuance of 1099-K by TPSOs such as Paypal. Pretty clear that, unless my contractor hit the old thresholds for sales and for transactions, he won't be getting a 1099-K from Paypal for 2022. Here's the announcement: https://www.irs.gov/newsroom/irs-announces-delay-for-implementation-of-600-reporting-threshold-for-third-party-payment-platforms-forms-1099-k?fbclid=IwAR2bcJkxmORFFECdgHVe5CExWPJ4JbopGpZz47-qsIxNteOtWTnW182VDyo And here's the Notice 2023-10: https://www.irs.gov/pub/irs-drop/n-2023-10.pdf I am not an accountant, and may have missed something (especially in the references to various sections of the Code), but it looks to me like the IR...

Thanks!

That certainly sounds to me like as long as you pay by credit card or PayPal, you are not responsible for filing a 1099-NEC. Furthermore, the 1099-K requirements are based on a collective total. You have no way of knowing if this contractor earned $20,000 via PayPal. And that creates a huge reporting gap, where businesses have stopped issuing 1099s for credit card and PayPal payments, while PayPal isn't issuing 1099-Ks for amounts between $600 and $20,000. Yes, I agree that OP has no way of knowing if the contractor will receive a 1099-K from Paypal. It does seem like there's a "doughnut hole" in 1099 reporting requirements for this year. Next year the 1099-K limit drops down to $600 and any transaction, so that should simplify t...

strummer6969 wrote: ↑Wed Jan 25, 2023 10:43 am Is this for your trade or business, or for a contractor who did work for your home?

He's a contractor for my wife's business. Not a home repair person.

On our end, got our 1099-K from Paypal today (for payments we received in the business). Here's what it says: You have received this form because you have either: (a) accepted payment cards for payments, or (b) received payments through a third party network that exceeded $20,000 in gross total reportable transactions and the aggregate number of those transactions exceeded 200 for the calendar year. Merchant acquirers and third party settlement organizations, as payment settlement entities (PSE), must report the proceeds of payment card and third party network transactions made to you on Form 1099-K under Internal Revenue Code section 6050W. The PSE may have contracted with an electronic payment facilitator (EPF) or other third party payer ...

toddthebod wrote: ↑Tue Jan 24, 2023 1:38 pm

Uncle Morris wrote: ↑Tue Jan 24, 2023 1:15 pm He's an unincorporated individual contractor for my wife's business, and we paid him more than $600 but less than $20,000 in 2022 in 12 transactions.

Then her business is responsible for issuing him a 1099-NEC, regardless of how he was paid.

I think you are getting caught up in the PayPal/1099-K stuff. That's irrelevant, you are not a payment processor. You need to file the 1099-NEC for payments to contractors of over $600.

(I originally thought you meant contractor like a guy who worked on your house.)

But won't he then get two 1099s for the same payments (one from us, and one from PayPal)?

He's an unincorporated individual contractor for my wife's business, and we paid him more than $600 but less than $20,000 in 2022 in 12 transactions.

He's an individual.

Yes, I think that exception is what applies here, with Paypal being the "payment settlement entity."

I've seen threads about receiving a 1099 from Paypal and similar processors. But I'd like to make sure about whether I need to issue a 1099-NEC to a contractor whom we paid via Paypal. Sites such as https://www.nolo.com/legal-encyclopedia/tax-reporting-rules-for-third-party-payment-providers.html indicate that Paypal is the entity that has to issue the 1099, not me. Here's what Nolo says: However, if you're paid through a third-party settlement organization (TPSO) like PayPal, the payor doesn't have to report the payment to the IRS on Form 1099-NEC. Instead, the TPSO has to file a different form called "Form 1099-K" with the IRS. Not having had contractors before and not having had to issue a 1099 before, I just want to get confir...

[Moved into a new thread from: PSA - LastPass breach! --admin LadyGeek] So I've switched to Bitwarden and changed every password (except for a few for sites/accounts that don't seem to exist anymore). Now trying 2FA options. Google Authenticator is native to the Google/Chrome/Android environment - but the only way to back it up is by printing out codes. Authy came recommended - see for example https://www.nytimes.com/wirecutter/reviews/best-two-factor-authentication-app/ - partly because it syncs between multiple devices (like your phone and your desktop PC), so if you lose or replace your phone, you can just sync to the new one from the PC. (The NYT article quotes security experts as saying that this is not ideal from a security standpoin...

Having listened to almost 4 hours (two episodes) I found it surprisingly understandable for the most part, with one exception. In both episodes, it was mentioned very briefly that 2FA (such as Google Authenticator) for LastPass login offers no additional security beyond the master password. Can someone explain why? P.S. My iteration count was fortunately 100K but I bumped it up to 1M and changed all critical account passwords. 2FA wouldn’t have protected you from this LP breach as they got in through the back door, as it were, so no 2FA needed to get in. They tricked an employee into divulging his credentials and then stole everyone’s vault backups. Their only task now is to crack your master password to decrypt your vault backup. And they...

Yes, I guess it works well to have each account on a separate sheet so that the differing formats won't cause problems. Thanks. A little more work to log in to each account and download, but I suppose that's the convenience price to pay if I don't want to give login credentials to an online aggregator. If you are replying to me perhaps I didn't make it clear: 1. The various accounts have downloadable spreadsheets with position data 2. There is a tab of the spreadsheet that contains the account information 3. This tab was originally created by copying the various download sheets in 4. The main sheet links to cells in the account tab 5. To update I get a new download from each custodian and copy/paste the data over the corresponding section ...

Yes, I guess it works well to have each account on a separate sheet so that the differing formats won't cause problems. Thanks.

A little more work to log in to each account and download, but I suppose that's the convenience price to pay if I don't want to give login credentials to an online aggregator.

Expense deductibility does not require an LLC.

While many real estate investors in the US use LLCs to limit liability, some use high liability insurance amounts for this purpose instead.

Also, check in your country whether owning a US LLC will complicate your tax reporting there.

For those using a simple spreadsheet to track spending or investments, how do you get the data into the spreadsheet? Manually? Or via software (which means giving them your logins - yes, I know they say they're secure, but I feel burnt by the recent LastPass breach)?

I imagine diversification is in some tension with knowledge of a local market.

My rentals are in a town where we used to live. We know the streets, we have a superb property manager, and we know the city and property values.

In theory, I know it would be good to diversify to somewhere else. But I haven't thought of a way to do so with the kind of knowledge I have about our old city, and especially with the property manager I have there. Of course there are others out there around the country, but it's hard to know who they might be from afar.

On a bit of a tangent, has anyone managed to get Turbotax to work in Windows or Mac emulation on a Chromebook?

As stated up-thread, the download/CD version allows you to do up to five returns.

For US expats living abroad, the download/CD version also allows you to force a value in a key field that prevents double-charging of social security taxes in both countries, because Turbotax doesn't consider Totalization Agreements. The only drawback is that this manual overriding precludes e-filing.

https://ttlc.intuit.com/community/taxes ... 956/page/2

Last year, I wasn't able to download Turbotax from Amazon because I live outside the US. Is there a way to do this, or do I have to buy the CD and pay for it to be shipped to me? Were you not able to download after successfully purchasing it? Or did Amazon not even let you purchase it? In either case, did you try a VPN? Also, if you did purchase it and receive a serial number, there were posts upthread about downloading the actual installer from Intuit instead of Amazon. Amazon will only let me buy the physical CD. Can't finish the checkout process even when I select a US address that I use. VPN doesn't help. I'm trying now at Newegg. A few dollars more, but if the download works, that saves a bunch on shipping. The Newegg download worked.

Uncle Morris wrote: ↑Mon Jan 02, 2023 4:07 pm ...and speaking of Mint, I recently changed all my passwords due to the LastPass breach.

How is it possible that, while it can't connect to most accounts, it is still receiving data from a few?

Given that, and a little fact-based paranoia after the LastPass breach, I decided to pull the plug on Mint. Deleted all my accounts there yesterday.

Just signed up and in to Plaid. It says I have no accounts.

...and speaking of Mint, I recently changed all my passwords due to the LastPass breach.

How is it possible that, while it can't connect to most accounts, it is still receiving data from a few?

Sorry for the delay in reporting back here. I corresponded with the proprietor, and he sounds capable. But, in the post-LastPass breach era, I'm no more comfortable giving him my passwords than giving them to Mint.

For those who use Fidelity, who is probably more trustworthy in terms of security than a free service like Mint, there's still the problem of giving them your passwords to other accounts. Right?

So I'm back to my earlier question. Is there a way to semi-automate pulling transactions from banks and credit cards into a Google Sheet? That's really all I need. No budgeting, no forecasting, but just the transactions.

Thanks - yes, that's another good option.

TravelGeek wrote: ↑Sun Jan 01, 2023 2:16 pm

Uncle Morris wrote: ↑Sun Jan 01, 2023 2:06 pm Last year, I wasn't able to download Turbotax from Amazon because I live outside the US. Is there a way to do this, or do I have to buy the CD and pay for it to be shipped to me?

Were you not able to download after successfully purchasing it? Or did Amazon not even let you purchase it?

In either case, did you try a VPN? Also, if you did purchase it and receive a serial number, there were posts upthread about downloading the actual installer from Intuit instead of Amazon.

Amazon will only let me buy the physical CD. Can't finish the checkout process even when I select a US address that I use. VPN doesn't help.

I'm trying now at Newegg. A few dollars more, but if the download works, that saves a bunch on shipping.

Last year, I wasn't able to download Turbotax from Amazon because I live outside the US. Is there a way to do this, or do I have to buy the CD and pay for it to be shipped to me?

southerndoc wrote: ↑Fri Dec 30, 2022 5:27 pm

Uncle Morris wrote: ↑Fri Dec 30, 2022 11:11 am

southerndoc wrote: ↑Fri Dec 30, 2022 1:03 am I was tempted to reset all of my passwords again when I moved to Bitwarden today. However, I doubt that having my passwords in the LastPass vault for one week will be a huge problem (especially with my 25+ character master password). I've since deleted all data from LastPass including my account.

I'm not a security expert, but I think the experts would recommend that you do change your passwords over on the Bitwarden side. I would assume that the bad guys can get to your passwords that you had over in LastPass. They have your vault.

Does LastPass not delete your vault when you delete your account?

I don't know, but would imagine that they keep it for a while, like most companies would, in the hopes that you come back.

TravelGeek wrote: ↑Fri Dec 30, 2022 11:48 am

Uncle Morris wrote: ↑Fri Dec 30, 2022 11:43 am
Security experts, what say you about password phrases using memorable words? Good or bad?

Obligatory reference: https://xkcd.com/936/

Yes, thanks - the author sums up the question well - but is it correct?

But back to the main question: given what it says on https://blog.1password.com/not-in-a-million-years/ about human limitations in coming up with suitable passwords, we are still left with how to create a suitable master password in our password managers. The password manager can take care of all our subsidiary passwords for our various sites, but we humans have to create the master password. What to do? I've seen recommendations for long phrases that use dictionary words. I've seen recommendations for using upper and lower-case, numerals, and symbols. I assume the best would be a super-long master password that uses all of these - but that is hard for us humans to do. 1Password has a master password generation web tool (that can be used b...

So, assume you are a diligent user of a password manager, and use it to generate all your passwords for your various sites. (Editorial note: as I've recently been using my new password manager to change my passwords on various sites, I say "grrrr" to those sites that make me manually type in the new password confirmation, instead of pasting it in from the password manager. It's not fun to manually type 64 random characters.) But back to the main question: given what it says on https://blog.1password.com/not-in-a-million-years/ about human limitations in coming up with suitable passwords, we are still left with how to create a suitable master password in our password managers. The password manager can take care of all our subsidiar...

southerndoc wrote: ↑Fri Dec 30, 2022 1:03 am I was tempted to reset all of my passwords again when I moved to Bitwarden today. However, I doubt that having my passwords in the LastPass vault for one week will be a huge problem (especially with my 25+ character master password). I've since deleted all data from LastPass including my account.

I'm not a security expert, but I think the experts would recommend that you do change your passwords over on the Bitwarden side. I would assume that the bad guys can get to your passwords that you had over in LastPass. They have your vault.

Is it safe, once a number of years have gone by (and what might that number be?), to scan the papers and keep them only electronically, shredding the paper?

sperry8 wrote: ↑Sun Dec 25, 2022 2:05 pm Would an email change to LP help make things more safe? That is now they would be trying to guess my master password but I'd no longer have the username under the email they have?

I believe it's too late for that - they have your old master password and email in the stolen vault.
However, you might consider (for accounts that allow it) changing your email on those accounts (not in LastPass). That would help stop the bad guys from trying a password reset with your email if they're able to hack that.

Happy to be corrected if I've misunderstood this.

1. 256-bit AES encryption would take 1 billion billion years for the fastest supercomputer in the world to brute force attack. Can it be done quicker if there is a flaw in the way it was implemented? Sure, but currently we have no reason to believe that there was a flaw in the way it was implemented. No, that's not what that means. It will take a maximum of 1 billion billion years. It could also take ten minutes. It is very very unlikely to take ten minutes. Those phrases/charts mean it would take that long to exhaust all possible combinations to hit a match on a brute force attack. Yes, you are correct. If someone has their password as "password" or "qwerty" it might be broken in one minute. The more complicated, the m...