Search found 189 matches
- Sun Feb 19, 2023 10:53 am
- Forum: Personal Finance (Not Investing)
- Topic: Does my son (20 yrs old) need to file taxes
- Replies: 8
- Views: 1503
Re: Does my son (20 yrs old) need to file taxes
Thank you everyone for your time to read and respond. I much appreciate it. Sincerely.
- Sat Feb 18, 2023 1:57 pm
- Forum: Personal Finance (Not Investing)
- Topic: 1099-Q Earnings (don't understand)
- Replies: 3
- Views: 420
1099-Q Earnings (don't understand)
Hello, Looking at 1099-Q issued to my college going son, has $16000 of Gross distribution, has a large amount $6900 for 'Earnings', Basis of $9700. My understanding is, 'Earnings' is amount of money that the account earned through investment during the tax year. And if spent on 'Qualified' expenses, it should be tax exempt. The 1098-T only reports an amount of $9928. When I enter the above information in TurboTax, and enter extra $2300 for room and board and books, my federal tax payment owned jumps up (I own taxes based on my 1099 Q and 1098 T). When I go check my withdrawal records for my NEST 529 account, all withdraws are for 'Qualified' expenses. It almost seems like the 1098-T is missing an entire semester' tuition bill. Can you pleas...
- Sat Feb 18, 2023 1:42 pm
- Forum: Personal Finance (Not Investing)
- Topic: Does my son (20 yrs old) need to file taxes
- Replies: 8
- Views: 1503
Does my son (20 yrs old) need to file taxes
Hello,
My son 20 yrs old (on Dec 31, 2022), has received the following:
W2 (summer job): Wages $831, SSN Tax Withheld $51, Medicare Tax withheld $12, NO Federal Income tax withheld.
1099-NEC (Internship at university): $1650, NO taxes withheld on this form.
UTMA 1099-DIV (I am the custodian): Ordinary Dividends $149, Qualified Dividends $137
1099-Q (in his name) and 1098-T
Clearly, his earned income is under $12,950, unearned income is under $1100, but he has 1099-NEC over $400 (from a summer internship) and also has 1099-Q and 1098-T.
Based on above data:
1. Is he REQUIRED to file taxes?
2. If not required, then Is it recommended or is there an advantage in his situation to file taxes?
Thank you all, very much.
My son 20 yrs old (on Dec 31, 2022), has received the following:
W2 (summer job): Wages $831, SSN Tax Withheld $51, Medicare Tax withheld $12, NO Federal Income tax withheld.
1099-NEC (Internship at university): $1650, NO taxes withheld on this form.
UTMA 1099-DIV (I am the custodian): Ordinary Dividends $149, Qualified Dividends $137
1099-Q (in his name) and 1098-T
Clearly, his earned income is under $12,950, unearned income is under $1100, but he has 1099-NEC over $400 (from a summer internship) and also has 1099-Q and 1098-T.
Based on above data:
1. Is he REQUIRED to file taxes?
2. If not required, then Is it recommended or is there an advantage in his situation to file taxes?
Thank you all, very much.
- Wed Dec 21, 2022 11:04 am
- Forum: Personal Consumer Issues
- Topic: Remote work from Spain
- Replies: 12
- Views: 2294
Re: Remote work from Spain
Thanks everyone for your comments. I truly appreciate your thoughtful comments / ideas. I get the picture now.
- Tue Dec 20, 2022 12:32 pm
- Forum: Personal Consumer Issues
- Topic: Remote work from Spain
- Replies: 12
- Views: 2294
Remote work from Spain
Hello,
I plan to spend 2-weeks in Spain in January. I am a US Citizen and work for a US company. Is it legal to remotely work from Spain (for a US company) for about 5-7 business days? Any legal or tax implications? Thanks.
I plan to spend 2-weeks in Spain in January. I am a US Citizen and work for a US company. Is it legal to remotely work from Spain (for a US company) for about 5-7 business days? Any legal or tax implications? Thanks.
- Tue Dec 28, 2021 1:56 pm
- Forum: Personal Investments
- Topic: Do I have paper I-Bonds?
- Replies: 11
- Views: 1314
Re: Do I have paper I-Bonds?
Thanks, I think this is for securities 30 years or prior.SnowBog wrote: ↑Tue Dec 28, 2021 1:35 pm You could try https://www.treasurydirect.gov/indiv/to ... ryhunt.htm
- Tue Dec 28, 2021 1:15 pm
- Forum: Personal Investments
- Topic: Do I have paper I-Bonds?
- Replies: 11
- Views: 1314
Re: Do I have paper I-Bonds?
Thank you for your responses. Why do i think i have paper bonds? That's the issue i am chasing down. I am 98% sure I do not have paper bonds. But just need a verification for the 2% so i sleep well not thinking i am leaving money on the table. Therefore, i was wondering if there was a simple was to confirm if it paper was ever issued to me at all.
- Mon Dec 27, 2021 8:24 am
- Forum: Personal Investments
- Topic: Do I have paper I-Bonds?
- Replies: 11
- Views: 1314
Do I have paper I-Bonds?
Hello All, This is a two part question: 1. TreasuryDirect has issued me an Access Card. The account number on it matches the account number on my TreasuryDirect website account, which I can log in without using this Access Card. Therefore, what is / was the purpose of this access card? Is this redundant now and no longer needed? 2. I can log on my TreasuryDirect account and see my I-Bonds there. However, I have an inclining suspicion that I may have some paper issued I-Bonds which are NOT showing up on the website account. I searched and did not find any paper certificates. I called TreasuryDirect and they asked me to fill out the form SF1048. The form did not make sense to me, since I do not know if any where issued to me at all? Is there ...
- Tue Dec 11, 2018 1:17 pm
- Forum: Personal Consumer Issues
- Topic: Advise on how to deal with this insurance claim situation
- Replies: 29
- Views: 1935
Re: Advise on how to deal with this insurance claim situation
Edited to note: I can't see any downside to OP fighting this (or, rather, letting his own insurance company fight it for him via subrogation). If the other party is denying fault, there's a 100% chance the other party will file a claim on OP's liability policy. So there's going to be a claim on OP's insurance regardless of how OP decides to pay for the repairs of his car (which is not an ordinary car and may not be so easy or cheap to repair). OP's insurance rates are going up unless the other party is determined to be solely at fault. That's why I asked if the other party has filed a claim against the OP's insurance. The other party may not even have the info needed to file a claim (since they supposedly initially admitted fault). But reg...
- Tue Dec 11, 2018 11:06 am
- Forum: Personal Consumer Issues
- Topic: Advise on how to deal with this insurance claim situation
- Replies: 29
- Views: 1935
Re: Advise on how to deal with this insurance claim situation
Thanks all. Appreciate the input.
- Tue Dec 11, 2018 9:15 am
- Forum: Personal Consumer Issues
- Topic: Advise on how to deal with this insurance claim situation
- Replies: 29
- Views: 1935
Re: Advise on how to deal with this insurance claim situation
Thanks all. Will file the claim with my carrier.
- Tue Dec 11, 2018 9:01 am
- Forum: Personal Consumer Issues
- Topic: Advise on how to deal with this insurance claim situation
- Replies: 29
- Views: 1935
Advise on how to deal with this insurance claim situation
My brand new Tesla got into an unfortunate fender bender while my wife was driving it. She had parked in a space and was backing out to re-park to center the car in the lines. She claims she was had pulled back out enough by looking into the camera view and as she was about to pull back in, a car came and hit her. There is big gash in the rear bumper and some scratches on the panels. The driver of the other car apologized and sorta admitted his fault and they exchanged insurance information. I filed a claim with the other insurance carrier (esurance). The claims specialist called my wife and the other driver and took their statements. Few hours later, he called back and told me that it does not seem it was the other drivers fault and they a...
- Tue Sep 11, 2018 8:59 am
- Forum: Personal Consumer Issues
- Topic: Tesla Model 3 Owners: Your experience so far
- Replies: 84
- Views: 15619
Re: Tesla Model 3 Owners: Your experience so far
Yes, 20% off list price. Was a great deal, overall. Too bad the federal tax rebate for Tesla reduces next year.bgf wrote: ↑Tue Sep 11, 2018 8:50 amWOW. $12000 subsidy it better be great value!!InvestoGuy wrote: ↑Mon Sep 10, 2018 1:39 pm
> 1. Was it worth the money?
Yes totally. The $7500 federal tax refund and I also get a $4500 rebate from my local utility company gives me a 20% discount on the car. That is awesome and makes it totally worth it.
- Tue Sep 11, 2018 8:19 am
- Forum: Personal Consumer Issues
- Topic: Tesla Model 3 Owners: Your experience so far
- Replies: 84
- Views: 15619
Re: Tesla Model 3 Owners: Your experience so far
No, I did not. I got the 'base' version, which is Long Range and RWD. It is pretty good, as is.
- Mon Sep 10, 2018 2:29 pm
- Forum: Personal Investments
- Topic: Paying off mortgage with 87K left on it
- Replies: 69
- Views: 7836
Re: Paying off mortgage with 87K left on it
I had about $100K left on my mortgage several months ago and after reviewing a lot of mortgage threads here, I decided to pay it off. My reasons (and all might not be purely mathematical, some are emotional):
1. Desire to be completely debt free. Oh, what a great feeling
2. Wanted to do some 'profit taking' from the higher than expected stock market returns of the last few years . Rather than re balancing, I decided to pay off.
1. Desire to be completely debt free. Oh, what a great feeling
2. Wanted to do some 'profit taking' from the higher than expected stock market returns of the last few years . Rather than re balancing, I decided to pay off.
- Mon Sep 10, 2018 1:39 pm
- Forum: Personal Consumer Issues
- Topic: Tesla Model 3 Owners: Your experience so far
- Replies: 84
- Views: 15619
Re: Tesla Model 3 Owners: Your experience so far
Since I am the OP, would like to conclude the thread, as follows: Thank you all for your responses. I am a happy Model 3 owner as well, have had the car for about 3 weeks now. My feedback as follows: > 1. Was it worth the money? Yes totally. The $7500 federal tax refund and I also get a $4500 rebate from my local utility company gives me a 20% discount on the car. That is awesome and makes it totally worth it. > 2. Months of ownership so far Almost a month. > 3. Still positive, negative or somewhere in between (say on a 1-5 scale, 5 being very positive / happy). 5. Amazing vehicle. > 4. Any big issues / surprises Not really. Didn't realize we (me and wife) both would like it so much. > 5. What was the first issue you had that need some sort...
- Wed Sep 05, 2018 10:41 am
- Forum: Personal Consumer Issues
- Topic: Tesla Model 3 Owners: Your experience so far
- Replies: 84
- Views: 15619
Tesla Model 3 Owners: Your experience so far
Any Tesla Model 3 owners here? What has your experience been so far, specifically:
1. Was it worth the money?
2. Months of ownership so far
3. Still positive, negative or somewhere in between (say on a 1-5 scale, 5 being very positive / happy).
4. Any big issues / surprises
5. What was the first issue you had that need some sort of service
6. 2-3 things you like the most.
Thank you for your time.
1. Was it worth the money?
2. Months of ownership so far
3. Still positive, negative or somewhere in between (say on a 1-5 scale, 5 being very positive / happy).
4. Any big issues / surprises
5. What was the first issue you had that need some sort of service
6. 2-3 things you like the most.
Thank you for your time.
- Wed Aug 29, 2018 9:24 am
- Forum: Personal Investments
- Topic: 2018 August - Dollar Cost Averaging vs LumpSum of 420k
- Replies: 46
- Views: 4758
Re: 2018 August - Dollar Cost Averaging vs LumpSum of 420k
OP, why have you ruled out Dollar Value Averaging? I would put 30-50% lump sum (you decide), and the rest Value Average. Per Wikipedia https://en.wikipedia.org/wiki/Value_averaging "In Dollar Value Averaging, portfolio balance increases by a set amount, regardless of market fluctuations. As a result, in periods of market declines, the investor contributes more, while in periods of market climbs, the investor contributes less. In contrast to dollar cost averaging which mandates that a fixed amount of money be invested at each period, the value averaging investor may actually be required to withdraw from the portfolio in some periods." I probably won't withdraw (as suggested above), but DVA has worked great for me. Although, researc...
- Mon Aug 27, 2018 10:28 am
- Forum: Personal Consumer Issues
- Topic: Phone Plan for US-Child doing a Semester Abroad (VerizonWirelss)
- Replies: 50
- Views: 3992
Re: Phone Plan for US-Child doing a Semester Abroad (VerizonWirelss)
I travel international a lot and this is what I would recommend: 1. Stay with Verizon (or your current carrier, since that doesn't matter) 2. Install an App called WhatsApp. Amazing texting, voice, and video. Everybody in the family will need WhatsApp 3. Buy a local SIM so she has a phone for local access. Use the SIM in her current phone, no need to change phone or buy a new one. 4. WhatsApp will provide seamless connectivity, no matter where, as long as you have data (either through Wi-fi or cell plan). Thanks InvestoGuy - this is the conclusion we are coming to - appreciate the succinct response. Since she is only gone 3.5 months it doesn't seem worth canceling Verizon (she can just switch her SIM card back when she returns). Welcome. G...
- Sun Aug 26, 2018 10:30 am
- Forum: Personal Consumer Issues
- Topic: Switching from driving to uber/lyft for daily commute
- Replies: 10
- Views: 1598
Re: Switching from driving to uber/lyft for daily commute
I did something very recently. When my daughter started driving, instead if investing in a 3rd car, I gave her my car and I started to use Uber/Lyft. It is working great for me, for the following reasons:
1. Most days, I work out of the home
2. Days when we do have the need for a 3rd car, there is a Uber/Lyft.
You have to be a bit patient and have a little slack in your timing. You will also need to work out the economics of owning a car vs 'renting' it as needed. In my case, the economics were overwhelming.
Also, if do experiment with Uber/Lyft, keep you expenses for 6 months and do the math again to make sure the data supports your assumption of buying vs renting.
1. Most days, I work out of the home
2. Days when we do have the need for a 3rd car, there is a Uber/Lyft.
You have to be a bit patient and have a little slack in your timing. You will also need to work out the economics of owning a car vs 'renting' it as needed. In my case, the economics were overwhelming.
Also, if do experiment with Uber/Lyft, keep you expenses for 6 months and do the math again to make sure the data supports your assumption of buying vs renting.
- Sat Aug 25, 2018 1:47 pm
- Forum: Personal Consumer Issues
- Topic: Tesla Insurance Question and how to get out of the deposit
- Replies: 26
- Views: 4838
Re: Tesla Insurance Question and how to get out of the deposit
Thanks for doing it. Sorry, I didn't see this or wouldn't have responded.LadyGeek wrote: ↑Fri Aug 24, 2018 10:26 pm I removed some off-topic posts and replies. As a reminder, see: General EtiquetteWe expect this forum to be a place where people can feel comfortable asking questions and where debates and discussions are conducted in civil tones.
...At all times we must conduct ourselves in a respectful manner to other posters. Attacks on individuals, insults, name calling, trolling, baiting or other attempts to sow dissension are not acceptable.
- Sat Aug 25, 2018 1:46 pm
- Forum: Personal Consumer Issues
- Topic: Tesla Insurance Question and how to get out of the deposit
- Replies: 26
- Views: 4838
Re: Tesla Insurance Question and how to get out of the deposit
Folks, Wanted to report back on the action I took. I dropped the price of the Tesla Model 3 to the bare minimum configuration allowed as of now and resubmitted to my insurance company for a real quote using a real VIN. They came back with a much reasonable quote. Was only $50 more per month for a brand new Tesla (much reasonable). I decided to trade-in my 7-seater gas guzzler SUV and finally did purchase the Model 3. It has been a week now since I have it. Loving the car. It is simply amazing technology. Love not going to the gas station as well. Going from a 7 seat SUV to a (relatively) small electric sedan is quite a difference in vehicle needs. What prompted the change? Or is this popularity chasing? We have out grown the needs for a 7-...
- Fri Aug 24, 2018 3:11 pm
- Forum: Personal Consumer Issues
- Topic: Phone Plan for US-Child doing a Semester Abroad (VerizonWirelss)
- Replies: 50
- Views: 3992
Re: Phone Plan for US-Child doing a Semester Abroad (VerizonWirelss)
I travel international a lot and this is what I would recommend:
1. Stay with Verizon (or your current carrier, since that doesn't matter)
2. Install an App called WhatsApp. Amazing texting, voice, and video. Everybody in the family will need WhatsApp
3. Buy a local SIM so she has a phone for local access. Use the SIM in her current phone, no need to change phone or buy a new one.
4. WhatsApp will provide seamless connectivity, no matter where, as long as you have data (either through Wi-fi or cell plan).
1. Stay with Verizon (or your current carrier, since that doesn't matter)
2. Install an App called WhatsApp. Amazing texting, voice, and video. Everybody in the family will need WhatsApp
3. Buy a local SIM so she has a phone for local access. Use the SIM in her current phone, no need to change phone or buy a new one.
4. WhatsApp will provide seamless connectivity, no matter where, as long as you have data (either through Wi-fi or cell plan).
- Fri Aug 24, 2018 2:33 pm
- Forum: Personal Consumer Issues
- Topic: Tesla Insurance Question and how to get out of the deposit
- Replies: 26
- Views: 4838
Re: Tesla Insurance Question and how to get out of the deposit
Folks,
Wanted to report back on the action I took. I dropped the price of the Tesla Model 3 to the bare minimum configuration allowed as of now and resubmitted to my insurance company for a real quote using a real VIN. They came back with a much reasonable quote. Was only $50 more per month for a brand new Tesla (much reasonable). I decided to trade-in my 7-seater gas guzzler SUV and finally did purchase the Model 3. It has been a week now since I have it. Loving the car. It is simply amazing technology. Love not going to the gas station as well.
Wanted to report back on the action I took. I dropped the price of the Tesla Model 3 to the bare minimum configuration allowed as of now and resubmitted to my insurance company for a real quote using a real VIN. They came back with a much reasonable quote. Was only $50 more per month for a brand new Tesla (much reasonable). I decided to trade-in my 7-seater gas guzzler SUV and finally did purchase the Model 3. It has been a week now since I have it. Loving the car. It is simply amazing technology. Love not going to the gas station as well.
- Tue Jul 03, 2018 10:42 am
- Forum: Personal Consumer Issues
- Topic: Tesla Insurance Question and how to get out of the deposit
- Replies: 26
- Views: 4838
Tesla Insurance Question and how to get out of the deposit
Hello, I made a stupid mistake recently (very unlike a boglehead). I have led my life in a financially responsible way and have tried my best to follow the 'Millionaire next door' lifestyle and also the boglehead tenets. This is what I did and please advise how I can come out of this quandary. I reserved a Model 3 several months ago (thinking it was really $35K) car. Soon I realized it is about $60K and I started to prepare myself for a once in a life time $60K purchase. I am 48 and have a decent nest egg, so thought a once in a life time reward is well deserved. Last week, I got the email from Tesla asking me to put additional $2500 to configure my car. In excitement, I pulled my cc out and paid the $2500 (the first BIG mistake). Then I ca...
- Wed Jan 24, 2018 3:55 pm
- Forum: Investing - Theory, News & General
- Topic: Malkiel -Investing In Overpriced World WSJ
- Replies: 20
- Views: 4020
Re: How to Invest in an Overpriced World: Burton Malkiel WSJ article
Oh and i thought i searched before i posted. Thanks for pointing out.
- Wed Jan 24, 2018 3:52 pm
- Forum: Personal Investments
- Topic: Your bond allocation when you were 48
- Replies: 125
- Views: 11636
Re: Your bond allocation when you were 48
But are you not worried that the party will end (who knows when)? Or do you have plenty of time still to recover? When will you switch over to some sorta bond allocation.
- Wed Jan 24, 2018 3:51 pm
- Forum: Personal Investments
- Topic: Your bond allocation when you were 48
- Replies: 125
- Views: 11636
- Wed Jan 24, 2018 3:50 pm
- Forum: Personal Investments
- Topic: Your bond allocation when you were 48
- Replies: 125
- Views: 11636
Re: Your bond allocation when you were 48
Good point. Say if i am 12 years away from retirement, what would you do for bonds allocation?Hyperborea wrote: ↑Wed Jan 24, 2018 3:37 pm 0% bonds at 48 (sort of).
I had a deferred comp plan that had at most 2% of my portfolio value in it at that time and the only investment option was a bond fund. I retired at 51 but I didn't have a fixed retirement date. If your retirement date is fixed (i.e. you won't be able to ride out a downturn) then you may want to ramp up the bond holdings closer to retirement whenever that is. That distance to your planned retirement age and how fixed the date is are more important than actual age.
- Wed Jan 24, 2018 2:08 pm
- Forum: Personal Investments
- Topic: Your bond allocation when you were 48
- Replies: 125
- Views: 11636
Your bond allocation when you were 48
With no details whatsoever, all I wish to know is what is (or was) the typical Bond Vs. Equities split for most bogleheads you are in their late 40's today or who were in their late 40's at some point in the time in the past. Just a quick poll, with not much details situational specific things. Please respond.
40-60, 50-50, 30-70 or ......
40-60, 50-50, 30-70 or ......
- Wed Jan 24, 2018 2:03 pm
- Forum: Investing - Theory, News & General
- Topic: Malkiel -Investing In Overpriced World WSJ
- Replies: 20
- Views: 4020
- Wed Jan 24, 2018 1:18 pm
- Forum: Personal Finance (Not Investing)
- Topic: Thinking through Paying Down the Mortgage
- Replies: 58
- Views: 6158
Re: Thinking through Paying Down the Mortgage
Hello, Let me share what i did recently. I had about $100K left on my mortgage, which last year Oct I finally paid it off. I sleep extremely well now, with no debt on my shoulders. The thinking was as follows: The stock market has done extremely well last couple of years. The 'regression to the mean' will happen (but who knows when, how, and at what pace), so i decided to take some profits and payoff my mortgage or I decided to re-balance and instead of buying fixed income assets, I paid off the mortgage. Not exactly the same, but it worked for me. That way, if there is a correction (which will happen), then at least I paid off my debt. I agree the rationale behind to pay off or not to pay off is not as simple as i made it sound, but that w...
- Mon Jan 22, 2018 2:19 pm
- Forum: Personal Finance (Not Investing)
- Topic: Thinking about changing jobs after 15 years. Looking for something I can land with a 2yr/tech school
- Replies: 42
- Views: 4669
Re: Thinking about changing jobs after 15 years. Looking for something I can land with a 2yr/tech school
If you are technically and mathematically inclined, I would suggest joining a 3-6 month programming course at your local community college then slowly moving into Data Science, if you are math inclined. If not, just stay in programming and advance in there. There's lot to learn and branch into, once you get in.
- Thu Jan 18, 2018 11:13 am
- Forum: Personal Finance (Not Investing)
- Topic: Real Estate Versus Stocks
- Replies: 67
- Views: 10888
Re: Real Estate Versus Stocks
Really? I thought it was the other way around, generally speaking. Can you share / point to the Economist article please?Stanchion wrote: ↑Wed Jan 17, 2018 6:29 pm A recent article in The Economist, “Many happy returns”, described long-term research showing that property yields more than shares and bonds. I’m on the verge of making my first home purchase (unleveraged). According to the article, rental yields account for about half of the long-run return on housing. So owning a diversified portfolio of rent-yielding property is superior to pure home ownership. I’m interested in learning more about the process of buying additional homes and using them for rental income and would welcome hearing about other people’s experiences.
- Wed Jan 17, 2018 4:50 pm
- Forum: Personal Investments
- Topic: Backdoor ROTH IRA: Tax implication help
- Replies: 5
- Views: 552
Re: Backdoor ROTH IRA: Tax implication help
Got it. Thanks, that makes it clear.ThriftyPhD wrote: ↑Wed Jan 17, 2018 4:28 pm You're not being taxed twice. You're being taxed on the pretax dollars you're converting, and are leaving some aftertax dollars in the tradition. For example:
You have $9,000 pretax in a traditional IRA. You add $1000 non deductible to a new traditional IRA. You convert $1000 to a Roth.
When you do this, you're not converting the $1000 non deductible. This is where the pro-rata rule comes in. Instead, you're converting $900 pretax, and $100 non deductible. This is why you pay tax on 900/1000 = 90% of the amount. After, you have $8,100 in your pretax IRA, and $900 non deductible.
- Wed Jan 17, 2018 4:01 pm
- Forum: Personal Investments
- Topic: Backdoor ROTH IRA: Tax implication help
- Replies: 5
- Views: 552
Re: Backdoor ROTH IRA: Tax implication help
No, you are not taxed on the $5500 again. But since the $5500 is co-mingled with the rest of the taxable IRA and you cannot decide which part gets converted to the Roth and which part doesn't, you have to calculate the ratio of non-taxable to taxable and apply that ratio to the amount you want to convert to figure the taxable amount of the conversion. In essence, until you get your tIRA value down to zero, a backdoor Roth doesn't work effectively for you. If your workplace office offers a 401k plan that accepts "unrelated rollovers" you could first move the existing tIRA into your employer's 401k leaving the tIRA value = $0. Then when you do the 'backdoor Roth' there will be no taxable basis and the entire amount can be converted...
- Wed Jan 17, 2018 3:57 pm
- Forum: Personal Investments
- Topic: im 25 years old and want to start investing
- Replies: 9
- Views: 1293
Re: im 25 years old and want to start investing
Just the fact that you are starting to invest at 25 is wonderful. Create a Cash Accumulation Spreadsheet to create some goals / targets on an annual basis, so you can see how you will accumulate wealth by the time you are in your 30's, 40's, 50's etc. Good exercise to.
- Wed Jan 17, 2018 3:43 pm
- Forum: Personal Investments
- Topic: Backdoor ROTH IRA: Tax implication help
- Replies: 5
- Views: 552
Backdoor ROTH IRA: Tax implication help
Hello, I read the wiki https://www.bogleheads.org/wiki/Backdoor_Roth_IRA on the Backdoor Roth and apparently i am missing something. Please help clarify. I do already have a good amount in my existing IRA account, as a result of a rollover from a previous 401K. I currently do contribute to a 401k and also do not qualify for a ROTH, hence i am considering a backdoor. However, per the wiki, using the formula: TF = 100 * [ C / (C + B)], looks like i will be liable to close to 99% tax. So this is where i am confused: 1. I put $5,500 in a non-deductive IRA. I am already paying taxes here, since this is a post tax contribution. 2. I turn around and do a backdoor ROTH. Per the calc, since I have a large sum in my tradition IRA account, do i need t...
- Sat Sep 30, 2017 3:48 pm
- Forum: Personal Finance (Not Investing)
- Topic: Becoming a Landlord: My Experiences
- Replies: 183
- Views: 48685
Re: Becoming a Landlord: My Experiences
Very good post and comments denovo. About 10 years ago, my wife inherited two small rental condos in Honolulu (not vacation rentals). I wanted to sell them to not deal with being a landlord. But they are my wife's connection to her hometown, so we are landlords. Fortunately, there was no debt with either of the units. We toured the properties with the property manager and I was impressed. And in ten years, we have had only one change of tenant in each unit and reasonable maintenance and repair costs. One former tenant lost his job and we ended up losing a months rent and a good tenant. Otherwise no tenant has missed a payment. The property manager handles tenants and repairs. They also pay state and local taxes and insurance out of rental ...
- Fri Sep 29, 2017 4:29 pm
- Forum: Personal Finance (Not Investing)
- Topic: Becoming a Landlord: My Experiences
- Replies: 183
- Views: 48685
Re: Becoming a Landlord: My Experiences
Excellent post. I am considering owning some rental property, however, I always wonder what the returns are compared to putting it in a simple index fund. How has your investment done, till today right from inception, compared to a simple index fund during the exact same time period?
- Thu Sep 28, 2017 4:13 pm
- Forum: Personal Finance (Not Investing)
- Topic: I am in the investment advice industry and I'm not sure if I provide any value
- Replies: 67
- Views: 10104
Re: I am in the investment advice industry and I'm not sure if I provide any value
Simple answer: Yes there is value in having an ethical FP. There are so many folks out there who are clueless about the basics of investing, diversification, tax strategies, inheritance planning etc. that you can certainly provide value. How much do you charge, well that depends on the value you are able to give and the prevailing market conditions and how long you plan to be in this business.
- Thu Sep 28, 2017 4:05 pm
- Forum: Non-US Investing
- Topic: Transferring Inheritance Funds from a Foreign Source
- Replies: 2
- Views: 563
Transferring Inheritance Funds from a Foreign Source
Hello,
I am a US citizen and recently received some inheritance from parents who live in India. The money is currently sitting in an Indian bank in a NRO account.
1. What is the most tax efficient way of transferring this to the US?
2. Generally speaking, what are my tax liabilities and what strategies should i use to minimize my tax bill?
Regards,
Thanks.
I am a US citizen and recently received some inheritance from parents who live in India. The money is currently sitting in an Indian bank in a NRO account.
1. What is the most tax efficient way of transferring this to the US?
2. Generally speaking, what are my tax liabilities and what strategies should i use to minimize my tax bill?
Regards,
Thanks.
- Wed Aug 09, 2017 9:04 am
- Forum: Personal Finance (Not Investing)
- Topic: Backpack qualified expense for 529 plan?
- Replies: 19
- Views: 5036
Re: Backpack qualified expense for 529 plan?
I can give you my opinion, but it doesn't count. The US Tax Court is the entity whose opinion matters in this particular instance. You can research the tax court rulings on qualified expenses for 529 plans. You can review one Tax Court case here: https://www.ustaxcourt.gov/UstcInOp/OpinionViewer.aspx?ID=6505 Keep in mind in 2005 computers were not qualified expenses for a 529 plan. You can look at the logic and type of tests the tax court uses to determine whether the computer expense is qualified or not. It also discusses additional accessory purchases like bedding, appliances, etc. My opinion, based on my reading of the Tax Court decision, is that a backpack would fail an audit on a required item for attending college, and therefore, wou...
- Tue Aug 08, 2017 11:29 am
- Forum: Personal Finance (Not Investing)
- Topic: Backpack qualified expense for 529 plan?
- Replies: 19
- Views: 5036
Re: Backpack qualified expense for 529 plan?
Well, 529 allows Laptops, software, and supplies. So was wondering if a backpack falls under supplies?livesoft wrote:I will say, "No, since a backpack is not a required expense."
We stick to books, room & board, tuition, and required fees.
- Tue Aug 08, 2017 11:26 am
- Forum: Personal Finance (Not Investing)
- Topic: Backpack qualified expense for 529 plan?
- Replies: 19
- Views: 5036
Re: Backpack qualified expense for 529 plan?
Not a whole lot, with regards to my specific question, unless I am missing something.
- Tue Aug 08, 2017 10:00 am
- Forum: Personal Finance (Not Investing)
- Topic: Backpack qualified expense for 529 plan?
- Replies: 19
- Views: 5036
Backpack qualified expense for 529 plan?
Hello,
I searched a bit on the internet but could not come up with a specific list of qualified school supplies for a 529 plan. I bought a $34 backpack and a $17 laptop sleeve. Are these qualified Supplies expenses?
Thanks.
I searched a bit on the internet but could not come up with a specific list of qualified school supplies for a 529 plan. I bought a $34 backpack and a $17 laptop sleeve. Are these qualified Supplies expenses?
Thanks.
- Mon Jun 12, 2017 5:15 pm
- Forum: Personal Consumer Issues
- Topic: Traveling to UK/France: Suggest a pre-paid SIM Card
- Replies: 17
- Views: 2969
Re: Traveling to UK/France: Suggest a pre-paid SIM Card
If you bought your phone from Verizon, it is likely locked (unless established otherwise). If you bought it outside for full price and took it to Verizon, probably unlocked. You need to be sure it supports GSM and European frequencies (I think that is normal for Iphone6, but I don't use iphone). If you really want to be sure, borrow a friends ATT sim and try it out before you go. Roaming between European countries for talk/text is either free or very cheap now, so no problem getting a sim in one country and using in the other. Data can be more complicated, probably easier if you start in UK to get the SIM there, as UK phone market is pretty competitive and has lots of options. Worst case, you just buy a cheap dumb phone on arrival, and use...
- Sun Jun 11, 2017 3:55 pm
- Forum: Personal Consumer Issues
- Topic: Traveling to UK/France: Suggest a pre-paid SIM Card
- Replies: 17
- Views: 2969
Re: Traveling to UK/France: Suggest a pre-paid SIM Card
From what i can tell it is unlocked. I am currently in the US on the Verizon network.curmudgeon wrote:two key questions: is your iphone unlocked (or can you get it unlocked based on your contract)? Which country will you start in?
- Sun Jun 11, 2017 3:45 pm
- Forum: Personal Consumer Issues
- Topic: Traveling to UK/France: Suggest a pre-paid SIM Card
- Replies: 17
- Views: 2969
Traveling to UK/France: Suggest a pre-paid SIM Card
Hello,
Based on prior experience, can someone please suggest me a pre-paid SIM card for use in UK and France.
I have the iPhone 6 and currently on Verizon so will need something that works with it.
Just basic Voice and Texting, minimal Data needs.
Thank you.
Based on prior experience, can someone please suggest me a pre-paid SIM card for use in UK and France.
I have the iPhone 6 and currently on Verizon so will need something that works with it.
Just basic Voice and Texting, minimal Data needs.
Thank you.
- Fri Jun 09, 2017 8:50 am
- Forum: Investing - Theory, News & General
- Topic: Does anyone feel they missed out on AMZN, NFLX,TSLA?
- Replies: 113
- Views: 18853
Re: Does anyone feel they missed out on AMZN, NFLX,TSLA?
I woke up this morning thinking exactly the same. However, this is how I pacify myself: 1. When you have made a conscious decision to invest in Indexes at a low cost, you have agreed that you will be happy with the 'average' return of the market, at a low cost. Thus, mathematically speaking you will always lose out on the winners. That is basic indexing. 2. If someone can predict today, what the next AMZN, MSFT etc. could be, I will absolutely jump in, but as we all know, that is near impossible. 3. The only people I know who have really benefited and grown rich through individual tech stocks (over a long period of time) are the once who have some sort of stock options or grants received through these companies and continue to receive it. I...