Search found 1220 matches

by A440
Thu Mar 14, 2024 6:16 am
Forum: Personal Consumer Issues
Topic: Ooma Phone Service
Replies: 40
Views: 3439

Re: Ooma Phone Service

The best part of having Ooma for me was eliminating the phone line that ran above our cars from the street to the house. Birds would love to perch on the wire and mess up our cars with their droppings, especially after I had just washed them. :annoyed
I took great delight in taking a tree pole pruner and cutting the phone line. :beer
by A440
Mon Mar 11, 2024 6:50 am
Forum: Personal Consumer Issues
Topic: Ooma Phone Service
Replies: 40
Views: 3439

Re: Ooma Phone Service

We use it for our landline.
~$7 a month with no issues.
by A440
Fri Mar 08, 2024 7:31 am
Forum: Personal Investments
Topic: Vanguard NJ LT Tax-exempt bond fund (VNJUX)
Replies: 7
Views: 707

Re: Vanguard NJ LT Tax-exempt bond fund (VNJUX)

grabiner wrote: Thu Mar 07, 2024 8:44 pm What is your marginal tax rate?

In a 32% or higher bracket, I would recommend this fund, but for no more than half your total bond allocation to reduce the single-stock risk. In a lower bracket, a better way to avoid NJ state tax is to hold a Treasury fund (including TIPS if you are sensitive to inflation risk). Treasuries have an extra advantage in NJ because NJ does not tax capital gains on "qualified investment funds" which hold bonds exempt from NJ income tax.
We should be in the 24% bracket. Should I just put the sales proceeds in Vanguard Federal Treasury Money Market? Or perhaps VGIT for a little more risk?
by A440
Thu Mar 07, 2024 6:57 am
Forum: Personal Investments
Topic: Vanguard NJ LT Tax-exempt bond fund (VNJUX)
Replies: 7
Views: 707

Vanguard NJ LT Tax-exempt bond fund (VNJUX)

I'm starting to divest an overweighted stock in a taxable portfolio, using available tax space to take advantage of LT gains at 15% tax. We have "won the game" but I wish to keep playing.
Our space for tax advantaged accounts are full. I'm trying to get closer to an AA of 60/40, while keeping to the 3-fund portfolio. We are currently about 70 (20 of which is international)/30.
Moving the proceeds of the overweighted stock to BND would throw off too much taxable income. Would Vanguard's NJ Tax-exempt bond bond be a good place to put the proceeds? It would avoid Federal and State taxes and help to move closer to the 60/40 AA. I understand this is not part of the 3-fund portfolio philosophy.
by A440
Wed Mar 06, 2024 6:23 am
Forum: Personal Consumer Issues
Topic: What are some of the things that improved YOUR quality of life?
Replies: 254
Views: 41969

Re: What are some of the things that improved YOUR quality of life?

Kickstart1967 wrote: Tue Mar 05, 2024 2:16 pm Getting a dog and walking him every day...
+1 to this. After a lot of training and treats, I'm finally walking the dog instead of the other way around. Now walks and hikes are enjoyable.
by A440
Wed Mar 06, 2024 6:22 am
Forum: Personal Consumer Issues
Topic: What frugal thing did you do today?
Replies: 4525
Views: 617525

Re: What frugal thing did you do today?

DIY board and batten accent wall in bedroom renovation.
by A440
Sun Mar 03, 2024 6:04 am
Forum: Personal Finance (Not Investing)
Topic: Need help with simple math relating to selling shares
Replies: 4
Views: 613

Re: Need help with simple math relating to selling shares

delamer wrote: Sat Mar 02, 2024 4:38 pm If all shares have the same cost basis, then determine gain per share by subtracting cost basis per share from current value per share. [Example: $100 (current value) minus $80 (cost basis) equals $20 gain per share.]

Divide the result into $50,000. That’s the number of shares you need to sell to generate $50,000 in gains. ($50,000 divided by $20 gains per share equals 2500 shares).

If different shares have a different basis, then the math is more complex.
Yes, all shares have the same cost basis.
Thank you for the math and example. Much appreciated.
by A440
Sat Mar 02, 2024 7:16 am
Forum: Personal Finance (Not Investing)
Topic: Need help with simple math relating to selling shares
Replies: 4
Views: 613

Need help with simple math relating to selling shares

Math is not my forte.
If I have, say, $50,000 of tax space for a LT capital gain, how do I determine how many shares of the stock to sell to reach the $50,000 gain? There must be a simpler way to figure this out other than plugging in different amount of shares times the current price and then determining which amount equals the required amount of capital gain.
by A440
Fri Mar 01, 2024 6:29 am
Forum: Personal Consumer Issues
Topic: What are some of the things that improved YOUR quality of life?
Replies: 254
Views: 41969

Re: What are some of the things that improved YOUR quality of life?

Another vote for early retirement.
The freedom to do what I want, when I want, and how I want is priceless.
by A440
Thu Feb 29, 2024 10:28 am
Forum: Personal Finance (Not Investing)
Topic: Adding beneficiaries to non-retirement account at Vanguard
Replies: 24
Views: 1592

Re: Adding beneficiaries to non-retirement account at Vanguard

bsteiner wrote: Thu Feb 29, 2024 7:50 am
piper wrote: Thu Feb 29, 2024 7:41 am
toddthebod wrote: Thu Feb 29, 2024 7:27 am Your will will designate that your assets should pass to the trusts. You don't need to also list those trusts as beneficiaries.
The whole point of having trust's is to avoid probate. From my understanding a will has to go thru probate.
In most cases in most states probating a Will is not difficult.
In NJ, it is might be more difficult to get a REAL ID at the DMV than to probate a will. :wink:
by A440
Thu Feb 29, 2024 7:15 am
Forum: Personal Finance (Not Investing)
Topic: Adding beneficiaries to non-retirement account at Vanguard
Replies: 24
Views: 1592

Re: Adding beneficiaries to non-retirement account at Vanguard

jebmke wrote: Thu Feb 29, 2024 7:06 am If this is a joint account, I believe (from other posts on BH) that one cannot name a beneficiary to the account.
I believe you are correct. I called Vanguard and was told it was illegal to do so because of PA state laws.
by A440
Thu Feb 29, 2024 7:01 am
Forum: Personal Finance (Not Investing)
Topic: Adding beneficiaries to non-retirement account at Vanguard
Replies: 24
Views: 1592

Adding beneficiaries to non-retirement account at Vanguard

After meeting with an estate attorney, we were advised to change contingent beneficiaries to a Testamentary Trust for our children. This was easy for retirement accounts, but I can't figure out how to do it with non-retirement accounts at Vanguard. How is this accomplished?
by A440
Sat Feb 24, 2024 12:01 pm
Forum: Personal Finance (Not Investing)
Topic: Mailing in a State paper return
Replies: 6
Views: 857

Re: Mailing in a State paper return

Mjl714 wrote: Sat Feb 24, 2024 9:56 am Any chance you can use the states filing system to electronically file?
Great suggestion! Actually, yes and it was free.
Thank you!
by A440
Sat Feb 24, 2024 6:13 am
Forum: Personal Finance (Not Investing)
Topic: Mailing in a State paper return
Replies: 6
Views: 857

Mailing in a State paper return

TurboTax let me know I couldn't efile my state return because the 1099-S shows "inherited" for a parcel of land.
In addition to mailing all the state tax forms and signing/dating the return, what else needs to be included?
Do I need to include W-2's?
Turbotax also included some estimated tax payments for 2024. However, I already had more than enough withheld from 2024 distribution for an inherited IRA. In this case, do I understand correctly that the estimated tax payments do not need to be made?
by A440
Fri Feb 23, 2024 7:05 am
Forum: Investing - Theory, News & General
Topic: NVDA earnings end of month
Replies: 23
Views: 3460

Re: NVDA earnings end of month

It is the 3rd largest holding of VGT, which I own. At some point it should experience a reversion to the mean.
by A440
Mon Feb 19, 2024 6:21 am
Forum: Personal Consumer Issues
Topic: What are some of the things that improved YOUR quality of life?
Replies: 254
Views: 41969

Re: What are some of the things that improved YOUR quality of life?

My neighbor has several sweet gum trees at our property line. They provide welcome shade during the summer months, but during the winter months most of the gum balls fall on our property. They are a real PITA to rake or collect using a leaf blower. I finally purchased a Bag-A-Nut https://baganut.com/product-cat/harvest ... gum-balls/ harvester. It was expensive, but it works perfectly and as a bonus I get extra steps in towards my daily 10,000 goal.
Maybe not a quality of life item for most, but for me, it keeps our lawn and patio clear of those darn spikey balls which present a hazzard for us and our dog. When not it use, I suspend it from the rafters of the shed so it is stored above my head.
by A440
Tue Feb 13, 2024 6:12 am
Forum: Personal Consumer Issues
Topic: What frugal thing did you do today?
Replies: 4525
Views: 617525

Re: What frugal thing did you do today?

I cancelled Sling TV that was costing $42/month and ordered a refurbished cable modem/wifi router for $50 so I won't have to rent one from Xfinity at $15/month. I'll still be streaming with ad-supported Netflix and Hulu (Black Friday deal for $.99/month), and I have an antenna for local broadcast channels, etc. The new router is on Xfinity's approved list, so it should work fine. Fingers crossed I won't have any installation issues. Nicely done. I love eliminating recurring monthly fees, and seeing other folks do so as well. Monthly fees/subscriptions seem to be the new way for corporations to bleed people dry without them realizing it...cell phones with the big carriers, cable, internet, grub hub, door dash, Netflix, Hulu, Peacock, HBO Ma...
by A440
Tue Feb 13, 2024 6:09 am
Forum: Personal Consumer Issues
Topic: What types of volunteering do you enjoy?
Replies: 49
Views: 3950

Re: What types of volunteering do you enjoy?

I just checked with my local Habitat for Humanity for opportunities. I plan to help out at a local build.
by A440
Sat Feb 10, 2024 5:41 am
Forum: Personal Consumer Issues
Topic: What types of volunteering do you enjoy?
Replies: 49
Views: 3950

What types of volunteering do you enjoy?

I did a search for this, but did not find a post.
Especially for those in retirement/semi-retirement, could you post what volunteer opportunities you enjoy?
by A440
Fri Feb 09, 2024 6:05 am
Forum: Personal Consumer Issues
Topic: Best & Worst "Mid-Life Crisis" expenditures
Replies: 129
Views: 24371

Re: Best & Worst "Mid-Life Crisis" expenditures

SharpNine wrote: Thu Feb 01, 2024 7:36 pm Bought a 1999 Steinway & Sons Model L piano in mint condition. Play it for 2+ hours every day.

Best decision ever.
Excellent purchase.
by A440
Wed Feb 07, 2024 5:53 am
Forum: Personal Finance (Not Investing)
Topic: Have you completed the revised FAFSA for 2024-2025?
Replies: 23
Views: 3655

Re: Have you completed the revised FAFSA for 2024-2025?

Checked our status today, still in "Review".
by A440
Tue Feb 06, 2024 6:28 am
Forum: Personal Consumer Issues
Topic: Sleeping struggles with two people one bed
Replies: 71
Views: 6829

Re: Sleeping struggles with two people one bed

Split-King adjustable beds works for us.
by A440
Mon Jan 29, 2024 6:44 am
Forum: Personal Finance (Not Investing)
Topic: Anyone wished they had worked a few more years before retiring?
Replies: 89
Views: 14582

Re: Anyone wished they had worked a few more years before retiring?

No...not at all!
Especially when I hear my former colleagues describe what is happening.
by A440
Mon Jan 29, 2024 6:42 am
Forum: Personal Consumer Issues
Topic: How has your Health Changed after Retirement; What are you doing to Stay Healthy?
Replies: 100
Views: 10096

Re: How has your Health Changed after Retirement; What are you doing to Stay Healthy?

-Walk 4 miles a day with in the morning with the dog. Also great for mental health. This wasn't possible when I needed to be at work by 7:00 am.
-Go to the gym early afternoon when it isn't busy during the week for more aerobic and strength training. Again, this wasn't possible when working.
I suppose I could have gone after work, but teaching middle school aged children was exhausing both physically and mentally. Most days, I wouldn't get home until 4:00 and I was too tired for the gym. I have a lot more energy now :beer
by A440
Sat Jan 27, 2024 6:03 am
Forum: Personal Consumer Issues
Topic: What are some of the things that improved YOUR quality of life?
Replies: 254
Views: 41969

Re: What are some of the things that improved YOUR quality of life?

Adopting a rescue dog.
She has "rescued" each of our family members in different ways. Who knew??
by A440
Sat Jan 27, 2024 5:57 am
Forum: Personal Consumer Issues
Topic: New gas range vents LOTS of heat into kitchen
Replies: 45
Views: 44239

Re: New gas range vents LOTS of heat into kitchen

I'll also mention that during the summer months when the A/C is on we try to avoid using the gas stove and instead use the air fryer/convection oven or the weber grill.
by A440
Sat Jan 27, 2024 5:55 am
Forum: Personal Consumer Issues
Topic: What frugal thing did you do today?
Replies: 4525
Views: 617525

Re: What frugal thing did you do today?

-Cut holes and ran wire for two canless LED recessed lights. Installed new dimmer switch to control them.
- Replaced 20 year old Hunter ceiling fan with retractable ceiling fandalier. It looks like a light fixture, but functions as a ceiling fan when needed. Pretty cool :wink:
-Replaced my car's original OEM battery (5 years old) with a better one. The single digit temps last week did it in.
Not sure how much I saved, but the satisfaction of seeing the results is valuable to me.
by A440
Tue Jan 23, 2024 6:01 am
Forum: Personal Consumer Issues
Topic: New gas range vents LOTS of heat into kitchen
Replies: 45
Views: 44239

Re: New gas range vents LOTS of heat into kitchen

Ours melted a plastic knob above the vent for the warming tray at the bottom of the stove. Now, we just keep the knob off until we have a need for it. Now that I think of it...we could just leave food near the stove vent pumping out heat and that would serve the same purpose.
by A440
Tue Jan 23, 2024 5:23 am
Forum: Personal Finance (Not Investing)
Topic: Comparing Porfolio Analysis: Empower, Vanguard, Schwab, Financial Engines
Replies: 4
Views: 461

Comparing Porfolio Analysis: Empower, Vanguard, Schwab, Financial Engines

I get four different results (some not even close) when comparing portfolio allocations on Empower, Vanguard, Schwab and Financial Engines. I've confirmed I'm using the same holdings and amounts in each. Any thoughts on which one provides the most accurate analysis?
by A440
Mon Jan 22, 2024 7:50 am
Forum: Investing - Theory, News & General
Topic: Did Vanguard Eliminate Access to Financial Engines?
Replies: 62
Views: 14078

Re: Did Vanguard Eliminate Access to Financial Engines?

I swear it wasn't there earlier today. However, it is there now.
by A440
Mon Jan 22, 2024 7:41 am
Forum: Personal Consumer Issues
Topic: If you love outdoors/hiking, what do you do in the winter?
Replies: 62
Views: 5774

Re: If you love outdoors/hiking, what do you do in the winter?

12 degrees outside right now and icy roads. I'll be walking at the gym today. Later this week the temps will be in the 60's. Crazy!!
by A440
Mon Jan 22, 2024 6:29 am
Forum: Investing - Theory, News & General
Topic: Did Vanguard Eliminate Access to Financial Engines?
Replies: 62
Views: 14078

Re: Did Vanguard Eliminate Access to Financial Engines?

I don't see the link anymore.
Was it removed or moved?
by A440
Sun Jan 21, 2024 2:27 pm
Forum: Personal Investments
Topic: Would selling iShares MSCI and buying VXUS create a wash sale
Replies: 12
Views: 1015

Re: Would selling iShares MSCI and buying VXUS create a wash sale

That has not been my experience at Schwab. I have a Schwab account where selling shares of an ETF and buying shares of an ETF can be done immediately. I wonder if you are selling a mutual fund where sale occurs after the market close, so money would not be available the same day to buy VXUS. I received a warning about (paraphrasing here) letting funds settle or being restricted to trade in the future. I was selling and trying to purchase ETF during market hours. Maybe we need a margin account? Or maybe the trade would have gone through dispite the warning? Either way, waiting 2 days for the trade to settle isn't too much trouble. You might have warnings about selling assets that were purchased with unsettled funds, or about mutual fund rou...
by A440
Sun Jan 21, 2024 2:24 pm
Forum: Personal Finance (Not Investing)
Topic: Gifting shares from brokerage account. What is the max?
Replies: 13
Views: 1355

Re: Gifting shares from brokerage account. What is the max?

toddthebod wrote: Sun Jan 21, 2024 8:50 am
A440 wrote: Sun Jan 21, 2024 6:40 am Thanks for all the posts.
From my understanding, I would be able to gift shares up to $18,000 of value to each child without being bothered by any IRS forms.
You might be able to gift twice that without paperwork, but you haven't provided enough detail.
Thank you. I think I'll just let a little bit of kite string out and see how it goes. :happy
by A440
Sun Jan 21, 2024 11:42 am
Forum: Personal Investments
Topic: Would selling iShares MSCI and buying VXUS create a wash sale
Replies: 12
Views: 1015

Re: Would selling iShares MSCI and buying VXUS create a wash sale

livesoft wrote: Sun Jan 21, 2024 7:26 am
A440 wrote: Sun Jan 21, 2024 7:19 amThat has not been my experience at Schwab.
I have a Schwab account where selling shares of an ETF and buying shares of an ETF can be done immediately. I wonder if you are selling a mutual fund where sale occurs after the market close, so money would not be available the same day to buy VXUS.
I received a warning about (paraphrasing here) letting funds settle or being restricted to trade in the future. I was selling and trying to purchase ETF during market hours. Maybe we need a margin account? Or maybe the trade would have gone through dispite the warning? Either way, waiting 2 days for the trade to settle isn't too much trouble.
by A440
Sun Jan 21, 2024 7:19 am
Forum: Personal Investments
Topic: Would selling iShares MSCI and buying VXUS create a wash sale
Replies: 12
Views: 1015

Re: Would selling iShares MSCI and buying VXUS create a wash sale

livesoft wrote: Sun Jan 21, 2024 7:12 am Generally, one would not need to wait for the "funds to settle" if this is all within the same account.
That has not been my experience at Schwab.
by A440
Sun Jan 21, 2024 6:50 am
Forum: Personal Investments
Topic: Would selling iShares MSCI and buying VXUS create a wash sale
Replies: 12
Views: 1015

Would selling iShares MSCI and buying VXUS create a wash sale

Just checking. I sold MSCI and plan to buy VXUS when the funds settle.
Any chance this would create a wash sale? The first holding is emerging markets, the second is a Total International Fund
by A440
Sun Jan 21, 2024 6:43 am
Forum: Personal Finance (Not Investing)
Topic: Tax treatment of Schwab cash bonus award
Replies: 15
Views: 2023

Re: Tax treatment of Schwab cash bonus award

I received the $5,000 bonus last week. It will be treated as 1099-INT for tax purposes.
We haven't taken a family vacation for quite some time, so thank you Schwab! :wink:
by A440
Sun Jan 21, 2024 6:40 am
Forum: Personal Finance (Not Investing)
Topic: Gifting shares from brokerage account. What is the max?
Replies: 13
Views: 1355

Re: Gifting shares from brokerage account. What is the max?

Thanks for all the posts. From my understanding, I would be able to gift shares up to $18,000 of value to each child without being bothered by any IRS forms. My hope and suggestion to each child (really young adults) would be to hold the shares until they graduate from college, thereby avoiding the kiddie tax. This may be an annual gift, so it will be interesting to see what they do with the amount. My observation so far with money they have earned is that they are both frugal. I wonder how they got that way? :happy With luck, and more than a touch of providence, maybe they could use the gifted shares towards a down payment on their first house. From what I read, this is something that has become a hurdle for many young adults. No doubt it ...
by A440
Sat Jan 20, 2024 2:47 pm
Forum: Personal Finance (Not Investing)
Topic: Should we do Roth conversions or divest single stock?
Replies: 32
Views: 2621

Re: Should we do Roth conversions or divest single stock?

I’m confused. Is there an Inherited IRA in the mix, as well as the inherited single stock in a taxable account? Yes. Still confused here. . . PLUS $1M in your/spouse's IRAs? If so, it looks like there are 3 areas that need your attention. Did you already accept the inheritances or can you still disclaim some of it? Did the inherited stock in taxable get a step-up in the cost basis as of date of death? If so, there shouldn't be much growth on it yet so a lot can be sold without increasing your taxes very much. Also make sure the dividends, if any, aren't being re-invested in more shares. Yes inheritance was accepted. There were 3 parts: T-IRA, R-IRA, and taxable brokerage. I did rebalancing in the IRA's and to some extent the taxable. Yes t...
by A440
Sat Jan 20, 2024 8:30 am
Forum: Personal Finance (Not Investing)
Topic: Gifting shares from brokerage account. What is the max?
Replies: 13
Views: 1355

Gifting shares from brokerage account. What is the max?

If I am listed as the owner of a brokerage account and my wife is a beneficiary, am I limited in gifting shares worth $18,000 to each of our children? To gift the full $36,000, would it need to be an account owned by both myself and my wife?
by A440
Fri Jan 19, 2024 1:06 pm
Forum: Personal Finance (Not Investing)
Topic: Should we do Roth conversions or divest single stock?
Replies: 32
Views: 2621

Re: Should we do Roth conversions or divest single stock?

I’m confused. Is there an Inherited IRA in the mix, as well as the inherited single stock in a taxable account? Yes. Still confused here. . . PLUS $1M in your/spouse's IRAs? If so, it looks like there are 3 areas that need your attention. Did you already accept the inheritances or can you still disclaim some of it? Did the inherited stock in taxable get a step-up in the cost basis as of date of death? If so, there shouldn't be much growth on it yet so a lot can be sold without increasing your taxes very much. Also make sure the dividends, if any, aren't being re-invested in more shares. Yes inheritance was accepted. There were 3 parts: T-IRA, R-IRA, and taxable brokerage. I did rebalancing in the IRA's and to some extent the taxable. Yes t...
by A440
Fri Jan 19, 2024 7:37 am
Forum: Personal Finance (Not Investing)
Topic: Should we do Roth conversions or divest single stock?
Replies: 32
Views: 2621

Re: Should we do Roth conversions or divest single stock?

It's a beautiful snowy day in the best area of NJ! Here is a guide to 2023 NJ Tax rates. https://states.aarp.org/new-jersey/state-taxes-guide The income tax rate is graduated. So you don't pay your marginal rate on all income, like the Fed tax. This makes its difficult to calculate going backwards from your tax on taxable income. Also, for NJ, your local real estate tax is deductible, as are medical expenses not deductible on the Fed. What you can do to find your NJ marginal rate is to add $1K income to a previous year completed taxes, and follow down the form to how much that changes your tax owed. Simple division will tell you the marginal bracket you're in. It makes sense to just use your marginal bracket on the Fed side to make the dec...
by A440
Fri Jan 19, 2024 5:58 am
Forum: Personal Finance (Not Investing)
Topic: Have you completed the revised FAFSA for 2024-2025?
Replies: 23
Views: 3655

Re: Have you completed the revised FAFSA for 2024-2025?

biker2035 wrote: Thu Jan 18, 2024 6:59 am I filled out for all 4 kids and all of them are "in review". No other information has been provided in regards to anything.
4 kids in college at once! :shock: My hat is off to you.
by A440
Fri Jan 19, 2024 5:47 am
Forum: Personal Finance (Not Investing)
Topic: Should we do Roth conversions or divest single stock?
Replies: 32
Views: 2621

Re: Should we do Roth conversions or divest single stock?

We are in the 22% tax bracket (MFJ). We have ~$25,000 tax space before moving to the next tax bracket. I expect this to be similar in the years in come. We have funds to pay the tax on the conversion. I have 18 years before my first RMD and my wife has 23 years. Collectively, we have ~1 million in our IRA accounts. Compounding at 7%, these accounts will grow to over 3 million when RMD's are required. Between my pension, estimated social security and other investments, I don't see us needing the IRA funds to cover expenses in the future. I am also learning the tax implications of inheriting an IRA. If we can convert to a Roth, our children can avoid paying future taxes when they inherit these accounts. We also inherited a stock with a balan...
by A440
Thu Jan 18, 2024 11:34 am
Forum: Personal Finance (Not Investing)
Topic: Should we do Roth conversions or divest single stock?
Replies: 32
Views: 2621

Re: Should we do Roth conversions or divest single stock?

delamer wrote: Thu Jan 18, 2024 11:32 am I’m confused.

Is there an Inherited IRA in the mix, as well as the inherited single stock in a taxable account?
Yes.
by A440
Thu Jan 18, 2024 11:33 am
Forum: Personal Finance (Not Investing)
Topic: Should we do Roth conversions or divest single stock?
Replies: 32
Views: 2621

Re: Should we do Roth conversions or divest single stock?

You can sell much more than 25000 in stock, you can sell near 120,000 or whatever results in 25000 in capital gains. I would probably max the 24% bracket for the next few years while it's available given how much it improves your risk profile and the fact you have no intentions of needing any of this money while you are alive. No state taxes? Thanks for the reminder. I forgot the tax is on the capital gains, not the amount sold. To add to my confusion, the whole amount of a RMD from the inherited IRA (which is an investment) is treated as taxable income at my ordinary tax bracket, whereas the sale of a stock (investment) in a taxable account only has tax on the capital gain, 15% in my tax bracket. No state tax on the pension for another tw...
by A440
Thu Jan 18, 2024 9:24 am
Forum: Personal Finance (Not Investing)
Topic: Should we do Roth conversions or divest single stock?
Replies: 32
Views: 2621

Re: Should we do Roth conversions or divest single stock?

You can sell much more than 25000 in stock, you can sell near 120,000 or whatever results in 25000 in capital gains. I would probably max the 24% bracket for the next few years while it's available given how much it improves your risk profile and the fact you have no intentions of needing any of this money while you are alive. No state taxes? Thanks for the reminder. I forgot the tax is on the capital gains, not the amount sold. To add to my confusion, the whole amount of a RMD from the inherited IRA (which is an investment) is treated as taxable income at my ordinary tax bracket, whereas the sale of a stock (investment) in a taxable account only has tax on the capital gain, 15% in my tax bracket. No state tax on the pension for another tw...
by A440
Thu Jan 18, 2024 8:01 am
Forum: Personal Finance (Not Investing)
Topic: Should we do Roth conversions or divest single stock?
Replies: 32
Views: 2621

Re: Should we do Roth conversions or divest single stock?

You can sell much more than 25000 in stock, you can sell near 120,000 or whatever results in 25000 in capital gains. I would probably max the 24% bracket for the next few years while it's available given how much it improves your risk profile and the fact you have no intentions of needing any of this money while you are alive. No state taxes? Thanks for the reminder. I forgot the tax is on the capital gains, not the amount sold. To add to my confusion, the whole amount of a RMD from the inherited IRA (which is an investment) is treated as taxable income at my ordinary tax bracket, whereas the sale of a stock (investment) in a taxable account only has tax on the capital gain, 15% in my tax bracket. No state tax on the pension for another tw...
by A440
Thu Jan 18, 2024 6:49 am
Forum: Personal Finance (Not Investing)
Topic: Should we do Roth conversions or divest single stock?
Replies: 32
Views: 2621

Should we do Roth conversions or divest single stock?

We are in the 22% tax bracket (MFJ). We have ~$25,000 tax space before moving to the next tax bracket. I expect this to be similar in the years in come. We have funds to pay the tax on the conversion. I have 18 years before my first RMD and my wife has 23 years. Collectively, we have ~1 million in our IRA accounts. Compounding at 7%, these accounts will grow to over 3 million when RMD's are required. Between my pension, estimated social security and other investments, I don't see us needing the IRA funds to cover expenses in the future. I am also learning the tax implications of inheriting an IRA. If we can convert to a Roth, our children can avoid paying future taxes when they inherit these accounts. We also inherited a stock with a balanc...