Search found 3788 matches

by dodecahedron
Fri Dec 14, 2018 9:17 am
Forum: Investing - Theory, News & General
Topic: Do Bogleheads Bucket?
Replies: 100
Views: 11351

Re: Do Bogleheads Bucket?

There have been some discredited bucket theories in the past so sometimes "buckets" is a word that is like hitting a bee hive with a stick. Much of that strategy is using sub accounting or mental accounting. Keeping x years in savings and y years in short term bonds really is just partitioning your...
by dodecahedron
Fri Dec 14, 2018 6:54 am
Forum: Personal Finance (Not Investing)
Topic: 2018 form 1040 released
Replies: 14
Views: 1692

Re: 2018 form 1040 released

Any differences from the draft forms issued a few months ago? Only difference I noticed (after Kelly Erb called it to my attention in her Forbes column) is that the draft form only gave you space to list up to two dependents. The final version allows you to list up to four. (If you have more than t...
by dodecahedron
Thu Dec 13, 2018 1:17 pm
Forum: Investing - Help with Personal Investments
Topic: Tax question-above the line
Replies: 31
Views: 2341

Re: Tax question-above the line

Aha. Gotta hate legalese. In any event, it’s a grand I didn’t know about last week! Do you have advice for what I should do with it? It is a non-refundable credit so it is only a grand IF your pre-credit tax liability is at least a grand. With an AGI of $17,500 and standard deduction, your pre-cred...
by dodecahedron
Thu Dec 13, 2018 1:05 pm
Forum: Personal Finance (Not Investing)
Topic: HSA & Medicare
Replies: 2
Views: 230

Re: HSA & Medicare

This is probably just my ignorance but what is the logic behind not contributing being able to an HSA while on Medicare? I thought there was interest in pushing people to high deductible plans which enables HSAs. Our particular situation is retired, FEHP, BCBS, Medicare part A only. BCBS does not f...
by dodecahedron
Thu Dec 13, 2018 8:46 am
Forum: Investing - Help with Personal Investments
Topic: Advice for older and younger person saving for retirement?
Replies: 31
Views: 2453

Re: Advice for older and younger person saving for retirement?

It appears to me that that mom should be able to file as head of household, and claim grandmom as her family dependent, to get the $500 tax credit that started for 2018. Grandma may well be a dependent but Mom qualifying for HoH is much tougher than dependency support test. Mom has to show she make...
by dodecahedron
Thu Dec 13, 2018 7:46 am
Forum: Investing - Help with Personal Investments
Topic: Tax question-above the line
Replies: 31
Views: 2341

Re: Tax question-above the line

Aha. Gotta hate legalese. In any event, it’s a grand I didn’t know about last week! Do you have advice for what I should do with it? It is a non-refundable credit so it is only a grand IF your pre-credit tax liability is at least a grand. With an AGI of $17,500 and standard deduction, your pre-cred...
by dodecahedron
Thu Dec 13, 2018 7:28 am
Forum: Personal Finance (Not Investing)
Topic: Received IRS letter - be proactive or sit back?
Replies: 25
Views: 2963

Re: Received IRS letter - be proactive or sit back?

I'd follow the instructions in the letter. I would think that an "investigation" will take place soon, because ex-husband will probably not respond either. At that point, you can make your case that you should be able to claim both children. There's no reason to ignore explicit guidance from the IR...
by dodecahedron
Wed Dec 12, 2018 8:48 am
Forum: Personal Consumer Issues
Topic: Donate to homeless?
Replies: 84
Views: 3926

Re: Donate to homeless?

I have become deeply involved with a local chapter of Family Promise , part of a national interfaith program whose mission is to ¨affirm the humanity and dignity of homeless families and to engage our community in helping them achieve sustainable independence.¨ I have found many rewards in contribut...
by dodecahedron
Sun Dec 09, 2018 12:29 am
Forum: Local Chapters and Bogleheads Community
Topic: December 9 DC Bogleheads Meeting with Stephen Goss, Chief Actuary of Soc Security
Replies: 28
Views: 3323

Re: December 9 DC Bogleheads Meeting with Stephen Goss, Chief Actuary of Soc Security

Some of us will be going out to dinner in the Ballston area after the presentation and all are welcome to join us. BobK Dodecahedron will be in town and in attendance. :) I have been preparing by doing some background reading for thought-provoking scholarly historical perspective. (Full disclosure:...
by dodecahedron
Fri Dec 07, 2018 10:47 pm
Forum: Investing - Help with Personal Investments
Topic: Tax question-above the line
Replies: 31
Views: 2341

Re: Tax question-above the line

The credit is based on AGI. Since the Roth is non-deductible it doesn't change your AGI. A tax deferred IRA would reduce your AGI to $17,500. So your AGI is $23,000 (based on Roth contribution) and therefore the credit is 10%. If you want to contribute to a traditional IRA instead, then yes you wou...
by dodecahedron
Fri Dec 07, 2018 12:57 pm
Forum: Investing - Help with Personal Investments
Topic: Helping my mom (60yr) - looking for stability
Replies: 13
Views: 1146

Re: Helping my mom (60yr) - looking for stability

If her husband of 17 years has died, his SS benefit will no longer increase so she might as well take it when eligible and allow her own benefit to continue to grow. Not a foregone conclusion. Need to run the numbers to be sure. Her survivor benefit on late husbands account grows until HER Full Ret...
by dodecahedron
Thu Dec 06, 2018 5:34 pm
Forum: Personal Finance (Not Investing)
Topic: Grandparent funding 529 and almost immediate withdrawal
Replies: 9
Views: 1791

Re: Grandparent funding 529 and almost immediate withdrawal

Use the 529 first for expenses that Do Not Qualify (as qualified expenses for Educational tax credits) Then pay qualified expenses, e.g. tuition, with your dollars, (not from a 529), up to $4000 if you owe at least that amount of fed income taxes to get the max educational tax credit. Grandparents ...
by dodecahedron
Mon Dec 03, 2018 8:36 pm
Forum: Personal Finance (Not Investing)
Topic: Support for non-dependent Child in College
Replies: 6
Views: 781

Re: Support for non-dependent Child in College

My understanding of the IRS rules is that in the year he turns 24, he is no longer considered my dependent if he moves out, regardless of how much of his support I cover and whether he is a full-time student. If you provide more than half his support AND if his gross income in 2018 does not exceed ...
by dodecahedron
Mon Dec 03, 2018 4:44 pm
Forum: Investing - Theory, News & General
Topic: RMD
Replies: 4
Views: 361

Re: RMD

Is it accurate to state that the RMD takeout is about 4% of your current principle. If by ¨current principal¨ you mean the value of the account at prior year end, yet that is roughly correct around age 73 (or around age 60 for a beneficiary account). However, by 15 or so years later, it is twice th...
by dodecahedron
Mon Dec 03, 2018 3:01 pm
Forum: Investing - Theory, News & General
Topic: Big endowments don't beat simple 60/40 over 10 yrs.
Replies: 25
Views: 3185

Re: Big endowments don't beat simple 60/40 over 10 yrs.

They have different goals than individual investors (ie, their horizon is perpetuity rather than double digit years). And thus, as surely as night follows day, their investments differ from individual investors. Yes, that's what people say. However, in 2008-2009 it transpired that Harvard had 80% o...
by dodecahedron
Sun Dec 02, 2018 8:50 pm
Forum: Personal Finance (Not Investing)
Topic: Passing charity donation through heirs on death: Tax benefit?
Replies: 9
Views: 529

Re: Passing charity donation through heirs on death: Tax benefit?

Sounds like an IRS step transaction doctrine violation frankly. Designating a tax-exempt charity as a beneficiary of a tax-deferred account is tax-efficient but certainly not a step transaction. I can see a potential case that the OP´s proposal might potentially be viewed as a step transaction. The...
by dodecahedron
Sun Dec 02, 2018 8:35 pm
Forum: Personal Finance (Not Investing)
Topic: Passing charity donation through heirs on death: Tax benefit?
Replies: 9
Views: 529

Re: Passing charity donation through heirs on death: Tax benefit?

Alternatively, a very tax efficient way to make a charitable bequest is simply to designate the charity of your choice as a beneficiary on a tax-deferred retirement account. Zero impact on your child´s personal AGI and taxable income--it is at least as good as (and most likely better than) making th...
by dodecahedron
Sun Dec 02, 2018 1:33 pm
Forum: Personal Finance (Not Investing)
Topic: Questions About Making a Hobby Into a Business
Replies: 26
Views: 2108

Re: Questions About Making a Hobby Into a Business

If you have a PO Box, deliveries of all sorts are acceptable at the Post Office, . ¨Deliveries of all sorts¨ sounds like somewhat of a stretch. We had neighbors who operated a business out of their (large) home and they were constantly getting large truckloads of inventory delivered. I am pretty su...
by dodecahedron
Sun Dec 02, 2018 4:16 am
Forum: Investing - Help with Personal Investments
Topic: My kid's retirement
Replies: 49
Views: 3387

Re: My kid's retirement

Even if the infant has legitimate earned income, bear in mind that contributing that income to an IRA means that he will have full access to the money in the account when he reaches 18. Some 18 year olds may handle that responsibly but not all. And how would you be able to predict so long in advance.
by dodecahedron
Sat Dec 01, 2018 9:21 pm
Forum: Personal Finance (Not Investing)
Topic: Questions About Making a Hobby Into a Business
Replies: 26
Views: 2108

Re: Questions About Making a Hobby Into a Business

If you are operating this business out of your personal residence, check the zoning laws to see if this is a permitted use. Check with your insurance agent. Your homeowners insurance is not sufficient. You need coverage for your business. If you are operating at a large scale, with significant inve...
by dodecahedron
Sat Dec 01, 2018 8:02 pm
Forum: Investing - Help with Personal Investments
Topic: The Disaster That Is General Electric Company Stock
Replies: 53
Views: 9965

Re: The Disaster That Is General Electric Company Stock

I recall as recent as the early 2000s, GE was considered by some to be almost as diversified as an index fund because GE subsidiaries were operating in broad segments of the economy that were not closely correlated ( eg defense, consumer goods, healthcare, financial services etc). So if you wanted ...
by dodecahedron
Sat Dec 01, 2018 7:48 pm
Forum: Personal Finance (Not Investing)
Topic: Questions About Making a Hobby Into a Business
Replies: 26
Views: 2108

Re: Questions About Making a Hobby Into a Business

If you are operating this business out of your personal residence, check the zoning laws to see if this is a permitted use. Check with your insurance agent. Your homeowners insurance is not sufficient. You need coverage for your business. If you are operating at a large scale, with significant inven...
by dodecahedron
Sat Dec 01, 2018 9:11 am
Forum: Investing - Help with Personal Investments
Topic: Lost in Trees on Roth conversion and IRMMA
Replies: 16
Views: 1341

Re: Lost in Trees on Roth conversion and IRMMA

Why consider this - thinking about most value of dollar later when I may be less able to afford it for possible assisted living/etc. and passing on most value to heirs. 1) Keep in mind that if a future medical condition for you or your spouse dictates large LTC expenses, which can include assisted ...
by dodecahedron
Fri Nov 30, 2018 5:33 pm
Forum: Personal Consumer Issues
Topic: Cremation seminar – with complimentary lunch
Replies: 86
Views: 6355

Re: Cremation seminar – with complimentary lunch

Hmmm. Just had a thought. I wonder when Amazon is going to get into this business. They already sell urns and caskets at prices that I would guess are quite competitive to what funeral homes charge. (Some of the Amazon caskets are designated as ¨overnight caskets.¨) Markups are very high on caskets...
by dodecahedron
Fri Nov 30, 2018 1:24 pm
Forum: Investing - Theory, News & General
Topic: Jason Zweig: Here come some big tax bills for [active] investors
Replies: 4
Views: 1296

Jason Zweig: Here come some big tax bills for [active] investors

Jason Zweig´s WSJ column today reinforces reasons for staying in index funds, particularly in taxable accounts. The move to passive investing is proving costly... for those who are sticking with active funds Apparently all those formerly active investors who have recently been running for the activ...
by dodecahedron
Fri Nov 30, 2018 12:03 pm
Forum: Personal Finance (Not Investing)
Topic: How Many Allowances To Avoid Any Federal and State Witholding?
Replies: 10
Views: 816

Re: How Many Allowances To Avoid Any Federal and State Witholding?

Starting in 2019, I wont need to withhold any federal or state taxes from my paychecks due to less income, high retirement savings contributions, and tax credits for 2019 and beyond. What is the best way to make sure no tax is withheld on my paychecks? I currently claim 4 federal allowances and 2 s...
by dodecahedron
Fri Nov 30, 2018 11:41 am
Forum: Personal Finance (Not Investing)
Topic: IRMAA Question
Replies: 6
Views: 387

Re: IRMAA Question

sport wrote:
Fri Nov 30, 2018 11:33 am
A related question: Does IRMAA adjustment apply to Part D coverage that is part of a Medicare Advantage Plan?
Yes.

https://www.medicare.gov/drug-coverage- ... drug-plans

Edited to add:

https://secure.ssa.gov/poms.nsf/lnx/0601101001
by dodecahedron
Tue Nov 27, 2018 1:33 am
Forum: Personal Finance (Not Investing)
Topic: List of costs that go away/decrease and increase/appear in retirement
Replies: 69
Views: 5792

Re: List of costs that go away/decrease and increase/appear in retirement

Also, for those who stop working or cut down on it, payroll taxes go down.

The big thing that has gone up for me is charitable giving.
by dodecahedron
Tue Nov 27, 2018 1:31 am
Forum: Personal Finance (Not Investing)
Topic: List of costs that go away/decrease and increase/appear in retirement
Replies: 69
Views: 5792

Re: List of costs that go away/decrease and increase/appear in retirement

Senior discounts can have some effect, I think, although we don't budget closely enough to take it into account. I don't mean the phony tiny discounts that places offer just because people expect senior discounts, museum admission $26, seniors $24. Or hotels, where you can get a 10% discount for be...
by dodecahedron
Mon Nov 26, 2018 3:15 pm
Forum: Investing - Help with Personal Investments
Topic: $724k in debt and I want to buy a home.
Replies: 54
Views: 6472

Re: $724k in debt and I want to buy a home.

Reasons for a house over an apartment: 1) I will work primarily overnight and need to sleep during the day, so a house is advantageous for this. I am a light sleeper. I use ear plugs and a sleep mask. Took some getting use to but works really great. Also melatonin when your circadian rhythm is off....
by dodecahedron
Mon Nov 26, 2018 3:10 pm
Forum: Investing - Help with Personal Investments
Topic: $724k in debt and I want to buy a home.
Replies: 54
Views: 6472

Re: $724k in debt and I want to buy a home.

Regarding the gym, it's about $2k of equipment (most purchased used). I can generate $100/hour coaching, but again, limited on time. However, having a gym in my house has cut down on my weekly gym time by around 2 hours compared to going to a commercial gym. This is also closely related to my acade...
by dodecahedron
Mon Nov 26, 2018 7:37 am
Forum: Personal Finance (Not Investing)
Topic: ride-sharing - just saying... [Check your insurance policy]
Replies: 20
Views: 2741

Re: ride-sharing - just saying...

Uber and Lyft provides their own corporate insurance to cover Uber drivers, passengers, and third parties while they are either carrying passengers or on their way to pick them up: https://www.uber.com/drive/insurance/ https://help.lyft.com/hc/en-us/articles/115013080548-Insurance-Policy I know in ...
by dodecahedron
Sun Nov 25, 2018 10:02 pm
Forum: Personal Finance (Not Investing)
Topic: ride-sharing - just saying... [Check your insurance policy]
Replies: 20
Views: 2741

Re: ride-sharing - just saying...

Uber and Lyft provides their own corporate insurance to cover Uber drivers, passengers, and third parties while they are either carrying passengers or on their way to pick them up: https://www.uber.com/drive/insurance/ https://help.lyft.com/hc/en-us/articles/115013080548-Insurance-Policy I know in N...
by dodecahedron
Sun Nov 25, 2018 3:46 pm
Forum: Personal Finance (Not Investing)
Topic: Countdown on 2018 tax planning
Replies: 8
Views: 1637

Re: Countdown on 2018 tax planning

My goal is to reduce taxable income. I'm not a tax expert, but when I googled AGI this is what I found. Adjusted gross income (AGI) is a number used to determine your federal income tax. AGI is your gross income minus deductions. Since I'm trying to reduce tax liability, I'm trying to ensure I've l...
by dodecahedron
Sun Nov 25, 2018 5:43 am
Forum: Personal Consumer Issues
Topic: IHG Points
Replies: 8
Views: 923

Re: IHG Points

OP, glad to hear it worked out and thanks for reporting back. I just signed up for the new IHG Premier card, which awards 80,000 points after spending $2000.00 over the first three months. Then there’s the free night each year. Though they may have stricter rules about use of and retaining points, t...
by dodecahedron
Sat Nov 24, 2018 7:51 pm
Forum: Personal Finance (Not Investing)
Topic: How much of SS goes into MAGI?
Replies: 22
Views: 1797

Re: How much of SS goes into MAGI?

To provide an authoritative answer to the OP´s question, this PDF from SSA clearly states that MAGI for IRMAA is the sum of your AGI and your tax-exempt interest. (Parenthetically, this is just about the simplest definition of MAGI that I can think of. Most MAGI seems to involve more modifications. ...
by dodecahedron
Sat Nov 24, 2018 7:30 pm
Forum: Personal Finance (Not Investing)
Topic: How much of SS goes into MAGI?
Replies: 22
Views: 1797

Re: How much of SS goes into MAGI?

Good point. But be aware that QCDs are apparently only valid from IRAs. If the bulk of your tax deferred accumulation is in a 401(k) or 403(b), like me, you may need to do some shifting... My plan is indeed to use QCDs to manage my income. And during the simplification phase I moved 401k into IRA, ...
by dodecahedron
Sat Nov 24, 2018 7:22 pm
Forum: Personal Finance (Not Investing)
Topic: How much of SS goes into MAGI?
Replies: 22
Views: 1797

Re: How much of SS goes into MAGI?

For the purposes of determining IRMAA, I believe 100% of your Social Security is included in MAGI since by definition it includes both your AGI plus any untaxed Social Security and Tax Exempt Income. ................................................... many MAGIs in this world.......might recheck to...
by dodecahedron
Sat Nov 24, 2018 7:07 pm
Forum: Personal Finance (Not Investing)
Topic: How much of SS goes into MAGI?
Replies: 22
Views: 1797

Re: How much of SS goes into MAGI?

For the purposes of determining IRMAA, I believe 100% of your Social Security is included in MAGI since by definition it includes both your AGI plus any untaxed Social Security and Tax Exempt Income. ................................................... many MAGIs in this world.......might recheck to...
by dodecahedron
Sat Nov 24, 2018 6:04 pm
Forum: Personal Finance (Not Investing)
Topic: How much of SS goes into MAGI?
Replies: 22
Views: 1797

Re: How much of SS goes into MAGI?

85% of your SS will go to your AGI and Medicare MAGI, same as me. Don't be afraid of the $85k threshold; there are higher thresholds to strive for... I am not ¨afraid¨ of the $85K threshold, but as someone planning to devote a significant chunk of my budget to charitable gifts, I am mindful that st...
by dodecahedron
Sat Nov 24, 2018 8:28 am
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale
Replies: 257
Views: 18327

Re: H&R Block deluxe $18 at Amazon

Credits from "No Rush Shipping" were automatically applied. And so I got it (Mac download) for free. Best possible deal, indeed! What is “credit from no rush shipping?” Prime members qualify for free two-day shipping but they also have the option to select ¨No Rush¨ shipping which may take longer b...
by dodecahedron
Sat Nov 24, 2018 12:03 am
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale
Replies: 257
Views: 18327

Re: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale

Just do not share your activation code credential once you have purchased it. As LadyGeek´s authoritative information makes clear, the purchase of a single Block license does not authorize the use of the purchased software on multiple computers. The clear intent of the 5-efile provision is to allow...
by dodecahedron
Fri Nov 23, 2018 11:56 pm
Forum: Personal Finance (Not Investing)
Topic: Countdown on 2018 tax planning
Replies: 8
Views: 1637

Re: Countdown on 2018 tax planning

The remaining ideas I have to drive that AGI down 1. prepay January mortgage for residence and rental property in late Dec. 2. bundle some of 2019's charitable contributions into late 2018. 3. schedule any pending medical appointments/tests into December to leverage that medical expense option. 4. ...
by dodecahedron
Fri Nov 23, 2018 9:58 pm
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale
Replies: 257
Views: 18327

Re: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale

Before this year, we could pass excess deductions in the final year through to the beneficiaries. We can no longer do that until 2026. Even before this year or post-2026, the value of deductions passed through to beneficiaries may be minimal since they were (and will be) subject to the 2% of AGI th...
by dodecahedron
Fri Nov 23, 2018 9:28 pm
Forum: Personal Finance (Not Investing)
Topic: IRS publishes draft 2018 1040 - Huge changes made
Replies: 177
Views: 23811

Re: IRS publishes draft 2018 1040 - Huge changes made

If one is over 65 years of age and single, my understanding is that one can add $1350 to the $12,000. Where can one find that on the new tax form? (Standard Deduction) Seniors are supposed to get their own special form, 1040-SR . (But don't know about the blind.) Great. H&R Block's tax software doe...
by dodecahedron
Fri Nov 23, 2018 6:25 pm
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale
Replies: 257
Views: 18327

Re: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale

Thanks for sharing the Black Friday deals for H&R Block. The only thing keeping this longtime TurboTax user from pulling the trigger so far is the ease of importing last year's return. I still might make the change... I was able to do that import, with great ease, in 2014 when I made the switch fro...
by dodecahedron
Fri Nov 23, 2018 6:06 pm
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale
Replies: 257
Views: 18327

Re: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale

Estate and trust income tax returns can be difficult if you're not used to them. We ask accountants to coordinate with us on the selection of a taxable year for estates, and while an estate is pending to let us review drafts of the returns before filing them. The first taxable year for an estate be...
by dodecahedron
Fri Nov 23, 2018 5:49 pm
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale
Replies: 257
Views: 18327

Re: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale

Premium & Business (which includes, among other things, Form 1041 for estates and trusts, and all of the state forms for estates and trusts, is $40 on Amazon today. The offer includes a 5% Amazon bonus on tax refunds. I have been using Turbotax Premium for my personal taxes (federal and state) and ...
by dodecahedron
Fri Nov 23, 2018 4:53 pm
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale
Replies: 257
Views: 18327

Re: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale

Why not? I've contacted HRB before and they encourage their customers to share purchased software with friends. On the CDs they sometime send to my home, there's always a sticker that says something like 'share with your friends'. All 5 e-files go through fine. Note that tax software publishers (bo...
by dodecahedron
Fri Nov 23, 2018 1:42 pm
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale
Replies: 257
Views: 18327

Re: H&R Block 2018 Tax Software Deluxe $18.00 - Black Friday sale

Premium & Business (which includes, among other things, Form 1041 for estates and trusts, and all of the state forms for estates and trusts, is $40 on Amazon today. The offer includes a 5% Amazon bonus on tax refunds. That is a great deal for those who know ahead of time they will need it! In my ca...