Search found 629 matches

by nolesrule
Sun Jul 22, 2018 11:39 am
Forum: Personal Finance (Not Investing)
Topic: Mock-Up IRS Forms for 2018 Tax Year
Replies: 25
Views: 1562

Re: Mock-Up IRS Forms for 2018 Tax Year

Might as well add the personal finance toolbox spreadsheet to this list. Previous versions have matched our TurboTax results, and it appears to have all the 2018 changes that will apply to us. 2018 numbers have matched my custom spreadsheet within a rounding error. Of course, taking the standard de...
by nolesrule
Fri Jul 20, 2018 11:45 am
Forum: Investing - Help with Personal Investments
Topic: Mega Backdoor Roth IRA Withdrawal Pro-Rata?
Replies: 14
Views: 753

Re: Mega Backdoor Roth IRA Withdrawal Pro-Rata?

There is a difference between in-service withdrawals which have specific withdrawal ordering rules (i.e. you can withdraw after-tax contributions + earnings first) and post-separation distributions/rollovers in which the distribution must be prorata. I don't believe that's correct either. When a pl...
by nolesrule
Thu Jul 19, 2018 11:38 am
Forum: Investing - Help with Personal Investments
Topic: Taxable Account vs Roth IRA
Replies: 11
Views: 833

Re: Taxable Account vs Roth IRA

Thegame14 wrote:
Thu Jul 19, 2018 11:32 am
MFJ income is 150K less 401K - around 12K less probably the standard deduction which I think is 22-23K. I have an IRA that was a 401K rollover.
The MAGI phaseout for Roth IRA for MFJ starts at $189,000.
by nolesrule
Thu Jul 19, 2018 10:12 am
Forum: Investing - Help with Personal Investments
Topic: Taxable Account vs Roth IRA
Replies: 11
Views: 833

Re: Taxable Account vs Roth IRA

SALT deductions do not affect your AGI/MAGI for direct Roth contribution eligibility. If you are above the phaseout, and you do not have any balances in Traditional IRAs (including SEP and SIMPLE), then you could do a Backdoor Roth IRA . Money added to a Roth is preferable to a Taxable account in mo...
by nolesrule
Thu Jul 19, 2018 9:33 am
Forum: Investing - Help with Personal Investments
Topic: Mega Backdoor Roth IRA Withdrawal Pro-Rata?
Replies: 14
Views: 753

Re: Mega Backdoor Roth IRA Withdrawal Pro-Rata?

There is a difference between in-service withdrawals which have specific withdrawal ordering rules (i.e. you can withdraw after-tax contributions + earnings first) and post-separation distributions/rollovers in which the distribution must be prorata.
by nolesrule
Thu Jul 19, 2018 9:17 am
Forum: Investing - Help with Personal Investments
Topic: Heresy: Is It Worth Converting tIRAs to Roth?
Replies: 46
Views: 4317

Re: Heresy: Is It Worth Converting tIRAs to Roth?

- In early 2021, convert the remaining amount ($80k or so, in the SEP-IRA) knowing that the tax hit will be 24% + 9% = $28k. Then file an extension for taxes in April 2022, and make sure we have the full amount in hand in October 2022, from the conversation in 2021. The taxes are still due in April...
by nolesrule
Fri Jul 13, 2018 1:41 pm
Forum: Personal Finance (Not Investing)
Topic: IRS CP2000 on Backdoor Roth, Did I do it right?
Replies: 24
Views: 1589

Re: IRS CP2000 on Backdoor Roth, Did I do it right?

My dad is a CPA and has been doing tax prep for 40+ years. I got a CP2000 a few weeks ago and talked to my dad about it. He told me that from time to time the IRS will screw up their data matching algorithms and it results in mass CP notices like this one where the forms and data are all correct. Th...
by nolesrule
Thu Jul 12, 2018 4:01 pm
Forum: Investing - Help with Personal Investments
Topic: Eesh! 100% Company Stock - Help me with my 401k!
Replies: 20
Views: 1429

Re: Eesh! 100% Company Stock - Help me with my 401k!

I too am relatively new to this site, I've heard it is best meet your company match in your 401k and then focus on maxing out a ROTH IRA (if eligible) before going back to increasing your 401k contribution. Why do you say otherwise, because he has such good investment options in his 401k? I'm sure ...
by nolesrule
Thu Jul 12, 2018 7:33 am
Forum: Investing - Help with Personal Investments
Topic: Eesh! 100% Company Stock - Help me with my 401k!
Replies: 20
Views: 1429

Re: Eesh! 100% Company Stock - Help me with my 401k!

For starters, at your tax rate since you aren't maxing out your contributions I would suggest you switch to Traditional 401k and use the tax savings to max out the 401k contributions. And if you do not have any Traditional IRAs use the remainder of the tax savings to fund a Roth IRA via the Backdoor...
by nolesrule
Mon Jun 25, 2018 7:17 am
Forum: Investing - Help with Personal Investments
Topic: What should I do with my taxable account?
Replies: 10
Views: 1859

Re: What should I do with my taxable account?

Maybe I'm missing something. If I just leave the money in my SEP I will likely pay at a MUCH lower tax rate than my current rate when I withdraw. I'm paying nearly 50% of my income to taxes right now. Plus I'm already maxing out my SEP, so it's not like I can add addition funds to rollover in lieu ...
by nolesrule
Thu Jun 21, 2018 8:08 pm
Forum: Personal Finance (Not Investing)
Topic: Yet another CP2000 for Roth IRA conversion thread
Replies: 25
Views: 2355

Re: Yet another CP2000 for Roth IRA conversion thread

I got my CP2000 today. Mine was a double whammy. Roth conversion and also a Traditional IRA rolled into a 401k. Already compiled my response with the 8606, Roth IRA 5498 and a copy of the 401k statement showing the amounts received matching the amounts on the IRA 1099. I'm going on vacation soon and...
by nolesrule
Mon Jun 18, 2018 2:13 pm
Forum: Investing - Theory, News & General
Topic: New Capital One 360 ACH limits
Replies: 62
Views: 10767

Re: New Capitol One 360 ACH limits

Hehe. After logging into my wife's account I pasted the Capital One 360 main screen URL (from viewing in my account) in the browser and it did load the older main screen.

https://secure.capitalone360.com/myacco ... summary.vm
by nolesrule
Mon Jun 18, 2018 12:29 pm
Forum: Investing - Theory, News & General
Topic: New Capital One 360 ACH limits
Replies: 62
Views: 10767

Re: New Capitol One 360 ACH limits

I'm not sure what the criteria is for seeing the "simplified" interface. I wonder if it has to do with having a credit card associated with your username? When my wife logs in, she sees the simplified user interface. She has a Capital One credit card. When I log in, I see the same old interface that...
by nolesrule
Sun Jun 17, 2018 6:13 pm
Forum: Personal Finance (Not Investing)
Topic: How to calculate "fun money" per year?
Replies: 37
Views: 3458

Re: How to calculate "fun money" per year?

I do have a monthly budget that we aim for in expenses. SO, here's a quick calculation I did to determine some kind of estimate for "left over money/fun money" to use for vacation: AGI = 125000 (last year's) 52800 = expenses (4400/mo) (on high side for us) 32500 = retirement contributions 24000 = (...
by nolesrule
Sun Jun 17, 2018 11:19 am
Forum: Personal Finance (Not Investing)
Topic: How to calculate "fun money" per year?
Replies: 37
Views: 3458

Re: How to calculate "fun money" per year?

I do have a monthly budget that we aim for in expenses. SO, here's a quick calculation I did to determine some kind of estimate for "left over money/fun money" to use for vacation: AGI = 125000 (last year's) 52800 = expenses (4400/mo) (on high side for us) 32500 = retirement contributions 24000 = (...
by nolesrule
Wed Jun 13, 2018 8:46 am
Forum: Investing - Help with Personal Investments
Topic: Structuring 401k - MorningStar rating matters?
Replies: 15
Views: 720

Re: Structuring 401k - MorningStar rating matters?

Is it just me or are there some duplicate fund types in that list making for needless complexity of choices?
by nolesrule
Sun Jun 10, 2018 12:39 pm
Forum: Investing - Help with Personal Investments
Topic: Solo 401k, other portfolio tweaks
Replies: 8
Views: 531

Re: Solo 401k, other portfolio tweaks

If they calculated to maximize the employer contribution instead of the employee max in the above scenario, it seems they could squeeze in an extra $138 in combined contributions (unless I made a math mistake).
by nolesrule
Sat Jun 09, 2018 11:50 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Review (401K vs. Roth 401K contribution question)
Replies: 20
Views: 683

Re: Portfolio Review (401K vs. Roth 401K contribution question)

2017 was the first year that we were not able to fully contribute to our Roth IRAs. Seeing as how you have no balances in Traditional IRAs, you should consider doing the Backdoor Roth to continue putting money in your Roth IRA. I believe my Rollover 401K will be considered as a traditional IRA and ...
by nolesrule
Sat Jun 09, 2018 9:31 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Review (401K vs. Roth 401K contribution question)
Replies: 20
Views: 683

Re: Portfolio Review (401K vs. Roth 401K contribution question)

2017 was the first year that we were not able to fully contribute to our Roth IRAs. Seeing as how you have no balances in Traditional IRAs, you should consider doing the Backdoor Roth to continue putting money in your Roth IRA. I'm sure others will follow up with answers to your questions, but I ju...
by nolesrule
Sat Jun 09, 2018 8:45 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Review (401K vs. Roth 401K contribution question)
Replies: 20
Views: 683

Re: Portfolio Review (401K vs. Roth 401K contribution question)

2017 was the first year that we were not able to fully contribute to our Roth IRAs. Seeing as how you have no balances in Traditional IRAs, you should consider doing the Backdoor Roth to continue putting money in your Roth IRA. I'm sure others will follow up with answers to your questions, but I ju...
by nolesrule
Thu Jun 07, 2018 5:45 pm
Forum: Investing - Theory, News & General
Topic: Understanding Vanguard statement
Replies: 41
Views: 2654

Re: Understanding Vanguard statement

No worries. You are right that the term "purchases" is confusing. I've seen similar summaries before with 401ks, except instead of "Purchase" it says "Contribution". When you look at it that way, it's a little easier to understand. Buying or Selling doesn't change the value in the count, it just swi...
by nolesrule
Thu Jun 07, 2018 4:16 pm
Forum: Investing - Theory, News & General
Topic: Understanding Vanguard statement
Replies: 41
Views: 2654

Re: Understanding Vanguard statement

Van sold shares for us of the funds and individ stocks that came over from prev brokerage firm. (some were Van funds that we did not sell, just brought them over) So, should the amount of the sale of old stocks be posted under P&W as a withdrawal and the purchase of new fund shares be posted under ...
by nolesrule
Thu Jun 07, 2018 7:01 am
Forum: Investing - Theory, News & General
Topic: Understanding Vanguard statement
Replies: 41
Views: 2654

Re: Understanding Vanguard statement

Without the completed transactions list it will be impossible to piece everything together.
by nolesrule
Wed Jun 06, 2018 2:10 pm
Forum: Investing - Theory, News & General
Topic: Understanding Vanguard statement
Replies: 41
Views: 2654

Re: Understanding Vanguard statement

Nolesrule: that is exactly my question. How could we buy 60,873 worth of shares, when it only shows 60,250 in the P & W (Purchases and Withdrawals) heading. To my mind that total should be the amount of money available for purchases, but dratkinson says that I can forget about the 60,250 being mone...
by nolesrule
Wed Jun 06, 2018 9:46 am
Forum: Investing - Theory, News & General
Topic: Understanding Vanguard statement
Replies: 41
Views: 2654

Re: Understanding Vanguard statement

If your balance was zero at the beginning of the statement period and the balance was $60,831 at the end of the statement period, then the account changed value by $60,831. Of that $60,831 change, $60,250 was from adding money to the account. That leaves you with $581. You had $8 in dvidends, leavin...
by nolesrule
Wed Jun 06, 2018 7:14 am
Forum: Investing - Theory, News & General
Topic: Understanding Vanguard statement
Replies: 41
Views: 2654

Re: Understanding Vanguard statement

Nolesrule: Thank you very much for trying to help me in my confusion. About the Purchases and Withdrawals, since I am using the very first statement with Vanguard, there has not been any money brought over from another account, nor any dividends or cap gains brought over and added in to account sum...
by nolesrule
Tue Jun 05, 2018 9:18 pm
Forum: Investing - Theory, News & General
Topic: Understanding Vanguard statement
Replies: 41
Views: 2654

Re: Understanding Vanguard statement

The Account summary is basically telling you what caused the balance change in your account during the statement period. It can only come from 5 things: 1. adding/removing money between your account and another account (Purchases/Withdrawals) 2. appreciation/depreciation of assets held in the accoun...
by nolesrule
Tue Jun 05, 2018 11:15 am
Forum: Investing - Theory, News & General
Topic: Understanding Vanguard statement
Replies: 41
Views: 2654

Re: Understanding Vanguard statement

The Activity is at the Account level and represents only the statement period. So Purchases/Withdrawals represents money entering or leaving your account during the statement period. The Appreciation/Depreciation would represent the change in your account balance not attributed to Purchases/Withdraw...
by nolesrule
Tue Jun 05, 2018 7:12 am
Forum: Investing - Help with Personal Investments
Topic: Business Income - Solo 401(k) - open the Roth BackDoor
Replies: 3
Views: 276

Re: Business Income - Solo 401(k) - open the Roth BackDoor

You can open up a solo 401k if you have ever had Self employment income reported to the IRS reported on Schedule C (once you are self employed, you are always self employed, as you can't officially terminate "self-employment"). You do not have to have the income in the year you open the solo 401k.
by nolesrule
Mon Jun 04, 2018 7:12 am
Forum: Personal Finance (Not Investing)
Topic: What is your Take Home Pay / Gross Pay ratio?
Replies: 89
Views: 7569

Re: What is your Take Home Pay / Gross Pay ratio?

Me: 61% Wife: 53% Overall: 57% In 2017 all additional withholding came from my pay; the only extra that comes out of my check is 401k deferrals. Wife works for a megacorp with better insurance benefits and the HSA. I did not exclude bonuses because I'm to lazy to subtract it out. We did receive a he...
by nolesrule
Sun Jun 03, 2018 1:24 pm
Forum: Investing - Help with Personal Investments
Topic: Advice needed: $800,000 in cash, 2-year time horizon
Replies: 25
Views: 3455

Re: Advice needed: $800,000 in cash, 2-year time horizon

Here are a few more potentially relevant details: Marginal tax rate: 45.7% (That's 35% Federal / 6.8% NY State / 3.9% NY City. I didn't include the 2.35% for Medicare on W-2 income because I don't think it applies to interest) Unless it's tax-exempt, you'll also pay 3.8% Net Investment Income Tax o...
by nolesrule
Sat Jun 02, 2018 12:09 pm
Forum: Investing - Help with Personal Investments
Topic: Why have a savings account at all?
Replies: 153
Views: 10762

Re: Why have a savings account at all?

One doesn't necessarily need a savings account. But not having a savings account is not the same as moving the money that would otherwise be held in a savings account into equities. One must consider their need, ability and willingness to take risk with the money. For me, for money needed to be used...
by nolesrule
Sat May 26, 2018 7:52 pm
Forum: Personal Consumer Issues
Topic: Rum and Summer Cocktails
Replies: 30
Views: 2085

Re: Rum and Summer Cocktails

Mojito. Take two or three fresh mint leaves and place them in a tall glass with a drop of water. Find a wooden stick or anything wooden with an end that has the circumference of a $.50 piece. Use that stick to mash and pulverize the mint leaves in the glass. Squeeze the juice of half a fresh lemon ...
by nolesrule
Fri May 25, 2018 12:27 pm
Forum: Personal Consumer Issues
Topic: Rum and Summer Cocktails
Replies: 30
Views: 2085

Re: Rum and Summer Cocktails

We have a runaway overabundance of mint starting in mid-spring till the end of summer, so it's mojitos for us.

I've spent some time perfecting the recipe to get the most flavor out of the mint and limes, so it takes longer to prepare than the usual published mojito recipe, but tastes much better.
by nolesrule
Thu May 24, 2018 2:05 pm
Forum: Personal Finance (Not Investing)
Topic: Purchasing a house, downpayment vs. retirement and other considerations
Replies: 161
Views: 6326

Re: Purchasing a house, downpayment vs. retirement and other considerations

EDIT: Just ran a search on redfin and for apartments/condos in Brookline with 2+ bedrooms and over 1,000 square feet are in the $750-900k range. Aside from our old place which recently changed hands at that price, I just found a 1000 sqft 2-bed for $629,000... There isn't a massive inventory of wha...
by nolesrule
Mon May 21, 2018 5:57 pm
Forum: Investing - Help with Personal Investments
Topic: Roth question
Replies: 24
Views: 1641

Re: Roth question

Contact the receiver and see about getting it reclassified as a 60-day rollover. :oops: It does seem like that would work. Again, you might have to tell the custodian you goofed in how you moved the money - should have told them it was a 60 day rollover from the start but you were confused about ho...
by nolesrule
Mon May 21, 2018 3:50 pm
Forum: Investing - Help with Personal Investments
Topic: Roth question
Replies: 24
Views: 1641

Re: Roth question

Contact the receiver and see about getting it reclassified as a 60-day rollover. :oops: It does seem like that would work. Again, you might have to tell the custodian you goofed in how you moved the money - should have told them it was a 60 day rollover from the start but you were confused about ho...
by nolesrule
Mon May 21, 2018 7:17 am
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth in 2018. Has anything changed?
Replies: 21
Views: 5612

Re: Backdoor Roth in 2018. Has anything changed?

How are you able to roll over the TIRA balance without rolling over the basis? Don't they go hand in hand and both are automatically rolled over? Or is there an option on the form to first roll over the balance, and submit a second form to roll over the basis once the plan accepts the balance? Not ...
by nolesrule
Sat May 19, 2018 4:58 pm
Forum: Investing - Theory, News & General
Topic: Discontinuity and marginal vs effective rates
Replies: 39
Views: 1916

Re: Discontinuity and marginal vs effective rates

For SS hump some literature claims that marginal tax can be as high as 46.25% I fired up the 1040 tax spreadsheet from BH toolbox (Thanks!!) I ran numbers for MFJ and kept ss payment at $45K and moved taxable IRA (aka converting to Roth) from $1K to $100K I never ran in to the so called 46% margina...
by nolesrule
Sat May 19, 2018 2:14 pm
Forum: Investing - Theory, News & General
Topic: Why do so many people quote "You will likely be in a lower tax bracket in retirement"
Replies: 550
Views: 35841

Re: Why do so many people quote "You will likely be in a lower tax bracket in retirement"

3) You can get all of those things when you do Roth conversion of your Trad. 401K at lower tax rate. I don't give a flip about the rate. Let's say I have 1.5 million in my R401k and you have 1.5 in your T401k. It costs me 0 to stuff that into a RIRA, and it costs you something like 500k (I didn't d...
by nolesrule
Fri May 18, 2018 8:09 pm
Forum: Personal Finance (Not Investing)
Topic: Dave Ramsey it or keep low interest debt
Replies: 134
Views: 9445

Re: Dave Ramsey it or keep low interest debt

Look at it this way... if you had both car loans paid for ($58k), would you go BORROW $58k just to invest it? Even worse, would you go borrow $58k just to finance another vehicle? The question isn't about financing another vehicle, but paying off a loan vs. investing. I'm not the OP, but at 1.24% w...
by nolesrule
Fri May 18, 2018 7:55 pm
Forum: Personal Finance (Not Investing)
Topic: Dave Ramsey it or keep low interest debt
Replies: 134
Views: 9445

Re: Dave Ramsey it or keep low interest debt

Look at it this way... if you had both car loans paid for ($58k), would you go BORROW $58k just to invest it? Even worse, would you go borrow $58k just to finance another vehicle? The question isn't about financing another vehicle, but paying off a loan vs. investing. I'm not the OP, but at 1.24% w...
by nolesrule
Fri May 18, 2018 4:48 pm
Forum: Personal Finance (Not Investing)
Topic: Dave Ramsey it or keep low interest debt
Replies: 134
Views: 9445

Re: Dave Ramsey it or keep low interest debt

Look at it this way... if you had both car loans paid for ($58k), would you go BORROW $58k just to invest it? Even worse, would you go borrow $58k just to finance another vehicle? The question isn't about financing another vehicle, but paying off a loan vs. investing. I'm not the OP, but at 1.24% w...
by nolesrule
Fri May 18, 2018 9:17 am
Forum: Investing - Theory, News & General
Topic: Bank Interest Rates — when will they go up?
Replies: 27
Views: 3442

Re: Bank Interest Rates — when will they go up?

Cap One 360 has had their Money Market Account stuck at 1.6% ($10k balance +) for some time. Here's the entire history of APY changes on the Money Market Account. Jun 27 2017 - 1.10% Aug 25 2017 - 1.20% Oct 25 2017 - 1.30% Jan 11 2018 - 1.40% Feb 15 2018 - 1.50% Apr 19 2018 - 1.60% 4 weeks hardly q...
by nolesrule
Sun May 13, 2018 2:37 pm
Forum: Personal Finance (Not Investing)
Topic: NIIT - Net Investment Income Tax Calculation
Replies: 4
Views: 580

Re: NIIT - Net Investment Income Tax Calculation

Line 37 includes capital gains.

Line 37 = Line 22 - Line 36.

Line 22 is the sum of the income section, which includes capital gains on Line 13.
by nolesrule
Sat May 12, 2018 8:53 am
Forum: Investing - Help with Personal Investments
Topic: Do you lose state taxes
Replies: 8
Views: 1789

Re: Do you loose state taxes

Sorry, I'm finding this thread very confusing (starting with thread title). The treasury fund holds mostly treasuries, so it should be mostly state tax-free, right? This is why Afty's comment confused me. And I'm not sure what HSA's or NJ has to do with this. Not a criticism; I just don't get it. I...
by nolesrule
Thu May 10, 2018 10:35 pm
Forum: Investing - Help with Personal Investments
Topic: Estimated Tax on Large Capital Gain
Replies: 34
Views: 2192

Re: Estimated Tax on Large Capital Gain

....................................................................... I anticipate that my withholding amount will be similar to last year and in 2017 I received a refund of 1.5k. My normal income is about 85k a year. ..................................................................................
by nolesrule
Thu May 10, 2018 10:56 am
Forum: Investing - Help with Personal Investments
Topic: Can I fund my solo 401k with mutual fund shares I already own?
Replies: 31
Views: 1300

Re: Can I fund my solo 401k with mutual fund shares I already own?

You really can't know the total you can contribute until you've run the calculations after the year has ended. it's best not to contribute the full amount to avoid excess contributions. I am confident I can accurately calculate the amount without exceeding the limits. I can leave room to fine tune ...
by nolesrule
Thu May 10, 2018 9:29 am
Forum: Investing - Help with Personal Investments
Topic: Can I fund my solo 401k with mutual fund shares I already own?
Replies: 31
Views: 1300

Re: Can I fund my solo 401k with mutual fund shares I already own?

You really can't know the total you can contribute until you've run the calculations after the year has ended. it's best not to contribute the full amount to avoid excess contributions. I am confident I can accurately calculate the amount without exceeding the limits. I can leave room to fine tune ...
by nolesrule
Thu May 10, 2018 8:48 am
Forum: Investing - Help with Personal Investments
Topic: Can I fund my solo 401k with mutual fund shares I already own?
Replies: 31
Views: 1300

Re: Can I fund my solo 401k with mutual fund shares I already own?

You really can't know the total you can contribute until you've run the calculations after the year has ended. it's best not to contribute the full amount to avoid excess contributions.