Search found 6470 matches

by Spirit Rider
Sat Nov 18, 2017 12:11 pm
Forum: Personal Consumer Issues
Topic: My dad's army jacket
Replies: 62
Views: 3256

Re: My dad's army jacket

Spirit Rider, thanks for the recap of U.S. Code on the subject of uniforms. Interesting. Assume the mere fact it is specified in US Code is considered its own deterrent, as I'm having a tough time imagining any literal enforcement. I think a lawyer would have a field day (not a Navy one :D ) defend...
by Spirit Rider
Fri Nov 17, 2017 7:19 pm
Forum: Investing - Help with Personal Investments
Topic: Max out 403b or open solo 401k?
Replies: 4
Views: 206

Re: Max out 403b or open solo 401k?

Just be aware that there is one employee deferral limit (2017 = $18K, 2018 = $18.5K) across all qualified plans combined. So your maximum one-participant 401k plan employee deferral for 2017 = $18K - 403b employee deferral. Also, a one-participant 401k plan must be adopted and an employee deferral e...
by Spirit Rider
Fri Nov 17, 2017 7:08 pm
Forum: Personal Finance (Not Investing)
Topic: Are my husband's traditional IRA contributions deductible for 2017?
Replies: 9
Views: 560

Re: Are my husband's traditional IRA contributions deductible for 2017?

Earl is correct, Clyde is not. The IRS is partially at fault for continuing to use the term "covered". The actual correct term is "active participant". You are only an active participant when a contribution has been made by your or on your behalf. So if you make an employee deferral matched or not, ...
by Spirit Rider
Fri Nov 17, 2017 6:54 pm
Forum: Personal Consumer Issues
Topic: My dad's army jacket
Replies: 62
Views: 3256

Re: My dad's army jacket

Retired Navy officer here, and I'm unaware of anything explicitly forbidding the wear of a former uniform article (unless you are the recipient of a bad paper discharge, in which case your uniforms were probably collected before you were shown to the gate). As one ex-Navy guy to another, you asked ...
by Spirit Rider
Fri Nov 17, 2017 11:39 am
Forum: Personal Consumer Issues
Topic: My dad's army jacket
Replies: 62
Views: 3256

Re: My dad's army jacket

Actually, it is only the dress uniform that is allowed to worn by veterans and retired service members. Even then they are only supposed to wear the uniform for formal functions, national holidays, parades, military funerals and weddings and other military occasions. Technically, there is even a U.S...
by Spirit Rider
Fri Nov 17, 2017 11:07 am
Forum: Investing - Help with Personal Investments
Topic: Is it safe (to backdoor Roth) yet?
Replies: 2
Views: 311

Re: Is it safe (to backdoor Roth) yet?

You should be fine, but ...

There is no harm in waiting and no material benefit from going ahead before it shows up in the 401k. Personally, I would wait.
by Spirit Rider
Fri Nov 17, 2017 11:01 am
Forum: Investing - Help with Personal Investments
Topic: Cashed out Inherited IRA used to justify IRA contribution?
Replies: 17
Views: 700

Re: Cashed out Inherited IRA used to justify IRA contribution?

Yes, that is correct. It is cut and dried. Compensation as defined in IRS Publication 590-A is required for an IRA contribution. Traditional and/or Roth combined up to the limit. Traditional (pre-tax) 401k employee deferrals reduce compensation reported on your W-2 Box 1 wages, Roth (post-tax) 401k ...
by Spirit Rider
Fri Nov 17, 2017 1:52 am
Forum: Investing - Help with Personal Investments
Topic: Fidelity fund fees for different fund classes
Replies: 7
Views: 498

Re: Fidelity fund fees for different fund classes

Yes, they do this. I haven't been in a position to have this happen recently, but I seem to remember that it wasn't necessarily instantaneous, if it was close to the limit. Otherwise, you might be bouncing back and forth between fund classes. I know one time, I can't remember if it was 2000-2002 or ...
by Spirit Rider
Fri Nov 17, 2017 1:32 am
Forum: Investing - Help with Personal Investments
Topic: Cashed out Inherited IRA used to justify IRA contribution?
Replies: 17
Views: 700

Re: Cashed out Inherited IRA used to justify IRA contribution?

The only time you can make both 401k employee deferrals and IRA contributions on the same money is when it is a Roth 401k deferral. To adjust your scenario a little. If you had $10,000 in compensation. You could make a $4,500 traditional 401k deferral, a $4,500 Roth 401k deferral and you could still...
by Spirit Rider
Fri Nov 17, 2017 12:57 am
Forum: Personal Finance (Not Investing)
Topic: Forgot to file form 5500EZ for 2016 year
Replies: 20
Views: 1015

Re: Forgot to file form 5500EZ for 2016 year

I have no knowledge or experience with the likelihood of them waiving the penalty.

By requesting a waiver, if they do not grant it, you have forfeited your ability to file for penalty relief.

So either pay the $500, or take a chance on $0 or $$$$.
by Spirit Rider
Fri Nov 17, 2017 12:45 am
Forum: Investing - Help with Personal Investments
Topic: solo 401k questions - add spouse, loans
Replies: 6
Views: 354

Re: solo 401k questions - add spouse, loans

This is not a bad idea. You need to pay her a Fair Market Value (FMV) wage for the actual work performed. The challenge will be to find the number of work hours at a FMV to reach the desired salary. If you could find enough task hours and pay rate to reach $25K/year. That would allow an $18.5K empl...
by Spirit Rider
Thu Nov 16, 2017 11:18 pm
Forum: Investing - Help with Personal Investments
Topic: ? On Maxing out solo 401k with 403b for 2017
Replies: 6
Views: 432

Re: ? On Maxing out solo 401k with 403b for 2017

Well he is not a very good financial adviser, because we are not talking about a 401k and a one-participant 401k. In that case, the one-participant 401k has to share the employee deferral limit, but because it is an unaffiliated employer, it has its own 415c annual addition limit. 2017 = $54K and 20...
by Spirit Rider
Thu Nov 16, 2017 10:58 pm
Forum: Personal Finance (Not Investing)
Topic: 529 Withdrawal TIming
Replies: 6
Views: 581

Re: 529 Withdrawal TIming

IRS Publication seems pretty clear that expenses and distributions should occur in the same year. Here is the preamble to the Figuring the Taxable Portion of a Distribution section in IRS Publication 970 Tax Benefits for Education: To determine if total distributions for the year are more or less th...
by Spirit Rider
Thu Nov 16, 2017 9:56 pm
Forum: Investing - Help with Personal Investments
Topic: Solo 401k and 403b
Replies: 8
Views: 517

Re: Solo 401k and 403b

For 2017 there is a $54K annual addition limit of employee + employer contribution at each unaffiliated employer. However, a participant is considered to control a 403b plan. Its annual additions must be combined with the annual additions of the one-participant 401k plan. This confuses me about 403...
by Spirit Rider
Thu Nov 16, 2017 9:40 pm
Forum: Investing - Help with Personal Investments
Topic: Solo 401k and 403b
Replies: 8
Views: 517

Re: Solo 401k and 403b

1) one-partipcant 401k = solo 401k; is the former the more accurate term? One-participant 401k is the term the IRS uses. All of the other terms are marketing terms used by one or more companies. Vanguard calls theirs an Individual 401k, Fidelity a Self-Employed 401k, TD Ameritrade a Solo 401k, etc....
by Spirit Rider
Thu Nov 16, 2017 9:23 pm
Forum: Investing - Help with Personal Investments
Topic: Questions on HSA
Replies: 5
Views: 588

Re: Questions on HSA

[*]If you are both in open enrollment, she could enroll in a PPO plan for next year, but her enrolling in a general purpose FSA for next year would make you ineligible for an HSA next year. I though we can enroll in different plans, let me do more research on this. You "can" enroll in different hea...
by Spirit Rider
Thu Nov 16, 2017 1:49 am
Forum: Investing - Help with Personal Investments
Topic: Solo 401k and 403b
Replies: 8
Views: 517

Re: Solo 401k and 403b

If you have $100K in net self-employment earnings (net business profit 1/2 SE tax). For 2017 you can make $18K in employee deferrals provided you have not made any other employee deferrals to other qualified plans and $20K in employer contributions. You only need to complete and return to Vanguard t...
by Spirit Rider
Thu Nov 16, 2017 1:29 am
Forum: Investing - Help with Personal Investments
Topic: Questions on HSA
Replies: 5
Views: 588

Re: Questions on HSA

You have a lot of ambiguity in this post with a lot of information left out. Since we are around the time of open enrollment for next year a lot of clarification is necessary. Did you wife's insurance start this year? Is she in open enrollment for next year? Was the $1200 FSA for 2017? Are you in op...
by Spirit Rider
Thu Nov 16, 2017 12:37 am
Forum: Personal Finance (Not Investing)
Topic: non deductible ira moved to 401k??
Replies: 8
Views: 627

Re: non deductible ira moved to 401k??

IRS regulations do not allow the rollover of anything but pre-tax IRA assets. So this rollover was a 401k plan error You need to contact your 401k plan administrator and inform them. They will gladly roll the non-deductible basis and any earnings back into the IRA it came from. Then you can roll tha...
by Spirit Rider
Thu Nov 16, 2017 12:09 am
Forum: Investing - Help with Personal Investments
Topic: Solo 401k and 403b
Replies: 8
Views: 517

Re: Solo 401k and 403b

A one-participant 401k allows you to make the largest contribution on a given amount of net self-employment earnings. You can contribute to both plans, but there are two contribution limits For 2017 there is an $18K employee deferral limit between all qualified plans combined. For 2017 there is a $...
by Spirit Rider
Wed Nov 15, 2017 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: Solo 401(k) contributions on rental income?
Replies: 5
Views: 415

Re: Solo 401(k) contributions on rental income?

You are confusing two separate issues. The article you quoted is not relevant to the issue of earned income that qualifies for 401k contributions. It is referring to specific circumstances where individuals involved in real estate activities can take deductions for certain business expenses related ...
by Spirit Rider
Wed Nov 15, 2017 1:47 pm
Forum: Investing - Help with Personal Investments
Topic: Capital Gains in IRA [are they taxable?]
Replies: 8
Views: 626

Re: Capital Gains in IRA [are they taxable?]

They will technically still incur capital gains. They are just not reportable or taxable.
by Spirit Rider
Wed Nov 15, 2017 1:43 pm
Forum: Personal Finance (Not Investing)
Topic: Solo 401(k) contributions on rental income?
Replies: 5
Views: 415

Re: Solo 401(k) contributions on rental income?

Does your wife work? If not, she could qualify as a "real estate professional", which essentially means that is her full-time job. Last I knew that meant working 750 hours/year in the real estate business. That is the only way rental income is non-passive Should would need to perform >= 750 hours/y...
by Spirit Rider
Wed Nov 15, 2017 1:29 pm
Forum: Personal Finance (Not Investing)
Topic: Fair way to split expenses?
Replies: 105
Views: 4255

Re: Fair way to split expenses?

Ahhh, the question or fairness. Always a difficult question in all of human undertakings. I always found focusing on the discretionary nature of personal spending was the best choice and fair meant equal discretionary spending. So this is what I have always done. Joint and personal checking, savings...
by Spirit Rider
Wed Nov 15, 2017 11:08 am
Forum: Personal Finance (Not Investing)
Topic: Previous employer terminating pension
Replies: 15
Views: 2592

Re: Previous employer terminating pension

Option 1-B is to DCA into annuitization...taking the lump, then later on, annuitizing a portion of it each year over a series of years. Please don't do this. Insurance contracts include a load for commission and for administrative fees. Why on earth would you want to pay that load multiple times? I...
by Spirit Rider
Tue Nov 14, 2017 5:46 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare [Can I contribute to a Health Savings Account?]
Replies: 22
Views: 1472

Re: Medicare

Very interesting that this was apparently not well communicated. Any information on how consistently it's been enforced? I have no idea how consistently this is enforced. I only know of one anecdotal case from years ago. A CP-2000 notice was received on an unrelated HSA issue. As happens in so many...
by Spirit Rider
Tue Nov 14, 2017 11:36 am
Forum: Personal Finance (Not Investing)
Topic: Medicare [Can I contribute to a Health Savings Account?]
Replies: 22
Views: 1472

Re: Medicare

Thank you, this has been very educational. The system is more convoluted than I knew. You are not alone. This Medicare retroactive "gotcha" has unknowingly ensnared a lot of people. Medicare did not even have any information about this on their website until 2016. Also, the Medicare & You 2017 hand...
by Spirit Rider
Tue Nov 14, 2017 11:22 am
Forum: Personal Finance (Not Investing)
Topic: Medicare [Can I contribute to a Health Savings Account?]
Replies: 22
Views: 1472

Re: Medicare [Can I contribute to a Health Savings Account?]

It would be Aug 1st and I would be 66 and 6 months. Then Medicare would be retroactive to February 1st. So technically you would be eligible to make (2018's contribution limit + $1,000 catch-up contribution >= age 55) * 1 / 12 for January's eligibility. I think I would not make the January 2018 pro...
by Spirit Rider
Mon Nov 13, 2017 11:47 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare [Can I contribute to a Health Savings Account?]
Replies: 22
Views: 1472

Re: Medicare [Can I contribute to a Health Savings Account?]

The retroactive period is from the effective date of Medicare enrollment, not from when you apply.

Could you answer a few questions. Will July 1st or August 1st be the effective Medicare enrollment date? Will you be at least 65 and 6 months during that month? If not how many months?
by Spirit Rider
Mon Nov 13, 2017 8:23 pm
Forum: Personal Finance (Not Investing)
Topic: Tell me I'm not a total fool about my choice of a Medigap policy
Replies: 26
Views: 2313

Re: Tell me I'm not a total fool about my choice of a Medigap policy

Although I live in a state with a "birthday rule" (allowing change of plans or carriers at your birthday), my understanding is that you can always go from Plan F to any other plan at the same carrier without underwriting. Are there any other carriers in your state with a Plan F and G that allow you...
by Spirit Rider
Mon Nov 13, 2017 8:15 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare [Can I contribute to a Health Savings Account?]
Replies: 22
Views: 1472

Re: Medicare [Can I contribute to a Health Savings Account?]

It is relatively easy to request the return of the excess contributions and earnings from the HSA custodian, with typically a $25 fee. You have until your tax filing deadline including extensions to to do so. If the contributions were by payroll deduction, you will have to report the excess contribu...
by Spirit Rider
Mon Nov 13, 2017 7:54 pm
Forum: Investing - Help with Personal Investments
Topic: 9-5 and a Side Hustle that's growing
Replies: 10
Views: 2178

Re: 9-5 and a Side Hustle that's growing

I currently have a normal 9-5 job, which pays me approximately 100k a year and a side hustle that over the last couple years has grown into 75,000-100,000 a year annual income stream. Are there any additional tax advantaged investments i could also be making through my side gig, which is a register...
by Spirit Rider
Mon Nov 13, 2017 7:12 pm
Forum: Investing - Theory, News & General
Topic: Solo 401k Plan Closing
Replies: 5
Views: 604

Re: Solo 401k Plan Closing

I would first call the destination plan custodian. Then initiate the transfer which might be required at Vanguard. You have until the last day of the seventh (7th) month after all the funds have been transferred to the destination plan, to terminate the source plan. You terminate the plan by filing ...
by Spirit Rider
Mon Nov 13, 2017 1:18 pm
Forum: Investing - Help with Personal Investments
Topic: Why pay cash for a car?
Replies: 160
Views: 12401

Re: Why pay cash for a car?

Many car owners do not carry collision type coverage. Car finance companies usually require you to carry these additional coverages. One can avoid it by paying cash. Just because you can do something, doesn't necessarily mean that you should do something. When you have the possibility of a five fig...
by Spirit Rider
Mon Nov 13, 2017 1:14 pm
Forum: Investing - Theory, News & General
Topic: GE and the myth of "safe blue-chip stocks"
Replies: 73
Views: 7077

Re: GE and the myth of "safe blue-chip stocks"

I have some great GM bonds I can sell you.

My infamous last words; "GM isn't going to go bankrupt."
by Spirit Rider
Mon Nov 13, 2017 1:08 pm
Forum: Personal Consumer Issues
Topic: HSA mishandled by State Farm, IRS issue now
Replies: 6
Views: 994

Re: HSA mishandled by State Farm, IRS issue now

I am assuming you have received a CP-2000 notice. Do you have anything with the 12/31/2015 date from State Farm. Contrary to the previous response, I have always been treated fairly by the IRS. I recently resolved a CP-2000 issue for 2015 where the IRS took my word for something that I did not have ...
by Spirit Rider
Mon Nov 13, 2017 12:55 pm
Forum: Personal Finance (Not Investing)
Topic: Tell me I'm not a total fool about my choice of a Medigap policy
Replies: 26
Views: 2313

Re: Tell me I'm not a total fool about my choice of a Medigap policy

Although I live in a state with a "birthday rule" (allowing change of plans or carriers at your birthday), my understanding is that you can always go from Plan F to any other plan at the same carrier without underwriting. Are there any other carriers in your state with a Plan F and G that allow you...
by Spirit Rider
Mon Nov 13, 2017 12:24 am
Forum: Personal Finance (Not Investing)
Topic: $30K loan for 12 months
Replies: 23
Views: 1444

Re: $30K loan for 12 months

Then prior to completing your tax return, file an extension. Complete your return to determine what your maximum employer contribution will be. Claim the maximum employer contribution you are allowed and can afford by the extended due date. Then file your return by the normal due date. Filing for t...
by Spirit Rider
Sun Nov 12, 2017 11:41 pm
Forum: Personal Finance (Not Investing)
Topic: $30K loan for 12 months
Replies: 23
Views: 1444

Re: $30K loan for 12 months

I'm doing year end planning, and would like to boost contributions to our Solo 401Ks. I discovered last month that I am eligible to increase my contribution to retirement savings by quite a bit, but now I might be shy of the cash to do this There may not be any need to take a loan, if you just need...
by Spirit Rider
Sun Nov 12, 2017 11:15 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare [Can I contribute to a Health Savings Account?]
Replies: 22
Views: 1472

Re: Medicare [Can I contribute to Health Savings Account?]

This thread is now in the Personal Finance (Not Investing) forum (Medicare). I retitled the thread for clarity. Thanks for the heads up, as the wiki was missing this important point - no HSA contributions if you have Medicare. It's fixed. See: Medicare "Brief overview and history" That is not suffi...
by Spirit Rider
Sun Nov 12, 2017 10:35 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare [Can I contribute to a Health Savings Account?]
Replies: 22
Views: 1472

Re: Medicare

Also, when you finally do get to the point that you need to sign up for Medicare (e.g., end of employment or end of employer-provided coverage) you will want to make sure you stop making HSA contributions 6 months prior. Why? If you otherwise qualify for an HSA, you can contribute thru the month be...
by Spirit Rider
Sun Nov 12, 2017 7:57 pm
Forum: Personal Finance (Not Investing)
Topic: Tell me I'm not a total fool about my choice of a Medigap policy
Replies: 26
Views: 2313

Re: Tell me I'm not a total fool about my choice of a Medigap policy

Both of the two previous replies do not seem to understand that the OP was referring to the amount of money they would save on premiums for Plan G over Plan F. Also, while Plan F may be a good idea for some people. However, assuming that you will only have an occasional bill might be a little short ...
by Spirit Rider
Sun Nov 12, 2017 6:47 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Reduces 529 Fees
Replies: 10
Views: 1291

Re: Vanguard Reduces 529 Fees

Here's an idea: maybe Vanguard could do an "Amazon headquarters style" request for state partners who will offer the lowest program fee. The winner could well make up for low fees by getting all the volume Vanguard could bring to the table. The only problem is that these are not Vanguard plans. 529...
by Spirit Rider
Sun Nov 12, 2017 12:47 pm
Forum: Investing - Help with Personal Investments
Topic: Is my employers 3rd party administrator correct about VG expense ratios?
Replies: 9
Views: 728

Re: Is my employers 3rd party administrator correct about VG expense ratios?

Is he correct? I've never read anything about ER's being weighted by allocation. Everything I've read is to choose the lowest ER available regardless. If he is correct, then would there be any benefit to my suggestion or just keep the VG mid and small-cap funds in the plan and forget about adding t...
by Spirit Rider
Sat Nov 11, 2017 10:36 pm
Forum: Investing - Help with Personal Investments
Topic: IRA Rollover 1 per year rule
Replies: 14
Views: 1026

Re: IRA Rollover 1 per year rule

What is the difference between a direct rollover and 60-day rollover if we were discussing a qualified plan & IRA Think of it like this. There are really only two ways of moving funds from one retirement plan to another: Indirect 60-day rollover: With a source of a plan or IRA and a destination of ...
by Spirit Rider
Sat Nov 11, 2017 8:49 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Reduces 529 Fees
Replies: 10
Views: 1291

Re: Vanguard Reduces 529 Fees

One thing to keep in mind with 529 expense ratios is that there are other costs other than the fund expense ratios. In fact only 0.04% of that 0.16% is the underlying fund expense ratio. The other 12% is a program management fee. Like HSA accounts there are more administrative fees with 529 plans. L...
by Spirit Rider
Sat Nov 11, 2017 7:41 pm
Forum: Investing - Help with Personal Investments
Topic: IRA Rollover 1 per year rule
Replies: 14
Views: 1026

Re: IRA Rollover 1 per year rule

Rollovers of Retirement Plan and IRA Distributions How do I complete a rollover? Direct rollover – If you’re getting a distribution from a retirement plan, you can ask your plan administrator to make the payment directly to another retirement plan or to an IRA. Contact your plan administrator for i...
by Spirit Rider
Sat Nov 11, 2017 7:38 pm
Forum: Investing - Help with Personal Investments
Topic: IRA Rollover 1 per year rule
Replies: 14
Views: 1026

Re: IRA Rollover 1 per year rule

Rollovers of Retirement Plan and IRA Distributions IRA one-rollover-per-year rule You generally cannot make more than one rollover from the same IRA within a 1-year period. You also cannot make a rollover during this 1-year period from the IRA to which the distribution was rolled over. Beginning af...
by Spirit Rider
Fri Nov 10, 2017 7:42 pm
Forum: Personal Finance (Not Investing)
Topic: Alway contribute to HSA if incurring medical expenses?
Replies: 10
Views: 1026

Re: Alway contribute to HSA if incurring medical expenses?

The only time a covered spouse needs their own HSA account is in a year they will be >= age 55. They would be eligible for a $1,000 catch-up contribution, but it must be made to their account.