Search found 115 matches

by Flora
Sun Jan 26, 2020 10:32 am
Forum: Personal Finance (Not Investing)
Topic: AOTC and Kiddie Tax for 2019 and 2020
Replies: 2
Views: 341

Re: AOTC and Kiddie Tax for 2019 and 2020

To clarify - under the SECURE Act changes to the kiddie tax, you have the option to use the parents' marginal rate for 2019 instead of trust rates (and can amend 2018 to use parents' marginal rate as well).
by Flora
Thu Jan 23, 2020 8:58 am
Forum: Personal Investments
Topic: Contribution Limit for HSA Plan Started Jan 5th, 2020
Replies: 15
Views: 1102

Re: Contribution Limit for HSA Plan Started Jan 5th, 2020

Full year contribution if covered on December 1, 2020. Since you mentioned GEHA, then you are a federal employee. If you are single and if your GEHA HDHP premium passthrough is $900, then you can contribute $2550 to your HSA (because GEHA will contribute $900). You can open an HSA at Fidelity and th...
by Flora
Sat Jan 18, 2020 8:36 pm
Forum: Personal Investments
Topic: Wife left
Replies: 43
Views: 9282

Re: Wife left

OP asked 'What would you do?', so to answer that question, I would attempt to determine a division of assets that is equalized for tax attributes.
by Flora
Sat Jan 18, 2020 2:38 pm
Forum: Personal Investments
Topic: Wife left
Replies: 43
Views: 9282

Re: Wife left

Say she pays combined federal and state rate of 22% on the $170k; then you are only giving her $132k. Meanwhile you get up to $250k gain tax-free on sale of your home...

How about giving her $170k Roth?
by Flora
Sat Jan 18, 2020 12:39 pm
Forum: Personal Investments
Topic: Wife left
Replies: 43
Views: 9282

Re: Wife left

But is $170k IRA to IRA a fair amount or should it be more (since she'll need to likely pay tax on distributions) if you are trying to equalize the home asset (assuming all other assets are equal such as you each have equal balances in Roth IRAs and equal balances in traditional IRAs and employer 40...
by Flora
Fri Jan 17, 2020 11:43 pm
Forum: Personal Investments
Topic: Wife left
Replies: 43
Views: 9282

Re: Wife left

If the house has $400k equity/no debt, with all else equal, then it sounds like you owe her $200k in after tax dollars (not $170k traditional IRA that is pre tax dollars.).
by Flora
Thu Jan 02, 2020 9:28 am
Forum: Personal Finance (Not Investing)
Topic: paying quarterly tax late
Replies: 5
Views: 472

Re: paying quarterly tax late

Look on the voucher or filing instructions for the due date to see if it is January 15, 2020.

Is this some sort of city of Philadelphia tax or is it state of Pennsylvania individual income tax?
by Flora
Mon Dec 30, 2019 9:39 pm
Forum: Personal Finance (Not Investing)
Topic: EFC of 59K?! That is more than my net pay
Replies: 227
Views: 12975

Re: EFC of 59K?! That is more than my net pay

In my experience, students don't often have the fact pattern for the full $2500 AOTC so I wouldn't count on that where the parents' income is too high for the credit.
by Flora
Tue Dec 24, 2019 5:59 pm
Forum: Investing - Theory, News & General
Topic: Tax Law Changes for 2020
Replies: 355
Views: 28401

Re: Tax Law Changes for 2020

For anyone with a private foundation, page 713 of the SECURE Act has a change to the two-tier excise tax rate effective for tax years beginning 1/1/2020 and after: a flat 1.39%.
by Flora
Mon Dec 16, 2019 9:43 pm
Forum: Personal Consumer Issues
Topic: What to do? Car dilemma...
Replies: 61
Views: 3684

Re: What to do? Car dilemma...

It's not a tax credit when donating it to a charity, it's a Schedule A itemized deduction. I believe you will need to attach the 1098-C to your return.
by Flora
Mon Dec 16, 2019 10:43 am
Forum: Personal Consumer Issues
Topic: What to do? Car dilemma...
Replies: 61
Views: 3684

Re: What to do? Car dilemma...

Do you itemize your deductions or take the standard deduction?

If you donate a car to a charity, the charity will eventually need to give you Form 1098-C which shows the amount that the charity then sold your car for (which is your tax deduction if you itemize).
by Flora
Sun Dec 15, 2019 7:07 pm
Forum: Investing - Theory, News & General
Topic: Margin interest deduction with personal loan?
Replies: 11
Views: 591

Re: Margin interest deduction with personal loan?

...and then you also plan to report the interest income you receive on Form 1040 Schedule B?
by Flora
Sat Dec 07, 2019 1:19 pm
Forum: Personal Finance (Not Investing)
Topic: Fed Employee Front Loading the TSP for 2020?
Replies: 34
Views: 2213

Re: Fed Employee Front Loading the TSP for 2020?

https://images.app.goo.gl/g4YLw8CKS6etdEnD6 This is a link to the 2020 TSP chart for regular contributions (amount to contribute per pay period in order to max out and date range/pay period when effective). Since it shows that a person could contribute the entire $19,500 in one pay period, I assume ...
by Flora
Sat Dec 07, 2019 1:08 pm
Forum: Personal Finance (Not Investing)
Topic: Fed Employee Front Loading the TSP for 2020?
Replies: 34
Views: 2213

Re: Fed Employee Front Loading the TSP for 2020?

Just curious- since you are retiring then presumably 2020 will be a low income year so have you considered designating the contributions all as Roth TSP?

Note that the 2020 catchup amount is $6,500 (not $5,500).
by Flora
Thu Nov 28, 2019 11:20 am
Forum: Personal Finance (Not Investing)
Topic: Paying for Grad School: Refinance or Student Loan?
Replies: 19
Views: 1218

Re: Paying for Grad School: Refinance or Student Loan?

OP already stated that rates are too high with federal loans.

OP wants to help out his/her responsible, adult daughter. I would feel the same way.

I would go with Choice 2.
by Flora
Thu Nov 21, 2019 11:41 pm
Forum: Personal Finance (Not Investing)
Topic: Kiddie tax??
Replies: 11
Views: 1804

Re: Kiddie tax??

"He’s earned scholarships worth more than the leftover amount, so should not have any penalty"

Do you have to withdraw the amount equal to the scholarship in the same year that the scholarship was received in order to avoid the penalty?
by Flora
Sun Nov 17, 2019 2:39 pm
Forum: Personal Finance (Not Investing)
Topic: FEHB Open Season 2019
Replies: 113
Views: 10677

Re: [2018 Open Season] FEHB HDHP options for Federal Employees

[Posts moved into here, see below. --admin LadyGeek] If you are new to GEHA HDHP for 2020, and open a Fidelity HSA, do you have to wait until February 2020 to start contributing through MyPay to the Fidelity HSA? Can anyone explain the mechanics? Logging in to MyPay today only shows an option of en...
by Flora
Tue Oct 15, 2019 11:57 pm
Forum: Personal Investments
Topic: How to handle 5M capital gain (post-IPO)
Replies: 130
Views: 16121

Re: How to handle 5M capital gain (post-IPO)

Investing in a QOZ fund can defer and reduce the realized capital gain but doesn't remove the issue of capital gain completely.
by Flora
Sun Aug 11, 2019 10:03 pm
Forum: Personal Finance (Not Investing)
Topic: How should my Spouse and I handle a $300,000 Settlement?
Replies: 119
Views: 7793

Re: How should my Spouse and I handle a $300,000 Settlement?

To be eligible for a full 2019 Roth IRA contribution assuming there is sufficient earned income

MFJ Modified AGI limit: under $193k

MFS (living together) Modified AGI limit: under $10k

https://www.irs.gov/retirement-plans/am ... e-for-2019
by Flora
Fri Jun 28, 2019 8:42 am
Forum: Personal Investments
Topic: Can/should my son contribute to Roth - tip income
Replies: 13
Views: 725

Re: Can/should my son contribute to Roth - tip income

Consider Form 1040, Schedule C, Schedule SE (self-employment tax), state tax return.
by Flora
Fri Jun 07, 2019 6:21 pm
Forum: Personal Investments
Topic: Question about RMDs from inherited IRA
Replies: 23
Views: 1845

Re: Question about RMDs from inherited IRA

Consider disclaiming the inherited IRA so that it goes to your child/children if you gave any.
by Flora
Sat May 11, 2019 2:54 pm
Forum: Personal Finance (Not Investing)
Topic: California tax question — state request for 2017 taxes, despite no CA earnings
Replies: 5
Views: 945

Re: California tax question — state request for 2017 taxes, despite no CA earnings

Tax year 2017 was full year Colorado resident with zero earnings in CA, not 'btw-part-time'; that was 2016.
by Flora
Sun Apr 28, 2019 10:02 pm
Forum: Personal Consumer Issues
Topic: EXTREMELY frugal things from our parents and grandparents
Replies: 110
Views: 10756

Re: EXTREMELY frugal things from our parents and grandparents

My grandma used the (red) mesh bags that onions came in to make her own pot scrub 'pads' by combining a few with rubber bands.
by Flora
Sun Apr 21, 2019 6:52 pm
Forum: Personal Investments
Topic: Need help selling MLP [Master Limited Partnership]
Replies: 10
Views: 1132

Re: Need help selling MLP

If your Energy Transfer ending capital is $11972 then your basis is not likely $30082. You may have both an ordinary gain and a capital loss when you sell out of a PTP, which aren't offset against each other, so you could end up with a chunk of income on Form 4797 and then a capital loss carryover l...
by Flora
Sun Apr 07, 2019 10:25 am
Forum: Personal Finance (Not Investing)
Topic: "Worried about being pushed into 'higher tax bracket' "
Replies: 25
Views: 2380

Re: "Worried about being pushed into 'higher tax bracket' "

Contributions to a 401k or IRA are added back into income for purposes of FAFSA.
by Flora
Tue Dec 18, 2018 12:02 am
Forum: Investing - Theory, News & General
Topic: So Cal Gas company advice
Replies: 4
Views: 518

Re: So Cal Gas company advice

Though I no longer live in So Cal, I set my thermostat to 59 at night (Midwest) during heating season. I find it quite comfortable.
by Flora
Wed Aug 29, 2018 7:59 am
Forum: Personal Finance (Not Investing)
Topic: how much more we should put in 529?
Replies: 24
Views: 3473

Re: how much more we should put in 529?

UnitaryExecutive - if you were hoping to get in-state tuition by buying a house in that state (and not actually moving there) be careful. While this father rented an apartment for himself to claim state residency (and didn't buy a house), the University sued him and went so far as to look at electro...
by Flora
Tue Aug 28, 2018 11:45 pm
Forum: Personal Finance (Not Investing)
Topic: Student Loan Repayment Plan
Replies: 52
Views: 4107

Re: Student Loan Repayment Plan

@Gazelle1991 do you live in a community property state? If so there are implications when filing separately. For example, you each report half of your own and half of your spouse's W-2 income and withholding on married filing separate returns. IRS Publication 555 Community Property addresses income ...
by Flora
Tue Jul 03, 2018 7:26 pm
Forum: Personal Consumer Issues
Topic: Thinking about moving to Madison, WI or Minneapolis, MN..Any advice?
Replies: 140
Views: 15338

Re: Thinking about moving to Madison, WI or Minneapolis, MN..Any advice?

And consider all that wasted commuting time in MPLS over Madison.
by Flora
Tue Jul 03, 2018 7:24 pm
Forum: Personal Consumer Issues
Topic: Thinking about moving to Madison, WI or Minneapolis, MN..Any advice?
Replies: 140
Views: 15338

Re: Thinking about moving to Madison, WI or Minneapolis, MN..Any advice?

Did you factor in paying for parking at work in Minneapolis? Parking is likely free at your CPA firm in Madison.
by Flora
Mon Jun 11, 2018 7:28 am
Forum: Personal Finance (Not Investing)
Topic: Retire in 2 years at 55 - Can I do it
Replies: 26
Views: 4294

Re: Retire in 2 years at 55 - Can I do it

Enough for 4 years of college at in state rates for the kids? How does moving to a new state affect this since your state of residency will change?
by Flora
Fri May 11, 2018 8:35 am
Forum: Personal Finance (Not Investing)
Topic: "Patient paid amount" for month of death in nursing home?
Replies: 33
Views: 5123

Re: "Patient paid amount" for month of death in nursing home?

The $1300 SS direct deposit to the nursing home's bank account would have subsequently been taken back by SSA (direct debit) so the nursing home was not paid for that portion of your grandmother's care.
by Flora
Thu May 10, 2018 10:52 pm
Forum: Personal Finance (Not Investing)
Topic: "Patient paid amount" for month of death in nursing home?
Replies: 33
Views: 5123

Re: "Patient paid amount" for month of death in nursing home?

How much was her SS per month? I believe that had to be 100% repaid since she did not live the full month.
by Flora
Sun Feb 18, 2018 9:51 am
Forum: Personal Finance (Not Investing)
Topic: How to qualify wife for ACA subsidy in 2018
Replies: 18
Views: 2013

Re: How to qualify wife for ACA subsidy in 2018

Consider charging less rent by 2k in order to save almost 12k with the subsidy, thereby netting 10k.
by Flora
Thu Jan 04, 2018 9:51 am
Forum: Personal Finance (Not Investing)
Topic: Selling individual muni bonds- estate executor has question
Replies: 9
Views: 1001

Re: Selling individual muni bonds- estate executor has question

They don't mature at a loss because the premium will be amortized over the remaining holding period. For example, after the bonds are distributed out to the beneficiaries in kind then the 1099 received each year will show the interest income and the (reduction in interest income for) bond premium am...
by Flora
Thu Aug 03, 2017 2:23 pm
Forum: Personal Finance (Not Investing)
Topic: Anybody with Student Loans applying for PSLF in October 2017?
Replies: 25
Views: 3229

Re: Anybody with Student Loans applying for PSLF in October 2017?

Thanks for clarifying my hasty post about MFS in a community property state.
by Flora
Thu Aug 03, 2017 11:04 am
Forum: Personal Finance (Not Investing)
Topic: Anybody with Student Loans applying for PSLF in October 2017?
Replies: 25
Views: 3229

Re: Anybody with Student Loans applying for PSLF in October 2017?

If you live in one of the 9 community property states, MFS won't help you because each spouse generally has to report half of their own income, withholding and deductions, and half of their spouse's income, withholding and deductions.
by Flora
Sat Jul 22, 2017 10:12 pm
Forum: Personal Finance (Not Investing)
Topic: Any way to avoid capital gains tax (from K-1) using married filing separately?
Replies: 21
Views: 1701

Re: Any way to avoid capital gains tax (from K-1) using married filing separately?

You entered the gain wrong because $250k is not exempt unless it is your own personal residence.
by Flora
Mon May 29, 2017 7:40 am
Forum: Personal Finance (Not Investing)
Topic: High School Graduation Gifts
Replies: 21
Views: 4308

Re: High School Graduation Gifts

It's common here to give a card and a check for $20.17.

Next year I'll be writing checks for $20.18.
by Flora
Sun Feb 05, 2017 10:22 am
Forum: Personal Finance (Not Investing)
Topic: Deducting State Taxes - trying to identify tax savings if I move?
Replies: 13
Views: 1162

Re: Deducting State Taxes - trying to identify tax savings if I move?

Note that proposed Trump tax law changes may result in fewer people itemizing if the standard deduction is increased.
by Flora
Sun Nov 20, 2016 11:45 pm
Forum: Personal Finance (Not Investing)
Topic: Renting in L.A. - good school district
Replies: 16
Views: 2115

Re: Renting in L.A. - good school district

What about Irvine near John Wayne airport? Or does the other parent work in LA?
by Flora
Sat Oct 01, 2016 10:27 am
Forum: Personal Investments
Topic: Liquidating Inherited Municipal Bonds
Replies: 24
Views: 3574

Re: Liquidating Inherited Municipal Bonds

We have inherited munis, too. While the stated rates are around 5%, the bond premium amortization (as reported on the 1099 and/or statements) brings that down substantially. It's clear that people don't really understand that often they are not actually earning the stated rate. Be sure to account fo...
by Flora
Tue Aug 02, 2016 1:57 pm
Forum: Personal Finance (Not Investing)
Topic: AOTC claimed by child? [American Opportunity Tax Credit]
Replies: 21
Views: 3984

Re: AOTC claimed by child? [American Opportunity Tax Credit]

I understand your question better now. You don't have to worry about the "over one-half support" issue if you only want the child to use the AOTC to offset his/her tax liability of up to $2500. The requirement to provide over half support via earned income is only necessary to meet if trying to rece...
by Flora
Mon Aug 01, 2016 4:41 pm
Forum: Personal Finance (Not Investing)
Topic: AOTC claimed by child? [American Opportunity Tax Credit]
Replies: 21
Views: 3984

Re: AOTC claimed by child? [American Opportunity Tax Credit]

The child has to provide over half of his own support from EARNED income in order to get the refundable portion of the AOTC.

See IRS Publication 970.
by Flora
Fri Jul 15, 2016 5:16 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving money as a legacy after death
Replies: 15
Views: 1736

Re: Leaving money as a legacy after death

Another Will suggestion is to leave an amount to charity equal to the lesser of a) $xxxx or b) xx% of estate after expenses. I knew of someone 30 years ago who left a specific amount ($200k) to charities which ended up being almost 100% of her estate value, due to a reversal of fortune. When the Wil...