Search found 10756 matches

by DSInvestor
Thu Nov 16, 2017 2:41 pm
Forum: Investing - Help with Personal Investments
Topic: Confused about IRA deduction Limts
Replies: 15
Views: 988

Re: Confused about IRA deduction Limts

Is your wife covered by an employer plan? If not, there is a higher MAGI limit for the non-covered spouse. See IRS Page on 2017 IRA deduction limits effect on Modified AGI on Deduction if you are NOT covered by a retirement plan at work: https://www.irs.gov/retirement-plans/2017-ira-deduction-limits...
by DSInvestor
Tue Nov 14, 2017 2:47 pm
Forum: Investing - Help with Personal Investments
Topic: Need help to understand tIRA rIRA conversion
Replies: 27
Views: 2192

Re: Need help to understand tIRA rIRA conversion

Yes I understand this point. My comment was in the case that I do nothing at all (no backdoor, no rollover): I just keep my existing rollover IRA. Because it's now an IRA, and because of my MAGI, does it mean that I have 45K that are now non deductible? I mean, they were deductible when they were i...
by DSInvestor
Tue Nov 14, 2017 2:31 pm
Forum: Investing - Help with Personal Investments
Topic: Need help to understand tIRA rIRA conversion
Replies: 27
Views: 2192

Re: Need help to understand tIRA rIRA conversion

"So if you have 45K Rollover IRA, 5K TIRA with 5K IRA basis, form 8606 considers you to have a 50K IRA with 5K basis. " What if I don't do anything? If I keep my rollover tIRA (which was funder using my previous 401k). Does it mean that it's now non-deductible??? After the 5K conversion in my examp...
by DSInvestor
Tue Nov 14, 2017 2:08 pm
Forum: Investing - Help with Personal Investments
Topic: Need help to understand tIRA rIRA conversion
Replies: 27
Views: 2192

Re: Need help to understand tIRA rIRA conversion

If your rollover IRA is big, pay attention to the expenses in your current 401k plan relative to the expenses in your IRA. If your IRA expense ratios are 0.10% and 401k are 1.1%, that's a 1% difference. If you transfer 500K into your 401k, you'd be paying an extra $5K/yr in expenses to hold the $500...
by DSInvestor
Tue Nov 14, 2017 2:00 pm
Forum: Investing - Help with Personal Investments
Topic: Need help to understand tIRA rIRA conversion
Replies: 27
Views: 2192

Re: Need help to understand tIRA rIRA conversion

The TIRA deduction phase out happens because of 1) coverage by employer plan and 2) high income. Given your coverage by 401k and high income, TIRA contributions for you and your wife would be non-deductible. If you contribute to TIRA, you it must be reflected in your tax return - so make sure to tel...
by DSInvestor
Mon Nov 13, 2017 11:19 am
Forum: Personal Finance (Not Investing)
Topic: Long term capital gains tax - effective tax is higher than 15%
Replies: 15
Views: 1330

Re: Long term capital gains tax - effective tax is higher than 15%

You mentioned 35% tax bracket which implies high income. At higher levels of income (>200K single, 250K MFJ), additional taxes apply on investment income. Net Investment Income Tax (NIIT). IRS FAQ on NIIT: https://www.irs.gov/newsroom/net-investment-income-tax-faqs If you itemize deductions, high in...
by DSInvestor
Tue Nov 07, 2017 10:31 pm
Forum: Investing - Help with Personal Investments
Topic: VOO versus VTI
Replies: 8
Views: 6921

Re: VOO versus VTI

VOO is Vanguard 500 Index
VTI is Vanguard Total Stock market index.

I buy Vanguard total stock Market VTSAX Admiral shares. If total stock market is not available, I'll be fine buying an S&P500 index fund for my US stock allocation.
by DSInvestor
Tue Nov 07, 2017 9:06 pm
Forum: Investing - Help with Personal Investments
Topic: Top tax bracket in CA - Bonds all muni?
Replies: 14
Views: 2027

Re: Top tax bracket in CA - Bonds all muni?

If you have tax advantaged space like 401(k), 403(b), 457(b), IRA, you can hold taxable bond funds. Use your tax advantaged space for taxable bonds and then complete the bond allocation in taxable accounts with a mix of a national tax exempt bond fund (VWIUX) and your CA tax exempt bond fund. This w...
by DSInvestor
Tue Nov 07, 2017 8:48 pm
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth IRA
Replies: 9
Views: 1405

Re: Backdoor Roth IRA

Can someone explain the Non-Roth IRA's please. What if you have a Simple IRA, or Rollover IRA, or a SEP. Anything besides a 401(k) plan. Also, what happens if you have a Simple IRA but its setup through the employer and you are a participant. Does that mean, a portion of it would be taxable. Non-Ro...
by DSInvestor
Tue Nov 07, 2017 7:21 pm
Forum: Investing - Help with Personal Investments
Topic: has anyone withdrawn/redeposited from their Vanguard Roth account?
Replies: 2
Views: 281

Re: has anyone withdrawn/redeposited from their Vanguard Roth account?

What about collecting the dividends in your funds in taxable? If not reinvested, it will reduce the need to sell shares.

Do you have any emergency cash reserve?
by DSInvestor
Sat Nov 04, 2017 8:47 pm
Forum: Investing - Help with Personal Investments
Topic: roth ira transfer
Replies: 3
Views: 285

Re: roth ira transfer

No. IRA rollovers are not counted as contributions for the purpose of the $5500 annual contribution limit.
by DSInvestor
Sat Nov 04, 2017 8:37 pm
Forum: Investing - Help with Personal Investments
Topic: MF to ETF Conversion [Mutual Fund to Exchange-Traded Fund]
Replies: 10
Views: 740

Re: MF to ETF Conversion

VTSAX (Total Stock Market) and VTIAX (Total International Stock Market) are both excellent tax efficient choices for your taxable account. I do not see a need to convert to ETF shares for tax efficiency reasons. Vanguard Admiral shares and ETF shares tend to have the same low expense ratio, same tax...
by DSInvestor
Wed Oct 25, 2017 2:12 pm
Forum: Personal Consumer Issues
Topic: Amazon kindle paperwhite
Replies: 69
Views: 4381

Re: Amazon kindle paperwhite

Thanks for posting this. I've been wanting to buy one but have been waiting for a price cut. This may be enough to push me to finally get one. I have read reviews and feel pretty sure I would like it. Now I read on my Android phone. Not bad but nothing like a paper white. My main concern is if it w...
by DSInvestor
Wed Oct 25, 2017 1:13 pm
Forum: Personal Consumer Issues
Topic: Ordering iPhoneX
Replies: 19
Views: 2021

Re: Ordering iPhoneX

An article I read told me to download the APPLE STORE APP, and it would go through perhaps easier than via the web site. It's not clear to me what the difference is between the APPLE STORE APP and just the "APP STORE" on my current iPhone7, but I did that and there DOES seem to be a difference. The...
by DSInvestor
Wed Oct 25, 2017 11:40 am
Forum: Investing - Theory, News & General
Topic: Whats this "Tax-Exempt Fund"?
Replies: 6
Views: 1208

Re: Whats this "Tax-Exempt Fund"?

It appears the money made is tax exempt. Is that correct? Note that the bond interest from these tax exempt funds are exempt from taxation but the capital gains (if the you sell for a higher price) is taxable. The bond interest will be reported to you and IRS via 1099-DIV or 1099-INT. The capital g...
by DSInvestor
Sat Oct 21, 2017 9:56 pm
Forum: Investing - Help with Personal Investments
Topic: Roth or IRA
Replies: 19
Views: 1664

Re: ROTH OR IRA

I heard few financial advisors on radio suggesting to invest in ROTH. Most people are going to be in a 'lower tax bracket' upon retirement than while working. This is assuming the tax rates remain the same. Also, the other thing that may happen during retirement years is, you may move to a "no tax"...
by DSInvestor
Wed Oct 18, 2017 12:33 am
Forum: Investing - Help with Personal Investments
Topic: Deciding between Roth TSP and Trad TSP
Replies: 26
Views: 1884

Re: Deciding between Roth TSP and Trad TSP

If you have other financial priorities that you're trying to fund like saving for a house downpayment, next car, paying off debt, it would be easier with Traditional TSP contributions rather than Roth TSP.
by DSInvestor
Sun Oct 15, 2017 10:53 pm
Forum: Investing - Help with Personal Investments
Topic: Adding funds to portfolio full of individual stocks
Replies: 7
Views: 682

Re: Adding funds to portfolio full of individual stocks

Are you a W-2 employee working at a company that does not offer an employer sponsored retirement plan? If you're self employed with no employees other than your spouse, you can open a Solo 401k and get a lot more tax advantaged contribution than $5500 for IRA. Boglehead wiki page on Solo 401k: https...
by DSInvestor
Sat Oct 14, 2017 2:27 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Employer match question
Replies: 5
Views: 373

Re: 401k Employer match question

Moving to a state with no income tax will have no impact on the amount of your 401k contributions. It will affect your take home pay as you will no longer have state income taxes withheld. The eliminated state income tax liability going forward may allow you to afford to make larger 401k and/or IRA ...
by DSInvestor
Thu Oct 12, 2017 10:45 am
Forum: Personal Finance (Not Investing)
Topic: Can I contribute to a spousal IRA?
Replies: 5
Views: 675

Re: Can I contribute to a spousal IRA?

If you file your tax returns as married filing jointly, your wife is eligible to make spousal IRA contributions to either Traditional IRA and/or Roth IRA. This is true even if she has no compensation. Roth IRA: Her eligibility for Roth IRA contributions is subject to MAGI limits based on your joint ...
by DSInvestor
Wed Oct 11, 2017 10:47 am
Forum: Personal Consumer Issues
Topic: Quicken for Mac Woes
Replies: 7
Views: 613

Re: Quicken for Mac Woes

My iMac is still running Sierra. Does the upgrade need to be requested? I downloaded it manually from the app store. Click on apple icon on upper left, select App Store. macOS High Sierra should be prominently displayed on the featured apps page. If you don't see it there, search for "macOS High Si...
by DSInvestor
Mon Oct 09, 2017 11:13 am
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth IRA
Replies: 9
Views: 1405

Re: Backdoor Roth IRA

When you prepare your 2017 tax return, make sure you enter both steps: 1) Contribution to Traditional IRA for 2017 tax year. This will allow the tax software to examine your tax situation to see if you were covered by an employer plan. If covered and MAGI exceeds certain limits, the TIRA contributio...
by DSInvestor
Mon Oct 09, 2017 9:49 am
Forum: Investing - Help with Personal Investments
Topic: Worth moving existing i401k from Vanguard elsewhere?
Replies: 9
Views: 692

Re: Worth moving existing i401k from Vanguard elsewhere?

If limited to Investor shares, you may be able to get a slightly lower overall expense ratio by using a Target Retirement or Lifestrategy fund that most closely matches your desired asset allocation. Target Retirement 2020 VTWNX er=0.14% Target Retirement 2015 VTXVX er=0.14% LifeStrategy Conservativ...
by DSInvestor
Sun Oct 08, 2017 10:58 pm
Forum: Investing - Help with Personal Investments
Topic: Post reverse rollover timing of backdoor Roth contribution
Replies: 3
Views: 398

Re: Post reverse rollover timing of backdoor Roth contribution

The 2016 Form 8606 line 6 asks for IRA balances as of DEC 31, 2016. The 2017 form will ask for IRA balances as of DEC 31, 2017. The balance on JAN 1 is not considered.

2016 form 8606: https://www.irs.gov/pub/irs-pdf/f8606.pdf
by DSInvestor
Sun Oct 08, 2017 11:43 am
Forum: Investing - Help with Personal Investments
Topic: IRA questions - back door roth when tIRA is co-mingled
Replies: 2
Views: 276

Re: IRA questions - back door roth when tIRA is co-mingled

If your employer plans offer low cost investment options and will accept inbound rollovers from IRA, you can transfer the assets in excess of your IRA basis into your employer plans. This would isolate the IRA basis in your TIRA and allow you to convert that IRA basis to Roth IRA tax free. For examp...
by DSInvestor
Sun Oct 08, 2017 11:36 am
Forum: Personal Finance (Not Investing)
Topic: Change for a $20 requires ID!!
Replies: 22
Views: 2647

Re: Change for a $20 requires ID!!

I have seen inconsistent behavior at different branches. One branch always asks for ID or debit card PIN for any transaction, even changing a $20 for quarters. The other branch next town over does not ask for ID or debit card PIN.
by DSInvestor
Sat Oct 07, 2017 11:48 pm
Forum: Investing - Help with Personal Investments
Topic: Tradittional vs Roth?
Replies: 6
Views: 662

Re: Tradittional vs Roth?

If you currently reside in a state with high state income tax and may move to a state with no state income tax, Roth 401k contributions may mean pre-paying taxes to your current state to avoid a 0% state income tax rate upon withdrawal in retirement. Tax treatment of Traditional 401k contributions a...
by DSInvestor
Sat Oct 07, 2017 8:48 pm
Forum: Personal Finance (Not Investing)
Topic: Issue With Non-Deductible tIRA contribution, Solo 401k Rollover
Replies: 5
Views: 495

Re: Issue With Non-Deductible tIRA contribution, Solo 401k Rollover

If your income is too high to take the TIRA deduction, you should check if you're eligible for Roth IRA contribution. If eligible for Roth IRA contribution, recharacterize your $5500 TIRA contribution to a 2017 Roth IRA contribution. Note that the MAGI limit to take the TIRA deduction while covered ...
by DSInvestor
Fri Oct 06, 2017 9:41 pm
Forum: Personal Finance (Not Investing)
Topic: Roth IRA conversion my only "income" and when/how to pay taxes
Replies: 8
Views: 866

Re: Roth IRA conversion my only "income" and when/how to pay taxes

How do you qualify for a refund with no earned income? You need earned income for the Earned Income Tax Credit (EITC). You need earned income for the Child Tax Credit. When your only income is from a Roth Conversion, you may not have any income tax to pay, but I don't see a refund. A refund may be ...
by DSInvestor
Thu Oct 05, 2017 11:10 pm
Forum: Investing - Theory, News & General
Topic: VGTSX vs VDVIX / VEIEX blend
Replies: 7
Views: 713

Re: VGTSX vs VDVIX / VEIEX blend

Not sure how much you're investing but if you're investing around 10K, you can get Admiral shares of Total International and have lower expenses of 0.11%. It would take considerably more 50K to get admiral shares of both Developed Markets and Emerging markets funds held separately. Since you're look...
by DSInvestor
Thu Oct 05, 2017 4:16 pm
Forum: Investing - Help with Personal Investments
Topic: Dumb question -LTCG like marginal or step function & bonus question
Replies: 8
Views: 570

Re: Dumb question -LTCG like marginal or step function & bonus question

Seems like a good exercise for your son to run through with tax calculators. Taxcaster has been updated to make it cumbersome to run quick tax scenarios. HRBlock has one that is a little more streamlined. https://www.hrblock.com/get-answers/tax-calculators.html#/en/te/aboutYou Note that even if Fed ...
by DSInvestor
Thu Oct 05, 2017 2:06 pm
Forum: Personal Finance (Not Investing)
Topic: Tax issue - misc (self employment?) income
Replies: 5
Views: 405

Re: Tax issue - misc (self employment?) income

I think Schedules C or C-EZ would handle that 1099-MISC box 7 non-employee compensation. Self employment tax would apply so Schedule SE as well.
by DSInvestor
Tue Oct 03, 2017 1:55 pm
Forum: Investing - Help with Personal Investments
Topic: Are credit cards rewards worth it?
Replies: 103
Views: 7951

Re: Are credit cards rewards worth it?

Since you have the CITI Double Cash card, take a look at CITI PRICE REWIND which is a service where you register your purchases made with citi credit cards and it will search for lower prices for 60 days from date of purchase. If a lower price is found, you will be refunded the price difference. I g...
by DSInvestor
Tue Sep 26, 2017 11:14 am
Forum: Personal Finance (Not Investing)
Topic: Withdraw Roth principal and later redeposit as tIRA?
Replies: 19
Views: 1941

Re: Withdraw Roth principal and later redeposit as tIRA?

OP, In order to be phased out of TIRA deduction, you must be covered by an employer plan like 401k. Are you maxing out your Traditional 401k? If not maxing out Trad 401k, consider increasing those contributions to get max deduction rather than messing with TIRA deduction and its phase out. Tradition...
by DSInvestor
Fri Sep 22, 2017 4:18 pm
Forum: Personal Consumer Issues
Topic: IOS 11: Anybody using it yet?
Replies: 48
Views: 4861

Re: IOS 11: Anybody using it yet?

Any one running old apps that may be 32 bit, be aware that IOS 11 does not support 32 bit apps. If you have apps that have not been updated since mid 2015, it may be a 32 bit app. See arstechica's review of IOS 11 - The end of 32 bit apps:https://arstechnica.com/gadgets/2017/09/ios-11-thoroughly-rev...
by DSInvestor
Fri Sep 22, 2017 10:54 am
Forum: Personal Consumer Issues
Topic: Phone Techies .....
Replies: 32
Views: 2784

Re: Phone Techies .....

I have an iPhone 5S which is almost 3 yrs old. It's still doing well. I prefer smaller phones so it will be iPhone SE for my next upgrade.
by DSInvestor
Wed Sep 20, 2017 1:37 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Conversions and taxes
Replies: 36
Views: 4059

Re: Roth Conversions and taxes

As in my reply to Chip above, I keep some bonds in my taxable account to use during a market correction. Just because all the bonds are in the IRA, it doesn't mean that you can't use bonds to meet a cash need while withdrawing from taxable account. It just requires an extra trade. 1. In taxable, se...
by DSInvestor
Wed Sep 20, 2017 12:54 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Conversions and taxes
Replies: 36
Views: 4059

Re: Roth Conversions and taxes

I do plan to increase our bond holdings and decrease our stock holdings in our tIRA over time to try to keep our RMDs down, but for now, the reason I keep that much in bonds in my taxable account is if/when the market corrects, I can use those bonds for living expenses instead of having to take dis...
by DSInvestor
Tue Sep 19, 2017 12:30 pm
Forum: Investing - Help with Personal Investments
Topic: Asset Location: 401k All Fixed Income?
Replies: 16
Views: 1369

Re: Asset Location: 401k All Fixed Income?

IMO, if their AA calls for bonds then those bonds should be placed in tax advantaged accounts first. For example if they wanted 80/20 stock/bond AA and their 401k is 15% of the portfolio, the 401k can be filled with bonds, then they can complete the bond allocation in taxable accounts. If their 401k...
by DSInvestor
Sun Sep 17, 2017 11:22 am
Forum: Personal Consumer Issues
Topic: point and shoot digital cameras
Replies: 22
Views: 1814

Re: point and shoot digital cameras

What did she decide to get? FWIW, I have a canon powershot and an iPhone 5S. I hardly ever use my powershot. I use the iPhone camera daily and the pics are great. My daughter switched from her iPhone 4S to a low cost android phone and she said the camera is not as good as her old iPhone 4S. If one's...
by DSInvestor
Sat Sep 09, 2017 10:31 am
Forum: Personal Consumer Issues
Topic: DVDs and Longterm Storage
Replies: 7
Views: 721

Re: DVDs and Longterm Storage

I used Vudu's disk to digital service to convert some of my DVDs to a streaming format. If the disk is eligible for conversion it takes a few seconds. Last year, I was able to convert DVDs for $1 each (batch of 10 or more). I think that discount is gone now, so about $2 per DVD to SD resolution. HD ...
by DSInvestor
Sat Sep 09, 2017 10:05 am
Forum: Investing - Help with Personal Investments
Topic: Employing stay at home wife
Replies: 12
Views: 1008

Re: Employing stay at home wife

If you pay her 24K W-2 salary, she could contribute 24K where 18K is employee salary deferral and 6K is employer profit share. This assumes she does not contribute to 401k/TSP at her VA job. If she contributes to 401k at her job, be aware that the 18K employee salary deferral limit is shared across ...
by DSInvestor
Wed Sep 06, 2017 11:13 pm
Forum: Personal Consumer Issues
Topic: Wanting a Portable Auto GPS
Replies: 65
Views: 4774

Re: Wanting a Portable Auto GPS

What sort of a hassle is it to get the free updates with a new Garmin? Do you need to mail in copies of the receipts? No need to mail in receipts with Garmin. No hassles at all with getting lifetime map updates from Garmin assuming your device is one that comes with lifetime maps. My 2-3 year old g...
by DSInvestor
Mon Sep 04, 2017 5:29 pm
Forum: Personal Consumer Issues
Topic: Wanting a Portable Auto GPS
Replies: 65
Views: 4774

Re: Wanting a Portable Auto GPS

I am missing something here because why would I want to talk to the GPS and have it link with my cell phone to make a call? Furthermore, why would I want to see who is calling on my GPS instead of looking at the phone or listen to it over the car radio? I have a Garmin Nuvi that is 2-3 years old wh...
by DSInvestor
Sat Sep 02, 2017 11:56 am
Forum: Personal Finance (Not Investing)
Topic: Solo 401k
Replies: 20
Views: 1866

Re: Solo 401k

My wife and I both max out our 401k This sounds like a job for a SEP IRA. Same employer contribution percentage. No change to individual contributions if you're already maxing your 401k. Less paperwork and more investment options if you're a Vanguard fan. The only reason I'd consider dealing with a...
by DSInvestor
Sat Sep 02, 2017 11:55 am
Forum: Personal Finance (Not Investing)
Topic: Solo 401k
Replies: 20
Views: 1866

Re: Solo 401k

My wife and I both max out our 401k This sounds like a job for a SEP IRA. Same employer contribution percentage. No change to individual contributions if you're already maxing your 401k. Less paperwork and more investment options if you're a Vanguard fan. The only reason I'd consider dealing with a...
by DSInvestor
Sun Aug 27, 2017 2:53 pm
Forum: Investing - Help with Personal Investments
Topic: Who is doing 50:50 traditional:Roth 401k/TSP
Replies: 40
Views: 2913

Re: Who is doing 50:50 traditional:Roth 401k/TSP

I would suggest that those who make these strong recommendations without having running the numbers themselves scale back their enthusiasm for any particular strategy. In my case I like the diversified approach and I think the OP is perfectly reasonable to pursue such approach. Remember that at OP'...
by DSInvestor
Sun Aug 27, 2017 1:34 pm
Forum: Investing - Help with Personal Investments
Topic: Who is doing 50:50 traditional:Roth 401k/TSP
Replies: 40
Views: 2913

Re: Who is doing 50:50 traditional:Roth 401k/TSP

I contribute the minimum amount needed my traditional 403b to achieve my employer's match, and once I hit the maximum match, then switch my contributions to Roth 403b to max out at $18K. My employer won't provide any matching contributions if I contribute to the Roth 403b (I have no idea why), so t...
by DSInvestor
Sun Aug 27, 2017 1:10 pm
Forum: Investing - Help with Personal Investments
Topic: Who is doing 50:50 traditional:Roth 401k/TSP
Replies: 40
Views: 2913

Re: Who is doing 50:50 traditional:Roth 401k/TSP

Who is doing 50%-50% traditional-Roth 401k or TSP, and what is your reasoning? Do you think it is a good idea for possible diversification and not exactly knowing what tax bracket you'll be in. It seems like having too many different 401k buckets and too many different 401ks may prove too complicat...