Search found 4584 matches

by kaneohe
Mon Dec 01, 2008 12:35 am
Forum: Personal Finance (Not Investing)
Topic: Living Trust
Replies: 26
Views: 6922

I am not sure we are all speaking the same language. A google search points to multiple uses of the words "restated trust" as a complete amendment of an existing revocable trust. Restatement has nothing to do with the listing of assets into separate A and B trusts, A being revocable and B irrevocab...
by kaneohe
Mon Dec 01, 2008 12:29 am
Forum: Investing - Theory, News & General
Topic: AMT and TLH
Replies: 8
Views: 1732

I don't think so either. Maybe you're thinking about state tax deductions which aren't allowed under AMT and so make no difference if they change?
by kaneohe
Sun Nov 30, 2008 11:31 pm
Forum: Personal Finance (Not Investing)
Topic: FDIC CD Insurance Expiration Question
Replies: 11
Views: 3286

Here is what you can do to very easily get $400,000 FDIC coverage with the old $100,000 FDIC limit. Husband - individual acct: $100,000 Wife - individual account: $100,000 H&W joint account - $200,000 Total FDIC insured = $400,000 Then, put the added $50,000 in a 1 year CD, and when it matures in 1...
by kaneohe
Sun Nov 30, 2008 2:27 pm
Forum: Investing - Help with Personal Investments
Topic: IRA Conversion Tax Issue
Replies: 26
Views: 4724

For the OP, not Leathean just above, You converted dollars, not shares, even if you sold shares then repurchased in the new location on the same day. Your dollars were co-mingled in the new account so any withdrawal, even a recharacterization, is a proportionate slice of dollars from the current Ro...
by kaneohe
Sun Nov 30, 2008 1:55 pm
Forum: Personal Finance (Not Investing)
Topic: FDIC CD Insurance Expiration Question
Replies: 11
Views: 3286

Why not study up on the FDIC rules and then title accordingly so that you're insured within old limits of 100K/person/acct type. $175K joint, 87.5K individual A, 87.5K individual B which gets you to 350K total. For the extra 100K, POD beneficiary accts might get you more coverage esp if you have kid...
by kaneohe
Sat Nov 29, 2008 8:08 pm
Forum: Investing - Help with Personal Investments
Topic: IRA Conversion Tax Issue
Replies: 26
Views: 4724

To create a link: 1)highlite the url of the page you want 2)then edit/copy it 3)go to the place you want to "write" the link and click so the cursor is there 4)click on the url softkey above that shows when you are creating a reply 5)then edit/paste the url you saved 6)repeat step 4 so you end up wi...
by kaneohe
Sat Nov 29, 2008 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: Living Trust
Replies: 26
Views: 6922

I don't think the others have understood your question. You asked about "restating" a trust which is really just an amendment that restates the entire trust agreement, thus effectively replacing the original agreement. This will probably cost you about the same as creating an entirely new revocable...
by kaneohe
Sat Nov 29, 2008 3:20 pm
Forum: Investing - Help with Personal Investments
Topic: IRA Conversion Tax Issue
Replies: 26
Views: 4724

Seems like you might still end up paying less tax than if you let the original conversion stand? So is the lesson then to always put the conversion into it's own quarantine account until you know there is no disease at year end after which you can then commingle with the pre-existing Roth? As I ment...
by kaneohe
Sat Nov 29, 2008 10:56 am
Forum: Personal Finance (Not Investing)
Topic: Living Trust
Replies: 26
Views: 6922

If I understand your question correctly, you (or the subject of your question) already had an A-B living revocable(?) trust w/spouse and now want to divide the estate into the A & B parts? If that is the question.....I haven't done it myself but it seems possible esp. if the estate is not is not lar...
by kaneohe
Sat Nov 29, 2008 2:01 am
Forum: Investing - Help with Personal Investments
Topic: IRA Conversion Tax Issue
Replies: 26
Views: 4724

another interesting page about calculating earnings http://www.definerothira.com/roth-ira-recharacterization.html seems like in the simple case of no distributions, whether you keep the conversion as a separate account or combine it w/ an existing account , the earnings (loss) would be the same if t...
by kaneohe
Fri Nov 28, 2008 9:00 pm
Forum: Personal Finance (Not Investing)
Topic: Living Trust
Replies: 26
Views: 6922

There probably are some useful books in the public library about administering trusts. I've thumbed through one but not actually studied it but it seemed useful.
by kaneohe
Fri Nov 28, 2008 11:13 am
Forum: Investing - Help with Personal Investments
Topic: IRA Conversion Tax Issue
Replies: 26
Views: 4724

another interesting article http://www.rothira-advisor.com/rothira_uncertainty.htm My impression from the Ed Slott thread is that the issue has to do w/ earnings that have to be taken into account when undoing(recharacterizing) the Roth conversion. If the conversion had been done into a separate acc...
by kaneohe
Fri Nov 28, 2008 9:58 am
Forum: Investing - Help with Personal Investments
Topic: IRA Conversion Tax Issue
Replies: 26
Views: 4724

here's something from the WSJ. Basically says the same thing as the Fairmark citation but is probably not an independent source since Kaye Thomas of Fairmark is quoted. Some interesting things about timing though at the end of the quote. Do It Over The solution is a temporary switch back to a tradit...
by kaneohe
Fri Nov 28, 2008 9:41 am
Forum: Investing - Help with Personal Investments
Topic: IRA Conversion Tax Issue
Replies: 26
Views: 4724

I actually found and slugged my way thru that thread on Ed Slott's site but it was late at nite after the turkey so I'm sure I didn't absorb all of it. Alan O. must be a pretty patient guy. I've never done a conversion/recharacterization; only a contribution/recharacterization....and I've never done...
by kaneohe
Thu Nov 27, 2008 6:38 pm
Forum: Investing - Help with Personal Investments
Topic: IRA Conversion Tax Issue
Replies: 26
Views: 4724

http://www.fairmark.com/rothira/rctop.htm

I just took a quick look but it doesn't sound like what you describe.....just an undo and then you can redo the conversion
with the lower value and tax consequence. See if you have the same impression.
by kaneohe
Wed Nov 26, 2008 9:19 am
Forum: Investing - Help with Personal Investments
Topic: Mother of All Tax Loss Harvesting Threads
Replies: 247
Views: 65108

Even if the wash sale rule applied, I would guess there would be 0 impact. I think the term "partial wash sale" should be used more often since that is real effect . The TLH doesn't get totally negated ---it gets "undone" only to the extent of the "interfering" transaction. Since your 20K sale presu...
by kaneohe
Tue Nov 25, 2008 11:55 pm
Forum: Investing - Help with Personal Investments
Topic: $3000 per year against income
Replies: 17
Views: 3382

Tom,

Thanks for the detailed explanation. For now I am happy to be in the neighborhood of being on the right track and will have to wait until I have a clear mind capable of absorbing knowledge before I read your post again.
by kaneohe
Tue Nov 25, 2008 8:14 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Time and Need to Figure Out Cap Gains
Replies: 8
Views: 1591

If you cannot retrieve the records or determine a resonable estimate of your cost basis the "safest" (from an IRS viewpoint) is to claim a zero cost basis. And actually, for many stocks held since 1970 this may not be far from actual. For example, The adjusted purhase price for General Electric sto...
by kaneohe
Tue Nov 25, 2008 6:39 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Time and Need to Figure Out Cap Gains
Replies: 8
Views: 1591

there's a historical quote button. Click that, enter symbol,
and date:


http://bigcharts.marketwatch.com/histor ... &x=17&y=23

hopefully that link worked for a 1973 quote
by kaneohe
Tue Nov 25, 2008 6:25 pm
Forum: Investing - Help with Personal Investments
Topic: $3000 per year against income
Replies: 17
Views: 3382

Just to keep things in a bit of perspective, we are talking about losses not benefiting a taxpayer, but if there is no benefit, then it may be that the loss can still carryforward as unused. Fairmark offers a discussion of the topic under their presentation of the kiddie tax where this would happen...
by kaneohe
Tue Nov 25, 2008 10:11 am
Forum: Investing - Help with Personal Investments
Topic: $3000 per year against income
Replies: 17
Views: 3382

You can use up to $3,000 in excess capital losses (short and long) per year. If your excess capital losses exceed $3,000, you can carry over the remainder into future years. The $3,000 limit is per return, not per person. Interesting question....I guess I've known this in the back of my mind but ne...
by kaneohe
Tue Nov 25, 2008 9:47 am
Forum: Personal Finance (Not Investing)
Topic: Tax Time and Need to Figure Out Cap Gains
Replies: 8
Views: 1591

You might try bigcharts.com
I don't know if it will go back as far as you want but it did for this one on HPQ

http://bigcharts.marketwatch.com/quickc ... =2&time=20
by kaneohe
Tue Nov 25, 2008 12:42 am
Forum: Investing - Help with Personal Investments
Topic: Can I contribute? Traditional IRA tax issue
Replies: 6
Views: 1386

I'm not sure what you're really asking but I'm guess you're wondering if you can deduct your IRA contribution. The text below says that if you were covered by 401K for ANY part of the yr, your deduction may be limited. Your OP suggests that you're above the IRS limits for deducting so probably you c...
by kaneohe
Mon Nov 24, 2008 10:37 pm
Forum: Investing - Help with Personal Investments
Topic: The saga of SSA Form 521 and Medicare premiums-LONG
Replies: 37
Views: 7602

Hi nonnie, If you could shorten your post, by about 75%, you would get more responses. Just hit the essential points, and leave out the details. Or perhaps have an executive summary at the beginning w/ all the gory details later for the hardy ones. I confess to not reading much of OP but think I ha...
by kaneohe
Mon Nov 24, 2008 10:16 pm
Forum: Investing - Theory, News & General
Topic: TLH - It's Not for Everybody
Replies: 81
Views: 14452

tfb wrote: I stand corrected then, although I did say "taxable income." This is confirmed by the capital gains worksheet in Form 1040 Instructions, page 38.
Yes, sorry, I jumped after the second sentence instead of carefully reading the fourth. Sometimes the fingers are faster than the brain.
by kaneohe
Mon Nov 24, 2008 10:10 pm
Forum: Investing - Theory, News & General
Topic: TLH - It's Not for Everybody
Replies: 81
Views: 14452

Re: Factors to consider when tax-loss harvesting

If we don't harvest tax-losses when available, they may be gone forever. Taylor, you've stated this point a number of times but I don't get it. Can you please elaborate? I think what he means is that TLH can be advantageous for some, perhaps most on this board, esp. if you're above the 15% bracket....
by kaneohe
Mon Nov 24, 2008 9:54 pm
Forum: Investing - Theory, News & General
Topic: TLH - It's Not for Everybody
Replies: 81
Views: 14452

Yes I get to write off $3k of ordinary income but I incur an extra $3k of capital gains some time in the future because I’ve lowered the basis in the capital asset. Even this statement is not that simple. It is contingent on actually selling the position. Depending on how you manage your assets, yo...
by kaneohe
Mon Nov 24, 2008 4:46 pm
Forum: Investing - Theory, News & General
Topic: TLH - It's Not for Everybody
Replies: 81
Views: 14452

Another important point is that the new (2008 - 2010) 0% CG rate for folks in the 15% and lower bracket is a unique opportunity (limited 3 year window) for millions of folks to reduce taxes. They can lock in gains on long held stocks that have huge gains (real life example: stock bought in 1983 wit...
by kaneohe
Mon Nov 24, 2008 3:29 pm
Forum: Investing - Theory, News & General
Topic: TLH - It's Not for Everybody
Replies: 81
Views: 14452

Please help me understand the issues. If I take capital losses I carry them over to future years to the extent that they exceed this year’s gain. In any future year that any capital gains do not exceed my loss carry over I get to write off ordinary income up to $3k a year. Also I have more flexibil...
by kaneohe
Mon Nov 24, 2008 9:37 am
Forum: Investing - Help with Personal Investments
Topic: Questions about TLH
Replies: 3
Views: 861

It would be useful to try to read and understand this

http://www.bogleheads.org/forum/viewtop ... 1227508819

The answer seems to be: it depends....on your specific situation esp. in the 15% bracket.
by kaneohe
Sun Nov 23, 2008 2:40 pm
Forum: Investing - Theory, News & General
Topic: TLH - It's Not for Everybody
Replies: 81
Views: 14452

sewall, I think OP's point is that if you have CG and are in the 15% bracket (with 0 % CG rate), then when you use TLH to offset those CG, you are basically "wasting" the TLH used for that purpose since the tax would be 0 anyway. You still get the benefit of the gain on the 3K loss if you have other...
by kaneohe
Sun Nov 23, 2008 12:51 pm
Forum: Investing - Theory, News & General
Topic: TLH - It's Not for Everybody
Replies: 81
Views: 14452

Re: low tax brackets

TLH can still make sense for those of us in the lower tax brackets. There are some very sensitive numbers that we need to pay attention to, like the savers' credit limit, traditional IRA deductibility limit, HOPE credit limit, etc. Just $1 in income either way can have a huge effect on tax liabilit...
by kaneohe
Sun Nov 23, 2008 12:46 pm
Forum: Investing - Theory, News & General
Topic: TLH - It's Not for Everybody
Replies: 81
Views: 14452

Doc wrote:The paper Taylor referenced is from 2001. The thesis of the OP is how TLH affects people in the 15% bracket who currently enjoy a zero capital gains tax rate which didn't exist in 2001.
Doc,

appreciate the succinct summary. Thanks.
by kaneohe
Sun Nov 23, 2008 9:46 am
Forum: Investing - Theory, News & General
Topic: TLH - It's Not for Everybody
Replies: 81
Views: 14452

Re: TLH - It's Not for Everybody

SL-----still another great educational thread on this subject. I think it is needed to provide some balance. A few minor comments. I quoted a small excerpt below: for alternate 1, I think you should add the phrase "and the additional 3K allowed per year" since you appear to be offsetting not only th...
by kaneohe
Sun Nov 23, 2008 1:21 am
Forum: Investing - Help with Personal Investments
Topic: TLH - Why lock in losses this year?
Replies: 11
Views: 2554

kaneohe I could not agree more. For example at age 80 I will not live long enough to off set income at $3000 per year, with all the losses I have now. For the next three years in the 15% bracket I will have 0 taxes within the limits stated by the IRS. TLH for a younger person, I can see more advant...
by kaneohe
Sat Nov 22, 2008 4:24 pm
Forum: Investing - Help with Personal Investments
Topic: taylor, tax loss harvesting question.
Replies: 52
Views: 9572

Quote - Taylor: All I am saying is that when you purchase a taxable fund it is better to do it after the Ex-Dividend date. Question: I am confused with the above statement, I will receive my 401K rollover check soon and ready to invest in mutual fund. Should I wait until ex-deviden date (aka end of...
by kaneohe
Sat Nov 22, 2008 2:16 pm
Forum: Investing - Help with Personal Investments
Topic: TLH - Why lock in losses this year?
Replies: 11
Views: 2554

Re: TLH - Why lock in losses this year?

I know there are tons of posts about TLH, but would someone please help me understand why I would want to take more than $3000 in realized losses this year? I already have $3k locked in, and could take 5-6 years more of losses, but why not just take the $3k each year, meaning next year I sell and l...
by kaneohe
Sat Nov 22, 2008 1:07 am
Forum: Personal Finance (Not Investing)
Topic: SS Service Center
Replies: 21
Views: 3048

Re: SS Service Center

SSA uses one phone number for the entire USA. A good thing. We have a local SS office in our area. However, they usually will not even answer the telephone. In our experience, this office is mostly disfunctional. It is very frustrating to deal with them. Jeff Try calling the national number. They h...
by kaneohe
Thu Nov 20, 2008 4:19 pm
Forum: Investing - Help with Personal Investments
Topic: TLHing UGMA account
Replies: 5
Views: 1002

EmergDoc, The point is, TLH might be good -- but it might not be as useful to a minor. Of course, this depends on the amount of money in the account, the extent of any future gains, the amount of the withdrawals, and the amount of tuition. Just something else to think about. :) Bob Not only might i...
by kaneohe
Thu Nov 20, 2008 9:21 am
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting
Replies: 7
Views: 1883

here's something from another thread: Still Learning Joined: 18 Sep 2008 Posts: 7 Posted: Wed Nov 19, 2008 2:33 pm Post subject: As mentioned in my earlier post, tax lost harvesting may not be in the best interest for some folks. This could be especially true for early retirees who are in the 15% or...
by kaneohe
Thu Nov 20, 2008 8:35 am
Forum: Investing - Help with Personal Investments
Topic: TLH with mutual funds
Replies: 1
Views: 702

I have the feeling that most would agree that funds based on the same index would be a problem for a wash sale (even if in different fund families)and that actively managed funds would not be a problem. There is some controversy about whether the components of an index (e.g. growth/value) would be s...
by kaneohe
Wed Nov 19, 2008 6:23 pm
Forum: Investing - Help with Personal Investments
Topic: taylor, tax loss harvesting question.
Replies: 52
Views: 9572

As mentioned in my earlier post, tax lost harvesting may not be in the best interest for some folks. This could be especially true for early retirees who are in the 15% or lower tax bracket. For example Case 1 Married couple sells long held stock XXX with a $50,000 LT capital gain. Taxable income, ...
by kaneohe
Sun Nov 16, 2008 12:51 pm
Forum: Investing - Help with Personal Investments
Topic: Mother of All Tax Loss Harvesting Threads
Replies: 247
Views: 65108

Suppose taxable income is in the 15% bracket and includes some net taxable LTCG . My understanding is that these LTCG are taxed at 0%? If true, then wouldn't doing some TLH be wasted since it would have to be applied against the gains first and produce no additional benefit until the losses got larg...
by kaneohe
Sun Nov 16, 2008 10:58 am
Forum: Investing - Help with Personal Investments
Topic: Mother of All Tax Loss Harvesting Threads
Replies: 247
Views: 65108

Suppose taxable income is in the 15% bracket and includes some net taxable LTCG . My understanding is that these LTCG are taxed at 0%? If true, then wouldn't doing some TLH be wasted since it would have to be applied against the gains first and produce no additional benefit until the losses got larg...
by kaneohe
Fri Nov 14, 2008 9:04 am
Forum: Investing - Help with Personal Investments
Topic: A Few Tax loss Questions
Replies: 5
Views: 1314

Re: A Few Tax loss Questions

2) Do I have to sell all of my shares? For instance can I keep the shares from 2008 and sell the shares from 2006 and write off that loss? You are free to do that. But you have to wait 30 days after your last purchase. Is that accurate? Couldn't the investor still sell before the 30 days since the ...
by kaneohe
Sun Nov 09, 2008 10:37 am
Forum: Investing - Theory, News & General
Topic: Can Someone Confirm (TLH)?
Replies: 10
Views: 2775

"In my Vanguard All World Except...(VFWIX) in taxable, I do an automatic investment of $100 each on the 5th and 24th of every month. In order for me to TLH without triggering a wash sale, do I then leave the shares I purchased October 24th & November 4th in VFWIX and exchange the rest into Vanguard ...
by kaneohe
Sat Nov 08, 2008 8:52 pm
Forum: Investing - Help with Personal Investments
Topic: AMT affects who? (alternative minimum tax)
Replies: 7
Views: 2324

Possibly you may be on the border.....I tried the Block calculator and got a small 5K AMT w/ 131K regular tax. As pointed out above, this was a 2007 calculator. I tried the calculator at dinkytown.com which is a 2008 estimator (can't vouch for accuracy) and it showed no AMT. I have been unable to ge...
by kaneohe
Fri Nov 07, 2008 10:36 pm
Forum: Investing - Help with Personal Investments
Topic: 1st Time TLH’er with questions
Replies: 10
Views: 1990

from fairmark.com If you do nothing If you sell shares that are held in a brokerage account and don't take action to specify which shares you are selling, the tax law treats you as if you sold the first shares you acquired. This rule is sometimes called the first-in, first-out rule, or the FIFO rule...
by kaneohe
Fri Nov 07, 2008 9:19 am
Forum: Investing - Theory, News & General
Topic: Investing with an eye towards taxes
Replies: 6
Views: 1470

by kaneohe
Thu Nov 06, 2008 4:35 pm
Forum: Investing - Help with Personal Investments
Topic: selling specific shares -- did I screw this up?
Replies: 9
Views: 2201

check this out: http://fairmark.com/capgain/ident.htm You also need to get a timely confirmation from VG that you gave them, before the trade, instructions on which specific shares you were selling. Ask for a date/time stamped copy of your instructions. All fund companies that I have dealt with (w/ ...