Search found 5311 matches

by kaneohe
Fri Jan 04, 2019 9:34 am
Forum: Personal Finance (Not Investing)
Topic: Quarterly Taxes Question
Replies: 5
Views: 745

Re: Quarterly Taxes Question

Welcome to the (Sch)AI club. Whether you pay a penalty or not depends on when you earned that K-1 income and all the other income this yr. Take a look at F2210 and its Sch AI............you may never want to see it again :happy Your state may have a similar form. If you earned the K-1 income in Q4 y...
by kaneohe
Fri Jan 04, 2019 9:18 am
Forum: Investing - Help with Personal Investments
Topic: Am I forced to use Tax Loss Harvest offsets this year?
Replies: 4
Views: 474

Re: Am I forced to use Tax Loss Harvest offsets this year?

https://www.irs.gov/pub/irs-prior/i1040sd--2018.pdf#page=11 Please be aware of this worksheet in the future. With the older tax law you were forced to use your carryover losses. However if your income was low enough even though you had to use it, you didn't necessarily lose all or even part of it. ...
by kaneohe
Wed Jan 02, 2019 6:33 pm
Forum: Personal Finance (Not Investing)
Topic: Does alimony count as income for IRA
Replies: 15
Views: 1920

Re: Does alimony count as income for IRA

For divorces effective in 2019 (but not before unless amended), alimony is no longer taxable so Pub 590 A is now out of date with respect to alimony being a source of taxable compensation. Alan -- the Pub 590 language does not seem to me to be out date. It does not say that alimony is a source of t...
by kaneohe
Wed Jan 02, 2019 3:14 pm
Forum: Investing - Help with Personal Investments
Topic: Paying taxes on Roth conversion made in 2019
Replies: 21
Views: 1485

Re: Paying taxes on Roth conversion made in 2019

Thank you for your help. Since my tax liability in 2017 was small and my earned income credit was large, when I add Line 1, 2, and 3 (making 3 negative), it gives me a large negative number on Line 4 . If it is negative for 2017, what does that mean for me for my 2018 return? Calculating for 2018 i...
by kaneohe
Wed Jan 02, 2019 2:00 pm
Forum: Personal Finance (Not Investing)
Topic: Does alimony count as income for IRA
Replies: 15
Views: 1920

Re: Does alimony count as income for IRA

For divorces effective in 2019 (but not before unless amended), alimony is no longer taxable so Pub 590 A is now out of date with respect to alimony being a source of taxable compensation. Alan -- the Pub 590 language does not seem to me to be out date. It does not say that alimony is a source of t...
by kaneohe
Wed Jan 02, 2019 11:52 am
Forum: Investing - Help with Personal Investments
Topic: Paying taxes on Roth conversion made in 2019
Replies: 21
Views: 1485

Re: Paying taxes on Roth conversion made in 2019

Thanks for the reply. So for 2018, we did a small Roth conversion of $13,000.00 just a couple days ago and also did a $3500.00 SEP IRA conversion to a Roth this year. My wife basically had no federal tax withheld due to her income and her pretax HSA contributions, 403b, and medical premiums. Becaus...
by kaneohe
Tue Jan 01, 2019 10:08 pm
Forum: Investing - Help with Personal Investments
Topic: Paying taxes on Roth conversion made in 2019
Replies: 21
Views: 1485

Re: Paying taxes on Roth conversion made in 2019

Just be sure you understand that your tax liability for the yr is the total tax for the yr. Sometimes folks misunderstand it to be what is owed in April.
by kaneohe
Tue Jan 01, 2019 8:02 am
Forum: Investing - Theory, News & General
Topic: Calculating MAGI for 2018 accurately
Replies: 6
Views: 810

Re: Calculating MAGI for 2018 accurately

................................... I understand you're saying I get the AGI from my 1040. But I probably won't be doing my taxes until March. I take it, in order to know my AGI (and MAGI) I will have to do my taxes really early this year? ....................................................... The...
by kaneohe
Tue Jan 01, 2019 12:03 am
Forum: Investing - Theory, News & General
Topic: Calculating MAGI for 2018 accurately
Replies: 6
Views: 810

Re: Calculating MAGI for 2018 accurately

There are many MAGIs and you don't specify which one you are interested in nor do you provide enough info to be sure but I will guess from your OP that you are interested in the Roth IRA contribution MAGI and you are single (not MFJ anyway. If so, the MAGI you are interested in can be found: Pub 590...
by kaneohe
Mon Dec 31, 2018 12:37 pm
Forum: Investing - Help with Personal Investments
Topic: More TLH questions...(pl help!)
Replies: 22
Views: 1183

Re: More TLH questions...(pl help!)

I'm about to TLH, and I'm upping this to confirm if the my understanding of my loss-profit mix case is correct. Thanks in advance ! Hopefully this post will bump you to the top and catch livesoft's eye. I'm wondering if it wouldn't be simpler just to sell all and start fresh. You wouldn't have to d...
by kaneohe
Mon Dec 31, 2018 8:18 am
Forum: Personal Finance (Not Investing)
Topic: Taxes incorrectly withheld - avoiding penalties
Replies: 9
Views: 652

Re: Taxes incorrectly withheld - avoiding penalties

..................................................................... Be aware that Form 2210 - "AI" is like doing your taxes 5 times - once per quarter, and then once for the year. An awful procedure. Sch AI has 4 "quarterly" columns but the last column covers the whole yr so it is the same as the...
by kaneohe
Mon Dec 31, 2018 8:10 am
Forum: Personal Finance (Not Investing)
Topic: Taxes incorrectly withheld - avoiding penalties
Replies: 9
Views: 652

Re: Taxes incorrectly withheld - avoiding penalties

...of course, if what was withheld throughout the year was at least 100% of your entire last-year 2017 tax (or 110% if you're a high earner), then there's no penalty. You pay the tax when you file by Apr 15. and perhaps combine both of your responses.........if the lesser safe harbor is 100% (or 11...
by kaneohe
Mon Dec 31, 2018 7:53 am
Forum: Personal Finance (Not Investing)
Topic: Does personal holding period apply to Long Term Capital Gains distributions?
Replies: 9
Views: 734

Re: Does personal holding period apply to Long Term Capital Gains distributions?

Since I don't have any STCG, I wonder if IRS would care if I report as if I didn't know about the rule. The TLH on the ST holdings would be swamped by the other LTCGs and it would make no difference if the TLH was ST or LT so the tax would be the same and no adjusting would be required. If IRS got f...
by kaneohe
Mon Dec 31, 2018 7:29 am
Forum: Personal Finance (Not Investing)
Topic: Does personal holding period apply to Long Term Capital Gains distributions?
Replies: 9
Views: 734

Re: Does personal holding period apply to Long Term Capital Gains distributions?

................................................................ Q. Internal Revenue Code Section 852(b)(4) provides special rules regarding losses on the sale of mutual fund shares held for 6 months or less. Specifically, if a taxpayer holds shares of a mutual fund for 6 months or less and then se...
by kaneohe
Sun Dec 30, 2018 10:54 pm
Forum: Personal Finance (Not Investing)
Topic: Help with calculating MAGI
Replies: 1
Views: 358

Re: Help with calculating MAGI

which MAGI are you concerned about? Have a link to the IRS doc you mentioned......what pg. , etc.?
by kaneohe
Sun Dec 30, 2018 10:43 am
Forum: Personal Finance (Not Investing)
Topic: Ally No Penalty CDs and Taxes
Replies: 11
Views: 1243

Re: Ally No Penalty CDs and Taxes

Do no penalty CDs get put on the 1099 at yr end or only at maturity?
by kaneohe
Sun Dec 30, 2018 8:57 am
Forum: Investing - Help with Personal Investments
Topic: More TLH questions...(pl help!)
Replies: 22
Views: 1183

Re: More TLH questions...(pl help!)

The examples in Pub 550 are very good. Don't know what your situation is like but often the IRA is smaller than taxable. If you have an efficient index fund the distributions are relatively small. Suppose you don't have auto-reinvestment in taxable but do in the IRA. You TLH 100 sh in taxable and ha...
by kaneohe
Sat Dec 29, 2018 8:14 pm
Forum: Investing - Help with Personal Investments
Topic: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.
Replies: 33
Views: 1842

Re: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.

........................................ There are two 5 year periods. One for contributions and one for conversions. .............................................................. There is NO 5 yr clock for contributions which may withdrawn at any time w/o tax/penalty. I was just referencing Kitce...
by kaneohe
Sat Dec 29, 2018 6:24 pm
Forum: Investing - Help with Personal Investments
Topic: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.
Replies: 33
Views: 1842

Re: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.

........................................ There are two 5 year periods. One for contributions and one for conversions. .............................................................. There is NO 5 yr clock for contributions which may withdrawn at any time w/o tax/penalty. I was just referencing Kitce...
by kaneohe
Sat Dec 29, 2018 5:36 pm
Forum: Personal Finance (Not Investing)
Topic: Do Roth distributions affect MAGI?
Replies: 16
Views: 1485

Re: Do Roth distributions affect MAGI?

This is another case of having to know exactly what your Roth IRA basis amount is before taking a distribution . Basis equals your regular contributions plus your conversion contributions less amounts you have distributed in the past (reported on Form 8606 Part III). Basis comes out before any of y...
by kaneohe
Sat Dec 29, 2018 4:12 pm
Forum: Investing - Help with Personal Investments
Topic: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.
Replies: 33
Views: 1842

Re: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.

........................................ There are two 5 year periods. One for contributions and one for conversions. .............................................................. There is NO 5 yr clock for contributions which may withdrawn at any time w/o tax/penalty. The kawill table was created...
by kaneohe
Sat Dec 29, 2018 3:57 pm
Forum: Personal Finance (Not Investing)
Topic: Help with RMD
Replies: 30
Views: 2305

Re: Help with RMD

......................................... For me, it's easier to think about QCDs separately from RMDs. If we're talking about charitable contributions in 2019, the first question I'd ask myself is whether or not I want to make a charitable contribution in 2019; if so, do I want to take it from an ...
by kaneohe
Sat Dec 29, 2018 3:42 pm
Forum: Investing - Help with Personal Investments
Topic: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.
Replies: 33
Views: 1842

Re: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.

Remember that contributions to Roth IRAs (i.e. $ you already paid tax on) can always be taken out without penalty. It's the accumulated earnings on the contributions that one has to be thoughtful about. Here 's a brief summary of the rules, although the IRS publications are of course the more defin...
by kaneohe
Sat Dec 29, 2018 2:37 pm
Forum: Investing - Help with Personal Investments
Topic: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.
Replies: 33
Views: 1842

Re: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.

Remember that contributions to Roth IRAs (i.e. $ you already paid tax on) can always be taken out without penalty. It's the accumulated earnings on the contributions that one has to be thoughtful about. Here 's a brief summary of the rules, although the IRS publications are of course the more defin...
by kaneohe
Sat Dec 29, 2018 12:48 pm
Forum: Personal Finance (Not Investing)
Topic: Estimated Tax Payment Question
Replies: 18
Views: 1423

Re: Estimated Tax Payment Question

.................................................................................... I actually went through Form 2210 and its AI worksheet and it did show small estimated tax payments due for the first 3 quarters. But had I not lost the ACA Subsidy (credit), I never would have gotten to the AI wor...
by kaneohe
Sat Dec 29, 2018 12:36 pm
Forum: Investing - Help with Personal Investments
Topic: Tax Loss Harvest Help
Replies: 8
Views: 594

Re: Tax Loss Harvest Help

If you take all of the loss, the excess can be used in the future either against cap gains (unlimited) or against ordinary income (3K/yr). Possible alternates (not familiar w/ETFs but there might be some there) for SWTSX (total stock market) are SWPPX (S&P 500) and Schwab 1000 (SNXFX). If you reinve...
by kaneohe
Sat Dec 29, 2018 12:21 pm
Forum: Personal Finance (Not Investing)
Topic: Estimated Tax Payment Question
Replies: 18
Views: 1423

Re: Estimated Tax Payment Question

.................................................................................... I actually went through Form 2210 and its AI worksheet and it did show small estimated tax payments due for the first 3 quarters. But had I not lost the ACA Subsidy (credit), I never would have gotten to the AI wor...
by kaneohe
Sat Dec 29, 2018 11:30 am
Forum: Personal Finance (Not Investing)
Topic: Do Roth distributions affect MAGI?
Replies: 16
Views: 1485

Re: Do Roth distributions affect MAGI?

Here's an interesting IRS tool https://www.irs.gov/help/ita/am-i-eligible-to-claim-an-education-credit It is a long-winded way to find out that MAGI = AGI for this purpose but you gain some respect for how complex things can be because of the umpteen questions you get asked before they ask for your ...
by kaneohe
Sat Dec 29, 2018 10:36 am
Forum: Personal Finance (Not Investing)
Topic: A-B Joint Living Revocable Trust Assets and Beneficiaries
Replies: 1
Views: 191

Re: A-B Joint Living Revocable Trust Assets and Beneficiaries

While you're waiting for the real answer from bsteiner : https://www.naylaw.com/blog/happens-joint-revocable-living-trust-one-spouse-dies-estate-planning-attorney-portland-oregon/ https://www.calcpa.org/public-resources/ask-a-cpa/home-property/tax-issues/do-i-get-a-step-up-on-my-securities-on-the-de...
by kaneohe
Sat Dec 29, 2018 9:58 am
Forum: Personal Finance (Not Investing)
Topic: QCD, RMD, and Roth conversions
Replies: 36
Views: 1203

Re: QCD, RMD, and Roth conversions

......................................... https://www.schwab.com/public/file/P-1939120/APP20071-fill.pdf ..................................................... You'd fill out one form for each charity. .................................................. Wow...........I'd dread the thought of filling ...
by kaneohe
Sat Dec 29, 2018 12:32 am
Forum: Personal Finance (Not Investing)
Topic: QCD, RMD, and Roth conversions
Replies: 36
Views: 1203

Re: QCD, RMD, and Roth conversions

Slightly different question to the knowledgeable group following this thread: I turn 70 in September and 70.5 in March of the following year. The December 31 balance in my IRA determines my RMD. I'd like to do QCDs of the entire amount of my RMD, but not all to the same charity. Is this possible? I...
by kaneohe
Fri Dec 28, 2018 10:15 pm
Forum: Personal Finance (Not Investing)
Topic: QCD, RMD, and Roth conversions
Replies: 36
Views: 1203

Re: QCD, RMD, and Roth conversions

Slightly different question to the knowledgeable group following this thread: I turn 70 in September and 70.5 in March of the following year. The December 31 balance in my IRA determines my RMD. I'd like to do QCDs of the entire amount of my RMD, but not all to the same charity. Is this possible? I...
by kaneohe
Fri Dec 28, 2018 8:26 pm
Forum: Personal Finance (Not Investing)
Topic: Estimated Tax Payment Question
Replies: 18
Views: 1423

Re: Estimated Tax Payment Question

............................................................... But the distribution was huge, and it wasn't known until the estimates came out in November; the actual amount wasn't known until 2 days ago. The IRS can't expect me to be a seer, which is what I would claim if they claimed I owed a pe...
by kaneohe
Fri Dec 28, 2018 6:06 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Ira Contribution Help
Replies: 5
Views: 255

Re: Roth Ira Contribution Help

EL is correct but you must be very clear that you are withdrawing the specific contributions for the current year (& associated earnings). If you just withdraw funds, they will come from contributions first but not specifically that yr so you will not be able to re-contribute..........so making sure...
by kaneohe
Fri Dec 28, 2018 6:01 pm
Forum: Personal Finance (Not Investing)
Topic: TLH @Schwab
Replies: 3
Views: 282

TLH @Schwab

Anyone done TLH at Schwab recently? In past yrs, I had done it by selling shares w/ Telebroker and then calling in before market close and giving the specific shares to the rep. Confirmation of those specific shares was then sent to me w/ the trade confirmation. The process was as directed to me by ...
by kaneohe
Fri Dec 28, 2018 1:52 pm
Forum: Investing - Help with Personal Investments
Topic: What are some disadvantages to TLH?
Replies: 51
Views: 2646

Re: What are some disadvantages to TLH?

the biggest disadvantage I see is a loss is permanent. you can not recover those lost dollars. this may put more pressure to obtain outsized gains in the future to "make up" for these losses. you have to do what you can live with. but, lost dollars can never be regained. If you are switching from o...
by kaneohe
Fri Dec 28, 2018 1:06 pm
Forum: Personal Consumer Issues
Topic: Equifax - Free Annual Credit Report - Snail Mail Questions
Replies: 6
Views: 460

Re: Equifax - Free Annual Credit Report - Snail Mail Questions

My impression is that they come pretty fast. Haven't really tracked so no data but I doubt it was 3 wks.
by kaneohe
Fri Dec 28, 2018 9:30 am
Forum: Investing - Help with Personal Investments
Topic: Wow, I suck at TLH!
Replies: 17
Views: 1936

Re: Wow, I suck at TLH!

LiveSimple wrote:
Fri Dec 28, 2018 9:17 am
Does the wash sale rule apply irrespective if the amount ?

Let us say I sell 100 units and unknowingly bought 10 units later within 30 days, do I still get the TLH for 90 units ?
yes but the good thing is that it works as you think ........so it is not a cliff effect but graded.....fortunately.
by kaneohe
Fri Dec 28, 2018 9:04 am
Forum: Investing - Help with Personal Investments
Topic: Wow, I suck at TLH!
Replies: 17
Views: 1936

Re: Wow, I suck at TLH!

Post a big reminder on your phone/computer about your TLHs.......date/security .......and a big warning DON"T BUY until after date.........yes, easy for the whirlwind to overcome you in the heat of action.
by kaneohe
Fri Dec 28, 2018 8:52 am
Forum: Personal Finance (Not Investing)
Topic: Capital gains federal and state worksheet
Replies: 6
Views: 577

Re: Capital gains federal and state worksheet

........................................ I don't use a spreadsheet for my own carryovers; I just copy the federal number from the previous year's Schedule D. However, I have a capital gain in my HSA this year, so in all future years, my CA and federal loss carryovers will be different, and I will n...
by kaneohe
Fri Dec 28, 2018 8:41 am
Forum: Personal Finance (Not Investing)
Topic: Estimated Tax Payment Question
Replies: 18
Views: 1423

Re: Estimated Tax Payment Question

................................. ........................................... I did not file any 2210 form. I had no problem and have used this safe harbor provision a few times over the years. ........................................... I know someone who did not withhold or pay estimated taxes. E...
by kaneohe
Fri Dec 28, 2018 1:32 am
Forum: Investing - Help with Personal Investments
Topic: TLH: Avoiding wash sale with recent IRA investments
Replies: 9
Views: 772

Re: TLH: Avoiding wash sale with recent IRA investments

..................................................... Question 3: If we do decide to TLH this year, how is the disallowed loss calculated? The purchases within the past 30 days in both our Roth IRAs and our taxable account were on multiple dates, at multiple share prices. Similarly, the taxable sha...
by kaneohe
Fri Dec 28, 2018 1:01 am
Forum: Personal Finance (Not Investing)
Topic: Estimated Tax Payment Question
Replies: 18
Views: 1423

Re: Estimated Tax Payment Question

................................. ........................................... I did not file any 2210 form. I had no problem and have used this safe harbor provision a few times over the years. ........................................... I know someone who did not withhold or pay estimated taxes. E...
by kaneohe
Thu Dec 27, 2018 11:57 pm
Forum: Personal Finance (Not Investing)
Topic: Estimated Tax Payment Question
Replies: 18
Views: 1423

Re: Estimated Tax Payment Question

................................................ or if they paid withholding and estimated tax of at least 90% of the tax for the current year or 100% of the tax shown on the return for the prior year, whichever is smaller. [/i] If there is an estimated tax component, IRS wants it to be in equal "q...
by kaneohe
Thu Dec 27, 2018 10:41 pm
Forum: Personal Finance (Not Investing)
Topic: Estimated Tax Payment Question
Replies: 18
Views: 1423

Re: Estimated Tax Payment Question

OP should check to see if the prior yr safe harbor can be used (100% of prior yr tax.....or 110% if AGI>150K). If withholding covers that safe harbor, then the balance can be paid in April with the tax return. If not, an estimated tax payment by Jan.15 will probably minimize ,if not eliminate any pe...
by kaneohe
Thu Dec 27, 2018 7:32 pm
Forum: Personal Finance (Not Investing)
Topic: Capital gains federal and state worksheet
Replies: 6
Views: 577

Re: Capital gains federal and state worksheet

1) https://www.ftb.ca.gov/forms/2017/17_540cains.pdf Adjustment for for CA. check out the instructions for line 13 (CG). Apparently it is possible to have different basis for fed/CA but I am not familiar with them. Most seem to deal w/ business-related assets but they also mention stocks/bonds which...
by kaneohe
Thu Dec 27, 2018 9:04 am
Forum: Personal Finance (Not Investing)
Topic: Does Rollover IRA investment count as replacement shares producing wash sale?
Replies: 20
Views: 1136

Re: Does Rollover IRA investment count as replacement shares producing wash sale?

............................ (I would prefer to keep VTSAX in this account per our Investor Policy Statement rather than sell and buy a different index fund). I am aware that purchases in an IRA normally trigger a wash sale.......................... Perhaps some flexibility in this case would be us...
by kaneohe
Thu Dec 27, 2018 8:38 am
Forum: Personal Finance (Not Investing)
Topic: Capital gains federal and state worksheet
Replies: 6
Views: 577

Re: Capital gains federal and state worksheet

1) For normal situations in a taxable acct. , the gains/losses on typical stock/fund transactions would be the same. Here is what the instructions for Sch CA (540) say for line 13 (capital gains): Line 13 – Capital Gain or (Loss) Generally, no adjustments are made on this line . California taxes lon...
by kaneohe
Wed Dec 26, 2018 9:33 am
Forum: Investing - Help with Personal Investments
Topic: Roth Ira losses
Replies: 13
Views: 1364

Re: Roth Ira losses

............................................................ and possibly not allowed. ............................................ https://www.irs.gov/retirement-plans/ira-faqs-recharacterization-of-ira-contributions Recharacterization of contributions are allowed. Recharacterization of conversion...