Search found 1776 matches

by Chip
Wed Nov 29, 2017 11:12 am
Forum: Investing - Help with Personal Investments
Topic: ETFs at Vanguard, Fidelity, or Schwab?
Replies: 3
Views: 275

Re: ETFs at Vanguard, Fidelity, or Schwab?

You can buy a Vanguard ETF at Fidelity or Schwab. No need to open a new account.
by Chip
Wed Nov 29, 2017 11:09 am
Forum: Investing - Theory, News & General
Topic: Fido broken?
Replies: 20
Views: 1236

Re: Fido broken?

Down for me, too. Same "technical error".
by Chip
Wed Nov 29, 2017 9:38 am
Forum: Personal Finance (Not Investing)
Topic: A good friend has nearly $1M in BitCoin what do I tell him?
Replies: 149
Views: 16698

Re: A good friend has nearly $1M in BitCoin what do I tell him?

I think you should ask him to treat you to a cup of coffee. At grayfox's bitcoin-accepting coffee shop. Including the first class tickets to get there and back. :P
by Chip
Tue Nov 28, 2017 8:33 am
Forum: Investing - Help with Personal Investments
Topic: Comments on my proposed investment plan
Replies: 9
Views: 916

Re: Comments on my proposed investment plan

I understand the tax issue with bonds in taxable accounts, what I maybe overthought was the need to diversify within the broader bond market vs tax issues associated with the asset class. To me munis are a segment with the broader bond market and just owning these bonds in my taxable account isn't ...
by Chip
Tue Nov 28, 2017 7:12 am
Forum: Investing - Help with Personal Investments
Topic: High Yield Funds at Fidelity
Replies: 10
Views: 1353

Re: High Yield Funds at Fidelity

Hi All, Does Fidelity have any high yield cash accounts like the AMEX Personal Savings 1.25%? I was told on the telephone by a rep that there is a fund that provides 1.1% and requires $100,000 to buy in. I thought the rep said FDRXX but I must have heard wrong. Any ideas? The Fidelity money market ...
by Chip
Tue Nov 28, 2017 6:29 am
Forum: Investing - Help with Personal Investments
Topic: Multiple Roth's merged into one
Replies: 10
Views: 911

Re: Multiple Roth's merged into one

Based on this, can I assume that after 12 months of opening a new Roth, we should (or could), move the contents of the newer Roth accounts into the older one? Are there any negatives to doing these rollovers? If you roll the account to an older one, what happens to the one you just rolled over? Doe...
by Chip
Mon Nov 27, 2017 2:36 pm
Forum: Investing - Help with Personal Investments
Topic: Using taxable accounts to maximize tax advantaged accounts
Replies: 24
Views: 1927

Re: Using taxable accounts to maximize tax advantaged accounts

As we all know the market has been kind lately, so I expect to pay LTCG tax on about 3k-5k. I will need to look closely closely at my tax lots and harvest the ones that would be most tax efficient. My LTCG rate is 15% fed + state tax so we are not talking about a lot of money wasted on tax. Taking ...
by Chip
Mon Nov 27, 2017 6:08 am
Forum: Investing - Help with Personal Investments
Topic: Using taxable accounts to maximize tax advantaged accounts
Replies: 24
Views: 1927

Re: Using taxable accounts to maximize tax advantaged accounts

The amount I would need to sell would be approximately 15 grand in the first year so I would be able to sustain this for many years if my situation does not change. I would sell these ETFs as tax efficiently as possible, but at current prices I will realize some long term capital gains no matter wh...
by Chip
Mon Nov 27, 2017 5:49 am
Forum: Investing - Help with Personal Investments
Topic: Comments on my proposed investment plan
Replies: 9
Views: 916

Re: Comments on my proposed investment plan

Congrats on the sale of your business! Your proposed portfolio can be improved from both a cost and a tax efficiency standpoint. Your bond holdings in your taxable account should all be munis at your tax rate. Fidelity's offerings are too expensive. I would suggest opening a Vanguard account and usi...
by Chip
Sun Nov 26, 2017 1:50 pm
Forum: Personal Finance (Not Investing)
Topic: Donor Advised Fund for 2018 Planned Donations?
Replies: 33
Views: 3333

Re: Donor Advised Fund for 2018 Planned Donations?

pshonore wrote:
Sun Nov 26, 2017 12:17 pm
But as I said in a previous thread, why stop with 2018? Why not include 2019 and 2020?
I don't have a good faith estimate for those years. But I will have one for 2018 by the end of 2017.
by Chip
Sun Nov 26, 2017 11:25 am
Forum: Personal Finance (Not Investing)
Topic: Donor Advised Fund for 2018 Planned Donations?
Replies: 33
Views: 3333

Re: Donor Advised Fund for 2018 Planned Donations?

But paying next year's State Income tax on income you have not earned is beyond me. You have no liability for it in 2017. Would you have a problem with someone paying their entire year's state estimated tax for 2018 in March of 2018? Even if they hadn't yet realized the income that would create tha...
by Chip
Sat Nov 25, 2017 3:31 pm
Forum: Personal Finance (Not Investing)
Topic: Donor Advised Fund for 2018 Planned Donations?
Replies: 33
Views: 3333

Re: Donor Advised Fund for 2018 Planned Donations?

Sound like you've bunched in three year groupings. Correct? I must not have written that very well. I bunch every other year (odd numbered years). So 2017 is an itemizing year. I have already contributed to my DAF and scheduled the payment for medical insurance premiums for next year. I still have ...
by Chip
Sat Nov 25, 2017 11:25 am
Forum: Personal Finance (Not Investing)
Topic: Donor Advised Fund for 2018 Planned Donations?
Replies: 33
Views: 3333

Re: Donor Advised Fund for 2018 Planned Donations?

I think the IRS would definitely frown on paying State taxes in 2017 for 2018 income. Most states I am familiar with (not that many) that have an online payment system don't allow payments for a future year. From IRS Memorandum 200814022: Section 164(a) provides for the deduction of the following t...
by Chip
Sat Nov 25, 2017 9:15 am
Forum: Personal Finance (Not Investing)
Topic: Donor Advised Fund for 2018 Planned Donations?
Replies: 33
Views: 3333

Re: Donor Advised Fund for 2018 Planned Donations?

He seems to be asking if he can make an estimated payment towards his 2018 state tax liability prior to year end 2017. This would likely involve submitting a payment/voucher for first quarter 2018 state taxes. I doubt any state would be set up for this, but if it worked it could be a very nice thin...
by Chip
Thu Nov 23, 2017 3:06 pm
Forum: Investing - Help with Personal Investments
Topic: Asset location for international
Replies: 4
Views: 630

Re: Asset location for international

Because of the low QDI percentage you mentioned, I have split my "total" international allocation between SCHF in taxable and VSS and VWO in Roth accounts. SCHF had 90% QDI last year. I used to do this with VEA instead of SCHF, but VEA changed indexes and is no longer tax managed, so its QDI percent...
by Chip
Thu Nov 23, 2017 11:37 am
Forum: Investing - Help with Personal Investments
Topic: Retire couple Roth Conversion Help
Replies: 47
Views: 4083

Re: Retire couple Roth Conversion Help

Thanks Chip. I misunderstood and thought I had to fill out the F2210 now to send in a 4th quarter estimate tax payment. So I just estimate what they owe using any calculator I like and send it in now as an estimated quarterly payment. I'm assuming I would do the same thing for state, right? I use t...
by Chip
Thu Nov 23, 2017 7:29 am
Forum: Investing - Help with Personal Investments
Topic: Should short term and mid term be held in separate accounts?
Replies: 5
Views: 433

Re: Should short term and mid term be held in separate accounts?

So I feel this immediate term need is separate from "pretty sure we'll do this in a few years" which is separate from "hang on to this mama, we'll need it when we're 90!". Getting a separate account for that intermediate term stuff seems excessive to me, but it's your money & time. :D But perhaps y...
by Chip
Thu Nov 23, 2017 6:51 am
Forum: Investing - Help with Personal Investments
Topic: Should short term and mid term be held in separate accounts?
Replies: 5
Views: 433

Re: Should short term and mid term be held in separate accounts?

While simplicity is a goal, so is proper accounting and performance tracking. Since this one account is overloaded with two responsibilities, my sense of organization is irritated. I'd feel better about a single account having a single purpose. What is the best practice? Are there other issues you ...
by Chip
Thu Nov 23, 2017 4:01 am
Forum: Investing - Help with Personal Investments
Topic: Retire couple Roth Conversion Help
Replies: 47
Views: 4083

Re: Retire couple Roth Conversion Help

I'm confused why it would be a bad idea for us? This isn't an RMD. It would be a distribution and probably my simplest way of paying taxes on a conversion. I will look at F2210 and see how complicated it's going to be. Not to mention it's late in the year and I don't know if i'll have time to compl...
by Chip
Wed Nov 22, 2017 5:14 pm
Forum: Personal Consumer Issues
Topic: Tire size, and wheels for snow tires
Replies: 9
Views: 585

Re: Tire size, and wheels for snow tires

I think Tire Rack has some good info on this, though it has been years since I looked. But what I recall is that they recommend what you are proposing: going with a higher profile than stock tire with a 1" or more smaller wheel, with the result being a tire/wheel package that is the same diameter as...
by Chip
Wed Nov 22, 2017 3:42 pm
Forum: Investing - Help with Personal Investments
Topic: Retire couple Roth Conversion Help
Replies: 47
Views: 4083

Re: Retire couple Roth Conversion Help

That's a great idea. I didn't realize you could withhold the entire distribution. So the side effects of doing this is everything that comes along with showing more income (more tax, possible medicare premium implications, etc), right? Yes, precisely. It's something you CAN do, but probably shouldn...
by Chip
Wed Nov 22, 2017 11:33 am
Forum: Investing - Help with Personal Investments
Topic: Retire couple Roth Conversion Help
Replies: 47
Views: 4083

Re: Retire couple Roth Conversion Help

divebums wrote:
Wed Nov 22, 2017 11:30 am
How can I do additional withholding before year end since they are both retired?
Take a distribution from one of their tIRAs and withhold the entire distribution.
by Chip
Tue Nov 21, 2017 6:55 am
Forum: Personal Finance (Not Investing)
Topic: Merrill Lynch wants personal info--How to deal
Replies: 33
Views: 3405

Re: Merrill Lynch wants personal info--How to deal

I have filled out paper forms with the following:

Income: >30,000
Net Worth: >50,000

Both of those are completely accurate statements but provide no clue to the actual numbers.
by Chip
Mon Nov 20, 2017 10:34 am
Forum: Investing - Help with Personal Investments
Topic: Just Moved $1.6MM from 401K to Vanguard IRAs - now what?
Replies: 10
Views: 2033

Re: Just Moved $1.6MM from 401K to Vanguard IRAs - now what?

From a tax efficiency standpoint, what are you doing with your taxable accounts and how does that interact with your proposed allocations? I would be tempted to have the Roth 100% stocks. It's probably going to your daughter eventually, right? Some here, maybe Larry S., used to suggest getting SCV e...
by Chip
Mon Nov 20, 2017 9:51 am
Forum: Personal Consumer Issues
Topic: AT&T MVNOs and Group Texting
Replies: 4
Views: 317

Re: AT&T MVNOs and Group Texting

jriding wrote:
Mon Nov 20, 2017 9:40 am
Has anyone else had this experience and did switching their unlocked iPhone to a non-AT&T MVNO solve the group texting problem?
Not an iPhone, but my wife's unlocked Android phone is on H20 Wireless (AT&T MVNO) and group texting works fine.
by Chip
Sat Nov 18, 2017 2:58 pm
Forum: Personal Finance (Not Investing)
Topic: Please take a look at my pre-retirement plan!
Replies: 10
Views: 1157

Re: Please take a look at my pre-retirement plan!

Both; I co-own an apt bldg and she has property in trust for my sibs and me. I agree with Sandtrap. If you want the property in trust to "count" I would think you would need to be co-trustee. But you would still need a definite business reason as the primary impetus for the trip. I do have my portf...
by Chip
Sat Nov 18, 2017 10:54 am
Forum: Personal Consumer Issues
Topic: Water Heater Install $1,800!
Replies: 84
Views: 12449

Re: Water Heater Install $1,800!

You are greatly simplifying the task and grossly underestimating the skill involved. [...] Most people would take 45 minutes just rounding up the tools they need for the job, assuming they already own them. And who are these "strong people"? Where do you find them and how much do you pay them? I re...
by Chip
Sat Nov 18, 2017 10:40 am
Forum: Personal Finance (Not Investing)
Topic: Please take a look at my pre-retirement plan!
Replies: 10
Views: 1157

Re: Please take a look at my pre-retirement plan!

I'm sorry for the situation you're faced with. I've seen friends deal with similar issues. It was very stressful for them. 1. It seems on the surface that with 48k of net rental income and 40k of part-time job income you ought to be fine. How good do you feel about the accuracy of the 80k of expense...
by Chip
Wed Nov 15, 2017 11:08 am
Forum: Personal Finance (Not Investing)
Topic: Funding Fidelity DAF
Replies: 1
Views: 284

Re: Funding Fidelity DAF

The minimum to fund the Fidelity DAF is $5K. Does that mean after that threshold is met, there is no additional minimum? E.g. I fund my DAF with $5k this year and next year put in say 2K or less? Is there a minimum balance? thanks No additional minimum contribution, no minimum balance. I have had t...
by Chip
Wed Nov 15, 2017 6:19 am
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

Perhaps Code 7 would avoid a notice. The point is, if a taxpayer does a backdoor Roth, it's a good idea to take the time to prepare the Form 8606 accurately, by completing lines 1-15 AND 16-18, rather than taking a shortcut by leaving the conversion lines blank, figuring the IRS may not catch the e...
by Chip
Tue Nov 14, 2017 5:14 pm
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

Code 2 on the 1099-R will almost always be an indication of a Roth conversion. Other than conversions prior to 59 1/2, Code 2 is only used (1) to show a distribution forced by an IRS levy, or (2) to show a distribution that is part of a SEPP (series of substantially equal periodic payments). Those ...
by Chip
Tue Nov 14, 2017 10:06 am
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

susa wrote:
Tue Nov 14, 2017 9:59 am
What about lines 8 and 11?
MarkNYC wrote:...lines 8 and 11 will indicate that a conversion took place..
Lines 8 and 11 only come into play if you have made non-deductible contributions. And often not even then if the worksheet in Pub 590-B is used by your tax software instead of filling out Lines 6-12.
by Chip
Tue Nov 14, 2017 9:26 am
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

On Part 1 of Form 8606, lines 8 and 11 will indicate that a conversion took place, in which case lines 16-18 must be completed. I appreciate your willingness to stick with this. TurboTax often doesn't even fill out Lines 6-12 of 8606. It instead uses the Taxable IRA Distribution worksheet in Pub 59...
by Chip
Tue Nov 14, 2017 9:06 am
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

I confess to reading just now the Form 8606 Instructions ( 2016 version online today ) and NOT fully understanding them. On one hand several directions are given but exceptions nullify them with directions to leave boxes empty. As a rough oversimplification, as we have otherwise no income, only tha...
by Chip
Tue Nov 14, 2017 4:38 am
Forum: Personal Consumer Issues
Topic: Costco for tires and car insurance?
Replies: 78
Views: 6934

Re: Costco for tires and car insurance?

When does everyone replace? I'm at 4/32" and considering 'winter is coming' I'm thinking it's probably best to do it now even though they have some life left (in dry conditions atleast). Recent thread on that topic here . I thought there was a surprising amount of consensus in that thread that 4/32...
by Chip
Tue Nov 14, 2017 4:13 am
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

Yes. When you do a Roth conversion, you MUST complete lines 16-18 of Form 8606 for the form to be complete and accurate. (unless it was fully recharacterized) Line 18 shows the "taxable amount" of the conversion. If left blank, the IRS will assume the conversion is fully taxable. Thanks. I don't se...
by Chip
Mon Nov 13, 2017 3:07 pm
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

I don't believe the information on Form 5498 is included in the IRS tax document matching program that generates the CP2000 notice. If it was included, then the IRS could easily detect RMDs that are omitted, and excess Roth contributions due to AGI being too high. I have never seen the IRS catch ei...
by Chip
Mon Nov 13, 2017 9:06 am
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

Maybe I'm missing something: If somebody does a Roth conversion but fails to report it with F8606, why would they be surprised to have the IRS to come knocking later on? I'm not sure where the 5498 even comes in, unless people are relying on the IRS to cross-reference that form to infer what the F8...
by Chip
Mon Nov 13, 2017 8:29 am
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

But generally a ROTH conversion isn't a non-taxable distribution. You'd have to have basis to have an amount that wasn't taxable. This would require an 8606 but my experience is that if you stare long enough at the obscure Q&A in most retail tax packages you can figure out how to answer their mangl...
by Chip
Mon Nov 13, 2017 8:19 am
Forum: Personal Finance (Not Investing)
Topic: Form 5498 or 1099R (IRA to Roth Conversion)
Replies: 40
Views: 2058

Re: Form 5498 or 1099R (IRA to Roth Conversion)

The 5498 establishes the fact that the money ended up in the ROTH. This sets up this up to be properly reported in future years when you take a distribution from the ROTH. The custodian of the ROTH IRA, which may not even be the same one as the Traditional IRA, will report the distribution as a ROT...
by Chip
Mon Nov 13, 2017 6:51 am
Forum: Personal Finance (Not Investing)
Topic: Bunching Deductions property state
Replies: 5
Views: 668

Re: Bunching Deductions property state

I suggest searching for past discussions here (search term = "bunching deductions"). There are quite a few. My experience with trying to pay future year state withholding is that you have to be very careful to avoid the state making a mistake that will come back to haunt you. For example, one year m...
by Chip
Mon Nov 13, 2017 6:20 am
Forum: Personal Consumer Issues
Topic: Worth changing 40 gal. to 30gal. hot water tank?
Replies: 90
Views: 5133

Re: Worth changing 40 gal. to 30gal. hot water tank?

You can argue the facts, but wholesale pricing isn't useful data. This is the nub of it. You can't use wholesale price data to talk about retail prices. US wholesale natural gas price went from something like $16 to $2.50 (I remember the price, but not the units used). So yes, say 1/7th. EIA publis...
by Chip
Sun Nov 12, 2017 2:22 pm
Forum: Investing - Theory, News & General
Topic: Fidelity year end fund estimates now available
Replies: 0
Views: 325

Fidelity year end fund estimates now available

For those who have Fidelity funds, year-end distribution estimates are now available here:

https://www.fidelity.com/mutual-funds/i ... n/year-end
by Chip
Sun Nov 12, 2017 2:10 pm
Forum: Personal Consumer Issues
Topic: Worth changing 40 gal. to 30gal. hot water tank?
Replies: 90
Views: 5133

Re: Worth changing 40 gal. to 30gal. hot water tank?

Average residential price of natural gas in Aug 2017 was $18.09 per thousand cu ft. In Aug 2007 it was $16.71. So the price is 8% higher than it was 10 years ago. Your statement isn't even remotely close to reality. Opinion is one thing, but I find it amusing how opinions appear as "facts" on these...
by Chip
Sun Nov 12, 2017 9:38 am
Forum: Personal Finance (Not Investing)
Topic: Use or Lose $850 from Limited Expense FSA
Replies: 36
Views: 1908

Re: Use or Lose $850 from Limited Expense FSA

Backup pair of regular glasses. Stock up on disposable contact lenses if either of you wears them.

I don't know if this is legal or not, but if it is perhaps you could prepay the dentist for the eventual root canal/crown.
by Chip
Sun Nov 12, 2017 6:47 am
Forum: Personal Consumer Issues
Topic: Costco for tires and car insurance?
Replies: 78
Views: 6934

Re: Costco for tires and car insurance?

Does Costco have the ability to perform alignments? I don’t see an alignment rack at ours and can’t imagine why one would buy tires without getting an alignment. I am pretty sure they have no alignment capabilities. But I disagree with your premise. Most modern vehicles hold their alignments very w...
by Chip
Sun Nov 12, 2017 6:03 am
Forum: Personal Finance (Not Investing)
Topic: ACA MAGI planning
Replies: 57
Views: 4867

Re: ACA MAGI planning

Personally, I'm not going to execute any post-Dec 31 strategies as this is my first year ACA and I want to keep it all as simple as possible [code for "I don't want to screw anything up"]. You obviously have a very good handle on the ACA PTC complexities. So it surprises me that you wouldn't want t...
by Chip
Fri Nov 10, 2017 3:24 pm
Forum: Personal Finance (Not Investing)
Topic: NUA (Net Unrealized Appreciation) and Tax Returns
Replies: 9
Views: 650

Re: NUA (Net Unrealized Appreciation) and Tax Returns

More challenging is the reporting of the share sales on Form 8949 when you sell the NUA shares [...]. You could have a mix of ST and LT gains on the same share if you sell in the first year. Alan, do you have any guidance on how you would actually enter this ST/LT mix in tax software? Or even manua...
by Chip
Fri Nov 10, 2017 2:46 pm
Forum: Personal Consumer Issues
Topic: Maximizing use of electrician - outlet repair/upgrades
Replies: 20
Views: 1588

Re: Maximizing use of electrician - outlet repair/upgrades

Best guess is that the housecleaner flipped the switch when looking for a light or an outlet for the vacuum. But I am curious about GYI outlets. It's been mentioned that electrocution is the risk of not having a GYI outlet. Can that risk be mitigated by simply turning off an appliance before unplug...
by Chip
Fri Nov 10, 2017 1:07 pm
Forum: Personal Finance (Not Investing)
Topic: NUA (Net Unrealized Appreciation) and Tax Returns
Replies: 9
Views: 650

Re: NUA (Net Unrealized Appreciation) and Tax Returns

I am not planning to do a lump sum distribution. I was going to do a trustee to trustee roll-over of the index funds and move the company stock into a taxable brokerage account. I have been told that I do need to close out the full 401K account with my previous employer but that I could do so in tw...