Tax advantaged investing w/o taxable income

Have a question about your personal investments? No matter how simple or complex, you can ask it here.
Post Reply
Topic Author
Japanr
Posts: 2
Joined: Thu Nov 19, 2020 2:47 pm

Tax advantaged investing w/o taxable income

Post by Japanr »

Good morning! Any advice is appreciated: I am a teacher my wife is active duty military. We’ve been stationed overseas for years and during that time I’ve taught at local schools. I don’t pay US income tax on my income because I’m in the US fewer than 30 days a year; however, I was told by my accountant that I cannot therefore invest in any tax advantages accounts. We max out all of my wife’s retirement accounts, though. We have a large chunk (about 800,000) invested and it will generate a lot of taxes. Any ideas how I can invest for my retirement/avoid taxable income? Thank you so much!
randybobandy
Posts: 102
Joined: Fri Oct 05, 2018 10:51 am

Re: Tax advantaged investing w/o taxable income

Post by randybobandy »

How many retirement accounts does your wife have? TSP, IRA? Is she investing in Roth or traditional?

--Randy Bo Bandy
Grammar and spelling matter. | Quoting the OP isn't a necessity.
User avatar
Eagle33
Posts: 985
Joined: Wed Aug 30, 2017 3:20 pm

Re: Tax advantaged investing w/o taxable income

Post by Eagle33 »

Did the accountant also tell you that your wife could not do a spousal contribution to an IRA in your name?
Rocket science is not “rocket science” to a rocket scientist, just as personal finance is not “rocket science” to a Boglehead.
Topic Author
Japanr
Posts: 2
Joined: Thu Nov 19, 2020 2:47 pm

Re: Tax advantaged investing w/o taxable income

Post by Japanr »

Thank you for your thoughts! I’ll look into the spousal IRA. My wife is currently maxing out her TSP and Roth IRA.
RyeBourbon
Posts: 133
Joined: Tue Sep 01, 2020 12:20 pm
Location: NJ/Philly

Re: Tax advantaged investing w/o taxable income

Post by RyeBourbon »

Japanr wrote: Sun Nov 22, 2020 2:49 pm Thank you for your thoughts! I’ll look into the spousal IRA. My wife is currently maxing out her TSP and Roth IRA.
Do you file a joint US tax return? If so, the spousal IRA should work for you.
randybobandy
Posts: 102
Joined: Fri Oct 05, 2018 10:51 am

Re: Tax advantaged investing w/o taxable income

Post by randybobandy »

Japanr wrote: Sun Nov 22, 2020 2:49 pm Thank you for your thoughts! I’ll look into the spousal IRA. My wife is currently maxing out her TSP and Roth IRA.
Is she maxing a traditional or Roth TSP?
Grammar and spelling matter. | Quoting the OP isn't a necessity.
Post Reply