Search found 1401 matches

by Eagle33
Sun Jun 20, 2021 5:57 pm
Forum: Personal Finance (Not Investing)
Topic: Roth conversions plans via RPM -- help me compare
Replies: 58
Views: 3732

Re: Roth conversions plans via RPM -- help me compare

I will definitely be doing some version of Roth conversions for at least the next 5 years (tax rates) and perhaps until I am 72. That is a given. My questions in posts above were framed "if I do no Roth conversions..." because that is the baseline case, against which I compare my various ...
by Eagle33
Sat Jun 19, 2021 4:11 pm
Forum: Personal Investments
Topic: Transferring Roth IRA's to another brokerage
Replies: 9
Views: 746

Re: Transferring ROTH IRA's to another brokerage

lgb wrote: Fri Jun 18, 2021 9:48 pm I also wonder - you mention the ROTH IRA distributions remain the same .... is there a brief summary of that?
See the "Treatment of distributions" table in the Notes section of wiki Roth IRA page.
by Eagle33
Fri Jun 18, 2021 9:35 pm
Forum: Personal Investments
Topic: Transferring Roth IRA's to another brokerage
Replies: 9
Views: 746

Re: Transferring ROTH IRA's to another brokerage

Find & download the 2 statements documenting the initial funding for each Roth IRA at Prudential. The 5-year Roth IRA clock on having an Roth IRA begins when you open your first Roth IRA. Your wife has her own 5-year clock when her first Roth IRA was initially funded. Those clocks are satisfied ...
by Eagle33
Fri Jun 18, 2021 7:30 pm
Forum: Personal Investments
Topic: 401K with Principal Financial
Replies: 18
Views: 1360

Re: 401K with Principal Financial

For analyzing mutual funds you want to look at total return, not just price change. Another key factor is the Expense Ratio (ER) of the fund - lower the better. Recommend you use Morningstar for the 10k growth graph. https://www.morningstar.com/funds/xnas/pswix/performance
by Eagle33
Fri Jun 18, 2021 5:13 pm
Forum: Personal Investments
Topic: Am I thinking about capital gains tax correctly?
Replies: 9
Views: 902

Re: Am I thinking about capital gains tax correctly?

Isn't it taxable income not AGI used when looking at the income & capital gains tax brackets?
by Eagle33
Fri Jun 18, 2021 2:35 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Customer Service 2021
Replies: 20
Views: 2620

Re: Vanguard Customer Service 2021

When you send the charity the QCD check in the cover letter state you wish to receive confirmation donation. Be sure to give your contact information. You can also send a self addressed stamped envelope with the check & cover letter to entice the charity provide the donation confirmation.
by Eagle33
Fri Jun 18, 2021 12:35 am
Forum: Personal Investments
Topic: I-bond Tax Issue
Replies: 14
Views: 1173

Re: I-bond Tax Issue

Do the I bonds get reissued to the beneficiary with the previous fixed rate or the rate available on date of reissue?
by Eagle33
Fri Jun 18, 2021 12:26 am
Forum: Personal Finance (Not Investing)
Topic: Can you make more than 2 estimate tax payments to IRS per quarter?
Replies: 9
Views: 947

Re: Can you make more than 2 estimate tax payments to IRA per quarter?

Not sure where you found the 2 payments per quarter limitation. According to the IRS Estimated Taxes webpage there is not such a limit. Using the Electronic Federal Tax Payment System (EFTPS) is the easiest way for individuals as well as businesses to pay federal taxes. Make ALL of your federal tax ...
by Eagle33
Thu Jun 17, 2021 8:46 pm
Forum: Personal Finance (Not Investing)
Topic: Estimating taxes in retirement
Replies: 26
Views: 1741

Re: Estimating taxes in retirement

At least one year, do your own taxes on paper using the 1040 form (it's really not that hard), and compare your work with your accountant's. You'll learn a lot. Then you may find you can get rid of the accountant and just pay $30-50 a year for TurboTax or the like. +1 6teen, this may be the best wa...
by Eagle33
Thu Jun 17, 2021 11:12 am
Forum: Personal Finance (Not Investing)
Topic: Roth conversion planning -- birds eye view questions
Replies: 38
Views: 3800

Re: Roth conversion planning -- birds eye view questions

IMHO the Treatment of Distributions summary table in the Notes section of wiki topic Roth IRA is the best concise explanation for which distributions & when they are taxed and/or penalized.
by Eagle33
Wed Jun 16, 2021 1:20 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security
Replies: 10
Views: 1688

Re: Social Security

You may want to try ssa.tools for a better understanding of SS benefits.
by Eagle33
Tue Jun 15, 2021 5:42 pm
Forum: Personal Investments
Topic: Where to put my bi-weekly savings $$$?
Replies: 10
Views: 1449

Re: Where to put my bi-weekly savings $$$?

If you want bonds in taxable, consider buying I-bonds.
by Eagle33
Mon Jun 14, 2021 10:00 pm
Forum: Personal Investments
Topic: Maximizing Dollar Cost Average
Replies: 20
Views: 1727

Re: Maximizing Dollar Cost Average

Vanguard did a paper on comparing DCA on a strict calendar schedule vs. holding these DCA dollars until a dip vs holding DCA dollars until the peak. It showed that that buying on the dips slightly beat buying at the peaks. However, the strict DCA schedule beat both of them because of the time in mar...
by Eagle33
Sat Jun 12, 2021 3:30 pm
Forum: Personal Finance (Not Investing)
Topic: What role do tax refunds and guaranteed payments play in the 25x expenses number for FI?
Replies: 5
Views: 691

Re: What role do tax refunds and guaranteed payments play in the 25x expenses number for FI?

I chose to look at the 25x as what I need in the portfolio to supplement SS when starting SS at 70 - plan to live 25-30 years to 95-100. Then I added the total expenses between start of retirement and 70 to that @70 portfolio number - years to 70 times total expenses. Close enough for me to know wha...
by Eagle33
Fri Jun 11, 2021 7:17 pm
Forum: Personal Consumer Issues
Topic: Fence question
Replies: 11
Views: 1731

Re: Fence question

The HavenView CountrySide are 5 in. x 5 in. x 39 in. Tranquil White Capped Composite Beveled Post Sleeve Kit with Cap and Skirt are designed to fit over standard 4 in. x 4 in. wood posts. They are 7 inches longer than your posts.
by Eagle33
Thu Jun 10, 2021 9:20 pm
Forum: Personal Finance (Not Investing)
Topic: So now you're dead -- how does your executor find all your accounts & bills?
Replies: 109
Views: 14367

Re: So now you're dead -- how does your executor find all your accounts & bills?

Christine Benz's recent article for How to Create a Master Directory - This valuable document can help you see what you own, and serves as a crucial estate planning tool, too. It is one of the 7 Items Your Estate Plan May Have Left Out,
by Eagle33
Thu Jun 10, 2021 8:56 pm
Forum: Personal Consumer Issues
Topic: Change in 2FA at Vanguard??
Replies: 13
Views: 1790

Re: Change in 2FA at Vanguard??

OP
Which Vanguard platform are your accounts - newer brokerage platform or legacy mutual fund platform?
by Eagle33
Thu Jun 10, 2021 8:14 pm
Forum: Personal Finance (Not Investing)
Topic: RMD for 90 yr. old; Inherited tIRA from Spouse
Replies: 11
Views: 1429

Re: RMD for 90 yr. old; Inherited tIRA from Spouse

As usual, Alan S is correct. For those others whose situation may be different than OP, read Natalie Choate's article A Sneak Preview of Secure Act Regulations at Morningstar for a RMD summary.
by Eagle33
Wed Jun 09, 2021 4:14 pm
Forum: Personal Investments
Topic: Roth conversion question
Replies: 6
Views: 760

Re: Roth conversion question

You may already know this, but the maximum annual contribution to all your IRAs both traditional & Roth is $7k in total AND you are at least 50 years of age. Also, there is a Roth MAGI limit for direct Roth contributions.
by Eagle33
Wed Jun 09, 2021 11:43 am
Forum: Personal Investments
Topic: Roth 401K to Roth IRA
Replies: 6
Views: 609

Re: Roth 401K to Roth IRA

If I am correctly reading the table at bottom of Roth IRA in wiki, OP should not owe any taxes on Roth IRA withdrawals assuming an OP Roth IRA was opened & initially funded over 5 years ago - including the earnings recently transferred from Roth401k.
by Eagle33
Mon Jun 07, 2021 10:18 am
Forum: Personal Finance (Not Investing)
Topic: Underestimated IRMAA
Replies: 53
Views: 5539

Re: Underestimated IRMAA

Isn't paying IRMAA analogous to receiving less subsidy on ACA if income gets too high?
by Eagle33
Sun Jun 06, 2021 12:07 pm
Forum: Personal Investments
Topic: Scheduling RMD
Replies: 18
Views: 2159

Re: Scheduling RMD

You could transfer some shares and sell others to pay taxes to equal the amount of your RMD, if you don’t have another source for the tax money. The basis doesn’t get reset; there is no basis on assets held in an IRA . You would have a basis equal to the market price when the transfer occurs. But w...
by Eagle33
Sat Jun 05, 2021 3:50 pm
Forum: Personal Finance (Not Investing)
Topic: 1099 vs W2 at same rate for high income earner
Replies: 13
Views: 1357

Re: 1099 vs W2 at same rate for high income earner

Do you or the employer pay the employer side of the payroll taxes as 1099 worker? Is the employer portion part of your 1099 pay over and above wages?
by Eagle33
Fri Jun 04, 2021 10:41 pm
Forum: Personal Finance (Not Investing)
Topic: Underestimated IRMAA
Replies: 53
Views: 5539

Re: Underestimated IRRMA

Your 1040 tax return is how you let SSA know indirectly through the IRS. That is why there is the 2-year delay. SSA checks your MAGI from 2 years prior and informs you at end of the year what next year's Medicare premiums are and if you owe payback of any portion the 75% Medicare subsidy that is ref...
by Eagle33
Fri Jun 04, 2021 10:20 pm
Forum: Personal Investments
Topic: I'm lost and need help
Replies: 48
Views: 6072

Re: I'm lost and need help

Esteen discusses two forecasts, Credit Suisse and Vanguard, that show the bond market to be negative, or near so, over the next 10 years. Stocks are predicted to fare better (but a lot better.) Do these forecasts alter your stock/bond allocation? These forecasts should not alter your stock/bond all...
by Eagle33
Thu Jun 03, 2021 10:31 am
Forum: Personal Investments
Topic: IRA to heirs
Replies: 30
Views: 2300

Re: IRA to heirs

bbees,
You had the same problem even under the old stretch IRA rules. There was nothing that prevented beneficiary from taking out more than the RMD. Old rules just forced one to take at least the minimum.

Glad the new rules got you to think about your situation and can take action to address it.
by Eagle33
Wed Jun 02, 2021 10:20 pm
Forum: Personal Finance (Not Investing)
Topic: Child tax credit - income management?
Replies: 3
Views: 485

Re: Child tax credit - income management?

RickBoglehead wrote: Wed Jun 02, 2021 11:18 am https://www.kiplinger.com/taxes/602334/ ... calculator

I find myself pained at providing assistance to a person that posts such an objectionable Avatar... :shock:
mmm......Must have gone to *ichigan. :twisted:
by Eagle33
Wed Jun 02, 2021 9:49 pm
Forum: Personal Finance (Not Investing)
Topic: Moving one spouse from ACA to Medicare (2021 vs 2018)
Replies: 12
Views: 1479

Re: Moving one spouse from ACA to Medicare (2021 vs 2018)

What if the person calls today in June and they are starting Medicare Sept. 1? Does ACA end on Aug. 15 or 31?
by Eagle33
Wed Jun 02, 2021 8:34 pm
Forum: Personal Finance (Not Investing)
Topic: Does getting a W2 each year allow me to delay RMDs from 401K?
Replies: 37
Views: 4931

Re: Does getting a W2 each year allow me to delay RMDs from 401K?

As a reminder: If you delay the initial RMD to following year, you will have 2 RMDs for that following year. The 2nd RMD needs to be taken by Dec. 31 and can't delay this one without penalty.
by Eagle33
Wed Jun 02, 2021 8:15 pm
Forum: Personal Finance (Not Investing)
Topic: tax question - underreported income?
Replies: 6
Views: 794

Re: tax question - underreported income?

Did their return also under report taxes withheld for the missing W2?
by Eagle33
Wed Jun 02, 2021 6:46 pm
Forum: Personal Finance (Not Investing)
Topic: Tax advice
Replies: 8
Views: 1075

Re: Tax advice

I didn't catch your ages, but $20k is a very small compared to what your total retirement portfolio will be at retirement. Converting the existing pre-tax $20k to Roth now is like she earned $20k this year and you have the option of putting it all into a Roth if you pay the taxes with other money - ...
by Eagle33
Wed Jun 02, 2021 2:26 pm
Forum: Personal Investments
Topic: Roth Conversion?
Replies: 16
Views: 1992

Re: Roth Conversion?

See the wiki Traditional versus Roth for the math. If the current marginal tax rate is the same now as expected in retirement, then it doesn't matter - its the same amount after taxes either way. If rate is lower in retirement than now, then best to wait until retirement to convert. That's true in ...
by Eagle33
Tue Jun 01, 2021 7:41 pm
Forum: Personal Finance (Not Investing)
Topic: Major Strategic TIRA Withdrawl: Tax and IRMAA Issues
Replies: 14
Views: 1338

Re: Major Strategic TIRA Withdrawl: Tax and IRMAA Issues

Does she want to take on the added responsibilities of maintaining a house? Does she have any idea what are those entail?
by Eagle33
Tue Jun 01, 2021 7:29 pm
Forum: Personal Investments
Topic: Investing in stock market with unknown timeline
Replies: 24
Views: 1993

Re: Investing in stock market with unknown timeline

Since your need(s)/timing for the $100k is fuzzy you may want to consider I-bonds over the next couple of years for a portion of your $100k. You have the choice of paying the tax on the I-bond interest (3.54% currently) annually or defer it to the year you sell the I-bond. The big catch is you can't...
by Eagle33
Tue Jun 01, 2021 7:17 pm
Forum: Personal Investments
Topic: How to Park Money in Taxable Account before Investing
Replies: 8
Views: 1336

Re: How to Park Money in Taxable Account before Investing

The 250k should not be too hard to navigate on a base of 1.5 million. Not sure what you have today in taxable but say you have 50k left over from the bonus and 200k is coming later from the inheritance. Put the 50k in stocks and then rebalance in your retirement account tax free. When the 200k come...
by Eagle33
Tue Jun 01, 2021 6:44 pm
Forum: Personal Investments
Topic: Questions about reallocating, cash, and coming RMD
Replies: 13
Views: 1033

Re: Questions about reallocating, cash, and coming RMD

3. I have to take a RMD this year, and, in the interest of simplifying my life, I plan to sell a rental house that I’ve been depreciating for 14 years, so my tax rate will increase. 5. I would like to give about 10%-15% of my RMD in QCD. Does that sound reasonable, given my situation? Any recommend...
by Eagle33
Tue Jun 01, 2021 6:09 pm
Forum: Personal Investments
Topic: Roth Conversion?
Replies: 16
Views: 1992

Re: Roth Conversion?

The facts are: ... -I’m in a high tax state and in the 35% tax bracket with space in my bracket to convert the whole IRA. ... -I likely will be in the 28% tax bracket in retirement, if not higher. ... Thank you! Since you can possibly save 7% by converting or withdrawing the money later, I'd roll-i...
by Eagle33
Mon May 31, 2021 11:34 pm
Forum: Personal Finance (Not Investing)
Topic: Outliving one of our three children - Inheritance?
Replies: 17
Views: 3539

Re: Outliving one of our three children - Inheritance?

Consider paying for whole family vacations while she is on this earth. Memories are priceless.
by Eagle33
Mon May 31, 2021 10:34 pm
Forum: Personal Investments
Topic: Can I gift I-Bonds to a minor in addition to purchasing them in their name?
Replies: 19
Views: 1337

Re: Can I gift I-Bonds to a minor in addition to purchasing them in their name?

Sure you can do it. Just file a gift tax return or have your spouse make the gift. Gill Spouse making the gift agrees with TreasuryDirect. Not sure exactly what is a gift tax return, but TreasuryDirect states How much in I bonds can I buy as gifts? The purchase amount of a gift bond counts toward t...
by Eagle33
Mon May 31, 2021 10:43 am
Forum: Personal Finance (Not Investing)
Topic: Still working and insured. Should I sign up for medicare at 65?
Replies: 12
Views: 1663

Re: Still working and insured. Should I sign up for medicare at 65?

EDITED TO CORRECT & CLARIFY: Several have mentioned that Part A is free... but you also have to sign up for Part B at 65 or pay penalties. Is there a way to sign up but not actually use it, thus not pay the premium? From what I can tell, if applied before you turned 65 and you worked the whole ...
by Eagle33
Fri May 28, 2021 9:54 pm
Forum: Personal Investments
Topic: Complicated RMD questions - fee-only CPA/CFP
Replies: 9
Views: 1585

Re: Complicated RMD questions - fee-only CPA/CFP

Thank you; I will get that information together. One question regarding "electing ownership"; is there an official process for doing so? From discussing with this individual, the accounts are titled in their name (e.g., John Doe - Inherited IRA, where John Doe is the beneficiary, not the ...
by Eagle33
Fri May 28, 2021 9:47 pm
Forum: Investing - Theory, News & General
Topic: Firecalc limitations
Replies: 19
Views: 2313

Re: Firecalc limitations

The Safe Withdrawal Rate Series at earlyretirementnow.com includes posts analyzing Sequence of Return Risk.
by Eagle33
Fri May 28, 2021 9:21 pm
Forum: Personal Investments
Topic: Ira to Roth ?
Replies: 3
Views: 577

Re: Ira to Roth ?

I believe IRMAA MAGI = uses AGI + tax free interest + foreign income. Standard or itemized deductions are part of the modification to AGI for IRMAA MAGI.
by Eagle33
Fri May 28, 2021 9:15 pm
Forum: Personal Investments
Topic: Monthly vs Annual Retirement Distributions?
Replies: 15
Views: 1796

Re: Monthly vs Annual Retirement Distributions?

When we get to RMD phase, then planning to take 100% RMD in January and put in taxable account from which we will be withdrawing our annual budget in 4 equal amounts at the beginning of each quarter. This would preclude making QCD donations during the year. QCDs are a very good tax break if you mak...
by Eagle33
Fri May 28, 2021 12:15 pm
Forum: Personal Investments
Topic: Monthly vs Annual Retirement Distributions?
Replies: 15
Views: 1796

Re: Monthly vs Annual Retirement Distributions?

In pre-RMD phase we are withdrawing our annual budget in 4 equal amounts from tax-deferred at the beginning of each quarter and making 1 Roth conversion/yr. When we get to RMD phase, then planning to take 100% RMD in January and put in taxable account from which we will be withdrawing our annual bud...
by Eagle33
Fri May 28, 2021 11:17 am
Forum: Investing - Theory, News & General
Topic: Vanguard Portfolio Watch has a new look [Calculations may be incorrect]
Replies: 213
Views: 18441

Re: Vanguard Portfolio Watch has a new look [Calculations may be incorrect]

Maybe the change from a pie to a ring diagram is to more emphasize a broad index diversification AA portfolio and de-emphasize a slice-n-dice by sectors AA portfolio.
by Eagle33
Thu May 27, 2021 10:37 pm
Forum: Personal Investments
Topic: saving taxes
Replies: 8
Views: 987

Re: saving taxes

OP,
Would your view of the situation be any different if she only received $90k instead of $130k and didn't owe taxes?