Search found 7162 matches

by Gill
Sat Apr 10, 2021 8:36 am
Forum: Personal Finance (Not Investing)
Topic: Disclaiming inheritance as remainder beneficiary
Replies: 14
Views: 1036

Re: Disclaiming inheritance as remainder beneficiary

By way of example, let's assume a trust was established by the father in 1995 and has grown to $1 million. It became irrevocable in 2000 due to the death of the father. All income and principal could be used for the benefit and care of the son. The trust stipulates that at the death of the son, the...
by Gill
Sat Apr 10, 2021 8:13 am
Forum: Personal Finance (Not Investing)
Topic: Do budgets work?
Replies: 73
Views: 2366

Re: Do budgets work?

No, I don’t see how you can’t”earn your way” out of your spending habits. More earnings it seems will only lead to more spending.
Gill
by Gill
Fri Apr 09, 2021 7:56 pm
Forum: Personal Finance (Not Investing)
Topic: Tax implication of transferring Mutural Funds from a joint account under my SSN to a joint acct under my mom's SSN
Replies: 3
Views: 369

Re: Tax implication of transferring Mutural Funds from a joint account under my SSN to a joint acct under my mom's SSN

Changing Social Security numbers on the account doesn’t accomplish a thing. You should report the income based on ownership, not Social Security numbers.
Gill
by Gill
Fri Apr 09, 2021 9:18 am
Forum: Personal Finance (Not Investing)
Topic: Disclaiming a portion of an inheritance
Replies: 16
Views: 1182

Re: Disclaiming a portion of an inheritance

willthrill81 wrote: Fri Apr 09, 2021 9:10 am This sounds like a great question for an estate attorney licensed in your state.
...actually, admitted to practice in the state of the decedent's domicile.
Gill
by Gill
Fri Apr 09, 2021 9:06 am
Forum: Personal Finance (Not Investing)
Topic: Disclaiming a portion of an inheritance
Replies: 16
Views: 1182

Re: Disclaiming a portion of an inheritance

Seems like if you disclaim a portion of an estate but also want to direct where the disclaimed portion goes it's a round about way of making a gift. Well that is essentially what it is - a roundabout way of making a gift. My question is whether it's legal or not, assuming that Person A's children a...
by Gill
Fri Apr 09, 2021 9:00 am
Forum: Personal Finance (Not Investing)
Topic: Disclaiming a portion of an inheritance
Replies: 16
Views: 1182

Re: Disclaiming a portion of an inheritance

Seems like if you disclaim a portion of an estate but also want to direct where the disclaimed portion goes it's a round about way of making a gift. Well that is essentially what it is - a roundabout way of making a gift. My question is whether it's legal or not, assuming that Person A's children a...
by Gill
Thu Apr 08, 2021 11:40 am
Forum: Forum Issues and Administration
Topic: Question about discussion of a proposed law or regulation
Replies: 14
Views: 762

Re: Question about discussion of a proposed law or regulation

That makes sense. When they say 11.7 million per person, when would that even apply? Would both mother and father have to pass at the exact same time for that to happen? Or do the accounts have to be non-joint accounts? It would apply with the use of trusts to take advantage of each spouse's exempt...
by Gill
Thu Apr 08, 2021 7:28 am
Forum: Personal Finance (Not Investing)
Topic: IRA Beneficiary & Estate Question
Replies: 18
Views: 1140

Re: IRA Beneficiary & Estate Question

I will give a simpler example. There is an estate with only a savings account in it. The savings account had $20,000 of interest in 2020. There is only one beneficiary to the estate. The estate had no expenses in 2020. That is one heck of a savings account. At .05% that would be a $4 million accoun...
by Gill
Wed Apr 07, 2021 9:07 am
Forum: Personal Finance (Not Investing)
Topic: Tax bill split between spouses
Replies: 81
Views: 4194

Re: Tax bill split between spouses

How about if she only contributes the amount of her withholding? That would likely approximate her equitable share.
Gill
by Gill
Wed Apr 07, 2021 6:14 am
Forum: Personal Finance (Not Investing)
Topic: Revocable Living Trust issue
Replies: 9
Views: 944

Re: Revocable Living Trust issue

These assets are now held in the same trust although it has now become irrevocable with a new tax ID number. With a copy of the trust agreement, the death certificate and the new ID number the bank should send a check payable to your wife as trustee of the trust.
Gill
by Gill
Tue Apr 06, 2021 2:25 pm
Forum: Personal Investments
Topic: Inherited Trust Portfolio - Planning Advice
Replies: 6
Views: 810

Re: Inherited Trust Portfolio - Planning Advice

Your trust has a trustee, not an executor. Until the trust is distributed to you, it appears the trustee has the sole responsibility for managing the assets. He is taking an enormous risk having 20% of your trust in one stock.
Gill
by Gill
Tue Apr 06, 2021 2:20 pm
Forum: Investing - Theory, News & General
Topic: How much do you spend annually in retirement?
Replies: 112
Views: 10148

Re: How much do you spend annually in retirement?

bg5 wrote: Tue Apr 06, 2021 1:10 pm My gut tells me that $50,000 annually would be living "high on the hog" assuming all debts are paid off.
You'll find there are many retirees on this board who spend that much on one category such as housing, income taxes or travel.
Gill
by Gill
Tue Apr 06, 2021 2:13 pm
Forum: Personal Finance (Not Investing)
Topic: IRA Beneficiary & Estate Question
Replies: 18
Views: 1140

Re: IRA Beneficiary & Estate Question

Am I reading incorrectly that any amount over $12,500 is taxed (in an estate) as 39.6%? The IRA has about 500k in it. The three beneficiaries most definitely do not have personal income tax rates anywhere near 39.6%. You're not digesting fully what bsteiner and AlanS have told you. Distributions fr...
by Gill
Tue Apr 06, 2021 6:37 am
Forum: Personal Finance (Not Investing)
Topic: Spouse on Deed but not Mortgage?
Replies: 13
Views: 1383

Re: Spouse on Deed but not Mortgage?

You can’t encumber the property without your wife’s consent. She might not be on the note but you can’t borrow against it on your own. Appears an error on bank’s part. I have been through this dance myself. It highly depends on your local laws and how the bank choose to interpret them. If she is on...
by Gill
Mon Apr 05, 2021 8:40 pm
Forum: Personal Finance (Not Investing)
Topic: Can someone become bankrupt from gift contracts?
Replies: 15
Views: 1537

Re: Can someone become bankrupt from gift contracts?

A promise to make a gift can be an enforceable contract if there is reliance on the promise by the donee. If your church builds an addition in reliance on your promise to contribute the cost you could be liable. The same could be true for a non charitable gift.
Gill
by Gill
Mon Apr 05, 2021 8:21 pm
Forum: Personal Finance (Not Investing)
Topic: Spouse on Deed but not Mortgage?
Replies: 13
Views: 1383

Re: Spouse on Deed but not Mortgage?

You can’t encumber the property without your wife’s consent. She might not be on the note but you can’t borrow against it on your own. Appears an error on bank’s part.
Gill
by Gill
Mon Apr 05, 2021 10:10 am
Forum: Investing - Theory, News & General
Topic: Forgoing Taking RMD's in 2020
Replies: 4
Views: 817

Re: Forgoing Taking RMD's in 2020

The two times RMD's have been forgiven was after a steep decline in the market when it was felt to be unfair to require RMD's based on a much higher market the previous December 31st. The circumstances are different in 2021 and such a holiday doesn't seem likely.
Gill
by Gill
Mon Apr 05, 2021 7:35 am
Forum: Personal Investments
Topic: Mom's Legacy
Replies: 19
Views: 2821

Re: Mom's Legacy

If you want it to grow, put it in a stock index fund, in a retirement or taxable account. If you want to preserve and not lose much value, consider ibonds on Treasury direct. It may take a couple of years to invest it all due to annual limits. Thanks for your feedback, we are leaning towards index ...
by Gill
Thu Apr 01, 2021 8:01 pm
Forum: Personal Finance (Not Investing)
Topic: Need help selecting a moderate cost trusts and estates attorney
Replies: 17
Views: 896

Re: Need help selecting a moderate cost trusts and estates attorn

Has anyone reviewed the trust instrument to see what is required to remove the trustee? Sometimes the services of an attorney are not even necessary.
Gill
by Gill
Thu Apr 01, 2021 9:43 am
Forum: Non-US Investing
Topic: How you sell your stocks
Replies: 4
Views: 742

Re: How you sell your stocks

ericsk wrote: Thu Apr 01, 2021 6:46 am
How do you guys sell your stocks?
It's so infrequent I can hardly remember but it's usually selecting the highest cost shares and clicking a mouse.

Gill
by Gill
Thu Apr 01, 2021 9:39 am
Forum: Personal Finance (Not Investing)
Topic: Nd help deciphering my mother's intentions in re: Series EE Savings Bonds in my mother's Safety Deposit Box
Replies: 19
Views: 1672

Re: Nd help deciphering my mother's intentions in re: Series EE Savings Bonds in my mother's Safety Deposit Box

cas wrote: Thu Apr 01, 2021 7:54 am If there is an estate tax return, the accrued interest can be reported there.
Yes, but can't do so when the bonds bypass the estate through a POD designation.
Gill
by Gill
Thu Apr 01, 2021 5:44 am
Forum: Personal Finance (Not Investing)
Topic: Questionable offer for as is house
Replies: 16
Views: 2492

Re: Questionable offer for as is house

They are essentially buying an option to buy the house at a later date and causing the property to be taken off the market. Not a very attractive deal.
Gill
by Gill
Wed Mar 31, 2021 2:52 pm
Forum: Personal Consumer Issues
Topic: To change trustee and POA without an attorney
Replies: 4
Views: 371

Re: To change trustee and POA without an attorney

What relation is the POA to your revocable trust? Perhaps you should establish a relationship with a new attorney for the ongoing administration of your trust and in the event of your death.
Gill
by Gill
Wed Mar 31, 2021 8:01 am
Forum: Personal Investments
Topic: short term strategy for a lot of cash
Replies: 29
Views: 3605

Re: short term strategy for a lot of cash

If you’re not willing to buy a bond fund most of us are at a loss as what to suggest unless you want to put it in equities.
Gill
by Gill
Tue Mar 30, 2021 7:21 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

clcarter wrote: Tue Mar 30, 2021 7:04 pm I wonder if some with large holdings still have paper bonds or have they been confident enough to converted to electronic at Treasury Direct?
Mine are all at TreasuryDirect.
Gill
by Gill
Tue Mar 30, 2021 6:59 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

Like Mel, I made my purchases back when the limit was $30,000. Believe it or not, I purchased mine using an airline credit card and picked up free miles. That was pretty sweet. Well, I guess I’ll procrastinate and just do nothing for now. No one seems to have discovered a way to remedy the tax situ...
by Gill
Tue Mar 30, 2021 5:10 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

Yours is an extreme case. Most of those who hold savings bonds do not have to do nothing. You haven't been around this board very long but I know you would find there are many here who bought $30,000 of I-Bonds in 2000, many who bought $60,000 for a couple. Thanks for the tax advice. :happy I'm hap...
by Gill
Tue Mar 30, 2021 4:31 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

Yours is an extreme case. Most of those who hold savings bonds do not have to do nothing. You haven't been around this board very long but I know you would find there are many here who bought $30,000 of I-Bonds in 2000, many who bought $60,000 for a couple. Thanks for the tax advice. :happy I'm hap...
by Gill
Tue Mar 30, 2021 4:21 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

Yours is an extreme case. Most of those who hold savings bonds do not have to do nothing. You haven't been around this board very long but I know you would find there are many here who bought $30,000 of I-Bonds in 2000, many who bought $60,000 for a couple. Thanks for the tax advice. :happy I'm hap...
by Gill
Tue Mar 30, 2021 4:01 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

Yours is an extreme case. Most of those who hold savings bonds do not have to do nothing. You haven't been around this board very long but I know you would find there are many here who bought $30,000 of I-Bonds in 2000, many who bought $60,000 for a couple. Thanks for the tax advice. :happy I'm hap...
by Gill
Tue Mar 30, 2021 3:48 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

No, of course not. That is my total projected accrued interest in 2030 when my first bonds mature. A large portion of that will be recognized in the early 2030’s. Gill The point I'm trying to make is that, very likely, nobody is forced to anticipate Savings Bonds redemption in order to save on taxe...
by Gill
Tue Mar 30, 2021 3:08 pm
Forum: Personal Finance (Not Investing)
Topic: Returning Gifted Stocks to Original Owner (Tax/Basis Question)
Replies: 14
Views: 642

Re: Returning Gifted Stocks to Original Owner (Tax/Basis Question)

giftingstocks wrote: Tue Mar 30, 2021 3:00 pm
I just found the IRS guidance regarding the 1-year rule, and it sounds like it only applies to the person who gifted the assets (me) and not others who stand to benefit under a will (i.e. my sister)..."
Correct.
Gill
by Gill
Tue Mar 30, 2021 2:43 pm
Forum: Personal Finance (Not Investing)
Topic: Returning Gifted Stocks to Original Owner (Tax/Basis Question)
Replies: 14
Views: 642

Re: Returning Gifted Stocks to Original Owner (Tax/Basis Question)

Gill - thank you so much, I re-read your post and I see, it does answer my question exactly. So it seems that gifting them to myself and back to him would not necessarily cause a change in basis/taxation if I don't sell any, except if we inadvertently run afoul of the 1-year rule with the latter gi...
by Gill
Tue Mar 30, 2021 1:59 pm
Forum: Personal Finance (Not Investing)
Topic: Returning Gifted Stocks to Original Owner (Tax/Basis Question)
Replies: 14
Views: 642

Re: Returning Gifted Stocks to Original Owner (Tax/Basis Question)

As Gill mentioned, I would like to preserve the step-up in basis if we do end up inheriting the stocks as we stand to do now under his will, and I am not sure if gifting them to myself and then back to him later on would affect this. I thought my answer covered this. I see no problem in the gift to...
by Gill
Tue Mar 30, 2021 1:35 pm
Forum: Personal Finance (Not Investing)
Topic: Returning Gifted Stocks to Original Owner (Tax/Basis Question)
Replies: 14
Views: 642

Re: Returning Gifted Stocks to Original Owner (Tax/Basis Question)

Consult with an attorney. That being said, one of the ways I've seen families address this situation is for the parent(s) to gift assets to the children and then the children establish a trust for the benefit of the parent(s) during their lifetime and fund it with the gifted assets. As there are ob...
by Gill
Tue Mar 30, 2021 1:28 pm
Forum: Personal Finance (Not Investing)
Topic: Returning Gifted Stocks to Original Owner (Tax/Basis Question)
Replies: 14
Views: 642

Re: Returning Gifted Stocks to Original Owner (Tax/Basis Question)

My question is if we move appreciated stocks out of his name and into one of ours and do not sell them, could we gift them back to him at some point down the road when things have settled down, thereby potentially avoiding any capital gains tax if they ultimately pass to us under his will? The gene...
by Gill
Tue Mar 30, 2021 5:43 am
Forum: Personal Consumer Issues
Topic: Second home monies recieved. Gift or Rental?
Replies: 2
Views: 490

Re: Second home monies recieved. Gift or Rental?

From your description of the circumstances, it appears to me to be a gift.
Gill
by Gill
Tue Mar 30, 2021 5:37 am
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

There is an annual limit of 10k one can purchase. Let's add tax refunds and say 15k. Before then, I think until 2002, or so the limit was 30k. Anyways, average interest rate on those bonds has been not much more than 7% (I'm talking the initial issues at ~3.5% rate), much lower for later issues. 7%...
by Gill
Mon Mar 29, 2021 6:47 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

There is an annual limit of 10k one can purchase. Let's add tax refunds and say 15k. Before then, I think until 2002, or so the limit was 30k. Anyways, average interest rate on those bonds has been not much more than 7% (I'm talking the initial issues at ~3.5% rate), much lower for later issues. 7%...
by Gill
Mon Mar 29, 2021 4:28 pm
Forum: Personal Consumer Issues
Topic: High spenders what do you spend on?
Replies: 228
Views: 22042

Re: High spenders what do you spend on?

Large house, country club, family gifts, charity, medical, alimony, taxes, restaurant dining, travel, expensive cars...
Gill
by Gill
Sun Mar 28, 2021 8:48 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

A good problem to have, I kind of like Mel's idea of lessening the blow by selling it over a period of years. Amazing how much they've grown over 20 years especially for a fixed income vehicle in a low rate environment. You’re not only paying taxes sooner than necessary but giving up the high yield...
by Gill
Sun Mar 28, 2021 8:46 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

Can’t one pay taxes each year you hold the ibonds? You can but if you haven't been paying the taxes since the inception of the bond, I believe you'd have to declare the interest accrued up to date all at once and given those rates earned on that vintage of I bonds, it will be a hefty amount declare...
by Gill
Sun Mar 28, 2021 8:32 pm
Forum: Personal Investments
Topic: I Bond Sell Strategy
Replies: 82
Views: 6859

Re: I Bond Sell Strategy

I began buying maximum I-Bonds in 2000 so they will begin to mature in 2030. The interest and the tax will be huge. I don’t plan on doing anything other than holding them until maturity and paying the tax at that time. Who knows? Maybe in 2030 I’ll have medical expenses that will offset the interest...
by Gill
Sat Mar 27, 2021 10:35 am
Forum: Personal Finance (Not Investing)
Topic: Estimated taxes lump sum?
Replies: 7
Views: 523

Re: Estimated taxes lump sum?

Thank you all for your replies! To answer some questions, yes I do believe this amount is actually owed. There were realized gains in both tax years, more in 2021 than 2020. I guess what I was wondering is, does it raise a red flag to pay it all upfront if that's not the norm? When I asked the turb...
by Gill
Sat Mar 27, 2021 6:48 am
Forum: Personal Finance (Not Investing)
Topic: Estimated taxes lump sum?
Replies: 7
Views: 523

Re: Estimated taxes lump sum?

No reason at all not to do it. I would feel otherwise if money market accounts were paying more than .01%
Gill
by Gill
Fri Mar 26, 2021 6:08 pm
Forum: Personal Investments
Topic: Inheritance
Replies: 20
Views: 2702

Re: Inheritance

As others have said, you should had got a step up in basis, so taxes should be minimal. I,for one, did not say that. There is no assurance there is a new basis. I suggested this should be determined. Not every inheritance results in a new basis. Gill I alway's thought you got a step up in basis whe...
by Gill
Fri Mar 26, 2021 6:03 am
Forum: Personal Investments
Topic: Inheritance
Replies: 20
Views: 2702

Re: Inheritance

averagedude wrote: Thu Mar 25, 2021 8:44 pm As others have said, you should had got a step up in basis, so taxes should be minimal.
I,for one, did not say that. There is no assurance there is a new basis. I suggested this should be determined. Not every inheritance results in a new basis.
Gill
by Gill
Thu Mar 25, 2021 8:44 pm
Forum: Personal Investments
Topic: Inheritance
Replies: 20
Views: 2702

Re: Inheritance

deltaneutral83 wrote: Thu Mar 25, 2021 8:39 pm
whatdoIknow wrote: Thu Mar 25, 2021 8:28 pm Yes, I did get the adjusted cost basis.
How long have you had them? If this has been in the last month or two the chances of substantial gains have to be slim?
OP posted above that it wasn’t this year.
Gill
by Gill
Thu Mar 25, 2021 8:35 pm
Forum: Personal Investments
Topic: Inheritance
Replies: 20
Views: 2702

Re: Inheritance

My guess is the taxes won’t be serious and it is far more serious to have 52% of your holdings in three stocks. You wouldn’t be happy if these dropped 20% or 50%. I would urge you to take that step and sell all three.
Gill