Tagged Questions
2
votes
2answers
96 views
Filing form 8606 for non deductible IRA contributions
Background:
I recently realized that I need to file IRS form 8606 for a previous tax year(2011), to track my basis for non-deductible contributions to a traditional IRA.
I hold a bond fund in the ...
2
votes
1answer
61 views
Can I open an IRA to reduce my tax bill?
Being the procrastinator that I am, I just did a preliminary entry into Turbotax and found that for the first time ever, I owe a considerable amount (about $3000) on my taxes. I think this is because ...
3
votes
1answer
48 views
Wash sale rules between tax advantaged and regular accounts
I sold an investment in a standard brokerage account at a small loss because I needed the money for a down payment. I still think it is a good investment, can I buy the same investment in a standard ...
1
vote
2answers
64 views
What are the advantages of an IRA over general investment accounts?
I'm trying to understand the benefits of IRAs. I get that an IRA is an account for retirement in which I keep investments. And I get the difference between Roth and Traditional IRAs (in fact, that's ...
5
votes
1answer
54 views
Traditional IRA to Roth IRA 2012
5-11-2011 my Bank converted from Wachovia to Wells Fargo. A Roth IRA that I had for many years was inadvertently changed to a Traditional IRA during the conversion. I did not catch the mistake ...
2
votes
1answer
34 views
Rollover IRA: Open with my broker, with my bank, or other? How do I go about evaluating?
I've read a few posts here and here to educate me on the pros/cons for the type of IRA.
I currently have a bank account with a major bank and a brokerage account with a major brokerage company.
How ...
3
votes
1answer
72 views
Can I still deduct contributions to my Traditional IRA?
I worked as a consultant on W2 from January 2012 until October 2012. My company did not offer any 401k. In November 2012, I got a full time job and the new company offered a 401K and enrolled me in ...
5
votes
1answer
37 views
Do I pay taxes on investment income in a traditional IRA?
I have a traditional IRA. I converted it to that during a rollover from a prior employer's 401k, because I wanted to do the investing myself. I am not making regular contributions to this IRA. Do I ...
6
votes
1answer
52 views
How do I report using an IRA distribution to purchase a first home
The tax code allows up to $10,000 to be withdrawn from an IRA (Roth or regular) and put towards the purchase of a first home without having to pay the normal 10% penalty for an early distribution.
...
4
votes
1answer
160 views
How to deal with my job change & 401k loan that I can't fully pay back?
It's been 60 days since I changed my job and I have an outstanding 401(k) loan of $30K(+30k non loan amount). I have only $20K to pay and my 401k plan won't accept the partial amount.
I still didn't ...
0
votes
1answer
52 views
How is money held in escrow for a home purchase from a IRA treated by the IRS?
I'm in the process of purchasing a home and I need to put 5% of the value down to be held in escrow until the deal closes. This money can then either be refunded back to myself or be rolled into the ...
1
vote
3answers
984 views
How should a new investor allocate funds in a Roth IRA?
I started a Roth IRA a little while ago, contributing ~$5,000, and I'd like some guidelines on how I should diversify my investments. Should I invest in stocks or bonds or mutual funds or ETF? What ...
5
votes
5answers
208 views
Is there any reason at all to have a traditional IRA if you already have a 401k and earn more than a certain amount?
I was not aware that if you have a work-sponsored retirement plan, then traditional IRA contributions are pre-tax only if your salary is low enough (according to this).
Given that, is there any ...
8
votes
6answers
590 views
Why should one only contribute up to the employer's match in a 401(k)?
On a recent edition of Jim Cramer's Mad Money, he urgently (does he do things otherwise?) recommended that you ONLY contribute up to the employer's match in your 401(k) and put the rest of what you ...
1
vote
0answers
103 views
How is Deferred IRA Roth Conversion taxed when moving to a new state?
I converted my traditional IRA to a Roth IRA in 2010 and deferred the taxes to 2011 and 2012 while living in California. I then moved to North Carolina in 2011 mid-year. I found the answer for ...
3
votes
1answer
138 views
Former 401(k) plan closed and check mailed to me. Can I roll over this money and avoid paying tax?
My former employer's 401(k) plan has been terminated and I was mailed a distribution check with 20% tax withheld. However, I wanted to move my money into my current employer's 401(k) and not pay tax. ...
2
votes
2answers
97 views
What is the best option: conversion of excess contribution to traditional IRA; distribution, or leave for now?
I made a contribution to traditional IRA in '09. For various reasons, I did not receive some POD CD's of 2008 until now (2012). Now because of higher AGI for that year, figured on amended form, I have ...
8
votes
2answers
135 views
What should I consider when selecting a broker/advisor to manage my IRA?
I am extremely unhappy with my current IRA manager. I am considering a move to another financial planner.
How can I objectively measure a financial expert?
What subjective things should I consider?
...
3
votes
1answer
120 views
What happens to class action awards for a stock in an IRA?
One of the individual stocks I own in an IRA account recently lost a bunch of value, allegedly due to misconduct on its officers' part, and is now the defendant in a bunch of class action lawsuits on ...
2
votes
1answer
130 views
How to use my IRA as a 60 day loan?
I've seen many people on this site mention being able to use the 60 days allowed to move funds from one IRA account into another as a vehicle for a short-term loan. What do I need to know and beware ...
2
votes
1answer
63 views
Does a rollover IRA impact your basis for converting a traditional to Roth?
In the United States, does having a rollover IRA impact your basis for converting a traditional to Roth? I ask because I have a 401(k) with a former employer than I could rollover to an IRA and get ...
2
votes
2answers
66 views
College Savings: Using available IRA vs establishing a 529 plan?
A financial adviser has recommended to me using my IRA to save for my son's college with the following notion in mind:
529 plans must be used for education, therefore if he doesn't want to attend* ...
1
vote
1answer
122 views
IRS letter about 401(k) rollover not shown on return
I got an IRS letter that states my return does not match the records they have from others. In particular, it shows I reported $0 but they were reported a non-zero amount for taxable retirement ...
3
votes
2answers
115 views
How are gains in an IRA taxed vs a Roth IRA?
If I have $10k in an IRA, trade stocks with it until my retirement it accumulates (with no additional contributions) to $100k and withdraw it, how are the $90k gains taxed? How does this differ from a ...
2
votes
3answers
115 views
Are IRAs condusive to short term trading?
Since IRAs are only taxed when you take the money out when you retire, are the normal tax implications of short term trading non-existent? Thereby making it extra beneficial to do your short term ...
2
votes
1answer
104 views
What to do about the 401(k) account when leaving the employer? [duplicate]
Possible Duplicate:
Started new job. Rollover previous employer 401k to new 401k, IRA or Roth IRA?
I have a 401(k) account with my last company. I contributed 6% and company matched up to ...
-3
votes
1answer
108 views
Calculate loss in traditional IRA for deduction [duplicate]
Possible Duplicate:
Emptying a Roth IRA account
I saw an example near the end of this webpage trying to
illustrate how to calculate loss in traditional IRA for deduction.
At the ...
3
votes
6answers
632 views
why is the money withdrawn from traditional IRA taxed at the ordinary income tax rate?
When money is withdrawn from a traditional IRA account, why is the money taxed at the rate same as for ordinary income, instead of capital gain tax rate? In other words, what is the rationale for it?
...
2
votes
1answer
74 views
Are IRAs and 401(k)s protected against lawsuits and garnishments?
There's as similar question about bankruptcy, but these protections apply to lawsuits or garnishments?
3
votes
2answers
759 views
Can capital loss in traditional IRA and Roth IRA be used to offset taxable income?
For traditional IRA and Roth IRA, can capital loss be used to offset taxable income for tax purpose?
If not, when withdrawing from traditional IRA and Roth IRA, can the capital loss now be used to ...
3
votes
1answer
84 views
Can somebody give a brief comparison of TSP and IRAs?
If you can participate in a Thrift Savings Plan (TSP) or you can have an IRA, generally speaking is there an obvious preference?
0
votes
1answer
80 views
Possible pro-rated division of asset strategies without a prenup?
Example:
I have $100,000 in the bank.
I get married.
We start a joint account from scratch. All future salaries and bills from both of us come and go from here.
Is there any way to keep the ...
14
votes
2answers
708 views
Accidentally cashed out 401k instead of rolling it into an IRA. What do i do?
I've recently changed jobs (past two weeks) from an employer with a 401k to a new employer who does not offer any retirement accounts. I made a huge mistake and accidentally cashed out my 401k ...
4
votes
3answers
207 views
My employer does not offer a 401k for the first year. Should I bother with an IRA instead?
My new employer does not offer a 401k for the first year of employment.
Should I bother with creating an IRA account given the max limit is 5k? Or should I just put the 5k in a savings account?
...
6
votes
3answers
317 views
How should minor children be listed as IRA beneficiaries?
I've heard conflicting information on how minor children should be listed as beneficiaries of an IRA. (And perhaps for life insurance.) This is where there is a testamentary trust to provide for the ...
2
votes
3answers
216 views
Any reason to keep IRAs separate?
Whenever I have rolled over a 401k from a previous employer, I have used a separate IRA for each rollover. Now, I would like to consolidate all these different accounts into one single account for the ...
2
votes
1answer
204 views
For an independent contractor, which is better: a traditional IRA or a Roth IRA?
As an independent contractor, I pay more taxes than someone who is on salary with a company. Given that, would I benefit more from a traditional IRA that will give me more tax savings now, as oppose ...
4
votes
1answer
124 views
Contribute to both a SEP IRA and solo Roth 401(k)?
I am self employed in a business venture. Could I theoretically contribute to a SEP IRA where the maximum contribution is $50,000 and to a Solo Roth 401k where the max contribution is $17,500?
I ...
1
vote
2answers
71 views
set pre-tax money aside in 2011, tax liability was lower, use for IRA?
I set pre-tax money aside in 2011. (didn't do estimated taxes, paid neglible penalty)
My tax bill is lower than the amount I set aside in 2011. I still have wage work, so can I use the remaining ...
0
votes
1answer
66 views
IRA tax events and making the maximum contribution
I have a predicament:
I planned to contribute the max of $5000 pretax dollars into my IRA, and
I am receiving a distribution from someone else's IRA that I was the beneficiary of. I instructed this ...
8
votes
1answer
120 views
Investing strategies for tax-advantaged accounts (401k, IRA) vs regular accounts?
What are some investing strategies to take into account when working with a tax advantaged account such as a 401k/IRA versus a normal non tax advantaged account?
I know a big strategy is to buy and ...
3
votes
2answers
60 views
Overspending on an IRA issues
I have an IRA with a discount online brokerage company and somehow they let me overspend on my account. I bought something and I ended up paying more because the transaction went through the day ...
2
votes
2answers
395 views
Can I rollover an “individual retirement annuity” to an IRA?
A few years ago, my wife inherited the assets from some sort of retirement account from a deceased relative. At the time, we were less investment-literate than today, so with the aid of a financial ...
11
votes
2answers
281 views
Is there a way to disclaim an inheritance and decide who gets the inheritance that you disclaim?
Is there a way to disclaim an inheritance but be able to decide who gets the inheritance that you disclaim?
FYI, we are talking about a non-spousal inherited traditional IRA account. The original ...
2
votes
1answer
53 views
Recharacterizing a Roth IRA contribution made in 2010?
In 2010 I rollovered money from a 401(k) to a Roth IRA. At the time, I chose to defer the taxable income to 2011 and 2012. However, I am now just learning about recharacterization. Is it too late for ...
5
votes
2answers
125 views
What's the best option if you can't deduct contributions to a traditional IRA?
Can't put in Roth and it seems wasteful to put it in a traditional after taxes if we can't deduct since it will be taxed again when we take it out. I've heard you can convert the traditional to a ...
2
votes
1answer
30 views
How do IRA conversions actually work?
I understand what IRA conversions are and how they work in theory, but I would like someone who has actually done one (or a few) to explain how it works in practice.
What is the process for the ...
7
votes
2answers
151 views
Company buyout & I don't qualify for the new company's 401k (too young!). What are my options?
I participated in my company's 401K plan for my length of employment as they offered a match program. Now, with the company being bought out, I no longer qualify for the new company's 401K plan due to ...
4
votes
1answer
48 views
Should I have be worrying about selling a mutual fund before keeping it 1 year in an IRA account?
I am considering selling a mutual fund in a Roth account that I have had for less than a year. Since Roth and traditional IRA accounts are tax sheltered and capital gains only apply when distribution ...
14
votes
3answers
218 views
Why is there such disparity of max contribution limits between 401K accounts and regular IRA accounts?
In 2011, regular IRA accounts allowed only $5,000 maximum contribution, while 401K accounts allowed up to $16,500. Why is there such a disparity? Why do tax advantages favor employees of large ...
