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WithoutTheFezOn posted:An important piece of information is, are the monthly payments flat or do they go up every year by a few percent to counter inflation? It's extremely rare for a private pension plan annuity to have a cola adjustment built in to the formula.
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Aug 20, 2022 00:14
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Gotcha. Most of my knowledge is with city and Federal employees.
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Aug 20, 2022 00:16
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spf3million posted:What if it's a pension where the options are: lump sum now, small monthly payout now until death, or larger monthly payout starting at 65 until death? When I left my last company I took the lump sum now since I'm in my mid 30s, the "early" monthly payment was not all that significant and I didn't want to wait until 65 because who knows what could happen to that pension over the next 30 years. By law, when you initiate your pension plan payments they have to show you the relative value of each payment option as a percent. In practice, the plan will use a deferred Factor if you are under age 55 to convert the annuity to a lump sum which usually makes the lump sum the bad choice.
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Aug 20, 2022 00:18
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Recently opened taxable custodial accounts for my kids (8 and 2). Going 100% VTI. I don't see much point in international or bonds given their huge time horizons or am I missing something? The goal is to give them down payments for homes when the time comes as I will be covering their college expenses myself. As for me I am running a 100% equity portfolio with 20+ years to go before retirement saving 22.6% of my income between the Roth IRA and Roth 401k. The IRA is 80% VTI, 10% SCHD, and 10% VIG. My 401k is in VOO as it was the only reasonable option I had. I'm not nuts right? I know everyone says its good to have bonds but volatility just doesn't bother me. I also have a taxable account that generates qualified dividends (50% SCHD, 25% VIG, 25% HDV) which help to fund the IRA. This this a sound strategy? Using dividends from a taxable brokerage account to help fund a Roth IRA?
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Aug 23, 2022 20:34
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Antillie posted:Recently opened taxable custodial accounts for my kids (8 and 2). Going 100% VTI. I don't see much point in international or bonds given their huge time horizons or am I missing something? The goal is to give them down payments for homes when the time comes as I will be covering their college expenses myself. Doesn't seem crazy, but kinda confusing. Money is fungible. If you need dividend yield to fund the Roth IRA and don't have to backdoor and you're either not capping your limits or just are barely, then sure I guess? But then why have a taxable account at all? But if you have enough to fund accounts for your kids and also pay for their college I'd imagine you're in a higher tax bracket and might benefit more from the Trad 401k tax break?
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Aug 23, 2022 21:37
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CubicalSucrose posted:Doesn't seem crazy, but kinda confusing. Money is fungible. If you need dividend yield to fund the Roth IRA and don't have to backdoor and you're either not capping your limits or just are barely, then sure I guess? But then why have a taxable account at all? So the IRA is maxed out each year, with roughly half of that coming from dividends from the taxable account, and the 401k is maxed out or nearly maxed out each year as well depending on how my company's bonus payout is for the year. The taxable account gets a bit of money added in when possible once the IRA is capped for the year although these contributions are now almost entirely going to the custodial accounts. As for why have a taxable account, well, I wanted to invest more than the IRA limit before I had access to a 401k (was working for a tiny company at the time) and it just sorta became a habit that I kept at even as my 401k contributions increased as I got pay raises over the years. It is now the college fund for the kids and doesn't need any more contributions to achieve that goal. And now that I am bumping up near the retirement account contribution limits the taxable account seems like the only real option aside from the custodial accounts. I am in the 22% marginal federal tax bracket (married, filing jointly) and live in a state with no state income tax so the IRA and 401k are both Roth so I can lock this in now. Sure tax rates might not go up but they probably won't go down either. I also don't want to have to deal with RMDs when I am old. I also want to be able to play Roth conversion tax bracket games with my traditional IRA (the result of rolling over an old Roth 401k, the employer match portion was pre tax so it split into two IRAs, one traditional, one Roth) when I am retired and living off the Roth IRA. Antillie fucked around with this message at 22:02 on Aug 23, 2022 |
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Aug 23, 2022 21:59
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I accidentally contributed $500 over the yearly limit to my Roth IRA. Do I just have to eat the fine/penalty on this, or is there a better way of handling it? There doesn’t seem to be an obvious “oops, I hosed up” option on Vanguard’s site. I will obviously call them if needed, but I’d like to know what I’m talking about when I do. Are there forms I need to fill out? Am I going to jail? 
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Aug 23, 2022 23:28
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mekyabetsu posted:I accidentally contributed $500 over the yearly limit to my Roth IRA. Do I just have to eat the fine/penalty on this, or is there a better way of handling it? There doesn’t seem to be an obvious “oops, I hosed up” option on Vanguard’s site. I will obviously call them if needed, but I’d like to know what I’m talking about when I do. Are there forms I need to fill out? Am I going to jail? Call Vanguard and explain what happened. There is a process for pulling the money out. The sooner you get it out the less the penalties will be. No, not jail time. Just fines. 6% of the overage amount per year to be specific. Since we are far from tax time you'll probably be able to shift the $500 over to a taxable brokerage account without penalty. Either way you will need to deal with it by calling Vanguard. The sooner you correct the issue the easier it will be to deal with. Edit: Vanguard as a page about this here. Antillie fucked around with this message at 00:50 on Aug 24, 2022 |
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Aug 24, 2022 00:33
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Antillie posted:Recently opened taxable custodial accounts for my kids (8 and 2). Going 100% VTI. I don't see much point in international or bonds given their huge time horizons or am I missing something? The goal is to give them down payments for homes when the time comes as I will be covering their college expenses myself. the question of bonds and international equity versus us equity in a long-term portfolio is a difficult one. bonds have had consistently worse real returns than equities during the modern era, which suggests that a long term investor with the ability to stomach volatility should maximize equities until their investing horizon shortens and they need to de-risk. it's a concept that i think was really popularized by jeremy siegel in "stocks for the long run". however, some suggests that incorporating newly digitized historical stock and bond data and correcting for several errors made by siegel in his analysis, show that stocks and bonds have both had long periods of out performance. this paper by prof. edward mcquarrie has been making the rounds (it's not peer-reviewed, but i haven't seen any critics refuting his sources or methodology). the question of whether previous out performance by bonds will never happen again is an open one, i think there is a compelling argument to be made that much of the risk has been removed from sovereign debt in the modern era, and thus most of the returns as well. however, it is a reminder that there is no guarantee that stocks by their nature will always provide a better return than bonds even with a very long investing horizon. international equity has also tended to lag us equitiyfor much of the last 30 years, with a few scattered periods of brief out performance. the argument here is one of diversification. historically many countries have had negative real total returns in their equities markets for multiple decades, even in the post 1920's modern era (france, germany, and japan 1900-1950; italy 1961-1991; spain 1930-1980) and many others have had anemic positive real total returns of less than 3% annualized for similar time frames (portugal 1970-2020, sweden 1898-1948, new zealand 1960-1990). some of these cases involved wars, invasion, and occupation, but not all. the suggestion is that there is the risk that at some point us equities will be negative or flat or generally underperform for multiple decades, and a portfolio should include broad international equity to limit that risk. others argue that the us is unique in its legal protections for corporations, its business-friendly regulations, and its general capitalist ethos, and that these will ensure better long term returns; or that the us is so important to the global economy that any multi-decade crisis in the us equities market would spill over into the international market i tend to error on the side of diversification, but i still hold much more equities than i do bonds. i mostly just try to be mindful that i am not guaranteed positive returns, even over the long run. if you do keep the accounts 100% vti, when your kids assume control of the account you might want to suggest a glide path to bonds so that there is less risk in the portfolio when they enter the stage in life where they'll probably want to buy a house
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Aug 24, 2022 02:27
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Antillie posted:Call Vanguard and explain what happened. There is a process for pulling the money out. The sooner you get it out the less the penalties will be. No, not jail time. Just fines. 6% of the overage amount per year to be specific. Since we are far from tax time you'll probably be able to shift the $500 over to a taxable brokerage account without penalty. Either way you will need to deal with it by calling Vanguard. The sooner you correct the issue the easier it will be to deal with. 
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Aug 25, 2022 10:59
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Is there a Vanguard equivalent of "just spread out my money across the Morningstar quadrants, but tax-efficient"? I'm already maxed on 401k, backdoor Roth, HSA, etc. No 529 either. I've got enough going into bonds to make my risk tolerance happy, so this is just "where do I start putting regular post-tax brokerage $ in until I retire or need to replace a car" turf. I'm looking at just sticking it into VTMFX unless there's a better way.
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Aug 25, 2022 21:05
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That's 50% equities 50% munis, if you're intending to not put more money in bonds, this isn't the answer. Unless you pull money out of bonds in your tax-advantaged accounts to compensate. The stock portion is their Russell 1000 index. For your first question, you don't need the money in one particular account to replicate the asset allocation you want for your whole portfolio: only your whole portfolio needs to do that. So you could have nothing but stocks or nothing but bonds in your post-tax brokerage account and just adjust your allocation in other accounts to suit. Lastly, these are long-term investment options and not something for saving cash for a car. Unless you don't need that car for 20 years.
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Aug 25, 2022 21:20
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Yeah, I'm honestly at the point where my long term goals are "sock away in post-tax until retirement or emergency". My post-tax brokerage is already not the greatest allocated for tax advantage, because younger me didn't quite have the income to max 401ks. I didn't want to sell to buy, so my long-term plans would be to just buy into tax-efficient as best I can. My present post-tax looks like this: VBTLX - $22,500 VFORX - $91,400 VNJTX - $11,500 VTSAX - $137,500 VXUS - $36,700 Around 11% bonds, not including however much bonds are in VFORX at present. I'll be selling $5k soon to gift to an incoming niece, probably from VBTLX. Am I basically looking at finding a standard two or three Vanguard ETFs to do the tax-efficient layout, or should I just kinda shrug and continue putting into VTSAX/VXUS/VNJTX/VBTLX to match my risk tolerance over time? I'll probably keep bonds as they are until I turn 45, at which point it'll probably move to around 15-16% bonds.
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Aug 26, 2022 14:06
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While helping my GF rollover her Fidelity 401k into a Fidelity IRA I had her put the total amount in a Vanguard mutual fund. She had to pay a $75 fee for the transaction but the expense ratio was 0.08% vs 0.75% for the equivalent Fidelity fund. Fine print didn't mention any additional fees, this was the correct decision? We're like 30 years away for retirement for reference and the transfer amount was ~150k. edit: should be more specific sorry, the comparison is FDEEX (0.75%) vs VFFVX (0.08%) + $75 transaction fee. Gorman Thomas fucked around with this message at 20:23 on Aug 28, 2022 |
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Aug 28, 2022 20:15
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Fidelity should have an equivalent fund (freedom index funds) with a lower expense ratio than the Vanguard version. But if this is a one time thing then $75 isn't too bad. Just stick to Fidelity index funds in the future. I'd also consider exchanging the Vanguard funds to the Fidelity version since it is tax deferred. edit https://fundresearch.fidelity.com/mutual-funds/summary/315793828 The ER is slightly higher but really negligible Mu Zeta fucked around with this message at 20:36 on Aug 28, 2022 |
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Aug 28, 2022 20:18
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Mu Zeta posted:Fidelity should have an equivalent fund (freedom index funds) with a lower expense ratio than the Vanguard version. But if this is a one time thing then $75 isn't too bad. Just stick to Fidelity index funds in the future. This is what I use, I yeet my entire 401k into the Fidelity S&P 500 fund, as its much cheaper than the target date retirement funds choices we have.
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Aug 28, 2022 20:20
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Mu Zeta posted:Fidelity should have an equivalent fund (freedom index funds) with a lower expense ratio than the Vanguard version. But if this is a one time thing then $75 isn't too bad. Just stick to Fidelity index funds in the future. I'd also consider exchanging the Vanguard funds to the Fidelity version since it is tax deferred. I didn't know Fidelity had Admiral share equivalents drat. Future contributions will be in FDEWX thanks!
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Aug 28, 2022 20:42
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A lot of Vanguard mutual funds have ETF versions. Like VTSAX and VTI or VFIAX and VOO. I like buying the Vanguard ETFs on Fidelity's platform as Fidelity does fractional shares and there are no investment minimums. Fidelity also doesn't charge any fees or commissions for ETFs either. And of course you still get the benefit of Vanguard's low expense ratios. Which are actually 1 basis point lower on the ETF versions for some reason. Fidelity also has plenty of low cost mutual funds of their own as well. Like FSKAX and FXAIX, which actually beat the Vanguard funds on cost. If you are looking for a target date fund Fidelity has two sets of offerings, Freedom <year> Funds which are actively managed at 75 basis points, and Freedom Index <year> funds which are passive at 12 basis points. Of course finding the index versions is a bit more work on Google or Fidelity's own site. Personally I prefer ETFs over mutual funds as they have a more tax efficient structure (which doesn't matter in a retirement account) and they are always portable to other brokers. For example Fidelity's zero fee funds (like FXZROX) cannot be ported in kind to any other broker (100% intentional on Fidelity's part) but ETFs like VTI can be. Antillie fucked around with this message at 00:20 on Aug 30, 2022 |
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Aug 30, 2022 00:04
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MJP posted:Yeah, I'm honestly at the point where my long term goals are "sock away in post-tax until retirement or emergency". In terms of allocation, you're again only showing your non-tax-advantaged account in isolation from your 401k, which is the wrong way to look at it. You want to evaluate the asset allocation of your entire investment portfolio as a whole, that means put everything in your 401k and any IRA you have on the same spreadsheet as your brokerage account, and then calculate your total investment in each category (domestic stock, intl stock, bonds). You might want to consider ETFs instead of mutual funds in your brokerage account. You might want to consider not holding a target date retirement fund in your brokerage account: that fund will sell stocks to buy bonds every year as it gradually increases its bond allocation, and you will pay taxes on those asset shifts. Target date retirement funds are built for 401ks and IRAs. All that said: your bond allocation is higher than 11%. You need to make a spreadsheet like this, but add in the rest of your portfolio:  You are currently holding 17.5% bonds in this segment of your portfolio, and that will rise every year due to your allocation in VFORX, unless you overweight contribution to the other funds as deposits going forward, and of course as-effected by relative movements between the various assets in the market.
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Aug 30, 2022 00:40
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leper I think you are doing a great service in breaking that down via spreadsheet, good post but have you considered the great catastrophe that is your use of openoffice instead of libreoffice https://www.libreoffice.org/discover/libreoffice-vs-openoffice/
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Aug 30, 2022 01:43
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pmchem posted:leper I think you are doing a great service in breaking that down via spreadsheet, good post I see your catastrophic use of Open Office and raise you one cataclysmic use of Excel:     VOO is the Roth 401k. I recently changed jobs and rolled the old one into the Roth IRA so the new one is still small. The LIN is, well, first world problems.
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Aug 30, 2022 02:07
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Antillie posted:I see your catastrophic use of Open Office and raise you one cataclysmic use of Excel: I’d say first world problems are on the rise so definitely increase your allocation there.
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Aug 30, 2022 02:22
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pmchem posted:leper I think you are doing a great service in breaking that down via spreadsheet, good post Man i have used open office for a long time. Apparently i am dumb about paying attention to developments out there. I have been getting a ton of crashes on open calc so looks like i should see what libre office has to offer.
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Aug 30, 2022 02:45
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pseudanonymous posted:I’d say first world problems are on the rise so definitely increase your allocation there. I'm trying to get out of the business of owning individual stocks. LIN is the last one left due to the stupid amount of US capital gains and Irish Stamp Duty taxes I would have to pay if I sold it. Having 45% of my overall investments in a single company makes me super nervous but I just don't feel there is anything I can really do about it without taxes eating me alive. So I reinvest the dividends from it into index funds in the Roth IRAs. (One for me, one for my wife.)
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Aug 30, 2022 02:46
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pmchem posted:leper I think you are doing a great service in breaking that down via spreadsheet, good post I use textpad as my text editor, too also I still run winamp no but seriously though cool, I haven't looked in ages but I'll check out libreoffice Antillie posted:I'm trying to get out of the business of owning individual stocks. LIN is the last one left due to the stupid amount of US capital gains and Irish Stamp Duty taxes I would have to pay if I sold it. Having 45% of my overall investments in a single company makes me super nervous but I just don't feel there is anything I can really do about it without taxes eating me alive. So I reinvest the dividends from it into index funds in the Roth IRAs. (One for me, one for my wife.) You will have to sell it eventually, unless you plan to put 100% of that stock into your will for your inheritors. Assuming you eventually want to spend that money, you'll need to sell, right? Meanwhile you're exposed to a concentration risk. Check with a tax consultant and figure out how to divest. Maybe just a chunk each year, or something.
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Aug 30, 2022 06:46
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3d pie charts gah
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Aug 30, 2022 09:04
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an iksar marauder posted:3d pie charts gah Literally the only thing worse than a pie chart is a 3d pie chart
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Aug 30, 2022 12:33
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Leperflesh posted:You will have to sell it eventually, unless you plan to put 100% of that stock into your will for your inheritors. Assuming you eventually want to spend that money, you'll need to sell, right? Meanwhile you're exposed to a concentration risk. I've actually considered doing that and letting them benefit from the stepped up cost basis. In hindsight I could have sold it all in 2018 with essentially no additional capital gains tax after the merger. But on the other hand its done quite well since then beating the US index by ~6.6% CAGR and I will be able to retire just fine on my retirement accounts alone anyway. I could sell it over the course of a couple years and stay in the 15% capital gains tax bracket. But doing that would push me past the income limit for Roth IRA contributions. If I want to remain able to contribute to my Roth IRA it will take me 56 years to devest assuming the stock stays flat the entire time. So in the end I will probably just wait until I retire in 25 years and then devest over the course of a few years when I'm no longer adding to my Roth IRA anyway. I'll just have to juggle the devestments with Roth conversions from my traditional IRA and whatever dividends I am getting from the rest of my taxable account so I don't shoot myself into too high of a tax bracket. I won't be able to realistically capture the 0% long term capital gains tax bracket anyway as devesting at 80k a year would take over 60 years at the current share price. Edit: Maybe devesting over the course of two or three years and eating the 15% capital gains now would be worth getting to a more diversified position in something like VXUS since I can't meaningfully capture the 0% long term capital gains tax bracket anyway. Antillie fucked around with this message at 14:52 on Aug 30, 2022 |
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Aug 30, 2022 14:32
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I feel like you're complicating this to high heaven for reasons I don't understand. Being over the Roth IRA limit just means you should be backdooring. That is a very straightforward process.
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Aug 30, 2022 14:40
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KYOON GRIFFEY JR posted:I feel like you're complicating this to high heaven for reasons I don't understand. Being over the Roth IRA limit just means you should be backdooring. That is a very straightforward process. I think you are right. I will just need to spend two or three years devesting and stick 6k into a traditional IRA in each of those years and then Roth convert it once the devesting is done. I'll need to read up on the details of the process but I'm sure google can teach me all about it.
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Aug 30, 2022 14:50
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Antillie posted:I think you are right. I will just need to spend two or three years devesting and stick 6k into a traditional IRA in each of those years and then Roth convert it once the devesting is done. I'll need to read up on the details of the process but I'm sure google can teach me all about it. I can't quite tell from your earlier posts, though, do you already have money in a Traditional IRA? If yes then that complicates the backdoor issue a bit, especially if you get hung up on tax complications (it sounds like it!).
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Aug 30, 2022 16:39
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fourwood posted:
I actually wanted to ask the thread this and I'm really bad with finances so bear with me: I have about $x in a trad IRA and above MAGI limits for Roth. My complication is that the $x is actively invested in goon approved Fidelity ETFs. From my understanding, in order to backdoor Roth, do I just need to do the following: 1) Call Fidelity and have them convert to Roth 2) Check my MAGI + $x and budget for additional taxes for 2022 to account for the conversion 3) Call my CPA and file Form 8606? 4) Do all of the above within 1 calendar year to keep it simpler 5) From then on donate $6k to trad IRA then roll over to Roth IRA yearly, making sure not to invest UNTIL it is in the Roth IRA? Thank you in advance.
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Aug 30, 2022 17:08
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I just closed on my second home sale of the year. I'm trying to figure out where to shove the proceeds with an expected ~8 month window before we might look into buying a new home post-relocation. It looks like the yield for 6 month treasuries is above 3% right now, which seems to blow any other options out of the water (besides I-Bonds, but that's a longer term commitment). I don't anticipate any need for these funds before that maturation period. Are there any reasons to not just figure out how to do the next treasury direct auction and buy 6 month bonds?
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Aug 30, 2022 17:25
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fourwood posted:The theoretical ideal amount of time to leave non-deductible contributions in a TradIRA before backdooring to a Roth is 0, and the max practical limit is basically the number of days between the day you deposit the money and Dec. 31 of that same tax year (so, not at the end of a multi-year process). The short version is you should probably contribute $6k in one lump some once per year and backdoor it as soon as your brokerage portal will let you (~2-3 days) and then forget about the Roth IRA income limits entirely. Good point about pushing the money through the back door asap. Yeah I have some in a traditional IRA so that would complicate things. The result of rolling over an old Roth 401k where the employer match was pre tax and got split off during the rollover. I didn't know the employer match wasn't Roth before I rolled it over. My Roth IRA is so much larger that I don't really pay any attention to the traditional one. I was planning to Roth convert it after I retire but I could always do that now I guess using some of the proceeds from devesting from LIN to cover the taxes.
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Aug 30, 2022 17:30
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fourwood posted:I can't quite tell from your earlier posts, though, do you already have money in a Traditional IRA? If yes then that complicates the backdoor issue a bit, especially if you get hung up on tax complications (it sounds like it!). Based on the hideous 3D pie chart it does not appear that OP has a trad IRA. edit Oh I see, that isn't the case. How much money is in the Trad IRA? If it's not a ton, take that hit at a relatively low tax bracket today before you start selling LIN and pushing up your MAGI. Then start selling LIN and doing the backdoor IRA deal.
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Aug 30, 2022 17:30
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Antillie posted:Yeah I have some in a traditional IRA so that would complicate things. The result of rolling over an old Roth 401k where the employer match was pre tax and got split off during the rollover. Does your current employer have a 401k that will allow you to roll this trad IRA into it? That would empty your trad balance with no tax hit and you'd be able to backdoor without paying taxes on it now.
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Aug 30, 2022 18:07
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SamDabbers posted:Does your current employer have a 401k that will allow you to roll this trad IRA into it? That would empty your trad balance with no tax hit and you'd be able to backdoor without paying taxes on it now. Good call on this if it's an option.
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Aug 30, 2022 18:13
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KYOON GRIFFEY JR posted:How much money is in the Trad IRA? If it's not a ton, take that hit at a relatively low tax bracket today before you start selling LIN and pushing up your MAGI. Then start selling LIN and doing the backdoor IRA deal. About $60k. So if I Roth convert it I will need to do so over the course of a couple of years so I don't knock myself into a higher tax bracket. Not this year though. I already have lots of tax crap going on from reorganizing my accounts away from individual stocks and active mutual funds and into index funds. So going this route the plan would be: Year 1: Roth convert about half of the tIRA and sell some LIN to cover the taxes. Contribute to the rIRA as normal. Year 2: Roth convert the rest of the tIRA and sell some LIN to cover the taxes. Contribute to the rIRA as normal. Year 3: Sell the about half of LIN and use the proceeds to build a properly diversified international position with index funds (probably just VXUS). Backdoor 6k into the rIRA. Year 4: Sell the rest of LIN and reinvest into index funds. Backdoor 6k into the rIRA. Year 5: Resume normal rIRA contributions. SamDabbers posted:Does your current employer have a 401k that will allow you to roll this trad IRA into it? That would empty your trad balance with no tax hit and you'd be able to backdoor without paying taxes on it now. I had no idea you could do that. I will ask HR. If they allow it I will totally do this. That would allow me to skip steps 1 and 2 in the above plan. Antillie fucked around with this message at 18:30 on Aug 30, 2022 |
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Aug 30, 2022 18:27
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Velius posted:I just closed on my second home sale of the year. I'm trying to figure out where to shove the proceeds with an expected ~8 month window before we might look into buying a new home post-relocation. It looks like the yield for 6 month treasuries is above 3% right now, which seems to blow any other options out of the water (besides I-Bonds, but that's a longer term commitment). I don't anticipate any need for these funds before that maturation period. Are there any reasons to not just figure out how to do the next treasury direct auction and buy 6 month bonds? I-bonds are a maximum buy of $10k per person per year, so don't even bother with that for such a large amount of money, it's irrelevant. Please be aware that the interest rate return listed everywhere for a six-month treasury bill is the annualized rate of return, so that they can be apples-to-apples compared to other bonds; your actual return currently for buying a single set of six-month bills is about half the listed rate. Consider whether the return will be worth the effort vs. other options like CDs or a money market account. Also that 8 month window is interesting because of the rules on 1031 exchanges etc. Depending on whether this was a primary home, and various other factors, you may have a 1-year window in which to reinvest before you could owe a lot more in cap gains tax on the sale. Check with your tax expert for your specific situation and know going in whether you need to re-buy within 1 year of sale or whatever.
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Aug 30, 2022 18:29
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Antillie posted:I had no idea you could do that. I will ask HR. If they allow it I will totally do this. That would allow me to skip steps 1 and 2 in the above plan. It may help to refer to it as a Rollover IRA when talking with HR. That's a trad IRA account established when you roll out of a previous employer's 401k and it only has that rollover balance in it with no non-401k contributions. Rollover IRAs can generally be rolled back into a new employer's 401k if the plan allows it, while a trad IRA account that you contributed directly to would not be allowed. SamDabbers fucked around with this message at 18:41 on Aug 30, 2022 |
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Aug 30, 2022 18:38
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