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mrmcd posted:There are no actual Fidelity banking branches if you need something like a cashier's check. if they are at all like ally which also has no physical branches you can call and they will overnight you a cashier's check
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# ? Nov 10, 2023 20:29 |
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# ? May 16, 2024 10:53 |
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Set up the CMA, was pretty straightforward. Apparently I had a fidelity account from like 25 years ago with a few cents in it, so I was able to add the new account to my existing info. FYI, if anyone is considering opening an account, there is currently a $100 account opening bonus with code FIDELITY100. I certainly didnt open the account to get the bonus, but its a nice plus. I'll look into the various core position options and what not after I get some money in the account and get my payroll moved over.
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# ? Nov 10, 2023 20:33 |
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Bremen posted:Mine isn't a cash management account, but I have what's listed as an "Individual" account at Fidelity. I just leave the money in cash and have it set to keep that in SPAXX, which is currently yielding about 5% and since SPAXX is also Fidelity they're fine with me drawing the money out as needed for same day payments. Actually you should listen to Jabarto about this, it sounds like they know it much better than I do. The only real reason I can think not to just use the individual/brokerage account as a checking account is behavioral. Resisting the temptation to yolo your bill paying money on more investments etc. It might be useful then to still have a pure checking account either CMA or at another bank that you fund from the individual account just as needed. Also some are leery about linking a debit card to a potentially very large cash account for fraud purposes.
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# ? Nov 10, 2023 21:02 |
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Subvisual Haze posted:Actually you can get a debit card and write checks from an individual/brokerage account too (it's quite easy too, just go to the "account features" tab and you can request each individual option to be added to the account). Apparently the only real advantage a CMA has over a brokerage/individual account is waving of ATM fees. The brokerage account also has a clear advantage in interest rates since the core positions there are yielding around 5% interest (FZFXX or SPAXX). From the sounds of it you can still put the CMA money into SPAXX and have it auto-convert to cover withdrawals, so it really just comes down to whether needing to use their website to manually buy a fund is worth the free ATM use. Which, if you're going to use the ATM at all and are the kind of person who posts on SA, is fairly likely to be yes. I guess there's also some amount of risk, but my philosophy is that if a short term government treasury fund tanks, a bank account probably wouldn't be in a great spot either. Of course, the yield on short term government treasuries is probably not going to stay at 5% long term, but it's a really nice way to be parking your checking or equivalent money right now. That's what finally got me to stop keeping so much in my checking account after years of very low yields. Bremen fucked around with this message at 22:34 on Nov 10, 2023 |
# ? Nov 10, 2023 22:29 |
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Not a Children posted:I recently had a pow-wow with my 401(k) administrator (through Vanguard), a service offered for free through my employer. I've been lucky enough to be able to consistently max out my 403(b) and Roth IRA, and am trying to chart the best course for early retirement. Since I started my career I've been using pretax 401(k)/403(b)s, and ROTH IRAs as is the general wisdom. The advisor I spoke to was of the opinion that because I can afford it I should contribute to a Roth 403(b) rather than contribute with pre-tax income to reduce my taxable income in the future. I'm in my mid-30s, so it's not unreasonable that I'd be making more later on. I personally like to hedge my bets and do a bit of both (except for IRAs, which are all Roth to avoid messy conversions), especially since my income now is probably higher than it will be in retirement. Also, while I don't expect it to happen, there's always the possibility that a future Congress could gently caress around with Roths, whereas it's highly unlikely and logistically difficult for them to go back and take away your deduction from many years ago.
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# ? Nov 11, 2023 08:34 |
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Mad Wack posted:if they are at all like ally which also has no physical branches you can call and they will overnight you a cashier's check How do people buy houses with Ally Bank? I would not be ok with "overnighting" a six digit cashier's check
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# ? Nov 12, 2023 00:54 |
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twerking on the railroad posted:How do people buy houses with Ally Bank? wire transfers are a thing
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# ? Nov 12, 2023 01:10 |
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pmchem posted:wire transfers are a thing My credit union where I have my checking account and also is my mortgage lender made me do a full paperwork'd wire transfer to take the money out of the checking account to close on my home.
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# ? Nov 12, 2023 01:21 |
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twerking on the railroad posted:How do people buy houses with Ally Bank? wire transfers. the title company I dealt with wanted a wire instead of a physical check regardless of institution. instantly verifiable.
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# ? Nov 12, 2023 02:24 |
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How do people buy houses without wire transfers? Also wire transfers are the scariest things.
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# ? Nov 12, 2023 04:42 |
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Ally bank wire transfers doubly so since their customer service is deeply unhelpful. I regret not getting a cashiers check from mega corp bank that we also had an account with that had a branch across the street from the place we did closing.
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# ? Nov 12, 2023 04:58 |
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bergeoisie posted:Ally bank wire transfers doubly so since their customer service is deeply unhelpful. I regret not getting a cashiers check from mega corp bank that we also had an account with that had a branch across the street from the place we did closing. I have done a wire twice from Ally to close on a house. No issues either time.
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# ? Nov 12, 2023 05:57 |
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yeah my wire from ally was fine too
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# ? Nov 12, 2023 15:56 |
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The transfer itself was fine in the end, customer support was just completely unavailable to provide any assistance to the state of the wire transfer. Their line was that they batch the transfers at the end of the day and have no insight once it enters that process. I have no idea if that’s true but I do know I’ll use a different bank next time.
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# ? Nov 12, 2023 16:26 |
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Funny, I’ve used Ally a few times for care/house purchases. Everything went through fine but I also had a similar experience with them not having a great idea of the wire status. Are vanguard/Schwab better?
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# ? Nov 12, 2023 16:42 |
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bergeoisie posted:The transfer itself was fine in the end, customer support was just completely unavailable to provide any assistance to the state of the wire transfer. Their line was that they batch the transfers at the end of the day and have no insight once it enters that process. I have no idea if that’s true but I do know I’ll use a different bank next time. Batched at the end of the day sounds like an ACH payment, not a wire. Both are electronic transfers, but wires are "real time" (this doesnt mean instant, though it can be), and explicitly not grouped with other transactions. For a US to US bank wire, it would go through Fedwire.
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# ? Nov 12, 2023 16:59 |
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drk posted:Batched at the end of the day sounds like an ACH payment, not a wire. Both are electronic transfers, but wires are "real time" (this doesnt mean instant, though it can be), and explicitly not grouped with other transactions. For a US to US bank wire, it would go through Fedwire. I understand the difference. This was absolutely a wire transfer. I am merely telling you what Ally’s customer support told me. You can find several people elsewhere on the internet (bogleheads, etc) who have reported similar experiences. It is very bizarre and why I am suggesting folks might want to use a different institution for wire transfers.
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# ? Nov 12, 2023 17:39 |
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Yeah, who knows. My Ally wires were both confirmed received within minutes.
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# ? Nov 12, 2023 17:47 |
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Bremen posted:From the sounds of it you can still put the CMA money into SPAXX and have it auto-convert to cover withdrawals, so it really just comes down to whether needing to use their website to manually buy a fund is worth the free ATM use. Which, if you're going to use the ATM at all and are the kind of person who posts on SA, is fairly likely to be yes. I guess there's also some amount of risk, but my philosophy is that if a short term government treasury fund tanks, a bank account probably wouldn't be in a great spot either.
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# ? Nov 13, 2023 00:51 |
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Yeah, annoyingly there is no official list that I found, but the following rules applyFidelity posted:Auto-liquidation requirements for non-core money market funds: Many people have said they use FDLXX, which is what I plan to do. So, not only will it earn 5% or so (currently), but it is almost entirely exempt from state taxes. Big win for high tax states like California.
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# ? Nov 13, 2023 02:35 |
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drk posted:Yeah, annoyingly there is no official list that I found, but the following rules apply That's what I do. We have a flat state tax here in CO and I'm in a low tax bracket so it works well for me.
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# ? Nov 13, 2023 05:47 |
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MegaZeroX posted:I don't think your income level analysis is entirely correct. Thanks - this was a really good post and it's all factually correct and can be good to think about. At some point, though, a lot of this stuff is pretty marginal / "you've already won" type stuff. Maybe this is overly simplistic and reflects my very middle class background, but if I'm pulling down $250K annually in retirement I've won. At that point I'm not gonna be fussed if I'm paying the 3.8% net investment tax or if I end up paying a few hundred bucks more for Medicare Part B each year.
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# ? Nov 13, 2023 14:49 |
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KYOON GRIFFEY JR posted:if I'm pulling down $250K annually in retirement I've won. You say that now but just wait until inflation kicks in.
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# ? Nov 13, 2023 15:30 |
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nelson posted:You say that now but just wait until inflation kicks in. 250K in 2063 is roughly $93K in 2023 dollars. That's gonna be just fine.
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# ? Nov 13, 2023 15:38 |
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KYOON GRIFFEY JR posted:250K in 2063 is roughly $93K in 2023 dollars. That's gonna be just fine. Assuming only 2.5% annualized inflation feels a bit rosy.
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# ? Nov 13, 2023 16:31 |
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Fuschia tude posted:Assuming only 2.5% annualized inflation feels a bit rosy. I guess average is really more like 3% but sure anyway whole thing is kind of missing the original point which is: if you have to pay a little extra money for Medicare Part B or the Net Investment Income Tax this is because you are earning a bunch of income in retirement. if that's the case, you've done well. I'm not sure it's worth fussing over potential 3.8% incremental tax on your interest/dividends/cap gains income.
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# ? Nov 13, 2023 16:44 |
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We almost always discuss the future in inflation-adjusted dollars anyway, making assumptions about long-term performance of our portfolios that they will outpace inflation by some amount. Typically conservative estimates of an equities-heavy portfolio (like, 70%+ in stock funds) are inflation plus 4-5%.
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# ? Nov 13, 2023 17:41 |
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One thing I learned about wire transfers recently is Swift has a little chat feature where banks can send each other messages asking about transactions. Except it's some ancient technology so they have to write them like telegrams or weather teletype forecasts.
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# ? Nov 14, 2023 04:09 |
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mrmcd posted:One thing I learned about wire transfers recently is Swift has a little chat feature where banks can send each other messages asking about transactions. Except it's some ancient technology so they have to write them like telegrams or weather teletype forecasts. Banking computerized too early and banks are a horrible hodgepodge of anachronistic 90s systems that barely talk to each other (or don’t and you are exporting and importing csv files that track millions in assets between systems) I’m constantly amazed that fintech seems to keep failing nonstop. Everyone seems to want to cheat or scam but just build a traditional bank on a solid modern technology foundation and use your more efficient operating to undercut your competitors with better service and rates. Nah let’s make a crypto / student loan blockchain AI APP bank lol.
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# ? Nov 14, 2023 07:54 |
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Just got an email that HMBradley is shutting down their deposit program and closing all accounts Dec 15 It was good during the low interest rates, but once they rose I had more or less moved everything to Synchrony anyway.
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# ? Nov 15, 2023 18:38 |
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seiferguy posted:Just got an email that HMBradley is shutting down their deposit program and closing all accounts Dec 15 Thanks for the interest payments on my savings, venture capital. It was mildly inconvenient.
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# ? Nov 15, 2023 19:00 |
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My company has just started offering 401k benefits. I'm not sure if there's employer matching on the contributions right now. The problem is I'm fairly frustrated with management and I'm now (slowly) looking for new jobs. So, my question is: should I bother setting up the 401k now? I could find a new job tomorrow, or a few months from now, or never because I'm lazy. Is it going to be more trouble than it's worth to try to migrate/close the 401k account if I'm going to potentially leave the company fairly soon?
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# ? Nov 16, 2023 21:05 |
KYOON GRIFFEY JR posted:Thanks - this was a really good post and it's all factually correct and can be good to think about. At some point, though, a lot of this stuff is pretty marginal / "you've already won" type stuff. Maybe this is overly simplistic and reflects my very middle class background, but if I'm pulling down $250K annually in retirement I've won. At that point I'm not gonna be fussed if I'm paying the 3.8% net investment tax or if I end up paying a few hundred bucks more for Medicare Part B each year. Sorry for the late response, but yeah, most of them are somewhat minor. The biggest thing is the 0% capital gains, which for married people that are sole breadwinners who expect to work 30 years, where the real value to approximately triple with a 30 year retirement horizon to be able to contribute about 50k to what is virtually a roth account. pseudorandom posted:My company has just started offering 401k benefits. I'm not sure if there's employer matching on the contributions right now. The problem is I'm fairly frustrated with management and I'm now (slowly) looking for new jobs. I would check in with HR about their personal rules about rollovers
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# ? Nov 16, 2023 21:22 |
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pseudorandom posted:My company has just started offering 401k benefits. I'm not sure if there's employer matching on the contributions right now. The problem is I'm fairly frustrated with management and I'm now (slowly) looking for new jobs. Do it now. If you leave the company, "not touching the 401k at all" until you retire is going to be a very above-average outcome.
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# ? Nov 16, 2023 21:46 |
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pseudorandom posted:My company has just started offering 401k benefits. I'm not sure if there's employer matching on the contributions right now. The problem is I'm fairly frustrated with management and I'm now (slowly) looking for new jobs. They're usually pretty easy to rollover and if you can't, it just sits there and that is fine too. Retirement savings is better than no retirement savings. Doubly so if there's a match.
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# ? Nov 16, 2023 21:48 |
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pseudorandom posted:My company has just started offering 401k benefits. I'm not sure if there's employer matching on the contributions right now. The problem is I'm fairly frustrated with management and I'm now (slowly) looking for new jobs. Rolling over is fairly easy and you should never put off saving for retirement, unless you have a bunch of high interest rate credit card balances.
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# ? Nov 16, 2023 21:55 |
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pseudorandom posted:My company has just started offering 401k benefits. I'm not sure if there's employer matching on the contributions right now. The problem is I'm fairly frustrated with management and I'm now (slowly) looking for new jobs. The second best time is now to save for retirement. Worst case I think is if you leave your job with less than $5000 in your 401k. Then your employer can close your account and send you a check, and you have 60 days to rollover. Above $5000, you can keep it in your old 401k until you are ready to rollover into your new employer's 401k or an IRA.
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# ? Nov 16, 2023 22:08 |
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Alright, thanks everyone, I'll set it up.
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# ? Nov 16, 2023 22:37 |
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MegaZeroX posted:Sorry for the late response, but yeah, most of them are somewhat minor. The biggest thing is the 0% capital gains, which for married people that are sole breadwinners who expect to work 30 years, where the real value to approximately triple with a 30 year retirement horizon to be able to contribute about 50k to what is virtually a roth account. I don’t think they can stop you from doing a rollover IANAL but I think it’s part of the regulations, once you’re no longer employed there they can’t force you to hold money in their plan. They probably can be nasty about it though.
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# ? Nov 17, 2023 03:05 |
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# ? May 16, 2024 10:53 |
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I was let go from my previous job in July and finished rolling over my 401k into Vanguard. Vanguard created a new account called "Rollover IRA Brokerage Account". It's currently allocated into the Vanguard Target Retirement 2050 fund. There is a button to "Convert to Roth IRA". Is there any reason why I should or should not do this?
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# ? Nov 17, 2023 05:24 |