Money & Economics

[bigredfish]

We need to shut down the Internet.
Or at least force you to get a license to use it. Can’t have just anyone out there spewing the approved messages

That’s the ticket!

 

[bigredfish]

Wait what?

 

[tigerwillow1]

only when you remove any money from the Traditional IRA is it taxed.

Unfortunate that when you pull that money out, it increases the amount of no tax on social security that you have to pay. If you're in the 10% marginal bracket, the net effect is what you pull out is taxed at 22%, unless you're under the no tax on social security 0% threshold (unlikely), or already paying 85% of no tax on social security (possible but somewhat unlikely if you're in the 10% marginal bracket).

 

[bigredfish]

That can’t be right?
I was told by the President of the United States categorically that there would be no tax on Social Security

 

[bigredfish]

 

[David L]

Yep. Roth makes way more sense. Gives you a chance at recovering what you paid in tax for the initial withdrawal because no tax liability on earnings

Yes also we’re starting this year on gifting my daughter and her nieces.
I figure if we allocate 25-30% (or up to the max $19k each) of our interest/dividend earnings each year to them at say Christmas, we’re still growing our pile and remember we’re not touching the pile to live on anyway, So why not?

EXACTLY, Very Smart IMO. My father use to say, this is your money, it better serves you when you are young, not old like me...

We have already sent some of our money our kids way. My son needed a new roof, our money helped pay half. Our daughter got her eye surgery done.
Our kids are all hard working mature adults. Got quit calling them kids They are done blowing/wasting money, well almost , we grew up with different standards. They have their own 401ks, so this money helps them stay ahead. Our generation and our parents were great savers/investors...

But I still want a Tractor, lol, $10-15k, then I am done...haha...