Setting Up HSA at Eli Lilly Federal Credit Union

Eli Lilly Federal Credit Union (Elfcu) offers the best HSA for investing HSA money. I completed my HSA setup at Elfcu. Here’s a walkthrough of the timeline. Apply Online Day 1: I did the online application. You can join the supporting organization Tru Direction in the online application. As it’s common in online applications, I […]

Target Retirement Funds vs LifeStrategy Funds vs DIY Mix

Reader Erik asked me to write something about Vanguard’s Target Retirement funds, LifeStrategy funds, and mixing the component funds yourself. Target Retirement Funds These funds are designed for investing for retirement. They invest in a handful of other broadly diversified funds. Vanguard has 12 of them, from Target Retirement Income designed for folks already retired […]

How To Report Backdoor Roth In TurboTax

If you did a Backdoor Roth, which┬áinvolves contributing to a non-deductible traditional IRA and then converting it to a Roth IRA, you need to report it in the tax software. What To Report You report on the tax return your contribution to a traditional IRA *for* that year and your converting to Roth *in* that […]

Should a Young Person Invest 100% In Stocks For Retirement?

I read Dr. William Bernstein’s Kindle eBook The Ages of the Investor again. This book is worth reading and re-reading a few times. One nugget I learned from this book that I haven’t seen emphasized quite enough in other books is the difference between investing a lump sum and investing a stream of savings over […]

myRA = Roth IRA + Savings Bonds

President Obama announced a new myRA in his 2014 State of the Union address. It sounds like basically Roth IRA + Savings Bonds. Anybody except high earners can already contribute to a Roth IRA. Anybody can also buy Savings Bonds. So far nobody can do these two things together in one account. Soon you can […]

Solo 401k When You Have Self-Employment Income

In order to pay minimal taxes when you do a backdoor Roth, you should have no balance in any other traditional, SEP or SIMPLE IRA. If you have a large balance in those accounts, you can rollover the money into an employer-sponsored plan such as a 401k or a 403b before you do the backdoor […]