Reader KD’s guest post about looking at the big financial picture really put many of my posts to shame. I post many small tips and tricks here and there but they often fall on the trees side rather than the forest. Most of them aren’t even trees, but twigs and leaves. Getting an extra $5,000 […]
Latest Blog Posts
Looking At the Big Financial Picture
[This is a guest post from long-time reader KD.] In this day and age of financial blogs, coupon sites, and one-click online shopping, savings are easy to find and easy to replicate. The question I end up asking myself is what difference did these savings have on my bottom line? More often than not, in […]
Sitting Out the Roth IRA Movement Party
I woke up this morning hearing there’s a Roth IRA Movement going on in the bloggers circle. I don’t have anything prepared, except I want to remind everyone not to forget The Forgotten Deductible IRA. Roth IRA is great if you aren’t eligible for a tax deduction for contributing to a traditional IRA, meaning you […]
1099 Tax Form Packages From Vanguard, Fidelity, Wells Fargo, and E*Trade
I’m done with my taxes. I mailed the returns last week. With taxable investments and selling stocks from vested RSUs and ESPP purchases, it can get complicated. Any help from the mutual fund companies and brokerage firms would be welcome. In this post I will review the 1099 packages I received from different companies — […]
Selling Noncovered Shares With Specific Identification At Vanguard
The IRS implemented new rules to help the taxpayers report capital gains and losses from securities sales more accurately. They did it by requiring the brokers and mutual fund companies to report the cost basis for securities bought after a certain date and subsequently sold. For stocks and ETFs, that date is January 1, 2011. […]
The Best 529 Plan Age-Based Investment Option
Reader Vicki left this comment on my previous post 529 Plans: Age-Based Options Don’t Make Sense: “I was just about to enroll in an age based plan here but pulled up your page before I signed on the dotted line. Help!! I just want this over with. I thought I had looked at all options […]
Unvested RSUs As Golden Handcuffs: What To Do?
As I mentioned in last Friday’s post, I had interviews for a new job. The interviews went very well. They liked me; I liked the company and the job. After the interviews, the hiring manager gave a verbal go-ahead. Now I’m handed off to HR to talk about the compensation package. This turned out to […]
How To Recharacterize An IRA with Vanguard, Fidelity, Or Schwab
As I mentioned in my previous post Recharacterize Backdoor Roth, I requested recharacterization of my Roth IRA conversions in 2011 and 2012. Since this is the first time I did this, I’m documenting the process here. Why Recharacterize? Recharacterizing an IRA can mean two things: recharacterizing contributions OR recharacterizing a conversion (from Traditional to Roth) […]
Best Investment Options With Fidelity BrokerageLink
401k plans are slowly getting better. My plan added a low-cost collective trust. My wife’s plan added a self-directed brokerage account, also known as a brokerage window. Her plan is managed by Fidelity. Fidelity calls it BrokerageLink. Some 401k plans managed by Charles Schwab also have this feature. Schwab calls it PCRA — Personal Choice […]
Most TSP Participants Should Switch To the Roth TSP
My friend Austin asked me about the Roth TSP. TSP is Thrift Savings Plan. It’s the equivalent to a 401k plan for federal government employees and members of the military. Until now, TSP only accepts pre-tax contributions, like a Traditional 401k. TSP announced that it will add the Roth feature soon. I heard April 1, […]