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ucodegen.
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February 6, 2016 at 4:29 PM #21868February 6, 2016 at 8:19 PM #794051
FlyerInHi
GuestGood for your kids. The less you spend the bigger the estate they will inherit.
My friend said I’m cheap because i refuse to spend anymore than $1000 on a TV and i don’t buy Mac computers. He, on the other hand, always buy the best most expensive stuff; but he has no investments. He will live on his pension and that’s it.
February 6, 2016 at 8:53 PM #794052spdrun
ParticipantYou can get a decent used TV for $4-500 and run OS X on commodity hardware…
February 7, 2016 at 1:13 AM #794056paramount
ParticipantI do like Apple for tablets and phones – I don’t see any reason though to buy a Mac desktop.
I buy off lease PC’s off of ebay for $100 bucks or so and install a decent video card.
However, Mac Laptops even a few years old still have value. Most PC laptops have already been e-recycled.
I am cheap – and still basically broke.
I think being cheap can burn you in the long run.
For example, you can buy an Invicta watch and they are pretty nice but have no resale, etc..Or you could spend more and buy a Gucci watch and you can ALWAYS sell it.
Gucci watches are always in demand. Invictas? Not really…(but I do have a collection of cheap Invicta wacthes and no Gucci).
February 7, 2016 at 8:05 AM #794058
CoronitaParticipantSave a lot of money for your kids and wait until you die to transfer wealth=> get taxed a lot with inheritance tax… You know they’re coming for this…..
Why be so frugal only to have your wealth re-distributed to someone else not even in your family?
That’s why I stopped being ultimately cheap. You never know when you’re going to go, and you got to enjoy life some way (albeit moderately)..
Saving a few hundred bucks here and there on computers you buy maybe every 5-6 years isn’t going to make a dent in your retirement or how much wealth is transferred to your kids. That couple of hundred dollars you saved, you might have left it in the stock market and lost just as much by not spending it. Like if you bought oil ETF’s….lol.
February 7, 2016 at 8:16 AM #794059scaredyclassic
ParticipantThe Death File Is sobering. I tried to make it as neat as possiblr. But there’s still some weird notes. Stop this auto debit. Do that. Etc.
I guess the whole operation will be OK without me.
Even college doesn’t affect us too much. State school plus employed spouse and relatively low mortgage payment…kind of glad we didn’t save anything up for school. Was chatting with someone gearing up to pay full freight at an ivy league school for next 4 years. That would’ve changed our budget/balance sheet.
Feel happy, but still. Want sanders to win…
February 7, 2016 at 8:19 AM #794060Participant[quote=paramount]I do like Apple for tablets and phones – I don’t see any reason though to buy a Mac desktop.
I buy off lease PC’s off of ebay for $100 bucks or so and install a decent video card.
However, Mac Laptops even a few years old still have value. Most PC laptops have already been e-recycled.
I am cheap – and still basically broke.
I think being cheap can burn you in the long run.
For example, you can buy an Invicta watch and they are pretty nice but have no resale, etc..Or you could spend more and buy a Gucci watch and you can ALWAYS sell it.
Gucci watches are always in demand. Invictas? Not really…(but I do have a collection of cheap Invicta wacthes and no Gucci).[/quote]
Watches are a,liability, require maintenance.
I did buy some mac stuff recently, even a desktop.
But the last mac we had for 7 years.
February 7, 2016 at 9:03 AM #794061Guest[quote=flu]Save a lot of money for your kids and wait until you die to transfer wealth=> get taxed a lot with inheritance tax… You know they’re coming for this…..
Why be so frugal only to have your wealth re-distributed to someone else not even in your family?
That’s why I stopped being ultimately cheap. You never know when you’re going to go, and you got to enjoy life some way (albeit moderately)..
Saving a few hundred bucks here and there on computers you buy maybe every 5-6 years isn’t going to make a dent in your retirement or how much wealth is transferred to your kids. That couple of hundred dollars you saved, you might have left it in the stock market and lost just as much by not spending it. Like if you bought oil ETF’s….lol.[/quote]
Estate taxes only affect a few thousand people a year. I think about 5000 estates out of the total number of deaths. Joe the plumber doesn’t need to worry.
But with the proper estate planning you can pass on a whole estate to your heirs tax free. Transfer a little every year when the basis is lower.
February 7, 2016 at 9:08 AM #794062CoronitaParticipant[quote=FlyerInHi][quote=flu]Save a lot of money for your kids and wait until you die to transfer wealth=> get taxed a lot with inheritance tax… You know they’re coming for this…..
Why be so frugal only to have your wealth re-distributed to someone else not even in your family?
That’s why I stopped being ultimately cheap. You never know when you’re going to go, and you got to enjoy life some way (albeit moderately)..
Saving a few hundred bucks here and there on computers you buy maybe every 5-6 years isn’t going to make a dent in your retirement or how much wealth is transferred to your kids. That couple of hundred dollars you saved, you might have left it in the stock market and lost just as much by not spending it. Like if you bought oil ETF’s….lol.[/quote]
Estate taxes only affect a few thousand people a year. I think about 5000 estates out of the total number of deaths. Joe the plumber doesn’t need to worry.
But with the proper estate planning you can pass on a whole estate to your heirs tax free. Transfer a little every year when the basis is lower.[/quote]
True.. As it stands right now…certain parts of the population however are interested in significantly increasing it though, no?
The point being. Don’t count on the same rules being there in the future. Rules change. And sometimes people make up new rules as you play the game.
February 7, 2016 at 9:24 AM #794063GuestThe treshold is $10.9 million.
People who are very wealthy started their own companies. But their would have gifted their shares to trusts early on when the companies were worth very little.
You can also move to Singapore or Puerto Rico for a certain minimum time to sell your appreciated shares, tax free. Not sure if those places have estate taxes.
If you wonder if Ivy League is a good investment vs a UC, then you don’t need to worry.
In comparison, a lot of foreigners invest 1 million bucks in US hotels so they can get green cards and their kids can go to college in USA. They just park a min of $1 million in shares of a hotel that can apportion them 10 employees.February 7, 2016 at 9:29 AM #794064CoronitaParticipant[quote=FlyerInHi]The treshold is $10.9 million.
People who are very wealthy started their own companies. But their would have gifted their shares to trusts early on when the companies were worth very little.
You can also move to Singapore or Puerto Rico for a certain minimum time to sell your appreciated shares, tax free. Not sure if those places have estate taxes.
If you wonder if Ivy League is a good investment vs a UC, then you don’t need to worry.
In comparison, a lot of foreigners invest 1 million bucks in US hotels so they can get green cards and their kids can go to college in USA. They just park a min of $1 million in shares of a hotel that can apportion them 10 employees.[/quote]Again. That’s for now…
February 7, 2016 at 9:56 AM #794066Guest[quote=flu]
Again. That’s for now…[/quote]I doubt they will lower the estate tax threshold of $10.9 million.
There is more chance of total repealing the estate taxes if Trump wins.
And if Sanders wins, and if he gets a democratic congress, there is better chance of a financial services tax that would raise far, far more money.
But still, better to prepared. You can gift the maximum in shares to your kids every year, tax free, before the shares appreciate. That’s why rich people send $14,000 gifts to all their kids and grandkids every year.
give your kids money as soon as they are born and teach them how to invest wisely.
February 7, 2016 at 9:57 AM #794065Guest[quote=flu]
Saving a few hundred bucks here and there on computers you buy maybe every 5-6 years isn’t going to make a dent in your retirement or how much wealth is transferred to your kids. That couple of hundred dollars you saved, you might have left it in the stock market and lost just as much by not spending it. Like if you bought oil ETF’s….lol.[/quote]People of most income levels can do well if they live within their means.
It’s harder to do in San Diego, but in other parts of the country a couple can buy a decent house/condo for $150k. Pay down the mortgage over time , don’t buy expensive cars, don’t buy junk, and build a nest egg.
I’ve seen it done. In fact, my carpet guy in Vegas, has enough cash to buy a foreclosure in cash. He’s in his 20s and had been working with his dad since he was 14. He now works a union job and travels all over the west laying carpet in hotels and offices; and he runs a small business on the side. Hard working immigrants from Mexico.
February 7, 2016 at 10:05 AM #794067NotCranky
ParticipantI’ll be o.k. if I can just get a discount code and maybe free shipping on the new security gate from Walmart.
February 7, 2016 at 11:07 AM #794070Balboa
Participant[quote=FlyerInHi]
You can gift the maximum in shares to your kids every year, tax free, before the shares appreciate. That’s why rich people send $14,000 gifts to all their kids and grandkids every year.[/quote]
Slightly more nuanced: You typically don’t have to start paying taxes on gifts you give until after you’ve already given out about $5.5 million.
The $14,000 figure is the amount you can give someone in one year without notifying the IRS of the gift — meaning that $14,000 isn’t counted against the $5.5 million lifetime maximum exemption. And you can give a $14,000 gift each year to as many people as you want and still not report it.
If you’re married, you can give $14,000 to someone and your spouse can give another $14,000 to the same person that year — still no reporting. It can be from the same account, even — just different people signing the checks.
But if you don’t care about having to to submit the IRS form or you have a mere $5MM to give, you could give it all to me tomorrow and still not pay taxes. PM for account and routing numbers. 🙂
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