Example, let says I've put in 10K into 2 funds. One is down 20% and one is up 10%, so I'm down overall. Can I sell and withdraw the entire amount penalty free since I'm in the red overall vs my deposit, or would I get flagged because the one fund had some earnings?
You need to have had the account opened for five years (or have made five years of contributions, I’m not sure which) before you can take out money on your principal tax and penalty free is my understanding. Just something to remember before you do anything.
This isn't correct. You can withdraw your contributions at any point tax and penalty-free since they have already been taxed. The five year rule has to do with withdrawing earnings.
The real question is why would you ever withdraw from your Roth? Unless you have absolutely no choice due to circumstances, which would be a bummer.
Let me tell you about a little stock called COOK Kidding about that one but looking at another rental house and just exploring all options. I doubt I withdraw anything but just wanted to understand the implications
I would never do this, but I know a few people who just use their Roth contributions as their emergency fund.
A lot of companies raise prices every January like clockwork Im guessing their won’t be a cut until the fall
Sure, easy to say this now, odds were for a cut for quite a while. Ofc you can say that was wishful/optimistic thinking from those betting on it and/or heavy in equities. Inflation is still heading down. Slowly is fine by me if that means we avoid the worst case downside of a larger recession.
Well that was a short lived dip. Just annoyed it couldn't have waited 2 days so my paycheck 401k dump would have hit it.
It's going to be funny being born into a world where Britain was a peer and probably die with it being this weird poor European country like Italy
The guy who runs the Litquidity meme account (banger from 2020 below) is now a seemingly successful investor who was offered to put together a deal to buy the entire French soccer league. Markets seem fine. https://ted-merz.com/2024/02/16/leveling-the-field/
Can I just shift all of my 2023 Roth contributions to 2024? I took a new job in Dec and had a large PTO payout plus a signing bonus which pushed our MAGI just over the limit. We will definitely not be over in 2024. There is no penalty if I withdraw it, correct? Its all in Schwab.
Can he do that if he already designated them Roth IRA contributions? I assume you can, but there's going to be some hoops to jump through I'd imagine.
Pretty sure you can contact your broker and have them reclassify the contributions to a different tax year
Does anyone play the fun game of looking at old statements to see how some positions you no longer hold have done? I had a few gems on my 2018 statement: Nvda - cost basis of $9.30/share Ge - cost basis of $11.34/share Msft - cost basis of $28.60/share
I think it's sort of fun. I sold them all at big gains and bought etfs that have also appreciated. And there were also a few things that are now at $0 that I offloaded. Now if I had been one of those people who bought some early day bitcoin and got out, I may be singing a different tune.
My step-grandma gave me a few shares (literally only a few shares) of MSFT like 25 years ago because she was excited that her son got a job there. Still HODLing… original basis of $23.08. Also I am only now realizing how rich my step uncle must be. He still works there. Good lord.
Keeping this intentionally vague but knew of a guy whose grandpa was president of a large regional chain. He was gifted shares of the company and last I saw gets like $2MM from dividends alone each year. He’s successful on his own, but always thought it was wild he was making a couple mill a year just for being born and getting those shares lol
Back in college, my roommate and I each bought like $1,500 worth of apple in 2005. Sold the shares after an earnings pop and a $200 short-term gain and we went to the bar to celebrate. That’s worth $100k now. Before the apple trade, we had a friend’s dad who was on the board of a small oil company and told us the stock was a good buy. We put our collective savings into the stock and it got bought out like 2 months later so we each were up 50% (~$500). Steve Cohen was onto something with this insider trading model…
I don't have any super wild ones, but can confirm I decided to sell my NVDA shares last summer when it was in the 400s. Also held AMD shares that I sold in 2019 when it was in the 30s or something. Whoops.
I had 40 NVDA shares at a basis of $166.52 at one point. Was doing a covered call strategy with Apple at the time. Toyed with the idea of NVDA covered calls, but Apple allowed me to grab another even 100 shares at ~$120/share. Sold NVDA instead. I’m smart.
I never actually bought, but in 2013 or 2014 I switched jobs and had a 401K from a previous job that a friend was helping me invest. I sent her an email saying I wanted to put some into Tesla. They talked me out of it and I bought KO instead. Good times. It's now in a target date fund with Empower.
I was distracted by my mini-humblebrag post about microsoft, but I came in this thread to lament how I hit cancel instead of submit on some NVDA calls ahead of earnings yesterday. I just need to remind myself that I don't really have the stomach for anything other than this
Assuming interest rates eventually come down, are there any clear alternatives to HYSA? Was thinking about municipal bonds given the tax incentives (I’m in Ca), but haven’t looked too deep yet tbh.
Correct but should yield slightly higher APY than most HYSAs. If you treat a HYSA as a quick access to money/emergency fund, you’ll have the same ease of access with a MM