Investors....come in please!

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Originally Posted by daves66nova
so how does a Roth make money? I don't see mine ever gaining unless I put in my own money into it.


You make money on it by not having to pay taxes on it when you take it out and you don't pay taxes on the investment. Otherwise you'd have to pay taxes every year on dividends and capital gains. The main advantage is tax free growth.
 
This past September I transfer all of my funds to cash in my Roth and 401K; I don't mind If it all goes south from here I'm ready…

My idea was that market was way overpriced and it is election year so I was expecting stagnant period in the foreseen future
 
This virus scare is a good thing, it will wake the corporations up hopefully to diversify and not rely on one country for all its manufacturing.

As far as the virus, its nothing more then mass media hysteria and its all about ratings.
The virus itself is far less potent then the average everyday USA Flu.

With that said, yes, supply disruptions from China but I think its a great for the long term and stop relying on them for everything.
USA stock market? Not concerned at all, its foolish to think world stock markets only go one direction "up", there are down periods too.

So forget news stories, events, if the value is in a company the price will hold, lets face it, the run up has been massive and the market has been going no place but up, all it needed was a catalyst for at least a small correction and so far, I stress so far, that is all this is, the market has fallen back to what it was just 6 months ago, not 6 years ago.

The "virus" once the news media can no longer pump the story for ratings, will turn out to be almost a non event. Its a flu that's it, every winter 20,000,000 Americans get the flu in the USA, depending on the year 8,000 to 20,000 Americans die from it every year. This new Corona virus is less powerful then our everyday flu.
 
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If you mean out of securities, NO.

I just moved from Stock > b rated short term bond funds.

I'm also eyeing slow/no mover stocks with very high dividend payouts

Now, Is off the table Govt obligations/moneymarket in your view?

I do have to start makings some slow moves into a roth.

Can I set one up? I'm in a no-man's land valley between working and retirement at age 64.
 
Originally Posted by ARCOgraphite
If you mean out of securities, NO.

I just moved from Stock > b rated short term bond funds.

I'm also eyeing slow/no mover stocks with very high dividend payouts

Now, Is off the table Govt obligations/moneymarket in your view?

I do have to start makings some slow moves into a roth.

Can I set one up? I'm in a no-man's land valley between working and retirement at age 64.


Do you currently have retirement accounts like a 401k or regular IRA? If so, this is the perfect time to roll over IRA money to a Roth IRA. You will have to pay income tax on the amount you rollover, but it will be taxed at your current (low) rate.
If you don't have earned income (not working, as you indicated) I don't believe you can make contributions to the Roth, so you are limited to rollovers.
 
I recently switched to 50 securities and 50 bonds. Just watching the markets for a while now. Bonds have done well these past couple of days....but what comes up, will eventually come down. May jump to 100 securities and see what all may happen.
 
Originally Posted by ArrestMeRedZ
Originally Posted by ARCOgraphite
If you mean out of securities, NO.

I just moved from Stock > b rated short term bond funds.

I'm also eyeing slow/no mover stocks with very high dividend payouts

Now, Is off the table Govt obligations/moneymarket in your view?

I do have to start makings some slow moves into a roth.

Can I set one up? I'm in a no-man's land valley between working and retirement at age 64.


Do you currently have retirement accounts like a 401k or regular IRA? If so, this is the perfect time to roll over IRA money to a Roth IRA. You will have to pay income tax on the amount you rollover, but it will be taxed at your current (low) rate.
If you don't have earned income (not working, as you indicated) I don't believe you can make contributions to the Roth, so you are limited to rollovers.


I have two rollover IRA's and a post-tax brokerage.
Thing is I never set up a Roth when I was employed.

I did for my Wife but not me.

I haven't read in to regs AFA setting up a ROTH lates, when "unemployed" and over 62 Y.O.
 
Originally Posted by alarmguy
This new Corona virus is less powerful then our everyday flu.

Not according to my calculations.

The case mortality ratio (the number of deaths for those people infected) for Covid-19 is said to be 2 - 3%, let's call it 2% (meaning that 2 die for every 100 infected, which is 20 for every 1000 infected).

The case mortality ratio (the number of deaths for people infected) for a typical influenza is 0.1% - 0.4%, let's call it 0.2% (meaning that 2 die for every 1000 infected).

Comparing the two rates means that the death rate for Covid-19 is far higher (potentially 10 times higher) than it is for a typical "flu" outbreak. And for influenza there are both effective vaccines and effective antiviral medications. So the stated risk can be reduced and there is treatment available.

These rates may turn out to be incorrect, but using the best current information, the death rate for Covid-19 appears to be much higher.
 
Originally Posted by ARCOgraphite
Originally Posted by ArrestMeRedZ
Originally Posted by ARCOgraphite
If you mean out of securities, NO.

I just moved from Stock > b rated short term bond funds.

I'm also eyeing slow/no mover stocks with very high dividend payouts

Now, Is off the table Govt obligations/moneymarket in your view?

I do have to start makings some slow moves into a roth.

Can I set one up? I'm in a no-man's land valley between working and retirement at age 64.


Do you currently have retirement accounts like a 401k or regular IRA? If so, this is the perfect time to roll over IRA money to a Roth IRA. You will have to pay income tax on the amount you rollover, but it will be taxed at your current (low) rate.
If you don't have earned income (not working, as you indicated) I don't believe you can make contributions to the Roth, so you are limited to rollovers.


I have two rollover IRA's and a post-tax brokerage.
Thing is I never set up a Roth when I was employed.

I did for my Wife but not me.

I haven't read in to regs AFA setting up a ROTH lates, when "unemployed" and over 62 Y.O.


I set my Roth IRA up with Fidelity in similar circumstances, online, no problem with an initial rollover from a Roth 401k. You could do the same with your rollover IRAs as long as your brokerage would allow it (I don't know why they wouldn't).
The time from early retirement until when you start collecting any retirement pay, SS, or start with Required Minimum Distributions is the perfect time to do rollovers since your income is relatively lower.
 
ARCO

Which high dividend paying stocks do you like ?
In the past I've had REITs, utilities and telecom (T, VZ) for dividend income.


alarmguy,
YES, some manufacturing should be brought back to the USA...... especially pharmaceuticals.



miden851,
Smart to shelter your money. The house of cards might come crashing down after the election. It's been a great 12 years since last recession. Lots of bad economic news on the horizon.
 
Originally Posted by Wolf359
Originally Posted by daves66nova
so how does a Roth make money? I don't see mine ever gaining unless I put in my own money into it.


You make money on it by not having to pay taxes on it when you take it out and you don't pay taxes on the investment. Otherwise you'd have to pay taxes every year on dividends and capital gains. The main advantage is tax free growth.
I don't see mine ever growing. So it's the same as just stuffing it in your mattress? Does nothing, just sit there.
 
Time expired for edit.

Low interest rates can only keep the market propped up for so long. Look what happened when they tried to raise rates ?

The stock market is not a true representation of the health of the current American economy....
 
Originally Posted by daves66nova
Originally Posted by Wolf359
Originally Posted by daves66nova
so how does a Roth make money? I don't see mine ever gaining unless I put in my own money into it.


You make money on it by not having to pay taxes on it when you take it out and you don't pay taxes on the investment. Otherwise you'd have to pay taxes every year on dividends and capital gains. The main advantage is tax free growth.
I don't see mine ever growing. So it's the same as just stuffing it in your mattress? Does nothing, just sit there.

Exactly what are you invested in ?
 
Originally Posted by Mr Nice
Originally Posted by daves66nova
Originally Posted by Wolf359
Originally Posted by daves66nova
so how does a Roth make money? I don't see mine ever gaining unless I put in my own money into it.


You make money on it by not having to pay taxes on it when you take it out and you don't pay taxes on the investment. Otherwise you'd have to pay taxes every year on dividends and capital gains. The main advantage is tax free growth.
I don't see mine ever growing. So it's the same as just stuffing it in your mattress? Does nothing, just sit there.

Exactly what are you invested in ?

$8,358.73
David — Roth IRA Brokerage Account — 7894568XX* i don't know if this is the correct info. I left 2 numbers out where the X's are, or does it matter? I also saw this; Vanguard Federal Money Market Fund (Settlement fund)
 
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Originally Posted by Mr Nice
Anybody taking profits off the table ?

I took some late last year and earlier this year.

2 things:
1st - In CA, state income tax is 10%, or more. I have a CA Municipal Bonds fund that is Federal and State tax free. And pretty safe, even though nothing is truly safe.
The goal is 5% return; I expect more like 4%. If you have enough cash to do so and live in a high tax state, this may be a good option for you.

2nd - I want to make sure several nephews and nieces have the opportunity for college; I am taking equity $$ off the table for that.

Beyond that, no.
 
Originally Posted by Mr Nice

The stock market is not a true representation of the health of the current American economy....


I wish more people understood this.
In America the richest 1% own 50% of the stock market.
The richest 10% own more than 84%.
About half of America have zero invested in the market.
 
A lack of financial education and discipline are the key reasons more people don't invest or even save. That starts with parents.
 
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