Money & Economics

[bigredfish]

Good info. We have Roths at TDA, but need to contribute more.

I’m not up to speed on CDs, so that will be on my holiday reading list. Thanks!

 

[David L]

Good info. We have Roths at TDA, but need to contribute more.

I’m not up to speed on CDs, so that will be on my holiday reading list. Thanks!

One more thing on CDs, they earn Compound Interest so it is important to look at when this is accrued, some are daily, some monthly, some quarterly, some biannual or yearly, etc. From what I have seen, the high-yield CDs are mostly biannual. Of course you would want them to compound as fast as they can to make more money, daily would of been nice
You will pay taxes on the gains, with banks they come as 1099-INT, assuming the same with Brokered CDs, will know by Jan. 31st since this is the first time we have ever bought these. I have had Bank CDs in the past.

Ladder CDs are something to look at in case you may need the cash in the future. Buying 4 or 5 CDs; ex. (9mo, 1yr, 18mo, 2yr, 3yr)

HTH

 

[tigerwillow1]

6 and 12 month t-bills are both paying over 4.5%, and exempt from state income taxes. Are there any CDs that compete favorably with that?

 

[David L]

Here is some CD Ladders at Fidelity...




CDs presently offered (I bought some 5 Year CDs at 5% a few months ago):


All New Issue CDs: 71
AS OF 12/22/2022 AT 04:36 P.M. ET

Select Action	Description	Coupon	Coupon Frequency	Maturity Date	Fractional CD	Yield	Call Protected	Settlement Date	Quantity Available	Attributes	Period
	HOMESTREET BANK	4.000	AT MATURITY	01/30/2023	No	4.000	Yes	12/30/2022	9,995	CP SFP FDIC SO SKY	1 MO
	UNITY BANK	4.000	AT MATURITY	01/30/2023	No	4.000	Yes	12/30/2022	2,602	CP SFP FDIC SO	1 MO
	FARMERS STATE BANK	4.000	AT MATURITY	01/30/2023	No	4.000	Yes	12/30/2022	3,779	CP SFP FDIC SO	1 MO
	MIZUHO BANK USA	3.900	AT MATURITY	01/30/2023	No	3.900	Yes	12/28/2022	11,190	CP SFP FDIC SO	1 MO
	BANK OF EAST ASIA	4.000	AT MATURITY	01/30/2023	No	4.000	Yes	12/28/2022	2,642	CP SFP FDIC SO SKY	1 MO
	FIRST SB GOTHENBURG	3.900	AT MATURITY	02/03/2023	No	3.900	Yes	01/03/2023	2,927	CP SFP FDIC SO SKY	1 MO
	CITIZENS STATE BANK	3.950	AT MATURITY	02/06/2023	No	3.950	Yes	01/05/2023	1,924	CP SFP FDIC SO	1 MO
	FARMERS NB OF CANFIELD	3.950	AT MATURITY	02/06/2023	No	3.950	Yes	01/06/2023	9,610	CP SFP FDIC SO	1 MO
	FLUSHING BANK	4.050	AT MATURITY	02/06/2023	No	4.050	Yes	01/03/2023	9,098	CP SFP FDIC SO	1 MO
	FARMERS STATE BANK	4.200	AT MATURITY	02/28/2023	No	4.200	Yes	12/30/2022	4,442	CP SFP FDIC SO	2 MO
	BANK OF EAST ASIA	4.200	AT MATURITY	02/28/2023	No	4.200	Yes	12/28/2022	780	CP SFP FDIC SO SKY	2 MO
	CITIZENS STATE BANK	4.200	AT MATURITY	03/06/2023	No	4.200	Yes	01/05/2023	623	CP SFP FDIC SO	2 MO
	MIZUHO BANK USA	4.050	AT MATURITY	03/28/2023	No	4.050	Yes	12/28/2022	9,175	CP SFP FDIC SO	3 MO
	CITY NATIONAL BANK	4.300	AT MATURITY	03/29/2023	No	4.300	Yes	12/29/2022	826	CP SFP FDIC SO	3 MO
	FIRST FOUNDATION BK	4.200	AT MATURITY	03/30/2023	No	4.200	Yes	12/30/2022	1,975	CP SFP FDIC SO SKY	3 MO
	FNCB BANK	4.150	AT MATURITY	04/03/2023	No	4.150	Yes	01/03/2023	4,467	CP SFP FDIC SO	3 MO
	FIRST REPUBLIC BANK	4.200	AT MATURITY	04/03/2023	No	4.200	Yes	12/29/2022	2	CP SFP FDIC SO	3 MO
	CALIFORNIA BANK OF COMMERCE	4.250	AT MATURITY	04/06/2023	No	4.250	Yes	01/06/2023	1,895	CP SFP FDIC SO	3 MO
	POPPY BANK	4.350	AT MATURITY	04/06/2023	Yes	4.350	Yes	01/06/2023	42	CP SFP FDIC SO	3 MO
	NORTHEAST BANK	4.200	AT MATURITY	04/10/2023	No	4.200	Yes	01/09/2023	5,001	CP SFP FDIC SO SKY	3 MO
	BANGOR SAVINGS BANK	4.300	AT MATURITY	04/11/2023	No	4.300	Yes	01/11/2023	14,698	CP SFP FDIC SO SKY	3 MO
	MIZRAHI TEFAHOT BANK	4.400	AT MATURITY	04/12/2023	No	4.400	Yes	01/12/2023	16,126	CP SFP FDIC SO SKY	3 MO
	ENCORE BANK	4.450	MONTHLY	05/01/2023	No	4.450	Yes	12/29/2022	1,328	CP SFP FDIC SO	4 MO
	BANK OZK	4.150	AT MATURITY	05/05/2023	No	4.150	Yes	01/05/2023	4,974	CP SFP FDIC SO SKY	4 MO
	MIDWESTONE BANK	4.350	AT MATURITY	05/05/2023	No	4.350	Yes	01/06/2023	3,807	CP SFP FDIC SO SKY	4 MO
	CHAMPLAIN NATIONAL BANK	4.300	AT MATURITY	05/30/2023	No	4.300	Yes	12/29/2022	909	CP SFP FDIC SO	5 MO
	FREEDOM BANK OF VIRGINIA	4.300	AT MATURITY	06/09/2023	No	4.300	Yes	01/09/2023	97	CP SFP FDIC SO	5 MO
	MIZUHO BANK USA	4.400	AT MATURITY	06/28/2023	No	4.400	Yes	12/28/2022	16,614	CP SFP FDIC SO	6 MO
	PNC BANK NA	4.350	AT MATURITY	06/28/2023	No	4.350	Yes	12/28/2022	9,158	CP SFP FDIC SO	6 MO
	SIGNATURE BANK	4.450	AT MATURITY	06/30/2023	No	4.450	Yes	12/30/2022	8,306	CP SFP FDIC SO SKY	6 MO
	FIRST FOUNDATION BK	4.350	AT MATURITY	06/30/2023	No	4.350	Yes	12/30/2022	2,000	CP SFP FDIC SO SKY	6 MO
	FIRST REPUBLIC BANK	4.450	AT MATURITY	07/03/2023	No	4.450	Yes	12/29/2022	12,453	CP SFP FDIC SO	6 MO
	BEAL BANK USA	4.450	AT MATURITY	07/05/2023	No	4.450	Yes	01/04/2023	6,875	CP SFP FDIC SO SKY	6 MO
	BANK OZK	4.300	MONTHLY	07/05/2023	No	4.300	Yes	01/05/2023	1,673	CP SFP FDIC SO SKY	6 MO
	BANGOR SAVINGS BANK	4.500	AT MATURITY	07/11/2023	Yes	4.500	Yes	01/11/2023	13,924	CP SFP FDIC SO SKY	6 MO
	PNC BANK NA	4.450	AT MATURITY	09/28/2023	Yes	4.450	Yes	12/28/2022	10,361	CP SFP FDIC SO	9 MO
	NORTHEAST COMMUNITY BANK	4.550	AT MATURITY	09/29/2023	No	4.550	Yes	12/29/2022	2,500	CP SFP FDIC SO	9 MO
	FIRST NATIONAL BANK	4.550	AT MATURITY	09/29/2023	No	4.550	Yes	12/30/2022	2,257	CP SFP FDIC SO	9 MO
	FIRST FOUNDATION BK	4.450	AT MATURITY	10/02/2023	No	4.450	Yes	12/30/2022	2,000	CP SFP FDIC SO SKY	9 MO
	WELLS FARGO BANK NA	4.600	AT MATURITY	10/02/2023	No	4.600	Yes	12/30/2022	31,613	CP SFP FDIC SO	9 MO
	SIGNATURE BANK	4.550	AT MATURITY	10/02/2023	No	4.550	Yes	12/30/2022	12,465	CP SFP FDIC SO SKY	9 MO
	BEAL BANK USA	4.550	AT MATURITY	10/04/2023	No	4.550	Yes	01/04/2023	9,515	CP SFP FDIC SO SKY	9 MO
	FNCB BANK	4.600	AT MATURITY	10/05/2023	No	4.600	Yes	01/05/2023	18,825	CP SFP FDIC SO	9 MO
	PNC BANK NA	4.500	AT MATURITY	12/28/2023	No	4.500	Yes	12/28/2022	7,998	CP SFP FDIC SO	1 YR
	CECIL BANK	4.550	AT MATURITY	12/28/2023	No	4.550	Yes	12/28/2022	5	CP SFP FDIC SO	1 YR
	FIRST FOUNDATION BK	4.500	AT MATURITY	12/29/2023	No	4.500	Yes	12/30/2022	2,000	CP SFP FDIC SO SKY	1 YR
	NORTHEAST COMMUNITY BANK	4.550	AT MATURITY	12/29/2023	No	4.550	Yes	12/29/2022	2,373	CP SFP FDIC SO	1 YR
	SIGNATURE BANK	4.550	AT MATURITY	12/29/2023	No	4.550	Yes	12/30/2022	1,699	CP SFP FDIC SO SKY	1 YR
	JP MORGAN CHASE	4.700	SEMIANNUAL	12/29/2023	No	4.700	No	12/30/2022	13,264	SFP FDIC SO	1 YR
	BEAL BANK USA	4.550	AT MATURITY	01/03/2024	No	4.550	Yes	01/04/2023	6,755	CP SFP FDIC SO SKY	1 YR
	BANK OZK	4.350	MONTHLY	01/05/2024	No	4.350	Yes	01/05/2023	6,558	CP SFP FDIC SO SKY	1 YR
	SAFRA NATIONAL BANK	4.700	SEMIANNUAL	02/05/2024	No	4.700	No	01/05/2023	1,336	SFP FDIC SO	13 MO
	HABIB AMERICAN BANK	4.550	SEMIANNUAL	06/28/2024	No	4.550	Yes	12/30/2022	2,559	CP SFP FDIC SO	18 MO
	SIGNATURE BANK	4.550	SEMIANNUAL	07/01/2024	No	4.550	Yes	12/30/2022	12,182	CP SFP FDIC SO SKY	18 MO
	WELLS FARGO BANK NA	4.600	MONTHLY	07/01/2024	Yes	4.600	Yes	12/30/2022	11,235	CP SFP FDIC SO	18 MO
	CENLAR FSB NJ	4.650	SEMIANNUAL	07/01/2024	No	4.650	Yes	12/30/2022	15,188	CP SFP FDIC SO SKY	18 MO
	BEAL BANK	3.750	SEMIANNUAL	07/03/2024	No	3.750	Yes	01/04/2023	9,980	CP SFP FDIC SO	18 MO
	WELLS FARGO BANK NA	4.500	MONTHLY	12/30/2024	Yes	4.500	Yes	12/30/2022	19,611	CP SFP FDIC SO	2 YR
	SIGNATURE BANK	4.400	SEMIANNUAL	12/30/2024	No	4.400	Yes	12/30/2022	11,836	CP SFP FDIC SO SKY	2 YR
	PARAMOUNT BANK	4.550	MONTHLY	12/30/2024	No	4.550	No	12/30/2022	2,000	SFP FDIC SO	2 YR
	BEAL BANK	3.700	SEMIANNUAL	01/02/2025	No	3.700	Yes	01/04/2023	9,345	CP SFP FDIC SO	2 YR
	KENNEBEC SAVINGS BK	4.550	MONTHLY	01/13/2025	No	4.550	No	01/11/2023	3,750	SFP FDIC SO SKY	2 YR
	UBS BANK USA	4.150	MONTHLY	12/30/2025	No	4.150	Yes	12/30/2022	1,888	CP SFP FDIC SO	3 YR
	1ST SECURITY BK WASHINGTON	3.950	MONTHLY	10/06/2026	No	3.950	Yes	01/06/2023	1,373	CP SFP FDIC SO SKY	45 MO
	SIGNATURE BK, CHICAGO	4.000	SEMIANNUAL	12/30/2026	No	4.000	Yes	12/30/2022	2,960	CP SFP FDIC SO	4 YR
	AMALGAMATED BANK	4.550	SEMIANNUAL	01/06/2027	No	4.550	No	01/06/2023	2,000	SFP FDIC SO	4 YR
	MY SAFRA FSB	3.700	SEMIANNUAL	12/30/2027	No	3.700	Yes	12/30/2022	2,000	CP SFP FDIC SO SKY	5 YR
	SACO&BIDDEFORD SAVINGS INSTITUTION	3.750	MONTHLY	12/30/2027	No	3.750	Yes	12/30/2022	534	CP SFP FDIC SO SKY	5 YR
	MAGYAR BANK	3.750	SEMIANNUAL	12/30/2027	No	3.750	Yes	12/30/2022	510	CP SFP FDIC SO SKY	5 YR
	THE FARMERS & MERCHANTS	4.500	MONTHLY	01/11/2028	No	4.500	No	01/11/2023	575	SFP FDIC SO	5 YR
	JONESBORO STATE BANK	4.600	MONTHLY	01/06/2033	No	4.600	No	01/06/2023	9,748	SFP FDIC SO SKY	10 YR

At the time I bought, they had 200 plus CDs available. Our Broker said they would go fast...

 

[bigredfish]

Did not know:

When you sell physical Gold or Silver, its considered a "collectible" and the profit is taxed as capital gains at 28%

 

[Ssayer]

Yep, that's why you need to grab silver and gold coins, they aren't...

 

[bigredfish]

Really? So if I buy Gold Eagles that doesnt apply?

 

[bigredfish]

Dont think so, reading up quite a few sources explicitly say American Eagles and most other coins (gold and silver) are treated as collectibles at the capitol gains tax rate when sold.

 

[Ssayer]

Wow, ok, my bad.

 

[bigredfish]

Looks like there are some gray areas... certain numbers of coins, and I see some say less than $10,000 may not be reported by the dealer... and then there seems to be slightly different reporting if bought sold as a hobbyist (coin collector)

 

[David L]

Gold Confiscation – Can It Happen Again?

In the past, democratic governments have sometimes required citizens to give up their gold. Could this happen again?

www.bullionstar.com

 

[Ssayer]

For sure it could happen again. I guess my boating accident would be considered a loss to them at that point as well then, eh?

 

[David L]

For sure it could happen again. I guess my boating accident would be considered a loss to them at that point as well then, eh?

87 thousand IRS agents...hmmm...

 

[gordo]

87 thousand IRS agents...hmmm...

And you know they aren't going after the handout takers.

 

[looney2ns]

You know what is sad, Credit Card companies prey on college kids knowing their parents will bail them out...I have heard many stories of this happening...even heard they have setup booths at colleges passing cards out like candy...

Loan sharks are alive and well.

 

[looney2ns]

One of the biggest error folks make, is not contributing to an employer 401k.
Where my wife worked, only 6% of employees contributed to the 401K, the company matched 80 cents on the dollar.
Half of those 6%, wouldn't leave it alone when they did participate. Withdrawing money for stupid stuff or for buying cars.
I convinced my wife to contribute early on, and to leave it alone, she contributed for around 22 yrs, and at retirement it paid off extremely well.
So many did not understand that for every dollar you saved, they gave you $0.80 cents.

At one time I was doing some day trading, with the likes of Netflix, Groupon, Ruger, Facebook, S&W, Twitter, couple of others I don't recall now.
But as long as I paid attention, I could make 12-18% return.

Several yrs ago, I went with a fee based Financial consultant, he makes no commision on trades, I pay a set fee quarterly and he manages it.
I have full online access to the brokerage account he manages for us, I can easily see exactly what is going on, and over 23 yrs it's averaged 12%.
Me likes me some mutual funds.

Its also easy to setup your own accounts at Vanguard, and you have access to a multitude of different low cost MF's.

 

[Looking Out]

Instead of the CD's right now look at "I series bonds" that are paying nearly 7% as they are to hedge against inflation. Thanks Brandon!

 

[tigerwillow1]

One of the biggest error folks make, is not contributing to an employer 401k.

I'll build on that with one of my pet peeves. Applies equally to IRAs. If your situation allows, get the money out of the 401k and IRA accounts before you start taking social security. Best case is roth conversions if you can pay the taxes out of other money. Once you draw social security, any 401k/IRA money you withdraw not only gets taxed at your marginal rate, but also increases the amount of SS that's taxed. If you're in the 12% tax bracket, the net effect is that 401k/IRA withdrawals are taxed at 22%, until you hit the maximum 85% SS taxation. And very conveniently, right about when you hit the 85% SS taxation, you also hit the 22% tax bracket, so there's no easy way to beat the system here. In fact, there's a small overlap of hitting the 22% bracket before the 85% SS taxation, resulting in a niche where the effective marginal rate is in the mid-30%,

 

[bigredfish]

^^^^^^^^^
Did not know, thx will look into it asap

 

[1fxman]

My best advice as of late to a few reasonably well adjusted millennials that report to me when asked was to start offloading/paying down debt about the time they hit 50.

It’s not reasonable IMHO to think one can go without assuming some debt between the age of 20-50, but obviously you still have to live within your means.

My pile isn’t that big but with literally 0 debt now, we can live on our two SS checks without having to touch the nest egg.
(Well except for occasional impulse ammo and bourbon expenses

And cameras