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Archive for February, 2012

TSP and taxes

February 28th, 2012 at 12:27 am

I just changed my TSP to transfer 65% of my current savings (1300) to the 'c' fund (S&P index with expenses of 0.025) and routed all my current contributions to that fund. My other choices are tracking the Dow or International index. Or the 'lifestyle funds' which have a different percentage of the other funds. S&P index fund with low fees works fine for me.

I got an estimate on my taxes, the business lost $17,000 so I am getting $6000 back. I had a choice of putting $5000 in a ROTH or $2700 in a trad IRA (and getting more back). Decided to do the ROTH.

I started an automatic monthly withdrawal of $250 for taxes. I need to save more ($833.34 is full ROTH for k and I) but I also need to pay off k's card.

But wait, there's more

February 23rd, 2012 at 08:51 am

Aren't I done yet? Actually, I guess I'll never be done. Money is like food, something you have to keep doing all the time. Can't stop eating. Must keep buying food and cooking and cleaning. Good thing I like cooking. And I like money stuff too.

K could never do all this, it would drive him crazy. When I met him his financial strategy was to own a house, figure out what his bills were and what was reasonable to spend, and put the rest in his 401K. He actually told me that he couldn't take me on a real date for a few weeks till he changed his withholdings 'cause girlfriends weren't in the budget. He likes it simple. Me, I'm more complicado.

K does appreciate all I do though. And he does listen. I had to talk with him about his spending a few days ago, he spent ~$1800 on his credit card last month. None of this was bills, about $500 was necessary (doctors/drugs/gas) plus food. I don't know what's reasonable to spend on food for him, but he needs to eat better. Less fast food. He's agreed to seriously curb his spending, and I know he will. He just forgets. As I do. I spent $3600 on my credit card last month, and most of the food I buy is cash at the farmers market. There were 2 trips on this - one for $1000 for my niece to go to London in Nov I had to buy it now to get a specific seat beside her mom, and its the only direct flight option so I was going to choice that flight anyhow. My flight can wait since there are at least 6 direct ones per day to choose from. I had the money to pay for this in a savings account. The other flight was a friend visiting (in 2 days!) for $600. I bought more household things than usual because I started buying things online to help pay my friends student loan through Upromise. (my contribution is up to $104 so far!).
I'm going to go work on K's retirement for a bit. I'm confused. It looks like one of his accounts he had with a job he only had for 8 months or so got cashed out. In the fall, and it was $3000 so I should remember. Sigh. Glad I"m keeping track now. :}

Rambings feb 21

February 21st, 2012 at 08:58 am

So much for my discipline of posting every day and keeping up. Now I have to remember what I've done lately.

I know I've spent some money. Bought my nieces ticket for the Europe trip in Nov. My sister is flying on points and had to book and I wanted them to sit together. (I"m paying for her kid 'cause I am bringing her as my friend, I"ll bring her other 2 kids on different trips). The flight was $900, I paid on a credit card and paid it off already from the funds in my 'London' account. The London account is drained to $600. I am waiting to book my plane till we get closer, I have many options, there are several airlines that fly direct which is the only way I fly, its a HUGE difference between a 10 hour flight and a 7 hour flight, 5 hour wait, then 5 hour flight. Given how much it costs to be at the destination and how short a time one will be there, I like to minimize jet lag. (I'm still waking up and my English is not coming out well, sorry). I also ramble..... even more than usual.....

What else did I do? I did go through all my brokerage accounts and made sure stocks were bought. I had a limit order in for today, just checked and it looks like it went through.

I set up an automatic monthly transfer of $200 to go into k and mine's joint brokerage account. I did this before and bought 99 cent only stock, and it made a few thousand that was useful a few years back when k lost his job. I kept a few shares for nostalgic reasons, and they got sold in January when the company went private. So I had a bit of cash in the account. But now its all invested, and I'll keep doing that each month when the money gets transferred. ING has a great program where they will automatically buy stock for you, and you can buy partial shares and use your entire payment.

I also set up my online banking at USAA so it can see a lot or my other accounts, like firsttrade and ING. That's helpful.

I also helped k set up an IRA, and I need to start the process of rolling it over for him. He currently has funds in a few Fidelity funds from a job he no longer works at. I don't like them because of the fees. I am really against fees, I rarely see funds that are worth it. (I have some notable exceptions). I would rather his money be under his (my) control where we can either put it directly in stocks, or in a low cost index fund.

Stocks for my S/D SEP IRA

February 6th, 2012 at 09:15 pm

I had $8283 in my S/D SEP IRA brokerage cash account, and decided to pick up 2 on my list - Chipotle (CMG) and Cost Plus (CPWM). I bought approximately equal amounts - $90 more of Cost Plus. Chipotle stocks are very expensive - $4097 only got me 11!
The trades haven't gone through yet but I set the limit price well within todays dailies so they should trigger it.

Its exciting buying stock.

Update Feb 4

February 4th, 2012 at 05:24 pm

Went to the accountants today. I didn't bring one of my 1099s and W2s, but everything else is done and accounted for. I am hoping I will be able to contribute a bit to my ROTH IRA.

I got my log in info for my TSP, and found out the deduction I asked for hadn't gone through. I have the signed paperwork so I don't know why, but I'll add it to my things to do at HR next week. I think I might want to up it to 10% instead of 5. This is a percentage from 1/2 my income, so will end up being 5% of my total income. I'm not that crazy about the fund choices, right now I have everything in an Government securities fund which is making like 4%. There are a couple of bond index and other index funds I might like too.

Update Feb 2

February 2nd, 2012 at 02:42 pm

I didn't get my W2 yesterday. I can't log on to the system (but did figure out why, HR has my email wrong) The paper ones are not to be found, and I'm not going to drive up tomorrow to try to get them. I will just drop it off at the accountant when I get it. She doesn't file my taxes till the time anyhow (in case there are law changes) so I have a few months.
I also still can't find k's form and I've convinced myself I"m not even sure it exists. Last puzzle to solve.
I also got my first 1099-K from paypal. The new law is they have to issue it if you make more than $20,000 gross and have 200 transactions. The form just shows gross sales, and there is a $428.66 discrepancy whereas I think I made more than they are reporting. I am not going to try to reconcile the numbers but just report what I think is correct. I only report total gross earnings (not stratified by source like paypal) so there isn't any checking involved anyhow. I have sales income from 3 sources - paypal, credit cards, and cash/money orders.
The paypal 1099-K is nice because it does list the earnings by month, so I can see the variation.

Most of the limits I set for the stock purchase for my IRA SEP were hit (all but IHG). I just checked and have made $1200 so far in the last few days. I know this isn't real 'cause the prices will probably go down, but its fun to think about :} I'm in these stocks for a while, that's why I chose them.