ace
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Post by ace on Feb 28, 2017 13:06:26 GMT -6
One thing I'm really going to look into is trying to get into the rental property area to try and supplement my income. I guess it depends how the market is doing at that time. I'll rent your cabin!
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Post by badbrad on Feb 28, 2017 13:06:58 GMT -6
One thing I'm really going to look into is trying to get into the rental property area to try and supplement my income. I guess it depends how the market is doing at that time. I'll rent your cabin! No. Because I'll be living there. 😉
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Post by Foggy on Feb 28, 2017 14:01:43 GMT -6
If you guys get into privately held rental property......take a look at a good small industrial or commercial building in a GOOD GROWING AND active community. (if you can find one) IF you can get it leased, they are usually a long term lease......and will want to buy it when they can afford it. Do a triple-net lease......to a good tennant......and life is easier than home or apartment buildings. Better rates too. Most corporate accounts are good lessors. You can always go to a REIT and do the same thing.....but the general partner generally makes all the money and the investors are left with the threads.
The key is finding a good community......where there is not much land to develop. New commercial / industrial property costs ALLOT to get the Utilities in and the city fathers want all kinds of green space and expensive stuff these days. Steer clear of that stuff and find a choice building in the right town. IMHO
I think it could be as easy as renting farmland......but with a far greater return. But.....you gotta do your homework!
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Post by sd51555 on Feb 28, 2017 14:04:37 GMT -6
A few thoughts to get caught up to everyone.
*Double check penalty free non-health care withdrawals from an HSA. I'm 99% sure it's 65 to use it penalty free, not 59 1/2. *Personally, I'd never do rental housing. I've never seen that as easy money. *I love stocks. I own three kinds, New growth stocks, solid growth stocks, and dividend aristocrats. I got my ass handed to me enough that I shy away from any yields over 4.5%, especially MLPs. I still own one in Terra Nitrogen. Otherwise, never again! Instead, I seek out dividends that yield 1-3% that have a proven record of consistent and rising payouts. I'd flash a list of mine, but my POS work pc won't upload the images. I'll try later today.
Some growth stocks that have done very well for me: Amazon, Priceline, Google. Some new growth stocks that have yet to prove out: Sprouts Farmers Market, Duluth Holdings.
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Post by Bwoods11 on Feb 28, 2017 14:12:16 GMT -6
A few thoughts to get caught up to everyone.
*Double check penalty free non-health care withdrawals from an HSA. I'm 99% sure it's 65 to use it penalty free, not 59 1/2. *Personally, I'd never do rental housing. I've never seen that as easy money. *I love stocks. I own three kinds, New growth stocks, solid growth stocks, and dividend aristocrats. I got my ass handed to me enough that I shy away from any yields over 4.5%, especially MLPs. I still own one in Terra Nitrogen. Otherwise, never again! Instead, I seek out dividends that yield 1-3% that have a proven record of consistent and rising payouts. I'd flash a list of mine, but my POS work pc won't upload the images. I'll try later today.
Some growth stocks that have done very well for me: Amazon, Priceline, Google. Some new growth stocks that have yet to prove out: Sprouts Farmers Market, Duluth Holdings.
Good advice thanks!! I have had two stocks doing very well...Apple and Sirius XM radio. I also had one stock go under--an oil MLP, lesson learned. Nothing against oil stocks, just found out the hard way, buy Exxon or Chevron (not some fly by night with high dividend)...
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Post by Foggy on Feb 28, 2017 14:15:19 GMT -6
I have some money in an HSA, as does my wife. That is tax defferred money that can be spent on health care. We don't ever plan to spend ours. Its a way of passing tax free money to our heirs (grand kids) that will accumulate tax free for many, many years. And, if they don't use it.....it could go to their heirs. Of course at some point the Goobermint will see the error of their ways and change it. but till then....its a good vehicle. FORE!
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Post by sd51555 on Feb 28, 2017 14:16:41 GMT -6
I lost 90% of my investment in Breitburn Energy. That was my lesson. I've since shifted to Chevron as well. And that was scary being a shareholder when they broke through the $80 level recently. I bought more anyway and have been rewarded handsomely. They are one of my top 5 holdings.
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Post by packerbacker on Feb 28, 2017 15:18:15 GMT -6
I have some money in an HSA, as does my wife. That is tax defferred money that can be spent on health care. We don't ever plan to spend ours. Its a way of passing tax free money to our heirs (grand kids) that will accumulate tax free for many, many years. And, if they don't use it.....it could go to their heirs. Of course at some point the Goobermint will see the error of their ways and change it. but till then....its a good vehicle. FORE! Foggy - just a note - Unless the law changed very recently - you can pass your HSA on to your spouse and it keeps it preferred tax-treatment. If you name a non-spouse as a beneficiary - preferred tax treatment ends at death and its a taxable distribution to the beneficiary in the year of your death. Roth IRA would be best for generational planning.
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Post by Foggy on Feb 28, 2017 15:22:25 GMT -6
I have some money in an HSA, as does my wife. That is tax defferred money that can be spent on health care. We don't ever plan to spend ours. Its a way of passing tax free money to our heirs (grand kids) that will accumulate tax free for many, many years. And, if they don't use it.....it could go to their heirs. Of course at some point the Goobermint will see the error of their ways and change it. but till then....its a good vehicle. FORE! Foggy - just a note - Unless the law changed very recently - you can pass your HSA on to your spouse and it keeps it preferred tax-treatment. If you name a non-spouse as a beneficiary - preferred tax treatment ends at death and its a taxable distribution to the beneficiary in the year of your death. Roth IRA would be best for generational planning. OK. I may have got my wires crossed on that. I do know that it is like an IRA in that it can keep accumulating until you are forced to withdraw it. At that point you can get the health care deduction to go with using the money I suppose. I thought I remembered that you could gem-skip with it......alas Fore!
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ace
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Post by ace on Feb 28, 2017 17:07:23 GMT -6
What would be the benefit of maxing a HSA at 3300 rather than that 3300 used to max a RIRA?
Roth you get access to the money 5.5 years earlier and can use that money for whatever you want.
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Post by kabic on Feb 28, 2017 17:09:00 GMT -6
Changing pension laws goes back to the comment Mo made about tax deferred retirement plans.
It sounds good now to have them, but who know what the laws and tax rate will be 20 years from now when I try to access that money.
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Post by sd51555 on Feb 28, 2017 17:39:21 GMT -6
What would be the benefit of maxing a HSA at 3300 rather than that 3300 used to max a RIRA? Roth you get access to the money 5.5 years earlier and can use that money for whatever you want. It's all about creativity and plan crafting. You can dip into an HSA tax free at any time IF.... ...you pay your incidental health care expenses with non-HSA funds and accumulate your receipts over the years. You can reimburse yourself as far back as your HSA start date. Over 20-30 years, that could be 6 months of tax free retirement income or more. A bail out fund etc. They've all got their functions. I have three times more in my Roth vs HSA, but while the option is there to also dodge SS and Medicare tax too, you almost have to take the dodge; especially if you understand how to craft a plan to accumulate the option to get a bunch of it out early and tax free. Just keep tremendous records. I write on each bill how I paid, be it check number or CC number to enable back tracking in the event the IRS mails you a "prove it" letter.
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ace
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Posts: 153
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Post by ace on Feb 28, 2017 17:47:03 GMT -6
What would be the benefit of maxing a HSA at 3300 rather than that 3300 used to max a RIRA? Roth you get access to the money 5.5 years earlier and can use that money for whatever you want. It's all about creativity and plan crafting. You can dip into an HSA tax free at any time IF.... ...you pay your incidental health care expenses with non-HSA funds and accumulate your receipts over the years. You can reimburse yourself as far back as your HSA start date. Over 20-30 years, that could be 6 months of tax free retirement income or more. A bail out fund etc. They've all got their functions. I have three times more in my Roth vs HSA, but while the option is there to also dodge SS and Medicare tax too, you almost have to take the dodge; especially if you understand how to craft a plan to accumulate the option to get a bunch of it out early and tax free. Just keep tremendous records. I write on each bill how I paid, be it check number or CC number to enable back tracking in the event the IRS mails you a "prove it" letter. Very true. I guess the way I was more wording mine was "IF" that money wasn't needed until post retirement. The option to use the HSA pre retirement is appealing.
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Post by riggs on Feb 28, 2017 18:31:12 GMT -6
The rental business is definitely a shitty way to make money as so many renters hit a point where they don't give a shit about their damage deposit. It's amazing how much damage can be done to a property and how they can live in pure filth. One type of rental business I wouldn't hesitate to pursue would be owning storage facilities.
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Post by smsmith on Feb 28, 2017 18:38:48 GMT -6
You fellers with younger kids must have a heckuva plan for retiring early and paying college tuition(and weddings)...
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