Savings accounts

[DJDIGGLER]

Re: Savings accounts

I think it puts him in a different tax bracket if he were to do that.

[snickers1]

Re: Savings accounts

I think it puts him in a different tax bracket if he were to do that.

i still think he could earning much more interest and still be tax differed or pay little to no taxes on it

[T-Man007]

Re: Savings accounts

Some things you may want to know. Large Savings bonds are a pain to cash in. Universal Life/Whole Life is the worse investment you can make and only make the agent(s) rich.

I may be wrong about the UL thing, it may ba an annuity thing. I don't remember the name of it. But, if it is a UL, what 'exactly' is bad about it? The way it's written out, it makes perfect sense. LOL, so I may be talking about the wrong thing. LOL That's why I apy someone to do that for me and I review the quarterly's. If they go up, I'm happy and so far they've gone up every quarter since I started it.

But, PLEASE explain why a UL is not good because if in fact that's what I did do, I wan't out if it truely isn't a good thing. Thanks.

[T-Man007]

Re: Savings accounts

Bro, why are you saying that?? It just isn't true. All you have to do is go to a bank sign the back with your address and your ss# and that is it. What is so hard about that, lol! You are right tho about Universal Life it is s h i t and so is the 529, cause you only have the option for tax exemption for college. Main thing is to have a good CPA he/she can save you a hell alot of tax if they know the loop holes. Right now i can make up to 30K in interest without paying a dime to Uncle Sam. Regular savings accounts are no good imo. I have right now about 3M in treasury notes and all tax deffered. Iam making about 80K per yr. If i need extra $ i just cash one.

Ok, then I did NOT set up a universal life for my son because whatever he has is tax free so I must have used the wrong term.

[Merc]

Re: Savings accounts

DONT HAVE ONE FOR THEM FOR THIS REASON. IF AND WHEN THEY GO TO COLLEGE IF THEY HAVE ANY TYPE OF FUNDS IN THEIR NAME THEY HAVE TO DECLARE THEM WHICH COULD MAKE THEM NOT ELIGIBLE FOR CERTAIN LOANS OR SCHOLARSHIPS

[T-Man007]

Re: Savings accounts

DONT HAVE ONE FOR THEM FOR THIS REASON. IF AND WHEN THEY GO TO COLLEGE IF THEY HAVE ANY TYPE OF FUNDS IN THEIR NAME THEY HAVE TO DECLARE THEM WHICH COULD MAKE THEM NOT ELIGIBLE FOR CERTAIN LOANS OR SCHOLARSHIPS

That's only true if your kids were trying to apply for tuition assistance. There are hundreds of kids every year who get full ride athletic and academic scholorships that have plenty of money. Just because they get a full ride doesn't mean they don't have money, it just means that's how bad the school wants them. Every great academic student raises the schools average testing scores and every great athlete can improve the school's athletic programs.

[mick-G]

Re: Savings accounts

maybe i am doing my math wrong but if you have 3m in t-notes and making 80k a year your only 2.5% or so in interst... i understand it is hidden from uncle sam but that ain't that great to me ... shoot i have a curian capitol account that i see 12.75% return every year yes i pay a little bit in taxes but sounds like a better deal to me ...maybe i am missing something ....with 3m i would have a anuity with income turned on so i could get a check every mouth depending how old i was

Actually iam making more prob more like 120K. Some are at 3-3.6, some are at 6%, thing is they are secured and no risk and i pay no income taxes unless i cash one. Like i said i can earn 30k and pay no taxes, so on a 60K bonds that are matured i would taxes on only the 30k, which i use alot of deductions. I don't know how much you are risking on this 12.75% Is it mostly stock options? I do have some stock, but not nearly as much as in treasury notes. This we are talking about is for your kids. I would put it in this because it is exempt if the use it for college and it is tax deffered. Lets put it this way. If i had a kid, as soon as it was born i put 5K per yr in a treasury bond worth 10K after 10 yrs he will have 100k in tax deffered bonds and is 1/3 on his way to 800k. Even if i didn't pay anything more after ten yr, if he were even to cash them in in 1/2 the time 15yr. He would have aboutg 450K and he would only be about 30yrs old.

[snickers1]

Re: Savings accounts

Actually iam making more prob more like 120K. Some are at 3-3.6, some are at 6%, thing is they are secured and no risk and i pay no income taxes unless i cash one. Like i said i can earn 30k and pay no taxes, so on a 60K bonds that are matured i would taxes on only the 30k, which i use alot of deductions. I don't know how much you are risking on this 12.75% Is it mostly stock options? I do have some stock, but not nearly as much as in treasury notes. This we are talking about is for your kids. I would put it in this because it is exempt if the use it for college and it is tax deffered. Lets put it this way. If i had a kid, as soon as it was born i put 5K per yr in a treasury bond worth 10K after 10 yrs he will have 100k in tax deffered bonds and is 1/3 on his way to 800k. Even if i didn't pay anything more after ten yr, if he were even to cash them in in 1/2 the time 15yr. He would have aboutg 450K and he would only be about 30yrs old.

the 12.5 or so is not stock options but yes all in stock ...not to comfortable saying the company i use or the finiancial advisor i use in an open forum but you seem smart when it comes to money so maybe i will have to pm later ...thanks

[mick-G]

Re: Savings accounts

Maybe you have whole life 007? also Merc what you have to worry sometimes is about wills or no wills. With the t-bonds i have my wife as co-owner. She or i can cash them and if i die there are no probs with probate or anyone contesting as there is nothing to contest. Only thing i have is a living will on material items in my home which i have a no-contesting living will (meaning if anyone were to contest, they are cut off immdiately), which all go to my wife after i die anyways, all banking is joint and i can put beneficiaries as a third party on the t-bonds if something should happen to me or my wife at the same time. It will all go to this third party. I can also reissue at anytime without cashing in anything or paying a penalty.