Comments on: How to Take a Loss on an IRA http://www.mydollarplan.com/take-a-loss-on-an-ira/ finance. money. action. Fri, 20 Nov 2009 12:02:44 -0600 http://wordpress.org/?v=2.8.6 hourly 1 By: Madison http://www.mydollarplan.com/take-a-loss-on-an-ira/#comment-7282 Madison Thu, 18 Dec 2008 03:32:54 +0000 http://www.mydollarplan.com/?p=675#comment-7282 @ Otis & Stefan Rice: I've been reviewing the publications and I can't find anything that says you can't make a contribution to a new account in the following tax year. As long as you designate the contributions for 2009, not 2008, I think you would be eligible. @ Otis & Stefan Rice:

I’ve been reviewing the publications and I can’t find anything that says you can’t make a contribution to a new account in the following tax year.

As long as you designate the contributions for 2009, not 2008, I think you would be eligible.

]]> By: Stefan Rice http://www.mydollarplan.com/take-a-loss-on-an-ira/#comment-7280 Stefan Rice Thu, 18 Dec 2008 00:32:07 +0000 http://www.mydollarplan.com/?p=675#comment-7280 Does anyone have the answer for what Otis mentioned? I really want to sell my Roth IRA but want to make sure I can contribute for 2009 if I take the loss on paper. Answers? Stefan Does anyone have the answer for what Otis mentioned? I really want to sell my Roth IRA but want to make sure I can contribute for 2009 if I take the loss on paper. Answers?

Stefan

]]> By: Weekend Linkage - December 14, 2008 http://www.mydollarplan.com/take-a-loss-on-an-ira/#comment-7255 Weekend Linkage - December 14, 2008 Mon, 15 Dec 2008 04:54:48 +0000 http://www.mydollarplan.com/?p=675#comment-7255 [...] How to Take a Loss on an IRA @ My Dollar Plan [...]

[...] How to Take a Loss on an IRA @ My Dollar Plan [...]

]]> By: Otis http://www.mydollarplan.com/take-a-loss-on-an-ira/#comment-7221 Otis Fri, 12 Dec 2008 17:34:38 +0000 http://www.mydollarplan.com/?p=675#comment-7221 So the only real question is can you recontribute to a new Roth IRA starting in Jan of 2009? If so, I think a lot of young professionals that are $2k+ underwater on their Roth IRAs could really take advantage of that. Cash out Dec 31st, get the loss on the 2008 taxes. Reinvest on Jan 1st in a new Roth with a slightly different fund-portfolio. Ultimately you have no real risk that you'll miss the market and you'll get a huge tax benefit. Seems too good to be true, but I don't see anything showing you can't work it just like that. So the only real question is can you recontribute to a new Roth IRA starting in Jan of 2009?

If so, I think a lot of young professionals that are $2k+ underwater on their Roth IRAs could really take advantage of that. Cash out Dec 31st, get the loss on the 2008 taxes. Reinvest on Jan 1st in a new Roth with a slightly different fund-portfolio.

Ultimately you have no real risk that you’ll miss the market and you’ll get a huge tax benefit. Seems too good to be true, but I don’t see anything showing you can’t work it just like that.

]]> By: Friday Finance Findings for December 12th - Talking to Suze Orman Edition : Generation X Finance http://www.mydollarplan.com/take-a-loss-on-an-ira/#comment-7214 Friday Finance Findings for December 12th - Talking to Suze Orman Edition : Generation X Finance Fri, 12 Dec 2008 14:32:47 +0000 http://www.mydollarplan.com/?p=675#comment-7214 [...] How to Take a Loss on an IRA - When it comes to gains and losses inside your IRA, it doesn’t matter because it’s tax-deferred, right? Well, that’s normally what people do, but there is a way that you might be able to take a loss and use it for tax purposes. But, there are some restrictions, and it isn’t a good idea for everyone. Find out if it’s something you may want to consider. [...]

[...] How to Take a Loss on an IRA – When it comes to gains and losses inside your IRA, it doesn’t matter because it’s tax-deferred, right? Well, that’s normally what people do, but there is a way that you might be able to take a loss and use it for tax purposes. But, there are some restrictions, and it isn’t a good idea for everyone. Find out if it’s something you may want to consider. [...]

]]> By: Small Business Stimulus Package Financial Giveaway http://www.mydollarplan.com/take-a-loss-on-an-ira/#comment-7183 Small Business Stimulus Package Financial Giveaway Wed, 10 Dec 2008 23:04:52 +0000 http://www.mydollarplan.com/?p=675#comment-7183 [...] My Dollar Plan: How To Take A Loss On An IRA [...]

[...] My Dollar Plan: How To Take A Loss On An IRA [...]

]]> By: Madison http://www.mydollarplan.com/take-a-loss-on-an-ira/#comment-7145 Madison Tue, 09 Dec 2008 19:51:19 +0000 http://www.mydollarplan.com/?p=675#comment-7145 @ Stacey: Isn't it amazing how well it works when you think of your retirement plan options as a unit instead of his and hers? @ Donny: Don't worry, we won't be spending the money! If I do this, I'll take the proceeds and the money from the deduction and put them into another retirement plan. @ Stacey: Isn’t it amazing how well it works when you think of your retirement plan options as a unit instead of his and hers?

@ Donny: Don’t worry, we won’t be spending the money! If I do this, I’ll take the proceeds and the money from the deduction and put them into another retirement plan.

]]> By: Donny Gamble http://www.mydollarplan.com/take-a-loss-on-an-ira/#comment-7141 Donny Gamble Tue, 09 Dec 2008 15:49:09 +0000 http://www.mydollarplan.com/?p=675#comment-7141 I'm never going to touch my IRA unless it is an extreme emergency. I know these are vital times right now in the economy, but if you don't need the money, then I would just leave it alone. I’m never going to touch my IRA unless it is an extreme emergency. I know these are vital times right now in the economy, but if you don’t need the money, then I would just leave it alone.

]]> By: Stacey http://www.mydollarplan.com/take-a-loss-on-an-ira/#comment-7136 Stacey Tue, 09 Dec 2008 14:59:03 +0000 http://www.mydollarplan.com/?p=675#comment-7136 It's funny that you mention ownership - my husband and I also distribute our retirement contributions unequally, depending on our income for the year. I aim to contribute as much as possible to my SEP-IRA each month, and then top off his Roth with our budgeted retirement "leftovers." It's really worked out to our advantage, because we minimize my taxable business income and lower our joint tax liability. It always pays to step back and calculate the "best" way to save for retirement, in your specific situation. :) Don't assume that a 50/50 split is always the best option. It’s funny that you mention ownership – my husband and I also distribute our retirement contributions unequally, depending on our income for the year.

I aim to contribute as much as possible to my SEP-IRA each month, and then top off his Roth with our budgeted retirement “leftovers.” It’s really worked out to our advantage, because we minimize my taxable business income and lower our joint tax liability.

It always pays to step back and calculate the “best” way to save for retirement, in your specific situation. :) Don’t assume that a 50/50 split is always the best option.

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