LLCs are required to pay Interest and Dividends (I&D) tax each year on any gross income from interest or dividend income that exceeds $2,400. For the current taxable period, this tax is imposed at a rate of 4%. This is planned to decrease to 3% after December 31, 2024, and eventuall...
Take my wife’s income (she still works) and add our taxable interest and dividends. Subtract that total from 94k. Shift that remaining amount from regular IRAs into our Roths. Pay only 15%. That’s a deal I can live with. Plus I understand our government can use the money right now...
Here in the USA the government taxes dividends, interest and capital gains. But it has also created severalTax Advantaged Bucketsto encourage retirement savings. While well-intentioned, this has created a whole new level of complexity. Volumes have been written about each of these and the strateg...
The first two are our old friends and in my view are all anyone really needs. My recommendation to her (and you) is to buy these two funds and adjust the allocation between them to suit her (your) personal risk profile and needs,as described here; keeping in mind that if you plan to...