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Learning, Sharing, and Teaching => Case Studies => Topic started by: BTDretire on December 16, 2019, 10:49:10 AM

Title: Case study, I need to sell funds to maximize year end income.
Post by: BTDretire on December 16, 2019, 10:49:10 AM

I have a few days left to maximize my income for 2019. I'm trying to get next years expenses and daughters expensive tuition this year. Note:MFJ
I want to stay in the 12% bracket and do as much Roth conversion as I can.
I figure I need to generate an additional $54,000 for next years expenses and tuition.
The rest would be Roth conversion money so needs to come from IRA accounts.
I have all types of accounts to choose from, Taxed and non taxed.
So far my 2019 income is 16,000. but $9,000 of that is qualified dividends.
  I have $27k of carryover loses and another $5k generated this year. So $32k.
I have non taxed funds, one has only 8.4% short term cap gain and another that is 58%
LTCG.
 I think I'd like to use a good amount of carryover to get my $54k and then use IRA's to do the Roth conversions.
 I have tried the CSS but I have OpenOffice and they don't play well and I'm pretty much lost when using it.
 I will post my sheet if someone tells me how.
Here are my inputs.
Line 23, $4,650
Line 25, $9,000
Line 27, $31,000
Line 31, $95,500
Line 40, $9,200
Schedule D line 14, $31,000 This uses all of the carryover I have. (is that a good idea?)
 Giving me a tax of $9,049
 Although it says that my refund?, but also says that's my Tax due.
 This gives me 84,300 + 31,000 = $115,300 If I take out my $54,000 for expenses, I have $61,300 to do Roth Conversions. (edited, found more income)

 Any guidance would be helpful.

Title: Re: Case study, I need to sell funds to maximize year end income.
Post by: netgreat on December 31, 2019, 05:22:20 AM

Well, you're getting an annual income is 16,000. but $9,000 of that is qualified dividends.  $27k of carryover losses and another $5k generated this year sounds like an absolutely awful investment. I recommend you try buying essays on sale. This is very popular among students. The profit is that you order a lot of essays on various topics from professional writers, and then repeatedly sell the same paper works to students around the world. $61,300 to do Roth Conversion it is great but you need to find a great investment object.