« previous next »
Pages: 1

Author Topic: Is This A Taxable Event?  (Read 2351 times)

AmandaS1989

  • Handlebar Stache
  • *****
  • Posts: 1545
  • Age: 35
  • Location: North Carolina
  • Ferocious Accounting Beast
Is This A Taxable Event?
« on: December 10, 2015, 12:23:43 PM »
I am thinking about changing my 401k allocations in 2016 and am wondering if I decide to no longer invest in the funds I'm already invested in and change it to something different would that create a tax liability for me? I'm thinking it wouldn't but I want to make sure before I do it.
Logged

themagicman

  • Bristles
  • ***
  • Posts: 401
  • Age: 33
  • Location: Atlanta, GA
Re: Is This A Taxable Event?
« Reply #1 on: December 10, 2015, 12:26:36 PM »
Quote from: AmandaS1989 on December 10, 2015, 12:23:43 PM
I am thinking about changing my 401k allocations in 2016 and am wondering if I decide to no longer invest in the funds I'm already invested in and change it to something different would that create a tax liability for me? I'm thinking it wouldn't but I want to make sure before I do it.

No it will not. It would not for any retirement account. The taxes (And penalties) would only happen if you withdraw the money to your account and do not return it in a certain amount of time (Usually 60 days I believe)
Logged

AmandaS1989

  • Handlebar Stache
  • *****
  • Posts: 1545
  • Age: 35
  • Location: North Carolina
  • Ferocious Accounting Beast
Re: Is This A Taxable Event?
« Reply #2 on: December 10, 2015, 12:29:20 PM »
Awesome. Thank you very much.
Logged

themagicman

  • Bristles
  • ***
  • Posts: 401
  • Age: 33
  • Location: Atlanta, GA
Re: Is This A Taxable Event?
« Reply #3 on: December 10, 2015, 12:32:35 PM »
Quote from: AmandaS1989 on December 10, 2015, 12:29:20 PM
Awesome. Thank you very much.

No problem! I change mine practically monthly to keep my target asset allocation
Logged

AmandaS1989

  • Handlebar Stache
  • *****
  • Posts: 1545
  • Age: 35
  • Location: North Carolina
  • Ferocious Accounting Beast
Re: Is This A Taxable Event?
« Reply #4 on: December 10, 2015, 01:55:50 PM »
Monthly? Wow what is your allocation if I may ask? I'm thinking about mine but I'm not quite sure what I want to do. I could put all of it into the Dreyfus Stock Index my 401k offers but I'm still a little wary about putting the whole thing into one fund. I know it's basically a S&P 500 with a whole lot of companies its invested in, but it still makes me pause.
Logged

themagicman

  • Bristles
  • ***
  • Posts: 401
  • Age: 33
  • Location: Atlanta, GA
Re: Is This A Taxable Event?
« Reply #5 on: December 10, 2015, 07:14:45 PM »
Quote from: AmandaS1989 on December 10, 2015, 01:55:50 PM
Monthly? Wow what is your allocation if I may ask? I'm thinking about mine but I'm not quite sure what I want to do. I could put all of it into the Dreyfus Stock Index my 401k offers but I'm still a little wary about putting the whole thing into one fund. I know it's basically a S&P 500 with a whole lot of companies its invested in, but it still makes me pause.

My allocation is currently 100% stock and is a total world approach. It is based off the market cap of each of the countries. Currently it is around 50/50 USA and international and I base it off of what vanguards VT allocation is at the time
Logged
Pages: 1
« previous next »
 

Wow, a phone plan for fifteen bucks!