s*******d
发帖数: 126 | 1 KennyD;
You mentioned in one of the post earlier that you prefer to have an
investement vehicle that would allow you to make frequent trades in order to
benefit from short term capital gains. I think this all boils down to the
amount of capital gain taxes you would have to pay. Here is another
simplified calculation/comparison.
If you start again with 10,000 dollars pre-tax investement dollars in a
traditional IRA account, and you have 8% annual return, with 5% comes
from growth and 3% from divi | K****D
发帖数: 30533 | 2 Thanks for the computation.
But no, I never intended to do short-term trading to replace
"what should be" a traditional IRA. I only intend to buy-and-
hold in a regular investment account in substitution of 401k
or traditional IRA.
I understand paying less tax on gains is the only way to beat tax
deductible accounts, hehe. What I meant was your "in the heaven"
scenario -- short term capital gains in tax deferred accounts.
Because of that, I prefer traditional IRA over 401k (non-matching
part). B
【在 s*******d 的大作中提到】
: KennyD;
: You mentioned in one of the post earlier that you prefer to have an
: investement vehicle that would allow you to make frequent trades in order to
: benefit from short term capital gains. I think this all boils down to the
: amount of capital gain taxes you would have to pay. Here is another
: simplified calculation/comparison.
: If you start again with 10,000 dollars pre-tax investement dollars in a
: traditional IRA account, and you have 8% annual return, with 5% comes
: from growth and 3% from divi
| s*******d
发帖数: 126 | 3 yes indeed, I totally agree: if you can just nudge the returns/growth on
traditional IRA accounts even by a tiny bit in the early years through some
trading, you'd get a much larger return in the end. And traditional IRA does
give you more flexibility over most 401k in terms of investement selections
, that said, more trades and more flexibilities also translate to more
chances of shooting oneself in the foot...
I do want to point out another thing that is difference between a
tradntional IRA an
【在 K****D 的大作中提到】
: Thanks for the computation.
: But no, I never intended to do short-term trading to replace
: "what should be" a traditional IRA. I only intend to buy-and-
: hold in a regular investment account in substitution of 401k
: or traditional IRA.
: I understand paying less tax on gains is the only way to beat tax
: deductible accounts, hehe. What I meant was your "in the heaven"
: scenario -- short term capital gains in tax deferred accounts.
: Because of that, I prefer traditional IRA over 401k (non-matching
: part). B
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