savings bonds?

[grsthegreat]

Ya, i actually closed out one CD account and bought a 2003 model year 2 bedroom 2 bath house last year. That 130,000 in the bank was earning me $103.00 interest per month. Now the renter is paying me $900 per month. while the house is appreciating.

My stocks and bonds have also been doing great last few years. over 25% increase in value.

right now im partially retired. still doing some electrical work but i pick and choose. Trying to only work 3 days a week.

The wife will probably fully retire in 1-1/2 years.....

if we live on 4% of investments plus rental income (2 houses now) our monthly income will be very comfortable.

I fully retired a few years ago, but i was too young. none of my friends had retired, so i never had anything to do. got real bored. I need all my friends to retire also.

 

[timswi]

errrr. you pay taxes on any savings interest. they report all interest income you earn.

heck, i sold some gold years ago, and i had to pay taxes on the profit i earned in the gold. that really sucked.

True but savings and gold aren't loans to the Federal Government. That's, in essence, what savings bonds are.

 

[grsthegreat]

True but savings and gold aren't loans to the Federal Government.

well, your right there. I just hate taxes on all capital gains ....long term and especially short term.

I got nailed HUGE on inheritance taxes.....now that should be illegal. Taxing monies that was already taxed.

ohoh... i see this thread going off the side

 

[hlyautey]

So you are considering empowering the Government to further enslave your Granddaughter? I suggest hard money, the solid silver and gold type.

 

[smstonypoint]

well, your right there. I just hate all capital gains ....long term and especially short term.

I love capital gains, but I'm not particularly fond of taxes on capital gains.


Steve

 

[grsthegreat]

I love capital gains, but I'm not particularly fond of taxes on capital gains.


Steve

oh yes..i left a word out


there..its fixed

 

[grsthegreat]

So you are considering empowering the Government to further enslave your Granddaughter? I suggest hard money, the solid silver and gold type.

ohoh... lets not start another gold issue. that usually gets posts banned HEHE

 

[mjarrels]

I bought them many, many years ago when they actually paid real interest. Bought my first house using them. I wouldn't go that way now!

mark

 

[timswi]

I bought them many, many years ago when they actually paid real interest. Bought my first house using them. I wouldn't go that way now!

mark

My grandmother bought them for me...Used a small portion on my first house too...Had to sandbag a fair amount to cover the accrued interest though. That's why I still sitting on a ton of them, I don't want to pay up to cash them out..Stupid, I know, but that's the way I am.

 

[hlyautey]

The birth Certificate issued to your granddaughter is a Government record that they attach the $55,000 in debt that she currently owes Uncle Sam. It will be much higher before she even realizes what the people we have elected have done to her. The Government has no "value" for the very young before they invest in their education or the very old when they stop producing. The FED is inflating another Wall Street bubble that will draw money from people that actually earn it and rob that wealth from them with their market manipulation. You can choose to participate in a system that we all know is failing or begin to find a better way to provide a better life for the young people.

 

[timswi]

The birth Certificate issued to your granddaughter is a Government record that they attach the $55,000 in debt that she currently owes Uncle Sam. It will be much higher before she even realizes what the people we have elected have done to her. The Government has no "value" for the very young before they invest in their education or the very old when they stop producing. The FED is inflating another Wall Street bubble that will draw money from people that actually earn it and rob that wealth from them with their market manipulation. You can choose to participate in a system that we all know is failing or begin to find a better way to provide a better life for the young people.

Shall we not go there?..That's for the "friendly politics" area...This is a general discussion about the pros and cons of savings bonds. The FED/gold/whatever isn't in play here.

 

[Soundguy]

Yeah. We just financed a used car through a different credit union. They are offering .13 percent interest on savings accounts. We're currently getting .10. So that's what? a whopping 3 cents more on every 100 dollars. 30 cents on a thousand and $3 bucks on $10,0000. Not worth the labor in paper work to switch accounts. Pathetic.

exactly!

 

[GGB]

There is a very important advantage to a 529 plan that hasn't been addressed yet, and that is control. If you establish a 529 plan and the beneficiary decides not to go to school, you can transfer the beneficiary to another person.

In a worst case scenario, the donor can take back the proceeds, subject to current income taxes and a 10% penalty tax. If you end up with a ner do well beneficiary who would otherwise just blow the money, you'll appreciate this feature. If you set up most other savings plans in the name of the beneficiary, they may control that asset after they reach the age of majority in most states.

This advantage of a 529 plan can avoid situations where the intended beneficiary goes a little crazy after reaching age 18 and decide that they need a new car or drugs or whatever more than going to school. You can still control distributions with a properly set up 529 plan.

As always, see your professional tax and legal advisors for guidance.

 

[MoKelly]

Does anyone really believe that in 18 years from now, people will all flock one-by-one to brick and mortar buildings and sit in a big room listening to speaches in order to get an education?

MoKelly

 

[smstonypoint]

Does anyone really believe that in 18 years from now, people will all flock one-by-one to brick and mortar buildings and sit in a big room listening to speaches in order to get an education?

MoKelly

Yes!! What would happen to college football if we don't have "student-athletes" flocking one-by-one to brick and mortar buildings?

Seriously, I think "online education" will continue to grow in importance. However, some courses/majors require laboratory training and I don't see how that training can be achieved without facilities.

"Online education" is not free now and I don't think it is going to be free in the future.

Steve

 

[Soundguy]

did someone say it was going to be free? i must have missed it.

 

[forgeblast]

Online education" is not free now and I don't think it is going to be free in the future.

I am thinking that some gen-ed classes might.

https://www.udacity.com/ offers free university programs. For personal development you can download a ton of lectures/classes from itunes university. The current masters program I am enrolled in is all online, not free but it does free up time for me. I do not have to travel to a physical location to take a class saving me over 2 hours of travel (there and back) each time the class would meet.

 

[smstonypoint]

did someone say it was going to be free? i must have missed it.

My point is that it is prudent to save for the education of your children (or grandchildren) regardless of whether that education is obtained at a "bricks and mortar" institution or via "online" education.

Steve

 

[MoKelly]

Life is changing fast. The top 5 global companies by market value at the end of 1997 were:
1. GE
2. Shell Oil
3. Coke
4. Nippon Telephone
5. Exxon

A short 5 years later and the top 5 companies are:

1. Apple
2. Exxon
3. Microsoft
4. Google
5. Berkshire

Save for what you believe is important but be sure the way you save has flexibility and gives you options as the world evolves.

MoKelly

 

[smstonypoint]

Online education" is not free now and I don't think it is going to be free in the future.

I am thinking that some gen-ed classes might.

https://www.udacity.com/ offers free university programs. For personal development you can download a ton of lectures/classes from itunes university. The current masters program I am enrolled in is all online, not free but it does free up time for me. I do not have to travel to a physical location to take a class saving me over 2 hours of travel (there and back) each time the class would meet.

There's an old saying from ECON 101 -- "There's no such thing as a free lunch."

While "online education" at the college/university level requires fewer resources than onsite education, it still requires resources and those resources have a cost. Who is going to pick up the tab? Students? Taxpayers? Some combination?

Steve