The Mind Money Spectrum Podcast

#31. Watch out for these costly mistakes with your taxable investments.

July 14, 2020 Aaron Agte and Trishul Patel Season 1 Episode 31
The Mind Money Spectrum Podcast
#31. Watch out for these costly mistakes with your taxable investments.
Chapters
The Mind Money Spectrum Podcast
#31. Watch out for these costly mistakes with your taxable investments.
Jul 14, 2020 Season 1 Episode 31
Aaron Agte and Trishul Patel

In this episode, Aaron and Trishul discuss how taxes work in non-qualified investment accounts. Without account-level IRS rules or benefits, it's the actual investments inside of these accounts that drive the tax implications. Savings accounts and bonds generate taxes on interest. Stocks may have dividends and capital gain taxes, which depend on your income and holding period. And mutual funds can create a tax burden even if you don't sell any shares. Given all this, how do you think about which investments to pick and what type of account to use? They compare different strategies, expand on the benefits of buy and hold, and discuss asset allocation versus asset location. By understanding after-tax total return, you can find the gray area on the spectrum between investments and taxes that makes the most sense for your situation.

Episode References

MMS #2. Buying stocks can be fun, but don't fall into these common traps.
Investing Forever - Taxes: What Does This All Mean?
Investing Forever - Tax Man Saves the Day
Investing Forever - Why Buy-And-Hold Can Save You BIG.
Investing Forever - Small Difference, Big Deal
Investing Forever - Ira is Your Friend
Investing Forever - Careful. There’s more to think about than just your IRA.
Investing Forever - You Can’t Spend the Same Dollar Twice
Investing Forever - Passive Is the New Aggressive
Investing Forever - Why Invest in One Thing Over Another?
Investing Forever - Don't Leave Money on the Table
Capital Gains Tax Rates in 2020
Dividend Tax Rate
Dividends versus Buybacks, Which Is Better?
Ask the Tax Girk: Interest Less Than $10

Podcast Description

Welcome to The Mind Money Spectrum Podcast where your hosts Aaron Agte and Trishul Patel go beyond traditional finance questions to help you explore how to use your money to achieve the freedom you want in life. Aaron is a Financial Planner from the Bay Area, and Trishul is a Wealth Manager on the East Coast. For more information about Aaron, check out GraystoneAdvisor.com. And for more information on Trishul check out InvestingForever.com. We thank you all for listening, and stay tuned for our latest episode on our website, MindMoneySpectrum.com.

Show Notes

In this episode, Aaron and Trishul discuss how taxes work in non-qualified investment accounts. Without account-level IRS rules or benefits, it's the actual investments inside of these accounts that drive the tax implications. Savings accounts and bonds generate taxes on interest. Stocks may have dividends and capital gain taxes, which depend on your income and holding period. And mutual funds can create a tax burden even if you don't sell any shares. Given all this, how do you think about which investments to pick and what type of account to use? They compare different strategies, expand on the benefits of buy and hold, and discuss asset allocation versus asset location. By understanding after-tax total return, you can find the gray area on the spectrum between investments and taxes that makes the most sense for your situation.

Episode References

MMS #2. Buying stocks can be fun, but don't fall into these common traps.
Investing Forever - Taxes: What Does This All Mean?
Investing Forever - Tax Man Saves the Day
Investing Forever - Why Buy-And-Hold Can Save You BIG.
Investing Forever - Small Difference, Big Deal
Investing Forever - Ira is Your Friend
Investing Forever - Careful. There’s more to think about than just your IRA.
Investing Forever - You Can’t Spend the Same Dollar Twice
Investing Forever - Passive Is the New Aggressive
Investing Forever - Why Invest in One Thing Over Another?
Investing Forever - Don't Leave Money on the Table
Capital Gains Tax Rates in 2020
Dividend Tax Rate
Dividends versus Buybacks, Which Is Better?
Ask the Tax Girk: Interest Less Than $10

Podcast Description

Welcome to The Mind Money Spectrum Podcast where your hosts Aaron Agte and Trishul Patel go beyond traditional finance questions to help you explore how to use your money to achieve the freedom you want in life. Aaron is a Financial Planner from the Bay Area, and Trishul is a Wealth Manager on the East Coast. For more information about Aaron, check out GraystoneAdvisor.com. And for more information on Trishul check out InvestingForever.com. We thank you all for listening, and stay tuned for our latest episode on our website, MindMoneySpectrum.com.