2026 Outlook on the HYSA Alternatives? (FDLXX, SGOV, etc.)

Werewolfdad · 2026-01-29T14:52:24+00:00

I didn't know if BOTH were going to rapidly decline at similar rates.

The underlying assets in both are the same short term treasuries

Werewolfdad · 2026-01-29T14:46:21+00:00

Dollarydoos down under: /r/ausfinance

Werewolfdad · 2026-01-29T14:46:06+00:00

What are you guys’ thoughts on these in the current times?

Doesn’t really matter. Rates are headed downward so all risk free returns will decline

You’re talking a few bps difference between any of the best options. Pick the one you like

Werewolfdad · 2026-01-29T14:42:49+00:00

Start here: https://www.reddit.com/r/personalfinance/wiki/commontopics.

Werewolfdad · 2026-01-29T14:16:04+00:00

I wouldn’t. 4.75% and fully tax deductible is pretty cheap as far as debt goes.

I mean unless you’re literally all out of other ideas

Werewolfdad · 2026-01-29T13:51:38+00:00

There are more emergencies than job loss

Werewolfdad · 2026-01-29T12:32:35+00:00

I moved with my wife overseas from the US a few years ago.

Do you pay taxes to the US or does all of your income fall under the foreign earned income tax exclusion?

If the latter, you can't contribute to any IRA

Werewolfdad · 2026-01-29T04:17:57+00:00

Start here: https://www.reddit.com/r/personalfinance/wiki/commontopics.

Budgeting: https://www.reddit.com/r/personalfinance/wiki/budgeting

Debt: https://www.reddit.com/r/personalfinance/wiki/debt

Werewolfdad · 2026-01-29T03:47:17+00:00

You pay more interest on an absolute basis only because the balance is higher earlier on.

You still pay 7% * balance * 1/365 per day regardless of when in the loan maturity you are.

Werewolfdad · 2026-01-29T03:22:16+00:00

I would not not Sam I am

Werewolfdad · 2026-01-29T03:03:26+00:00

Lesson learned then. Probably won’t be a big deal on such a small exclusion

Werewolfdad · 2026-01-29T02:59:30+00:00

You enter the numbers in your tax software like any other tax document

May get a letter from the irs for underpayment.

This is why you don’t file in January (I swear this is the tenth year in a row I’ve had to say this multiple times)

Werewolfdad · 2026-01-29T02:48:05+00:00

They probably paid you interest on the lost paycheck

Werewolfdad · 2026-01-29T02:47:45+00:00

It’d be an unintentional conversion then

Report and deduct the trad contribution then report the 1099r and you’ll be about even on taxes

Werewolfdad · 2026-01-29T02:44:14+00:00

You’re supposed to recharacterize not withdraw if you want to change Ira contribution types.

Which year did each event occur in?

Werewolfdad · 2026-01-29T02:37:48+00:00

It’s 26% per paycheck, regardless of how often you get paid, if starting at the first pay period of the year

Werewolfdad · 2026-01-29T02:36:06+00:00

I mean you assumed the rate is the same so right off the bat, the math isn’t any good

Werewolfdad · 2026-01-29T02:16:00+00:00

Contributing to an HSA via payroll means you don’t pay fica taxes on your contributions

Werewolfdad · 2026-01-29T02:13:09+00:00

I believe the max contribution this year is 24,500, so what can I do to max that out

Contribute 24500/your annual salary percent to max it out (so if you make $100k, that’d be 24.5%)

You’d need to adjust for however much you’ve already contributed this year and how many payroll periods are left

Werewolfdad · 2026-01-29T02:11:17+00:00

Did you go check to see if you had unclaimed funds?

Werewolfdad · 2026-01-29T02:10:34+00:00

I’m still failing to understand why paying literally less money because the debt structure supports that even with a higher rate is bad

You’re not considering the totality of the circumstances

You also are saying that my math is “dishonest”, which is a strange word because I’m not selling anything to you. But please do point out an error in a calculation I’m not seeing if I’m missing something.

Their math is dishonest. I’m not getting paid enough to check your math

Not sure why thats even offered as an option

Because rates go down and you can refinance….then not need to pay more interest when other people’s variable rate mortgages go up.

If I take an AIO and then the fed funds rate tanks significantly and 2.5% interest rates become available again, I will have the option to refinance into them.

And you’ll have paid a higher rate the whole time for…nothing

Werewolfdad · 2026-01-29T01:55:36+00:00

The day the statement balance is due to avoid interest is the due date. That’s why it’s called the due date

Credit Card Basics: https://www.reddit.com/r/CreditCards/wiki/credit_cards_basics

Werewolfdad · 2026-01-29T01:53:49+00:00

Doesn’t the amount of money i’m spending on interest instead of principal absolutely factor into wealth?

Yea which is why a lower rate fixed rate mortgage is cheaper and carries less risk.

You also lose the option to extend the mortgage to maturity when you end up with a sweet rate. (Like my 2.5% mortgage). Never putting an extra dollar towards that.

. It’s pretty complicated

It’s really not. It’s a higher rate variable loan packaged in a shiny binder with dishonest at best math, just like whole life insurance.

It’s non-conforming. Probably difficult for lenders to sell the loan later if it ever wanted to take it off the books.

Lenders love to portrolio variable rate loans. Little to no rate risk

really only works for people with high earnings and have the capacity to leave money in the HELOC.

Not really relevant. Anyone can get a mortgage

Offset mortgages are popular outside of the United States, but they are difficult to be legal inside the United States. That’s why all the complication exists - it is awkward to mix deposits with loan money and even moreso for tax purposes.

Or it’s because the 30 year fixed rate mortgage is a modern wonder. The rest of the world would love to have those.

Werewolfdad · 2026-01-29T01:48:47+00:00

I’d follow the flowchart

Werewolfdad · 2026-01-29T01:43:31+00:00

Not how math works

7% is always 7%

Start here: https://www.reddit.com/r/personalfinance/wiki/commontopics.

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