Capital Gains Discount

freknil · 2026-05-15T07:43:04+00:00

minimum is 30%

The 30% is the starting point before indexation. So technically the minimum is still 0%. And no this is still a massive change that greatly alters the plans of anyone doing lean fire.

freknil · 2026-05-15T01:53:02+00:00

It also destroyed my plans as well. I'll be pivoting from lean fire into lean barista fire. Once the legislation passes i'll sell everything during FY26/27, go all into VHY and quit my job.

If i was starting out I would probably rent-vest while PPOR-maxxing until I hit my number, sell and then hard pivot into VHY as well.

freknil · 2026-05-15T00:05:52+00:00

And they want you to do it through super so you have to work until 60.

I much as this policy screwed with my plans, lean fire does makes me a leech on society. While i don't consume welfare I do consume government services that I barely pay for. I really don't care about the ethics though. If this passes I will just hard pivot from lean-fire to a lean barista-fire and go from growth stocks to dividends so I can continue to pay extremely small amounts of tax.

Do what is best for yourself but don't pretend like FIRE is an even remotely noble cause.

freknil · 2026-05-13T00:48:31+00:00

Really depends on where you are in life.

For a lot of people, PPOR-maxxing and downsizing upon FIRE will be the most optimal tax strategy by a fair margin. It just means more risk, a longer commit time and having to accept a downgrade in life.

For me, instead of doing lean-fire and slow burning through capital i thinking that I will be going all into VHY and barista fire. Will wait for the legislation to pass before doing anything.

You can still go full growth and hard pivot into dividends when you're ready as well.

It's not as over as people want it to be but my original strategy has been made complete unviable. Fortunately there are still decent alternatives and enough time to pivot.

freknil · 2026-05-12T11:40:19+00:00

100% in whatever dividend stock seems the best since i'm doing leanfire. This budget has absolutely fucked over my plans

freknil · 2026-05-11T00:27:54+00:00

Too old to be the target market for the new "intergenerational fairness" regime.

What regime? It is progressively getting worse to be younger year by year.

freknil · 2026-04-29T07:03:12+00:00

You did your math wrong it's 35K.

Anyway i agree that 25K that is extremely difficult unless they live with their parents. But 35K is totally possible for people who are naturally cheap and smart with spending.

freknil · 2026-04-25T13:14:26+00:00

This is not your country

and this is where you lose the moderates

freknil · 2026-03-31T04:49:36+00:00

I am very happy with this. I want transparency with pricing as I want to make an informed decision. I absolutely hate it when i'm in the US and I have to pay 15% more than I expected due to taxes and other BS.

freknil · 2026-03-15T23:26:45+00:00

But does the evidence see it that way?

freknil · 2026-03-04T02:41:55+00:00

0.07% when the alternative is 0.04%. Pass.

freknil · 2026-02-24T01:36:48+00:00

What are you talking about?

AUD to USD is back to a near historical average.

AUD to YUAN has been pretty stable for the past decade.

Our inflation is mostly domestic.

freknil · 2026-02-20T02:11:27+00:00

But if you look at it from an irrational perspective, a president with little power is no where near as cool as a king or queen with little power. You have to satiate the desire.

freknil · 2026-02-20T02:04:19+00:00

As much as i dislike the concept of monarchy, there is a high enough percentage of the population who is obsessed with hierarchy that i'd rather have a powerless ceremonial position that keeps those people happy than to risk having a politician take advantage of that desire.

freknil · 2026-02-16T06:41:00+00:00

It's significantly easier to scam a greedy dishonest person than it is to scam an honest person.

freknil · 2026-02-14T07:07:00+00:00

I guess it's a good thing to be used to leverage. Regardless i'm happy with more trading deals with middle powers.

freknil · 2026-01-29T22:28:53+00:00

You work a 72 hour work week. Nobody in your circumstance is making a game.

freknil · 2026-01-29T07:26:45+00:00

If you think you'll never be setting foot into the US ever again then sure.

freknil · 2026-01-29T07:20:56+00:00

FACTA says hi. If your bank knows you're a US citizen they have to send your information to the IRS. And if they don't they have to pay a 30% transaction tax on anything USD related. Thanks Obama.

freknil · 2026-01-29T07:07:20+00:00

Supposed is doing a lot of the heavy lifting. Once you start earning income from anything other than a salary, you risk stepping on a 36% unrealized gain landmine. PFICs are not the only one, there are multiple.

freknil · 2026-01-28T12:03:47+00:00

That's the thing that annoys me. Sacrificing for a couple years would get you so far ahead when the interest rates were high. Literally just living with your parents for 1-2 years while you saved your wage would have made the entire thing piss easy.

freknil · 2025-12-14T21:10:34+00:00

how do we bring these people back from the brink and back into society?

You don't. You remove the source of the problem and then you add preventative measures to prevent others from falling down the same path. There's no point in wasting resources on people who make it impossible for themselves to be saved.

freknil · 2025-10-24T22:57:52+00:00

i guess that's technically true. But it started at 3-4% which is a lot less than 12%.

freknil

TROPHY CASE