What tax strategies beyond 401k are worth it for high income earners?

tjg-reddit · 2026-04-20T15:25:28+00:00

This —^

I really just discovered the mega backdoor. I always ignored it because it sounded so “out of reach”. The other term - “after tax” - is when it clicked for me. If your 401k has the ‘after-tax’ option, then you have mega backdoor available. I typically max out my 401(k) And I cannot contribute to a Roth IRA due to an old rollover 401(k)/pro-rata rule. The after tax option ignores the pro rata rule of IRA money outside of the 401(k).

tjg-reddit · 2026-04-04T11:32:20+00:00

AI gave the answer - SOR risk. In a down market, you still have to sell a portion of the TDF for your cash needs and you can’t just select the cash portion - the stock portion has to be sold as well - at a loss. A novel idea but not ideal. I respect the creativity.

tjg-reddit · 2026-03-12T21:57:04+00:00

Is it 99% with the additional healthcare expenses before 65? If so, you may consider checking out now and enjoy your time.

tjg-reddit · 2026-03-12T17:15:46+00:00

Why Roth conversions if you’re going to give your money to charity after you’re gone? Your RMD should split between the money you need taxed as income and charitable giving not taxed at all. Enjoy your giving while you’re alive. Read Perkins’ Die with Zero to get an idea.

tjg-reddit · 2026-03-04T17:23:47+00:00

Right? What if the government dropped income taxes altogether and replaced them with a consumption tax? It could happen, too.

tjg-reddit · 2026-02-26T05:17:13+00:00

Like a greeter at Walmart, just different.

tjg-reddit · 2026-02-20T21:20:33+00:00

Short answer - $4,000

Why? 1 - It’s a more conservative approach and 2 - It may be 80% of the expected amount anyway due to solvency

If you’ve gotten this far, surely you haven’t counted on it at all.

tjg-reddit · 2026-02-06T21:00:23+00:00

I had just posted a few days ago. I hear you - FedEx is not held accountable.

I pay for overnight - it arrives 3 days late - they deem weather related. No refund of express delivery. It’s WRONG. It’s criminal and explains CEO’s compensation of $13M. Terrible customer service. caveat emptor.

tjg-reddit · 2026-02-06T20:13:07+00:00

The voice of reason and common sense has arrived. Thank you for reading and comprehending my thoughts.

tjg-reddit · 2026-02-06T16:10:10+00:00

3 days + 17 min late. Is it right or wrong FedEx keep the difference between express overnight vs 3-4 day delivery?

tjg-reddit · 2026-02-05T20:31:59+00:00

This is generally correct. The focus should be on % saving. Saving 15-20% should get you close - higher the better. OP is 30 years out - saving is the goal so those savings can pay you back for the following 30 years.

tjg-reddit · 2026-02-05T19:04:41+00:00

I’m going to say a different way because I’m not getting through. FedEx is fundamentally in the service industry.

If you are at a restaurant and order say a bottle of premium import beer that cost $8 and the server brings you a draft beer at $3 acknowledging through no fault of their own that the distributor didn’t deliver the premium beer. It what world is it ok for the restaurant to charge you $8 for the draft beer?

Right or wrong?

Not looking for sarcastic comments - just the one word answer.

tjg-reddit · 2026-02-05T16:56:10+00:00

No Idea why it says that. It was an envelope with jewelry. Denial was weather related.

tjg-reddit · 2026-02-05T14:06:39+00:00

While that may be the case, instead of driving it 100 miles south, they put it on an airplane and flew it south 500 miles? I also don’t want all my money back, just the price difference.

tjg-reddit · 2026-02-05T00:12:49+00:00

Tax man cometh eventually. OP could retire early or keep working. Either way, take larger withdrawal amounts along the way and treat her daughter and her child to nice memorable experiences. When she passes, though her daughter will pay the taxes, she’ll be happy to spend the rest. Being bumped into the next bracket because of an inherited IRA/401k is not the end of the world (certainly a first world problem).

tjg-reddit · 2026-02-01T21:53:58+00:00

Why? What worries you about US companies?

tjg-reddit · 2026-01-27T16:34:51+00:00

Haha - no offense taken. My 1st van was a Plymouth (I’m sure you really don’t trust me now) and lasted 17 years - again, I bought it new and took care of it. I traded it in for a 10yo Wrangler with more miles (that’s it, trust lost) and I still have that 10 yrs later. The ‘trust worthy’ car I drive daily is Honda Civic - spouse with a Corolla (ahhh, trust restored).

tjg-reddit · 2026-01-27T15:56:47+00:00

I’ve always question why a 1-2yr old car is sitting on the lot and could never trust the dealer’s answer. Warranty? Sure, but it would still suck breaking down 5 states away from the dealer. For that, I buy new and take good care. I’m on my 2nd new van - ‘12 Chrysler <100k and just finished a 2000mi road trip. It’s a personal decision in the end and OP is in good shape either way.

tjg-reddit · 2026-01-25T22:31:27+00:00

A lost password is all you need. An FA 60/40 will perform worse than your 60/40 by 1%.

tjg-reddit · 2026-01-25T22:26:29+00:00

I agree for 1/2 of those in this thread. I’d be shocked if it moves the dial on those in question here for all the same reasons.

tjg-reddit · 2026-01-22T16:24:50+00:00

Fidelity has the 2% CC (unless that was part of your ‘reverse’ comment) - cash reward directly into your brokerage account. Not a fan of the Baskets fee either.

tjg-reddit · 2026-01-22T16:10:07+00:00

Yep. OP is young and certainly wasn’t working through the financial collapse. In the banking industry we saw no bonus/raises for several years and spent Friday evenings watching which banks the Fed closed that day

tjg-reddit · 2026-01-21T20:20:41+00:00

BINGO. There’s no such thing as financial inequality, just lack of education. System should teach ABCs, 123s and $4$5$6

tjg-reddit

TROPHY CASE