Anybody Buying Yet? Where’s the Bottom?

[Big Sky Guy]

I’m not giving legal tax advice on a public forum here, so consult with your tax professional…

HOWEVER, where many of you might be able to make money at this point is doing Roth conversions from a tax-deferred account such as TSP, 401k, IRA, etc. into Roth 401k and/or Roth IRA.

If you subscribe to the theory that future tax rates are going to be higher, now is also an opportunity to take advantage of converting your investments at a lower price into Roth.

Once the money goes into the Roth IRA, assuming you follow the five-year rule, the principal, the interest and all of the distributions will be tax-free forever. Even the beneficiaries that might inherit your accounts one day in the future will have zero tax on it.

Downside, you got to pay the taxes. But, you’re gonna have to pay taxes no matter what on this money. So you might as well get it into Roth as cheaply as possible.

While you can’t control right of return in the market, you can control future tax rates by paying them now while taxes are low and on sale. That, in my opinion, is another way to put money back into your pocket in times like this.

Do you don’t believe Trump is going to eliminate Federal income tax?

On a serious note/question I just discussed this with a friend. IF HYPOTHETICALLY income tax was eliminated by the time a person retired would they have to pay any tax on distributions from traditional pre-tax retirement accounts (assuming tax rules stay similar to now, which maybe is too much hypothetical)?

 

[TOGIE]

What amazes me more than anything is that despite the insanely stupid economic policies of this administration, that have the real possibility of destroying US dominance and ushering in an economic downturn the likes of which no one alive has experienced, some people are still blindly drinking the Trump Kool Aid…
People forget that the market crash of 1929 didn’t recover until 1954 and that what’s happening today has stark similarities to that period.

Elon Musk posts cryptic anti-tariff video

Musk posted a video on X apparently showing Milton Friedman extolling the virtues of the free market global economic system.

www.newsweek.com

The man who put up the money that helped propel Trump to the White House broke ranks over tariffs this weekend. Ackman, who backed Trump, is resolute in his criticism of the policies.

Trump is pissing off too many people, the working class, the middle class, the upper class. And now most concerning for him, the billionaire class. He's in dangerous territory.

Congress is already plenty shaky on the idea and bet that snowball will start rolling soon.

The tiny sliver of optimist in me thinks a 180 will be coming. Exactly how soon and whether by force or surrender, we'll see.

 

[SD_Prairie_Goat]

Well, this morning is about as bad as I expected...

Sold a few last week, happy I did but the bulk of the money is just going further and further down today.

What a ride we're on folks!

 

[Beignet]

Ackman, who backed Trump, is resolute in his criticism of the policies.

I’m going to use a glass of Bill “I never thought leopards would eat MY face” Ackman’s tears to wash down my Herbalife.

 

[ismith]

I’m going to use a glass of Bill “I never thought leopards would eat MY face” Ackman’s tears to wash down my Herbalife.

Why would you drink some strangers body fluids? Seems kind of gross, but you do you I guess.

 

[Treeshark]

This day is insane. I went from -4% to positive in a half hour.

This will be quite the ride folks!

 

[Beignet]

Why would you drink some strangers body fluids? Seems kind of gross, but you do you I guess.

Hedge fund guy comeuppance makes for some of the purest, most hydrating tears.

 

[SAJ-99]

This day is insane. I went from -4% to positive in a half hour.

This will be quite the ride folks!

This is why you can’t go short.

 

[ismith]

Dang, I was hoping for better drawing odds this year.

 

[Treeshark]

Dang, I was hoping for better drawing odds this year.

Way down again.

 

[ismith]

Way down again.

The talking heads are going to get whiplash.

 

[hank4elk]

Grew up hearing the stories about the Depression. I lived it.
The post war recovery. I lived it.

After the 07/08 crash I cashed out and fled.
Never again.

The scenario set up by the 51/50 guy is worse than the 29 setting.

 

[longbow51]

 

[noharleyyet]

View attachment 367041

...falling knives

 

[NDGuy]

This is why you can’t go short.

I made about 15-20k the last 2 weeks being short instead of watching my 401k drop

 

[seeth07]

What an amazing day to make money. I wish the market was like this every day.

 

[Bonasababy]

 

[Irrelevant]

Had lunch with my parents. I'm damn glad that none of this matters for me. I'll ride it out just fine. But I would hate to be on a fixed income that's based on the market, as my parents are with their 401k. They will almost certainly be fine, but the stress of not knowing and not being able to do anything about it, is wearing on them.

 

[TOGIE]

What an amazing day to make money. I wish the market was like this every day.

every day?

 

[SAJ-99]

I made about 15-20k the last 2 weeks being short instead of watching my 401k drop

Nice work. Dangerous game, but it appears Trump is still short too.