OT: Crypto, Stocks, Bonds, Real Estate, Investments, IRAs & Finances, etc.

[Toranaga]

Thanks!

Unfortunately, I was not covered by a HDHP in 2019, it was a PPO (LDHP).

My HSA is through "HSA Bank" and their investment options include Devenir & TD Ameritrade. Between those two, TD seemed like the clear winner to me. Devenir had some insane expensive funds.

I heard about the Fidelity tip as well. I heard they are they best in HSAs and no fees at all. Glad to hear the transfer is easy. I thought of doing it through BoA/Merril because that's where I have my current accounts. And it might help me get to get next perk tier. It requires you to keep 1000 in the account before you invest, which I don't mind just in case of medical emergencies. But Fidelity still looks like the best and I've only heard good things.

Thanks for that tip. Good to know that if I don't get to max the 3550, I can add more at the end of the year. So the money I add at the end of the year, will be post tax, correct?

I might just go ahead and increase my 401k contributions. I just like having that extra cash to invest in my more speculative stock investment account. It's more fun. But I'm not getting the tax advantages.

I understand, I went through that speculative stage too lol. The tax advantages are huge with the 401k though and it's hard to overstate how huge they are.

And your HSA contribution at the end of the year will be tax deductible. Even though your contribution will be with post tax money when you make it, you will be able to deduct it on your return. The only disadvantage is that you will not save on FICA taxes since it's not being done via payroll deduction. But not the biggest deal. I can talk about HSAs for hours so let me know if you want to know my strategy on how I use one, which in my opinion is the best way.

So I just wanted to make sure I'm understanding you properly, if I decide to max out my HSA now with post tax money (I have an HSA but I don't put anything into it, just employer contributions) I can somehow get tax money back as if it were pre-tax

Yep. Your taxable income will decrease by the amount that you contribute to the HSA. Form 8889 if you want to look at the IRS form. For example, let's say you are in the 22% tax bracket and you contribute $3,000 to max it, you will reduce your tax bill by $660 (3,000 x 22%).

It's going to be an above the line deduction on your return, which means you will lower your taxable income whether you take the standard deduction or itemize your deductions. Doesn't matter.

One note, not sure where you live but HSA contributions aren't deductible on NJ state returns since they are greedy scum (I live here). And if you weren't covered by a high deductible plan all year, you can still max it but there's a rule that I can get into if this is your situation.

[aq_ua]

I understand, I went through that speculative stage too lol. The tax advantages are huge with the 401k though and it's hard to overstate how huge they are.

And your HSA contribution at the end of the year will be tax deductible. Even though your contribution will be with post tax money when you make it, you will be able to deduct it on your return. The only disadvantage is that you will not save on FICA taxes since it's not being done via payroll deduction. But not the biggest deal. I can talk about HSAs for hours so let me know if you want to know my strategy on how I use one, which in my opinion is the best way.

So I just wanted to make sure I'm understanding you properly, if I decide to max out my HSA now with post tax money (I have an HSA but I don't put anything into it, just employer contributions) I can somehow get tax money back as if it were pre-tax

Yep. Your taxable income will decrease by the amount that you contribute to the HSA. Form 8889 if you want to look at the IRS form. For example, let's say you are in the 22% tax bracket and you contribute $3,000 to max it, you will reduce your tax bill by $660 (3,000 x 22%).

It's going to be an above the line deduction on your return, which means you will lower your taxable income whether you take the standard deduction or itemize your deductions. Doesn't matter.

One note, not sure where you live but HSA contributions aren't deductible on NJ state returns since they are greedy scum (I live here). And if you weren't covered by a high deductible plan all year, you can still max it but there's a rule that I can get into if this is your situation.

This is great stuff, thank you. Do you have recommendations for HSA qualified insurance plans?

[Toranaga]

So I just wanted to make sure I'm understanding you properly, if I decide to max out my HSA now with post tax money (I have an HSA but I don't put anything into it, just employer contributions) I can somehow get tax money back as if it were pre-tax

Yep. Your taxable income will decrease by the amount that you contribute to the HSA. Form 8889 if you want to look at the IRS form. For example, let's say you are in the 22% tax bracket and you contribute $3,000 to max it, you will reduce your tax bill by $660 (3,000 x 22%).

It's going to be an above the line deduction on your return, which means you will lower your taxable income whether you take the standard deduction or itemize your deductions. Doesn't matter.

One note, not sure where you live but HSA contributions aren't deductible on NJ state returns since they are greedy scum (I live here). And if you weren't covered by a high deductible plan all year, you can still max it but there's a rule that I can get into if this is your situation.

This is great stuff, thank you. Do you have recommendations for HSA qualified insurance plans?

Whatever is offered through your employer. And if your employer doesnt offer a HSA qualified plan, I would talk to HR about it. I did and they ended up offering it the next year. If you get your own insurance through the marketplace, I'm pretty sure there are a ton of options but I'm not as familiar.

And there's specific IRS guidance on what qualifies as a high deductible health plan, which is required in order to be able to have an HSA. So even if your employer doesnt offer the HSA account, you may be able to contribute to one if the plan falls under the IRS guidance. I'll see if I can get a link for that guidance at work tomorrow.

[robillionaire]

I understand, I went through that speculative stage too lol. The tax advantages are huge with the 401k though and it's hard to overstate how huge they are.

And your HSA contribution at the end of the year will be tax deductible. Even though your contribution will be with post tax money when you make it, you will be able to deduct it on your return. The only disadvantage is that you will not save on FICA taxes since it's not being done via payroll deduction. But not the biggest deal. I can talk about HSAs for hours so let me know if you want to know my strategy on how I use one, which in my opinion is the best way.

So I just wanted to make sure I'm understanding you properly, if I decide to max out my HSA now with post tax money (I have an HSA but I don't put anything into it, just employer contributions) I can somehow get tax money back as if it were pre-tax

Yep. Your taxable income will decrease by the amount that you contribute to the HSA. Form 8889 if you want to look at the IRS form. For example, let's say you are in the 22% tax bracket and you contribute $3,000 to max it, you will reduce your tax bill by $660 (3,000 x 22%).

It's going to be an above the line deduction on your return, which means you will lower your taxable income whether you take the standard deduction or itemize your deductions. Doesn't matter.

One note, not sure where you live but HSA contributions aren't deductible on NJ state returns since they are greedy scum (I live here). And if you weren't covered by a high deductible plan all year, you can still max it but there's a rule that I can get into if this is your situation.

I live in NYC and have had the high deductible plan for a few years now but I just never put any extra into it, always just focused more on my 401k plus I’m trying to save for a house

[N Y K]

Anyone know about mega Backdoor Roth IRA conversions? My company allows for it, but I'm not understanding how it works. There's a ton of reading out there, so am more curious to know if anyone has done that before?

[KnIcKsYaNkSmEtS1127]

How many of you "investors" are also carrying a high amount of debt? If you aren't debt-free (excluding your mortgage), you shouldn't be investing yet.

Picking up on this, I think it's probably worth clarifying when/why a mortgage can be excluded. Most people used to get tax deductions for the interest on their mortgage, but only if they file itemized deductions on their tax returns. The 2017 Tax Cuts and Jobs Act changed some of that math for people, where it makes more sense to take the standard deduction than itemized deductions. For those people, there is no longer any tax deduction available for mortgage interest. In a lot of ways, that probably changed a lot of math around the overall benefit of home ownership period.

My general advice is to always consider renting before buying. Investing the money you would have to put down on a home purchase will more likely generate a higher return than the potential rise in home prices from here on out. Plus, given how low rental yields are now, the same equivalent in rent for the costs associated in home ownership probably gets you a nicer place to live today.

Great point married filing joint gets $24k standard deduction so mortgage interest, real estate taxes max at $10k this also includes state and local taxes, and charity. Also investment expenses are no longer deductible so pay even more attention to the fees you’re paying to the big firms out there.

Another thing people don’t realize you can offset long term gains against long term losses. So if you do make a smart investment decision your other investment losses can absorb that. You can only claim up to a 3k loss per year the rest is carried over until its used.

Also be aware traditional vs Roth IRAs have very specific rules based on income. You may be limited based on what your job offers and even what your spouse is offered at their job. The last thing you want to get hit with is a 1099 from a retirement firm because you tried to save too much. If people are not super risky and you have the $ invest in the guys who are always there Disney, Tesla, Apple, etc. More expensive but they will be around longer and no messy regulation like the cannabis industry.

[KnIcKsYaNkSmEtS1127]

Anyone know about mega Backdoor Roth IRA conversions? My company allows for it, but I'm not understanding how it works. There's a ton of reading out there, so am more curious to know if anyone has done that before?

Are you referring to back door Roth contributions due to AGI limitations?

[Toranaga]

Anyone know about mega Backdoor Roth IRA conversions? My company allows for it, but I'm not understanding how it works. There's a ton of reading out there, so am more curious to know if anyone has done that before?

That's huge and would highly recommend doing it if you have the means to do so. I don't have direct experience doing it but I just did a lot of reading on it recently due to a job/plan change. My new employer plan doesn't allow it unfortunately.

I would triple check that your 401k plan allows BOTH 1) After tax contributions 2) In plan Roth conversions. You'll get stuck with a tax bill on the gains if you're wrong about one of these. Best to verify with the 401k administrator directly and get the plan documents.

With the mega backdoor roth option, you can contribute up to $56k (2019) to the 401k per year. That 56k includes 1) 19k pretax/roth 401k limit 2) employer matching funds 3) after tax mega backdoor roth contributions.

For example let's say you maxed the pretax/roth portion ($19k) and your employer contributes $11k via match. That allows you to contribute $26k (56-19-11) in after tax funds that can be transferred to your Roth IRA, which is huge since the normal limit is $6k. I've read that transferring the after tax contributions to your Roth IRA is pretty simple, and some administrators do it automatically for you.

One note, I wouldn't do the mega backdoor roth unless you maxed your 401k, IRA and HSA first. Just my opinion from a tax perspective.

[Stannis]

What are you opinions on investing a lot now V. waiting for the next downturn?

I was talking to some friends of mine, and we were talking about how Warren Buffett is sitting on a bunch of cash. And some were speculating that he's waiting on the next downturn. They were saying don't invest now, and just save your cash for the next downturn then buy.

While others say, time in the market is always better than time out of the market. Because if you try to time the market, the market will beat you. And I I've read a recession is unlikely in 2020.

I had a decent amount of cash. I invested about 35% of it in stocks (Standard account and a Roth IRA). I will like to always keep at least 15% of it in cash. So I still have a decent amount I am comfortable investing.

Should I just keep slowly investing?

[JamesConway]

What are you opinions on investing a lot now V. waiting for the next downturn?

I was talking to some friends of mine, and we were talking about how Warren Buffett is sitting on a bunch of cash. And some were speculating that he's waiting on the next downturn. They were saying don't invest now, and just save your cash for the next downturn then buy.

While others say, time in the market is always better than time out of the market. Because if you try to time the market, the market will beat you. And I I've read a recession is unlikely in 2020.

I had a decent amount of cash. I invested about 35% of it in stocks (Standard account and a Roth IRA). I will like to always keep at least 15% of it in cash. So I still have a decent amount I am comfortable investing.

Should I just keep slowly investing?

Unfortunately nobody can tell you that, that's the thing. You have crash-prophets every year and, yes, we've had a very long bull market over the last decade already but that can still go on for another 3 months, 12 months, 3 years or even longer than that. Nobody knows.

Some basics though:

- bull markets last longer than bear markets
- market timing usually doesn't work out (not just for the average guy, but also not for most professional investment-guys)
- if you're convinced about your investments long-term then why don't you just keep buying every month. That way you're average earnings will get closer to the average growth of whatever stock/index/fund you're buying.

There's a saying: "Time in the market beats timing the market".

I'm doing stocks here & there too, but investing in index funds has historically been the way to go. That's what Buffet keeps telling everybody who is interested in widely diversified, long-term investing and if we're looking at the historical data that tbh looks like a bit like the holy grale lol.

Also re Buffet's cash: apparently Berkshire tried to get into the market recently but got outbid. They are value-investors at Berkshire so it's difficult for them to find the right companies to invest in right now given that the prices are so high these days.

Personally: I will just keep buying my index funds, even if the market turns down. But I have a long-term strategy and are willing to go through bear markets without selling. If you're more intersted in short- or midterm investing then that's not the way to go.

Edit: here I think that was the reported company Berkshire tried to get in:

https://seekingalpha.com/news/3525827-tech-data-confirms-berkshire-was-bidder

[Stannis]

What are you opinions on investing a lot now V. waiting for the next downturn?

I was talking to some friends of mine, and we were talking about how Warren Buffett is sitting on a bunch of cash. And some were speculating that he's waiting on the next downturn. They were saying don't invest now, and just save your cash for the next downturn then buy.

While others say, time in the market is always better than time out of the market. Because if you try to time the market, the market will beat you. And I I've read a recession is unlikely in 2020.

I had a decent amount of cash. I invested about 35% of it in stocks (Standard account and a Roth IRA). I will like to always keep at least 15% of it in cash. So I still have a decent amount I am comfortable investing.

Should I just keep slowly investing?

Unfortunately nobody can tell you that, that's the thing. You have crash-prophets every year and, yes, we've had a very long bull market over the last decade already but that can still go on for another 3 months, 12 months, 3 years or even longer than that. Nobody knows.

Some basics though:

- bull markets last longer than bear markets
- market timing usually doesn't work out (not just for the average guy, but also not for most professional investment-guys)
- if you're convinced about your investments long-term then why don't you just keep buying every month. That way you're average earnings will get closer to the average growth of whatever stock/index/fund you're buying.

There's a saying: "Time in the market beats timing the market".

I'm doing stocks here & there too, but investing in index funds has historically been the way to go. That's what Buffet keeps telling everybody who is interested in widely diversified, long-term investing and if we're looking at the historical data that tbh looks like a bit like the holy grale lol.

Also re Buffet's cash: apparently Berkshire tried to get into the market recently but got outbid. They are value-investors at Berkshire so it's difficult for them to find the right companies to invest in right now given that the prices are so high these days.

Personally: I will just keep buying my index funds, even if the market turns down. But I have a long-term strategy and are willing to go through bear markets without selling. If you're more intersted in short- or midterm investing then that's not the way to go.

Edit: here I think that was the reported company Berkshire tried to get in:

https://seekingalpha.com/news/3525827-tech-data-confirms-berkshire-was-bidder

Thanks!

Yes, I'm looking long term too. I'm 28, so I can go through several downturns and fully expect too.

I just upped my 401k contributions, mostly for the tax advantage but also to put more in my index funds

[JamesConway]

What are you opinions on investing a lot now V. waiting for the next downturn?

I was talking to some friends of mine, and we were talking about how Warren Buffett is sitting on a bunch of cash. And some were speculating that he's waiting on the next downturn. They were saying don't invest now, and just save your cash for the next downturn then buy.

While others say, time in the market is always better than time out of the market. Because if you try to time the market, the market will beat you. And I I've read a recession is unlikely in 2020.

I had a decent amount of cash. I invested about 35% of it in stocks (Standard account and a Roth IRA). I will like to always keep at least 15% of it in cash. So I still have a decent amount I am comfortable investing.

Should I just keep slowly investing?

Unfortunately nobody can tell you that, that's the thing. You have crash-prophets every year and, yes, we've had a very long bull market over the last decade already but that can still go on for another 3 months, 12 months, 3 years or even longer than that. Nobody knows.

Some basics though:

- bull markets last longer than bear markets
- market timing usually doesn't work out (not just for the average guy, but also not for most professional investment-guys)
- if you're convinced about your investments long-term then why don't you just keep buying every month. That way you're average earnings will get closer to the average growth of whatever stock/index/fund you're buying.

There's a saying: "Time in the market beats timing the market".

I'm doing stocks here & there too, but investing in index funds has historically been the way to go. That's what Buffet keeps telling everybody who is interested in widely diversified, long-term investing and if we're looking at the historical data that tbh looks like a bit like the holy grale lol.

Also re Buffet's cash: apparently Berkshire tried to get into the market recently but got outbid. They are value-investors at Berkshire so it's difficult for them to find the right companies to invest in right now given that the prices are so high these days.

Personally: I will just keep buying my index funds, even if the market turns down. But I have a long-term strategy and are willing to go through bear markets without selling. If you're more intersted in short- or midterm investing then that's not the way to go.

Edit: here I think that was the reported company Berkshire tried to get in:

https://seekingalpha.com/news/3525827-tech-data-confirms-berkshire-was-bidder

Thanks!

Yes, I'm looking long term too. I'm 28, so I can go through several downturns and fully expect too.

I just upped my 401k contributions, mostly for the tax advantage but also to put more in my index funds

I'm around that age, too. Just got into the market a few months ago. A few years back while I was still studying I found out about index funds and basically had one of these test-drive stock depots with monopoly-money for multiple years. It has taken me a while to get into the market with real money (had to build up some cash reserves) but now that I'm in I'm feeling stronger than ever about it.

Some more things from Buffet:

https://www.investopedia.com/articles/investing/030916/buffetts-bet-hedge-funds-year-eight-brka-brkb.asp

https://youtu.be/10QoUi2PmNs?t=60

But it's important to distinguish between the theory of passive investing (Buy and hold) and passive investment products. You can do short-term trading with ETFS, too, but at that point it's not a passive approach anymore. Also beware of smart beta-index funds (momentum-etfs for instance). That's also more on the side of an active strategy than a passive approach.

Local bias is also a thing. I'm from GER and most people over here have germand stocks. I'm a big fan of the S&P 500-index and it represents a large part of my portfolio but it's possible to be more diversified. E.g. FTSE All world-ETFs or the All counrty world-ETF from MSCI are more diversified than just stricly buying an S&P 500-ETF. Yes, america will still be the biggest part of your portfolio in that case (50-60%) but you're also investing in other developed markets as well as emerging markets to an extent.

[Slicin N Dicin]

Kind of the opposite of this, and slightly embarrassing to talk about...what about consolidating or eliminating personal debt.

Due to some circumstances out of my control, and some not so smart decisions, i'm in a decent amount of debt (cc's, loans, car payment, etc.) and trying the method of lowering unnecessary costs and putting down as much as possible, but it's been rough - even w/ a solid 2 income family.

Any suggestions or advice is appreciated, open to talk about through PM.

[Stannis]

I'm around that age, too. Just got into the market a few months ago. A few years back while I was still studying I found out about index funds and basically had one of these test-drive stock depots with monopoly-money for multiple years. It has taken me a while to get into the market with real money (had to build up some cash reserves) but now that I'm in I'm feeling stronger than ever about it.

Some more things from Buffet:

https://www.investopedia.com/articles/investing/030916/buffetts-bet-hedge-funds-year-eight-brka-brkb.asp

https://youtu.be/10QoUi2PmNs?t=60

But it's important to distinguish between the theory of passive investing (Buy and hold) and passive investment products. You can do short-term trading with ETFS, too, but at that point it's not a passive approach anymore. Also beware of smart beta-index funds (momentum-etfs for instance). That's also more on the side of an active strategy than a passive approach.

Local bias is also a thing. I'm from GER and most people over here have germand stocks. I'm a big fan of the S&P 500-index and it represents a large part of my portfolio but it's possible to be more diversified. E.g. FTSE All world-ETFs or the All counrty world-ETF from MSCI are more diversified than just stricly buying an S&P 500-ETF. Yes, america will still be the biggest part of your portfolio in that case (50-60%) but you're also investing in other developed markets as well as emerging markets to an extent.

Sounds like we are on the same timeline. I started a couple months ago too.

And thanks for the advice!

Kind of the opposite of this, and slightly embarrassing to talk about...what about consolidating or eliminating personal debt.

Due to some circumstances out of my control, and some not so smart decisions, i'm in a decent amount of debt (cc's, loans, car payment, etc.) and trying the method of lowering unnecessary costs and putting down as much as possible, but it's been rough - even w/ a solid 2 income family.

Any suggestions or advice is appreciated, open to talk about through PM.

I can't really help you here. But just wanted to say good luck and hope somebody reaches out to you on here with their personal experience and advice.

[aq_ua]

What are you opinions on investing a lot now V. waiting for the next downturn?

I was talking to some friends of mine, and we were talking about how Warren Buffett is sitting on a bunch of cash. And some were speculating that he's waiting on the next downturn. They were saying don't invest now, and just save your cash for the next downturn then buy.

While others say, time in the market is always better than time out of the market. Because if you try to time the market, the market will beat you. And I I've read a recession is unlikely in 2020.

I had a decent amount of cash. I invested about 35% of it in stocks (Standard account and a Roth IRA). I will like to always keep at least 15% of it in cash. So I still have a decent amount I am comfortable investing.

Should I just keep slowly investing?

As others have said, the best time to invest is right now. There’s a lot of garbage information out there like the next recession is around the corner or within the next 2 years etc. The truth is that no one knows when the next downturn will be, and almost as importantly, how severe it will be.

What we DO know is that if you leave money in a savings account, you will DEFINiTELY lose purchasing power over time. Inflation > savings rate. It’s just math.

What’s crazier now with low interest rates is not only do you lose purchasing power, the dividend yield on the S&P 500 is about 1.9% (pre-tax). If you are investing for the long term, there is very little to lose by jumping in today vs. waiting for a downturn, but a whole to GAIN by having exposure to broad market indices, especially in comparison to the alternative of cash.

Will there eventually be a downturn? Yes, absolutely. Will it happen in any way shape or form that anyone predicts? No way, it never ever does. Should it inform your decision making whatsoever? Of course not, something so unpredictable should never inform your decision making. It would be akin to a Knicks coach saying I will devise my defensive game plan for tonight’s game based on weather patterns in five years. It makes no sense.

By the way, I would only recommend you invest through broad market ETFs, it’s the only sane way to invest.

[N Y K]

Anyone know about mega Backdoor Roth IRA conversions? My company allows for it, but I'm not understanding how it works. There's a ton of reading out there, so am more curious to know if anyone has done that before?

That's huge and would highly recommend doing it if you have the means to do so. I don't have direct experience doing it but I just did a lot of reading on it recently due to a job/plan change. My new employer plan doesn't allow it unfortunately.

I would triple check that your 401k plan allows BOTH 1) After tax contributions 2) In plan Roth conversions. You'll get stuck with a tax bill on the gains if you're wrong about one of these. Best to verify with the 401k administrator directly and get the plan documents.

With the mega backdoor roth option, you can contribute up to $56k (2019) to the 401k per year. That 56k includes 1) 19k pretax/roth 401k limit 2) employer matching funds 3) after tax mega backdoor roth contributions.

For example let's say you maxed the pretax/roth portion ($19k) and your employer contributes $11k via match. That allows you to contribute $26k (56-19-11) in after tax funds that can be transferred to your Roth IRA, which is huge since the normal limit is $6k. I've read that transferring the after tax contributions to your Roth IRA is pretty simple, and some administrators do it automatically for you.

One note, I wouldn't do the mega backdoor roth unless you maxed your 401k, IRA and HSA first. Just my opinion from a tax perspective.

Funny thing is, since learning this was even an option, I’ve decided it’s time to get back into interviewing for the next gig. While it probably would have been very difficult, being able to put that $56k away is an INSANE benefit. I’m also heavy on the 401k/traditional IRA retirement accounts and am looking for ways to diversify retirement with more Roth type accounts.

I do wonder how popular this offering is, because it’d be insanely attractive to have the option wherever I land next.

I also hear you on the order of investment. I just got offered an HSA for the first time this year and want to speed up my ability to max it out before I jump ship. That way I hit one milestone quickly in 2020 and in case I end up somewhere that doesn’t offer me an HSA, I’ll be covered.

Anyway, my employer never advertised the benefit, so for those of you out there interested in bypassing Roth income and contribution limits (and have the means to do so) I’d find out if your employer offers after tax and in service distributions.

[Ville5]

Kind of the opposite of this, and slightly embarrassing to talk about...what about consolidating or eliminating personal debt.

Due to some circumstances out of my control, and some not so smart decisions, i'm in a decent amount of debt (cc's, loans, car payment, etc.) and trying the method of lowering unnecessary costs and putting down as much as possible, but it's been rough - even w/ a solid 2 income family.

Any suggestions or advice is appreciated, open to talk about through PM.

In general, there are two strategies:

1) The mathematically best one is to make the minimum payments for all the debts and throw the rest of your cash to the debt with the highest interest rate. Once that debt has been eliminated, throw your cash onto the next highest interest rate, and so on. At some point you should look into refinancing or consolidating your debts to a lower interest rate.

2) Many people like to start with the smaller debt because you can pay it off quickly and then you have accomplished something, you have one debt less. I've seen this approach recommended a lot because strategy no.1 is often difficult for people who are used to spending a lot.

For debts whose interest rate is less than 3-4%, you should only make the minimum payments and invest the rest of your money. It's because you will almost certainly earn more than 3-4% in the market.

Good luck!

[robillionaire]

need help from a smart person

Going to use chase bank to get a bonus offer of $1000 if you open a sapphire banking account deposit 75k in new money and leave it there for 90 days and keep the account open for 6 months. But instead of letting it just sit there I was considering putting it in a youinvest account and putting it in some kind of very safe ETF or vanguard money market fund, does anybody have recommendations on something low risk with maybe like a 2% return I can park this money

[Garbagelo]

need help from a smart person

Going to use chase bank to get a bonus offer of $1000 if you open a sapphire banking account deposit 75k in new money and leave it there for 90 days and keep the account open for 6 months. But instead of letting it just sit there I was considering putting it in a youinvest account and putting it in some kind of very safe ETF or vanguard money market fund, does anybody have recommendations on something low risk with maybe like a 2% return I can park this money

Vanguard money market fund would get you better or similar return to 1k and leaving it in the bank

This is personally my favorite money market fund- https://investor.vanguard.com/mutual-funds/profile/VUSXX

Another option is a short term bond fund or ETF like https://investor.vanguard.com/mutual-funds/profile/VSGBX or https://investor.vanguard.com/etf/profile/VGSH / https://investor.vanguard.com/etf/profile/BSV

[robillionaire]

need help from a smart person

Going to use chase bank to get a bonus offer of $1000 if you open a sapphire banking account deposit 75k in new money and leave it there for 90 days and keep the account open for 6 months. But instead of letting it just sit there I was considering putting it in a youinvest account and putting it in some kind of very safe ETF or vanguard money market fund, does anybody have recommendations on something low risk with maybe like a 2% return I can park this money

Vanguard money market fund would get you better or similar return to 1k and leaving it in the bank

This is personally my favorite money market fund- https://investor.vanguard.com/mutual-funds/profile/VUSXX

Another option is a short term bond fund or ETF like https://investor.vanguard.com/mutual-funds/profile/VSGBX or https://investor.vanguard.com/etf/profile/VGSH / https://investor.vanguard.com/etf/profile/BSV

That's actually one of the ones I was looking at. Also VMMXX. I would still get the 1k bonus even while it's invested in the mutual fund. Thanks again much appreciated