Best Way to Pay for a Large Purchase?

drunkenbeagle said:
The problem with rolling over a 401k into an IRA is that it makes you pay a pro-rata tax on ROTH conversions. Leaving it in the 401k, it doesn't count. So at the moment, that's a big negative of 401k rollovers, hopefully Congress will fix that.

Another problem with taxed vs untaxed IRAs is that the IRS doesn't track the difference, so you need to keep paperwork from every tax year until you die. That also kind of stinks.

You can also bite the bullet and pay the tax bill to convert the existing IRA to a ROTH. If it isn't big, and it is a year you didn't make a lot, and you expect to be doing lots of ROTH conversion in the future, that might not be a bad idea.

You do get a full IRA deduction up to $98,000 MAGI if you are married in 2015, which is a lot of people, if you have a 401k at work.
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This is interesting. I'm going to look into this.
 
Roger Roger said:
If 7-10k that you don't have is what it takes for her to say yes, our homeboy is gonna be in for a real treat.
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That's not exactly an outrageously expensive ring. And remember, as I said, many places will give you interest free financing for up to 24 months on it.
 
tonyw said:
That's not exactly an outrageously expensive ring. And remember, as I said, many places will give you interest free financing for up to 24 months on it.
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For a guy who can't cough up cold hard cash for it, yes, that is outrageously expensive for a piece of jewelry. I spent $1200 (that I had in the bank) IIRC and we are still just as married as if I'd spent $7000. And if she's the "a $1200 ring just isn't good enough" type then I'm afraid the OP's money woes are just beginning...
 
ATN_Pilot said:
In 10 years? You mean when he's living in a studio apartment again so he can afford the alimony? ;)
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Dang @ATN_Pilot , you are even worse than I am on these matters. In honor of that, I present you with a new theme song!



Edit: dang, they said, "No. Women. Allowed." Wench was the wrong quote. What song has a person saying/yelling "wench!"?

Haha

Edit: no, this IS the song. "Wench!" is at the end.
 
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tonyw said:
No, I'm thinking of something shiny and sparkly that goes on a finger.
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Yeah, @mikecweb set me straight. I'm just a dumb, bachelor pilot. A ring didn't even cross my mind. :D

FYI, I helped a friend pick out an engagement ring once (I ended up being the best man in his wedding), and he paid $5,000. But, it was a ring from Tiffany's, and well, he had the cash to put down on it.
 
tonyw said:
No, I'm thinking of something shiny and sparkly that goes on a finger.
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Oh god. That's got to be the worst investment ever. Setting the whole it's a woman/divorce whatever thing aside. You're paying thousands of dollars for one of the most common elements on the planet. And I don't just mean carbon. Diamonds are intrinsically worthless. The gold is worth something, and the stone cutter's time is worth something, but the resale value is roughly $0. Diamonds have no value at all.

In fact, here's a snarky smartass video about it. Nothing he says isn't true.

 
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