All things STOCKS

[Firebirdparts]

Probably rubber items.

 

[05_never_again]

Yes, the calculation is wonky. But the components are pretty solid list of diverse stocks.

It gets quoted because it’s history as the oldest index. Twice as old as the S&P and nearly 4x older than the NDX. I don’t see it referenced by the media as much as the other 2.

The "only" 30 stocks isn't the problem...it is how it is calculated. Dumbest calculation ever.

 

[Thunder Good-Oil]

My question is...why do all the Tractor Supply stores have that smell when you walk in? I am assuming that is intended?

Feels like I'm entering a farm that has just been sprayed with pesticide.

I think that Mayo’s Garden Center also had a smell. Probably is the chemicals that they sell. Home Depot and Lowe’s have the much higher ceilings so it dissipates in those stores.

 

[Thunder Good-Oil]

The "only" 30 stocks isn't the problem...it is how it is calculated. Dumbest calculation ever.

Well there are single stock ETFs (not indexes) available these days.

150 years ago price was pretty important. Stock splits maybe weren’t even invented (or used) back then.

The DJIA just doesn’t mirror most of the market on a daily basis. The Japanese 225 uses a similar calculation.

 

[Tri-CitiesVol]

Anyone here using an HSA as a retirement account? Hoping for some tips on how to retain receipts well.

 

[Sandman Vol]

AMZN
WMT
UBER
COST
Some healthcare (CVS, XLV ETF, DGX, maybe DVA)
Strong financial companies (the money center banks JPM, C, BOA, WFC plus GS, BLK, BX, MS, APO, etc)
BRK - need some insurance company exposure.

Healthcare and defense if the federal government doesn’t ramp up spending cuts. LMT. RTX.

Gotta pick only one. And tell me why.

 

[Jax_Vol]

Gotta pick only one. And tell me why.

FSELX

Moore's Law

Up 60% in last 60 days

 

[Thunder Good-Oil]

Gotta pick only one. And tell me why.

If only picking one to roll the dice on to soar over the next 10-15 years then probably APO. I like AMZN more, but AMZN has such a huge market cap it would be nearly impossible for them to double every 12-18 months. Quest and Davita are small enough, but they don’t have exclusive business models - JNJ or CVS or even WMT or AMZN could invade their space.

If AMZN was forced to break up into pieces then they could grow, but it’s their horizontal expansion coupled with the vertical that makes them so dominant.

The money center banks are also very large. And are highly regulated.

 

[kiddiedoc]

Gotta pick only one. And tell me why.

What is the initial investment going to be? The chance of turning $10k or even $100k into $1M in 5-10 years buying a single stock is somewhere around a needle in a haystack. Nobody can tell you today who will be the next NVDA, and I'm not even sure that one of those exists, at the present.

The smartest move if buying a single security would be to pick a reputable ETF, such as VOO, QQQ, etc with a diversified number of holdings. You could get more aggressive with something like a tech or semiconductor ETF (e.g.SMH), but that's very risky.

 

[Thunder Good-Oil]

Anyone here using an HSA as a retirement account? Hoping for some tips on how to retain receipts well.

Not what you’re asking, but if somebody with an HSA has other funds available to pay healthcare expenses, why would they spend the HSA money? HSA’s are extremely tax advantaged and I believe that anything that isn’t used over one’s life goes to heirs completely tax free.

I’ve looked into receipt management apps but they all seem to be oriented toward employee expenses and often charge a fee. Scannable. Wave. Expensify. Smart Receipts.

 

[BigOrangeMojo]

Not what you’re asking, but if somebody with an HSA has other funds available to pay healthcare expenses, why would they spend the HSA money? HSA’s are extremely tax advantaged and I believe that anything that isn’t used over one’s life goes to heirs completely tax free.

I’ve looked into receipt management apps but they all seem to be oriented toward employee expenses and often charge a fee. Scannable. Wave. Expensify. Smart Receipts.

He might be paying out of pocket and saving the receipts up so he can draw it out tax free when he's in his 60s and 70s...

HSA loses some tax advantages for heirs

TCV is a youngin...

 

[BigOrangeMojo]

@Thunder Good-Oil

Dying with a health savings account can leave a tax bomb for heirs

Non-spouse beneficiaries like children and grandchildren can be on the hook for a big tax bill if they inherit a health savings account.

www.cnbc.com

 

[Thunder Good-Oil]

Yep. I wasn’t using mine since I thought that it transferred tax free. I guess the government’s gonna get their grab eventually. I suppose donating it to a charity avoids the taxes.

Inherited Health Savings Accounts - What Happens to HSA Accounts When The Owner Dies? A Guide for HSA Beneficiaries

Discover the crucial details of what happens to HSA accounts after the owner's passing. Plan for your loved ones' financial security today!

hsaforamerica.com

Inherited HSA Accounts – General Rules​

Generally, if you’re the spouse of a deceased HSA owner, the HSA becomes yours.
That means you can use it like it was your own HSA account all along.
You can use it to pay for your own qualified medical expenses, tax-free and penalty free.
Once you turn 65, the penalties go away. But you can still use the HSA to pay for qualified medical expenses, and even qualified long-term care insurance premiums, tax-free.
You just pay income taxes on any amounts you withdraw for purposes other than to pay qualified medical expenses.
If you’re not the spouse, however, the rules are very different:
If you inherit an HSA, you can spend it how you want. But the HSA’s value at the owner’s death becomes your taxable income that year.
However, you can offset this tax liability by paying the deceased’s medical bills within a year of death.
You are not taxed on any inherited HSA money you use to pay the deceased medical bills, as long as you do it within 12 months.
For non-spouse beneficiaries, the HSA immediately loses its HSA status upon the owner’s death. The account must be liquidated and distributed to the beneficiary.
The entire fair market value of the HSA becomes taxable income to the beneficiary in the year of the owner’s death.
However, you can offset this tax liability by paying the deceased’s medical bills within a year of death.
You are not taxed on any inherited HSA money you use to pay the deceased’s qualified medical expenses that were incurred before death, as long as you pay them within 12 months of the owner’s death.
Important: Non-spouse beneficiaries cannot transfer HSA assets to an IRA. The HSA ceases to be an HSA and must be distributed. The funds become taxable income (minus any offset for the deceased’s medical expenses paid within one year).
You can then use the after-tax proceeds however you wish, including depositing them into your own retirement accounts if desired, but this is not a tax-free transfe

 

[Thunder Good-Oil]

BTW, I’m about to move mine from Health Equity to Fidelity. No fees. Better investment options. HE is a rip off.

 

[Sandman Vol]

FSELX

Moore's Law

Up 60% in last 60 days

You lost points for suggesting a mutual fund instead of an ETF, in addition to it being a diversified fund instead of single company/stock as originally asked for, but I like the rationale.

 

[Sandman Vol]

What is the initial investment going to be? The chance of turning $10k or even $100k into $1M in 5-10 years buying a single stock is somewhere around a needle in a haystack. Nobody can tell you today who will be the next NVDA, and I'm not even sure that one of those exists, at the present.

The smartest move if buying a single security would be to pick a reputable ETF, such as VOO, QQQ, etc with a diversified number of holdings. You could get more aggressive with something like a tech or semiconductor ETF (e.g.SMH), but that's very risky.

That’s not the way the game works. But assume a small investment requiring outsized and hardly foreseeable returns.

 

[Sandman Vol]

@Thunder Good-Oil

Dying with a health savings account can leave a tax bomb for heirs

Non-spouse beneficiaries like children and grandchildren can be on the hook for a big tax bill if they inherit a health savings account.

www.cnbc.com

Practicality and value of the investment usage outweighs the concern of the taxability to heirs, by quite a bit imo. It’s still money they didn’t have before, which is always a net positive. Save that baby up and use it (average 65 yo today will spend $270k on healthcare expenses in their lifetime) or purchase a fat long term care policy with it (a married couple today has a 50% chance one will have a long term care event / said differently 25% chance each and the cost of long term care can be upwards of $100k annually, easily reaching $200-300k annually when round clock and/or memory care, and 50% of children born today will live to 100 and if you think longevity doesn’t increase the chances of needing long term care - don’t care what statistics say here - then I would say you’re not realistically projecting the late stage healthcare issues we may be facing as a society as we figure out how to prolong life through tech and healthcare advancements).

 

[kiddiedoc]

That’s not the way the game works. But assume a small investment requiring outsized and hardly foreseeable returns.

Maybe go buy 10,000 Powerball tickets?

 

[Sandman Vol]

Maybe go buy 10,000 Powerball tickets?

I’ll pass. Is that your needle in a haystack? Your odds on an aggressive and speculative small cap stock are likely better than the powerball lottery. If you don’t want to play the game dont. But the rules are the rules, I didn’t make them up. Wait yes I did. Whatever. Those are the rules. Tell me, what company is your needle?

 

[Sandman Vol]

BTW, I’m about to move mine from Health Equity to Fidelity. No fees. Better investment options. HE is a rip off.

Fidelity has been rated as the top HSA provider in the industry. I had to go on a different plan to cover as much as possible of some foreseen medical bills this year and took the opportunity to move mine from optum (where it had to be on the plan) to fidelity. I’ve been happy with it. The whole thing is invested across 5 funds (it has almost performed year to date as well as the amount I would have been able to contribute to it) and my plan is to likely buy a long term care policy with it one day unless of course the landscape and rules and such change over 30 years, which Im sure they will. But it’s the best plan for me right now.