slimyprincelimey t1_jef6kfp wrote on March 31, 2023 at 3:53 PM

Reply to comment by smartest_kobold in A good article re: repealing interests and dividends tax by BelichicksBurner

Because you don't need that many stock holdings to get hit by the tax. I earn significantly under that limit and just by putting away a few bucks a week, I earn significant (to me) dividend income.

smartest_kobold t1_jeffxa8 wrote on March 31, 2023 at 4:53 PM

Once you have enough liquid assets to cover emergencies, you should be putting that money in a retirement account with tax benefits.

slimyprincelimey t1_jefgfm6 wrote on March 31, 2023 at 4:57 PM

What if I want dividend income before retirement.

smartest_kobold t1_jegm3v1 wrote on March 31, 2023 at 9:34 PM

Wait, isn't the first $2.4k untaxed? $83k at 3% APR is about that. How much do you need?

False_Influence_9090 t1_jeg7sly wrote on March 31, 2023 at 7:57 PM

Works for some people. But what if you want to use your nest egg to start a business

smartest_kobold t1_jeglvy7 wrote on March 31, 2023 at 9:33 PM

Then pay the tax on the interest from your investments. You'd need ~$80k in the bank before you pay this tax.