2025-01-21, 12:18 PM
Fidelity® Tax-Exempt Money Market Fund No Transaction Fee footnote1
I think this was the one I was trying to buy then realize the minimum requirement is 1 million.
Most banks do have money market funds and mutual funds but the Con is you have to pay manage fee. The best is sign up for stock account so you can maintain yourself.
Don't forget the basic tax:
Short-term(less than a year) capital gains taxes range from 0% to 37%. Long-term(more than a year) capital gains taxes run from 0% to 20%.
Do you know the compensation procedures between FDIC-insured and SIPC? Not much, just basic of $250k. You need to dig deep into it if you keep million in 1 place.
FDIC insurance: $250kSIPC insurance single, $500k join, and $250k IRA for each bank, so you need more than 1 bank
This is where want to invest cash if you have million more.
SIPC insurance: $500,000 in securities of which up to $250,000 can be cash balances. However, there are instances where investors are SIPC-insured for more than $500,000 depending on how the accounts, where they call separate capacities.
Traditional IRA and a Roth IRA, SIPC insures those separately and you will be insured for up to $1 million for the two accounts
When it comes to tax and these things, they're complicate where I don't know all. I only search for things that I need in my case.
However, I do read and research more than I want to know.
I think this was the one I was trying to buy then realize the minimum requirement is 1 million.
Most banks do have money market funds and mutual funds but the Con is you have to pay manage fee. The best is sign up for stock account so you can maintain yourself.
Don't forget the basic tax:
Short-term(less than a year) capital gains taxes range from 0% to 37%. Long-term(more than a year) capital gains taxes run from 0% to 20%.
Do you know the compensation procedures between FDIC-insured and SIPC? Not much, just basic of $250k. You need to dig deep into it if you keep million in 1 place.
FDIC insurance: $250kSIPC insurance single, $500k join, and $250k IRA for each bank, so you need more than 1 bank
This is where want to invest cash if you have million more.SIPC insurance: $500,000 in securities of which up to $250,000 can be cash balances. However, there are instances where investors are SIPC-insured for more than $500,000 depending on how the accounts, where they call separate capacities.
Traditional IRA and a Roth IRA, SIPC insures those separately and you will be insured for up to $1 million for the two accounts
When it comes to tax and these things, they're complicate where I don't know all. I only search for things that I need in my case.
However, I do read and research more than I want to know.