NVDA shares held in IRAs

[orbops]

I guess the downside of owning any stock like NVDA in my tIRA is that I'm losing the benefit of the capital gains tax rate, but I guess I can't complain since I'm up almost 500%.

 

[captain3d]

More pain tomorrow then if it goes higher

 

[ERD50]

Too bad it's not in a Roth!

There, feel better? !!!!

-ERD50

 

[CincyDave]

I bought NVDA back in 2008 with a split adjusted price of $4.65 in a traditional brokerage account. My first 100 bagger. Probably just let it ride and let the kids inherit it.

 

[Qs Laptop]

I guess the downside of owning any stock like NVDA in my tIRA is that I'm losing the benefit of the capital gains tax rate, but I guess I can't complain since I'm up almost 500%.

Please tell--what is the benefit of the capital gains tax rate?

 

[ERD50]

Please tell--what is the benefit of the capital gains tax rate?

Cap gains are taxed at zero to a point, then 15%, and only higher at a pretty high income level (I'd have to look it up).

Trad IRA are taxed as income from dollar one, at your marginal rate if you think of it as being 'on top' of everything else. But as regular income, it can also push other income (like cap gains/divs) into that higher bracket.

State treatment may differ, IL does not tax retirement income (yet).

-ERD50

 

[Qs Laptop]

Cap gains are taxed at zero to a point, then 15%, and only higher at a pretty high income level (I'd have to look it up).

Trad IRA are taxed as income from dollar one, at your marginal rate if you think of it as being 'on top' of everything else. But as regular income, it can also push other income (like cap gains/divs) into that higher bracket.

State treatment may differ, IL does not tax retirement income (yet).

-ERD50

Ah, understood. I was approaching it from the angle that if you sold NVDA in your trad IRA there would be no capital gains tax whatsoever on the sale, whereas if you sold NVDA in a taxable account there would (likely) be a capital gains tax.