Hello Bogleheads!
As I just turned 18, I wanted to make sure I cover all my financial bases. Because of this, here are some questions I have:
1) The age of termination (i.e., forced to transfer to me) for a UTMA in my state is 21 years old. Is that when I should have my dad transfer it to me, or should I do it now? The downside I see with doing it now is that the kiddie tax rules would not apply. For example, the first $1,250, I believe, would not be taxed.
2) Should I transfer my Roth IRA for minors into my own name?
3) Which credit card should I get on my own? Discover? Etc.? (I have been an authorized user on my dad's credit card for about a year.)
4) How much cash should I have when I go to college, considering my parents are going to be paying for my school? Any rules of thumb? I ask this because I want to be financially independent from my parents whenever possible, as nothing is a better teacher than having to deal with the real world myself.
Besides the above questions, is there anything else I should do, apart from checking my free credit report through annualcreditreport.com (and freezing credit, I know I should have done it before, I don't know how I forgot)?
Thanks in advance!
P.S. I am going to Texas Tech University to study personal financial planning and later plan to get the CFP designation
As I just turned 18, I wanted to make sure I cover all my financial bases. Because of this, here are some questions I have:
1) The age of termination (i.e., forced to transfer to me) for a UTMA in my state is 21 years old. Is that when I should have my dad transfer it to me, or should I do it now? The downside I see with doing it now is that the kiddie tax rules would not apply. For example, the first $1,250, I believe, would not be taxed.
2) Should I transfer my Roth IRA for minors into my own name?
3) Which credit card should I get on my own? Discover? Etc.? (I have been an authorized user on my dad's credit card for about a year.)
4) How much cash should I have when I go to college, considering my parents are going to be paying for my school? Any rules of thumb? I ask this because I want to be financially independent from my parents whenever possible, as nothing is a better teacher than having to deal with the real world myself.
Besides the above questions, is there anything else I should do, apart from checking my free credit report through annualcreditreport.com (and freezing credit, I know I should have done it before, I don't know how I forgot)?
Thanks in advance!
P.S. I am going to Texas Tech University to study personal financial planning and later plan to get the CFP designation
Statistics: Posted by Younglearner — Sun Jun 02, 2024 12:11 pm — Replies 12 — Views 713