A.I.M. Users Bulletin Board

[hookslide5]

AIMster, Clive and Toof ---

Mahalo for your suggestions ! ! ! You guys have been great !!

Ok, here's a little background on me. I'm 52 and a GS-1811 criiminal investigator with one of those lettered federal law enforcement organizations. I hired on at the age of 30 in 1985, so that means I could have retired two years ago having satisfied both age and years of service requirements. Now I'm looking for the means to supplement my meager pension in a "work smarter, not harder" manner. As such, I'm doing all I can to educate myself and let my money do most of the work for me for a change. Well, through my reading, I've been finding out little bits and pieces of how best to manage your money while investing, and also how best to protect your profits from the tax man. (I don't work for the IRS.) Now you're asking yourselves, "Where is he going with this?" Here's where. There were a few things that stood out to me when I read Bob Eldridge's book, "Making a Living in the Stock Market." One of them was that if a person took his trading "hobby" and incorporated to make his hobby a "business" he would enjoy all of the tax benefits of operating a business. There were MANY.

Another item he mentioned in his book, which I'm certain most, if not all of you, are aware of, is that trading from a conventional IRA or Roth IRA creates federally non-taxable income. I swear, the more I read the more intrigued I get with the whole idea of doing this. By the way, as an 1811, we have mandatory retirement on the last day of the month in which we turn 57 years old. So I'll be unemployed, not by choice, in 2012. That gives me about 4.5 yrs to get good at this.

With that all being said, are there any of you here who are incorporated, who are trading as a means of income? I'd be interested in knowing what resources you may have used as a blueprint for icorporating and for minimizing the amount of tax liability so we can squeeze out the most dollars to enjoy a decent life in retirement.

Oh yea, almost forgot... where are you guys parking your Cash Reserves to get the most punch?

Mahalo again --- Hook