Brew

I’m not falling for that shit again or I need a signed contract this time.

Wife has been chasing a purple face 31mm DateJust for a while now. The local watch place she has been working with said Rolex produced 140k fewer watches in 2020 than normal because they shut production down thinking Corona was going to kill luxury spending. They didn’t plan for the government throwing money around like drunken sailors. They said it is probably going to take them 2-3 years to get caught back up. I assume most of the high ends are in the same boat although they are definitely worse off it seems. We’ve been in stores in Memphis, Nashville, Chicago, and Naples in the last month and you’re only going to find 3-4 Rolexes at most in a store and it’s typically a variety that isn’t all that desirable. Omegas seem to have plenty of product on the floors right now with Panerai, Breitling, etc all having decent inventory. I hope this doesn’t turn into a habit like purses have, I may go broke. I’m hung up on Seamaster Aqua Terra at the moment. The simplicity of the dial setup has caught my attention and I think I’m going to grab one. I don’t like a lot of stuff going on and want something simple and that or the white faced Master Coaxial seems like the best fit.

Derka is co-managing HG’s team, so many pieces of the puzzle come together after keeping an eye on the TB thread over the years. I do take exception with your contention that your starting pitching is stupid loaded, it’s not. You’re just churning also rans that are off to a good start which is evidenced by your WHIP/ERA place and the fact that you only lead K’s and are 2nd in QS because you are running so many starters. Hopefully, the shitty ones you drafted haven’t dug too deep a hole for you to climb out of, since you will cap out in August and then start to back slide based on your 48% QS ratio. I am curious, how many original draft picks do you have left at this point?

You quoted a question I asked someone else and as usual added nothing to it other than a smart ass response taking a potshot at me which I then responded to and then you responded to. It’s not that difficult to look back up a few posts.

I still think you’re using such a small percentage of what’s happening out there as your justification, that it makes no sense. However, moving past that because it really doesn’t matter. You still can’t call it an income tax, it’s a wealth tax pure and simple or a tax in unrealized gains if you are only going after specific asset classes. It doesn’t meet the definition of income which has been part of this discussion the whole time. I assume you are taxing unrealized appreciation on properties, private holdings, etc. as well so it’s a true wealth tax and you’re not just picking on unrealized appreciation in investment accounts? If it’s everything, then I assume that also includes personal residences over the tax threshold, rental properties, etc. with everyone getting to participate?

I’m curious about how they pulled their data. I just looked through the first 20 where I live and none of them had a posted salary. Their website links with ziprecruiter and it pulls an expected salary range for your area with most having a low estimate of the $20k range but the high estimate was generally 1.5x-3x that for a pretty useless range.

I’ve found with F150 sunroofs it’s better to never use them. The one truck I used it on, it had to be replaced. I’ve never opened it on the last two and have not had an issue.

It’s such a fucking beating being involved in a discussion with you over anything, so I’ll bow out of further ones at this point.

I 100% get that scenario for large purchases, other investments, whatever. They are using leverage against an asset they own to invest in something else. I have zero problem with that scenario no different than taking a second out on your house to build a pool. You own the asset and use it accordingly. My read on this discussion has been they were leveraging options/other assets for more lifestyle related things, current expenses, etc. because the valuation increase is greater than the interest expense. Maybe that’s still the play, I just don’t see it. If I have $1B in that investment bank and borrow $50M to fuck around with this year, I still have to create taxable income somewhere to pay it back unless we are just running a stacking deal until I die. If I borrow $50M next year to fuck around with, now I’m into the bank for $100M and even at 1% I now owe them $101.5M at the end of year 2. If I die, the kids or the trusts owe the money back but they got $1.17B (assuming 8% growth) in stepped up basis without paying CG’s and end the day $60M or so ahead not getting into estate tax issues. Spread that out over some longer period and they are just betting on stock valuations to outpace interest I guess. However, I just don‘t see this example anywhere near as prevalent as my first example. You are talking a handful of people with the kind of unrealized appreciation where that works in end of life stages where it makes sense. Shit, most of those people still have plenty of cash where again it is a scenario 1 deal on large scale investment opportunities. Maybe everyone is doing it, but short of reviewing their financial statements it’s a still just a bunch of hypotheticals. I’m not sure it’s a reason to argue for the wealth tax as the real reason is unrealized appreciation of the investments not what they are doing with that equity. Back on that one, how are we valuing closely held entities under this new wealth tax provision?

Who do you think does the tax work for the top 2 percent, typically the Big 4. I brought over the southeast regional managing tax partner for one of the top 6 firms as a partner 3-4 years ago, that discussion isn’t something that has come up. I have a number of clients that are well into the 9 figures, none in the 3 comma club so you are probably right about that. Which is also the reason I asked for an explanation rather than conjecture and what I’ve heards. Also a number of Big 4 partners don’t make that much, typically the regionals outpace them in comp and they make up for it in retirement benefits.

I’ve asked before, explain the concept for me in detail. In years of practice and years of sitting in tax planning discussions with people as high up as Big 4 partners, it’s never come up. I get the concept of taking loans against assets, I don’t get the concept of this in long-term planning to avoid capital gains when they are at historical lows.

Valid example, people tap home equity all the time for things. However, I would consider that outside of the loan types they are talking about. It may not be though.

Another one of these topics in this discussion I have never seen in practice. Short-term needs, sure. Business funding needs, sure. Just for living that is held for a long-time to avoid capital gains, not once. More commonly I see loans against C Corps now that those rates have flipped with individuals to keep the income in the Corp and taxed there, but it is taxed. Parents to kids, see that one all the time but not sure how that would be an income scenario. I think we’re chasing boogeymen that just don’t really exist in practice outside of limited cases. There are 100’s of loopholes that should be debated and fixed and more have been created in the last few years than ever before.

I’m back on RSU’s and ISO’s not necessarily generic stock options, it’s what I think of when discussing these because it’s typically where the bigger money is.

We’re going in circles, but from my side there is only value if exercised. If they are never exercised, it will always be zero. I’ve seen a lot of options not get exercised because the start up never takes off, the value is never there, etc. If the stock price goes up, they always get exercised and tax is paid. Most people exercise them as soon as they are eligible, so again just tax the spread at exercise and be done with it. In 20+ years of dealing with people’s taxes, I’ve only seen one instance of an individual just carrying the options. I have a lady I’m working with right now that is getting ready to retire and instead of exercising the options she thought it was better to hold them. Now she’s dealing with several million in options on a company that went public and took off to the tune of a 40x return of her option price, so it definitely happens. However, she’s also about to pay more tax than she probably would have exercising them annually like she should have. I think it’s just a discussion on the vast minority of option holders at this point.

Then just change the system to where income is generated when the option is exercised at the current price not the strike price.

Most startups especially in biotech and tech use options to be able to offer additional benefits they can’t afford and also vest that individual in the potential growth of the startup.

This is where everything gets convoluted and is why the system is a cluster. When I am talking about options, I’m talking about the ones that aren’t typically transferable. They are use it or lose it.

Watched In the Heights with the family tonight, I have to say it was worth the watch. It ran longer than it needed, but it was definitely well done.

No idea what you were going for there. Options are used a lot of times in recruitment in early stage companies because cash isn’t available for high comp. There are a multitude of reasons why those options aren’t always exercised. Stocks don’t always go up and vesting issues and stock fluctuations can make the ordinary income part not worth exercising.

That makes zero sense just for the record. You don’t own anything until you have exercised the option, you just have a right to buy at a predetermined price. There are a number of reasons people don’t exercise options, most not related to a fuck up but some are.

Went with the kids Friday not expecting much, it was definitely better than I expected.

Options are not always exercised. I think they would have to be exercised to be included for it to work.

For RSO’s it is ordinary income when they are exercised, not when they are sold. People typically sell some portion to cover the tax on the exercise which is then capital gains. ISO’s are only taxable at the sale as capital gains.

Crap, I’ve always read his username as works with weed unless there is one of those around here also. Learn something new every day.