r/DIYRetirement

I used the the open source social security calculator to see what was the best option for my wife and I to take our social security. We are 66 and 65 respectively. It came back with me waiting until 70 and my wife taking it now! I then entered my own calculation, which it allows you to do for comparison. I said we would both take it at our FRA. I was surprised that the present value difference was only 3.1% and $28k over our entire lifetimes. I then started to look at the yearly cash flows and because you get so much front loaded at our FRAs the difference to age 84 is only $13k.

Does anyone ever look at just having the cash flow upfront on an annual basis rather than just maximizing the entire amount. Especially for those who have a robust plan that are not relying on SS to fund their later years?

I’ve been investing in 401Ks for almost 20 years (had a lot of jobs but always rollover) and just realized you can invest in ETFs instead of just a target date fund based on when you want to retire. Thinking of moving my money into some market tracking funds with better returns and a bit more risk since no cash or bonds.

Any opinions on picking your own 401K investments?

My company is starting a 401K plan, and I'm 59 years old. I get the whole "no tax up front, taxed when you withdraw" concept but here's the question - do I max out and ride it for 6-8 years or do I just pay my insanely high income tax like I've been doing for years? (no dependas/no debt/no real deductions to speak of)

I can do trad 401k or Roth, or both. Employer will match some, but not all I put in.

I really have no idea about these things, so I'm hoping you money enthusiasts and smarter than me types can help a brotha out :)

For me it is a combination of data entry and learning an unfamiliar UI. I don't like hunting for the spot where something is configured.

I'm not sure where to post this question and am hopeful someone here has some advice. I set up an individual 401k in 2009, and had self-employment income until 2011. I started a FT job in 2010, and subsequently asked an advisor about rolling it over. I was informed that you can't terminate a plan that is in your name (business name was my name) as how do you prove separation from business? Turns out this was bad advice. I haven't had self-employment income since then, but kept the 401k with the intent that I would go back to having self-employment income upon retiring from employment (which was in a different career). I did keep my CPA license active. From what I have been able to determine when researching online, this could have worked to establish continuity of business IF I filed a Schedule C at least once every three years - even if it had zeros on it; however, I didn't do that. I just hit the threshold to file Form 5500-EZ in 2024, but missed the due date in 2025 so filed under the IRS Penalty Relief Program. I recently decided to roll this over to an IRA as I became disabled and it is very unlikely I will ever be able to work again, and discovered that I should have terminated the plan much sooner (or filed the "zero" Schedule C), or there could be penalties.

TLDR: inaccurately kept a solo 401k with no contributions for 15 years (no SE income and no Schedule C filed, though I kept my business license active).

Questions: What are the potential penalties? And is there any way to get ahead of this by "fessing up" to the IRS? I'm considering attaching a statement to my 2026 “final” 5500-EZ admitting the oversight and saying that I did maintain my business license.

Is anyone aware of a situation where the IRS did access penalties for something like this?

Is there a different subreddit that would be more applicable to my situation?

Thanks in advance for any wisdom you can share!