Brian Chan's blog

This is how to cancel a Wells Fargo check as of Sept 21, 2011.

1. Login to your WF account.
2. Click “Account Services”, it’s among the top tabs the 5th one counting from the left.
3. On the next page, Under “Account Services”, find “Stop Payment on a Check”, should be the 9th link.
4. Then just follow the steps.

You will need to have the info on the check #, the amount, payable to, and signed date.

Update: It turns out there is a STOPPING PAYMENT FEE of $29… =(

2010年全美個人退休儲蓄帳戶(IRA)金額估計4.7兆元，占所有退休帳戶金額25%，擁有IRA退休帳戶的美國人有4900萬人。
IRA帳戶該選擇何種投資？該如何避稅？都關係到未來的退休生活，因此對於IRA帳戶應有以下十項基本認識：

1. 是否延後繳稅

50歲以下每人每年最多可存5000元至傳統IRA帳戶，50歲以上可存入6000元。存入金額由該年所得中扣除，免繳所得稅，等提領時本金與利息一併繳稅。

羅斯IRA（Roth IRA）帳戶金額則不能從所得扣除，至少五年後提領時，本金與利息都無需再繳稅。

2. 存款截止日期較401(k)遲

由雇主提供的401(k)退休帳戶每年存款截止日期是12月31日，IRA帳戶截止日期則可等到報稅截止。你可先報完稅再將錢存入IRA帳戶，但一定要在報稅截止前。

3. 多數錢從401(k)轉入

根據2008年報告，IRA帳戶多由401(k)帳戶轉存（rollover）而來。每人每年可存入IRA帳戶最高金額5000元或6000元，但如換工作或屆退休年齡，由401(k)帳戶轉存至IRA帳戶的金額則無上限。

4. 提領退休年齡較高

55歲退休人士由401(k)帳戶提領存款沒有任何罰款，但如將錢轉存至IRA帳戶，則須等到59歲半提領才不會罰款。因此專家建議，55歲退休的人可將部分暫時不用的錢轉存至IRA帳戶，將可能需要急用到的錢留在401(k)帳戶。

5. 提早提領免罰款規定

如果醫療費用超過全年所得的7.5%，提領IRA帳戶的錢不受59歲半以前提領需付10%罰款的規定限制。

此外，失業後買健保、殘障、後備軍人受徵召服役時，提領IRA帳戶的錢也無罰金。IRA帳戶的錢還可用來支付高等教育學費，購買第一棟房子 (單身者不超過1萬元，夫妻不超過2萬元)。根據壽命預估支付年金，也無須繳10%罰金。

6. 自行負責選擇投資

最受歡迎的IRA帳戶投資方式是股票和共同基金，其次為現金和債券。選擇何種投資和如何轉移投資，均由個人自行負責。年紀愈大，IRA帳戶存款愈多，愈應該分散投資，規避風險。

7. 羅斯IRA漸受歡迎

原本由傳統IRA轉至羅斯IRA有收入不得超過10萬元的限制，但這個限制2010年取消後，轉存至羅斯IRA帳戶的金額大幅增加。

雖然將存款從IRA帳戶提領出來轉存羅斯IRA時需繳稅，但退休提領時就無需繳稅。專家認為，現在先繳稅可免除對日後稅率變動的疑慮。

8. 限期提領

傳統IRA帳戶的錢不可以無限期延稅，必須在70歲半以前提領，未按規定提領的金額須繳50%的稅金。

按規定，年滿71歲半後隔年的4月1日前需提領第一筆錢，之後則須在每年12月31日前提領。因此，如果在4月1日前提領第一筆錢，同年的12月31日前又領第二筆錢。兩筆錢可能使收入增加，稅率提高。

9. 費用有差

相較於401(k)帳戶，IRA個人退休帳戶無法享有團體優惠，因此投資時所付的費用較高。因此需仔細比較每種投資費用，盡可能選擇費用較低廉的類似投資。即使只差1%，數十年下來仍頗可觀。

10. 高低收入者的稅務優惠

已有大筆儲蓄，在70歲半又必須從IRA帳戶提領第一筆錢，卻用不到這筆錢的退休人士，若在2011年12月31日前將這筆錢捐出，即可免繳稅金。捐贈金額以不超過10萬元為限，且須由IRA帳戶直接轉給合格的慈善機構。

在2011年調整後的稅前總收入低於2萬8250元 (夫妻低於5萬6500元)者，如在IRA或401(k)退休帳戶存入退休金，每人可享有最多1000元的稅金減免。

Ref link: 世界新聞網-北美華文新聞、華商資訊 – 投資 避稅 IRA10項須知

I have been thinking about buying a house. Since the interest rate is still low and it seems to be a good investment idea. Also I am paying rent anyways, why not have part of that go into the equity, right? But then I was thinking that there are other expenses for homeowners, for example the property tax, the upkeep fee, home improvement fee, and stuff like that. There is also the housing price change rate, and the rental price change. Opportunity cost. Now or later. It’s getting to be like a giant formula now.

Then I came across this nice visual tool. I guess someone thought about all these and decided to make a tool for it. You can play around the numbers and see whichever scenario you are in makes more sense to do what.

Here is the link: http://www.nytimes.com/interactive/business/buy-rent-calculator.html

P.S. You will need to know a little bit of the housing terminologies. Look them up at google!

「 窩輪」是英文Warrants的譯音，專業名稱為認股證，是一種以小博大衍生工具，持有人在規定期間內或特定到期日，有權按約定價格向發行人購買或出售的證券，或以現金結算方式收取結算差價的有價證券。

認股證分為兩大類，股本認股證及衍生認股證，股本認股證由上市公司發行，衍生認股證由 金融機構(俗稱窩輪商或輪商)發行，再細分為認購證(call輪)及認沽證(put輪)兩種。

如果投資者看好某隻股票或指數的前景，可買入相關的call輪，賺取回報，如看淡的話，則可買put輪。
去年本港窩輪的累積成交額逾4.7萬億元，較前年增加1.6倍，是全球成交額第二最大的窩輪市場，第一為中國，全年成交額逾8萬億元。

窩輪的定價方法包括布萊克-斯科爾斯 模型（Black-Scholes）、二元樹模型、蒙特卡羅模擬和有限差分方法。其中以布萊克-斯科爾斯模型（又稱BS模型）最為常用。

窩輪在用於投機時提升風險，使收益的方差擴大；在用於套期保值時，降低風險，使收益的方差降低。2006年5月31日，茅臺認售權證（上交所：580990）在上海證券交易所上市首日漲幅高達922.82%，最高達到3.037元！但隨後幾天又大幅回落，2006年6月5日收於2.384元，而此時該窩輪的理論價值小於0.20元。

窩輪用於投機時，風險遠高於股票的原因如下：

窩輪具有時間性，當窩輪到期後，沒有行權價值的窩輪將被注銷，此時窩輪持有人沒有任何收益。

窩輪的交易價格普遍較低，當價格變化1單位時，便會有較大的收益率變動。

窩輪的波動率較大，需要隨時關注。

窩輪的時間價值會每天減少，故即使股市一個月沒有升跌，相關窩輪尚有25%-40%的下跌空間。

實際價格與理論價格仍有差距，能預測股市走勢不等於由理論得出的利潤。

I think all these info mentioned in the video should become more transparent to the public. Nowadays the buyers are more cautious and hesitant to make an offer, it would really help if they can get to know more hidden info about the properties they are interested in. If you are interested to know the pro’s and con’s of short sales, check out these videos!

One useful link: Short Sales Are No Bargain for Buyers

How to Buy a Foreclosure or Short Sale Home
http://www.youtube.com/embed/HAz6tbpbQLY

YES YOU SHOULD BUY A SHORT SALE PRIMARY RESIDENCE NOW!
http://www.youtube.com/watch?v=FjAhg2Nc3d0

Quantitative Easing Explained
http://www.youtube.com/watch?v=PTUY16CkS-k

Jim Rogers on Freedom Watch 09/11/10
http://www.youtube.com/watch?v=YSDOmUKDbr8

If you are confused by terms like 401(k), Roth IRA, stuff like that, you are not alone. After some intense reading, I have somewhat a rough idea and I will try to make it as simple as possible for you.

There are 4 types of retirement plans:

What’s the difference between 401(k) and IRA?
401(k) is a plan offered and managed by your employer, while IRA is a plan managed by yourself. The obvious advantage of 401(k) is that your employer often matches your contribution, in return you keep your retirement money at your employer. For IRA, you manage your own retirement money with bonds, stocks, etc. Of course you will need to know what you are doing.

What’s the difference between Traditional and Roth?
Traditional plans take your contribution from your pre-tax income, then tax you when you take the money out. While Roth plans tax your contribution first, then don’t tax you when you take the money out. So, based on the economic environment and your life circumstances, one may be better than the other.

Without going into some crazy math, here is a list of human-readable recommendations:

1. Young & Low income (Roth)
   • Low tax bracket, pay the taxes now
2. Young & High income (Traditional)
   • No tax deductible items: kids, houses, etc.
   • High tax bracket – defer the taxes
3. Middle age & High income (Roth)
   • Have tax deductible items: kids, houses, etc.
   • Low tax bracket, pay the taxes now
4. Middle/Old age & High income (Traditional)
   • No tax deductible items: kids, houses, etc.
   • High tax bracket – defer the taxes

If you are the kind of people that believe everything will balance each other out, that even though you don’t get taxed here but you will get taxed there anyways, then I would highly recommend you to just stay with the Traditional 401(k). That’s because your employer’s matching contribution and their professional pension fund management experience are pretty good base-line GAIN $$$ to your retirement money.

Hope this helps clear up some initial confusion. As always, for more info and all sorts of details check out wikipedia to get an idea, and consult professional financial advisors for recommendations.

Sometimes you will need to find out a bank’s ABA number, say for a wire transfer. Or the other way around, you want to double-check to see if a given ABA number is really the right number for a particular bank.

Often people will just google it, or go on to the actual bank website to find out the info from the FAQ page.

It would be nice to have all the info centralized, right? Let me introduce this website to you rightfully called http://abanumberlookup.com/.

Try it out with a ABA number or a bank name, it just does it! Don’t you like it?

Starting Monday, it costs more to mail
http://www.cnn.com/2009/US/05/10/stamp.prices/index.html

Shoot… got to go get the 2 cent stamps… dude! Only if I had bought the forever stamps…

Wait a minute… huh? Why the hack then would anyone buy the 39 cent stamps or 42 cent stamps? The cost is one issue, and going to the post office to get the extra stamps is another. Two strikes against that. I don’t get it…

I mean… why not everyone stocks up on stamps? Ever since 1919, the stamp price has ever been increasing [costofstamps.org]. So then, why not simply buy the forever stamps?

If you bought 1000 stamps in 1919, it’ would have cost you 1000 x $0.02 = $20. Using these 1000 stamps today will give you financial value of 1000 x $0.44 = $440 !!! That’s 22-fold, or 2200% profit! So each year, you make 2200% / (2009 – 1919) = 24.4% . Wow… That’s much better than putting money in your CD! In fact, that sounds like an investment idea, doesn’t it?

Not so fast… at least that’s what they want you to think. If there were no inflation, then yeah, let’s all go get the forever stamps now, as this stamp price curve seems to be an ever-rising stock.

Let’s compare CPI with the stamp rate:

thesimpledollar.com

Interesting…! You see, the stamp rate (green line) is following the CPI (blue line), always being a little bit higher. The only times the stamp rate was lower were right before the price increase.

So, keeping tons of forever stamps won’t help you much in terms of investing. However, it is true that you will get the best deal by buying the forever stamps right before the rate goes up.

I am almost done here. Just one more point.

I honestly think that this is a win-win situation.

In the post office’s point of view, that “deal” for the consumers is probably not significant. After all, selling a roll of 2 cent stamps may be even a bigger loss, both in manufacturing and service fees.

Conclusion: relax, especially for those who don’t mail that frequently.

That’s my two cents.