We purchased new flooring recently and put it on the credit card, with the plan being to transfer $ from savings to checking and pay off the balance in full, as usual. When I went to do this, I found the credit union has a maximum of $9.999.99 for any payment. Apparently, I can get right around this by making it as two separate payments. I’m wondering what wealthier people do if a limit like this is common.
I would venture a guess that they talk to their financial institution and make prior arrangements.
That is just a limit from you bank. I believe there are document required over 10k.
I can do very large transfers with no issue.
Likely internally limit to exposure frauds that might drain your account. I have made credit card payment and other payments from my personal bank account well in excess of $10K. I also talked to my bank to have my daily ATM limit increased to $3K from the standard $600. I only have transactions greater than $10K in my personal account once a year on average. Back when I was doing the IVF, my credit card limit was $20K. Since there was no cash or check discount, I had to make the $40K payment over a couple of transactions. Charge $15K and make $15K payment, Charge $15K and make $15K payment, Charge the $10K balance and make a payment. Seems like a lot of effort when I could have written a check but the difference was $800 in credit card points. To me it seems silly since the clinic was eating a few percent credit card fee.
At work, I do backup treasury functions and I have made wire payments in excess of $50,000,000. Years ago my profile was setup and there was a default of $50MM for my functions and the admin was out of the office when a $75MM payment was due. It was a mad scramble to get the wire out the door and they lifted my authority to $100MM. There was that one time when we had to withdraw about $250K in cash. That takes a few extra steps that includes ordering in advance from the bank so they have sufficient denominations. There was a cash bonus being paid.
Cool, thx. I’ve wondered about that before as I know that all transactions of >$10K get reported to the IRS. I’m not really worried about that, but if you made enough that your take home pay is more than $10K per month (more than me, probably top 3%, but not uber-wealthy), I imagine every direct deposit gets reported.
Cash transactions greater than $10K must get reported to the secret service. As far as what gets reported to the IRS??? I know that companies must report all payments to vendors including cummulate payments to vendors that is greater than $600. Each year, the accounting group has a big envelop stuffing party of 1099’s. I don’t know the number but it is likely over 10,000 1099’s.
As far as how much I make. I’m no where near the top 3% As you probably know as the higher incomes really explode on an exponential curve. I would have to make 3-4x what I make to be top 3%. After the tax man and and 401K withholdings, my take home is about half of the gross. All my direct deposits get reported via the W2 at the end of the year. I am a big saver. Sure I spend money but I try and save as much as possible. I live with no rent or mortgage, and my largest expense is taxes, then wifes student loans, then transportation since we have HUGE commutes. I don’t know what all the banks report on each deposit or withdraw.
According to this, one needs about $334K to make the top 3% in household income.
Yeah, I’m not sure the exact amount one would need to have your monthly direct deposits to be >$10K after taxes, but I’m not near it and I think I’m in the top 10%.
Correction, according to that site, which focuses on household income, I’m not in the top 10%, but am in the top 20. I’m the only income earner in the household.
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