Cashing in a Starting All Over

[Rich Klein]

At the end of the day it's his decision, nothing more, nothing less.

At the last DCS I sold all my dealer stock. I gave a price, it was the same price I gave to someone else last year. I've probably made a little overall in the past year and the offer was accepted. I dropped off round 2 today to my buyer.

I'm getting to start all over again and am not sure as to if what has worked in the past could work again or if my way too anachronistic.

Regards
Rich

[jayshum]

Originally Posted by Dead-Ball-Hitter

I'm relatively new to prewar baseball, but collected vintage basketball for the last 40 years since I was a kid. Got practically everything, but....

There was a time when I cashed in on many of my nicest cards. I sold maybe 20 of my highest valued cards in favor of another financial transaction. Cash came in wonderfully handy, but with the best cards gone, my collection felt incomplete and insignificant, even though I still had many nice cards and sets.

I repurchased everything again in the last 8 years, but at a lower grade as I couldn't buy a Wilt Chamberlain PSA 7 rookie, George Mikan SGC 5, or Jordan graded 9 rookies reasonably anymore. I do have some regret not holding on to items that are now $20K a piece and unobtainable. When I see one of these formerly owned items change hands at auction and read the write ups, my stomach turns!! Oh well, life is about choices, right? Other things are more important than collectables.

I know what you mean about your collection feeling incomplete after selling some of it. About 12 years ago, I sold a run of Bowman sets and some pre-war sets to help pay for a major house renovation we were doing. I always felt the loss to my collection, so after a few years, I started building them back and eventually was able to replace everything, but it cost a lot more than what I made selling them. In the end, I was happy to have everything back and hope to avoid having to sell again.

[toledo_mudhen]

Originally Posted by parkplace33

Trust your gut. You will know when the time is right.

Use the "Force", Luke........

[ullmandds]

I'm looking at my collection as my "bridge" from early retirement until Medicare/SSecurity kicks in...assuming I live to see it!!!!

I'll retire from dentistry...sell my cards slowly and report as income...which will be my main income...then the tax burden won't be so bad.

I'm just hoping the blue chips will continue to rise into the stratosphere!!!!!

[Rhotchkiss]

Pete, I am sorry, but I believe gains on all collectibles are taxed at 28% regardless of income level or tax bracket. Thus, you will receive no tax break from being retired and/or having no other material income source

[ullmandds]

Originally Posted by Rhotchkiss

Pete, I am sorry, but I believe gains on all collectibles are taxed at 28% regardless of income level or tax bracket. Thus, you will receive no tax break from being retired and/or having no other material income source

bugga!!!!!

[tkd]

Pete,
Still not a bad idea. I've looked at it that way too.

[frankbmd]

Originally Posted by Exhibitman

You see, I don't make much money
Only five, uh-uh, thousand per
And some judge who thinks he's funny
Tells me I got to pay six to her
I said now judge, suppose I fail?
The judge says, "Ray, son, son, right on into jail
Ah, you better keep her. I think it's cheaper."
--Ray Charles, Makin' Whoopee

I love Ray Charles and actually played this song on my saxophone at my second wedding.

I now have the tenor of the groom.

Ray was right but the first wife wouldn't keep me .

Yeah, my bills were all due and the baby needed shoes but I'm busted
Cotton is down, quarter a pound but I'm busted, oh yeah
I got cow that went dry, hen that won't lay
Big stack of bills gettin' bigger each day
County's gonna haul my name, know that I went and I'm busted, I am, yeah

[Bkrum]

Originally Posted by bigtrain

I am retired and decided recently to sell my cards. I will keep most of my non-card memorabilia and few cards that are special to me. I don’t need the money. I just realized that I have too much tied up in cards. Al Crisafulli will be selling my T206 set (520) and other high end cards in the next Love of the Game auction. Al has been a pleasure to work with so far. Thinking I might use the dough to take my wife on a lengthy world tour. You only live once.

Very exciting! Will be on the lookout for the T206 set on LOTG

[Exhibitman]

Originally Posted by Rhotchkiss

Pete, I am sorry, but I believe gains on all collectibles are taxed at 28% regardless of income level or tax bracket. Thus, you will receive no tax break from being retired and/or having no other material income source

That's if you sell them as capital gains investment property. If you actually start a business you can either use a Schedule C or form a pass-through entity and file accordingly as ordinary income with expenses deducted. If the section 199 deduction for pass-through entities instituted in 2017 is still around it may make sense to form an S corp or LLC to take advantage of that exclusion of 20% of the income from taxation. That's what I would do if I sell highly appreciated cards in sufficient quantity. You just have to run the numbers a few ways to analyze it.

Way too far into the weeds for a baseball card chat board, I know.