No. of Recommendations: 19
Hopefully it won't be a dividend but when board member Susan Decker was asked in an interview at the Annual Meeting about a potential dividend down the road, she mentioned that she thought the way Costco structured their dividend was a possibility for Berkshire.
I absolutely hope Ms Decker fails to influence the rest of the board on this matter, which could evolve into a consensus decision after WEB leaves the scene. I don’t know about everyone else, but I structured my entire taxable brokerage account in such a way as to minimize and/or eliminate the distribution of any dividends, that is, the majority of my BRK position is in there. I have two sizable pensions, and a 401k which will be hemorrhaging unneeded RMD’s in just a couple years that I cannot stop. I’ve already converted a bunch to a Roth, but I just can’t justify any more conversions at this point. It’s the law of diminishing returns. Pay a tax today to save on a tax later is beginning to lose its’ logic on me personally, as I age. I’d rather embrace the inverse — never pay a tax today that you can put off until tommorrow. There are a couple Congressmen out there who are advocating some grassroots legislation to get rid of RMD’s altogether. That would be fantastic, especially for many of us who don’t need to drawdown as much from their retirement accounts. Any dividends that may emanate out of Berkshire, even a modest 2%, will absolutely crush me in taxes. I never would have thought I’d be paying more in taxes during retirement than when I was working, paying the considerable tax on the salary I enjoyed with the airline. I’m sure there are many out there like me. Who on this board is calling for a dividend at Berkshire and why? I may just have to move to Monaco or something similar. I wonder if Jim knows any storage units there I can rent, big enough for a bed and a table lamp. 😂
