Search found 461 matches

Return to advanced search

Re: How many of you invest in individual stocks?

I own a handful of individual stocks, all of which I inherited. I sold a few but kept a few that had substantial capital gains since the stepped up date. I'm not sure when, if ever, I will sell these stocks. They make up only about 3% of my portfolio's value.
by Garco
Sun Mar 29, 2015 11:41 pm
 
Forum: Investing - Theory, News & General
Topic: How many of you invest in individual stocks?
Replies: 52
Views: 2721

Re: Where to put 20k for an emergency?

I have 3 locations for emergency funds: 1) Fidelity Cash Account (earning bupkis at this time). (Insured) 2) Credit union savings and MMF + additional cash balance in checking (earning bupkis). (Insured) 3) HELOC (credit union). I have no current HELOC balance but have a $60K LOC, so there is no imm...
by Garco
Thu Mar 26, 2015 12:46 pm
 
Forum: Investing - Help with Personal Investments
Topic: Where to put 20k for an emergency?
Replies: 6
Views: 1019

Re: TIPS versus TIAA Trad for fixed-income ?

" I am deferring a decision on annuitization until I reach my early 70's, perhaps 73. And then, to allow for inflation, I would probably annuitize in 2 or 3 tranches, say age 73 and 76." Perhaps a stupid question, but you just intend to take the RMD's from 70 until you annuitize? Yes, tha...
by Garco
Wed Mar 25, 2015 4:19 pm
 
Forum: Investing - Help with Personal Investments
Topic: TIPS versus TIAA Trad for fixed-income ?
Replies: 14
Views: 785

Re: TIPS versus TIAA Trad for fixed-income ?

To the OP: I also hold money in Traditional in a TIAA RA. The vintage system does work to your advantage if you annuitize, but so does your age (independent of the payout rates of your vintages). I am deferring a decision on annuitization until I reach my early 70's, perhaps 73. And then, to allow f...
by Garco
Wed Mar 25, 2015 2:43 pm
 
Forum: Investing - Help with Personal Investments
Topic: TIPS versus TIAA Trad for fixed-income ?
Replies: 14
Views: 785

Re: Grad School - Max out Roth IRA or use for tuition?

Vote: (D) due to the high rate, I'd pay the tuition instead of a ROTH funding. 7.2% is a terrible rate in the current environment. Also note you must have *earned* income to fund a ROTH. Often teaching stipends are not earned income. You can tell if income is earned or unearned based on the form it...
by Garco
Mon Mar 23, 2015 4:43 pm
 
Forum: Investing - Help with Personal Investments
Topic: Grad School - Max out Roth IRA or use for tuition?
Replies: 10
Views: 936

Re: Tricky-to-categorize assets

Interesting problem. When categorizing my assets, I start with the different accounts, defined by purpose and legal/tax status rather than AA. Specifically, I have 5 "retirement accounts" (403b, 457b, etc.), and I have two "taxable accounts." The specific asset allocations -- and...
by Garco
Sun Mar 22, 2015 2:15 pm
 
Forum: Investing - Help with Personal Investments
Topic: Tricky-to-categorize assets
Replies: 11
Views: 377

Re: Help with retirement portfolio

@bmoran: I haven't wrapped my mind about your complex investments. But one thing to keep in mind about income vs. total return investing is that once you begin to take your required minimum distributions at age 70, in my opinion it doesn't matter much how you think about that with regard to your tax...
by Garco
Thu Mar 19, 2015 10:33 am
 
Forum: Investing - Help with Personal Investments
Topic: Help with retirement portfolio
Replies: 4
Views: 592

Re: Experienced advice wanted re inherited stocks etc

I agree with Wagnerjb: pay off the student loan immediately. Your plan to max out your 403b is a good one, substituting taxable cash from the inheritance for the foregone income from salary. You might consider doing this every year. Also you could consider other steps of this kind. When I received i...
by Garco
Mon Mar 16, 2015 1:10 pm
 
Forum: Investing - Help with Personal Investments
Topic: Advice wanted re inherited stocks etc
Replies: 6
Views: 798

Re: Evaluating new job offer and 401k plan

Just 2 points. 1. You're young. Take the most interesting or challenging job. 2. If being involved in an interesting startup engages you it does not matter that you may have 60 hr weeks. That's what new ventures are about. If you're also getting part ownership, you should be putting in extra time. Y...
by Garco
Tue Mar 10, 2015 11:34 pm
 
Forum: Investing - Help with Personal Investments
Topic: Evaluating new job offer and 401k plan
Replies: 30
Views: 2399

Re: New 401k portfolio

I like the 4-fund proposal and the percentage allocation to each one. I also encourage the 75% stock allocation. This is very close to what I did at your age. I stayed with 75% contributions for next 20 years!
by Garco
Sun Mar 08, 2015 3:10 am
 
Forum: Investing - Help with Personal Investments
Topic: New 401k portfolio
Replies: 6
Views: 639

Re: Backpedaling: Rising Equity Allocation During Retiremen

It's more complex than that, but basically that's fair. My "stash" is actually invested in two ways, some just for inflation protection, some for total return. It also "insures itself" in that I draw the LTCI premiums from it, as a form of wealth insurance. My "retirement fu...
by Garco
Wed Mar 04, 2015 1:54 pm
 
Forum: Investing - Theory, News & General
Topic: Backpedaling: Rising Equity Allocation During Retirement
Replies: 38
Views: 3687

Re: Backpedaling: Rising Equity Allocation During Retiremen

Yes. But both in the comments of Pfau's that are linked, plus his response to a question, he seems unwilling to offer any default recommendation for those who are not able to carefully design a plan that incorporates their own risk acceptance/aversion or initial conditions (interest rate environmen...
by Garco
Wed Mar 04, 2015 1:38 pm
 
Forum: Investing - Theory, News & General
Topic: Backpedaling: Rising Equity Allocation During Retirement
Replies: 38
Views: 3687

Re: Backpedaling: Rising Equity Allocation During Retiremen

The best asset allocation is one with the most in stocks that you can "tolerate". What you can tolerate is based on a variety of individual factors two of which are the ratio of living expenses to nest egg size, and temperament to market swings. Once you mitigate your liquidity risk (need...
by Garco
Wed Mar 04, 2015 1:22 pm
 
Forum: Investing - Theory, News & General
Topic: Backpedaling: Rising Equity Allocation During Retirement
Replies: 38
Views: 3687

Re: Backpedaling: Rising Equity Allocation During Retiremen

I am a big fan of Pfau. But while he is reviewing the "rising equity allocation" idea, he ought to look at the levels recommended at various ages, whether or not they rise. So what's the "best" AA at age 50, 55, 60, 65, 70, 75 etc.? What implication does Pfau's recent recanting h...
by Garco
Wed Mar 04, 2015 1:09 pm
 
Forum: Investing - Theory, News & General
Topic: Backpedaling: Rising Equity Allocation During Retirement
Replies: 38
Views: 3687

Re: Poll: Increasing international equities

I chose "other." The Vanguard decision about international has zero effect on my asset allocation. I already had ~35% international in my equities across my different qualified and taxable accounts. I am thinking about my international bond/FI allocation, but don't have access to outstandi...
by Garco
Tue Mar 03, 2015 10:19 pm
 
Forum: Investing - Theory, News & General
Topic: Poll: Increasing international equities
Replies: 58
Views: 3796

Re: 401k is changing - need advise

Several of the newly offered funds are decent in principle, but the class (ER) of the stock is absurd. I am thinking especially about the AF Europacific Growth. It's a fine (managed) fund. I own it. But my ER is .49 (class R6), not 1.14. Meantime you could do a lot worse than the Invesco Equally Wei...
by Garco
Mon Mar 02, 2015 1:03 pm
 
Forum: Investing - Help with Personal Investments
Topic: 401k is changing - need advise
Replies: 6
Views: 435

Re: Rick Ferri looking to internationalize his portfolio

Those of us who have stayed the course with a significant international holding for the last 5 years or more have paid a price. So if at last international equities may outperform domestic U.S. we will have done the right thing well before others who have lately come on board. I suspect that it woul...
by Garco
Sat Feb 28, 2015 4:17 pm
 
Forum: Investing - Theory, News & General
Topic: Rick Ferri looking to internationalize his portfolio
Replies: 296
Views: 37323

Re: How T-C members & family get TREA outside of employer pl

TREA? (a) Here's some basic information: https://www.tiaa-cref.org/public/tcfpi/investment/profile?symbol=41091375 (b) You should be aware that there are some trading restrictions, which I described recently on another post and will restate here. TIAA may tighten them over time to protect the liquid...
by Garco
Wed Feb 25, 2015 10:50 pm
 
Forum: Investing - Theory, News & General
Topic: How T-C members & family get TREA outside of employer plans
Replies: 20
Views: 1885

Re: TIAA-CREF Stock Account 403(b)

Though I definitely encourage you to consider TREA, especially given what you just mentioned, you should also know about a couple of trading restrictions. 1. Currently (since April 2011), the maximum you can transfer into TREA is $150,000. So if, for example, you already had $150K or more invested i...
by Garco
Tue Feb 24, 2015 1:04 pm
 
Forum: Investing - Help with Personal Investments
Topic: TIAA-CREF Stock Account 403(b)
Replies: 8
Views: 534

Re: TIAA-CREF Stock Account 403(b)

Based on your private communication to me, you may have access to QREARX -- TIAA Real Estate Account -- which is not a REIT but instead a fund with direct ownership of commercial real estate. I encourage you to consider that. It's kind of half-bond, half-equities in how it behaves. Nothing only goes...
by Garco
Tue Feb 24, 2015 1:07 am
 
Forum: Investing - Help with Personal Investments
Topic: TIAA-CREF Stock Account 403(b)
Replies: 8
Views: 534

Re: TIAA-CREF Stock Account 403(b)

The first thing to check is which of the funds on the link that you give are available in the plan that the sponsoring institution authorizes. Many institutions make available only a fraction of those funds in their plan. Some of them offer non-TIAA-CREF funds alongside TIAA-CREF funds. If you can p...
by Garco
Mon Feb 23, 2015 11:34 pm
 
Forum: Investing - Help with Personal Investments
Topic: TIAA-CREF Stock Account 403(b)
Replies: 8
Views: 534

Re: What age do you guys plan to retire?

I never had a specific plan but expected to retire at ~65. In my line of work, it's common for folks who continue to be productive to stay working. But the relation between my age and critical events (children's ages and college years, market swoons) interacted to lead me to defer retirement til age...
by Garco
Mon Feb 23, 2015 9:50 am
 
Forum: Personal Finance (Not Investing)
Topic: What age do you guys plan to retire?
Replies: 143
Views: 8873

Re: When 60/40 just isn't appropriate

As a recent retiree, I think this works in two ways. First, any spending that I do must come from that declining reservoir of money I've accumulated. Second, once it's lost, I can't replenish it from the outside quickly nohow.
by Garco
Sun Feb 22, 2015 10:55 am
 
Forum: Investing - Theory, News & General
Topic: When 60/40 just isn't appropriate
Replies: 127
Views: 13522

Re: The 8x retirement savings rule

I have to chuckle a little at the posters that think it is so simple to know your expenses and plan for them years in advance. I did not know until a couple of months ago that my health insurance costs would increase by $4,080 this year and that we would lose another $5,000 because we can no longer...
by Garco
Fri Feb 20, 2015 10:10 am
 
Forum: Investing - Theory, News & General
Topic: The 8x retirement savings rule
Replies: 83
Views: 8075

Re: Help novice investor (portfolio review)

Some comments on the TIAA-CREF options. I don't know what you have in mind for this 457b, but at your wife's age I would be a bit more adventuresome. This is just my opinion here, but I have owned T-C funds for 30+ years. I wouldn't roll it over to VG right away for one main reason: TIAA Real Estate...
by Garco
Thu Feb 19, 2015 9:28 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help novice investor (portfolio review)
Replies: 4
Views: 436

Re: The 8x retirement savings rule

I recall the Bernstein 25X rule. In my post prior to this one (earlier on this page), if I take out the 1/3 of my annual expenses that will be covered by SS, then the 2/3 of my annual expenses that remain is exactly 1/25th of my retirement accumulation. So my situation is consistent with Bernstein's...
by Garco
Thu Feb 19, 2015 6:20 pm
 
Forum: Investing - Theory, News & General
Topic: The 8x retirement savings rule
Replies: 83
Views: 8075

Re: The 8x retirement savings rule

As others have pointed out, this rule has problems. All rules of thumb are just approximations. But everybody uses them. And they can be useful to start your thinking. I'll illustrate how I've used them. I just retired. When I make this calculation, I have accumulated between 13x and 16x my annual e...
by Garco
Thu Feb 19, 2015 3:39 pm
 
Forum: Investing - Theory, News & General
Topic: The 8x retirement savings rule
Replies: 83
Views: 8075

Re: When would you retire money no object?

In my type of career, the product of my work is attributed to me (it's not given to a corporation or otherwise made anonymous). Also, I enjoy my work, and get a lot of satisfaction out of it. It's not something that I do only or mainly to make money. So as long as I could keep working productively, ...
by Garco
Mon Feb 16, 2015 8:58 pm
 
Forum: Personal Finance (Not Investing)
Topic: When would you retire money no object?
Replies: 64
Views: 3427

Re: TIAA-CREF dramatically increasing Expense Ratios

@ResearchMed: my approach was to avoid having T-C be the agent for all of my tax qualified funds in the first place. Any tax-deferred income beyond my base RA went into qualified accounts at Fidelity. Brokerage? Fidelity. RMD's from T-C? To Fidelity brokerage account (net of taxes paid). But I have ...
by Garco
Mon Feb 16, 2015 12:42 pm
 
Forum: Investing - Theory, News & General
Topic: TIAA-CREF dramatically increasing Expense Ratios
Replies: 74
Views: 5854

Re: Pfau: Four Risks of Retirement Income

Just a couple of comments...... I'm not sure that adding (selling) significant quantities of complex instruments to determine optimum portfolio survivability in an 1% advisor fee environment gives me a lot of faith in future real world outcomes. Another week, another study. Obviously, a lot of work...
by Garco
Mon Feb 16, 2015 11:58 am
 
Forum: Investing - Theory, News & General
Topic: Pfau: Four Risks of Retirement Income
Replies: 31
Views: 4450

Re: TIAA-CREF dramatically increasing Expense Ratios

TIAA-CREF has really fallen off a cliff, sad given its roots. In the past, when a poster brought up the company's downfall, he was blasted by TIAA-CREF afecionados. Not anymore. Don't be so crestfallen. When Vanguard starts offering a money market with a 3% yield and a fund that directly owns real ...
by Garco
Sun Feb 15, 2015 6:30 pm
 
Forum: Investing - Theory, News & General
Topic: TIAA-CREF dramatically increasing Expense Ratios
Replies: 74
Views: 5854

Re: Inherited Mutual Funds: Investing advice

Before you sell all those funds, make sure you have the cost basis for each one on the day of your father's death. You'll need to know the number of shares and the price on that day for tax purposes. If you don't have the info now, I would get it from the broker before you pull the trigger. My CPA ...
by Garco
Sat Feb 14, 2015 6:43 pm
 
Forum: Investing - Help with Personal Investments
Topic: Inherited Mutual Funds: Investing advice
Replies: 67
Views: 3368

Re: At what point is a 401k/403b/457b not worth it?

For 39 years, I had an employer match of 10% to my contribution of 5%. At that match rate (double my contribution) it was always "worth it." My hunch is it would have been worth it if the employer gave even 2%. On top of my 5% I also contributed to other tax deferred accounts, especially a...
by Garco
Thu Feb 12, 2015 1:47 pm
 
Forum: Investing - Theory, News & General
Topic: At what point is a 401k/403b/457b not worth it?
Replies: 21
Views: 2086

Re: When 60/40 just isn't appropriate

Also, we are living longer and many would like to leave some money behind for family or charities. If that is one's way of thinking does 60/40 or 50/50 have a place for a permanent AA until death? In my mind these two thoughts pull in the opposite direction. If the concern is living longer then you...
by Garco
Sun Feb 08, 2015 1:10 pm
 
Forum: Investing - Theory, News & General
Topic: When 60/40 just isn't appropriate
Replies: 127
Views: 13522

Re: When 60/40 just isn't appropriate

@Nisiprius. Could it be that people find 60/40 attractive for some mystical reason? It's very close to the "golden ratio" -- https://en.wikipedia.org/wiki/Golden_ratio. I have sometimes gravitated toward something like that in asset allocations of different types, e.g., between growth vs. ...
by Garco
Sat Feb 07, 2015 7:54 pm
 
Forum: Investing - Theory, News & General
Topic: When 60/40 just isn't appropriate
Replies: 127
Views: 13522

Re: How to respond when someone asks how much money you make

During most of my career my salary was a matter of public record -- for those savvy enough to know where to look, especially after everything went online in the 1990's. How I would answer the question if someone asked me directly would depend on the context. If I'm being asked my current salary by a...
by Garco
Sat Jan 31, 2015 1:18 pm
 
Forum: Personal Finance (Not Investing)
Topic: How to respond when someone asks how much money you make?
Replies: 107
Views: 10544

Re: RMD withdrawals.

By the way, thanks to the Bogleheads community for significantly helping with my education in investing and RMD's. When my parents died, I was being actively pursued by their ML Adviser. Based on information I gleaned from this website and a book by Rick Ferri I started asking questions about the ~...
by Garco
Thu Jan 29, 2015 1:29 am
 
Forum: Personal Finance (Not Investing)
Topic: RMD withdrawals.
Replies: 43
Views: 3600

Re: Do you have an EF & Taxable Account?

When I think of emergency expenses, I'm thinking of them from the perspective of a recent retiree with a paid-up home and no other loans of any kind, but no income from work. Drawing on Social Security and my RMD's. It's in that context that in my previous post I split my EF into two forms: (a) cash...
by Garco
Sat Jan 24, 2015 6:16 pm
 
Forum: Investing - Theory, News & General
Topic: Do you have an EF & Taxable Account?
Replies: 20
Views: 1568

Re: Do you have an EF & Taxable Account?

I have about 6 months on hand in cash (MMA), and could get another 6 months quickly by borrowing against a home equity line of credit (HELOC).
by Garco
Sat Jan 24, 2015 8:33 am
 
Forum: Investing - Theory, News & General
Topic: Do you have an EF & Taxable Account?
Replies: 20
Views: 1568

Re: How to climb up in a megacorp

My father, who was a senior project engineer in a major aerospace company, had some pretty salty short answers to your question. Some were along the lines of "it's not what you know, it's who you b***" (self-censored). My own advice to younger people is usually pretty plain. Work hard, mak...
by Garco
Fri Jan 23, 2015 11:02 pm
 
Forum: Personal Finance (Not Investing)
Topic: How to climb up in a megacorp
Replies: 37
Views: 5169

Re: What age did you pay off your "forever" home

We had a 30 year mortgage on our ever-only home, which we still live in. Paid it off at age 62.

We may move post-retirement. There will be no mortgage. It will be a cash deal.
by Garco
Thu Jan 22, 2015 2:08 pm
 
Forum: Personal Finance (Not Investing)
Topic: What age did you pay off your "forever" home
Replies: 52
Views: 4213

Re: What age did you hit $100,000?

To piggy back on this a little, do people feel the first $100,000 seemed to take long time to reach and or feel like one of the tougher numbers to reach? I know it was for myself. To be perfectly honest, I scarcely ever noticed what my total accumulation was when it was in that neighborhood (in mid...
by Garco
Wed Jan 21, 2015 5:50 pm
 
Forum: Personal Finance (Not Investing)
Topic: What age did you hit $100,000?
Replies: 68
Views: 6101

Re: What age did you hit $100,000?

In agreement with Petrocelli's comment, $100K in 1986, which is also the year that I attained that accumulation in my retirement accounts, would be worth about $220,000 in 2015 dollars. I happen to know my accumulation in 1986 because it's my "grandfathered" amount in my 401k. I have no id...
by Garco
Wed Jan 21, 2015 12:55 pm
 
Forum: Personal Finance (Not Investing)
Topic: What age did you hit $100,000?
Replies: 68
Views: 6101

Re: RMD withdrawals.

The RMD in dollars is the same but the RMD as a percentage of the account could have large excursions. Isn't leaving the RMD invested all year at your IRA AA investing short term money inappropriately? You could end up at the end of the year having to withdraw 8% instead of 4% of the account, for e...
by Garco
Tue Jan 20, 2015 11:35 am
 
Forum: Personal Finance (Not Investing)
Topic: RMD withdrawals.
Replies: 43
Views: 3600

Re: RMD withdrawals.

Christine, that's kind of my thinking. To stock the MM and draw RMD's from there rather than directly from my investments. But I wouldn't put the whole amount into MM at a single point in time -- either end of year or beginning of year. Rather, I would put it there on a quarterly basis, or rather pu...
by Garco
Mon Jan 19, 2015 5:28 pm
 
Forum: Personal Finance (Not Investing)
Topic: RMD withdrawals.
Replies: 43
Views: 3600

Re: RMD withdrawals.

Thanks, Jeff, for the suggestion regarding where to store the cash distribution prior to putting into spending budget. As you note, however, it's still not settled whether end of year or beginning of year is preferred for a single-scoop RMD. I gravitated toward quarterly in part because I think it's...
by Garco
Mon Jan 19, 2015 3:46 pm
 
Forum: Personal Finance (Not Investing)
Topic: RMD withdrawals.
Replies: 43
Views: 3600

Re: RMD withdrawals.

Having gone back and forth in my thinking about the best timing for RMD's from a strictly financial point of view, I was persuaded by a different voice -- my wife -- who said she really wants to get a "monthly paycheck" to regulate our household spending during the year. Having gone back a...
by Garco
Mon Jan 19, 2015 3:34 pm
 
Forum: Personal Finance (Not Investing)
Topic: RMD withdrawals.
Replies: 43
Views: 3600

Re: How long did it take your net worth to go from $1.5M to

In my case, that first $100K was accumulated by the end of 1986, after 15 years working in the economy. It took that long in part because I lost 4 years of 8% 401k matching from my first employer when I changed jobs and hadn't reached the 5-years needed to be vested in the plan. By 2015 this lost mo...
by Garco
Mon Jan 19, 2015 3:22 pm
 
Forum: Personal Finance (Not Investing)
Topic: How long did it take your net worth to go from $1.5M to $3M?
Replies: 22
Views: 4677

Re: How long did it take your net worth to go from $1.5M to

2007--->2014. But in between it went down to ~1M in early 2009. Also this increase wasn't simply organic. In 2013-2014 I also inherited some money.
by Garco
Sun Jan 18, 2015 11:19 pm
 
Forum: Personal Finance (Not Investing)
Topic: How long did it take your net worth to go from $1.5M to $3M?
Replies: 22
Views: 4677

Re: Malkiel's recommendations, 1990 to 2015

Gosh, I'm 60+ and my portfolio is remarkably similar (and coincidentally so) to Malkiel's 2015 portfolio. It may be iffy but it's what I am comfortable with in 2015. I wasn't 60+ in 1990....
by Garco
Sun Jan 18, 2015 6:52 pm
 
Forum: Investing - Theory, News & General
Topic: Malkiel's recommendations, 1990 to 2015
Replies: 40
Views: 3932
Next

Return to advanced search