Search found 2294 matches

Return to advanced search

Re: Why only stocks in a taxable account at retirement?

I've read on this board on a few threads that people do not change how they are invested when they retire. I don't understand why. :?: Some people continue, but I'd say that ramping down equity risk in the few years before and after retirement is very common. And then there's the latest fad making ...
by House Blend
Wed Aug 20, 2014 1:02 pm
 
Forum: Investing - Theory, News & General
Topic: Why only stocks in a taxable account at retirement?
Replies: 13
Views: 612

Re: POLL: Age for Collecting Social Security Benefits

If [various hypotheticals], then it makes sense to wait. But those are ifs, and the personal ones are hard to estimate until you're close to that point in life. +1. I'd guess that a fair percentage of the votes for age 70 in this poll are from people who won't live that long. My default assumption ...
by House Blend
Wed Aug 20, 2014 10:29 am
 
Forum: Personal Finance (Not Investing)
Topic: POLL: Age for Collecting Social Security Benefits
Replies: 49
Views: 2464

Re: Roth Conversion - Old Age

Parents are currently 65 & 59. His IRA $480K, Her IRA $140K, $120K in bank. Married, file jointly. Her Pension: $480 His Pension: $1,893 SS: $1,833 Able to live off this so don't need to take withdrawals from His IRA yet and may not have to for a while. They are in the 15% tax bracket and live ...
by House Blend
Tue Aug 19, 2014 4:48 pm
 
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion - Old Age
Replies: 31
Views: 1086

Re: Why would anyone own a treasury bond fund?

Shrug. 1) I like the easy-come-easy-go of a fund. Automatic reinvestment of dividends. No need to purchase or sell in large chunks. 2) I don't have much choice: roughly 4% of assets in an IRA, the rest is either not appropriate for 10 year T Bonds (taxable) or not available (employer's plan). 3) I'm...
by House Blend
Tue Aug 19, 2014 1:38 pm
 
Forum: Investing - Help with Personal Investments
Topic: Why would anyone own a treasury bond fund?
Replies: 20
Views: 1629

Re: Online property tax payment lost

For property tax, I pay online via ACH.

Maybe it's unusual, but my county makes the payment history of every property available online. So after I pay, I monitor the website daily until I see that my payment has been credited. Usually takes 2-3 days. No need for a receipt.
by House Blend
Mon Aug 18, 2014 10:52 am
 
Forum: Personal Finance (Not Investing)
Topic: Online property tax payment lost
Replies: 23
Views: 1371

Re: Retirement Party Discussions

But no one could answer in a satisfactory way why anyone in their right mind would use a Morgan Stanley except out of ignorance. Is that it, simple ignorance? Ostentation. You want everyone to know what kind of car you drive, and how many homes you own. Especially at parties. And so you want your f...
by House Blend
Sun Aug 17, 2014 6:12 pm
 
Forum: Investing - Theory, News & General
Topic: Retirement Party [Investment] Discussions
Replies: 50
Views: 3760

Re: TIPS vs SVF

In general, I think endless agonizing over how to slice and dice the fixed income side of the portfolio should be reserved for those with a bond heavy portfolio. So, typically, those nearing or in retirement. (Or for Bogleheads who like to obsess.) If you (generic you) are 80% equity, just pick a bo...
by House Blend
Fri Aug 15, 2014 4:27 pm
 
Forum: Investing - Help with Personal Investments
Topic: TIPS vs SVF
Replies: 11
Views: 1010

Re: US Equity Benchmark Options

And the S&P 500 fund probably has a lower ER than either of the Growth or Value indexes.
by House Blend
Thu Aug 14, 2014 6:11 pm
 
Forum: Investing - Theory, News & General
Topic: US Equity Benchmark Options
Replies: 4
Views: 221

Re: How to "fix" bad investments early in the game?

As for my Roth IRA/Annuity nonsense - what are my options? Obviously, I can quit contributing and just leave it to ride (There is nearly $9K in it now). I realize this is probably plan specific, and I will look into it, but is there a benefit to trying to just get my money out and start over with V...
by House Blend
Thu Aug 14, 2014 6:06 pm
 
Forum: Investing - Help with Personal Investments
Topic: How to "fix" bad investments? (Whole Life & Annuity Roth)
Replies: 5
Views: 490

Re: "Cost" of foreign tax on international investing

Do you agree that for the guy in the 25% tax bracket, the foreign tax withholding is irrelevant? Irrelevant in what sense? You want to know what your tax liability will be when you hold $100 worth of international fund X in taxable versus $100 of something else. That's a key factor in fund placemen...
by House Blend
Mon Aug 11, 2014 7:02 pm
 
Forum: Investing - Theory, News & General
Topic: "Cost" of foreign tax on international investing
Replies: 19
Views: 1372

Re: Does domestic over weighting qualify as active managemen

If you want "passive management" to mean holding only the market portfolio.... ...and you take the view that no one actually does that (BTW, what is the market portfolio for bonds anyway? Does it include munis? Junk? TIPS?), then IMO there's no point in even using the term. Or its presumed...
by House Blend
Mon Aug 11, 2014 6:07 pm
 
Forum: Investing - Theory, News & General
Topic: Does domestic over weighting qualify as active management?
Replies: 26
Views: 1187

Re: Wills, Spouses, Prenups, etc.

Drew777 wrote:I think this thread has run its course.

Drew,

Just as a point of information: if you, as the original poster, feel that your questions have been answered, you can PM a moderator and request that the thread be locked.
by House Blend
Mon Aug 11, 2014 5:04 pm
 
Forum: Personal Finance (Not Investing)
Topic: Wills, Spouses, Prenups, etc.
Replies: 67
Views: 3157

Re: "Cost" of foreign tax on international investing

I agree with you that for those holding international in tax-deferred, the foreign tax withholding amounts to a 'cost". But for most who hold international in taxable, there is no cost . OK, so you prefer the first interpretation of what Berntson meant by "it's a wash". We have zero ...
by House Blend
Mon Aug 11, 2014 4:05 pm
 
Forum: Investing - Theory, News & General
Topic: "Cost" of foreign tax on international investing
Replies: 19
Views: 1372

Re: "Cost" of foreign tax on international investing

For the investor in the 25% tax bracket, the foreign tax withholding is a non-event (yes, it is a wash). If there was no foreign tax withholding, you would have the following: Depends on what berntson meant by "more or less a wash". If it meant "you get all the foreign tax back and o...
by House Blend
Mon Aug 11, 2014 1:39 pm
 
Forum: Investing - Theory, News & General
Topic: "Cost" of foreign tax on international investing
Replies: 19
Views: 1372

Re: Endowments: Paying for complexity or performance?

On withdrawal rates - endowments rates do vary - not sure exact policy at Harvard - but Yale's is based on 80 percent of last year's spending with 20 percents adjusted for market level and inflation (again as per Swensen's book). I would question the sustainability of a 4.5% withdrawal rate, and ce...
by House Blend
Sun Aug 10, 2014 10:32 pm
 
Forum: Investing - Theory, News & General
Topic: Endowments: Paying for complexity or performance?
Replies: 14
Views: 1049

Re: Simple Yield Question, Hoping for Easy Answer

Bond Funds (eg, Vanguard Intermediate Term Tax Exempt, VWIUX, 0.12) Stock Funds (eg, TSM Admiral, VTSAX, 0.05) For these, I would use the most recent "distribution yield", but the farther out you extrapolate, the less reliable the estimate will be. You can get the distribution yield for V...
by House Blend
Sun Aug 10, 2014 3:48 pm
 
Forum: Personal Finance (Not Investing)
Topic: Simple Yield Question, Hoping for Easy Answer
Replies: 6
Views: 473

Re: "Cost" of foreign tax on international investing

Houseblend: My impression is that foreign taxes on dividends and the foreign tax credit are more or less a wash for most investors (as long as those funds are held in a taxable account). Is that right? No. Again it depends on brackets, and percentage qualified. A back of envelope calculation using ...
by House Blend
Sun Aug 10, 2014 2:29 pm
 
Forum: Investing - Theory, News & General
Topic: "Cost" of foreign tax on international investing
Replies: 19
Views: 1372

Re: Fear of Disclosing Net Worth

Do others have these concerns about letting one party know all of your assets? Does value of the consulting comments outweigh downstream risks? (TIAA, Schwab, Vanguard)? I have accounts with all three and am least inclined to share with Schwab. I have accounts at T-C and VG. Every so often T-C trie...
by House Blend
Sun Aug 10, 2014 2:01 pm
 
Forum: Personal Finance (Not Investing)
Topic: Fear of Disclosing Net Worth
Replies: 60
Views: 8002

Re: "Cost" of foreign tax on international investing

^Yes, more like 5.75% of the dividend last year. It varies. But if you can claim the foreign tax credit, then that means you have it in a taxable account. When you account for the Federal and State tax due on your dividends, you are typically[*] losing even more to tax than someone who has the fund ...
by House Blend
Sun Aug 10, 2014 1:20 pm
 
Forum: Investing - Theory, News & General
Topic: "Cost" of foreign tax on international investing
Replies: 19
Views: 1372

Re: New VG Performance Charts

^If you read the fine print about what VG calls "Personal Rate of Return", you'll see that it is IRR (internal rate of return). And yes, it is annualized. So, unless you have no transactions in the account over the time period in question except dividend reinvestments, it will almost alway...
by House Blend
Sun Aug 10, 2014 11:25 am
 
Forum: Investing - Help with Personal Investments
Topic: New VG Performance Charts
Replies: 16
Views: 1655

Re: Investing for those in the 15% tax bracket

Tax deferred accounts and Roth accounts treat cap gains, whether short or long, and dividends, whether qualified or not, the same way. The only difference is whether you are taxed at the beginning (Roth) at tax rate #1 (Roth), or at withdrawal/conversion time at tax rate #2 (deferral). If those two...
by House Blend
Mon Aug 04, 2014 6:43 pm
 
Forum: Investing - Theory, News & General
Topic: Investing for those in the 15% tax bracket
Replies: 38
Views: 2762

Re: Just started my taxable account!

I finally took the plunge and made my first taxable investment - $10k of VTSAX!! I'm really wishing I had done it back in March, but I needed the time to get comfortable with the idea. I still have $10k more I can put in taxable, I'm just not sure exactly where to put it yet. I have $21k in ibonds,...
by House Blend
Mon Aug 04, 2014 5:29 pm
 
Forum: Investing - Help with Personal Investments
Topic: Just started my taxable account!
Replies: 6
Views: 672

Re: Investing for those in the 15% tax bracket

Tax deferred accounts and Roth accounts treat cap gains, whether short or long, and dividends, whether qualified or not, the same way. The only difference is whether you are taxed at the beginning (Roth) at tax rate #1 (Roth), or at withdrawal/conversion time at tax rate #2 (deferral). If those two...
by House Blend
Mon Aug 04, 2014 3:20 pm
 
Forum: Investing - Theory, News & General
Topic: Investing for those in the 15% tax bracket
Replies: 38
Views: 2762

Re: Investing for those in the 15% tax bracket

And this is where I add my opinion that QDI/LTCG favorable treatment is beneficial enough that it is worth considering muni bonds to keep one in the 15% MTB. It's just gravy if the TEY is comparable to TBM. I don't think this is relevant to the permanently-in-the-15%-bracket scenarios of the OP, bu...
by House Blend
Mon Aug 04, 2014 2:57 pm
 
Forum: Investing - Theory, News & General
Topic: Investing for those in the 15% tax bracket
Replies: 38
Views: 2762

Re: Investing for those in the 15% tax bracket

asif408 wrote:Let's assume I am in the 15% tax bracket this year. I put in $100 into a Roth IRA and $100 into a traditional IRA this year.

That's not a fair comparison.

The options are: put $85 in a Roth and send $15 to Uncle Sam, or put $100 in a trad IRA....
by House Blend
Mon Aug 04, 2014 12:41 pm
 
Forum: Investing - Theory, News & General
Topic: Investing for those in the 15% tax bracket
Replies: 38
Views: 2762

Re: Stop Passing Up This Great Deal - In Money Magazine

^I suppose you can try to argue that if one writes "Many retirees in the 15% bracket actually have a marginal rate of X% or Y% when SS taxes are added in," then the one and only mistake here is that X% and Y% should represent possible marginal rates on SS income, so something like 50% or 8...
by House Blend
Mon Aug 04, 2014 11:51 am
 
Forum: Investing - Theory, News & General
Topic: Stop Passing Up This Great Deal - In Money Magazine
Replies: 80
Views: 10915

Re: Investing for those in the 15% tax bracket

You do need to assume that this tax bracket, and the special 0% rate on LTCG and QDI that goes with it, persists through your investing life. Even as recently as 2008(?), the LTCG/QDI rate was 5%, not 0%. You also need to assume you always live in a no income tax state. You also need to assume that ...
by House Blend
Mon Aug 04, 2014 11:00 am
 
Forum: Investing - Theory, News & General
Topic: Investing for those in the 15% tax bracket
Replies: 38
Views: 2762

Re: Tax-Efficient Account for Retirement

Yes, to reinforce bcjb's point, make sure you understand the Backdoor Roth. Using it would be a no-brainer in your situation, unless you have large tax-deferred amounts in your traditional IRAs. If you have small tax-deferred amounts, it might be worthwhile to take the tax hit now and convert them t...
by House Blend
Fri Aug 01, 2014 11:12 am
 
Forum: Investing - Help with Personal Investments
Topic: Tax-Efficient Account for Retirement
Replies: 30
Views: 2573

Re: Allocation review and advice for better use of "cash"

^However, it appears that you have no IRA accounts. Did you know that you can withdraw your Roth contributions at any time and any age without penalty? I think it is close to a no-brainer that you should be putting $5.5K + $5.5K into his and hers Roth IRAs every year until you have no more excess ca...
by House Blend
Sun Jul 20, 2014 8:49 am
 
Forum: Investing - Help with Personal Investments
Topic: Allocation review and advice for better use of "cash"
Replies: 5
Views: 1195

Re: Allocation review and advice for better use of "cash"

Our household is pretty conservative with money, no debt, decent retirement portfolio and regular contributions, a little bit of speculative sideline with essentially experimental (play) money, and mostly everything else has simply gone into standard FDIC-insured accounts. I've let that grow too la...
by House Blend
Sat Jul 19, 2014 8:35 am
 
Forum: Investing - Help with Personal Investments
Topic: Allocation review and advice for better use of "cash"
Replies: 5
Views: 1195

Re: Apple TV

I watched the entire World Cup on the Apple TV via the WatchEspn App. Between that and broadcast channels, I don't need cable anymore. Hate to break it to you, but unless you actually have a subscription to ESPN (via your cable provider, usually), you can't access WatchESPN. Until you can pay separ...
by House Blend
Sat Jul 19, 2014 8:10 am
 
Forum: Personal Consumer Issues
Topic: Apple TV
Replies: 43
Views: 3752

Re: Anyone using TIAA-CREF Brokerage Svcs? Just curious.

Anyway that was seven years ago. It seems odd to me that I've heard absolutely nothing about TIAA-CREF brokerage services in this forum. It is pure, pure curiosity on my part but I'd like to know how it's doing, what it's like. Is anyone familiar with it? My $0.02. I don't know much about their bro...
by House Blend
Sun Jul 06, 2014 4:38 pm
 
Forum: Investing - Theory, News & General
Topic: Anyone using TIAA-CREF Brokerage Svcs? Just curious.
Replies: 4
Views: 468

Re: I think I might have too much saved in a 401k

At any rate the reason I mentioned it in the first place was to give some context to how I grew my 401k and why I felt concerned that continued similar performance going forward could result in RMDs becoming a problem. You keep saying that future RMDs might be a "problem". Maybe, in the s...
by House Blend
Sun Jul 06, 2014 9:17 am
 
Forum: Investing - Help with Personal Investments
Topic: I think I might have too much saved in a 401k
Replies: 40
Views: 4209

Re: Continue subscribing to local newspaper?

It's definitely not worth it, but I do it anyway.
Democracy does not function well without eyes on (local) government.
by House Blend
Fri Jul 04, 2014 9:04 am
 
Forum: Personal Consumer Issues
Topic: Continue subscribing to local newspaper?
Replies: 86
Views: 6362

Re: POLL: What is your weighted average duration in FI?

However, I would say that the TIAA traditional annuity variants which require 10-year payouts actually have a 4.5-year duration. Your reported dollar balance has no interest-rate risk, but the dollars you can actually take out of the account do have this risk. If you withdraw $100,000, you are actu...
by House Blend
Thu Jul 03, 2014 10:52 pm
 
Forum: Investing - Help with Personal Investments
Topic: POLL: What is your weighted average duration in FI?
Replies: 16
Views: 1021

Re: investing/personal finance as competitive sport

This is a male disease.

IMO the essence of maleness is that you can't tell if you are happy unless there is a way to keep score.
by House Blend
Tue Jul 01, 2014 10:21 pm
 
Forum: Personal Finance (Not Investing)
Topic: investing/personal finance as competitive sport
Replies: 17
Views: 1427

Re: ROTH - Convert or Not

In your case, I think the main reason not to Roth convert is that there is not much point in pre-paying income tax on money that is destined for charity. (And it does look like pensions+SS+taxable account could cover your living expenses for the rest of your life.) If at age 70.5, you have a huge RM...
by House Blend
Fri Jun 27, 2014 11:16 am
 
Forum: Investing - Help with Personal Investments
Topic: ROTH - Convert or Not
Replies: 6
Views: 494

Re: Help with 85 y.o. parents' retirement portfolio

Here's my question. I'm downloading all the files before my SEP IRA account closes at the place that used to have my money (I moved mine to Vanguard, after reading all the advice here). I found a link to "realized gains/losses," from 2002 to date. It's showing short-term "realized ga...
by House Blend
Fri Jun 27, 2014 10:42 am
 
Forum: Investing - Help with Personal Investments
Topic: Help with 85 y.o. parents' retirement portfolio
Replies: 53
Views: 4856

Re: Article: Conversation with John Bogle

Liked this quote Indexing may be boring, but do me a favor: Never open one of your 401(k) statements from the day you start work to the day you retire, 40 or 50 years later. When you open that last statement, never having looked at it along the way, you are not going to believe how huge it is. You ...
by House Blend
Thu Jun 26, 2014 12:46 pm
 
Forum: Investing - Theory, News & General
Topic: Article: Conversation with John Bogle
Replies: 15
Views: 1916

Re: Tax Bracket Management at 15%/25% Boundary

^Maybe.

But when harvesting gains, you aren't actually reducing any current taxes. You are (optimistically) reducing future capital gains. If those future gains are subject to a 0% LTCG rate, or are erased when your heirs receive the step-up in basis, you haven't accomplished anything at all.
by House Blend
Mon Jun 23, 2014 7:43 am
 
Forum: Personal Finance (Not Investing)
Topic: Tax Bracket Management at 15%/25% Boundary
Replies: 33
Views: 3319

Re: [Poll] How many brokerage firms do you use for investing

TIAA-CREF has a brokerage, TIAA-CREF Brokerage Services, but I don't think your 403(b) uses it. https://www.tiaa-cref.org/public/products-services/brokerage-services FWIW, I think T-C has been expanding its brokerage services into their DC plans (401(a), 403(b), 457(b)). With absolutely zero fanfar...
by House Blend
Sun Jun 22, 2014 10:08 pm
 
Forum: Investing - Theory, News & General
Topic: [Poll] How many brokerage firms do you use for investing?
Replies: 43
Views: 2066

Re: Tax Bracket Management at 15%/25% Boundary

^Yes, looks like a typo to me. Maybe a cut-and-paste job from the 2013 numbers.

I think column 1 should be $62,500.
by House Blend
Sun Jun 22, 2014 9:24 pm
 
Forum: Personal Finance (Not Investing)
Topic: Tax Bracket Management at 15%/25% Boundary
Replies: 33
Views: 3319

Re: Best Fixed Income Investment - Morningstar article

Plenty of stable value funds are paying more than 2.2%, so I don't agree with the headline.

In any case, I wouldn't touch CDs unless I had room for them in an IRA.
by House Blend
Fri Jun 20, 2014 5:26 pm
 
Forum: Investing - Theory, News & General
Topic: [Morningstar article] the best fixed income investment
Replies: 55
Views: 3909

Re: best way to compare your investment ROR to a benchmark?

On the same spreadsheet, you could maintain a phantom portfolio consisting of a single LS or TR fund. Each time there is a flow into or out of your "real" portfolio, you would also make the same dollar purchase or sale from your phantom portfolo. Rebalancing moves on your real portfolio wo...
by House Blend
Fri Jun 20, 2014 11:05 am
 
Forum: Investing - Help with Personal Investments
Topic: best way to compare your investment ROR to a benchmark?
Replies: 2
Views: 222

Re: [Poll] Did you tax loss harvest in the past?

Probably 5 or 6 times. Plus a few other occasions where I was killing two birds with one stone, and TLH was the second bird. One example: moving assets to Vanguard in the mid 2000s, when I wasn't completely recovered from the '00-'02 crash. Exiting resulted in a small loss to claim on my taxes. One ...
by House Blend
Thu Jun 19, 2014 1:52 pm
 
Forum: Investing - Theory, News & General
Topic: [Poll] Did you tax loss harvest in the past?
Replies: 17
Views: 948

Re: How do I calculate my capital gains tax?

When I look at my account online, there is a column that says "Cost basis: $97,000." Is this the cost basis I would use to calculate my capital gains? The account is worth about $112,000. So would my capital gains be $112,000 - $97,000 = $15,000? I doubt it can be that simple. Yes, it can...
by House Blend
Thu Jun 19, 2014 12:38 pm
 
Forum: Investing - Theory, News & General
Topic: How do I calculate my capital gains tax?
Replies: 7
Views: 664

Re: [Poll] Do you use automatic investment?

No. I invest whatever cash is leftover each month. I use it to buy whatever asset is most underweight at that moment. This month, two rather large dividend distributions will be part of the bundle of leftover cash. Some other month, property tax or income tax might be due. Too much variability on bo...
by House Blend
Thu Jun 19, 2014 11:07 am
 
Forum: Investing - Theory, News & General
Topic: [Poll] Do you use automatic investment?
Replies: 30
Views: 1244

Re: Tax Bracket Management at 15%/25% Boundary

^Yes, this is counter-intuitive and pops up every few months. Here is a long recent thread in which Kevin M rediscovered it... http://www.bogleheads.org/forum/viewtopic.php?f=2&t=132597 I'll try to be brief. The cutoff between 15% and 25% for MFJ in 2014 is a taxable income of $73,800. Say you h...
by House Blend
Wed Jun 18, 2014 6:17 pm
 
Forum: Personal Finance (Not Investing)
Topic: Tax Bracket Management at 15%/25% Boundary
Replies: 33
Views: 3319

Re: How compelling is the TIAA Real Estate fund?

I apologize in advance for beating my drum once again on the topic of Traditional in an RA. With that disclaimer out of the way, don't make Trad/RA 100% of your fixed income allocation, unless your rebalancing strategy is to never rebalance from fixed income to equity. Combine it with Traditional i...
by House Blend
Wed Jun 18, 2014 10:52 am
 
Forum: Investing - Help with Personal Investments
Topic: How compelling is the TIAA Real Estate fund?
Replies: 85
Views: 4571

Re: Tax Bracket Management at 15%/25% Boundary

Welcome to the forum. (Interesting that your first post comes two years after joining.) IMO there are too many variables involved to give good advice, or even determine whether Peter Foley's comment is relevant for you. The key variables include: expected/desired annual spending in retirement, size ...
by House Blend
Wed Jun 18, 2014 10:22 am
 
Forum: Personal Finance (Not Investing)
Topic: Tax Bracket Management at 15%/25% Boundary
Replies: 33
Views: 3319
Next

Return to advanced search