Search found 1851 matches

by MathWizard
Fri Aug 28, 2015 5:38 pm
Forum: Investing - Help with Personal Investments
Topic: If stocks dropped 30% next Monday, would you rebalance?
Replies: 84
Views: 3685

Re: If stocks dropped 30% next Monday, would you rebalance?

I generally don't move that quickly. If the went down 30% and stayed down 30%, then yes rebalance. If I move quickly, I get caught by the whipsaw. I prefer to move more slowly. Yes, I lost an opportunity if the market goes down one day and comes back the next, but moving that quickly feels like day-...
by MathWizard
Fri Aug 28, 2015 12:38 pm
Forum: Personal Consumer Issues
Topic: Lawn Mower Repair
Replies: 29
Views: 1268

Re: Lawn Mower Repair

I've had no problems with this, and just buy cheap gas lawnmowers from Lowes. I have a second-hand electric that I paid $200 for which does the job if I don't let the grass get too high or the let the blade get dull. Walmart has some new 40 and 80V Lithium ION electrics that would probably do a much...
by MathWizard
Fri Aug 28, 2015 12:28 pm
Forum: Investing - Theory, News & General
Topic: Can the market go up forever?
Replies: 56
Views: 3372

Re: Can the market go up forever?

Yes, it can go on long past when we are all gone. Why do you limit this to "this world"? If you are looking at forever (limit of growth as time goes to infinity), then assume that we will advance in our sphere of influence. The universe is a big place, it will take a long time to run out o...
by MathWizard
Thu Aug 27, 2015 12:53 pm
Forum: Personal Finance (Not Investing)
Topic: Joint finances and cash management
Replies: 38
Views: 2305

Re: Joint finances and cash management

Joint accounts.
Before we had CCs, she used the checkbook, and
I used cash, not that we had much to spend.

Now she prefers CCs and a small amount of cash, I'm mostly cash
other than when traveling or for large expenses.
by MathWizard
Wed Aug 26, 2015 1:47 pm
Forum: Investing - Help with Personal Investments
Topic: Dipping into the emergency fund for rebalancing purposes during market downturns?
Replies: 29
Views: 2345

Re: Dipping into the emergency fund for rebalancing purposes during market downturns?

I don't do this, I rebalance within the current portfolio. Any money not already in the market was not there for good reasons. Movements in the stock market do not change that reasoning. If I changed the EF at all, I would beef up the EF by spending less on discretionary items (did that in 2008/9). ...
by MathWizard
Tue Aug 25, 2015 12:59 pm
Forum: Investing - Theory, News & General
Topic: "The Rule of 20" equity valuation methodology
Replies: 16
Views: 2200

Re: "The Rule of 20" equity valuation methodology

I don't use the PE ratio for buying selling, but do for assessing the "real value" behind the equities in my portfolio. I would feel much more comfortable retiring with $1MM and a PE of 10 than $1MM and a PE of 20. I plan on estimating the real value of the portfolio of about the historica...
by MathWizard
Tue Aug 25, 2015 12:55 pm
Forum: Investing - Theory, News & General
Topic: Who's selling now?
Replies: 63
Views: 6457

Re: Who's selling now?

If someone is buying, someone else is selling. They may be selling because they need to eat, or
pay for a wedding, ...

I'm not planning on never selling stocks, I want to retire sometime.
by MathWizard
Tue Aug 25, 2015 12:51 pm
Forum: Investing - Help with Personal Investments
Topic: Do you count cash towards your portfolio asset allocation?
Replies: 34
Views: 1827

Re: Do you count cash towards your portfolio asset allocation?

No, I don't include the cash equivalents (savings/CDs) that form my first tier EF as part of my AA. Per your loans: I think of the payments (of principal) as improving my net worth, so in that sense they are "savings" (instead of adding a positive, I am subtracting a negative). This may be...
by MathWizard
Tue Aug 25, 2015 12:25 pm
Forum: Investing - Theory, News & General
Topic: Can anyone help me understand China
Replies: 31
Views: 3664

Re: Can anyone help me understand China

The economy in China is changing from communist to capitalist. That is a big transition, and the size of its economy means the effects are felt world-wide. In chaos there is opportunity, both for advancement and decline. I'm too conservative to invest directly. The effects it has on the US market ar...
by MathWizard
Mon Aug 24, 2015 10:59 am
Forum: Personal Consumer Issues
Topic: will wifi android 'phone' work for Google Hangouts Dialer?
Replies: 10
Views: 558

Re: will wifi android 'phone' work for Google Hangouts Dialer?

I've used my cheap android phone with Skype.
by MathWizard
Mon Aug 24, 2015 9:43 am
Forum: Investing - Theory, News & General
Topic: The Bogleheads' Silent Majority
Replies: 188
Views: 13790

Re: The Bogleheads' Silent Majority

... As of earlier this morning (8/24/2015) we had 44,632 registered members. Of those, a total of 27,340 had 5 or less posts, including 10,332 members with a total of "zero" posts--over 20 percent of forum members with zero posts, that's a lot of zeros. Is this quiet group doing much bett...
by MathWizard
Tue Aug 18, 2015 7:44 pm
Forum: Personal Finance (Not Investing)
Topic: Reading for Inspiration
Replies: 4
Views: 436

Re: Reading for Inspiration

Inspiration is often short-lived. To stay disciplined, you need to have a plan that you can follow day in and day out. I find the easiest is payroll deduction. If I had to decide each time to invest vs. spend, I'd never make it. If I never have it in my hands to spend, it is so much easier. (Kind of...
by MathWizard
Mon Aug 17, 2015 1:28 pm
Forum: Personal Finance (Not Investing)
Topic: Behavioral Interview for Leadership Posistion
Replies: 32
Views: 3589

Re: Behavioral Interview for Leadership Posistion

You have to turn the tables early and disarm them with the only possible question: YOU: "If you're flying through space in a spaceship at the speed of light and you turn your headlights on...what happens"? INTERVIEWER: "...I don't know" YOU: "...and you want ME to work for ...
by MathWizard
Mon Aug 17, 2015 11:51 am
Forum: Investing - Help with Personal Investments
Topic: New Employer doesn't offer 401k: Alternatives?
Replies: 3
Views: 462

Re: New Employer doesn't offer 401k: Alternatives?

Clearly you have IRAs both for you and your spouse. If you sue a ROTH you are effectively putting ore money away, since a tax deferred IRA will be less the income taxes you will owe on it. I'm not advising these, just possibilities: You could pick a diversified array of stocks to hold. You don't pay...
by MathWizard
Sun Aug 16, 2015 12:27 pm
Forum: Investing - Help with Personal Investments
Topic: Question about CDs - right for emergency fund
Replies: 9
Views: 1117

Re: Question about CDs - right for emergency fund

CDs are a fine place to keep Emerg. Funds. Don't put the stuff you know you will need in them, but funds you might need, are OK to go in there. I try to stay with 3 months Early Withdrawal Penalty. When I did this, I cut it up into 5 CD's of varying sizes rather than single one, so I could take the ...
by MathWizard
Sun Aug 16, 2015 12:19 pm
Forum: Investing - Theory, News & General
Topic: The price of equities
Replies: 11
Views: 1149

Re: The price of equities

In the long term the price of a stock solely depends on the value of its assets, it's profit margin, and expected profits. If a company makes a profit, its assets increase. If a company continues to sell a product that makes the company profit, doesn't the stock price continue to rise as assets in ...
by MathWizard
Sun Aug 16, 2015 12:01 pm
Forum: Personal Consumer Issues
Topic: Cell Phone Reception
Replies: 34
Views: 2308

Re: Cell Phone Reception

Verizon with CDMA has the best coverage I've seen. We get CDMA phones running off Verizon towers, and have only had problems in
mountains and valleys in sparsely populated portions of the country.
by MathWizard
Fri Aug 14, 2015 9:57 pm
Forum: Investing - Help with Personal Investments
Topic: College savings
Replies: 40
Views: 2133

Re: College savings

... So my plan is to save some (up to 100k for all 3 kids) and in 10 years when its college time, save less for retirement and pay the tuitions with our salary. Disclaimer: yes, I plan on paying my kids college education, plus, in 10-12 years, when its college time, my retirement goals will likely ...
by MathWizard
Fri Aug 14, 2015 4:44 pm
Forum: Personal Finance (Not Investing)
Topic: Why Roth over Deductible Trad IRA?
Replies: 21
Views: 2099

Re: Why Roth over Deductible Trad IRA?

I will admit that I read the Financial Samurai blog's take on going Traditional IRA (http://www.financialsamurai.com/disadvantages-of-the-roth-ira-not-all-is-what-it-seems/, among other posts). He's certainly "persuasive" but I want to consider the other side of the coin. If the limitatio...
by MathWizard
Thu Aug 13, 2015 7:18 am
Forum: Investing - Help with Personal Investments
Topic: How long does money need to be in a 529?
Replies: 8
Views: 1111

Re: How long does money need to be in a 529?

I think this is OK , but you should be able to
use the lifetime learning credit unless your
income is too high or you file MFS.
by MathWizard
Wed Aug 12, 2015 5:11 pm
Forum: Investing - Help with Personal Investments
Topic: Is it too late for a Roth?
Replies: 5
Views: 1027

Re: Is it too late for a Roth?

I plan to do ROTH conversions filling up the 15% tax bracket when I retire, up until age 70 when I will take SS and that year I will have my first RMD. Beyond age 70, ROTH conversion would make more of my SS income taxable, which would probably make the conversion be the ore expensive option. Having...
by MathWizard
Wed Aug 12, 2015 9:14 am
Forum: Personal Finance (Not Investing)
Topic: How much is too much?
Replies: 42
Views: 5339

Re: How much is too much?

Much has to do with how close you are to being Financially independent. I'm estimating we'll have almost double our (non-luxury) projected spending if I retire at 67, but we are not yet Financially Independent. Of course, I am currently only saving 1/3 of my income. That will go up once we finish of...
by MathWizard
Tue Aug 11, 2015 4:34 pm
Forum: Investing - Theory, News & General
Topic: Could it be rational to have different risk tolerances based on PE?
Replies: 6
Views: 386

Re: Could it be rational to have different risk tolerances based on PE?

This still seems like market timing to me.

PE ratios change when recessions hit. (The earnings drop faster than stock price, so P/E goes up.)
Are you going to change your AA when a recession hits?
It seems like that would be selling low.
by MathWizard
Tue Aug 11, 2015 4:31 pm
Forum: Personal Finance (Not Investing)
Topic: Flex Spending, need to spend money, can I buy medicine and donate?
Replies: 11
Views: 982

Re: Flex Spending, need to spend money, can I buy medicine and donate?

I doubt it. It used to be that you could spend on non-prescription medicine, but that changed (probably in 2008/9). Now you need to spend on prescriptions, and these are not be used by another person (legal issue). If you have prescriptions that are soon to be filled, do it now if you can. How about...
by MathWizard
Tue Aug 11, 2015 2:57 pm
Forum: Personal Finance (Not Investing)
Topic: Your First Job
Replies: 113
Views: 6237

Re: Your First Job

Gas station attendant (pump-jockey) back when there were still full service stations.

Then Construction

Then truck driver.
by MathWizard
Tue Aug 11, 2015 2:55 pm
Forum: Personal Finance (Not Investing)
Topic: NY Times column (Frank Bruni): "A Prudent College Path"
Replies: 7
Views: 1540

Re: NY Times column (Frank Bruni): "A Prudent College Path"

My son would not even apply to the Ivies. He enjoys the state school much more without the intense competition, and has time to pursue opportunities. I couldn't afford an Ivy, and like him, went to the top state school instead. Both of us were Nat'l Merit Finalists. There are only so many spots at t...
by MathWizard
Tue Aug 11, 2015 2:30 pm
Forum: Investing - Help with Personal Investments
Topic: First job investing advice
Replies: 7
Views: 402

Re: First job investing advice

A good place to start is: https://www.bogleheads.org/wiki/Bogleheads%C2%AE_personal_finance_planning_start-up_kit In the Emergency Fund link, there is a section on a multi-tier EF, which I and many others use. I keep anywhere from $5K to $30K in my first tier EF, and put the rest in a ROTH. Even if ...
by MathWizard
Tue Aug 11, 2015 12:41 pm
Forum: Personal Consumer Issues
Topic: Anyone not own a Smartphone
Replies: 76
Views: 3908

Re: Anyone not own a Smartphone

Knowing where the traffic jams are. Knowing if it's worth trying to side-road your way out of a traffic jam or if it's better to just stick it out. Having a constantly-updated ETA. Knowing what restaurants, hotels, gas stations are at the next exit and whether it's worth stopping or hitting the exi...
by MathWizard
Tue Aug 11, 2015 12:04 pm
Forum: Personal Consumer Issues
Topic: Anyone not own a Smartphone
Replies: 76
Views: 3908

Re: Anyone not own a Smartphone

Does anyone not own a smartphone? Although I am in IT I refuse to purchase a smartphone and pay for the data plan. I don't allow my life to be ruled by social media, "apps" or anything along those lines. I've got better things to do with my time and money. Has anyone experienced stigma or...
by MathWizard
Sat Aug 08, 2015 4:20 pm
Forum: Personal Consumer Issues
Topic: Prepaid Cell Plan USA
Replies: 30
Views: 2689

Re: Prepaid Cell Plan USA

Tracfone optimus dynamic II smartphone (uses CDMA), triple minutes smartphone, I use mostly wireless data and can use Skype when on wireless. Had that phone on the HSN deal (same price as QVC) for 8 months and the phone broke. Instead of having it fixed under warranty, I got the LG Power from ShopC...
by MathWizard
Sat Aug 08, 2015 4:18 pm
Forum: Investing - Theory, News & General
Topic: Bloomberg: Look How Much Your Peers Are Saving for Retirement
Replies: 10
Views: 2711

Re: Bloomberg: Look How Much Your Peers Are Saving for Retirement

My 403b did not have this, but I looked up this information from census and other sites, so I guess that I would have used it. Since I started looking, my percentile ranking for wealth has been higher than my percentile ranking for my income, which either says I'm a better investor or save more. I s...
by MathWizard
Thu Aug 06, 2015 10:25 am
Forum: Investing - Theory, News & General
Topic: How to invest if you start with delay?
Replies: 16
Views: 2045

Re: How to invest if you start with delay?

One approach to take is to match expected retirement with current expenditures. If you make $100K after taxes, and spend $100K saving none for retirement, you will have a very hard time in retirement living soley on SS. If saving/investing $40K of that $100K will allow to to project $60K/yr. of reti...
by MathWizard
Mon Aug 03, 2015 11:12 pm
Forum: Personal Consumer Issues
Topic: Seniors must have items
Replies: 17
Views: 2403

Re: Seniors must have items

A laptop with Skype so you can video chat at other times?

Set up a Skype account if he already has a computer and internet access.

Disclaimer: I'm probably too young to qualify as a senior.
by MathWizard
Mon Aug 03, 2015 10:59 pm
Forum: Investing - Theory, News & General
Topic: Retiring in 10 years
Replies: 24
Views: 2603

Re: Retiring in 10 years

If she has waited until age 57 to start thinking about retirement, I might suggest staying away from giving too much advice. I would just say, "this is what I am doing to maximize my chances of retirement, you may need to do something different because your circumstances are different. I based ...
by MathWizard
Mon Aug 03, 2015 5:13 pm
Forum: Investing - Help with Personal Investments
Topic: Parents and Roth Contributions
Replies: 9
Views: 460

Re: Parents and Roth Contributions

I think that there is a problem in communication. The I in IRAs stands for individual, so I see no way her parents could have set up an IRA for her unless they have Power of Attorney for her. Hopefully they did not impersonate her and forge her signature. If they did, even though they may have had t...
by MathWizard
Sat Aug 01, 2015 11:08 pm
Forum: Personal Consumer Issues
Topic: Prepaid Cell Plan USA
Replies: 30
Views: 2689

Re: Prepaid Cell Plan USA

Tracfone optimus dynamic II smartphone (uses CDMA), triple minutes smartphone, I use mostly wireless data and can use Skype when on wireless. For $129 for the phone from walmart, and $129/year, I get 400 min,400texts/400MB data/year tripled, so really 1200 min/1200texts/1200MB data/year, so 100/100/...
by MathWizard
Sat Aug 01, 2015 12:01 am
Forum: Investing - Help with Personal Investments
Topic: gift for children 1 1/2 years old and 3 years old
Replies: 10
Views: 643

Re: gift for children 1 1/2 years old and 3 years old

I'd be worried about investing in child's name, since they will control to at age 18.

At that age, I bought toys that helped my kids learn, Legos/Duplos ... and a subscription to ZooBooks that I would
read to them. It seemed like a better investment.
by MathWizard
Fri Jul 31, 2015 11:46 pm
Forum: Personal Finance (Not Investing)
Topic: Who are you able to share good financial news with?
Replies: 103
Views: 8464

Re: Who are you able to share good financial news with?

Just got a promotion and substantial raise.

Let spouse,kids and one in-law couple know about promotion (they are wealthier than us, and recently retired.)

Only spouse knows what raise was.

People at work know about the promotion, of course.
by MathWizard
Fri Jul 31, 2015 7:53 pm
Forum: Personal Finance (Not Investing)
Topic: Protecting a young adult from his money?
Replies: 27
Views: 3547

Re: Protecting a young adult from his money?

Not a lot you can do. My wife and I made our wills so that the boys did not get the insurance money at 18 if we died. We had it put into a trust with the trustee paying College and living expenses. The kids got half the balance at 25 and 30. I was afraid of what that much money would do to them at t...
by MathWizard
Fri Jul 31, 2015 7:45 pm
Forum: Personal Finance (Not Investing)
Topic: Wait... What? [IRA and taxation]
Replies: 42
Views: 5244

Re: Wait... What? [IRA and taxation]

Op,

I am more concerned about RMDs for tax deferred accounts. You are aware of those correct?
by MathWizard
Thu Jul 30, 2015 10:35 pm
Forum: Local Chapters and Bogleheads Community
Topic: bogleheadism == Vanguard?
Replies: 66
Views: 4965

Re: bogleheadism == Vanguard?

I don't think Vanguard gets that much mention. I don't read every post, but the overwhelming number of posts have little to do with Vanguard. Heck, I'd say that Warren Buffet, Dave Ramsey and TIAA-CREF get more more mention in this forum than Vanguard does, but maybe I just notice those references ...
by MathWizard
Thu Jul 30, 2015 10:23 pm
Forum: Local Chapters and Bogleheads Community
Topic: bogleheadism == Vanguard?
Replies: 66
Views: 4965

Re: bogleheadism == Vanguard?

I don't think Vanguard gets that much mention. I don't read every post, but the overwhelming number of posts have little to do with Vanguard. Heck, I'd say that Warren Buffet, Dave Ramsey and TIAA-CREF get more more mention in this forum than Vanguard does, but maybe I just notice those references m...
by MathWizard
Thu Jul 30, 2015 10:11 pm
Forum: Investing - Theory, News & General
Topic: Can I be a Boglehead and a UAW?? [Under Accumulator of Wealth]
Replies: 27
Views: 2566

Re: Can I be a Boglehead and a UAW??

Your analysis is exactly correct, even more so in that it is not that there are some exceptional cases where it is not true, in general it is a lousy calculation except for some crafted circumstances that the author contrives. Your case is just one of many where the formula actually suggest the oppo...
by MathWizard
Thu Jul 30, 2015 10:02 pm
Forum: Investing - Theory, News & General
Topic: Saving for College vs. Saving for Retirement: Why the Conventional Wisdom Is Wrong
Replies: 31
Views: 3006

Re: Saving for College vs. Saving for Retirement: Why the Conventional Wisdom Is Wrong

The one scenario he wrote about was parents saving $1,000 in a retirement plan for 40 years. They would borrow to pay for college instead of during the college years stop contributing to the retirement plans and just pay out of cash flow. +1 Exactly what I was thinking, because that is exactly what...
by MathWizard
Thu Jul 30, 2015 8:50 pm
Forum: Personal Finance (Not Investing)
Topic: Does % of students from low income households factor when you pick schools for kids?
Replies: 39
Views: 2654

Re: Does % of students from low income households factor when you pick schools for kids?

My exposure to schools is as a community volunteer teaching economics to 5th graders over the past 7 years. The schools are >40% low income. The issues this creates through no fault of the student include poor nutrition leading to inattentive behavior, little time spent on class work at home becaus...
by MathWizard
Thu Jul 30, 2015 8:36 pm
Forum: Personal Consumer Issues
Topic: Router Upgrade
Replies: 42
Views: 2878

Re: Router Upgrade

My Cisco Linksys E1000 wireless N router works great, and is about $90 on Newegg.com Two Hidef Netflix streams plus web access in the house at the same time, and no problem. We only have 13 Mbit internet access, so wireless N speed isn't even needed to do that. I'm used to gigabit speeds at work, an...
by MathWizard
Thu Jul 30, 2015 12:45 pm
Forum: Investing - Theory, News & General
Topic: Are equities really as risky as anyone thinks?
Replies: 271
Views: 14090

Re: Are equities really as risky as anyone thinks?

...The thing is there is a reversion to the mean in stock returns so bad years tend to be followed by good years and vice versa... The elephant in that room is: Pastor, Lubos and Stambaugh, Robert F., Are Stocks Really Less Volatile in the Long Run? (March 22, 2011). Are Stocks Really Less Volatile...
by MathWizard
Thu Jul 30, 2015 12:24 pm
Forum: Personal Finance (Not Investing)
Topic: Does % of students from low income households factor when you pick schools for kids?
Replies: 39
Views: 2654

Re: Does % of students from low income households factor when you pick schools for kids?

This was not a factor for me. I picked a school for what it is supposed to do, that is teach kids academics. Your kids are going to be much more successful with good academics. If you want to teach social values, do that through other groups, church, boy/girl scouts, boys/girls club, 4-H, etc.
by MathWizard
Wed Jul 29, 2015 12:15 pm
Forum: Investing - Theory, News & General
Topic: Are equities really as risky as anyone thinks?
Replies: 271
Views: 14090

Re: Are equities really as risky as anyone thinks?

I believe the OP has a point that the risk of equities seems overstated on this board. If you have enough money, you can invest in stable but poorly performing financial instruments. Risks should be balanced to both 1) what the investor can stomach (often only seen in retrospect) and in 2) what the ...
by MathWizard
Tue Jul 28, 2015 2:30 pm
Forum: Personal Finance (Not Investing)
Topic: Just Got Financially Independent
Replies: 32
Views: 3087

Re: Just Got Financially Independent

Congrats!

I agree that this is one of the few places for this kind of announcement other than perhaps
with your children.

We are all on the way to Fin Ind. , it is just a matter of time.

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