Search found 2149 matches

Return to advanced search

Re: Fidelity Charitable Fund Questions

My wife and I have been using the Schwab version DFA for the past couple years. For us it has worked very well. The same index funds we use in taxable are available in the DFA so we are donating shares, rebuying the same shares in the DFA and essentially transferring the risk to the DFA.
by Peter Foley
Wed Jul 30, 2014 5:07 pm
 
Forum: Investing - Help with Personal Investments
Topic: Fidelity Charitable Fund Questions
Replies: 18
Views: 598

Re: I don't think I can afford to die in Pennsylvania

If you are thinking about spending your IRA's first or converting them to Roths, don't be penny wise and pound foolish. Why pay a 15% or 25% federal income tax +state income tax now to avoid your heirs having to pay 15% estate tax later.
by Peter Foley
Wed Jul 30, 2014 10:22 am
 
Forum: Personal Finance (Not Investing)
Topic: I don't think I can afford to die in Pennsylvania
Replies: 34
Views: 2620

Re: Reallocation

If you are trying to approximate the total stock market fund, it is not necessary to do it entirely within your 401k. Put the small cap that you are missing in your Roth. The first thing I would do, however, would be to put my Roth in low cost Vanguard funds. Start your portfolio design with your 40...
by Peter Foley
Tue Jul 29, 2014 11:55 pm
 
Forum: Investing - Help with Personal Investments
Topic: Reallocation
Replies: 4
Views: 411

Re: RETIREMENT ALLOCATIONS

I have not looked up any of the symbols you posted - I trust that others have (or know them by heart). You have plenty of assets to make this work and your diversification plan of 60/40 is a little aggressive but fine. Have you thought about how to maximize the spendable income that you will have du...
by Peter Foley
Tue Jul 29, 2014 3:28 pm
 
Forum: Investing - Help with Personal Investments
Topic: Retirement Allocations
Replies: 15
Views: 1141

Re: Help with preretirement investment Allocations

My point of departure will be retiredjg's recommendations. (I like reading his posting because we are usually on the same page - hopefully we are both right.) His recommendations for your 457 account are the same as mine would be. From his list I would not choose the target retirement fund. A Target...
by Peter Foley
Tue Jul 29, 2014 2:55 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help with preretirement investment Allocations
Replies: 6
Views: 636

Re: Help with preretirement investment Allocations

Welcome to the forum. With the information you have provided I can tell that you are generally headed in the right direction. If you were to post the expense ratios of the funds you listed that would be most helpful in terms of providing advice. If it is not too much of a chore, listing the expense ...
by Peter Foley
Mon Jul 28, 2014 9:28 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help with preretirement investment Allocations
Replies: 6
Views: 636

Re: Does severance pay reduce or relace unemployment benefit

As is typical with unemployment insurance, the comments are all over the map. There are some general provisions that are the same in all states. Within the UI program these are referred to as conformity provisions. All states must have laws that conform to Federal law for that state to receive a red...
by Peter Foley
Mon Jul 28, 2014 9:01 pm
 
Forum: Personal Finance (Not Investing)
Topic: Does severance pay reduce or relace unemployment benefits?
Replies: 52
Views: 2968

Re: 36 percent decline in net worth

Just a guess . . . Those in the median net worth group had most of their net worth in housing. They did not benefit much from the stock market recovery. Prices in real estate continued to fall in our area into late 2011, early 2012.
by Peter Foley
Sun Jul 27, 2014 11:53 pm
 
Forum: Investing - Theory, News & General
Topic: 36 percent decline in net worth
Replies: 38
Views: 5839

Re: Help with portfolio, cash heavy

A couple thoughts: You are sitting on a lot of cash, some of which you have been hesitant to invest for about 6 years. Do you believe your risk tolerance would merit investing the Roth and taxable cash in stock mutual funds? Your TSP would be a good place to hold non equities (bonds and the G fund)....
by Peter Foley
Thu Jul 24, 2014 10:32 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help with portfolio, cash heavy
Replies: 3
Views: 451

Re: Prioritizing Finances

I agree with the approach Student Loan, then mortgage to eliminate PMI. Since you seem to be taking this approach, you can be a little more aggressive in your 401k plans (maybe as high as 80/20) if you feel you have the risk tolerance.
by Peter Foley
Thu Jul 24, 2014 3:32 pm
 
Forum: Personal Finance (Not Investing)
Topic: Prioritizing Finances
Replies: 5
Views: 748

Re: Seeking sample retirement portfolios

Here is a handout I've used at Bogleheads" meetings. Most of the information comes from the BH Wiki. Asset Allocation – from simple to complex Passive (Many of these are 3 fund portfolios – some Target Retirement funds are 4 funds (3 funds plus International Bonds) Target Date Retirement funds ...
by Peter Foley
Thu Jul 24, 2014 3:21 pm
 
Forum: Investing - Help with Personal Investments
Topic: Seeking sample retirement portfolios
Replies: 13
Views: 1323

Re: Conservative Assumptions For Retirement Calculators

I built my own withdrawal spreadsheet/calculator. I used 4% for cost of living increase, 3% for SS annual increase, and 4% for investment return. I felt this was a conservative approach because I was estimating cost of living and investment returns to be the same with SS slipping a bit behind. I'm r...
by Peter Foley
Thu Jul 24, 2014 3:13 pm
 
Forum: Investing - Help with Personal Investments
Topic: Conservative Assumptions For Retirement Calculators
Replies: 13
Views: 1283

Re: Here's another "where should I retire" thread

Minnesota and Wisconsin have a lot of lake with reasonably priced homes. I would not recommend Minnesota for residency, however, as it has a low threshold for inheritance taxes. If choosing one of these states it would almost require a second house in a more moderate climate.
by Peter Foley
Thu Jul 24, 2014 12:42 pm
 
Forum: Personal Consumer Issues
Topic: Here's another "where should I retire" thread
Replies: 104
Views: 6132

Re: Geneological research for unclaimed property

There are 20+ LDS Family History Centers in New Mexico. They have free access to Ancestry.com. In addition they typically have some local resources on microfilm as patrons donate microfilms and microfische when they are finished with them. My experience has been that the coordinators of these sites ...
by Peter Foley
Thu Jul 24, 2014 12:29 pm
 
Forum: Personal Consumer Issues
Topic: Geneological research for unclaimed property
Replies: 74
Views: 3237

Re: Primer on slice and dice alternatives to total bond mark

My first choice to slice and dice in one's non equity's portfolio would be to add some inflation protection or stable value (if available). If I-bonds were sufficient diversification I would go that route alone. After I-bonds I would add TIPS. My thought is not to add risk, rather to protect non equ...
by Peter Foley
Thu Jul 24, 2014 12:12 pm
 
Forum: Investing - Theory, News & General
Topic: Primer on slice and dice alternatives to total bond market?
Replies: 8
Views: 587

Re: Please help settle an argument

I would vote "B" as well. There is a risk element in the return projected in A. If the loan rate were less than a CD or I-bond rate, then I would go the loan route.
by Peter Foley
Wed Jul 23, 2014 9:04 pm
 
Forum: Personal Finance (Not Investing)
Topic: Please help settle an argument
Replies: 23
Views: 1950

Re: Retirement Portfolio Proposal

If your parents are retired and have a defined pension, there is little need for an emergency fund of that size. I view an emergency fund as primarily protection against unemployment or a loss of income. This is not an issue for your parents. Are you sure they are in the 25% bracket? That is about $...
by Peter Foley
Wed Jul 23, 2014 9:00 pm
 
Forum: Investing - Help with Personal Investments
Topic: Retirement Portfolio Proposal
Replies: 23
Views: 2506

Re: Which Bernstein Book?

I too would recommend 4 Pillars. You need a bit of investing background to follow his arguments, but your other readings should be adequate preparation.
by Peter Foley
Tue Jul 22, 2014 10:46 pm
 
Forum: Personal Consumer Issues
Topic: Which Bernstein Book?
Replies: 27
Views: 1894

Re: Best Used Recreational Bicycles for New Riders

I work in a bike shop as a volunteer. We fix bikes to be given away and sell some bikes to support the not for profit business. The vast majority of the bikes we fix are adult mountain and road bikes. My suggestion is to find a reasonably good quality used mountain bike or hybrid. If you've not ridd...
by Peter Foley
Tue Jul 22, 2014 2:41 pm
 
Forum: Personal Consumer Issues
Topic: Best Used Recreational Bicycles for New Riders
Replies: 24
Views: 1739

Re: Slice and Dicers -- Plans when you can't manage it anymo

If I understand the studies (FAMA-FRENCH et. al.) that support a slice and dice approach, the difference between a 3-4 fund portfolio and a slice and dice portfolio are only a percentage point or so per year and add additional risk. The 1% additional return can make a big difference when compounded ...
by Peter Foley
Tue Jul 22, 2014 2:09 pm
 
Forum: Investing - Help with Personal Investments
Topic: Slice and Dicers -- Plans when you can't manage it anymore?
Replies: 38
Views: 2268

Re: Using retirement assets and inheritance wisely

Welcome to the forum. You did a nice job laying out the basics of your portfolio. You have done well with your saving and are well diversified. You seem to have opted for a Life Strategy fund approach as a basis for much of your portfolio. I would recommend simplifying what you have and putting new ...
by Peter Foley
Tue Jul 22, 2014 12:26 pm
 
Forum: Investing - Help with Personal Investments
Topic: Using retirement assets and inheritance wisely
Replies: 12
Views: 1765

Re: Stable Value Fund vs Total Bond Market

50% of my portfolio is fixed: Roughly 30% Stable Value, 15% I-bonds and TIPs, 5% Total bond market. I agree with the philosophy of taking one's risk on the equity side so I have favored Stable Value as a less risky approach to fixed. The majority of our assets are in deferred accounts where the yiel...
by Peter Foley
Mon Jul 21, 2014 11:23 pm
 
Forum: Investing - Theory, News & General
Topic: Stable Value Fund vs Total Bond Market
Replies: 27
Views: 2151

Re: Poll - Do you use Quicken?

No. I used MS Money for many years until Microsoft stopped supporting it. As I very rarely analysed any of the budget and spending data, I switched to an excel spreadsheet to track my portfolio.
by Peter Foley
Mon Jul 21, 2014 11:07 pm
 
Forum: Personal Finance (Not Investing)
Topic: Poll - Do you use Quicken?
Replies: 66
Views: 3291

Re: Portfolio Withdrawal 4% rate with Ceiling and Floor

There is a withdrawal strategy described on the Wiki that is a version of the ceiling and floor strategy you talk about. The ones I have read about are based on the Trinity Study. One use of a ceiling and floor approach is to not give oneself too big a raise when inflation is high. If one takes this...
by Peter Foley
Mon Jul 21, 2014 10:48 pm
 
Forum: Investing - Help with Personal Investments
Topic: Portfolio Withdrawal 4% rate with Ceiling and Floor
Replies: 8
Views: 988

Re: Do you "Tax Adjust" your Asset Allocation (Pre vs Roth,

While I keep a tab on my portfolio spreadsheet to estimate pretax versus Roth + Taxable, I do not use it to adjust my asset allocation. There are just too many factors involved - including potentially different rates for IRA withdrawals and long term capital gains - to make such an exercise precise ...
by Peter Foley
Mon Jul 21, 2014 8:33 pm
 
Forum: Investing - Theory, News & General
Topic: Do you "Tax Adjust" your Asset Allocation (Pre vs Roth, etc)
Replies: 77
Views: 3681

Re: With all these recent posts regarding tilts, should I?

I too would argue for low cost and simplification being the focus at this point in time. Right now your annual contributions are a big part of your investment portfolio. In a few years one would hope that the income you make from investments in your retirement portfolio exceeds your annual contribut...
by Peter Foley
Mon Jul 21, 2014 8:25 pm
 
Forum: Investing - Theory, News & General
Topic: With all these recent posts regarding tilts, should I?
Replies: 14
Views: 1019

Re: Ways to help daughter financially? (property, tax, and e

Is she in the 15% tax bracket? I'm thinking you might want to gift her appreciated shares of something and have her sell them and pay no capital gains. As I understand it you can gift more than $14,000 per year. You just have to report it and it counts against your estate value when it come to the e...
by Peter Foley
Wed Jul 16, 2014 10:08 pm
 
Forum: Personal Finance (Not Investing)
Topic: Ways to help daughter financially? (property, tax, and estat
Replies: 9
Views: 1194

Re: Tax-Conscious Retirement and Roth Conversion Calculator

lawman3966 I played around with i-orp.com a few days ago based on a comment make by lifesoft. I was a bit disappointed. It had me spending all of my taxable first and then making massive withdrawals from tax deferred accounts in early years. I tried to follow their logic by reviewing the tax rate we...
by Peter Foley
Tue Jul 15, 2014 3:57 pm
 
Forum: Investing - Theory, News & General
Topic: Tax-Conscious Retirement and Roth Conversion Calculator
Replies: 11
Views: 1255

Re: Question about managed account

Letitgrow - a general rule of investing is to not to have less than 5% of your portfolio in something. Less than 5% does not add much diversification and is too small to improve the return of an overall portfolio. What I have seen with my elderly in-laws actively managed account is investments sprea...
by Peter Foley
Mon Jul 14, 2014 10:32 pm
 
Forum: Investing - Help with Personal Investments
Topic: Question about managed account
Replies: 17
Views: 1359

Re: Help a guy with a pension and a 457 plan

Welcome to the forum. I think you have had a good run with your 1005 equities allocation and it is time to take some money off the table. I would choose a couple of the lowest cost stock funds for diversification there (S&P 500 + an International?) and a lower cost bond fund. Your suggestion of ...
by Peter Foley
Mon Jul 14, 2014 3:16 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help a guy with a pension and a 457 plan
Replies: 6
Views: 571

Re: Portfolio Review Please

A couple thoughts to to add to the other advice you are receiving. You've done well overall and are primarily invested in low cost funds. You are also fairly broadly diversified. You are holding more funds than you need to. There is no reason to hold the same fund in two places. It would be easier t...
by Peter Foley
Mon Jul 14, 2014 12:12 pm
 
Forum: Investing - Help with Personal Investments
Topic: Portfolio Review Please
Replies: 17
Views: 2519

Re: Thoughts on 100% stock allocation for 33 year old

ruralavalon wrote: My thought on 100% stock allocation for 33 year old: don't do it. Its easy to overestimate your risk tolerance before you have actually experienced a market melt-down, so be careful about this. I agree. In addition, as cmr86 stated bonds help temper the volatility by providing an ...
by Peter Foley
Sun Jul 13, 2014 6:52 pm
 
Forum: Investing - Help with Personal Investments
Topic: Thoughts on 100% stock allocation for 33 year old
Replies: 85
Views: 6205

Re: 401K Allocations 51 years old

Welcome to the forum. It would be helpful to know what the annual expenses were for each of these funds. Offhand - if your only savings are the 401k, you are a bit behind the eight ball. I would suggest an asset allocation of about 60% stock mutual funds and 40% non equities (bonds and stable value ...
by Peter Foley
Sat Jul 12, 2014 11:31 pm
 
Forum: Investing - Help with Personal Investments
Topic: 401K Allocations 51 years old
Replies: 7
Views: 1453

Re: How much do you spend on your hobby annually?

I have a few hobbies, none of which are particularly expensive: 1. Golf - about 10-12 times per year. Between $300-$400. (One box of balls lasts me a year +.) 2. Running - I pair of shoes per year = $100 3. Biking - Since I volunteer in a bike shop that does repairs and gives bikes away I have an en...
by Peter Foley
Sat Jul 12, 2014 11:17 pm
 
Forum: Personal Consumer Issues
Topic: How much do you spend on your hobby annually?
Replies: 77
Views: 7022

Re: america the beautiful national parks and lands pass

You don't need a National Parks pass for the Boundary Water Canoe area in Northeastern Minnesota, but you might need one for parts of Voyagers National Park in North Central Minnesota. Both are remote locations with back country camping. The BWCA is canoe only and a little more rustic than Voyagers....
by Peter Foley
Sat Jul 12, 2014 5:49 pm
 
Forum: Personal Consumer Issues
Topic: america the beautiful national parks and lands pass
Replies: 61
Views: 4068

Re: need guidance with 401k and taxable account

A couple general observations: In your taxable account try to hold US and International Stock mutual funds. Holding bonds, or balanced funds is not very tax efficient. You can use this account to fill in the gaps for the relatively poor offerings in your tax deferred accounts. In your tax deferred a...
by Peter Foley
Fri Jul 11, 2014 10:13 pm
 
Forum: Investing - Help with Personal Investments
Topic: need guidance with 401k and taxable account
Replies: 6
Views: 1181

Re: Abbreviations

+1 means I agree. It is generally frowned upon as a stand alone comment. Using shorthand is but one frustration, using stock and mutual fund symbols is a worse problem. (This includes writers that assume that readers understand the letter abbreviation for all the Federal Retirement funds in the fede...
by Peter Foley
Fri Jul 11, 2014 9:52 pm
 
Forum: Forum Issues and Administration
Topic: Abbreviations
Replies: 11
Views: 653

Re: Boglehead Rules Of Thumb To Investing?

I too reacted negatively to the "3 fund portfolio" as being a rule of thumb. I would prefer something along the lines of aiming for simplicity and ease of management. With many people having limited good options in their 401k/403b/457 accounts, a 3 fund portfolio just isn't an option. A si...
by Peter Foley
Fri Jul 11, 2014 9:44 pm
 
Forum: Investing - Help with Personal Investments
Topic: Boglehead Rules Of Thumb To Investing?
Replies: 23
Views: 3212

Re: What after-tax income could you live on today?

We own too much property so we could not live as frugally as some.
by Peter Foley
Fri Jul 11, 2014 3:00 pm
 
Forum: Personal Finance (Not Investing)
Topic: What after-tax income could you live on today?
Replies: 48
Views: 5047

Re: Help for New Boglehead with Complex Asset Allocation Puz

While some of us here might quibble around the edges of your choices, you have done an excellent job with your proposed makeover. If you ignored all our advice and followed your plan you would probably in league with the top 10% of investors in terms of following BH principles. Regarding your balanc...
by Peter Foley
Fri Jul 11, 2014 2:57 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help for New Boglehead with Complex Asset Allocation Puzzle
Replies: 23
Views: 2182

Re: Portfolio Review request for investment accounts

Welcome to the forum. You seem to have a good saving habit and have invested in low cost broad based funds/ETF. (Apple noted.) That is an excellent start. I also like the choices you have made in His SIMPLE and his Roth.The usual advice is to hold international in taxable because it offers a slight ...
by Peter Foley
Fri Jul 11, 2014 12:41 pm
 
Forum: Investing - Help with Personal Investments
Topic: Portfolio Review request for investment accounts
Replies: 5
Views: 578

Re: Teaching Kids the Rules of Investing.

When my children were young I always emphasized the importance of real "saving". They learned early that going out shopping just because something was on sale did not really mean they were "saving" money. Both daughters are now in their early 30's and have enough money to invest....
by Peter Foley
Fri Jul 11, 2014 12:25 pm
 
Forum: Investing - Theory, News & General
Topic: Teaching Kids the Rules of Investing.
Replies: 17
Views: 2000

Re: Portfolio allocation question - Core Four using TSP and

The G fund is, I believe the equivalent of a stable value fund. IMHO it is an acceptable substitute for all or part of your bond allocation. In general I would hold the REIT in the Roth, a mix of Total Stock and Total International in taxable. I'm not an expert on the TSP funds, but I believe that y...
by Peter Foley
Thu Jul 10, 2014 11:27 pm
 
Forum: Investing - Help with Personal Investments
Topic: Portfolio allocation question - Core Four using TSP and IRA
Replies: 10
Views: 1404

Re: Requesting Portfolio Review

Again, welcome. I agree with retiredjg, and indeed all those who have commented are on the same page. While you proposed a 50/50 ratio with 10% international, it would be good to know what the value is of the rental portion of the property. Are you really 25/25/50 when you real estate is included? W...
by Peter Foley
Thu Jul 10, 2014 12:47 pm
 
Forum: Investing - Help with Personal Investments
Topic: Requesting Portfolio Review
Replies: 12
Views: 1440

Re: What order when converting TIRA to Roth?

I've posted about this before so bear with me as I repeat my strategy. I do a Roth conversion of a stock mutual fund at the beginning of the year. At the end of the year (late December), if the converted mutual fund shows a profit, I leave it alone. If it does not, I recharacterize it and convert an...
by Peter Foley
Wed Jul 09, 2014 4:57 pm
 
Forum: Investing - Help with Personal Investments
Topic: What order when converting TIRA to Roth?
Replies: 12
Views: 1092

Re: When do you "limit" saving and start to spend more?

One year after retirement when an objective analysis of your portfolio and withdrawal strategies indicate you have enough.
by Peter Foley
Wed Jul 09, 2014 12:30 pm
 
Forum: Personal Finance (Not Investing)
Topic: When do you "limit" saving and start to spend more?
Replies: 39
Views: 3892

Re: How many veteran investor have LARGE MAJORITY in three-f

The large majority of my funds are in a four-fund. Total US Stock, Total International, Inflation hedged bonds (I-Bonds and TIPs), and Stable Value. I've been investing in the stock market for about 35 years. While I think a 3-fund approach is fine, it is not always feasible based on the funds avail...
by Peter Foley
Tue Jul 08, 2014 5:14 pm
 
Forum: Investing - Theory, News & General
Topic: How many veteran investor have LARGE MAJORITY in three-fund?
Replies: 56
Views: 3850

Re: International exposure: does it really help?

I will probably only know in retrospect if international is "required". So far the US and foreign markets have moved enough in tandem that I not convinced that it "helps". On the other hand, why not add international diversification just in case the US market zigs while foreign z...
by Peter Foley
Tue Jul 08, 2014 5:07 pm
 
Forum: Investing - Theory, News & General
Topic: International exposure: does it really help?
Replies: 75
Views: 7543

Re: Jonathan Clements WSJ: His index fund portfolio

There is probably a recency bias lesson to be learned here. CD's did well in the high inflation 1980's. Bonds have done well in the low inflationary years of the 21st century.
by Peter Foley
Mon Jul 07, 2014 8:52 pm
 
Forum: Investing - Theory, News & General
Topic: Jonathan Clements WSJ: His index fund portfolio
Replies: 13
Views: 2989

Re: Retiring without any Direction

Pennywise wrote: For those who lived that life and now are retired--do you flounder without all that structure unless/until you fill your days with everything people mention: travel, volunteering, hobbies and so on? Or is there anyone out there who is simply enjoying existing without any external sc...
by Peter Foley
Mon Jul 07, 2014 4:23 pm
 
Forum: Personal Finance (Not Investing)
Topic: Retiring without any Direction
Replies: 26
Views: 2085
Next

Return to advanced search