Thanks.
Calif. Marginal tax rate is 8 percent (effective tax rate of 3.9 percent). The marginal rate will likely go higher for 2023 and 2024 and beyond.
Yes, I do have a 401K and a Rollover IRA where I could put more into either Stock funds or Bond funds.
2024 joint income will approach $300,000, what with RMDs kicking in and far more bank CD interest ($1.5 mil in high-yield CDs).
Search found 29 matches
- Tue Jan 30, 2024 2:54 pm
- Forum: Personal Investments
- Topic: Inherited taxable account, seeking advice
- Replies: 5
- Views: 681
- Tue Jan 30, 2024 1:57 pm
- Forum: Personal Investments
- Topic: Inherited taxable account, seeking advice
- Replies: 5
- Views: 681
Inherited taxable account, seeking advice
This post relates to some questions I posted previously a few years ago but I'd like to hone some specific questions for current best advice; thanks. In 2019 (at age 68) I inherited from my mom a Vanguard taxable account with the following funds/amounts (rounded): Cash Reserves MM: $35,000 (currently about the same amount) Van. GNMA: $270,000 (currently about $234,000) Van. Short-Term Inv. Grade bonds: $20,00 (currently about $18,500) Van. Total Bond: $56,000 (currently about $47,800) Van. Wellesley: $93,500 (currently about $78,500) Van. Wellington: $342,000 (currently about $299,500) Total: $816,000 (currently about $713,000). (This is about 30 percent stocks and 70 percent bonds, a split I intend to maintain if I switch funds.) Each of t...
- Thu Dec 28, 2023 6:44 pm
- Forum: Personal Finance (Not Investing)
- Topic: Question about worthless cannabis stocks and tax write-off
- Replies: 4
- Views: 601
Re: Question about worthless cannabis stocks and tax write-off
Yes, a lesson learned indeed. Fortunately it's a tiny tiny sub-fraction of my portfolio, but I did slap myself upside the head. Thanks for the info.
- Thu Dec 28, 2023 6:24 pm
- Forum: Personal Finance (Not Investing)
- Topic: Question about worthless cannabis stocks and tax write-off
- Replies: 4
- Views: 601
Question about worthless cannabis stocks and tax write-off
Last few years I invested some small money in individual cannabis companies, in my Fidelity Roth IRA. When I call them up on my online account, they show as "100 percent" losses, and with research I see that some of the companies have announced they are no longer in business and have filed for bankruptcy. Obviously there is no way to "sell" these worthless shares. Can I add up the the cost bases of my losses, inform my CPA of the few individual losses (anywhere from $250 to $500 for each company) and easily write off these losses? Or do I affirmatively have to "do" something on my Roth account, in terms of entering clicks or other information? I'm assuming there are forms that I or the CPA will fill out? The lo...
- Sat Dec 31, 2022 1:59 pm
- Forum: Personal Investments
- Topic: TD Ameritrade incorrect RMD info!
- Replies: 5
- Views: 367
Re: TD Ameritrade incorrect RMD info!
Perhaps: If 2021 was the year of your very first RMD -- and you waited until Feb 2022 to take it -- then you would still need to take a second RMD by Dec. 31 this year (today), per what I believe to be the rules. Don't know if this applies to your situation.
- Thu Apr 28, 2022 2:03 pm
- Forum: Personal Finance (Not Investing)
- Topic: How does this fraud work?
- Replies: 15
- Views: 1956
Re: How does this fraud work?
The original email "from Amazon" was a fake. I get them periodically. I delete them.
- Wed Aug 12, 2020 7:44 pm
- Forum: Personal Investments
- Topic: Changing tax-inefficient portfolio into tax-efficient
- Replies: 16
- Views: 1606
Re: Changing tax-inefficient portfolio into tax-efficient
Probably disregard. I read something on the Bogleheads pages and it says they are questionable for taxable account.
- Wed Aug 12, 2020 6:34 pm
- Forum: Personal Investments
- Topic: Changing tax-inefficient portfolio into tax-efficient
- Replies: 16
- Views: 1606
Re: Changing tax-inefficient portfolio into tax-efficient
Say, I had another related question for a large, inherited taxable account:
Since I'm looking for a mix of 30/70 stocks/bonds, and if I want simplicity and something easy to leave my wife for income, would another reasonable approach be to put it 50/50 into these two Vanguard funds: LifeStrategy Income (which is 20 percent broad stocks), and LIfeStrategy Conservative Growth (which is 40 percent broad stocks)? Both have broad bonds as well.
"Tax-efficient" enough?
Appreciate any thoughts.
Since I'm looking for a mix of 30/70 stocks/bonds, and if I want simplicity and something easy to leave my wife for income, would another reasonable approach be to put it 50/50 into these two Vanguard funds: LifeStrategy Income (which is 20 percent broad stocks), and LIfeStrategy Conservative Growth (which is 40 percent broad stocks)? Both have broad bonds as well.
"Tax-efficient" enough?
Appreciate any thoughts.
- Wed Aug 12, 2020 6:03 pm
- Forum: Personal Investments
- Topic: Changing tax-inefficient portfolio into tax-efficient
- Replies: 16
- Views: 1606
Re: Changing tax-inefficient portfolio into tax-efficient
grabiner,
Thanks for these very helpful suggestions. I appreciate this feedback from you and everybody. Stay safe.
Thanks for these very helpful suggestions. I appreciate this feedback from you and everybody. Stay safe.
- Mon Aug 10, 2020 9:19 pm
- Forum: Personal Investments
- Topic: Changing tax-inefficient portfolio into tax-efficient
- Replies: 16
- Views: 1606
Re: Changing tax-inefficient portfolio into tax-efficient
Thanks for that advice; it might work. Yes, California has its advantages and disadvantages.
- Mon Aug 10, 2020 7:14 pm
- Forum: Personal Investments
- Topic: Changing tax-inefficient portfolio into tax-efficient
- Replies: 16
- Views: 1606
Re: Changing tax-inefficient portfolio into tax-efficient
Had a thought: just noticed on the Vanguard site for that Tax-managed Cap Appreciation Fund (VTCLX), that it says "Blend" between "growth" and "value" on their little chart in the "Portfolio & Management" section, so perhaps this might work.
- Mon Aug 10, 2020 7:08 pm
- Forum: Personal Investments
- Topic: Changing tax-inefficient portfolio into tax-efficient
- Replies: 16
- Views: 1606
Re: Changing tax-inefficient portfolio into tax-efficient
RocketShipTech,
Is there a way, then, to diversify re growth/value stocks within a scheme I'm envisioning? Could I use another fund with value stocks to create something where my 30 percent-stock, tax-managed approach works better? Say, use the Tax-Managed Cap Appreciation Fund with a second fund good for my mission? If so, what mutual fund might that be? Thanks again for your input; I appreciate it.
Is there a way, then, to diversify re growth/value stocks within a scheme I'm envisioning? Could I use another fund with value stocks to create something where my 30 percent-stock, tax-managed approach works better? Say, use the Tax-Managed Cap Appreciation Fund with a second fund good for my mission? If so, what mutual fund might that be? Thanks again for your input; I appreciate it.
- Mon Aug 10, 2020 6:36 pm
- Forum: Personal Investments
- Topic: Changing tax-inefficient portfolio into tax-efficient
- Replies: 16
- Views: 1606
Re: Changing tax-inefficient portfolio into tax-efficient
Thanks to those who have responded thus far. Here's my thinking: (My wife's and my joint tax rate is 24%, btw.) My thinking/approach to holding money: Even though we are 62 (wife) and 69 (me), we've always been very conservative. I was aggressive 66/35 stocks/bonds or even higher stocks during my working/saving/investing life and got absolutely hammered in 2002 and clawed my way back, then got clobbered in 2008 and clawed my way back, and I learned that whatever percentage I was in stock, I had to expect to lose HALF of it when major downturns occurred. (Not really "lose" half; but the share values got creamed by that much. I never sold after downturns; I held and stayed the course.) So my thinking became: "I am only comforta...
- Mon Aug 10, 2020 5:14 pm
- Forum: Personal Investments
- Topic: Changing tax-inefficient portfolio into tax-efficient
- Replies: 16
- Views: 1606
Re: Changing tax-inefficient portfolio into tax-efficient
We'll probably be on the high side, with joint-married income over $150,000 or so annually.
- Mon Aug 10, 2020 4:53 pm
- Forum: Personal Investments
- Topic: Changing tax-inefficient portfolio into tax-efficient
- Replies: 16
- Views: 1606
Changing tax-inefficient portfolio into tax-efficient
Greetings. I’m a long-time follower of this site and have gleaned much; thank you! I’d like to pose a question that might help many people figure out what to do with inherited portfolios of funds that possibly are not tax-efficient. Hypothetical: You’re a comfortably set Boomer, living in California, with ample retirement accounts and you inherit your parents’ non-retirement, taxable Vanguard account of $775,000 containing: 1) Vanguard Wellington (VWELX), 2) Vanguard Wellesley (VWINX), 3) Vanguard Ginnie Mae (VFIIX), 4) Vanguard Total Bond (VBMFX), 5) Vanguard Short-Term Investment-grade (VFSUX), and 6) Vanguard Prime Money Market, in respective amounts resulting in a 30/70 stock/bond ratio. It generates what seems like some decent monthly,...
- Thu Oct 30, 2014 6:30 pm
- Forum: Personal Investments
- Topic: Why so long to transfer IRA to Vanguard?
- Replies: 29
- Views: 4980
Re: Why so long to transfer IRA to Vanguard?
If you did not specify on a tranfer form what Vanguard funds you wanted the money moved into, the default is Prime MM. That's what it said on the Vanguard form we recently filled out to move an inherited IRA from ValueLine to Vanguard. We specified a fund other than Prime MM. However, we are still waiting for the transaction to happen. It's been about a week. Good luck. -- Riversider
- Sun Oct 26, 2014 1:09 am
- Forum: Personal Consumer Issues
- Topic: Do you regret buying your home?
- Replies: 82
- Views: 26088
Re: Do you regret buying your home?
Lousy loud obnoxious neighbors (in fairly decent neighborhoods) have generally spoiled the joy of owning and/or living in three different homes. Apartment living was great, and boy was it simply just easier. BUT: as a renter you are indeed paying for somebody else's piece of the earth and with your own home you generally stand to reap your own rewards. However, if I sat down and figured out how much I've spent in home improvements, repairs, weekly lawn and yard maintenance, property taxes, mortgage interest, insurance, etc., it's quite possible that renting would have been the bargain. Plus my home is now worth less than what I paid for it (you know, the downturn), but at least I am not upside down. Home ownership: pros and cons. Apartment ...
- Sun Oct 26, 2014 12:57 am
- Forum: Personal Consumer Issues
- Topic: Done with Honda, not sure what next car should be?
- Replies: 77
- Views: 11512
Re: Done with Honda, not sure what next car should be?
They were all high on something at Honda in 2005, 2006, 2007. I got one of the Honda Odysseys (07) with the juddering problem: at speed then suddenly braking and slowing (particularly coming down hills or inclines) and the steering column and steering wheel nearly shakes itself out of your hands--wobbling like crazy. Several attempts to fix, once with a "software upgrade." Yeah, right. The problem? Inferior torque converters on an inferior and weak transmission not sturdy enough to handle the weight of the van. Plain and simple. An overall design defect. It's been a good hauling vehicle but I think I've had four to six different recalls on the thing. Some recalls where they tell you there is a small problem, stay tuned for more in...
- Thu Oct 23, 2014 10:34 pm
- Forum: Investing - Theory, News & General
- Topic: "Vanguard converting mutual fund accounts to brokerage?
- Replies: 420
- Views: 100463
Re: Query re Vanguard letter urging brokerage account by Nov
BrandonBogle: thanks for your information. --Riversider
- Thu Oct 23, 2014 7:39 pm
- Forum: Investing - Theory, News & General
- Topic: "Vanguard converting mutual fund accounts to brokerage?
- Replies: 420
- Views: 100463
Re: "Vanguard converting mutual fund accounts to brokerage?
My initial take is that Vanguard would rather stop having to manage the transfers of money from various Vanguard accounts into peoples' various bank checking and savings accounts. Instead, they just want the easy sweep of all profits into a Prime Money Market fund. And leave it to the client to handle and set up transfers out of that one fund. And for those with both non-brokerage AND brokerage accounts, it may make sense to have it all under one umbrella. But what rankles a bit is that the message is not clear: Is this mandatory? or suggested only? Or, "we'll do it to you at some point if you don't do it yourself by the 14th of November." -- Riversider
- Thu Oct 23, 2014 7:38 pm
- Forum: Investing - Theory, News & General
- Topic: "Vanguard converting mutual fund accounts to brokerage?
- Replies: 420
- Views: 100463
Re: Query re Vanguard letter urging brokerage account by Nov
Thanks for that link, cfs. Very helpful. I think it might be important reading for all Vanguard clients who may have missed it or were confused as I was. My initial take is that Vanguard would rather stop having to manage the transfers of money from various Vanguard accounts into peoples' various bank checking and savings accounts. Instead, they just want the easy sweep of all profits into a Prime Money Market fund. And leave it to the client to handle and set up transfers out of that one fund. And for those with both non-brokerage AND brokerage accounts, it may make sense to have it all under one unbrella. But what rankles a bit is that the message is not clear: Is this mandatory? or suggested only? Or, we'll do it to you at some point if ...
- Thu Oct 23, 2014 6:54 pm
- Forum: Investing - Theory, News & General
- Topic: "Vanguard converting mutual fund accounts to brokerage?
- Replies: 420
- Views: 100463
Query re Vanguard letter urging brokerage account by Nov. 14
[Merged into original thread, see below. --admin LadyGeek] Apologies: this has already probably been covered here in the forum but I couldn't find anything after searching a while. I got a letter from Vanguard a couple/few weeks ago saying I either "needed to" or it was "recommended" (I can't remember the wording; need to find the letter in one of my piles) that I change my holdings into a brokerage account by a Nov. 14 deadline. I couldn't tell if this was some mandatory thing or strongly preferred (by Vanguard) for some reason, or what was going on. If this has been hashed out previously, please point me to the link(s). What I have is a Rollover IRA ("large") and a Roth IRA ("small"). Anybody with ...
- Mon Oct 20, 2014 1:54 pm
- Forum: Personal Consumer Issues
- Topic: Shoes for Plantar Fasciitis?
- Replies: 47
- Views: 7844
Re: Shoes for Plantar Fasciitis?
I had a serious case of this but it wasn't shoes or doctors that cured me. It was a simple little exercise my wife taught me. Maybe you've seen it but here it is: In your bare or stocking feet (shoes off), stand facing a wall about three or four feet away from the wall. Stretch out your arms, keep you body rigidly straight, and slowly "fall" toward the wall with arms outstretched and put both palms up against the wall, catching and supporting yourself, while standing on the BALLS and toes of your feet. Your heels should be off the floor. For several minutes, do light "push-ups" against the wall: pushing away, then allowing yourself to fall closer again, maintaining control with arm muscle tension. You will feel stretchin...
- Mon Oct 20, 2014 1:35 pm
- Forum: Personal Consumer Issues
- Topic: Smartphone questions
- Replies: 107
- Views: 15712
Re: Smartphone questions
I'd like to thank everybody for taking the time to respond and provide input. There is a WEALTH of info that has been contributed and I truly appreciate it. This will help me make a decision and probably a better one than if I hadn't asked the Bogleheads. I will probably read all the posts at least three more times to digest every detail. All best, -- Riversider
- Fri Oct 17, 2014 10:16 am
- Forum: Personal Consumer Issues
- Topic: Smartphone questions
- Replies: 107
- Views: 15712
Smartphone questions
Samsung S4/S5 vs. Samsung Note3/4 vs. Apple iphones vs. Motos vs. anything else? Which smartphone(s) do Bogleheads generally prefer? Does it trend any which way? Does it matter? Ready to dump cheap ATT basic phone and wade into the world of "smart"; I've read everything there is on the Web and seeking additional input if any. Thanks for any thoughts/observations. Perhaps those who have had both (Apple AND Android) might have helpful advice? Also curious if anybody has just bought "too much phone" and would do it differently, and why? -- Riversider
- Wed Oct 15, 2014 6:49 pm
- Forum: Personal Investments
- Topic: Query re Vanguard holdings in Fidelity 401K plan
- Replies: 2
- Views: 561
Re: Query re Vanguard holdings in Fidelity 401K plan
Thanks for the input, FoolStreet. Good points to mull. Since I already have a fair amount in Vanguard with a Rollover IRA (a rolled over 401K from a previous career), I may potentially have the best of both worlds re retirement funds: Vanguard money in Vanguard; Fidelity AND Vanguard money in Fidelity--at lower-than-Vanguard expense ratios. I just need to get properly invested, as Stable Value and Prime Money Market aren't making me much income, obviously.
- Wed Oct 15, 2014 5:45 pm
- Forum: Personal Investments
- Topic: Query re Vanguard holdings in Fidelity 401K plan
- Replies: 2
- Views: 561
Query re Vanguard holdings in Fidelity 401K plan
In my Fidelity 401K I am offered a number of Vanguard "trust" investment choices with target year dates and sliding exposures, much like the offerings directly through Vanguard. One of them is the "Vanguard Target Retirement Income Trust II," which mimics the Vanguard Retirement Income Fund (VTINX), down to the percentages (or pretty darn close): Van Total Stock Index: 21.32 percent Van Int'l Stock Index: 8.82 percent Van Total Bond Index II: 39.14 percent Van Short-term Inflation protected bonds: 16.76 percent Van Total Int'l Bond Index: 13.90 Interestingly, the expense ratio is only .11 percent (compared to .16 percent for VTINX through Vanguard), with the accompanying statement for "Shareholder fees": ..... ...
- Thu Oct 09, 2014 10:18 am
- Forum: Personal Investments
- Topic: Query re 3-to-1 reverse stock split
- Replies: 2
- Views: 483
Re: Query re 3-to-1 reverse stock split
Thanks for this, JDDS. It is helpful. I'll talk with mom.
- Wed Oct 08, 2014 11:10 pm
- Forum: Personal Investments
- Topic: Query re 3-to-1 reverse stock split
- Replies: 2
- Views: 483
Query re 3-to-1 reverse stock split
Greetings. I've followed the Bogleheads as an outsider looking in and I've learned a lot: many thanks to all contributors! I have signed up and have a question: I am 63 and help my 92-year-old mom with advice/guidance from time to time. We each, separately, have much in mutual funds with Vanguard; mom also has some other funds my dad (deceased) set up many years ago. Recently she got a letter from ValueLine Funds indicating a 3-1 reverse stock split would be happening Oct. 17 re their Core Bond Fund (VAGIX). Three shares at about $5 a share will combine into one share at $15 (approx. numbers), but principal balance is said to remain the same. This is a relatively expensive fund to own (over 1 percent expenses), not a great performer, and we...