Search found 6232 matches

by Wagnerjb
Sun Jun 28, 2015 9:38 am
Forum: Personal Finance (Not Investing)
Topic: retirement planning decisions
Replies: 1
Views: 422

Re: retirement planning decisions

Your thoughts on the Deferred Comp plan are logical, and you need to decide how much risk you are willing to accept. In my case, I managed that risk several ways: a) I delayed contributing for a few years after I became an executive (at age 42). This shortened the time period at risk. b) I set the p...
by Wagnerjb
Sat Jun 20, 2015 7:46 am
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting/ Wash sale rule
Replies: 4
Views: 736

Re: Tax loss harvesting/ Wash sale rule

Unless you are in the very lowest tax brackets, tax loss harvesting provides very valuable benefits. You get both tax deferral (paying taxes later) as well as tax arbitrage (paying taxes at a lower rate). The most rational strategy is to capture tax losses quickly, as they can disappear with a stron...
by Wagnerjb
Fri Jun 19, 2015 10:29 am
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting/ Wash sale rule
Replies: 4
Views: 736

Re: Tax loss harvesting/ Wash sale rule

I own individual stocks (as well as mutual funds), and have been tax loss harvesting since around 1988. Your plan sounds alright, but I see two issues to point out: 1) Buying an additional 100 shares 31 days before you sell the old lot is just as much a distortion of your portfolio as simply harvest...
by Wagnerjb
Tue Jun 16, 2015 7:45 pm
Forum: Personal Finance (Not Investing)
Topic: Need help finding a CPA knowledgable about expat issues.
Replies: 6
Views: 860

Re: Need help finding a CPA knowledgable about expat issues.

DH's company used KPMG based out of Ft. Lauderdale, FL. They are expensive but it's their specialty. I was an expat in both Asia and then in Europe for 7 years. My company paid KPMG to do my US personal tax returns and they did a decent job. I can vouch for their experience in this area, but they d...
by Wagnerjb
Tue Jun 02, 2015 1:04 pm
Forum: Investing - Theory, News & General
Topic: Dividend yield is a lot less important than buyback yield
Replies: 192
Views: 9268

Re: Dividend yield is a lot less important than buyback yield

Management salary and bonus payments (due to stock options) tends to be maximized by increasing share price. Doesn't the wealth of all shareholders (like you and me) tend to get maximized by increasing the share price? I have no problem with any legal and ethical means to increase the share price. ...
by Wagnerjb
Thu May 28, 2015 8:29 am
Forum: Investing - Theory, News & General
Topic: WSJ: Trading has shifted to the end of the day
Replies: 4
Views: 1008

Re: WSJ: Trading has shifted to the end of the day

apparently, from the article, index funds trade heavily in the last hour or so of trading. who knows if/when this will change, now that the "secret" is out...ha ha. have a great day. don In the commodity markets they have a transaction (to buy or sell) called "trade at settle". ...
by Wagnerjb
Mon May 18, 2015 2:27 pm
Forum: Investing - Help with Personal Investments
Topic: Charitable Contribution - Appreciated Shares
Replies: 15
Views: 604

Re: Charitable Contribution - Appreciated Shares

cheese_breath wrote:What's the matter with an Excel spreadsheet? Unless you want something else you haven't told us you should be able to develop one tracking purchases, basis and donations in 15 minutes or less.


I agree completely.
by Wagnerjb
Mon May 18, 2015 12:26 pm
Forum: Investing - Help with Personal Investments
Topic: Charitable Contribution - Appreciated Shares
Replies: 15
Views: 604

Re: Charitable Contribution - Appreciated Shares

Personally, I would try to donate those shares with the most appreciation. That gives you the most tax efficiency, since you get the same deduction no matter how much the appreciation.

Best wishes.
by Wagnerjb
Mon May 18, 2015 9:30 am
Forum: Investing - Help with Personal Investments
Topic: Best 401K option in terrible plan
Replies: 8
Views: 676

Re: Best 401K option in terrible plan

Hi Maximo, and welcome to the Boglehead forum. Since there is no company match, I would recommend that you not participate in the 401k plan at all. The fees are simply too high and there isn't even a single low cost fund. The company uses those high fees to offset the cost of administration of the 4...
by Wagnerjb
Wed May 13, 2015 12:13 pm
Forum: Personal Finance (Not Investing)
Topic: Reduce mortgage or invest cash?
Replies: 4
Views: 460

Re: Reduce mortgage or invest cash?

Would it be better to pay cash to decrease a 30 yr loan amount to below jumbo limit and refinance at a lower rate for 15 yr or invest the cash? I currently owe 650k at 4.38% for 27 more years. I am contemplating paying about 230k to bring it below the 417k limit for conforming loans, then refinance...
by Wagnerjb
Mon May 11, 2015 9:06 pm
Forum: Investing - Theory, News & General
Topic: "Why Would an Experienced Investor Buy a Target-Date Fund?"
Replies: 38
Views: 5129

Re: "Why Would an Experienced Investor Buy a Target-Date Fund?"

Mike has written an excellent article, highlighting that the Target Funds are quite sophisticated tools, used by many investors. They are ideally suited to investors who prefer (or need) simplicity. As Mike says, they are well suited for those who: a) want time savings b) are math-averse c) have a s...
by Wagnerjb
Sun May 10, 2015 8:37 am
Forum: Investing - Theory, News & General
Topic: 6 ways Vanguard has changed the way people invest
Replies: 2
Views: 1116

Re: 6 ways Vanguard has changed the way people invest

Those 6 characteristics are admirable and have been well supported by Jack Bogle and Vanguard. But they were certainly well known and practiced by disciplined investors before Vanguard came along. What Vanguard did was offer simplicity that allowed small investors to diversify broadly with low costs...
by Wagnerjb
Wed May 06, 2015 9:30 am
Forum: Investing - Theory, News & General
Topic: madsinger monthly report (April 2015)
Replies: 6
Views: 958

Re: madsinger monthly report (April 2015)

I don't know if this is noteworthy (but I guess I'll note it), the "Hot Hand" fund "portfolio" has dropped out of first place among the "all stock" portfolios (as ranked by 10 year 4 month returns) for, what I think is the first time since I've been tracking this. Hi B...
by Wagnerjb
Wed May 06, 2015 9:05 am
Forum: Investing - Help with Personal Investments
Topic: Budget allocation between LARGE student loan burden and Retirement_Updated details
Replies: 33
Views: 3295

Re: Budget allocation between LARGE student loan burden and Retirement

Your financial planner has a conflict of interest in providing this advice - the more you pay down the loan, the less money you invest with them and the lower their fees. Cherijoh has nailed the problem. You are getting conflicting advice because your financial advisor is (very likely) being "...
by Wagnerjb
Mon Apr 27, 2015 7:15 pm
Forum: Personal Finance (Not Investing)
Topic: Savers Credit preparation for 2015
Replies: 17
Views: 1529

Re: Savers Credit preparation for 2015

There is no doubt plenty of people making pre tax retirement plan contributions, when they could have made Roth contributions and still paid no tax because their tax liability would be closer, but still not equal to the max savers credit for their tier. And even if they realized this when their ret...
by Wagnerjb
Sat Apr 25, 2015 10:04 pm
Forum: Personal Consumer Issues
Topic: Best (Available)Red Wine for under $15 preferrably under $10
Replies: 64
Views: 5842

Re: Best (Available)Red Wine for under $15 preferrably under

I like more expensive red wines, but have fallen in love with Columbia Crest H3 as a fantastic bargain and great every day kind of wine. My wife picks it up at Costco and I have around 50 bottles of it in my wine fridge (a little left from the 2010 vintage but mostly 2012...which was rated a fantas...
by Wagnerjb
Fri Apr 24, 2015 6:47 pm
Forum: Personal Consumer Issues
Topic: Best (Available)Red Wine for under $15 preferrably under $10
Replies: 64
Views: 5842

Re: Best (Available)Red Wine for under $15 preferrably under

Re: Best (Available)Red Wine for under $15 preferrably under Postby srqfacc » Thu Apr 23, 2015 8:58 pm Columbia Crest Cabernet. $7.99 at Costco. Routinely better than many $20 bottles IMHO +1 Definitely punches above its weight. But be sure to get the Grand Estates. They have other entry level wine...
by Wagnerjb
Tue Apr 21, 2015 7:17 pm
Forum: Investing - Theory, News & General
Topic: "How much of your portfolio is in index funds, and why?"
Replies: 91
Views: 8959

Re: "How much of your portfolio is in index funds, and why?"

The best question is, "how much of your portfolio is invested in low cost, well diversified, passive and tax efficient investments"? For me, the answer is 100%. It seems naive to overlook investments such as TIPs, Short Term Treasuries, Tax Managed funds, DFA funds and passively held indiv...
by Wagnerjb
Fri Apr 17, 2015 8:47 am
Forum: Investing - Help with Personal Investments
Topic: UTMA and Coverdell
Replies: 16
Views: 968

Re: UTMA and Coverdell

Since the child is contributing their own money to the Coverdell, they should be the owner. How does it work, then? Will I, as the parent, be able to use the money for her benefits, then? Or only she, as the owner, can use the money? When she is considered a minor, you (or the Custodian, if not you...
by Wagnerjb
Thu Apr 16, 2015 1:34 pm
Forum: Personal Finance (Not Investing)
Topic: Accelerated RSU vesting, FICA taxes
Replies: 4
Views: 568

Re: Accelerated RSU vesting, FICA taxes

mikep wrote:What if the RSU value goes up before it vests if you stay employed? Is the medicare tax taken again on the increase, or refunded on the decrease?



Not in my experience.
by Wagnerjb
Thu Apr 16, 2015 8:51 am
Forum: Personal Finance (Not Investing)
Topic: Accelerated RSU vesting, FICA taxes
Replies: 4
Views: 568

Re: Accelerated RSU vesting, FICA taxes

As I understand the rules, they have to do with the "risk of forfeiture". At my company (and yours too I am pretty sure), if you leave the company before a certain retirement age you will forfeit any unvested RSUs. This is the "risk of forfeiture" that exists. When you reach a ce...
by Wagnerjb
Wed Apr 15, 2015 9:02 am
Forum: Investing - Theory, News & General
Topic: Roth IRA for Teeneagers
Replies: 24
Views: 1770

Re: Roth IRA for Teeneagers

I did the same thing as the OP. A few years ago my son left college early and had a low-paying job. He was basically supporting himself, so saving money was out of the question. I made a Roth contribution for him the first year and it negated his income tax, thanks to the retirement savers credit. I...
by Wagnerjb
Wed Apr 15, 2015 8:46 am
Forum: Personal Finance (Not Investing)
Topic: 2015 tax effects of missed 2014 RMD
Replies: 7
Views: 610

Re: 2015 tax effects of missed 2014 RMD

If you filed the 5329 correctly and advised that you made up the missed 2014 RMD, you will likely never hear further from the IRS and that means the waiver was approved. How the RMD delinquency affects your 2014 or 2015 tax bill has never been a factor in whether the IRS waives the penalty or not. ...
by Wagnerjb
Mon Apr 13, 2015 8:15 am
Forum: Personal Finance (Not Investing)
Topic: how to avoid $75k AMT tax hit next year?
Replies: 12
Views: 2329

Re: how to avoid $75k ATM tax hit next year?

Met w our accountant, he projects $75k in ATM taxes next year. His rule of the thumb is that we need to generate an additional 3x$75k=$225k in ordinary income to avoid the tax. any ideas besides a 2nd job? tia Can someone help me understand the reasoning here? That if you generate an additional $22...
by Wagnerjb
Sun Apr 12, 2015 11:21 am
Forum: Investing - Theory, News & General
Topic: International Investing
Replies: 65
Views: 4806

Re: International Investing

Not really, somewhere around half the revenues from the S&P500 come from outside the U.S., many companies in the index are domiciled outside the U.S., some of the companies are actually largely dependent on non-U.S. operations. I certainly don't see it as a bet on one country or another, but it...
by Wagnerjb
Sat Apr 11, 2015 3:47 pm
Forum: Investing - Theory, News & General
Topic: Inflation Protection [(Morningstar article)]
Replies: 7
Views: 1263

Re: Inflation Protection

Actually, don't just tell me where to find that job. Tell the people with average or below-average income whose inflation-adjusted wages have fallen since the beginning of the century. Even people in the 75th percentile have barely kept pace with inflation. That has nothing to do with inflation. It...
by Wagnerjb
Sat Apr 11, 2015 3:38 pm
Forum: Investing - Theory, News & General
Topic: International Investing
Replies: 65
Views: 4806

Re: International Investing

American exceptionalism ought to die now, IMHO. Every time you invest according to a philosophy that treats U.S. stocks as a fundamentally different category from others, you are essentially subscribing to American exceptionalism. I read something recently on testing of the efficiency of global mar...
by Wagnerjb
Sat Apr 11, 2015 3:27 pm
Forum: Personal Finance (Not Investing)
Topic: Gift a child, then let them make charitable gift?
Replies: 11
Views: 1153

Re: Gift a child, then let them make charitable gift?

My point might be moot given some of the earlier replies, but I wonder if the step transaction interpretation would be valid if the charitable donation preceded the gifting event, the numbers do not correspond, and the precise charity is never specified. I don't imagine one's charitable donation de...
by Wagnerjb
Fri Apr 10, 2015 6:06 pm
Forum: Personal Finance (Not Investing)
Topic: Gift limit and Charitable Donations
Replies: 31
Views: 1430

Re: Gift limit and Charitable Donations

My parent's currently make around $3,500,000 per year and donate several hundred thousand dollars to a qualifying charity per year. I believe at their income level the allowable charitable deduction for tax purposes begins to get phased out (correct me if I'm wrong about this). It seems they could ...
by Wagnerjb
Fri Apr 10, 2015 10:11 am
Forum: Investing - Theory, News & General
Topic: International Investing
Replies: 65
Views: 4806

Re: International Investing

stemikger wrote:Besides, after 20 years of not holding international and doing pretty good, I don't want to jinx things.


I wonder if you would feel the same way if you were in Japan and refused to invest internationally the prior 20 or 30 years.
by Wagnerjb
Fri Apr 10, 2015 9:52 am
Forum: Investing - Theory, News & General
Topic: Vanguard: One Third of 401k Participants Not Maxing Match
Replies: 13
Views: 1767

Re: Vanguard: One Third of 401k Participants Not Maxing Mat

I work in the oil and gas industry and my current company matches 100% up to 15% of my pay. After paying moving expenses for a 1200 mile relocation five years ago, it took me a couple years to be able to hit the full 15% contribution to get all of the match. I am now contributing 17% with eventual ...
by Wagnerjb
Fri Apr 10, 2015 9:13 am
Forum: Investing - Theory, News & General
Topic: International Investing
Replies: 65
Views: 4806

Re: International Investing

I agree. I think some of the fear of international investing comes from the fact that most Americans have never traveled overseas. In my experience, those who have traveled (or even lived) in foreign countries are much more open minded about international investing. The diversification benefits are ...
by Wagnerjb
Wed Apr 01, 2015 8:59 am
Forum: Investing - Help with Personal Investments
Topic: Speculation - Vanguard 3 Fund Portfolio Vs Wealthfront w/TLH
Replies: 12
Views: 1325

Re: Speculation - Vanguard 3 Fund Portfolio Vs Wealthfront w

This is not even close. Vanguard is a legitimate business, with a long history and over three trillion dollars under management. Wealthfront is a scam, unless proven otherwise. You will find that the Wealthfront strategy is more "Boglehead" than many investments at Vanguard. 1) The Wealth...
by Wagnerjb
Tue Mar 31, 2015 8:03 am
Forum: Investing - Theory, News & General
Topic: Negative Yields Hit US Treasury Markets
Replies: 17
Views: 3052

Re: Negative Yields Hit US Treasury Markets

People are paying the government to hold their money! I think Doc has outsmarted all the other investors. Instead of investing with the US Treasury at negative rates, he has overpaid his income taxes. What happens? He gets a refund, but he doesn't have to "pay the government to hold his money&...
by Wagnerjb
Mon Mar 30, 2015 10:23 pm
Forum: Investing - Help with Personal Investments
Topic: Speculation - Vanguard 3 Fund Portfolio Vs Wealthfront w/TLH
Replies: 12
Views: 1325

Re: Speculation - Vanguard 3 Fund Portfolio Vs Wealthfront w

The benefit of TLH diminishes with each TLH because the cost basis is lowered with each harvesting. As time progresses, a smaller and smaller portion of the portfolio can be TLH because most of the shares would have very low cost basis. However Wealthfront's management fee does not get smaller and ...
by Wagnerjb
Mon Mar 30, 2015 10:18 pm
Forum: Investing - Help with Personal Investments
Topic: Speculation - Vanguard 3 Fund Portfolio Vs Wealthfront w/TLH
Replies: 12
Views: 1325

Re: Speculation - Vanguard 3 Fund Portfolio Vs Wealthfront w

Lastly, if you had IRA/401k through vanguard, and all the rest of cash in Wealthfront, how likely would you experience wash sales and completely negate the auto tax loss harvesting benefit of wealthfront? Thanks If the Wealthfront portfolio held individual stocks and your Vanguard accounts held mut...
by Wagnerjb
Sun Mar 29, 2015 11:12 pm
Forum: Investing - Theory, News & General
Topic: How many of you invest in individual stocks?
Replies: 70
Views: 5622

Re: How many of you invest in individual stocks?

I do find it curious that even some diehard Bogleheads invest a significant portion in single stocks. "It works for me" or "Do as I say, not as I do" coming into play. A selection of Large Cap Dividends stocks is "diversified". Or "I only do it for Apple, Facebook...
by Wagnerjb
Sun Mar 29, 2015 9:18 am
Forum: Personal Finance (Not Investing)
Topic: "Employees Forgo Wellness Cash Incentives Worth Millions"
Replies: 30
Views: 3122

Re: "Employees Forgo Wellness Cash Incentives Worth Millions

For a few years, my employer incentive of $600 could be achieved by having an annual physical (which I did anyway). So, I easily qualified with essentially no extra effort. The requirements in 2014 (for the 2015 subsidy) were ridiculous and very involved. You had to attend health presentations. You ...
by Wagnerjb
Sun Mar 29, 2015 9:07 am
Forum: Investing - Theory, News & General
Topic: How many of you invest in individual stocks?
Replies: 70
Views: 5622

Re: How many of you invest in individual stocks?

I invest in individual stocks, and they represent a "serious" share of my portfolio. I invest in large cap stocks, in my taxable account. You can read about the strategy in the Wiki on passively holding individual stocks. This strategy uses every characteristic of being a Boglehead: Low co...
by Wagnerjb
Fri Mar 27, 2015 11:51 am
Forum: Investing - Help with Personal Investments
Topic: please help me understand this stock award
Replies: 19
Views: 734

Re: please help me understand this stock award

thanks a lot, guys. so this kind of option is worth far less than the $80k they claim, right? the stock of the company has gone up a lot recently and i think the upside is limited. No, the option is indeed worth $80k when you initially get the grant. That is what you could sell the options for in a...
by Wagnerjb
Wed Mar 25, 2015 12:18 pm
Forum: Investing - Theory, News & General
Topic: U.S. cash pouring into international
Replies: 23
Views: 2688

Re: U.S. cash pouring into international

Article from CNN -- Cash pouring into International stocks/funds. http://money.cnn.com/2015/03/24/investing/us-investors-flooding-into-europe/index.html Hmm, haven't we been seeing recent posts asking if international is really needed? The posts about whether international is even needed are driven...
by Wagnerjb
Wed Mar 25, 2015 9:15 am
Forum: Investing - Help with Personal Investments
Topic: Tax Loss Harvesting Wash Sale in Roth IRA
Replies: 16
Views: 1418

Re: Tax Loss Harvesting Wash Sale in Roth IRA

If it was in a Roth Account nothing to worry. Roth are post tax so yes you can have transactions. You can not TLH from a Roth account. Did you sell from a taxable account and converted the proceeds to Roth? It's not a conversion. I sold out of a fund in a taxable account (at a loss) and within 30 d...
by Wagnerjb
Wed Mar 25, 2015 8:41 am
Forum: Investing - Help with Personal Investments
Topic: Fidelity offer to match IRA contributions
Replies: 12
Views: 2475

Re: Fidelity offer to match IRA contributions

This is similar to their brokerage transfer offer, only worse. For example, transferring $50k under the regular brokerage transfer offer gets you $200 quickly. The IRA match offer gets you at most $247.50 over 3 years. If you have $500k, you might as well get $1200 immediately instead of $1650 over...
by Wagnerjb
Mon Mar 23, 2015 7:51 am
Forum: Investing - Help with Personal Investments
Topic: "Diversified" Accounts?
Replies: 6
Views: 761

Re: "Diversified" Accounts?

I think the biggest concern might be having access to your account when you want it. For example, if all your assets are with one company and in some unlikely occurrence their website is hit by a really bad DDoS attack or otherwise can't be accessed for a number of days (and understandably the phon...
by Wagnerjb
Sun Mar 22, 2015 10:51 am
Forum: Personal Finance (Not Investing)
Topic: Tax implications on cashing out a Lump Sum Pension?
Replies: 7
Views: 579

Re: Tax implications on cashing out a Lump Sum Pension?

Your calculations look right to me. It you cash in the Lump Sum and spend it (even to reduce the mortgage) you are spending your retirement money today. Why do you necessarily pick this opportunity to steal from your retirement fund? At any time, you could take some of the $700K that you have in you...
by Wagnerjb
Sat Mar 21, 2015 10:49 am
Forum: Personal Finance (Not Investing)
Topic: Route to an $8 Million Portfolio Started With Frugal Living
Replies: 31
Views: 5292

Re: Route to an $8 Million Portfolio Started With Frugal Liv

I think that is a very sad situation. The guy was extremely frugal and continued to be extremely frugal even after he had considerable net worth. I don't want to be like that, and I don't think he is a good lesson for others. The lesson should be to live a balanced life - live below your means most ...
by Wagnerjb
Sat Mar 21, 2015 9:49 am
Forum: Personal Finance (Not Investing)
Topic: Why I don't file early
Replies: 35
Views: 3754

Re: Why I don't file early

Best to plan so that you owe taxes and file late. Scammers that use your SS to get a refund don't cost you anything other than time to get your refund. I agree. If you manage your taxes such that you owe a payment in April, I don't see what filing early will accomplish. If the bad guys have stolen ...
by Wagnerjb
Sat Mar 21, 2015 9:25 am
Forum: Personal Finance (Not Investing)
Topic: Why I don't file early
Replies: 35
Views: 3754

Re: Why I don't file early

Best to plan so that you owe taxes and file late. Scammers that use your SS to get a refund don't cost you anything other than time to get your refund. I agree. If you manage your taxes such that you owe a payment in April, I don't see what filing early will accomplish. If the bad guys have stolen ...
by Wagnerjb
Sat Mar 21, 2015 9:11 am
Forum: Investing - Help with Personal Investments
Topic: IRA advice needed
Replies: 12
Views: 1476

Re: IRA advice needed

So does that mean I'll pay 33% taxes on the whole 50k? That's a huge loss. If you were in my shoes, would you still convert? Rick: assuming your IRA is all pretax, then you will indeed pay 33% on the entire conversion amount. Personally, I would not do so. You are likely to be in a lower tax bracke...
by Wagnerjb
Sat Mar 21, 2015 9:02 am
Forum: Investing - Theory, News & General
Topic: "Financial Simplicity: What is Your Time Worth?"
Replies: 27
Views: 3961

Re: "Financial Simplicity: What is Your Time Worth?"

Every financial decision should lead to less time, less paper, less cost, less worry, and less bother. But if you really take this literally, wouldn't one avoid setting up a 529, a HSA, an SEP-IRA if they have some self-employment income, etc? Brad: there are apparently people out there for whom co...

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