Search found 2925 matches

by dratkinson
Fri Sep 04, 2015 5:08 pm
Forum: Investing - Help with Personal Investments
Topic: Seeking Advice on Windfall Inheritance
Replies: 22
Views: 3305

Re: Seeking Advice on Windfall Inheritance

... But back to business... I think I may have finally come to a decision regarding the allocation of the funds which I'll be transferring from Thrivent to Vanguard. Current consideration: 50% Total Stock Mrkt Index, 20% Intl Stock Index, 20% Total Bond Mrkt Index, and 10% Total Intl Bond Index. An...
by dratkinson
Wed Sep 02, 2015 5:50 pm
Forum: Investing - Help with Personal Investments
Topic: Transferring to Vanguard funds w/o getting out of the market?
Replies: 6
Views: 508

Re: Transferring to Vanguard funds w/o getting out of the market?

Recall from Solin's book (?: The Smartest Investment Book You'll Every Read) that TRP has some well-respected funds. Can not the TRP TSM and TISM funds do what you want? If not, then sell TRP to buy MMF today, then buy Vanguard tomorrow. Either way, capital gains will apply, so do the best (lowest c...
by dratkinson
Wed Sep 02, 2015 4:02 pm
Forum: Investing - Help with Personal Investments
Topic: Co-Workers Think I'm Doomed Based on Portfolio Perf.
Replies: 50
Views: 5464

Re: Co-Workers Think I'm Doomed Based on Portfolio Perf.

I don't see anything wrong with your road to Dublin: home (reverse mortgage option), TSP/401k, your Roth IRA, government pension, SS. If wife is not investing in an IRA, that is an option to contribute more annually. You both should be maxing these options. Taxable investing option. If you (plural) ...
by dratkinson
Tue Sep 01, 2015 1:02 pm
Forum: Personal Consumer Issues
Topic: So-called charity won't delete my name
Replies: 28
Views: 2137

Re: So-called charity won't delete my name

Don't know if this still works, but search for "mail a brick". Recall it could be as simple as taping charity's postage-paid return envelop to a brick. Then their solicitation turns into a USPO donation.
by dratkinson
Tue Sep 01, 2015 12:24 pm
Forum: Investing - Theory, News & General
Topic: I Bonds vs cd's
Replies: 11
Views: 1450

Re: I Bonds vs cd's

Are many banks and CU's now refusing to redeem paper savings bonds? Just planing ahead Call to find out. That's what I eventually did. N.B. A bank needs to know if you have an account with them before they'll redeem bonds as the story can change when they learn you don't. They can't give you money ...
by dratkinson
Tue Sep 01, 2015 1:12 am
Forum: Investing - Theory, News & General
Topic: I Bonds vs cd's
Replies: 11
Views: 1450

Re: I Bonds vs cd's

I bonds vs. CDs? I now prefer muni bonds (VWLTX and IT single-state). I’m planning for the days when I may more need management simplicity. I’m not worried about price fluctuations. So this year sold my I bonds (and EE and small stock allocation) to buy muni bonds. My thinking: munis have higher yie...
by dratkinson
Sun Aug 30, 2015 2:14 pm
Forum: Investing - Help with Personal Investments
Topic: Is this 401(k) even worth it?
Replies: 16
Views: 980

Re: Is this 401(k) even worth it?

Agree Roth IRA is your first investing priority. After that.... Option. I believe more tax-advantaged space is better than less. So suggest using your least egregious 401k option to accumulate funds to move to your next employer. Option. Can begin taxable investing. See: https://www.bogleheads.org/w...
by dratkinson
Sat Aug 29, 2015 8:58 pm
Forum: Investing - Theory, News & General
Topic: TLH for absolute dummies [Tax Loss Harvesting]
Replies: 136
Views: 9167

Re: TLH for absolute dummies [Tax Loss Harvesting]

Late to the party. Noticed the recent new topics on TLHing errors and wanted to submit my transaction checklists for consideration for Wiki inclusion. LadyGeek suggested I start here for the forum to review. Makes sense to me. I use these checklists for all transactions, not just TLHing. They are no...
by dratkinson
Sat Aug 29, 2015 11:08 am
Forum: Investing - Help with Personal Investments
Topic: Pairing question for TLH
Replies: 3
Views: 241

Re: Pairing question for TLH

... So should I tax-loss harvest into your recommended funds and then back and forth into my original ones (if this is necessary) with future TLH opportunities ? Or could there be an argument to simply stay in TSM and TISM and not TLH? Recognized pairs: VGTSX <--> VFWIX VTSMX <--> VFINX/80% + VEXMX...
by dratkinson
Fri Aug 28, 2015 4:38 pm
Forum: Investing - Help with Personal Investments
Topic: Pairing question for TLH
Replies: 3
Views: 241

Re: Pairing question for TLH

Hello, I have recently begun researching TLH for my taxable account and this site has been tremendously helpful. I would appreciate any feedback on the following pairing for my taxable account (as in, are they "allowable", commonly done, etc). I would like to stick to Vanguard funds, woul...
by dratkinson
Fri Aug 28, 2015 3:00 pm
Forum: Investing - Theory, News & General
Topic: Double check your TLH calculation...This error cost me
Replies: 16
Views: 1809

Re: Double check your TLH calculation...This error cost me

Novice investor question.

Thought we could only use $3K/year of loss carry over. So how is OP able to use ~$50K of loss carry over to offset current gain?
by dratkinson
Wed Aug 26, 2015 3:31 pm
Forum: Investing - Help with Personal Investments
Topic: I made a mistake, how do I make the best of it? [Tax gain harvesting]
Replies: 18
Views: 2311

Re: I made a mistake, how do I make the best of it?

Option. Contribute to your deductible tIRA, or to a deductible spousal tIRA or health savings account (HSA). Option. Recharacterize your rIRA to tIRA. However, if in 15% fed now and expect to be in higher bracket later, this would be a mistake as you'd pay more in taxes later when you convert tIRA t...
by dratkinson
Tue Aug 25, 2015 3:31 pm
Forum: Personal Finance (Not Investing)
Topic: Should I add $10,000 to a Roth IRA this year?
Replies: 6
Views: 962

Re: Should I add $10,000 to a Roth IRA this year?

The short answer. More tax-advantaged space is better than less. $10K invested at 7% for 30 years (65-35) becomes ~$76K.

If you don't qualify for a Roth IRA, then do a back door Roth IRA. Search Wiki (link: screen top right).
by dratkinson
Tue Aug 25, 2015 3:20 pm
Forum: Investing - Help with Personal Investments
Topic: Should I buy individual stocks or stock funds
Replies: 9
Views: 721

Re: Should I buy individual stocks or stock funds

If you purchase individual blue chip stocks, you may always worry about them: Chrysler, GM, Amalgamated Buggy Whips,.... If you don't purchase, then you lose the gains made by high flyers---Delta, IBM, Xerox, Kodak---before they decline. So lots of excitement. If you purchase funds, you get the bori...
by dratkinson
Tue Aug 25, 2015 3:20 am
Forum: Investing - Help with Personal Investments
Topic: New investor confused by TLH
Replies: 2
Views: 430

Re: New investor confused by TLH

I'm a novice investor, so you are forewarned. Double-check this. Vanguard frequent trading policy. Can't buy back (online, by phone) into a fund for 60 days after you've sold shares. Exceptions for recurring automated transactions and snail mail. VINIX tracks S&P500 index. VTSAX/VTSMX track MSCI...
by dratkinson
Mon Aug 24, 2015 10:00 pm
Forum: Investing - Help with Personal Investments
Topic: Reinvest dividends and capital gains to avoid a wash sale
Replies: 12
Views: 749

Re: Reinvest dividends and capital gains to avoid a wash sale

... Vanguard says I didn't receive any distributions from 2014 until now. So do I need to worry about capital gains? I understand capital gains with a taxable account, but it's still fuzzy with a Roth account. Just checked. I received distributions Dec 2014 in VTSAX and VFWAX. Most were QDI, some c...
by dratkinson
Mon Aug 24, 2015 3:16 pm
Forum: Investing - Help with Personal Investments
Topic: Reinvest dividends and capital gains to avoid a wash sale
Replies: 12
Views: 749

Re: Reinvest dividends and capital gains to avoid a wash sale

A MMF in tax-advantaged would cause cash drag. Send your reinvested distributions to anything else which you already own in TA as it will little change your AA. Distributions. Distributions = dividends + capital gains. Replacement shares. Replacement shares are bought by any distribution. So Vanguar...
by dratkinson
Mon Aug 24, 2015 2:12 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard doesn't allow dividends to Prime MM?
Replies: 28
Views: 1755

Re: Vanguard doesn't allow dividends to Prime MM?

Avoiding replacement shares. To help avoid the replacement shares/wash sale issue across all accounts, hold unique funds in all accounts, and/or turn off reinvested distributions for like funds and in taxable. Above suggests an option. Convert your Roth TSM to an all-in-one fund: target date retirem...
by dratkinson
Sun Aug 23, 2015 4:11 pm
Forum: Investing - Help with Personal Investments
Topic: First Taxable Account
Replies: 8
Views: 924

Re: First Taxable Account

Preferred investing choices. See: https://www.bogleheads.org/wiki/Three-fund_portfolio See: https://www.bogleheads.org/wiki/Principles_of_tax-efficient_fund_placement In a taxable account, if in the 25+% fed tax bracket, substitute VWITX (intermediate-term national municipal bond fund) for the 3-fu...
by dratkinson
Sun Aug 23, 2015 3:22 pm
Forum: Investing - Help with Personal Investments
Topic: New job has no retirement plan, investment advice needed
Replies: 5
Views: 472

Re: New job has no retirement plan, investment advice needed

Home down payment . Savings goal horizons and recommended savings vehicles. 0-5 years: insured saving, CDs, or US savings bonds (1-year lockout). 5-10 years: safe bond funds/ETFs. >10 years: safe stock funds/ETFs. Asset allocation (AA). One guideline recommends an AA equal to "age in bonds&quo...
by dratkinson
Sat Aug 22, 2015 1:20 pm
Forum: Investing - Help with Personal Investments
Topic: Early investor portfolio advice with slight tax/accounts wrinkle
Replies: 14
Views: 1090

Re: Early investor portfolio advice with slight tax/accounts wrinkle

Your logic seems reasonable and the TLH exercise will be a worthwhile learning experience. Go for it. You are assuming the market will continue to rise so you can cleanly harvest your gain and exit this position before leaving the 15% fed bracket. RQ: Do you have any other market predictions? :) If ...
by dratkinson
Fri Aug 21, 2015 6:13 pm
Forum: Investing - Help with Personal Investments
Topic: Early investor portfolio advice with slight tax/accounts wrinkle
Replies: 14
Views: 1090

Re: Early investor portfolio advice with slight tax/accounts wrinkle

To help avoid replacement shares issue: own unique funds in all accounts (taxable, tax-advantaged, spouse's accounts,...), turn off reinvested distributions. I'm confused about this because I am looking to turn off reinvested dividends in my Vanguard IRA account for VFINX (in preparation for a tax ...
by dratkinson
Fri Aug 21, 2015 5:40 pm
Forum: Investing - Help with Personal Investments
Topic: Switching from Average Cost to Specific ID with Vanguard
Replies: 3
Views: 394

Re: Switching from Average Cost to Specific ID with Vanguard

The easiest way to change cost basis is after you sell everything. Because then you have nothing left under the old cost basis, so no complications.

Make your cost basis change before you sell anything of your new position.
by dratkinson
Fri Aug 21, 2015 5:21 pm
Forum: Investing - Help with Personal Investments
Topic: New to investing: Investing with friend
Replies: 56
Views: 2529

Re: New to investing: Investing with friend

Oh to be young again. Not. I'd only do it if I could keep the knowledge of all of my mistakes: buying whole life insurance from a "friend", and too much else to remember. I promise, I won't do it again the second time. Suggestion. OP search forum for "leaving [friend's investment comp...
by dratkinson
Fri Aug 21, 2015 2:37 pm
Forum: Investing - Help with Personal Investments
Topic: Muni Bonds
Replies: 9
Views: 1321

Re: Muni Bonds

Muni bonds are lower yield than comparable (credit quality, duration) taxable bonds. Tax advantaged accounts = tax-deferred accounts (401k, traditional IRA,...) + tax-free accounts (Roth 401k, Roth IRA,...). Withdrawals from tax-free accounts are tax-free, but low-yield munis will produce less retur...
by dratkinson
Fri Aug 21, 2015 2:12 pm
Forum: Investing - Help with Personal Investments
Topic: Personal Investment Advice. This should be fun.
Replies: 3
Views: 889

Re: Personal Investment Advice. This should be fun.

Suggestion. Rethink "20% American Funds EuroPacific Growth-R5". Why? Sales load. American funds are reported to charge a sales load, so double check the prospectus to see if this is true for your 401k option. If so then better to employ that money for yourself by avoiding that option. Gro...
by dratkinson
Wed Aug 19, 2015 6:52 pm
Forum: Investing - Help with Personal Investments
Topic: Personal Investment Advice. This should be fun.
Replies: 3
Views: 889

Re: Personal Investment Advice. This should be fun.

$15K in savings. Wait to see how the sewer repair goes. As you are using $25K of your EF, I lean toward using the $15K to rebuild your EF. Preferred investing choices. See: https://www.bogleheads.org/wiki/Three-fund_portfolio See: https://www.bogleheads.org/wiki/Principles_of_tax-efficient_fund_pla...
by dratkinson
Wed Aug 19, 2015 4:21 pm
Forum: Personal Finance (Not Investing)
Topic: Bank closed all my accounts without explanation
Replies: 66
Views: 6048

Re: Bank closed all my accounts without explanation

I was really entertained by the OPs progressive explanation. Post 1: "What the heck? No idea why!" Post 2: "Well I did deposit large sums of money, but they never contacted me!" Post 3: "Well they did try to contact me and I acted even more suspicious during that call"...
by dratkinson
Tue Aug 18, 2015 1:01 pm
Forum: Investing - Help with Personal Investments
Topic: Early investor portfolio advice with slight tax/accounts wrinkle
Replies: 14
Views: 1090

Re: Early investor portfolio advice with slight tax/accounts wrinkle

Some random thoughts, since you like doing your own taxes. Taxes on LTCGs. Your fed tax bracket may qualify you for 0% LTCG, but CA may want its cut. Double-check this. Municipal bonds. If you go this route, intermediate term national (VWITX) is the textbook recommendation. Munis are not typically r...
by dratkinson
Mon Aug 17, 2015 4:54 pm
Forum: Investing - Help with Personal Investments
Topic: 23 year old with 50+ years to invest looking for advice
Replies: 31
Views: 2319

Re: 23 year old with 50+ years to invest looking for advice

Books. (What I wish someone had told me when I was in my 20s.) The Only Investment Guide You’ll Ever Need , by Andrew Tobias. It covers a wide range of personal finance topics: life insurance, debt, credit cards, introductory investing,…. The Boglehead's Guide to Investing . It's a structured overv...
by dratkinson
Mon Aug 17, 2015 3:59 pm
Forum: Investing - Help with Personal Investments
Topic: should my Roth IRA be more aggressive
Replies: 23
Views: 2673

Re: should my Roth IRA be more aggressive

Shoot for the moon. The concept of using all equities in tax-advantaged is called "shoot for the moon in TA" and is given 1-2 lines in the Wiki, in a topic devoted to the opposite. Heirs/OP and Roth IRA risk. If heirs want less risk, then they can change the Roth after they get it. If the...
by dratkinson
Sun Aug 16, 2015 2:45 am
Forum: Investing - Theory, News & General
Topic: International funds getting money flows
Replies: 20
Views: 1818

Re: International funds getting money flows

The OP's chart is what my rebalancing sheet is telling me: put new money in TISM and bonds. It's been saying the same thing for months, just limited in my ability to comply.
by dratkinson
Sun Aug 16, 2015 2:24 am
Forum: Investing - Help with Personal Investments
Topic: Tax Strategies in 2nd Year of Retirement?
Replies: 26
Views: 3110

Re: Tax Strategies in 2nd Year of Retirement?

Traditional IRA/401k converted to Roth IRA. Be aware that any untaxed contribution/growth is taxed as ordinary income (not QDI/LTCG) when converted, so will need to watch amount converted to avoid tax-bracket creep.
by dratkinson
Fri Aug 14, 2015 3:32 pm
Forum: Investing - Help with Personal Investments
Topic: Investment advice for beginner with low funds.
Replies: 14
Views: 868

Re: Investment advice for beginner with low funds.

Random thoughts. DIY. The DIY extent of investing is to select your best (broadest index, lowest cost) employer retirement plan option(s), supplement those with your IRA and taxable options, then set everything on autopilot. Why? The less you have (fewer components) to think about with your investin...
by dratkinson
Fri Aug 14, 2015 1:52 pm
Forum: Personal Finance (Not Investing)
Topic: Dental Insurance - Non-employer policy
Replies: 20
Views: 1942

Re: Dental Insurance - Non-employer policy

Investigated dental insurance after retirement. Cost would have paid for annual root canal and crown, which history suggested would not be necessary. So for a known history individual policy, self insurance made more sense.

But for a young family with unknown history, would have to think twice.
by dratkinson
Thu Aug 13, 2015 5:55 am
Forum: Investing - Help with Personal Investments
Topic: Need a sanity check
Replies: 10
Views: 1456

Re: Need a sanity check

But a way to turn off RMDs, which you seem not to need, is to convert a tIRA to a rIRA. Taxes are due on the growth (as ordinary income), but nothing is due on future growth and no RMDs. Taxes might be due on all of it, not just the growth. :happy Right. Deductible (untaxed) tIRA. Forgot about that...
by dratkinson
Wed Aug 12, 2015 4:13 pm
Forum: Investing - Help with Personal Investments
Topic: Need a sanity check
Replies: 10
Views: 1456

Re: Need a sanity check

BHs, I recently posted about concerns over large future RMDs .... Don't recall your situation, didn't look up your past posts.... But a way to turn off RMDs, which you seem not to need, is to convert a tIRA to a rIRA. Taxes are due on the growth (as ordinary income), but nothing is due on future gr...
by dratkinson
Wed Aug 12, 2015 2:57 pm
Forum: Investing - Help with Personal Investments
Topic: Help choose 401(k) funds as well as invest my savings
Replies: 21
Views: 1521

Re: Help choose 401(k) funds as well as invest my savings

^^^ I'm conservative and I believe you need bonds: 20-30%, your choice for your age (29). The choice of TBM or VWITX must also be yours. The forum can provide suggestions/options, but it's your investments and the decision needs to be yours. That decision must be an informed one. I believe you need ...
by dratkinson
Tue Aug 11, 2015 2:46 pm
Forum: Investing - Help with Personal Investments
Topic: Moving to a three fund portfolio
Replies: 11
Views: 997

Re: Moving to a three fund portfolio

^^^ Your fed tax bracket becomes relevant should you want to extend your current tax-advantaged investing into a taxable account. Why? Inheritance, win the lottery, pay raise,.... So we need that information now to provide you with those options for when the time comes: you learn/research/plan now, ...
by dratkinson
Tue Aug 11, 2015 2:05 pm
Forum: Investing - Help with Personal Investments
Topic: Gummy's Macro for pulling quotes
Replies: 2
Views: 326

Re: Gummy's Macro for pulling quotes

A few days ago, Gummy macro returned all zeros from Yahoo. Tried it a couple of times and gave up.

Tried it the next day and it worked. So assumed Yahoo hiccuped.

No need to worry about it unless something significant changes at Yahoo.
by dratkinson
Tue Aug 11, 2015 1:40 pm
Forum: Investing - Help with Personal Investments
Topic: Help choose 401(k) funds as well as invest my savings
Replies: 21
Views: 1521

Re: Help choose 401(k) funds as well as invest my savings

The forum prefers VWITX (IT muni) so I showed that TEY comparison. I prefer VWLTX (long-term national muni), but didn't show that TEY option. Why? A LT muni is appropriate for a LT investor, and you indicate that you might leave before then. Plus a LT muni is a little more sensitive to short-term r...
by dratkinson
Tue Aug 11, 2015 11:40 am
Forum: Investing - Help with Personal Investments
Topic: Moving to a three fund portfolio
Replies: 11
Views: 997

Re: Moving to a three fund portfolio

... Questions: ... 2. I'd like to stay at TD Ameritrade since my accounts are already open there. They offer some Vanguard ETF's commission free. I'm thinking my 3 fund portfolio should look like this: Vanguard Total US Stock Market ETF (VTI): 48k Vanguard Total Bond Market ETF (BND): 20k and 34k t...
by dratkinson
Mon Aug 10, 2015 2:43 pm
Forum: Personal Consumer Issues
Topic: Should i take furniture to consignment store?
Replies: 14
Views: 1276

Re: Should i take furniture to consignment store?

Search for yellow pages for "appraisers" and pay one to value your furniture for a private sale. --Pro. Independent valuation. --Con. Stranger in your home. Private sale using ads on CL and others. --Pro. Probably get the most money. --Pro. Free ads. --Con. Much more work. --Con. Need to r...
by dratkinson
Mon Aug 10, 2015 2:23 pm
Forum: Investing - Help with Personal Investments
Topic: $200k to invest in a taxable account
Replies: 18
Views: 2511

Re: $200k to invest in a taxable account

Assuming the $200K is for a home down payment or other short-term goal, then... Savings goal horizons and recommended vehicles. --0-5 yrs: insured savings, mmk, savings bonds (one year lockout). --5-10 yrs: safe bond funds. --10+ yrs: safe stock funds. If the $200K is for retirement, then... 3-fund ...
by dratkinson
Sun Aug 09, 2015 3:44 pm
Forum: Personal Finance (Not Investing)
Topic: Aflac Insurance [Employee benefit review]
Replies: 9
Views: 840

Re: Aflac Insurance [Employee benefit review]

Doesn't mandatory health care coverage address most of those concerns?
by dratkinson
Sun Aug 09, 2015 3:28 pm
Forum: Investing - Help with Personal Investments
Topic: Funding a Roth Ira for a 13 year old.
Replies: 8
Views: 745

Re: Funding a Roth Ira for a 13 year old.

My first job was as an after-school stock boy and I filed fed/state returns to get back (over) withheld taxes: much less than $3K. So filing returns to contribute to a Roth IRA is a much better deal. After researching the tax documents, could try one of the free online tax programs just to play &quo...
by dratkinson
Sat Aug 08, 2015 3:00 pm
Forum: Investing - Help with Personal Investments
Topic: Muni Bonds
Replies: 9
Views: 1321

Re: Muni Bonds

Too many questions, not enough information. You only need muni bonds if: your reasoned asset allocation says you need more bonds, your tax-advantaged space can't hold all of the bonds you need, and your tax rate is high enough to justify muni bonds in taxable. Phew. Please read The Boglehead's Guide...
by dratkinson
Sat Aug 08, 2015 2:08 pm
Forum: Investing - Help with Personal Investments
Topic: Just opened my first ira
Replies: 6
Views: 619

Re: Just opened my first ira

Read The Boglehead's Guide to Investing . It's a structured overview of the topic: accounts types, appropriate investments for each account type, a little investing history underpinning the recommendations,.... Get the book from your local library or through inter-library loan. Begin reading in the ...
by dratkinson
Sat Aug 08, 2015 12:52 pm
Forum: Investing - Help with Personal Investments
Topic: Help choose 401(k) funds as well as invest my savings
Replies: 21
Views: 1521

Re: Help choose 401(k) funds as well as invest my savings

Option. In Roth IRA, could substitute VEXMX (Vanguard extended market index fund) for TBM. Pair S&P 500/VEXMX 80/20 to create TSM. Of course, moving TBM out of Roth would necessitate increasing bonds in taxable. So.... Roth 4500 VEXMX (20%, and need to increase bonds in taxable by 4500.) 1000 V...

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