Search found 14498 matches

Return to advanced search

Re: Is this a reasonable way to re-create total market?

I can see how VOO + VB would make the numbers look right, but miss a huge swath of companies (#501 - #XXXXXX in size). Once the portfolio is large enough and spread across a bunch of these options, maybe that sort of thing evens out? If you have an S&P 500 fund for some reason, then you can com...
by grabiner
Sat Apr 25, 2015 9:12 am
 
Forum: Investing - Theory, News & General
Topic: Is this a reasonable way to re-create total market?
Replies: 6
Views: 381

Re: New learner question regarding 401k fund with high ER

Respectfully, as someone in the healthcare industry - Healthcare is the fastest growing industry in the United States and the past few years have been the number 1 time period in history of M&A (Mergers and Acquisitions) in history. Look at companies like Athena that have scaled and are still r...
by grabiner
Sat Apr 25, 2015 9:01 am
 
Forum: Investing - Help with Personal Investments
Topic: New learner question regarding 401k fund with high ER
Replies: 4
Views: 318

Re: Should I use Roth funds for new car purchase?

Check exactly where you are in the SS phase-in. You might be able to take a large withdawal from the traditional IRA without having a significant amount taxed at 46.25% (25% tax bracket and still in the phase-in). If this is the case, you might even take more than you need out of the traditional IR...
by grabiner
Sat Apr 25, 2015 8:40 am
 
Forum: Personal Finance (Not Investing)
Topic: Should I use Roth funds for new car purchase?
Replies: 6
Views: 523

Re: Rolling An RMD Inro A Roth

In addition, if you have an RMD you don't need, you could convert part of the traditional IRA into a Roth, using the unneeded RMD to pay the tax due. This will reduce your future RMDs. (This may not always be a good deal; it depends on how various parts of the tax code interact. For example, if you ...
by grabiner
Fri Apr 24, 2015 8:40 pm
 
Forum: Personal Finance (Not Investing)
Topic: Rolling An RMD Into A Roth
Replies: 7
Views: 679

Re: HSA help

You should max out the HSA in preference to any other investment except a 401(k) matched by the employer. The reason is that contributions to the HSA are tax-deductible, and withdrawals are tax-free if used for medical expenses; this is a much better deal than either a traditional or Roth 401(k)/IRA...
by grabiner
Fri Apr 24, 2015 8:32 pm
 
Forum: Personal Finance (Not Investing)
Topic: HSA help
Replies: 2
Views: 207

Re: Should I use Roth funds for new car purchase?

If you need to spend your RMDs anyway, then the traditional IRA money is no more valuable than the Roth money after you adjust for the portion of the traditional IRA that is owned by the IRS. If you normally pay 30% tax on withdrawals from the traditional IRA, then you can withdraw $3500 from the Ro...
by grabiner
Fri Apr 24, 2015 8:27 pm
 
Forum: Personal Finance (Not Investing)
Topic: Should I use Roth funds for new car purchase?
Replies: 6
Views: 523

Re: Which mortgage loan would you choose (recast or not)?

LOAN 1: CHASE If you choose to pay your mortgage automatically from a Chase checking account, Chase will give you $500/year. This is not reflected in the APR – this is a big benefit for you. Please review details here: https://www.chase.com/chf/mortgage/mortgage-cash-back Loan program: 30 years fix...
by grabiner
Fri Apr 24, 2015 8:15 pm
 
Forum: Personal Finance (Not Investing)
Topic: Which mortgage loan would you choose (recast or not)?
Replies: 22
Views: 602

Re: XIRR of NASDAQ over the last 15 years

I would expect a good return, because the market timing happens to have worked out very well in other respects. One of your investments was made on March 10, 2009, which was the day after the 2007-2009 bottom; any high-risk investment you made on that date doubled in value in the next year. Here's a...
by grabiner
Fri Apr 24, 2015 7:59 pm
 
Forum: Investing - Theory, News & General
Topic: XIRR of NASDAQ over the last 15 years
Replies: 11
Views: 450

Re: International Stock Poll: Emerging vs Developed Ratio

I would have half my international in emerging markets and half in small-cap if the prices were the same. But Emerging Markets Index and FTSE All-World Ex-US Small-Cap ETF are both somewhat more expensive than Developed Markets Index, with fewer qualified dividends (important in a taxable account). ...
by grabiner
Fri Apr 24, 2015 7:51 pm
 
Forum: Investing - Theory, News & General
Topic: International Stock Poll: Emerging vs Developed Ratio
Replies: 30
Views: 1082

Re: TSP ==> Vanguard or not

I would suggest keeping the TSP so that you can invest in the G fund for your bond allocation; it is better than any bond fund you can get outside the TSP. You will have other investment options in the future (IRA, 401(k) at new employers), so if you want to hold something which isn't in the TSP (su...
by grabiner
Fri Apr 24, 2015 7:45 pm
 
Forum: Investing - Help with Personal Investments
Topic: TSP ==> Vanguard or not
Replies: 11
Views: 819

Re: Is tax loss harvesting that powerful ?

With only the ability to write off $3000 a year it doesn't seem like this is a tool that the rich and powerful investors would care too much about. As an example of a much bigger benefit, I had to sell a lot of stock to make my home down payment in 2013. I had capital gains on all of my stock, but ...
by grabiner
Fri Apr 24, 2015 7:38 pm
 
Forum: Investing - Theory, News & General
Topic: Is tax loss harvesting that powerful ?
Replies: 44
Views: 2759

Re: Bond: Mutual Fund or ETF?

Here is a trading screen of SCHZ and BND. I have put a red outline around the trades of BND. Purple line is ask, blue line is bid. Blue circles are trades. See how very few trades are executed at the displayed ask price? Also note in lower left the order book for SCHZ. Since a 1900 share order is n...
by grabiner
Fri Apr 24, 2015 7:16 pm
 
Forum: Investing - Help with Personal Investments
Topic: Bond: Mutual Fund or ETF?
Replies: 31
Views: 1602

Re: Adequate alternatives to TurboTax?

great news, thanks. Looks like I should try TaxAct next go around. Can I import info to TaxAct from 2014 with files derived from TT? I realize this seems like an ignorant question, but I am ignorant in this regard. Thanks If you saved a copy of your return in PDF format from TurboTax, TaxAct is abl...
by grabiner
Thu Apr 23, 2015 9:29 pm
 
Forum: Personal Consumer Issues
Topic: Adequate alternatives to TurboTax?
Replies: 25
Views: 1360

Re: Anyone Manually Manage Quicken?

I manually manage my Quicken data so that I can check the records received from my financial institutions. I have had one check clear twice, and two others clear for the wrong amount, and caught these because I entered the check in Quicken for the right amount.
by grabiner
Thu Apr 23, 2015 9:17 pm
 
Forum: Personal Finance (Not Investing)
Topic: Anyone Manually Manage Quicken?
Replies: 34
Views: 1180

Re: To ETF or Not to ETF? That is the question.

And lastly, but perhaps most importantly, for bogleheads: - the tax treatment of mutual funds and ETFs is entirely different. - example: a NON-total market fund, passively tracking a certain benchmark, might have to trade to rebalance to target. That trading WILL generate taxable event for the mutu...
by grabiner
Thu Apr 23, 2015 9:11 pm
 
Forum: Investing - Theory, News & General
Topic: To ETF or Not to ETF? That is the question.
Replies: 8
Views: 1098

Re: Is tax loss harvesting that powerful ?

With only the ability to write off $3000 a year it doesn't seem like this is a tool that the rich and powerful investors would care too much about. As an example of a much bigger benefit, I had to sell a lot of stock to make my home down payment in 2013. I had capital gains on all of my stock, but ...
by grabiner
Thu Apr 23, 2015 9:08 pm
 
Forum: Investing - Theory, News & General
Topic: Is tax loss harvesting that powerful ?
Replies: 44
Views: 2759

Re: Exploring how much risk to take

In this chart, it appears that the optimal risk level should increase in retirement, but that is an illusion. It is most likely that your portfolio size will decline in retirement, and thus your risk tolerance will decline with it. It does make sense that an 85-year-old can take more risk with a $50...
by grabiner
Thu Apr 23, 2015 9:02 pm
 
Forum: Investing - Theory, News & General
Topic: Exploring how much risk to take
Replies: 1
Views: 288

Re: Age in Bonds Poll

I don't really fit into the categories, so I answered, "I don't follow age in bonds". I am 47, and currently have 2% bonds by my definition (counting my mortgage as a negative bond), 12% by a conventional definition. I have had one of the most aggressive portfolios among the Bogleheads eve...
by grabiner
Thu Apr 23, 2015 8:58 pm
 
Forum: Investing - Theory, News & General
Topic: Age in Bonds Poll
Replies: 71
Views: 3259

Re: Why is the big difference between FSIVX and VTIAX

Fidelity Spartan International Index does not include Emerging Markets. VTIAX Total International Stock Market Index includes Emerging Markets at around 18-22%. Also, Vanguard Total International includes small-caps. Vanguard's closest equivalent to the Fidelity fund is Developed Markets Index. (Ev...
by grabiner
Thu Apr 23, 2015 8:53 pm
 
Forum: Investing - Help with Personal Investments
Topic: Why is the big difference between FSIVX and VTIAX
Replies: 2
Views: 504

Re: Tax loss harvesting

3.07% state income tax implies that you live in PA. PA does not allow capital losses to be deducted except against capital gains in the same year, and only against actual gains, not fund distributions. There is no carryover and they cannot be deducted against ordinary income. Therefore, you get no s...
by grabiner
Thu Apr 23, 2015 8:25 pm
 
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting
Replies: 3
Views: 418

Re: JABAX Capital gain and dump or not?

There is a link to a calculator on the wiki: Paying a tax cost to switch funds If you are in AMT, your best Vanguard alternative is Tax-Managed Balanced; it holds muni bonds which are AMT-free. However, I normally prefer holding stock and muni funds separately in a taxable account. You can still do ...
by grabiner
Thu Apr 23, 2015 8:13 pm
 
Forum: Investing - Help with Personal Investments
Topic: JABAX Capital gain and dump or not?
Replies: 4
Views: 313

Re: Looking for emerging markets fund

I'm invested in schwab's sfenx which only has a $100 minimum. It is a "smart" index (not my preference) If you don't have $3000 to invest, it probably isn't worth holding a separate emerging markets fund at all, as where you invest a small amount won't make much of a different in your por...
by grabiner
Thu Apr 23, 2015 8:10 pm
 
Forum: Investing - Help with Personal Investments
Topic: Looking for emerging markets fund
Replies: 14
Views: 714

Re: VNQ & VNQI

From a tax perspective, owning VNQI is about as much fun as hitting yourself in the face with a brick. It's dividends are 85% unqualified, so it only makes sense to own in a tax-free account. But if it's in a tax-free account, you lose the foreign tax credit. Heads you lose, tails the IRS wins. The...
by grabiner
Thu Apr 23, 2015 8:04 pm
 
Forum: Investing - Help with Personal Investments
Topic: VNQ & VNQI
Replies: 22
Views: 2089

Re: City Tax Question

You need to check the city tax rules for each city. I lived in OH for a year, but I lived and worked in the same city, which taxed only salary, so my income was withheld as a percentage of my salary and I didn't even need to file a city tax form. I did need to pay school district income tax. There a...
by grabiner
Wed Apr 22, 2015 8:59 pm
 
Forum: Personal Finance (Not Investing)
Topic: City Tax Question
Replies: 3
Views: 413

Re: "4 Passive-Investing Pitfalls to Avoid"

"If you have a bond fund or if you want to hold a bond fund, you should either house it inside of an IRA or maybe if you want to put it in a taxable account, make sure you're looking at munis." This is the conventional wisdom, but I keep seeing people saying the opposite is true in today'...
by grabiner
Wed Apr 22, 2015 8:41 pm
 
Forum: Investing - Theory, News & General
Topic: "4 Passive-Investing Pitfalls to Avoid"
Replies: 4
Views: 1378

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%. And that is my criterion as well. I happen to be 100% index now because indexes are the best funds available for everything I wa...
by grabiner
Wed Apr 22, 2015 8:31 pm
 
Forum: Investing - Theory, News & General
Topic: "How much of your portfolio is in index funds, and why?"
Replies: 56
Views: 4901

Re: Vanguard Ultra-Short-Term Bond Fund now available

I don't understand the advantage of FDIC in this case: isn't FDIC insurance and Treasury bonds exposed to essentially the same default risk *? They're both backed the US government. ... Also the insurance guarantee is not the same. FDIC guarantees principal and accrued interest only. The "full...
by grabiner
Wed Apr 22, 2015 7:45 pm
 
Forum: Investing - Theory, News & General
Topic: Vanguard Ultra-Short-Term Bond Fund now available
Replies: 41
Views: 5535

Re: Using Zillow/Zestimate to value a home?

Zillow actually publishes information related to the accuracy of their estimates: http://www.zillow.com/zestimate/#acc Bottom line, Zillow valuations are based on a computer algorithm which basically looks at square footage, bathrooms and bases value on nearby sales of similar properties. In my exp...
by grabiner
Tue Apr 21, 2015 10:25 pm
 
Forum: Personal Finance (Not Investing)
Topic: Using Zillow/Zestimate to value a home?
Replies: 43
Views: 4644

Re: New York City Tours

I recommend the Circle Line https://www.circleline42.com/; I have gone on it several times. It is a 3-hour tour all the way around Manhattan.

It isn't a tour for visiting the attractions, just for seeing them, although you can then go back and visit anything of interest (by subway, for example).
by grabiner
Tue Apr 21, 2015 9:06 pm
 
Forum: Personal Consumer Issues
Topic: New York City Tours
Replies: 11
Views: 926

Re: Tax withholding for lump sums

Check the instructions for Form 2210. If your income is earned unevenly during the year, you can apportion your estimated tax payments accordingly and still avoid a penalty for underpayment. For example, if a year-end bonus causes you to earn 40% of your income in the fourth quarter, you can pay 40%...
by grabiner
Tue Apr 21, 2015 8:55 pm
 
Forum: Personal Finance (Not Investing)
Topic: Tax withholding for lump sums
Replies: 4
Views: 416

Re: LifeStrategy in all accounts vs tax-aware allocation

I don't like LifeStrategy in a taxable account. If you need the simplicity of a single fund, use Target Retirement funds in your taxable account instead. The reason to avoid LifeStrategy is that it won't stay the right fund for you. As you approach retirement, you will want to switch from 80% stock ...
by grabiner
Tue Apr 21, 2015 8:36 pm
 
Forum: Investing - Help with Personal Investments
Topic: LifeStrategy in all accounts vs tax-aware allocation
Replies: 4
Views: 691

Re: What's Up With Vanguard Muni Fund Duration

With the relatively large difference in the average maturity (15.9 vs. 8.7) to compare to average duration of 5.9 vs. 4.8, I too am interested in hearing from those who have some expertise in this area. The maturity calculation does not adjust for the call features. A bond which matures in 20 years...
by grabiner
Tue Apr 21, 2015 8:31 pm
 
Forum: Investing - Help with Personal Investments
Topic: What's Up With Vanguard Muni Fund Duration
Replies: 5
Views: 569

Re: State Tax Exemption for National Muni Fund Income

If you are a resident of California, by all means read the California instructions. If you reside in another state, you had best read that state's instructions because states can have their own rules. In the case of California, this is from 1001 Publication 1001, Supplementary Guidelines to Califor...
by grabiner
Mon Apr 20, 2015 10:47 pm
 
Forum: Personal Finance (Not Investing)
Topic: State Tax Exemption for National Muni Fund Income
Replies: 4
Views: 449

Re: Transitioning to Low-Fee Holdings

I'm in the process of converting a substantial sum from my actively managed portfolio to the more low-fee index approach. I'm a little concerned about doing too much in one fell swoop with the market riding pretty high. The reason you shouldn't be concerned about this type of switch is that you can...
by grabiner
Mon Apr 20, 2015 10:30 pm
 
Forum: Investing - Help with Personal Investments
Topic: Transitioning to Low-Fee Holdings
Replies: 4
Views: 469

Re: Help with taxable account needed in 8-12 months

I'm sorry if I'm being dense but if my taxable account, which is right now all stocks, drops from its current $42k down to $21k where are you suggesting I get the remaining down payment from? In your example there is $60k left after the drop, but in my situation I'm well short of the monies needed....
by grabiner
Mon Apr 20, 2015 10:24 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help with taxable account needed in 8-12 months
Replies: 9
Views: 955

Re: VTIAX or VTMGX and VEMAX

I wanted to make the comment that any numbers reported by M* for "tax-cost" are suspect until proven otherwise. I would not use them myself. Don't use Morningstar's tax data; use the data from the fund provider. Morningstar doesn't always know about qualified dividends, and there are a fe...
by grabiner
Mon Apr 20, 2015 10:21 pm
 
Forum: Investing - Theory, News & General
Topic: VTIAX or VTMGX and VEMAX
Replies: 30
Views: 2732

Re: Qualified dividends in international funds

Here's a link to page that talks about foreign qualified dividend income: http://sherayzenlaw.com/foreign-qualified-dividend-income/ Qualified Foreign Corporation IRC Section 1(h)(11)(C)(i) defines the concept of qualified foreign corporation as (subject to certain exceptions) any foreign corporati...
by grabiner
Sun Apr 19, 2015 10:41 pm
 
Forum: Investing - Theory, News & General
Topic: Qualified dividends in international funds
Replies: 11
Views: 525

Re: Need help understanding market cap in total market

Here are the bands for cap size according to CRSP: https://www.dropbox.com/s/vw0tvubznu8o7bv/CRSP%20size.png?raw=1 Source: http://www.crsp.com/indexes-pages/key-concept-1-market-capitalization-breakpoints Looks like the CRSP "small" company is much smaller than the Morningstar "small...
by grabiner
Sun Apr 19, 2015 10:16 pm
 
Forum: Investing - Theory, News & General
Topic: Need help understanding market cap in total market
Replies: 12
Views: 996

Re: What is a reasonable offer on this home?

Thanks for your replies. Before I received grabiner's reply, I received the comps from my broker. Nearby townhomes in the immediate vicinity and same street were sold for: $247,000 (July 2014) --> 2015 assessment @ $263,700 $338,000 --> assessed @ $264,000 $291,000 --> assessed @ $263,700 $300,000 ...
by grabiner
Sun Apr 19, 2015 8:53 pm
 
Forum: Personal Finance (Not Investing)
Topic: What is a reasonable offer on this home?
Replies: 7
Views: 1029

Re: Help with taxable account needed in 8-12 months

I'm assuming I need $40k-$60 for 20% down. I've looked at the "Placing cash needs ..." page. It is intriguing but I'm getting my head wrapped around the axle about actually having the cash in the taxable account and not so much the impact to my total portfolio. Exchanging my TSP G when ti...
by grabiner
Sun Apr 19, 2015 8:45 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help with taxable account needed in 8-12 months
Replies: 9
Views: 955

Re: Interesting article on improving LTC policies

I agree that I'd love to buy a policy with a long elimination period and a long benefit period. When I was 16 my father told me to buy insurance for catastrophes, not for inconveniences. That's still my attitude. I can handle the more predictable stuff, I need insurance for the unpredictable. The p...
by grabiner
Sun Apr 19, 2015 7:58 pm
 
Forum: Personal Finance (Not Investing)
Topic: Interesting article on improving LTC policies
Replies: 4
Views: 627

Re: Pay off student loans vs. saving for a down payment

Welcome to the forum! The payment on the student loans will count against your debt-to-income ratio when you are financing, but unless the loans are variable-rate or you can eliminate them entirely, you won't improve your debt-to-income by paying them down. In contrast, if you save for a larger down...
by grabiner
Sun Apr 19, 2015 7:41 pm
 
Forum: Personal Finance (Not Investing)
Topic: Pay off student loans vs. saving for a down payment
Replies: 2
Views: 366

Re: What is a reasonable offer on this home?

What the owner paid is irrelevant in determining the value of the home. (It may affect what the owner is willing to sell for, but that isn't really your problem. If the owner refuses to sell for a loss and the home isn't worth what he paid for it, he won't sell.) The assessed value may also not be r...
by grabiner
Sun Apr 19, 2015 7:35 pm
 
Forum: Personal Finance (Not Investing)
Topic: What is a reasonable offer on this home?
Replies: 7
Views: 1029

Re: Using Zillow/Zestimate to value a home?

Zillow and similar sites do a decent job crunching the numbers, but they don't know what to do about features which are not in the numbers. If there are four homes of the same style and size in the same development, the crunched numbers will give them all the same price. But if one home has a recent...
by grabiner
Sun Apr 19, 2015 7:28 pm
 
Forum: Personal Finance (Not Investing)
Topic: Using Zillow/Zestimate to value a home?
Replies: 43
Views: 4644

Re: VTIAX or VTMGX and VEMAX

Please Note that some of the data is missing at Morningstar e.g. Morningstar does not have Tax adjusted returns for VTIAX for 5, 10 and 15 yr. Don't use Morningstar's tax data; use the data from the fund provider. Morningstar doesn't always know about qualified dividends, and there are a few other ...
by grabiner
Sun Apr 19, 2015 7:12 pm
 
Forum: Investing - Theory, News & General
Topic: VTIAX or VTMGX and VEMAX
Replies: 30
Views: 2732

Re: Coverdell account reporting to IRS?

Forms 5498 are filed by custodians with the IRS; you don't have to do anything with them other than saving them for your records. (In fact, they are usually not filed until May; this allows an IRA custodian to report all 2014 IRA contributions, including those made through April 15, 2015.) You would...
by grabiner
Sun Apr 19, 2015 6:58 pm
 
Forum: Investing - Help with Personal Investments
Topic: Coverdell account reporting to IRS?
Replies: 2
Views: 283

Re: Hedged and unhedged converging

A hedged fund (mutual fund or ETF) hedge currency risk by buying currency contracts. For example, suppose you buy a European stock fund for $10,000 when $1 is worth 1 euro. Either a hedged or unhedged fund will buy EUR 10,000 worth of European stock. A hedged fund will also buy a contract to exchang...
by grabiner
Sun Apr 19, 2015 6:51 pm
 
Forum: Investing - Help with Personal Investments
Topic: Hedged and unhedged converging
Replies: 1
Views: 199

Re: Help with taxable account needed in 8-12 months

How much do you need for the down payment? If it is less than half your taxable account, you can wait, and adjust the risk of your portfolio in your IRA/401(k)/TSP alone. See Placing cash needs in a tax-advantaged account on the wiki. (If you do this, it is probably best to adjust in the TSP, since ...
by grabiner
Sun Apr 19, 2015 6:36 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help with taxable account needed in 8-12 months
Replies: 9
Views: 955

Re: TSP Participant Account Balances

Interestingly, CSRS employees had the highest average Roth TSP account balances. The average FERS Roth TSP account balance was $5,719. The average CSRS Roth TSP account balance was $9,231. The average Uniformed Services Roth TSP Account balance was $3,211. This is particularly odd because it is the...
by grabiner
Fri Apr 17, 2015 9:45 pm
 
Forum: Personal Finance (Not Investing)
Topic: TSP Participant Account Balances
Replies: 13
Views: 1659

Re: selective bias

If this has previously been discussed please link and lock thread. :sharebeer Do investment firms practice selective bias techniques? For example, is it common practice for a firm to provide 100k to 10 advisors and then promote the advisors with the best results? Surely a few advisors would beat th...
by grabiner
Fri Apr 17, 2015 9:32 pm
 
Forum: Investing - Theory, News & General
Topic: selective bias
Replies: 6
Views: 784
Next

Return to advanced search