Search found 577 matches

by mesaverde
Thu Mar 07, 2024 6:24 pm
Forum: Personal Finance (Not Investing)
Topic: Is it Time to Self-Insure? CA Homeowners Rate Increases
Replies: 118
Views: 8841

Re: Is it Time to Self-Insure? CA Homeowners Rate Increases

[/quote]
I'm going to consider their suggestion of increasing the deductible plus look at some of the small discounts for wildfire mitigation that I think my house already meets.
[/quote]

Just tell them you have a fire extinguisher & smoke detectors & perhaps they'll only raise the premium by 200% 😀
by mesaverde
Mon Feb 26, 2024 3:45 pm
Forum: Personal Finance (Not Investing)
Topic: Best way to be a first-time home buyer if I intend to move in three years?
Replies: 54
Views: 6575

Re: Best way to be a first-time home buyer if I intend to move in three years?

The "Best way to be a first-time home buyer if I intend to move in three years" is to rent for the next three years so that you can save even more for a down payment when you buy your 1st home in three years.
by mesaverde
Mon Feb 26, 2024 8:45 am
Forum: Personal Finance (Not Investing)
Topic: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?
Replies: 28
Views: 3567

Re: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?

Hello! I'm 51 and will start receiving a pension when I retire at age 55. I'm able to purchase one year of prior service (for work before starting with my current employer). The cost to purchase this year is $36,218.52 . I can roll that amount from my Vanguard Trad. IRA to the pension. Purchasing this year would increase my annual pension payment by $4,356/year . My pension has a cola with a maximum increase of 5%/year. Does purchasing this year of service make sense? I am thinking it does make sense because I went to Schwab.com to get a fixed annuity estimate. According to their calculator an initial investment of $36,218.52 produces an income of only $2,712/year until death. $1,644 less than purchasing the year of prior service. But perh...
by mesaverde
Sat Feb 24, 2024 5:54 pm
Forum: Personal Finance (Not Investing)
Topic: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?
Replies: 28
Views: 3567

Re: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?

WeakOldGuy wrote: Thu Feb 22, 2024 9:26 pm Sounds decent to me, if you are in good health (ie currently health and don't smoke, abuse drugs, aren't overweight and get regular exercise).

Are you married or single? If married, is the pension a joint life pension or ends with you?
I'm single.
by mesaverde
Fri Feb 23, 2024 5:26 am
Forum: Personal Finance (Not Investing)
Topic: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?
Replies: 28
Views: 3567

Re: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?

Do you need to make this purchase now in order to get this “deal”? Could you, for example, purchase an additional year of service when you are age 54 instead of now at age 51? And, if so, would be the price be the same then as it is now? I generally agree that this is an excellent offer if you (a) want to have a larger guaranteed pension, and (b) are in better than “very poor” health. But if you can delay the purchase and get the same price when you do purchase, it’s an even better deal. Excellent points/questions. I can definitely wait to purchase the year of service (up to just before I retire). I don't know the answer to whether it would be more expensive to wait, but suspect it would be (time value of $). I'll find out if it would be m...
by mesaverde
Thu Feb 22, 2024 7:43 pm
Forum: Personal Finance (Not Investing)
Topic: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?
Replies: 28
Views: 3567

Re: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?

Steelersfan wrote: Thu Feb 22, 2024 6:59 pm How many years are you from retirement and getting your pension? You'll be paying in current dollars and the benefit is some years in the future.
I'm 51 and will retire soon after turning 55.
by mesaverde
Thu Feb 22, 2024 7:42 pm
Forum: Personal Finance (Not Investing)
Topic: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?
Replies: 28
Views: 3567

Re: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?

tetractys wrote: Thu Feb 22, 2024 6:48 pm You’ll break even in 8.5 years. The gamble is that you’ll pass away before then. Also you’ll benefit from the COLA.

Ability to roll from traditional is a plus.

BTW, what is the COLA, does it utilize COLA banking, what index does it follow?
The COLA is based on the annual monthly average of the Consumer Price Index for all Urban Consumers (CPI-U), published by the U.S. Bureau of Labor Statistics and updated each July 1.
by mesaverde
Thu Feb 22, 2024 6:42 pm
Forum: Personal Finance (Not Investing)
Topic: Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?
Replies: 28
Views: 3567

Purchase one year of prior service for $36k to increase annual pension benefit by $4.3k?

Hello! I'm 51 and will start receiving a pension when I retire at age 55. I'm able to purchase one year of prior service (for work before starting with my current employer). The cost to purchase this year is $36,218.52 . I can roll that amount from my Vanguard Trad. IRA to the pension. Purchasing this year would increase my annual pension payment by $4,356/year . My pension has a cola with a maximum increase of 5%/year. Does purchasing this year of service make sense? I am thinking it does make sense because I went to Schwab.com to get a fixed annuity estimate. According to their calculator an initial investment of $36,218.52 produces an income of only $2,712/year until death. $1,644 less than purchasing the year of prior service and withou...
by mesaverde
Sat Feb 10, 2024 4:23 pm
Forum: Personal Consumer Issues
Topic: Is it foolish to keep driving my old car?
Replies: 138
Views: 12253

Re: Is it foolish to keep driving my old car?

OP- What's your net worth? Unless this $50,000 car is a small fraction of it, there's no way I'd buy it if your current car meets your needs and only needs routine maintenance. Unless you have a high net worth, putting large sums of money into a liability that steadily depreciates in value greatly reduces your ability to build wealth/independence. Not to mention what the additional insurance premiums, property tax, etc. will cost.
by mesaverde
Thu Feb 01, 2024 11:51 am
Forum: Personal Consumer Issues
Topic: Yosemite vs Smokies vs ...
Replies: 58
Views: 5437

Re: Yosemite vs Smokies vs ...

I've backpacked many thousands of miles throughout N. America, S. America, & Europe. Have been to Yosemite & GSMNP several times each. There's no way I'd fly to Yosemite to spend just 2-3 days there. Save that trip for when you have an absolute minimum of 7 full days & you'll actually get to know the park.

You might consider backpacking the length of the Appalachian Trail in GSMNP. Either as an out and back, or get a shuttle to return you to your vehicle. I've done it both ways. Some of the best backpacking one can do in the eastern U.S.
by mesaverde
Mon Jan 22, 2024 7:10 pm
Forum: US Chapters
Topic: 🎁 🎉Happy 100th Birthday to Taylor Larimore 🎊🎂
Replies: 429
Views: 41938

Re: 🎁 🎉Happy 100th Birthday to Taylor Larimore 🎊🎂

Happy birthday Taylor!
I've really enjoyed reading your posts over the past 18 years. Thank you for sharing your wisdom and how to apply the KISS principle to investing.
by mesaverde
Mon Jan 22, 2024 4:08 am
Forum: Personal Investments
Topic: Re-Assessing Risk at 50
Replies: 42
Views: 4700

Re: Re-Assessing Risk at 50

I'm 50 and will retire at age 52.
My current AA is 50/50 stocks/bonds.

BTW, the many posts here indicating people's AA is pretty meaningless without indicating if they are already retired or a projected retirement age.
by mesaverde
Mon Jan 15, 2024 8:27 pm
Forum: Personal Consumer Issues
Topic: To new car or not ...
Replies: 23
Views: 2884

Re: To new car or not ...

There's no way I would have a bank purchase an expensive depreciating liability for me with me on the hook for paying the bank back plus interest. Even moreso without even knowing what the insurance premiums would be.

Assuming you bought your Mazda new because it fits your lifestyle & you planned to keep it a long time, it makes no sense to get rid of it. You described routine maintenance (parts wearing out due to use), not repairs due to poor engineering.
by mesaverde
Sun Jan 14, 2024 2:55 pm
Forum: Personal Consumer Issues
Topic: Exploring options for correcting a bad vehicle purchasing decision
Replies: 42
Views: 5461

Re: Exploring options for correcting a bad vehicle purchasing decision

wfg wrote: Thu Jan 11, 2024 10:20 am I've come to terms with the idea that purchasing this vehicle was not a good decision, so I am interested in exploring my options to correct it.
Specifically:
Having the bank purchase this expensive depreciating liability (with you on the hook for paying them back) was not a good decision.

I made the same mistake when I was 25 and will never make it again. I have absolutely no interest in going into debt for a depreciating liability. If I can't pay for it with my own money, I can't afford it. OP, hopefully you can get out of this without too much loss and learn from the mistake.
by mesaverde
Fri Jan 05, 2024 5:21 am
Forum: Personal Finance (Not Investing)
Topic: Marriage tax penalty and getting a prenup in early 30s
Replies: 121
Views: 17198

Re: Marriage tax penalty and getting a prenup in early 30s

OP congratulations, your assets (and what they're invested in) indicates that the two of you share one major thing in common- responsible use of $. That can be hard to find in a partner.

If you plan on having kids getting married makes sense, regardless of a perceived "marriage tax". And yes, getting a prenup also makes sense. It would be a good idea for both of you to hire your own lawyer for this.
by mesaverde
Thu Jan 04, 2024 7:34 pm
Forum: Personal Finance (Not Investing)
Topic: What is the Worst Financial Decision/Mistake You Have Made?
Replies: 657
Views: 133076

Re: What is the Worst Financial Decision/Mistake You Have Made?

1. Bought a new truck just out of college (using the bank's $, not my own) when I already had a fair amount of student loan debt. 2. Did not find out how much the insurance would be on this new truck before buying it with the bank's $. Could not afford the student loan payments, truck payments, & auto insurance payments on my new teacher's salary. Wanted to sell the truck after realizing this but already owed several thousand more than the truck was worth. 3. Decided to go for a year without auto insurance to focus on making extra payments on the student loan & truck. 4. Had an auto accident during this time without auto insurance. Totalled my truck and another vehicle. The other driver was drunk & speeding but I turned left in ...
by mesaverde
Wed Dec 06, 2023 7:15 pm
Forum: Personal Consumer Issues
Topic: Geico Auto - Premium up again
Replies: 31
Views: 4194

Re: Geico Auto - Premium up again

I was also with Geico for over a decade and switched to Progressive two years ago. Not only has the premium been lower, but I've made three claims with Progressive and each was a very smooth/painless process. All three claims were for "damage other than collision", which on my policy has only a $100 deductible and includes any damage including glass. Two of the claims were for windshield replacements. One of the claims was for a $7,000 body repair after I hit a deer. My car could have been totaled (it was borderline) but Progressive ended up repairing it, which I was thankful for. Over the past two years I've saved thousands of dollars by having auto insurance. Frankly I'm surprised that Progressive does not rank higher in JD Powe...
by mesaverde
Sat Nov 25, 2023 5:36 am
Forum: Personal Consumer Issues
Topic: Windshield damage to rental car out of state
Replies: 59
Views: 5365

Re: Windshield damage to rental car out of state

Next time, I will definitely use an Amex to get the rental and think of the extra costs as an unavoidable expense. :oops: Or just take the rental car company's coverage. That idea often gets laughed at as impossibly profligate - interestingly sometimes by people who seem to want to "Die With Zero." But buying the rental company's coverage lets you walk away from the car. Even if you forgot to take a video when you picked it up. Even if you forgot to take a video when you dropped it off. Even if AMEX disagrees that you're covered by them. No phone calls. No letters. No useless discussions with car company agents. No trailing agita. Yup - it costs more than car renters wish it cost. Travel has a TON of unavoidable expenses! But you...
by mesaverde
Thu Nov 23, 2023 5:15 am
Forum: Personal Consumer Issues
Topic: Windshield damage to rental car out of state
Replies: 59
Views: 5365

Re: Windshield damage to rental car out of state

Hi OP. The moment I read "Thrifty" in your post, I knew the outcome would not be good. Years ago I also made the mistake of renting from Thrifty, and I will never again rent from a "budget" auto rental company again. What you "save" in a lower rental fee is frequently made up in time and/or money they will extract from you in a long list of possible ways. They are experts at what they can get away with, and that list is long. Even if it is something trivial like turning in the car slightly early or late. A "low cost" company like Thrifty can cause you to never want to go on a "vacation" ever again if renting a car is involved. Today if I rent a car it's only from reputable rental companies (...
by mesaverde
Sun Nov 05, 2023 5:31 am
Forum: Personal Consumer Issues
Topic: Choosing a specialist for a dental procedure
Replies: 52
Views: 5538

Re: Choosing a specialist for a dental procedure

8301 wrote: Sat Nov 04, 2023 6:22 pm Did you go through a dental implant and by whom? Your regular dentist, an endodontist, a periodontist, a dental surgeon, or some other dental specialist?
I am also wondering who is the best person for dental implants.
You might try sending a direct private message to the OP. Are you able to ask for references from colleagues at your workplace (who are on the same dental insurance)?

I'm in the same situation. [Medical details removed by admin LadyGeek] my dentist did a root canal. The root canal failed because [...] Fortunately I'm a teacher & will ask my colleagues where they've had good dental work done, as I will not be returning to the dentist I've been going to. I don't trust online reviews.
by mesaverde
Thu Oct 12, 2023 4:45 am
Forum: Investing - Theory, News & General
Topic: At what point does BND become attractive?
Replies: 141
Views: 23832

Re: At what point does BND become attractive?

I’ve found myself enamored with BND lately. It must be all this bond talk/paranoia ‘round here the last several weeks. I rebalanced a little bit into more BND last week. I wanted to buy more, but I’m sticking to my 75/25 plan. I’m an earlyish retiree (53).. my time horizon feels good for BND at these cheap prices. If rates stay flat, I will be very happy. If they go down in the next couple years, I will throw a party. If they continue to climb, I will appreciate the increase in yield :beer I'm thinking the same! I'm 50 and nearing retirement. Since 2009/the end of the Great Recession I've invested very heavily in total U.S. stock market. Recently I sold most of that (at significant capital gains, fortunately in a 457b) in exchange for BND ...
by mesaverde
Wed Oct 04, 2023 8:40 am
Forum: Personal Consumer Issues
Topic: Dental Insurance
Replies: 37
Views: 4699

Re: Dental Insurance

Do be careful to ascertain what the dentist charges for not-insured patients. With a plan they are under agreement to take the allowed charges whatever the actual covered amount. It could be the dentist will negotiate fees and discounts that are as good as the insurance, or it may not be. I would not just casually avoid insurance but I would investigate all the alternatives with the practice you intend to use, which should be based on the quality of care you expect to get. Definitely good advice, as dental insurance may have an allowed charge of, say $1,000 for a root canal whereas the general rate the dental office may charge to the general public (without dental insurance) might be $1,500. Dental practices are largely unregulated busines...
by mesaverde
Sat Sep 23, 2023 4:08 am
Forum: Personal Finance (Not Investing)
Topic: Quitting a high paying job and retiring early
Replies: 118
Views: 16314

Re: Quitting a high paying job and retiring early

According to the World Bank, approx. half of the world's human population lives on less than $6.85/day. Perhaps you & your wife would be willing to adjust your lifestyle & live on 10x that? (a luxurious $50k/year for you & your wife).

Just trying to put things into perspective given that your kids' college is already paid for, you'll be empty nesters soon, have no debt, & have $3 million (not even including your home).
by mesaverde
Fri Sep 22, 2023 1:05 pm
Forum: Investing - Theory, News & General
Topic: Why wouldn't you at least temporarily choose a high interest account over a total bond fund?
Replies: 27
Views: 3072

Re: Why wouldn't you at least temporarily choose a high interest account over a total bond fund?

The current yield to maturity for VBTLX is 4.9% (average effective maturity is 8.8 years).
Sounds like a pretty good deal to me given that the yield on a high interest savings or money market account can decrease at any moment.
It depends on your goals/time horizon.
by mesaverde
Mon Sep 11, 2023 6:08 am
Forum: Personal Consumer Issues
Topic: Decision at end of car lease
Replies: 41
Views: 4332

Re: Decision at end of car lease

OP: Congratulations, you got to "test drive" your Bolt since 2021 at a very low rate. You've confirmed what you thought you knew (you love the car and know it's a great fit for you). Now you can buy that barely used car (with new battery!!) at private party price but the big advantage is that you know the precise history of the car. The only reason you wouldn't buy this car now is if it isn't the right fit for your lifestyle. Financially it makes complete sense.
by mesaverde
Sun Sep 03, 2023 8:43 pm
Forum: Personal Consumer Issues
Topic: What new car to get to replace 2010 Toyota Corolla?
Replies: 123
Views: 9761

Re: What new car to get to replace 2010 Toyota Corolla?

OP: I would LOVE to buy your pampered Corolla and drive it into the ground. It isn't even halfway there.
by mesaverde
Sun Aug 20, 2023 4:36 am
Forum: Personal Finance (Not Investing)
Topic: Rethinking "Keep Your Car for Ten Years"
Replies: 466
Views: 48780

Re: Rethinking "Keep Your Car for Ten Years"

Hard to believe that so many Bogleheads churn automobiles. Homes & automobiles are the two most expensive single purchases we make (especially when also including ongoing cost of insurance, maintenance, taxes). They are "buy & hold" type purchases. To those who get a new car every 3-5 years, I recommend reading the book "Your Money or Your Life" to understand what that's truely costing you. Personally I got 300k out of my last vehicle (1995 2WD Nissan pickup) and the only reason I sold it was because I didn't need a truck anymore. My current vehicle (Honda Fit) has 150k on it and I've driven it across the country 10x. I'll keep it until 300k at least. As long as you're not getting stranded on the side of the road...
by mesaverde
Sun Aug 13, 2023 7:45 pm
Forum: Personal Investments
Topic: Can I retire now, or do I need to wait & how long?
Replies: 14
Views: 3431

Re: Can I retire now, or do I need to wait & how long?

Hacksawdave wrote: Sun Aug 13, 2023 10:40 am For the age 50-59.5 part I would say you are cutting it too close. There is $425K (457b and taxable accounts) that would need to last 9.5 years that could potentially run dry in 7.32 years on a $58K budget if returns are flat. Unless you want to pay a penalty or go the 72(t) route (I don’t know if you're a qualified public safety employee), I would either add two more years or wait to age 55 if your 401k allows rule of 55 withdrawals.
Thank you everyone for the feedback. Hacksawdave I'm realizing that this is precisely what I need to do- work two more years. Doing so will 1. increase savings and 2. reduce the need for money in the initial period (retiring to age 59.5).
by mesaverde
Sun Aug 13, 2023 9:36 am
Forum: Personal Investments
Topic: Can I retire now, or do I need to wait & how long?
Replies: 14
Views: 3431

Re: Can I retire now, or do I need to wait & how long?

[/quote]

How is the state pension COLA calculated?
Are you in the 3% max or the 5% max COLA group?
[/quote]

I'm in the 5% max COLA group.
by mesaverde
Sat Aug 12, 2023 7:51 pm
Forum: Personal Investments
Topic: Can I retire now, or do I need to wait & how long?
Replies: 14
Views: 3431

Can I retire now, or do I need to wait & how long?

Emergency Funds : 6 months sitting in Vanguard money market Debt : $200k mortgage balance at 2.75% on my home (home value $400k). 27 years remaining. Not making additional principal payments at that low interest rate. No other debt. Tax filing Status : single Tax Rate : At top of 12% federal income tax bracket. 5.75% state income tax. After retiring there should be no change (not moving and taxable income will remain roughly the same as it is now). State of residence : Virginia Age : 50 Current Retirement Assets Taxable. 3% ($31k) VSIAX Vanguard Small Value Index Fund ER .07% Government 457b . I plan to use it as the main initial source of income after retiring (until ~age 59.5). 21% (186k) FSKAX Fidelity Total Stock Market Index ER .015% ...
by mesaverde
Fri Jun 02, 2023 5:32 am
Forum: Personal Finance (Not Investing)
Topic: Is it worth keeping credit card debt if you can "beat" the interest rate?
Replies: 54
Views: 4500

Re: Is it worth keeping credit card debt if you can "beat" the interest rate?

"The borrower is slave to the lender." Proverbs 22:7

Simplify your life and increase your net worth. Free yourself of this debt (ball & chain). Even if it means moving to a tent down by the river. You'll come out clean & a new person.
by mesaverde
Sat May 27, 2023 5:19 am
Forum: Personal Finance (Not Investing)
Topic: Purchase new house with cash, small mortgage, or ???
Replies: 18
Views: 1939

Re: Purchase new house with cash, small mortgage, or ???

OP, kudos to you for taking steps to create an extra ~2 hours per day by moving closer to work. Time can be more valuable than money.

Specifically how will you spend this extra time?
That's something important to consider to fully understand the opportunity cost.

For example- I moved 5 minutes from my work and run an average of 10 miles per day before going to work. There's no way I'd be able to do that with the longer commute I had before.
by mesaverde
Fri May 26, 2023 1:23 pm
Forum: Personal Finance (Not Investing)
Topic: Sell or rent out primary residence?
Replies: 6
Views: 875

Re: Sell or rent out primary residence?

I've been in your shoes and there's no way I would rent your (old) home out, mainly for these reasons:
1. If you sell you can put the equity in your new home (preferred) or passively invest it.
2. There is a list of significant risks you take on as a landlord. Not to mention the time you'd need to put into being a landlord.

You can sell the home yourself (if you're willing to put time into it) to save a substatial amount of money. It sounds like a seller's market, which makes that easier. You could pay a flat fee to a real estate attorney to handle the paperwork.
by mesaverde
Sat Apr 29, 2023 6:58 am
Forum: Personal Consumer Issues
Topic: Dying is Expensive!
Replies: 147
Views: 13641

Re: Dying is Expensive!

afan wrote: Wed Apr 26, 2023 6:26 am Few things in this world are certain but I am highly confident that, after my cremation, I will be dead and will not care what happens to my ashes.
Love it.

And at some point (when humans are extinct?), cemeteries will return to the natural state of the land (forest, etc.). No other animal (other than humans) significantly alters the land to bury its dead.
by mesaverde
Thu Apr 27, 2023 2:11 pm
Forum: Personal Finance (Not Investing)
Topic: Buying a car in 2023
Replies: 124
Views: 17289

Re: Buying a car in 2023

We were forced into the car market last August when wife's 2007 Toyota Avalon's engine blew. She insisted on replacing it with another Avalon. The only new one in the entire metro area was red, the only color she objected to. I searched the region for late model, used Avalons. There were very few available within a 300 mile radius. I even looked at Lexus 350s, which are almost identical. Interestingly, the nearest Lexus dealership had a decent inventory of late model 350s at that time, but wife wanted an Avalon. A couple of days later, a local Toyota dealer had a low mileage Avalon Limited with only 19k miles and it was a dealer certified car. It was at least $12k cheaper than new, so we bought it. This was first time ever that I was unabl...
by mesaverde
Fri Apr 21, 2023 7:14 am
Forum: Personal Finance (Not Investing)
Topic: Financially wise to put a down payment on a car?
Replies: 25
Views: 4142

Re: Financially wise to put a down payment on a car?

[/quote]
+1. Pay cash for your car. It is purely a consumption item. If you have to borrow money to pay for it, you cannot afford it.
[/quote]

Exactly. OP, do you normally ask someone to buy really expensive things for you? Even if you agree to pay them back (with interest)?
This is one of the main reasons why so many Americans are broke.
by mesaverde
Thu Apr 20, 2023 9:48 pm
Forum: Personal Finance (Not Investing)
Topic: Financially wise to put a down payment on a car?
Replies: 25
Views: 4142

Re: Financially wise to put a down payment on a car?

It's foolish to go into debt for a liability that steadily drops in value.

Buy a $5,000 car and continue saving for a nicer car if you truly need a nicer car.

Those who get into the habit of going into debt to buy things that steadily drop in value significantly delay reaching financial goals such as financial freedom/independence.
by mesaverde
Mon Apr 17, 2023 12:19 pm
Forum: Personal Consumer Issues
Topic: Flaunt Your High-Mileage Car
Replies: 945
Views: 150290

Re: Flaunt Your High-Mileage Car

My last vehicle- 1995 Nissan pickup (two wheel drive). Bought it new and put 298k on it. The only significant repair (maintenance) was rebuilding the clutch, which cost $400 (NAPA rebuild kit + labor).

Current vehicle- 2013 Honda Fit. Bought it new, 142k and plan on putting ~300k on it.

As stated earlier in this thread, if you want to get the most out of your vehicle, frequent oil changes are key. I.e. changing the oil at least 1,000 or 2,000 miles before what is recommended (what your vehicle's maintenance minder/light tells you).
by mesaverde
Sat Apr 15, 2023 12:36 pm
Forum: Personal Consumer Issues
Topic: Car for car camping
Replies: 63
Views: 7002

Re: Car for car camping

Honda Fit.
One of the main reasons I bought it is the ability to lay down flat and sleep in it (I'm 5'11). I've slept in it at least 50 times over the years. Incredibly nimble, great gas mileage, reliable, inexpensive to repair/maintain, easy to park in the city with short wheel base, and massive storage for the size of the car.
by mesaverde
Sun Mar 26, 2023 6:09 am
Forum: Personal Consumer Issues
Topic: 2.5 days in Memphis
Replies: 18
Views: 1872

Re: 2.5 days in Memphis

I recommend walking off the great food at:
1. Mud Island (you could park at/near the bridge that links Mud Island to downtown, and walk upriver from there. Very safe and scenic views of the river.
2. The pedestrian river walk across the I-55 bridge. Very scenic, especially from Arkansas looking back at Memphis.
by mesaverde
Fri Mar 24, 2023 5:35 pm
Forum: Investing - Theory, News & General
Topic: Defer defined benefit pensions until age 65 or roll over now (at age 50) and invest?
Replies: 10
Views: 696

Re: Defer defined benefit pensions until age 65 or roll over now (at age 50) and invest?

peteyboy wrote: Fri Mar 24, 2023 5:25 pm Some simple math:
  • $104K + $27K = $131K
  • $131K @ 10.13% for 15 years = $557K
  • $557K (0.04) = $22.3K at 4% SWR
I'd take the $41,200/yr pension with COLA starting at 65
Thank you. It's actually pretty simple.
by mesaverde
Fri Mar 24, 2023 5:24 pm
Forum: Investing - Theory, News & General
Topic: Defer defined benefit pensions until age 65 or roll over now (at age 50) and invest?
Replies: 10
Views: 696

Re: Defer defined benefit pensions until age 65 or roll over now (at age 50) and invest?

bikesandbeers wrote: Fri Mar 24, 2023 5:17 pm Wouldn’t that $100k have to go to $1million if 3.4% is a SWR?
A very good point. Turning ~$100k into ~$1 million over 15 years would be a far stretch :-) That puts it into the proper perspective.
by mesaverde
Fri Mar 24, 2023 5:21 pm
Forum: Investing - Theory, News & General
Topic: Defer defined benefit pensions until age 65 or roll over now (at age 50) and invest?
Replies: 10
Views: 696

Re: Defer defined benefit pensions until age 65 or roll over now (at age 50) and invest?

delamer wrote: Fri Mar 24, 2023 5:10 pm What assumptions are you using that make you think you’d come out ahead by doing the rollover?

Will the annuity amounts you cited be adjusted at 65 for inflation, or are they nominal?
Good questions. By rolling over I would retain more flexibility and the opportunity to leave the $ to heirs/charities (not counting any financial advantage, which there may or may not be). The annuity amounts are nominal (and would annually be adjusted upwards from the $34,400k/$6,800k figures I gave with inflation).
by mesaverde
Fri Mar 24, 2023 5:00 pm
Forum: Investing - Theory, News & General
Topic: Defer defined benefit pensions until age 65 or roll over now (at age 50) and invest?
Replies: 10
Views: 696

Defer defined benefit pensions until age 65 or roll over now (at age 50) and invest?

I’m 50 years old and will likely retire from my teaching position in a few months. The question is what to do with two defined benefit pensions I have. Here are the numbers: Pension #1 : Current balance (that I could roll over to an IRA): $104k . If choose to keep the pension (and start withdrawing the earliest unreduced benefit starting at age 65), the estimated benefit would start at $34,400 /year, and increase each year after that based on an inflation index. Pension #2 : Current balance (that I could roll over to an IRA): $27k . If choose to keep the pension (and start withdrawing the earliest unreduced benefit starting at age 65), the estimated benefit would start at $6,800 /year, and increase each year after that based on an inflation...
by mesaverde
Wed Mar 22, 2023 1:44 pm
Forum: Personal Finance (Not Investing)
Topic: Would you buy a house for 615k if you were us? UPDATE: under contract
Replies: 99
Views: 10921

Re: Would you buy a house for 615k if you were us?

It sounds like you already have what you need. Your current home situation is a higher standard of living than 99.9%+ of families in the world. Any chance you can feel grateful for that fact alone?

Just because you can do something doesn't mean you should.
by mesaverde
Fri Dec 23, 2022 6:49 pm
Forum: Personal Consumer Issues
Topic: What are your LEAST favorite vacation destinations
Replies: 399
Views: 43306

Re: What are your LEAST favorite vacation destinations

I agree with many of the spots mentioned in this post (Disney, Las Vegas, etc.) but am a little surprised that many people mention Great Smoky Mountain National Park. Perhaps those who had a negative experience didn't take the time to figure out the many ways one can enjoy the park without dealing with crowds.

Personally, my two most memorable experiences in Great Smoky Mountain National Park were: 1. exploring/surveying what is the 2nd deepest cave in the park and 2. backpacking the Appalachian Trail from one end of the park to the other (the highest section of the Appalachian Trail).
by mesaverde
Sat Nov 05, 2022 6:18 am
Forum: Personal Consumer Issues
Topic: Rain pants?
Replies: 17
Views: 2015

Re: Rain pants?

I backpack approx. 500 -1,000 miles a year. For rain pants I currently wear "33,000ft Men's Rain Pants", which are as cheap as Frogg Toggs but fit better, are definitely waterproof (I stood in the shower before taking them on a hike), and the material is very durable. I expect to get 10+ years out of them just like the last pair I had (hiking in alpine environments). https://www.amazon.com/33-000ft-Lightweight-Waterproof-Windproof/dp/B08M5S99NX/ref=sr_1_1_sspa?crid=21IAA63MQGNEM&keywords=33%2C000ft+Men%27s+Rain+Pants&qid=1667646459&qu=eyJxc2MiOiIzLjEzIiwicXNhIjoiMi43MiIsInFzcCI6IjIuMzgifQ%3D%3D&sprefix=33%2C000ft+men%27s+rain+pants%2Caps%2C91&sr=8-1-spons&psc=1 If you ever need a rain jacket, I recommend bu...
by mesaverde
Tue Oct 25, 2022 8:50 am
Forum: Personal Finance (Not Investing)
Topic: Is saving 34% of income towards retirement reasonable?
Replies: 138
Views: 17473

Re: Is saving 34% of income towards retirement reasonable?

I honestly cannot imagine not working and plan on retiring at 65, while my wife would likely work 3-4 years longer given her younger age. -Imagine finding a passion that brings you pure and utter joy, and this passion has nothing to do with working even the most meaningful job. And work directly prevents you from fully following this passion. -Imagine being completely free and only working because you choose to. -Imagine not being able to work until age 65 because your health does not allow it. -Imagine not being able to fully enjoy life in retirement, after age 65, because your health does not allow it. Therefore you have every incentive to save as high a percentage of your earnings as you can (while maintaining a current standard of livi...
by mesaverde
Sun Oct 23, 2022 1:56 pm
Forum: Personal Consumer Issues
Topic: Xfinity Xfi Gateway/Complete or bring your own modem?
Replies: 28
Views: 9592

Re: Xfinity Xfi Gateway/Complete or bring your own modem?

xb7 wrote: Sun Oct 23, 2022 12:26 pm More recently I don't call to bargain, but just go online and find a one year deal better than what my last one switches to after the last deal is over.
I just hate their marketing approach, but it's gotten easier now that I don't have to call.
Personally the last time I did this with Xfinity (when my reasonable-cost contract was about to expire) it was even more of a pain. From experience (3x) it's been easier to simply call with the sole intention of canceling service (I've truly always been ready to walk). Then let them tell you about their best offer (which is generally the one on offer for new customers).
I've always used my own modem/router as well. Saves $ in the long run.
by mesaverde
Mon Sep 12, 2022 6:32 am
Forum: Personal Investments
Topic: Teenager with $11k - what to do?
Replies: 36
Views: 3744

Re: Teenager with $11k - what to do?

I've taught personal finance to several thousand high school juniors & seniors over the years. What I always advise to anyone earning income is to put a certain amount in some form of completely liquid savings account (i.e., not invested, with no concern for inflation for this pot of $). And put the rest in a Roth IRA. Why? Once the opportunity to contribute to Roth each year is gone it's lost forever, and you can always withdraw _contributions_ penalty free. But one has every incentive to keep their $ in a Roth. And a teenager might be less tempted to buy a vehicle they cannot afford if much of their savings is in a Roth :-) So in this case, I suggest putting $5k in a liquid savings account, and maxing out a Roth with the remaining $6k...