Search found 903 matches

by Boglegrappler
Mon Oct 16, 2017 9:29 am
Forum: Personal Finance (Not Investing)
Topic: UTMA accounts
Replies: 17
Views: 484

Re: UTMA accounts

I'm not sure of the benefit of the UTMA UGMA accounts for most people. It seems to me that the biggest advantage is if you were expecting to be subject to estate taxes, you can get 14k (28k for a married couple) to each of your children annually and it will be out of your estate if you happen to die...
by Boglegrappler
Mon Oct 16, 2017 7:53 am
Forum: Personal Finance (Not Investing)
Topic: Social Security Death Benefits
Replies: 4
Views: 500

Re: Social Security Death Benefits

Although this might not be the best thread for noting this point, parents who are at the social security eligible age and who still have children under age 18 can file and suspend (I believe) and have the children collect benefits as a minor child until the child turns 18. This is not a very prevale...
by Boglegrappler
Sun Oct 15, 2017 9:56 pm
Forum: Personal Finance (Not Investing)
Topic: [Social Security announces 2.0% benefit increase for 2018]
Replies: 26
Views: 3149

Re: [Social Security announces 2.0% benefit increase for 2018]

Just as an aside Medicare Premiums are also taxable for those with enough MAGI to make them so. (I send 25% of my GROSS SS Benefits back to the government each year). I'm not understanding this comment. Medicare premiums are something you pay. They're not income to you. They are not "taxable". Howe...
by Boglegrappler
Sun Oct 15, 2017 4:16 pm
Forum: Investing - Help with Personal Investments
Topic: Little as possible for govt
Replies: 9
Views: 1290

Re: Little as possible for govt

If I understand your situation correctly, it seems that you would be able to roll a lump sum distribution into an IRA account, either directly from trustee to trustee, or within 60 days if distributed to you. See the Tax Issues section of this page. https://www.nceo.org/articles/esop-participant-dis...
by Boglegrappler
Sun Oct 15, 2017 8:07 am
Forum: Personal Consumer Issues
Topic: Negotiating for a new car purchase
Replies: 48
Views: 2628

Re: Negotiating for a new car purchase

I've had success doing the following. 1. Use autotrader and Cars.com to see how prevalent the car you want is in dealer inventories in your region. You will also be able to learn how many dealers will discount from the sticker, and to what degree. I find this very useful to get an idea of what kind ...
by Boglegrappler
Sat Oct 14, 2017 11:07 am
Forum: Personal Finance (Not Investing)
Topic: [Social Security announces 2.0% benefit increase for 2018]
Replies: 26
Views: 3149

Re: [Social Security announces 2.0% benefit increase for 2018]

Apparently 95% of SS/Medicare recipients are in the base Hold Harmless tier. So if healthcare costs related to Medicare increased more than 2% last year, the entire amount above the SS increase gets apportioned across the 5% in higher Medicare tiers. Last year that was going to happen and it got "f...
by Boglegrappler
Fri Oct 13, 2017 9:16 pm
Forum: Investing - Help with Personal Investments
Topic: Voluntary Corporate Action Tendered Offer Wal-Mart questions
Replies: 8
Views: 578

Re: Voluntary Corporate Action Tendered Offer Wal-Mart questions

I've only looked at it quickly, but I think you may not be reading the offer correctly. Its offering a price calculated to bring a yield to maturity of of 50 basis points over a "reference" US treasury bill, which matures 12 years after your bond (a generous reference benchmark). That price plus the...
by Boglegrappler
Thu Oct 12, 2017 1:17 pm
Forum: Personal Finance (Not Investing)
Topic: What is the process for liquidating inherited individual stocks?
Replies: 17
Views: 1085

Re: What is the process for liquidating inherited individual stocks?

We are aware of the WF fraud schemes. We have no idea yet whether our relative had any phantom accounts fraudulently created in his name to get more commissions for WF sales agents. It doesn’t seem like we could trust WF to research this. Has anyone with WF encountered any problems with their broke...
by Boglegrappler
Mon Oct 09, 2017 2:54 pm
Forum: Investing - Theory, News & General
Topic: Dividends growing at higher rates than inflation?
Replies: 9
Views: 795

Re: Dividends growing at higher rates than inflation?

Some of my dividends have been growing pretty well over the past seven or eight years. One of the things to be aware of is that dividends cannot grow faster than earnings grow, in the long run. Take a look at your companies and see if they are paying out a higher and higher share of earnings per sha...
by Boglegrappler
Fri Oct 06, 2017 8:28 pm
Forum: Personal Finance (Not Investing)
Topic: Sell or keep shares of a private company?
Replies: 39
Views: 2148

Re: Sell or keep shares of a private company?

If you can't stand the idea of passing up the cash, I'd urge you to sell only half of your stake. My guess is that your buyer would balk at that. But the fact that you have an offer has "informational content". Someone with investment expertise believes your shares are worth at least what they've of...
by Boglegrappler
Thu Sep 28, 2017 4:13 pm
Forum: Investing - Theory, News & General
Topic: Share buybacks vs Dividends
Replies: 102
Views: 4659

Re: Share buybacks vs Dividends

For those interested in a fairly simply, common sense discussion of these issues, see Buffett's letter from 2012, pages 19-21. Its a pretty good summary of the considerations around decisions to pay dividends, or buyback shares, or neither. http://www.berkshirehathaway.com/letters/2012ltr.pdf Among ...
by Boglegrappler
Mon Sep 25, 2017 6:18 pm
Forum: Personal Finance (Not Investing)
Topic: What's the purpose of having a child's name on a deed?
Replies: 41
Views: 3231

Re: What's the purpose of having a child's name on a deed?

PA has an inheritance tax that amounts to 4.5% on transfers to direct descendants. The rate for transfers to siblings is much higher. If the property is jointly owned, and has been jointly owned for the year before (to prevent transfers just prior to deaths), then the co-owned portion is not subject...
by Boglegrappler
Thu Sep 21, 2017 10:24 am
Forum: Investing - Help with Personal Investments
Topic: Warren Buffett and Bond Funds
Replies: 33
Views: 3039

Re: Warren Buffett and Bond Funds

You're missing what you may come to understand if you read pages 17-19 of Buffett's letter to shareholders in 2011. He sees the long term returns on fixed income as likely being negative to zero, as a summation.

http://www.berkshirehathaway.com/letters/2011ltr.pdf
by Boglegrappler
Thu Sep 21, 2017 9:32 am
Forum: Investing - Help with Personal Investments
Topic: I won the Lottery. Need sound advice.
Replies: 220
Views: 24000

Re: I won the Lottery. Need sound advice.

And let me throw some water on your post. You don't have that much money. I'll reiterate this, (not having read the intervening posts). If you put the whole amount in an SP500 index fund, it will produce a dividend yield of about 1.9% pretax. That's 22,800 annually, before taxes. Its the equivalent...
by Boglegrappler
Thu Sep 21, 2017 8:59 am
Forum: Investing - Theory, News & General
Topic: Any "average Joe" here actually make out well with individual stocks?
Replies: 108
Views: 12457

Re: Any "average Joe" here actually make out well with individual stocks?

t wouldn't be surprising to find folks who've done well the last few years through stock-picking. Anyone who's bought into the "growth" stories - companies like Amazon, Netflix, Tesla - would have had many chances to outperform the U.S. stock index. Everyone's a stock-picking genius when the broad ...
by Boglegrappler
Wed Sep 20, 2017 10:08 pm
Forum: Investing - Theory, News & General
Topic: Any "average Joe" here actually make out well with individual stocks?
Replies: 108
Views: 12457

Re: Any "average Joe" here actually make out well with individual stocks?

We’ve done fairly well with individual stocks, but we own well over 30. Plus we aren’t average joes in terms of experience, having worked in the financial businesss for a long time, and seen a lot. We’re a bit ahead of the sp500 over last ten years, but it varies a /bit depending on what quarter yo ...
by Boglegrappler
Sun Sep 17, 2017 3:06 pm
Forum: Investing - Theory, News & General
Topic: What am I missing, Bogle/Buffet investment philosophy
Replies: 19
Views: 1965

Re: What am I missing, Bogle/Buffet investment philosophy

Not sure where this philosophy is codified, but Buffett has warned adamantly against long-term investors having too much invested in fixed income. See pages 17-19 below. Note that he uses "currency based investments" as his term for the broad category to include fixed income. http://www.berkshirehat...
by Boglegrappler
Wed Aug 30, 2017 10:35 am
Forum: Investing - Help with Personal Investments
Topic: Relative angry I will not co-sign
Replies: 90
Views: 8174

Re: Relative angry I will not co-sign

Banks and other credit extenders make plenty of loans today to people who ought not be loaned money in the first place. Requiring a co-signer is a sign that this person shouldn't be receiving additional credit. The post above that notes that the relationship will be damaged whether or not you make t...
by Boglegrappler
Fri Aug 18, 2017 1:18 pm
Forum: Personal Consumer Issues
Topic: Powerball - $510 million?
Replies: 64
Views: 4715

Re: Powerball - $510 million?

You always should take the lump sum. I don't believe lottery annuities are full faith and credit of the states and even if they were, its better not to depend on entities where they could decide to, or have to, default. Buying tickets makes decent sense to me, in moderation. I had a finance prof who...
by Boglegrappler
Mon Aug 07, 2017 12:02 pm
Forum: Investing - Help with Personal Investments
Topic: Seems like both Stocks and bonds have equal risk now...
Replies: 26
Views: 3253

Re: Seems like both Stocks and bonds have equal risk now...

For younger investors, and older ones who have more than a 10 year horizon, read pages 17-19 of
http://www.berkshirehathaway.com/2011ar/2011ar.pdf

Risk has more than one definition.
by Boglegrappler
Mon Jul 17, 2017 9:45 am
Forum: Investing - Help with Personal Investments
Topic: Personal Finance Milestone: 20 Times Annual Expense
Replies: 95
Views: 9220

Re: Personal Finance Milestone: 20 Times Annual Expense

Boglegrappler, <<Being able to save half of your after-tax pay requires either stunning austerity, or a rather high income.>> Or, none of the above. I came from a country/culture where the average gross rate for the whole country is 30+%. It is how we live. It is part of our culture. And, that is n...
by Boglegrappler
Sun Jul 16, 2017 11:11 am
Forum: Investing - Help with Personal Investments
Topic: Personal Finance Milestone: 20 Times Annual Expense
Replies: 95
Views: 9220

Re: Personal Finance Milestone: 20 Times Annual Expense

Not happy about uttering a discouraging word here, but........ Being able to save half of your after-tax pay requires either stunning austerity, or a rather high income. It does, however, put you in a position to be independent and also to live from your assets income rather than consuming it and wo...
by Boglegrappler
Thu Jul 13, 2017 12:57 pm
Forum: Investing - Theory, News & General
Topic: Buffet's Top 10 Letters?
Replies: 2
Views: 603

Re: Buffet's Top 10 Letters?

Read pages 17-19 of the 2011 letter. Read it repeatedly over time, and focus on the next to last paragraph if you want to get a veiled glimpse into what Buffett thinks might happen in the future. Keep in mind that he takes decades long views of things. The 2012 letter has a good discussion of divide...
by Boglegrappler
Mon Jul 10, 2017 4:02 pm
Forum: Personal Finance (Not Investing)
Topic: Job opportunity - increase in compensation but also much longer commute
Replies: 25
Views: 2097

Re: Job opportunity - increase in compensation but also much longer commute

The proper way to evaluate incremental commuting time from a new residence or to a new workplace is to use a realistic estimate of the extra time spent beyond what you now spend commuting, and then look at that as a fraction of your current discretionary time. Sometimes it's not a fraction.
by Boglegrappler
Mon Jul 10, 2017 10:46 am
Forum: Personal Consumer Issues
Topic: what happened to new KO roses?
Replies: 20
Views: 1511

Re: what happened to new KO roses?

I've got lots o those plants. Some that are in the rear of my property, closer to deer, and with more full sun, have not done well. Some that are closer to the house, with only 4-6 hours of direct sunlight, have flourished unbelievably, and do produce blooms prolifically. This year I've been sprayin...
by Boglegrappler
Sun Jul 09, 2017 10:27 am
Forum: Personal Finance (Not Investing)
Topic: Seeking Advice on Graduate School
Replies: 14
Views: 1500

Re: Seeking Advice on Graduate School

Northwestern and Chicago are two top MBA programs. The right question is whether the employment opportunities are the same for the part-time graduates vs the full-time program. That is a question of facts and statistics that should be available. It's possible that the part-time programs are filled u...
by Boglegrappler
Sat Jul 08, 2017 8:21 am
Forum: Personal Finance (Not Investing)
Topic: Seeking Advice on Graduate School
Replies: 14
Views: 1500

Re: Seeking Advice on Graduate School

They promised me that if I am with them for at least couple more years – I will receive a small share of the company. It's hard to criticize comments like this without knowing specifics. But..........it's my experience that owners of businesses view their businesses like their children. They aren't...
by Boglegrappler
Fri Jul 07, 2017 8:59 pm
Forum: Investing - Theory, News & General
Topic: "Bond wipeout has just begun"???
Replies: 84
Views: 12247

Re: "Bond wipeout has just begun"???

multi year rally? More like a multi decade rally. You do realize that we've had a 30 year bond bull market starting in 1980 (or possibly end of 70s) because interest rates were in the double digits then and came down to essentially 0% during/after the Great Recession? interest rates fall, bond pric...
by Boglegrappler
Mon Jul 03, 2017 2:57 pm
Forum: Investing - Theory, News & General
Topic: BRKB Stock [Berkshire Hathaway Inc. Class B]
Replies: 26
Views: 2951

Re: BRKB Stock [Berkshire Hathaway Inc. Class B]

The B of A deal is old news, by years. Its getting some publicity now because he's going to convert his convertible preferred into common now that the yield on the common has risen because of the dividend increase. My portfolio suggests that today's action is a shift out of the higher growth stocks ...
by Boglegrappler
Mon Jul 03, 2017 10:34 am
Forum: Personal Finance (Not Investing)
Topic: Another health insurance question - term life
Replies: 8
Views: 432

Re: Another health insurance question - term life

Twenty years is probably long enough. The bigger issue is the amount. You need enough insurance to cover the out-of-pocket cost of education that you would otherwise pay, Plus an amount that would cover the necessary child care expenses that your spouse would pay to enable them to work. If your spou...
by Boglegrappler
Fri Jun 30, 2017 4:37 pm
Forum: Investing - Theory, News & General
Topic: BRKB Stock [Berkshire Hathaway Inc. Class B]
Replies: 26
Views: 2951

Re: BRKB Stock

I personally wonder what would happen to the valuation placed on BRK the day that something happens to either WB or CM (and will CM decide to retire the day that something happens to WB or vice-versa?). Without getting personal, this point is, once again, not well founded. (Although its shared by m...
by Boglegrappler
Mon Jun 19, 2017 9:10 am
Forum: Personal Consumer Issues
Topic: Good camera - new baby coming
Replies: 64
Views: 4613

Re: Good camera - new baby coming

The effect that you are talking about comes from using a camera set up that creates a narrow "depth of field" , which means that the distance range over which objects are in focus is very small. Objects in front of the focus range are blurred, as are objects beyond the focus range. It's not actually...
by Boglegrappler
Thu Jun 15, 2017 3:36 pm
Forum: Investing - Theory, News & General
Topic: Is it safer to invest in gold or bond funds?
Replies: 30
Views: 2316

Re: Is it safer to invest in gold or bond funds?

I return to my recommended guide for understanding things through Warren Buffett's prism.

See mid-page 17-19. http://www.berkshirehathaway.com/letters/2011ltr.pdf

This really is worth reading over and over.
by Boglegrappler
Thu Jun 15, 2017 3:32 pm
Forum: Personal Finance (Not Investing)
Topic: Curious to odd estate question
Replies: 88
Views: 6125

Re: Curious to odd estate question

It's worth pointing out that, even if he could convert all of his savings to cash and burn it, that would give a benefit to everyone else's cash, albeit very small when spread over the entire money supply. Its the opposite situation of someone being able to print their own money, which harms everyon...
by Boglegrappler
Thu Jun 08, 2017 9:12 am
Forum: Personal Consumer Issues
Topic: Buying a House with an Old but Working Roof
Replies: 19
Views: 1359

Re: Buying a House with an Old but Working Roof

It all depends on the facts and the specifics of the house. I bought a house years ago with the inspector saying the roof should have a maintenance program began to extend its life. In fact it was near the end of its life, and we replaced it a couple of years later. I more recently sold a house with...
by Boglegrappler
Sun Jun 04, 2017 9:30 pm
Forum: Investing - Theory, News & General
Topic: "Beware Fake Stock News"
Replies: 15
Views: 2431

Re: "Beware Fake Stock News"

Interesting.

The others are quite a bit less institutional involvement, and in all of the cases it looks like much/most of the ownership derives because the stock is/was part of an index. IMO, another good reason to stick to the larger indices like the 500.
by Boglegrappler
Sun Jun 04, 2017 2:55 pm
Forum: Investing - Theory, News & General
Topic: "Beware Fake Stock News"
Replies: 15
Views: 2431

Re: "Beware Fake Stock News"

Agreed. Looking at the companies mentioned in those articles, I doubt that there was ever, ever, any "institutional" interest in them. It's too obvious to educated investors that they aren't real companies. It's the reason that their capital raising occurs through the channels that it does.
by Boglegrappler
Sun Jun 04, 2017 10:49 am
Forum: Investing - Theory, News & General
Topic: "Beware Fake Stock News"
Replies: 15
Views: 2431

Re: "Beware Fake Stock News"

What will they think of next? Actually, stock research written by the big brokerage houses is a variation of this. If you as an analyst write a bearish report on a company stock, you have endangered your firm's ability to do underwriting for the same firm. So if you badmouth company X, when company...
by Boglegrappler
Wed May 31, 2017 8:30 am
Forum: Investing - Theory, News & General
Topic: "Four Timeless Lessons" by Mark Hulbert
Replies: 8
Views: 2597

Re: "Four Timeless Lessons" by Mark Hulbert

Can't really agree with no. 3. If one can beat the market in the long run by more then a few percentage points they should have a statue erected in their name or should be on the front of a cereal box or maybe a holiday named after them. It is probably as often as any of those situations happening ...
by Boglegrappler
Tue May 30, 2017 9:44 pm
Forum: Investing - Help with Personal Investments
Topic: How to buy brk.a? [Berkshire Hathaway Inc. Class A]
Replies: 24
Views: 3627

Re: How to buy brk.a? [Berkshire Hathaway Inc. Class A]

Since BRK.B shares do not have voting rights, would BRK.B shareholders be invited to the annual meeting? BRK.B shares do have voting rights. But the shares don't care the same level of vote that the A shares do. See the Definitive 14A (also known as the proxy statement). This is one of the disadvan...
by Boglegrappler
Tue May 30, 2017 9:31 am
Forum: Investing - Theory, News & General
Topic: Buffet - The Wrath of Ebit
Replies: 32
Views: 4546

Re: Buffet - The Wrath of Ebit

Buffet earlier in his career used to attack index investing, saying why would you buy a little of every business in town when you could buy only the best ones. Now he suggests it's the ideal way for most of us to invest. Learner indeed. People who are really good at things literally can't understan...
by Boglegrappler
Mon May 29, 2017 2:33 pm
Forum: Investing - Help with Personal Investments
Topic: First Post - Inheritance
Replies: 11
Views: 1502

Re: First Post - Inheritance

Condolences for your loss. If it happens that you and/or your sister were joint owners of the house prior to your mother's death, that would mean that you only inherited your mom's portion of the house, since you already owned your portion. In that case the tax would only be payable on that third, o...
by Boglegrappler
Sun May 28, 2017 9:48 am
Forum: Investing - Help with Personal Investments
Topic: Need help before receiving inheritance
Replies: 18
Views: 2722

Re: Need help before receiving inheritance

FYI: The IRS does not consider pre-school tuition eligible since the tuition payment has to be made to an "Eligible Institution" (college). What is an Eligible Educational Institution? An eligible educational institution is a school offering higher education beyond high school. It is any college, u...
by Boglegrappler
Fri May 26, 2017 2:18 pm
Forum: Investing - Help with Personal Investments
Topic: Individual Stock - Apple & Pharmaceutical
Replies: 22
Views: 2220

Re: Individual Stock - Apple & Pharmaceutical

It makes a lot of sense if you're already planning to donate money to charity. Yes, potentially, but it depends on what you think is going to happen to the donated investment in the future. Someone who donates old GM stock before the union bailout is making a good decision compared to using cash, s...
by Boglegrappler
Thu May 25, 2017 9:32 pm
Forum: Investing - Help with Personal Investments
Topic: Can I really pay no capital gains on $100k?
Replies: 31
Views: 6545

Re: Can I really pay no capital gains on $100k?

You cannot. IT doesn't work that way. The bracket you are in includes your capital gains income.

Use turbotax or another program and you'll see how it works.
by Boglegrappler
Fri May 19, 2017 9:05 am
Forum: Investing - Theory, News & General
Topic: The Case for Dividend Stocks in Retirement (article)
Replies: 92
Views: 10905

Re: The Case for Dividend Stocks in Retirement (article)

disagree. And so do the boards of directors of every single company in the DOW (who all pay dividends). Distributing profits to the owners is one of the most important reasons that businesses exist. Well, that's close, but maybe a tad too specific. Actually the businesses exist, from the shareholde...
by Boglegrappler
Fri May 19, 2017 7:28 am
Forum: Personal Finance (Not Investing)
Topic: Resigning from a job: best practices and advice?
Replies: 111
Views: 9505

Re: Resigning from a job: best practices and advice?

I've only got a couple of pieces of advice. 1. Be prepared for anything. They could tell you to get out now. Be sure you're calm about this, and courteous. Stay on the high road always always always, because: 2. The world is much smaller than people imagine, and remarkable twists and things happen. ...
by Boglegrappler
Thu May 18, 2017 7:08 pm
Forum: Personal Consumer Issues
Topic: Neighbor draining onto / flooding my patio and yard daily - what can I do?
Replies: 59
Views: 5866

Re: Neighbor draining onto / flooding my patio and yard daily - what can I do?

Hard to believe that a sprinkler system can come close to replicating a decent rain. There really shouldn't be very much "run-off". This makes me wonder if there is a defective sprinkler head or other leak that is putting way more water than intended into the lawn. ( I had this problem wit...
by Boglegrappler
Thu May 18, 2017 11:22 am
Forum: Personal Consumer Issues
Topic: Tire Puncture - plug from outside or patch and plug from inside
Replies: 31
Views: 2325

Re: Tire Puncture - plug from outside or patch and plug from inside

I've plugged more than six or seven tire punctures over the years. Most of them were in Michelin tires (which I favor) and all were in the tread rather than on the edge or sidewall. I never had an issue with any of them leaking, nor with performance of the tire in any way. You can do it yourself wit...