Search found 554 matches

by CppCoder
Fri Dec 08, 2017 9:49 pm
Forum: Investing - Help with Personal Investments
Topic: FTIPX vs VTIAX
Replies: 4
Views: 380

Re: FTIPX vs VTIAX

These are both Total International Market funds and I thought they were supposed to be very similar. Why then would FTIPX be down 1.14% and VTIAX be up 0.64% today? Am i missing something? FTIPX (Fidelity Total International Index Fund Premium Class) paid its annual dividend and capital gains today...
by CppCoder
Tue Dec 05, 2017 4:50 pm
Forum: Personal Finance (Not Investing)
Topic: Mega Backdoor Roth IRA Pro-Rata Question
Replies: 8
Views: 839

Re: Mega Backdoor Roth IRA Pro-Rata Question

A few more questions: -I have both a traditional IRA and Roth IRA (I originally only mentioned the Roth). If I rollover both the after tax contributions and gains at the same time to separate accounts, do I need to be worried about the pro-rate rule? Should I role my tIRA to my 401k to be safe? Sor...
by CppCoder
Tue Dec 05, 2017 12:51 pm
Forum: Personal Consumer Issues
Topic: Running Linux vs Other OS?
Replies: 33
Views: 1560

Re: Running Linux vs Other OS?

I use Ubuntu 16.04 running inside a virtual machine all the time. I'm also interested in basing my next machine on it. I'm trying to come up with a list of tools or other software I require that I won't be able to run under Linux natively and the list seems quite short. One question I have is tax s...
by CppCoder
Mon Dec 04, 2017 9:18 am
Forum: Investing - Help with Personal Investments
Topic: 401k in plan rollover vs. mega backdoor Roth
Replies: 15
Views: 971

Re: 401k in plan rollover vs. mega backdoor Roth

I do an IRR instead of rolling over to a Roth IRA. I like my 401k, and my need for recharacterization is low since I invest in bonds before doing my conversion. Honestly, though, the biggest reason I prefer the IRR is that my plan allows it with a simple fax. To roll my after-tax to a Roth IRA requi...
by CppCoder
Sun Dec 03, 2017 2:17 pm
Forum: Personal Finance (Not Investing)
Topic: About to take out Term Life Insurance - Questions for Bogleheads
Replies: 11
Views: 1076

Re: About to take out Term Life Insurance - Questions for Bogleheads

Insurance is for, well, insuring against a risk. What are the scenarios, and is the amount correct in those scenarios. Scenario 1: Both you and your spouse die simultaneously. Is $2 million cash + assets enough for someone else to raise your son? Scenario 2: Only your wife dies leaving you to raise ...
by CppCoder
Sun Dec 03, 2017 2:00 pm
Forum: Investing - Help with Personal Investments
Topic: Where to invest $800k in bonds????
Replies: 4
Views: 749

Re: Where to invest $800k in bonds????

What you buy might also depend on your account custodian. I see a mix of Fidelity, Blackrock, Vanguard, and BMO muni-bond funds, intermediate-ish duration. Is this a taxable account at Fidelity? What term risk are you seeking?
by CppCoder
Sun Dec 03, 2017 1:44 pm
Forum: Investing - Theory, News & General
Topic: The Pros and Cons of Target-Date Funds vs 3 Fund: LifeCycle Investing
Replies: 26
Views: 2390

Re: The Pros and Cons of Target-Date Funds vs 3 Fund: LifeCycle Investing

My biggest problem with target date funds is that they make your life a lot more difficult when you are investing a single asset allocation across multiple accounts, especially when different accounts have different tax implications and different fund availability. That said, of course, target date ...
by CppCoder
Sat Dec 02, 2017 5:32 pm
Forum: Investing - Theory, News & General
Topic: BH philosophy on restricted stock units and employee stock purchase program?
Replies: 27
Views: 1317

Re: BH philosophy on restricted stock units and employee stock purchase program?

If you participate in this program for 20 years in a row, you will break even if your company stock price declines by 15% every single year. That is how bad the stock performance has to be - just to break even. Anything better than a loss of 15% every year leaves you ahead. I like those odds an awf...
by CppCoder
Wed Nov 22, 2017 3:32 pm
Forum: Investing - Help with Personal Investments
Topic: Did you end up overfunding a 529?
Replies: 13
Views: 1042

Re: Did you end up overfunding a 529?

I've likely overfunded my kids' 529 plans, but I have decades to go until I'll know for sure. If they use it all for undergrad/grad school, then great. If not, my intent is to leave it as an inter-generational family education fund. That said, here are some creative ways for withdrawing the money (n...
by CppCoder
Tue Nov 21, 2017 3:52 pm
Forum: Personal Finance (Not Investing)
Topic: [Help with 401k, Backdoor Roth]
Replies: 11
Views: 789

Re: [Help with 401k, Backdoor Roth]

Thanks. Now that I am having a 401(K) at work starting this year, my tIRA contribution for this year will become non-deductible. What happens to my DW's tIRA contribution for this year? She doesn't have an employer sponsored 401K? So can she continue to deduct her tIRA contribution? Thanks in advan...
by CppCoder
Tue Nov 21, 2017 3:48 pm
Forum: Personal Consumer Issues
Topic: Paying cash for medical care - best practice?
Replies: 27
Views: 1854

Re: Paying cash for medical care - best practice?

Is there an ACA plan that might let you continue coverage with your doctors? It might cost more than your wife's plan, but it might give you the coverage you want to bridge the gap to medicare.
by CppCoder
Tue Nov 21, 2017 3:17 pm
Forum: Investing - Help with Personal Investments
Topic: GE - a good value?
Replies: 102
Views: 8357

Re: GE - a good value?

I'd be careful. I don't think they'll have much of a future if they ever lose that Edison guy...and, I hear Facebook and Uber are poaching talent. :shock:
by CppCoder
Tue Nov 21, 2017 3:09 pm
Forum: Investing - Theory, News & General
Topic: Dropping Term Life Insurance When Hitting Your Number
Replies: 30
Views: 3439

Re: Dropping Term Life Insurance When Hitting Your Number

I agree with Taylor. You only pay for insurance when you have something to insure. If you have hit your number, you have effectively self-insured (your wife) against your own demise.
by CppCoder
Mon Nov 20, 2017 9:58 pm
Forum: Investing - Help with Personal Investments
Topic: Reducing Costs with 401k with Fidelity
Replies: 10
Views: 1031

Re: Reducing Costs with 401k with Fidelity

A commingled fund, or the 401(k) as a whole, at least, should have an SPD (summary plan description) that describes the funds. If I had to guess, the FID US EQ INDX Commingled Pool Class is nearly identical in investment to Fidelity's S&P 500 mutual fund but with different reporting requirements, ke...
by CppCoder
Sun Nov 19, 2017 9:45 pm
Forum: Investing - Help with Personal Investments
Topic: Reducing Costs with 401k with Fidelity
Replies: 10
Views: 1031

Re: Reducing Costs with 401k with Fidelity

Check out this quick investopedia article on Commingled Funds: https://www.investopedia.com/terms/c/commingledfund.asp The short version is that commingled funds are not registered with the SEC, so they have less reporting requirements and therefore, usually, lower fees. They have no public symbols ...
by CppCoder
Sun Nov 19, 2017 9:06 pm
Forum: Investing - Help with Personal Investments
Topic: sell fidelity index mutual fund and replace with etf index for tax benefit?
Replies: 21
Views: 1847

Re: sell fidelity index mutual fund and replace with etf index for tax benefit?

If I did the math correctly (and I probably messed it up somewhere), if you pay 15% capital gains, then the tax inefficiency of FSTVX was about 9 basis points in 2016. 2016 was an abnormally high capital gains year for FSTVX (or previous years were abnormally low). Personally, I'm at Fidelity, and ...
by CppCoder
Sun Nov 19, 2017 6:42 pm
Forum: Investing - Help with Personal Investments
Topic: sell fidelity index mutual fund and replace with etf index for tax benefit?
Replies: 21
Views: 1847

Re: sell fidelity index mutual fund and replace with etf index for tax benefit?

If I did the math correctly (and I probably messed it up somewhere), if you pay 15% capital gains, then the tax inefficiency of FSTVX was about 9 basis points in 2016. 2016 was an abnormally high capital gains year for FSTVX (or previous years were abnormally low). Personally, I'm at Fidelity, and I...
by CppCoder
Sun Nov 19, 2017 6:05 pm
Forum: Personal Finance (Not Investing)
Topic: Dave Ramsey says don't use credit cards, even if you pay them off
Replies: 221
Views: 14073

Re: Dave Ramsey says don't use credit cards, even if you pay them off

We don't make purchases based on the amount of money we have available--we make purchases based on what we need/want. I would lose money to not use my Citi double cash card, my Costco 3% back at restaurant card, and my AmEx Blue Cash preferred 6% at grocery stores card. That said, I don't think I'm ...
by CppCoder
Sun Nov 12, 2017 3:38 pm
Forum: Local Chapters and Bogleheads Community
Topic: New Woodlands, Texas Local Chapter
Replies: 21
Views: 3544

Re: New Woodlands, Texas Local Chapter

If it works in my schedule, I'm willing to give it a try. My personal preference would be on a weekend.
by CppCoder
Sun Nov 12, 2017 9:49 am
Forum: Investing - Help with Personal Investments
Topic: What's your weighted average expense ratio?
Replies: 65
Views: 3460

Re: What's your weighted average expense ratio?

5.6 basis points. It would be lower, but I'm getting "creamed" by the NY 529 plan at 15 basis points :D. It helps to have a 401k with ERs between 1 and 4 basis points.
by CppCoder
Fri Nov 03, 2017 6:53 pm
Forum: Investing - Help with Personal Investments
Topic: How consistent will VNQ dividend be?
Replies: 65
Views: 3696

Re: How consistent will VNQ dividend be?

I will edit my previous post. I am not talking about reit etf's I have not done research into them and the little I did they seem to lag well behind a diversified portfolio of 4-5 good REITs considerably. This is just 1 of the reit's I own and it shows a much much more consistent dividend. https://...
by CppCoder
Fri Nov 03, 2017 1:50 pm
Forum: Personal Finance (Not Investing)
Topic: Side Hustle
Replies: 10
Views: 1713

Re: Side Hustle

Technical book author. Your wife too could spend hundreds of hours of work to receive tens of dollars in royalties! :beer
by CppCoder
Fri Nov 03, 2017 1:45 pm
Forum: Investing - Help with Personal Investments
Topic: How consistent will VNQ dividend be?
Replies: 65
Views: 3696

Re: How consistent will VNQ dividend be?

I will edit my previous post. I am not talking about reit etf's I have not done research into them and the little I did they seem to lag well behind a diversified portfolio of 4-5 good REITs considerably. This is just 1 of the reit's I own and it shows a much much more consistent dividend. https://...
by CppCoder
Fri Oct 27, 2017 2:34 pm
Forum: Personal Finance (Not Investing)
Topic: First Time Home Buyer Products
Replies: 15
Views: 1301

Re: First Time Home Buyer Products

jfn111 wrote:
Fri Oct 27, 2017 7:26 am
Please note-most Bogleheads would suggest you live in a single wide trailer until you can put 50% down. :oops:
Come now. Most are reasonable and at least recommend a double wide. :D
by CppCoder
Thu Oct 26, 2017 8:09 pm
Forum: Investing - Theory, News & General
Topic: Stocks go up, bonds fall. Stock fall, bonds also fall.
Replies: 51
Views: 5455

Re: Stocks go up, bonds fall. Stock fall, bonds also fall.

Holding a bond fund such as VBTLX doesn't make sense to me either. A ladder of 5-year CDs pays the same interest without the volatility. Not sure under what scenario holding the bond fund would be better, and it can be worse, so I don't bother with that. Scenario where bond funds are better than a ...
by CppCoder
Thu Oct 26, 2017 12:44 pm
Forum: Investing - Help with Personal Investments
Topic: Anyone adding in specific Funds for heirs
Replies: 13
Views: 824

Re: Anyone adding in specific Funds for heirs

They fit my AA and IPS The above seems to be the problem with this plan. If they meet your AA and IPS, they are your funds invested for your time horizon, unless you mean your AA and IPS are specifically altered to adjust for your heirs' timelines. For me personally, I think it's easier to either a...
by CppCoder
Thu Oct 26, 2017 12:21 pm
Forum: Investing - Help with Personal Investments
Topic: Mechanics of Roth 401K
Replies: 18
Views: 1748

Re: Mechanics of Roth 401K

rkhusky wrote:
Tue Oct 24, 2017 3:48 pm
I find it easier just to specify a per-check dollar amount to go into my 401K.

Note that company matching funds will go into tax-deferred.
Not all plans allow this. My plan, for whatever reason, requires a percentage of gross, and that percentage must be in whole numbers.
by CppCoder
Thu Oct 26, 2017 12:15 pm
Forum: Investing - Help with Personal Investments
Topic: First time Mega Backdoor
Replies: 16
Views: 1350

Re: First time Mega Backdoor

I was told that once you set the Quarterly ROTH conversion option to 'Transfer 100% of after-tax balance', these after tax monies in my 401k would be converted and tracked separately so you wouldn't need to transfer to a ROTH IRA (unless you really wanted to, I suppose). Considering that many of my...
by CppCoder
Thu Oct 26, 2017 12:11 pm
Forum: Investing - Help with Personal Investments
Topic: Most efficient method to swap RSU for Index
Replies: 5
Views: 327

Re: Most efficient method to swap RSU for Index

I've been lazy and sitting on RSUs for too long and now I want to efficiently swap them for index funds + principal on mortgage. What is the most efficient way of doing this? I've accumulated them over three years or so as stock has risen, and they're taxed at vesting. One other wrinkle is my partn...
by CppCoder
Wed Oct 25, 2017 3:06 pm
Forum: Investing - Help with Personal Investments
Topic: First time Mega Backdoor
Replies: 16
Views: 1350

Re: First time Mega Backdoor

One other prep step is to make sure you don't have any IRA's in your name, and (if you do) roll them over to your 401k account if allowed by your plan. If you don't, the "pro rata" rule will likely make most of the eventual Roth rollover taxable. Existing traditional IRA accounts have nothing to do...
by CppCoder
Sun Oct 22, 2017 3:13 pm
Forum: Investing - Help with Personal Investments
Topic: Expense Ratio
Replies: 6
Views: 480

Re: Expense Ratio

Okay got it as far as how they are taken out. How about the other part of the question? If the ER is 0.1%, on a 10K fund balance, it will cost investor @ 10 bucks every year? Is this correct? Correct. Edit: Doesn't it seem appalling that it can costs 0.1% (or less) to run the day to day operations ...
by CppCoder
Sun Oct 22, 2017 3:03 pm
Forum: Investing - Help with Personal Investments
Topic: Within your context: Do you consolidate a fund when it is 5% or less of total funds/investments and why?
Replies: 20
Views: 1136

Re: Within your context: Do you consolidate a fund when it is 5% or less of total funds/investments and why?

I own three individual stocks that comprise approximately 0.5%, 2%, and 4% of my investment portfolio, respectively. The first two are utility stocks that were bought for me over three decades ago. I don't want to incur the capital gains to sell them, and they don't really add any complexity to my p...
by CppCoder
Sun Oct 22, 2017 7:10 am
Forum: Personal Consumer Issues
Topic: Car Enthusiasts Unite! - Porsche, Benz, Ferrari, Lambo, etc.
Replies: 72
Views: 5423

Re: Car Enthusiasts Unite! - Porsche, Benz, Ferrari, Lambo, etc.

On the weekends, I don't have much time to just go out to "drive" and the time I do have, I anticipate that to decrease once a child is born. I don't know much about high performance cars, but given your quote above, I'll be back to comment on your future thread in 2023 asking us to compare the Ody...
by CppCoder
Sat Oct 21, 2017 2:45 pm
Forum: Personal Finance (Not Investing)
Topic: On selling home to a child
Replies: 25
Views: 1900

Re: On selling home to a child

If I am a child I am asking myself “why do I buy this home from my parents at full market value when they’d have to pay a 4.5-6% commission to sell it to a stranger?” I might also look at my parents' age and health and ask why I'm buying it at all if I might get it through inheritance with a steppe...
by CppCoder
Sat Oct 21, 2017 2:42 pm
Forum: Personal Finance (Not Investing)
Topic: How does/can Walmart offer such inexpensive prescriptions?
Replies: 107
Views: 7382

Re: How does/can Walmart offer such inexpensive prescriptions?

My guess is that Walmart makes money on prescriptions the same way they make money on everything else: huge volume (supplier discounts and leverage), low costs, efficient supply chain, and lower margins than many would tolerate.
by CppCoder
Sat Oct 21, 2017 2:18 pm
Forum: Personal Finance (Not Investing)
Topic: new 401(k) limits announced
Replies: 88
Views: 13167

Re: new 401(k) limits announced

43andcounting wrote:
Sat Oct 21, 2017 11:46 am
Thank you CppCoder, much appreciated ! Very clear now.

From the example, I assume the $275k is the individual limit, not family limit when filing jointly.
Yes, it's for the individual. I'm not sure what happens if you have two different employers in a given year each paying you $250k.
by CppCoder
Sat Oct 21, 2017 9:44 am
Forum: Personal Finance (Not Investing)
Topic: new 401(k) limits announced
Replies: 88
Views: 13167

Re: new 401(k) limits announced

CppCoder, could you please clarify what is the $275k comp limit in relation to mega backdoor ? I am planning to do my first mega backdoor this year, and our income is more that the limit. Any constraints I should be aware of ? Love your id BTW, was a Cpp coder myself for years, more than 15 years a...
by CppCoder
Fri Oct 20, 2017 6:58 pm
Forum: Personal Finance (Not Investing)
Topic: Does anyone here with net worths north of $1 mil use financial advisors?
Replies: 175
Views: 18387

Re: Does anyone here with net worths north of $1 mil use financial advisors?

Once, when I was young, a cute girl told me her friend was a new financial adviser and needed to talk to professionals to try to build clientele. So, after this girl asked if I would see her friend, I went to an American Express (now Ameriprise) financial adviser. I talked to them for about an hour,...
by CppCoder
Thu Oct 19, 2017 8:04 pm
Forum: Investing - Help with Personal Investments
Topic: Back Door Roth IRA – is it worth paying taxes now on gains?
Replies: 5
Views: 543

Re: Back Door Roth IRA – is it worth paying taxes now on gains?

I would personally evaluate it in terms of the absolute dollars instead of percentage gain. Is it a 33% gain on one year's contribution or a 33% gain on $100k from 15 years of contributions? Also, if you want to mess with the math of pro rata rules, you could clear your traditional IRA over several ...
by CppCoder
Thu Oct 19, 2017 7:52 pm
Forum: Personal Finance (Not Investing)
Topic: new 401(k) limits announced
Replies: 88
Views: 13167

Re: new 401(k) limits announced

For those who prefer IRS links: https://www.irs.gov/newsroom/irs-announces-2018-pension-plan-limitations-401k-contribution-limit-increases-to-18500-for-2018 Of importance to those of us who do a mega backdoor Roth, the overall 401k limit is rising from $54,000 to $55,000 (+ catch-up), and the compen...
by CppCoder
Sun Oct 15, 2017 1:38 pm
Forum: Personal Consumer Issues
Topic: What are you driving? And would you buy your current ride again?
Replies: 130
Views: 7647

Re: What are you driving? And would you buy your current ride again?

I have a 2012 Honda Accord with 67k miles. It has been 100% problem free (except for the annoying TPM light that comes on when it gets below 30 degrees, which happens a lot here). While I would absolutely buy it again, I probably wont buy another because I have a need for speed that this car does n...
by CppCoder
Sat Oct 14, 2017 2:39 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Employer match question
Replies: 5
Views: 330

Re: 401k Employer match question

This is a matter of perspective. Suppose you are in the 25% tax bracket. If you want to contribute $7,500 to your 401k, for your Roth, you must have $10,000 in salary to make that contribution ($7.5k to the 401k and $10k to taxes), but for your pretax, you only need $7,000 in salary ($7k to the 401k...
by CppCoder
Sat Oct 14, 2017 12:58 pm
Forum: Personal Finance (Not Investing)
Topic: Silly accounting question [How do I record these transactions?]
Replies: 7
Views: 842

Re: Silly accounting question

For your purposes, I would probably just create a new column called discounts and track it independently from expenses and income. Just like you don't want to delude yourself into thinking items cost less than "face value" when considering future expenses, you don't want to inflate your income when ...
by CppCoder
Thu Oct 12, 2017 8:15 pm
Forum: Investing - Help with Personal Investments
Topic: VTSMX vs. VTI
Replies: 16
Views: 1567

Re: VTSMX vs. VTI

To clarify: When investing in a IRA at Fidelity with the goal of diversifying in a total US stock market fund- VTSAX, FSTVX and ITOT are essentially the same in their holdings. VTSAX (ER 0.04): would charge a initial purchase fee and trade fee because using Fidelity FSTVX (ER 0.04): However with no...
by CppCoder
Mon Oct 09, 2017 11:38 am
Forum: Investing - Theory, News & General
Topic: Financial Calculations for Boglehead Presentation
Replies: 14
Views: 1572

Re: Financial Calculations for Boglehead Presentation

Post the problem statement. I'm sure someone will take a stab at it. I was bored yesterday, so probably would have given it a shot had you posted in the AM instead of the PM. Who knows, I might be bored tonight. :happy
by CppCoder
Sat Oct 07, 2017 8:05 am
Forum: Investing - Help with Personal Investments
Topic: Tradittional vs Roth?
Replies: 6
Views: 596

Re: Tradittional vs Roth?

You really haven't provided enough information to give good advice, but my guess is that you are better off sticking to pretax contributions in the 28% bracket. What do you expect your tax bracket to be after you stop working (when you start withdrawing from the 401k and tIRA)? Also, Roth conversion...
by CppCoder
Fri Oct 06, 2017 12:15 pm
Forum: Personal Finance (Not Investing)
Topic: Mega Backdoor Roth questions and is it worth it?
Replies: 9
Views: 768

Re: Mega Backdoor Roth questions and is it worth it?

To set the parameters, my wife is considered an HCE, and thus is limited in the percentage that she can contribute to her 401k. Let's say that based on that percentage, she would end up with about $1500 in after-tax contributions. All of these after-tax contributions would occur toward the end of t...
by CppCoder
Fri Oct 06, 2017 12:06 pm
Forum: Personal Finance (Not Investing)
Topic: Megabackdoor Roth Waiting Period?
Replies: 18
Views: 1381

Re: Megabackdoor Roth Waiting Period?

Let me understand this: You want to contribute to after-tax within your 401k. Then, use the in-service withdrawal to roll it into Roth IRA (and pay taxes on any earnings). Then, you want to withdraw the contributions from the Roth IRA. Is this correct? If so, what is the reason of going through all...
by CppCoder
Wed Sep 06, 2017 7:33 pm
Forum: Personal Finance (Not Investing)
Topic: Question on a NY 529
Replies: 2
Views: 452

Re: Question on a NY 529

Daughter is finishing her Masters. I overfunded the 529 because she underestimated the amount her employer would pay. Not a bad problem... Her employer is withholding taxes for some of the coursework and my question is, can I pay the taxes with funds from the 529? I assume you mean and not pay taxe...
by CppCoder
Sat Aug 26, 2017 5:20 pm
Forum: Personal Finance (Not Investing)
Topic: What should the savings be for an average professional
Replies: 168
Views: 17777

Re: What should the savings be for an average professional

Grt2bOutdoors wrote:
Sat Aug 26, 2017 5:03 pm
...if you are spending 100% of gross income you are spending too much.
This also makes it exceedingly difficult to save 10x salary by 65 :wink:.