Search found 3798 matches

by House Blend
Wed Mar 29, 2017 10:03 am
Forum: Investing - Help with Personal Investments
Topic: Contribute to Roth IRA or 401K after tax
Replies: 1
Views: 43

Re: Contribute to Roth IRA or 401K after tax

Is there an error in my thinking? Probably yes. Many people are unaware that "after tax" 401(k) contributions and "Roth 401(k)" contributions are not the same thing, and use the former when they mean the latter. And the latter is more common. But since you appear to be making th...
by House Blend
Wed Mar 29, 2017 9:46 am
Forum: Investing - Help with Personal Investments
Topic: Advice with new multiple account asset allocation and opening taxable account
Replies: 2
Views: 186

Re: Advice with new multiple account asset allocation and opening taxable account

A few comments. 1. I would keep International in tax-advantaged if possible. Dividend yields can change, but over the past several years it has been less tax-efficient than US stocks for people in higher tax brackets. The foreign tax credit is not a game-changer, and once you have substantial credit...
by House Blend
Tue Mar 28, 2017 9:21 pm
Forum: Investing - Help with Personal Investments
Topic: Does this constitute a wash sale?
Replies: 6
Views: 310

Re: Does this constitute a wash sale?

Let's say I own Vanguard Total Stock Market (VTSAX) in two different taxable accounts. On March 15th, a dividend is paid to each account and automatically reinvested. The following week, I sell the full dividend reinvestment lot in account #1 at a loss, but don't touch the dividend reinvestment lot...
by House Blend
Tue Mar 28, 2017 3:24 pm
Forum: Personal Finance (Not Investing)
Topic: Backdoor Roth Epic Fail!
Replies: 14
Views: 2272

Re: Backdoor Roth Epic Fail!

Just spoke to Tax professional and He doesn't think that its an issue that all of these conversions are actually RECHARACTERIZATIONS... I am a bit confused because he was using the terms conversions/recharacterizations interchangably... I called him on it and pointedly asked about this becoming an ...
by House Blend
Tue Mar 28, 2017 2:02 pm
Forum: Investing - Theory, News & General
Topic: Tax-Managed Small Cap vs. Small Cap Index
Replies: 3
Views: 421

Re: Tax-Managed Small Cap vs. Small Cap Index

I am trying to decide whether there is a practical advantage to transferring the low five-figure Small Cap Index balance in my taxable account over to the Tax-Managed Small Cap fund. I am in the 15% bracket. Has anyone actually crunched numbers on this or had personal experience relevant to decidin...
by House Blend
Tue Mar 28, 2017 9:10 am
Forum: Investing - Help with Personal Investments
Topic: Advice for taxable fund reallocation
Replies: 5
Views: 322

Re: Advice for taxable fund reallocation

I would say Step 0 is to stop reinvesting all of those nasty distributions (cap gains and dividends). Take everything in cash, and redeploy into your Bogle-style accounts. (Perhaps you have already executed Step 0, but IME folks with accounts that have been neglected for years typically have everyth...
by House Blend
Mon Mar 27, 2017 9:21 pm
Forum: Investing - Help with Personal Investments
Topic: Large capital loss, how to think about harvesting.
Replies: 10
Views: 684

Re: Large capital loss, how to think about harvesting.

I do have enough to realize $181k in capital gains if I were to harvest in 2017. Is there a reason to harvest gains all at once, rather than holding until retirement and realizing the gains only as needed? Probably not. In general, a necessary but not sufficient condition for tax gain harvesting to...
by House Blend
Mon Mar 27, 2017 9:06 pm
Forum: Investing - Help with Personal Investments
Topic: RMD in 2018
Replies: 46
Views: 2375

Re: RMD in 2018

I will also turn 70 1/2 in 2018, with my birthday before July 1. I have a small 403(b) at TIAA and a much larger IRA at Vanguard. Do I need to take one RMD specifically from my 403(b), and another from my IRA? I thought I could just do the math and then take the full RMD amount from my IRA, but I r...
by House Blend
Mon Mar 27, 2017 4:08 pm
Forum: Investing - Help with Personal Investments
Topic: Large capital loss, how to think about harvesting.
Replies: 10
Views: 684

Re: Large capital loss, how to think about harvesting.

In extricating ourselves from a limited partnership, we will claim a capital loss of ~$184,000 for 2016. For better or worse, I had not planned to use tax loss harvesting before this event, but now I must educate myself on what to do with this "windfall". I have a basic understanding of t...
by House Blend
Mon Mar 27, 2017 9:57 am
Forum: Investing - Help with Personal Investments
Topic: Moving TIAA CREF out of money market
Replies: 16
Views: 1074

Re: Moving TIAA CREF out of money market

The traditional also has this disclaimer. Are there scenarios where this could be a problem? Yes. 1. If it is your only fixed income investment, and you intend to follow Boglehead principles of maintaining an asset allocation, then you will be unable to rebalance when stocks are down. 2. If you don...
by House Blend
Mon Mar 27, 2017 9:22 am
Forum: Investing - Help with Personal Investments
Topic: How much to invest in 401k vs taxable account.
Replies: 34
Views: 1741

Re: How much to invest in 401k vs taxable account.

Part of what they had to do was contribute to their employer-sponsored retirement plan in order to get the Earned Income Tax Credit and the Saver's Credit. Do you get these credits already? It just seems like your tax bracket should NOT be 25%, but should be -5% (yes, that's a negative). I have zer...
by House Blend
Mon Mar 27, 2017 8:54 am
Forum: Investing - Help with Personal Investments
Topic: How much to invest in 401k vs taxable account.
Replies: 34
Views: 1741

Re: How much to invest in 401k vs taxable account.

Tax Filing Status: Head of Household with 1 dependent Tax Rate: 25% Federal, State of Residence: CA Age: 33 Desired Asset allocation: 90-100% stocks / 0-10% bonds Desired International allocation: 25% of stocks Currently have 12k in Roth 401k Salary 55k with no expenses Housing is provided with cur...
by House Blend
Sun Mar 26, 2017 10:04 am
Forum: Personal Finance (Not Investing)
Topic: Backdoor Roth Epic Fail!
Replies: 14
Views: 2272

Re: Backdoor Roth Epic Fail!

HOWEVER, in looking at the paperwork all these conversions were actually RECHARACTERIZATIONs. Presumably you were the one that filled out the paperwork. So, it wasn't clear to you at the time that you were requesting a recharacterization, but it is now? Assuming TIAA refuses to take ownership of th...
by House Blend
Sat Mar 25, 2017 7:37 am
Forum: Investing - Help with Personal Investments
Topic: Regular Tax Loss Harvesting
Replies: 2
Views: 285

Re: Regular Tax Loss Harvesting

There's no way that short term losses could be "harmful". General comments: Simply harvest losses whenever they are big enough to be worthwhile. During the learning process, perhaps any loss is worthwhile for the educational value alone. When you have $100,000 in carryover losses, your def...
by House Blend
Fri Mar 24, 2017 11:52 am
Forum: Investing - Help with Personal Investments
Topic: Moving TIAA CREF out of money market
Replies: 16
Views: 1074

Re: Moving TIAA CREF out of money market

These are the options for investing with TIAA-CREF: Wow, that's one of the worst TIAA plans I've seen, with most options having expenses > 1%. Of course you should participate in the plan to the extent necessary to get the employer contributions, but after that I would prioritize putting money in y...
by House Blend
Fri Mar 24, 2017 10:23 am
Forum: Investing - Help with Personal Investments
Topic: Help me avoid a wash sale
Replies: 12
Views: 461

Re: Help me avoid a wash sale

Yes, you should max out both Roth IRAs if you are eligible and have the resources to do so. It becomes a no-brainer if you can do it by selling shares at a loss or negligible gain. Yes, wash sales can involve selling Fund X at a loss in your taxable account and buying Fund X in your wife's IRA. I ha...
by House Blend
Fri Mar 24, 2017 8:40 am
Forum: Investing - Theory, News & General
Topic: The $1,124,176 Car.
Replies: 99
Views: 7176

Re: The $1,124,176 Car.

What matters is your monthly/annual cashflow breakdown. If you can put 20% to 25% of your gross income into long term retirement investments, you'll come out Just Fine down the road. Do that and you are welcome to spend any leftover discretionary income on whatever you desire, be it extra recreatio...
by House Blend
Thu Mar 23, 2017 12:07 pm
Forum: Personal Consumer Issues
Topic: How to know if someone has filed your tax returns fradulently?
Replies: 22
Views: 1784

Re: How to know if someone has filed your tax returns fradulently?

^I don't have a smoking gun, but an indirect bit of evidence is that the IRS starts accepting returns around Jan 15, but brokerages don't even have to issue 1099s until the end of Feb.
by House Blend
Thu Mar 23, 2017 10:33 am
Forum: Personal Consumer Issues
Topic: How to know if someone has filed your tax returns fradulently?
Replies: 22
Views: 1784

Re: How to know if someone has filed your tax returns fradulently?

I would assume the IRS does a basic check on whether all the 1099 and other forms they have received for your SSN matches up with what was filed, before they accept the return. But maybe they don't. No, not even close. Cross checking of returns with W-2 and 1099 data takes place months later. Refun...
by House Blend
Wed Mar 22, 2017 5:21 pm
Forum: Investing - Help with Personal Investments
Topic: TIPS Fund in Taxable Account
Replies: 15
Views: 769

Re: TIPS Fund in Taxable Account

The HR Block approach sounds sensible. Here's the prior thread....
https://www.bogleheads.org/forum/viewtopic.php?f=10&t=209096
by House Blend
Wed Mar 22, 2017 5:07 pm
Forum: Investing - Help with Personal Investments
Topic: Is Emergency fund necessary with 2 RMDs?
Replies: 18
Views: 1368

Re: Is Emergency fund necessary with 2 RMDs?

The following rant should be understood in the context of typical oversaving Bogleheads for whom 3% would be a scary withdrawal rate. If you're 55 and planning on spending 6% + inflation every year, this doesn't apply to you.... I think one of the factors that gives retirees RMD paralysis is the sa...
by House Blend
Wed Mar 22, 2017 1:59 pm
Forum: Investing - Help with Personal Investments
Topic: TIPS Fund in Taxable Account
Replies: 15
Views: 769

Re: TIPS Fund in Taxable Account

It takes some calculating to see what is what. Thank you all for the replies. What assumptions would the calculations be based on? Also, is there such thing as inflation-protected and tax-exempt investment? Without knowing your age and tax situation, I'm skeptical you really need to have a 20% allo...
by House Blend
Wed Mar 22, 2017 12:55 pm
Forum: Investing - Help with Personal Investments
Topic: TIPS Fund in Taxable Account
Replies: 15
Views: 769

Re: TIPS Fund in Taxable Account

It takes some calculating to see what is what. Thank you all for the replies. What assumptions would the calculations be based on? Also, is there such thing as inflation-protected and tax-exempt investment? Without knowing your age and tax situation, I'm skeptical you really need to have a 20% allo...
by House Blend
Wed Mar 22, 2017 12:49 pm
Forum: Investing - Help with Personal Investments
Topic: TIPS Fund in Taxable Account
Replies: 15
Views: 769

Re: TIPS Fund in Taxable Account

As long as we're on the subject, can someone give me the For Dummies® version of how one would reckon and pay taxes on VTIPX/VTAPX shares held in a taxable account? I've puzzled over this one til my puzzler is sore. My understanding is that the fund is supposed to distribute the semi-annual CPI-bas...
by House Blend
Wed Mar 22, 2017 8:18 am
Forum: Investing - Theory, News & General
Topic: Sitting down with Fidelity advisor next week
Replies: 14
Views: 1822

Re: Sitting down with Fidelity advisor next week

investingdad wrote:How much do you think I should charge him for my time? :D

What's the point? Sounds like maybe you do realize that you will get nothing useful out of the conversation.

Life is too short to engage in meaningless ego-boost competitions.
by House Blend
Tue Mar 21, 2017 3:15 pm
Forum: Personal Consumer Issues
Topic: Anybody using the TERMINAL over the GUI in ubuntu?
Replies: 45
Views: 2306

Re: Anybody using the TERMINAL over the GUI in ubuntu?

Just a question - are any of you preferring the command line (terminal) interface to the GUI? I know it's allegedly more powerful, but are there any folks doing real-world use of it? For the most part, harnessing the power of a command line (in unix/linux) means learning how to use a "shell&qu...
by House Blend
Tue Mar 21, 2017 2:12 pm
Forum: Investing - Theory, News & General
Topic: Why is NAV Limited to Two Decimal Places?
Replies: 36
Views: 4253

Re: Why is NAV Limited to Two Decimal Places?

Now ask yourself why Vanguard has many more shares priced near $20 than near $200 or $2000? There would be a problem if shares were priced at $2000 so every 1/1000 of share was worth $2, but they aren't. VFIAX is almost $220 today. That is highly problematic for reinvestments and small contribution...
by House Blend
Tue Mar 21, 2017 10:26 am
Forum: Personal Finance (Not Investing)
Topic: Inlaw Suddenly Wants Financial Security in 60's..
Replies: 31
Views: 5237

Re: Inlaw Suddenly Wants Financial Security in 60's..

SeeMoe wrote:Moral: Some folks prefer to trust strangers with their hard earned money, it appears. I am dumbfounded and sad for her, but feel that I must let it go...

"Forget it, Jake. It's Chinatown."

https://www.youtube.com/watch?v=9cWnubJ9CEw
by House Blend
Mon Mar 20, 2017 2:37 pm
Forum: Investing - Help with Personal Investments
Topic: Assess tax drag and performance?
Replies: 1
Views: 122

Re: Assess tax drag and performance?

Probably not a good idea. Best to put active funds in tax-advantaged or don't use them at all. (There may be some low-cost active funds that rarely distribute gains, but I'm doubting that that's what you are looking at.) In practice, I think most people in accumulation mode would reinvest 100% of th...
by House Blend
Mon Mar 20, 2017 10:01 am
Forum: Investing - Help with Personal Investments
Topic: Purchase strategy for TLH in taxable account
Replies: 2
Views: 232

Re: Purchase strategy for TLH in taxable account

If you are just starting out, it will take a while before the dividends are more than just round off error compared to new purchases, even if you are purchasing weekly. I make one purchase [in taxable] per month--whichever fund deserves it most. If it is a month with dividends, then I time the purch...
by House Blend
Sat Mar 18, 2017 12:49 pm
Forum: Investing - Help with Personal Investments
Topic: Can TIAA Traditional be my whole "bond" allocation?
Replies: 15
Views: 713

Re: Can TIAA Traditional be my whole "bond" allocation?

One question I have, in addition to the interest rate going up, I am trying to learn about the benefit of contributing now (Age 42) as opposed to holding off until before retirement and then moving funds in. Based on this flyer, it appears to me they are saying that the earlier you start contributi...
by House Blend
Sat Mar 18, 2017 12:09 pm
Forum: Investing - Help with Personal Investments
Topic: VTIAX dividend date for this March
Replies: 19
Views: 1316

Re: VTIAX dividend date for this March

^Somewhat OT, but once RMDs begin, a good way to deal with a tax cliff like medicare is through a Qualified Charitable Distribution. The one catch is that you'd rather do it late in the year when you have a good read on your AGI, but not so late that your brokerage might not get it done on time. Thi...
by House Blend
Sat Mar 18, 2017 10:50 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard reinvested my dividends - what now?
Replies: 20
Views: 2020

Re: Vanguard reinvested my dividends - what now?

The problem is that VG did what the investor specifically specified they not do. The fact that the consequences are minor or none does not change the principle of how you do business in an ethical manner. Now, there is the issue of possible notifications that various settings might default and have...
by House Blend
Fri Mar 17, 2017 1:32 pm
Forum: Investing - Help with Personal Investments
Topic: VTIAX dividend date for this March
Replies: 19
Views: 1316

Re: VTIAX dividend date for this March

Anyone know what the exact VTIAX dividend date will be for this March? Last year I believe it was 3/14, and 3/24 the year before. I'm planning to buy soon, but wondering if it's worth waiting to not buy the dividend. https://personal.vanguard.com/us/insights/article/cap-gains Perfect thanks. Looks ...
by House Blend
Fri Mar 17, 2017 1:14 pm
Forum: Investing - Help with Personal Investments
Topic: TIAA 403b bond choice.
Replies: 7
Views: 372

Re: TIAA 403b bond choice.

Is this the full menu of bond funds for you? Certainly I see no reason to use the Bond Plus fund @ 0.76% when the CREF Bond Market @ 0.46% is available. Both are actively managed, but the CREF account is a bit more passive. (BTW: the "Plus" is TIAA's way of saying that the fund reserves th...
by House Blend
Fri Mar 17, 2017 12:39 pm
Forum: Personal Finance (Not Investing)
Topic: Need to Re-invest part of RMD in bond fund. Muni or Not ??
Replies: 18
Views: 969

Re: Need to Re-invest part of RMD in bond fund. Muni or Not ??

I am fully in the 85%. I guess you are saying that I would be better off with muni's? Sort of. From previous responses, it appears that you have some equities in tax-deferred. I think a solid default is to continue to take RMDs from the equity side (only), and continue pushing excess RMDs to equiti...
by House Blend
Fri Mar 17, 2017 9:52 am
Forum: Personal Finance (Not Investing)
Topic: Need to Re-invest part of RMD in bond fund. Muni or Not ??
Replies: 18
Views: 969

Re: Need to Re-invest part of RMD in bond fund. Muni or Not ??

David, thank you very much for your post. Could you explain a couple of points. 1. I am in the 25% bracket but don't know what the "phase-in" is. Could you pls explain. 2. "munis would be good as they are taxed at 21.25% rather than 46.25%" . I don't follow this. P.S. If it matt...
by House Blend
Fri Mar 17, 2017 9:47 am
Forum: Personal Finance (Not Investing)
Topic: Need to Re-invest part of RMD in bond fund. Muni or Not ??
Replies: 18
Views: 969

Re: Need to Re-invest part of RMD in bond fund. Muni or Not ??

A common Boglehead situation is to be in the 25% bracket, but paying 30% marginally due to the presence of qualified dividends. SS income can make this even more complicated. And it's worth noting that the marginal tax rate you pay could depend on how you allocate taxable. So in some cases, you may ...
by House Blend
Fri Mar 17, 2017 8:11 am
Forum: Investing - Theory, News & General
Topic: All things equal - Int'l in taxable?
Replies: 5
Views: 416

Re: All things equal - Int'l in taxable?

Probably fine, but it's not like the FTC makes it a no-brainer. Given the typically higher yields of international stocks, and less QDI, you need the FTC just to break even with taxes on US stock index funds. To be fair, the above is a gross oversimplification. If you're the type that has to work th...
by House Blend
Wed Mar 15, 2017 1:01 pm
Forum: Investing - Theory, News & General
Topic: Who has the cheapest funds? It’s more complicated than you think
Replies: 27
Views: 2617

Re: Who has the cheapest funds? It’s more complicated than you think

Pfft. Yes, the discussion of tax efficiency was weak. To me, the most glaring flaw in the article was not the YMMV aspect of taxes, but rather the absence of any mention of cap gain distributions. Vanguard stock index funds (that have an ETF share class) including VFIAX generally do not distribute c...
by House Blend
Wed Mar 15, 2017 12:47 pm
Forum: Investing - Help with Personal Investments
Topic: TIAA ending voluntary expense waiver on CREF Money Market
Replies: 6
Views: 618

Re: TIAA ending voluntary expense waiver on CREF Money Market

I'm not sure "why", but the somewhat parallel "TIAA MM Fund" doesn't have this same issue (yet?). The main difference I can see is that with CREF they have announced intentions to stop expense waivers soon, and for the R1 share class the underlying securities' yield is comparabl...
by House Blend
Wed Mar 15, 2017 11:01 am
Forum: Investing - Help with Personal Investments
Topic: How to handle portfolio while living off investments?
Replies: 11
Views: 1090

Re: How to handle portfolio while living off investments?

I also see no reason to get more conservative as one ages another year because one has one less year of longevity to worry about. Great. So shorter time horizons mean that equity risks matter less? IMO longevity worries are about the risk of living longer than expected. Being one year older is roug...
by House Blend
Wed Mar 15, 2017 9:53 am
Forum: Investing - Help with Personal Investments
Topic: TIAA ending voluntary expense waiver on CREF Money Market
Replies: 6
Views: 618

Re: TIAA ending voluntary expense waiver on CREF Money Market

"Your retirement savings could lose value when TIAA ends the voluntary expense waiver on the CREF Money Market Account by April 14, 2017. This statement is misleading. When the expense waiver is eliminated, the expenses on your CREF Money Market Account (if you hold it) will go up, but you won...
by House Blend
Wed Mar 15, 2017 8:22 am
Forum: Investing - Theory, News & General
Topic: Thinking of transferring IRA to Vanguard? How it went for us.
Replies: 15
Views: 2010

Re: Thinking of transferring IRA to Vanguard? How it went for us.

Just as a benchmark, I sat down with my wife to transfer her old Fidelity 401k to her existing IRA. We went on line, filled in the required info and account numbers, hit go and it was done. 12 minutes total. The time for the money to be available and settled in her IRA was 3 days, at which time we ...
by House Blend
Tue Mar 14, 2017 4:58 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Inflation-Protected Securities Fund VAIPX [nondividend distribution]
Replies: 18
Views: 1609

Re: Vanguard Inflation-Protected Securities Fund VAIPX [nondividend distribution]

I don't use TaxAct, but does it allow you to import 1099s directly, or do you have to enter everything manually? On your Form 1099-DIV, the dividend in Box 1a and the cap gains distribution in box 2a both get reported on your return, but if there is a nonzero amount in box 3 of your Form 1099-DIV, i...
by House Blend
Tue Mar 14, 2017 1:09 pm
Forum: Personal Finance (Not Investing)
Topic: Finding The "Sweet Spot" on a Roth Conversion
Replies: 26
Views: 2544

Re: Finding The "Sweet Spot" on a Roth Conversion

^I think the most important bit of information is that, yes, the OP is inside the SS Tax Hump (before doing any Roth conversions), but not far from getting out beyond it . In particular for MFJ with SS = $32,776, you are beyond the SS tax hump once your non-SS income totals more than $53,329. Of cou...
by House Blend
Mon Mar 13, 2017 11:24 am
Forum: Personal Finance (Not Investing)
Topic: ? Wisdom of Roth conversion
Replies: 34
Views: 3495

Re: ? Wisdom of Roth conversion

"The big difference is if you want your RMDs to end up in taxable (which is ok if you are spending them) or in a tax deferred accounts (much better if your not spending them)." Can you clarify this? Your RMDs are coming from a tax-deferred account. Where else can they go aside from a taxa...
by House Blend
Sun Mar 12, 2017 8:19 pm
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 2546
Views: 655044

Re: What Movie Have You Recently Watched?

Caught Run Boy Run on Netflix. A German 2013 production (original title: Lauf Junge Lauf ). Based on a memoir documenting the incredible story of an 8 year old boy who escapes the Warsaw ghetto in 1942 and survives by his wits in the countryside. Haunting. Great acting and cinematography. Highly rec...
by House Blend
Sun Mar 12, 2017 9:08 am
Forum: Investing - Theory, News & General
Topic: 1099-B form from Vanguard has wrong cost basis
Replies: 8
Views: 1015

Re: 1099-B form from Vanguard has wrong cost basis

I've made 1 transaction on my muni fund (sell). Part of the transaction is non-covered shares (per my 1099-B). How can I calculate my cost basis? If you trust your broker, you use the cost basis shown on the 1099-B even though (since it is non-covered) the basis will not be reported to the IRS. If ...
by House Blend
Fri Mar 10, 2017 11:11 am
Forum: Investing - Theory, News & General
Topic: Asset Placement Turned Upside Down, Bonds in Taxable?
Replies: 51
Views: 3875

Re: Asset Placement Turned Upside Down, Bonds in Taxable?

The advice is to model it yourself. I don't understand the issues that deeply yet; Does anyone have a link to a plug-and-chug spreadsheet I can use to get started? No, because there aren't right answers. You can reasonably estimate current tax costs, and there are tax-efficiency spreadsheets to hel...

Go to advanced search