Search found 2068 matches

by IlliniDave
Tue Jun 13, 2017 1:48 pm
Forum: Investing - Theory, News & General
Topic: Bogle Doubles Down on US Index Funds
Replies: 118
Views: 11881

Re: Bogle Doubles Down on US Index Funds

I am tilted towards US 70/30 so I'm in between the US-only and global-market-weight camps. I agree with Bogle that you don't *need* overseas, but think there is some value in having a little hedge. It's clear that Mr. Bogle does not mind that I don't totally agree with him on this point, so I'll ext...
by IlliniDave
Tue Jun 13, 2017 1:35 pm
Forum: Investing - Theory, News & General
Topic: Poll: Do Bogleheads own Stocks?
Replies: 77
Views: 6722

Re: Poll: Do Bogleheads own Stocks?

I had to answer "yes" to stocks because I own 7ish shares of my employer's stock that I got as a cashless redemption of an option grant many years ago (something like 100 shares at a price the stock sunk below and barely got above just as the exercise window was closing). I kept them becau...
by IlliniDave
Tue Jun 13, 2017 1:17 pm
Forum: Investing - Theory, News & General
Topic: Favorite Feature of Vanguard Website?
Replies: 64
Views: 4659

Re: Favorite Feature of Vanguard Website?

I like that the "Account overview" page has a different number for "Total assets" than the "Balances & Holdings" page even though they are the identical set of investments and if I use the "Portfolio Watch" page there is even a third number for the total ...
by IlliniDave
Tue Jun 06, 2017 2:13 pm
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

What I meant was stock dividend investment strategy. Specifically in a retirement account (to get maximum tax benefits). I learned about it in this book - "Dividend Growth Machine: How to Supercharge Your Investment Returns with Dividend Stocks" - and am now starting to do it myself. When...
by IlliniDave
Tue Jun 06, 2017 6:48 am
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

qwertyjazz wrote:I have nothing useful to add. You are very thoughtful and this plan seems well thought out. I just wanted to say that I enjoy your posts.

Thank you
QJ

Thanks QJ!
by IlliniDave
Tue Jun 06, 2017 6:46 am
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

I have to say Sir, looking at your assets and retirement description, you've done an excellent job being financially responsible your entire life. I am now 37, and can only hope to achieve the financial opulence which you have described. I am curious, have you ever looked at dividend reinvesting? I...
by IlliniDave
Mon Jun 05, 2017 12:47 pm
Forum: Investing - Help with Personal Investments
Topic: Received inheritance, feel paralyzed as to what to do next
Replies: 16
Views: 2086

Re: Received inheritance, feel paralyzed as to what to do next

Generally, the advice above is very good. I'll just reemphasize that you should take as much time as you need to be comfortable with what you are doing. Don't let others (even well-meaning people) make you feel pressured to do something before you are ready. As you develop ideas put in a policy wher...
by IlliniDave
Mon Jun 05, 2017 11:49 am
Forum: Personal Finance (Not Investing)
Topic: New Milestone
Replies: 39
Views: 3289

Re: New Milestone

Comparing the members of this forum to the U.S. population as a whole is about as close as you can get to a real life Lake Wobegon. If you're anywhere near the two comma club, you are doing better than your cohort average, regardless of age. I remember reading this a few years back (sorry, cannot r...
by IlliniDave
Mon Jun 05, 2017 8:47 am
Forum: Personal Finance (Not Investing)
Topic: New Milestone
Replies: 39
Views: 3289

Re: New Milestone

Zillow aside, congrats!!! :sharebeer I was over 50 when I got a second comma for net worth :( (I use what might be considered excessively conservative estimates for real estate value though). At barely 53 I've yet to get my second comma for financial assets alone, hopeful of getting there by 55 tho...
by IlliniDave
Mon Jun 05, 2017 8:36 am
Forum: Investing - Theory, News & General
Topic: Shiller: Stock market will rise 50 percent
Replies: 27
Views: 4090

Re: Shiller: Stock market will rise 50 percent

Eek! Might be time to review my IPS and think about whether I should amend with an acceleration to pre-ER AA change to something a little more conservative. I had PE of 30 as a trigger for a review as well, and the 10-year is inching close. Seeing these sorts of quotes are reminiscent of times past ...
by IlliniDave
Mon Jun 05, 2017 8:05 am
Forum: Personal Finance (Not Investing)
Topic: New Milestone
Replies: 39
Views: 3289

Re: New Milestone

Zillow aside, congrats!!! :sharebeer I was over 50 when I got a second comma for net worth :( (I use what might be considered excessively conservative estimates for real estate value though). At barely 53 I've yet to get my second comma for financial assets alone, hopeful of getting there by 55 thou...
by IlliniDave
Sun Jun 04, 2017 8:17 pm
Forum: Investing - Theory, News & General
Topic: Index construction and "passive" investing
Replies: 8
Views: 763

Re: Index construction and "passive" investing

One really interesting concept I've come across lately is that the idea of index investing being "passive" is a bit of a fallacy. While tracking an index is mostly a passive process, constructing and updating indexes definitely is not. For example: -The S&P 500 index isn't just a list...
by IlliniDave
Sat Jun 03, 2017 7:37 pm
Forum: Investing - Theory, News & General
Topic: Everything keeps going up, this feels too easy?
Replies: 113
Views: 8604

Re: Everything keeps going up, this feels too easy?

For two years now I've been putting the vast majority of new money into bonds and my AA has barely budged. I may have to break down and do an actual directed rebalance sometime this year. Regarding the OP, well, this *is* the easy part--just standing around while the world stuffs money into your poc...
by IlliniDave
Sat Jun 03, 2017 5:00 pm
Forum: Investing - Help with Personal Investments
Topic: WHAT!? Us! Double comma! Can I pull back?
Replies: 27
Views: 3914

Re: WHAT!? Us! Double comma! Can I pull back?

Well, I don't know what parochial school tuition costs in your area but based on your top level numbers it doesn't seem like it should be difficult to cash flow without dialing down on your 401k. That said, you're in pretty good shape so far, and it probably wouldn't cripple your future to reduce 40...
by IlliniDave
Sat Jun 03, 2017 4:40 pm
Forum: Investing - Theory, News & General
Topic: Murphy's Law Of Retirement
Replies: 33
Views: 5171

Re: Murphy's Law Of Retirement

What does he think people should do, wait around for a crash and then retire? Don't see many people doing that. The first books I read on investing were by Bernstein. If I shared his hyper-conservative outlook I'd work until my late 60s or longer and even then I'd spend all my time cringing and wait...
by IlliniDave
Sat Jun 03, 2017 4:46 am
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

The only thing I would be concerned about is making sure I bought the right health insurance plan at the right price until medicare kicks in. ^^^ This. I am at about 20 months and the biggest unkown is what will happen with health care over the next 2 years (I currently plan to use the state Medica...
by IlliniDave
Fri Jun 02, 2017 4:32 pm
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

Enjoy fishing :) I have about 3/4th of your savings, but my 2 pensions will equal about $5k/mo (only 2k no COLA at age 55 and the other 3k w/ COLA at age 59). I will retire at age 55 and hold out until age 59 Pension. Healthcare is the Wildcard for ALL OF US (just remember it hurts less on those wh...
by IlliniDave
Fri Jun 02, 2017 1:07 pm
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

Based on the provided numbers, i think you are in very good shape as many have mentioned. I would be a little concerned about your estimated expenses. You say your current expenses average $33k after-tax (assuming also not including current savings?). You are planning retirement expenses of $40k af...
by IlliniDave
Fri Jun 02, 2017 11:49 am
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

You are in good shape. I do have a question for everyone here: I assume that the OP's $3000 per month SS is based on his current statement. If he retires early, he will have 14-15 more zero years (55 to 70 years old), will that result in a lower monthly payout? Keep in mind it is the highest 35 yea...
by IlliniDave
Fri Jun 02, 2017 11:41 am
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

illinidave: What are you going to do with your time? I look at that being the big issue. I am just finishing the book "The New Retirementality" by Mitch Anthony and I will start a new thread on this book. The book has caused me to take a serious look at my station in life, particularly si...
by IlliniDave
Fri Jun 02, 2017 10:56 am
Forum: Personal Finance (Not Investing)
Topic: KF's Worst Case Retirement Plan [KlangFool's]
Replies: 252
Views: 16845

Re: KF's Worst Case Retirement Plan

That's a tough scenario to navigate. Without the mortgage I think you could swing it assuming your medical expenses didn't hit $20K every single year. Considering alternate, lower wage, maybe even part-time employment for a few years might help bridge that gap until SS. Good luck, hope this doesn't ...
by IlliniDave
Fri Jun 02, 2017 10:44 am
Forum: Personal Finance (Not Investing)
Topic: How does a mere mortal navigate healthcare/insurance issues
Replies: 50
Views: 4501

Re: How does a mere mortal navigate healthcare/insurance issues

I could add similar stories that happened both before and after ACA. Along with things during the same time span that that went without any hitch or surprises (ironically, perhaps, my "50th birthday present" was one that went smooth). I roll my eyes whenever someone points to the "fre...
by IlliniDave
Fri Jun 02, 2017 10:27 am
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

The plan is as bulletproof as you can get. The only thing I would be concerned about is making sure I bought the right health insurance plan at the right price until medicare kicks in. I would also loosen the purse strings a little if there's anything at all you wanted to spend money on that you ha...
by IlliniDave
Fri Jun 02, 2017 10:11 am
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Re: Early Retirement Plan Check, 2 Years out.

You are in good shape. I do have a question for everyone here: I assume that the OP's $3000 per month SS is based on his current statement. If he retires early, he will have 14-15 more zero years (55 to 70 years old), will that result in a lower monthly payout? I used the calculator on ssa.gov assu...
by IlliniDave
Fri Jun 02, 2017 8:57 am
Forum: Personal Finance (Not Investing)
Topic: Early Retirement Plan Check, 2 Years out.
Replies: 25
Views: 3521

Early Retirement Plan Check, 2 Years out.

I would be grateful to anyone who would take the time to look at this and provide any comments. Apologies in advance for the lengthy entry. I wouldn't blame anyone for taking a pass on this :) I recently crossed the "T minus 2 years" threshold in my countdown to early retirement. Due to my...
by IlliniDave
Thu Jun 01, 2017 2:37 pm
Forum: Personal Finance (Not Investing)
Topic: Drowning in debt
Replies: 52
Views: 4613

Re: Drowning in debt

I'm in the pay off the HELOC camp. Preferably, sell the mystery asset that you borrowed money to buy. If you're emotionally attached to the mystery asset, liquidate part of you taxable investment account to pay for it. But there's a lot of vagueness in the scenario you've laid out, so the confidence...
by IlliniDave
Thu Jun 01, 2017 9:57 am
Forum: Investing - Help with Personal Investments
Topic: Future Retirement Plan
Replies: 46
Views: 3004

Re: Future Retirement Plan

IlliniDave, <<I think the driver is how confident you are in maintaining the $40K spending level>> 1) Not inflation adjusted. 2) Very confident since we maintained this approximate spending level for the last 10 to 20 years. << The thing that worries me some about my own situation is medical insura...
by IlliniDave
Thu Jun 01, 2017 9:22 am
Forum: Investing - Help with Personal Investments
Topic: Future Retirement Plan
Replies: 46
Views: 3004

Re: Future Retirement Plan

Folks, Please review and criticize my future retirement plan. 1) Retire at 57 years old with a portfolio of 1.5 million with AA of 60/40 2) 300K Mortgage -> may consider to pay this off at that time. 9 years into 30 years 3.49% fixed rate mortgage. 3) Taxable/Roth/Tax-deferred 25/15/60 4) Annual ex...
by IlliniDave
Thu Jun 01, 2017 8:53 am
Forum: Investing - Help with Personal Investments
Topic: What to Do with Yearly Employer Bonus?
Replies: 10
Views: 931

Re: What to Do with Yearly Employer Bonus?

At my employer we only get token profit sharing added to one of our biweekly checks. After taxes, the 401 contribution % is taken out and matched as if it were regular pay. The rest I move over to Vanguard and dump in the kitty. The amount has always been between 2% and 4% of base pay, so we're not ...
by IlliniDave
Thu Jun 01, 2017 7:28 am
Forum: Personal Finance (Not Investing)
Topic: Why does step-up basis apply to estates, but not gifts?
Replies: 29
Views: 1994

Re: Why does step-up basis apply to estates, but not gifts?

Maybe it's a matter of convenience and compassion that the basis is reset in an estate. It would ultimately require the recipient to know the deceased's cost basis for everything. With investment assets purchased after 2014 the information should be reliably available, but for older financial assets...
by IlliniDave
Thu Jun 01, 2017 6:50 am
Forum: Investing - Theory, News & General
Topic: Does anyone treat taxable as a "someday fund"?
Replies: 86
Views: 5937

Re: Does anyone treat taxable as a "someday fund"?

Figured this to be the suggestion...however, prior to age 59.5 where does typical FIRE funding stem from? Didn't read the whole thread, sorry if it was already answered. Probably most typically ER is funded from non-tax advantaged accounts and/or pensions. There's an argument that spreading money b...
by IlliniDave
Wed May 31, 2017 8:44 am
Forum: Investing - Help with Personal Investments
Topic: Predicted 4% return over next decade. What do you do now?
Replies: 71
Views: 6608

Re: Predicted 4% return over next decade. What do you do now?

I don't do anything differently in terms of investment tactics, AA, etc., than I would if he'd predicted 8% returns. I just employ extra diligence to ensure that I meet or exceed contribution targets, and I keep expectations for my retirement lifestyle humble.
by IlliniDave
Wed May 31, 2017 8:40 am
Forum: Investing - Theory, News & General
Topic: Does anyone treat taxable as a "someday fund"?
Replies: 86
Views: 5937

Re: Does anyone treat taxable as a "someday fund"?

Mine is sort of like my financial kitchen utility drawer. It's part bridge fund between ER and "real" retirement, part the upper-tier of my emergency fund, and part slush fund (similar probably to the someday fund). I already dipped into it a couple years back to buy my cliche "cabin ...
by IlliniDave
Mon May 29, 2017 6:13 am
Forum: Investing - Theory, News & General
Topic: DON'T pay off your mortgage; instead reduce Sequence of Return Risk
Replies: 206
Views: 15312

Re: DON'T pay off your mortgage; instead reduce Sequence of Return Risk

Well, I'm 30 years into it so no point in rehashing what I maybe coulda done decades ago. Certainly the leveraged high equity approach is one where the numbers can appear to work for someone with decades left to work, regardless of the source of the leverage. Since I was investing for a good 20 year...
by IlliniDave
Thu May 25, 2017 7:52 pm
Forum: Investing - Theory, News & General
Topic: BlackRock, Vanguard Mull Pressuring Exxon to Disclose Climate Risks
Replies: 33
Views: 1809

Re: BlackRock, Vanguard Mull Pressuring Exxon to Disclose Climate Risks

This is an edit. I responded to the OP but after seeing more I realize my original response was due to misunderstanding. I am for robust oversight of corporations to protect shareholder interests regarding their investments. It seems reasonable that if Exxon has assessed risk to specific pending re...
by IlliniDave
Thu May 25, 2017 6:27 pm
Forum: Investing - Theory, News & General
Topic: BlackRock, Vanguard Mull Pressuring Exxon to Disclose Climate Risks
Replies: 33
Views: 1809

Re: BlackRock, Vanguard Mull Pressuring Exxon to Disclose Climate Risks

[ I am for robust oversight of corporations to protect shareholder interests regarding their investments. I do not like the idea of entities like Vanguard engaging in political activism in my name against an industry in which I'm invested, which is all this is. All the data supporting both sides of...
by IlliniDave
Thu May 25, 2017 5:47 pm
Forum: Investing - Theory, News & General
Topic: BlackRock, Vanguard Mull Pressuring Exxon to Disclose Climate Risks
Replies: 33
Views: 1809

Re: BlackRock, Vanguard Mull Pressuring Exxon to Disclose Climate Risks

This is an edit. I responded to the OP but after seeing more I realize my original response was due to misunderstanding. I am for robust oversight of corporations to protect shareholder interests regarding their investments. It seems reasonable that if Exxon has assessed risk to specific pending reg...
by IlliniDave
Thu May 25, 2017 12:04 pm
Forum: Investing - Theory, News & General
Topic: Why do Hardship Withdrawals Increase in the Summer?
Replies: 13
Views: 1773

Re: Why do Hardship Withdrawals Increase in the Summer?

I agree home purchases make sense for some. Maybe to fund vacations in other cases? Kids going off to college in the fall?
by IlliniDave
Thu May 25, 2017 11:55 am
Forum: Personal Finance (Not Investing)
Topic: When does Saving become missing out on life?
Replies: 74
Views: 8398

Re: When does Saving become missing out on life?

I would start by listing out what you feel you are missing out on in life (specifically, what you might gain from the missing item) and noting how important the forgone gain is. Then I would take each item and decide if a savings habit is really what is preventing the item from being added to my lif...
by IlliniDave
Wed May 24, 2017 8:19 am
Forum: Investing - Theory, News & General
Topic: The dot com "do over" bull market?
Replies: 82
Views: 7939

Re: The dot com "do over" bull market?

Regarding stocks and just operating on gut feel, I don't sense a bubble to this bull market. Bubbles usually come with some sort of emotional component, an irrational exuberance as has been said. Despite a fairly long bull market, there still seems to be a big dose of skepticism out there. It's virt...
by IlliniDave
Tue May 23, 2017 8:29 am
Forum: Investing - Theory, News & General
Topic: Why Invest in Average?
Replies: 34
Views: 3187

Re: Why Invest in Average?

"...but investment isn't about achieving average, it's about achieving goals." I would call BS and ask, "Who's goals? Invesco's revenue goals? Or my goals?" Then I would call BS and say that 1. It's been shown that achieving benchmark returns less the smallest costs possible over...
by IlliniDave
Tue May 23, 2017 8:07 am
Forum: Investing - Theory, News & General
Topic: Milestone and not peeking. . .
Replies: 66
Views: 7826

Re: Milestone and not peeking. . .

:sharebeer Way to go!! I just turned 53 and hit the same in my 401 at the end of last year. I started early, but got hit with a 0.5X in 2009 (no, not the financial crises, wound up single again). Persistence pays off. Thanks Dave, sorry you are going through this. No worries. All is good, stemikger...
by IlliniDave
Mon May 22, 2017 3:14 pm
Forum: Investing - Theory, News & General
Topic: Milestone and not peeking. . .
Replies: 66
Views: 7826

Re: Milestone and not peeking. . .

:sharebeer Way to go!! I just turned 53 and hit the same in my 401 at the end of last year. I started early, but got hit with a 0.5X in 2009 (no, not the financial crises, wound up single again). Persistence pays off.
by IlliniDave
Sat May 20, 2017 8:42 pm
Forum: Investing - Theory, News & General
Topic: Anyone else track the value of their investments by discounting the value of equities?
Replies: 64
Views: 3938

Re: Anyone else track the value of their investments by discounting the value of equities?

I track the worth my investable assets 2 ways. One, the traditional way, adding everything up and seeing what the total is. The second way is by discounting the value of equities by 40% and adding them up giving me a "Bear Market" value for my investable assets. This way I feel I truly un...
by IlliniDave
Sat May 20, 2017 8:33 pm
Forum: Investing - Theory, News & General
Topic: "Stocks, Bonds and Future Returns" by Prof. Jeremy Siegel
Replies: 65
Views: 5517

Re: "Stocks, Bonds and Future Returns" by Prof. Jeremy Siegel

baw703916 wrote:
IlliniDave wrote:
Good thing we have the real Jack Bogle!


IOW, good thing the real Jack Bogle has had his home country bias directed fortuitously.

Or wisely. :D
by IlliniDave
Sat May 20, 2017 7:17 pm
Forum: Investing - Theory, News & General
Topic: "Stocks, Bonds and Future Returns" by Prof. Jeremy Siegel
Replies: 65
Views: 5517

Re: "Stocks, Bonds and Future Returns" by Prof. Jeremy Siegel

Japan is a good example of situations that have made it difficult for U.S. investors to " stay the course " with an international allocation. :wink: The Japanese version of John Bogle would have said back in 1989 that the large Japanese Multi-National companies derive a lot of their reven...
by IlliniDave
Sat May 20, 2017 11:41 am
Forum: Personal Consumer Issues
Topic: What are your priorities for retirement?
Replies: 56
Views: 5302

Re: What are your priorities for retirement?

Good topic. Well, in no particular order ... -I bought a small cabin on the edge of a 2M+ acre protected wilderness area, so I intend to spend a lot of time enjoying it. The wilderness requires some physical capability to enjoy, so this is contributing to the drive for early retirement. -I want to r...
by IlliniDave
Sat May 20, 2017 6:29 am
Forum: Personal Finance (Not Investing)
Topic: Learning how to spend
Replies: 27
Views: 2599

Re: Learning how to spend

:thumbsup For us, since it seems 2/3 of our children will have low incomes throughout their lives and none of the 3 will get a pension, that helps me to rationalize not feeling compelled to find some way to dispose of excess money. It gives us a nice safety factor, hopefully we don't need it and it...
by IlliniDave
Fri May 19, 2017 2:26 pm
Forum: Personal Finance (Not Investing)
Topic: Learning how to spend
Replies: 27
Views: 2599

Re: Learning how to spend

I'd say whether you spend a lot, or a little, just spend wisely and you'll be fine. Is there a really a difference between the richest guy in the graveyard and the guy in the graveyard who burned through the most cash getting there? That's great if you know when you're going to die. Or whether you'...
by IlliniDave
Fri May 19, 2017 2:11 pm
Forum: Personal Finance (Not Investing)
Topic: have you accepted a lower cost lifestyle to retire early?
Replies: 71
Views: 9103

Re: have you accepted a lower cost lifestyle to retire early?

No problem - since much of your plan details are not in this post and some of your figures are rounded or estimated the ability to do any checking or commenting on this plan is very limited. Without really knowing your savings, income, or expenses the feedback will have little value or could even b...

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