Search found 315 matches

by MikeG62
Mon May 22, 2017 7:43 am
Forum: Investing - Theory, News & General
Topic: For those with $500k-$1m in investments...
Replies: 138
Views: 12049

Re: For those with $500k-$1m in investments...

We are ~80% taxable and ~20% tax deferred/free (vast majority of the latter is tax deferred). I am 54 and DW is 52 years old. Retired last year. Contributed maximum amount allowed by law every year to 401k for at least the last two decades of work (and got sizable company match on those contribution...
by MikeG62
Sun May 21, 2017 6:28 am
Forum: Personal Finance (Not Investing)
Topic: Use 529 Money Or Not?
Replies: 19
Views: 1389

Re: Use 529 Money Or Not?

My son will start a top 14 law school this fall. All in it will cost about $250,000 to $300,000 including living expenses. I can pay for it from taxable savings or from his 529 account. I'm thinking of doing something else with the 529 and just paying for law school directly. Assuming he starts thi...
by MikeG62
Sat May 20, 2017 8:50 am
Forum: Investing - Help with Personal Investments
Topic: Automatic Reinvestment: To "check" or not to "check" (the box) . . that is the question?
Replies: 52
Views: 4535

Re: Automatic Reinvestment: To "check" or not to "check" (the box) . . that is the question?

For my taxable accounts (most of my $), during my working years I checked the box. I retired last year and still have the box checked. However, once I deplete my excess cash I plan to uncheck the box to provide some of the cash flow I need to fund retirement lifestyle.
by MikeG62
Sat May 20, 2017 8:38 am
Forum: Personal Finance (Not Investing)
Topic: Variable Compensation and 401k Match
Replies: 7
Views: 517

Re: Variable Compensation and 401k Match

How do you approach maxing 401k contributions/matching when a large percentage of your total compensation is in the form of a yearly bonus. I did some calculations and there is the potential to miss out on the match if you max out your 401k too early in the year. Are you sure you will miss out on s...
by MikeG62
Sat May 20, 2017 8:24 am
Forum: Personal Finance (Not Investing)
Topic: Job loss
Replies: 28
Views: 2190

Re: Job loss

Thanks for the comments everyone. Unfortunately I think some of the ideas offered may not be feasible because of the manner in which I may be dismissed. This is a potential firing, not a lay off. First, sorry to hear you are in this situation. Any possible case for wrongful termination? Can you neg...
by MikeG62
Fri May 19, 2017 4:25 pm
Forum: Personal Finance (Not Investing)
Topic: Cars policy/timing for teens/young adults
Replies: 22
Views: 1249

Re: Cars policy/timing for teens/young adults

Now, what would I do differently if I had to do it over again? I would lease a brand-new car for each of them. Interesting idea. How does the math work out? I just quickly looked at a Civic. Leases right now are 179/mo which would total $25k if two 3 year leases for each child, plus 4 down payments...
by MikeG62
Fri May 19, 2017 7:12 am
Forum: Personal Finance (Not Investing)
Topic: Cars policy/timing for teens/young adults
Replies: 22
Views: 1249

Re: Cars policy/timing for teens/young adults

OK, here is what we did. Then I'll tell you what I would do if I had to do it over again. As each kid got their license we bought them a low-miles used (2-3 years old), but nice car. Vehicles had all safety features associated with the model year (airbag's, parking sensors, backup camera's, etc...)....
by MikeG62
Thu May 18, 2017 4:02 pm
Forum: Personal Finance (Not Investing)
Topic: Question for you high net worth individuals...
Replies: 78
Views: 8979

Re: Question for you high net worth individuals...

jzzmn88 wrote:Hi all,

For you high net worth individuals (talking $3 million+), how much of that was attributed to real estate investing?


Zero. Wealth accumulated through high paying job (at large corporation) and living below our means (although far from frugally), which allowed for retirement at 53.
by MikeG62
Tue May 16, 2017 3:07 pm
Forum: Personal Finance (Not Investing)
Topic: High Earners - What's Your Profession?
Replies: 613
Views: 86123

Re: High Earners - What's Your Profession?

SVP Finance and Accounting at Mega-Corp. Worked there for over two decades. Started career as CPA in top 4 accounting firm. Retired at 53.
by MikeG62
Sat May 13, 2017 4:21 pm
Forum: Investing - Theory, News & General
Topic: Praise for Roth IRA conversions in retirement, a bonus for early retirees
Replies: 11
Views: 1920

Re: Praise for Roth IRA conversions in retirement, a bonus for early retirees

OP, it is great to hear of your success with partial systematic Roth conversions. I embarked on the same process myself last year and if all goes according to plan I will have 17 years to shift assets from tIRA to rIRA. I hope I can report the same success as you a decade from now.
by MikeG62
Sat May 13, 2017 12:35 pm
Forum: Investing - Theory, News & General
Topic: Fidelity portfolio advisory services
Replies: 25
Views: 2007

Re: Fidelity portfolio advisory services

Find out what the expense ratio is on the funds Fidelity would have you invest in. Most likely, they will be high expense funds in addition to the management fees. Vanguard offers an advisory service with a fee of 0.3% and they use Vanguard's very low expense funds. In short, Fidelity will be expen...
by MikeG62
Sat May 13, 2017 8:15 am
Forum: Personal Finance (Not Investing)
Topic: schedule c for single owner llc
Replies: 7
Views: 630

Re: schedule c for single owner llc

ketanco wrote:He even told me that getting an EIN was not even necessary in the first place, until I will have employees.


As an aside, you may need an EIN to open a bank account in the name of the LLC.
by MikeG62
Sat May 13, 2017 7:34 am
Forum: Investing - Theory, News & General
Topic: Retirees, what is your marginal tax rate?
Replies: 33
Views: 2866

Re: Retirees, what is your marginal tax rate?

My TOTAL federal income taxes paid in the last 13 years was less than $2700, but most years it was zero, so my present marginal tax rate is 0% compared with 39% before retiring. Sheepdog, this is awesome. Some incredible tax planning there. :thumbsup OP, while working (last 15 or so years) most yea...
by MikeG62
Sat May 13, 2017 7:14 am
Forum: Investing - Theory, News & General
Topic: Confirm Withdrawl Strategy
Replies: 17
Views: 1512

Re: Confirm Withdrawl Strategy

Nope, exactly what I am doing with my tax deferred accounts now (retired last year at 53) and plan to continue doing until I turn 70 (and start drawing SS and RMD's from remaining tax deferred accounts). You sound like you are in great shape, especially with a initial annual withdrawal rate under 3%.
by MikeG62
Fri May 12, 2017 6:51 pm
Forum: Investing - Theory, News & General
Topic: Fidelity portfolio advisory services
Replies: 25
Views: 2007

Re: Fidelity portfolio advisory services

Yes,I get that feeling of the other high expenses etc....but when he was putting on the hard sell and mentioned about tax loss harvesting, he got my attention,reason being that I do not know anything about that and if they where going to do that so I would save paying more than my fair share, I sai...
by MikeG62
Fri May 12, 2017 12:58 pm
Forum: Investing - Help with Personal Investments
Topic: Nonqualified Deferred Compensation distributions
Replies: 13
Views: 777

Re: Nonqualified Deferred Compensation distributions

I began contributing around 2010 and choose a 5 year payout period post termination of employment. However, our Board of Directors decided to accept a takeover offer in 2015 resulting in a change-in-control of the company. This triggered a provision in the plan whereby all deferred amounts had to p...
by MikeG62
Fri May 12, 2017 7:36 am
Forum: Investing - Help with Personal Investments
Topic: Nonqualified Deferred Compensation distributions
Replies: 13
Views: 777

Re: Nonqualified Deferred Compensation distributions

I began contributing around 2010 and choose a 5 year payout period post termination of employment. However, our Board of Directors decided to accept a takeover offer in 2015 resulting in a change-in-control of the company. This triggered a provision in the plan whereby all deferred amounts had to pa...
by MikeG62
Wed May 10, 2017 11:05 am
Forum: Personal Finance (Not Investing)
Topic: Cash Fund Advice
Replies: 12
Views: 821

Re: Cash Fund Advice

I just got off the phone with a Fidelity rep who basically said that the only cash/mm fund they have is the Fidelity government fund. Today this fund pays 0.11% after its expenses. n How about SPRXX? 7 day yield is 0.81%. Far better than the gov't fund the rep suggested. https://fundresearch.fideli...
by MikeG62
Tue May 09, 2017 3:21 pm
Forum: Investing - Help with Personal Investments
Topic: 529 vs. taxable investment account for college
Replies: 33
Views: 2970

Re: 529 vs. taxable investment account for college

How do they know what you are spending the 529 dollars on?? There is obviously a list of eligible items but I never really thought about how they verify you are actually spending your 529 on them. Assuming by "they" you are referring to the IRS, you are responsible for tracking how all mo...
by MikeG62
Tue May 09, 2017 8:21 am
Forum: Personal Finance (Not Investing)
Topic: Individual health insurance
Replies: 59
Views: 3124

Re: Individual health insurance

I bought insurance in the open market this year for the first time (for my wife and I) - retired last year (we are early/mid 50's). Options were limited (I live in NJ) - basically BCBS and Ameriprise. Ended up buying directly from Blue Cross and Blue Shield. Monthly premium for the two of us is ~$1...
by MikeG62
Mon May 08, 2017 9:00 pm
Forum: Personal Finance (Not Investing)
Topic: Boglehead Debt Free Scream! 174K in 53 months
Replies: 24
Views: 3410

Re: Boglehead Debt Free Scream! 174K in 53 months

Congratulations. Well done and impressive.
by MikeG62
Mon May 08, 2017 8:00 pm
Forum: Personal Finance (Not Investing)
Topic: Long Term [Care] Rates just went Through the roof!
Replies: 34
Views: 4664

Re: Long Term Rates just with Through the roof!

This is one of the reasons I have not pursued LTC insurance. I am sorry to hear they are doing this to you. You may want to change the title to the thread to say "Long Term "Care" Rates..." I was not sure what the post was going to be about. Are you willing to share the name of t...
by MikeG62
Mon May 08, 2017 7:58 pm
Forum: Personal Finance (Not Investing)
Topic: Individual health insurance
Replies: 59
Views: 3124

Re: Individual health insurance

I bought insurance in the open market this year for the first time (for my wife and I) - retired last year (we are early/mid 50's). Options were limited (I live in NJ) - basically BCBS and Ameriprise. Ended up buying directly from Blue Cross and Blue Shield. Monthly premium for the two of us is ~$1...
by MikeG62
Mon May 08, 2017 8:06 am
Forum: Personal Finance (Not Investing)
Topic: Individual health insurance
Replies: 59
Views: 3124

Re: Individual health insurance

I bought insurance in the open market this year for the first time (for my wife and I) - retired last year (we are early/mid 50's). Options were limited (I live in NJ) - basically BCBS and Ameriprise. Ended up buying directly from Blue Cross and Blue Shield. Monthly premium for the two of us is ~$1,...
by MikeG62
Sun May 07, 2017 9:11 am
Forum: Personal Finance (Not Investing)
Topic: Transferring vehicle and insurance to adult child
Replies: 11
Views: 705

Re: Transferring vehicle and insurance to adult child

Try Geico for a price quote. They were competitive when I researched this for my daughter. The order I would start with is get your price quotes and make sure you have a path forward on the insurance side. Then sell or gift him the car - will require paperwork filed with motor vehicle. Then have him...
by MikeG62
Sun May 07, 2017 7:03 am
Forum: Personal Finance (Not Investing)
Topic: ISO/NSO Grant Advice - Who do I talk to?
Replies: 6
Views: 405

Re: ISO/NSO Grant Advice - Who do I talk to?

I have an upcoming vesting event for a high-risk, very high reward company. I'd like to talk to a tax professional about my options for an hour or two. What should I be looking for? Specific titles/certs? You could talk to a tax professional (will most likely be someone who knows the tax law, but h...
by MikeG62
Sat May 06, 2017 3:46 pm
Forum: Personal Consumer Issues
Topic: Considering new approach to credit card churning
Replies: 45
Views: 6913

Re: Considering new approach to credit card churning

I see my thread has come back to haunt me. And I have subsequently taken a whole different approach than when I started the thread a year ago. The reason probably being the birth of Chase Sapphire Reserve and Ink Business Preferred, the two of which in combination have given me 180K easy UR promo p...
by MikeG62
Sat May 06, 2017 1:24 pm
Forum: Investing - Help with Personal Investments
Topic: How much to contribute to deferred compensation?
Replies: 9
Views: 1199

Re: How much to contribute to deferred compensation?

I participated a deferred comp plan for several years. Plan was to take payouts over extended period of time once I retired and take advantage of tax rate arbitrage. Employer got acquired and pursuant to rules of the plan, all deferred comp had to be paid out in lump sum in year company was acquired...
by MikeG62
Sat May 06, 2017 8:34 am
Forum: Personal Finance (Not Investing)
Topic: another umbrella insurance question
Replies: 6
Views: 643

Re: another umbrella insurance question

At a minimum I'd go for $5M (not sure they sell odd amounts like $6M or $12M as once you get to $5M I think they amounts jump in $5M increments). I would strongly consider $10M as well, but would get the quotes and see. FWIW, I have $5M and pay $1,190 per year. When I inquired about going higher, th...
by MikeG62
Sat May 06, 2017 8:23 am
Forum: Personal Finance (Not Investing)
Topic: Taking over lease of Luxury car, good deal? Anything else to know?
Replies: 19
Views: 1446

Re: Taking over lease of Luxury car, good deal? Anything else to know?

I considered assuming a lease when getting a car for my youngest daughter two years ago. It's not necessarily a bad way to go. I could not find a deal worth doing, but may well have done it if I could have. My observations on your post are as follows: First thing is we don't know how hard he negotia...
by MikeG62
Fri May 05, 2017 7:58 am
Forum: Investing - Help with Personal Investments
Topic: Pension vs 401k
Replies: 33
Views: 2201

Re: Pension vs 401k

I skimmed the responses and don't think I saw this, so I'll ask. Can you elect to participate the DBP and also participate in the 401K - recognize you won't get the match in the 401K, but you can still put in EE contributions up to the max allowed by law each year and have those compound into the fu...
by MikeG62
Thu May 04, 2017 1:21 pm
Forum: Personal Finance (Not Investing)
Topic: Can I make a ROTH contribution if taxable business income reduced to zero
Replies: 7
Views: 504

Re: Can I make a ROTH contribution if taxable business income reduced to zero

First of all, I am not an expert. That would be Alan S. and others. I am just reasonably knowledgeable. My observation over a long period of time is that jebmke is also quite knowledgeable. If you want to maximize both your retirement plan contributions and deductions you should do the following: 1...
by MikeG62
Thu May 04, 2017 11:21 am
Forum: Personal Finance (Not Investing)
Topic: Can I make a ROTH contribution if taxable business income reduced to zero
Replies: 7
Views: 504

Re: Can I make a ROTH contribution if taxable business income reduced to zero

MAGI is only used when your income is too "HIGH" and 1/2 SE tax is not one of the items added back in. From Pub 590B Self employment income. If you are self-employed (a sole proprietor or a partner), compensation is the net earnings from your trade or business (provided your personal serv...
by MikeG62
Thu May 04, 2017 8:21 am
Forum: Personal Finance (Not Investing)
Topic: Can I make a ROTH contribution if taxable business income reduced to zero
Replies: 7
Views: 504

Re: Can I make a ROTH contribution if taxable business income reduced to zero

I believe that only net self employment income is counted as compensation for IRA purposes. What is on line 12 of the 1040? Approximately $30,000. However, the sum total of lines 25, 27 and 28 fully offset the income on line 12. EDIT: Sorry, I meant the sum of lines 27 (1/2 SE tax), 28 (SE retireme...
by MikeG62
Thu May 04, 2017 8:02 am
Forum: Personal Finance (Not Investing)
Topic: Can I make a ROTH contribution if taxable business income reduced to zero
Replies: 7
Views: 504

Can I make a ROTH contribution if taxable business income reduced to zero

I have about $30K of 1099 consulting income this year which will be reduced to zero through a combination of the self employed health insurance deduction, 1/2 of self employment tax and my solo 401K EE contribution. I am retired and have no other employment income. Since the tax rules indicate that ...
by MikeG62
Wed May 03, 2017 5:38 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement income for 50+ years?
Replies: 167
Views: 14380

Re: Retirement income for 50+ years?

Thanks for the feedback. I'll think about adding international stocks and definitely consider lowering spending at the outset. The reason I chose muni bonds is because they are tax-exempt. Holding other bonds is not tax-efficient in a taxable account even if would provide more bond diversification?...
by MikeG62
Wed May 03, 2017 5:33 pm
Forum: Investing - Help with Personal Investments
Topic: Income has increased drastically! What to do now?
Replies: 18
Views: 2188

Re: Income has increased drastically! What to do now?

Open a taxable brokerage account and save as much as you can in it (after maximizing your tax deferred/free accounts). Invest in a low cost, tax efficient manner. It is such a benefit in retirement to have multiple pots of assets to harvest from to create the cash flow you need to cover your expense...
by MikeG62
Wed May 03, 2017 5:25 pm
Forum: Personal Finance (Not Investing)
Topic: best way to get a handle on expenses?
Replies: 16
Views: 1146

Re: best way to get a handle on expenses?

Use a credit card or two for all expenses. Never use cash for anything. Then rely on the annual summary of expenses from your credit card. More complicated: Have a few credit cards and use one for one set of expenses, another for other kinds of expenses, and another for .... This is what I do - the...
by MikeG62
Wed May 03, 2017 5:15 pm
Forum: Personal Finance (Not Investing)
Topic: have you accepted a lower cost lifestyle to retire early?
Replies: 71
Views: 8705

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

In response to the title of your thread, my answer is no. I did not retire until I was comfortable we could maintain our existing lifestyle indefinitely. There are so many places to see, things to do and experiences to be had and now that we have unlimited free time (retired last year) we are doing ...
by MikeG62
Wed May 03, 2017 6:46 am
Forum: Personal Finance (Not Investing)
Topic: Dealership rejecting rebate after contract signed
Replies: 100
Views: 10355

Re: Dealership rejecting rebate after contract signed

OP, what is the resolution of this issue?
by MikeG62
Wed May 03, 2017 6:36 am
Forum: Personal Finance (Not Investing)
Topic: Is 401k loan really a bad idea?
Replies: 57
Views: 3267

Re: Is 401k loan really a bad idea?

It is true that you do not pay tax on the funds withdrawn when you take the loan from the 401k. However, to the extent of the "interest paid" on the 401K loan, you are using already taxed funds from your paycheck and putting that in your 401K plan. In the future when funds are withdrawn fr...
by MikeG62
Sun Apr 30, 2017 9:04 am
Forum: Investing - Help with Personal Investments
Topic: 529 vs. taxable investment account for college
Replies: 33
Views: 2970

Re: 529 vs. taxable investment account for college

livesoft, why do you feel a tax free account not a better place for investments than a taxable account (assuming you don't plan to touch the funds until you are at least 60 and made the conversion at least 5 years ago)? It would seem the long term benefits of compounding and being able to withdraw ...
by MikeG62
Sun Apr 30, 2017 8:32 am
Forum: Investing - Help with Personal Investments
Topic: 529 vs. taxable investment account for college
Replies: 33
Views: 2970

Re: 529 vs. taxable investment account for college

Interesting. Is it generally preferred to just invest in a taxable account vs. a non-deductible traditional IRA? I want to Roth convert my IRAs but have been given the advice that my tax bracket is not preferable to do this. This would only be a problem if you have funds in tIRA's (because of the p...
by MikeG62
Fri Apr 28, 2017 3:11 pm
Forum: Personal Finance (Not Investing)
Topic: Chase - $500 to open business checking account. Worth it?
Replies: 7
Views: 848

Re: Chase - $500 to open business checking account. Worth it?

I am all for chasing CC bonus offers, but I do not do this with my bank accounts. It just does not seem worth it. Plus, as someone else pointed out, the $500 bonus is taxable.
by MikeG62
Fri Apr 28, 2017 8:00 am
Forum: Personal Finance (Not Investing)
Topic: Which High-Yield Online Savings Account Should I Open?
Replies: 50
Views: 4381

Re: Which High-Yield Online Savings Account Should I Open?

FWIW, I've had online savings accounts with Ally, Discover and Barclay's. In the process of consolidating down to one (as I deploy more cash to investments) and the one will be Ally. Been with both Ally and Discover for a decade and Barclay's for maybe 4 years.
by MikeG62
Fri Apr 28, 2017 7:10 am
Forum: Investing - Help with Personal Investments
Topic: Retirement income for 50+ years?
Replies: 167
Views: 14380

Re: Retirement income for 50+ years?

...Yes, I'm suffering from recency bias and it shows up as both fear (losing 50% right away) and greed (buy everything half off). I didn't have that much liquid in 2009 so couldn't have invested even if I wanted to. I'd be looking for at least 20% declines before getting in but I also see how I'm m...
by MikeG62
Thu Apr 27, 2017 7:45 pm
Forum: Personal Finance (Not Investing)
Topic: Account Aggregation tools?
Replies: 24
Views: 2443

Re: Account Aggregation tools?

I use Fidelity Investment's FullView aggregator. I've been using it for years and never had an issue.
by MikeG62
Thu Apr 27, 2017 7:36 pm
Forum: Personal Finance (Not Investing)
Topic: What's Your Credit Card Rewards Strategy?
Replies: 1597
Views: 245611

Re: What's Your Credit Card Rewards Strategy?

Are there any good gas rebate cards with a nice sign up bonus. I currently drive about 90 miles a day for work so looking for a good gas rewards card. No annual fee preferred... Thanks I have a Pen Fed Cash Rewards Visa which pays 5% cash back on gas. Was going to recommend that, but in checking th...
by MikeG62
Thu Apr 27, 2017 5:26 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement income for 50+ years?
Replies: 167
Views: 14380

Re: Retirement income for 50+ years?

...I'm not sure entering equities now is worth the risk since you could lose 50% in the next couple years. The difference between entering now and holding now (having entered before) is the "sequence of returns" risk. Imagine investing in early 2008 and losing 50% right away then having t...
by MikeG62
Thu Apr 27, 2017 8:01 am
Forum: Investing - Help with Personal Investments
Topic: Retirement income for 50+ years?
Replies: 167
Views: 14380

Re: Retirement income for 50+ years?

...I have and that's great. If I increase spending to $400k to have $300k after-tax (which is what I'd like) then I'm down to 95% success rate which tells me I need to be flexible in spending rate. You should not incur $100K in income tax on your portfolio unless you invest it in a horribly tax ine...

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