Search found 1196 matches

by Rainier
Tue May 03, 2016 6:30 am
Forum: Investing - Theory, News & General
Topic: I Bond rates for May 1 announced
Replies: 11
Views: 1688

Re: I Bond rates for May 1 announced

Why is the Treasury keeping the fixed rate so low? It seems if they want people to save money in these bonds, they would make the return more attractive. Who wants to buy I bonds at these rates? Doesn't the treasury want to sell these? I will keep track of savings bonds sales this year and see if t...
by Rainier
Sun May 01, 2016 5:32 pm
Forum: Investing - Help with Personal Investments
Topic: No tax advantaged accounts - all muni bonds?
Replies: 12
Views: 1081

Re: No tax advantaged accounts - all muni bonds?

I'd diversify. CDs and treasuries.

Timely post. Hope she doesn't own PR munis still.
by Rainier
Sun May 01, 2016 5:29 pm
Forum: Personal Consumer Issues
Topic: 4 Days in Iceland - May 2016
Replies: 35
Views: 2721

Re: 4 Days in Iceland - May 2016

Thanks. My wife still thinks we are going to Florida. When it comes time to pack I'll tell her we are going to a ranch high in Colorado. Figured similar weather for the end of May.
by Rainier
Sun May 01, 2016 4:51 pm
Forum: Personal Consumer Issues
Topic: 4 Days in Iceland - May 2016
Replies: 35
Views: 2721

Re: 4 Days in Iceland - May 2016

D day is approaching.

Just to confirm, should I even bother taking out cash at an ATM? I'd rather not.

Also, do you tip in Iceland?
by Rainier
Sun May 01, 2016 3:57 pm
Forum: Personal Finance (Not Investing)
Topic: Is It Time to Ditch Ibonds?
Replies: 10
Views: 1912

Re: Is It Time to Ditch Ibonds?

Looks like I can drag out the I bonds for several more months and just use the $15k in my savings account earning 85bps. This is escrow money, vacation funds, new car, etc that can live in i bonds until needed.
by Rainier
Sun May 01, 2016 3:52 pm
Forum: Personal Consumer Issues
Topic: Siesta Key later this month -recommendations
Replies: 13
Views: 980

Re: Siesta Key later this month -recommendations

Lots of good happy hours and lots of good bar food. Some better than others. I like the food for vacations but after a week the island food would be a bit much.
by Rainier
Sun May 01, 2016 2:44 pm
Forum: Investing - Theory, News & General
Topic: Shareholders want their (voting) rights back
Replies: 16
Views: 1307

Re: Shareholders want their (voting) rights back

By buying the total market you are buying Facebook and you have no control over the company since you don't have voting rights. In that particular case, you don't get them. You might still want them, and want your index fund manager to campaign for greater shareholder control when possible, and the...
by Rainier
Sun May 01, 2016 2:35 pm
Forum: Investing - Theory, News & General
Topic: dividend stocks
Replies: 136
Views: 7008

Re: dividend stocks

I'm still waiting to hear why Warren Buffett only makes passive investments in companies that pay dividends.
by Rainier
Sun May 01, 2016 2:34 pm
Forum: Investing - Theory, News & General
Topic: Shareholders want their (voting) rights back
Replies: 16
Views: 1307

Re: Shareholders want their (voting) rights back

The irony here is overwhelming. As Bogleheads you don't care. You buy all stocks. The good with the bad. I want to own stocks in companies that are well managed and have good governance. It's good for me as a shareholder, no matter how small a percentage each company is in my portfolio. You are mis...
by Rainier
Sun May 01, 2016 10:18 am
Forum: Personal Finance (Not Investing)
Topic: Is It Time to Ditch Ibonds?
Replies: 10
Views: 1912

Re: Is It Time to Ditch Ibonds?

http://budgeting.thenest.com/effect-deflation-debt-30505.html Even if the interest rate on your debt goes down, the effective cost of the debt goes up. Since the dollar buys more in deflationary times but your debt payment stays the same, you're actually paying more. For example, imagine a $1,000 m...
by Rainier
Sat Apr 30, 2016 7:58 pm
Forum: Investing - Theory, News & General
Topic: Shareholders want their (voting) rights back
Replies: 16
Views: 1307

Re: Shareholders want their (voting) rights back

The irony here is overwhelming.

As Bogleheads you don't care. You buy all stocks. The good with the bad.
by Rainier
Sat Apr 30, 2016 7:47 pm
Forum: Personal Consumer Issues
Topic: Roof replacement and insurance coverage for hail damage
Replies: 30
Views: 1442

Re: Roof replacement and insurance coverage for hail damage

That's the issue. Your insurance company will pay, but they know it is a scam.

Hail has to be in excess of golf ball size before it can do damage. That is incredibly rare in MA.
by Rainier
Sat Apr 30, 2016 5:02 pm
Forum: Investing - Theory, News & General
Topic: Sound advice from Warren Buffett
Replies: 16
Views: 2890

Re: Sound advice from Warren Buffett

Get rid of the "helpers"
by Rainier
Sat Apr 30, 2016 4:47 pm
Forum: Personal Consumer Issues
Topic: Roof replacement and insurance coverage for hail damage
Replies: 30
Views: 1442

Re: Roof replacement and insurance coverage for hail damage

Where was this?

Is your roof damaged? I cant imagine hail in the northeast doing any real damage. At least not from a storm I remember.
by Rainier
Sat Apr 30, 2016 4:28 pm
Forum: Investing - Theory, News & General
Topic: dividend stocks
Replies: 136
Views: 7008

Re: dividend stocks

Rainier wrote:How many of Berkshires passive investments don't pay dividends?


Anybody know the answer to this?

Based on this list I believe they all do.

http://www.cnbc.com/berkshire-hathaway-portfolio/
by Rainier
Sat Apr 30, 2016 1:41 pm
Forum: Investing - Theory, News & General
Topic: dividend stocks
Replies: 136
Views: 7008

Re: dividend stocks

How many of Berkshires passive investments don't pay dividends?
by Rainier
Sat Apr 30, 2016 9:44 am
Forum: Personal Finance (Not Investing)
Topic: Is It Time to Ditch Ibonds?
Replies: 10
Views: 1912

Re: Is It Time to Ditch Ibonds?

Are they paying interest in the next cycle?

If the interest rate is zero there is no three month penalty if you sell at the right time.
by Rainier
Fri Apr 29, 2016 2:39 pm
Forum: Investing - Theory, News & General
Topic: Almost bought an individual stock today...
Replies: 44
Views: 3341

Re: Almost bought an individual stock today...

Forget the stock. You should have bought out of the money Amazon calls that expired today. Why earn 12% in a day when you can earn 100%!

Honestly though, I'm trying really hard not to buy Apple. Less than 10x earnings including their $200b stockpile of cash and a growing dividend.
by Rainier
Fri Apr 29, 2016 2:35 pm
Forum: Personal Finance (Not Investing)
Topic: Is It Time to Ditch Ibonds?
Replies: 10
Views: 1912

Is It Time to Ditch Ibonds?

I have $15k sitting in Ibonds as my emergency fund. I also have a $100k HELOC at prime minus 25bps. I am considering dropping the Ibonds to pay down the HELOC and save on the interest spread. I figure the prime rate will outpace inflation so in the long run I will be better off. Most of my Ibonds ar...
by Rainier
Fri Apr 29, 2016 2:25 pm
Forum: Personal Finance (Not Investing)
Topic: Best High-Yield Online Account for Emergency Fund?
Replies: 15
Views: 1552

Re: Best High-Yield Online Account for Emergency Fund?

Ally is great. Some newer banks are offering higher rates though. Might want to check out Synchrony or Goldman Sachs Bank
by Rainier
Fri Apr 29, 2016 1:32 pm
Forum: Personal Consumer Issues
Topic: How do you stop robo-calls/unwanted calls?
Replies: 60
Views: 3690

Re: How do you stop robo-calls/unwanted calls?

I prefer long, confusing and off topic conversations. They usually hang up on me and don't call back.
by Rainier
Fri Apr 29, 2016 1:23 pm
Forum: Personal Finance (Not Investing)
Topic: Renting vs owning
Replies: 64
Views: 4331

Re: Renting vs owning

All of the costs of owning a house are baked into the rent. Otherwise the owner is giving it away, which happens often. I get a 25% discount on my property taxes. The principal portion of my mortgage payment is not an expense, just a balance sheet transfer. Both rent and housing prices are set by t...
by Rainier
Fri Apr 29, 2016 12:32 pm
Forum: Personal Finance (Not Investing)
Topic: Renting vs owning
Replies: 64
Views: 4331

Re: Renting vs owning

All of the costs of owning a house are baked into the rent. Otherwise the owner is giving it away, which happens often.

I get a 25% discount on my property taxes.

The principal portion of my mortgage payment is not an expense, just a balance sheet transfer.
by Rainier
Fri Apr 29, 2016 12:24 pm
Forum: Investing - Theory, News & General
Topic: LendingClub/P2P the next subprime credit debacle?
Replies: 29
Views: 2041

Re: LendingClub/P2P the next subprime credit debacle?

Not in the sense that it will take down the economy. But the rates people are earning do not compensate for the risk.

Now, if people started making levered bets on these loans that far exceeded the entire P2P market that would be interesting.
by Rainier
Fri Apr 29, 2016 11:29 am
Forum: Investing - Theory, News & General
Topic: dividend stocks
Replies: 136
Views: 7008

Re: dividend stocks

Does anybody own their own business here? Do you pay yourself or just invest it all back into the company? Does anybody own rental property? Do you charge rent or just ask the tenant to make improvements to the property? Berkshire Hathaway became what it is from dividends and float. Buffett reinvest...
by Rainier
Wed Apr 27, 2016 5:00 am
Forum: Personal Finance (Not Investing)
Topic: What to tell your child about Bill for tax preparation
Replies: 52
Views: 4576

Re: What to tell your child about Bill for tax preparation

We charge $50k to $100k for some tax returns. We don't charge by form.

If your son can use a computer he can figure out tax act or turbotax.
by Rainier
Tue Apr 26, 2016 8:23 pm
Forum: Investing - Help with Personal Investments
Topic: How do bond funds REALLY work?
Replies: 16
Views: 1786

Re: How do bond funds REALLY work?

Nobody seems to mention that interest rates can also rise because nobody wants to own bonds anymore. Obviously they are connected, but most believe the government is controllIng rates. You can wake up one day and find the markets want to set a new rate.
by Rainier
Tue Apr 26, 2016 9:54 am
Forum: Personal Consumer Issues
Topic: Teens cutting lawns and liability
Replies: 9
Views: 1507

Re: Teens cutting lawns and liability

Assuming there isn't complete negligence I would expect to be covered by your homeowners' and umbrella policies. They would at least put up a decent fight in court on your behalf and settle. They might drop you going forward.
by Rainier
Mon Apr 25, 2016 8:34 pm
Forum: Personal Finance (Not Investing)
Topic: Just pay or get Tax Lawyer
Replies: 13
Views: 1248

Re: Just pay or get Tax Lawyer

Why is everyone assuming the IRS is right in their calculations.

I respond to IRS letters all the time and they are nearly always wrong.
by Rainier
Mon Apr 25, 2016 8:31 pm
Forum: Personal Finance (Not Investing)
Topic: Why have a formal budget?
Replies: 82
Views: 4866

Re: Why have a formal budget?

3>2, 1<2

The symbol in your first sentence is wrong. I would assume money going out is less than money coming in.
by Rainier
Mon Apr 25, 2016 8:16 pm
Forum: Personal Finance (Not Investing)
Topic: Just pay or get Tax Lawyer
Replies: 13
Views: 1248

Re: Just pay or get Tax Lawyer

Wasn't most of this withdrawal your contribution?

CPAs can help too,they cost less than attorneys.

Also, will your state return need to be amended? Best to do that before the IRS tells them.
by Rainier
Fri Apr 22, 2016 1:09 pm
Forum: Investing - Help with Personal Investments
Topic: Should i hedge against currency exchange rate risk for foreign tuition?
Replies: 19
Views: 790

Re: Should i hedge against currency exchange rate risk for foreign tuition?

Not rocket science to hedge this. Open a fidelity account and buy the foreign currency. No commission just a 1% spread each way. Isn't a 1% spread crazy high? You can do as well at some banks. Interactive Brokers usually quotes spreads around 0.01%. You'll probably incur a wire fee in or out (and I...
by Rainier
Fri Apr 22, 2016 12:28 pm
Forum: Personal Consumer Issues
Topic: Volkswagen DieselGate Compensation - Any Tax Implications?
Replies: 20
Views: 1922

Re: Volkswagen DieselGate Compensation - Any Tax Implications?

I'd like the $5,000 and then be left alone! I will be unhappy if the only choice boils down to getting some sort of fix that messes with the drivability. I bought the car for several reasons but that was at or near the top of my list -- kind of tied with interior comfort, especially the back seat. ...
by Rainier
Fri Apr 22, 2016 12:25 pm
Forum: Personal Finance (Not Investing)
Topic: IRA for 10 year old
Replies: 16
Views: 1694

Re: IRA for 10 year old

What about self employment tax? Are you planning on paying that?

I wouldn't do this.
by Rainier
Fri Apr 22, 2016 12:20 pm
Forum: Investing - Help with Personal Investments
Topic: Should i hedge against currency exchange rate risk for foreign tuition?
Replies: 19
Views: 790

Re: Should i hedge against currency exchange rate risk for foreign tuition?

Not rocket science to hedge this. Open a fidelity account and buy the foreign currency. No commission just a 1% spread each way. You can wire out the foreign currency to pay for school. Can you reimburse yourself from the 529? I assume yes. I do this for future trips to Europe where I have known cos...
by Rainier
Wed Apr 20, 2016 6:15 pm
Forum: Investing - Help with Personal Investments
Topic: Treasuries at Auction - Fidelity and Schwab
Replies: 7
Views: 534

Re: Treasuries at Auction - Fidelity and Schwab

Obviously a margin account with assets will work.

I guess we will find out for sure.
by Rainier
Wed Apr 20, 2016 6:12 pm
Forum: Investing - Help with Personal Investments
Topic: Investing for Huge Tax Hit
Replies: 12
Views: 1491

Re: Investing for Huge Tax Hit

quantAndHold wrote:Are you the SO of the person in the other thread who's SO has this exact same problem?


Seems like it.

I'd file for bankruptcy and hope some forgiveness plan comes up in the next 20 years.
by Rainier
Wed Apr 20, 2016 6:03 pm
Forum: Investing - Theory, News & General
Topic: ACWI funds - Fidelity v Vanguard
Replies: 4
Views: 377

Re: ACWI funds - Fidelity v Vanguard

Not sure you are looking at the same day. That is a huge difference.
by Rainier
Wed Apr 20, 2016 2:28 pm
Forum: Investing - Help with Personal Investments
Topic: Is this a bad idea? [Stop contributing to 401k]
Replies: 15
Views: 1382

Re: Is this a bad idea? [Stop contributing to 401k]

Is there a match? If so, the match is likely worth the fee. Also, most plans do not allow you to withdraw your funds while you are still employed there. The fees aren't horrible. Could be better but could be a lot worse. Do you have accounts outside the 401k? Ideally you'd hold the lowest cost fund ...
by Rainier
Wed Apr 20, 2016 9:19 am
Forum: Investing - Help with Personal Investments
Topic: Treasuries at Auction - Fidelity and Schwab
Replies: 7
Views: 534

Treasuries at Auction - Fidelity and Schwab

I am looking to buy some treasuries at auction in either my Fidelity or Schwab IRA accounts. Do I have to have cash available in the account when I am bidding or does it just have to be available by settlement date. For example, at Schwab I have $1,005 in cash and I want to buy one bond. Schwab does...
by Rainier
Wed Apr 20, 2016 6:41 am
Forum: Investing - Help with Personal Investments
Topic: Where to park money for the medium term?
Replies: 13
Views: 1280

Re: Where to park money for the medium term?

dumbttt wrote:The limit is 10k per SSN. I can buy under the names of my spouse, each of my children and my parents and other family members. Easily buy up to 100k.


No, it's not your money at that point. #fraud
by Rainier
Tue Apr 19, 2016 5:33 pm
Forum: Investing - Theory, News & General
Topic: I hold only US Bonds. Is this risky?
Replies: 22
Views: 1694

Re: I hold only US Bonds. Is this risky?

Texas Radio wrote:U.S. Bonds are amongst the safest in the world.


Housing never goes down!

I think the risks of not receiving your principal back is very low though.
by Rainier
Mon Apr 18, 2016 8:02 pm
Forum: Investing - Theory, News & General
Topic: Why not buy a DIVIDEND stock?
Replies: 36
Views: 3329

Re: Why not buy a DIVIDEND stock?

Berkshire Hathaway doesn't pay a dividend, yet most of of Warren Buffett's success has come from reinvesting dividends from old companies into faster growing companies.
by Rainier
Mon Apr 18, 2016 7:38 pm
Forum: Investing - Theory, News & General
Topic: Emergency fund needed?
Replies: 17
Views: 1642

Re: Emergency fund needed?

Your point is well taken. I am not overly concerned with a sudden huge stock market crash. I have and monitor GTC sell orders on all my holdings at 5 to 8% reduction from their highs (while I've held them). In case of a market panic, where do you estimate these trades would actually execute? Not ob...
by Rainier
Sun Apr 17, 2016 8:11 pm
Forum: Investing - Help with Personal Investments
Topic: best way to go to cash/safer than stocks in Vanguard?
Replies: 16
Views: 1808

Re: best way to go to cash/safer than stocks in Vanguard?

OP, looking over your posts of the last several years, it appears you have quite a history of being in and out of the market. This current situation looks to be another repeat of the same. You can do as you like, but most of us would advise against trying to time the market. Very few succeed at tha...
by Rainier
Sun Apr 17, 2016 7:57 pm
Forum: Investing - Theory, News & General
Topic: Why not buy a DIVIDEND stock?
Replies: 36
Views: 3329

Re: Why not buy a DIVIDEND stock?

Dividend stocks worked out just fine for this Vermont janitor:

Edit: removed broken link

His real secret though, he saved a lot more than he spent.
by Rainier
Sun Apr 17, 2016 10:41 am
Forum: Personal Finance (Not Investing)
Topic: Buying house with effectively no long term equity
Replies: 29
Views: 3022

Re: Buying house with effectively no long term equity

If you know with 100% certainty that you will stay for the next 33 years it seems fine, but that is long time. You will never be able to sell (the price will continue to decline), and renting is the only real option if you want to move.
by Rainier
Sun Apr 17, 2016 10:28 am
Forum: Personal Finance (Not Investing)
Topic: Buying house with effectively no long term equity
Replies: 29
Views: 3022

Re: Buying house with effectively no long term equity

If that place got wiped clean by a hurricane this summer would you be allowed to rebuild?

Why do you have to tear the house down in 2049? Is that part of the deal?
by Rainier
Sat Apr 16, 2016 6:16 am
Forum: Personal Consumer Issues
Topic: How to use iPhone 5S in Europe on wifi only?
Replies: 28
Views: 2057

Re: How to use iPhone 5S in Europe on wifi only?

Newsflash....his phone is likely locked so swapping out the SIM card may not be an option. If I am wrong then buying a foreign SIM is a no-brainer. According to Apple, many carriers, including AT&T, Verizon, T-Mobile and Sprint, will typically unlock. https://support.apple.com/en-us/HT204039 Lo...
by Rainier
Sat Apr 16, 2016 6:13 am
Forum: Personal Finance (Not Investing)
Topic: mortgage pre payment, why?
Replies: 101
Views: 10293

Re: mortgage pre payment, why?

Of the $2k or $4k or whatever your mortgage payment is only the interest is an expense. The principal is not an expense. It is negative cash flow, but not an expense. When you make a mortgage payment your net worth only declines by the interest amount, paying principal does not reduce your net worth.

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