Search found 2036 matches

by SGM
Fri Feb 24, 2017 5:21 am
Forum: Investing - Theory, News & General
Topic: Extreme Valuations, and why you should reconsider
Replies: 170
Views: 9266

Re: Extreme Valuations, and why you should reconsider

We have a natural tendency to try to find order within chaos, system within randomness, and all of this is trying to do just that: make the unpredictable more predictable. As long as humans are the ultimate determinant of stock prices then the end result must always be unpredictability. I agree wit...
by SGM
Thu Feb 23, 2017 8:33 am
Forum: Investing - Theory, News & General
Topic: Warren Buffett v. Bogleheads
Replies: 39
Views: 3613

Re: Warren Buffett v. Bogleheads

There are times when it is quite easy to determine market sentiment. Efforts to quantify this or to seek consistency in the effect of sentiment on returns are foolishly attempted by the mathematically oriented. i find it laughable that some look for consistency when there is none. Buffet's statement...
by SGM
Wed Feb 22, 2017 4:48 am
Forum: Personal Consumer Issues
Topic: Which puppy to buy: golden retriever or labrador retriever?
Replies: 120
Views: 6138

Re: Which puppy to buy: golden retriever or labrador retriever?

We have had both and had a lot of fun with them. Since we now live on a farm the dogs can run free at times or behind a vehicle which has been good for their hips and health. We did buy a yellow lab at a school auction and the lab ran and ran and did very playful funny things, but unfortunately had ...
by SGM
Tue Feb 21, 2017 5:58 pm
Forum: Investing - Help with Personal Investments
Topic: Is 60/40 too conservative for 31 year old?
Replies: 56
Views: 4540

Re: Is 60/40 too conservative for 31 year old?

If you are saving for some relatively short term goal it may be not conservative enough. If you don't have job security you may want a conservative allocation. If you have an emergency fund and possible term life insurance or disability insurance and you have skills in demand and job security you ca...
by SGM
Tue Feb 21, 2017 8:49 am
Forum: Investing - Help with Personal Investments
Topic: Recommended books and resources to fully understand how the world stock market works.
Replies: 33
Views: 2061

Re: Recommended books and resources to fully understand how the world stock market works.

Investing in the stock market is a way of sharing the profits of the efforts of a vast number of individuals including management and labor. The simplest way of doing this is to buy low cost index funds. And by the way markets will fluctuate which did not bother me at all when I was accumulating sha...
by SGM
Tue Feb 21, 2017 5:41 am
Forum: Personal Finance (Not Investing)
Topic: Larry Swedroe on James Lange's podcast Retire Secure
Replies: 8
Views: 1994

Re: Larry Swedroe on James Lange's podcast Retire Secure

I learned a lot from Lange's books mostly about estate planning and Roth conversions. His examples in the Roth Revolution were excellent. I checked his calculations for Roth conversions and they checked pretty close to my own. I am ecstatic over how advantageous conversions prior to taking SS at 70 ...
by SGM
Tue Feb 21, 2017 5:19 am
Forum: Personal Finance (Not Investing)
Topic: What are the big things to get right?
Replies: 58
Views: 6181

Re: What are the big things to get right?

I drank the double strength coffee at work and the beans were supplied by the companies. We enjoyed lattes on the days off. Once I worked for myself we made our own blends and drank coffee at home.

Stay invested regardless of the noise. Pay yourself first and keep your investment costs low.
by SGM
Mon Feb 20, 2017 6:36 pm
Forum: Personal Finance (Not Investing)
Topic: Larry Swedroe on James Lange's podcast Retire Secure
Replies: 8
Views: 1994

Re: Larry Swedroe on James Lange's podcast Retire Secure

The Swedroe interview can currently be heard at James Lange's website. https://www.paytaxeslater.com/radioshow.php It usually takes a few months but then you would be able to read the transcript at the above site which is what I usually do. There are transcripts of interviews of several BH authors i...
by SGM
Mon Feb 20, 2017 10:15 am
Forum: Investing - Help with Personal Investments
Topic: Why own individual stocks?
Replies: 83
Views: 5256

Re: Why own individual stocks?

I still own some individual stock that I have owned for many years. However, I have winnowed these down to a relatively small percent and mostly have index funds. The large long term capital gains have prevented me from selling them all. However, I occasionally found a viable company that is ridicul...
by SGM
Thu Feb 16, 2017 3:38 am
Forum: Investing - Help with Personal Investments
Topic: Closed my Roth IRA due to political uncertainty - mistake???
Replies: 102
Views: 5672

Re: Closed my Roth IRA due to political uncertainty - mistake???

The OP has received some good advice here. I have never let the political situation change my investment plan. At 42 I was 100% in stocks and remained that way until a few years prior to retirement. I have stuck with my new asset allocation which I changed slowly over several years. I know of severa...
by SGM
Wed Feb 15, 2017 7:31 pm
Forum: Investing - Help with Personal Investments
Topic: Why Dollar Cost averaging is lousy
Replies: 23
Views: 2606

Re: Why Dollar Cost averaging is lousy

Back when I was investing in DRIPs many years ago I invested the same amount every month for years. If one of the stock prices were lower I might add a little more to that stock plan very occasionally. A good thing about having a DRIP was that it was very inexpensive. Some companies had no fees at a...
by SGM
Wed Feb 15, 2017 7:13 pm
Forum: Investing - Theory, News & General
Topic: An Effective DC Plan: The Flex MMM Model
Replies: 19
Views: 1782

Re: An Effective DC Plan: The Flex MMM Model

Hi Bob,
Does Modigliania's plan include borrowing prior to retirement. For current DC plans I believe that one of the reasons they are not as large as they might be is due to employees borrowing from 401Ks prior to retirement.
by SGM
Tue Feb 14, 2017 8:19 pm
Forum: Personal Finance (Not Investing)
Topic: Vanguard Brokerage Tax Forms
Replies: 3
Views: 455

Re: Vanguard Brokerage Tax Forms

I have had several brokerage accounts and I only reported the total dividends, qualified dividends and tax exempt dividends without dividing it into what ETFs or stocks it came out of.

I don't know what happens to a mutual fund account that has been upgraded to a brokerage account.
by SGM
Tue Feb 14, 2017 3:56 pm
Forum: Investing - Help with Personal Investments
Topic: Who would quit playing if they already won?
Replies: 106
Views: 10325

Re: Who would quit playing if they already won?

I would always keep an equity portion in my portfolio. 30% would be an absolute minimum to help protect from inflation. If you can afford and are comfortable with the risk I think 70% is appropriate. I don't think to much of tips funds. Sometimes insurance is too expensive. Delaying SS until 70 is ...
by SGM
Tue Feb 14, 2017 3:44 pm
Forum: Personal Consumer Issues
Topic: Why do you go to restaurants?
Replies: 229
Views: 14741

Re: Why do you go to restaurants?

We go to restaurants for variety and to get a break from cooking and cleaning up. There are some very good restaurants in the city and we are often eating in restaurants when we go out for the theater or some other event. DW is an excellent cook so sometimes we are disappointed in the meals at resta...
by SGM
Tue Feb 14, 2017 8:45 am
Forum: Investing - Help with Personal Investments
Topic: Who would quit playing if they already won?
Replies: 106
Views: 10325

Re: Who would quit playing if they already won?

I would always keep an equity portion in my portfolio. 30% would be an absolute minimum to help protect from inflation. If you can afford and are comfortable with the risk I think 70% is appropriate. I don't think to much of tips funds. Sometimes insurance is too expensive. Delaying SS until 70 is i...
by SGM
Mon Feb 13, 2017 6:00 pm
Forum: Investing - Help with Personal Investments
Topic: How & when to sell lots of a single stock with huge capital gains
Replies: 40
Views: 2680

Re: How & when to sell lots of a single stock with huge capital gains

I would do a combination of several things to decrease taxes. Donate stock instead of cash. Sell a little each year. Tax loss harvest where possible. Hold some for inheritance. If they are planning on moving to a lower cost state or expect their income to decrease later they could sell more at that ...
by SGM
Sun Feb 12, 2017 5:50 am
Forum: Personal Finance (Not Investing)
Topic: Ready to retire 65 50k US bond or 1yr SS delay?
Replies: 28
Views: 2103

Re: Ready to retire 65 50k US bond or 1yr SS delay?

I would only compare delaying SS to what you could get with a safe investment such as a ten year treasury. I am delaying SS until age 70 as I consider it the cheapest cost of living adjusted annuity available. My delaying SS until 70 will allow for a much higher survivor benefit for DW whose maximum...
by SGM
Sat Feb 11, 2017 9:33 am
Forum: Investing - Theory, News & General
Topic: 'Won the game', but what factors could potentially derail it?
Replies: 57
Views: 4310

Re: 'Won the game', but what factors could potentially derail it?

Dementia, theft and fraud. The elderly are often targets of scams and Ponzi schemes. I have seen both major and minor incidents of this form of elder abuse of family members, in-laws, and former patients. We have been able to get some restitution from the assistance of attorneys and the police in so...
by SGM
Fri Feb 10, 2017 7:07 pm
Forum: Local Chapters and Bogleheads Community
Topic: Your USER NAME...what does it mean?
Replies: 251
Views: 9111

Re: Your USER NAME...what does it mean?

Sargent Major someone said. :o
by SGM
Thu Feb 09, 2017 1:40 pm
Forum: Investing - Help with Personal Investments
Topic: Converting Roth to Traditional IRA?
Replies: 16
Views: 749

Re: Converting Roth to Traditional IRA?

You have until Oct 15, 2017 to recharacterize a Roth to a tIRA. Practically speaking do it by Sept 15, 2017. You can do an extension of your tax form until Oct 15, 2017.
by SGM
Wed Feb 08, 2017 9:07 pm
Forum: Personal Finance (Not Investing)
Topic: Two Years to Retirement – Please review and comment
Replies: 53
Views: 6670

Re: Two Years to Retirement – Please review and comment

I am a little confused about posts discussing Medicare vs. Medicaid. Medicare does not pay for long term care. Medicaid pays for long term care for people with very little assets. A lot of nursing homes don't want to take Medicaid patients as Medicaid does not pay as well as other insurances and ind...
by SGM
Wed Feb 08, 2017 5:14 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security - Seeking Advice - When To Claim
Replies: 32
Views: 3289

Re: Social Security - Seeking Advice - When To Claim

1) If you want to maximize your monthly benefit the answer is simple: wait until 70. Not if you die at 69. If you have sufficient funds to delay SS the best way to look at delaying SS for the higher earner is that it is a cheaper form of longevity insurance for an individual and spouse than is avai...
by SGM
Tue Feb 07, 2017 7:22 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security - Seeking Advice - When To Claim
Replies: 32
Views: 3289

Re: Social Security - Seeking Advice - When To Claim

Per the SS website: In many cases, a widow or widower can begin receiving one benefit at a reduced rate and then, at full retirement age, switch to the other benefit at an unreduced rate. Since the husband is 5 years older and has a higher income he would help protect her after his death by taking S...
by SGM
Mon Feb 06, 2017 9:48 am
Forum: Personal Finance (Not Investing)
Topic: Do you account for likely life expectancy in retirement?
Replies: 63
Views: 4579

Re: Do you account for likely life expectancy in retirement?

I account for longevity of DW in retirement. Although there may not be a high correlation between parental age at death and the child's she is healthy and both parents lived to be over 100. We can afford good health care, don't smoke and wear seat belts. A few steps that are associated with planning...
by SGM
Sun Feb 05, 2017 11:08 am
Forum: Investing - Theory, News & General
Topic: Different investing methods & high dividend paying stocks
Replies: 20
Views: 2086

Re: Different investing methods & high dividend paying stocks

My biggest problem with dividends is that they are a tax drag on return. When I sold long held Berkshire Hathaway stock and reinvested the proceeds into stock index funds, I had to pay a lot more for taxes on dividends. One of my Roth accounts has about double the dividends than one of my taxable ac...
by SGM
Sat Feb 04, 2017 5:00 pm
Forum: Investing - Theory, News & General
Topic: Tax Deferred Annuities. Larry, Rick and everyone else: is there any real role for them?
Replies: 29
Views: 1942

Re: Tax Deferred Annuities. Larry, Rick and everyone else: is there any real role for them?

We have a TIAA-CREF partly variable annuity and partly TIAA traditional. I would not buy a variable annuity even a low cost one from Vanguard. An SPIA laddered over a few years is something we will likely do in the future. I have had something called a savings annuity since 2010. I knew the interest...
by SGM
Sat Feb 04, 2017 9:25 am
Forum: Personal Finance (Not Investing)
Topic: Are Defined Benefit Plans a rip off?
Replies: 49
Views: 3987

Re: Are Defined Benefit Plans a rip off?

I changed a w-2 job to a 1099 for one part time position. My private practice then had additional income and I received a w-2 from my own corporation. Profit sharing was a component of my solo 401k. The profit sharing was the business (employer) contribution to the solo 401k and there was an employe...
by SGM
Sat Feb 04, 2017 9:14 am
Forum: Investing - Help with Personal Investments
Topic: Ethically Grading Your Portfolio
Replies: 21
Views: 1299

Re: Ethically Grading Your Portfolio

I have the same question, by whose ethical standards? I own the whole market. The few individual stocks I still own include several "sin" stocks that supply a legal service or product that people need or want. If it is legal I have no problem owning it. :twisted:
by SGM
Fri Feb 03, 2017 8:53 am
Forum: Personal Finance (Not Investing)
Topic: Are Defined Benefit Plans a rip off?
Replies: 49
Views: 3987

Re: Are Defined Benefit Plans a rip off?

I looked at DB plans for my private practice. I felt it was not worthwhile because of the administrative expenses were so high compared to a solo 401k through a brokerage. I also did not know if I would continue full time for more than 5 years. I did change one part time w-2 to a contract position. ...
by SGM
Thu Feb 02, 2017 6:08 pm
Forum: Personal Finance (Not Investing)
Topic: Thoughts on Living Off Interest/Dividends
Replies: 54
Views: 5428

Re: Thoughts on Living Off Interest/Dividends

I am living off of interest and dividends with other fixed income and inflation adjusted income streams. I focus on income now that I am retired without reaching for yield. Although I agree in principle it is not any different than selling part of your portfolio yearly and reinvesting dividends. Div...
by SGM
Thu Feb 02, 2017 4:05 pm
Forum: Personal Finance (Not Investing)
Topic: Milestone and gotta tell someone
Replies: 61
Views: 5381

Re: Milestone and gotta tell someone

I visited my old coach 30 years ago. He said people once had a party when the mortgage was paid off, but they stopped partying because they still had to pay high property taxes. He lived in a relatively high cost of living area.

Congrats on paying off your mortgage.
by SGM
Thu Feb 02, 2017 11:12 am
Forum: Investing - Help with Personal Investments
Topic: Do ROTH conversion or not?
Replies: 23
Views: 2164

Re: Do ROTH conversion or not?

I like that my dividends will be lower out of my taxable account as they are now in my Roth account. This occurs if you pay the taxes from a taxable account. If you pay the taxes from the traditional IRA then you lose that advantage. Having more in the Roth account and less in taxable is helpful for...
by SGM
Wed Feb 01, 2017 5:55 pm
Forum: Investing - Theory, News & General
Topic: Betterment just raised their costs.
Replies: 125
Views: 10309

Re: Betterment just raised their costs.

A big proponent of Betterment -- Pete Adeney a.k.a. MMM -- gives his take here . From the post: It is overwhelmingly clear that my Betterment account delivers more than 0.25% net annual improvement over trying to manually approximate its performance with Vanguard ETFs. Their software is incredibly ...
by SGM
Wed Feb 01, 2017 4:41 am
Forum: Investing - Theory, News & General
Topic: Betterment just raised their costs.
Replies: 125
Views: 10309

Re: Betterment just raised their costs.

There is always someone available at my local bank who can do the medallion signature guarantee available at no cost six days a week.

I have never been tempted to pay additional fees beyond a low expense ratio for funds.
by SGM
Sat Jan 28, 2017 10:31 am
Forum: Investing - Theory, News & General
Topic: Is rebalancing bunk?
Replies: 51
Views: 3238

Re: Is rebalancing bunk?

I kept my AA at 100% stock for 25+ years. I don't bother back testing anything or second guess myself. I was satisfied with my returns and was not concerned with risk. If the market was low I was buying more shares with the same amount of investments each month. Now that I am retired I am happy with...
by SGM
Sat Jan 28, 2017 9:58 am
Forum: Investing - Theory, News & General
Topic: BRK - thoughts on interesting stock
Replies: 66
Views: 6166

Re: BRK - thoughts on interesting stock

We had a lot of BRK in a taxable account. After selling much of it over several years to diversify into low cost index funds, we certainly feel the tax drag of additional dividends every year. We retain a small amount of BRK-b.
by SGM
Fri Jan 27, 2017 3:01 pm
Forum: Investing - Help with Personal Investments
Topic: Edward Jones [Looking for alternatives]
Replies: 85
Views: 4966

Re: Edward Jones [Looking for alternatives]

I was married for 25 years, divorced for 2 when my ex-husband passed away. I understand I will receive his social security benefit since we we're married for 25 yrs if I don't re-marry. If you remarry after 60 years of age or age 50 if you are disabled it does not affect your ability to get a widow...
by SGM
Fri Jan 27, 2017 9:54 am
Forum: Investing - Help with Personal Investments
Topic: Any value in non-deductible IRA?
Replies: 25
Views: 3269

Re: Any value in non-deductible IRA?

I had non-deductible IRAs during most of my working years. They grew tax deferred and I began to convert them along with deductible IRAs and 401ks to Roth IRAs starting in 2010. I couldn't be happier with the results. It works out even better if you move from a high tax state. Tax deferred and taxab...
by SGM
Fri Jan 27, 2017 4:09 am
Forum: Local Chapters and Bogleheads Community
Topic: HAPPY 93RD BIRTHDAY, TAYLOR!
Replies: 199
Views: 7343

Re: HAPPY 93RD BIRTHDAY, TAYLOR!

Happy Birthday Taylor.

I always enjoy reading your posts. Thank you for your service to America.
by SGM
Thu Jan 26, 2017 3:24 pm
Forum: Investing - Theory, News & General
Topic: Dow hits 20,000. What next? Share your strategy
Replies: 107
Views: 9047

Re: Dow hits 20,000. What next? Share your strategy

I passed another milestone yesterday and I am going to tip more,give away more and spend more. There will be no change in my investment plan..
by SGM
Thu Jan 26, 2017 5:10 am
Forum: Investing - Theory, News & General
Topic: Two dimensional risk tolerance assessment process, by Michael Kitces
Replies: 5
Views: 787

Re: Two dimensional risk tolerance assessment process, by Michael Kitces

I have found these assessments to be interesting, but not adequate for decision purposes. There is an interplay between current assets, human capital and financial responsibilities that could affect both dimensions. Fallible's discussion of knowing one's self is most important. These are not decisio...
by SGM
Wed Jan 25, 2017 2:11 pm
Forum: Investing - Help with Personal Investments
Topic: Advice for Investing $4M to get 4% Return with Least Risk
Replies: 83
Views: 9042

Re: Advice for Investing $4M to get 4% Return with Least Risk

I could see cutting back on equities if I were not comfortable with risk going forward, but pulling everything out of the market is not going to serve you well. You cannot currently get 4% in a "safe" investment. If you are afraid of the market my advice is to put no less than 30% in the t...
by SGM
Tue Jan 24, 2017 5:53 pm
Forum: Personal Finance (Not Investing)
Topic: Your Retirement Number, or, calculating the funding ratio
Replies: 190
Views: 21709

Re: Your Retirement Number, or, calculating the funding ratio

Hi Bob, Thanks for the update with Merton's revised calculation. Hi Sa*, :wink: I'm sure this was Merton's original intent, and not a revision on his part. The revision is on my part. The finance professor who in your words, talks like a Brooklyn cabbie, is always ahead of the rest of us. :) Best, ...
by SGM
Tue Jan 24, 2017 5:45 pm
Forum: Investing - Help with Personal Investments
Topic: tax advice(TRAD IRA to ROTH recharacterization)
Replies: 8
Views: 593

Re: tax advice(TRAD IRA to ROTH recharacterization)

You have your terms confused. When going from tIRA to a Roth you are converting. When you change your mind and go back from a Roth to a tIRA then you are recharacterizing. You have until Oct 15 of the following tax year to recharacterize a prior conversion. You should fill out 8606 form for 2015 if ...
by SGM
Mon Jan 23, 2017 5:09 am
Forum: Personal Finance (Not Investing)
Topic: How many of you did a Roth conversion the first day of 2017
Replies: 48
Views: 3771

Re: How many of you did a Roth conversion the first day of 2017

I usually add to kid's Roth IRAs in January usually with a letter to Vanguard to get it done as early as possible, but this year I will wait until I receive Roth deposit slips later in January. I have better things to do in retirement than get every last day of never to be taxed income for the kidd...
by SGM
Sun Jan 22, 2017 11:05 am
Forum: Personal Finance (Not Investing)
Topic: wisdom of converting most TIRA to Roth
Replies: 19
Views: 2214

Re: wisdom of converting most TIRA to Roth

Chip in my case it works well. The 15% bracket is a little more difficult to analyze with the SS tax bump. 85% of my SS will be taxed regardless of what we do. I expect one of us will live close to 40 years after the last conversion was made and I am planning for that. Also the Roth will not be tapp...
by SGM
Sun Jan 22, 2017 10:58 am
Forum: Personal Finance (Not Investing)
Topic: Your Retirement Number, or, calculating the funding ratio
Replies: 190
Views: 21709

Re: Your Retirement Number, or, calculating the funding ratio

Hi Bob, Thanks for the update with Merton's revised calculation. It confirms that we are above a ratio of 1.0. We are planning at some point to annuitize a small part of our portfolio in chunks over a period of time. I like the how an SPIA will be an automatic addition to the checking account along ...
by SGM
Sun Jan 22, 2017 9:19 am
Forum: Personal Finance (Not Investing)
Topic: wisdom of converting most TIRA to Roth
Replies: 19
Views: 2214

Re: wisdom of converting most TIRA to Roth

Kitces' blog showing that donating appreciated stock is more valuable than donating a tIRA (QCD) is comforting to me. Prior to converting all tax deferred accounts, we did discuss donations from a tIRA vs. donating appreciated stock and decided to go ahead with complete conversions. I do not believe...
by SGM
Sat Jan 21, 2017 5:11 am
Forum: Investing - Help with Personal Investments
Topic: want to leave EJ but dont know what to do with what currently have
Replies: 21
Views: 1564

Re: want to leave EJ but dont know what to do with what currently have

I would transfer the EJ account to Vanguard. There are multiple threads on leaving EJ. Let Vanguard handle the transfer and your EJ rep will try to talk you out of it. Don't talk to EJ. You are not going to get diversification through EJ just obfuscation and expenses that will add up over time. Cred...

Go to advanced search