Search found 8533 matches

by The Wizard
Sat Apr 30, 2016 7:56 am
Forum: Personal Consumer Issues
Topic: So, are Bogleheads Bourbon or Scotch drinkers?
Replies: 49
Views: 1537

Re: So, are Bogleheads Bourbon or Scotch drinkers?

Erwin wrote:Have we not began to deteriorate from a serious and highly admired investment forum to a social club?

Indeed we have!
Anyhow, I prefer Bourbon over Scotch, but GIN over both of them...
by The Wizard
Sat Apr 30, 2016 7:30 am
Forum: Personal Consumer Issues
Topic: Buying a New Car...Is it Unwise?
Replies: 34
Views: 1470

Re: Buying a New Car...Is it Unwise?

Buying new allows you to get the features and options you want. And if buying domestic, you can factory order your vehicle, which I've done four times now...
by The Wizard
Thu Apr 28, 2016 7:54 pm
Forum: Investing - Help with Personal Investments
Topic: Help getting out of a tiaa traditional
Replies: 22
Views: 758

Re: Help getting out of a tiaa traditional

Ourbrooks, I'm confused. How can a 3% return provide a good retirement? If you were close to retirement, I can see it being a good deal but if a long way off, it doesn't seem like a good deal. Can you help me understand? Unless you are just treating it as the 30% conservative part of your portfolio...
by The Wizard
Thu Apr 28, 2016 7:50 pm
Forum: Investing - Help with Personal Investments
Topic: Help getting out of a tiaa traditional
Replies: 22
Views: 758

Re: Help getting out of a tiaa traditional

I started putting $$ into various TIAA and CREF funds in 1973 and am retired now.
TIAA Traditional has been around longer than I have and has a sterling reputation.
Many people like it for the bond portion of a portfolio.
Possibly do some research before pulling the trigger...
by The Wizard
Thu Apr 28, 2016 7:11 pm
Forum: Investing - Help with Personal Investments
Topic: Help getting out of a tiaa traditional
Replies: 22
Views: 758

Re: Help getting out of a tiaa traditional

Ourbrooks, I'm confused. How can a 3% return provide a good retirement? If you were close to retirement, I can see it being a good deal but if a long way off, it doesn't seem like a good deal. Can you help me understand? Unless you are just treating it as the 30% conservative part of your portfolio...
by The Wizard
Thu Apr 28, 2016 6:59 pm
Forum: Investing - Theory, News & General
Topic: When to begin taking Social Security payments?
Replies: 31
Views: 1530

Re: When to begin taking Social Security payments?

Thanks all. Just checked my most recent SSA statement 4/21/16). My forecast at 70 is $3,480. Spousal benefit at FRA is $2,636. Family limit is $4,614. It certainly makes the wait worthwhile. And her benefit improves if I predecease her. Thanks to all for your input thus far. I think your FRA is $26...
by The Wizard
Thu Apr 28, 2016 2:39 pm
Forum: Investing - Theory, News & General
Topic: When to begin taking Social Security payments?
Replies: 31
Views: 1530

Re: When to begin taking Social Security payments?

I see no problem with the OP's tentative decision on SS.
I'm sure things will work out fine for them, especially with their good sized portfolio...
by The Wizard
Thu Apr 28, 2016 12:17 pm
Forum: Investing - Help with Personal Investments
Topic: When to start Social Security. A different take
Replies: 103
Views: 7900

Re: When to start Social Security. A different take

Important thing is to know how the SS payout works, whether you claim early, at FRA, or delay.
What you choose to do once in your 60s is your business, not something to debate.
I know what I'm doing...
:)
by The Wizard
Thu Apr 28, 2016 8:48 am
Forum: Personal Finance (Not Investing)
Topic: Financial Impotence - difficulty living below means
Replies: 14
Views: 1238

Re: Financial Impotence - difficulty living below means

Unfortunately, this article has been discussed already and locked as being OT:
viewtopic.php?t=189553
by The Wizard
Thu Apr 28, 2016 2:23 am
Forum: Investing - Help with Personal Investments
Topic: Target Date funds
Replies: 3
Views: 612

Re: Target Date funds

Vanguard Target Date funds have the advantage of a $1000 minimum to start with. In a taxable account, you can't really do tax loss harvesting within a target date fund. So once you have sufficient funds in the TD fund, something over $20,000, say goodbye to the TD fund and transfer into the underlyi...
by The Wizard
Wed Apr 27, 2016 9:06 pm
Forum: Personal Consumer Issues
Topic: Budapest
Replies: 6
Views: 477

Re: Budapest

You can also just go there on your own a few days before the cruise and likely pay less. This is what I'm planning to do...
by The Wizard
Wed Apr 27, 2016 9:03 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement Analysis Spreadsheet
Replies: 3
Views: 679

Re: Retirement Analysis Spreadsheet

This could end up being a waste of time. This is because most investments don't follow a compounding algorithm. They have market values that fluctuate up AND DOWN 10%, 20% and more some years. Even the FDIC insured savings accounts that earned 5.25% interest some years ago have gone away. What will ...
by The Wizard
Wed Apr 27, 2016 8:56 pm
Forum: Investing - Theory, News & General
Topic: Handling RMDs
Replies: 31
Views: 1724

Re: Handling RMDs

Granted there is a scenario that can be drummed up where a Roth is not as good as a taxable account. If your Roth loses money it too bad, so sad, but if your taxable account loses money, Uncle Sam can share some of your losses. This is not the case I had in mind above. TLH is especially nice if you...
by The Wizard
Wed Apr 27, 2016 9:34 am
Forum: Personal Finance (Not Investing)
Topic: Restricted Application Filing, Social Security
Replies: 8
Views: 486

Re: Restricted Application Filing, Social Security

ObliviousInvestor wrote:She can't start receiving a benefit based on your work record until you have filed for your own retirement benefit.

Right. I think only Divorced Spouses can do as the OP suggests, a symmetric filing for spousal benefits, and that's only for a short while longer...
by The Wizard
Tue Apr 26, 2016 5:21 am
Forum: Personal Finance (Not Investing)
Topic: Want a new vehicle, but can't "justify" spending?
Replies: 27
Views: 2487

Re: Want a new vehicle, but can't "justify" spending?

I am with you 100%. I have been looking at cars for awhile now, but it is the taxes that give me pause. If I were to buy a $30K car, thanks to California's (Los Angeles) 9% sales tax + registration, I would need to pay $33K out the door. Well, thanks to the 25% federal income tax + 9.3% California ...
by The Wizard
Mon Apr 25, 2016 7:55 pm
Forum: Personal Finance (Not Investing)
Topic: Why have a formal budget?
Replies: 82
Views: 4699

Re: Why have a formal budget?

Budgeting is for people who are close to the edge. Or people who are spendaholics. I was/am neither. So budgeting never offered a solution to a problem I had... Sorry, but you're wrong on that. I think you'll find most of us with budgets are neither close to the edge or big spenders. To the contrar...
by The Wizard
Mon Apr 25, 2016 7:44 pm
Forum: Investing - Theory, News & General
Topic: Social Security loopholes closed
Replies: 19
Views: 2445

Re: Social Security loopholes closed

The change in SS filing rules has been well documented here by Mike Piper and others...
by The Wizard
Mon Apr 25, 2016 7:38 pm
Forum: Investing - Theory, News & General
Topic: Social Security loopholes closed
Replies: 19
Views: 2445

Re: Social Security loopholes closed

sunspotzsz wrote:they are closing the backdoor roth as well

They are not...
by The Wizard
Mon Apr 25, 2016 7:36 pm
Forum: Personal Consumer Issues
Topic: Holes in the heels of black dress socks
Replies: 30
Views: 1713

Re: Holes in the heels of black dress socks

Buy black work socks at Walmart. Five packs. They do it for me....
by The Wizard
Mon Apr 25, 2016 7:25 pm
Forum: Personal Finance (Not Investing)
Topic: Why have a formal budget?
Replies: 82
Views: 4699

Re: Why have a formal budget?

Budgeting is for people who are close to the edge.
Or people who are spendaholics.
I was/am neither.
So budgeting never offered a solution to a problem I had...
by The Wizard
Mon Apr 25, 2016 3:45 pm
Forum: Personal Finance (Not Investing)
Topic: Want a new vehicle, but can't "justify" spending?
Replies: 27
Views: 2487

Re: Want a new vehicle, but can't "justify" spending?

I'm a single guy who finds having both a convertible and a pickup truck is a good mix. I bought my previous truck new in 2004 and it started having issues a few years ago. So I traded it in on a 2016 F-150 last December. The new truck carries a full ton of crushed stone with ease, so I'm a happy cam...
by The Wizard
Mon Apr 25, 2016 10:18 am
Forum: Investing - Help with Personal Investments
Topic: Least bad Tiaa-Cref option
Replies: 10
Views: 757

Re: Least bad Tiaa-Cref option

The TIAA Real Estate Account gets my vote!
Unfortunately, the T-C S&P 500 index fund isn't offered in your plan; I have it in mine at a 0.06% ER...
by The Wizard
Mon Apr 25, 2016 10:09 am
Forum: Personal Finance (Not Investing)
Topic: Advice for post retirement career
Replies: 53
Views: 2581

Re: Advice for post retirement career

My father was a federal employee and had a similar logic: after X years, I'm making $40,000 a year but I can retire tomorrow on a 75% pension of $30,000 a year. So if I continue to work full-time, I'm only getting the $10,000 difference between the two, which is 25% of $40,000...
by The Wizard
Sun Apr 24, 2016 9:43 am
Forum: Personal Finance (Not Investing)
Topic: Question for the Bogleheads Millionaires
Replies: 355
Views: 48141

Re: Question for the Bogleheads Millionaires

Late to the thread. My goal early on wasn't really a dollar amount, but a continued lifestyle in retirement. I accomplished this by getting an employable degree (engineering) and maintaining steady employment for forty years. Starting at age 23 I had around 14% of my gross income going into tax defe...
by The Wizard
Fri Apr 22, 2016 9:02 am
Forum: Investing - Theory, News & General
Topic: Explaining a Total Return Withdrawal Strategy to Clients
Replies: 24
Views: 2306

Re: Explaining a Total Return Withdrawal Strategy to Clients

Others have pointed out that dividend strategies for retirement income go way back in time. Back in the 40s, 50s, and even 60s, no load mutual funds were uncommon. Folks would buy individual stocks but had to pay commissions. So it made economic sense to let dividends roll into your checking account...
by The Wizard
Thu Apr 21, 2016 5:06 am
Forum: Personal Finance (Not Investing)
Topic: JP Morgan's Guide to retirement 2016
Replies: 21
Views: 3695

Re: 2016 retirement guide

A comprehensive presentation.
Answers to every question one could possibly have...
by The Wizard
Wed Apr 20, 2016 12:08 pm
Forum: Investing - Help with Personal Investments
Topic: What I am expecting when rolling over 401K to a Roth IRA
Replies: 3
Views: 278

Re: What I am expecting when rolling over 401K to a Roth IRA

It might be better to rollover to a traditional IRA initially. Then Roth convert a portion each year until complete. You haven't given us any numbers. If your 401k is $50,000, do you have $7500 sitting around to pay the tax with? You'll get a 1099-R February following a Roth conversion showing the a...
by The Wizard
Wed Apr 20, 2016 11:58 am
Forum: Personal Consumer Issues
Topic: "Network Saturation" with Optimum Router [overloaded FIOS wifi?]
Replies: 16
Views: 1156

Re: "Network Saturation" with Optimum Router [overloaded FIOS wifi?]

...Any suggestions on what to do? Do I need another line in? Is there a non-Verizon router that can handle the many devices (up to 13 if everything's connected and on.) Is there a Verizon FIOS compatibility requirement? I asked Verizon about getting my own router. They said to only use their sugges...
by The Wizard
Wed Apr 20, 2016 11:45 am
Forum: Investing - Theory, News & General
Topic: If past performance doesn't indicate future performance, why buy stocks?
Replies: 43
Views: 3906

Re: If past performance doesn't indicate future performance, why buy stocks?

livesoft wrote:Past performance indicates expected future performance, but does not guarantee it. Therefore, past performance does not indicate future performance.

I'm not sure I agree.
Past performance of the broad market shows a range of expected trendlines, most of which are at least mildly optimistic...
by The Wizard
Wed Apr 20, 2016 11:39 am
Forum: Personal Finance (Not Investing)
Topic: Cannot Pay Huge Tax Burden
Replies: 107
Views: 8256

Re: Cannot Pay Huge Tax Burden

60k for a lawyer in a high cost of living area and that is the only job he could find? :confused Also, in order for a $200k, 7% loan to reach $800k in 20 years, the monthly payment would have to be 15 bucks per month. Surely he can afford to pay more than 15 bucks per month to this loan. If no paym...
by The Wizard
Wed Apr 20, 2016 9:46 am
Forum: Investing - Help with Personal Investments
Topic: Target Day Fund & Asset Allocation
Replies: 9
Views: 645

Re: Target Day Fund & Asset Allocation

Rather than blindly accepting someone else's opinions on suitable asset allocation I an I suspect most on this forum would suggest that you independently decide on a suitable allocation based on your desires and factors and then if you decide on a target date fund ignore the dates and find one with...
by The Wizard
Wed Apr 20, 2016 8:07 am
Forum: Personal Finance (Not Investing)
Topic: How To Find My (retirement) Number?
Replies: 64
Views: 4488

Re: How To Find My (retirement) Number?

How universal is that for people to be full employed until they are 60s? I know that it does not apply in my area. KlangFool Universal isn't the right word, Klang. It depends on the person's skill set and local employment conditions. My former full-time employer is trying to expand their engineerin...
by The Wizard
Wed Apr 20, 2016 7:49 am
Forum: Personal Finance (Not Investing)
Topic: Why am I still scared ? Is it actually normal ?
Replies: 59
Views: 6421

Re: Why am I still scared ? Is it actually normal ?

I never felt scared financially as my nest egg got larger and larger over the years.
Quite the opposite: it gave me a warm comfortable feeling as I approached Financial Independence.

I will say that anxiety at some level is treatable, so the OP needs to decide just how significant an issue this is...
by The Wizard
Wed Apr 20, 2016 7:13 am
Forum: Personal Finance (Not Investing)
Topic: Planning an annual withdrawal amount for retirement
Replies: 8
Views: 1394

Re: Planning an annual withdrawal amount for retirement

Op says best case number of years, not expected average.
So yes, plan to age 100, so 40 years from age 60, meaning a 2.5% withdrawal rate. Yes, that will work.
But your investments could easily grow more than 2.5% per year, so your dollar amount withdrawn will grow most years...
by The Wizard
Tue Apr 19, 2016 11:14 am
Forum: Investing - Help with Personal Investments
Topic: RMD required of 401K AND/OR 403b plans?
Replies: 5
Views: 330

Re: RMD required of 401K AND/OR 403b plans?

Naked links are evil, yes.
RMDs are required from all "traditional" tax deferred accounts.
My employer offered both a traditional and Roth 403(b), so obviously no RMD needed for funds in the Roth version...
by The Wizard
Mon Apr 18, 2016 5:00 pm
Forum: Investing - Help with Personal Investments
Topic: What expected % return should a longterm investor use?
Replies: 50
Views: 4537

Re: What expected % return should a longterm investor use?

anoop wrote:...The economic times we are currently in are without precedent.

Really?
They seem rather normal to me. The markets are fluctuating as per usual...
by The Wizard
Mon Apr 18, 2016 4:55 pm
Forum: Personal Finance (Not Investing)
Topic: How To Find My (retirement) Number?
Replies: 64
Views: 4488

Re: How To Find My (retirement) Number?

Much of the answer depends on related topics: 1) many of us have SS coverage; do you and how big a monthly amount will it be? 2) decreasing numbers of us have a pension; will you and how much will it be? 3) scattered numbers of us arrange to have annuity income in retirement; have you given any thou...
by The Wizard
Mon Apr 18, 2016 4:22 pm
Forum: Investing - Help with Personal Investments
Topic: What expected % return should a longterm investor use?
Replies: 50
Views: 4537

Re: What expected % return should a longterm investor use?

I'm an analytical, spreadsheet, MATLAB kinda guy, but I never tried to model growth for years in the future. I did plot my retirement assets growth vs time, along with the ratio of my portfolio total to my salary in years gone by. But past performance and future results? No way am I gunna get into t...
by The Wizard
Mon Apr 18, 2016 12:05 pm
Forum: Investing - Theory, News & General
Topic: Delaying SS Benefits?
Replies: 38
Views: 3765

Re: Delaying SS Benefits?

...I am continually amazed that most all Bogelheads Plan their Portfolios to last to age 100, but all of a sudden when discussing Social Security a good number of folks here argue that S.S.should be taken at age 62, because they doubt they'll live to age 85 ??? -- I can't figure out this disconnect...
by The Wizard
Mon Apr 18, 2016 11:55 am
Forum: Personal Finance (Not Investing)
Topic: Made Roth IRA contribution today - not sure to be happy or sad
Replies: 6
Views: 769

Re: Made Roth IRA contribution today - not sure to be happy or sad

Some of us above the income phaseout for Roth IRAs use the Backdoor method, but if you have a large tIRA, that may not be feasible...
by The Wizard
Mon Apr 18, 2016 9:07 am
Forum: Investing - Theory, News & General
Topic: How much does tax advantaged account allocation save you?
Replies: 14
Views: 2031

Re: How much does tax advantaged account allocation save you?

A dividend in taxable costs you tax dollars. A dividend in tax-advantaged doesn't, it continues to grow at full value until some time in the future, which could be decades from now, that you take the money out. The additional assumption is that you will not be a wage earner at that point in time an...
by The Wizard
Mon Apr 18, 2016 8:04 am
Forum: Investing - Theory, News & General
Topic: Why not buy a DIVIDEND stock?
Replies: 36
Views: 3214

Re: Why not buy a DIVIDEND stock?

Vanguard has a couple of funds that focus on dividends.
It might be good to go with one of those to lessen the individual company risk issue...
by The Wizard
Mon Apr 18, 2016 7:41 am
Forum: Investing - Help with Personal Investments
Topic: how to deal with possibly uncertain retirement date?
Replies: 15
Views: 1391

Re: how to deal with possibly uncertain retirement date?

Note to OP: it's likely not SSI (Supplemental Security Income) that your mother will receive, but normal SS (Social Security). At age 67, it's definitely time to get a good handle on both her expenses and her projected cash flow streams in retirement. How much longer does that mortgage run? And how ...
by The Wizard
Mon Apr 18, 2016 7:15 am
Forum: Personal Finance (Not Investing)
Topic: mortgage pre payment, why?
Replies: 101
Views: 9930

Re: mortgage pre payment, why?

In my third year of retirement, I still have a modest HELOC balance at 3.25% APR. My various investments have generally done better than that rate which is why I've not been in a rush to pay this off. The required monthly payment is about 5% of my monthly income, so not a burdensome amount. Now havi...
by The Wizard
Mon Apr 18, 2016 6:28 am
Forum: Investing - Theory, News & General
Topic: How much does tax advantaged account allocation save you?
Replies: 14
Views: 2031

Re: How much does tax advantaged account allocation save you?

Hard Q to answer. The ultimate savings depends on your income tax rate X years down the road in retirement. Put $10,000 into your 401k this year and you save $2800 on Fed tax this year, plus state tax., assuming 28% marginal Fed tax bracket. Assume the $10K doubles to $20k over X years. All of that ...
by The Wizard
Sat Apr 16, 2016 8:24 am
Forum: Investing - Help with Personal Investments
Topic: Count TIAA Traditional towards the bond allocation?
Replies: 17
Views: 921

Re: Count TIAA Traditional towards the bond allocation?

The non-liquid form of TIAA Traditional should be treated like a bond fund with a duration of 4.5 years. The reason is that you can't take all the money out; you take 10% out today, and another 10% every year for nine years. If rates rise, you have to accept the lower rate for 0-9 years each on 1/1...
by The Wizard
Thu Apr 14, 2016 6:02 am
Forum: Investing - Help with Personal Investments
Topic: Combining TIAA Accounts (RA, GRA, GSRA)
Replies: 8
Views: 595

Re: Combining TIAA Accounts (RA, GRA, GSRA)

I had as many as nine separate plans with them at one time, over 40 years of employment and contributing to TIAA.
They can't generally be combined, a bit annoying but we have to live with it...
by The Wizard
Thu Apr 14, 2016 1:53 am
Forum: Investing - Help with Personal Investments
Topic: Too late to open and fund a roth for 2015?
Replies: 21
Views: 1254

Re: Too late to open and fund a roth for 2015?

I am planning on using my rmd from an inherited IRA starting this year to fund roth ira's for myself and my wife but for some reason it just hit me that I should have funded them for the 2015 year. I have money just sitting in cash in my taxable account that I could have used. You need to have had ...
by The Wizard
Wed Apr 13, 2016 2:31 pm
Forum: Investing - Help with Personal Investments
Topic: I'll be a Boglehead Friday. Any advice?
Replies: 93
Views: 6141

Re: I'll be a Boglehead Friday. Any advise?

I have an appointment Friday with my dads investment broker. He's a big in this style of investing. I plan to stick my income from a hotel and all of my bonus into this. After taxes it should be around $600k and will be left to my kids somehow to be determined later. Never personally dealing with a...
by The Wizard
Wed Apr 13, 2016 2:08 pm
Forum: Investing - Help with Personal Investments
Topic: I would like to know the tax efficient vanguard funds & etfs in order.
Replies: 13
Views: 998

Re: I would like to know the tax efficient vanguard funds & etfs in order.

Hello everyone I would like to know the tax efficient vanguard funds & etfs in order. Thank you In order? Alphabetical? Tax efficiency in their stock funds is mainly a matter of holding a broad enough index of stocks that no Capital Gains Distribution ever needs to be paid. So total stock marke...

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