Search found 279 matches

by adam1712
Sun Jun 18, 2017 7:28 pm
Forum: Investing - Help with Personal Investments
Topic: Why do we need an emergency fund?
Replies: 70
Views: 4038

Re: Why do we need an emergency fund?

I'm the same as OP. I keep about $3,000 cash in a checking account, but everything else is allocated to my 75/25 AA. I buy and sell as needed and in lines with my AA.
by adam1712
Thu Jun 15, 2017 2:37 pm
Forum: Investing - Help with Personal Investments
Topic: Mid-40's, single parent, "retired", $1.6M portfolio, investment advice sought.
Replies: 50
Views: 7558

Re: Mid-40's, single parent, "retired", $1.6M portfolio, investment advice sought.

... So, asset allocation? Appropriate fund choices? Thank you again. I think this is almost impossible to answer without considering the person's views on risk and potentially returning to work. Many early retiree's are retired after selling a business or other big initial income. They often can be...
by adam1712
Sun May 28, 2017 3:24 pm
Forum: Personal Consumer Issues
Topic: i just changed all my passwords
Replies: 30
Views: 3360

Re: i just changed all my passwords

that's interesting. Like I wrote, I thought the rationale for changing passwords was a database hack of an institution that goes unpublicized - or unrecognized - for months. During that period of time - I thought - my password would be at risk of hacking not because it was easy to crack but because...
by adam1712
Mon May 01, 2017 2:16 pm
Forum: Investing - Theory, News & General
Topic: Are we all forgetting our taxable accounts?
Replies: 79
Views: 9881

Re: Are we all forgetting our taxable accounts?

Opinions vary but I see no need for a taxable bucket if you aren't maxing out retirement accounts. When I need a car, I just don't save as much that year and buy a car. Why do I need to invest to buy a car and then pay the capital gains? As long as I have an emergency fund, all my savings goes in t...
by adam1712
Mon May 01, 2017 12:49 pm
Forum: Investing - Theory, News & General
Topic: Are we all forgetting our taxable accounts?
Replies: 79
Views: 9881

Re: Are we all forgetting our taxable accounts?

Quick thought. Every investing book I read talks about retirement. They advise on building an IRA or 401k, etc. Very rarely do they discuss taxable accounts. I think if someone is saving $5,000 per year in their late 20's for example, maybe 2/3 can go into retirement accounts, and 1/3 can go into a...
by adam1712
Mon May 01, 2017 10:37 am
Forum: Investing - Theory, News & General
Topic: Are we all forgetting our taxable accounts?
Replies: 79
Views: 9881

Re: Are we all forgetting our taxable accounts?

Quick thought. Every investing book I read talks about retirement. They advise on building an IRA or 401k, etc. Very rarely do they discuss taxable accounts. I think if someone is saving $5,000 per year in their late 20's for example, maybe 2/3 can go into retirement accounts, and 1/3 can go into a...
by adam1712
Thu Apr 06, 2017 3:31 pm
Forum: Personal Consumer Issues
Topic: Help on how to spend more on myself (First World Whine)
Replies: 93
Views: 5930

Re: Help on how to spend more on myself (First World Whine)

I tend to have trouble spending on myself as well. I've started doing credit card sign-up bonuses and find it helps change my mentality. I like doing 1-2 per year. It puts me in spend mode for a couple months where I'm willing to buy new clothes, new electronics, splurge on dining out, etc. But then...
by adam1712
Fri Mar 31, 2017 5:46 pm
Forum: Investing - Theory, News & General
Topic: anyone factor in future inheritance?
Replies: 78
Views: 5099

Re: anyone factor in future inheritance?

I'd be lying if I didn't say a likely inheritance has factored into my decision making. The main thing it has affected is I've taken a riskier career path that will likely not pay as well as some options but will hopefully be more satisfying. Additionally, I'm saving for a comfortable retirement at ...
by adam1712
Tue Mar 21, 2017 7:54 pm
Forum: Personal Finance (Not Investing)
Topic: Legal Issue: What kind of lawyer (or do I not need one yet)?
Replies: 46
Views: 4562

Re: Legal Issue: What kind of lawyer (or do I not need one yet)?

The original law firm was pro bono. This is beyond the scope of that agreement. They also did a very poor job and our relationship is not great. kvjm. I would still consider contacting them and having them draft a letter. If things proceed, then you can get a different lawyer but you also may want ...
by adam1712
Thu Jan 05, 2017 11:43 am
Forum: Personal Finance (Not Investing)
Topic: Surprise financial disaster, severe debt $300K caused by brother-in-law - Please help!
Replies: 221
Views: 45223

Re: Surprise financial disaster, severe debt $300K caused by brother-in-law - Please help!

Another update, Meet with lawyers yesterday and we are going to start the process of establishing conservatorship over my mother. They believed that there are enough red flags to make it easy for a judge to grant it. Once they do that, I will be able to have access to everything and can freeze her ...
by adam1712
Wed Jan 04, 2017 12:55 pm
Forum: Personal Finance (Not Investing)
Topic: Surprise financial disaster, severe debt $300K caused by brother-in-law - Please help!
Replies: 221
Views: 45223

Re: Surprise financial disaster, severe debt $300K caused by brother-in-law - Please help!

Another update. My sister gave me a big box of documents that she smuggled out of the house that included many documents from 2014-2015, including the credit card statements from the 2 credit cards that carried the combined 45K balance, electricity bills, cable/internet/phone bills, medical insuran...
by adam1712
Fri Dec 09, 2016 10:16 am
Forum: Personal Finance (Not Investing)
Topic: Big 2016 income drop
Replies: 28
Views: 4399

Re: Big 2016 income drop

adam1712, that's a great point. So if you're carrying forward a loss it's best to wipe it out with gains as quickly as possible? I've been trying to preserve mine but you're right, it prevents me from taking advantage of 0% capital gains tax when conditions would otherwise allow me to do so. It dep...
by adam1712
Fri Dec 09, 2016 9:30 am
Forum: Personal Finance (Not Investing)
Topic: Big 2016 income drop
Replies: 28
Views: 4399

Re: Big 2016 income drop

Nice. I wasn't clear on that. When dropping into the 15% bracket, it's probably a good idea to liquidate long-term gains or short-term gains which I don't expect to turn into long-term gains. IMO that's a great move up there with a Roth conversion. Here's a basic tax question. If I'm just over the ...
by adam1712
Sat Nov 26, 2016 2:51 pm
Forum: Investing - Theory, News & General
Topic: What is your personal rate of inflation?
Replies: 35
Views: 4591

Re: What is your personal rate of inflation?

Inflation is a monetary phenomenon that affects everybody with the same currency. If somebody tells me they had 5% "personal inflation" last year and I had 0% "personal inflation", I've yet to meet anybody who would trade me $105 of their dollars for $100 of mine. People's perso...
by adam1712
Sat Nov 26, 2016 1:50 pm
Forum: Investing - Theory, News & General
Topic: What is your personal rate of inflation?
Replies: 35
Views: 4591

Re: What is your personal rate of inflation?

Inflation is a monetary phenomenon that affects everybody with the same currency. If somebody tells me they had 5% "personal inflation" last year and I had 0% "personal inflation", I've yet to meet anybody who would trade me $105 of their dollars for $100 of mine. People's person...
by adam1712
Thu Nov 03, 2016 1:39 pm
Forum: Investing - Theory, News & General
Topic: Low Interest Rates: Opportunities Missed?
Replies: 14
Views: 2312

Re: Low Interest Rates: Opportunities Missed?

I've wondered if it would be better to pay cash for a house and invest on margin in stocks instead of having a house mortgage. Seems like it should be possible to make it work. The costs would be better for the bank as there's no issues of insurance, property taxes, foreclosure, etc.
by adam1712
Thu Oct 27, 2016 7:59 am
Forum: Investing - Help with Personal Investments
Topic: Regrets using ETFs
Replies: 65
Views: 6194

Re: Regrets using ETFs

I think we're going to have to agree to disagree. I don't believe if you were to put in a buy market order or a sell market order for an ETF at the same time that you would get the same price, but you seem to believe you would. I did just that (OK, not market orders, but limit orders) and posted ab...
by adam1712
Wed Oct 26, 2016 10:31 pm
Forum: Investing - Help with Personal Investments
Topic: Regrets using ETFs
Replies: 65
Views: 6194

Re: Regrets using ETFs

But that's the thing - there is only one market price. It is the price at which a transaction is made (whether between a market maker and a buyer/seller or between a buyer and a seller) and those same spreads exist for every security price that makes up your NAV. If anything, there is only one spre...
by adam1712
Wed Oct 26, 2016 5:44 pm
Forum: Investing - Help with Personal Investments
Topic: Regrets using ETFs
Replies: 65
Views: 6194

Re: Regrets using ETFs

How the NAV is calculated doesn't really affect my bottom line. Maybe it's biased high or low on average but then it's either better when I buy or better when I sell, and it's actually probably very accurate. Of course how NAV is calculated affects your bottom line - NAV is the price you buy and se...
by adam1712
Sun Oct 23, 2016 4:12 pm
Forum: Investing - Help with Personal Investments
Topic: Regrets using ETFs
Replies: 65
Views: 6194

Re: Regrets using ETFs

Saying that "buying/selling a mutual fund is just like a market order" is a straw man. It's a bogus comparison. It's not a bogus comparison at all. Just like a market order, with a mutual fund you take whatever price the market gives you. Just like a market order, you don't have the optio...
by adam1712
Sat Oct 22, 2016 11:03 pm
Forum: Investing - Help with Personal Investments
Topic: Regrets using ETFs
Replies: 65
Views: 6194

Re: Regrets using ETFs

Saying that "buying/selling a mutual fund is just like a market order" is a straw man. It's a bogus comparison. It's not a bogus comparison at all. Just like a market order, with a mutual fund you take whatever price the market gives you. Just like a market order, you don't have the optio...
by adam1712
Sat Sep 03, 2016 12:34 pm
Forum: Investing - Help with Personal Investments
Topic: Edward Jones and my in-laws
Replies: 44
Views: 6158

Re: Edward Jones and my in-laws

I find it best to just talk about finding low-fee funds and avoiding loads. Don't waste time attacking their advisor or company. I have family members that invest with Edward Jones. It's not great but I also know that since my family members ask questions about fees and stuff that I've suggested, th...
by adam1712
Tue Jul 12, 2016 9:22 pm
Forum: Investing - Help with Personal Investments
Topic: Chances of <15% marginal income tax in retirement
Replies: 18
Views: 2756

Re: Chances of <15% marginal income tax in retirement

Thanks Sheepdog, I always appreciate your posts with real data and personal experiences.
by adam1712
Mon Jul 11, 2016 8:53 pm
Forum: Investing - Help with Personal Investments
Topic: Chances of <15% marginal income tax in retirement
Replies: 18
Views: 2756

Re: Chances of <15% marginal income tax in retirement

Thanks for the state info, Bob's not my name. It really feels like there's a pretty big range of retirement incomes where the marginal federal rate is going to be 15%. Then I guess it comes down to state taxes, social security, health care, etc. tipping the scale one way or the other. And those diff...
by adam1712
Sun Jul 10, 2016 5:19 pm
Forum: Investing - Help with Personal Investments
Topic: Chances of <15% marginal income tax in retirement
Replies: 18
Views: 2756

Re: Chances of <15% marginal income tax in retirement

Thoughts? Any retirees that have entirely stayed under the 15% income tax bracket that want to weight in? For a middle class married couple it is pretty easy to do. You can use Tax Caster to see that an over 65 couple can have over $95,000 in income and still be in the 15% federal tax bracket. If t...
by adam1712
Sat Jul 09, 2016 2:24 pm
Forum: Investing - Help with Personal Investments
Topic: Chances of <15% marginal income tax in retirement
Replies: 18
Views: 2756

Re: Chances of <15% marginal income tax in retirement

But it seems like any amount over that it's a wash (federal tax wise) between Roth at 15% and taxed withdrawal at 15%. adam1712, If you have the choice to pay $1,000 now or $1,000 25 years later, what would you choose? And, why would you do that? Unless you are assuming that we will be in deflation...
by adam1712
Sat Jul 09, 2016 1:46 pm
Forum: Investing - Help with Personal Investments
Topic: Chances of <15% marginal income tax in retirement
Replies: 18
Views: 2756

Re: Chances of <15% marginal income tax in retirement

"Entirely" isn't the right criterion. Also, a person currently in the federal 15% bracket may have a state tax that is a substantial portion of his total tax burden, since most state taxes are flattish. Therefore, state tax treatment should be taken into account. Many states exempt some r...
by adam1712
Sat Jul 09, 2016 11:01 am
Forum: Investing - Help with Personal Investments
Topic: Chances of <15% marginal income tax in retirement
Replies: 18
Views: 2756

Chances of <15% marginal income tax in retirement

I likely have about two more years currently in the 15% income tax bracket before I hopefully move up in income. So far, I’ve been doing all Roth 403b and IRA investments and plan to continue all Roth for the next two years. It seems difficult to me to avoid at least some Roth conversions or RMDs th...
by adam1712
Fri Jul 01, 2016 9:34 am
Forum: Investing - Help with Personal Investments
Topic: how to reflect paying off mortgage in AA?
Replies: 38
Views: 2135

Re: how to reflect paying off mortgage in AA?

In my mind you need to determine what baseline AA you are comparing your current AA with. Here's my strategy. I use the regular 30 year amortization as my baseline. Basically, I printed out the original payoff schedule when I got a mortgage. Then any amount ahead of the scheduled principal balance I...
by adam1712
Thu May 26, 2016 5:50 pm
Forum: Investing - Help with Personal Investments
Topic: As bad as I think it is? [403(b) plan choices]
Replies: 36
Views: 3451

Re: As bad as I think it is?

... So I can try a letter to HR, but is there recourse if this fails? People have been complaining about the options for years now, from what I understand, and I'm still the new guy, without much leverage. But the stakes are also high. This is one of those jobs I will likely have until retirement -...
by adam1712
Sun Apr 24, 2016 10:58 am
Forum: Investing - Help with Personal Investments
Topic: Paying off mortgage instead of buying bonds
Replies: 33
Views: 3892

Re: Paying off mortgage instead of buying bonds

Here is how I have done it in the past (I'm currently renting so it now longer applies) to handle the issue of rebalancing when counting mortgage payments as bonds. I count any amount that I'm ahead of the regular amortization schedule as bonds. When stocks do well and and I need to buy more "b...
by adam1712
Sat Apr 23, 2016 2:43 pm
Forum: Personal Finance (Not Investing)
Topic: Will Chip + Sign CC work in Europe?
Replies: 27
Views: 2704

Re: Will Chip + Sign CC work in Europe?

One piece of advice is I've had success just hitting "cancel" or "enter" when prompted for a PIN at automated kiosks. It didn't always work but one thing to try when there's no person to have you sign a receipt.
by adam1712
Wed Apr 13, 2016 5:18 pm
Forum: Personal Finance (Not Investing)
Topic: Trust advice for a beginner Trustee
Replies: 26
Views: 2535

Re: Trust advice for a beginner Trustee

Just my opinion, but I would not cut back his monthly draw but also not increase it by buying a starter house. I think cutting comes across as overly paternalistic and is just asking for trouble. The best possible combination is if you can get him to buy in to shifting the trust income to starting a...
by adam1712
Sat Apr 02, 2016 8:23 pm
Forum: Personal Finance (Not Investing)
Topic: Bought a farm for $1
Replies: 18
Views: 3569

Re: Bought a farm for $1

Just a heads up, this may be intentional on your aunt's part to discourage you from selling and trying to keep the farm in the family. So tread carefully if you question your aunt about this. But if it's been held for at least 30 years and most farmland I've seen, you're right that it doesn't matter...
by adam1712
Thu Mar 31, 2016 6:56 pm
Forum: Personal Finance (Not Investing)
Topic: Which Engineering Discipline for the next 20+ years !!!
Replies: 122
Views: 9592

Re: Which Engineering Discipline for the next 20+ years !!!

I don't think there's a hot discipline as much as there's hot areas within disciplines. I think you can pick the discipline you love whether its chemical or mechanical or electrical or whatever. But the big trend is that computer processing power and memory allows many more sensors and effectors in ...
by adam1712
Sat Mar 12, 2016 2:17 pm
Forum: Personal Finance (Not Investing)
Topic: Why is Ally.com only paying 1% after interest rates went up?
Replies: 16
Views: 2953

Re: Why is Ally.com only paying 1% after interest rates went up?

Great question. All I can say is that my observations of many decades is that when interest rates go up, rates on loans (including credit cards) go up immediately, but interest rates on bank accounts remain stuck and move up very slowly. And when interest rates go down, the same thing happens the o...
by adam1712
Sat Mar 12, 2016 12:21 pm
Forum: Personal Consumer Issues
Topic: Seeking Advice On An HOA Special Assessment
Replies: 22
Views: 3252

Re: Seeking Advice On An HOA Special Assessment

I wouldn't worry too much about whether I would be likely to move in factoring into my decision to pay early or not. Unfortunately, you're probably stuck with it. When I had a pending assessment, it seemed virtually impossible to sell my previous condo. If you don't advertise it right away, it will ...
by adam1712
Wed Mar 09, 2016 3:05 pm
Forum: Personal Finance (Not Investing)
Topic: How to get a real Chip and Pin card?
Replies: 90
Views: 18987

Re: How to get a real Chip and Pin card?

One recommendation is do not try to enter the PIN, just push cancel or enter and input no numbers. The PIN you're trying to use is likely just a cash-advance PIN and not linked to the chip. I had some success with my chip-and-sig card by just pushing cancel at the PIN prompt last summer in Europe at...
by adam1712
Thu Feb 11, 2016 8:16 pm
Forum: Investing - Theory, News & General
Topic: How to calculate annual standard deviation from monthly returns
Replies: 49
Views: 8679

Re: How to calculate annual standard deviation from monthly returns

It's not that returns are assumed to be normally distributed. In fact, they usually aren't. How the central limit is applied is that a sample mean from a sufficiently large random independent sample is normally distributed. This means that if you repeatedly sample the returns and compute the sample...
by adam1712
Wed Feb 10, 2016 11:46 pm
Forum: Investing - Theory, News & General
Topic: How to calculate annual standard deviation from monthly returns
Replies: 49
Views: 8679

Re: How to calculate annual standard deviation from monthly returns

But I believe using annualized variances of smaller time periods is a better statistical estimate of the asset's volatility. Nevertheless, if you aren't using a random, independent sample, the preconditions of the appropriate limit theorem aren't met and thus, the theoretical underpinnings that ena...
by adam1712
Wed Feb 10, 2016 10:40 pm
Forum: Investing - Theory, News & General
Topic: How to calculate annual standard deviation from monthly returns
Replies: 49
Views: 8679

Re: How to calculate annual standard deviation from monthly returns

I read your words, but I don't see any statistical justification--just examples. Can you link to a reference that supports it with some statistical theory? I may not be able to understand it, but I'd like to take a look at any reference you can find. My goal was to describe the central limit theore...
by adam1712
Wed Feb 10, 2016 8:28 am
Forum: Investing - Theory, News & General
Topic: How to calculate annual standard deviation from monthly returns
Replies: 49
Views: 8679

Re: How to calculate annual standard deviation from monthly returns

... The M* formula just refines the concept to account for compounding of returns, but it's still just an approximation. For periods of two years or more, you can compute the SD using one of the approximation formulas and compare it to the SD computed directly from the annual returns; this will sho...
by adam1712
Sat Feb 06, 2016 12:30 pm
Forum: Investing - Theory, News & General
Topic: The Gravy Train Departed?
Replies: 72
Views: 10686

Re: The Gravy Train Departed?

The overall investment return of the stock market still comes from companies' dividends and stock buybacks and their future growth. You can only possibly lose to market manipulation from trading algorithms when you buy or sell. The longer you buy and hold, the less investments will be affected by th...
by adam1712
Fri Feb 05, 2016 7:08 pm
Forum: Personal Consumer Issues
Topic: Advice for parents with Perfectionist Child?
Replies: 48
Views: 4386

Re: Advice for parents with Perfectionist Child?

Here's my two thoughts: 1) Failing is part of the maturing process, do not protect her too much from experiencing it. Give her time to vent and then be supportive. 2) Have you thought about the activities she's in and actively discussed her priorities with her? I believe the most balanced and well a...
by adam1712
Sun Jan 31, 2016 10:03 pm
Forum: Personal Finance (Not Investing)
Topic: Giving to vs. saving for charity
Replies: 39
Views: 2929

Re: Giving to vs. saving for charity

Thanks for the info everybody. I likely haven't reached my peak earning years yet so I gather there's not a lot I can do to get more of a tax benefit now. I'll probably just continue with my current plan of giving some now but also with an eye to donating more in the future. And it seems like just p...
by adam1712
Sat Jan 30, 2016 6:29 pm
Forum: Personal Finance (Not Investing)
Topic: Giving to vs. saving for charity
Replies: 39
Views: 2929

Re: Giving to vs. saving for charity

Thanks for the responses so far, I need to look into Donor Advised Funds more. Do I need to itemize to get their benefit? I currently rent and then have about $2000 in state taxes so I'm a ways away from itemizing. Also, once it's in a DAF, is there any possibility of changing your mind? I didn't sa...
by adam1712
Sat Jan 30, 2016 5:15 pm
Forum: Personal Finance (Not Investing)
Topic: Giving to vs. saving for charity
Replies: 39
Views: 2929

Giving to vs. saving for charity

I was just wondering how Bogleheads approach planning gifts to charity? I try to give some but don't currently get any tax benefit. I have to admit this hurts my motivation to give. I'm thinking my current plan is about 2.5% of my income going directly to charity and then earmark 2.5% to save for fu...
by adam1712
Sat Jan 30, 2016 10:04 am
Forum: Investing - Theory, News & General
Topic: "6-reasons-we-lost-money-on-our-first-rental-property"
Replies: 21
Views: 5620

Re: "6-reasons-we-lost-money-on-our-first-rental-property"

While the title might be slightly misleading, I think the story is applicable to many Americans. I had a similar situation, bought a condo in 2004, moved across the country in 2012. What to do? Only because I'd seen my former neighbor's issues with renting the previous two years as well as some conv...

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