Search found 306 matches

by adam1712
Mon May 14, 2018 11:53 am
Forum: Personal Consumer Issues
Topic: Must See in South Dakota
Replies: 58
Views: 4060

Re: Must See in South Dakota

If your kids might be into tractors/heavy machinery, the AGCO plant in Jackson, MN could be a fun, quick stop off I-90. They have an interactive center that's nice and new. And all the modern manufacturing techniques (like workers using Google Glasses) are interesting to learn about. http://www.inti...
by adam1712
Wed Apr 18, 2018 10:02 am
Forum: Personal Finance (Not Investing)
Topic: Account for Adult Children Allowing Parent Some Control
Replies: 31
Views: 3511

Re: Account for Adult Children Allowing Parent Some Control

I love that you want to provide support to your children in this way. Can I ask though, what if they don't get married or purchase a home for a decade or more? What if they decide to go back to school or change careers or something else? I try not to put strings on financial gifts. I'm OK with usin...
by adam1712
Tue Apr 17, 2018 9:06 am
Forum: Personal Finance (Not Investing)
Topic: Help me explain why pre-tax investing can help when retiring in same bracket
Replies: 83
Views: 7122

Re: Help me explain why pre-tax investing can help when retiring in same bracket

I have found myself in two social situations in as many weeks where I have needed to explain why having 100% of your assets in Roth is not the optimal asset location mix in the hypothetical case where one's withdrawal marginal rate equals one's working marginal rate (because you skim off the top wh...
by adam1712
Mon Apr 16, 2018 2:06 pm
Forum: Investing - Theory, News & General
Topic: How accurately can we measure INFLATION?
Replies: 89
Views: 4068

Re: How accurately can we measure INFLATION?

The Consumer Price Index (CPI) does not measure inflation. It measures the change in the price of a basket of consumer goods and services. The price of a thing, in dollars, is the ratio of the value of the thing to the value of a dollar. A price of five dollars for some thing means the value of the...
by adam1712
Mon Apr 16, 2018 9:30 am
Forum: Investing - Theory, News & General
Topic: How accurately can we measure INFLATION?
Replies: 89
Views: 4068

Re: How accurately can we measure INFLATION?

BHs are often interested in "Real" returns. Take the nominal return and adjust for inflation. OK, which measure of inflation? It's always the 12-month change in CPI-U. Is that really the best choice to adjust for inflation? Everyone using the exact same inflation adjustment? Based on some made-up b...
by adam1712
Tue Apr 10, 2018 5:05 pm
Forum: Investing - Help with Personal Investments
Topic: SPIA Return - Am I calculating this correctly?
Replies: 72
Views: 2972

Re: SPIA Return - Am I calculating this correctly?

Was thinking about retiring at 55 and taking SS at 70. SS + COLA Pension covers all my base expenses. So, why not try a 15 year certain annuity to cover me from 55 to 70? Went to immediate annuity and got the following info: Period 15 Cost of Annuity 587,518 Monthly/Annual/Total Payout 4,000 48,000...
by adam1712
Sat Apr 07, 2018 9:33 am
Forum: Personal Finance (Not Investing)
Topic: help! I want to treat heirs equally
Replies: 38
Views: 5403

Re: help! I want to treat heirs equally

Like many families, it was nearly impossible for my parents to come up with a plan that was perfectly equal and fair. If I'm being honest, the fact that I know my parents put some thought into their decisions and struggled over it is meaningful to me. I don't think any of my siblings would keep scor...
by adam1712
Thu Mar 29, 2018 8:28 am
Forum: Personal Finance (Not Investing)
Topic: Am I being stubborn about housing purchase
Replies: 27
Views: 3793

Re: Am I being stubborn about housing purchase

Family physician with a thriving self-owned practice, wife is a pharmD (mid-40's, 2 children). 1- Increase your emergency fund first to a minimum 6 months, ours is at >1 year including personal and business costs ($1,700,000). 2- Maximize savings going toward investments at your young age, first in...
by adam1712
Tue Mar 27, 2018 11:18 am
Forum: Personal Consumer Issues
Topic: Any hand written letter services out there that write and mail on your behalf?
Replies: 25
Views: 2421

Re: Any hand written letter services out there that write and mail on your behalf?

Just FYI, many schools do not teach cursive handwriting now and the ones that do may only have a very short class in it. This means that many millennials cannot write or even read cursive handwriting now. We moved when my son was in middle school and the schools were on different schedules so he ne...
by adam1712
Thu Mar 22, 2018 11:20 am
Forum: Personal Finance (Not Investing)
Topic: What Budget? Do you keep one?
Replies: 116
Views: 7397

Re: What Budget? Do you keep one?

I don't budget. I have an annual savings goal. As long as I do that, I don't worry about spending. Most of the time I'm saving more than the goal. Really the only years I come in under are ones where I buy a car.
by adam1712
Sun Mar 18, 2018 12:48 pm
Forum: Investing - Theory, News & General
Topic: How banks create money, not from deposits
Replies: 132
Views: 11301

Re: How banks create money, not from deposits

This is been an interesting thread and I'm going to try to give my explanation. It's clear that banks lend money to people. It seems to me that the money a bank has comes from two sources: money deposited by other people AND new money supplied from the Federal Reserve that is borrowed by the banks. ...
by adam1712
Sun Mar 18, 2018 12:26 pm
Forum: Investing - Theory, News & General
Topic: How banks create money, not from deposits
Replies: 132
Views: 11301

Re: How banks create money, not from deposits

BTW, I have been watching more Khan Academy videos on Banking and Money. Khan works through examples by drawing balance sheets: Assets on the left and Liabilities+Equity on the right. That is the best way to understand what is going on. I watched them probably about 6 or 8 years ago, so I didn't re...
by adam1712
Thu Mar 15, 2018 12:12 pm
Forum: Personal Finance (Not Investing)
Topic: Pay capital gains for house downpayment?
Replies: 10
Views: 832

Re: Pay capital gains for house downpayment?

Thanks for the replies, it does seem like I need to just bite the bullet and pay the capital gains tax. I just hadn't run the numbers to see how big the tax bill was going to be! I know the tax has to be paid. Although I still have the hesitation that in retirement I may be able to pay 0% capital ga...
by adam1712
Thu Mar 15, 2018 12:05 pm
Forum: Personal Finance (Not Investing)
Topic: Pay capital gains for house downpayment?
Replies: 10
Views: 832

Re: Pay capital gains for house downpayment?

magicrat wrote:
Thu Mar 15, 2018 9:49 am

Do you have specific ID turned on and are you selecting the highest cost base lots?

I do have specific ID although it's all pretty much 1 lot. It's all Vanguard Total Stock and it was all bought in 2009 when I tax loss harvested. I've been using the dividends for extra Roth IRA contributions.
by adam1712
Wed Mar 14, 2018 6:19 pm
Forum: Personal Finance (Not Investing)
Topic: Pay capital gains for house downpayment?
Replies: 10
Views: 832

Pay capital gains for house downpayment?

I’d like to have about $40k for a house downpayment. I’ve been planning to sell from my taxable stock account (I have the money in safe investments within my tax-advantaged). However, the cost basis is about $12k. I’ve gone to sell but at 21% (federal+state), I’m really hesitant to take the close to...
by adam1712
Tue Mar 06, 2018 12:00 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to HSA or wife's IRA?
Replies: 6
Views: 573

Re: Contribute to HSA or wife's IRA?

You should at least be contributing enough to your HSA for ongoing medical expenses and then withdrawing the money as needed and contributing to an IRA. This money will never be taxed. Contribute to HSA (no income tax) -> withdraw for medical expenses (no tax) -> contribute savings to Roth IRA (no f...
by adam1712
Wed Jan 31, 2018 7:59 pm
Forum: Personal Consumer Issues
Topic: Disney World question, accessing resorts and monorail
Replies: 6
Views: 846

Re: Disney World question, accessing resorts and monorail

Disney Springs is where I think you should start. Free parking and transportation from there. That said, it's been a while for me but I think most of the resorts allow parking for everybody. There might be a couple more upscale ones that enforce parking for guests only, but I know my family has defi...
by adam1712
Fri Dec 29, 2017 12:52 pm
Forum: Personal Finance (Not Investing)
Topic: FAFSA with low income but high net worth
Replies: 39
Views: 2719

Re: FAFSA with low income but high net worth

There is an interesting vibe in this thread about whether someone who has considerable assets should get financial aid if they can. I know in my case, I made an assumption when my children were young that I would not qualify for any aid (other than maybe loans). Well, here I am with 2 kids in colle...
by adam1712
Sat Nov 18, 2017 1:29 pm
Forum: Investing - Help with Personal Investments
Topic: Confused about cash and retirement - isn't this really about market timing?
Replies: 38
Views: 3503

Re: Confused about cash and retirement - isn't this really about market timing?

Please note I plan to retire in 1-5 years. Here are my reasons for having 10 years of expenses in very safe FI: 1) I believe my first 10 years of retirement are the most valuable and I don't want there to be a possibility that my ability to spend during this period will be affected by negative mark...
by adam1712
Sat Nov 18, 2017 11:59 am
Forum: Investing - Help with Personal Investments
Topic: Confused about cash and retirement - isn't this really about market timing?
Replies: 38
Views: 3503

Re: Confused about cash and retirement - isn't this really about market timing?

From that perspective then the problem is with what each individual defines as "cash" and your knowledge of the return they are receiving on that "cash". I don't believe I have seen a large number of posts suggesting people are pulling out money and piling it under their mattresses. In my case whil...
by adam1712
Sat Nov 18, 2017 10:42 am
Forum: Investing - Help with Personal Investments
Topic: Confused about cash and retirement - isn't this really about market timing?
Replies: 38
Views: 3503

Re: Confused about cash and retirement - isn't this really about market timing?

Bernstein Says Stop When You Win The Game https://www.whitecoatinvestor.com/bernstein-says-stop-when-you-win-the-game/ While this approach smacks of market timing, it’s entirely based on past performance, not future performance and so requires no predictive ability. He’s just suggesting that your g...
by adam1712
Sat Nov 04, 2017 6:35 pm
Forum: Personal Consumer Issues
Topic: St Louis: from airport to hotel (uber, shuttle or rental)
Replies: 23
Views: 1487

Re: St Louis: from airport to hotel (uber, shuttle or rental)

I couldn't get a lot of information from the Metrolink website. The map implied that we would have to go past Clayton switch lines and come back to Clayton (all of it with luggage) True or not? Yes, you would have to switch at Forest Park-DeBaliviere station. The schematic may look like the two lin...
by adam1712
Fri Nov 03, 2017 11:30 am
Forum: Personal Finance (Not Investing)
Topic: Max HSA?
Replies: 12
Views: 1497

Re: Max HSA?

It sounds like you should definitely be putting the full amount into the HSA every year. That gives you a 25% savings on health costs if you have a 25% marginal tax rate. Or 32.65% savings, as you aren't paying FICA if employer is withholding. Mind you, FICA in theory increases your SS payout in th...
by adam1712
Fri Nov 03, 2017 8:53 am
Forum: Personal Finance (Not Investing)
Topic: Max HSA?
Replies: 12
Views: 1497

Re: Max HSA?

Are you spending your HSA for ongoing health costs or saving it for the future? It sounds like you should definitely be putting the full amount into the HSA every year. That gives you a 25% savings on health costs if you have a 25% marginal tax rate. After that, it basically becomes like a Roth that...
by adam1712
Fri Aug 25, 2017 9:07 pm
Forum: Investing - Theory, News & General
Topic: Tilt away from one's home country slightly
Replies: 18
Views: 2213

Re: Tilt away from one's home country slightly

I think there's an argument to be made for the opposite as some of your future costs likely depend on your home country's economic performance. A crash would likely mean cheaper housing, food, etc. Also, many of your peers in retirement would also be feeling the pain. If your home country is growing...
by adam1712
Thu Aug 03, 2017 8:29 am
Forum: Investing - Theory, News & General
Topic: The Rise From 7,000 to 22,000
Replies: 49
Views: 7418

Re: The Rise From 7,000 to 22,000

Leesbro63 wrote:What is the return from the first time the DOW hit 10,000?
120%
by adam1712
Mon Jul 31, 2017 6:40 pm
Forum: Investing - Theory, News & General
Topic: Can a TIPS ladder 'fail' ?
Replies: 101
Views: 10560

Re: Can a TIPS ladder 'fail' ?

I suspect where TIPs work well are people who have a large amount of assets and have budgeted into their retirement a lot of discretionary, conspicuous consumption. Ergo the substitution effect ifs alive and well and the cost of some goods going up is balanced with other going down. But when most o...
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: 6356

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: 9424

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: 4164

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: 12228

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: 12228

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: 12228

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: 8037

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: 6331

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: 4943

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: 246
Views: 61719

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: 246
Views: 61719

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: 4744

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: 4744

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: 5221

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 personal cost of living a...
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: 5221

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 personal cost of living ar...
by adam1712
Thu Nov 03, 2016 1:39 pm
Forum: Investing - Theory, News & General
Topic: Low Interest Rates: Opportunities Missed?
Replies: 14
Views: 2682

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: 6766

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: 6766

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: 6766

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: 6766

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 option of askin...
by adam1712
Sat Oct 22, 2016 11:03 pm
Forum: Investing - Help with Personal Investments
Topic: Regrets using ETFs
Replies: 65
Views: 6766

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 option of askin...
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: 6713

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...