Search found 2234 matches

by afan
Sun Dec 04, 2016 11:19 am
Forum: Personal Finance (Not Investing)
Topic: Irrevocable trust set up and funding issues, is this normal?
Replies: 39
Views: 1302

Re: Irrevocable trust set up and funding issues, is this normal?

I second that observation about Fidelity. My attempts to even get information about their trust services made it clear that the local branch and phone reps were worse than useless. They knew nothing but authoritatively handed out misinformation. Fidelity also apparently has at least two separate tru...
by afan
Sat Dec 03, 2016 9:03 pm
Forum: Personal Finance (Not Investing)
Topic: Irrevocable trust set up and funding issues, is this normal?
Replies: 39
Views: 1302

Re: Irrevocable trust set up and funding issues, is this normal?

I have not followed the earlier threads, so this may be duplicative. If you are concerned about the trustee wasting money by charging high fees for investment services or using expensive funds, then Vanguard could be a great solution. They will follow a simple, low cost, investment approach. They wi...
by afan
Fri Dec 02, 2016 4:05 pm
Forum: Personal Finance (Not Investing)
Topic: What level of wealth will get the attention of an estate attorney?
Replies: 29
Views: 4612

Re: What level of wealth will get the attention of an estate attorney?

I'm a single guy with no heirs and looked into leaving my estate (1.3M) to some charities and relatives, the Estate Attorneys I talked to wanted around 3k I was thinking a few hundred since it's fairly simple despite the amount. I figure I could leave beneficiaries on my accounts to charities,,As s...
by afan
Fri Dec 02, 2016 4:02 pm
Forum: Personal Finance (Not Investing)
Topic: "High risk colonoscopy", cost shift. Any recourse?
Replies: 19
Views: 2576

Re: "High risk colonoscopy", cost shift. Any recourse?

BCBS should be able to give you the cost of the procedure for your plan. You are correct that you would have to add in all the services to come up with an accurate figure. Shopping around could well be worth it. The prices charged for the same procedure can vary a lot. But you are not likely to find...
by afan
Fri Dec 02, 2016 3:49 pm
Forum: Personal Finance (Not Investing)
Topic: Frustrated wtih how boring personal finance is
Replies: 49
Views: 6122

Re: Frustrated wtih how boring personal finance is

Well, investing is simple. But there are other components to optimizing your financial life. Asset protection. Milking the last bits out of your life insurance plan. Estate planning. Pretax vs after tax retirement savings. The answer keeps changing as your assets accumulate and the tax laws are alwa...
by afan
Thu Dec 01, 2016 1:53 pm
Forum: Personal Finance (Not Investing)
Topic: What level of wealth will get the attention of an estate attorney?
Replies: 29
Views: 4612

Re: What level of wealth will get the attention of an estate attorney?

I don't think this is a helpful way to look at it. You don't really care how much the average client has. You care about whether the lawyer can do a good job for you at a reasonable price. Anyone who could write the documents for a family with $20M could do the same for a family with $1M. The job wi...
by afan
Sun Nov 27, 2016 2:02 pm
Forum: Investing - Theory, News & General
Topic: Investing in VTI and VOO
Replies: 11
Views: 1388

Re: Investing in VTI and VOO

If you are saying you already own some small caps and you want t to end up.at market weights, then it would.make sense to use VOO rather than VTI. But since the big stocks represent most of VTI, it dies not make much difference. If you start using VOO to balance your small stocks then remember to sw...
by afan
Sun Nov 27, 2016 1:52 pm
Forum: Personal Finance (Not Investing)
Topic: Northwestern Mutual Life Whole Life Policy [Modified Endowment Contract limits]
Replies: 7
Views: 1320

Re: Northwestern Mutual Life Whole Life Policy [Modified Endowment Contract limits]

Question n your IRR calculation. Are you using the total premiums paid as the outlay, or are you looking only at the returns to the money that made it into the cash value? When insurance companies market their returns, they often give you the latter, ignoring that much of the money paid in premiums ...
by afan
Sun Nov 27, 2016 1:43 pm
Forum: Personal Finance (Not Investing)
Topic: No Appraisal Refinance
Replies: 23
Views: 1707

Re: No Appraisal Refinance

Our no appraisal refinance sold to Fannie Mae. The numbers were higher than suggested above, but very low LTV. We did not care who bought the loan and we never investigated what Fannie or Freddie required. But I agree I don't see the point of focussing on avoiding an appraisal. You want the best ove...
by afan
Sun Nov 27, 2016 1:34 pm
Forum: Personal Finance (Not Investing)
Topic: Why does the car dealer say leasing is cheaper than buying?
Replies: 72
Views: 6601

Re: Why does the car dealer say leasing is cheaper than buying?

Of course, if you want the best deal, never buy a new car. Go for cars several years old, coming off lease. You suffer none of the new car depreciation. We have replaced cars but have not bought new in many years. Last purchase was 3 years old, a fraction of the cost of a new car of same model. Then...
by afan
Sun Nov 27, 2016 1:18 pm
Forum: Investing - Theory, News & General
Topic: From a 20-fund indexed portfolio, to a simple one
Replies: 12
Views: 1227

Re: From a 20-fund indexed portfolio, to a simple one

Total stock market
Total international stock
Total bond in tax favored

Intermediate term muni in taxable

No tilts
by afan
Fri Nov 25, 2016 11:58 am
Forum: Personal Finance (Not Investing)
Topic: LTC Insurance
Replies: 13
Views: 1445

Re: LTC Insurance

Well, doing what you describe is commonly referred to as "self insuring". Many businesses do this with parts of their risk. Not combining the contributions of many individuals, simply reserving some of their assets against a known or possible future liability. Matching your reserved assets...
by afan
Thu Nov 24, 2016 10:30 am
Forum: Personal Finance (Not Investing)
Topic: Okay to keep over 250K cash in one savings acount?
Replies: 19
Views: 2732

Re: Okay to keep over 250K cash in one savings acount?

As far as I know, but have not researched it, even during the crash people with accounts at failed banks got all their money, not just what was covered by FDIC. If true, then the actual risk is low, particularly if you go over the limit only briefly. On the other hand, unless you have so much that d...
by afan
Tue Nov 22, 2016 4:36 pm
Forum: Personal Finance (Not Investing)
Topic: Whole life - 7 "pithy" questions to ask the salesman
Replies: 43
Views: 3728

Re: Whole life - 7 "pithy" questions to ask the salesman

Interesting figures, but for the individual the question is not what proportion of the population will be injured or killed, but what is the likelihood of that war fighter suffering those fates. That risk could be high even as the total number of deaths are small.
by afan
Tue Nov 22, 2016 3:04 pm
Forum: Personal Finance (Not Investing)
Topic: Whole life - 7 "pithy" questions to ask the salesman
Replies: 43
Views: 3728

Re: Whole life - 7 "pithy" questions to ask the salesman

[ Afan, See Brududes post above for the best answer. An additional point to consider is your question about buying term insurance to protect insurability for those without dependents for those in the military. In my opinion, if you apply that thinking, then everybody without dependents would be a c...
by afan
Mon Nov 21, 2016 5:36 pm
Forum: Investing - Theory, News & General
Topic: Father passed - First steps to taking over finances?
Replies: 25
Views: 2155

Re: Father passed - First steps to taking over finances?

The number of death certificates you need probably will depend on how consolidated, or not, his assets were. If he had all his investments with one broker, then one certificate could serve to give the executor control of everything. At the other extreme, if he had multiple accounts at banks and brok...
by afan
Mon Nov 21, 2016 5:23 pm
Forum: Investing - Theory, News & General
Topic: DFA vs Vanguard (I know, I know)
Replies: 32
Views: 3366

Re: DFA vs Vanguard (I know, I know)

I don't think you need to wonder whether Vanguard has already adjusted its small value fund to more closely follow the size and value factors. If they were to do that, it would be obvious in the construction of the index. Plus they would tell people that they had done that. More realistically, they ...
by afan
Mon Nov 21, 2016 5:14 pm
Forum: Personal Finance (Not Investing)
Topic: Would you buy a house for your college kid?
Replies: 46
Views: 3667

Re: Would you buy a house for your college kid?

If it is a good investment and you can afford it, then you can hold on to it, even if the student transfers to another college. It still comes down to whether you are interested in being a long distance landlord. If it is a university and you get to know the area, then you can probably reduce the ri...
by afan
Mon Nov 21, 2016 5:04 pm
Forum: Personal Finance (Not Investing)
Topic: Whole life - 7 "pithy" questions to ask the salesman
Replies: 43
Views: 3728

Re: Whole life - 7 "pithy" questions to ask the salesman

So, question for Ole Meph or other insurance experts. Is this a circumstance where someone without dependents might rationally buy life insurance (term) to protect insurability? Of course, not everyone being deployed is going into combat. But for someone who is headed for a combat assignment, their ...
by afan
Sun Nov 20, 2016 6:31 pm
Forum: Personal Finance (Not Investing)
Topic: Whole life - 7 "pithy" questions to ask the salesman
Replies: 43
Views: 3728

Re: Whole life - 7 "pithy" questions to ask the salesman

As many others have noted, you have not indicated whether the couple needs life insurance at all. Very few people need permanent life insurance. If they need life insurance, say, to care for children, then they need term, NOT permanent insurance. If they need life insurance for the service member, t...
by afan
Sun Nov 20, 2016 5:49 pm
Forum: Personal Finance (Not Investing)
Topic: Is a Medigap plan worth it, with our assets?
Replies: 30
Views: 2915

Re: Is a Medigap plan worth it, with our assets?

You should consider other Medigap plans. People have suggested F high deductible and Plan G. Also look at Plan N. you are currently in the most expensive plan there is, and the high cost is due to the first dollar coverage. You do not give a detailed break down of your finances, but assuming you hav...
by afan
Sun Nov 20, 2016 3:12 pm
Forum: Investing - Theory, News & General
Topic: Jonathan Clements Words of Wisdom
Replies: 12
Views: 2388

Re: Jonathan Clements Words of Wisdom

I suspect boredom with rational investing may be why some people put in extraordinary amounts of time and effort to milking out a few hundred dollars a year, if that, on bank, broker and credit card rewards. Having created a logical portfolio of dirt cheap cap weighted index funds, paying nothing fo...
by afan
Sun Nov 20, 2016 2:40 pm
Forum: Personal Finance (Not Investing)
Topic: Would you buy a house for your college kid?
Replies: 46
Views: 3667

Re: Would you buy a house for your college kid?

At many colleges only a minority of student live on campus in university-provided housing. Most live in a variety of arrangements including frat/sororities, rentals and at home. In such a climate, thee would not be a downside to living off campus. However, not many 1st year college students are prep...
by afan
Fri Nov 18, 2016 4:37 pm
Forum: Personal Finance (Not Investing)
Topic: Tenants by the Entirety - Retitling Issues
Replies: 8
Views: 742

Re: Tenants by the Entirety - Retitling Issues

Our broker cheerfully accepts TBE for accounts, but I don't think it counts for anything for asset protection in our state. In our state, only the primary residence of a married couple can get this protection. Nothing else. Not other real estate, not other property. Asset protection is very much sta...
by afan
Fri Nov 18, 2016 6:03 am
Forum: Investing - Help with Personal Investments
Topic: Beginner's guide to not getting con'd by Chase
Replies: 84
Views: 9425

Re: Beginner's guide to not getting con'd by Chase

What a wonderful country! These deals would never appeal to me, since I don't want the things they offer. To me the choice is not flying first class vs. coach or luxury hotel vs. budget. The third way is not to go. Points redeemed to cash are valuable. Buying a lot of overpriced goods and services t...
by afan
Thu Nov 17, 2016 6:50 pm
Forum: Personal Finance (Not Investing)
Topic: Cannot get myself to spend my savings
Replies: 75
Views: 8009

Re: Cannot get myself to spend my savings

I would not set out with a goal of spending more money. This is only a problem if one chooses to define it that way. Perhaps the pattern will reverse when I get even older, but so far age and reluctance to spend money have gone hand in hand. I think I have tried most of the things people consume and...
by afan
Thu Nov 17, 2016 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Tax bomb at 70 1/2
Replies: 71
Views: 9097

Re: Tax bomb at 70 1/2

One of the big problems is what to do if you plan to work past 70 1/2. Then you will have RMDs, your earned income and SS, all taxable. One option, assuming your employer permits it, is to roll all of your defined benefit funds and IRA's into you current employer's retirement plan. This should let y...
by afan
Thu Nov 17, 2016 3:50 pm
Forum: Personal Finance (Not Investing)
Topic: thinking about ditching life insurance
Replies: 19
Views: 2004

Re: thinking about ditching life insurance

Not an insurance expert here, but my feeling is that you're a bit underinsured for having 3 college bound kids. For $75/month I wouldn't give it another thought. You need insurance, and work insurance isn't permanent insurance. If a health condition arises you'll be glad for the 30-year term policy...
by afan
Sat Nov 12, 2016 3:54 pm
Forum: Personal Finance (Not Investing)
Topic: Executor - estate issue
Replies: 14
Views: 1437

Re: Executor - estate issue

I suspect she is dealing with a low level person who has not thought it through. Based on my vast experience of doing this once, I would argue for documentation and if necessary waiting for the letters of administration. If there really is a meaningful amount of interest at stake, say 6 months of in...
by afan
Tue Nov 08, 2016 4:49 pm
Forum: Personal Finance (Not Investing)
Topic: keeping a Private Loan private
Replies: 29
Views: 2163

Re: keeping a Private Loan private

Meg, If you are correct that the loan on the lot would not impair the ability to get the mortgage, then there would be no point in trying to hide it from the bank. The only way it makes sense to worry about what the bank would think is if the total debt would be too high to get the mortgage. If that...
by afan
Tue Nov 08, 2016 4:13 pm
Forum: Personal Finance (Not Investing)
Topic: Maryland Living Trust
Replies: 9
Views: 643

Re: Maryland Living Trust

As best I can tell, your assets are well below the level at which Maryland imposes an inheritance tax. I think the current threshold is $2 million, scheduled to increase $3M next year and match the federal exclusion (currently ~ $5.45M) in 2019. So you have no need to concern yourself with Maryland ...
by afan
Mon Nov 07, 2016 8:34 pm
Forum: Personal Finance (Not Investing)
Topic: keeping a Private Loan private
Replies: 29
Views: 2163

Re: keeping a Private Loan private

When you apply for a mortgage they will ask you to list your debts. Having recently refinanced, they did not say "list only the debt that you think we will find when we do a credit check". They asked about all our debt. And we told them. You could buy the house first, then see whether the ...
by afan
Sun Nov 06, 2016 10:55 am
Forum: Personal Finance (Not Investing)
Topic: Considering a 10% down vs. doctor's mortgage
Replies: 24
Views: 2324

Re: Considering a 10% down vs. doctor's mortgage

Some of this decision depends on your expected future income. If this is about what you will be making over the next 5-10 years, then I think you would be taking on too much debt. If you expect your income to increase significantly, it might be fine. As a physician, you are aware of the cost and val...
by afan
Sun Nov 06, 2016 10:29 am
Forum: Personal Consumer Issues
Topic: Dress shoes
Replies: 33
Views: 2982

Re: Dress shoes

I suggest you look at styleforum dot net. This is a site for clothing enthusiasts and has many, many threads about different brands and types of shoes. The posters will give you lots of information and firm opinion (this is the internet, of course) about the advantages and limitations of each one. P...
by afan
Fri Nov 04, 2016 12:40 pm
Forum: Personal Finance (Not Investing)
Topic: Best Mortgage if Paying Off in < 3 years
Replies: 10
Views: 710

Re: Best Mortgage if Paying Off in < 3 years

I think the calculators at mortgageprofessor should handle this. Broad generalization: As people have noted, lower interest rates usually accompany higher upfront costs. If you do a NPV they tend to be equivalent over the life of the loan at some currently reasonable discount rate. To the extent tha...
by afan
Thu Nov 03, 2016 6:52 pm
Forum: Personal Finance (Not Investing)
Topic: Chase Sapphire Reserve
Replies: 96
Views: 11621

Re: Chase Sapphire Reserve

I expect that my last business trip will be the last time I get on an airplane. For me "pleasure travel" is an oxymoron. I take vacations, but either stay at home or, sometimes, go somewhere within a 2 hour drive. But mainly stay home. work around the house, go to the library, etc. Paid fo...
by afan
Thu Nov 03, 2016 4:13 pm
Forum: Personal Finance (Not Investing)
Topic: Chase Sapphire Reserve
Replies: 96
Views: 11621

Re: Chase Sapphire Reserve

For you aggressive credit card deal users- I get it that the 100,000 points = $1,000 if redeemed for cash. I consider travel the bane of my existence and do it only for work. It would be hard for me to collect any travel-related benefits, since all my travel is paid for by someone else. I could use ...
by afan
Thu Nov 03, 2016 3:21 pm
Forum: Personal Finance (Not Investing)
Topic: Why do people use banks?
Replies: 66
Views: 5385

Re: Why do people use banks?

We use one of the megabanks and an online bank. On various occasions I have shopped for CDs, loans, etc and never found a credit union competitive. I have a credit union at work- inside the building- but they do not have branches all over the place. On a few occasions we have found it useful to have...
by afan
Thu Nov 03, 2016 2:58 pm
Forum: Personal Finance (Not Investing)
Topic: How much to leave young kids? And Trust legal questions
Replies: 25
Views: 2897

Re: How much to leave young kids? And Trust legal questions

If you think you may end up supporting your parents, you could certainly leave money in trust with them as well as your children as beneficiaries. You could give instructions for how much to spend on parents vs children. Or you could have two trusts, one for benefit of your parents, with your kids b...
by afan
Wed Nov 02, 2016 5:36 pm
Forum: Personal Finance (Not Investing)
Topic: Question About Beneficiary in a Will
Replies: 9
Views: 978

Re: Question About Beneficiary in a Will

Our design is leaving to our kids in trust, with our grandchildren, if any, getting in trust if our kids predecease them. Not worried about "ruining" them by leaving them too much money. Not at all clear how often this actually happens to people with large inheritances. It may be more folk...
by afan
Wed Nov 02, 2016 5:21 pm
Forum: Personal Finance (Not Investing)
Topic: Homeowner in default passes - who pays?
Replies: 20
Views: 2202

Re: Homeowner in default passes - who pays?

I am thinking maybe we do a codicil to the will to remove any reference to them, and once he passes they will just "disappear" from his house. Not this. That is called "stealing from the estate". It would be illegal under any circumstances, but since the assets of the estate wil...
by afan
Wed Nov 02, 2016 3:26 pm
Forum: Personal Finance (Not Investing)
Topic: How much to leave young kids? And Trust legal questions
Replies: 25
Views: 2897

Re: How much to leave young kids? And Trust legal questions

On number 1- this is where you need an experienced estate planning attorney to help. They will be able to point out what those extra expenses might be. When this was an issue for us, the plan gave the guardians the ability to use the money as needed to cover their increased expenses relating to havi...
by afan
Fri Oct 28, 2016 8:03 pm
Forum: Investing - Theory, News & General
Topic: Why Doesn't the DOL Understan the Term "Fiduciary"?
Replies: 21
Views: 2101

Re: Why Doesn't the DOL Understan the Term "Fiduciary"?

At least Morgan Stanley can keep its story straight. ML claims to be working in investors best interests when they give advice on taxable and retirement assets. Now they say that they must charge AUM, rather than commissions, for retirement assets. That is necessary to meet the fiduciary rule. Stran...
by afan
Fri Oct 28, 2016 2:23 pm
Forum: Investing - Theory, News & General
Topic: Impact of fleeing index investors on Index Mutual Funds: studies?
Replies: 32
Views: 2603

Re: Impact of fleeing index investors on Index Mutual Funds: studies?

I suspected as much. The article really meant "Please invest in my actively managed fund. PLEASE. Index funds have cooties." If everyone bails out of stocks, as happens sometimes, people who are invested in stocks will suffer. People who hold individual stocks will suffer, people who hold ...
by afan
Fri Oct 28, 2016 2:16 pm
Forum: Investing - Theory, News & General
Topic: What is SSRN? How to tell what's peer-reviewed and what isn't?
Replies: 12
Views: 1300

Re: What is SSRN? How to tell what's peer-reviewed and what isn't?

Another appeal of SSRN is that the working papers may be available for free while the final versions may be gated if they appear in prestigious journals. If you don't have access through work this can be the only cheap way to get them. Note that one of the top finance journals "Journal of Finan...
by afan
Fri Oct 28, 2016 1:50 pm
Forum: Personal Finance (Not Investing)
Topic: Who do you trust when there's no one to trust? (and it involves trusts)
Replies: 47
Views: 3363

Re: Who do you trust when there's no one to trust? (and it involves trusts)

To add to ResearchMed's comments. Have known several older folks who planned their living while they were still fully functional. They decided they wanted to choose where they were going to be when they could no longer live on their own. The found retirement communities just as RM described. They st...
by afan
Fri Oct 28, 2016 10:00 am
Forum: Investing - Theory, News & General
Topic: Why Doesn't the DOL Understan the Term "Fiduciary"?
Replies: 21
Views: 2101

Re: Why Doesn't the DOL Understan the Term "Fiduciary"?

Let's see....I have say an even $1 million in an IRA. For better or worse, I am a buy & hold investor and trade stocks once, maybe twice a year. When I do trade, it's maybe $10K in value. If I pay a flat rate commission of $7.95 (say IRA is at Fidelity), then I probably generate less than $20 a...
by afan
Fri Oct 28, 2016 9:59 am
Forum: Investing - Theory, News & General
Topic: Why Doesn't the DOL Understan the Term "Fiduciary"?
Replies: 21
Views: 2101

Re: Why Doesn't the DOL Understan the Term "Fiduciary"?

I cannot imagine what useful advice a Morgan or Merrill salesperson could give. "Move your money to a low cost firm. Once there, invest in a minimal-fee total stock market fund"? They would be fired on the spot. The problem for these dinosaur firms is that their clients are not the investo...
by afan
Thu Oct 27, 2016 8:34 pm
Forum: Investing - Theory, News & General
Topic: Crazy NonBH Strategy of Playing Options on ETFs?
Replies: 15
Views: 1040

Re: Crazy NonBH Strategy of Playing Options on ETFs?

If you watch the market constantly you need not give up appreciation as the market goes up. You know the strike price. As soon as you are forced to sell to meet your call you buy again at the then market price. If you do this the moment you face the call then there is little room for stocks to go up...
by afan
Thu Oct 27, 2016 7:47 pm
Forum: Personal Finance (Not Investing)
Topic: Who do you trust when there's no one to trust? (and it involves trusts)
Replies: 47
Views: 3363

Re: Who do you trust when there's no one to trust? (and it involves trusts)

There are places similar to what you describe that can serve anywhere from a retirement community for people who are fully independent but don't want to deal with upkeep of a home to a full nursing home. They can then transition to assisted living and to a full skilled nursing facility as they may n...

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