Search found 2776 matches

by aristotelian
Wed Oct 18, 2017 8:15 am
Forum: Investing - Theory, News & General
Topic: Life-insurance for young couple. Advice?
Replies: 23
Views: 1682

Re: Life-insurance for young couple. Advice?

Term life with 10X salary is a good starting point. It is, however one should remember to account for the corrosive effects of inflation. Here is an example, you get married, you buy a house with a $250K mortgage, you and wife decide to buy a term life insurance policy for each of you - $350K, $250...
by aristotelian
Wed Oct 18, 2017 7:52 am
Forum: Investing - Theory, News & General
Topic: Life-insurance for young couple. Advice?
Replies: 23
Views: 1682

Re: Life-insurance for young couple. Advice?

Term life with 10X salary is a good starting point.
by aristotelian
Wed Oct 18, 2017 7:41 am
Forum: Investing - Theory, News & General
Topic: Intriguing: S&P 1000 ETF (70% S&P 400/30% S&P 600)
Replies: 10
Views: 1540

Re: Intriguing: S&P 1000 ETF (70% S&P 400/30% S&P 600)

Rashen wrote:
Wed Oct 18, 2017 6:47 am
But can you trade this ETF without paying the commission?
It's on TD's and Schwab's lists.
by aristotelian
Tue Oct 17, 2017 9:31 pm
Forum: Personal Consumer Issues
Topic: Converting to Safety Razors
Replies: 76
Views: 8047

Re: Converting to Safety Razors

+1, safety razors are a huge money saver and much better shave than proprietary cartridges. Simple and classic. Very much a Boglehead approach to shaving, IMO. You do need a light touch, though. The better shave I can believe, but since somebody upthread said they buy a $25 pack of safety blades ab...
by aristotelian
Tue Oct 17, 2017 4:53 pm
Forum: Investing - Help with Personal Investments
Topic: Why would anyone buy long term bonds Now?
Replies: 33
Views: 2758

Re: Why would anyone buy long term bonds?

dbr wrote:
Tue Oct 17, 2017 4:30 pm
Almost all the threads on bonds in this Forum are hung up on bonds in isolation. As a result most of the discussion is beside the point. There are some reasonable exceptions, of course.
Any idea if efficient horizon changes if holding LT Treasuries instead of TBM?
by aristotelian
Tue Oct 17, 2017 4:23 pm
Forum: Personal Consumer Issues
Topic: Converting to Safety Razors
Replies: 76
Views: 8047

Re: Converting to Safety Razors

+1, safety razors are a huge money saver and much better shave than proprietary cartridges. Simple and classic. Very much a Boglehead approach to shaving, IMO. You do need a light touch, though.
by aristotelian
Tue Oct 17, 2017 12:18 pm
Forum: Investing - Help with Personal Investments
Topic: Why would anyone buy long term bonds Now?
Replies: 33
Views: 2758

Re: Why would anyone buy long term bonds?

Interesting...I was just arguing against LT Treasuries on another thread but decided to do a backtest. The good thing about them is that they are the least correlative asset to stocks. Some consider high return/low correlation to be the "holy grail" of investing. Backtesting stocks, total bond, and ...
by aristotelian
Tue Oct 17, 2017 11:40 am
Forum: Investing - Theory, News & General
Topic: Does bond length matter for investing in bond funds?
Replies: 20
Views: 1512

Re: Does bond length matter for investing in bond funds?

Look at the chart for long term bond funds. They are very risky, just as risky as stocks. Personally, I prefer to keep things simple and put what I am comfortable putting at risk in stocks, and then putting what I want to have stable in intermediate term bonds. That is an exaggeration. Long bonds a...
by aristotelian
Tue Oct 17, 2017 10:46 am
Forum: Personal Finance (Not Investing)
Topic: Best way to make some dollars on a 10 day vacation?
Replies: 50
Views: 3908

Re: Best way to make some dollars on a 10 day vacation?

I would get into walking or boarding dogs. People on Rover charge $10 or so for walking and $25-$30 daily for boarding. Might not get you to $100 daily but good physical activity and fun work.
by aristotelian
Tue Oct 17, 2017 10:33 am
Forum: Investing - Theory, News & General
Topic: Vanguard expects "decent sized correction" soon, sometime, maybe later
Replies: 67
Views: 6248

Re: Vanguard expects "decent sized correction" soon

KyleAAA wrote:
Tue Oct 17, 2017 9:42 am
A "decent sized correction" at "some point." Really stepping out on a limb there, Vanguard.
And "could be". Pretty much guaranteed to turn out right, no matter what happens.
by aristotelian
Tue Oct 17, 2017 9:39 am
Forum: Investing - Theory, News & General
Topic: Does bond length matter for investing in bond funds?
Replies: 20
Views: 1512

Re: Does bond length matter for investing in bond funds?

Look at the chart for long term bond funds. They are very risky, just as risky as stocks. Personally, I prefer to keep things simple and put what I am comfortable putting at risk in stocks, and then putting what I want to have stable in intermediate term bonds.
by aristotelian
Tue Oct 17, 2017 9:36 am
Forum: Investing - Theory, News & General
Topic: Regular Taxable Accounts vs Tax-Advantaged
Replies: 10
Views: 821

Re: Regular Taxable Accounts vs Tax-Advantaged

I don't know why you would want to turn down advantages offered by the tax code. Roth is a no-brainer. If you can get tax free growth, then you take it. Then the question is under what circumstances is Traditional better. It is up for debate, but if you want to keep things simple just go for Roth an...
by aristotelian
Mon Oct 16, 2017 8:23 pm
Forum: Investing - Help with Personal Investments
Topic: Purchasing Savings Bonds with Pre-Paid Debit Card?
Replies: 3
Views: 254

Re: Purchasing Savings Bonds with Pre-Paid Debit Card?

I Bonds are not liquid for a year, and EE Bonds earn negligible rates for the first 20 years, so savings bonds may not be what you are looking for. You are probably best off in an online savings account or short term bond fund such as VCSH.
by aristotelian
Mon Oct 16, 2017 5:53 pm
Forum: Investing - Help with Personal Investments
Topic: Thinking we are close to winning the game
Replies: 35
Views: 5601

Re: Thinking we are close to winning the game

Thanks KlangFool. Fed marginal rate is 28%. As you and several others have pointed out, I really need to get a handle on my annual expenses. I'll work on yet another tracking spreadsheet in an effort to truly measure. Hopefully, I'm not too shocked. AllMostThere, You do not need a spreadsheet. Tell...
by aristotelian
Mon Oct 16, 2017 5:47 pm
Forum: Investing - Help with Personal Investments
Topic: Thinking we are close to winning the game
Replies: 35
Views: 5601

Re: Thinking we are close to winning the game

Expenses are the key. It is possible they are a lot less than you think they are. The question is how rigid is your $80k budget. If you can be just fine on $50k in the event of a downturn, then you have won the game. If it is more important to you to maintain your lifestyle than to stop working, the...
by aristotelian
Mon Oct 16, 2017 2:58 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security payouts vs. "estimated benefits" online
Replies: 36
Views: 1815

Re: Social Security payouts vs. "estimated benefits" online

If you really want to muck around with SS payout, this is a great tool. You copy your earnings data from SSA.gov into the box, then you can add additional years and such and get a pretty accurate number.

https://socialsecurity.tools/app.html
by aristotelian
Mon Oct 16, 2017 2:25 pm
Forum: Investing - Help with Personal Investments
Topic: Making a Roth IRA for my Dad
Replies: 28
Views: 1011

Re: Making a Roth IRA for my Dad

What does your dad do? Any chance he is self employed? Then he could potentially put over $50k in a solo 401k. I am not sure a Roth IRA would be worth it, with only 1 year of contributions and a shorter time frame for the money to grow. Since it sounds like he will be low tax bracket in retirement, ...
by aristotelian
Mon Oct 16, 2017 2:20 pm
Forum: Investing - Help with Personal Investments
Topic: a question about selecting investments for 401k
Replies: 8
Views: 472

Re: a question about selecting investments for 401k

Whether you have 1 share worth $1000 or 100 shares worth $10, the risk and expected return is the same. I would go with the Target Date fund while you are getting started. If you can afford to invest more money above the match, I would recommend doing so. The match is the most important, but tax fre...
by aristotelian
Mon Oct 16, 2017 12:51 pm
Forum: Investing - Help with Personal Investments
Topic: VITAX ( vanguard tech fund )
Replies: 9
Views: 476

Re: VITAX ( vanguard tech fund )

Take a look at the NASDAQ chart 2000-2003 and as yourself if you can stomach that much risk. It's still down about 25%.
by aristotelian
Mon Oct 16, 2017 10:49 am
Forum: Personal Consumer Issues
Topic: contributing to friend's non-profit?
Replies: 36
Views: 1782

Re: contributing to friend's non-profit?

I would definitely not attend the fundraiser. If you want to support the charity, it would be better to donate directly and save them the cost of an extra plate. Up to you if you want to do that ... but if you give to Bob, then soon enough Joe will be knocking at your door. If you do give, consider ...
by aristotelian
Mon Oct 16, 2017 10:13 am
Forum: Personal Finance (Not Investing)
Topic: UTMA accounts
Replies: 17
Views: 527

Re: UTMA accounts

Agreed, it's too late. And agreed on the non-necessities. We were you planning to buy them cars, or school trips, or something along those lines? You could spend down at least some of it. I am the legal custodian but it is their money. I have to report everything to the court. So far only thing I a...
by aristotelian
Mon Oct 16, 2017 9:42 am
Forum: Investing - Theory, News & General
Topic: New Schwab Index Fund - SCHK, better than SCHB?
Replies: 4
Views: 439

Re: New Schwab Index Fund - SCHK, better than SCHB?

abugarcias wrote:
Mon Oct 16, 2017 9:30 am
Interesting I wasn't aware SCHB had that many stocks in it. Guess I will stick with that along with my SCHF and SCHZ.

:sharebeer
I am a big fan of SCHC as well. :D
by aristotelian
Mon Oct 16, 2017 9:26 am
Forum: Personal Finance (Not Investing)
Topic: UTMA accounts
Replies: 17
Views: 527

Re: UTMA accounts

I am custodian of inheritances that my kids received from a wealthy uncle who died early. They are not in UTMA accounts, but similarly they will inherit full control when they turn 18. This will likely by about $2M each by that time. We are absolutely terrified. Just hope they turn out to be good ki...
by aristotelian
Mon Oct 16, 2017 9:20 am
Forum: Investing - Theory, News & General
Topic: New Schwab Index Fund - SCHK, better than SCHB?
Replies: 4
Views: 439

Re: New Schwab Index Fund - SCHK, better than SCHB?

SCHB has almost 2000 stocks in it, so I don't really see the advantage of SCHK unless you wanted something to pair with a small cap tilt or something to that effect. I don't really see a reason for this fund to exist, but then again it is diversified and has a low cost so I don't see much downside e...
by aristotelian
Mon Oct 16, 2017 9:15 am
Forum: Personal Finance (Not Investing)
Topic: Pay Off or Refinance?
Replies: 17
Views: 1399

Re: Pay Off or Refinance?

Keep in mind that selling taxable investments to pay off the mortgage might put you at further risk of exceeding the Roth limit. I did exactly what you are proposing this year. I don't regret it, but only realized after the fact that I was coming up to the Roth limit. You can just carry the contrib...
by aristotelian
Mon Oct 16, 2017 8:35 am
Forum: Personal Finance (Not Investing)
Topic: Pay Off or Refinance?
Replies: 17
Views: 1399

Re: Pay Off or Refinance?

Thanks for the replies. I max my 401k so the $2k per month would be taxable investments or a mega backdoor roth. If I paid it off, I’d still have around 6 months ($40k) of emergency funds and I’d pay around $5k in LTCG tax selling investments. I’m at the bottom of the 28% tax bracket but with OT, t...
by aristotelian
Mon Oct 16, 2017 8:02 am
Forum: Investing - Help with Personal Investments
Topic: EE/Ibonds & Tax Advantaged Space
Replies: 25
Views: 1495

Re: EE/Ibonds & Tax Advantaged Space

What information in specific? I'm 33, live in NY, in the 28% tax bracket. Currently have low 6 figures invested in the market and am aiming for around 15% of that in bonds. If you have the same marginal tax rate today until you cash them out, the tax advantage of I and EE Bonds is equivalent to int...
by aristotelian
Sun Oct 15, 2017 10:45 pm
Forum: Investing - Help with Personal Investments
Topic: F.I.R.E. Portfolio help please
Replies: 7
Views: 1688

Re: F.I.R.E. Portfolio help please

I am not quite following the logic of your system. You refer to this portfolio and that portfolio. You have one big portfolio. What are your expenses? Does your spending include healthcare? How much equity do you have in your properties? What is your total net worth? Does it add up to 25-30X expense...
by aristotelian
Sun Oct 15, 2017 6:29 pm
Forum: Investing - Help with Personal Investments
Topic: EE/Ibonds & Tax Advantaged Space
Replies: 25
Views: 1495

Re: EE/Ibonds & Tax Advantaged Space

Absolutely. Muni bond funds are also a good choice, especially for higher tax brackets.
by aristotelian
Sun Oct 15, 2017 1:10 pm
Forum: Investing - Help with Personal Investments
Topic: Ready to take the Taxable Account plunge!
Replies: 10
Views: 1402

Re: Ready to take the Taxable Account plunge!

Agree with others. Consider simplifying the portfolio. You don't need more than one or two funds in each account. Simple portfolio will allow you to more easily calculate and monitor your asset allocation. You should not need to carry any fund with an expense ratio of > 0.3%. I would not talk to tha...
by aristotelian
Sun Oct 15, 2017 7:40 am
Forum: Personal Finance (Not Investing)
Topic: You career roots and your path to financial independence. "Actionable: steps and tips for others?
Replies: 56
Views: 5339

Re: Blue collar (or other) roots and your path to financial independence. Steps and tips for others?

Worked minimum wage as a teenager stocking shelves at a deli and making cookies at Mrs fields, camp counselor etc. Taught me the value of a dollar for sure. My dad was incapacitated due to a medical mishap when I was 9. We received some insurance and a legal settlement. Taught me the both the fragil...
by aristotelian
Sat Oct 14, 2017 1:30 pm
Forum: Personal Finance (Not Investing)
Topic: Post-Deductible FSA? Greatest thing since sliced bread?
Replies: 10
Views: 1834

Re: Post-Deductible FSA? Greatest thing since sliced bread?

I am not sure how long these have been around but my employer just added hdhp/HSA last year and limited purpose FSA this year.
by aristotelian
Sat Oct 14, 2017 12:47 pm
Forum: Personal Finance (Not Investing)
Topic: what to do with 403b plan after retirement
Replies: 5
Views: 441

Re: what to do with 403b plan after retirement

I would roll it to an IRA. Consider doing a Roth conversion ladder for money you want to have available in 5 years.
by aristotelian
Sat Oct 14, 2017 11:20 am
Forum: Investing - Help with Personal Investments
Topic: HSA investment [use guaranteed 4% or use equities]
Replies: 22
Views: 1369

Re: HSA investment [use guaranteed 4% or use equities]

In my 20s, I didn't have any fixed income. If you really want the fixed income, the 4% guarantee is fine. I see people comparing just the yield on the TBM to this 4%. The TBM returned 4.1% over the last 10 years and 6% since it was started (1986). Of course, yields are low now but who knows in the ...
by aristotelian
Sat Oct 14, 2017 10:00 am
Forum: Investing - Help with Personal Investments
Topic: Bonds v. bond funds
Replies: 36
Views: 1848

Re: Bonds v. bond funds

If you buy an individual bond, the principal is not going to fluctuate. However, if you are just buying individual bonds and holding to maturity, you could get stuck with a lower interest rate for a long time in an environment of rising rates. You get your principal back, but the risk is being locke...
by aristotelian
Sat Oct 14, 2017 9:37 am
Forum: Investing - Help with Personal Investments
Topic: HSA investment [use guaranteed 4% or use equities]
Replies: 22
Views: 1369

Re: HSA investment [use guaranteed 4% or use equities]

I would take the 4%. In fact, I am currently taking 3% from my bank since that is beating the yield of Total Bond Market.
by aristotelian
Fri Oct 13, 2017 6:53 am
Forum: Investing - Help with Personal Investments
Topic: Inflation-Linked Bond in 401k or i series bond with treasury
Replies: 4
Views: 534

Re: Inflation-Linked Bond in 401k or i series bond with treasury

I like I bonds so as to preserve space for stocks and total bond in the retirement accounts.
by aristotelian
Thu Oct 12, 2017 8:46 pm
Forum: Investing - Help with Personal Investments
Topic: How young is too young to retire.
Replies: 49
Views: 5761

Re: How young is too young to retire.

Really good tool for calculating your up-to-the-minute SS (you need to download your data from ssa.gov and then paste it into the tool): https://socialsecurity.tools/app.html Just keep saving while keeping an eye on your spending. When you hit 25X expenses, you can start thinking about early retirem...
by aristotelian
Thu Oct 12, 2017 6:50 pm
Forum: Investing - Help with Personal Investments
Topic: Lower Bracket Using Traditional, Then Contribute to Roth?
Replies: 9
Views: 805

Re: Lower Bracket Using Traditional, Then Contribute to Roth?

I like it. Only other question I would have is whether you have any capital gains you could harvest in taxable accounts to take advantage of the extra 15% space from a full traditional contribution. Also, if there is any chance you might receive income from an unexpected source - stock dividends, si...
by aristotelian
Thu Oct 12, 2017 5:11 pm
Forum: Investing - Help with Personal Investments
Topic: Investment Review/Advice
Replies: 10
Views: 830

Re: Investment Review/Advice

For my Roth IRA, I've been consolidating shares to VTSAX. The only exception is about $900 in BIV which has lost value since I bought it last year. Once that breaks even I intend to switch it to VTSAX. It is a shame that you are waiting for BIV to break even before switching to VTSAX in the Roth. T...
by aristotelian
Thu Oct 12, 2017 2:43 pm
Forum: Personal Consumer Issues
Topic: Washington DC Trip
Replies: 25
Views: 1584

Re: Washington DC Trip

Are you visiting people in Springfield? That's pretty far out. You are going to be spending a lot of time on the Metro or driving around the Beltway. I would suggest closer in if your main objective is tourist sites.
by aristotelian
Thu Oct 12, 2017 12:59 pm
Forum: Investing - Help with Personal Investments
Topic: Need help investing $1M in today's market
Replies: 24
Views: 3724

Re: Need help investing $1M in today's market

If you are worried about market risk, consider a more conservative allocation. You could DCA over a year or two and end up in exactly the same position that you are worried about now. Having more funds available may change your mentality from accumulation to capital preservation now that you have mo...
by aristotelian
Thu Oct 12, 2017 8:54 am
Forum: Personal Finance (Not Investing)
Topic: Two Solo 401Ks for self under one EIN? (both sole proprietorships)
Replies: 12
Views: 551

Re: Two Solo 401Ks for self under one EIN? (both sole proprietorships)

I have the same issue - wife receives 1099 income for counseling private practice and for teaching yoga side gig. We do separate Schedule C's. I found previous Boglehead threads and determined to do one Solo 401k, although there may be exceptions. https://www.bogleheads.org/forum/viewtopic.php?t=201...
by aristotelian
Thu Oct 12, 2017 8:23 am
Forum: Personal Finance (Not Investing)
Topic: Books on setting up a 401k-solo and managing it
Replies: 14
Views: 725

Re: Books on setting up a 401k-solo and managing it

Have you looked on the Vanguard or other brokers' small business website? I would guess they would have a white paper laying out the options and basics. I have not heard of doing the "voluntary after tax" contribution with solo 401k. With a regular 401k, you are only allowed to do that up to $54k if...
by aristotelian
Thu Oct 12, 2017 8:10 am
Forum: Investing - Help with Personal Investments
Topic: $5.5K to invest - best strategy
Replies: 22
Views: 1571

Re: $5.5K to invest - best strategy

minimalistmarc wrote:
Thu Oct 12, 2017 1:27 am
Best to buy bitcoin. It is 95% likely that all bitcoin holders will be rich in a few years.
Tulips, definitely tulips. What can possible go wrong?
by aristotelian
Wed Oct 11, 2017 8:43 pm
Forum: Personal Finance (Not Investing)
Topic: Solo 401k and regular 401k
Replies: 8
Views: 351

Re: Solo 401k and regular 401k

Employee contributions have to go in during the calendar year. Employer contribution can go in the following April. That depends on how you are paid - if you are a sole proprietor you can make the contribution up until your tax filing due date (including extensions). You need to elect to contribute...
by aristotelian
Wed Oct 11, 2017 7:01 pm
Forum: Personal Finance (Not Investing)
Topic: Solo 401k and regular 401k
Replies: 8
Views: 351

Re: Solo 401k and regular 401k

Employee contributions have to go in during the calendar year. Employer contribution can go in the following April.

Vanguard has a separate small business site for solo 401ks and related plans.
by aristotelian
Wed Oct 11, 2017 6:03 pm
Forum: Investing - Help with Personal Investments
Topic: Balancing vs. Momentum Investing:
Replies: 4
Views: 355

Re: Balancing vs. Momentum Investing:

No. If anything, I shift a couple points toward bonds when valuation is high.
by aristotelian
Wed Oct 11, 2017 3:17 pm
Forum: Investing - Help with Personal Investments
Topic: Annuity replacing SS shortfall?
Replies: 14
Views: 920

Re: Annuity replacing SS shortfall?

Sounds like mental accounting. Either you need the annuity or you don't. Whether it is replacing SS or not is irrelevant. I'm not sure about that. I'll be getting ~$3500/month from SS at age 70 in a few years. If the payout was to decline 30% as some folks fear, then I'd be getting $1050 less per m...