Search found 54 matches

by bob_m10
Thu Jun 15, 2017 5:53 am
Forum: Investing - Help with Personal Investments
Topic: Starting a Three-Fund Portfolio - which funds?
Replies: 24
Views: 3167

Re: Starting a Three-Fund Portfolio - which funds?

Target Retirement until you have the minimums saved up to split into the TFP. +1. Really, this is the only thing you can do with $2,000 since all other Vanguard funds have at least a $3,000 minimum. [well, the STAR fund has a $1,000 minimum as well but it's actively managed and has a higher You can...
by bob_m10
Thu Apr 13, 2017 10:44 pm
Forum: Investing - Help with Personal Investments
Topic: New index fund investor
Replies: 24
Views: 2030

Re: New index fund investor

Just starting out here as well. I choose Mike Piper's two books, "Investing" and "Can I retire" before I read "Bogleheads guide to investing." Mr. Piper's books were great. They are short but to the point and filled with clear and easy to understand examples. By reading...
by bob_m10
Mon Apr 10, 2017 8:30 pm
Forum: Investing - Help with Personal Investments
Topic: 401K allocation
Replies: 21
Views: 1249

Re: 401K allocation

thanks all for the input.
by bob_m10
Sun Apr 09, 2017 1:13 pm
Forum: Investing - Help with Personal Investments
Topic: Front-end loads
Replies: 21
Views: 1924

Re: Front-end loads

Is that why we can have American funds in our 401K work plan without load fees? Since these fees would go to our broker and not American? The fees charged on mutual funds from load fund families bought in a 401(k) depends on the agreement between the 401(k) administrator and the employer sponsoring...
by bob_m10
Sun Apr 09, 2017 9:44 am
Forum: Investing - Help with Personal Investments
Topic: 401K allocation
Replies: 21
Views: 1249

Re: 401K allocation

Awesome detail. I think I may go with the following, Just not ready to give up my Active TD fund entirely. 50% American 2025 TD fund. 25% Vanguard 500 Index Adml VFIAX .05% 25% Vanguard Target Retirement Income Inv VTINX .14% thanks bob That looks very reasonable. If the American Funds fund family ...
by bob_m10
Sat Apr 08, 2017 5:53 pm
Forum: Investing - Help with Personal Investments
Topic: Front-end loads
Replies: 21
Views: 1924

Re: Front-end loads

Thank you, FactualFran. So if my math is correct, and if you invested $500,000.00 in a 5.75% front end load fund (whether lump sum or over time), you would pay the fund management at least 28k for the privilege, and that's not even taking into account the ER and other little fees that may exist. Yi...
by bob_m10
Thu Apr 06, 2017 9:03 pm
Forum: Personal Finance (Not Investing)
Topic: How do Taxes work with Mutual funds.
Replies: 38
Views: 2591

Re: How do Taxes work with Mutual funds.

Ok that is a little better than I thought, so going back to my example, if all my income came from a bound fund's dividends, then my first $9,275 would be taxed at 10% and so on up the brackets? do I have that correct? Thanks No, you forgot about exemptions and deductions, so your first income woul...
by bob_m10
Thu Apr 06, 2017 9:54 am
Forum: Personal Finance (Not Investing)
Topic: How do Taxes work with Mutual funds.
Replies: 38
Views: 2591

Re: How do Taxes work with Mutual funds.

Ok that is a little better than I thought, so going back to my example, if all my income came from a bound fund's dividends, then my first $9,275 would be taxed at 10% and so on up the brackets? do I have that correct? Thanks No, you forgot about exemptions and deductions, so your first income woul...
by bob_m10
Thu Apr 06, 2017 8:25 am
Forum: Personal Finance (Not Investing)
Topic: How do Taxes work with Mutual funds.
Replies: 38
Views: 2591

Re: How do Taxes work with Mutual funds.

When we use the term "ordinary income" from an investment, it means it goes on line 9a or line 8a of Form 1040 and flows to the bottom where AGI is and over to page 2 where taxable income is. It does not go on Line 8b nor line 9b nor line 13 which is investment income that is taxed differ...
by bob_m10
Thu Apr 06, 2017 7:49 am
Forum: Personal Finance (Not Investing)
Topic: How do Taxes work with Mutual funds.
Replies: 38
Views: 2591

Re: How do Taxes work with Mutual funds.

Dividends from bond interest is not qualified. So that means they will be taxed at the marginal rate and thus less tax efficient to a stock fund which has the potential of qualified funds? Do I have that correct? thanks Yes. Bond interest is taxed as ordinary income unless it is from municipal bond...
by bob_m10
Mon Apr 03, 2017 6:23 pm
Forum: Personal Finance (Not Investing)
Topic: Yahoo finance's interactive chart not matching VG comparison tool
Replies: 8
Views: 288

Re: Yahoo finance's interactive chart not matching VG comparison tool

I see what you mean, the "1-Day Return as of 31 Mar 2017". I thought that meant it was comparing today's closing price with the one from last Friday. I see that it just has not been updated yet. I found some further information on the Yahoo interactive chart vs the others. It seems you wer...
by bob_m10
Mon Apr 03, 2017 6:07 pm
Forum: Personal Finance (Not Investing)
Topic: Yahoo finance's interactive chart not matching VG comparison tool
Replies: 8
Views: 288

Re: Yahoo finance's interactive chart not matching VG comparison tool

This is what I see, "USD | NAV as of 03 Apr 2017 | 1-Day Return as of 31 Mar 2017", 62.72, -.03% for Wellesley on Morning star. If I look on VG site, I see a matching closing price of 62.72 but and increase of +.13% for the day.
by bob_m10
Mon Apr 03, 2017 5:54 pm
Forum: Personal Finance (Not Investing)
Topic: Yahoo finance's interactive chart not matching VG comparison tool
Replies: 8
Views: 288

Re: Yahoo finance's interactive chart not matching VG comparison tool

Vanguard 500 also differs with percent change. I will look for details on their site concerning % change. Thanks
by bob_m10
Mon Apr 03, 2017 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: Yahoo finance's interactive chart not matching VG comparison tool
Replies: 8
Views: 288

Re: Yahoo finance's interactive chart not matching VG comparison tool

at Yahoo, were dividends reinvested and included in the chart? Try morningstar.com charts instead. not sure, I don't see an option to turn it on an off, although they do show when dividends were paid on the chart. I took a look at Morningstar, that is matching VG and portfolio analyzer. Maybe I sho...
by bob_m10
Mon Apr 03, 2017 5:14 pm
Forum: Personal Finance (Not Investing)
Topic: Yahoo finance's interactive chart not matching VG comparison tool
Replies: 8
Views: 288

Yahoo finance's interactive chart not matching VG comparison tool

Hi, I am trying to compare Vanguard Wellesley to the life strategy moderate over the last 10 years. When using Yahoo finance's interactive chart the results are different when compared to VG's comparison tool. Curious if anyone can see what I am doing wrong, the link to the yahoo chart is below I ca...
by bob_m10
Sat Apr 01, 2017 9:46 am
Forum: Personal Finance (Not Investing)
Topic: Vanguard account (setup questions)
Replies: 3
Views: 394

Re: Vanguard account (setup questions)

Thanks guys!
by bob_m10
Sat Apr 01, 2017 3:58 am
Forum: Personal Finance (Not Investing)
Topic: Vanguard account (setup questions)
Replies: 3
Views: 394

Vanguard account (setup questions)

Hi, I just opened up a VG IRA account and confused about the settlement account. Is that part of the IRA. For example if I move money into the settlement account and then withdraw the funds, will I be penalized as if I took from the IRA? It I wanted to add a second account, joint, can I attach it to...
by bob_m10
Wed Mar 29, 2017 8:47 pm
Forum: Investing - Theory, News & General
Topic: Stay the course, always?
Replies: 55
Views: 4627

Re: Stay the course, always?

You could go Vangaurd Life Strategy Moderate Growth,,or Vanguard Balanced Index Fund,,, For Life . Never give it another moments thought. :happy Yes I can see that. Is the Balanced fund Total Stock (60) Total Bound (40)? Thanks FYI :wink: "The fund invests roughly 60% in stocks and 40% in bond...
by bob_m10
Wed Mar 29, 2017 5:38 pm
Forum: Investing - Theory, News & General
Topic: Stay the course, always?
Replies: 55
Views: 4627

Re: Stay the course, always?

Toons wrote:You could go Vangaurd Life Strategy Moderate Growth,,or
Vanguard Balanced Index Fund,,,
For Life .
Never give it another moments thought. :happy


Yes I can see that. Is the Balanced fund Total Stock (60) Total Bound (40)? Thanks
by bob_m10
Wed Mar 29, 2017 6:42 am
Forum: Investing - Theory, News & General
Topic: Stay the course, always?
Replies: 55
Views: 4627

Stay the course, always?

My understating is that the general recommendation here is to select a comfortable AA and stay the course. But, is there a time when you do need to adjust your AA based on what the market is doing? I am confused because I read conflicting opinions even from the Bogleheads and even heard Jack Boggle ...
by bob_m10
Wed Mar 29, 2017 6:09 am
Forum: Investing - Theory, News & General
Topic: Target Date 2060 funds: do their managers continuously monitor holdings and adjust frequently?
Replies: 15
Views: 1389

Re: Target Date 2060 funds: do their managers continuously monitor holdings and adjust frequently?

Will the mangers adjust the TG AA depending on Market conditions? Currently they seem very aggressive to me if you compare to the "hold your age in bonds" rule. I know you should select a TG fund based on AA and not worry about the date but just curious how much that AA will change if we r...
by bob_m10
Mon Mar 27, 2017 9:52 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Target Date Funds
Replies: 27
Views: 5386

Re: Vanguard Target Date Funds

I know that VG target date funds have an established glide path, but does that ever change? What would happen if we were in a prolonged bear market, would the fund mangers move to bonds or stay on the glide path? thanks,
by bob_m10
Sun Mar 26, 2017 10:27 am
Forum: Personal Finance (Not Investing)
Topic: Linking bank account to VG brokerage (Safe way)
Replies: 2
Views: 334

Linking bank account to VG brokerage (Safe way)

Hi, I am in the process of setting up a brokerage account with VG. What is the safest way to transfer funds to VG from my checking account? I would like to contribute to this account on a monthly basis. I don't like the idea of linking my checking to VG since I have never allowed a pull from my chec...
by bob_m10
Sat Mar 25, 2017 4:27 pm
Forum: Personal Finance (Not Investing)
Topic: How do Taxes work with Mutual funds.
Replies: 38
Views: 2591

Re: How do Taxes work with Mutual funds.

sport wrote:Dividends from bond interest is not qualified.

So that means they will be taxed at the marginal rate and thus less tax efficient to a stock fund which has the potential of qualified funds? Do I have that correct? thanks
by bob_m10
Sat Mar 25, 2017 4:14 pm
Forum: Personal Finance (Not Investing)
Topic: How do Taxes work with Mutual funds.
Replies: 38
Views: 2591

Re: How do Taxes work with Mutual funds.

I think that capital gains can also be reported on 1099-DIV - and someone please correct me if I'm wrong :shock: In my Vanguard taxable account, my form 1099-DIV (Dividends and Distributions) includes ordinary dividends (box 1a), qualified dividends (box 1b), and capital gain distributions (box 2a)...
by bob_m10
Sat Mar 25, 2017 4:08 pm
Forum: Investing - Help with Personal Investments
Topic: Where to park excess cash
Replies: 12
Views: 2479

Re: Where to park excess cash

Open a Vanguard Brokerage account, put some in Prime Money Market, set up a Settlement fund (Federal MM) and consider Brokered CDs. Link to bank or credit union account(s). Then, when you are ready for some Mutual Funds - you are all set. this always confused me, why does VG use the Federal MM as t...
by bob_m10
Sat Mar 25, 2017 4:02 pm
Forum: Personal Finance (Not Investing)
Topic: How do Taxes work with Mutual funds.
Replies: 38
Views: 2591

Re: How do Taxes work with Mutual funds.

I think that capital gains can also be reported on 1099-DIV - and someone please correct me if I'm wrong :shock: In my Vanguard taxable account, my form 1099-DIV (Dividends and Distributions) includes ordinary dividends (box 1a), qualified dividends (box 1b), and capital gain distributions (box 2a)...
by bob_m10
Sat Mar 25, 2017 3:50 pm
Forum: Personal Finance (Not Investing)
Topic: So someone drained $13k from my checking account...
Replies: 140
Views: 19135

Re: So someone drained $13k from my checking account...

Great topic, I have made it a rule not to allow pulls from my online checking account. Given that, how do you folks transfer money to VG. The website is suggesting a pull from my checking account. Is that what you all do? I was hoping I could set up and automatic Bill pay (send them a check for $X e...
by bob_m10
Sat Mar 25, 2017 3:30 pm
Forum: Personal Finance (Not Investing)
Topic: How do Taxes work with Mutual funds.
Replies: 38
Views: 2591

Re: How do Taxes work with Mutual funds.

I think that capital gains can also be reported on 1099-DIV - and someone please correct me if I'm wrong :shock: In my Vanguard taxable account, my form 1099-DIV (Dividends and Distributions) includes ordinary dividends (box 1a), qualified dividends (box 1b), and capital gain distributions (box 2a)...
by bob_m10
Tue Mar 21, 2017 8:46 am
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 1806
Views: 1017511

Re: The Three-Fund Portfolio

thanks, should I give any thought to using the Vanguard Extended Market Index Fund in combination with the 500 index? Yes, you should think about it! But don't stress over it by any means. If you combine the 500 and the extended funds in a 80/20 ratio, you'll pretty much match the total US fund. Ho...
by bob_m10
Mon Mar 20, 2017 10:57 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 1806
Views: 1017511

Re: The Three-Fund Portfolio

Hi, my wife is 50 and would like to use the three fund portfolio with her work 401K. She has the following available. Can she substitute the 500 index fund for the Total Stock? thanks Vanguard 500 Index Fund Total International Stock Index Fund Vanguard Total Bond Market Index Fund Other VG funds a...
by bob_m10
Mon Mar 20, 2017 10:07 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 1806
Views: 1017511

Re: The Three-Fund Portfolio

Hi, my wife is 50 and would like to use the three fund portfolio with her work 401K. She has the following available. Can she substitute the 500 index fund for the Total Stock? thanks Vanguard 500 Index Fund Total International Stock Index Fund Vanguard Total Bond Market Index Fund Other VG funds av...
by bob_m10
Sat Mar 18, 2017 8:53 pm
Forum: Investing - Theory, News & General
Topic: Tax on IRA withdrawls
Replies: 3
Views: 598

Re: Tax on IRA withdrawls

Hi, If I setup and IRA and I am unable to deduct the contributions, what will taxed when withdrawals are taking in retirement? Would it be just the earnings or the entire amount that is withdrawn? If it is the entire amount, would this be a double tax on the contributions. Thanks For a traditional ...
by bob_m10
Sat Mar 18, 2017 8:41 pm
Forum: Investing - Theory, News & General
Topic: Tax on IRA withdrawls
Replies: 3
Views: 598

Tax on IRA withdrawls

Hi,

If I setup and IRA and I am unable to deduct the contributions, what will taxed when withdrawals are taking in retirement? Would it be just the earnings or the entire amount that is withdrawn? If it is the entire amount, would this be a double tax on the contributions. Thanks
by bob_m10
Sat Mar 18, 2017 8:30 pm
Forum: Investing - Theory, News & General
Topic: Schwab: Is There Ever a Bad Time to Invest?
Replies: 22
Views: 3483

Re: Schwab: Is There Ever a Bad Time to Invest?

Or if you invested at the top of the US market at the end of the 20th century, you probably wouldn't be to happy about investing in early 2009. I was just seeing this today. I was on VG's site and comparing the Wellesley fund to other funds like the index 500. If the time period is set for 10 years...
by bob_m10
Sun Mar 12, 2017 5:40 pm
Forum: Investing - Help with Personal Investments
Topic: 401K allocation
Replies: 21
Views: 1249

Re: 401K allocation

There are some (minor) problems with approximating the total stock market by using an S&P 500 index fund in combination with the Vanguard Mid Cap Index Fund and the Vanguard Small Cap Index Fund. The S&P 500 index is a part of the S&P index family, whereas the Small Cap and Mid Cap inde...
by bob_m10
Sun Mar 12, 2017 4:55 pm
Forum: Investing - Help with Personal Investments
Topic: 401K allocation
Replies: 21
Views: 1249

Re: 401K allocation

There's a mistake in option 2. The percentages should be 40, 5, 5, 50. I messed up when I was doing some editing. I'm sorry about that. I probably like option 1 better, for its simplicity. The 5% in the two funds in option 2 is not enough to move the needle very much. Ok and I like the simplicity o...
by bob_m10
Sun Mar 12, 2017 3:07 pm
Forum: Investing - Help with Personal Investments
Topic: 401K allocation
Replies: 21
Views: 1249

Re: 401K allocation

American Funds 2030 Target Date Retirement is not too bad, but most Bogleheads would not use it. They would emphasize funds with even lower costs. If you do not have access to the whole Vanguard Target Retirement Fund series, you can put most or all of your money in Vanguard Target Retirement Incom...
by bob_m10
Sun Mar 12, 2017 2:09 pm
Forum: Investing - Help with Personal Investments
Topic: 401K allocation
Replies: 21
Views: 1249

Re: 401K allocation

delamer wrote:It looks like you have about 75% of your assets in US and international stocks.

How much more conservative do you want to be? Do you want to make a big shift, like to 50/50? Or to something like 65/35?


Maybe something between 70/30 or 65/35. Just want to push it a bit more conservative.
by bob_m10
Sun Mar 12, 2017 1:30 pm
Forum: Investing - Help with Personal Investments
Topic: 401K allocation
Replies: 21
Views: 1249

Re: 401K allocation

94% American Funds 2030 Target Date Retirement R6 RFETX .41% 3% Vanguard 500 Index Adml VFIAX .05% 3% Vanguard Wellesley Income Adml VWIAX .16% According to the above, only 3% is in Wellesley, yet you qualified for Admiral shares? This fund has a $50,000 minimum investment. Simple math tells me tha...
by bob_m10
Sun Mar 12, 2017 1:24 pm
Forum: Investing - Help with Personal Investments
Topic: 401K allocation
Replies: 21
Views: 1249

Re: 401K allocation

What are the underlying investments in the 2030 Target Date fund? Index funds or managed? What are the allocations to stocks and bonds? It's actively managed and has the following: AA: Domestic Stock 46.99% Foreign Stock 23.99% Domestic Bond 18.89% Foreign Bond 3.43% Preferreds 0.28% Convertibles 0...
by bob_m10
Sun Mar 12, 2017 12:35 pm
Forum: Investing - Help with Personal Investments
Topic: 401K allocation
Replies: 21
Views: 1249

401K allocation

Hi, Married File Jointly Both 50 yrs old 98% of our retirement funds are in my 401K. I would like to make sure my fund choices are correct for my employer 401K. I have the following which has been working nicely for some time. 94% American Funds 2030 Target Date Retirement R6 RFETX .41% 3% Vanguard ...
by bob_m10
Sun Mar 12, 2017 10:52 am
Forum: Investing - Theory, News & General
Topic: How Bad was 2008, really?
Replies: 224
Views: 19574

Re: How Bad was 2008, really?

What has really happened? Is it just the share price that has dropped or do I lose shares as well? Yes, it is 'just' the share price that dropped. So yes, it is entirely recoverable if you stay the course, and fact is it did recover in the past decade. But emotionally, this is pretty hard on your n...
by bob_m10
Sun Mar 12, 2017 10:45 am
Forum: Investing - Theory, News & General
Topic: Anyone sorry they used bonds when starting out
Replies: 94
Views: 7397

Re: Anyone sorry they used bonds when starting out

My only (tiny) regrets are that I didn't switch from a target-retirement fund to a three-fund portfolio sooner, and that I was slow to learn about the role of tax-exempt bond funds in taxable for people with high marginal tax rates. Hi, Curious why you don't like the target-date funds? I like them,...
by bob_m10
Sun Mar 12, 2017 12:38 am
Forum: Investing - Theory, News & General
Topic: How Bad was 2008, really?
Replies: 224
Views: 19574

Re: How Bad was 2008, really?

Reading through this interesting thread and realize I don’t have a good understanding of how this works. Say you are 100% invested in the total Stock Market Index and to keep it simple we are not contributing anymore to this fund and this is the only fund we have. Then 2008 or any big crash comes al...
by bob_m10
Sat Mar 11, 2017 10:15 pm
Forum: Investing - Theory, News & General
Topic: Anyone sorry they used bonds when starting out
Replies: 94
Views: 7397

Re: Anyone sorry they used bonds when starting out

randomizer wrote:My only (tiny) regrets are that I didn't switch from a target-retirement fund to a three-fund portfolio sooner, and that I was slow to learn about the role of tax-exempt bond funds in taxable for people with high marginal tax rates.


Hi, Curious why you don't like the target-date funds?
by bob_m10
Wed Feb 22, 2017 3:56 pm
Forum: Investing - Help with Personal Investments
Topic: Roll-over IRA
Replies: 13
Views: 807

Re: Roll-over IRA

Great advice here, thanks. I will certainly do some more reading in the wiki. One more question, when my wife purchased her shares for the target fund it went through almost immediately. How does VG do that, say you purchase 100 shares in a fund, does that mean someone had to sell 100 shares? Does ...
by bob_m10
Wed Feb 22, 2017 7:33 am
Forum: Investing - Help with Personal Investments
Topic: Roll-over IRA
Replies: 13
Views: 807

Re: Roll-over IRA

Great advice here, thanks. I will certainly do some more reading in the wiki. One more question, when my wife purchased her shares for the target fund it went through almost immediately. How does VG do that, say you purchase 100 shares in a fund, does that mean someone had to sell 100 shares? Does V...
by bob_m10
Mon Feb 20, 2017 2:50 pm
Forum: Investing - Help with Personal Investments
Topic: Roll-over IRA
Replies: 13
Views: 807

Re: Roll-over IRA

My question above was more in general, does a fund need regular contributions in order for it to work. No, absolutely not. You can put a "chunk" of money into a fund, set it up to automatically reinvest the dividends and ignore it for a decade or two. There are interesting stories of acco...
by bob_m10
Mon Feb 20, 2017 1:33 pm
Forum: Investing - Help with Personal Investments
Topic: Roll-over IRA
Replies: 13
Views: 807

Re: Roll-over IRA

Thanks for the information guys. We both have just about maxed our 401K's at work. Next year our mortgage will be done. At that point we could set up IRA's and max them for the year with what we normally paid to our mortgage and still have excess for the real estate taxes. Very fortunate for sure. A...

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