Search found 20635 matches

by dbr
Tue Jan 17, 2017 10:05 am
Forum: Personal Consumer Issues
Topic: Medicare insurance premium AND payroll tax ?
Replies: 10
Views: 546

Re: Medicare insurance premium AND payroll tax ?

Medicare A and Medicare B are not different "versions" of Medicare. They are different parts that provide different coverage. A does not charge a premium and B does. There is also Medicare D for medication, at a cost. Medicare C exists, called Advantage Plans, and it might be said these ar...
by dbr
Tue Jan 17, 2017 9:57 am
Forum: Investing - Help with Personal Investments
Topic: My co-worker boasting about his investments. What do you think about his selections?
Replies: 55
Views: 3810

Re: My co-worker boasting about his investments. What do you think about his selections?

Raymond wrote:
I would merely reply, "Bless your heart"


In the Southern sense of the expression.
by dbr
Tue Jan 17, 2017 9:42 am
Forum: Investing - Help with Personal Investments
Topic: Should Bond Funds be Considered a Fixed Income Investment?
Replies: 27
Views: 1432

Re: Should Bond Funds be Considered a Fixed Income Investment?

Classic definition of a fixed income investment is as follows: "A fixed-income security is an investment that provides a return in the form of fixed periodic payments and the eventual return of principal at maturity" Can bond funds and ETFs be considered a fixed income investment especial...
by dbr
Tue Jan 17, 2017 9:30 am
Forum: Investing - Theory, News & General
Topic: Short Term TIPS in retirement portfolio
Replies: 14
Views: 892

Re: Short Term TIPS in retirement portfolio

I doubt that for a retiree withdrawing from a balanced portfolio of stocks and bonds that trying to find some mix for part of that portfolio between short and intermediate TIPS is going to make any difference at all. I am convinced that for holding for the long run, meaning retirement, intermediate ...
by dbr
Tue Jan 17, 2017 9:22 am
Forum: Investing - Help with Personal Investments
Topic: So, I'm going to gamble (for fun) and buy some individual stocks. Best way?
Replies: 42
Views: 1800

Re: So, I'm going to gamble (for fun) and buy some individual stocks. Best way?

My question is, how do I go about buying these stocks? I have Vanguard, do each of these have ETFs and I simple call and buy them like I would anything else? Are there any unique tickers I need to be aware of or ask for here? You can go online to Vanguard brokerage, or to any other broker you choos...
by dbr
Tue Jan 17, 2017 9:19 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard TIPS fund duration
Replies: 10
Views: 510

Re: Vanguard TIPS fund duration

And also not to be forgotten, if people are using duration to try to forecast possible changes in bond pricing, then for TIPS they will also have to forecast real interest rates rather than nominal, which is as it should be.
by dbr
Tue Jan 17, 2017 9:16 am
Forum: Investing - Help with Personal Investments
Topic: Should Bond Funds be Considered a Fixed Income Investment?
Replies: 27
Views: 1432

Re: Should Bond Funds be Considered a Fixed Income Investment?

If how you classify a bond fund relative to a couple of words is actually going to affect your investment decisions, then there is a lot of thinking that needs to be done.

Can you explain why it would matter to you if the answer to your question were yes or if it were no.
by dbr
Mon Jan 16, 2017 11:28 am
Forum: Investing - Help with Personal Investments
Topic: Which Bond Fund
Replies: 12
Views: 951

Re: Which Bond Fund

If you are going to own a bond fund, paying as much as 0.4% per year for it is not recommended.
by dbr
Mon Jan 16, 2017 9:56 am
Forum: Investing - Help with Personal Investments
Topic: Value of House in Planning for Retirement
Replies: 46
Views: 2988

Re: Value of House in Planning for Retirement

A lot of the comments on my post have to do with "fine tuning"...rate of inflation, housing appreciation vis-a-vis inflation, etc....which is certainly fine, interesting topics all. But unless something catastrophic happens, we're going to have a significant pile of cash if we sell the ho...
by dbr
Mon Jan 16, 2017 9:27 am
Forum: Investing - Help with Personal Investments
Topic: Value of House in Planning for Retirement
Replies: 46
Views: 2988

Re: Value of House in Planning for Retirement

Frisco Kid wrote:dbr.... we are carrying a mortgage into retirement and can comfortably make the payments.


Then you need more cash flow to stay in the house than you would need if it were paid off, but your plan works to do exactly that.
by dbr
Mon Jan 16, 2017 9:24 am
Forum: Personal Consumer Issues
Topic: Collision Avoidance Systems
Replies: 15
Views: 1015

Re: Collision Avoidance Systems

love them, wont buy a car without them, and gives me peace of mind and lower liability. Of course, if one thinks they are a perfect and attentive driver, then they might disagree. Yes, there will be a set of replies that such devices are costly distracting, imperfect, sabotage the otherwise perfect...
by dbr
Mon Jan 16, 2017 9:18 am
Forum: Personal Consumer Issues
Topic: Collision Avoidance Systems
Replies: 15
Views: 1015

Re: Collision Avoidance Systems

I think this has been discussed quite a bit in other threads. The answer is that they do work. But what you are talking about here is a whole range of capabilities that can be anything from warning devices or awareness devices to devices that actually apply brakes or even steer the car. The one exam...
by dbr
Mon Jan 16, 2017 9:10 am
Forum: Investing - Help with Personal Investments
Topic: Value of House in Planning for Retirement
Replies: 46
Views: 2988

Re: Value of House in Planning for Retirement

interesting topic. Many of us retirees are fortunate to have significant amounts of equity in our homes. The question to me is how to use it as an income source? Sure, you can sell and relocate but what if you want to stay in your current home and not interested in a reverse mortgage? As we all kno...
by dbr
Mon Jan 16, 2017 8:41 am
Forum: Investing - Theory, News & General
Topic: Retired, expenses covered but still growing portfolio, why?
Replies: 46
Views: 4231

Re: Retired, expenses covered but still growing portfolio, why?

Several of our members have all their retirement living expenses covered by SS and pensions and continue to grow their low to mid 7 digit portfolios in retirement. For those individuals what if the purpose of continuing to grow these portfolios instead of using the funds to upgrade materials items,...
by dbr
Sun Jan 15, 2017 4:32 pm
Forum: Investing - Theory, News & General
Topic: Do you manually do bookkeeping for all your investments by yourself?
Replies: 17
Views: 1637

Re: Do you manually do bookkeeping for all your investments by yourself?

I'm reading about tax loss harvesting, as well as the horrible book keeping us Californians have to do for HSAs. HSA's are not required to send participants any tax documents, so Californians (whose state does not recognize HSAs) have to do all the calculations themselves. And I'm thinking that mos...
by dbr
Sun Jan 15, 2017 4:21 pm
Forum: Investing - Theory, News & General
Topic: Why not put it all in TIPS?
Replies: 87
Views: 4785

Re: Why not put it all in TIPS?

Going to extremes to squeeze out the last few increments of real or imagined risk might be the riskiest behavior of all.
by dbr
Sun Jan 15, 2017 3:00 pm
Forum: Investing - Theory, News & General
Topic: Factor-Diversified Portfolio
Replies: 91
Views: 4831

Re: Factor-Diversified Portfolio

lack_ey, Thank you. What's your take on the allocations? What's the math behind the 1.0/0.2/0.4 factor exposures? The thing is, I don't understand what "factor diversification" actually means. What gets diversified away by means of factor diversification? Should everybody engage in factor...
by dbr
Sun Jan 15, 2017 2:04 pm
Forum: Investing - Help with Personal Investments
Topic: Getting out of a high expense fund (without screwing up)
Replies: 12
Views: 522

Re: Getting out of a high expense fund (without screwing up)

What records do you have of your investments made into this fund? If you have been cashing and not reinvesting dividends life will be much simpler. The bad news is that if you sell it you are going to have to come up with records of your purchases or defensible estimates. The good news is that the p...
by dbr
Sun Jan 15, 2017 1:58 pm
Forum: Investing - Help with Personal Investments
Topic: Dollar-Cost-Average over HOW MANY years?
Replies: 58
Views: 3329

Re: Dollar-Cost-Average over HOW MANY years?

One thing that suddenly occurred to me is that part of the difference in points of view about DCA goes back to mental accounting. I noticed that a lot of the reasoning about why DCA is pointless starts with the idea that the transaction is simply a change in how a set of assets is allocated. Then o...
by dbr
Sun Jan 15, 2017 1:21 pm
Forum: Investing - Help with Personal Investments
Topic: Oops...Stuck with 100% Equities in Taxables!!
Replies: 4
Views: 1123

Re: Oops...Stuck with 100% Equities in Taxables!!

1. How to use taxable accounts, comprised of 100% equities, to generate a dependable income to support living expenses, in addition to large expenses? Particularly because the retirement accounts are ‘untouchable’, and dedicated to generate RMDs. To generate a specified income from any asset you ju...
by dbr
Sun Jan 15, 2017 1:10 pm
Forum: Investing - Help with Personal Investments
Topic: Value of House in Planning for Retirement
Replies: 46
Views: 2988

Re: Value of House in Planning for Retirement

My 3% figure is a low estimate of historic norms over the long haul. Obviously there's no way to know...but I need some sort of placeholder figure and 3% is as good as any. FWIW in the nine years we've owned the house annualized annual appreciation has been over 3.5%. We bought prior to the crash, ...
by dbr
Sun Jan 15, 2017 1:08 pm
Forum: Personal Finance (Not Investing)
Topic: Vanguard on finding a dead person's password
Replies: 54
Views: 4075

Re: Vanguard on finding a dead person's password

I don't blame the banks at all. In our case we were able to quickly distribute as inherited IRAs a small IRA to all beneficiaries because the account had beneficiaries. Everything else was locked until the clerk approved the rep and outlined the limitations of what could be done with the regular ba...
by dbr
Sun Jan 15, 2017 1:05 pm
Forum: Personal Finance (Not Investing)
Topic: Vanguard on finding a dead person's password
Replies: 54
Views: 4075

Re: Vanguard on finding a dead person's password

That is one reason my wife and I do have separate brokerage accounts that are POD/TOD but not joint and not with "authorized users" trying to get access after death. We each can write checks on money market funds in those accounts that are not affected by the death of the other. Also we ea...
by dbr
Sun Jan 15, 2017 12:55 pm
Forum: Investing - Help with Personal Investments
Topic: Dollar-Cost-Average over HOW MANY years?
Replies: 58
Views: 3329

Re: Dollar-Cost-Average over HOW MANY years?

One thing that suddenly occurred to me is that part of the difference in points of view about DCA goes back to mental accounting. I noticed that a lot of the reasoning about why DCA is pointless starts with the idea that the transaction is simply a change in how a set of assets is allocated. Then on...
by dbr
Sun Jan 15, 2017 12:15 pm
Forum: Investing - Help with Personal Investments
Topic: Dollar-Cost-Average over HOW MANY years?
Replies: 58
Views: 3329

Re: Dollar-Cost-Average over HOW MANY years?

. . . the true, underlying intent: to diversify purchase prices. Thank you for your compliment. As to the issue of diversifying purchase price, the question would be why would anyone want to? That just means a possibility of avoiding purchase at too high a value (bad for the investor) and a possibi...
by dbr
Sun Jan 15, 2017 11:29 am
Forum: Personal Finance (Not Investing)
Topic: Vanguard on finding a dead person's password
Replies: 54
Views: 4075

Re: Vanguard on finding a dead person's password

I am pretty sure that people can't just start accessing dead people's accounts legally. Joint accounts are different. A POA terminates at death. I will leave to someone else a definitive answer regarding sharing passwords and someone claiming to have "permission" to access someone's accoun...
by dbr
Sun Jan 15, 2017 11:13 am
Forum: Investing - Theory, News & General
Topic: 3 Vanguard Funds That Are Taking on Water
Replies: 29
Views: 5078

Re: 3 Vanguard Funds That Are Taking on Water

columbia wrote:I agree with author, although it's because I'd never have any interest in owning any of the three funds in the first place. :wink:


Yeah, I had the same thought.
by dbr
Sun Jan 15, 2017 11:11 am
Forum: Personal Consumer Issues
Topic: What is that gas / fume smell from furnace?
Replies: 15
Views: 782

Re: What is that gas / fume smell from furnace?

Thank you!!!!!! So to confirm the gas company will check for leaks in pipes and such and not just wave a co detector around? Also, should I take the electrical tape off where I sealed the gap between the air filter and the return duct? Don't want them to think I'm responsible for the problem. They ...
by dbr
Sun Jan 15, 2017 10:58 am
Forum: Investing - Theory, News & General
Topic: 3 Vanguard Funds That Are Taking on Water
Replies: 29
Views: 5078

Re: 3 Vanguard Funds That Are Taking on Water

I is a tough business when your income depends on coming up with nonsense day after day.
by dbr
Sun Jan 15, 2017 10:45 am
Forum: Personal Consumer Issues
Topic: What is that gas / fume smell from furnace?
Replies: 15
Views: 782

Re: What is that gas / fume smell from furnace?

You should call the gas company to investigate for leaks. Leaks could be from any supply pipe in your building, any part of your burner assembly even when turned off, or a leak in a service pipe or main under ground. Do not delay and do not mess around with furnace repairmen or the landlord. The gas...
by dbr
Sun Jan 15, 2017 10:28 am
Forum: Investing - Help with Personal Investments
Topic: Dollar-Cost-Average over HOW MANY years?
Replies: 58
Views: 3329

Re: Dollar-Cost-Average over HOW MANY years?

One thing for sure, I am starting to understand now why asking about DCA is such a persistent question.
by dbr
Sun Jan 15, 2017 10:27 am
Forum: Investing - Help with Personal Investments
Topic: Dollar-Cost-Average over HOW MANY years?
Replies: 58
Views: 3329

Re: Dollar-Cost-Average over HOW MANY years?

If a person really is afraid of putting in the lump sum today because he might need the money tomorrow, he absolutely should not invest in the first place. This whole DCA thing is trying to have one's cake and eat it too. I disagree. If I ask someone to choose an investment with a 95% probability t...
by dbr
Sun Jan 15, 2017 10:15 am
Forum: Investing - Theory, News & General
Topic: Retired, expenses covered but still growing portfolio, why?
Replies: 46
Views: 4231

Re: Retired, expenses covered but still growing portfolio, why?

Several of our members have all their retirement living expenses covered by SS and pensions and continue to grow their low to mid 7 digit portfolios in retirement. For those individuals what if the purpose of continuing to grow these portfolios instead of using the funds to upgrade materials items,...
by dbr
Sun Jan 15, 2017 10:09 am
Forum: Investing - Theory, News & General
Topic: Why not put it all in TIPS?
Replies: 87
Views: 4785

Re: Why not put it all in TIPS?

Tips only protects you from unexpected inflation; not from inflation in general. I don't understand this at all. Please explain why TIPS don't provide protection from "inflation in general." :confused This is a misunderstood common conversation people have about TIPS. First, of course, si...
by dbr
Sun Jan 15, 2017 10:08 am
Forum: Investing - Theory, News & General
Topic: Why not put it all in TIPS?
Replies: 87
Views: 4785

Re: Why not put it all in TIPS?

Tips only protects you from unexpected inflation; not from inflation in general. I don't understand this at all. Please explain why TIPS don't provide protection from "inflation in general." :confused First, of course, since all TIPS all the time are indexed for inflation, by definition t...
by dbr
Sun Jan 15, 2017 9:58 am
Forum: Investing - Help with Personal Investments
Topic: Dollar-Cost-Average over HOW MANY years?
Replies: 58
Views: 3329

Re: Dollar-Cost-Average over HOW MANY years?

As an investment strategy, if one has lump sum dollars to invest, I would also like to hear an argument for how DCA can be better than LS. To me this discussion has derailed. On average LS will yield a higher return since the market goes up more often then down. The problem is that with LS your pro...
by dbr
Sat Jan 14, 2017 6:40 pm
Forum: Investing - Theory, News & General
Topic: Why not put it all in TIPS?
Replies: 87
Views: 4785

Re: Why not put it all in TIPS?

OK, I get it. The U.S. Government might default. Or they might not honor their obligations and tweak the TIPS calculation. If that happens we have some serious problems that probably can only be solved with cans of tuna, Krugerrands and boxes of ammo. For the sake of argument why don't we leave tha...
by dbr
Sat Jan 14, 2017 6:19 pm
Forum: Investing - Theory, News & General
Topic: Why not put it all in TIPS?
Replies: 87
Views: 4785

Re: Why not put it all in TIPS?

Try an annuity. Why? Seriously. Why would I want to buy an annuity vs. buying a government guarantee (TIPS)? I would think a U.S. Government guarantee would be worth more than that of an insurance company. An annuity "guarantees" more than TIPS guarantee, namely a lifetime income stream w...
by dbr
Sat Jan 14, 2017 6:15 pm
Forum: Investing - Help with Personal Investments
Topic: Compounding of stock returns
Replies: 14
Views: 1081

Re: Compounding of stock returns

Say you use dividends for expenses, will this result in a larger than expected reduction due to loss of compounding in returns 20- 30 yrs down the line as opposed to reinvesting? You will have less in 20 years if you spend part of your portfolio whether the money you spent came from dividends or sa...
by dbr
Sat Jan 14, 2017 6:13 pm
Forum: Investing - Help with Personal Investments
Topic: Compounding of stock returns
Replies: 14
Views: 1081

Re: Compounding of stock returns

Say you use dividends for expenses, will this result in a larger than expected reduction due to loss of compounding in returns 20- 30 yrs down the line as opposed to reinvesting? What do you expect the reduction to be? But here is some simple hypothetical math. Suppose you assume dividends of 2% ev...
by dbr
Sat Jan 14, 2017 5:59 pm
Forum: Personal Finance (Not Investing)
Topic: Should people own 2 cars for themselves?
Replies: 21
Views: 2735

Re: Should people own 2 cars for themselves?

If I were in a business that uses a car as part of the job function and benefits from that car being upscale, clean, and neat I would certainly own two cars. Just trying to keep personal stuff out of a business car along with wear and tear and early aging would be worth it, I would think. Aren't the...
by dbr
Sat Jan 14, 2017 5:48 pm
Forum: Investing - Help with Personal Investments
Topic: Value of House in Planning for Retirement
Replies: 46
Views: 2988

Re: Value of House in Planning for Retirement

A way to look at the above comments is that a house is a (very) risky asset rather than the opposite.
by dbr
Sat Jan 14, 2017 5:43 pm
Forum: Investing - Help with Personal Investments
Topic: Compounding of stock returns
Replies: 14
Views: 1081

Re: Compounding of stock returns

Is this only true if you reinvest dividends? It is partly true. Dividends are part of the return, so if you don't reinvest the dividends you are not taking all the return. Those parts of the return that are left, capital gain, would continue to compound. It might or not be helpful to simply start w...
by dbr
Sat Jan 14, 2017 5:18 pm
Forum: Investing - Help with Personal Investments
Topic: Value of House in Planning for Retirement
Replies: 46
Views: 2988

Re: Value of House in Planning for Retirement

I would not count home equity (or any part of it) in retirement planning or in selecting investments, until the sale of the current home and the purchase of it's replacement had actually occurred. How can the existence of such a large asset not be considered among the possible scenarios that might ...
by dbr
Sat Jan 14, 2017 5:05 pm
Forum: Investing - Help with Personal Investments
Topic: Value of House in Planning for Retirement
Replies: 46
Views: 2988

Re: Value of House in Planning for Retirement

My house is paid off. I will always need to live somewhere so I don't consider my house when doing retirement planning. I think about how much money I will need if I live in a paid off house or condo. At some point I will probably sell my house and buy something without stairs. That might cost a co...
by dbr
Sat Jan 14, 2017 4:59 pm
Forum: Investing - Theory, News & General
Topic: Why not put it all in TIPS?
Replies: 87
Views: 4785

Re: Why not put it all in TIPS?

Unfortunately, the decline in the real interest rate of TIPS has made the strategy no longer look feasible, and also has exposed the problems of "reinvestment risk" (assuming that when your bonds mature you can roll them over into more of the same). Back in the day, I pointed out that mak...
by dbr
Sat Jan 14, 2017 4:49 pm
Forum: Investing - Theory, News & General
Topic: Why not put it all in TIPS?
Replies: 87
Views: 4785

Re: Why not put it all in TIPS?

Addressing the two comments above: 1. Agreed, with current real yields being near a forever low, it is costly to rely on all TIPS. At a real rate of about 0.8% on 30 year TIPS you are now down to a secure withdrawal rate of about 3.7%. If you could get 2% TIPS, you are up to 4.4% withdrawal, inflati...
by dbr
Sat Jan 14, 2017 4:32 pm
Forum: Investing - Help with Personal Investments
Topic: Value of House in Planning for Retirement
Replies: 46
Views: 2988

Re: Value of House in Planning for Retirement

People certainly have to consider that one scenario is selling an appreciated house for net equity. In that case at some point in time one's investment assets increase and one's expenses for housing are replaced by a different alternative. That might mean buying a cheaper house or it might mean need...
by dbr
Sat Jan 14, 2017 3:19 pm
Forum: Investing - Theory, News & General
Topic: Bogle says 50-50 short/intermediate bonds
Replies: 45
Views: 5442

Re: Bogle says 50-50 short/intermediate bonds

Does anyone know what rationale Jack Bogle gave for holding a 50:50 portfolio of short and intermediate bond funds (a recommendation that I agree with)? I cannot find a transcript or video of his conversation that deal with those specific comments.The available documentation only deals with his com...

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