Search found 674 matches

by dharrythomas
Fri Aug 26, 2016 8:52 am
Forum: Investing - Theory, News & General
Topic: "Build Your Own Lazy Portfolio"
Replies: 4
Views: 817

Re: "Build Your Own Lazy Portfolio"

Taylor,

Thanks for posting.

Harry
by dharrythomas
Mon Aug 22, 2016 6:40 pm
Forum: Investing - Help with Personal Investments
Topic: Debt Free - Now What
Replies: 37
Views: 3350

Re: Debt Free - Now What

Consider the Roth option in the TSP. Tax wise, it is better than taxable investing. You can always pull out the contributions without penalty (I don't recommend it). I also think there is no better or cheaper retirement plan in existence than the TSP, and I've been in several with several leading fi...
by dharrythomas
Mon Aug 22, 2016 6:31 pm
Forum: Investing - Help with Personal Investments
Topic: How do you view debt?
Replies: 101
Views: 5397

Re: How do you view debt?

Solomon said it best thousands of years ago: The borrower is servant to the lender. Proverbs 22:7 Read and understand "The Richest Man in Babylon" Debt is dangerous and excessive spening will get you in trouble. You are paying more for your purchases in order to enjoy them sooner. For most...
by dharrythomas
Sat Aug 20, 2016 4:56 pm
Forum: Investing - Help with Personal Investments
Topic: Am I devastatingly far behind on retirement savings and how can I catch up?!
Replies: 40
Views: 6088

Re: Am I devastatingly far behind on retirement savings and how can I catch up?!

You're set up fine for 29! If you and your spouse set up to save 15% of your income in 401(k)s, get a reasonable house and pay it off (transaction costs on real estate are a killer), pay cash for cars, pay cash for vacations, and set aside some for Roth IRAs, stay married (nothing burns up money lik...
by dharrythomas
Sat Aug 20, 2016 2:31 pm
Forum: Investing - Theory, News & General
Topic: John Bogle says it is ok to just hold US stock index and Bond index, no international stocks
Replies: 45
Views: 4897

Re: John Bogle says it is ok to just hold US stock index and Bond index, no international stocks

The way I understand Bogle's position is that over the long-term returns are similar so why take risk. Others see benefit in various time periods. I think there are three possible answers over your investment lifespan, unfortunately you only get the answer at the end of the game and you don't have a...
by dharrythomas
Fri Aug 19, 2016 9:07 pm
Forum: Investing - Theory, News & General
Topic: High RMD’s, would you do anything different?
Replies: 54
Views: 4763

Re: High RMD’s, would you do anything different?

I've accumulated less than you, but I'm making all contributions to Roth accounts. That tax free compounding is worth more than a taxable account. Next year, I'll be selling stuff from our taxable accounts in order to fund Roth IRAs. If you've got a Roth 401(k), use that and roll over to an IRA to a...
by dharrythomas
Sun Aug 07, 2016 2:43 pm
Forum: Investing - Theory, News & General
Topic: International Bond Debate
Replies: 16
Views: 1288

Re: International Bond Debate

We have international bonds inside Target Retirement and LifeStrategy Funds. The small allocation doesn't bother me, but considering the additional cost of the currency hedge I wouldn't go to the trouble to add the fund independently.
by dharrythomas
Sun Aug 07, 2016 1:43 pm
Forum: Investing - Theory, News & General
Topic: Avoid International?
Replies: 99
Views: 7840

Re: Avoid International?

Disclaimer: We do invest in international, using Target Retirement in Traditional IRAs, LifeStrategy in Roth IRAs, Total World Stock Imdex in Taxable, and LifeCycle Funds in the TSP. We also own some Tax-Managed Balanced and a few domestic odds and ends in addition to our house. The way I understand...
by dharrythomas
Sat Aug 06, 2016 9:12 pm
Forum: Investing - Theory, News & General
Topic: Dave Ramsey over simplifying Roth vs. Traditional IRA?
Replies: 52
Views: 4727

Re: Dave Ramsey over simplifying Roth vs. Traditional IRA?

Biggest advantage of the Roth IRA is no MRDs. That allows you to extend the benefits by leaving money in the accounts. It is a particularly big advantage if you want to leave money to heirs instead of spend it in retirement. If you want to use it to fund contributions, traditional is probably best. ...
by dharrythomas
Wed Aug 03, 2016 9:14 pm
Forum: Investing - Help with Personal Investments
Topic: Do I need small and mid cap?
Replies: 11
Views: 928

Re: Do I need small and mid cap?

Warren Buffett would say no. Jack Bogle would say yes. Neither thinks you need international. We have both international and small caps (in total market). The theory is that it is better to have both. Results are dependent on the time period involved. Most of the time, it hasn't made a huge differen...
by dharrythomas
Sat Jul 30, 2016 6:59 pm
Forum: Investing - Help with Personal Investments
Topic: Super Saver Close to Distribution Phase and Seeks Collective Wisdom/Advice
Replies: 21
Views: 1806

Re: Super Saver Close to Distribution Phase and Seeks Collective Wisdom/Advice

I second livesoft! Quit saving now. Spend your income. Retire not later than 62. Do whatever you want to about SS. Do what you want to about converting the IRA to a Roth. If the intent is to leave that account to charity, you might avoid some taxes altogether by leaving it alone. Based on current sp...
by dharrythomas
Sun Jul 24, 2016 6:09 pm
Forum: Investing - Theory, News & General
Topic: Declining or Rising equity allocation in retirement?
Replies: 110
Views: 7109

Re: Declining or Rising equity allocation in retirement?

Larry, Thank you. I appreciate the knowledge you've shared. I also appreciate that you're sharing a great deal of information for free and that it is not just an infomercial. There are several writers from BAM that have added a great deal to my understanding of markets, retirement planning, and the ...
by dharrythomas
Sun Jul 24, 2016 4:55 pm
Forum: Investing - Theory, News & General
Topic: If everyone saved enough for retirement, wouldn't there just be inflation?
Replies: 32
Views: 3263

Re: If everyone saved enough for retirement, wouldn't there just be inflation?

It's possible (at least in theory) for everyone to save enough for retirement. Where you do run into problems is when your population ceases to grow. Because you do need enough people in the workforce to both produce and take care of the young and the old. Without population and economic growth, it ...
by dharrythomas
Sat Jul 23, 2016 2:53 pm
Forum: Personal Finance (Not Investing)
Topic: How many folks choose to give inheritance to their children in unequal portions?
Replies: 193
Views: 16301

Re: How many folks choose to give inheritance to their children in unequal portions?

You often find out what people value by watching them divy up the spoils after the funeral. Frankly, whoever owns it has the right to determine the distribution and there is no wrong distribution just small beneficiaries. Rather than resentment, try to give the benefit of the doubt that the decease...
by dharrythomas
Sun Jun 19, 2016 2:41 pm
Forum: Investing - Help with Personal Investments
Topic: Advice on house situation
Replies: 21
Views: 1932

Re: Advice on house situation

We got stuck for awhile years ago because we had no equity. Either you'll pay a firm to manage it for you or you'll have a part time job where you don't set the hours. Some people do well with it. I don't want 2 mortgages. We bought our current house from a tax lawyer in a short sell. Problems with ...
by dharrythomas
Sun Jun 19, 2016 2:29 pm
Forum: Investing - Help with Personal Investments
Topic: When to exit cash and embark upon Target Retirement Fund "set it and forget" strategy
Replies: 32
Views: 3159

Re: When to exit cash and embark upon Target Retirement Fund "set it and forget" strategy

Had I waited for a what was a good valuation to buy into the market, I'd still be waiting (30 years later). Interest rates kept going down (much further and longer than I thought possible) and stock prices went up. My mother more than doubled her money in tax free bonds, but in the S&P 500 she'd...
by dharrythomas
Sat Jun 11, 2016 8:23 pm
Forum: Investing - Help with Personal Investments
Topic: ROTH IRA advice
Replies: 8
Views: 967

Re: ROTH IRA advice

1. Good luck on 8%. Most experts that I've read think that with bond yields low and set to rise and stock P/E ratios where they are the expected return over the next decade is less than that. You may have to take more risk to make it happen. 2. Ruralavalon is right. You need to think through all tho...
by dharrythomas
Sun May 29, 2016 3:31 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when you have an estranged spouse
Replies: 274
Views: 16117

Re: Investing when you have an estranged spouse

I would not sign a joint return without visibility of my partners assets and income. Too much risk.

Other than that, I have nothing constructive to add.

God bless you and your children.

Harry
by dharrythomas
Sat May 28, 2016 2:29 pm
Forum: Investing - Help with Personal Investments
Topic: Question about Roth.
Replies: 19
Views: 705

Re: Question about Roth.

Depends on personal circumstances, how much SS you expect, how much outside income you expect, exactly how big your MRDs are, etc. A Roth may be beneficial if you plan to pass the account to heirs. If the intent is to draw it down while you are alive or if you intend to leave it to charity where the...
by dharrythomas
Sat May 28, 2016 2:19 pm
Forum: Investing - Help with Personal Investments
Topic: Roth IRA Investment Question
Replies: 4
Views: 429

Re: Roth IRA Investment Question

Put you Roth in either a LifeStrategy (probably Growth at your age) or a Target Retirement Fund. Have your soon to be do the same. Save 15% of your incomes between the accounts. Be wary of personal debt. Stay married (nothing burns up money like divorce). Beyond that, live and enjoy your life. Many ...
by dharrythomas
Sat May 28, 2016 2:11 pm
Forum: Investing - Help with Personal Investments
Topic: Any advice would be so helpful
Replies: 7
Views: 1120

Re: Any advice would be so helpful

If you have access to the Fidelity Freedom Index Funds, I'd use them.

Since you have money "sitting around", I'd recommend opening a second Roth IRA for your spouse.

Harry
by dharrythomas
Sat May 28, 2016 2:05 pm
Forum: Investing - Help with Personal Investments
Topic: Joint ownership of stock vs. inheritance
Replies: 8
Views: 610

Re: Joint ownership of stock vs. inheritance

Kath, 1. I am neither a CPA nor an attorney. 2. From a tax perspective, there is not a step up in basis for gifts. My parents bought a small amount of stock in a start-up bank for $10 a share in 2000. They titled it joint between my mother and a separate block of stock for each son. When my mother d...
by dharrythomas
Mon May 02, 2016 8:20 pm
Forum: Investing - Theory, News & General
Topic: LifeStrategy Moderate Growth fund or its components?
Replies: 33
Views: 3133

Re: LifeStrategy Moderate Growth fund or its components?

Kelly, It will be close. There are two factors that will make it a little different. 1) If you have enough for Admiral shares, LifeStrategy funds are a little more expensive. 2) LifeStrategy Funds are rebalanced continuously as new money flows into the fund, while you would rebalance periodically or...
by dharrythomas
Mon May 02, 2016 6:59 pm
Forum: Investing - Help with Personal Investments
Topic: Move after-tax Traditional IRA contribution to Roth
Replies: 10
Views: 1285

Re: Move after-tax Traditional IRA contribution to Roth

You should check with a tax professional. I think you are too late to recharacterize last year's traditional contribution. Have you filed your tax return?

Retiredjg is correct that any money you move from Traditional to Roth has to be prorated.

Good luck.
by dharrythomas
Sun Apr 24, 2016 1:23 pm
Forum: Investing - Help with Personal Investments
Topic: Million? [Will I get there]
Replies: 41
Views: 5730

Re: Million? [Will I get there]

Thanks for all the replys. Yes, I have already won. That number is larger than my annual income.(just barely) Thanks for the reassuring words. Let's backup and start over. What number is barely larger than your annual income? If you're making $500K a year and want to retire at 56, $500K in your 401...
by dharrythomas
Sun Apr 24, 2016 12:43 pm
Forum: Investing - Theory, News & General
Topic: Mohnish Pabrai launches ETF channeling Charlie Munger
Replies: 24
Views: 3686

Re: Mohnish Pabrai launches ETF channeling Charlie Munger

My assumption is that Munger thinks buy backs are good even though the comment about eating themselves sounds negative. I have no other basis than that IBM is a big Berkshire Hathaway holding? I don't know what to think this issue cuts both ways. I've read "The Outsiders" and I've also see...
by dharrythomas
Sun Apr 24, 2016 12:00 pm
Forum: Investing - Theory, News & General
Topic: Does Knowledge of Fellow Employees’ Retirement Contributions Encourage Greater Participation?
Replies: 6
Views: 709

Re: Does Knowledge of Fellow Employees’ Retirement Contributions Encourage Greater Participation?

People are contributing what to the people on this board is a shockingly low amount. In most organizations, people only contribute to the match. A look at the Federal Reserves Survey of Consumer Finances will allow you to benchmark for the country as a whole. I read the other day that only 8% of peo...
by dharrythomas
Sat Apr 23, 2016 8:51 pm
Forum: Investing - Theory, News & General
Topic: Social Security with older spouse using spousal benefits
Replies: 3
Views: 438

Re: Social Security with older spouse using spousal benefits

Thanks. I haven't looked at the numbers recently, but 1/2 of my benefit at 62 is at least double what her benefit will be. I told her not to file until 66 (FRA), since at FRA her spousal benefit is maxed out. So the limited increase by waiting until 70 would not pay off, but any early draw would be ...
by dharrythomas
Sat Apr 23, 2016 3:23 pm
Forum: Investing - Theory, News & General
Topic: Social Security with older spouse using spousal benefits
Replies: 3
Views: 438

Social Security with older spouse using spousal benefits

I'm trying to figure out the smart play here and I do acknowledge that these questions are only problems for people who have been blessed with an abundance. If we were in need, the answer is easy. DW is 9 years older. She worked enough to qualify for SS but only about 15 years and didn't make a grea...
by dharrythomas
Sat Apr 23, 2016 2:17 pm
Forum: Investing - Theory, News & General
Topic: A different look at the Shiller CAPE 10
Replies: 29
Views: 2945

Re: A different look at the Shiller CAPE 10

I always just assumed Shiller used 10 years because he adapted the formula that Ben Graham developed to adjust for inflation and aggregate for the entire market. I never thought he had anything more as a basis for his time period. Of course, "Ben Graham did it that way" is a pretty good ju...
by dharrythomas
Sat Apr 23, 2016 11:12 am
Forum: Investing - Theory, News & General
Topic: "The Index Card"
Replies: 19
Views: 3143

Re: "The Index Card"

Taylor,

Thank you.

Harry
by dharrythomas
Sat Apr 23, 2016 11:10 am
Forum: Investing - Theory, News & General
Topic: Every DFA fund (ex-S&P 500) has underperformed the S&P 500 for the past decade
Replies: 101
Views: 8453

Re: Every DFA fund (ex-S&P 500) has underperformed the S&P 500 for the past decade

It's possible, markets have turned upside down before. At one point, the dividend yield on stocks had a long history of being higher than the bond yield. People are slow to react at the inflection points. I'd have never thought that bond yields could stay this low for this long. The more I understan...
by dharrythomas
Sat Apr 16, 2016 6:11 am
Forum: Investing - Theory, News & General
Topic: Whole Life vs. Bonds - what am I missing? help please
Replies: 11
Views: 1674

Re: Whole Life vs. Bonds - what am I missing? help please

Even when you are quoted a yield, it is on the cash value and before contract charges and cost of insurance. The guaranteed yield on an insurance policy is generally much lower than the estimated yield. I knew this going in and bought UL in 1988 (I understood the product and the sales pitch, I did n...
by dharrythomas
Sat Apr 16, 2016 5:49 am
Forum: Investing - Theory, News & General
Topic: What are Pros and Cons to the "Four Hour Workweek?"
Replies: 99
Views: 12044

Re: What are Pros and Cons to the "Four Hour Workweek?"

My father was a CPA with his own practice in as small town so I knew many businessmen growing up. Some made a great deal of money and some barely survived. Between my father's business and the Army Reserve, he came home to eat and sleep. His successful clients were working more than 60 hours a week ...
by dharrythomas
Sun Mar 27, 2016 7:28 pm
Forum: Investing - Help with Personal Investments
Topic: Does anyone think the stock market is overvalued?
Replies: 50
Views: 4575

Re: Does anyone think the stock market is overvalued?

I've thought the market was overvalued for most of the last 32 years. :oops: We've been involved in regular stock investing through mutual funds for the last 29 years. If you try to time the market, you'll probably guess wrong. If you stay out now, when do you get back in? The markets have never com...
by dharrythomas
Sun Mar 27, 2016 7:12 pm
Forum: Investing - Theory, News & General
Topic: What to do with Roth IRA (Unique Circumstance)
Replies: 17
Views: 1498

Re: What to do with Roth IRA (Unique Circumstance)

The TSP does have a Roth option.
by dharrythomas
Wed Feb 17, 2016 9:20 pm
Forum: Investing - Theory, News & General
Topic: "The Index Mutual Fund: 40 Years of Growth, Change and Challange" by Jack Bogle
Replies: 12
Views: 2196

Re: "The Index Mutual Fund: 40 Years of Growth, Change and Challange" by Jack Bogle

Taylor,

Thanks! Everything Mr. Bogle has written is worth reading. Most is worth rereading until you agree with it.

Harry
by dharrythomas
Sun Feb 07, 2016 3:19 pm
Forum: Investing - Theory, News & General
Topic: Hold International Funds in Roth IRA or Taxable Account?
Replies: 12
Views: 1059

Re: Hold International Funds in Roth IRA or Taxable Account?

For what it is worth, I have some international in taxable, some in Traditional IRA/TSP and some in Roth IRA/TSP. I didn't do detailed calculations, I just spread stuff around.

Harry
by dharrythomas
Sun Feb 07, 2016 3:12 pm
Forum: Personal Finance (Not Investing)
Topic: Vacation Homes
Replies: 78
Views: 10337

Re: Vacation Homes

TC101, It may not be an awful decision all things considered. I know several people that love their second homes and even people that like their timeshares. From a financial perspective, you are 100% correct. A 2d home is an awful investment. Your first home is anawful "investment", but yo...
by dharrythomas
Sun Jan 31, 2016 3:28 pm
Forum: Investing - Help with Personal Investments
Topic: VG International Bond Index Fund?
Replies: 11
Views: 1006

Re: VG International Bond Index Fund?

My perception is that any diversification benefit is swallowed up by the hedging costs in fixed income.

It doesn't concern me enough to avoid Target Retirement and LifeStrategy Funds. But if you're doing it yourself, why bother?

Good Luck.

Harry
by dharrythomas
Sat Jan 30, 2016 6:37 pm
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth VASGX & Target Retirement 2035 VTTHX for IRA's
Replies: 11
Views: 2038

Re: Vanguard Lifestrategy vs Target Fund

I use both types, but unlike the conventional wisdom here, I sometimes think of them as separate portfolios or buckets. Where possible (it is not possible to segregate in the TSP), I use Target Date funds for our traditional accounts and LifeStrategy or other balanced fixed allocation funds in our R...
by dharrythomas
Fri Jan 29, 2016 5:28 pm
Forum: Investing - Theory, News & General
Topic: "Why Simple Is Still a Hard Sell"
Replies: 24
Views: 4968

Re: "Why Simple Is Still a Hard Sell"

Taylor, Thanks. I play around at the margins (mostly REITs and Value ) but honestly think I'd have been better off not to. I know that Wellington did better that I did in my Roth, I'm not sure about LifeStrategy Moderate Growth. At least we've got our traditional accounts locked into Target Date Fun...
by dharrythomas
Fri Jan 29, 2016 5:05 pm
Forum: Investing - Theory, News & General
Topic: Why doesn't Vanguard stay the course?
Replies: 44
Views: 6272

Re: Why doesn't Vanguard stay the course?

Sawhorse, The S&P 500 is not necessarily the 500 largest companies in the US. The S&P 500 is a set of large companies selected by Committee. They are supposed to be representative of the economy and market. It has been generally representative of the market but the changes in the makeup of t...
by dharrythomas
Fri Jan 22, 2016 8:04 pm
Forum: Investing - Help with Personal Investments
Topic: who is buying or selling ??
Replies: 27
Views: 2260

Re: who is buying or selling ??

I funded Roth IRAs this week, because I got our annual statements with the investment stubs last week. Putting money in the Roth TSP every 2 weeks, and small contributions into Total World Stock Index in taxable twice a month. I guess we're always buying. A wise man said, "Stay the course!"
by dharrythomas
Sun Dec 27, 2015 2:26 pm
Forum: Investing - Help with Personal Investments
Topic: Taxation & RMDs in kind, individual secondary bonds
Replies: 11
Views: 869

Re: Taxation & RMDs in kind, individual secondary bonds

(Note: I'm neither a CPA nor a tax lawyer nor do I have personal experience with this issue) Don't overthink this. Other than the date of interest payments, for tax purposes, it should not make any difference what bonds you pick or their purchase price. The organization holding your IRA should distr...
by dharrythomas
Fri Dec 25, 2015 9:30 pm
Forum: Investing - Help with Personal Investments
Topic: Seeking reassurance about Life-only pension choice
Replies: 16
Views: 1972

Re: Seeking reassurance about Life-only pension choice

There are enough things outside my control that I'd always take the survivor option. I've done it once and will do it again when I retire again. I say that even though we've got enough that we've canceled our life insurance policies.

Good luck whatever you decide.
by dharrythomas
Fri Dec 25, 2015 3:13 pm
Forum: Investing - Theory, News & General
Topic: Experts that DON'T believe in value stocks
Replies: 10
Views: 1709

Re: Experts that DON'T believe in value stocks

I tilt value. Not as much as some. I believe that over the long term it will pay off. I don't know if my investing lifetime will be long enough to count as "the long term". :?: On the other hand, Jack Bogle thinks it's a matter of the time period you're measuring. You pay your money and ta...
by dharrythomas
Thu Dec 24, 2015 1:29 pm
Forum: Investing - Help with Personal Investments
Topic: Roth vs Trad TSP w/ anticipated pension
Replies: 20
Views: 1595

Re: Roth vs Trad TSP w/ anticipated pension

In a similar situation, I split the difference, 5% Traditional TSP and 13% Roth TSP. The 10% going into Traditional allows us a little more cash flow and a little more money that is forced into the checking account each year. This may be a big deal if I predecease DW as the pension amounts will be 5...
by dharrythomas
Sun Dec 20, 2015 9:42 pm
Forum: Investing - Theory, News & General
Topic: ETF or Fund - Which Do You Use?
Replies: 40
Views: 3496

Re: ETF or Fund - Which Do You Use?

Funds only. I don't need any more temptation to over trade my account.
by dharrythomas
Sun Dec 13, 2015 10:01 pm
Forum: Investing - Theory, News & General
Topic: Should I follow Jack Bogle in "I don't do International"
Replies: 90
Views: 9122

Re: Should I follow Jack Bogle in "I don't do International"

I own some international.

Who is right is (a) time period dependent, and (2) unknowable in advance.

Good luck.

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