Search found 689 matches

by friar1610
Fri Sep 30, 2016 8:55 am
Forum: Investing - Help with Personal Investments
Topic: Target funds [are they bad to use for retirement?]
Replies: 9
Views: 868

Re: Target funds [are they bad to use for retirement?]

Although you are saving "for retirement" that could be in either a tax-advantaged account like a 401k, 403b, etc. or in a taxable account. I would just emphasize that if you use Life Strategy Funds in a taxable account, you will not be able to go more conservative over time without potenti...
by friar1610
Thu Sep 29, 2016 11:44 am
Forum: Investing - Help with Personal Investments
Topic: Furious about adult education class [Investment seminar]
Replies: 42
Views: 3357

Re: Furious about adult education class

Where I live the school district offers this type of class. In additional to financial classes, they offer things such as aroma therapy taught by an aroma therapist and end of life planning taught by a funeral home owner and tapping into your extra senses taught by a clairvoyant. I just don't go. Y...
by friar1610
Wed Sep 28, 2016 3:46 pm
Forum: Investing - Theory, News & General
Topic: Christine's article today on RMD's...a question to bogleheads
Replies: 37
Views: 3300

Re: Christine's article today on RMD's...a question to bogleheads

pshonore wrote:
Kitces has an article on this today: http://kitces.us6.list-manage1.com/trac ... 637ea94098


Thanks; very comprehensive article.
by friar1610
Wed Sep 28, 2016 3:27 pm
Forum: Investing - Theory, News & General
Topic: Christine's article today on RMD's...a question to bogleheads
Replies: 37
Views: 3300

Re: Christine's article today on RMD's...a question to bogleheads

Friar1610. I see where you are coming from. If my husband was still alive, we'd be squarely in the 25% bracket probably forever. Things change when you are a single person again. At some point, maybe just 2 years, and the stock market continuing up, I will be in the 28% bracket and at some point ti...
by friar1610
Wed Sep 28, 2016 3:21 pm
Forum: Investing - Theory, News & General
Topic: Christine's article today on RMD's...a question to bogleheads
Replies: 37
Views: 3300

Re: Christine's article today on RMD's...a question to bogleheads

BL wrote:Friar1610
I think you have it right with those circumstances.

Iwould rather leave the taxable with step-up than an IRA to descendants, myself.


Good point. Thank you.
by friar1610
Wed Sep 28, 2016 12:36 pm
Forum: Investing - Theory, News & General
Topic: Christine's article today on RMD's...a question to bogleheads
Replies: 37
Views: 3300

Re: Christine's article today on RMD's...a question to bogleheads

Please make sure I have this right. We are married filing jointly. We itemize. We already pay tax on 85% of our SS due to pension income. I pay tax on 90% of my RMD (because some of my earlier contributions were after-tax). My wife has not yet started RMDs. We're firmly in the 25% marginal tax brack...
by friar1610
Mon Sep 26, 2016 9:44 pm
Forum: Personal Consumer Issues
Topic: Replace car battery after X years or wait till it dies?
Replies: 71
Views: 4475

Re: Replace car battery after X years or wait till it dies?

I don't necessarily recommend this but.... I have a 2005 Volvo that I bought as a certified pre-owned in 2006. Bought the car in Vermont and used it there for 6 years. Moved to Mass and was here 3 years before I replaced the still-working battery at the beginning of winter 2015. Talk about living on...
by friar1610
Sun Sep 25, 2016 3:07 pm
Forum: Investing - Theory, News & General
Topic: QQQ's [PowerShares QQQ - "NASDAQ-100" index ETF]
Replies: 10
Views: 522

Re: QQQ's [PowerShares QQQ - "NASDAQ-100" index ETF]

I owned QQQ in my pre-Boglehead days. Bought it when the NASDAQ was in the high 4,000's. Watched the the NASDAQ rise into the 5000's. Figured I was pretty smart. Then watched it crash and stay there for years and years. Gave up on it when the NASDAQ was in the 2000's and I decided to consolidate int...
by friar1610
Sat Sep 24, 2016 5:40 pm
Forum: Investing - Help with Personal Investments
Topic: IRA CD question
Replies: 32
Views: 2002

Re: IRA CD question

Yes, I believe that the terms of every IRA CD I've purchased have allowed penalty-free RMDs. However, since the CDs I've been getting have such superior yields, I'd take RMDs from my bond funds instead in the current environment, and continue to reinvest the CD interest at the great rates. Kevin Th...
by friar1610
Sat Sep 24, 2016 5:18 pm
Forum: Investing - Theory, News & General
Topic: The coming municipal bond crisis
Replies: 51
Views: 7135

Re: The coming municipal bond crisis

... IIRC, they told us that VG didn't depend on the rating agencies to rate bonds - the did their own independent evaluations and made purchase decisions based on their in-house rating system. I don't recall that they distinguished between corporates and munis but that was a while ago and I might b...
by friar1610
Sat Sep 24, 2016 9:09 am
Forum: Investing - Help with Personal Investments
Topic: IRA CD question
Replies: 32
Views: 2002

Re: IRA CD question

Yes, I believe that the terms of every IRA CD I've purchased have allowed penalty-free RMDs. However, since the CDs I've been getting have such superior yields, I'd take RMDs from my bond funds instead in the current environment, and continue to reinvest the CD interest at the great rates. Kevin Th...
by friar1610
Fri Sep 23, 2016 7:50 pm
Forum: Investing - Theory, News & General
Topic: "In Defense of Bonds"
Replies: 33
Views: 4382

Re: "In Defense of Bonds"

Thanks, a good read. I wonder however if 100% Stocks is the same thing as 100% Total Market? A single stock can liquidate itself out of existence... hence the risk of the former. I would assume the human race would have to liquidate itself out of existence.. hence the risk of the latter. Neither ar...
by friar1610
Fri Sep 23, 2016 5:06 pm
Forum: Investing - Help with Personal Investments
Topic: IRA CD question
Replies: 32
Views: 2002

Re: IRA CD question

A related question.... If you use CDs - regardless of whether brokered or bank - in your IRA and you are of RMD age, how do you take your RMDs? I assume you just keep enough in more liquid assets, such as a bond fund, to cover your RMDs until the CDs come due. Is that all there is to it?
by friar1610
Thu Sep 22, 2016 5:01 pm
Forum: Investing - Theory, News & General
Topic: Help understanding the attraction to W & W [Wellington/Wellesley]
Replies: 38
Views: 3846

Re: Help understanding the attraction to W & W [Wellington/Wellesley]

I'm a retiree (71) and basically an index guy. I have a textbook understanding of factor investing but I don't pretend to really understand it. I recently decided to increase my stock allocation from about 40% to 45% and also try to juice our retirement accounts a bit. Those accounts had been 100% V...
by friar1610
Thu Sep 22, 2016 2:22 pm
Forum: Personal Consumer Issues
Topic: Aging and Spending
Replies: 30
Views: 4153

Re: Aging and Spending

The biggest thing that I have been spending more on is handymen. There are many things that I used to fix myself that I now find that it is better to call someone younger and stronger to do. I used to enjoy this, but my body is a bit more limited now. Ralph +1 If a job is a real PITA I am much more...
by friar1610
Wed Sep 21, 2016 3:33 pm
Forum: Personal Consumer Issues
Topic: My "Corolla Investment" has ended...410,000 [miles]
Replies: 54
Views: 5730

Re: My "Corolla Investment" has ended...410,000

Thank you for your story. I got the new car bug a couple of weeks ago and started to think it might be time to say goodbye to my '05 Volvo wagon. This was definitely a want , not a need. I've been rethinking my impulse for the past week and was pretty well over it but your post has pushed me the fin...
by friar1610
Tue Sep 20, 2016 7:39 pm
Forum: Investing - Theory, News & General
Topic: The coming municipal bond crisis
Replies: 51
Views: 7135

Re: The coming municipal bond crisis

Patrick The issue we are concerned about when a state has low rating and/or high Adjusted Net Liabilities but the locality has high ratings is that if a state "goes bad" it can drag the good credits down with them for variety of reasons, including less state support for local governments,...
by friar1610
Fri Sep 16, 2016 1:10 pm
Forum: Investing - Help with Personal Investments
Topic: Considering a 20% swing in my asset allocation
Replies: 41
Views: 2956

Re: Considering a 20% swing in my asset allocation

I am in somewhat the same situation as the OP. I'm older (71), port in the same range (15% of port is in a VG deferred VA, another 28% in IRAs, remainder in taxable), expenses nicely covered by an inflation adjusted pension, no mortgage debt. Sometimes spend some of SS checks but not very often. I'v...
by friar1610
Thu Sep 15, 2016 4:13 pm
Forum: Personal Finance (Not Investing)
Topic: Keys to a Successful Retirement
Replies: 55
Views: 6667

Re: Keys to a Successful Retirement

There is no one shoe fits all when it comes to keys for a successful retirement. Some of us have no need whatsoever for annuities. To me the key to successful retirement has nothing to do with money but good/excellent health . While totally in agreement with you about the importance of good health,...
by friar1610
Thu Sep 15, 2016 11:13 am
Forum: Investing - Theory, News & General
Topic: Disappointing News Wells Fargo
Replies: 111
Views: 8891

Re: Disappointing News Wells Fargo

OP, What are the benefits of using a large bank? I've always used my local credit union, and It's been a great experience. The few times I've had to deal with larger financial institutions - lately, Chase - it has been a dumpster fire, and I do everything in my power to stay away. I do use a "...
by friar1610
Wed Sep 14, 2016 5:20 pm
Forum: Investing - Help with Personal Investments
Topic: Met life Modified Annunity Contract
Replies: 21
Views: 1660

Re: Met life Modified Annunity Contract

Friar, it is my understanding that the difference is that Vanguard discloses the 2% charge on SPIAs - -most other SPIA players incorporate a number higher than 2% into their payout calculations and often pay significant commissions to the salespeople (Vanguard Annuity reps are salaried, not earning...
by friar1610
Wed Sep 14, 2016 3:43 pm
Forum: Investing - Help with Personal Investments
Topic: Is A Two-Fund Portfolio All You Really Need?
Replies: 44
Views: 5245

Re: Is A Two-Fund Portfolio All You Really Need?

The only caution I have with the two fund portfolio in this day and age is that stocks and bonds have lost their inverse co-relation. They have both been going up for a while now. My fears may be unfounded, who knows. I would prefer cash/stable value funds for the fixed income portion. Of course, a...
by friar1610
Wed Sep 14, 2016 10:06 am
Forum: Investing - Help with Personal Investments
Topic: Met life Modified Annunity Contract
Replies: 21
Views: 1660

Re: Met life Modified Annunity Contract

If you are older (especially over 75), healthy, and would prefer drawing down the annuity for spending, consider purchasing a Single Premium Deferred Annuity (SPDA), either from Met Life (your guaranteed rate might qualify you for an attractive annuitization versus simply buying on the market today...
by friar1610
Wed Sep 14, 2016 8:18 am
Forum: Investing - Help with Personal Investments
Topic: Met life Modified Annunity Contract
Replies: 21
Views: 1660

Re: Met life Modified Annunity Contract

I'd be interested in the name of the insurance contract/insurance company you are considering moving to. Before you move you, you should check the guaranteed rate (on annuitization) of your Vanguard Annuity. About 4 years ago I annuitized two Vanguard Variable annuities for fixed terms of 10 and 23...
by friar1610
Tue Sep 13, 2016 7:46 pm
Forum: Investing - Help with Personal Investments
Topic: Met life Modified Annunity Contract
Replies: 21
Views: 1660

Re: Met life Modified Annunity Contract

If the annuity contract increases in value 3% per year after expenses I would keep it and consider it part of my bond holdings. I am assuming the policy has pretty standard terms for annuitizing. If the 3% is before expenses, that is a different matter and it depends on the expenses of the annuity....
by friar1610
Tue Sep 13, 2016 4:22 pm
Forum: Investing - Help with Personal Investments
Topic: Met life Modified Annunity Contract
Replies: 21
Views: 1660

Re: Met life Modified Annunity Contract

I bought a Met life (MDA) around 13 years ago. The original term was 6% for 10 years. The contract now pays 3% indefinitely. I am about to retire and would like to consolidate my portfolio with Vanguard. 50% Wellington, 50% TRI. The MDA has appx. 350 thousand and Vanguard 1.8 million. My question i...
by friar1610
Sat Sep 10, 2016 4:22 pm
Forum: Personal Finance (Not Investing)
Topic: Alternative to Traditional Retirement
Replies: 16
Views: 2252

Re: Alternative to Traditional Retirement

My knowledge is dated. But I had friends who tried to do this, primarily with defense contractors. It generally worked for a while but they got sucked back into full-time for a variety of reasons. Or they decided it was too hard to make it work and retired fully. "We just need you to come in an...
by friar1610
Sat Sep 10, 2016 8:02 am
Forum: Investing - Theory, News & General
Topic: Those with negative yields on international bonds take heart
Replies: 69
Views: 5090

Re: Those with negative yields on international bonds take heart

I admittedly need to study the whole topic of hedged international bonds better. In reading the above posts quickly I realize how little I really understand about them and what they can potentially do for me as a retiree with a conservative/moderate port. In the meanwhile I think I'll follow the old...
by friar1610
Thu Sep 08, 2016 7:16 pm
Forum: Investing - Theory, News & General
Topic: Fidelity competing harder w/Vanguard
Replies: 92
Views: 8899

Re: Fidelity competing harder w/Vanguard

There was an article in this morning's Boston Globe about Fidelity's movement into index funds even though the company remains primarily a managed fund shop. The link below may require registering with the Globe although I got it from Googling the article's title. https://www.bostonglobe.com/busines...
by friar1610
Thu Sep 08, 2016 4:58 pm
Forum: Investing - Theory, News & General
Topic: Wall Street's Latest Retail Fleecing Product Exposed – Structured CDs
Replies: 20
Views: 2104

Re: Wall Street's Latest Retail Fleecing Product Exposed – Structured CDs

A number of years ago I made a decision to limit my CD purchases to two institutions - Navy Federal C.U. and PenFed - even if they paid a wee bit less interest than some of the other institutions around the country. The idea was to KISS and not have CDs in 5 or 6 different banks/CUs because I was ch...
by friar1610
Wed Sep 07, 2016 5:00 pm
Forum: Personal Consumer Issues
Topic: How much is your cell phone bill?
Replies: 164
Views: 10626

Re: How much is your cell phone bill?

TracFone Rarely use it for voice; even rarer to text; never use it for data although it apparently has that capability. (I do have an IPod Touch that I use as a PDA and do other stuff like emailing and surfing when I'm in WiFi hotspots. When I'm not in hotspots, like on the subway, I read a book.) A...
by friar1610
Wed Sep 07, 2016 3:46 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity tax question
Replies: 3
Views: 318

Re: Annuity tax question

The beneficiary should not have any taxes due until they take withdrawals from the annuity, surrender the annuity (withdrawal the entire account value), or annuitize the annuity to begin receiving periodic payouts (like a SPIA). Thanks; this had been my understanding right along. What I saw on the ...
by friar1610
Wed Sep 07, 2016 1:19 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity tax question
Replies: 3
Views: 318

Annuity tax question

I thought I understood this clearly but saw something on the web today that made me think maybe I don't. Scenario: 1. I am the owner of a deferred variable annuity. 2. My spouse is the beneficiary. 3. I die before the annuity has been annuitized. 4. Ownership passes to my spouse. Question: does she ...
by friar1610
Tue Sep 06, 2016 12:15 pm
Forum: Investing - Help with Personal Investments
Topic: Viewing Treasurydirect.org account balance on Vanguard.com
Replies: 7
Views: 532

Re: Viewing Treasurydirect.org account balance on Vanguard.com

The previous account aggregation software that Vanguard used did link to Treasury Direct. Apparently the new one doesn't. So I just update my iBond values manually every quarter. And I just enter the total, not each bond separately. I think the values only change monthly anyway, so quarterly is clos...
by friar1610
Mon Sep 05, 2016 6:26 pm
Forum: Investing - Theory, News & General
Topic: Anyone else experiencing number drift
Replies: 51
Views: 5940

Re: Anyone else experiencing number drift

pkcrafter,

Thank you.
by friar1610
Mon Sep 05, 2016 4:52 pm
Forum: Personal Finance (Not Investing)
Topic: Vanguard PAS
Replies: 21
Views: 1381

Re: Vanguard PAS

The biggest plus to Vanguard's PAS is not that they will make you higher returns in good times, but rather they may keep you from doing something stupid in bad times. plannerman So where are we today, Good times or Bad Times?? It is the best of times. It is the worst of times. Wait a minute - that'...
by friar1610
Mon Sep 05, 2016 4:33 pm
Forum: Investing - Theory, News & General
Topic: Anyone else experiencing number drift
Replies: 51
Views: 5940

Re: Anyone else experiencing number drift

Having said that, I do expect another bubble burst that will unwind the indexing phenomenon, but it won't be as severe as the tech bubble. Paul Not to hijack the thread, but I'd be interested if you could amplify on the above comment. I don't doubt that there's another bubble down the road but don'...
by friar1610
Sun Sep 04, 2016 2:55 pm
Forum: Personal Finance (Not Investing)
Topic: Military Retirement/Pension vs. Higher Income
Replies: 18
Views: 1621

Re: Military Retirement/Pension vs. Higher Income

I'm retired USN (not a doctor) and really appreciate having the pension and medical benefits. I don't live anywhere near a base, so don't take advantage of commissaries, exchanges or base gyms. I remember one Navy doc told me that he really liked practicing in the military because he never had to wo...
by friar1610
Sun Sep 04, 2016 11:16 am
Forum: Investing - Help with Personal Investments
Topic: Pension meets my needs. Skip bonds?
Replies: 26
Views: 2878

Re: Pension meets my needs. Skip bonds?

I am retired, now 15+ years, and my inflation-adjusted pension meets all our ongoing needs, so investmenting really is for heirs or some major unforeseeable calamity that destroys the pension stream. I used to be on the Board of Trustees of the pension fund and I know it's run well, invested worldw...
by friar1610
Sun Sep 04, 2016 10:56 am
Forum: Investing - Help with Personal Investments
Topic: RMD Strategy
Replies: 12
Views: 1370

Re: Excellent Strategy!

That is an excellent strategy! In my opinion ... Vanguard Short-Term Bond Index Fund Admiral Shares (VBIRX), which I consider to be an inflation-adjusted cash-equivalent, are 2 of the most overlooked, underappreciated funds in the Malvern universe. I agree with you about VBIRX. The overwhelming maj...
by friar1610
Sun Sep 04, 2016 10:51 am
Forum: Investing - Help with Personal Investments
Topic: Sustainable IRA AA
Replies: 13
Views: 767

Re: Sustainable IRA AA

I don't think the problem presented in your first post is solvable unless you include the RMDs put in a taxable account in the AA of the IRA and ask for a "sustainable IRA + taxable AA." Then the answer might be just put those 2 accounts into a LifeStrategy Moderate Growth fund and forget...
by friar1610
Sat Sep 03, 2016 3:21 pm
Forum: Investing - Help with Personal Investments
Topic: Sustainable IRA AA
Replies: 13
Views: 767

Re: Sustainable IRA AA

Here are answers to a few questions that have been asked and some further amplification on my original post. I currently have three "chunks" in my portfolio: - a taxable chunk that contains Vanguard Total Stock Market Index (VTSAX), Vanguard Total International Stock Index (VTIAX), Vanguar...
by friar1610
Sat Sep 03, 2016 11:43 am
Forum: Investing - Help with Personal Investments
Topic: Sustainable IRA AA
Replies: 13
Views: 767

Sustainable IRA AA

Let's say you were 71 and in your 2nd year of RMDs. Let's say your spouse were 70 and starting RMDS in 2017. Let's also say you don't need the RMD money now for living expenses but that your spouse would after your demise (due to your pension ending.) In what AA would you invest those funds to have ...
by friar1610
Sat Aug 27, 2016 12:07 pm
Forum: Investing - Theory, News & General
Topic: When in doubt, convert to a Roth
Replies: 17
Views: 1778

Re: When in doubt, convert to a Roth

I posted questions about this in an earlier thread and am still on the fence. At age 71 ........................................ I also don't relish being locked into a 5 year restriction (from the time of first conversion) on withdrawing the Roth funds.................................. Perhaps rea...
by friar1610
Sat Aug 27, 2016 11:46 am
Forum: Investing - Theory, News & General
Topic: When in doubt, convert to a Roth
Replies: 17
Views: 1778

Re: When in doubt, convert to a Roth

I posted questions about this in an earlier thread and am still on the fence. At age 71 and and with an income solidly in the 25% bracket I am keenly aware of the risk of slipping into the next Medicare premium bracket. (Several years ago, when I took some CGs to pay cash for a new house, I inadvert...
by friar1610
Fri Aug 26, 2016 5:39 pm
Forum: Investing - Help with Personal Investments
Topic: Need Retirement Fund Allocation Advice
Replies: 12
Views: 683

Re: Need Retirement Fund Allocation Advice

Phineas J. Whoopee wrote:
friar1610 wrote:Not clear to me why you wouldn't just use VG Total Stock Market Fund for the US equity portion instead of the 3 funds which essentially mirror it.

Inside OP's 401(k) it's understandable.
PJW


Yep. Didn't understand that.
by friar1610
Fri Aug 26, 2016 5:14 pm
Forum: Investing - Help with Personal Investments
Topic: Need Retirement Fund Allocation Advice
Replies: 12
Views: 683

Re: Need Retirement Fund Allocation Advice

Not clear to me why you wouldn't just use VG Total Stock Market Fund for the US equity portion instead of the 3 funds which essentially mirror it.
by friar1610
Fri Aug 26, 2016 2:39 pm
Forum: Investing - Help with Personal Investments
Topic: international bond funds
Replies: 14
Views: 949

Re: international bond funds

Just wondering the boglehead perspective on the importance of international bond funds in one's portfolio. Seems to me the 3 fund strategy would miss this small component - does it matter? should I set aside a few percent for it? If you research the subject on these boards I think you will find opi...
by friar1610
Wed Aug 24, 2016 7:20 pm
Forum: Personal Finance (Not Investing)
Topic: Questions about VG PAS
Replies: 5
Views: 530

Re: Questions about VG PAS

HueyLD wrote:Have you read this Vanguard PAS brochure ( https://personal.vanguard.com/pdf/vpabroc.pdf )? I think it provides answers to your questions.

In addition, it has a dedicated phone number of 1-800-416-8420 for additional questions.


No, I haven't seen the brochure. Thank you.

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