Search found 62 matches

by imperio
Sun Jul 02, 2017 5:26 pm
Forum: Personal Finance (Not Investing)
Topic: Lease New Car?
Replies: 28
Views: 2815

Re: Lease New Car?

Using a very simple example - if I have $30,000 cash today, should I be buying a $30,000 car and selling after 3 years or leasing for 3 years? Buy method Pay $30,000 up front. Drive for 3 years Sell for $15,000. Depreciation cost = $15,000 Lease method Pay $0 up front. Put $30,000 in Ally Savings ac...
by imperio
Sun Jul 02, 2017 4:55 pm
Forum: Personal Finance (Not Investing)
Topic: Lease New Car?
Replies: 28
Views: 2815

Re: Lease New Car?

Decided to start a new thread of leasing.... So I have never leased prior and am now considering a lease. I have a 2015 Subaru Outback Limited w/ 29k miles and it cost $36k. I owe $26k and my payment to pay off in 3 years would be about $750. My math is as follows. 1) Lease a car for $300 a month w...
by imperio
Sun Jul 02, 2017 4:48 pm
Forum: Personal Finance (Not Investing)
Topic: Lease New Car?
Replies: 28
Views: 2815

Re: Lease New Car?

Never liked leasing, always wanted to own. However, since 1995, I've been leasing and love it. -new car every 3 years, state of the art -fun changing models -no repairs, little maintenance -frees up cash -not owning a depreciating asset -I feel safer -etc It's kind of like renting v owning a house....
by imperio
Sat Jul 01, 2017 2:15 pm
Forum: Personal Finance (Not Investing)
Topic: Car leasing similar to buying an option
Replies: 12
Views: 1205

Re: Car leasing similar to buying an option

The biggest risk to losing extra money on a purchase is excess depreciation, not excess wear. My Camry is due from lease in three months and $3k under water. Toyota Financial will eat the loss, not me. I am under miles with no excess wear. I am economically $3k better off by leasing instead of purc...
by imperio
Sat Jul 01, 2017 1:55 pm
Forum: Personal Finance (Not Investing)
Topic: Engagement Ring Insurance
Replies: 46
Views: 3079

Re: Engagement Ring Insurance

2. If we made a claim on the ring, it would not affect our auto/renter's policy premiums since it's a separate policy with a different company.. I don't think this is true. Most (all?) insurance companies report claims to agencies like CLUE, iiX, and A-Plus Property Reports. Then insurance companie...
by imperio
Sat Jul 01, 2017 12:59 am
Forum: Personal Consumer Issues
Topic: Wrecked Vehicles and Whether or Not to Keep Them
Replies: 34
Views: 1970

Re: Wrecked Vehicles and Whether or Not to Keep Them

OP - you need to loosen up and live a little. What's the point in making the "smart" decision if you're going to be miserable driving what you deem an old and not so nice car (I assume this isn't what you see it as from your McDonald's worker comment)? You know there is a name for the pers...
by imperio
Sat Jul 01, 2017 12:43 am
Forum: Personal Finance (Not Investing)
Topic: Engagement Ring Insurance
Replies: 46
Views: 3079

Re: Engagement Ring Insurance

First, I want to applaud you for purchasing a reasonably cost ring. My ring is in that price range and when my Husband mentioned insurance, in boglehead fashion I asked him what it cost and said "we don't need insurance!" At first I think he felt bad that the ring was "cheap" an...
by imperio
Fri Jun 30, 2017 6:14 pm
Forum: Personal Finance (Not Investing)
Topic: Engagement Ring Insurance
Replies: 46
Views: 3079

Re: Engagement Ring Insurance

Hello Bogleheads, I am seeking for advice/suggestions as to how to best proceed in regards to insuring my fiancee's ring. I have a homeowner's policy with State Farm. I called and they said they could insure the ring for $60 a year. I also looked at Jewelers Mutual Insurance Company. They quote me ...
by imperio
Fri Jun 30, 2017 3:16 pm
Forum: Personal Finance (Not Investing)
Topic: Car leasing similar to buying an option
Replies: 12
Views: 1205

Car leasing similar to buying an option

Say you were in the market for a new car - does a lease and buyout strategy make sense as opposed to buying outright? I'm going to exclude taxes, fees, interest rates, financing costs etc. for simplicity in my example below. Doesn't matter what length of ownership you're looking at, but it has to be...
by imperio
Fri Jun 23, 2017 2:51 pm
Forum: Personal Consumer Issues
Topic: What do you say when you cancel an account that you only opened for bonus?
Replies: 64
Views: 4670

Re: What do you say when you cancel an account that you only opened for bonus?

workingovertime wrote:Just curious to know what you all say on the phone when you cancel the account after this?


I say thank you very much, and have a nice day.
by imperio
Fri Jun 23, 2017 2:44 pm
Forum: Personal Consumer Issues
Topic: What is your car's average cost ownership?
Replies: 70
Views: 4992

Re: What is your car's average cost ownership?

Exactly. I think you're also engaging in wishful thinking. OP did include the cost of tires for some reason but left our other consumables. The actual cost of a car is roughly double the purchase price. There's even a website dedicated for this: https://www.edmunds.com/tco.html No, it's not wishful...
by imperio
Thu Jun 22, 2017 4:59 pm
Forum: Personal Consumer Issues
Topic: What is your car's average cost ownership?
Replies: 70
Views: 4992

Re: What is your car's average cost ownership?

We had a thread on the topic of car costs earlier this year: The Sweet Spot for Yearly Car Costs Since then, I have carefully complied all of my data to try to get the most accurate picture of what I spend on cars. It was eye-opening for me. As you can see from my raw data, I am not very savvy in m...
by imperio
Thu Jun 22, 2017 4:40 pm
Forum: Personal Consumer Issues
Topic: What is your car's average cost ownership?
Replies: 70
Views: 4992

Re: What is your car's average cost ownership?

Thank you all for your response. It seems like I'm spending more than the average amount spent by bogleheads. It's good to know where my number stands among others. I'm seeing some posters keep track of other costs but your situation might be different than others. For example, there might be a vas...
by imperio
Sun Jun 18, 2017 2:37 pm
Forum: Personal Finance (Not Investing)
Topic: Child Gift/Investment question
Replies: 2
Views: 233

Re: Child Gift/Investment question

Since it was a gift, I don't think you should do anything to it. What if the gift had been say, $30,000 per child to buy them a car upon graduation and he wanted it put in a savings account till they graduated? Or if it had been a Rolex watch to gift upon graduation. Would you sell it and invest the...
by imperio
Fri Jun 16, 2017 4:02 pm
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

By the way if I contribute 4% and employer contributes 2%, for this example say that works out to $4,000 and $2,000, does this mean I have used up $6,000 of my $18,000 contribution limit or have I only used up $4,000 i.e. can contribute another $14,000? The employer match is not part of the $18K em...
by imperio
Fri Jun 16, 2017 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

And you're saying I can contribute $5,500 if I qualify then at one go? Yes. If your modified AGI does fall under the limit (which I think is $186,000 but check that), you can each contribute $5,500 to Roth IRA before April 15 next year (or whatever tax day is if the 15th falls on a weekend or holid...
by imperio
Fri Jun 16, 2017 3:58 pm
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

I had another question before I forget - I see that it is commonly advocated on here to max out 401K, then max out Roth, before putting money in taxable accounts? I would imagine it's better to max out a Roth before a 401K because your earnings in Roth grow tax-free, right?
by imperio
Thu Jun 15, 2017 3:48 pm
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

It is not your gross income that determines if you can or cannot contribute directly to Roth iRA. It is your modified AGI (aggregated gross income) that determines if you can or cannot contribute directly to Roth IRA. So you could, at least in theory, have a gross income over $200k but with large c...
by imperio
Thu Jun 15, 2017 2:08 pm
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

Combined income is around the $200K mark give or take, so we can't contribute the full $5,500 to Roth and would rather not do the guesswork around how much we are eligible to contribute. Don't want the hassle of putting $5,000 in and come tax filing season realize we can only put in $4,860 and have...
by imperio
Thu Jun 15, 2017 12:52 pm
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

Mind if I clarify my understanding on the below as well: Traditional IRA: max contribution per year is $5,500 (you can lower your taxable income by $5,500, however if you are converting these into a Roth account you don't want to do that) If you qualify for the deductible IRA, but you don't want th...
by imperio
Thu Jun 15, 2017 12:32 pm
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

If you qualify for deductibility (but don't need it) you don't need a backdoor Roth IRA You just need a Roth IRA. Combined income is around the $200K mark give or take, so we can't contribute the full $5,500 to Roth and would rather not do the guesswork around how much we are eligible to contribute...
by imperio
Thu Jun 15, 2017 12:27 pm
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

Mind if I clarify my understanding on the below as well: Traditional IRA: max contribution per year is $5,500 (you can lower your taxable income by $5,500, however if you are converting these into a Roth account you don't want to do that) 401K: max contribution per year is $18,000 (if deducted from ...
by imperio
Thu Jun 15, 2017 11:16 am
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

Yes, your understanding is essentially correct (no need to buy funds, just leave the money in your settlement account). I'm also puzzled as to what's stopping the average boglehead from doing a backdoor Roth and letting that investment compound tax-free instead of putting money in taxable accounts?...
by imperio
Thu Jun 15, 2017 11:13 am
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

You should know that this is not a good option for a person who has another IRA (that isn't Roth) - anything called rollover IRA, SEP IRA, SIMPLE IRA, or traditional IRA. I think the fact that you didn't understand the $5,500 limit on each year's contribution indicates you don't yet have a good und...
by imperio
Thu Jun 15, 2017 11:08 am
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

You essentially have it correct. Some comments for you below in RED, in part for others who come across this thread who may have questions about the process. I'm currently researching backdoor Roths and what I understand so far on how this works is: 1. Open a Traditional IRA account. 2. Open a Roth...
by imperio
Thu Jun 15, 2017 11:02 am
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Re: Walk me through a backdoor Roth?

Yes, your understanding is essentially correct (no need to buy funds, just leave the money in your settlement account). I'm also puzzled as to what's stopping the average boglehead from doing a backdoor Roth and letting that investment compound tax-free instead of putting money in taxable accounts?...
by imperio
Wed Jun 14, 2017 7:10 pm
Forum: Personal Finance (Not Investing)
Topic: Walk me through a backdoor Roth?
Replies: 42
Views: 2051

Walk me through a backdoor Roth?

I'm currently researching backdoor Roths and what I understand so far on how this works is: 1. Open a Traditional IRA account. 2. Open a Roth IRA Account. 3. Transfer post-tax money (i.e. savings from my net take home salary) into the Traditional IRA account. 4. Immediately sell the funds I purchase...
by imperio
Wed Jun 14, 2017 4:06 pm
Forum: Personal Finance (Not Investing)
Topic: Would you take a 25% pay cut for more professional satisfaction?
Replies: 57
Views: 3688

Re: Would you take a 25% pay cut for more professional satisfaction?

I've never taken a pay cut, but just over 2 years ago I was mulling over offers from direct competitors, the two largest companies in a specific field. One offer was for nearly 40% more, but I took the lower offer. The main consideration was that the higher-paying offer would require me to travel q...
by imperio
Thu Jun 08, 2017 5:22 pm
Forum: Personal Finance (Not Investing)
Topic: Getting married oversesas -> can I file as single in US?
Replies: 5
Views: 517

Getting married oversesas -> can I file as single in US?

I was reading through this thread - https://www.bogleheads.org/forum/viewtopic.php?f=2&t=220484 - and saw this post Another option is to have a religious wedding ceremony but never file the state marriage license. The ceremony may fulfill your cultural and family beliefs. As long as you have not...
by imperio
Tue May 30, 2017 6:04 pm
Forum: Investing - Help with Personal Investments
Topic: Roth contribution question
Replies: 3
Views: 497

Roth contribution question

So I would like to open and fund a Roth IRA account this month. I currently earn between 90-100K gross before ESPP and RSUs. So I am eligible to put in $5,500 as I understand it. Now my fiancee earns about the same as I do. We plan to get married at the end of this year, within 2017. We plan to get ...
by imperio
Tue May 30, 2017 2:39 pm
Forum: Personal Consumer Issues
Topic: Tesla Model 3 or Chevy Bolt?
Replies: 258
Views: 24987

Re: Tesla Model 3 or Chevy Bolt?

Bolt for daily use and rent a gas car for road trips.
by imperio
Tue May 30, 2017 2:29 pm
Forum: Personal Consumer Issues
Topic: Do I deserve it? [A new car]
Replies: 69
Views: 5430

Re: Do I deserve it?

It sounds like you don't currently like your present car and want to switch it for something else. You don't need to spend 35K to do this swap to something you like. You might be able to find something lightly used for much less. To provide a bit more perspective, a brand new car can be had for unde...
by imperio
Tue May 30, 2017 2:22 pm
Forum: Personal Consumer Issues
Topic: Rental cars and Lose of Use insurance
Replies: 14
Views: 1058

Re: Rental cars and Lose of Use insurance

Question - insurance coverage kicks in if I pay for the car rental in full with the card that provides the protection i.e. Chase Reserve. Thing is, I am only charged when I return the car even though I put my Chase Reserve CC details down when picking the car up. This effectively means that I have n...
by imperio
Tue May 30, 2017 1:32 pm
Forum: Personal Consumer Issues
Topic: best way to buy tires
Replies: 62
Views: 5236

Re: best way to buy tires

Wow ... im getting 30k miles out of my tires and i take care of them ... im suprised the michelines are getting north of 75k and 90k on them ... that's amazing Hard rubber. I took a set of Michelins off a vehicle with lower profile tires. The ride was so harsh due to the hardness required to get a ...
by imperio
Thu May 25, 2017 6:27 pm
Forum: Personal Consumer Issues
Topic: best way to buy tires
Replies: 62
Views: 5236

Re: best way to buy tires

Wow ... im getting 30k miles out of my tires and i take care of them ... im suprised the michelines are getting north of 75k and 90k on them ... that's amazing Hard rubber. I took a set of Michelins off a vehicle with lower profile tires. The ride was so harsh due to the hardness required to get a ...
by imperio
Wed May 24, 2017 3:54 pm
Forum: Investing - Help with Personal Investments
Topic: VTSMX vs Schwab Total Stock Market Index Fund
Replies: 29
Views: 2833

VTSMX vs Schwab Total Stock Market Index Fund

https://www.schwab.com/public/schwab/nn ... ml?van=tqn

Am I missing something or does the Schwab Total Stock Market Index Fund look like a better option compared to Vanguard Total Stock Market fund, since it has lower costs?
by imperio
Tue May 23, 2017 6:34 pm
Forum: Investing - Help with Personal Investments
Topic: Investing Emergency Fund
Replies: 33
Views: 3988

Re: Investing Emergency Fund

We use insight prepaid accounts for the bulk of our e-fund. They offer 5% on up to 5000 in a savings account and each person can have two accounts. That gets us 20k earning 5%, so we don't worry about the rest sitting at 1%. It does take a few days, though, for an ach pull to bring the funds back i...
by imperio
Mon May 22, 2017 7:20 pm
Forum: Personal Finance (Not Investing)
Topic: Shocking car insurance quote
Replies: 39
Views: 5156

Re: Shocking car insurance quote

Allstate is known for its policy of " price optimization, a technique that penalizes loyal policyholders by charging them higher rates because their insurer believes they are unlikely to shop around for a better price ." I too was a long term Allstate customer jolted by how much more I wa...
by imperio
Mon May 22, 2017 7:20 pm
Forum: Personal Finance (Not Investing)
Topic: Shocking car insurance quote
Replies: 39
Views: 5156

Re: Shocking car insurance quote

Allstate is known for its policy of " price optimization, a technique that penalizes loyal policyholders by charging them higher rates because their insurer believes they are unlikely to shop around for a better price ." I too was a long term Allstate customer jolted by how much more I wa...
by imperio
Fri May 19, 2017 1:14 pm
Forum: Investing - Help with Personal Investments
Topic: Life's big ticket items to save for
Replies: 37
Views: 3139

Re: Life's big ticket items to save for

We are paying just under $30k per year for day care. After tax. We are paying to work. Get used to that idea. But if you find a good center with qualified people, it will be money well spent. :sharebeer We'll need to figure out if it makes sense for one parent to stay home or for both to work when ...
by imperio
Fri May 19, 2017 1:13 pm
Forum: Investing - Help with Personal Investments
Topic: Life's big ticket items to save for
Replies: 37
Views: 3139

Re: Life's big ticket items to save for

We are 31 years old with a 2.5 year old and 10 month old. Daycare: 20K per year for both kids, will go down steadily but not completely due to summer child care and after school daycare, etc... Pregnancy and delivery via cesarean: only paid a couple thousand due to excellent insurance coverage Both...
by imperio
Fri May 19, 2017 1:08 pm
Forum: Investing - Help with Personal Investments
Topic: Life's big ticket items to save for
Replies: 37
Views: 3139

Re: Life's big ticket items to save for

Using cars: Wife staying home for 16 years instead of continuing her management job in healthcare. 1 Ferrari LaFerrari Aperta Son at a top, private engineering college. 1 Lamborghini Huracan Second son in private high school. (not expensive one) 1 brand new Subaru STi Limited with nav and spare set...
by imperio
Fri May 19, 2017 1:07 pm
Forum: Investing - Help with Personal Investments
Topic: Life's big ticket items to save for
Replies: 37
Views: 3139

Re: Life's big ticket items to save for

Welcome Imperio, I'm 51 and have been married for 22 years and have a 19 year old daughter. I'm confident that you have more expendable income NOW than you will ever have once you get married and have kids. Start packing your lunches now and save everything you can :) I hate packing lunches!!! But ...
by imperio
Fri May 19, 2017 1:05 pm
Forum: Investing - Help with Personal Investments
Topic: Life's big ticket items to save for
Replies: 37
Views: 3139

Re: Life's big ticket items to save for

1. How much/what are you doing for daycare? Have seen numbers posted that people pay for daycare that seem very high. 2. In a similar sense, what will they be doing for school? Public or Private? I have seen numbers posted that people pay for elementary, middle school, and high school that seem ver...
by imperio
Thu May 18, 2017 3:00 pm
Forum: Investing - Help with Personal Investments
Topic: Life's big ticket items to save for
Replies: 37
Views: 3139

Re: Life's big ticket items to save for

How much do kids cost from delivery We just had a baby in February. The entire cost (the delivery, hospital recovery, tests on the baby, ultrasounds, everything ) cost us $12,000. That's with insurance, including maternity coverage. So buckle up. I'm by no means rich, or even "well-off", ...
by imperio
Thu May 18, 2017 2:43 pm
Forum: Investing - Help with Personal Investments
Topic: Life's big ticket items to save for
Replies: 37
Views: 3139

Re: Life's big ticket items to save for

Thanks all. Just wanted to be sure I hadn't missed anything and stumble upon an OH SXXT! moment 10 years down the road. How do people feel about having kids paying their own way through college? I paid for mine, albeit it not being in the US and hence a lot cheaper in my home country. I worked part ...
by imperio
Thu May 18, 2017 2:39 pm
Forum: Investing - Help with Personal Investments
Topic: Life's big ticket items to save for
Replies: 37
Views: 3139

Re: Life's big ticket items to save for

ruralavalon wrote:I'll add, although it costs a lot to raise children, pay those expenses out of income don't try to save up for them. Live frugally and have a reasonable emergency fund.

Why so? I assume you mean outside of college fees, which you mentioned were the big ticket item.
by imperio
Thu May 18, 2017 12:32 pm
Forum: Investing - Help with Personal Investments
Topic: Updates to our financial situation & a few questions..
Replies: 15
Views: 1286

Re: Updates to our financial situation & a few questions..

looks good. if you do DCA, what will you invest the rest of it while waiting? high-yield savings? you can use a target date account and adjust bond allocation. but if you are going to have so much VTSAX, why not just buy the components (US TSM, Total Int'l, Total Bond) and adjust the bond allocatio...
by imperio
Thu May 18, 2017 12:23 pm
Forum: Investing - Help with Personal Investments
Topic: Life's big ticket items to save for
Replies: 37
Views: 3139

Life's big ticket items to save for

I'm 30 and getting married this year, planning to have kids in the next few years, and maybe buy a home if we move out of the SFBA. What are some of the big ticket items I should save for? Wedding expenses we've got figured out. How much do kids cost from delivery to when they're out on their own? A...
by imperio
Tue May 16, 2017 1:21 am
Forum: Personal Finance (Not Investing)
Topic: Buying a luxury car (how dumb would it be to do this?)
Replies: 216
Views: 19471

Re: Buying a luxury car (how dumb would it be to do this?)

OP: for what it's worth, you may want to consider buying used (non-CPO) and using the $ savings to buy a good extended warranty from a reputable company to hedge your risk of multiple expensive repairs. There're warranties that require you to pay as little as $100 out of pocket for each repair.

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