Search found 272 matches

by jaj2276
Mon Feb 20, 2017 10:11 am
Forum: Investing - Theory, News & General
Topic: Tax Implications of Drawdown from Different Account Types
Replies: 13
Views: 628

Re: Tax Implications of Drawdown from Different Account Types

Only the Capital gains from taxable are added to AGI. Roth is not added at all. All of tIRA is added. Deductions and exemptions are subtracted to get taxable income (line 43 of 1040). Capital gains taxes are pulled out and calculated separately. Since you are in 15% tax bracket, the rate is 0% for ...
by jaj2276
Thu Feb 16, 2017 1:17 pm
Forum: Personal Finance (Not Investing)
Topic: Umbrella 1 million $500
Replies: 32
Views: 2218

Re: Umbrella 1 million $500

I was paying $450 for $2m of coverage with eSurance (AllState).

I just switched to Geico in part due to Geico's umbrella coverage being significantly cheaper ($297 for $2m of coverage).
by jaj2276
Tue Feb 14, 2017 8:13 pm
Forum: Investing - Help with Personal Investments
Topic: Moving 20% into cash
Replies: 32
Views: 2682

Re: Moving 20% into cash

I just did the opposite as I was underweight equities because I donated a bunch of securities at the end of last year! Even worse is that I was really underweight intl equities and that has gone up more than the US! So I've bought and like you, I felt I've bought at the top. If I'm right, I'll have ...
by jaj2276
Mon Feb 13, 2017 12:35 pm
Forum: Investing - Help with Personal Investments
Topic: Opinion about VGPMX for 2017 [Vanguard Precious Metals and Mining]
Replies: 44
Views: 2030

Re: Opinion about VGPMX for 2017 [Vanguard Precious Metals and Mining]

My AA is 10% precious metals. I try to hold my precious metals as physical bullion but this fund comes in handy to make up for any shortfall (and also helps with liquidity in case my precious metals increase in value and I need to rebalance out of precious metals). I will say that this fund is proba...
by jaj2276
Wed Feb 01, 2017 1:22 pm
Forum: Personal Finance (Not Investing)
Topic: Disability Insurance
Replies: 7
Views: 674

Re: Disability Insurance while not working

... Stuff deleted ... Pricing seems reasonable for the benefits and your occupation, I'm guessing this is a Principal policy. $8500/mo covers about $185k income if there was no group coverage in place, and that pricing means you are spending about 2.4% of income on the policy. A comprehensive disab...
by jaj2276
Tue Jan 31, 2017 10:44 pm
Forum: Personal Finance (Not Investing)
Topic: Share your net worth progression
Replies: 462
Views: 110055

Re: Share your net worth progression

Here's the reverse side of it all: What is the purpose of retirement planning? Well for me it is to live in retirement. Leaving an estate to my kids is lots further down my priority list. The day I retired in 2000, age 55, I was at 2.584 mill. Now at the end of 2016, having lived off it for 16.5 ye...
by jaj2276
Tue Jan 31, 2017 10:37 pm
Forum: Investing - Help with Personal Investments
Topic: Recharacterizations of Trad to Roth IRA conversions
Replies: 6
Views: 768

Re: How to recharacterize a conversion amongst backdoor contributions

Answering my own question (I need to figure out how to add flair to my topics so I get more replies!), I was not able to undo my recharacterization (I spoke to Vanguard and asked the question and the rep gave a gentle laugh). But now I'm wondering what I'll be able to recharacterize in my accounts g...
by jaj2276
Tue Jan 31, 2017 8:59 pm
Forum: Personal Finance (Not Investing)
Topic: Disability Insurance
Replies: 7
Views: 674

Re: Disability Insurance while not working

I didn't get many responses on this topic but I'll post an update with different questions so as to not pollute with a new thread. A bit about the policy: ⋅ $8,535 Monthly benefit ⋅ To Age 65 ⋅ 90 day elimination period Riders in effect (I list only the ones that cost e...
by jaj2276
Fri Jan 27, 2017 11:54 am
Forum: Investing - Help with Personal Investments
Topic: Kids Personal Savings - Other Vanguard funds?
Replies: 19
Views: 828

Re: Kids Personal Savings - Other Vanguard funds?

By the way, the usual concerns about tax efficiency do no apply for a child's account when assets are modest. You will likely want to tax- GAIN harvest in the up years, so that the child's cost basis can advance with no tax cost. You would rather not he get hit with taxes on 10+ years of gains when...
by jaj2276
Fri Jan 20, 2017 2:15 pm
Forum: Personal Finance (Not Investing)
Topic: Disability Insurance
Replies: 7
Views: 674

Re: Disability Insurance while not working

Well the basis of the claim (and this might not be valid) would be that I couldn't go back to work (which I would need to do to cover my increased expenses!). My policy is own occ if that makes a difference. I guess I'm wondering if I should try and reprice a policy that only pays out to when I'd li...
by jaj2276
Fri Jan 20, 2017 1:54 pm
Forum: Personal Finance (Not Investing)
Topic: Disability Insurance
Replies: 7
Views: 674

Disability Insurance

I currently have an employer provided group DI policy that provides $6k of monthly benefit. I have an individual policy that currently provides $2300 of monthly benefit. I am currently increasing my individual DI policy significantly as my income has increased in the last few years (my group monthly...
by jaj2276
Sat Dec 31, 2016 4:37 pm
Forum: Investing - Theory, News & General
Topic: What are you up YTD? [Year To Date]
Replies: 1288
Views: 210614

Re: What are you up YTD? [Year To Date]

XIRR of 11.48% (will be higher as 2 of my investments Dec returns won't be known until a bit later in Jan/Feb). Total portfolio increase of 27.10%. A XIRR of 7.38% from 1/1/2009. 27.5% Bonds 10% Precision Metals 41.88% US Equities (Small Value tilt) 20.62% Intl Equities 2017 will increase the bonds ...
by jaj2276
Sat Dec 24, 2016 12:07 pm
Forum: Personal Finance (Not Investing)
Topic: interesting WSJ article on donor advised funds
Replies: 22
Views: 2137

Re: interesting WSJ article on donor advised funds

My wife and I just set one up this year with Vanguard. We normally give to 5 charities a year and usually give cash. With the DAF, we were able to fund a 20-year charitable plan with appreciated stock and take the whole deduction this year (we're in a high tax bracket). We're also using the VPW spre...
by jaj2276
Sun Dec 18, 2016 3:34 pm
Forum: Investing - Theory, News & General
Topic: Variable Percentage Withdrawal (VPW)
Replies: 718
Views: 205444

Re: Variable Percentage Withdrawal (VPW)

I just donated a good sum of money to a Vanguard Donor Advised Fund (seeded by appreciated stock to boot). I want to optimize my yearly distributions given the performance of the investment portfolio and have an idea for how long I expect this amount to last. Wouldn't VPN help me with this? Seems li...
by jaj2276
Thu Jul 07, 2016 10:08 am
Forum: Investing - Help with Personal Investments
Topic: Recharacterizations of Trad to Roth IRA conversions
Replies: 6
Views: 768

Re: How to recharacterize a conversion amongst backdoor contributions

I recharacterized a Rollover->Roth IRA conversion I did in 2015 this past February (2016). I filed an extension this past April and have yet to file my taxes for 2015. Unfortunately the investments I chose for my recharacterization have gone up (I chose SCV and Precious Metals and Mining) so if I we...
by jaj2276
Wed Jun 29, 2016 4:06 pm
Forum: Personal Finance (Not Investing)
Topic: 15K Deposit after Attorney Review. Buying a house. Is this Normal???
Replies: 31
Views: 2884

Re: 15K Deposit after Attorney Review. Buying a house. Is this Normal???

My second house I bought (it was a new house from a builder) I had to put down 5% as earnest money (about $20k). I unfortunately got cold feet and forfeited this amount. It's one of two regrets I've had while purchasing real estate. The next house I bought I put down $5k. This was on a $368k house. ...
by jaj2276
Sat Jun 25, 2016 3:36 pm
Forum: Personal Consumer Issues
Topic: Southeast coast beach cities for raising a family
Replies: 29
Views: 2465

Re: Southeast coast beach cities for raising a family

quantAndHold wrote:Progressive is a relative term, and I doubt that I would find any of the places under discussion to be progressive enough that I'd feel comfortable there, but OP might be just fine.


I don't understand this. What would make you feel uncomfortable?
by jaj2276
Sat Jun 25, 2016 8:11 am
Forum: Personal Consumer Issues
Topic: Southeast coast beach cities for raising a family
Replies: 29
Views: 2465

Re: Southeast coast beach cities for raising a family

The Charleston area is terrible. Please don't move here.
by jaj2276
Wed May 18, 2016 9:03 am
Forum: Investing - Help with Personal Investments
Topic: Recast a mortgage right at the begining
Replies: 25
Views: 2259

Re: Recast a mortgage right at the begining

I'm not familiar with the official term of recast but I just closed on a house yesterday with a minimum down payment. Once my current house sells I will then use those proceeds and apply it to the new mortgage and reamortize it. My lender allows this but only after 6 months (I guess they at least ge...
by jaj2276
Sat Apr 23, 2016 9:58 am
Forum: Investing - Help with Personal Investments
Topic: Tax lien investing
Replies: 5
Views: 1620

Re: Tax lien investing

Wow, this is an old thread. I haven't bought a single tax lien since 2009. The "cat's out of the bag" so to speak and too much (easy) money driving up prices. When I bought my 4 tax liens in 2009 I felt I was one of the fortunate to have additional cash lying around. With the housing marke...
by jaj2276
Mon Apr 04, 2016 9:15 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]

Thanks to everyone who contributed to this thread. It's been by far my most active thread on this board (I'm a dork, sometimes those things mean something). I've decided to buy the house and am feeling excited and confident about my decision due in no small part to your advice.
by jaj2276
Mon Apr 04, 2016 9:08 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

OP, even though this falls into my category of "increasing expenses", it sounds like you can afford the new expense and it will lead to an increased quality of life. Spending money that you can afford to increase your quality of life is a very valid spending choice. If you're just having ...
by jaj2276
Mon Apr 04, 2016 9:02 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

+1 I'm wondering if the debt-to-income ratio wasn't missed by other posters. With an income of $500k, you can easily afford a $1m house, even with substantial renovations. I can't imagine this would possibly bring you into a "LAYM" situation unless you are spending an awful lot of money e...
by jaj2276
Mon Apr 04, 2016 8:53 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

At a certain point you can live in fear (what if I lose my job and unable to ever get employed again, get disability, kid develops some rare disorder,....) or you can make reasonable plans (i.e. being able to retire at 50 with enough money for 12k/month in spending + whatever the wife brings home+ ...
by jaj2276
Mon Apr 04, 2016 8:49 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

Two things jump out at me: 1) Your goal is $5 million in retirement which will sustain a $200K/yr lifestyle. This may be too much money considering your wife has a pension plan and you will get SS as well. Plus I doubt you will be spending as much money since you will have a paid off house and will...
by jaj2276
Mon Apr 04, 2016 8:40 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

A final word of caution is that you will notice I am still saving. I would not STOP saving until you are financially independent (which is to say that your assets are roughly 30 times your yearly expenses (give or take, depending on your risk tolerance)). I am assuming when you say "living at ...
by jaj2276
Mon Apr 04, 2016 8:36 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

If I were you, I'd buy the beach house. No question. You are not even talking a mortgage of 2x your annual income. That is very conservative. And you both work, again giving a layer of additional protection. Your reno budget may go up, just be prepared. I would assume property close to the beach wo...
by jaj2276
Mon Apr 04, 2016 8:32 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

... The issue that I see is that you are taking out a loan to finance your dreams. You didn't say how much of your portfolio was in taxable accounts but if you paid an additional $300K down on the property you would still have a $240K mortgage and except for the additional taxes your future cash fl...
by jaj2276
Mon Apr 04, 2016 8:14 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

At your current income level, you can definitely afford it. Are you confident you can sustain same level of income for next 10, 15 years? I'm confident that if "normal" things happen, and this includes both good and bad "normal", then I can sustain that level of income. I'm even...
by jaj2276
Sun Apr 03, 2016 8:23 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

I did it. I think buying a bigger house is about the single worst way to start LAYM, though. I was 39 and had reached a point where I had enough saved that I felt I could get by without contributing anything else. (Due to Australia being flat out better than America ;) I still was contributing 9% t...
by jaj2276
Sun Apr 03, 2016 8:11 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

Edit: now that I read your response, you should still be able to set aside quite a bit with a 600k mortgage. You will only be paying 18k a year in interest, and you are presently saving 200k. I would not count on your wife wanting to continue her job after you hit your personal number, because jobs...
by jaj2276
Sun Apr 03, 2016 7:58 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

jaj2276, Your family had a new baby. Won't that change your life? Why are you assuming both you and your wife will go on living as before? Aka, you and your wife will work as hard as before and earned the equal amount of money. You and your wife have the money and associated freedom to spend more t...
by jaj2276
Sun Apr 03, 2016 7:50 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re:

I wish I knew how things would work out in 10 years :) Don't we all. While you can certainly afford it now, a lot can happen in ten years. It seems to me that the doubt here is in the what-ifs, and that it might be worth your while to run a few not-what-we'd-planned scenarios. You know, how will yo...
by jaj2276
Sun Apr 03, 2016 7:37 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

jaj2276, Where does tha baby place in your priority list? You talk about your job, your wife's job, and your 2 dogs. You want to buy a house near a beach to make your dogs happy. But, how about your baby? You and your wife make about $200K to $300K each. You have sufficient retirement asset. You ca...
by jaj2276
Sun Apr 03, 2016 5:35 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Re: Leaving a LBYM lifestyle

Tough to say without details - so I guess it depends on the specific decision. A friend purchased too much home recently and is LAYM. From what he has shared, he regrets the decision and it has generally created hardship and stress for him and his family. My scenario will be similar, more details b...
by jaj2276
Sun Apr 03, 2016 2:07 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]
Replies: 54
Views: 7175

Leaving a LBYM lifestyle ["Living Below" to "Living At" Your Means]

Assuming B = Below, has anyone done this and been happier? I ask because I have a specific decision to make that would take me out of my current LBYM lifestyle and move me towards a more LAYM (A = At) lifestyle. I can provide more details in case anyone is interested but I wanted to see how often th...
by jaj2276
Mon Mar 07, 2016 3:32 pm
Forum: Personal Consumer Issues
Topic: Is an interior designer worth it?
Replies: 33
Views: 3883

Re: Is an interior designer worth it?

We bought a house back in 2010 and wanted/needed someone to help us decorate. I think my wife and I both have "good taste" but it's hard to choose items. I can walk in to someone else's home and know what I like and don't like about their decorations but starting from a blank slate was too...
by jaj2276
Fri Feb 05, 2016 8:04 am
Forum: Investing - Help with Personal Investments
Topic: Recharacterizations of Trad to Roth IRA conversions
Replies: 6
Views: 768

Re: How to recharacterize a conversion amongst backdoor contributions

Ok, the recharacterization is complete. Vanguard recharacterized $16,199.96. Now a couple of questions: 1) Vanguard has already issued me my 2015 1099-R for my traditional IRA. The amount was $18594.16. I have yet to do my taxes for 2015. I had planned on entering this amount, making sure there was ...
by jaj2276
Tue Feb 02, 2016 7:54 am
Forum: Investing - Help with Personal Investments
Topic: Recharacterizations of Trad to Roth IRA conversions
Replies: 6
Views: 768

Re: How to recharacterize a conversion amongst backdoor contributions

Obviously not much interest in my situation but in case someone reads this later on and wonders what the answer(s) are, here goes. I called up Vanguard and they stated the following: 1) If I had not done the MF to Brokerage account conversion last December, they could have quickly told me how many ...
by jaj2276
Mon Feb 01, 2016 10:04 pm
Forum: Investing - Help with Personal Investments
Topic: Recharacterizations of Trad to Roth IRA conversions
Replies: 6
Views: 768

Re: How to recharacterize a conversion amongst backdoor contributions

Obviously not much interest in my situation but in case someone reads this later on and wonders what the answer(s) are, here goes. I called up Vanguard and they stated the following: 1) If I had not done the MF to Brokerage account conversion last December, they could have quickly told me how many d...
by jaj2276
Fri Jan 29, 2016 12:16 pm
Forum: Personal Finance (Not Investing)
Topic: 7 strategies rich people use to pay less in taxes
Replies: 9
Views: 2528

7 strategies rich people use to pay less in taxes

https://taxes.yahoo.com/post/138278099108/7-strategies-rich-people-use-to-pay-less-in-taxes They choose whole-life insurance Another strategy that’s especially beneficial for wealthy taxpayers is purchasing whole-life insurance, which lasts, unsurprisingly, for the policyholder’s whole life. It als...
by jaj2276
Sun Jan 24, 2016 9:27 pm
Forum: Personal Finance (Not Investing)
Topic: Amex/Costco Customer Retention Offer
Replies: 21
Views: 4435

Re: Amex/Costco Customer Retention Offer

I posted on one of the several other threads about the Costco AMEX relationship that I was offered $500 after spending $3000. I took it.
by jaj2276
Sun Jan 24, 2016 5:35 pm
Forum: Investing - Help with Personal Investments
Topic: Recharacterizations of Trad to Roth IRA conversions
Replies: 6
Views: 768

Recharacterizations of Trad to Roth IRA conversions

First, let me apologize for asking another question about IRA recharacterizations. I've read the wiki and a dozen or two threads about recharacterization and still have a few questions. Here are the facts: A) Jan 1 of 2015, I had a $0 balance in my tIRA and a ~$175k balance in my Roth IRA. B) On 2/6...
by jaj2276
Fri Jan 15, 2016 1:52 pm
Forum: Personal Finance (Not Investing)
Topic: Amex Costco Card Replacement Offers
Replies: 30
Views: 4392

Re: Amex Costco Card Replacement Offers

I received the offer for the Blue Everyday Card, both in a mailing and when I logged in to my Amex Costco Account. My offer was for $500 once $3000 was spent and 0% interest through Feb 2017. I promptly took the offer and received my $500 credit. I'll make the minimum monthly payment for the next 10...
by jaj2276
Wed Dec 16, 2015 2:44 pm
Forum: Investing - Theory, News & General
Topic: "Vanguard converting mutual fund accounts to brokerage?
Replies: 400
Views: 75988

Re: "Vanguard converting mutual fund accounts to brokerage?

Adding my experience. I logged in over the weekend and was asked to convert so I did. My accounts were as follows: -- Individual MF-only account -- Traditional IRA w/ no balance (used for backdoor Roths) -- Roth IRA -- Joint Brokerage Account All accounts were converted with no issues. The Joint Br...
by jaj2276
Wed Dec 16, 2015 9:50 am
Forum: Investing - Theory, News & General
Topic: "Vanguard converting mutual fund accounts to brokerage?
Replies: 400
Views: 75988

Re: "Vanguard converting mutual fund accounts to brokerage?

Adding my experience. I logged in over the weekend and was asked to convert so I did. My accounts were as follows: -- Individual MF-only account -- Traditional IRA w/ no balance (used for backdoor Roths) -- Roth IRA -- Joint Brokerage Account All accounts were converted with no issues. The Joint Bro...
by jaj2276
Sun Oct 04, 2015 7:49 am
Forum: Investing - Help with Personal Investments
Topic: Do banks/credit unions offer loans off of investment accounts?
Replies: 13
Views: 1165

Re: Do banks/credit unions offer loans off of investment accounts?

Yes, how much money are we talking about here? If you have $10 million +, you'd be surprised just how much one can "borrow", but you'd have to post your account as collateral, sign various documents giving the lender the right to sell you out if you fail to pay as agreed upon. What you ar...
by jaj2276
Sat Oct 03, 2015 10:05 pm
Forum: Investing - Help with Personal Investments
Topic: Do banks/credit unions offer loans off of investment accounts?
Replies: 13
Views: 1165

Do banks/credit unions offer loans off of investment accounts?

Does anyone know if banks and/or credit unions offer loans on investment accounts not held at their institutions? I imagine this isn't a blanket yes/no but wondering if this is even a thing. I have accounts at Vanguard that I don't want to move for obvious reasons but I'd really like to borrow again...
by jaj2276
Thu Oct 01, 2015 9:08 am
Forum: Personal Finance (Not Investing)
Topic: Buying a bank owned house, how to do it?
Replies: 4
Views: 597

Re: Buying a bank owned house, how to do it?

The bank made it be known that that the house was sold "as-is" and that it wouldn't make any concessions (monetarily or other wise) to anything found during the inspection. In my initial purchase agreement, my offer was contingent upon the house passing my inspection (with the full knowle...
by jaj2276
Thu Oct 01, 2015 6:56 am
Forum: Personal Finance (Not Investing)
Topic: Buying a bank owned house, how to do it?
Replies: 4
Views: 597

Re: Buying a bank owned house, how to do it?

I bought a bank-owned house (often called a REO). It was listed for sale through a realtor so the transaction was the exact same as if a person was selling it. The bank made it be known that that the house was sold "as-is" and that it wouldn't make any concessions (monetarily or other wise...

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