Search found 157 matches

by jj
Sat May 27, 2017 9:23 pm
Forum: Personal Consumer Issues
Topic: Second report on my bike ride from Amsterdam to Passau
Replies: 2
Views: 702

Re: Second report on my bike ride from Amsterdam to Passau

I look forward to more reports - thank you!
by jj
Mon May 08, 2017 7:43 am
Forum: Personal Finance (Not Investing)
Topic: Retired - How much can I afford to pay for house
Replies: 12
Views: 1926

Re: Retired - How much can I afford to pay for house

Rules of thumb, like no more than 10% of NW being spent on a home are just that... some kind of false metric. The home you have is measured on a different scale - how it suits you and your family's lifestyle. Tempered, of course, by what you can afford. It seems that you spend very frugally, expendi...
by jj
Sat Feb 04, 2017 11:19 am
Forum: Personal Finance (Not Investing)
Topic: giving stock to adult child
Replies: 6
Views: 831

Re: giving stock to adult child

You will need to consider more than taxes. You are describing someone who is low income with a child. If you give her stock that she sells, it will increase her income. This may disqualify her for important benefits like health insurance or housing aid. In some cases, even cash gifts need reported,...
by jj
Sat Feb 04, 2017 9:50 am
Forum: Investing - Help with Personal Investments
Topic: All investments with Vanguard - Should I diversify
Replies: 19
Views: 2201

Re: All investments with Vanguard - Should I diversify

Our brokerage/mutual funds are only with Vanguard. I do not feel that further diversification is necessary for this part of our assets. We have further accounts with one credit union for certificates, Treasury Direct for government bonds, an HSA provider, and one on-line and one bricks-and-mortar ba...
by jj
Fri Dec 02, 2016 11:22 pm
Forum: Investing - Help with Personal Investments
Topic: seeking advice, in retirement now
Replies: 51
Views: 11743

Re: seeking advice, in retirement now

As the effective tax rate for this extra $20,000 IRA withdrawal is only 16% it makes sense to me to make this a Roth conversion, if she has decided against gifting it. Next year, filing single, she will be in the 25% marginal bracket, barring health issues increasing the medical deduction. It's unsu...
by jj
Thu Nov 03, 2016 1:05 pm
Forum: Investing - Help with Personal Investments
Topic: where to put withdrawals from Reg IRA
Replies: 7
Views: 1164

Re: where to put withdrawals from Reg IRA

If you don't need to spend the money now a better way to do this would be to 'convert' to a Roth IRA. This would retain the tax-deferred nature of the IRA and allow you to spend these dollars later in retirement or bequeath them to heirs with tax already paid, as you wish. Look up Roth conversion fo...
by jj
Sat Oct 08, 2016 4:59 pm
Forum: Investing - Help with Personal Investments
Topic: Guidance needed on IRAs/RMDs/Roths - Plan of Action
Replies: 23
Views: 2504

Re: Guidance needed on IRAs/RMDs/Roths - Plan of Action

canon_shooter wrote:
I'm also curious as to whether there is a limit on how much money can be converted from a TIRA to RIRA in a year.
Cheers

There is no limit, except a self-imposed one of not wanting to pay too much in taxes in one year.
by jj
Thu Jun 09, 2016 12:12 pm
Forum: Personal Finance (Not Investing)
Topic: What does "Self Insure" mean?
Replies: 43
Views: 5195

Re: What does "Self Insure" mean?

2 Tasty wrote:
The distinction between self-insured and uninsured (using the example of two individuals without life insurance):

Person A has no assets, a stay-at-home wife, and five kids. He is uninsured.

Person B has a billion dollars in the bank. He is self-insured.


THIS!
by jj
Sun Jun 05, 2016 12:21 pm
Forum: Investing - Help with Personal Investments
Topic: list of companies that support mega backdoor roths?
Replies: 4
Views: 1060

Re: list of companies that support mega backdoor roths?

No replies so far but my interest was piqued by this question.

I know of no lists. But after chatting with a friend who works for Microsoft, I believe he has access to a mega backdoor Roth.

jj
by jj
Sun May 01, 2016 9:14 am
Forum: Investing - Help with Personal Investments
Topic: No Income - Convert some Traditional IRA money to Roth IRA?
Replies: 21
Views: 2265

Re: No Income - Convert some Traditional IRA money to Roth IRA?

I have experienced this ability to convert with no income tax to pay and was as surprised as you about it. In early retirement in the first year of no W2 income I was noodling with our income in Turbotax toward the end of the year to see what our taxes would be. Knock me down with a feather when I d...
by jj
Thu Apr 14, 2016 4:41 pm
Forum: Personal Consumer Issues
Topic: Tesla X
Replies: 260
Views: 45831

Re: Tesla X

just frank wrote: Elon wants to 'change the world'....solar power, space exploration, vehicle electrification are his three big 'ideas'.

The goal is not (just) to make a profit on these technologies, but he also has a 'Ford-ian' goal to make them all affordable to a mass market.


Don't forget the Hyperloop!
by jj
Sun Mar 20, 2016 7:06 pm
Forum: Investing - Help with Personal Investments
Topic: Does this plan make sense?
Replies: 12
Views: 1358

Re: Does this plan make sense?

[quote="kxpatel" So I didn't get invest all of it, only about 35% of what I wanted to invest and in three chunks while the market was going down. While I did not loose money, I lost money based on the opportunity cost. The 65% of the money that is not invested is still in cash. If I had in...
by jj
Sat Feb 27, 2016 9:02 am
Forum: Personal Finance (Not Investing)
Topic: Capital loss on house - not personal residence
Replies: 1
Views: 270

Capital loss on house - not personal residence

We have engaged in a contract for a house to be built. We already owned the land. We are very unhappy with the builder and do not wish to live in this house, such bad feeling has been created. We have paid cash for this so there are no loans. We do not want to sue. We do not intend to live in the pr...
by jj
Fri Jan 01, 2016 11:21 pm
Forum: Investing - Theory, News & General
Topic: REGISTRATION FOR THE 2016 BOGLEHEAD CONTEST
Replies: 667
Views: 36980

Re: REGISTRATION FOR THE 2016 BOGLEHEAD CONTEST

2107.77

Happy New Year! jj
by jj
Fri Dec 11, 2015 3:59 am
Forum: Investing - Help with Personal Investments
Topic: Convert to Roth if you have a lot to convert?
Replies: 31
Views: 4223

Re: Convert to Roth if you have a lot to convert?

65/68. I figure that if I am going to pay the tax on removing money out of tIRA s, that I would move some of the proceeds to taxable funds to take advantage of losses against income at time of withdrawal (future). We are in your similar situation. I am bearish on markets in the short to medium term...
by jj
Thu Dec 03, 2015 6:13 pm
Forum: Personal Consumer Issues
Topic: Married couple - separate plans bronze hsa + silver -any downsides?
Replies: 2
Views: 513

Re: Married couple - separate plans bronze hsa + silver -any downsides?

I don't see any downside. If it works out badly you can do something different next year. We took a bronze HSA policy for 2015, our first foray into private HI. We had been using non-subsidized Company retiree HI since retiring early a few years ago. For a family of three this was costing almost $20...
by jj
Tue Dec 01, 2015 10:17 am
Forum: Personal Finance (Not Investing)
Topic: 2016 Obamacare-> What happens if make less than poverty level ($11800) in a state that didnt expand Medicaid?
Replies: 16
Views: 3119

Re: 2016 Obamacare-> What happens if make less than poverty level ($11800) in a state that didnt expand Medicaid?

To add They did offer him some kind of exemption from getting health insurance so that he would not have to pay the penalty for not having it. But I do not want him to be without health insurance so I will help him by paying the premium for him. As I would not see him unable to get care if needed it...
by jj
Tue Dec 01, 2015 10:04 am
Forum: Personal Finance (Not Investing)
Topic: 2016 Obamacare-> What happens if make less than poverty level ($11800) in a state that didnt expand Medicaid?
Replies: 16
Views: 3119

Re: 2016 Obamacare-> What happens if make less than poverty level ($11800) in a state that didnt expand Medicaid?

My family has experience with this. Our son, just turned 26 and with only a part time job and having filed taxes for the first time last year, could not prove to Healthcare.gov's satisfaction that he has enough income for 2015. They took away his subsidy credit and he will have to claim his subsidy ...
by jj
Sun Jul 12, 2015 3:41 pm
Forum: Investing - Help with Personal Investments
Topic: 27 Year Old Medical School Graduate With Financial Questions
Replies: 19
Views: 4511

Re: 27 Year Old Medical School Graduate With Financial Questions

Edit: I do have a theoretical question. If I'm at the point at the end of the year that I'm not maxed out with my Roth, should I 1. Cash out bonds I was given at birth to max it out? 2. Cash out stock to max it out? 3. Do nothing and let it sit? I'm putting in no less than 300 per month, so if I'm ...
by jj
Sun Jul 05, 2015 8:54 am
Forum: Investing - Theory, News & General
Topic: Emergdoc on Mr. Money Mustache
Replies: 186
Views: 31686

Re: Emergdoc on Mr. Money Mustache

Passions certainly run high around MMM! Apparently myself included since this discussion caused me to de-lurk at BH to comment*. I discovered both MMM and BH around the same time and have found both to be entertaining, thought-provoking, and educational. The discussion at BH is better informed, mor...
by jj
Fri Jul 03, 2015 3:09 am
Forum: Personal Finance (Not Investing)
Topic: financial adviser told me not to invest too much in 401k
Replies: 92
Views: 14125

Re: financial adviser told me not to invest too much in 401k

2. Based on what you've written here, I too don't think your 25% tax rate is correct. [I agree with heyyou 's calcs.] I think the OP would be in the 25% marginal tax bracket if they didn't contribute to their 401k. By contributing at a rate of 20% they have brought themselves into the top of the 15...
by jj
Sun Jun 28, 2015 7:17 am
Forum: Investing - Theory, News & General
Topic: What ratio are you stocks/bonds and how old are you?
Replies: 278
Views: 37891

Re: What ratio are you stocks/bonds and how old are you?

Retired - negligible pension or SS expected 60/56 ages 40-45% stock - 55-60% fixed income At the moment we are at the top of our 45% stock rebalancing bands and take our income from mutual fund distributions, CD interest and nibbling at our stock allocation to bring it under 45%. When the stock mark...
by jj
Thu Jun 04, 2015 7:19 am
Forum: Investing - Help with Personal Investments
Topic: Taxable holdings crowding out sheltered
Replies: 5
Views: 1091

Re: Taxable holdings crowding out sheltered

8% - Total Bond Market 8% - High-Yield Corporate 8% - Inflation Protected Securities 6% - REIT Index I wouldn't be holding any of these in a taxable account if you care about taxes. As already said, hold diversified index stock funds with low expense ratios in taxable, and plan on holding them for ...
by jj
Fri May 29, 2015 10:52 pm
Forum: Investing - Help with Personal Investments
Topic: Home Equity as part of your Net Worth?
Replies: 25
Views: 3655

Re: Home Equity as part of your Net Worth?

Personally, our IPS states that our home should not be more than 15% of our net worth. Admittedly this is a fairly arbitrary figure and our current percentage is around 9%. I would like to pass on a cautionary tale from acquaintances of ours. They traded up to a property twice the value of their pre...
by jj
Tue May 26, 2015 8:07 am
Forum: Investing - Help with Personal Investments
Topic: Multiple Accounts Asset Allocation
Replies: 12
Views: 1549

Re: Multiple Accounts Asset Allocation

To comment on this: My wife does have 401k and the only funds available are American funds - fees there look horrifying to me (1.1, 1.5, 1.6 etc). W e are not doing anything with that since it is the only way for her to max out $18,000 (she can only contribute $5,500 to backdoor Roth IRA if she stop...
by jj
Sat May 23, 2015 7:54 am
Forum: Investing - Help with Personal Investments
Topic: Investing after Retirement
Replies: 10
Views: 1575

Re: Investing after Retirement

Firstly, unless you have a number of issues squared away in your own mind changing the investments in your 401k and taxable savings is ‘moving the deckchairs on the Titanic’. The questions to think about are: - How safe is my pension? Is there a cost of living adjustment (COLA)? - How much do we ‘ne...
by jj
Sun May 03, 2015 7:50 pm
Forum: Investing - Theory, News & General
Topic: Who's Buying I Bonds Now?
Replies: 43
Views: 6831

Re: New I bond rates out - not good news

We still might buy our full I bonds this year (I already bought $5k from my tax refund) because it's not inflation this year I'm worried about: it's inflation in 20 years. And once I don't buy this year's I bonds, I can never buy them again. Am I thinking about this clearly? Yes. This is my plan i....
by jj
Fri May 01, 2015 5:29 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Assett Allocation in Semi-Retirement
Replies: 10
Views: 1146

Re: Help with Assett Allocation in Semi-Retirement

We are definitely counting on taking 4% or so a year from these funds, hopefully lasting for 20+ years. Our yearly expenses are less that our yearly income now, so our strategy now should be more about preservation of our assets. The first sentence is from your initial post and suggests you are pla...
by jj
Sat Apr 25, 2015 9:07 am
Forum: Investing - Help with Personal Investments
Topic: Roth IRA options when you can't contribute to it anymore
Replies: 12
Views: 1939

Re: Roth IRA options when you can't contribute to it anymore

Name/Inception Date Asset Class Category Gross Expense Ratio** Shareholder Fees SPTN TOT MKT IDX INS (FSKTX) 11/05/1997 Stock Investments Large Cap 0.07% SPTN EXT MKT IDX ADV (FSEVX) 11/05/1997 Stock Investments Mid-Cap 0.07% VANG TOT BD MKT INST (VBTIX) 12/11/1986 Bond Investments Income 0.07% You...
by jj
Sat Apr 04, 2015 8:36 am
Forum: Investing - Help with Personal Investments
Topic: Taxable savings to Roth IRAs?
Replies: 8
Views: 1385

Re: Taxable savings to Roth IRAs?

If you are worried about realizing too much gain in one tax year you could fill up the 2014 Roth IRA'S now, before April 15th. Then, next year max out your 2015 Roth IRA s before April 15th 2016. That will spread out the tax consequences over two years. It depends on your tax bracket whether this is...
by jj
Sat Apr 04, 2015 8:23 am
Forum: Investing - Help with Personal Investments
Topic: Advice needed for investing proceeds of property sale
Replies: 1
Views: 369

Re: Advice needed for investing proceeds of property sale

I'll respond to bump you up, hoping that someone with more experience can analyze your situation. I think 85/15 stock/bond ratio is too high for your ages and funds accumulated. That is why you are hesitant with this extra 33% of the portfolio that your asset allocation requires you to invest in mos...
by jj
Sun Mar 29, 2015 6:12 pm
Forum: Investing - Help with Personal Investments
Topic: How to invest in retirement
Replies: 13
Views: 1858

Re: How to invest in retirement

Welcome to the forum!

$12,000/month withdrawal from a $2.5M portfolio is a 5.76% withdrawal rate. This is unsustainable, long term, even with low investment costs (yours likely aren't!) At 72/64 one of you could well have 35 years ahead of you.
by jj
Sat Mar 28, 2015 8:16 am
Forum: Investing - Help with Personal Investments
Topic: Strategy for avoiding tax hit on rebalancing?
Replies: 4
Views: 861

Re: Strategy for avoiding tax hit on rebalancing?

You say 80% of their assets are taxable which means 20% are tax deferred. If there are any stocks in their 401k/IRA accounts they can exchange those for taxable bonds with no tax consequences. If they want to make any gifts to family, gift appreciated stocks to those who are in a lower tax bracket t...
by jj
Thu Mar 26, 2015 8:41 am
Forum: Personal Finance (Not Investing)
Topic: [Poll] Would you be disappointed if VG advertised more?
Replies: 19
Views: 1987

Re: [Poll] Would you be disappointed if VG advertised more?

JDCarpenter wrote: I don't recall ever seeing or hearing an ad...


I hear their ads on my local NPR station, and see ads online. Nothing flashy though, as befits the 'steady' brand image.
by jj
Tue Mar 17, 2015 7:58 am
Forum: Investing - Help with Personal Investments
Topic: How to plan for early retirement: Healthcare costs
Replies: 53
Views: 10826

Re: How to plan for early retirement: Healthcare costs

If you are not employed you can still contribute to an HSA. There are various financial institutions that provide them. Look on thefinancebuff.com (he posts on Bogleheads too) for pointers on the best account for your situation. The Boglesheads wiki must also have some info, or a site search will pu...
by jj
Mon Mar 16, 2015 10:33 am
Forum: Investing - Help with Personal Investments
Topic: 27 yr old Starting from $0, Paid off CC
Replies: 27
Views: 4052

Re: 27 yr old Starting from $0, Paid off CC

Congratulations on the new job, paying off your credit card balance and finding the Bogleheads site! Firstly, set your 401k contribution to 6% and forget about it. This is ‘free’ money, it’s really part of your salary which you can claim by contributing to your 401k, or forego if you don’t. Contribu...
by jj
Mon Mar 16, 2015 9:58 am
Forum: Investing - Help with Personal Investments
Topic: How to plan for early retirement: Healthcare costs
Replies: 53
Views: 10826

Re: How to plan for early retirement: Healthcare costs

We left the corporate world almost 10 years ago when we still had 4 kids at home. It was an 'early retirement' package which gave us access to their employee HI at full prices. This was important as we did not want to negotiate the realm of private insurance pre-ACA when we could be cut off or price...
by jj
Sat Mar 14, 2015 10:23 am
Forum: Investing - Help with Personal Investments
Topic: How to pull money out of investments to backfill E-fund
Replies: 12
Views: 1400

Re: How to pull money out of investments to backfill E-fund

Is that flawed to pump up tax advantaged accounts (+$75K-$100K/year) even if it means withdrawing from taxable (-$25 to 50K/year)? I don't think so. Maximizing tax deferred space is almost always a good idea. Think of it as consumption smoothing. You're at a fairly expensive time in your lives with...
by jj
Fri Mar 13, 2015 8:37 am
Forum: Investing - Help with Personal Investments
Topic: Which 529 plan are you using?
Replies: 61
Views: 7764

Re: Which 529 plan are you using?

Illinois' Direct sold "Bright Start" plan - Vanguard index options with low expense ratios (0.19 to 0.21 mostly). Do make sure to avoid the Oppenheimer funds.
by jj
Sat Mar 07, 2015 9:32 am
Forum: Investing - Theory, News & General
Topic: The More I learn, the fewer changes I make
Replies: 25
Views: 4064

Re: The More I learn, the fewer changes I make

grabiner wrote:
Started reducing my bond allocation by 2% per year as retirement eventually approaches.


Really? You're reducing your bond allocation...
by jj
Fri Mar 06, 2015 10:20 pm
Forum: Investing - Theory, News & General
Topic: ...it is madness to risk losing what you need in pursuing wh
Replies: 48
Views: 6735

Re: ...it is madness to risk losing what you need in pursuin

OP - If you're going to copy a quote to start a new thread, don't you think it would be proper to place it in context to what Warren Buffett wrote in his annual report? Did you just read the quote and read straight through the rest of what was said following it? The statement was made in the contex...
by jj
Mon Mar 02, 2015 9:00 am
Forum: Investing - Theory, News & General
Topic: ...it is madness to risk losing what you need in pursuing wh
Replies: 48
Views: 6735

...it is madness to risk losing what you need in pursuing wh

This quote is taken from this year's BRK annual shareholder letter and is, of the many erudite things in that letter, the part which resonated most with me. It hit me like a smack in the face with its simplicity. I suspect most readers read straight past it. "It is madness to risk losing what y...
by jj
Tue Feb 17, 2015 3:31 pm
Forum: Investing - Help with Personal Investments
Topic: Am I saving properly for retirement?
Replies: 54
Views: 4809

Re: Am I saving properly for retirement?

Spirit Rider wrote: In 2015 the maximum Roth contribution is $6K.



Let's not confuse the issue... 2015 contribution limits stay the same as 2014 at $5500, and $6500 including catch-up for the 50 and older set.

http://www.irs.gov/Retirement-Plans/Pla ... ion-Limits
by jj
Tue Feb 17, 2015 2:25 pm
Forum: Personal Consumer Issues
Topic: Preparing for 2 months incommunicado
Replies: 144
Views: 10768

Re: Preparing for 2 months incommunicado

gatorman wrote:I asked my friend Arthur Dent, who is a very experienced traveler, what one piece of advice he could offer and he said to tell you "Don't forget your towel!"
gatorman


:D
by jj
Tue Feb 17, 2015 10:05 am
Forum: Personal Consumer Issues
Topic: Preparing for 2 months incommunicado
Replies: 144
Views: 10768

Re: Preparing for 2 months incommunicado

We leave every year for an overseas trip of about two months' duration. Last year we decided to contact our flagship rep to put a 'hold' on our Vanguard account. We both enrolled for voice verification and set our security computer settings to only allow transactions for the two computers at home. W...
by jj
Fri Jan 30, 2015 1:23 pm
Forum: Personal Finance (Not Investing)
Topic: .
Replies: 37
Views: 5080

Re: US citizen vs green card

There is no 'portability' for estate taxes when one member of a married couple is only a green card holder, and the other a citizen. If joint assets are +/-$5.5M there need to be testamentary trusts or there will be taxes at the second death.
by jj
Sat Dec 13, 2014 12:28 pm
Forum: Investing - Help with Personal Investments
Topic: How to convert from TIRA to Roth IRA
Replies: 11
Views: 1235

Re: How to convert from TIRA to Roth IRA

Firstly, check to see if you can move your TIRA to your current 401k plan. If you can do this it will be your cheapest option. If you can't do that, converting to a Roth IRA at Vanguard will cost you taxes on whatever the value is when you make the conversion. So, if the value is $25,000 on the even...
by jj
Mon Dec 08, 2014 12:19 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Planning - Bunching of Deductions
Replies: 12
Views: 1675

Re: Tax Planning - Bunching of Deductions

I believe your understanding is correct. Unless you can 'bunch' to the point where your itemized deductions are lower than the standard deduction every other year (and therefore take the higher standard deduction for your taxes that year) there is no point in deferring any deductions.