Search found 97 matches

by kate1234
Thu Feb 25, 2016 10:35 am
Forum: Personal Finance (Not Investing)
Topic: Hazards in this Roth conversion?
Replies: 5
Views: 541

Re: Hazards in this Roth conversion?

This was so helpful, thanks. For my Roths I currently have four accounts: one for the contributions/conversions done before 2015, one for the conversion done in 2015 that is waiting to see whether any of it needs to be recharacterized, one for the 2016 conversion, and one currently empty. I love the...
by kate1234
Wed Feb 24, 2016 3:40 pm
Forum: Personal Finance (Not Investing)
Topic: Hazards in this Roth conversion?
Replies: 5
Views: 541

Hazards in this Roth conversion?

I am slowly converting my tIRA to a rIRA. At the beginning of 2016 I made a conversion. The market has dropped and I have the ability to do a second conversion now at a lower price. I am thinking of making the second conversion of the same dollar amount (into a separate, currently empty, Roth accoun...
by kate1234
Sat Jan 09, 2016 11:55 am
Forum: Personal Finance (Not Investing)
Topic: Include 529 in net worth?
Replies: 32
Views: 2492

Re: Include 529 in net worth?

Now I wouldn't include them in retirement calculations because the intent is to spend the account BEFORE retirement. Well that depends. We have been retired for five years and are well into RMD-land, but our child is in his first year of college. Yes it is included in our net worth and we even incl...
by kate1234
Sat Jan 02, 2016 10:01 am
Forum: Personal Finance (Not Investing)
Topic: Engaged...So how do we handle finances now?
Replies: 40
Views: 3814

Re: Engaged...So how do we handle finances now?

There isn't a right or wrong answer; all that you can do is consider what other people have done, how their situation is similar to or different from yours, and think about how well it might work for you. I'd advise getting your respective credit scores which will help you understand each other bett...
by kate1234
Fri Jan 01, 2016 6:54 pm
Forum: Personal Consumer Issues
Topic: Maid for organizing
Replies: 3
Views: 655

Re: Maid for organizing

A "service" probably would not, but an individual might. I know of a lady who will fold clean clothes but would not think of putting them away because bedroom drawers are "private." However she will regularly clean and organize the Tupperware drawer in the kitchen.
by kate1234
Fri Oct 30, 2015 4:10 pm
Forum: Investing - Theory, News & General
Topic: Question on SS handout TOM distributed at Bogleheads conf
Replies: 1
Views: 340

Question on SS handout TOM distributed at Bogleheads conf

Given the new SS rules I am recalculating my SS spreadsheet. I am looking at the handout TOM passed out at the Bogleheads conference in the session on SS and don't understand something. In question 9 he quotes the SS rules (this quote here is actually from SS but is the same in essence): A spousal b...
by kate1234
Thu Oct 29, 2015 11:02 am
Forum: Investing - Theory, News & General
Topic: Tax Gain Harvesting vs Roth Conversion
Replies: 13
Views: 763

Re: Tax Gain Harvesting vs Roth Conversion

Are you married, and is your taxable account co-owned by both of you? If so, remember after you pass on the 15% tax bracket shrinks significantly for your spouse. If he/she needs to take some LTCGs in the future the amount that can be realized without bumping into the next bracket is correspondingl...
by kate1234
Thu Oct 29, 2015 9:35 am
Forum: Investing - Theory, News & General
Topic: Tax Gain Harvesting vs Roth Conversion
Replies: 13
Views: 763

Tax Gain Harvesting vs Roth Conversion

I have a recurring note to myself to review accounts each year to see whether Tax Gain Harvesting is appropriate--taking advantage of the zero capital gains tax up to the top of the 15% bracket. But I am also working on doing Roth Conversions each year. Are there reasons I should do one versus the o...
by kate1234
Thu Oct 29, 2015 9:23 am
Forum: Investing - Theory, News & General
Topic: Asset allocation and taxes
Replies: 1
Views: 216

Asset allocation and taxes

One of the great questions that was asked of panelists at the Boglehead conference was, "What is your asset allocation and why?" I got to thinking that each person might answer that question in multiple ways, depending on whether they included taxes in their calculation. For instance if th...
by kate1234
Fri Oct 02, 2015 9:32 am
Forum: Investing - Theory, News & General
Topic: Northwest FCU 3-year 3.04% Add-On CD
Replies: 327
Views: 27222

Re: Northwest FCU 3-year 3.04% Add-On CD

From NWFCU website: Early Withdrawal Penalty: We may impose a penalty if you withdraw any of the principal in your account before the maturity date. For Certificates having a term of six (6) months or less, the penalty will be equal to all dividends on the amount withdrawn since the date of issuance...
by kate1234
Fri Oct 02, 2015 8:50 am
Forum: Personal Consumer Issues
Topic: Vanguard, E-Mail Concern [clicking on links]
Replies: 35
Views: 2488

Re: Vanguard, E-Mail Concern

A number of the password management applications help with this uncertainty by only entering your user name and password on sites where it recognizes the underlying IP address. My understanding is the bad guys can create a site that looks identical in every way, possibly including the words and lett...
by kate1234
Thu Jul 30, 2015 4:01 pm
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting
Replies: 3
Views: 272

Re: Tax loss harvesting

If we assume it is is going to fall into the "fine" category, then do I do it immediately or do I need to wait? Planning for the future.
by kate1234
Thu Jul 30, 2015 3:48 pm
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting
Replies: 3
Views: 272

Tax loss harvesting

When the market really tanks and the price drops below my purchase price, if I own Vanguard Emerging Markets and Vanguard Developed Markets, can I sell them both, buy Vanguard Total International and claim a tax loss? Would I have to wait 30 days or is that different enough for me to make an exchang...
by kate1234
Thu May 14, 2015 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: How much to contribute to a 529 Plan
Replies: 2
Views: 780

How much to contribute to a 529 Plan

I am calculating the amount we should put into our 529 plans. Our child is a high school senior and knows where he is going to college, so we know the estimated costs. He might get an advanced degree but possibly not so I'm thinking it makes best sense for us to just fund four years of college (four...
by kate1234
Tue Mar 24, 2015 7:29 am
Forum: Personal Finance (Not Investing)
Topic: Choosing an accountant
Replies: 5
Views: 606

Choosing an accountant

Every year I do my taxes myself - with the help of my trusty TurboTax. This year things are just too darned complicated and I need an accountant. I was lucky enough to be in a meeting last night in which I asked a group of friends if they had an accountant they would recommend and four hands shot up...
by kate1234
Thu Mar 12, 2015 4:58 pm
Forum: Personal Consumer Issues
Topic: Choosing a Backpack and other Gear for el Camino
Replies: 100
Views: 9469

Re: Choosing a Backpack and other Gear for el Camino

What about buying a bunch of one-cent stamps? You get the backing for not a lot of money even if you throw away the stamps.
by kate1234
Thu Feb 05, 2015 10:28 am
Forum: Personal Finance (Not Investing)
Topic: RMDs and recharacterization
Replies: 7
Views: 570

Re: RMDs and recharacterization

Thanks for the good information and the reference, and my apologies for missing a key sentence in reading your first answer.
by kate1234
Wed Feb 04, 2015 5:20 pm
Forum: Personal Finance (Not Investing)
Topic: RMDs and recharacterization
Replies: 7
Views: 570

Re: RMDs and recharacterization

Wouldn't it just be the earnings that would have accrued by 12/31/14? It doesn't make sense that earnings accrued between 1/1/15 and the recharacterization date in 2015 would be added to the 12/31/14 balance that is used to calculate the 2015 RMD. It does, however, make intuitive sense that the 12/3...
by kate1234
Wed Feb 04, 2015 4:54 pm
Forum: Personal Finance (Not Investing)
Topic: RMDs and recharacterization
Replies: 7
Views: 570

RMDs and recharacterization

Let's say that the IRA account holder is 75, well into RMD-land. During 2014 he takes $50,000 of his $100,000 traditional IRA and converts it into a Roth IRA (in addition to taking the RMD because we all know you can't put the RMD into a Roth). But then in October 2015 he recharacterizes that conver...
by kate1234
Wed Nov 19, 2014 3:51 pm
Forum: Personal Finance (Not Investing)
Topic: What to prepare for first baby due next month?
Replies: 55
Views: 7459

Re: What to prepare for first baby due next month?

Get a good camera. Some folks also hire a professional baby-portrait photographer. If you don't have the money, the way the photographers get those so-peaceful pictures is they drape the background fabric or rug over the parent's body and put the baby on top of that - the baby gets the warmth and br...
by kate1234
Fri Nov 14, 2014 6:12 pm
Forum: Personal Finance (Not Investing)
Topic: Donating appreciated securities
Replies: 6
Views: 707

Re: Donating appreciated securities

As to 3): you mean whatever the price is two days hence, I sell and buy at the same time, rather than having it sit in cash for the intervening two days. So whether the market goes up or down it doesn't matter - I take zero extra risk by being out of the market. If so then that makes me feel much be...
by kate1234
Fri Nov 14, 2014 11:17 am
Forum: Personal Finance (Not Investing)
Topic: Donating appreciated securities
Replies: 6
Views: 707

Donating appreciated securities

I have a taxable account at Vanguard that holds VTSAX (Vanguard Total Stock Market Admiral) and VTMGX (Vanguard Developed Markets Index Admiral), both of which have been held for more than one year and both of which have appreciated since I bought them. I want to donate a portion to a charity during...
by kate1234
Fri Nov 14, 2014 10:18 am
Forum: Investing - Help with Personal Investments
Topic: Why is this simple for everyone else, retiree Roth question?
Replies: 13
Views: 1789

Re: Why is this simple for everyone else, retiree Roth quest

Your annuities/pensions added to your social security might already put you up over the 85% SS tax point, especially if they are indexed to inflation, so no amount of reduction of the RMDs would affect them. That will simplify your calculations.
by kate1234
Mon Nov 10, 2014 11:42 am
Forum: Local Chapters and Bogleheads Community
Topic: Master thread for Washington DC Area Bogleheads
Replies: 66
Views: 12334

Re: Master thread for Washington DC Area Bogleheads

Hi Sam,

I bet we'll have plenty of time to share thoughts on BH13 as well as discuss the usual array of random questions.

Katherine
by kate1234
Sat Oct 11, 2014 3:54 pm
Forum: Personal Finance (Not Investing)
Topic: Calculating RMDs
Replies: 14
Views: 2224

Calculating RMDs

I am studying IRS Publication 590, pages 35-36 and am confused. Let's assume the taxpayer turns 80 in October 2014, to avoid any discussion of when RMDs become due. And let's assume the taxpayer's spouse is either 95 or 65 - 15 years difference one direction or the other. The clear part is that the ...
by kate1234
Wed Sep 24, 2014 9:57 am
Forum: Local Chapters and Bogleheads Community
Topic: Master thread for Washington DC Area Bogleheads
Replies: 66
Views: 12334

Re: Master thread for Washington DC Area Bogleheads

So bottom line, how many dollars are you estimating this costs?
by kate1234
Wed Jul 09, 2014 5:32 pm
Forum: Personal Consumer Issues
Topic: Car did not start: To dispose? How?
Replies: 70
Views: 7290

Re: Car did not start: To dispose? How?

Hi Victoria, I can't answer most of your questions but I had good experience with donating my car to Salvation Army. They don't care if the car runs (but they do ask you I think because they maybe send a different kind of truck depending). They pick it up, then send it off to get it appraised, then ...
by kate1234
Wed May 14, 2014 6:13 am
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

If I recall correctly from when I did a rollover that went through my own bank account a couple of years ago (rather than trustee to trustee), Vanguard just asked me whether this was qualified rollover money and I said yes. I didn't have to prove anything to anybody. Ultimately it was between me and...
by kate1234
Thu May 08, 2014 6:22 pm
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

Bless you bless you bless you. You answer not only makes sense but you provided supporting documentation!! When I first started inquiring here at bogleheads I was met with some pretty hostile remarks from people who were, um, misreading the question. So I just stopped following up. The hostility was...
by kate1234
Thu May 08, 2014 2:29 pm
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

I am not an accountant and I am not the IRS, so anything I say here is just my logic, nothing official. I do know the general rule with the IRS is that one cannot roll one's RMDs over into a retirement account. Where we in this thread are taking issue is that TSP is calling a distribution an RMD whe...
by kate1234
Wed May 07, 2014 12:45 pm
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

This would enable keeping more of your assets in the TSP, but if that were the goal you would roll the entire TIRA into the TSP, not just a portion. The general game plan is that the bond portion of my asset allocation I keep in the G fund. The equity portion of the asset allocation could of course...
by kate1234
Tue May 06, 2014 3:35 pm
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

I'm the original poster and this is pretty interesting. It makes me wonder if a circular set of transfers might be possible: 1) One rolls some of the tIRA into the TSP, custodian to custodian (if one wants). 2) TSP distributes monthly installments of RMD, but uses the Uniform Table rather than the J...
by kate1234
Tue Feb 25, 2014 9:09 pm
Forum: Personal Finance (Not Investing)
Topic: Inheriting money, then leaving it to your kids
Replies: 23
Views: 2235

Re: Inheriting money, then leaving it to your kids

I'm noodling about asset allocation and working with William Bernstein's idea of "When you've won the game, why keep playing it?" So first we follow his recommendation of having enough money invested in very safe assets - TIPS, short-term treasuries, etc - to cover our residual living expe...
by kate1234
Tue Feb 25, 2014 7:05 pm
Forum: Personal Finance (Not Investing)
Topic: Inheriting money, then leaving it to your kids
Replies: 23
Views: 2235

Inheriting money, then leaving it to your kids

There isn't a right and wrong answer on this; I just wanted to see how people felt about enjoying money they have inherited versus being its steward for future generations.
by kate1234
Mon Feb 24, 2014 7:59 pm
Forum: Personal Finance (Not Investing)
Topic: Business Use of Home/Schedule D
Replies: 2
Views: 219

Business Use of Home/Schedule D

I run a business from my home and have Schedule C income and use Form 8829 Business Use of Home. This year I had some short term capital gains reported on Schedule D that were not related to the sources of income I report on Schedule C. I notice in the instructions for line 8 of Form 8829 that one c...
by kate1234
Mon Feb 10, 2014 12:38 pm
Forum: Personal Finance (Not Investing)
Topic: Cost basis relevant to Roth conversion?
Replies: 4
Views: 314

Re: Cost basis relevant to Roth conversion?

Okay so since I don't have an employer plan then I won't run into the deductible vs non-deductible problem, right? That would explain why I wasn't taking pains to keep track of it.
by kate1234
Mon Feb 10, 2014 12:13 pm
Forum: Personal Finance (Not Investing)
Topic: Cost basis relevant to Roth conversion?
Replies: 4
Views: 314

Cost basis relevant to Roth conversion?

A recent article I read said: "Because cost basis factors into the taxes due upon conversion, making a lump-sum investment to the Traditional IRA before converting will tend to be less cumbersome from an accounting paper-trail perspective than dollar-cost averaging." The article was here: ...
by kate1234
Sat Nov 09, 2013 12:57 pm
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

Not sure why the link didn't work. Try this:

"http://www.irs.gov/Retirement-Plans/RMD-Comparison-Chart-(IRAs-vs.-Defined-Contribution-Plans)"

I put quotes around it which took it out of an automatic link, so you'll have to copy and paste; but it works.
by kate1234
Sat Nov 09, 2013 12:54 pm
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

RMDs from 401(k)s are different than RMDs from IRAs. They have different rules. Can you please point me to the IRS literature that explains this? The only thing I can find is here: http://www.irs.gov/Retirement-Plans/RMD-Comparison-Chart-(IRAs-vs.-Defined-Contribution-Plans) which seems to say the ...
by kate1234
Sat Nov 09, 2013 10:32 am
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

In our case the excess distribution will be about $2,000 in the first year.
by kate1234
Sat Nov 09, 2013 10:23 am
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

You are correct that it is table III not table I as I had said. I'll run some numbers to see what the dollar amounts are likely to be.
by kate1234
Sat Nov 09, 2013 8:47 am
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

Re: RMDs from TSP and traditional IRA

Where I get hung up then is that for our family we would use Table II under Publication 590, the Joint Life Expectancy Table, to calculate the RMD, which requires a lower amount to be distributed each year. But TSP distributes according to the Single Life Expectancy Table, or Table I. Our plan was t...
by kate1234
Sat Nov 09, 2013 7:47 am
Forum: Investing - Help with Personal Investments
Topic: RMDs from TSP and traditional IRA
Replies: 55
Views: 3781

RMDs from TSP and traditional IRA

We have investments in both TSP and a traditional IRA. I recently ran across an article on Morningstar that said: "Just bear in mind that you can't combine different account types when taking RMDs--for example, you can't take RMDs from your IRA while leaving your 401(k) assets in place." T...
by kate1234
Wed Aug 28, 2013 10:03 am
Forum: Investing - Theory, News & General
Topic: Same/Similar Allocation Plan for Spouses if Age Disparity?
Replies: 5
Views: 1096

Re: Same/Similar Allocation Plan for Spouses if Age Disparit

We struggled with this too and ultimately came up with a single asset allocation that made sense for the younger spouse; that's the timeline you've got to have covered.
by kate1234
Tue Aug 13, 2013 6:43 pm
Forum: Personal Finance (Not Investing)
Topic: Who manages your finances? Him/Her/Both?
Replies: 58
Views: 3183

Re: Who manages your finances? Him/Her/Both?

We were both independent adults when we got married so had to find a compromise. He pays the bills and keeps the check register. She enters everything into Quicken, keeps the records, and does the tax returns. He has read all the investing books and hated every minute; she has read fewer but is who ...
by kate1234
Tue Aug 13, 2013 6:33 pm
Forum: Personal Finance (Not Investing)
Topic: Thinking of dropping life insurance policy
Replies: 14
Views: 1025

Thinking of dropping life insurance policy

I am 15 years into a 30-year term life insurance policy and am thinking about stopping payments on it. Child is 16, spouse is retired, and I earn a little money (maybe $15,000 per year) just for entertainment. Due to an inheritance we have enough assets that we are set; my husband and son just would...
by kate1234
Mon Aug 05, 2013 8:17 am
Forum: Investing - Help with Personal Investments
Topic: M* Article on GNMAs/Bond Diversification
Replies: 1
Views: 294

M* Article on GNMAs/Bond Diversification

I read the article about GNMAs on Morningstar with interest. For me the two big takeaways were 1) don't be afraid of them if you don't need the money within the next five years, and 2) bond diversification is a good thing. I manage my son's inherited IRA which I expect to last his lifetime - maybe 6...
by kate1234
Thu Aug 01, 2013 4:45 pm
Forum: Investing - Help with Personal Investments
Topic: asset allocation/asset placement & 529s
Replies: 11
Views: 551

Re: asset allocation/asset placement & 529s

most states limit the tax credit/deduction to a relatively small amount, say $10k annually at most (often less). Ours, Virginia, can be tricky but they let you take $4000 per taxpayer, per kid, and per account. So if we set up multiple accounts we can get more than the base $4000 deduction. And nex...
by kate1234
Thu Aug 01, 2013 4:13 pm
Forum: Investing - Help with Personal Investments
Topic: asset allocation/asset placement & 529s
Replies: 11
Views: 551

Re: asset allocation/asset placement & 529s

This thread has two components now: For the tax credit component, let's put some real numbers to this: our state school charges about $12,000 per year for tuition and about $12,000 for room & board, for a total of $24,000. So in theory I would contribute $20,000 to the 529 and would pay the firs...

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