Search found 110 matches

by kathyauburn
Fri Mar 24, 2017 8:12 am
Forum: Investing - Theory, News & General
Topic: The $1,124,176 Car.
Replies: 99
Views: 8265

Re: The $1,124,176 Car.

CyclingDuo wrote:Sorry it didn't work out for you.


I'm not. I love the lessons it taught me. We all know that life lessons are sometimes expensive.
by kathyauburn
Fri Mar 24, 2017 8:07 am
Forum: Investing - Theory, News & General
Topic: The $1,124,176 Car.
Replies: 99
Views: 8265

Re: The $1,124,176 Car.

I'd rather be poor with my wife than rich alone. Please. Being unmarried does *not* mean being alone, nor does it mean being lonely. Far from it, in fact, I would argue. Marriage, in my experience, often shrinks rather than expands one's circle. Here's an experiment that I encourage everyone to try...
by kathyauburn
Fri Mar 24, 2017 7:31 am
Forum: Investing - Theory, News & General
Topic: AA after reaching your "freedom number"?
Replies: 39
Views: 4070

Re: AA after reaching your "freedom number"?

What are the Bogleheads recommended practices for how to allocate your portfolio once you've reached your "goal" number and wish to stop "working for a living"? For me it's 80 percent G fund (available only to Federal or former Federal employees) and 20 percent stocks. I may con...
by kathyauburn
Fri Mar 24, 2017 7:20 am
Forum: Investing - Theory, News & General
Topic: The $1,124,176 Car.
Replies: 99
Views: 8265

Re: The $1,124,176 Car.

This is yet another good thread. It reminds everyone that the three key areas of housing, transportation, and food are the primary drivers of determining if one accumulates wealth or not over the course of their life - at least in terms of LBYM. Get one wrong, you might still end up okay. Get two w...
by kathyauburn
Fri Mar 24, 2017 5:53 am
Forum: Investing - Theory, News & General
Topic: The $1,124,176 Car.
Replies: 99
Views: 8265

Re: The $1,124,176 Car.

Bogleheads: One of the easiest ways to save money is buying an inexpensive car. I'll explain: The automobile industry spends billions of dollars each year (General Motors alone spends over $3.4 Billion annually) in their marketing attempts to sell us more car than we need. We forget that a car is p...
by kathyauburn
Wed Mar 22, 2017 2:20 am
Forum: Personal Finance (Not Investing)
Topic: Long term unemployment planning
Replies: 61
Views: 2725

Re: Long term unemployment planning

I am completely incensed by the unrealistic absurdity of this advice that is being given to Tommy. The way I am reading this is, he has been displaced by someone offshore or someone younger from this skilled job he had for several years. Now he is advised to relocate to some remote country, he know...
by kathyauburn
Wed Mar 22, 2017 2:16 am
Forum: Personal Finance (Not Investing)
Topic: Long term unemployment planning
Replies: 61
Views: 2725

Re: Long term unemployment planning

rgs92 wrote:Don't forget to set aside enough money for the divorce that often accompanies long term unemployment.


Agree. And say no to marriage in the future, unless you like the State entangled in your personal relationships.
by kathyauburn
Wed Mar 22, 2017 2:15 am
Forum: Personal Finance (Not Investing)
Topic: Long term unemployment planning
Replies: 61
Views: 2725

Re: Long term unemployment planning

Basically I'm facing the same issue - 57.5 yo, laid off from tech industry, sending resume and getting no reply. In my case I need 3 years to pay off house, 7 years to get Medicaid. So, will do any job that allow me not to touch investments (taxable and not taxable) for the next 7 years and hope th...
by kathyauburn
Tue Mar 21, 2017 4:32 pm
Forum: Investing - Help with Personal Investments
Topic: TSP Loan for First Time Homebuyer
Replies: 32
Views: 1020

Re: TSP Loan for First Time Homebuyer

A big NO on the TSP loan. Find another way.
by kathyauburn
Tue Mar 21, 2017 4:29 pm
Forum: Investing - Help with Personal Investments
Topic: How to harmonize a TSP and a Vanguard portfolio
Replies: 9
Views: 595

Re: How to harmonize a TSP and a Vanguard portfolio

I would (and did) put everything in the TSP. It's the best retirement vehicle available, IMO, largely because of the low fees--lower than Vanguard--and the G fund, available nowhere else.

Biggest risk is the occasional noise we hear about Congress wanting to raid the G fund in various ways.
by kathyauburn
Tue Mar 21, 2017 4:21 pm
Forum: Personal Finance (Not Investing)
Topic: Long term unemployment planning
Replies: 61
Views: 2725

Re: Long term unemployment planning

Basically I'm facing the same issue - 57.5 yo, laid off from tech industry, sending resume and getting no reply. In my case I need 3 years to pay off house, 7 years to get Medicaid. So, will do any job that allow me not to touch investments (taxable and not taxable) for the next 7 years and hope th...
by kathyauburn
Tue Mar 21, 2017 11:56 am
Forum: Personal Finance (Not Investing)
Topic: Long term unemployment planning
Replies: 61
Views: 2725

Re: Long term unemployment planning

. I came back here 25 years ago to make as much money as I could while living like a pauper so that I could return, live and teach part-time. Mission accomplished, so far. If I had it to do over again I would have just stayed in Europe. Oh, well. One has to be careful about inter-country happiness ...
by kathyauburn
Tue Mar 21, 2017 8:01 am
Forum: Personal Finance (Not Investing)
Topic: Long term unemployment planning
Replies: 61
Views: 2725

Re: Long term unemployment planning

I applaud you for thinking about this. Over the course of my life, these are the financial things I have never regretted: 1. living substantially below my means 2. paying off my mortgage, in full, as soon as I could These are the things I have regretted: 1. buying individual stocks 2. not returning...
by kathyauburn
Mon Mar 20, 2017 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Long term unemployment planning
Replies: 61
Views: 2725

Re: Long term unemployment planning

I applaud you for thinking about this. Over the course of my life, these are the financial things I have never regretted: 1. living substantially below my means 2. paying off my mortgage, in full, as soon as I could These are the things I have regretted: 1. buying individual stocks 2. not returning ...
by kathyauburn
Mon Mar 20, 2017 3:50 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

If you are comfortable and happy with a 2.74% SWR ($19.2K initial withdrawal from $700K) that - great, but I'd bin that as a savings and retirement income plan failure starting on day one of retirement. I wouldn't have to worry about being killed by the stress of equity volatility because when I to...
by kathyauburn
Mon Mar 20, 2017 3:32 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

In the middle of the 2008 Financial Crisis, Taylor stressed the importance of having a "Plan B." Some people took his post at the time to mean he was panicking even though he clearly stated it didn't apply to his specific financial situation. I used the opportunity to figure out what exac...
by kathyauburn
Mon Mar 20, 2017 3:31 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

knpstr, Why 100% stock or 100% bond is the only choice? 60/40 or 70/30 will work out fine under any circumstances. KlangFool Clearly, it's not the only choice. But we have to ask ourselves, why are we saving money in these accounts we can't easily get to? Is it our retirement fund? Or is it our une...
by kathyauburn
Mon Mar 20, 2017 3:22 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

when I told my wife our life savings were going to yield $27,400 in annual retirement income per million (before taxes) she would kill me off right then. :mrgreen: LOL. I view retirement as consisting of several income streams. The investment account is one of them. If I had to squeeze my entire re...
by kathyauburn
Mon Mar 20, 2017 1:07 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

The lesson is that you can't really know how to call it. So the best bet is to decide how much exposure you need and want and manage (re-balance) as necessary to deal with it. I have been re-balancing periodically back to my 40% target on the way up. I do the same on the way down again. I may go cr...
by kathyauburn
Sun Mar 19, 2017 3:18 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

Just as it is worth noting that bull markets don't last forever, it is also worth noting that the longer the bull runs the more optimistic that investors get. When everybody is an optimist, the market runs out of buyers. Don't get caught in the trap of excessive optimism. And times like right now, ...
by kathyauburn
Sun Mar 19, 2017 3:16 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

I have to imagine it would take [guts --admin LadyGeek] to stick with a 40% stock allocation when the market turns down 40, 50, 60 or more percent. [OT comment removed by admin LadyGeek] Are you kidding? I rode through the last two 50% market crashes with 100% stock. Just kept buying as much as I c...
by kathyauburn
Sun Mar 19, 2017 2:33 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

The lesson is that you can't really know how to call it. So the best bet is to decide how much exposure you need and want and manage (re-balance) as necessary to deal with it. I have been re-balancing periodically back to my 40% target on the way up. I do the same on the way down again. I may go cr...
by kathyauburn
Sun Mar 19, 2017 1:24 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

The lesson is that you can't really know how to call it. So the best bet is to decide how much exposure you need and want and manage (re-balance) as necessary to deal with it. I have been re-balancing periodically back to my 40% target on the way up. I do the same on the way down again. I may go cr...
by kathyauburn
Sun Mar 19, 2017 1:22 pm
Forum: Investing - Theory, News & General
Topic: Sitting on cash....Waiting for a crash
Replies: 129
Views: 17612

Re: Sitting on cash....Waiting for a crash

if you're kept up late at night worrying about your investments, the money you save will be spent on antacids and sleep aids and treating your ulcer. Get your mix of money to a place, either long term or tactically, where you can sleep easy. cheers! jwf Right on. Many investors, however, do not rea...
by kathyauburn
Sun Mar 19, 2017 1:15 pm
Forum: Investing - Theory, News & General
Topic: Sitting on cash....Waiting for a crash
Replies: 129
Views: 17612

Re: Sitting on cash....Waiting for a crash

So should those who are living off of their portfolio have 10 years of expenses allocated to cash? That's what I have. To each his own. But the cash lets me feel like I can ride out a downturn of a decade. I can raise more if I needed to without touching the investment stash. This business of 6 mon...
by kathyauburn
Sun Mar 19, 2017 1:10 pm
Forum: Investing - Theory, News & General
Topic: Sitting on cash....Waiting for a crash
Replies: 129
Views: 17612

Re: Sitting on cash....Waiting for a crash

You're expecting your crash to be three to five years away? If you'd had that mindset three to five years ago, you'd be hating yourself now. But, I am with you in that I expect a large dip (though in the near future, not years away). And, the only move I made was to have my TSP contributions only g...
by kathyauburn
Sun Mar 19, 2017 1:03 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

Re: It's worth remembering that bull markets don't last forever

The lesson is that you can't really know how to call it. So the best bet is to decide how much exposure you need and want and manage (re-balance) as necessary to deal with it. I have been re-balancing periodically back to my 40% target on the way up. I do the same on the way down again. I may go cr...
by kathyauburn
Sun Mar 19, 2017 12:05 pm
Forum: Investing - Theory, News & General
Topic: It's worth remembering that bull markets don't last forever
Replies: 95
Views: 6858

It's worth remembering that bull markets don't last forever

Aftermath All the main stock indexes of the future G7 bottomed out between September and December 1974, having lost at least 34% of their value in nominal terms, and 43% in real terms.[1] In all cases, the recovery was a slow process. Although West Germany's market was the fastest to recover, return...
by kathyauburn
Sun Mar 19, 2017 7:54 am
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

Re: The "investment return" method of withdrawal

I think you're going far afield from my specific plan to some general advice re "investing for heirs" and "investing for yourself." My suggestion strikes a middle ground. Your comments suggest there is no middle ground. Put simply, I want to siphon off whatever my investment por...
by kathyauburn
Sat Mar 18, 2017 12:07 pm
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

Re: The "investment return" method of withdrawal

OTOH, my goal is not to be among the richest guys in the graveyard. My pension and SS can pay all the bills so the portfolio is for funding travel and toys. It is currently doing so nicely with 5 trips planned for the balance of this year, at a 4% WR. I started very conservatively and have averaged...
by kathyauburn
Sat Mar 18, 2017 12:05 pm
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

Re: The "investment return" method of withdrawal

Thank you. I'm not sure how to account for that while maintaining the same level of safety that I have in L income. Note that there's a 74% allocation to the G fund in Income. That may reduce substantially the chance that the portfolio loses value to inflation. "The G Fund's investment objecti...
by kathyauburn
Sat Mar 18, 2017 9:52 am
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

Re: The "investment return" method of withdrawal

OTOH, my goal is not to be among the richest guys in the graveyard. My pension and SS can pay all the bills so the portfolio is for funding travel and toys. It is currently doing so nicely with 5 trips planned for the balance of this year, at a 4% WR. I started very conservatively and have averaged...
by kathyauburn
Sat Mar 18, 2017 7:43 am
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

Re: The "investment return" method of withdrawal

If you were doing this precisely, you should probably be checking something like the CPI each year to determine how much your portfolio would need to grow that year to keep up with inflation. We've been in a prolonged period of low inflation but of course that might change at some point, in which c...
by kathyauburn
Sat Mar 18, 2017 7:35 am
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

Re: The "investment return" method of withdrawal

Cash withdrawn when one's portfolio goes down is part of portfolio principal. When one has to pay expenses then the money has to come from somewhere. Exactly. I'm confused by the previous poster's suggestion, unless some not-discussed portfolio allocation is assumed. Furthermore, someone will have ...
by kathyauburn
Sat Mar 18, 2017 7:31 am
Forum: Investing - Help with Personal Investments
Topic: Asset Allocation in Retirement - Me 100% Stocks.
Replies: 53
Views: 3299

Re: Asset Allocation in Retirement - Me 100% Stocks.

something like a 20% non-equity allocation can provide a lot of stability for not all that much loss of expected return. Still, even that may not matter to you as long as you have a "they'll get what they get" attitude about your estate. I agree with this. I would also be concerned about ...
by kathyauburn
Sat Mar 18, 2017 7:15 am
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

Re: The "investment return" method of withdrawal

A couple thoughts. If your goal is for your portfolio to never decrease in value, theoretically you should be reinvesting enough returns on average to keep up with inflation. Yes. This is why my hoped-for goal is to withdraw, say, 2.5% or less while hoping the portfolio provides at least 4% per yea...
by kathyauburn
Sat Mar 18, 2017 6:31 am
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

Re: The "investment return" method of withdrawal

Sounds like perhaps you have a federal pension that affords you this luxury that others might not have. If you can swing it this approach will definitely insure your portfolio never runs dry. A variation on this approach is to only spend distributions from your investments each year (dividends, int...
by kathyauburn
Sat Mar 18, 2017 6:29 am
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

Re: The "investment return" method of withdrawal

I like it.. my goal in retirement is to live 100% off of the dividends and earnings.. never touch the principle. I have one twist to this though: Set a number you can live with.. .let's say $90K is what you need to live off of. When you have years where you earn more, take it ALL out and put the ex...
by kathyauburn
Sat Mar 18, 2017 6:11 am
Forum: Investing - Help with Personal Investments
Topic: The "investment return" method of withdrawal
Replies: 37
Views: 1729

The "investment return" method of withdrawal

I've never liked "the 4% rule" or such things because, of course, no one can guarantee that the market will give you 4% per year, even over time. Your principal could suffer irreparable damage if your timing and/or luck are wrong, and your income over time could *decline,* as the principal...
by kathyauburn
Sat Mar 18, 2017 4:44 am
Forum: Investing - Help with Personal Investments
Topic: How do you cope with regret over selling too soon?
Replies: 57
Views: 3307

Re: How do you cope with regret over selling too soon?

You made me look! I bought and later sold a small amount of Netflix stock back in the day. I sold at a decent profit before the big run up. Had I kept it, it looks like it would be worth over $200K now. :shock: Regrets? No. You win some, you lose some. At the time, I was playing around with individ...
by kathyauburn
Sat Mar 18, 2017 4:43 am
Forum: Investing - Help with Personal Investments
Topic: How do you cope with regret over selling too soon?
Replies: 57
Views: 3307

Re: How do you cope with regret over selling too soon?

You made me look! I bought and later sold a small amount of Netflix stock back in the day. I sold at a decent profit before the big run up. Had I kept it, it looks like it would be worth over $200K now. :shock: Regrets? No. You win some, you lose some. At the time, I was playing around with individ...
by kathyauburn
Fri Mar 17, 2017 4:39 pm
Forum: Investing - Theory, News & General
Topic: How Bad was 2008, really?
Replies: 224
Views: 18782

Re: How Bad was 2008, really?

I'm going to leave this discussion here because it really is barely on the edge of what is permitted here (not sure on which side of that edge). But really, all I can say to someone who refuses to appreciate what was required of the adults in the room that moment is you have no idea what the risk r...
by kathyauburn
Fri Mar 17, 2017 4:29 pm
Forum: Investing - Theory, News & General
Topic: How Bad was 2008, really?
Replies: 224
Views: 18782

Re: How Bad was 2008, really?

How bad was it? Let's see - we had two major financial companies collapse, one seemingly overnight (Lehman) another not too far behind (Bear Stearns) whose stock price had once seen a high of $170 per share only to be sold for $2 per share to JPM Chase. We had zero trust on Wall Street, reputable f...
by kathyauburn
Fri Mar 17, 2017 4:21 pm
Forum: Investing - Theory, News & General
Topic: How Bad was 2008, really?
Replies: 224
Views: 18782

Re: How Bad was 2008, really?

munemaker wrote:This was a classic from back in the day:

https://www.youtube.com/watch?v=V9EbPxTm5_s


Priceless.
by kathyauburn
Fri Mar 17, 2017 3:46 pm
Forum: Investing - Theory, News & General
Topic: How Bad was 2008, really?
Replies: 224
Views: 18782

Re: How Bad was 2008, really?

Did 2008 really hurt disciplined investors? At all? When I look at it on a long term chart....it just doesnt seem that big of a deal in the scheme of things. Is the real fear that "its different this time" and stocks are a permanently bad investment, and that we've all made a big mistake?...
by kathyauburn
Fri Mar 17, 2017 3:33 pm
Forum: Investing - Theory, News & General
Topic: Improving the TSP [for current participants]
Replies: 178
Views: 26961

Re: Improving the TSP [for current participants]

I still plan on keeping my TSP. I like having the G Fund option. Since I already am retired from federal service, over seventy, drawing Social Security, and in the twenty-five percent marginal tax bracket, I probably would chose not to convert my traditional TSP to a Roth TSP anyway, although it wo...
by kathyauburn
Fri Mar 17, 2017 3:29 pm
Forum: Investing - Theory, News & General
Topic: Improving the TSP [for current participants]
Replies: 178
Views: 26961

Re: Improving the TSP [for current participants]

I'm frankly glad they didn't "improve" it by doing all the things my cohort of younger workers wanted to see happen back in the late 90s during the tech bubble when we Federal workers were chafing at seeing our funds locked into the boring TSP when friends in the private sector were inves...
by kathyauburn
Fri Mar 17, 2017 3:27 pm
Forum: Investing - Theory, News & General
Topic: Improving the TSP [for current participants]
Replies: 178
Views: 26961

Re: Improving the TSP [for current participants]

I've been investing into the TSP since 1987 and my account balance far exceeds $1 million. While I continue to believe that the TSP is a wonderful investment vehicle, I think it can be improved significantly in several respects. I've been considering this and have come up with five things the Feder...
by kathyauburn
Fri Mar 17, 2017 3:22 pm
Forum: Investing - Theory, News & General
Topic: Interesting article from John P. Hussman
Replies: 8
Views: 661

Re: Interesting article from John P. Hussman

notorious doom monger. Not interesting in the slightest to me. A nice large, long bear market would suite me fine so I can accumulate lots of lovely shares over the next 10 years but I'm not making investment decisions based on this stopped clock. I was not aware of his history ("doom monger&q...
by kathyauburn
Fri Mar 17, 2017 3:05 pm
Forum: Investing - Theory, News & General
Topic: Interesting article from John P. Hussman
Replies: 8
Views: 661

Re: Interesting article from John P. Hussman

notorious doom monger. Not interesting in the slightest to me. A nice large, long bear market would suite me fine so I can accumulate lots of lovely shares over the next 10 years but I'm not making investment decisions based on this stopped clock. I was not aware of his history ("doom monger&q...

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