Search found 162 matches

by markfaix
Wed Jul 19, 2017 9:01 pm
Forum: Personal Consumer Issues
Topic: Would you let your teenager spend all his savings on a gaming computer?
Replies: 123
Views: 7628

Would you let your teenager spend all his savings on a gaming computer?

My son, a rising high school junior, has saved $1500 through summer jobs, chores, gifts, etc. He now wants to spend almost all of it on a gaming computer that he plans to build this summer. He has been talking about this for over a year. I am conflicted about whether we should allow him to do this. ...
by markfaix
Tue Mar 14, 2017 1:09 pm
Forum: Personal Finance (Not Investing)
Topic: privacy issues
Replies: 7
Views: 1007

Re: privacy issues

After some research, I was deciding to open a Schwab account, and then ran into the following: 1) I was using Chrome browser and its autofill is on. I was very surprised it kept my DOB / SSN since I always assumed it only keeps phone/address etc. What damage did I potentially do, and what should I ...
by markfaix
Mon Mar 13, 2017 7:33 pm
Forum: Personal Finance (Not Investing)
Topic: Quicken's future direction - a cause for concern
Replies: 468
Views: 56111

Re: Quicken's future direction - a cause for concern

Unfortunately, looking at what happened to Quicken and the competing products, there just doesn't seem to be that many that want to track their expenses and investments at that level. Most people get their IRA/401k or whatever statement quarterly, look at it, and then throw it in the trash. Most pe...
by markfaix
Mon Mar 13, 2017 2:39 pm
Forum: Investing - Help with Personal Investments
Topic: Back door Coverdell for higher incomes - [White Coat Investor]
Replies: 4
Views: 653

Re: Back door Coverdell for higher incomes - [White Coat Investor]

ESA expenses can also be lower than a 529. Even Utah's super low cost 529 has higher expenses than can be had in the Vanguard ESA. "Vanguard no longer opens new ESAs (also known as "Coverdell ESAs"), nor do we allow new ESAs to be created with money from an account transfer." m ...
by markfaix
Mon Mar 13, 2017 12:03 pm
Forum: Investing - Help with Personal Investments
Topic: Back door Coverdell for higher incomes - [White Coat Investor]
Replies: 4
Views: 653

Re: Back door Coverdell for higher incomes - [White Coat Investor]

Dr Dahle included in his monthly newsletter, not his website. Here is the relevant portion below. The idea of the S corp is from my reading of the tax code: Tip of the Month This month I thought it would be fun to talk about a Coverdell Education Savings Account, or ESA. This is the little brother o...
by markfaix
Mon Mar 13, 2017 9:26 am
Forum: Investing - Help with Personal Investments
Topic: Back door Coverdell for higher incomes - [White Coat Investor]
Replies: 4
Views: 653

Back door Coverdell for higher incomes - [White Coat Investor]

In the most recent WCI newsletter, Dr Dahle wrote about a backdoor Coverdell if your annual income exceeds the limits to fund one. You can gift the money to your child and have him/her fund the Coverdell from their UTMA. The tax code also allows Coverdell contributions from corporations regardless o...
by markfaix
Thu Feb 02, 2017 12:21 am
Forum: Investing - Theory, News & General
Topic: Does credit risk show up at the wrong time? [A look at 89 years of corporate bond data]
Replies: 42
Views: 3886

Re: Does credit risk show up at the wrong time? [A look at 89 years of corporate bond data]

Lackey and Kevin Yes I am well aware that the higher yield creates bit low duration, and so does the call risk---and thus it understates the credit premium but then overstates the term premium earned by the same bonds. In other words the returns are the same, but where you attribute the return to i...
by markfaix
Wed Feb 01, 2017 5:50 pm
Forum: Investing - Theory, News & General
Topic: Ilmanen/AQR new method (and figures) for stock return forecasts: variants on earnings yield and DDM yield
Replies: 24
Views: 1870

Re: Ilmanen/AQR new method (and figures) for stock return forecasts: variants on earnings yield and DDM yield

markfaix Have it backwards. OIL specifically has been in large CONTANGO for most of the last 8 years or so, and when commodities are in contango they tend to have poor returns---that's simply another version of the carry trade (buy what's cheap and sell what's expensive, with definition being cheap...
by markfaix
Mon Jan 30, 2017 11:08 pm
Forum: Investing - Theory, News & General
Topic: Ilmanen/AQR new method (and figures) for stock return forecasts: variants on earnings yield and DDM yield
Replies: 24
Views: 1870

Re: Ilmanen/AQR new method (and figures) for stock return forecasts: variants on earnings yield and DDM yield

Thank you for posting lack_ey. With your caveats noted in the OP, I'll post the info everyone wants! Our current estimate for the long-run real return of U.S. equities is 4.2%, somewhat lower than most other developed markets (average 4.6%) and emerging markets (5.4%). Our current estimate for U.S....
by markfaix
Mon Jan 30, 2017 11:04 pm
Forum: Investing - Help with Personal Investments
Topic: Brokerage CD ladders - worth the hassle over bond funds?
Replies: 5
Views: 1130

Re: Brokerage CD ladders - worth the hassle over bond funds?

In a Roth I would look at brokered CD's, if your broker doesn't offer them I would change brokers. Fidelity will setup an entire ladder in 2 clicks, so I'm not sure what the hassle is. That being said, just like bonds / bond etfs, the value on your statement will fluctuate with interest rates. My R...
by markfaix
Mon Jan 30, 2017 10:20 pm
Forum: Investing - Help with Personal Investments
Topic: Brokerage CD ladders - worth the hassle over bond funds?
Replies: 5
Views: 1130

Brokerage CD ladders - worth the hassle over bond funds?

After reading various threads about CDs and posts/columns by Larry Swedroe and other gurus, I started to look into buying brokerage CDs in my Roth IRAs for the fixed income part of my portfolio. I couldn't believe the large number of new issue and secondary market CDs offered! For a goal 10 year CD ...
by markfaix
Wed Jan 25, 2017 8:47 pm
Forum: Investing - Theory, News & General
Topic: Swedroe's guidelines to Bonds
Replies: 113
Views: 10137

Re: Swedroe's guidelines to Bonds

markfaix If going to take corporate risk one place to do it is short end (the other is with fallen angels) where don't have anywhere near the default risk nor the call risk which is asymmetric. The effective yields look effectively the same, so why take the credit risk for very little premium? Larr...
by markfaix
Wed Jan 25, 2017 8:26 pm
Forum: Investing - Theory, News & General
Topic: Swedroe's guidelines to Bonds
Replies: 113
Views: 10137

Re: Swedroe's guidelines to Bonds

Another implementation question: For my 401(k) non-TIPS bond allocation, I'm trying to decide between a CD ladder or the Vanguard short term corporate bond fund (which I know Larry S doesn't fully endorse, but a short end of the spectrum, there does seem to be some benefit). In my 401(k) provider, a...
by markfaix
Sat Jan 21, 2017 4:43 pm
Forum: Personal Finance (Not Investing)
Topic: What do the loading factors in Portfolio Visualizer mean?
Replies: 1
Views: 381

What do the loading factors in Portfolio Visualizer mean?

When you enter a mutual fund on portfoliovisualizer.com, you get an analysis of how much loading the fund gives to beta, size, value, momentum, etc. Newb question: What do the numbers mean? For example, if a fund has a value loading of 0.5, does that mean that the fund captured 50% of the value prem...
by markfaix
Wed Jan 18, 2017 8:51 pm
Forum: Personal Finance (Not Investing)
Topic: Would you switch investment advisor to save $3000+/yr?
Replies: 17
Views: 2069

Re: Would you switch investment advisor to save $3000+/yr?

Thanks for the replies so far. Portfolio value is ~1.3MM. Current advisor does TLH, pre-fills RMD/Roth conversion forms for signature. My father is pretty hands off. He basically does whatever the advisor recommends. In 2008, he never once questioned all the rebalancing to the bottom of the bear mar...
by markfaix
Wed Jan 18, 2017 5:39 pm
Forum: Personal Finance (Not Investing)
Topic: Would you switch investment advisor to save $3000+/yr?
Replies: 17
Views: 2069

Would you switch investment advisor to save $3000+/yr?

My father, a retired professor and government employee, has invested with the same passive/DFA type investment advisor for 12-15 years. I have some minor disagreements with the advisor -- I prefer more integrated funds, eg, core funds or MOM+value, whereas the advisor prefers slicing and dicing to t...
by markfaix
Sat Dec 03, 2016 3:06 pm
Forum: Investing - Theory, News & General
Topic: P2P Lending Dead
Replies: 54
Views: 8177

Re: P2P Lending Dead

P2P lending should never be done by individuals IMO, way to much concentration risk and too much asymmetry in information. Now with that said IMO it's an excellent asset class as alternative (not substitute) for safe fixed income. And I personally have a large investment in LENDX fund run by Stone ...
by markfaix
Sat Dec 03, 2016 3:03 pm
Forum: Personal Finance (Not Investing)
Topic: How to dispute bill collector for car rental damages I didn't cause?
Replies: 3
Views: 1255

How to dispute bill collector for car rental damages I didn't cause?

I rented a car from Dollar at O'Hare in August. I returned the car without any damages, as ascertained by a longer than usual walk-around inspection by the return agent. Recently, over 3 months later, I received a letter from Viking Billing Service on behalf of Dollar/Hertz requesting I pay them $30...
by markfaix
Mon Sep 12, 2016 1:03 pm
Forum: Personal Finance (Not Investing)
Topic: S-corp business use of home
Replies: 8
Views: 788

Re: S-corp business use of home

Not an accountant, but I see no problems with having a S-Corp line item for Rent. If you were renting an office building location nobody would bat an eye. Same thing. Just make sure it is fair and reasonable for what you've got. Using the IRS guidelines for how to split this room out of the whole h...
by markfaix
Mon Sep 12, 2016 1:02 pm
Forum: Personal Finance (Not Investing)
Topic: S-corp business use of home
Replies: 8
Views: 788

Re: S-corp business use of home

Deleted for typos
by markfaix
Mon Sep 12, 2016 9:54 am
Forum: Personal Finance (Not Investing)
Topic: S-corp business use of home
Replies: 8
Views: 788

Re: S-corp business use of home

Hi, I have an S-corp in which I am the only employee. I operate out of home. I am operating an 'accountable plan' where I reimburse myself monthly for home office expenses. See here for more info: http://www.watsoncpagroup.com/kb/Pull-Money-Out-of-the-S-Corp-Accountable-Plan_184.html What I am not ...
by markfaix
Mon Sep 05, 2016 12:35 pm
Forum: Investing - Theory, News & General
Topic: Part 2 of series on how frequency of checking values can impact returns
Replies: 22
Views: 3002

Re: Part 2 of series on how frequency of checking values can impact returns

Note you might want to consider a higher tilt to small/value which would allow for an even lower equity allocation. I would suggest you consider the "Larry" portfolio which would allow you to hold say 30% stocks and sleep lot better when the next bear market hits. Congratulations Larry La...
by markfaix
Tue May 17, 2016 3:34 pm
Forum: Investing - Help with Personal Investments
Topic: Negative alpha for AQR momentum funds?
Replies: 3
Views: 457

Re: Negative alpha for AQR momentum funds?

The fund I use is AQMRX and it has huge positive alpha And so does QMHRX, Larry Thanks for replying, Larry. How do you fit managed futures funds like AQMRX and QMHRX with the rest of your portfolio? Also, when I enter the small MOM fund into portfolio visualizer, it says alpha -3%/yr for both FF an...
by markfaix
Tue May 17, 2016 12:28 pm
Forum: Investing - Help with Personal Investments
Topic: Negative alpha for AQR momentum funds?
Replies: 3
Views: 457

Negative alpha for AQR momentum funds?

My 401(k) recently added access to many of the AQR momentum funds, including the domestic, intl and EM momentum and multi-style funds. Because I use a heavy value tilt, I thought this would be a great opportunity to add MOM, which has negative correlation to value but similar expected returns. Howev...
by markfaix
Fri Apr 08, 2016 8:34 pm
Forum: Personal Finance (Not Investing)
Topic: S Corp Owner/Employee Drives For Continuing Education. Business Expenses?
Replies: 7
Views: 753

Re: S Corp Owner/Employee Drives For Continuing Education. Business Expenses?

1. Yes
2. You cannot use the per diem amount if you are the S Corp owner/employee. You can only deduct actual expenses.
3. If per diem were permitted (which is not, see #2), yes, 50% would be disallowed.
by markfaix
Tue Mar 22, 2016 12:01 pm
Forum: Personal Finance (Not Investing)
Topic: Prepay mortgage vs invest for 2nd home down payment?
Replies: 6
Views: 1059

Re: Prepay mortgage vs invest for 2nd home down payment?

How much do you have saved toward your purchase so far? If the 3-year mark is important to you (ie, delaying is bad), then I'd go with option 1. Paying off a 3% mortgage early doesn't seem to make much sense to me. We have saved about $35K in a savings accounts for a potential down payment. My conc...
by markfaix
Mon Mar 21, 2016 10:21 pm
Forum: Personal Finance (Not Investing)
Topic: Prepay mortgage vs invest for 2nd home down payment?
Replies: 6
Views: 1059

Prepay mortgage vs invest for 2nd home down payment?

In about 3 years, we plan to buy a 2nd home. This will be a 2nd residential home, not a rental. What do you think is the best way to save for the 2nd home down payment? Current home is worth $300K. Mortgage balance is $140K, at 3% fixed with 7 years left. Marginal tax bracket is 38%. We itemize. Cur...
by markfaix
Sun Mar 13, 2016 8:45 pm
Forum: Personal Finance (Not Investing)
Topic: No SSN on form 1095-B (proof of Obamacare coverage) - any problem?
Replies: 3
Views: 665

No SSN on form 1095-B (proof of Obamacare coverage) - any problem?

Form 1095-B, the document proving ACA/Obamacare-compliant health insurance for me and my family, listed no SSNs despite my providing them to the insurance company. They only listed names and DOBs.

Is this a potential problem with the IRS matching system? I don't want an unnecessary inquiry.
by markfaix
Sat Mar 12, 2016 11:33 am
Forum: Personal Finance (Not Investing)
Topic: Q about 529 carryforward provision
Replies: 3
Views: 320

Re: Q about 529 carryforward provision

You wouldn't lose them, the 2017 contributions would be available to carry forward as deductions in later years. But I have contributed $27,500 for 2016, so I'm thinking I would lose some of that deduction Year.......529 Contribution..............Tax deduction 2016.......$27,500.......................
by markfaix
Sat Mar 12, 2016 11:16 am
Forum: Personal Finance (Not Investing)
Topic: Q about 529 carryforward provision
Replies: 3
Views: 320

Q about 529 carryforward provision

My state (Maryland) allows a state tax deduction for contributions to the Maryland 529 plans, up to $2,500/yr/beneficiary, with a carryforward of the deduction of $2,500/yr for up to 10 years. For example, if I contribute $27,500 in one year to a 529, I can deduct $2,500 the year of contribution, th...
by markfaix
Sat Mar 12, 2016 10:40 am
Forum: Personal Finance (Not Investing)
Topic: Use 529 funds for school now or later?
Replies: 11
Views: 1070

Re: Use 529 funds for school now or later?

I don't think 529 money can be used for elementary or secondary school. Confirmed with IRS Publication 970 . The 529 needs to be saved for college (unless it has losses, in which case there is no penalty for withdrawal because the penalty is only on gains not used for higher education). Thank you! ...
by markfaix
Sat Mar 12, 2016 12:29 am
Forum: Personal Finance (Not Investing)
Topic: Use 529 funds for school now or later?
Replies: 11
Views: 1070

Re: Use 529 funds for school now or later?

If you use the 529 funds to pay for the private school, you'll have more money to invest somewhere else. If the best place to invest that money is back in the same 529, then it's a wash. If the best place to invest is in your 401(k) (because you aren't maxing it out now but expect to max it out in ...
by markfaix
Fri Mar 11, 2016 10:57 pm
Forum: Personal Finance (Not Investing)
Topic: Use 529 funds for school now or later?
Replies: 11
Views: 1070

Use 529 funds for school now or later?

We have 2 children in grades 4 and 6 who will be attending a private school next year, tuition $15-20K each. Currently our 529 accounts for the 2 kids have $40K and $30K. Would you use the 529 money now to pay for the private school tuition, or use it to pay for their college? We can currently affor...
by markfaix
Fri Mar 11, 2016 10:50 pm
Forum: Investing - Theory, News & General
Topic: Where I Disagree with Vanguard - Alan Roth
Replies: 23
Views: 6651

Re: Where I Disagree with Vanguard - Alan Roth

Allan - Excellent, clear article. Thanks for sharing your wisdom. Re paying off mortgage vs investing in bonds: I agree with you completely for bonds a taxable account. But what if the bonds are all in qualified plans? For example, $200k in bonds is entirely in 401(k), $300k in stocks in entirely in...
by markfaix
Sun Feb 28, 2016 10:18 pm
Forum: Personal Finance (Not Investing)
Topic: File taxes via mail or electronically
Replies: 87
Views: 7820

Re: File taxes via mail or electronically

I had abandoned this thread because it was going circular, but just had to share this bit of reassuring news about IRS and data security. m We are over 9 months past the initial discovery of this one hack, and the numbers just keep growing. Not very reassuring on the security front, IMO. Although I...
by markfaix
Sun Feb 28, 2016 10:16 pm
Forum: Personal Finance (Not Investing)
Topic: File taxes via mail or electronically
Replies: 87
Views: 7820

Re: File taxes via mail or electronically

DMW That strategy doesn't work to prevent tax ID theft. The ID thieves submit a bogus tax return under your SSN with a fake W-2 and other data that indicate a large refund is due. Unbelievably, the IRS will cut a check before even checking the W-2 database, part of their mission to get refunds out q...
by markfaix
Tue Dec 29, 2015 6:14 pm
Forum: Personal Finance (Not Investing)
Topic: TurboTax Deluxe 2015 sch D fully functional?
Replies: 6
Views: 643

Re: TurboTax Deluxe 2015 sch D fully functional?

Does H&R block download directly from Fidelity? It did not in the past.
by markfaix
Tue Dec 29, 2015 5:31 pm
Forum: Personal Finance (Not Investing)
Topic: TurboTax Deluxe 2015 sch D fully functional?
Replies: 6
Views: 643

Re: TurboTax Deluxe 2015 sch D fully functional?

I was referring to the desktop version, which is the version mentioned in the Amazon reviews
by markfaix
Tue Dec 29, 2015 5:00 pm
Forum: Personal Finance (Not Investing)
Topic: TurboTax Deluxe 2015 sch D fully functional?
Replies: 6
Views: 643

TurboTax Deluxe 2015 sch D fully functional?

As you know, for 2014, TurboTax removed functionality for Sch D in TT Deluxe and forced users to upgrade to Premier. After a uproar, they backed down. For 2015, they claim the TT Deluxe has fully functioning Sch D. However, many Amazon reviews (see below) say that Deluxe doesn't have the full functi...
by markfaix
Wed Dec 09, 2015 5:56 pm
Forum: Personal Consumer Issues
Topic: March beach vacation idea for family of 5?
Replies: 12
Views: 2238

March beach vacation idea for family of 5?

I will be taking our first family vacation in 4 years in late March. (Multiple family illnesses/deaths and work restrictions prevented any other family vacations until now.) We are looking for suggestions. This is what we want: 1. Warm swimmable beach for late March, or to a tropical resort type are...
by markfaix
Sat Nov 14, 2015 1:58 pm
Forum: Personal Finance (Not Investing)
Topic: Seeking non-cloud based personal finance software
Replies: 8
Views: 2934

Seeking non-cloud based personal finance software

I'm looking for personal finance software. I searched the forums, but would appreciate suggestions based on our particular wants: Checkbook register and reconciliation Ability to download credit card transactions from Citi, Bank of America, and fidelity FIA Visa/Amex. Very important, these downloade...
by markfaix
Wed Nov 11, 2015 6:12 pm
Forum: Investing - Theory, News & General
Topic: Valuations and market timing, and the current CAPE 10
Replies: 88
Views: 10344

Re: Valuations and market timing, and the current CAPE 10

Larry In addition to EM and intl being undervalued, what about CCF? These are completely out of favor now after a string of negative returns. Even Bogleheads posts about them are rare. So would you consider CCF undervalued as well despite the contango issue that you mentioned in a prior post? Thanks...
by markfaix
Sat Nov 07, 2015 4:54 pm
Forum: Investing - Theory, News & General
Topic: What's been up with TIP funds?
Replies: 26
Views: 3545

Re: What's been up with TIP funds?

Note that perhaps surprisingly TIPS have acted more like corporate bonds---likely liquidity issues and TIPS may not benefit from flights to quality like nominals do. So the diversification benefit with stocks may not be as great Larry Larry When you compare TIPS to nominals with economists' inflati...
by markfaix
Mon Oct 05, 2015 9:28 pm
Forum: Investing - Theory, News & General
Topic: Explaining corporate credit spreads
Replies: 8
Views: 974

Re: Explaining corporate credit spreads

Larry
Slight OT, but what are your thoughts on TIPS vs CDs/ST bonds at current interest rates?
by markfaix
Mon Sep 14, 2015 11:23 am
Forum: Personal Finance (Not Investing)
Topic: Earthquake insurance for low risk area?
Replies: 18
Views: 1663

Re: Earthquake insurance for low risk area?

Thanks to all who replied. Using this calculator (m), the probability of an earthquake within 50 km of my house with Richter scale over 5 is <0.01%. I have none of the high risk factors than Alan S. listed. The cost of the insurance is $150/yr for a 5% deductible. Value of the house is probably $400...
by markfaix
Sat Sep 12, 2015 4:23 pm
Forum: Personal Finance (Not Investing)
Topic: Earthquake insurance for low risk area?
Replies: 18
Views: 1663

Earthquake insurance for low risk area?

I live in Maryland, which rarely has serious earthquakes, although we had a noticeable one a few years ago that didn't cause damage in our area. Coverage for earthquakes, sinkholes, or other damage because the earth moves, is excluded in our homeowner's insurance policy. What are your thoughts about...
by markfaix
Sat Jan 10, 2015 1:42 pm
Forum: Personal Finance (Not Investing)
Topic: Physician owned building versus rent
Replies: 16
Views: 1841

Re: Physician owned building versus rent

I have been fortunate to be a partner of a very lucrative specialty practice for the last 8yrs. Yearly income is very high 6 figures. I have lived by Boglehead principles, worked extremely hard, saved 80% of my after-tax income, and have built a taxable account of 2.3million at age 37. For the last...
by markfaix
Sat Jan 10, 2015 1:35 pm
Forum: Personal Finance (Not Investing)
Topic: S corp payroll: Paychex or Zen Payroll?
Replies: 21
Views: 3731

Re: S corp payroll: Paychex or Zen Payroll?

I've been using Paychex for over a decade. I've had lots of problems over the years. One reason is that their payroll specialists turn over rapidly. Some are quite good, some are quite bad. I spend considerable amounts of time correcting their errors. For 2015, I have been planning to switch to Int...
by markfaix
Sat Jan 10, 2015 12:25 pm
Forum: Personal Finance (Not Investing)
Topic: HSA: Bank of America v. BenefitWallet
Replies: 11
Views: 2110

Re: HSA: Bank of America v. BenefitWallet

Does anyone have any experience with BenefitWallet's (Bank of New York Mellon) HSA? My insurer (Blue Cross/Blue Shield of Georgia) has partnered with them, and when I changed my coverage this year they automatically opened an HSA with BenefitWallet. Their fee is cheaper than Bank of America ($2.90/...
by markfaix
Fri Jan 09, 2015 5:56 pm
Forum: Personal Finance (Not Investing)
Topic: S corp payroll: Paychex or Zen Payroll?
Replies: 21
Views: 3731

Re: S corp payroll: Paychex or Zen Payroll?

Thanks for the responses so far. @delconte - When you use Zen payroll for your salary, do you pay yourself a similar $ amount and similar deductions each month? What have you found better about Zen than Paychex? The way my CPA likes it, I take most of my salary at year end for salary and fringe bene...