Search found 633 matches

by plannerman
Thu Apr 27, 2017 3:36 pm
Forum: Personal Finance (Not Investing)
Topic: CCRC Tax Deduction?
Replies: 7
Views: 326

Re: CCRC Tax Deduction?

In our case, about $100,000 of the entry fee and about $1,000/mo of the ongoing fee is a qualified medical expense. Whether it is deductible depends on your AGI. plannerman The year the entry fee was paid should generate a medical deduction even with the 10% of AGI floor. Did the facility give you ...
by plannerman
Thu Apr 27, 2017 2:40 pm
Forum: Personal Finance (Not Investing)
Topic: CCRC Tax Deduction?
Replies: 7
Views: 326

Re: CCRC Tax Deduction?

In our case, about $100,000 of the entry fee and about $1,000/mo of the ongoing fee is a qualified medical expense. Whether it is deductible depends on your AGI.

plannerman
by plannerman
Tue Apr 04, 2017 9:48 am
Forum: Personal Finance (Not Investing)
Topic: Medigap Plan F Increases
Replies: 37
Views: 2150

Re: Medigap Plan F Increases

High deductible Plan F in NC, $432, times two for spouse. Slight decrease from 2016.

plannerman
by plannerman
Thu Mar 30, 2017 8:22 am
Forum: Personal Consumer Issues
Topic: BEHR Premium Deckover
Replies: 12
Views: 1005

Re: BEHR Premium Deckover

I put Deckover on a weathered 17-year old, treated, SYP deck three years ago and it has held up very well. I am extremely pleased with the result. We are in NC, so that might make a difference as well as the preparation.

plannerman
by plannerman
Fri Mar 17, 2017 5:20 am
Forum: Personal Finance (Not Investing)
Topic: Individual 401(k) tax question.
Replies: 7
Views: 511

Re: Individual 401(k) tax question.

Is the converse true? That is, can you use the compensation (earned income in the case of a self employed individual) used for a traditional Individual 401(k) deferral for a Roth IRA contribution? That is really my question. No, as I explained. A traditional pre-tax deferral whether by a self-emplo...
by plannerman
Thu Mar 16, 2017 9:37 pm
Forum: Personal Finance (Not Investing)
Topic: Individual 401(k) tax question.
Replies: 7
Views: 511

Re: Individual 401(k) tax question.

You missed livesoft's first point by focusing on his second point. IRA contributions require compensation. Roth 401k deferrals do not reduce compensation. Therefore, you can still use the compensation used for Roth 401k deferrals to make IRA contributions. This is not just true for the self-employe...
by plannerman
Thu Mar 16, 2017 12:07 pm
Forum: Personal Finance (Not Investing)
Topic: Individual 401(k) tax question.
Replies: 7
Views: 511

Re: Individual 401(k) tax question.

livesoft wrote:I think the answer is Yes, one can double dip.
It's not really double-dipping if one (or one's spouse) has enough income to cover the Roth IRA contribution, too.


No spouse, no other earned income.

planerman
by plannerman
Thu Mar 16, 2017 10:46 am
Forum: Personal Finance (Not Investing)
Topic: Individual 401(k) tax question.
Replies: 7
Views: 511

Individual 401(k) tax question.

This question has been asked here before, but to the best of my knowledge, never answered. When calculating the maximum elective deferrals and employer nonelective contribution amounts to an Individual 401(k) for a self employed individual, does making a Roth IRA contribution effect either of those ...
by plannerman
Sat Mar 11, 2017 7:11 am
Forum: Personal Finance (Not Investing)
Topic: Taxation of Irrevocable Trust Income
Replies: 44
Views: 1889

Re: Taxation of Irrevocable Trust Income

Most states have adopted some form of the Uniform Prudent Investor Act (UPIA). At the risk of oversimplifying, the UPIA specifies what fiduciaries need to do to manage trust assets. I suggest all trustees should be generally familiar with the provisions of the specific statute adopted by the state w...
by plannerman
Fri Mar 10, 2017 10:06 am
Forum: Personal Finance (Not Investing)
Topic: Taxation of Irrevocable Trust Income
Replies: 44
Views: 1889

Re: Taxation of Irrevocable Trust Income

Gill,

Thanks, you gave a lot to think about.

plannermn
by plannerman
Thu Mar 09, 2017 1:04 pm
Forum: Personal Finance (Not Investing)
Topic: Taxation of Irrevocable Trust Income
Replies: 44
Views: 1889

Re: Taxation of Irrevocable Trust Income

... I am the trustee of a trust resident in a state which has adopted the 1997 version of the Uniform Principal and Income Act (UPIA). In this trust the income beneficiary is also the remainderman. The trust states that the income is to be distributed annually to the beneficiary and 50% of the prin...
by plannerman
Thu Mar 09, 2017 8:59 am
Forum: Investing - Theory, News & General
Topic: Rekenthaler: My Asset Allocation
Replies: 21
Views: 2208

Re: Rekenthaler: My Asset Allocation

It will be interesting to see what, if any, his glide path is as he approaches decumulation in retirement.

plannerman
by plannerman
Thu Mar 09, 2017 8:07 am
Forum: Personal Finance (Not Investing)
Topic: Taxation of Irrevocable Trust Income
Replies: 44
Views: 1889

Re: Taxation of Irrevocable Trust Income

You can't do this if the trust mandates current income distribution. The trust instrument must give the trustee power to accumulate income for you to do this. Gill Gill, I have a couple of questions about the above statement I'm hoping you can help me sort out. I am the trustee of a trust resident ...
by plannerman
Mon Feb 27, 2017 6:07 pm
Forum: Personal Finance (Not Investing)
Topic: Questions about Medicare Part D cost estimates
Replies: 10
Views: 852

Re: Questions about Medicare Part D cost estimates

Are you sure you are looking at the right numbers? The coverage gap in 2016 started at $3,310 and ended at $4,850. Also the coverage gap is based on what your dad and the drug company spent on the drugs not on just his out of pocket costs. From the Medicare website: "Items that count towards th...
by plannerman
Wed Feb 22, 2017 6:10 pm
Forum: Personal Consumer Issues
Topic: Dishwasher suggestions. LG Quad Wash vs???
Replies: 43
Views: 2672

Re: Dishwasher suggestions. LG Quad Wash vs???

Bought a LG dishwasher a couple of months ago because it was the only one that would fit. I'll spare you the long story. Pros--very quiet and gets our dishes clean with a very short cycle. Cons--no heated drying cycle, which isn't as bad as it sounds particularly if you let the dishes sit over night...
by plannerman
Fri Feb 10, 2017 10:11 am
Forum: Investing - Theory, News & General
Topic: How a Banker or Insurance Company Thinks of an Insurance Annuity - SPIA
Replies: 6
Views: 598

Re: How a Banker or Insurance Company Thinks of an Insurance Annuity - SPIA

+1 Good read. I'm surprised he didn't mention that the insurance companies use a different (less favorable) actuarial table than Social Security does.


plannerman
by plannerman
Sat Feb 04, 2017 2:26 pm
Forum: Investing - Theory, News & General
Topic: Tax Deferred Annuities. Larry, Rick and everyone else: is there any real role for them?
Replies: 29
Views: 2085

Re: Tax Deferred Annuities. Larry, Rick and everyone else: is there any real role for them?

Perhaps the best way to invest in variable annuities is to buy stock in the insurance companies that sell them. At least that way you are on the winning side of the transaction. NOT a good idea. I wanted to mimick a PERs plan. Most states have tremendous pension liability. Many insurance companies ...
by plannerman
Sat Feb 04, 2017 9:33 am
Forum: Investing - Theory, News & General
Topic: Tax Deferred Annuities. Larry, Rick and everyone else: is there any real role for them?
Replies: 29
Views: 2085

Re: Tax Deferred Annuities. Larry, Rick and everyone else: is there any real role for them?

Here is an old article by Jonathan Clements on when one might want to use a variable annuity https://www.wsj.com/articles/SB979392353520038995.

One reason I remember it was because he is one of the few "good guys" to ever recommend them.

plannerman
by plannerman
Sat Feb 04, 2017 9:09 am
Forum: Personal Finance (Not Investing)
Topic: Solo 401(k) purely to receive rollovers?
Replies: 21
Views: 1616

Re: Solo 401(k) purely to receive rollovers?

...What's more, if the sole proprietorship goes away (that is the individual ceases to be operating a legitimate business) then the plan needs to go away too. Does this mean if a sole proprietor decides to shut down his or her business and retire at say age 50, they have to terminate their retireme...
by plannerman
Fri Feb 03, 2017 9:31 am
Forum: Investing - Theory, News & General
Topic: how big an impact is survivorship bias- I answer that question
Replies: 16
Views: 2068

Re: how big an impact is survivorship bias- I answer that question

Just out of curiosity, were all the funds that disappeared actively managed funds? If not how many were index funds? There were, and still are, index funds which underperform because of high fees.

plannerman
by plannerman
Fri Feb 03, 2017 9:24 am
Forum: Investing - Theory, News & General
Topic: how big an impact is survivorship bias- I answer that question
Replies: 16
Views: 2068

Re: how big an impact is survivorship bias- I answer that question

I, for one, find the absolute number of funds that disappeared, just since 2002, astounding.

plannerman
by plannerman
Sat Jan 28, 2017 11:13 am
Forum: Investing - Theory, News & General
Topic: Is rebalancing bunk?
Replies: 51
Views: 3443

Re: Is rebalancing bunk?

I rebalance primarily to control risk. Which means, in "normal" times, selling equities and buying fixed income. However, those of us who rebalanced from fixed income into equities in 2008 and 2009, which by-the-way was one of the more difficult things I have done in a lifetime of investin...
by plannerman
Sat Jan 21, 2017 3:28 pm
Forum: Investing - Theory, News & General
Topic: Vanguard 1099s available - Other companies just as good for sending 1099s???
Replies: 63
Views: 5859

Re: Vanguard 1099s available - Other companies just as good for sending 1099s???

Be advised that if you own the REIT index fund in a taxable account, it is not included in your 1099-DIV yet.

plannerman
by plannerman
Fri Jan 20, 2017 9:16 am
Forum: Personal Finance (Not Investing)
Topic: Convincing spouse to sell losing investment
Replies: 58
Views: 4842

Re: Convincing spouse to sell losing investment

I have been through this, and what worked for me was to encourage the reluctant party to initially sell just a very small percentage of the position. Once the ice was broken it became easier and easier for them to part with the asset. Think baby steps.

plannerman
by plannerman
Tue Jan 17, 2017 7:27 am
Forum: Personal Finance (Not Investing)
Topic: Inheritance and Trusts
Replies: 6
Views: 976

Re: Inheritance and Trusts

I am in the process of setting up a will. Details on me Self: 32, Wife: 29 State: GA Children: son, 16 months Currently, all my retirement, IRA, taxable, and life insurance have beneficiary as my wife and secondary as my son. In my will, I am looking to do two things. First, if something happens to...
by plannerman
Wed Jan 11, 2017 6:20 am
Forum: Investing - Theory, News & General
Topic: "Yield surge: Remember the real role of bonds"
Replies: 50
Views: 6397

Re: "Yield surge: Remember the real role of bonds"

Kevin, Thanks for your analysis on this. I, for one, found it very illuminating. I'm retired and do liability matching out to about 10-years. Looking at these historical negative real returns for Treasury bills and notes, really drives home the importance of usings TIPs, rather than nominal FI secur...
by plannerman
Sun Jan 08, 2017 4:52 pm
Forum: Investing - Theory, News & General
Topic: "Yield surge: Remember the real role of bonds"
Replies: 50
Views: 6397

Re: "Yield surge: Remember the real role of bonds"

These gains look impressive, but isn't it necessary to deflate to reflect inflation, which is probably what would cause rates to change so dramatically? +1 Nisi, how about ploting this in real dollars? plannerman Not Nisi, and no plot, but using the data from our backtesting spreadsheet, the worst ...
by plannerman
Sun Jan 08, 2017 9:36 am
Forum: Investing - Theory, News & General
Topic: The Argument for More Stocks in Retirement
Replies: 166
Views: 13299

Re: The Argument for More Stocks in Retirement

I suggest everyone interested in this topic take the time to watch the interview with Gene Fama referenced in this post.
viewtopic.php?f=10&t=207562
See what a Noble laureate says on the subject.

plannerman
by plannerman
Sun Jan 08, 2017 9:18 am
Forum: Investing - Theory, News & General
Topic: "Yield surge: Remember the real role of bonds"
Replies: 50
Views: 6397

Re: "Yield surge: Remember the real role of bonds"

frugalecon wrote:
nisiprius wrote:
RAchip wrote:
These gains look impressive, but isn't it necessary to deflate to reflect inflation, which is probably what would cause rates to change so dramatically?


+1 Nisi, how about ploting this in real dollars?

plannerman
by plannerman
Sat Jan 07, 2017 12:04 pm
Forum: Personal Finance (Not Investing)
Topic: How many $ to self fund long term care?
Replies: 73
Views: 5366

Re: How many $ to self fund long term care?

I was curious about the Boglehead community and what number the "self funders" are plannng to put aside for their possible long term care. I'd like to comment on a totally different approach to this issue. I am not suggesting you should do it, but it is an alternative you may not have con...
by plannerman
Sat Jan 07, 2017 10:49 am
Forum: Investing - Theory, News & General
Topic: Fama interview
Replies: 3
Views: 925

Re: Fama interview

Absolutely fascinating!
by plannerman
Thu Jan 05, 2017 7:31 am
Forum: Personal Finance (Not Investing)
Topic: Establishing an irrevocable trust
Replies: 2
Views: 476

Re: Establishing an irrevocable trust

I'm familiar with 529 plans and have already set this up for our kids and super-funded them and I'm now trying to understand more about how to go about establishing Crummey Trusts and if makes sense or is not worth the hassle. 1) My key question is if the trustee needs to be someone other than a pa...
by plannerman
Mon Jan 02, 2017 10:15 am
Forum: Investing - Theory, News & General
Topic: Vanguard Incorrectly Reporting TIPs Performance
Replies: 0
Views: 287

Vanguard Incorrectly Reporting TIPs Performance

As those of you owning individual TIPs may recall, last January Vanguard incorrectly calculated the interest payments and individual bond inflation adjusted values. They went through a series of corrections that I have yet to completely figure out. This weekend I was trying to rationalize why Vangua...
by plannerman
Fri Dec 30, 2016 8:45 am
Forum: Personal Finance (Not Investing)
Topic: Question about trusts & estate
Replies: 40
Views: 3662

Re: Question about trusts & estate

If I understand what's going on here, all your father's assets will go to your mother rather than being in a trust with you (and your wife if you predecease her) as the beneficiaries. Have you considered the possibility that your mother remarries and then decides to leave everything to her new secon...
by plannerman
Fri Dec 30, 2016 8:03 am
Forum: Personal Finance (Not Investing)
Topic: Vanguard inherited annuity -- pay tax for it in 2016 or 2017
Replies: 8
Views: 612

Re: Vanguard inherited annuity -- pay tax for it in 2016 or 2017

You might want to google "Constructive Receipt doctrine"

plannerman
by plannerman
Thu Dec 29, 2016 11:38 am
Forum: Investing - Theory, News & General
Topic: 100% TIPS and 0% in Nominal Bonds?
Replies: 168
Views: 9382

Re: 100% TIPS and 0% in Nominal Bonds?

So where did you get the money to buy more TIPS? I was buying equities with whatever money I could scrounge. There was nothing left to buy TIPS at firesale prices. I was also buying equities at that time. I liquidated my allocation to HY and foreign bonds and cut my allocated to corporate bonds in ...
by plannerman
Thu Dec 29, 2016 8:44 am
Forum: Investing - Theory, News & General
Topic: Bernstein-"To Make Money They Didn't Need".....and Pascal's Wager
Replies: 187
Views: 20034

Re: Bernstein-"To Make Money They Didn't Need".....and Pascal's Wager

Dear jcraz13, You asked: For those of you advocating a higher percentage in stocks in retirement, what say you? First of all, as an advocate of a high-equity allocation in retirement, I would say to you what I said to Mr Larimore: Of course, one need never take *unnecessary* risk in retirement! …by...
by plannerman
Thu Dec 29, 2016 8:14 am
Forum: Investing - Theory, News & General
Topic: 100% TIPS and 0% in Nominal Bonds?
Replies: 168
Views: 9382

Re: 100% TIPS and 0% in Nominal Bonds?

Also TIPS did not hold value in the financial crisis. This has been attributed to Lehman Brothers. Do you have liquidity concerns in terms of TIPS? YES Our Treasury ladder was 100% TIPS in spring of '08. Our 100% perfectly safe, governmentt backed, inflation protected asset lost some 20% which we h...
by plannerman
Fri Dec 23, 2016 12:44 pm
Forum: Investing - Theory, News & General
Topic: Financial Independence is not the Holy Grail
Replies: 85
Views: 9481

Re: Financial Independence is not the Holy Grail

As one who achieved financial independence several years ago, my experience has been while It may not be the Holy Grail, it's pretty close. I was also working 60 hours a week, on the hook every month for results, doing more with less , and, as a result, sitting at my desk having chest pains. Financi...
by plannerman
Sun Dec 18, 2016 2:19 pm
Forum: Personal Consumer Issues
Topic: Snowblower: lubricating discharge chute?
Replies: 20
Views: 2435

Re: Snowblower: lubricating discharge chute?

I used silicone spray back in the day.

plannerman
by plannerman
Sun Dec 18, 2016 1:57 pm
Forum: Investing - Theory, News & General
Topic: The Argument for More Stocks in Retirement
Replies: 166
Views: 13299

Re: The Argument for More Stocks in Retirement

You might want to save yourself some time and effort and read Bill Bengen's seminal work "Conserving Portfolios During Retirement". While he found stock heavy portfolios delivered the highest SWR rates, he also found that historically the "best" asset allocation depended on both ...
by plannerman
Thu Dec 08, 2016 10:58 am
Forum: Personal Finance (Not Investing)
Topic: Where are the mortality credits?
Replies: 1
Views: 300

Where are the mortality credits?

I have been looking into buying a Qualified Longevity Annuity Contract (QLAC), primarily as a way to lower future RMDs. I would, however, also like to make sure I’m not doing something really stupid simply to postpone RMDs hoping it will reduce our current income enough to avoid avoid a Medicare IRM...
by plannerman
Sun Dec 04, 2016 11:41 am
Forum: Personal Finance (Not Investing)
Topic: Informal probate in Massachusetts was easy
Replies: 12
Views: 1442

Re: Informal probate in Massachusetts was easy

Wow! What an improvement.

plannerman
by plannerman
Sun Dec 04, 2016 11:17 am
Forum: Personal Finance (Not Investing)
Topic: Informal probate in Massachusetts was easy
Replies: 12
Views: 1442

Re: Informal probate in Massachusetts was easy

Are you done with the probate court? It sounds to me like all you did was get letters testamentary and will still have to go back to the court for approval after you have settled everything.

plannerman
by plannerman
Fri Dec 02, 2016 6:49 am
Forum: Personal Finance (Not Investing)
Topic: QLAC - Determining long term benefit, pros & cons, tax consequences
Replies: 6
Views: 711

Re: QLAC - Determining long term benefit, pros & cons, tax consequences

Here's a personal example a long term benefit afforded by a QLAC you may want to consider. If I don't do anything, and the market doesn't move much in the next 30 days, we are going to exceed the next IRMAA break point this year by just a couple of thousand dollars. That will increase our Medicare p...
by plannerman
Wed Nov 30, 2016 3:32 pm
Forum: Personal Finance (Not Investing)
Topic: Last day for solo 401k contribution?
Replies: 11
Views: 1001

Re: Last day for solo 401k contribution?

I have read that a sole proprietor "must formally elect to make an employee deferral contribution by Dec. 31" How does one go about "formally electing"? It should be a signed and dated written election. The is no standard IRS form, many providers have a sample form, but you can ...
by plannerman
Wed Nov 30, 2016 12:15 pm
Forum: Personal Finance (Not Investing)
Topic: Last day for solo 401k contribution?
Replies: 11
Views: 1001

Re: Last day for solo 401k contribution?

I have read that a sole proprietor "must formally elect to make an employee deferral contribution by Dec. 31"
How does one go about "formally electing"?

plannerman
by plannerman
Wed Nov 30, 2016 6:40 am
Forum: Personal Finance (Not Investing)
Topic: Trust with a spendthrift heir
Replies: 18
Views: 2584

Re: Trust with a spendthrift heir

We have two kids--one good with money, the other not so much. All assets of the first to die are left to surviving spouse. Upon the death of the second, any remaining assets are split 50-50. Assets going to the child good with money are bequeathed outright, to the one not so good with money, left in...
by plannerman
Sun Nov 20, 2016 9:43 am
Forum: Personal Finance (Not Investing)
Topic: Resetting Cost Basis on Gold Coins
Replies: 4
Views: 743

Re: Resetting Cost Basis on Gold Coins

You know the coins were purchased some time after they are dated--but you don't know when. You can also look up the historical price of gold. Use the lowest price of gold after the coin is dated as the basis. For example, suppose one of the coins contains one ounce of gold and is dated 1985. The low...

Go to advanced search