Search found 27718 matches

by retiredjg
Mon Feb 20, 2017 8:44 am
Forum: Investing - Help with Personal Investments
Topic: 20% bonds: why bother at 48?
Replies: 19
Views: 974

Re: 20% bonds: why bother at 48?

There are times, even decades, when bond pay more than stocks. If that should happen, wouldn't you want something to be making some money?
by retiredjg
Sun Feb 19, 2017 2:39 pm
Forum: Investing - Help with Personal Investments
Topic: 100% Stock Portfolio? - 20s Military Investor
Replies: 12
Views: 848

Re: 100% Stock Portfolio? - 20s Military Investor

There are good reasons to have at least some stocks bonds in a portfolio. Here's an old thread.

viewtopic.php?p=538014
by retiredjg
Sun Feb 19, 2017 2:35 pm
Forum: Personal Finance (Not Investing)
Topic: How Long to Keep Medical Insurance EOB Statements?
Replies: 13
Views: 1160

Re: How Long to Keep Medical Insurance EOB Statements?

It appears I'm contrary to the norm. I keep it all because it represents my medical history. I usually just make a note on the EOB about what it was and what was discussed/decided/done and file it away. I've frequently looked up events from many years past. It's handy. Yes, a medical history can be ...
by retiredjg
Sun Feb 19, 2017 2:29 pm
Forum: Investing - Help with Personal Investments
Topic: Asset placement between different accounts
Replies: 2
Views: 160

Re: Asset placement between different accounts

However, it is also suggested to do the rebalancing within the taxable account to allow for tax loss harvesting. Not really. I think you misunderstood this part. Or you might have run across some bad information. It is rarely suggested to do rebalancing in taxable because it can generate taxes. You...
by retiredjg
Sun Feb 19, 2017 2:26 pm
Forum: Investing - Help with Personal Investments
Topic: Asset placement between different accounts
Replies: 2
Views: 160

Re: Asset placement between different accounts

It does seem confusing at first. The "rules" and "guidelines" seem to contradict each other! However, as you learn which rules trump the other rules, it becomes easier. First, a lot of people get the idea that stocks go here and bond go there. That is simply not correct. What is ...
by retiredjg
Sun Feb 19, 2017 2:03 pm
Forum: Investing - Help with Personal Investments
Topic: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.
Replies: 22
Views: 1670

Re: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.

Something about not touching principal, the piggy bank, I think it's based on another paradigm. Need to explain it better to her how a portfolio works. Maybe use the "bucket" analogy. Not touching principal is unnecessary and somewhat irrational. However, many people have that concept fir...
by retiredjg
Sun Feb 19, 2017 1:40 pm
Forum: Personal Finance (Not Investing)
Topic: Please help me with Tax / form 8606 adjustment!
Replies: 20
Views: 1329

Re: Please help me with Tax / form 8606 adjustment!

I think I got the paperwork done correctly for TY 2015, just re characterized $1000 out to tira, and converted back into Roth. Sent in form 8606 with 1000 basis. This seems right. Received the 1099R last month for the $1000+$76 in taxable gains. Did you include the $76 in your 2015 income a year ag...
by retiredjg
Sun Feb 19, 2017 12:31 pm
Forum: Personal Finance (Not Investing)
Topic: Please help me with Tax / form 8606 adjustment!
Replies: 20
Views: 1329

Re: Please help me with Tax / form 8606 adjustment!

Rather than sweat it out all year....I think the easiest thing seems to be a repeat of last year.

Do you think you got your paperwork done correctly for 2015?
by retiredjg
Sun Feb 19, 2017 11:54 am
Forum: Personal Finance (Not Investing)
Topic: Please help me with Tax / form 8606 adjustment!
Replies: 20
Views: 1329

Re: Please help me with Tax / form 8606 adjustment!

I think there is an option of having the excess contribution removed and applied to your 2017 Roth IRA contribution. Do you think you will be eligible for any 2017 contribution?

Alan, would this be easier or harder?
by retiredjg
Sun Feb 19, 2017 11:17 am
Forum: Investing - Help with Personal Investments
Topic: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.
Replies: 22
Views: 1670

Re: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.

DW said to ask about living off of interest and dividends? She's concerned. What is she concerned about? Maybe go to Target Retirement with its 30/70 and/or up equity allocation if can work that way? What would be the purpose of doing this? Will it work if I put in 3.5 mil. and a start with a varia...
by retiredjg
Sun Feb 19, 2017 11:02 am
Forum: Personal Finance (Not Investing)
Topic: Please help me with Tax / form 8606 adjustment!
Replies: 20
Views: 1329

Re: Please help me with Tax / form 8606 adjustment!

So it appears. I'm confused about when the 1099 comes though. In example 1, there seems to be an error in one of the dates and I'm not sure which one it is. In that example, Mary won't realize she had an excess contribution until 2014 so the correction can't occur in 2013 although the earnings will ...
by retiredjg
Sun Feb 19, 2017 9:37 am
Forum: Investing - Help with Personal Investments
Topic: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.
Replies: 22
Views: 1670

Re: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.

What would be your suggested allocation between Wellesley Income Fund and LifeStrategy Income Fund? If you consider Wellesley to be 35% stock, then 70% Wellesley and 30% Lifestrategy Income should give you 30% stocks and 70% bonds. Since Wellesley wanders up and down a little, it won't always be ex...
by retiredjg
Sun Feb 19, 2017 9:17 am
Forum: Investing - Help with Personal Investments
Topic: If you were going to drop down to 15% bracket for one year...
Replies: 7
Views: 886

Re: If you were going to drop down to 15% bracket for one year...

Coato wrote:Does it make sense to sell and re-buy all taxable holdings?

It probably makes sense to sell some. But if selling all holdings will push you into the 25% tax bracket, I would not sell all.
by retiredjg
Sun Feb 19, 2017 8:55 am
Forum: Investing - Help with Personal Investments
Topic: Need portfolio/asset clarification
Replies: 7
Views: 330

Re: Need portfolio/asset clarification

It appears the first thing you should do is open a Roth IRA for each of you. Is there a reason you have not done that?

Are you trying to invest this money independently of your 403b? If so, why?

Does your spouse have any accounts?
by retiredjg
Sun Feb 19, 2017 7:12 am
Forum: Investing - Help with Personal Investments
Topic: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.
Replies: 22
Views: 1670

Re: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.

Yet, with all this thing about "diversification", I feel that I'm supposed to have Balanced Index Fund in the mix or Total Stock Market. Yes. This is simple and works. But what about the holy grail, "diversification"? :confused It appears that part of you believes in Wellesley a...
by retiredjg
Sun Feb 19, 2017 6:55 am
Forum: Personal Finance (Not Investing)
Topic: Please help me with Tax / form 8606 adjustment!
Replies: 20
Views: 1329

Re: Please help me with Tax / form 8606 adjustment!

I think it may affect your 2016 return a little. from https://www.irs.gov/pub/irs-pdf/p590a.pdf Withdrawal of excess contributions. For purposes of determining excess contributions, any contribution that is withdrawn on or before the due date (including exten- sions) for filing your tax return for t...
by retiredjg
Sat Feb 18, 2017 7:00 pm
Forum: Investing - Help with Personal Investments
Topic: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.
Replies: 22
Views: 1670

Re: Math help needed. Calculating allocation Wellington Wellesley Total Bond to 30/70.

Ok, Sandtrap, I really thought you'd like my idea. It's simple. It's what you asked for. Yet.....you are ignoring it? I'm offended and stomping off in a huff. :wink:
by retiredjg
Sat Feb 18, 2017 6:40 pm
Forum: Investing - Help with Personal Investments
Topic: Rolling Over IRA to Crappy 401k in order to backdoor roth
Replies: 22
Views: 1289

Re: Rolling Over IRA to Crappy 401k in order to backdoor roth

For example, if bonds are all in tax-advantaged accounts and your stocks are in taxable accounts.... A lot of people imagine it this way, but that isn't how you set it up. Your tax-advantaged accounts would hold stocks and bonds. Once they are all filled and you still have more money to save, the s...
by retiredjg
Sat Feb 18, 2017 8:32 am
Forum: Investing - Help with Personal Investments
Topic: Rolling Over IRA to Crappy 401k in order to backdoor roth
Replies: 22
Views: 1289

Re: Rolling Over IRA to Crappy 401k in order to backdoor roth

I think it is wise to forego the mega back door for at least a year. Maybe two. Give yourself time to figure out the ordinary back door first. Do it and be sure you've figured out how to report it on your taxes correctly. Lots of people mess it up the first time around. If you use a tax preparer, s/...
by retiredjg
Sat Feb 18, 2017 7:49 am
Forum: Investing - Help with Personal Investments
Topic: Possible Roth Conversion Question
Replies: 10
Views: 546

Re: Possible Roth Conversion Question

It's a big bite, but since the amount is small, it might be worth it if she gets to use the back door for several or many years. Of course, we don't know that will happen. I think I might go for it though. I think $16k may be a drop in the bucket later on.
by retiredjg
Sat Feb 18, 2017 7:46 am
Forum: Investing - Help with Personal Investments
Topic: Possible Roth Conversion Question
Replies: 10
Views: 546

Re: Possible Roth Conversion Question

Oh. So there is no "her portion" of the plan in the first place. Hmmm.
by retiredjg
Sat Feb 18, 2017 7:44 am
Forum: Personal Consumer Issues
Topic: How do you handle switching your handbag?
Replies: 62
Views: 3573

Re: How do you handle switching your handbag?

Mudpuppy wrote:... and zero-drop, thin-soled shoes for workouts.

These can be hard to find. Mind sharing a brand and style?
by retiredjg
Sat Feb 18, 2017 7:37 am
Forum: Investing - Help with Personal Investments
Topic: How to simplify an existing portfolio?
Replies: 22
Views: 1377

Re: How to simplify an existing portfolio?

I'm not sure if you ever checked the old 401k for a lower cost bond fund or a stable value fund. Holding bonds in the old 401k would allow you to put some stocks in the Roth IRA. However, I would not hold a high cost bond in the old 401k just to accomplish that.
by retiredjg
Fri Feb 17, 2017 6:20 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Decision - Trad vs Roth
Replies: 44
Views: 1454

Re: 401k Decision - Trad vs Roth

Assuming 25% tax rates in both working years/retirement.... If the rate is the same, the amount of money you have is the same in the end. It does not matter if you pay it up front or in the end. You have exactly the same amount of money. The reason that tax-deferred is often preferred is that the r...
by retiredjg
Fri Feb 17, 2017 6:14 pm
Forum: Investing - Help with Personal Investments
Topic: Possible Roth Conversion Question
Replies: 10
Views: 546

Re: Possible Roth Conversion Question

She also cannot control how much income is added to her work profit sharing. So, that's nice as it doesn't cost us directly, but it's bad as we cannot control how much is entered each year. I'd like to maximize her retirement account just like we maximize mine. But, we don't get to control that. Th...
by retiredjg
Fri Feb 17, 2017 6:12 pm
Forum: Investing - Help with Personal Investments
Topic: Possible Roth Conversion Question
Replies: 10
Views: 546

Re: Possible Roth Conversion Question

What is your tax bracket?
by retiredjg
Fri Feb 17, 2017 6:10 pm
Forum: Investing - Help with Personal Investments
Topic: re:Tax advantaged space
Replies: 1
Views: 175

Re: re:Tax advantaged space

Some people prefer one or the other, but with no clear preference, I think doubt it matters much.
by retiredjg
Fri Feb 17, 2017 5:32 pm
Forum: Personal Finance (Not Investing)
Topic: Credit score odd question
Replies: 21
Views: 1330

Re: Credit score odd question

Mortgage rates will not be fun in the 600's...
by retiredjg
Fri Feb 17, 2017 5:27 pm
Forum: Personal Finance (Not Investing)
Topic: Visiting the National Parks
Replies: 27
Views: 1342

Re: Visiting the National Parks

There are 59 National Parks. You can't visit them all in 3 weeks. There are 417 units in the National Park System (parks, monuments, seashores, historic sites, etc.). Many are just as majestic and wonderful and interesting as the places designated as "parks". Some are even better. Even if ...
by retiredjg
Fri Feb 17, 2017 5:15 pm
Forum: Personal Finance (Not Investing)
Topic: Credit score odd question
Replies: 21
Views: 1330

Re: Credit score odd question

And a late Old Navy and Macy's payments on new cards (wasn't paying attention, used to auto payments). It doesn't matter how well you have done for years and years, this type of thing will make your score plummet. I had a bill go to collections (I was unaware of it) and my score dropped from 830 to...
by retiredjg
Fri Feb 17, 2017 4:45 pm
Forum: Investing - Help with Personal Investments
Topic: 403b rollovers - any advice?
Replies: 9
Views: 358

Re: 403b rollovers - any advice?

Also, one other question. We're going to be doing our basic estate stuff (wills, trust, etc) shortly. I know I should ask the attorney when we settle on one, but has anyone ever experienced 403b and IRA being treated differently from an estate/probate/tax point of view? We're in California if that ...
by retiredjg
Fri Feb 17, 2017 4:30 pm
Forum: Personal Finance (Not Investing)
Topic: BD Roth IRA
Replies: 7
Views: 184

Re: BD Roth IRA

A question:Am I correct that earnings developed within but not "basis" that was after tax contributions in the non-deductible IRA are taxed upon conversion to Roth? So that early conversion saves taxes (the earnings developed within the Roth instead of the plain non-deductible IRA) Yes. A...
by retiredjg
Fri Feb 17, 2017 4:18 pm
Forum: Personal Finance (Not Investing)
Topic: BD Roth IRA
Replies: 7
Views: 184

Re: BD Roth IRA

Invest2016, do either of you already have any account named "IRA" (except Roth IRA)? Examples would be rollover IRA, traditional IRA, SEP IRA, and SIMPLE IRA.
by retiredjg
Fri Feb 17, 2017 4:16 pm
Forum: Personal Finance (Not Investing)
Topic: BD Roth IRA
Replies: 7
Views: 184

Re: BD Roth IRA

Yes, that is too high for either. :happy
by retiredjg
Fri Feb 17, 2017 4:14 pm
Forum: Investing - Help with Personal Investments
Topic: Timing of IRA rollover to solo 401k
Replies: 14
Views: 466

Re: Timing of IRA rollover to solo 401k

There's some confusion here and I'm not sure just where it is. :happy

Maybe if you tell us exactly what accounts you have in your name and an approximate amount of money in each account, we can get this straight by using an example rather than descriptions.
by retiredjg
Fri Feb 17, 2017 4:08 pm
Forum: Investing - Help with Personal Investments
Topic: 403b rollovers - any advice?
Replies: 9
Views: 358

Re: 403b rollovers - any advice?

A hundredth of a percent may seem negligible, but maybe not entirely? Don't know how big your accounts are, but for a $500k IRA, the difference in cost would be $50 a year (institutional shares vs admiral shares). I'd choose convenience or personal preference over $50 a year any day. If all things ...
by retiredjg
Fri Feb 17, 2017 3:44 pm
Forum: Personal Finance (Not Investing)
Topic: BD Roth IRA
Replies: 7
Views: 184

Re: BD Roth IRA

Invest2016 wrote:My income is high enough not to qualify for any deduction in Tira.

Is it also too high to contribute directly to Roth IRA? That limit is quite a bit higher.
by retiredjg
Fri Feb 17, 2017 3:42 pm
Forum: Personal Finance (Not Investing)
Topic: BD Roth IRA
Replies: 7
Views: 184

Re: BD Roth IRA

1. Why not just leave my money in a Tira rather than convert it using BD? Since I don't qualify for a tax deduction on the Tira it's after tax money anyway. Is it because the earnings are taxed in the Tira and not in the roth? Yes. 2. I can still contribute for 2016 until April 15, 2017, correct? I...
by retiredjg
Fri Feb 17, 2017 2:49 pm
Forum: Personal Finance (Not Investing)
Topic: IRA for just one year?
Replies: 16
Views: 667

Re: IRA for just one year?

alaskantraveler wrote: His AGI is below $186k which is the income limit for IRA deduction for Married filing jointly where a spouse is not covered by a retirement plan at work.

For 2016, yes. But not for years after that. After 2016, only back door Roth is available. Using tIRA now would just get in the way.
by retiredjg
Fri Feb 17, 2017 2:45 pm
Forum: Investing - Help with Personal Investments
Topic: Timing of IRA rollover to solo 401k
Replies: 14
Views: 466

Re: Timing of IRA rollover to solo 401k

You are saying you plan to roll the IRA with the non-deductible contributions into the 401k. Maybe that is not what you intend to say?
by retiredjg
Fri Feb 17, 2017 2:12 pm
Forum: Investing - Help with Personal Investments
Topic: Timing of IRA rollover to solo 401k
Replies: 14
Views: 466

Re: Timing of IRA rollover to solo 401k

I don't recall hearing there is any wait time. However, your non-deductible contributions in the tIRA cannot be rolled into Solo 401k. You cannot put your SEP contributions into the Rollover IRA. They have to go into the SEP IRA. However, after that, I believe you could roll them into either the Sol...
by retiredjg
Fri Feb 17, 2017 2:01 pm
Forum: Investing - Help with Personal Investments
Topic: Inherited IRA with Dozens of Individual Stocks - Liquidate First or Let Vanguard Do It?
Replies: 8
Views: 450

Re: Inherited IRA with Dozens of Individual Stocks - Liquidate First or Let Vanguard Do It?

sport wrote:Find out what the costs will be at your current custodian and at Vanguard. Use the one with the lower costs.

And ask Vanguard for some free trades.
by retiredjg
Fri Feb 17, 2017 12:40 pm
Forum: Investing - Help with Personal Investments
Topic: Getting rid of Broker and need help
Replies: 7
Views: 783

Re: Getting rid of Broker and need help

I'm going to contact Fidelity today and see if they can provide any useful guidance on transferring the Cambridge Account as well as look at the Cambridge documentation. I also just remembered we both have access to "Brokerage accounts" in our 401k's. Her's (me) is with Schwab and I will ...
by retiredjg
Fri Feb 17, 2017 11:11 am
Forum: Investing - Help with Personal Investments
Topic: Need portfolio/asset clarification
Replies: 7
Views: 330

Re: Need portfolio/asset clarification

I think you are going about this from the wrong direction. You have picked funds you want and are looking for places to put them.

Unless your situation is unusual, what you should be doing is finding the best 1 or 2 funds in your plan at work (if you have one) and building the portfolio around that.
by retiredjg
Fri Feb 17, 2017 10:53 am
Forum: Investing - Help with Personal Investments
Topic: 403b rollovers - any advice?
Replies: 9
Views: 358

Re: 403b rollovers - any advice?

VINIX is Vanguard Institutional Index (500 Index) Institutional Shares which has a very low ER of .04%. I'm not sure you could get that fund if you roll the money into an IRA at Vanguard because I don't think you can transfer in kind. You might have to use Admiral Shares. You might as well just roll...
by retiredjg
Fri Feb 17, 2017 9:19 am
Forum: Investing - Help with Personal Investments
Topic: Wash sale Traditional IRA and Roth IRA
Replies: 6
Views: 294

Re: Wash sale Traditional IRA and Roth IRA

A wash sale only applies to a sale in a taxable account that involves a loss. Perhaps you are thinking that your "taxable IRA" is a "taxable account"? It is not. I don't know the proper definition for "taxable account", but it is a plain old ordinary account that does n...
by retiredjg
Fri Feb 17, 2017 9:05 am
Forum: Personal Finance (Not Investing)
Topic: IRA for just one year?
Replies: 16
Views: 667

Re: IRA for just one year?

I recommend that you open two Roth IRA accounts even if you don't use the back door.

Roth IRA has a 5 year clock that becomes inconvenient if you first open the Roth when you are in your mid 50's. Opening one earlier avoids that, even if you don't use it much.
by retiredjg
Thu Feb 16, 2017 7:26 pm
Forum: Investing - Help with Personal Investments
Topic: Is 30% stock enough to keep up with (or beat) inflation?
Replies: 39
Views: 3028

Re: Is 30% stock enough to keep up with (or beat) inflation?

I've spent some time with the VG retirement calculator and am amazed by how such a small amount in stocks can keep a portfolio going for decades. And the idea that stocks may not even be necessary to keep up with (or beat) inflation. Just to clarify....there is a difference between keeping a portfo...
by retiredjg
Thu Feb 16, 2017 6:41 pm
Forum: Investing - Help with Personal Investments
Topic: Help with decision on Fidelity 401k
Replies: 10
Views: 508

Re: Help with decision on Fidelity 401k

The best thing to do is just go ahead with the check. If it gets lost, they will stop payment and send you another check. We hear of this all the time (the checks, not getting lost) and it appears to go very smoothly. However, fear is not rational. If you can't do it, the next best choice is to roll...
by retiredjg
Thu Feb 16, 2017 9:50 am
Forum: Investing - Help with Personal Investments
Topic: Is 30% stock enough to keep up with (or beat) inflation?
Replies: 39
Views: 3028

Re: Is 30% stock enough to keep up with (or beat) inflation?

Is 30% stock enough to keep up with or even beat inflation, and sustain these withdrawal rates? My interpretation of Table 3 in the The Trinity Study Wiki....is that it did happen at 25% stock with a withdrawal rate of 3% for 30 years. It did happen some but was not reliable with a 4% withdrawal ra...

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