Search found 28101 matches

by retiredjg
Sun Mar 26, 2017 11:16 am
Forum: Personal Finance (Not Investing)
Topic: CPA failed to file an 8606 on a 2014 backdoor Roth IRA conversion
Replies: 7
Views: 302

Re: CPA failed to file an 8606 on a 2014 backdoor Roth IRA conversion

I think it was my mistake since he was not really a CPA after googling his name. I did mention to him about contributing to a non-deductible IRA and converting it but during that time, he was not understanding it and had not heard about Backdoor Roths either. This is quite common. Now I want to und...
by retiredjg
Sun Mar 26, 2017 10:58 am
Forum: Personal Finance (Not Investing)
Topic: CPA failed to file an 8606 on a 2014 backdoor Roth IRA conversion
Replies: 7
Views: 302

Re: CPA failed to file an 8606 on a 2014 backdoor Roth IRA conversion

Depending on what you told the CPA, this might actually be your mistake. We've seen multiple cases in the past where the tax-preparer did not ask and the client did not say "I made a non-deductible contribution to tIRA for this tax year." If you did not supply that information, the CPA wou...
by retiredjg
Sun Mar 26, 2017 10:29 am
Forum: Personal Finance (Not Investing)
Topic: Advice on correctly reporting Backdoor Roth in Turbotax with Massachusetts complication
Replies: 1
Views: 77

Re: Advice on correctly reporting Backdoor Roth in Turbotax with Massachusetts complication

cskollmann wrote:First question, am I correct in how I did this?

This seems right to me. Sorry, can't help with the rest.
by retiredjg
Sun Mar 26, 2017 10:08 am
Forum: Investing - Help with Personal Investments
Topic: Help With Asset Allocation
Replies: 5
Views: 210

Re: Help With Asset Allocation

I feel like this is an absolute mess. Can anyone help me? Thank you so much. It does sound like a mess. The best way to see this portfolio and to make it make sense to you is to list each fund as a percentage of the whole. So list each account (taxable, His 401k, Her Roth IRA, etc.) and inside each...
by retiredjg
Sun Mar 26, 2017 10:00 am
Forum: Investing - Theory, News & General
Topic: Does your asset allocation derate tax-deferred holdings to account for future tax liability?
Replies: 14
Views: 376

Re: Does your asset allocation derate tax-deferred holdings to account for future tax liability?

I do not tax-adjust. I don't argue against it for those to whom it makes sense, but I don't see a need to do it. I like to keep investing simple.
by retiredjg
Sun Mar 26, 2017 9:56 am
Forum: Investing - Help with Personal Investments
Topic: Help with Bond Fund Selection
Replies: 1
Views: 96

Re: Help with Bond Fund Selection

Thoughts? I think you'll get more replies if your post your portfolio so that people can tell what you have. That means adding the percentage of each fund, giving fund names (many people don't speak ticker), and posting what is available in the 401ks. See the format shown in the link at the bottom ...
by retiredjg
Sun Mar 26, 2017 6:44 am
Forum: Investing - Help with Personal Investments
Topic: Diversification & International Exposure - Fund Selection Assistance
Replies: 12
Views: 556

Re: Diversification & International Exposure - Fund Selection Assistance

I am with Charles Schwab now and since Schwab Fund SWISX ( Schwab International Index Fund ) and has .06% in small cap, 8.08% in mid cap. So I also chose Schwab Fund SFILX ( Schwab fundamental International Small company index fund) and it is 22.47% in small cap, and 62.17% in mid cap. I decided to...
by retiredjg
Sat Mar 25, 2017 4:46 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Rechar to TIRA then backdoor?
Replies: 4
Views: 175

Re: Roth Rechar to TIRA then backdoor?

Will the backdoor money be considered 2016 contributions? Yes. The contribution is still for 2016 as if it had always been in tIRA. You need to report this non-deductible contribution to tIRA on your 2016 taxes, Form 8606. I can do my taxes after that and then open a 2017 TIRA and do an immediate b...
by retiredjg
Sat Mar 25, 2017 4:31 pm
Forum: Investing - Help with Personal Investments
Topic: Help my portfolio is messy
Replies: 30
Views: 2357

Re: Help my portfolio is messy

When doing AA do you use market value of the securities you own already or use the cost basis? Use the value on the day you are looking. Should I balance all my accounts, ie Roths IRA, 401ks and taxable as one collective portfolio instead of balancing each on their own? I suspect the right way is t...
by retiredjg
Sat Mar 25, 2017 3:47 pm
Forum: Investing - Help with Personal Investments
Topic: Diversification & International Exposure - Fund Selection Assistance
Replies: 12
Views: 556

Re: Diversification & International Exposure - Fund Selection Assistance

At Fidelity, I'd use the new Fidelity Total International Index FTIGX.
by retiredjg
Sat Mar 25, 2017 1:59 pm
Forum: Investing - Help with Personal Investments
Topic: Fund 403b and concurrently convert TIRA to Roth?
Replies: 2
Views: 88

Re: Fund 403b and concurrently convert TIRA to Roth?

I would not do it. I'd wait till you fall into a lower tax bracket to do the conversions. This frequently happens in early retirement.

A couple in the 25% bracket might be able to put money into the 403b and into a couple of Roth IRAs as well.
by retiredjg
Sat Mar 25, 2017 1:56 pm
Forum: Investing - Help with Personal Investments
Topic: Can I and should I consider a Solo 401k?
Replies: 2
Views: 148

Re: Can I and should I consider a Solo 401k?

I work as a physician for the State of Ohio. I make yearly maximum contributions to Ohio Deferred Compensation (governmental 457b) and am enrolled in the OPERS traditional pension plan. I also do moonlighting work (self-employed) and earn between $30-60,000 a year. With previous moonlighting as a r...
by retiredjg
Sat Mar 25, 2017 1:40 pm
Forum: Personal Finance (Not Investing)
Topic: Do I have too much cash?
Replies: 10
Views: 1180

Re: Do I have too much cash?

Since your plans are uncertain, I'd keep the $18k liquid. High yield savings, checking, CDs. Even living with your parents, an emergency fund in the neighborhood of $18k is not too much.
by retiredjg
Sat Mar 25, 2017 1:36 pm
Forum: Personal Finance (Not Investing)
Topic: IRA conversion
Replies: 5
Views: 409

Re: IRA conversion

Your 4 non-deductible contributions should each have been documented on Form 8606, each year's form building on the previous year's form. After 4 years, your contributions should be about $22k. Anything over that will be taxed when the IRA is converted to Roth. If you didn't do the Forms 8606, it wi...
by retiredjg
Sat Mar 25, 2017 12:15 pm
Forum: Personal Finance (Not Investing)
Topic: Can Vanguard roll a pention plan to Roth IRA directly?
Replies: 17
Views: 928

Re: Can Vanguard roll a pention plan to Roth IRA directly?

It isn't post-tax money in the pension that messes things up. It is non-deductible contributions to one of those IRAs that will mess things up. If you sent Vanguard a check and said it was a rollover to go into your Roth IRA, how the heck would they know if it came from Roth 401k or from a pre-tax p...
by retiredjg
Sat Mar 25, 2017 6:06 am
Forum: Personal Finance (Not Investing)
Topic: Can Vanguard roll a pention plan to Roth IRA directly?
Replies: 17
Views: 928

Re: Can Vanguard roll a pention plan to Roth IRA directly?

You would first want to roll that plan into a Rollover or Traditional IRA, and then do a Roth conversion. This is the preferred method for IRS purposes. I don't get it. If the IRS gives you two pathways, why would the IRS have a preference? Besides, there is a potential problem with this approach. ...
by retiredjg
Fri Mar 24, 2017 5:05 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Rollover
Replies: 5
Views: 151

Re: 401k Rollover

It was invested in VG Index funds 40/60 ratio. Unless something fundamental has changed in your situation, I'd just put it back to where it was. This is my opinion as well. This is just a sideways move into a different location. No need to rebuild your allocation from the start. Only change from 40...
by retiredjg
Fri Mar 24, 2017 4:17 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Rollover
Replies: 5
Views: 151

Re: 401k Rollover

If the money was in the stock market, you should put it right back in. If the money was not invested in the 401k, you should probably put it all in quickly anyway.
by retiredjg
Fri Mar 24, 2017 7:11 am
Forum: Investing - Help with Personal Investments
Topic: Suggestion for updating "Asking Portfolio Questions" thread
Replies: 100
Views: 11882

Re: Suggestion for updating "Asking Portfolio Questions" thread

]People living at the difficult intersection of two or more non-integrated tax regimes need to provide both the US and the non-US information. Without this, they risk receiving replies that are superficially entirely sensible for one side of things but which later turn out to be a tax disaster for ...
by retiredjg
Fri Mar 24, 2017 6:54 am
Forum: Investing - Help with Personal Investments
Topic: [Questions about my company's "In-Plan Roth Conversion"]
Replies: 9
Views: 410

Re: [Questions about my company's "In-Plan Roth Conversion"]

Here is what I found. We can do the following: - In-plan Roth rollover/transfer - In-service withdrawal from the 401K plan. It appears that your plan offers 2 different options. The first option is the IRR (in-plan Roth Rollover) where all the money stays in the 401k. The second option (in-service ...
by retiredjg
Thu Mar 23, 2017 4:21 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio Review Follow Up
Replies: 2
Views: 234

Re: Portfolio Review Follow Up

Do youu see any red flags in this portfolio or my plan? No. Does splitting my international allocation 50/50 between my 401k and taxable accounts make sense? It's fine. It also gives you another tax loss harvest option in taxable. [*] My 401k plan offers Fidelity BrokerageLink, so in addition to the...
by retiredjg
Thu Mar 23, 2017 4:14 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion question
Replies: 7
Views: 392

Re: Roth Conversion question

Wouldn't it be $7,500 in taxes? Or are you adding state tax too?
by retiredjg
Thu Mar 23, 2017 3:49 pm
Forum: Investing - Help with Personal Investments
Topic: [Questions about my company's "In-Plan Roth Conversion"]
Replies: 9
Views: 410

Re: Backdoor Roth - do I understand it ?

TxInjun, it sounds to me like you should be using the "mega back door" instead - which means that $20k would be rolled to Roth IRA, not to Roth 401k. I say this because I don't recall that Putnam has great choices in 401k (could be wrong about that though) and you might as well move the mo...
by retiredjg
Thu Mar 23, 2017 8:55 am
Forum: Investing - Help with Personal Investments
Topic: Roth 401K vs. 401K
Replies: 18
Views: 1025

Re: Roth 401K vs. 401K

With those tax numbers (25% and 5.75%) I'd be using mostly traditional 401k and some Roth IRA or mostly traditional 401k and some Roth 401k.

Since you have a good low cost choice in the 401k, if you want some Rothness for tax-diversification, it does not matter if you use Roth 401k or Roth IRA.
by retiredjg
Thu Mar 23, 2017 8:46 am
Forum: Investing - Help with Personal Investments
Topic: Major Portfolio Overhaul
Replies: 8
Views: 727

Re: Major Portfolio Overhaul

I think if you are considering a "major portfolio overhaul", you should post your information in the format we use for helping people with their portfolios. See the link at the bottom of this message for how to do that. Suggestions based on an incomplete understanding of your situation may...
by retiredjg
Thu Mar 23, 2017 8:39 am
Forum: Investing - Help with Personal Investments
Topic: Which of these two bond funds is "better"?
Replies: 14
Views: 863

Re: Which of these two bond funds is "better"?

ruralavalon wrote:Both are excellent intermediate-term bond index funds. Either would be a good choice.

This is exactly what I was going to say. :happy
by retiredjg
Thu Mar 23, 2017 8:27 am
Forum: Investing - Help with Personal Investments
Topic: IRA yes or no?
Replies: 41
Views: 2899

Re: IRA yes or no?

HSA's are a wonderful thing for people who have them available and for whom a High Deductible Health Coverage plan is appropriate (you cannot have the HSA without the HDHC plan). When I looked into this many years ago, the HDHC plans worked well for people with low medical costs - generally younger ...
by retiredjg
Thu Mar 23, 2017 8:17 am
Forum: Investing - Help with Personal Investments
Topic: Suggestion for updating "Asking Portfolio Questions" thread
Replies: 100
Views: 11882

Re: Suggestion for updating "Asking Portfolio Questions" thread

I agree there is a problem with people who fail to identify their non-US taxpayer status. Or "different" US taxpayer status if that is a better description for some situations. And it does seem to be happening more often than a few years ago. I'm not opposed to TedSwippet's suggestion, but...
by retiredjg
Thu Mar 23, 2017 6:21 am
Forum: Investing - Help with Personal Investments
Topic: IRA yes or no?
Replies: 41
Views: 2899

Re: IRA yes or no?

Thanks. As you can see, it did not pay out a lot last year - 1.18% (this is profit after the expense ratio). This fund is usable but not great, just Ok. With interest rates rising, it may pay more in 2017. I would probably use this instead of the other bond funds available with much higher ERs. Howe...
by retiredjg
Thu Mar 23, 2017 5:55 am
Forum: Investing - Help with Personal Investments
Topic: Fearful Investor and Close to Retirement
Replies: 69
Views: 7908

Re: Fearful Investor and Close to Retirement

I think the idea is fine as long as the $100k money market gets invested in something. CDs might be a good choice if you don't want to put that money into a bond fund (which is what I'd do). People don't discuss ladders of individual bonds much around here. I don't now why. CD ladders do come up fr...
by retiredjg
Wed Mar 22, 2017 1:32 pm
Forum: Investing - Help with Personal Investments
Topic: Help my portfolio is messy
Replies: 30
Views: 2357

Re: Help my portfolio is messy

Fiat lux wrote:Are there any specific funds you would keep in a 401k vs Roth IRA?

With those choices, it doesn't really matter what you keep where. Many people have a preference for putting stocks, instead of bonds, into Roth IRA. And it makes sense when all other things are equal (as in this case).
by retiredjg
Wed Mar 22, 2017 1:18 pm
Forum: Investing - Help with Personal Investments
Topic: Fearful Investor and Close to Retirement
Replies: 69
Views: 7908

Re: Fearful Investor and Close to Retirement

I think the idea is fine as long as the $100k money market gets invested in something. CDs might be a good choice if you don't want to put that money into a bond fund (which is what I'd do). People don't discuss ladders of individual bonds much around here. I don't know why. CD ladders do come up fr...
by retiredjg
Wed Mar 22, 2017 12:31 pm
Forum: Investing - Help with Personal Investments
Topic: Please help rebalance, bond fund question and Roth IRA
Replies: 6
Views: 375

Re: Please help rebalance, bond fund question and Roth IRA

Sorry about the delay. This one fell between the cracks. Taxable in Vanguard 37.49% (VTSAX) Vanguard Total Stock Market Index Fund Admiral Shares (0.05%) 11.48% (VTIAX) Vanguard Total International Stock Index Fund Admiral Shares (0.14%) 1.11% (VASIX) Vanguard life strategy Income Fund Investor Shar...
by retiredjg
Wed Mar 22, 2017 12:05 pm
Forum: Investing - Help with Personal Investments
Topic: IRA yes or no?
Replies: 41
Views: 2899

Re: IRA yes or no?

Your savings rate will fluctuate for a bit so it is hard to say exactly how much money to put where. If you try to get about 40% into bonds and the other 60% into stocks, your portfolio should stay near target. Once every year or so, check to be sure you are somewhere near 60/40 (say within 5% eithe...
by retiredjg
Wed Mar 22, 2017 7:38 am
Forum: Investing - Help with Personal Investments
Topic: IRA yes or no?
Replies: 41
Views: 2899

Re: IRA yes or no?

If you want to keep putting the $100 a month into taxable and later on put one lump sum into a Roth IRA, that's fine. However, it appears you mean you will only save $1,200 + $3,669 a year? I think I misunderstood what you said earlier because I thought you were saving enough for 2 IRAs each year pl...
by retiredjg
Tue Mar 21, 2017 6:00 pm
Forum: Investing - Help with Personal Investments
Topic: Back Door Roth
Replies: 4
Views: 207

Re: Back Door Roth

So, since I contributed over $5500 to the tIRA this year (for 2017), and converted only $5100 so far via back door. I need to have VG remove $600 out of the $1000? Sorry to be so thick I am just a little confused. Thanks. It sounds like you contributed $600 too much to the tIRA. It (and any earning...
by retiredjg
Tue Mar 21, 2017 5:54 pm
Forum: Investing - Theory, News & General
Topic: TLH for absolute dummies [Tax Loss Harvesting]
Replies: 258
Views: 31947

Re: TLH for absolute dummies [Tax Loss Harvesting]

Hi, I'm a newbie and have a question about TLH. If I have a tech stock, A, that has long term capital loss, and I hold ETFs in my portfolio that are composed of stock A. If i want to do TLH, do I stop "reinvest dividend" and monthly contributions that will purchase more shares of these ET...
by retiredjg
Tue Mar 21, 2017 5:24 pm
Forum: Investing - Help with Personal Investments
Topic: Back Door Roth
Replies: 4
Views: 207

Re: Back Door Roth

The $5,500 is a limit on how much you can contribute to IRA (traditional or Roth) in a year. There is no limit on how much you can convert from tIRA to Roth IRA in a year. If you have contributed more than $5,500 to IRA for 2017, you need to fix it by having the excess amount removed from the tIRA. ...
by retiredjg
Tue Mar 21, 2017 9:59 am
Forum: Investing - Help with Personal Investments
Topic: AA - Whatcha think - and how do I get there from here?
Replies: 8
Views: 350

Re: AA - Whatcha think - and how do I get there from here?

First, why is all your retirement money in Roth IRA? If you have a plan at work, your portfolio should start with the work plan and you should use the Roth IRAs to fill in the holes. No work plan. Are you saving in a taxable account then? Saving only $5k a year is not enough for many people. And if...
by retiredjg
Tue Mar 21, 2017 9:33 am
Forum: Investing - Help with Personal Investments
Topic: AA - Whatcha think - and how do I get there from here?
Replies: 8
Views: 350

Re: AA - Whatcha think - and how do I get there from here?

Thanks for the fund names. A lot of questions come up. First, why is all your retirement money in Roth IRA? If you have a plan at work, your portfolio should start with the work plan and you should use the Roth IRAs to fill in the holes. One of the reasons Swenson uses 60/40 could be that the stock ...
by retiredjg
Tue Mar 21, 2017 9:21 am
Forum: Investing - Help with Personal Investments
Topic: IRA yes or no?
Replies: 41
Views: 2899

Re: IRA yes or no?

Well, I've been going back and forth on this and not making any progress. :annoyed Here's the simplest thing you can do. You would change what you currently have and replace it with what is below. Then try to maintain it with your contributions. Taxable 8.7% . <--leaving this because there would be ...
by retiredjg
Mon Mar 20, 2017 4:24 pm
Forum: Investing - Help with Personal Investments
Topic: AA - Whatcha think - and how do I get there from here?
Replies: 8
Views: 350

Re: AA - Whatcha think - and how do I get there from here?

Posts written in ticker-speak may not get responses from people who don't want to look them up. The easier you make it to help you, the more help you will usually get. :happy
by retiredjg
Mon Mar 20, 2017 3:34 pm
Forum: Investing - Help with Personal Investments
Topic: I thought I knew my desired AA
Replies: 76
Views: 3218

Re: I thought I knew my desired AA

Since then I got married and got two kids. The latest newborn got me thinking about my AA so I hope/believe this is not market timing. It is not market timing when you realize your responsibilities are different from what they were in the past. Having a good honest look at your risk tolerance is a ...
by retiredjg
Mon Mar 20, 2017 3:06 pm
Forum: Personal Finance (Not Investing)
Topic: Can Vanguard roll a pention plan to Roth IRA directly?
Replies: 17
Views: 928

Re: Can Vanguard roll a pention plan to Roth IRA directly?

As I understand it, it used to be true that you could not transfer/roll a 401k directly to Roth. It had to go through tIRA first. So it is hard to know if there is a different rule for a pension plan or if this rep just doesn't know the rules have changed. You are aware that taxes will be due on the...
by retiredjg
Mon Mar 20, 2017 2:53 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Roth IRA contribution withdrawal schedule
Replies: 5
Views: 267

Re: Help with Roth IRA contribution withdrawal schedule

See if this helps. http://fairmark.com/retirement/roth-accounts/designated-roth-accounts/rollovers-from-designated-roth-accounts/ Part depends on when you originally opened your Roth IRA and part depends on how long it has been since the rollover. Of the $5k rollover, do you know how much was your c...
by retiredjg
Mon Mar 20, 2017 2:46 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Roth IRA contribution withdrawal schedule
Replies: 5
Views: 267

Re: Help with Roth IRA contribution withdrawal schedule

The first $5k should be easy peasy because it was a direct contribution to Roth IRA. I never can remember the answer to the rollover from Roth 401k question. But Alan S. knows. If he doesn't show up, you could private message him. Or others might know as well.
by retiredjg
Mon Mar 20, 2017 2:41 pm
Forum: Investing - Help with Personal Investments
Topic: Moving American Funds
Replies: 11
Views: 541

Re: Moving American Funds

I too think the American Funds are good funds once you get past the load (which is already a sunk cost in this case). The problem with keeping the American Funds is that they are not very tax-efficient because they are actively managed. They also have higher expense ratios. Overall, the costs are hi...
by retiredjg
Mon Mar 20, 2017 1:24 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Roth IRA contribution withdrawal schedule
Replies: 5
Views: 267

Re: Help with Roth IRA contribution withdrawal schedule

It may not be as simple as that. You can only withdraw your direct contributions to Roth IRA without penalty or tax unless your Roth IRA is "qualified". If the $10k got in there by some other method, there could be both taxes and penalty on that first $10k. It appears the extra $5k is earn...
by retiredjg
Mon Mar 20, 2017 1:14 pm
Forum: Investing - Help with Personal Investments
Topic: I would appreciate comments on my asset allocation.
Replies: 18
Views: 1207

Re: I would appreciate comments on my asset allocation.

This portfolio is going to take some tending. Small slices like that tend to get out of whack faster than large slices. However, if you don't mind doing the work, the portfolio looks OK to me.
by retiredjg
Mon Mar 20, 2017 1:06 pm
Forum: Investing - Help with Personal Investments
Topic: Need advice on my roth IRA
Replies: 6
Views: 352

Re: Need advice on my roth IRA

The Total Stock Market contains the 500 Index so there is no reason to use both. You will get Admiral Shares if you buy enough of a fund to get Admiral Shares. If this is your only investment and if you don't have enough time to learn some basics right now, I'd just buy the Vanguard Target 2060 fund...

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