Search found 234 matches

by teen persuasion
Tue May 23, 2017 1:29 pm
Forum: Personal Finance (Not Investing)
Topic: % Roth vs. % traditional
Replies: 67
Views: 2014

Re: % Roth vs. % traditional

My employer has a roth 401k option and for the longest time I was 100% roth. After some reading and education by way of the Boglehead site, I realized that being in the 28% bracket now, I would be better off with going the traditional route. A plus is that if you are not already maxing out your ROT...
by teen persuasion
Tue May 23, 2017 7:47 am
Forum: Personal Finance (Not Investing)
Topic: IRS tax letter triggered by Turbotax's 8606
Replies: 25
Views: 2461

Re: IRS tax letter triggered by Turbotax's 8606

I find it takes me much longer to go thru the interview vs directly filling the forms, and I am blind on whether TurboTax has done things correctly until I can see the finalized forms late in the "approve and e-file" stage. You might take a look at HR Block software. Th forms can be viewe...
by teen persuasion
Tue May 23, 2017 6:51 am
Forum: Personal Finance (Not Investing)
Topic: IRS tax letter triggered by Turbotax's 8606
Replies: 25
Views: 2461

Re: IRS tax letter triggered by Turbotax's 8606

I've always found that doing forms myself is far easier than guess-what-I'm-thinking, poorly-worded interviews. A cut-down version of Turbotax with the automated data importing and filling in data from the previous year, but letting you do all the rest by hand, would be most welcome. In fact, it wo...
by teen persuasion
Sun May 21, 2017 8:50 pm
Forum: Personal Finance (Not Investing)
Topic: Risks of electronic access
Replies: 29
Views: 2079

Re: Risks of electronic access

I no longer trust mail delivery. Years ago we paid our credit card with a check sent snail mail. More than once the check was lost, whether in the mail or internally at the CC company I don't know. Since switching to paying online we've never had an issue with a "lost" payment. More recent...
by teen persuasion
Sun May 21, 2017 10:15 am
Forum: Investing - Theory, News & General
Topic: Advice for Endowment Investing Allocation - 3 fund?
Replies: 10
Views: 633

Re: Advice for Endowment Investing Allocation - 3 fund?

Following - I'd like to do similar for my library's endowment fund. I was aghast when I saw the advisor's fees and churning, but the Trustees at the time would rather trust him than themselves. A change in the Board membership may work in my favor this time. I'd like to have a good plan to propose t...
by teen persuasion
Thu May 18, 2017 10:09 pm
Forum: Investing - Help with Personal Investments
Topic: Is it better to stay at 19 or 24 paychecks per year?
Replies: 18
Views: 1584

Re: Is it better to stay at 19 or 24 paychecks per year?

you're giving them a 0% loan if you do 24 paychecks. I'm making a couple assumptions here, but with 19 paychecks, by August 15 you will have received about 52% of your yearly pay. If you were paid 24 times a year, by August 15 you will have received 62.5% of your yearly pay. Taking 19 paychecks is ...
by teen persuasion
Fri May 05, 2017 1:21 pm
Forum: Personal Finance (Not Investing)
Topic: When you didn't have 401(k)/403(b), did you have IRA?
Replies: 31
Views: 990

Re: When you didn't have 401(k)/403(b), did you have IRA?

I am trying to figure out why IRAs are not popular for workers without employer-sponsored retirement plans. Is it because: 1. No money to save for retirement? 2. No knowledge of IRAs? 3. Fear of locking up money for years and years? 4. Fear of financial institutions? 5. Something else? Thanks for a...
by teen persuasion
Wed May 03, 2017 9:21 pm
Forum: Investing - Theory, News & General
Topic: Who Contributes to IRA's?
Replies: 8
Views: 1133

Re: Who Contributes to IRA's?

Interesting article. For the people who have access to both, I'd suggest preferring an IRA to a 401-k (after getting the employer match). An IRA gives you the ability to choose your investments and better control your costs. After you fill that bucket, then resume contributing to a 401-k. For relat...
by teen persuasion
Wed May 03, 2017 9:11 pm
Forum: Investing - Theory, News & General
Topic: Who Contributes to IRA's?
Replies: 8
Views: 1133

Re: Who Contributes to IRA's?

They left out low to middle-income dual earner households, who happen to be frugal, and thus contribute to IRAs first in preference to a higher-fee 401k/403b work plan. 8-) Where are we in those statistics? Ha. They also left out low to middle-income dual earner households, who happen to be frugal,...
by teen persuasion
Fri Apr 28, 2017 8:10 am
Forum: Personal Finance (Not Investing)
Topic: 401k vs HSA limits
Replies: 13
Views: 1371

Re: 401k vs HSA limits

So wait- in theory if I had an adult child who was 19, and I have an HDHP, I could max my family's HSA ($6,750) and also max out an HSA ($6,750) for my adult child. Correct? Would I get these tax benefits? And my adult child could keep the HSA? A non-dependent child can open and fund the HSA accoun...
by teen persuasion
Wed Apr 26, 2017 6:13 pm
Forum: Personal Finance (Not Investing)
Topic: 401k vs HSA limits
Replies: 13
Views: 1371

Re: 401k vs HSA limits

There's weird rules on the HSA accounts, too. My 24 year old DS2 is still on our employer health insurance, but because he is not out tax dependent we cannot pay for his medical bills out of our HSA. Instead, he needs to open his own HSA. Weird loophole - because he is on our "family" plan...
by teen persuasion
Wed Apr 26, 2017 7:39 am
Forum: Investing - Help with Personal Investments
Topic: Restarting retirement savings at 40
Replies: 20
Views: 2074

Re: Restarting retirement savings at 40

Try this link to see how savings rate affects time to reach FIRE: http://www.mrmoneymustache.com/2012/01/13/the-shockingly-simple-math-behind-early-retirement/ I'd also urge you to contribute the max $18k per 401k and $5500 per IRA. We only seriously ramped up our retirement savings beginning in our...
by teen persuasion
Fri Apr 21, 2017 7:55 am
Forum: Personal Finance (Not Investing)
Topic: Does Insurance Have to Pay an Out-of-Network Ambulance Bill in Full?
Replies: 46
Views: 2950

Re: Does Insurance Have to Pay an Out-of-Network Ambulance Bill in Full?

EMS Subscription Some towns offer yearly subscription services that you PAY to belong to the local EMS service. You can select individual, couple, family. BUT -- no visitors, only residents of the home. Then if you or member needs to use the ambulance they will accept whatever your insurance is wil...
by teen persuasion
Wed Apr 19, 2017 12:59 pm
Forum: Investing - Help with Personal Investments
Topic: Should I bother with a 401k at present?
Replies: 25
Views: 2068

Re: Should I bother with a 401k at present?

Considering my current financial situation, does it make sense to put money into a 401k now? I am a 31 year old male with a wife and 2 year old and newborn due in November this year. I currently work as a geologist in an environmental consulting company. My current goals are to build a nine month e...
by teen persuasion
Fri Apr 14, 2017 4:33 pm
Forum: Investing - Help with Personal Investments
Topic: Roth During Children Years?
Replies: 14
Views: 1496

Re: Roth During Children Years?

I know there's a strong argument on the Bogleheads forum to gain your tax deferred employee match and then max out a Roth IRA. I'm looking at our effective tax rates for the past 5 years: 9% 9% 7% 7% 8% We are married filing joint with 2 children (so far). It seems like our tax rate is quite low, e...
by teen persuasion
Tue Apr 11, 2017 10:01 pm
Forum: Personal Finance (Not Investing)
Topic: Require Access to School Records?
Replies: 100
Views: 4302

Re: Require Access to School Records?

Now that the FAFSA is done online, and the IRS allows linking to their data, I'm not clear exactly how "private" my info is anymore. The FAFSA requires input from both parents and students individually, so the process for us usually involves my student logging in to enter their info, then...
by teen persuasion
Tue Apr 11, 2017 4:18 pm
Forum: Personal Finance (Not Investing)
Topic: Require Access to School Records?
Replies: 100
Views: 4302

Re: Require Access to School Records?

Don't stress it too much - soon the tables will be turned, and your student will need your signature/info/input for all sorts of financial aid forms. Every year I seem to get a series of emails: "Hey, mom, I need you to fill out this additional form, sign it, send it back to me so I can sign i...
by teen persuasion
Mon Apr 10, 2017 8:51 pm
Forum: Personal Finance (Not Investing)
Topic: Require Access to School Records?
Replies: 100
Views: 4302

Re: Require Access to School Records?

Regarding the original post question, I don't remember having the option to view my kids' academic info at all. I've been granted a financial ID and password, but even that is very limited. I can pay bills, but not see the breakdown, just the balance due. It is very frustrating at tax time, trying t...
by teen persuasion
Mon Apr 10, 2017 8:26 pm
Forum: Personal Finance (Not Investing)
Topic: Require Access to School Records?
Replies: 100
Views: 4302

Re: Require Access to School Records?

**At one parent talk, it was brought out that, if possible, the student's old bedroom should be left as it is until after the first visit back home, so the student doesn't feel "pushed out". We didn't do that for our first child, but immediately let another child start using the bedroom. ...
by teen persuasion
Sun Apr 09, 2017 9:25 pm
Forum: Investing - Help with Personal Investments
Topic: Lower income investing
Replies: 14
Views: 1190

Re: Lower income investing

If you are MFJ with 2 kids and income in the $40-45k range, you should be eligible for EITC. Contribute to your traditional 401k account before IRAs or taxable. 401k contributions lower both your AGI and your line 7 wages, both of which are tested to determine EITC levels. Lowering your AGI will mak...
by teen persuasion
Fri Apr 07, 2017 8:04 pm
Forum: Investing - Theory, News & General
Topic: "the Truth About Your Future" - Ric Edelman's new book
Replies: 27
Views: 5453

Re: "the Truth About Your Future" - Ric Edelman's new book

Years past I have read several of his books and enjoyed them. While working in the Washington D.C. area I attended a couple of his seminars/presentations. They were compelling and useful. They were all free but, of course, ended with an opportunity to have an individual follow-up with one of his re...
by teen persuasion
Fri Apr 07, 2017 11:05 am
Forum: Personal Finance (Not Investing)
Topic: Spending beyond my means, I think..is my budget out of whack?
Replies: 81
Views: 8486

Re: Spending beyond my means, I think..is my budget out of whack?

I've been following this thread for a while, not sure exactly what to think. I'm flabbergasted at the numbers, and don't have experience with special needs children and their expenses. OP, you have a unique set of circumstances in the HCOL area and special needs child that will skew your budget cate...
by teen persuasion
Fri Apr 07, 2017 6:51 am
Forum: Personal Finance (Not Investing)
Topic: Trying to Persuade an Employer to Improve an ADP 401(k)
Replies: 29
Views: 1736

Re: Trying to Persuade an Employer to Improve an ADP 401(k)

In the direct model the employer CAN pick up the FA and the RK costs if he chooses. With revenue sharing the employer can't do that because those costs are buried in the inflated ER...the FA and RK costs are 100 % paid the employer via revenue sharing :( So as I said earlier, everyone (fund, FA, RK...
by teen persuasion
Wed Apr 05, 2017 6:26 am
Forum: Personal Finance (Not Investing)
Topic: Does your employer let you cash out your Vacation and/or Sick time upon leaving the company?
Replies: 56
Views: 3504

Re: Does your employer let you cash out your Vacation and/or Sick time upon leaving the company?

Interesting question. I hadn't thought about "banking" PTO in anticipation of cashing it out before leaving a company. I just might have to do that. DH hadn't planned to bank PTO and sick time in anticipation of cashing it out. He was accruing it more as a disability insurance, of sorts. ...
by teen persuasion
Tue Apr 04, 2017 8:26 pm
Forum: Personal Finance (Not Investing)
Topic: Low-earners- What is your profession?
Replies: 262
Views: 24354

Re: Low-earners- What is your profession?

The family of seven, with AGI of $30 this year---no/little fed tax owed, possibly Earned Income Credit, college cost credit (both refundable) probably getting PELL grant $ for college as well as other need based aid (state grants, etc) FAFSA doesn't look at retirement assets for any families, or ev...
by teen persuasion
Tue Apr 04, 2017 7:29 pm
Forum: Personal Finance (Not Investing)
Topic: Low-earners- What is your profession?
Replies: 262
Views: 24354

Re: Low-earners- What is your profession?

The family of seven, with AGI of $30 this year---no/little fed tax owed, possibly Earned Income Credit, college cost credit (both refundable) probably getting PELL grant $ for college as well as other need based aid (state grants, etc) FAFSA doesn't look at retirement assets for any families, or ev...
by teen persuasion
Tue Apr 04, 2017 2:59 pm
Forum: Personal Finance (Not Investing)
Topic: Does your employer let you cash out your Vacation and/or Sick time upon leaving the company?
Replies: 56
Views: 3504

Re: Does your employer let you cash out your Vacation and/or Sick time upon leaving the company?

Depends on employer policy, and policies can change. When DH was planning to leave his former employer, he researched policies thoroughly since he had tons of sick time and a bit of PTO (they limited how much PTO you could roll over, and cashed out the difference each year). Policy at the time was t...
by teen persuasion
Mon Apr 03, 2017 6:32 pm
Forum: Personal Finance (Not Investing)
Topic: Low-earners- What is your profession?
Replies: 262
Views: 24354

Re: Low-earners- What is your profession?

I just want to give OP some appreciation for making an insightful as well as refreshing thread. Some posters in this thread stated that they can retire at an early age (less than 50 yrs. old) even though they are categorized as low-income earners. How is this achievable? Is it simply living in the ...
by teen persuasion
Mon Apr 03, 2017 8:43 am
Forum: Personal Finance (Not Investing)
Topic: Low-earners- What is your profession?
Replies: 262
Views: 24354

Re: Low-earners- What is your profession?

A few general comments: 1. Academia can be very well paid. There is always room at the top. 2. This thread is about earnings (wages from jobs) and not income. :) 3. I believe most of the national statistics about median income are probably understated. For instance, if tax returns are used, then mu...
by teen persuasion
Sun Apr 02, 2017 8:58 am
Forum: Investing - Theory, News & General
Topic: Population Pyramids and Investing Patterns
Replies: 32
Views: 3346

Re: Population Pyramids and Investing Patterns

The remaining 100 million are probably low-wage workers in jobs with no benefits, living hand to mouth, and having little or no savings. I'd like to point out that some of those low-wage workers in jobs with no benefits (like me) have a spouse with a 401k. We also have IRAs and an HSA, other saving...
by teen persuasion
Sat Apr 01, 2017 3:39 pm
Forum: Investing - Help with Personal Investments
Topic: Opening 529 plans in two states to avoid maximum aggregate limits
Replies: 15
Views: 950

Re: Opening 529 plans in two states to avoid maximum aggregate limits

Assuming 108 months of 5% returns the ending balance the day our child starts college would be $572,400. If we assume a 4% rate of return the ending balance is $525,000 and a 3% return gets us to $481,000 well short of our goal of $568,000 Remember, the entire college bill won't be due on day one, ...
by teen persuasion
Sat Apr 01, 2017 7:44 am
Forum: Investing - Help with Personal Investments
Topic: Feel Behind -- Thoughts on my Strategy?
Replies: 17
Views: 1705

Re: Feel Behind -- Thoughts on my Strategy?

OP, The key questions are 1) What is your annual expense? 2) What is your annual savings? 3) When your asset will reach 25X your annual expense? A quick and easy way to estimate your current annual expense is Current Annual Expense = Gross income - Tax (Federal + state + SS + Medicare) - Savings Kl...
by teen persuasion
Fri Mar 31, 2017 9:48 pm
Forum: Personal Finance (Not Investing)
Topic: Not opting for 529... anyone else?
Replies: 175
Views: 10162

Re: Not opting for 529... anyone else?

We are kind of doing a 529, but not really. We mainly set it up at the request of family members to contribute to if they want; we are not actively sinking money into it. I'm also able to xfer my GI Bill to my kids, though I may retire before we secure that benefit, so it's not a given. We have cho...
by teen persuasion
Fri Mar 31, 2017 9:08 pm
Forum: Personal Finance (Not Investing)
Topic: Saving 50% of salary; what does it really mean?
Replies: 142
Views: 10850

Re: Saving 50% of salary; what does it really mean?

I'm never sure how to explain gross income for us, as we get refundable tax credits. DH has 50% of his gross salary going to his 401k; he's also contributing nearly the family max to the HSA, another 16% or so. I have no access to a 401k, but fund Roth IRAs for both of us; that's roughly 2/3 of my g...
by teen persuasion
Thu Mar 30, 2017 7:21 am
Forum: Personal Finance (Not Investing)
Topic: When do you plan to die?
Replies: 165
Views: 11005

Re: When do you plan to die?

107 Years Of Age :mrgreen: I usually use 105 in calculators. My maternal aunt lived to 102. My parents are both very healthy now, and dad is 86. They both have siblings in their nineties. I figure it is better to plan for longer rather than shorter. DH is adopted, so he has no idea of family health...
by teen persuasion
Wed Mar 29, 2017 9:32 pm
Forum: Personal Finance (Not Investing)
Topic: Not opting for 529... anyone else?
Replies: 175
Views: 10162

Re: Not opting for 529... anyone else?

I am not funding a 529 for any of my four young children, for several reasons: Second, I have no idea what the college system will look like in 10-15 years, although it seems like it is in need of dramatic change. In the most recent Presidential campaign Democrats embraced the idea of free tuition ...
by teen persuasion
Wed Mar 29, 2017 7:22 am
Forum: Personal Finance (Not Investing)
Topic: Not opting for 529... anyone else?
Replies: 175
Views: 10162

Re: Not opting for 529... anyone else?

Looked into 529s, but quickly decided the costs outweighed any state tax benefit. The costs for us would be the fact that 529s are included in assets in the FAFSA calculations, and would hurt our financial aid. Some people wait and run current college expenses thru a 529 just for the state tax break...
by teen persuasion
Mon Mar 27, 2017 9:16 pm
Forum: Investing - Help with Personal Investments
Topic: Calculating cost of retirement
Replies: 15
Views: 2014

Re: Calculating cost of retirement

Assume for the sake of this question that I would try to live off RMDs from an inherited ira and non-retirement savings for the next 25 years. (This last assumption is not yet possible, but I want to first save enough for retirement -- but not too much -- and then save enough to get me to retiremen...
by teen persuasion
Mon Mar 27, 2017 7:27 pm
Forum: Investing - Help with Personal Investments
Topic: How much to invest in 401k vs taxable account.
Replies: 43
Views: 3207

Re: How much to invest in 401k vs taxable account.

Tax guesstimate: HOH, 1 child $55k income $4981 tax - $1k CTC = $3981 tax owed HOH, 1 child $37k AGI (after contributing $18k to t401k) $2281 tax - $1k CTC - $363 EITC - $200 RSC = $718 tax owed Note, you have to get your line 7 wages AND AGI below $39250 as HOH with 1 child to be eligible for any ...
by teen persuasion
Mon Mar 27, 2017 12:13 pm
Forum: Investing - Help with Personal Investments
Topic: How much to invest in 401k vs taxable account.
Replies: 43
Views: 3207

Re: How much to invest in 401k vs taxable account.

Tax guesstimate: HOH, 1 child $55k income $4981 tax - $1k CTC = $3981 tax owed HOH, 1 child $37k AGI (after contributing $18k to t401k) $2281 tax - $1k CTC - $363 EITC - $200 RSC = $718 tax owed Note, you have to get your line 7 wages AND AGI below $39250 as HOH with 1 child to be eligible for any E...
by teen persuasion
Tue Mar 21, 2017 7:45 am
Forum: Personal Finance (Not Investing)
Topic: Recommended emergency fund for middle class households: $13,800
Replies: 64
Views: 6859

Re: Recommended emergency fund for middle class households: $13,800

Reading the linked article, they are talking about the buffer you need to weather a perfect storm of trouble. A co-worker is dealing with this now - a windstorm dropped a tree on her kitchen. She was injured, though not severely (staples to a cut on her head, concussion). Structural damage to their ...
by teen persuasion
Mon Mar 20, 2017 8:05 pm
Forum: Investing - Help with Personal Investments
Topic: New Boglehead, Kids's College, & Emergency Fund Transfer
Replies: 25
Views: 1224

Re: New Boglehead, Kids's College, & Emergency Fund Transfer

Of course, if they instead increase the 403b contributions by $2001 (to get just below the $40k AGI threshold for 20% Retirement Saver's credit), their refund jumps to $3435 federal. That is, no Roth IRA for spouse but $13k 403b contribution. State EITC increases to $642.
by teen persuasion
Mon Mar 20, 2017 7:07 pm
Forum: Investing - Help with Personal Investments
Topic: New Boglehead, Kids's College, & Emergency Fund Transfer
Replies: 25
Views: 1224

Re: New Boglehead, Kids's College, & Emergency Fund Transfer

It seems the big argument here is whether to contribute to a traditional IRA or Roth IRA. This is where doing a trial tax return will help make the decision. So I did a couple of scenarios. I assume $55K in income, but $2,000 for health insurance and no other income. MFJ, 2 kids under 16. AGI is $5...
by teen persuasion
Mon Mar 20, 2017 7:30 am
Forum: Investing - Help with Personal Investments
Topic: New Boglehead, Kids's College, & Emergency Fund Transfer
Replies: 25
Views: 1224

Re: New Boglehead, Kids's College, & Emergency Fund Transfer

OP is on the edge of eligibility for EITC (not sure if "kids" plural is 2 or 3+), and NY matches fed EITC at 30%. Contributions to the 403b could increase their refundable credits and reduce their tax, while tIRA contributions only reduce taxes owed. The EITC phaseout rate is ~21%. If they...
by teen persuasion
Sat Mar 18, 2017 7:49 am
Forum: Investing - Help with Personal Investments
Topic: HSA vs 401k vs other - low tax bracket
Replies: 12
Views: 895

Re: HSA vs 401k vs other - low tax bracket

Need more details. Will he be eligible for the Retirement Saver's credit? 401k or IRA before HSA, at least to $2k, or $2k each if MFJ. Eligible for EITC, or could be if lowered AGI? HSA thru payroll deductions and/or t401k, not tIRA or Roth. Filing FAFSA for dependents? HSA thru payroll deductions,...
by teen persuasion
Thu Mar 16, 2017 9:41 pm
Forum: Investing - Help with Personal Investments
Topic: HSA vs 401k vs other - low tax bracket
Replies: 12
Views: 895

Re: HSA vs 401k vs other - low tax bracket

Need more details. Will he be eligible for the Retirement Saver's credit? 401k or IRA before HSA, at least to $2k, or $2k each if MFJ. Eligible for EITC, or could be if lowered AGI? HSA thru payroll deductions and/or t401k, not tIRA or Roth. Filing FAFSA for dependents? HSA thru payroll deductions, ...
by teen persuasion
Wed Mar 15, 2017 10:50 am
Forum: Investing - Help with Personal Investments
Topic: IRA and college savings advice needed
Replies: 38
Views: 1647

Re: IRA and college savings advice needed

The best way to see how your taxes are computed, and how deductions and exemptions and credits affect things, is to go thru past year's tax returns, line by line with an IRS instruction booklet at hand. Using a filled in return lets you see what belongs where, and how it got there. How have you file...
by teen persuasion
Wed Mar 15, 2017 10:33 am
Forum: Investing - Help with Personal Investments
Topic: IRA and college savings advice needed
Replies: 38
Views: 1647

Re: IRA and college savings advice needed

I would guess that the whole exemption withholding system was set up when our tax system was relatively simpler, without so many new credits and additional taxes and phaseouts. It was probably also designed in an era when families typically had one breadwinner. Claiming MFJ on your W4 is just for yo...

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