Search found 227 matches

by Hodor
Fri Nov 15, 2019 8:25 pm
Forum: Personal Finance (Not Investing)
Topic: Asset allocation for 50 year retirement?
Replies: 21
Views: 2657

Re: Asset allocation for 50 year retirement?

When you have over 60x annual expenses, the asset allocation doesn't matter all that much.
by Hodor
Sat Sep 28, 2019 10:21 pm
Forum: Investing - Theory, News & General
Topic: Thoughts on Constant High Yield Savings
Replies: 6
Views: 1211

Re: Thoughts on Constant High Yield Savings

This is not FDIC insured. It’s not a savings account, it’s P2P lending with better liquidity than some other options. It may or may not be a good investment for what it is, but it is not in Any way a savings account. From their website: Are my deposits insured? Not always, no. While held with our tr...
by Hodor
Mon Jan 21, 2019 6:19 pm
Forum: Investing - Theory, News & General
Topic: One Fund to Rule Them All
Replies: 52
Views: 5452

Re: One Fund to Rule Them All

That sounds like a great plan, especially now that Total World is getting Admiral Shares.
by Hodor
Sat Dec 01, 2018 5:03 pm
Forum: Investing - Theory, News & General
Topic: Municipal bonds -- 7% or 11.66%? What do you think?
Replies: 8
Views: 1316

Re: Municipal bonds -- 7% or 11.66%? What do you think?

The better argument would be that a 11.66% taxable bond does not really yield 11.66% if you're in the 40% tax bracket.
by Hodor
Thu Oct 18, 2018 1:46 pm
Forum: Personal Investments
Topic: Portfolio Advice, 30 yr old couple
Replies: 21
Views: 1672

Re: Portfolio Advice, 30 yr old couple

One thing that I missed, since he does not have a retirement plan at work, his income limit for deducting a Traditional IRA is much higher than normal. For a married filing jointly spouse not covered by a retirement plan, the Traditional IRA contribution is fully deductible if the couple's modified ...
by Hodor
Thu Oct 18, 2018 11:32 am
Forum: Personal Investments
Topic: Portfolio Advice, 30 yr old couple
Replies: 21
Views: 1672

Re: Portfolio Advice, 30 yr old couple

I think you may be a bit confused about what a backdoor Roth IRA is. The first thing to know is that a backdoor Roth IRA is not a type of account. The "backdoor" is just the process by which you get money into the Roth IRA, but the account your money ends up in is just a Roth IRA. The backdoor proce...
by Hodor
Mon Sep 17, 2018 3:34 pm
Forum: Investing - Theory, News & General
Topic: Advantage of Rebalancing for different asset allocations
Replies: 25
Views: 1622

Re: Advantage of Rebalancing for different asset allocations

No, Investor 2 would not end up with more money if stocks returned more significantly more than bonds over the time period, as I believe you are stipulating. Unless Investor 2 knows when the stock market will peak and bottom (in which case, they should not just rebalance, but go 100% bonds at the pe...
by Hodor
Sun Aug 19, 2018 6:26 pm
Forum: Investing - Theory, News & General
Topic: Yield Plus HSA option
Replies: 12
Views: 898

Re: Yield Plus HSA option

That doesn't seem like a very good interest rate for a non-guaranteed account. How much money would you be putting in there? I'm also a little confused as to how these can both be true: backed by a third-party insurer, Great Western Insurance Company (GWIC) NOT GUARANTEED BY HEALTHEQUITY OR AN INSUR...
by Hodor
Wed Mar 28, 2018 5:44 pm
Forum: Investing - Theory, News & General
Topic: Muni Money Market funds starting to look good!
Replies: 139
Views: 31919

Re: Muni Money Market funds starting to look good!

Pardon my ignorance, but is there any reason to hold Vanguard Municipal Money Market Fund over Vanguard California Municipal Money Market Fund (VCTXX)? I live in California. I presume if I held Vanguard Municipal Money Market Fund may owe some states taxes on dividends since pooled from different s...
by Hodor
Fri Feb 09, 2018 10:25 pm
Forum: Personal Finance (Not Investing)
Topic: Ally Bank 12 month CD now 2.00%
Replies: 64
Views: 15814

Re: Ally Bank 12 month CD now 2.00%

1-year Treasury at 1.98% (at Fidelity). If you live in a high tax state, the after tax yield of the TBill is substantially higher than the CD. Here in CA with a marginal rate of ~9.3%, the Treasury at 2% is equivalent to a CD at ~2.2% Not quite that good. First, you have to account for commissions....
by Hodor
Wed Jan 31, 2018 5:33 pm
Forum: Personal Finance (Not Investing)
Topic: Doubling of Standard Deduction--Really??
Replies: 56
Views: 8408

Re: Doubling of Standard Deduction--Really??

Another wrinkle is that the higher standard deduction coupled with the SALT may end up costing you money on your state tax return. Many states require you to take the state standard deduction if you are doing so for federal taxes. Most states have a standard deduction lower than the current federal ...
by Hodor
Fri Jan 26, 2018 7:49 pm
Forum: Personal Finance (Not Investing)
Topic: Can i deduct 401k contributions on top of standard deduction?
Replies: 5
Views: 810

Re: Can i deduct 401k contributions on top of standard deduction?

401k contributions are not itemized deductions and do not affect your ability to take the standard deduction.
by Hodor
Fri Jan 19, 2018 5:29 pm
Forum: Personal Finance (Not Investing)
Topic: Can You Say...Auto Insurance
Replies: 36
Views: 3355

Re: Can You Say...Auto Insurance

Auto insurers' costs have been going up for a few years now across the industry, and therefore so have the prices for consumers. Don't take it personally when your rate goes up at renewal. Just shop around to see if you can find a better price.
by Hodor
Sun Dec 31, 2017 5:12 pm
Forum: Personal Finance (Not Investing)
Topic: Federal Employee HSA account set up help
Replies: 25
Views: 2516

Re: Federal Employee HSA account set up help

My dw set up an HSA Bank account tonight. It said they would mail a packet in 7-10 days. Hopefully we did it right. Hm. It sounds like you did something when you were "supposed" to do nothing. As noted, an account will be created for you at HSA Bank. The employer contributions (AKA premium pass-thr...
by Hodor
Sun Dec 31, 2017 2:00 pm
Forum: Investing - Theory, News & General
Topic: Muni Money Market funds starting to look good!
Replies: 139
Views: 31919

Re: Muni Money Market funds starting to look good!

am wrote:
Sun Dec 31, 2017 1:29 pm
For int. Muni, recent distribution yield was 2.7 versus sec yield of 2.09? Can anyone explain?
I think distribution yield can include return of principal, which is not included in SEC yield.
by Hodor
Sun Nov 12, 2017 8:33 am
Forum: Personal Finance (Not Investing)
Topic: Questions about free tax filing
Replies: 9
Views: 1547

Re: Questions about free tax filing

Look at the IRS Free File site. There are many options that will file your taxes for free if your income is below $64,000. I think if you go through the Free File site you can generally use the full product, whereas if you go through the company’s website they will only offer a stripped down 1040-EZ...
by Hodor
Sun Sep 10, 2017 6:06 pm
Forum: Personal Finance (Not Investing)
Topic: Am I overinsured on my autos?
Replies: 20
Views: 2093

Re: Am I overinsured on my autos?

It doesn't sound like you're overinsured, just paying too much for what you're getting. If Geico is more than twice as cheap for the same coverage, switching should be a no-brainer.
by Hodor
Thu Jun 08, 2017 7:40 pm
Forum: Personal Finance (Not Investing)
Topic: Cancel credit card?
Replies: 8
Views: 1460

Re: Cancel credit card?

Better to leave it alone if it's an old card.
by Hodor
Thu Apr 27, 2017 9:36 pm
Forum: Personal Finance (Not Investing)
Topic: Which High-Yield Online Savings Account Should I Open?
Replies: 72
Views: 15342

Re: Which High-Yield Online Savings Account Should I Open?

Are you just looking for a savings account, and not also a checking account at the same bank? If so, then pick the one with the highest interest rate.
by Hodor
Sun Apr 23, 2017 9:15 pm
Forum: Personal Finance (Not Investing)
Topic: Did you file your taxes with Credit Karma?
Replies: 14
Views: 2202

Re: Did you file your taxes with Credit Karma?

I started with them but ended up just doing free fillable forms. It's pretty easy if your taxes aren't too different from last year and you know where everything needs to go.
by Hodor
Sat Apr 22, 2017 10:14 pm
Forum: Personal Finance (Not Investing)
Topic: Ally Bank - Savings Account Rate Increased!
Replies: 94
Views: 18873

Re: Ally Bank - Savings Account Rate Increased!

Interesting most seem to think this is meaningless but if expenses on on mutual fund or ETF was cut by the same there would be a parade in the forum. I'm guessing this board has a lot more money in mutual funds and ETF's than bank savings accounts. Not really the point. It's precisely the point. Pe...
by Hodor
Sat Apr 22, 2017 9:43 pm
Forum: Personal Finance (Not Investing)
Topic: Ally Bank - Savings Account Rate Increased!
Replies: 94
Views: 18873

Re: Ally Bank - Savings Account Rate Increased!

Interesting most seem to think this is meaningless but if expenses on on mutual fund or ETF was cut by the same there would be a parade in the forum. I'm guessing this board has a lot more money in mutual funds and ETF's than bank savings accounts. Not really the point. It's precisely the point. Pe...
by Hodor
Sat Apr 22, 2017 9:32 pm
Forum: Personal Finance (Not Investing)
Topic: Ally Bank - Savings Account Rate Increased!
Replies: 94
Views: 18873

Re: Ally Bank - Savings Account Rate Increased!

TheTimeLord wrote:Interesting most seem to think this is meaningless but if expenses on on mutual fund or ETF was cut by the same there would be a parade in the forum.
I'm guessing this board has a lot more money in mutual funds and ETF's than bank savings accounts.
by Hodor
Sat Apr 22, 2017 3:23 pm
Forum: Personal Investments
Topic: Relatively "Safe" Place to Earn 2.5%-4%
Replies: 24
Views: 4396

Re: Relatively "Safe" Place to Earn 2.5%-4%

30 year treasury bonds will pay a coupon in that range, and are guaranteed by the U.S. government. Of course, there is a significant risk of losing money if the bonds need to be sold before 30 years and rates have gone up. Investment-grade corporate bonds, or a fund like Vanguard's Intermediate-Term...
by Hodor
Sat Apr 22, 2017 3:04 pm
Forum: Personal Finance (Not Investing)
Topic: Ally Bank - Savings Account Rate Increased!
Replies: 94
Views: 18873

Re: Ally Bank - Savings Account Rate Increased!

It's about time... I've been enjoying the 1.30% no minimum 12 month CD. This is nice, too Haha yes. I grabbed the 1.25% 11 month no penalty CD last November or December, but then closed it this March to fund the $10k minimum Capital One MMA to get the $200 bonus. Ha! I did the exact same thing! I g...
by Hodor
Thu Apr 20, 2017 9:38 pm
Forum: Personal Investments
Topic: Emergency fund
Replies: 13
Views: 2283

Re: Emergency fund

Either way works perfectly fine. Do whatever makes you more comfortable.
by Hodor
Thu Mar 23, 2017 5:19 pm
Forum: Personal Finance (Not Investing)
Topic: How did you do your income taxes?
Replies: 96
Views: 8234

Re: How did you do your income taxes?

I used Free Fillable Forms online. Was not too difficult at all, and I'm going to go through the forms line by line either way.
by Hodor
Tue Mar 21, 2017 5:39 pm
Forum: Personal Finance (Not Investing)
Topic: Capital One 360 $200 bonus (and now $300 checking bonus)
Replies: 221
Views: 52713

Re: Capital One 360 $200 bonus

I was going to gripe about Capital One being more interested in attracting new short term customers than paying competitive interest rates to the long term customers responsible for the deposits they actually depend on to generate ongoing revenue. Then I noticed that link says 1% interest in the fi...
by Hodor
Tue Mar 21, 2017 4:26 pm
Forum: Personal Finance (Not Investing)
Topic: Capital One 360 $200 bonus (and now $300 checking bonus)
Replies: 221
Views: 52713

Re: Capital One 360 $200 bonus

sunny_socal wrote:How long must one keep the 10k in the account? The fine print didn't seem to impose any limitations.
I got the $200 the day after my initial deposit posted.
by Hodor
Fri Mar 17, 2017 5:05 pm
Forum: Personal Finance (Not Investing)
Topic: Using the Fidelity Rewards Visa in Europe?
Replies: 20
Views: 4499

Re: Using the Fidelity Rewards Visa in Europe?

mptfan wrote:
Hodor wrote: I never had any problem using my chip-and-signature (Capital One Quicksilver) in Europe. It even worked in automated machines at the train station.
What PIN did you use? If a card is a pin and signature, doesn't that mean there is no PIN?
No PIN necessary.
by Hodor
Wed Mar 15, 2017 9:02 pm
Forum: Personal Finance (Not Investing)
Topic: Using the Fidelity Rewards Visa in Europe?
Replies: 20
Views: 4499

Re: Using the Fidelity Rewards Visa in Europe?

BTW, if the terminal or merchant asks whether you want to pay in USD or Euro, choose USD. SO you use your bank's exchange rate and not merchant's rate (which might not be the best available). I do think you have this backwards. Don't you really want to "choose Euro"? I know I do. Yes you do want to...
by Hodor
Sat Feb 18, 2017 10:23 am
Forum: Personal Finance (Not Investing)
Topic: Per Trumps Order, IRS Stops Enforcing Individual Mandate (health insurance rquirement)
Replies: 8
Views: 2350

Re: Per Trumps Order, IRS Stops Enforcing Individual Mandate (health insurance rquirement)

The IRS is not stopping enforcement of the individual mandate. Starting with this tax year, they were going to begin rejecting returns where the taxpayer left 1040, line 61 blank. They have not done this in the past, and now will not be doing it this year either. The individual mandate and the penal...
by Hodor
Sun Feb 12, 2017 12:06 am
Forum: Personal Finance (Not Investing)
Topic: Bonds as savings account?
Replies: 11
Views: 1810

Re: Bonds as savings account?

It is certainly fine to keep a portion of your emergency fund in a safe (intermediate duration, investment-grade) bond fund. Whether you should do so will depend on how much psychological importance you place on your emergency fund never dropping in (nominal, not real) value ever, by any amount.
by Hodor
Sun Aug 28, 2016 9:39 am
Forum: Investing - Theory, News & General
Topic: Portfolio Analysis Tool?
Replies: 6
Views: 1028

Re: Portfolio Analysis Tool?

Personal Capital might be what you're looking for.
by Hodor
Sat Aug 27, 2016 12:09 pm
Forum: Personal Finance (Not Investing)
Topic: What to do with $50k?
Replies: 19
Views: 2546

Re: What to do with $50k?

I would put it towards the mortgage right now. The interest rate on the mortgage is far above the money market, so there is no sense in waiting to pay it off in a lump sum.
by Hodor
Sat Jul 16, 2016 2:18 pm
Forum: Personal Finance (Not Investing)
Topic: VTMFX - Vang. tax-managed balanced fund - how reported on 1099-div?
Replies: 6
Views: 1281

Re: VTMFX - Vang. tax-managed balanced fund - how reported on 1099-div?

Vanguard also posts information about the state by state breakdown of the municipal bond interest, since out-of-state muni interest is generally taxable on your state income taxes. You have to go to the "Tax Center" for this though; they don't put it on your 1099-div.
by Hodor
Sat May 14, 2016 9:09 pm
Forum: Investing - Theory, News & General
Topic: Deep Risk (Bernstein): Any academic research on G Fund vs. TIPS as inflation hedge?
Replies: 28
Views: 7378

Re: Deep Risk (Bernstein): Any academic research on G Fund vs. TIPS as inflation hedge?

The G fund will certainly do much, much better than nominal bonds under unexpected inflation. If inflation really gets high, the Fed will raise their target rate and investors will demand higher yields to compensate for inflation, so the G Fund interest rate will rise too. It's probably not as great...
by Hodor
Tue May 03, 2016 7:22 pm
Forum: Investing - Theory, News & General
Topic: I Bond rates for May 1 announced
Replies: 69
Views: 14957

Re: I Bond rates for May 1 announced

The fixed rate is terrible. Compared to what? What happens, if say, in 2 years, the US chooses to go NIRP? I personally do not see interest rates normalizing in my lifetime. There is simply too much debt in the system, both private and public. Series EE and I Bonds provides a nice hedge against int...
by Hodor
Fri Mar 11, 2016 5:17 pm
Forum: Investing - Theory, News & General
Topic: The Elusive Rebalancing Bonus, An Analysis
Replies: 104
Views: 12417

Re: The Elusive Rebalancing Bonus, An Analysis

nisiprius wrote:Here's a question for folks. If you throw out all investment strategies whose benefits are "elusive," what are you left with?
The Bogleheads Investment Philosophy?
by Hodor
Thu Feb 25, 2016 11:19 pm
Forum: Investing - Theory, News & General
Topic: Emerging Markets currency effect for last 3 years
Replies: 6
Views: 1252

Re: Emerging Markets currency effect for last 3 years

Doesn't this undercut the argument that EM equity is dirt cheap? Talking heads are touting the low CAPE10 levels as a reason to forecast outperformance by EM equity over the next few years, for example, but those low valuations are largely the result of conversion to US$. Is the EM market looking c...
by Hodor
Thu Feb 25, 2016 6:27 pm
Forum: Investing - Theory, News & General
Topic: [Vanguard announces 3rd round of Expense Ratio reductions]
Replies: 43
Views: 5669

Re: A little gift from Vanguard - lower ER for VTIAX

It looks like the Institutional Shares are down to 0.10% as well.
by Hodor
Mon Feb 22, 2016 5:14 pm
Forum: Personal Finance (Not Investing)
Topic: Should I cancel my credit cards?
Replies: 34
Views: 4604

Re: Should I cancel my credit cards?

Yes, it can hurt your credit to cancel your credit cards. But it's impossible to know how to answer your question without knowing why you are thinking of cancelling them. Is it because you can't trust yourself not to rack up credit card debt if you leave them open? Then yeah, you should cancel them....
by Hodor
Fri Feb 19, 2016 11:26 pm
Forum: Investing - Theory, News & General
Topic: Why did BND go up during 2008-09? It holds MBS
Replies: 9
Views: 1561

Re: Why did BND go up during 2008-09? It holds MBS

For all the fretting that people do about government mortgage-backed securities, they sure do seem to behave pretty much like any other typical, boring, low-risk, low-return bond fund. Vanguard GNMA fund has almost identical returns to Total Bond over the last almost 30 years. In fact, it has been j...
by Hodor
Fri Feb 19, 2016 11:17 pm
Forum: Investing - Theory, News & General
Topic: MarketWatch's slice and dice portfolio
Replies: 17
Views: 3057

Re: MarketWatch's slice and dice portfolio

If we're just picking portfolios based on hindsight, why not just pick the segment that did the best and skip all the 10% nonsense?
by Hodor
Mon Feb 15, 2016 8:42 pm
Forum: Investing - Theory, News & General
Topic: Saving/Investing 35% of your annual income....part PMI question.
Replies: 4
Views: 892

Re: Saving/Investing 35% of your annual income....part PMI question.

I would start aggressively paying down the mortgage to get rid of the PMI. This has the added benefit of being a good way to save for your new house.

You don't say why you are adding $600 per month to your savings account. Is it to build up an emergency fund?
by Hodor
Sat Feb 13, 2016 2:30 pm
Forum: Personal Investments
Topic: Help simplify an old account [Investing with Wisebanyan?]
Replies: 39
Views: 2974

Re: What's wrong in investing with Wisebanyan?

Just using mutual funds instead of ETF's would solve problems 1 and 3.
by Hodor
Fri Feb 12, 2016 5:51 pm
Forum: Personal Finance (Not Investing)
Topic: deducting government obligation income from NYS income tax
Replies: 13
Views: 1426

Re: deducting government obligation income from NYS income tax

Bond interest payments are not qualified dividends and are taxed at your ordinary interest rate. Only qualified dividends from US and some foreign stocks are taxed at the capital gains rate.
by Hodor
Mon Feb 08, 2016 11:19 pm
Forum: Investing - Theory, News & General
Topic: Jeremy Siegel : I was too bullish
Replies: 20
Views: 4969

Re: Jeremy Siegel : I was too bullish

With all due respect, he is admitting is that his last prediction of what the market would do was wrong. Why should we pay any attention to what he now believes the market will do?
by Hodor
Mon Feb 08, 2016 10:22 pm
Forum: Personal Finance (Not Investing)
Topic: 10% Mortgage Down payment
Replies: 49
Views: 9310

Re: 10% Mortgage Down payment

Most people do not put down the full 20%, I don't know what most people you are referring to. In my opinion, 20% is the minimum one should put down on a house. And, if one can not afford a 15 year mortgage and are considering a 30 year mortgage to double down on it, then they really can't afford th...