Search found 10579 matches

by DSInvestor
Thu Dec 14, 2017 10:59 am
Forum: Personal Finance (Not Investing)
Topic: Recast mortgage as part of a pay down strategy
Replies: 60
Views: 2462

Re: Recast mortgage as part of a pay down strategy

Given that you're committed to paying the original amount of the mortgage payment or more, I see little benefit to recast every year. If your financial situation changes and you need a lower payment to make ends meet, you can recast as needed for no fee.
by DSInvestor
Thu Dec 14, 2017 2:19 am
Forum: Investing - Help with Personal Investments
Topic: Individual 401k with Vanguard
Replies: 4
Views: 376

Re: Individual 401k with Vanguard

Roth 401k contributions are employee salary deferral contributions just like Traditional 401k contributions. You make them the same way as your Traditional 401k contributions. The 18K limit for employee salary deferral contributions is shared between Roth 401k and Traditional 401k. Roth IRA contribu...
by DSInvestor
Wed Dec 13, 2017 11:26 pm
Forum: Personal Finance (Not Investing)
Topic: States with tax-friendly policies for dividends/LTCG
Replies: 13
Views: 1523

Re: States with tax-friendly policies for dividends/LTCG

If you like to do stuff outdoors, consider WA state. No state income tax. You get 4 seasons but it's pretty mild. Awesome outdoors activity with access to the coast and mountains. Mt Rainier NP, North Cascades NP, Olympic NP, Mt Baker. Very close to Vancouver Canada, Squamish and Whistler if living ...
by DSInvestor
Wed Dec 13, 2017 8:48 pm
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth IRA worth it?
Replies: 21
Views: 1594

Re: Backdoor Roth IRA worth it?

If your spouse has no rollover IRA assets, he or she can use the backdoor into Roth IRA without problems. Your assets in Rollover IRA only affects your use of the backdoor into Roth IRA. Form 8606 treats assets separately for each individual.
by DSInvestor
Tue Dec 12, 2017 12:05 pm
Forum: Personal Finance (Not Investing)
Topic: best cashback credit card ?
Replies: 47
Views: 3546

Re: best cashback credit card ?

I use Citibank DoubleCash for most domestic spending. In addition to the 2% cash back, I really like the CITI PRICE REWIND feature which gives you money back if a lower price is found with 60 days of purchase for a product you bought with the card. Purchases must be registered with CITI PRICE REWIND...
by DSInvestor
Tue Dec 05, 2017 12:48 pm
Forum: Personal Consumer Issues
Topic: Running Linux vs Other OS?
Replies: 33
Views: 1560

Re: Running Linux vs Other OS?

The Mac Mini is almost 4 years old so debating between Windows 10 and Linux. Might be a fun project to try Linux (it's free!) and I can always switch to Windows. I have a macbook pro mid 2012 that I upgraded to 16GB RAM and 1TB SSD that runs really well. It's running macOS High Sierra and use vmwar...
by DSInvestor
Sun Dec 03, 2017 10:20 pm
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth question, no 401k right now
Replies: 4
Views: 307

Re: Backdoor Roth question, no 401k right now

Did either you of you have any coverage by an employer plan for 2017? If you or he were W-2 employees, check W-2 to see if the retirement plan box is checked. If checked, then he was covered by an employer plan. If not covered, his Traditional IRA contributions would be fully deductible . In this ca...
by DSInvestor
Thu Nov 30, 2017 9:38 pm
Forum: Personal Consumer Issues
Topic: Should I consider a travel Credit Card?
Replies: 30
Views: 2133

Re: Should I consider a travel Credit Card?

Citi Double Cash is a great card for domestic use but not for international use as foreign charges are subject to 3% foreign transaction fee. For foreign spending, we use Capital One Quicksilver which gives us 1.5% cash back, no annual fee and no foreign transaction. If you're buying your plane tick...
by DSInvestor
Thu Nov 30, 2017 3:55 pm
Forum: Investing - Help with Personal Investments
Topic: Put SEP-IRA contributions into T-IRA?
Replies: 3
Views: 258

Re: Put SEP-IRA contributions into T-IRA?

If you need to use backdoor into Roth IRA, Solo 401k would be a better choice than SEP-IRA to defer some of that 1099 income. This avoids issues with IRA basis proration on partial conversions. Form 8606 sees SEP-IRA assets but does not see 401k assets. SEP-IRA would allow for up to 54K of contribut...
by DSInvestor
Thu Nov 30, 2017 2:45 pm
Forum: Investing - Help with Personal Investments
Topic: Where to best set up 401k for Self Employed Contractor?
Replies: 8
Views: 265

Re: Where to best set up 401k for Self Employed Contractor?

Solo 401k is probably the best way to 401k for a self employed person earning 1099 contractor income. Note that the Solo 401k contribution is based on your net business income not on your gross revenue. Assuming 100K net business income, that would allow around 36K of Solo 401k contributions where ...
by DSInvestor
Thu Nov 30, 2017 2:22 pm
Forum: Investing - Help with Personal Investments
Topic: Where to best set up 401k for Self Employed Contractor?
Replies: 8
Views: 265

Re: Where to best set up 401k for Self Employed Contractor?

Solo 401k is probably the best way to 401k for a self employed person earning 1099 contractor income. Note that the Solo 401k contribution is based on your net business income not on your gross revenue. Assuming 100K net business income, that would allow around 36K of Solo 401k contributions where 1...
by DSInvestor
Thu Nov 30, 2017 1:43 pm
Forum: Investing - Help with Personal Investments
Topic: Switch from Traditional 401K to Roth 401K?
Replies: 3
Views: 441

Re: Switch from Traditional 401K to Roth 401K?

Thanks very much for your feedback. I'll attempt to model it in the spreadsheet. If you do your taxes with tax software, try saving the 2016 file to a new name, then adding 18K of ordinary income and see how your Fed and state income tax changes. It looks like you're in the 25% Fed Tax bracket so a...
by DSInvestor
Thu Nov 30, 2017 1:22 pm
Forum: Investing - Help with Personal Investments
Topic: Pulling my hair out - SEP IRA vs 401k, W2 + 1099 income
Replies: 5
Views: 522

Re: Pulling my hair out - SEP IRA vs 401k, W2 + 1099 income

DSInvestor thank you for replying and your input. My wife does not have any retirement plan through her work as a W2 employee. What I am understanding of your reply, I can start up a solo 401K to maximize her tax savings now. From my understanding, I can also then contribute her 5500 as a backdoor ...
by DSInvestor
Tue Nov 28, 2017 11:40 pm
Forum: Investing - Help with Personal Investments
Topic: How to minimize trade fees within individual 401k?
Replies: 5
Views: 315

Re: How to minimize trade fees within individual 401k?

Open an Self employed 401k account with Fidelity and buy fidelity index funds with no commissions. If your desired asset allocation is close to 85/15 stock/bond, consider holding just one fund Fidelity Four In One Index FFNOX er=0.11%. If different asset allocation, take a look at Fidelity Freedom I...
by DSInvestor
Tue Nov 28, 2017 11:18 pm
Forum: Investing - Help with Personal Investments
Topic: Pulling my hair out - SEP IRA vs 401k, W2 + 1099 income
Replies: 5
Views: 522

Re: Pulling my hair out - SEP IRA vs 401k, W2 + 1099 income

Given that you need to use the backdoor into Roth IRA, Solo 401(k) would be better than SEP-IRA. SEP-IRA assets are counted by form 8606 to calculate the taxable and non-taxable amounts of Roth conversions and IRA basis will prorated on partial conversions. Solo 401k assets are not counted by form 8...
by DSInvestor
Sat Nov 25, 2017 12:13 am
Forum: Personal Consumer Issues
Topic: Great deal on tires and wheels
Replies: 4
Views: 754

Re: Great deal on tires and wheels

I bought my Blizzaks and steel rims from DT last year just before Thanksgiving. They beat Costco's price on the tires by $40 and then gave me $100 rebate on the 4 tires + another $100 for the 4 rims. I did not sign up for DT credit card. Rebate submission was easy and done online and I received 2 $1...
by DSInvestor
Fri Nov 24, 2017 8:43 pm
Forum: Personal Consumer Issues
Topic: Any BLACK FRIDAY deals for Bogleheads?
Replies: 51
Views: 6910

Re: Any BLACK FRIDAY deals for Bogleheads?

I bought some Aerobie Aeropress coffee makers from amazon for about $24 (normally $30).
https://www.amazon.com/Aeropress-Coffee ... B0047BIWSK
by DSInvestor
Fri Nov 24, 2017 4:26 pm
Forum: Personal Consumer Issues
Topic: Hooking up Light without a plug point
Replies: 7
Views: 725

Re: Hooking up Light without a plug point

I;m sure a solar powered lantern, as mentioned by DSInvestor, would work great in your pantry. All you'd need to do is take it outside to recharge. :oops: We keep ours by the kitchen window. Works great and can be brought into the pantry when needed. I keep one on the dash board of my car and bring...
by DSInvestor
Fri Nov 24, 2017 4:21 pm
Forum: Personal Consumer Issues
Topic: Cell Phone "family plans" Sprint for 4
Replies: 12
Views: 805

Re: Cell Phone "family plans" Sprint for 4

My brother switched from AT&T to Cricket wireless (uses AT&T network) and pays $35/month for unlimited calling, unlimited texting and 5GB/month of LTE data. 2 lines on this plan would cost $70. 4 lines on this plan would cost $110/month with the group save discount. Crickets plans charges include al...
by DSInvestor
Fri Nov 24, 2017 3:01 pm
Forum: Personal Consumer Issues
Topic: Hooking up Light without a plug point
Replies: 7
Views: 725

Re: Hooking up Light without a plug point

What about a solar powered LUCI lantern made by MPOWERD? https://mpowerd.com Since 2012, the company has donated 1.6 million lanterns to people living in areas without reliable access to electricity. It has also donated thousands to help with hurricane relief. I have several LUCI lanterns that I use...
by DSInvestor
Fri Nov 17, 2017 7:35 pm
Forum: Personal Consumer Issues
Topic: Replace TVs with Smart Tvs or not?
Replies: 57
Views: 4446

Re: Replace TVs with Smart Tvs or not?

If you like your plasma TVs, I suggest going with a streaming device. A roku device would allow you to watch netflix on your TVs. If you're an Amazon Prime subscriber, you can watch Amazon prime videos for free on the Roku as well. Apple TV does not yet support Amazon Instant Video.
by DSInvestor
Thu Nov 16, 2017 3:10 pm
Forum: Investing - Help with Personal Investments
Topic: Schwab charging $76 for VG funds
Replies: 31
Views: 3770

Re: Schwab charging $76 for VG funds

The charges are Vanguards charges, Schwab and Fidelity are only passing on the charge that Vanguard CHARGES......... Schwab and Fidelity charge 0 on a sale of Vanguard Funds and 76 or 75 to buy Vanguard Funds, so much for low cost at Vanguard. That is not correct. Those transaction fees are not cha...
by DSInvestor
Thu Nov 16, 2017 2:41 pm
Forum: Investing - Help with Personal Investments
Topic: Confused about IRA deduction Limts
Replies: 15
Views: 855

Re: Confused about IRA deduction Limts

Is your wife covered by an employer plan? If not, there is a higher MAGI limit for the non-covered spouse. See IRS Page on 2017 IRA deduction limits effect on Modified AGI on Deduction if you are NOT covered by a retirement plan at work: https://www.irs.gov/retirement-plans/2017-ira-deduction-limits...
by DSInvestor
Tue Nov 14, 2017 2:47 pm
Forum: Investing - Help with Personal Investments
Topic: Need help to understand tIRA rIRA conversion
Replies: 27
Views: 2001

Re: Need help to understand tIRA rIRA conversion

Yes I understand this point. My comment was in the case that I do nothing at all (no backdoor, no rollover): I just keep my existing rollover IRA. Because it's now an IRA, and because of my MAGI, does it mean that I have 45K that are now non deductible? I mean, they were deductible when they were i...
by DSInvestor
Tue Nov 14, 2017 2:31 pm
Forum: Investing - Help with Personal Investments
Topic: Need help to understand tIRA rIRA conversion
Replies: 27
Views: 2001

Re: Need help to understand tIRA rIRA conversion

"So if you have 45K Rollover IRA, 5K TIRA with 5K IRA basis, form 8606 considers you to have a 50K IRA with 5K basis. " What if I don't do anything? If I keep my rollover tIRA (which was funder using my previous 401k). Does it mean that it's now non-deductible??? After the 5K conversion in my examp...
by DSInvestor
Tue Nov 14, 2017 2:08 pm
Forum: Investing - Help with Personal Investments
Topic: Need help to understand tIRA rIRA conversion
Replies: 27
Views: 2001

Re: Need help to understand tIRA rIRA conversion

If your rollover IRA is big, pay attention to the expenses in your current 401k plan relative to the expenses in your IRA. If your IRA expense ratios are 0.10% and 401k are 1.1%, that's a 1% difference. If you transfer 500K into your 401k, you'd be paying an extra $5K/yr in expenses to hold the $500...
by DSInvestor
Tue Nov 14, 2017 2:00 pm
Forum: Investing - Help with Personal Investments
Topic: Need help to understand tIRA rIRA conversion
Replies: 27
Views: 2001

Re: Need help to understand tIRA rIRA conversion

The TIRA deduction phase out happens because of 1) coverage by employer plan and 2) high income. Given your coverage by 401k and high income, TIRA contributions for you and your wife would be non-deductible. If you contribute to TIRA, you it must be reflected in your tax return - so make sure to tel...
by DSInvestor
Mon Nov 13, 2017 11:19 am
Forum: Personal Finance (Not Investing)
Topic: Long term capital gains tax - effective tax is higher than 15%
Replies: 15
Views: 1167

Re: Long term capital gains tax - effective tax is higher than 15%

You mentioned 35% tax bracket which implies high income. At higher levels of income (>200K single, 250K MFJ), additional taxes apply on investment income. Net Investment Income Tax (NIIT). IRS FAQ on NIIT: https://www.irs.gov/newsroom/net-investment-income-tax-faqs If you itemize deductions, high in...
by DSInvestor
Tue Nov 07, 2017 10:31 pm
Forum: Investing - Help with Personal Investments
Topic: VOO versus VTI
Replies: 8
Views: 1181

Re: VOO versus VTI

VOO is Vanguard 500 Index
VTI is Vanguard Total Stock market index.

I buy Vanguard total stock Market VTSAX Admiral shares. If total stock market is not available, I'll be fine buying an S&P500 index fund for my US stock allocation.
by DSInvestor
Tue Nov 07, 2017 9:06 pm
Forum: Investing - Help with Personal Investments
Topic: Top tax bracket in CA - Bonds all muni?
Replies: 11
Views: 1100

Re: Top tax bracket in CA - Bonds all muni?

If you have tax advantaged space like 401(k), 403(b), 457(b), IRA, you can hold taxable bond funds. Use your tax advantaged space for taxable bonds and then complete the bond allocation in taxable accounts with a mix of a national tax exempt bond fund (VWIUX) and your CA tax exempt bond fund. This w...
by DSInvestor
Tue Nov 07, 2017 8:48 pm
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth IRA
Replies: 9
Views: 1129

Re: Backdoor Roth IRA

Can someone explain the Non-Roth IRA's please. What if you have a Simple IRA, or Rollover IRA, or a SEP. Anything besides a 401(k) plan. Also, what happens if you have a Simple IRA but its setup through the employer and you are a participant. Does that mean, a portion of it would be taxable. Non-Ro...
by DSInvestor
Tue Nov 07, 2017 7:21 pm
Forum: Investing - Help with Personal Investments
Topic: has anyone withdrawn/redeposited from their Vanguard Roth account?
Replies: 2
Views: 247

Re: has anyone withdrawn/redeposited from their Vanguard Roth account?

What about collecting the dividends in your funds in taxable? If not reinvested, it will reduce the need to sell shares.

Do you have any emergency cash reserve?
by DSInvestor
Sat Nov 04, 2017 8:47 pm
Forum: Investing - Help with Personal Investments
Topic: roth ira transfer
Replies: 3
Views: 247

Re: roth ira transfer

No. IRA rollovers are not counted as contributions for the purpose of the $5500 annual contribution limit.
by DSInvestor
Sat Nov 04, 2017 8:37 pm
Forum: Investing - Help with Personal Investments
Topic: MF to ETF Conversion [Mutual Fund to Exchange-Traded Fund]
Replies: 10
Views: 605

Re: MF to ETF Conversion

VTSAX (Total Stock Market) and VTIAX (Total International Stock Market) are both excellent tax efficient choices for your taxable account. I do not see a need to convert to ETF shares for tax efficiency reasons. Vanguard Admiral shares and ETF shares tend to have the same low expense ratio, same tax...
by DSInvestor
Wed Oct 25, 2017 2:12 pm
Forum: Personal Consumer Issues
Topic: Amazon kindle paperwhite
Replies: 69
Views: 3635

Re: Amazon kindle paperwhite

Thanks for posting this. I've been wanting to buy one but have been waiting for a price cut. This may be enough to push me to finally get one. I have read reviews and feel pretty sure I would like it. Now I read on my Android phone. Not bad but nothing like a paper white. My main concern is if it w...
by DSInvestor
Wed Oct 25, 2017 1:13 pm
Forum: Personal Consumer Issues
Topic: Ordering iPhoneX
Replies: 19
Views: 1828

Re: Ordering iPhoneX

An article I read told me to download the APPLE STORE APP, and it would go through perhaps easier than via the web site. It's not clear to me what the difference is between the APPLE STORE APP and just the "APP STORE" on my current iPhone7, but I did that and there DOES seem to be a difference. The...
by DSInvestor
Wed Oct 25, 2017 11:40 am
Forum: Investing - Theory, News & General
Topic: Whats this "Tax-Exempt Fund"?
Replies: 6
Views: 1066

Re: Whats this "Tax-Exempt Fund"?

It appears the money made is tax exempt. Is that correct? Note that the bond interest from these tax exempt funds are exempt from taxation but the capital gains (if the you sell for a higher price) is taxable. The bond interest will be reported to you and IRS via 1099-DIV or 1099-INT. The capital g...
by DSInvestor
Sat Oct 21, 2017 9:56 pm
Forum: Investing - Help with Personal Investments
Topic: Roth or IRA
Replies: 19
Views: 1458

Re: ROTH OR IRA

I heard few financial advisors on radio suggesting to invest in ROTH. Most people are going to be in a 'lower tax bracket' upon retirement than while working. This is assuming the tax rates remain the same. Also, the other thing that may happen during retirement years is, you may move to a "no tax"...
by DSInvestor
Wed Oct 18, 2017 12:33 am
Forum: Investing - Help with Personal Investments
Topic: Deciding between Roth TSP and Trad TSP
Replies: 26
Views: 1639

Re: Deciding between Roth TSP and Trad TSP

If you have other financial priorities that you're trying to fund like saving for a house downpayment, next car, paying off debt, it would be easier with Traditional TSP contributions rather than Roth TSP.
by DSInvestor
Sun Oct 15, 2017 10:53 pm
Forum: Investing - Help with Personal Investments
Topic: Adding funds to portfolio full of individual stocks
Replies: 7
Views: 612

Re: Adding funds to portfolio full of individual stocks

Are you a W-2 employee working at a company that does not offer an employer sponsored retirement plan? If you're self employed with no employees other than your spouse, you can open a Solo 401k and get a lot more tax advantaged contribution than $5500 for IRA. Boglehead wiki page on Solo 401k: https...
by DSInvestor
Sat Oct 14, 2017 2:27 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Employer match question
Replies: 5
Views: 330

Re: 401k Employer match question

Moving to a state with no income tax will have no impact on the amount of your 401k contributions. It will affect your take home pay as you will no longer have state income taxes withheld. The eliminated state income tax liability going forward may allow you to afford to make larger 401k and/or IRA ...
by DSInvestor
Thu Oct 12, 2017 10:45 am
Forum: Personal Finance (Not Investing)
Topic: Can I contribute to a spousal IRA?
Replies: 5
Views: 441

Re: Can I contribute to a spousal IRA?

If you file your tax returns as married filing jointly, your wife is eligible to make spousal IRA contributions to either Traditional IRA and/or Roth IRA. This is true even if she has no compensation. Roth IRA: Her eligibility for Roth IRA contributions is subject to MAGI limits based on your joint ...
by DSInvestor
Wed Oct 11, 2017 10:47 am
Forum: Personal Consumer Issues
Topic: Quicken for Mac Woes
Replies: 7
Views: 523

Re: Quicken for Mac Woes

My iMac is still running Sierra. Does the upgrade need to be requested? I downloaded it manually from the app store. Click on apple icon on upper left, select App Store. macOS High Sierra should be prominently displayed on the featured apps page. If you don't see it there, search for "macOS High Si...
by DSInvestor
Mon Oct 09, 2017 11:13 am
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth IRA
Replies: 9
Views: 1129

Re: Backdoor Roth IRA

When you prepare your 2017 tax return, make sure you enter both steps: 1) Contribution to Traditional IRA for 2017 tax year. This will allow the tax software to examine your tax situation to see if you were covered by an employer plan. If covered and MAGI exceeds certain limits, the TIRA contributio...
by DSInvestor
Mon Oct 09, 2017 9:49 am
Forum: Investing - Help with Personal Investments
Topic: Worth moving existing i401k from Vanguard elsewhere?
Replies: 9
Views: 610

Re: Worth moving existing i401k from Vanguard elsewhere?

If limited to Investor shares, you may be able to get a slightly lower overall expense ratio by using a Target Retirement or Lifestrategy fund that most closely matches your desired asset allocation. Target Retirement 2020 VTWNX er=0.14% Target Retirement 2015 VTXVX er=0.14% LifeStrategy Conservativ...
by DSInvestor
Sun Oct 08, 2017 10:58 pm
Forum: Investing - Help with Personal Investments
Topic: Post reverse rollover timing of backdoor Roth contribution
Replies: 3
Views: 327

Re: Post reverse rollover timing of backdoor Roth contribution

The 2016 Form 8606 line 6 asks for IRA balances as of DEC 31, 2016. The 2017 form will ask for IRA balances as of DEC 31, 2017. The balance on JAN 1 is not considered.

2016 form 8606: https://www.irs.gov/pub/irs-pdf/f8606.pdf
by DSInvestor
Sun Oct 08, 2017 11:43 am
Forum: Investing - Help with Personal Investments
Topic: IRA questions - back door roth when tIRA is co-mingled
Replies: 2
Views: 249

Re: IRA questions - back door roth when tIRA is co-mingled

If your employer plans offer low cost investment options and will accept inbound rollovers from IRA, you can transfer the assets in excess of your IRA basis into your employer plans. This would isolate the IRA basis in your TIRA and allow you to convert that IRA basis to Roth IRA tax free. For examp...
by DSInvestor
Sun Oct 08, 2017 11:36 am
Forum: Personal Finance (Not Investing)
Topic: Change for a $20 requires ID!!
Replies: 22
Views: 2444

Re: Change for a $20 requires ID!!

I have seen inconsistent behavior at different branches. One branch always asks for ID or debit card PIN for any transaction, even changing a $20 for quarters. The other branch next town over does not ask for ID or debit card PIN.
by DSInvestor
Sat Oct 07, 2017 11:48 pm
Forum: Investing - Help with Personal Investments
Topic: Tradittional vs Roth?
Replies: 6
Views: 597

Re: Tradittional vs Roth?

If you currently reside in a state with high state income tax and may move to a state with no state income tax, Roth 401k contributions may mean pre-paying taxes to your current state to avoid a 0% state income tax rate upon withdrawal in retirement. Tax treatment of Traditional 401k contributions a...