Search found 634 matches

by CppCoder
Wed Jan 17, 2018 3:34 pm
Forum: Investing - Help with Personal Investments
Topic: 529 asset allocation question
Replies: 4
Views: 284

Re: 529 asset allocation question

Does it really matter much what happens to these accounts? Given $350k is less than 10% of your net worth, you have $1.5 million in taxable, and you have no mortgage, you can afford college even if the 529 goes to zero. That said, you have ability to take risk if you want to, but also no need to tak...
by CppCoder
Wed Jan 17, 2018 11:47 am
Forum: Personal Finance (Not Investing)
Topic: Roth 401(k) vs Traditional 401(k) contributions in 2018
Replies: 8
Views: 496

Re: Roth 401(k) vs Traditional 401(k) contributions in 2018

I've been thinking a lot about this issue lately and just moved to a Roth 401k instead of a traditional 401k. I'm in the new 24% bracket, and this is the first time I've ever used my Roth 401k. I've begun thinking that in some respects, if you are a high earner or a big saver, it's less about the ab...
by CppCoder
Tue Jan 16, 2018 2:15 pm
Forum: Personal Finance (Not Investing)
Topic: Considering PhD...but so much to consider...
Replies: 45
Views: 2746

Re: Considering PhD...but so much to consider...

Perhaps your field is different, but in STEM you don't plan on walking out with your newly minted PhD and getting a $100k job. Typically the only options are PostDoc positions that pay ~$40k. This can last 3-6 years. I have many colleagues who are 5+ years out of the STEM PhD still making well belo...
by CppCoder
Tue Jan 16, 2018 11:56 am
Forum: Personal Finance (Not Investing)
Topic: Considering PhD...but so much to consider...
Replies: 45
Views: 2746

Re: Considering PhD...but so much to consider...

Perhaps your field is different, but in STEM you don't plan on walking out with your newly minted PhD and getting a $100k job. Typically the only options are PostDoc positions that pay ~$40k. This can last 3-6 years. I have many colleagues who are 5+ years out of the STEM PhD still making well belo...
by CppCoder
Tue Jan 16, 2018 10:48 am
Forum: Investing - Theory, News & General
Topic: [Mark Cuban -] "Diversification is for idiots..."
Replies: 26
Views: 3598

Re: Diversification is for idiots...

So after reading and pretty much shadowing Buffet's investing philosophy I ran into this video and now I'm scratching my head and questioning if I should hold cash. When you have 3 billion dollars, you have my permission to hold all cash...or even buy pretty things to hold your cash for you. Until ...
by CppCoder
Mon Jan 15, 2018 9:41 am
Forum: Personal Consumer Issues
Topic: What is the best home exercise equipment?
Replies: 101
Views: 8088

Re: What is the best home exercise equipment?

Another big fan of the Concept2 rower here. I enjoy the detailed logging aspect, and the Concept2 online challenges are somewhat motivational. As for back pain, yes, you can develop that with bad form and overexertion. The one great thing about the rower is that your workout controls the intensity. ...
by CppCoder
Sun Jan 14, 2018 9:02 pm
Forum: Personal Finance (Not Investing)
Topic: What unexpected emergencies require sizeable emergency cash funds available immediately in a checking account?
Replies: 61
Views: 3755

Re: What unexpected emergencies require sizeable emergency cash funds available immediately in a checking account?

Wow, funerals I’ve attended or been involved with are generally a considerable time (sometimes months) after the death, so there is time for loved ones to make arrangements. As with many customs in Judaism, it probably started out as something practical for life 5000 years ago. Pure conjecture here...
by CppCoder
Sun Jan 14, 2018 8:25 pm
Forum: Personal Finance (Not Investing)
Topic: What unexpected emergencies require sizeable emergency cash funds available immediately in a checking account?
Replies: 61
Views: 3755

Re: What unexpected emergencies require sizeable emergency cash funds available immediately in a checking account?

Funeral expenses could not wait for next business day or the day after? I've never participated in such a quick funeral and I used to clean up the fresh dead as one of my jobs. Well, unless it is Shabbat or a holiday, a Jewish funeral traditionally occurs within 24 hours. I'm not sure about the bil...
by CppCoder
Sun Jan 14, 2018 9:25 am
Forum: Investing - Theory, News & General
Topic: Energy sector time to turn around?
Replies: 43
Views: 3589

Re: Energy sector time to turn around?

Actually, not -- re motivations. Professor Helm makes his money by being a Professor at Oxford University (that's like a Department Chair in American universities) and by consulting. The UK title of Professor is equivalent to the U.S. title of (full) Professor. Department chair is not a title in th...
by CppCoder
Sat Jan 13, 2018 4:57 pm
Forum: Investing - Theory, News & General
Topic: Energy sector time to turn around?
Replies: 43
Views: 3589

Re: Energy sector time to turn around?

Do read Dieter Helm's Burn Out. It really does sketch out where this world is going. I do suspect he has an opinion on the matter. Here's another http://corporate.exxonmobil.com/en/energy/energy-outlook Both are biased. I suspect one is biased toward selling books, and one is biased toward long ter...
by CppCoder
Sat Jan 13, 2018 4:44 pm
Forum: Personal Finance (Not Investing)
Topic: why do banks bother offering lousy CD rates?
Replies: 49
Views: 4629

Re: why do banks bother offering lousy CD rates?

I see a lot of responses along the lines of "because they can." I don't think that's correct (but really don't know any better than others). I think it's more akin to why a financially secure person might choose not to have a mortgage even though they could. If you have enough money, why would you ...
by CppCoder
Sat Jan 13, 2018 10:26 am
Forum: Personal Finance (Not Investing)
Topic: why do banks bother offering lousy CD rates?
Replies: 49
Views: 4629

Re: why do banks bother offering lousy CD rates?

I see a lot of responses along the lines of "because they can." I don't think that's correct (but really don't know any better than others). I think it's more akin to why a financially secure person might choose not to have a mortgage even though they could. If you have enough money, why would you b...
by CppCoder
Fri Jan 12, 2018 9:22 pm
Forum: Investing - Theory, News & General
Topic: Energy sector time to turn around?
Replies: 43
Views: 3589

Re: Energy sector time to turn around?

Fossil fuels are nowhere near death. There are still over a billion people on the planet that do not even have electricity. Demand growth is driven by non-OECD countries, so demand (and emissions) reduction you see in developed countries is mostly irrelevant. Electric vehicles will not supplant oil ...
by CppCoder
Fri Jan 12, 2018 9:08 pm
Forum: Investing - Theory, News & General
Topic: Convert to Roth IRA (After-tax 401K ==> Roth 401K ==> Roth IRA)
Replies: 9
Views: 832

Re: Convert to ROTH IRA (AFTER-TAX 401K ==> ROTH 401K ==> ROTH IRA)

Regardless of your ability to rollover while employed, you will be able to rollover your Roth 401k to a Roth IRA after separation. Presumably, you will do this before you reach age 70.5. Like Lyrrad, even though I can perform in-service withdrawals from my plan, I choose to keep my after-tax to Roth...
by CppCoder
Fri Jan 12, 2018 9:04 pm
Forum: Investing - Help with Personal Investments
Topic: cost basis on inherited stocks
Replies: 10
Views: 408

Re: cost basis on inherited stocks

I found this article that might be of help: http://www.costbasis.com/stocks/iinheritedit.html Evidently, the rules in 2010 were special, especially where estate taxes were owed. From my quick scan of the article, it seems like you need to go with the executor's values because of how he or she may ha...
by CppCoder
Fri Jan 12, 2018 12:48 pm
Forum: Personal Finance (Not Investing)
Topic: 529 gift limits
Replies: 11
Views: 978

Re: 529 gift limits

so to be clear, 2 folks here stated that a form needs to be filled for any contributions per person over $14K? which starts a gift counter (up to the $5.4M)? Yes, Form 709. This form is also needed for "superfunding" (making up to a five year gift at once without being subjected to the "counter"). ...
by CppCoder
Fri Jan 12, 2018 12:41 pm
Forum: Investing - Theory, News & General
Topic: Lower tax rates for 7 yrs.-Are you switching to Roth 401K
Replies: 31
Views: 1599

Re: Lower tax rates for 7 yrs.-Are you switching to Roth 401K

I decided to switch to a Roth 401k this year. However, I've been on the fence for a few years, and the lowering of my current marginal rate pushed it over the edge. My situation is probably different than most, though. I already have a large traditional balance, I have a substantial pension, and I h...
by CppCoder
Fri Jan 12, 2018 12:17 pm
Forum: Investing - Theory, News & General
Topic: Shares Are Wildly Overpriced. But Bonds May Be Even Worse
Replies: 34
Views: 5249

Re: Shares Are Wildly Overpriced. But Bonds May Be Even Worse

WanderingDoc wrote:
Fri Jan 12, 2018 1:21 am
After all the "bonds are bad" and "100% equities" threads on here in just the last 2 weeks, I've decided to go "all-in", 100% equities. YOLO
Usually that's the sign to go 100% bonds as it means the fervor of the bull market has reached the masses...
by CppCoder
Fri Jan 12, 2018 12:13 pm
Forum: Investing - Help with Personal Investments
Topic: Leaving job - 401k to Roth IRA?
Replies: 5
Views: 338

Re: Leaving job - 401k to Roth IRA?

I am planning to leave my job and start a business. I am trying to max out my 401k for the year before I leave. I will keep the 401K as it is with my employer as I am happy with their structure. I don't expect to make much money in the startup this year (being realistic). I never qualified for Roth...
by CppCoder
Thu Jan 11, 2018 4:55 pm
Forum: Investing - Help with Personal Investments
Topic: Question about My Cost Basis
Replies: 3
Views: 191

Re: Question about My Cost Basis

Don't forget to include any commissions if there were any.
by CppCoder
Thu Jan 11, 2018 1:34 pm
Forum: Investing - Help with Personal Investments
Topic: 401(k) to IRA Rollover But Give Up Roth Backdoor Conversions
Replies: 4
Views: 297

Re: 401(k) to IRA Rollover But Give Up Roth Backdoor Conversions

The alternative to a backdoor Roth for you is investing that same $5500 in a taxable account. You should model the difference in account balances for $5500 invested annually in a taxable account + withdrawing the 401k versus $5500 in a Roth account + the 401k with fees. The answer will be highly dep...
by CppCoder
Wed Jan 10, 2018 12:29 pm
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth Mess
Replies: 7
Views: 809

Re: Backdoor Roth Mess

Does your wife's 401k permit after-tax contributions and in-service withdrawals (in-service withdrawals may not matter if she intends to switch employers)? Even if you've closed the backdoor Roth IRA, maybe you can still contribute to her via a mega backdoor Roth IRA.
by CppCoder
Wed Jan 10, 2018 11:01 am
Forum: Investing - Help with Personal Investments
Topic: Taxable Fidelity Account - FSTVX vs ITOT
Replies: 53
Views: 3426

Re: Taxable Fidelity Account - FSTVX vs ITOT

You should be using $64.53 instead of $74.47 as that is the closing NAV of FSTVX in December 2016. Why? I used the 2017 capital gains distributions from April and December and used the weighted average of the NAV on the dates of the distributions. Also in your example you are missing the secondary ...
by CppCoder
Tue Jan 09, 2018 10:33 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable Fidelity Account - FSTVX vs ITOT
Replies: 53
Views: 3426

Re: Taxable Fidelity Account - FSTVX vs ITOT

Not to hijack the thread but what I meant is that I've got a bunch of accounts under fidelty. That is where I do My Backdoor Roth have The Brokerage have three 529 accounts, the credit card with cash back directly to fidelity account etc. Been wondering for a long time if I should just put itot in ...
by CppCoder
Tue Jan 09, 2018 10:28 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable Fidelity Account - FSTVX vs ITOT
Replies: 53
Views: 3426

Re: Taxable Fidelity Account - FSTVX vs ITOT

To compute the tax drag for 2017 for FSTVX (and 2017 was a particularly bad year for capital gains in this fund), you can use the following formula: (0.4533 * LT + 0.0567 * ST) / 74.47, where LT is your long term capital gains tax rate and ST is your short term capital gains tax rate (your marginal ...
by CppCoder
Tue Jan 09, 2018 9:49 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable Fidelity Account - FSTVX vs ITOT
Replies: 53
Views: 3426

Re: Taxable Fidelity Account - FSTVX vs ITOT

Carter3 wrote:
Tue Jan 09, 2018 9:44 pm
I'm glad this topic came up. This is something I have been debating for a long time. My only dilemma is that my accounts are all so intertwined at fidelity. Even the 529s.
How are the accounts intertwined? My accounts at Fidelity are very distinct.
by CppCoder
Tue Jan 09, 2018 9:48 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable Fidelity Account - FSTVX vs ITOT
Replies: 53
Views: 3426

Re: Taxable Fidelity Account - FSTVX vs ITOT

mrx wrote:
Tue Jan 09, 2018 8:04 pm
Ok now the question becomes is there a way to transfer these shares to Vanguard and somehow convert them to VBTLX without encountering a sale?
No.
by CppCoder
Mon Jan 08, 2018 11:55 am
Forum: Personal Finance (Not Investing)
Topic: Can you ever win the game?
Replies: 50
Views: 5135

Re: Can you ever win the game?

My computer keeps telling me the only winning move is not to play. I'm not sure what's wrong with it :D.
by CppCoder
Mon Jan 08, 2018 11:49 am
Forum: Investing - Help with Personal Investments
Topic: Roth 401k rollover to Roth IRA + backdoor Roth in same year?
Replies: 8
Views: 556

Re: Roth 401k rollover to Roth IRA + backdoor Roth in same year?

On a side note, if your income is high enough that you need to do a backdoor Roth, I'm curious why you aren't making Traditional 401k contributions? Not to hijack flyingmonkey's thread, but there are lots of reasons (flyingmonkey gave one above) to contribute to a Roth 401k rather than a Traditiona...
by CppCoder
Sun Jan 07, 2018 1:30 pm
Forum: Investing - Help with Personal Investments
Topic: An economist dismisses the idea of dollar cost averaging
Replies: 71
Views: 5270

Re: An economist dismisses the idea of dollar cost averaging

I think it was President Truman that said that if you took all the economists in the world and laid them end to end that it would be a very good idea. No wonder they call economics the dismal science. I just don't agree with the premise of the article or the analogy that the author uses. I think yo...
by CppCoder
Sun Jan 07, 2018 1:19 pm
Forum: Personal Finance (Not Investing)
Topic: Selling home to realtor friend discount math problem
Replies: 15
Views: 925

Re: Selling home to realtor friend discount math problem

I don't understand what you are trying to figure out with the capital gains? If you think $835k with a 5% commission is fair, then 0.95 * $835k = $793.25k with no commission is equivalent. He pays capital gains on the net, regardless, so it's either capital gains on $835 - basis - commission (of 5% ...
by CppCoder
Sun Jan 07, 2018 10:43 am
Forum: Personal Finance (Not Investing)
Topic: Life at a crossroad: seeking advice
Replies: 54
Views: 6650

Re: Life at a crossroad: seeking advice

Why do you assume that the research oriented position will pay 40% less? That might be true in switching to an academic job, but not necessarily true in corporate research. I have an engineering PhD and work in a mega corp research lab. I don't make 40% less than my peers in our operating units. In ...
by CppCoder
Sun Jan 07, 2018 10:18 am
Forum: Investing - Theory, News & General
Topic: math help [Optimal rate to cash out crypto portfolio]
Replies: 9
Views: 909

Re: math help [Optimal rate to cash out crypto portfolio]

As David indicated above, this problem is not well-defined without knowing the rate of return of the investment. That said, even if the rate of return were known, this isn't an easy problem, especially if you can vary the time and number of transactions. To solve that problem, you'd likely need comm...
by CppCoder
Sun Jan 07, 2018 9:53 am
Forum: Investing - Help with Personal Investments
Topic: Buying a home - revisited
Replies: 8
Views: 484

Re: Buying a home - revisited

From the pure financial perspective, I think the reasons to buy are (most already listed above) Potentially cheaper than renting on a cash flow basis (likely over decades in one residence). Fixed, known cost that will not increase (assuming fixed mortgage) vs. unknown of renting. Well, property taxe...
by CppCoder
Sun Jan 07, 2018 9:40 am
Forum: Investing - Help with Personal Investments
Topic: How soon can I transfer money from one position to another?
Replies: 6
Views: 479

Re: How soon can I transfer money from one position to another?

I would suggest that you not buy Vanguard mutual funds at Fidelity. Buy them at Vanguard or buy something similar that Fidelity offers without a transaction fee. Or if you simply must have VG products at Fido, buy ETFs instead - isn't the transaction fee a lot less? To the best of my knowledge, Fid...
by CppCoder
Fri Jan 05, 2018 7:15 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Reporting for In-Plan Conversion of After-Tax 401k Contributions to Designated Roth 401k
Replies: 11
Views: 1037

Re: Tax Reporting for In-Plan Conversion of After-Tax 401k Contributions to Designated Roth 401k

Im doing this for the first time this year. Thanks in advance! 3 questions: 1. So is the consensus that you report this on line 16 and not on a 8606? 2. If put the money in 2017 but arent rolling it over until 2018 do I file this on my 2017 or 2018 return? 3. Does rolling over into a Roth IRA vs Ro...
by CppCoder
Fri Jan 05, 2018 6:06 pm
Forum: Investing - Theory, News & General
Topic: So ambitious w/ money but so risk-averse
Replies: 31
Views: 3054

Re: So ambitious w/ money but so risk-averse

triceratop wrote:
Fri Jan 05, 2018 4:17 pm
I edited the thread title to use the intended word, "risk-averse".
livesoft will surely thank you :D.
by CppCoder
Fri Jan 05, 2018 6:05 pm
Forum: Investing - Help with Personal Investments
Topic: Question re: multiple IRAs
Replies: 2
Views: 184

Re: Question re: multiple IRAs

Do you have a 401k that will accept a rollover of your traditional IRA? If so, then you can roll your existing IRA into the 401k and clear out your tIRA for using in a backdoor Roth IRA. Also, for clarification, you don't really have capital gains in a tIRA. Any amount in that account above your bas...
by CppCoder
Thu Jan 04, 2018 8:00 pm
Forum: Investing - Help with Personal Investments
Topic: Help with tax efficiency mistake at Fidelity
Replies: 8
Views: 650

Re: Help with tax efficiency mistake at Fidelity

It's not a Fidelity issue, though. It's a mutual fund versus ETF structural issue with Vanguard being the exception due to a patent. I agree, I would not make an investment decision based on speculation that Fidelity might introduce an ETF. In fact, I assume that won't happen, but I would be pleasan...
by CppCoder
Thu Jan 04, 2018 7:46 pm
Forum: Investing - Help with Personal Investments
Topic: Help with tax efficiency mistake at Fidelity
Replies: 8
Views: 650

Re: Help with tax efficiency mistake at Fidelity

At a weighted (by amount of CG distribution) average share price of $74.47, you are looking at a tax drag of about 17 basis points. You could lose that to intraday price differences on an ETF. (emphasis mine) The fact that mutual funds are priced daily doesn't mean that they don't experience the sa...
by CppCoder
Thu Jan 04, 2018 6:32 pm
Forum: Investing - Help with Personal Investments
Topic: Help with tax efficiency mistake at Fidelity
Replies: 8
Views: 650

Re: Help with tax efficiency mistake at Fidelity

I use Fidelity, and I use FSTVX in my taxable account. I know it is less tax efficient that ITOT, but I prefer mutual funds to ETFs, so I consider the slight tax hit a "convenience/preference fee." The day the dividend or capital gain posts, your account will tell you what is long term CG, what is s...
by CppCoder
Wed Jan 03, 2018 6:01 pm
Forum: Investing - Help with Personal Investments
Topic: Comparing advisor's performance against VTI?
Replies: 6
Views: 656

Re: Comparing advisor's performance against VTI?

Portfolio Visualizer will work great if your parents have regular cash flows into or out of the portfolio. If not, you'll probably have to do some manual reconstruction of the hypothetical portfolio (unless someone else can explain how to do custom cash flows with portfolio visualizer). Obviously, i...
by CppCoder
Wed Jan 03, 2018 2:34 pm
Forum: Personal Consumer Issues
Topic: Effects of extreme cold weather
Replies: 107
Views: 9603

Re: Effects of extreme cold weather

Here in Texas, we are having three or four nights in a row where the lows are going below 32 F. I think it maybe made it to 10-15 hours of "hard freeze" at one point. There was a run on pipe insulation at every Home Depot, Lowes, and Ace in a 100 mile radius :D. Ace got a truck load of insulation th...
by CppCoder
Wed Jan 03, 2018 2:13 pm
Forum: Investing - Help with Personal Investments
Topic: How soon can I transfer money from one position to another?
Replies: 6
Views: 479

Re: How soon can I transfer money from one position to another?

I made a mistake in an online trade and was wondering if there is a waiting period before I can move the money into the correct account? I looked on VG's website and it is unclear, and the hold time for phone service is unbearable. I bought VIPSX when I meant to buy VTIPX, through Fidelity's websit...
by CppCoder
Wed Jan 03, 2018 2:05 pm
Forum: Investing - Help with Personal Investments
Topic: How soon can I transfer money from one position to another?
Replies: 6
Views: 479

Re: How soon can I transfer money from one position to another?

Depending on the size of the position the $75 could be more than the expense saving from moving to the investor class of fund, which is what the change from VIPSX to VTIPX is. It could take many many years to earn back the difference You could be costing yourself further money by doing this. Might ...
by CppCoder
Tue Jan 02, 2018 2:56 pm
Forum: Investing - Help with Personal Investments
Topic: Should I invest in 529s or use taxable account?
Replies: 13
Views: 780

Re: Should I invest in 529s or use taxable account?

In your situation, I would at least max the state tax deduction as long as the state plan isn't horrible.
by CppCoder
Tue Jan 02, 2018 10:46 am
Forum: Personal Finance (Not Investing)
Topic: Refi After 1 Year?
Replies: 30
Views: 1369

Re: Refi After 1 Year?

Yes I can remove PMI once LTV hits 20%. Between now and when I hit 20%, I will spend about $8-9k in PMI payments. I am leaning towards refinancing to the 15 year mortgage because I save a small amount now, it clears up the short term cash flow issue, and saves us interest and years. Or not doing th...
by CppCoder
Tue Jan 02, 2018 10:17 am
Forum: Personal Finance (Not Investing)
Topic: Refi After 1 Year?
Replies: 30
Views: 1369

Re: Refi After 1 Year?

That is the plan - to invest heavily in other investments after this is cleared up along with the credit card debt this year. So what option do you recommend? When I worked the numbers on the 20 year, I will pay about $5-6k more interest over the mortgage loan by refinancing, but save about $8-9k i...
by CppCoder
Mon Jan 01, 2018 3:30 pm
Forum: Investing - Help with Personal Investments
Topic: Transferring Money from Roth 401k to Roth IRA, when does it make sense?
Replies: 3
Views: 249

Re: Transferring Money from Roth 401k to Roth IRA, when does it make sense?

I think there are two reasons to transfer out of a Roth 401k to a Roth IRA. You want to (whether for better/cheaper funds, consolidation, etc.) and the IRA investment options are no worse. You reach 70.5 years of age (Roth 401ks have RMDs and Roth IRAs do not). One reason to consider not moving the ...
by CppCoder
Mon Jan 01, 2018 3:19 pm
Forum: Investing - Help with Personal Investments
Topic: Daughter Med School Money 100K where to Put it
Replies: 19
Views: 1864

Re: Daughter Med School Money 100K where to Put it

She can open a 529 for herself. Utah's 529 UESP 20% Equity/80% Fixed Income should be OK if she is OK with a little risk. If she wants to be more conservative I'd still hold 10% equities and 90% fixed income in a tax advantaged 529 account. The fixed income can be tilted to shorter term bonds and m...