Search found 35 matches

by Ricchan
Fri Oct 12, 2018 12:26 pm
Forum: Investing - Theory, News & General
Topic: When Markets Tank, Do This - Jason Zweig
Replies: 5
Views: 2862

Re: When Markets Tank, Do This - Jason Zweig

Weird, the private / incognito browser method works for me using Chrome. (I even double checked it just now-- blocked in a normal window, viewable in an incognito window.) Maybe WSJ is just finicky about it? But regardless, the facebook referral bookmarklet is also a nice trick, so thanks for pointi...
by Ricchan
Thu Oct 11, 2018 7:39 pm
Forum: Investing - Theory, News & General
Topic: When Markets Tank, Do This - Jason Zweig
Replies: 5
Views: 2862

Re: When Markets Tank, Do This - Jason Zweig

Just popping in here to say you can often view paywall'ed articles by opening them in a private / incognito browser window, for those who don't already know. :beer
by Ricchan
Sun Oct 07, 2018 5:37 pm
Forum: Personal Finance (Not Investing)
Topic: Which is better CD - rates and terms?
Replies: 65
Views: 5495

Re: Which is better CD - rates and terms?

I'm confused. Vanguard has not charged me commissions to buy CDs. They don't charge commission for new issue CDs, but they do for CDs on the secondary market. https://investor.vanguard.com/investing/transaction-fees-commissions/cds-bonds Commissions are under "CDs & bonds" ... "EXISTING ISSUES"
by Ricchan
Sun Oct 07, 2018 1:53 pm
Forum: Personal Finance (Not Investing)
Topic: Which is better CD - rates and terms?
Replies: 65
Views: 5495

Re: Which is better CD - rates and terms?

Strictly between the two, I think the 24 mo. CD for 3% is a better deal. A bump of 0.50% for extending duration 6 months is pretty good. For the sake of comparison, Vanguard has new issue 24 mo. CDs at 2.95% right now, and a 16 mo. CD on the secondary market at 2.836% (Ally Bk Sandy Utah, matures on...
by Ricchan
Wed Sep 26, 2018 5:30 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 476
Views: 70241

Re: 2-year CDs at Vanguard and Fidelity Today

Just logged in to Vanguard (after hours) and saw Wells Fargo with a 2.950% new issue 2 year CD.

Image
by Ricchan
Mon Sep 17, 2018 6:11 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 476
Views: 70241

Re: 2-year CDs at Vanguard and Fidelity Today

Thanks, Kevin, for looking into and sharing info about the secondary market CDs. I have a pending order for a transfer from my Vanguard settlement account to Prime MM and it shows a cancel option. Maybe they only have the cancel option for Vanguard funds. Yes, I've always had the option to cancel mu...
by Ricchan
Mon Sep 17, 2018 8:58 am
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 476
Views: 70241

Re: 2-year CDs at Vanguard and Fidelity Today

Maybe you can check again when the market is open. It doesn't seem to be an option during market open hours either (checked just now). If you cannot cancel an order on-line, perhaps a phone call will do the job. I may end up doing this. Besides possible higher CD rates, the upcoming 2 year treasury...
by Ricchan
Sun Sep 16, 2018 12:35 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 476
Views: 70241

Re: 2-year CDs at Vanguard and Fidelity Today

If a higher rate comes along before then, I believe you could cancel your order and replace it with an order at the higher rate. I was actually checking that out yesterday after having placed a buy order for " WELLS FARGO BANK NA SIOUX FALLS SD CD FDIC #03511 2.9% 09/28/20 09/28/18 " the day before...
by Ricchan
Thu Sep 13, 2018 2:37 pm
Forum: Investing - Help with Personal Investments
Topic: Best bonds securities for Taxable account
Replies: 14
Views: 1927

Re: Best bonds securities for Taxable account

Ricchan... In calculating tax-equivalent SEC yields for these funds, are you taking into account the federal tax on capital gains ? The SEC yield formula excludes realized capital gains . Thanks for clearing this up, I had assumed realized capital gains were included. A bit of confusion exists depe...
by Ricchan
Thu Sep 13, 2018 10:45 am
Forum: Investing - Help with Personal Investments
Topic: Best bonds securities for Taxable account
Replies: 14
Views: 1927

Re: Best bonds securities for Taxable account

Ricchan... In calculating tax-equivalent SEC yields for these funds, are you taking into account the federal tax on capital gains ? The SEC yield formula excludes realized capital gains . I'm just dividing SEC yield by ( 1 - tax_rate ). Since the SEC yield formula excludes capital gains and include...
by Ricchan
Wed Sep 12, 2018 10:07 am
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Re: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

Here's a comparison of this portfolio with a simple three-fund portfolio: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=4&startYear=1985&firstMonth=1&endYear=2018&lastMonth=12&endDate=09%2F10%2F2018&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=t...
by Ricchan
Tue Sep 11, 2018 8:30 am
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Re: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

What you are missing is a good low cost bond fund. Is there a stable value fund available? If yes, what it is paying this year? I have some BND ETF in my tIRA, and I consider (67% of) the Wellesley Income Fund as part of my bond allocation. As for bond funds in my 401k, what I listed is all I have ...
by Ricchan
Tue Sep 11, 2018 7:59 am
Forum: Investing - Help with Personal Investments
Topic: Best bonds securities for Taxable account
Replies: 14
Views: 1927

Re: Best bonds securities for Taxable account

To expand on what exigent said, here's a table of the various municipal bond funds at Vanguard with their current tax equivalent SEC yields for the 22% bracket. Term Exp SEC Yield 22% TEY VMLTX Limited-Term Tax-Exempt Short 0.19 1.95 2.50 VWSTX Short-Term Tax-Exempt Short 0.19 1.68 2.15 VWITX Interm...
by Ricchan
Tue Sep 11, 2018 6:33 am
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Re: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

If your 401k has Wellesley Income, it is unlikely that is the only good choice you have available. I'd be happy if that were the case. Maybe I'm overlooking something, but here is what is available. Category Exp Load SEC Yield RGAGX American Funds Growth Fund of Amer R6 Large Growth 0.33 0 0.8 DLTN...
by Ricchan
Sun Sep 09, 2018 8:36 pm
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Re: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

...doing a conversion now would result in taxes being paid on a smaller amount than paying taxes after the assets have appreciated in value, which would help offset the difference in tax rate between now and retirement. No, it wouldn't. See the commutative property of multiplication as it applies t...
by Ricchan
Sun Sep 09, 2018 7:52 pm
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Re: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

The non-deductrible contribution came from myself. I've been putting $5.5k in my IRA every year as contribution limits allow, and this was the first year I did so while also having a 401k. Is it not advisable to contribute to an IRA, even if it is non-deductible? Do you not still take advantage of ...
by Ricchan
Sun Sep 09, 2018 7:43 pm
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Re: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

Now, if your current 401k has decent investment options and fees, and will accept incoming rollovers from your IRA, you might 1) Roll over your current pre-tax IRA balance to the 401k 2) Convert this year's non-deductible contribution to Roth 3) Include Form 8606 when you file 2018 taxes. Thanks fo...
by Ricchan
Sun Sep 09, 2018 7:38 pm
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Re: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

I DONT see any benefit of converting TIRA to Roth IRA this year. Why do you want to do it this year? What was your income the last 7 years? There's no reason for me doing it this year other than the fact that I never thought about it until now. :oops: I probably should have started doing backdoor R...
by Ricchan
Sun Sep 09, 2018 7:34 pm
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Re: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

It is not smart to convert while in a high tax bracket. It also appears you may pay a higher tax rate than your rate when you deducted the contributions in the first place. That is backwards. You should defer taxes while your rate is high and convert when your rate is low. I agree with this general...
by Ricchan
Sun Sep 09, 2018 7:31 pm
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Re: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

mtbouchard wrote: ↑
Sun Sep 09, 2018 3:42 pm
2. To me, during retirement the ideal is a combo of both 401k and Roth: take out from 401k up to first tax bracket and the rest from ROTH.
That makes a lot of sense. I never really thought about it that way. Thanks for the input! :)
by Ricchan
Sun Sep 09, 2018 3:35 pm
Forum: Personal Finance (Not Investing)
Topic: Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax
Replies: 31
Views: 2362

Should I Convert Traditional IRA to Roth, and How Do I Pay Estimated Tax

Hello bogleheads, Background: I had a 401k through a prior job. When I changed jobs 7 years ago, I did not participate in the new company's 401k (for various reasons probably not relevant here), and rolled over my prior company's 401k to a Traditional IRA ($25k worth). I've been making $5.5k yearly ...
by Ricchan
Tue Sep 04, 2018 11:35 pm
Forum: Investing - Help with Personal Investments
Topic: VSUXX vs VMMXX vs VMFXX vs Money Market (FDIC insured)
Replies: 23
Views: 3392

Re: VSUXX vs VMMXX vs VMFXX vs Money Market (FDIC insured)

The answer probably depends on the tax rate of the state you live in. - VSUXX , being a treasury fund, is only taxable at the federal level. - VMMXX is taxable at both federal and state levels. - VMFXX is more complicated, but in general is partially taxable at only the federal level, and partially ...
by Ricchan
Sun Sep 02, 2018 10:41 am
Forum: Investing - Help with Personal Investments
Topic: Questions for those that set up a trust
Replies: 5
Views: 824

Re: Questions for those that set up a trust

Did you use a corporate trustee or a family member trustee? I'm the sole trustee for a family trust. Did you set up an LLC to hold the trust assets, and then put the LLC under the trust? Or did you title the assets directly under the trust's name? All assets are held directly by the trust. For ETFs...
by Ricchan
Wed Aug 29, 2018 8:39 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 245
Views: 32647

Re: Vanguard Municipal Money Market VMSXX 1.39%

Not sure if it's indicative of anything, but Prime Money Market has been pretty flat the past 30 or so days. VMMXX PRICE YIELD ------------------------------ 07/30/2018 $1.00 2.06% 07/31/2018 $1.00 2.06% 08/01/2018 $1.00 2.06% 08/02/2018 $1.00 2.06% 08/03/2018 $1.00 2.06% 08/06/2018 $1.00 2.05% 08/0...
by Ricchan
Wed Aug 29, 2018 7:20 pm
Forum: Investing - Theory, News & General
Topic: [New Vanguard website layout starting Saturday, August 11]
Replies: 130
Views: 9764

Re: [New Vanguard website layout starting Saturday, August 11]

I don't like the new look. I've been using it for the past two weeks in an attempt to give the new look a chance to grow on me, but it has done anything but that. 1. White background everywhere. Previously, the intermittent beige backgrounds helped separate and define table headers, sections, and di...
by Ricchan
Sat Jul 14, 2018 12:20 am
Forum: Personal Finance (Not Investing)
Topic: CIT Bank offering 1 yr CD with 2.50% APY
Replies: 3
Views: 735

Re: CIT Bank offering 1 yr CD with 2.50% APY

Also note the 52 week treasury is around 2.35% which is better for many who pay state income tax, as well as possibly more convenient and more liquid. That's a good point! I suppose I got excited seeing a CD from an online bank with a higher yield than what you can find on Vanguard. That rarely hap...
by Ricchan
Fri Jul 13, 2018 10:30 pm
Forum: Personal Finance (Not Investing)
Topic: CIT Bank offering 1 yr CD with 2.50% APY
Replies: 3
Views: 735

CIT Bank offering 1 yr CD with 2.50% APY

CIT Bank is offering 2.50% on a 1 year CD (min $1k), which is higher than what is listed right now for new CDs on Vanguard's "Quick search" table. https://i.imgur.com/X1D7FTB.png Brokered 1 yr CDs on Vanguard will probably hit 2.50% sooner or later, so this is probably not that big a deal. I'm just...
by Ricchan
Fri Jul 13, 2018 6:00 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 476
Views: 70241

Re: 2-year CDs at Vanguard and Fidelity Today

I've been recording the highest new issue CD rates available at Vanguard once a week since mid May. Basically, I just look up the highest available new issue CD rates each Saturday and record them in an Excel sheet. Based on my records, the (rough) dates when rates changed are as follows: New issue ...
by Ricchan
Fri Jun 29, 2018 8:37 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 245
Views: 32647

Re: Vanguard Municipal Money Market VMSXX 1.39%

Just a friendly reminder it's that time of year (quarter?) again to (possibly) switch funds. Also reminder that the yields for any given day are calculated based on the annualized return over the previous 7 days, so the latest data point is going to lag behind actual present day yields. https://i.im...
by Ricchan
Fri Jun 15, 2018 10:34 pm
Forum: Investing - Theory, News & General
Topic: Flaw in Logic? CD ladder instead of bond funds
Replies: 63
Views: 5433

Re: Flaw in Logic? CD ladder instead of bond funds

Here in Dallas the average 1 year CD across the banks we track is paying 0.62% (high of 1.5%, low of 0.30%). The average 5 year CD is paying 1.17% (high of 2.05%, low of 0.33%). The Vanguard money market currently beats all of the CDs we track at all banks across all time periods; these are mostly ...
by Ricchan
Thu Jun 14, 2018 1:24 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 245
Views: 32647

Re: Vangaurd Municipal Money Market VMSXX 1.39%

Here's an updated graph of Prime vs Muni yields with numbers as of today. https://i.imgur.com/d3wpnuA.png As others have already mentioned, Muni is on the upswing, but there's quite a bit to catch up on. Also, it's kind of surprising (?) how far below Prime the Muni yields fell this time (that even ...
by Ricchan
Sat May 19, 2018 2:28 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 245
Views: 32647

Re: Vangaurd Municipal Money Market VMSXX 1.39%

Inspired by neurosphere 's chart, I made an updated chart of SEC yields for VMMXX (Prime Money Market Fund) vs VMSXX (Municipal Money Market) with data up to 5/18/2018. I also included graphs for Tax Equivalent Yields at 24%, 32%, 35%, and 37%, and added vertical lines for each quarter. https://i.im...
by Ricchan
Wed Jan 27, 2016 3:57 am
Forum: Investing - Help with Personal Investments
Topic: Converting from Class B to Class A shares results in much fewer shares?
Replies: 5
Views: 1673

Re: Converting from Class B to Class A shares results in much fewer shares?

The funds were originally purchased from an institution that was later purchased by JP Morgan, and the funds were then converted to equivalent JP Morgan funds. However, cost basis information was neither carried over nor calculated for the new funds. As for the broker website (Chase), it only lists ...
by Ricchan
Wed Jan 27, 2016 1:53 am
Forum: Investing - Help with Personal Investments
Topic: Converting from Class B to Class A shares results in much fewer shares?
Replies: 5
Views: 1673

Re: Converting from Class B to Class A shares results in much fewer shares?

Thanks. I looked up historical prices, and it makes sense now. I guess I jumped to conclusions because the overall account value fell by roughly the same amount that month. I am hoping to switch to lower cost funds. Just have to go through all the past statements to figure out the cost basis, since ...
by Ricchan
Wed Jan 27, 2016 12:49 am
Forum: Investing - Help with Personal Investments
Topic: Converting from Class B to Class A shares results in much fewer shares?
Replies: 5
Views: 1673

Converting from Class B to Class A shares results in much fewer shares?

Hello, I'm going through a family member's brokerage account that has not been touched for many years, and I noticed a statement from 2008 in which all Class B shares in the account were converted to Class A shares. The Class B shares had been held for 8 years, so I figured it was an automatic conve...