Search found 86 matches

by MrDogg
Sat Dec 09, 2017 7:54 pm
Forum: Local Chapters and Bogleheads Community
Topic: South Florida Local Chapter
Replies: 265
Views: 44290

Re: South Florida Local Chapter

Hi Miriam,

This is my RSVP for one for the January meeting.

Thanks
by MrDogg
Fri Nov 17, 2017 12:40 pm
Forum: Personal Consumer Issues
Topic: Confused!!!! CRCCs or home care..? Help!!
Replies: 12
Views: 1196

Re: Confused!!!! CRCCs or home care..? Help!!

Wife and I have considered a CCRC. There are several nice ones in our area but they are really expensive. The buy-in expense includes long term and final care in the price (they have mini hospitals onsite and some outside doctors come in also). So, when you break it down what you are really paying f...
by MrDogg
Fri Nov 17, 2017 12:21 pm
Forum: Investing - Help with Personal Investments
Topic: Finance Simplicity
Replies: 36
Views: 2025

Re: Finance Simplicity

I'll go with Einstein: "Everything should be made as simple as possible, but not simpler. " (my underline added). 3FP in tIRA, ROTH, and Taxable accounts 2 credit cards - one may have a problem from time to time online savings account checking account I-Bonds and Short Term bonds for cash reserve or...
by MrDogg
Thu Nov 09, 2017 10:48 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

..... and ask what any of this would actually do to make your life more pleasant? A possible alternative, not the same as do nothing, would be just spend a little more money from what you have. We are retired and living a modest middle class lifestyle with monthly Soc. Sec. and business sale procee...
by MrDogg
Thu Nov 09, 2017 10:02 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

MrDogg wrote:
Wed Nov 08, 2017 11:19 am
I am going to do one of the following (in no particular order):

Nothing
or
Loan
or
Managed Payout Fund
or
SPIA
I am adding to the list:

DIA
or
QLAC
by MrDogg
Thu Nov 09, 2017 9:53 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

Wade Pfau wrote a column entitled Why Retirees Should Choose DIAs over SPIAs[5]. The short answer is that deferred annuities are the most economically-efficient way to finance the latter years of retirement should a retiree or spouse live a long time. The more technical answer is that DIAs "expand"...
by MrDogg
Thu Nov 09, 2017 9:49 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

I would suggest two things if you move ahead & they really depend on the situation of others involved in the "estate disposition". One, if others find out & only get part of the story, there might be resentment regarding perceived partiality. Two, ensure both the loan & your (& wife's) will handle ...
by MrDogg
Thu Nov 09, 2017 9:36 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

[/quote]

... it does not resemble anything like an annuity.
[/quote]

Agreed, it does not resemble an annuity.
by MrDogg
Wed Nov 08, 2017 11:19 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

OK guys I think it's time to wrap this up. I want to thank everyone for their responses, they have made some good points and made me think hard about this idea. I am going to do one of the following (in no particular order): Nothing or Loan or Managed Payout Fund or SPIA Thanks again for weighing in...
by MrDogg
Wed Nov 08, 2017 11:14 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

The reason to lend in this scenario is a mutually beneficial financial transaction. You are obviously set on doing this, but I still fail to see how it is beneficial to you. You could do the same thing with a 30 year Treasury with far more security. All you're doing is generating some income from c...
by MrDogg
Wed Nov 08, 2017 11:01 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

itstoomuch wrote:
Tue Nov 07, 2017 9:44 pm
OP,
JMO, your proposal sounds plausible.
YMMV :sharebeer
I thought so too, thanks.
by MrDogg
Wed Nov 08, 2017 11:00 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

We gave our relative a significant business "loan," but it ended up being a gift and we didn't get any interest payments. We don't plan to repeat that again. The relative has LOTS of income and assets and we are OK with how it worked out, but it never generated cash flow for us. Doesn't address OPs...
by MrDogg
Wed Nov 08, 2017 10:56 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

One big risk is that the relative will want to pay off early. Not many people want to be tethered to a personal loan for 25 years. The only reason to lend to a relative is because of familial duty or magnanimity, not to generate a tidy long-term income stream. The loan agreement has been stated, th...
by MrDogg
Wed Nov 08, 2017 10:51 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

One difference pointed out is that the loan apparently terminates at some fixed number of years with amortization or a balloon payment while an annuity payout terminates with your death. What you are planning might be an alternative source of an income stream but it isn't equivalent to an annuity. ...
by MrDogg
Wed Nov 08, 2017 9:37 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

Now, many people (myself included) feel that the price for that guarantee is too high. That's a perfectly fine opinion. Just as people have different feelings about the risk of equities, people have different feelings about the risk of longevity. But that doesn't mean you've found an "alternative" ...
by MrDogg
Wed Nov 08, 2017 9:29 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

Once you are in retirement and begin to take Income from your retirement funds; the Retirement Fund becomes a self-initiated annuity. For some it becomes a Multi-year-guaranteed-annuity; For some a fixed annuity; For others a VA; and for us, we split the funds into specific and non-specific types o...
by MrDogg
Wed Nov 08, 2017 9:25 am
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

Does this make sense as an income stream alternative to an annuity? No this is not an alternative to an annuity. No matter what you do there is always a ~5% chance the annuity will pay out more money. Your example is not an alternative to an annuity. Annuities are for people with longevity risk ave...
by MrDogg
Tue Nov 07, 2017 9:00 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

Gill wrote:
Tue Nov 07, 2017 8:42 pm
Is it also impossible for him to die, get divorced or go bankrupt?
Gill
Yes those are risks, all acceptable to me.
by MrDogg
Tue Nov 07, 2017 8:57 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

The problem most of us see is that you’re basing this on the credit worthiness of one individual. You asked us not to consider this, but that is the flaw in the entire scheme. For any number of reasons, this person may be unable or unwilling to pay you back. If you just want 5% interest for 30 year...
by MrDogg
Tue Nov 07, 2017 8:52 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

Gill wrote:
Tue Nov 07, 2017 8:42 pm
Is it also impossible for him to die, get divorced or go bankrupt?
Gill
I have those bases covered. Some are addressed in previous posts on this thread.
by MrDogg
Tue Nov 07, 2017 8:49 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

Just for some background information, are you currently withdrawing at 4% of your portfolio asset per year, or is the withdrawal lower than 4%? If your proposed increase withdrawal rate is still below 4% of your total asset then that should not be a problem. I have not started drawing from my portf...
by MrDogg
Tue Nov 07, 2017 8:40 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

Would this be a loan to the relative or a loan to his business? Where would you stand in line in case of a bankruptcy? Personal loan not business. Because of our personal relationship I would be first in line; this is academic as his personal finances are solid and he has a strong track record in a...
by MrDogg
Tue Nov 07, 2017 8:32 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

You're kidding, right? I'm quite serious. What do you see as the pitfall? Said young person may come to a time where they cannot or won't pay you back. Family members become alienated over loans. Money can make people irrational. Don't do it. Don't burden the young person with a loan like this. Go ...
by MrDogg
Tue Nov 07, 2017 7:52 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

The SPIA would pay out better if you wait until age 70 or even later, and more so if interest rates go up. You could automate a monthly payment from your IRA at Vanguard. No guarantees, but if 2%, for example, you shouldn't likely run out of money. A balanced fund such as Wellesley, LS conservative...
by MrDogg
Tue Nov 07, 2017 7:35 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

muddlehead wrote:
Tue Nov 07, 2017 4:25 pm
You're kidding, right?
I'm quite serious. What do you see as the pitfall?
by MrDogg
Tue Nov 07, 2017 7:32 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

I can imagine ways that the IRS could interpret this as something other than the way you want to characterize it, especially because the proposed borrower is in your will. And you can buy an SPIA with a return-of-premium feature, The IRS calls this an intra-family loan which is allowed. In order to...
by MrDogg
Tue Nov 07, 2017 7:19 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Re: Annuity Alternative

Could you elaborate on the terms of the loan. Is he amortizing principal? You take it as a given that he can and all pay it back but I see too many landmines as possibilities. Gill This would be a simple interest loan amortized over something like 25 years, like a mortgage. If there are possible la...
by MrDogg
Tue Nov 07, 2017 3:10 pm
Forum: Personal Finance (Not Investing)
Topic: Annuity Alternative
Replies: 54
Views: 2453

Annuity Alternative

My wife and I are retired but won't have to start drawing down our portfolio for a few years. Our portfolio balance will take care of us until the end of our days. To make life even more pleasant I am considering a small annuity (or annuity like vehicle) to up our monthly income guaranteed for life....
by MrDogg
Sun Nov 05, 2017 7:54 am
Forum: Investing - Theory, News & General
Topic: I-bond inflation irony?
Replies: 35
Views: 3700

Re: I-bond inflation irony?

nisiprius wrote:
Sun Nov 05, 2017 6:51 am

I don't think I have ever been able to log in without getting a new one-time code.
I too have to get a One Time Password (OTP) every time I log on to Treasury Direct. Even when I select the recognize this computer box.
by MrDogg
Sat Nov 04, 2017 6:50 am
Forum: Personal Consumer Issues
Topic: TD Direct Site Familiarity
Replies: 3
Views: 341

Re: TD Direct Site Familiarity

Anyone here familiar with the workings of the TD Direct site? I'm new to purchasing I-Bonds though TD Direct and cannot seem to locate a link on the site to view the details of each purchase, specifically the interest rates that apply to each bond. I bought an I-Bond for $100 in 2016 and one for $1...
by MrDogg
Fri Nov 03, 2017 3:18 pm
Forum: Personal Consumer Issues
Topic: TD Direct Site Familiarity
Replies: 3
Views: 341

TD Direct Site Familiarity

Anyone here familiar with the workings of the TD Direct site? I'm new to purchasing I-Bonds though TD Direct and cannot seem to locate a link on the site to view the details of each purchase, specifically the interest rates that apply to each bond. I bought an I-Bond for $100 in 2016 and one for $10...
by MrDogg
Thu Oct 26, 2017 8:05 am
Forum: Investing - Theory, News & General
Topic: Emotional impact of spending down assets?
Replies: 100
Views: 10183

Re: Emotional impact of spending down assets?

Very thought provoking thread. I think I've come to terms with watching my life savings dwindle as I approach the end of the line. On a lighter note: My lawyer friend Larry says his goal is to die a million dollars in debt. That way he will have gotten a million more dollars out of life than he put ...
by MrDogg
Fri Oct 20, 2017 4:08 pm
Forum: Investing - Help with Personal Investments
Topic: Emergency Fund Investment Strategy
Replies: 20
Views: 1834

Re: Emergency Fund Investment Strategy

I have my emergency fund (EF) in Vanguard Short-Term Corporate Bond Index Fund Admiral Shares (VSCSX). It's not guaranteed or insured but it is low risk and liquid. The YTD yield is 2.65%. Even if it's in a down cycle when I need to withdraw, the yield should be better than short term CDs, I-bonds, ...
by MrDogg
Wed Oct 18, 2017 6:45 pm
Forum: Personal Finance (Not Investing)
Topic: Is it worth applying for Credit Limit Increase?
Replies: 21
Views: 1371

Re: Is it worth applying for Credit Limit Increase?

A credit card credit line increase helps your FICO score. This is because it improves your available credit to loan balances ratio. Most credit card companies will grant you an increase with just a phone call, other times they make you jump through a couple hoops such as updating your personal infor...
by MrDogg
Wed Oct 18, 2017 6:35 pm
Forum: Investing - Help with Personal Investments
Topic: Surrender annuities and take penatly better than sitting it out?
Replies: 17
Views: 1870

Re: Surrender annuities and take penatly better than sitting it out?

Seems like most annuities are designed to be sold and not bought. Horror stories abound once buyers realize how locked in they are. Even though SPIAs have the lowest fees and are the least complicated they too have surrender charges and penalties should you want out. An alternative to an annuity is ...
by MrDogg
Mon Oct 16, 2017 2:37 pm
Forum: Personal Consumer Issues
Topic: Is Florida Over, 2017
Replies: 48
Views: 6106

Re: Is Florida Over, 2017

Bogleheads: I live in Miami on the shore of Biscayne Bay. I grew up as a little boy next door. I see little difference in the water level. What has risen is property value and taxes. Best wishes. Taylor Point well taken. Watch the 1960 movie "Where The Boys Are" and you will see the ocean distance ...
by MrDogg
Mon Oct 16, 2017 2:09 pm
Forum: Personal Consumer Issues
Topic: Is Florida Over, 2017
Replies: 48
Views: 6106

Re: Is Florida Over, 2017

would you move to Florida or invest in Florida real estate? The answer is an emphatic yes to both parts of the question from an awful lot of people who are moving here by the droves. The developers don't anticipate any let up as new housing construction continues at a fast pace. Thousands of new un...
by MrDogg
Mon Oct 16, 2017 9:38 am
Forum: Personal Consumer Issues
Topic: Is Florida Over, 2017
Replies: 48
Views: 6106

Re: Is Florida Over, 2017

Ahh, if it were only true. Anything that discourages people from moving to our vanishing paradise could be considered by many of us old time residents as a good thing. Currently people are moving into Florida at the rate of 1000 per day and this is not going to change. In fact I think it will increa...
by MrDogg
Sat Oct 07, 2017 8:56 am
Forum: Personal Finance (Not Investing)
Topic: Growing old without kids or younger caring relatives
Replies: 106
Views: 20159

Re:

Several people I know who are 10-15 years older than me have moved into a continuing care community in our city. One option my wife and I are considering is a Continuing Care Retirement Community (CCRC). These campus complexes with onsite restaurants, beauty salons, gyms, and game rooms have three ...
by MrDogg
Tue Aug 01, 2017 2:29 pm
Forum: Personal Finance (Not Investing)
Topic: Vanguard Money Market vs. Savings Accounts
Replies: 42
Views: 6798

Re: Vanguard Money Market vs. Savings Accounts

My "pseudo savings account" where I park most of my cash is Vanguard's short term corporate bond fund VSCSX with a YTD yield of 2.3%. I also have small low yield savings accounts online at 1.1% and at my local credit union at .5% that I can draw on in the event the bond fund is down at the time I ne...
by MrDogg
Mon Jul 31, 2017 11:38 am
Forum: Local Chapters and Bogleheads Community
Topic: South Florida Local Chapter
Replies: 265
Views: 44290

Re: South Florida Local Chapter

I too would like to thank the organizers and presenters of this worthwhile event. The generous giving of their time, expertise, and financial aid is really impressive. Beyond Taylor, Miriam, Arthur, and Larry A., the audience participation was of a high caliber and very informative. The location, at...
by MrDogg
Sun Jul 30, 2017 9:23 am
Forum: Investing - Theory, News & General
Topic: International Indices
Replies: 14
Views: 1681

Re: International Indices

As the OP I'd like to thank all who have participated in this discussion. I have gained new insights into how to look at the issue. As I sated earlier I'm at 20% international (VTIAX) currently and struggling with the wisdom of increasing the allocation, and by how much, in my particular situation.
by MrDogg
Sat Jul 29, 2017 11:48 am
Forum: Investing - Theory, News & General
Topic: International Indices
Replies: 14
Views: 1681

Re: International Indices

Looks like VTWSX is using market weight somewhere around 44%. Could be the right number, we'll know in a few years. It's not actually "using" market weight. It's capitalization-weighted, and that results in a current market weight of about 47% non-US. If you believe in cap-weighting, then it's alwa...
by MrDogg
Thu Jul 27, 2017 2:44 pm
Forum: Investing - Theory, News & General
Topic: International Indices
Replies: 14
Views: 1681

Re: International Indices

Avo wrote:Since I can't invest in an index, and since indices don't usually take dividends into account, I find it more useful to follow appropriate funds via M* charts (which include reinvested dividends), VTIAX for ex-US and VTSAX for US.
Good point.
by MrDogg
Thu Jul 27, 2017 12:03 pm
Forum: Investing - Theory, News & General
Topic: International Indices
Replies: 14
Views: 1681

Re: International Indices

The U.S. vs International is a hot debate here. The purest 100% boglehead equity fund is Vanguard Total World Index. You can use this fund and never look back. Home country bias is no different than speculation, stock picking and sector betting. Thanks for weighing in but this does not address my q...
by MrDogg
Thu Jul 27, 2017 11:37 am
Forum: Investing - Theory, News & General
Topic: International Indices
Replies: 14
Views: 1681

Re: International Indices

Bdensabu and Simplegifi, thank you for the information, I really appreciate it. I will start with your suggestions.
by MrDogg
Wed Jul 26, 2017 6:37 pm
Forum: Investing - Theory, News & General
Topic: International Indices
Replies: 14
Views: 1681

International Indices

What international indices most closely compare to the DJIA, S&P 500, and NASDAQ? I would like to become familiar with and track the most relevant international indices so I can see how the ex-US market is doing in the same way I can the US market. Like many on here I have become wrapped up in tryin...
by MrDogg
Mon Jul 24, 2017 2:03 pm
Forum: Personal Finance (Not Investing)
Topic: Prime MM vs Credit Union acct at .06%
Replies: 5
Views: 448

Re: Prime MM vs Credit Union acct at .06%

For what it's worth, and I am certainly no expert on this stuff, here is my Liquid Cash Fund solution: My "pseudo savings account" is Vanguard's short term corporate bond fund VSCSX with a YTD yield of 2.3%. I also have a small low yield savings account at my local credit union that I can draw on in...
by MrDogg
Sun Jul 23, 2017 8:00 am
Forum: Investing - Help with Personal Investments
Topic: Can anyone convince me I need international stock in my portfolio?
Replies: 162
Views: 9813

Re: Can anyone convince me I need international stock in my portfolio?

As the OP I have to say Good Discussion ! Here's something I think about. Virtually all of the target date and target risk fund managers have a considerable percentage (maybe 25-40%) of equities in exUS stock. Most of the all-in-one allocation funds (including Vanguard LifeStrategy and Fidelity Tar...