Search found 882 matches

by mega317
Tue Oct 17, 2017 8:20 pm
Forum: Investing - Help with Personal Investments
Topic: Beginner Seeking 401K and IRA Advice!
Replies: 8
Views: 545

Re: Beginner Seeking 401K and IRA Advice!

By goals I mean what are you going to do with your money? Some examples would be: pay off student loans, buy a car, take a vacation, retire early. If every free dollar is going in to 401k, Roth, and HSA, you won't be saving towards a down payment on a house, for example. I'm not saying what you're d...
by mega317
Tue Oct 17, 2017 3:36 pm
Forum: Investing - Help with Personal Investments
Topic: Excess cash for car fund - Would you invest?
Replies: 12
Views: 474

Re: Excess cash for car fund - Would you invest?

Can you clarify your plan? You have a car fund, and an emergency fund. You're asking about investing the car fund. But then you say you'd borrow against the emergency fund to invest? I'd leave the 6 mos expenses alone. If you have additional money in taxable on top of that you can explore options. W...
by mega317
Tue Oct 17, 2017 3:26 pm
Forum: Personal Finance (Not Investing)
Topic: 529 Savings - Is it enough?
Replies: 30
Views: 2414

Re: 529 Savings - Is it enough?

I'm new here, so correct me if I'm wrong, but assuming: - you will spend money on kids college in the future - you have access to a 529 plan, with a state credit or deduction, and viable investment options The grossly overly-simplified tax scenario would look something like: Roth IRA: - fed + state...
by mega317
Tue Oct 17, 2017 9:01 am
Forum: Investing - Theory, News & General
Topic: Does bond length matter for investing in bond funds?
Replies: 20
Views: 1411

Re: Does bond length matter for investing in bond funds?

If you're happy with VGIT, in my opinion you should be satisfied with ITE. They are virtually the same. Another option, especially if you're not using the HSA for current expenses, is to use a tax-efficient stock fund and hold your bonds in a tax-deferred retirement account.
by mega317
Tue Oct 17, 2017 3:23 am
Forum: Investing - Theory, News & General
Topic: Funny book selection
Replies: 3
Views: 497

Re: Funny book selection

That's pretty funny. We can hope the borrower was researching several view points and chose the right one :D
by mega317
Tue Oct 17, 2017 3:13 am
Forum: Personal Consumer Issues
Topic: Business Laptop Suggestions Request
Replies: 15
Views: 1184

Re: Business Laptop Suggestions Request

I would prioritize weight over screen size if you're traveling with it, which would push me to 13 inch rather than 15 inch. Then if you really need real estate and are usually home get a separate monitor. I have loved all of my Lenovo laptops. Currently a Yoga, bought used for 300 bucks and handles ...
by mega317
Tue Oct 17, 2017 3:05 am
Forum: Investing - Help with Personal Investments
Topic: Advice on Bond ETFs
Replies: 2
Views: 303

Re: Advice on Bond ETFs

Forgive my ignorance here. Will the income be subject to US taxes? If so you might also consider tax-exempt bonds (VTEB) depending on your situation. It would be similar risk to BIV with slightly greater tax-equivalent yield beyond the 25% bracket.
by mega317
Tue Oct 17, 2017 2:20 am
Forum: Investing - Help with Personal Investments
Topic: Beginner Seeking 401K and IRA Advice!
Replies: 8
Views: 545

Re: Beginner Seeking 401K and IRA Advice!

Welcome to the forum. I have a few thoughts: +1 rent until your life takes shape. +1 active funds that have performed well are not guaranteed, or even particularly likely, to continue. IMO there is no reason to pay more than 0.09% ER in your 401k. You are extremely lucky. I think you're putting the ...
by mega317
Tue Oct 17, 2017 1:50 am
Forum: Personal Finance (Not Investing)
Topic: Best Next Steps - Kids/House/Savings Advise
Replies: 8
Views: 1209

Re: Best Next Steps - Kids/House/Savings Advise

Bump childcare expenses up 2k, and mortgage/property maintenance up 3k/mo and you will be living paycheck to paycheck with little mouths to feed. Doesn't sound very exciting to me. This hits the nail on the head. And add another 2k for a second child before your incomes have time to catch up, if th...
by mega317
Mon Oct 16, 2017 2:10 pm
Forum: Investing - Theory, News & General
Topic: old 401k transfer to new 401k or trad ira?
Replies: 8
Views: 560

Re: old 401k transfer to new 401k or trad ira?

My point was that the 20k is going to see a return on investment no matter what account it's in. 20k in the old 401k, new 401k, or a new traditional IRA will see the same hypothetical 7% if invested in the same fund as the new 401k at 7%. For this reason we usually recommend choosing based on things...
by mega317
Mon Oct 16, 2017 12:40 pm
Forum: Personal Finance (Not Investing)
Topic: Pay Off or Refinance?
Replies: 17
Views: 1371

Re: Pay Off or Refinance?

marklar13 wrote:
Mon Oct 16, 2017 12:26 pm
[*] Assume you can earn 5% nominal in the market with your 60/40 AA (which I think is pretty conservative
I think this is not particularly conservative. And yes, any loan is worth keeping as long as possible if you are assuming a higher rate of investment return.
by mega317
Mon Oct 16, 2017 10:35 am
Forum: Personal Finance (Not Investing)
Topic: Best Next Steps - Kids/House/Savings Advise
Replies: 8
Views: 1209

Re: Best Next Steps - Kids/House/Savings Advise

First of all a "conservative estimate" of future income would take into account job loss, not 5% increase for 2 earners. Second of all, 1M house on salary of 220k is IMO too much. Q1. You are making a decision to shift assets from whatever you would hold in a Roth to real estate. That's a risk. It w...
by mega317
Mon Oct 16, 2017 10:01 am
Forum: Personal Finance (Not Investing)
Topic: UTMA accounts
Replies: 17
Views: 514

Re: UTMA accounts

Agreed, it's too late. And agreed on the non-necessities. We were you planning to buy them cars, or school trips, or something along those lines? You could spend down at least some of it. I just had a big talk with my 10 year old who spent all his yard sale money on comic books and then realized he ...
by mega317
Mon Oct 16, 2017 9:55 am
Forum: Personal Finance (Not Investing)
Topic: 529 Savings - Is it enough?
Replies: 30
Views: 2414

Re: 529 Savings - Is it enough?

My feeling is if I can afford to contribute 200k to a 529, then the downside of overfunding (might not be needed, limited flexibility or penalties) is worse than the downside of underfunding (use taxable investments or cash flow to make up the difference). Some people wouldn't have trouble reassigni...
by mega317
Mon Oct 16, 2017 9:38 am
Forum: Personal Finance (Not Investing)
Topic: Pay Off or Refinance?
Replies: 17
Views: 1371

Re: Pay Off or Refinance?

I wouldn't pay 5k in capital gains taxes now if you can pay off a huge chunk of it and then pay the rest off quickly for "free".

Edit to add it might not even be worth a refi if you're going to pay it all off within in a couple years.
by mega317
Mon Oct 16, 2017 9:33 am
Forum: Investing - Theory, News & General
Topic: old 401k transfer to new 401k or trad ira?
Replies: 8
Views: 560

Re: old 401k transfer to new 401k or trad ira?

I'm sorry you haven't gotten what you're looking for yet. I thought mhalleys past was a good distillation. Can you specify further questions? I wouldn't use anything besides FUSEX. In the 401k. What I meant by throwing the $20,000 into my 401k is because i thought since it compound interests, I woul...
by mega317
Sun Oct 15, 2017 11:59 pm
Forum: Personal Finance (Not Investing)
Topic: Pay Off or Refinance?
Replies: 17
Views: 1371

Re: Pay Off or Refinance?

What's your tax bracket? Do you itemize? If so, a 3.1% mortgage starts to look real attractive to keep. Are you investing in tax-advantaged accounts? Is the 2k leftover after maxing out an employer plan and a Roth? If you paid it in full, what would be your tax cost of selling said investments? What...
by mega317
Sun Oct 15, 2017 11:33 pm
Forum: Personal Finance (Not Investing)
Topic: Health Insurance: HDHP vs PPO with 2 small kids
Replies: 7
Views: 520

Re: Health Insurance: HDHP vs PPO with 2 small kids

So you've calculated that in the worst case scenario you are saving $700 plus tax deductions? What's your question? Right now I don't think twice about a premature doctor visit with a kid that has had a fever for just a day or two. I am not sure how I will feel once I find a doctor visit is going to...
by mega317
Sun Oct 15, 2017 11:24 pm
Forum: Investing - Help with Personal Investments
Topic: Why not CDs instead of Short Term Bonds or TIPS
Replies: 24
Views: 2886

Re: Why not CDs instead of Short Term Bonds or TIPS

I don't know if my answer will be entirely relevant for you but I prefer the flexibility of mutual funds. If I want to sell some stocks in taxable but don't want to change my asset allocation, I will exchange some bonds for stocks in tax-advantaged. I can do that in any amount with a few clicks. I h...
by mega317
Sun Oct 15, 2017 9:12 am
Forum: Personal Consumer Issues
Topic: What are you driving? And would you buy your current ride again?
Replies: 116
Views: 5444

Re: What are you driving? And would you buy your current ride again?

2016 Mazda CX-5, almost 2 1/2 now. My concern is that it will be tight with 2 adults, 2 car seats, an 80 pounds dog, and a stroller. Will probably go with a roof rack for the stroller, and leave the dog out of trips that require any amount of luggage. She hated camping anyway. Otherwise love it and ...
by mega317
Sun Oct 15, 2017 9:00 am
Forum: Investing - Help with Personal Investments
Topic: Two 401k Plans - which to contribute to?
Replies: 12
Views: 661

Re: Two 401k Plans - which to contribute to?

Spirit Rider wrote:
Sun Oct 15, 2017 12:47 am
There should be no reason not to max the TSP deferrals.
Unless the maximum you can contribute is less than (18k + 6% of the per diem). I would get that match which is an immediate 33% return on the 6% contribution. It would take a lot of fees to cancel that out. Please do update us.
by mega317
Sun Oct 15, 2017 12:46 am
Forum: Investing - Help with Personal Investments
Topic: parking the $ to buy a vacation condo
Replies: 10
Views: 1070

Re: parking the $ to buy a vacation condo

I'm in the same boat as you. Is your timeline 9 1/2 years or a typo? I have been doing 3 month CD's yielding 1.10 %. Please share the name of the bank - have not seen 1.1% 3 months CDs.... THANKS! 13 week T bills are around that, and not taxed in state. For the Maryland muni fund I see an SEC yield...
by mega317
Sun Oct 15, 2017 12:35 am
Forum: Investing - Theory, News & General
Topic: old 401k transfer to new 401k or trad ira?
Replies: 8
Views: 560

Re: old 401k transfer to new 401k or trad ira?

Not enough information but here are my thoughts: Most people say transfer it to a trad ira Who says that and what's their reasoning? If you have traditional IRA money it complicates the back door Roth if that's relevant for you. You would have more freedom of fund choices with a tIRA but you likely ...
by mega317
Sat Oct 14, 2017 11:22 pm
Forum: Personal Finance (Not Investing)
Topic: Pay down mortgage or maintain liquidity for future home improvements
Replies: 10
Views: 1225

Re: Pay down mortgage or maintain liquidity for future home improvements

Thanks, everyone. The mortgage is 640k @ 3.875%, 30 years. Also 17k on a car at 0.9%. Both decisions were with an eye towards having this liquidity. I'm not debt averse, just exploring and considering options. Will probably look at a refi once we make sure the family is healthy and cash flow is ok w...
by mega317
Sat Oct 14, 2017 12:43 am
Forum: Investing - Help with Personal Investments
Topic: Transfer Roth IRA from Fidelity to VG
Replies: 5
Views: 474

Re: Transfer Roth IRA from Fidelity to VG

I'm considering transfer of Roth IRA from Fidelity to VG. Agree with the others, you need to answer the why. On the other hand, if I first sell the Fidelity funds at Fidelity --> then do a cash transfer --> and then buy equivalent VG funds at VG, since the process can take 2 weeks normally (maybe m...
by mega317
Sat Oct 14, 2017 12:36 am
Forum: Investing - Help with Personal Investments
Topic: Prioritizing among tax-advantaged accounts
Replies: 7
Views: 687

Re: Prioritizing among tax-advantaged accounts

I would probably consider the 403b, 401k, and 457 equally. You only need one good fund to make it a very usable plan. None of those fees would affect my decisions. After a few years of contributions the 60/year is nothing. 0.1% on top of VIIIX is still pretty great. I'd move the HSA way up the prior...
by mega317
Sat Oct 14, 2017 12:26 am
Forum: Investing - Help with Personal Investments
Topic: fidelity netbenefits
Replies: 15
Views: 1956

Re: fidelity netbenefits

In my opinion this is about the best you could possibly do. Good work.

Now, unless you make 180k, work on getting that contribution rate up.
by mega317
Sat Oct 14, 2017 12:21 am
Forum: Investing - Help with Personal Investments
Topic: Help with Fidelity 401k Fund selection
Replies: 12
Views: 743

Re: Help with Fidelity 401k Fund selection

I do live in Southern California and considered stopping retirement savings for 1-2 years to buy a house. It will definitely set your retirement back but isn't an unforgivable sin. Run some numbers to see exactly the damage you're doing.

I ultimately couldn't stomach it and we delayed our purchase.
by mega317
Sat Oct 14, 2017 12:08 am
Forum: Personal Finance (Not Investing)
Topic: Severance includes 2 yrs healthcare. Should I use that instead of new company?
Replies: 27
Views: 2069

Re: Severance includes 2 yrs healthcare. Should I use that instead of new company?

I'd use the old employers up to what you've already paid (to avoid the headache and uncertainty of getting your money back), and then just compare the rates of the two options after that. Keep in mind the new employers' premiums would not be taxed. I don't know how the old employers' would work. I a...
by mega317
Fri Oct 13, 2017 11:59 pm
Forum: Investing - Help with Personal Investments
Topic: Help on simplifying my portfolio
Replies: 22
Views: 1164

Re: Help on simplifying my portfolio

Hoo boy, that's a little bit of a mess. A few ideas to simplify: 1. Consolidate your emergency fund into one account; the Capital One would work fine. Why is it scattered? 2. Your current 401ks seem to have good options. Can you roll the old ones into one of those? I don't think you can max 2 401ks....
by mega317
Fri Oct 13, 2017 11:31 pm
Forum: Investing - Help with Personal Investments
Topic: How young is too young to retire.
Replies: 49
Views: 5749

Re: How young is too young to retire.

I think seeing parents work is a good role-modeling thing for the kids, to instil a bit of a work ethic. We see this opinion a lot on the forum. I don't see any reason to doubt it. But I always wonder about the opposite. If parents retire early might the kids worry their inheritance is being spent ...
by mega317
Fri Oct 13, 2017 3:52 pm
Forum: Personal Finance (Not Investing)
Topic: Pay down mortgage or maintain liquidity for future home improvements
Replies: 10
Views: 1225

Re: Pay down mortgage or maintain liquidity for future home improvements

Thanks for your replies. I'm encouraged that no one replied with a major factor to consider that I'm not.

For clarification this is our second and planned to be last house, and most of the work will be outside, though I don't know if either of those details affect the answer.
by mega317
Fri Oct 13, 2017 11:39 am
Forum: Investing - Help with Personal Investments
Topic: Small lump sum investment
Replies: 1
Views: 153

Re: Small lump sum investment

Welcome to the forum. We need way, way more information. You could post your whole financial situation like this: https://www.bogleheads.org/forum/viewtopic.php?t=6212 if you want seriously thoughtful answers. At a minimum we need to know something else about your debt, portfolio, and your goals. If...
by mega317
Fri Oct 13, 2017 12:59 am
Forum: Investing - Theory, News & General
Topic: Mutual Fund Question
Replies: 3
Views: 381

Re: Mutual Fund Question

Why not just buy the individual stocks, maybe the top 10 holdings of one of these funds at the same ratio?

I'm not advising this.
by mega317
Fri Oct 13, 2017 12:53 am
Forum: Personal Finance (Not Investing)
Topic: Pay down mortgage or maintain liquidity for future home improvements
Replies: 10
Views: 1225

Pay down mortgage or maintain liquidity for future home improvements

We just bought a house this year and want to do some fairly major work on it. We don't have a definite timeline, but probably more than 1 year (baby on the way) and within 3 years. We have been saving in taxable in mostly CA munis. Question: what would be the pros and cons of putting the home improv...
by mega317
Fri Oct 13, 2017 12:20 am
Forum: Investing - Help with Personal Investments
Topic: VTSMX vs. VTI
Replies: 16
Views: 1335

Re: VTSMX vs. VTI

I agree that you should not pay any commissions because Fidelity has good options. You got some good answers about mutual funds vs ETFs. But part of your initial question was about expense ratios. FSTMX = Fidelity total market index fund, investor class ($2,500 minimum, 0.09% expense ratio) FSTVX = ...
by mega317
Fri Oct 13, 2017 12:05 am
Forum: Investing - Help with Personal Investments
Topic: Newbie investor - Roth IRA Account Set UP Timing?
Replies: 3
Views: 273

Re: Newbie investor - Roth IRA Account Set UP Timing?

I know we should not time the market but You answered your own question here, obviously. There will be a correction. That correction might not happen for a while and then may bring prices down to a point that is still above todays'. Searching this forum for "time the market but" produces 1,000 resu...
by mega317
Thu Oct 12, 2017 10:58 pm
Forum: Investing - Help with Personal Investments
Topic: Need help investing $1M in today's market
Replies: 24
Views: 3719

Re: Need help investing $1M in today's market

Monkeyman wrote:
Thu Oct 12, 2017 11:53 am
Emergency funds: $35,000 (3 months)
...
Tax Rate: 10-15%
This doesn't add up to me--it appears to spend more than you earn. What is your marginal tax bracket? If 15% then you are earning 100k or less, but 3 months of expenses is 35k?
by mega317
Thu Oct 12, 2017 2:21 pm
Forum: Investing - Help with Personal Investments
Topic: Need help investing $1M in today's market
Replies: 24
Views: 3719

Re: Need help investing $1M in today's market

Your financial situation has changed, so you might want to start over from the beginning. What are your goals? What is your desired allocation? If you sort those two things out the rest is easier. Thinking about current prices or ways to enter are just distractions. If your checking account is "emer...
by mega317
Thu Oct 12, 2017 2:05 pm
Forum: Investing - Help with Personal Investments
Topic: What to do with fairly large amount of money in "maybe" house fund?
Replies: 5
Views: 811

Re: What to do with fairly large amount of money in "maybe" house fund?

If a purchase "could be next month", I'd stay in cash or similar. To me the opportunity cost is worth having it ready when you want it. The idea to exchange bonds and stocks in tax-advantaged is a good one, but if you're in stocks in taxable and they drop, you'll no longer have $150k in the taxable ...
by mega317
Thu Oct 12, 2017 1:58 pm
Forum: Investing - Help with Personal Investments
Topic: Lower Bracket Using Traditional, Then Contribute to Roth?
Replies: 9
Views: 804

Re: Lower Bracket Using Traditional, Then Contribute to Roth?

Conclusion If you believe future taxes are >25% then you will put everything in pre-tax TSP. If you believe future taxes are < 15% then you put everything in post-tax Roth. I think you have this backwards. If future tax rate will be higher, you would rather pay the tax now (Roth). If future tax rat...
by mega317
Thu Oct 12, 2017 1:54 pm
Forum: Investing - Help with Personal Investments
Topic: How young is too young to retire.
Replies: 49
Views: 5749

Re: How young is too young to retire.

^ great posts. Especially about the social aspect.

I just want to add one potentially mitigating factor in the numbers which is, some lucky people can get health insurance through your employer even after they retire. That would likely be less expensive than getting it on your own.
by mega317
Thu Oct 12, 2017 12:12 pm
Forum: Investing - Help with Personal Investments
Topic: 100% invested, all in, no cash- how do you do it?
Replies: 42
Views: 3489

Re: 100% invested, all in, no cash- how do you do it?

Like others I only have enough cash in the checking account to cover upcoming bills. And I also have no emergency fund. If an emergency comes up I would sell shares from the taxable brokerage account, and wouldn't hesitate to pay short-term capitals gains taxes if necessary. You're paying that same...
by mega317
Thu Oct 12, 2017 11:06 am
Forum: Personal Finance (Not Investing)
Topic: Problem with back door roth ira on taxact
Replies: 24
Views: 1354

Re: Problem with back door roth ira on taxact

travellight wrote:
Thu Oct 12, 2017 8:26 am
For some reason, lines 8-12 are blank but lines 16-18 are just as you have outlined and the net result is satisfactory:
I'm following along and finding this thread quite helpful. I just wanted to say that my old 8606s done with Turbotax are the same way. Interesting.
by mega317
Thu Oct 12, 2017 12:38 am
Forum: Personal Finance (Not Investing)
Topic: What is the process for liquidating inherited individual stocks?
Replies: 17
Views: 1095

Re: What is the process for liquidating inherited individual stocks?

Should we be suspicious that he could be looking for easy access to new clientele, beneficiaries unfamiliar with individual stocks, whom he can perhaps persuade to invest in some other WF products or fee programs? Thanks in advance. Bingo. Why else would he do this for free? He may not be trying to...
by mega317
Thu Oct 12, 2017 12:33 am
Forum: Personal Finance (Not Investing)
Topic: Corporate wellness program earnings deducted from paycheck
Replies: 7
Views: 739

Re: Corporate wellness program earnings deducted from paycheck

Nate79 wrote:
Wed Oct 11, 2017 11:26 pm
Our wellness program either deposits money into our HSA or for people who don't have an HDHP plan they get the extra in their paycheck. It is truly extra money in our case.
Mine was the same, this seems crazy. I would resume smoking until HR can explain it to you.
by mega317
Thu Oct 12, 2017 12:21 am
Forum: Investing - Help with Personal Investments
Topic: 100% invested, all in, no cash- how do you do it?
Replies: 42
Views: 3489

Re: 100% invested, all in, no cash- how do you do it?

Like others I only have enough cash in the checking account to cover upcoming bills. And I also have no emergency fund. If an emergency comes up I would sell shares from the taxable brokerage account, and wouldn't hesitate to pay short-term capitals gains taxes if necessary. You're paying that same ...
by mega317
Thu Oct 12, 2017 12:12 am
Forum: Investing - Help with Personal Investments
Topic: Adding money to 401K/403b late in the year.
Replies: 18
Views: 838

Re: Adding money to 401K/403b late in the year.

I believe 401a is composed of A. mandatory employee contributions (does not count towards 18k) B. some forms of employer contributions (does not count towards 18k) C. AFTER tax employee contributions (also does not count towards 18k, but is after tax). I would put as much as you can towards the 401k...
by mega317
Thu Oct 12, 2017 12:03 am
Forum: Personal Finance (Not Investing)
Topic: Chase Sapphire Reserve 50k points for private banking checking relationship
Replies: 12
Views: 1525

Re: Chase Sapphire Reserve 50k points for private banking checking relationship

Would I go through this process for ~250 bucks (in my tax brackets)? Probably. But from your description it seems like it's dependent on having the CSR, which you would have to renew before 3 months are up. So you better be sure about the terms. You should figure it out and decide soon. Every minute...
by mega317
Wed Oct 11, 2017 10:07 pm
Forum: Investing - Help with Personal Investments
Topic: How am I doing on my portfolio?
Replies: 8
Views: 1081

Re: How am I doing on my portfolio?

Any recommended calculators to estimate where I may be in 20 years so I can mess with the numbers? I like to use excel, and this is how I came up with that 1.5 million estimate in my previous post: Excel's financial functions let you solve for the rate, number of periods, contributions (pmt), prese...