Search found 1089 matches

by mega317
Sat Nov 18, 2017 4:02 pm
Forum: Investing - Help with Personal Investments
Topic: Bond funds vs Ladder
Replies: 11
Views: 706

Re: Bond funds vs Ladder

Bond ladder for what purpose?

Drawbacks I can think of include more work/complexity, greater risk, increased transaction fees.
by mega317
Sat Nov 18, 2017 3:54 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard intermediate tax emempt vs CD
Replies: 4
Views: 598

Re: Vanguard intermediate tax emempt vs CD

It depends on several factors: The bond fund could lose value, is that acceptable to you? What's your timeline? How much are you investing? The no-penalty CD is only 1.5% above 25k. Will you need to withdraw parts of the money periodically? Can't do that with most CDs. And yes, the after-tax yield o...
by mega317
Fri Nov 17, 2017 6:22 pm
Forum: Investing - Help with Personal Investments
Topic: Is it a bad idea to invest several times a month?
Replies: 13
Views: 1164

Re: Is it a bad idea to invest several times a month?

It could make tax loss harvesting annoying. I also wouldn't solely rely on the brokerage to keep your records, especially if you move your money at some point.
by mega317
Fri Nov 17, 2017 6:19 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable account investments
Replies: 7
Views: 769

Re: Taxable account investments

I don't think the behavior of VDADX is going to be noticeably different from a total stock index, and certainly will look nothing like a bond fund.
by mega317
Fri Nov 17, 2017 6:14 pm
Forum: Personal Consumer Issues
Topic: Where to buy new iPhone?
Replies: 19
Views: 1643

Re: Where to buy new iPhone?

On 10/29, I received a notice from my credit card about a potentially fraudulent charge from Verizon. I called Verizon to ask if it was them They said no and they confirmed the charge was fraudulent. So I had my credit card cancelled. So the day after you make a large purchase from Verizon, the cre...
by mega317
Fri Nov 17, 2017 5:58 pm
Forum: Investing - Help with Personal Investments
Topic: Which Target Date Fund?
Replies: 13
Views: 1004

Re: Which Target Date Fund?

You are ignoring the most important factor which is the composition of the funds. They are not the same.

I don't know exactly what goes in to Morningstar ratings but I do know it's a measure of past performance and so virtually worthless.
by mega317
Fri Nov 17, 2017 5:47 pm
Forum: Personal Consumer Issues
Topic: Issue with Bank of America credit card
Replies: 8
Views: 908

Re: Issue with Bank of America credit card

Agree. I recently made the decision to just forget about $189 owed to me from DirectTv/ATT. It had been ongoing 6 months and at least 20 phone calls. I finally decided I just didn't have it in me to call them again just to get me upset. It's fascinating how different people can be. I totally agree ...
by mega317
Fri Nov 17, 2017 4:15 pm
Forum: Investing - Help with Personal Investments
Topic: Question re: my high fee 401k plan/my investments
Replies: 7
Views: 394

Re: Question re: my high fee 401k plan/my investments

Another consideration could be all bonds in taxable in the form of munis, but not in your bracket.

Does your 401k have an option for after-tax contributions and in-service rollovers? That would be a way to get additional Roth space and mitigate the effect of having bonds in Roth.
by mega317
Thu Nov 16, 2017 11:24 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio checkup & review 2018 fiscal plan (now married)
Replies: 3
Views: 412

Re: Portfolio checkup & review 2018 fiscal plan (now married)

If you will never be out of the 15% bracket, Roth vs traditional doesn't really matter. Or are you just talking about this year? There is a case to be made for deferring the taxes if they will otherwise be the same; there is also a case for Roth now since RMDs and/or death of a spouse can bump your ...
by mega317
Thu Nov 16, 2017 8:29 pm
Forum: Investing - Help with Personal Investments
Topic: Confused about IRA deduction Limts
Replies: 15
Views: 746

Re: Confused about IRA deduction Limts

Then, when you rolled it over into a Roth, you would have had to pay income taxes on it again, right? Only the gains, not the original contribution. So you paid double income taxes on that investment before it finally morphed into a Roth. Correct? No. See above. See form 8606. This is how the IRS k...
by mega317
Thu Nov 16, 2017 5:51 pm
Forum: Personal Finance (Not Investing)
Topic: Backdoor Roth and $0.01 question
Replies: 6
Views: 615

Re: Backdoor Roth and $0.01 question

There is nothing wrong with having traditional IRA money and doing a backdoor. You just have to pay taxes on it. Even if the amount was a few dollars or more, it's not a big deal.
by mega317
Thu Nov 16, 2017 5:50 pm
Forum: Investing - Help with Personal Investments
Topic: Question re: my high fee 401k plan/my investments
Replies: 7
Views: 394

Re: Question re: my high fee 401k plan/my investments

What is your tax bracket? That will affect the recommendation somewhat.

Concurrent thread about bonds in Roth:
viewtopic.php?f=1&t=232404

Go blue
by mega317
Thu Nov 16, 2017 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: Pile of Cash - What to do
Replies: 24
Views: 2443

Re: Pile of Cash - What to do

If the market is too high why do you have over a million dollars of stocks?
by mega317
Thu Nov 16, 2017 5:35 pm
Forum: Personal Finance (Not Investing)
Topic: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)
Replies: 50
Views: 3605

Re: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)

You skipped #28 University of Michigan! I hadn't seen the 2018 rankings and you made me nervous for a second.
by mega317
Wed Nov 15, 2017 10:56 pm
Forum: Investing - Help with Personal Investments
Topic: Which Bonds for Taxable Account?
Replies: 10
Views: 1014

Re: Which Bonds for Taxable Account?

This is not what you asked, but if your goal is to hold enough bonds in taxable to cover early retirement expenses just from the dividends, you will likely work longer than necessary to build this up. You'll probably need over 50x expenses in tax-exempt bonds in your taxable account. If you held th...
by mega317
Wed Nov 15, 2017 6:40 pm
Forum: Personal Finance (Not Investing)
Topic: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)
Replies: 50
Views: 3605

Re: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)

I think the drawbacks you list are easily planned for. Most importantly, don't buy so much house that you can't handle a tax increase, a small decline in value in the short-term, or a temporary job loss. It is a risk that you lose your job and can't find another one, and have to move maybe at a time...
by mega317
Wed Nov 15, 2017 6:26 pm
Forum: Investing - Help with Personal Investments
Topic: Which Bonds for Taxable Account?
Replies: 10
Views: 1014

Re: Which Bonds for Taxable Account?

This is not what you asked, but if your goal is to hold enough bonds in taxable to cover early retirement expenses just from the dividends, you will likely work longer than necessary to build this up. You'll probably need over 50x expenses in tax-exempt bonds in your taxable account. If you held tha...
by mega317
Tue Nov 14, 2017 11:42 pm
Forum: Personal Finance (Not Investing)
Topic: What's the point of auto loan pre-approvals?
Replies: 12
Views: 1056

Re: What's the point of auto loan pre-approvals?

I went through this with Chase. They wouldn't give me a rate. Finally the women at the branch made a phone call, the person she talked to had to talk to someone else and finally they gave me a rate which was not not guaranteed. What happens if you sign a purchase agreement without funding? Can you j...
by mega317
Tue Nov 14, 2017 10:44 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio allocation/location
Replies: 26
Views: 1489

Re: Portfolio allocation/location

In addition to the above information, I'd also like to know why you think you need to make any changes at all? What prompted you to post this question?
by mega317
Tue Nov 14, 2017 2:28 pm
Forum: Investing - Help with Personal Investments
Topic: [Solved] Starting investing in a long-run bull market: advices ?
Replies: 15
Views: 1456

Re: Starting investing in a long-run bull market: advices ?

OP - I got news for you; the long running bull market has been going on since October 1931. That's right, it's been in a steady but slow upward trend since 1931. In that time period, we've had a Great Depression, followed by a World War that lasted nearly 6 years, followed by an economic boom, then...
by mega317
Tue Nov 14, 2017 2:15 pm
Forum: Investing - Help with Personal Investments
Topic: 401k question - shift to a three-fund portfolio?
Replies: 4
Views: 414

Re: 401k question - shift to a three-fund portfolio?

My question - if I move to an 80/20, is there any reason why I shouldn't consider simplifying to a three-fund portfolio? These are independent decisions. I think 80/20 is a reasonable if slightly aggressive allocation at your age for your entire retirement portfolio. If you hold 80/20 in the 401k a...
by mega317
Tue Nov 14, 2017 1:23 pm
Forum: Investing - Help with Personal Investments
Topic: [Solved] Starting investing in a long-run bull market: advices ?
Replies: 15
Views: 1456

Re: Starting investing in a long-run bull market: advices ?

Welcome! I know I should not try to time the market, but Most common phrase on this forum. My opinions on what you said are: 1. If you feel like you should have "more bonds" now, then you should probably always have more. 2. How will you know when to increase your stock allocation in a "bear market"...
by mega317
Tue Nov 14, 2017 1:18 pm
Forum: Investing - Help with Personal Investments
Topic: Question re: consolidating IRA into current 401K
Replies: 4
Views: 270

Re: Question re: consolidating IRA into current 401K

By doing this and rebalancing, am I essentially "selling high" since the market is up right now? Should I wait, or maybe even just keep them separate? You are mixing two separate issues. Moving money between accounts may be beneficial for simplicity and/or different fund options. Rebalancing is ind...
by mega317
Mon Nov 13, 2017 6:13 pm
Forum: Investing - Help with Personal Investments
Topic: Money Market fund for dividends, capitol gains, etc??
Replies: 9
Views: 997

Re: Money Market fund for dividends, capitol gains, etc??

It continues, "Here's why: you'll incur taxes on these gains when they are paid out. If you reinvest them and then turn around and withdraw them in a few months, you'll likely have to pay taxes on them again." Haha what nonsense. The only way you'd have more taxes to pay is if you had more gains. T...
by mega317
Mon Nov 13, 2017 5:04 pm
Forum: Investing - Help with Personal Investments
Topic: How best to (re)balance portfolio?
Replies: 1
Views: 270

Re: How best to (re)balance portfolio?

First of all, I don't know your history but to have 450k in retirement at age 33 with your income is admirable. Nice work. All of your proposals are decent options, I don't think it matters very much. I would probably do all bonds in the 401k because I value simplicity, I will (hopefully) have large...
by mega317
Mon Nov 13, 2017 2:08 pm
Forum: Personal Finance (Not Investing)
Topic: Actually might have "enough", thinking of suspending retirement savings in favor of saving for down payment
Replies: 36
Views: 3065

Re: Actually might have "enough", thinking of suspending retirement savings in favor of saving for down payment

Rules of thumb are very gross estimates. That may be even low in a high cost of living, and more reasonable if you have dual income. But it might also be inappropriate for you. I think having to suspend all other savings in order to get a large enough down payment to reach an arbitrary loan value is...
by mega317
Mon Nov 13, 2017 1:57 pm
Forum: Personal Finance (Not Investing)
Topic: Invest all my savings in a house?
Replies: 10
Views: 1198

Re: Invest all my savings in a house?

However, I personally feel that it would be a better idea to use only the 25K that are in the actively managed funds as down payment for the house and let the 25K in the index funds grow for my retirement This is anchoring bias. Absent tax consequences, there is no reason that 25k couldn't be in in...
by mega317
Mon Nov 13, 2017 1:51 pm
Forum: Personal Finance (Not Investing)
Topic: Losing all of your savings.
Replies: 41
Views: 5540

Re: Losing all of your savings.

I agree to consider professional help. NOT a financial advisor, but a mental health professional. The other suggestions so far in this thread amount to help-self imperatives to learn and don't feel so bad. Usually that's easier said than done.
by mega317
Mon Nov 13, 2017 1:47 pm
Forum: Investing - Help with Personal Investments
Topic: Looking for advice as to how to invest in a taxable account
Replies: 11
Views: 1383

Re: Looking for advice as to how to invest in a taxable account

Welcome to the forum. What is your marginal tax bracket? (There is no 22% bracket.) I think it's too risky to have such a significant portion of your portfolio in a concentrated sector. I would move out of the tech stock. What are your capital gains? Is this your company stock? I think you and your ...
by mega317
Mon Nov 13, 2017 1:15 am
Forum: Investing - Help with Personal Investments
Topic: Help with porfolio rebalance and simplification
Replies: 6
Views: 690

Re: Help with porfolio rebalance and simplification

1. The general idea is bonds in tax-deferred and stocks in taxable/Roth. I am a fan of the three fund portfolio and so that would be my recommendation. You have a lot of redundant holdings. I would at least eliminate target date funds since they complicate the math when trying to determine what you ...
by mega317
Sun Nov 12, 2017 12:24 am
Forum: Investing - Help with Personal Investments
Topic: AA: Should I List Junk Bond Fund Under Stocks or Bonds?
Replies: 12
Views: 718

Re: AA: Should I List Junk Bond Fund Under Stocks or Bonds?

What is the benefit of this mental exercise over just holding stocks and investment-grade bonds?
by mega317
Sun Nov 12, 2017 12:22 am
Forum: Personal Consumer Issues
Topic: Unnecessary Corporate Meetings
Replies: 25
Views: 1854

Re: Unnecessary Corporate Meetings

I have the same instinct as you but for many (most?) cases I disagree. In addition to potential valuable contributions (infrequent as they may be), it often greases the wheels to let everyone be heard.
by mega317
Sun Nov 12, 2017 12:16 am
Forum: Personal Consumer Issues
Topic: Best way to sell house contents
Replies: 19
Views: 2463

Re: Best way to sell house contents

If you itemize and the furniture isn't extraordinarily desirable you might consider donating. They will often come and pick it up. You don't have to worry about the hassle of craiglist. I had goodwill come get some decent furniture left in the garage by previous owners. I will probably claim the low...
by mega317
Sun Nov 12, 2017 12:09 am
Forum: Investing - Help with Personal Investments
Topic: First 401(k)! Need help with fund choices.
Replies: 5
Views: 572

Re: First 401(k)! Need help with fund choices.

I'll take a stab though I can't answer a few of these questions very well. 1. Sounds good to me 2. I will let others give you more definitive advice using math, but at these expense ratios I would probably keep bonds in the 401k. You want the highest expected growth in tax-free and bonds in tax-defe...
by mega317
Sat Nov 11, 2017 11:58 pm
Forum: Personal Finance (Not Investing)
Topic: What Credit Card is good for me?
Replies: 19
Views: 1250

Re: What Credit Card is good for me?

There is an incredible thread here with all range of possible strategies: https://www.bogleheads.org/forum/viewtopic.php?t=192008 It depends how complicated you want to get. I think it would be totally reasonable to only use the Quicksilver for everything. You could use that abroad and Fidelity in t...
by mega317
Sat Nov 11, 2017 11:30 pm
Forum: Personal Finance (Not Investing)
Topic: Working on elevator pitching, sales charisma
Replies: 8
Views: 839

Re: Working on elevator pitching, sales charisma

Yep, just give the pitch to everyone. You'll pick up things from strangers in their facial expressions that could be valuable feedback (like if there's a part where you pique interest or lose them, and you may even get some engagement. (Most will be annoyed, but at least you got a practice rep.) I l...
by mega317
Sat Nov 11, 2017 11:27 pm
Forum: Investing - Theory, News & General
Topic: What percentage in state municipal bonds?
Replies: 9
Views: 839

Re: What percentage in state municipal bonds?

I have half of my bonds, 12.5% of total portfolio, in CA munis. 78% AAA and AA. Grabiner is the forum member who I have read the most about munis and I hope he weighs in here. I believe he typically says no more than half of bonds in your state. I don't know if his opinion would take into account th...
by mega317
Sat Nov 11, 2017 11:10 pm
Forum: Investing - Help with Personal Investments
Topic: 457b or Traditional IRA?
Replies: 6
Views: 566

Re: 457b or Traditional IRA?

Yeah 0.24% for an index fund is totally fine. I'd use it.
by mega317
Sat Nov 11, 2017 11:04 pm
Forum: Investing - Help with Personal Investments
Topic: Criticize my portfolio please but have mercy on me
Replies: 21
Views: 2347

Re: Criticize my portfolio please but have mercy on me

etguy wrote:
Sat Nov 11, 2017 9:34 pm
5. my family monthly expense is on average 5500 ( housing , food, car, kids school etc - nothing crazy there )
With an $800,000 30-year mortgage your payment will be around $5,000 by itself.
by mega317
Sat Nov 11, 2017 10:01 am
Forum: Investing - Help with Personal Investments
Topic: Losing HSA eligibility. Choosing a good alternative
Replies: 8
Views: 733

Re: Losing HSA eligibility. Choosing a good alternative

There are arguments to be made for not keeping all of your investments at one institution. I would not do so at the expense of Roth space.
by mega317
Sat Nov 11, 2017 1:20 am
Forum: Personal Finance (Not Investing)
Topic: Why NOT make more money?
Replies: 158
Views: 12472

Re: Why NOT make more money?

OP, you don't have enough money to do things you want to do. You clearly want to travel more than you've budgeted, make big-ticket purchases for your kids, etc. And you will have anxiety without "extra cushion" as you say. So keep working! While I don't usually advocate for this type of thinking, I ...
by mega317
Sat Nov 11, 2017 12:50 am
Forum: Personal Finance (Not Investing)
Topic: When would you take a part-time option?
Replies: 23
Views: 1712

Re: When would you take a part-time option?

This is what I'm planning to do. I don't have any precision on the numbers, but I'm guessing I'll want to get to ~25x expenses and then cash flow life until a regular retirement age. The biggest complicating factors are that I'll still have a mortgage when I make the transition, and college is a big...
by mega317
Sat Nov 11, 2017 12:26 am
Forum: Investing - Help with Personal Investments
Topic: Losing HSA eligibility. Choosing a good alternative
Replies: 8
Views: 733

Re: Losing HSA eligibility. Choosing a good alternative

I would probably choose tax-efficient taxable investing over non-deductible traditional IRA. ...DH's 401(K) has very limited choices, so we don't want to roll his either. Just want to mention that a 401k can be good enough with limited choices. Would you care to share the fund options? Is there anyt...
by mega317
Sat Nov 11, 2017 12:19 am
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth going forward
Replies: 8
Views: 946

Re: Backdoor Roth going forward

To specifically address your question: I would choose taxable investing over a non-deductible traditional IRA due to flexibility and favorable capital gains tax rates.
by mega317
Sat Nov 11, 2017 12:12 am
Forum: Investing - Help with Personal Investments
Topic: 457b or Traditional IRA?
Replies: 6
Views: 566

Re: 457b or Traditional IRA?

How do you have so much in traditional? Was it a rollover from a previous employer?

Also how do you get to the 25% bracket from 240k? Is your spouse maxing a 401k and you itemize a ton?

If you post your 457 fund choices we can help you pick a diamond in the rough if there is one.
by mega317
Fri Nov 10, 2017 11:21 am
Forum: Investing - Help with Personal Investments
Topic: Annual timing of Roth IRA contribution
Replies: 5
Views: 613

Re: Annual timing of Roth IRA contribution

My opinion is to contribute as early as you can. The market generally goes up, you want to be invested as long as possible.

I don't think I'll get the thread locked if I say my own plan is to do a backdoor Roth early 2018 because I don't think it's likely that new laws will apply retroactively.
by mega317
Fri Nov 10, 2017 1:09 am
Forum: Personal Finance (Not Investing)
Topic: $23k credit card emergency
Replies: 76
Views: 7967

Re: $23k credit card emergency

A bunch of thoughts: You mentioned your bar hopping, including $200 in October, but I don't see that listed in your budget. Does that mean you are going to completely stop that? I guess my concern is that your budget may not be realistic given your spending habits. This was the first thing that jump...
by mega317
Fri Nov 10, 2017 12:45 am
Forum: Investing - Help with Personal Investments
Topic: Where to allocate a $20,000 emergency fund
Replies: 16
Views: 1531

Re: Where to allocate a $20,000 emergency fund

All of the options presented here, with the exception of I bonds, yield within about 0.5% of each other. That's 100 bucks a year, taxable, for the OP. I recommend you do whatever you find most convenient and don't think about it again.
by mega317
Fri Nov 10, 2017 12:32 am
Forum: Investing - Help with Personal Investments
Topic: Criticize my portfolio please but have mercy on me
Replies: 21
Views: 2347

Re: Criticize my portfolio please but have mercy on me

So you're buying a one million dollar house? That's probably a stretch for most people in your bracket, and you have fewer earning years until retirement than average. Or are you putting more than 20% down? As for a house being a dream, that doesn't mean you have to overspend. And it's not an invest...
by mega317
Fri Nov 10, 2017 12:22 am
Forum: Investing - Help with Personal Investments
Topic: Where to open small taxable brokerage account? (Vanguard vs. Schwab vs. Robo / MF vs. ETF)
Replies: 9
Views: 871

Re: Where to open small taxable brokerage account? (Vanguard vs. Schwab vs. Robo / MF vs. ETF)

I would probably max my 401k and/or pay off debt before taxable stock investing. Can you explain again why, if you have $2,000 to invest per year, you can't contribute another $2,000 to the 401k? (Actually $2667 if pretax.) That said, if you're doing it I would choose Vanguard. Good funds with low e...