Search found 507 matches

by bligh
Sat Oct 14, 2017 4:57 pm
Forum: Personal Consumer Issues
Topic: How long for hedonic adaptation to set in?
Replies: 109
Views: 6834

Re: How long for hedonic adaptation to set in?

The easiest way to try out not spending is to pass up, this time, one such expense and see how it goes....One step at a time. But where does this end? - a monastery room with concrete walls and a hard bed and your days filled with Loving Kindness Meditation? Sure, why not? If that IS what makes you...
by bligh
Fri Oct 13, 2017 7:16 pm
Forum: Personal Consumer Issues
Topic: Sabbatical Money
Replies: 6
Views: 859

Re: Sabbatical Money

I have sabbatical planned for myself and my family. The funds for it are saved in a separate brokerage account using the 3 fund portfolio (using intermediate term munis instead of the total bond fund) at a somewhat more conservative asset allocation than the rest of my portfolio. 1) It is 5 years fr...
by bligh
Thu Oct 12, 2017 6:36 pm
Forum: Investing - Theory, News & General
Topic: 10 year anniversary of the beginning of the Great Recession
Replies: 45
Views: 4161

Re: 10 year anniversary of the beginning of the Great Recession

I wasn't a boglehead so I didn't fully capitalize on the buying opportunity. I do remember happily maxing out our 401Ks at the time and my wife asking me if that was wise. I remember my reply that this is precisely when you invest as much as possible. One Regret I have is that my selection of mutual...
by bligh
Wed Oct 11, 2017 5:06 pm
Forum: Personal Consumer Issues
Topic: cash and landlines in disasters
Replies: 21
Views: 2303

Re: cash and landlines in disasters

A good handheld VHF radio + batteries. is a good option too.

Less expensive than a Sat phone, though also less capable.
by bligh
Wed Oct 11, 2017 4:26 pm
Forum: Personal Finance (Not Investing)
Topic: [Boglehead vs Mr Money Mustache philosophies]
Replies: 203
Views: 13636

Re: [Boglehead vs Mr Money Mustache philosophies]

But ultimately, MMM's and BH's aims are different, and MMM's are better for the humanity . Victoria, a BH This conclusion could certainly be debated. If we all retired at 30 and lived off very modest poverty-level income there wouldn't be enough tax generation to put kids through public schools, pa...
by bligh
Wed Oct 11, 2017 3:13 pm
Forum: Personal Finance (Not Investing)
Topic: [Boglehead vs Mr Money Mustache philosophies]
Replies: 203
Views: 13636

Re: [Boglehead vs Mr Money Mustache philosophies]

But ultimately, MMM's and BH's aims are different, and MMM's are better for the humanity . Victoria, a BH This conclusion could certainly be debated. If we all retired at 30 and lived off very modest poverty-level income there wouldn't be enough tax generation to put kids through public schools, pa...
by bligh
Wed Oct 11, 2017 11:11 am
Forum: Personal Finance (Not Investing)
Topic: [Boglehead vs Mr Money Mustache philosophies]
Replies: 203
Views: 13636

Re: [Boglehead vs Mr Money Mustache philosophies]

It is interesting reading the responses on this thread. Bringing the thread back on topic. Would you all agree then that the MMM philosophy in a nutshell is to lower your living expenses to the bare minimum, and then pursue an early retirement via a big enough portfolio that it provides you with the...
by bligh
Tue Oct 10, 2017 3:33 pm
Forum: Personal Finance (Not Investing)
Topic: [Boglehead vs Mr Money Mustache philosophies]
Replies: 203
Views: 13636

Re: [Boglehead vs Mr Money Mustache philosophies]

I really think Mr Money Mustache is being disingenuous when it comes to early retirement. He seems to be really active generating income from someone who is supposedly retired. Without his blog income and affiliate revenues, he would really be in a bad place. There is no logical way for someone to ...
by bligh
Tue Oct 10, 2017 11:24 am
Forum: Personal Finance (Not Investing)
Topic: [Boglehead vs Mr Money Mustache philosophies]
Replies: 203
Views: 13636

Re: [Boglehead vs Mr Money Mustache philosophies]

It also seems more people on BH are cautious, pessimistic...worriers - however one labels it...and thus feel a bigger stash is needed to counter all those horrible black swan-like events: (A) dementia for 10+ years or other life altering health issues (B) prolonged market crash of epic proportions,...
by bligh
Sun Oct 08, 2017 5:39 pm
Forum: Investing - Help with Personal Investments
Topic: Risk of Long Term Government Bond Index Fund (VLGSX)
Replies: 12
Views: 836

Re: Risk of Long Term Government Bond Index Fund (VLGSX)

If you go to the VLGSX page and then the "portfolio and management" bar, you will see that the fund has "duration" of 17.6. This is a purely mathematical quantity that is very informative; it says that if the interest rate on this fund goes UP by 1% (say from 3% to 4%), then the value of your posit...
by bligh
Thu Oct 05, 2017 3:26 pm
Forum: Investing - Help with Personal Investments
Topic: Millionaire Next Door (Thank you Bogleheads)
Replies: 81
Views: 11066

Re: Millionaire Next Door (Thank you Bogleheads)

Congratulations to you and the wife... and your mother. I am sure she is up there looking down upon you right now with pride in her eyes and a smile on her face.

Good job and keep at it! :) Best of luck!
by bligh
Thu Oct 05, 2017 1:04 pm
Forum: Personal Consumer Issues
Topic: How do you value your time?
Replies: 97
Views: 3782

Re: How do you value your time?

My effective marginal tax rate is 45%. If I can spend $1 less, it's the equivalent of earning an extra $1.82 (=1/(1-.45)). Don't forget taxes when valuing DIY activities (mowing lawn, paying for parking, making own meals, etc). I do this myself. I am in a very high tax bracket in a high tax state s...
by bligh
Thu Oct 05, 2017 12:57 pm
Forum: Investing - Theory, News & General
Topic: Current Bull Market could last years
Replies: 89
Views: 9701

Re: Current Bull Market could last years

After reading the article in the OP, I actually feel more uneasy about equities. U ltimately, it appears from the article that the bull market over the past 10 years or so has been a product mostly of corporate buybacks. I don't know much about this topic, but isn't this a form of price manipulatio...
by bligh
Thu Oct 05, 2017 10:42 am
Forum: Personal Consumer Issues
Topic: How do you value your time?
Replies: 97
Views: 3782

Re: How do you value your time?

My effective marginal tax rate is 45%. If I can spend $1 less, it's the equivalent of earning an extra $1.82 (=1/(1-.45)). Don't forget taxes when valuing DIY activities (mowing lawn, paying for parking, making own meals, etc). I do this myself. I am in a very high tax bracket in a high tax state s...
by bligh
Fri Sep 29, 2017 3:42 pm
Forum: Personal Consumer Issues
Topic: The Rolex and The Boglehead
Replies: 274
Views: 11016

Re: The Rolex and The Boglehead

OK, how about doing the comparison at 600 m? And hey, that watch is $180! I thought we were comparing a Rolex to a $50 watch. Moving goalposts! I've been surfing, sailing, and diving in a digital watch for years. As a family heirloom, my Rolex is much too valuable for me to risk losing it to the se...
by bligh
Fri Sep 29, 2017 10:41 am
Forum: Investing - Theory, News & General
Topic: 3 stages of Financial Independence
Replies: 63
Views: 7017

Re: 3 stages of Financial Independence

Financial independence is of course a sliding scale instead of a true or false value. I think those three are great milestones to be able to stake. You can , for example, vary those further by withdrawal rate if you like. So 1, 2 & 3 with a 4% withdrawal rate, vs 3.5% or 3.33%. Anyway, I would add a...
by bligh
Thu Sep 28, 2017 7:37 pm
Forum: Investing - Theory, News & General
Topic: Which is better a Cryptocurrency or Gold?
Replies: 99
Views: 6136

Re: Which is better a Cryptocurrency or Gold?

Picture a post apocalyptic world .. <insert natural disaster/war/ socio economic collapse/ chaos> ... The world is in chaos. You have been trying to find some food for your hungry child. You have been searching for days. It is so hard to find. Finally you find a person living under a bridge who has ...
by bligh
Thu Sep 28, 2017 12:01 pm
Forum: Personal Consumer Issues
Topic: The Rolex and The Boglehead
Replies: 274
Views: 11016

Re: The Rolex and The Boglehead

I could afford to buy a $50 coke if I wanted to. But what if a 50 cent coke was also available, and I still chose to buy the $50 coke? I think that would still be wasting money since I am getting nothing extra for the extra money. A better analogy to the "Casio versus Rolex" debate wouldn't be payi...
by bligh
Thu Sep 28, 2017 11:48 am
Forum: Personal Consumer Issues
Topic: The Rolex and The Boglehead
Replies: 274
Views: 11016

Re: The Rolex and The Boglehead

I could afford to buy a $50 coke if I wanted to. But what if a 50 cent coke was also available, and I still chose to buy the $50 coke? I think that would still be wasting money since I am getting nothing extra for the extra money. A better analogy to the "Casio versus Rolex" debate wouldn't be payi...
by bligh
Tue Sep 26, 2017 6:47 pm
Forum: Personal Consumer Issues
Topic: The Rolex and The Boglehead
Replies: 274
Views: 11016

Re: The Rolex and The Boglehead

knpstr wrote:
Tue Sep 26, 2017 6:34 pm
Who said Rolex's don't hold their value?

https://www.youtube.com/watch?v=olawVhNhJqw
Wow. Forget gold, Vanguard or Blackrock should offer up a Rolex ETF. :mrgreen:
by bligh
Tue Sep 26, 2017 6:07 pm
Forum: Personal Consumer Issues
Topic: The Rolex and The Boglehead
Replies: 274
Views: 11016

Re: The Rolex and The Boglehead

Very expensive completely obsolete mechanical watches that do not keep time as well, or as reliably, as a $20 quartz Casio watch - the absolute pinnacle example of Conspicuous Consumption. Extravagant luxury items with little to no utility or even borderline uselessness relative to much less costly...
by bligh
Tue Sep 26, 2017 5:55 pm
Forum: Personal Consumer Issues
Topic: The Rolex and The Boglehead
Replies: 274
Views: 11016

Re: The Rolex and The Boglehead

i find the apple watch to be far more useful than rolex, and leaves plenty of money to invest. If you end up buying a new apple watch every two years like most people do with smartphones - it could prove to be more expensive than a rolex :) $350 * 10 (ie. 20 years) and you still get to only $3,500....
by bligh
Fri Sep 22, 2017 5:16 pm
Forum: Personal Consumer Issues
Topic: Older or younger people travel around?
Replies: 31
Views: 3156

Re: Older or younger people travel around?

A lot of the difference you see will occur based on the places you visit and the type of traveling you do. If you go on a Cruise ship, and more so certain cruise lines, you will be surrounded by elderly people enjoying their retirement. If you are doing adventure travel in Indonesia, you are probabl...
by bligh
Fri Sep 22, 2017 4:15 pm
Forum: Investing - Theory, News & General
Topic: No More Saving???
Replies: 114
Views: 10455

Re: No More Saving???

I am considering doing that, but more in terms of working less than spending more. I am close to the point that if our current savings could grow until we hit SS we should be fine, but it is not enough that I could ER now without SS. I am thinking about working part time, just enough to tread water...
by bligh
Wed Sep 20, 2017 11:59 am
Forum: Investing - Help with Personal Investments
Topic: New to Investing. 450k cash
Replies: 33
Views: 3112

Re: New to Investing. 450k cash

Personally I would pay the mortgage down to the point where the monthly payment was a more comfortable number for me. The rest I would invest. I would keep 20-30K as cash reserves and invest the rest at a 70/30 or 60/40 asset allocation. Your taxable portfolio IS your emergency fund.
by bligh
Wed Sep 20, 2017 9:54 am
Forum: Investing - Theory, News & General
Topic: Net Worth divided between taxable and tax-advantaged accounts
Replies: 4
Views: 979

Re: Net Worth divided between taxable and tax-advantaged accounts

You are of course correct, however it is even more complicated than that. Not only do we not know what tax rates will be in the future, we do not know what the effective tax rate on the tax deferred portfolio will be even assuming current tax rates. The size of the portfolio affects that number as w...
by bligh
Mon Sep 18, 2017 3:03 pm
Forum: Personal Finance (Not Investing)
Topic: Save/invest and buy house with cash - yes/no?
Replies: 16
Views: 1144

Re: Save/invest and buy house with cash - yes/no?

Just toying with this idea this morning... Has anyone on this board ever done this or considered doing this? Instead of getting a mortgage on a house (first home), continue to rent, save, invest, and accumulate enough cash to pay for a house in cash. Or at least have the option of using 100% cash f...
by bligh
Mon Sep 18, 2017 11:16 am
Forum: Investing - Theory, News & General
Topic: Vanguard Index Funds Q3 Ex Distribution Dates?
Replies: 2
Views: 374

Re: Vanguard Index Funds Q3 Ex Distribution Dates?

Thank you sir! I am not sure how I missed that despite all my searching. :oops:
by bligh
Mon Sep 18, 2017 11:10 am
Forum: Investing - Theory, News & General
Topic: Vanguard Index Funds Q3 Ex Distribution Dates?
Replies: 2
Views: 374

Vanguard Index Funds Q3 Ex Distribution Dates?

Hey All, I have a sum I plan into invest next week and know that the Q3 Distributions are due. I tried googling for the dates but came up with dates for the 16th and a questionable looking website claiming they were in the past. I can pull up the individual fund's (for e.g.. VTSAX (Vanguard Total St...
by bligh
Sat Sep 16, 2017 8:03 pm
Forum: Personal Finance (Not Investing)
Topic: Psychological effects of Early Retirement in peak earning years.
Replies: 63
Views: 7073

Re: Physiological effects of Early Retirement in peak earning years.

I have a decent job and thru utilizing Boglehead principles I'm in a position financially to retire. Just generally have about 65x expenses, SS, estimate 3k per month at 70 plus pension of 22K at 65. Live in LCOL area. No debt, just monthly CC that I pay in full. I'm 58 and still working full time....
by bligh
Fri Sep 15, 2017 3:00 pm
Forum: Personal Finance (Not Investing)
Topic: Average American Net Worth is $534,600?
Replies: 15
Views: 2397

Re: Average American Net Worth is $534,600?

The median net worth is usually more useful than mean. If there are a 50 college students in a room, the median and the mean net worth of the people in the room would both be close to $0. Now if Bill Gates were to step into the room to give a graduation speech, the median net worth of the people in...
by bligh
Fri Sep 15, 2017 2:34 pm
Forum: Personal Finance (Not Investing)
Topic: Average American Net Worth is $534,600?
Replies: 15
Views: 2397

Re: Average American Net Worth is $534,600?

The median net worth is usually more useful than mean. If there are a 50 college students in a room, the median and the mean net worth of the people in the room would both be close to $0. Now if Bill Gates were to step into the room to give a graduation speech, the median net worth of the people in ...
by bligh
Thu Sep 14, 2017 12:45 pm
Forum: Personal Consumer Issues
Topic: The true cost of Luxury
Replies: 32
Views: 3760

Re: The true cost of Luxury

There is a also the concept of a Veblen Good. https://en.wikipedia.org/wiki/Veblen_good "Veblen goods are types of luxury goods for which the quantity demanded increases as the price increases, an apparent contradiction of the law of demand. Consumers actually prefer more of the good as its price ri...
by bligh
Tue Sep 12, 2017 10:47 pm
Forum: Personal Finance (Not Investing)
Topic: Thank you bull market!
Replies: 6
Views: 2038

Re: Thank you bull market!

Congratulations ryman554.

Mr Kim Jong Un may help you move in and out of that club a few times, but that doesn't make it any less an accomplishment.

Maybe you can surprise the wife with the $5300 celebration.. I mean.. how mad could she get? 8-)
by bligh
Tue Sep 12, 2017 4:18 pm
Forum: Investing - Help with Personal Investments
Topic: Retirees-anyone miscalculate how much was needed?
Replies: 71
Views: 8987

Re: Retirees-anyone miscalculate how much was needed?

Not retired yet. BUT...as a worker bee, I know that time off = opportunity to spend $, so I am concerned that an abundance of free time will equate to spending more money than I can possibly predict. I need to find some inexpensive hobbies in the next 5 years, I suppose. I like the idea of just pad...
by bligh
Tue Sep 12, 2017 4:12 pm
Forum: Investing - Help with Personal Investments
Topic: Retirees-anyone miscalculate how much was needed?
Replies: 71
Views: 8987

Re: Retirees-anyone miscalculate how much was needed?

I agree with possible health issues although if you have those the additional funds may be even more important for the care you need. I have never understood the death argument since I don't believe I will be lying in a grave regretting not having done some trip or activity. Now living 10 years wit...
by bligh
Tue Sep 12, 2017 11:45 am
Forum: Investing - Help with Personal Investments
Topic: Retirees-anyone miscalculate how much was needed?
Replies: 71
Views: 8987

Re: Retirees-anyone miscalculate how much was needed?

Not retired yet. BUT...as a worker bee, I know that time off = opportunity to spend $, so I am concerned that an abundance of free time will equate to spending more money than I can possibly predict. I need to find some inexpensive hobbies in the next 5 years, I suppose. I like the idea of just pad...
by bligh
Mon Sep 11, 2017 2:35 pm
Forum: Personal Consumer Issues
Topic: Feeling guilty for buying a new iPad pro
Replies: 30
Views: 2380

Re: Feeling guilty for buying a new iPad pro

Nah. I wouldn't feel guilty about these types of splurges. As long as you are still living way below your means.

A splurge like this if you are up to your neck in credit card debt or are living paycheck to paycheck is a completely different beast though.
by bligh
Tue Sep 05, 2017 5:13 pm
Forum: Personal Consumer Issues
Topic: Name something you had to have and now you regret purchasing it?
Replies: 275
Views: 24151

Re: Name something you had to have and now you regret purchasing it?

I regret buying all 5 of the watches I own, each in the $2-9K range. I bought them back when I was a younger and very different person.. I still own them since I cannot bring myself to take the loss and get rid of them. But I wish I had invested my money instead of wasting it on shiny doo-dah status...
by bligh
Fri Sep 01, 2017 4:29 pm
Forum: Investing - Theory, News & General
Topic: Michael Kitces 4% rule podcast on Madfientist
Replies: 355
Views: 36026

Re: Michael Kitces 4% rule podcast on Madfientist

If you have 50% flexibility in spending , you should be good to go. Just a few points however, - Anyone truly having 50% more than necessary probably needs to work much longer than someone who went with a floor strategy but say is fine with 30% more in discretionary spending (with 100% being same $...
by bligh
Fri Sep 01, 2017 2:42 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 3959
Views: 1053063

Re: U.S. stocks in freefall

greg24 wrote:
Fri Sep 01, 2017 2:37 pm

So you're saying it is not actionable.
Yes, that is precisely its purpose.

It re-enforces standard Boglehead teachings to "Don't just do something, Stand there!"
by bligh
Fri Sep 01, 2017 2:27 pm
Forum: Investing - Help with Personal Investments
Topic: Investment Strategy: Mini-retirements [young German looks how to make it work]
Replies: 9
Views: 457

Re: Investment Strategy: Mini-retirements [how to make it work]

However, regarding your quote: Does it mean you would not invest the money that you have assigned for your "longer vacation" and instead you would live in your saving/checking account? The question is what should I do with this money? In my case I am hoping to take the 2 years off in ~4 years time....
by bligh
Fri Sep 01, 2017 1:40 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 3959
Views: 1053063

Re: U.S. stocks in freefall

Serious question: Why is this topic still open? That is a very good question. We see other threads get shut down very quickly for being argumentative or "unactionable", but this train wreck is allowed to run for 6 years. I think it serves a valuable purpose as a way to relieve a bit of stress when ...
by bligh
Fri Sep 01, 2017 1:17 pm
Forum: Investing - Help with Personal Investments
Topic: Investment Strategy: Mini-retirements [young German looks how to make it work]
Replies: 9
Views: 457

Re: Investment Strategy: Mini-retirements [how to make it work]

1) Since most books and articles online are about investing for your retirement, I am confused if the traditional approach suits me. Keeping in mind that I always like to receive mini-retirements (every 5-10 years) rather than one big one in the end, what should I keep in mind when investing? I mea...
by bligh
Thu Aug 31, 2017 7:45 pm
Forum: Investing - Theory, News & General
Topic: Michael Kitces 4% rule podcast on Madfientist
Replies: 355
Views: 36026

Re: Michael Kitces 4% rule podcast on Madfientist

I'm not Jewish but perhaps a relevant quote: "Instead of promising yourself that you will play golf, read good books, and enjoy time with the family when you retire, you should heed Ben Zomah’s advice and take constant little slices of retirement as it were, each and every day of your life." I agre...
by bligh
Thu Aug 31, 2017 6:03 pm
Forum: Investing - Theory, News & General
Topic: Michael Kitces 4% rule podcast on Madfientist
Replies: 355
Views: 36026

Re: Michael Kitces 4% rule podcast on Madfientist

So it's back to the same ole argument: is 4% safe enough or not? Kitces says yes, you say that while it's always different, it's even more different this time that 4% isn't safe enough. So what is YOUR "safe enough" SWR? I don't have an SWR. I have a spreadsheet with my projected cash flow. Before ...
by bligh
Thu Aug 31, 2017 2:30 pm
Forum: Investing - Help with Personal Investments
Topic: Emergency funds and net worth calcs
Replies: 27
Views: 2535

Re: Emergency funds and net worth calcs

welderwannabe wrote:
Mon Aug 28, 2017 8:39 am
Ahh, the daily emergency fund post. My life would not be complete without it :D

Welcome to the forum by the way!

There are two. The "Emergency Fund" and the "House Downpayment".
I wonder if we could talk the admins into sticky-ing one good thread on each of those subjects to the top.
by bligh
Thu Aug 31, 2017 2:23 pm
Forum: Investing - Theory, News & General
Topic: Michael Kitces 4% rule podcast on Madfientist
Replies: 355
Views: 36026

Re: Michael Kitces 4% rule podcast on Madfientist

Awesome podcast. One thing I dont get is why more people dont break their retirement spending down into required and discretionary. I dont see why you couldn't say something like 'Your required spending should be less than 3% of your portfolio (ie. worst case) and your discretionary spendings should...
by bligh
Wed Aug 30, 2017 7:34 pm
Forum: Personal Consumer Issues
Topic: How do you reverse a lifetime of frugality and learn to spend some money?
Replies: 59
Views: 6400

Re: How do you reverse a lifetime of frugality and learn to spend some money?

I was extremely frugal throughout my working years and saved enough money to retire at age 49. I'm now 56 and I have to admit I still worry about spending money on anything but the bare necessities . I have zero debt and my home is paid for. There is nothing to fix here. You shouldn't be trying to ...
by bligh
Wed Aug 30, 2017 5:29 pm
Forum: Personal Finance (Not Investing)
Topic: How much sooner could you retire with NO property taxes?
Replies: 116
Views: 7345

Re: How much sooner could you retire with NO property taxes?

It is pretty simple to calculate really. Property taxes are an expense. If you assume a 4% withdrawal rate to support the property taxes, just multiply the annual property tax bill by the amount needed to pay for it. Then figure out how many years it took you to earn that number. Therefore if you ar...