Search found 98 matches

by Njm8845
Fri Nov 15, 2019 4:06 am
Forum: Personal Finance (Not Investing)
Topic: Budgeting/Expense tracking
Replies: 39
Views: 2766

Re: Budgeting/Expense tracking

Curious how other Bogleheads manage their own finance.. I made a spreadsheet that i use for myself in conjunction with Mint. Mint is used only to export transactions from all accounts into the sheet and then i categorize myself in excel. I have a tab with a P&L and BS and a summary tab that tracks ...
by Njm8845
Tue Aug 27, 2019 2:35 pm
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure Part II: The next journey
Replies: 1806
Views: 132572

Re: HEDGEFUNDIE's excellent adventure Part II: The next journey

Forgive the basic question, but I always thought leveraged etfs were dangerous because they only seek to return a multiple DAILY.

My understanding is that they don’t do well long term, especially when there’s excess volatility.
by Njm8845
Tue Jun 25, 2019 3:52 pm
Forum: Personal Investments
Topic: After Tax 401(k) Rollover
Replies: 18
Views: 1310

Re: After Tax 401(k) Rollover

However, if you do not want to pay taxes on the earnings, then do a split rollover per Notice 2014-54 sending the after tax contributions to your Roth IRA and the earnings to your TIRA. There is no current tax due for the split rollover, but if you are doing regular back door Roth contributions, th...
by Njm8845
Tue Jun 25, 2019 12:32 pm
Forum: Personal Investments
Topic: After Tax 401(k) Rollover
Replies: 18
Views: 1310

Re: After Tax 401(k) Rollover

Have you gotten the information you needed to help make your decision? I think so. The spreadsheet linked on the finance buff website was really good; I can understand spreadsheets better than retirement literature language. Since I am assuming I'll be with my company for at least 10 years, the pay...
by Njm8845
Mon Jun 24, 2019 5:02 pm
Forum: Personal Investments
Topic: After Tax 401(k) Rollover
Replies: 18
Views: 1310

Re: After Tax 401(k) Rollover

What would be the advantage of rolling over to a tIRA? - In the After tax account, I pay taxes at distribution. - If I rolled over to a tIRA, I pay taxes at distribution. - If I convert to Roth IRA, I pay taxes on earnings upfront, and then no taxes are due at distribution. Rolling what over to a t...
by Njm8845
Mon Jun 24, 2019 12:06 pm
Forum: Personal Investments
Topic: After Tax 401(k) Rollover
Replies: 18
Views: 1310

Re: After Tax 401(k) Rollover

Further, the IRS website says that after tax portions (contributions) must be rolled into Roth IRA, while pre-tax portions (earnings) must be rolled into Traditional IRA. Another type of distribution is a Roth conversion. If the pre-tax money comes out of the 401k and goes to Roth IRA, it has been ...
by Njm8845
Sat Jun 22, 2019 7:53 am
Forum: Personal Investments
Topic: After Tax 401(k) Rollover
Replies: 18
Views: 1310

Re: After Tax 401(k) Rollover

It has to do with how the earnings are taxed. Earnings from bonds are going to be taxed as ordinary income no matter what kind of account they are in. Earnings from stocks definitely have a benefit if the stocks are in taxable instead of tIRA (or an after-tax account). Stock earnings in a taxable a...
by Njm8845
Sat Jun 22, 2019 7:41 am
Forum: Personal Investments
Topic: After Tax 401(k) Rollover
Replies: 18
Views: 1310

Re: After Tax 401(k) Rollover

Then along came thefinancebuff (tfb) who did some research and said it was just fine to leave the money sitting up to 5 years. As I recall, he didn't look at anything longer than 5 years, but it has been awhile since I read it. https://thefinancebuff.com/after-tax-401k-to-roth-no-in-service-distrib...
by Njm8845
Fri Jun 21, 2019 4:56 pm
Forum: Personal Investments
Topic: After Tax 401(k) Rollover
Replies: 18
Views: 1310

After Tax 401(k) Rollover

I have spent the last few hours on the phone with vangd, talking with HR, and I still do not understand the After Tax 401(k) portion of my company's retirement plan. So now I turn to the place that I know can help me understand. This is verbatim what my plan says: "Earnings on contributions are taxa...
by Njm8845
Sun Mar 10, 2019 4:44 pm
Forum: Personal Finance (Not Investing)
Topic: Accounting for house in net worth, expenses
Replies: 66
Views: 4238

Accounting for house in net worth, expenses

I am new to home owning and am very torn about how to account for this new asset class in my various spreadsheets. 1. Net worth. Accounting for our house seems simple enough with the equation “Assets - Liabilities”. The hard part for me is determining what exactly these terms mean. Assets - do you h...
by Njm8845
Sat Feb 16, 2019 1:12 am
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure [risk parity strategy using 3x leveraged ETFs]
Replies: 3353
Views: 309031

Re: HEDGEFUNDIE's excellent adventure [risk parity strategy using 3x leveraged ETFs]

Why not go 100% UPRO? If you’re willing to treat this as a lottery ticket, doesn’t that stand a better chance of reaching the $10M?
by Njm8845
Tue Jan 15, 2019 12:08 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage: 15 vs 30 year
Replies: 58
Views: 5000

Re: Mortgage: 15 vs 30 year

A) Many people bought too much house in the first place. B) Just because you could afford the house if the interest rate adjusted to X, it does not mean that you can afford the house at X+Y interest rate. <<If you cannot afford your house because you lost your job, that is a different story.>> C) I...
by Njm8845
Tue Jan 15, 2019 9:06 am
Forum: Personal Finance (Not Investing)
Topic: Mortgage: 15 vs 30 year
Replies: 58
Views: 5000

Re: Mortgage: 15 vs 30 year

I second the vote for a 7 or 10 year ARM. When I bought my starter home I knew I'd only be in it for 5-6 years. I locked into an incredibly low 7 year ARM rate and sure enough 4.5 years later we sold and moved. It made sense for us, and if you're confident you'll only be there for 8 years, I'd sugg...
by Njm8845
Tue Jan 15, 2019 7:00 am
Forum: Personal Finance (Not Investing)
Topic: Mortgage: 15 vs 30 year
Replies: 58
Views: 5000

Re: Mortgage: 15 vs 30 year

I second the vote for a 7 or 10 year ARM. When I bought my starter home I knew I'd only be in it for 5-6 years. I locked into an incredibly low 7 year ARM rate and sure enough 4.5 years later we sold and moved. It made sense for us, and if you're confident you'll only be there for 8 years, I'd sugg...
by Njm8845
Mon Jan 14, 2019 10:46 am
Forum: Personal Finance (Not Investing)
Topic: Mortgage: 15 vs 30 year
Replies: 58
Views: 5000

Re: Mortgage: 15 vs 30 year

barnaclebob wrote:
Mon Jan 14, 2019 10:14 am
But to give an accurate answer we need to know what the alternative to a 15 year mortgage is. With the 30 year, would you be investing that extra cash each month into index funds?
Yes, I would be investing in VTI
by Njm8845
Mon Jan 14, 2019 10:03 am
Forum: Personal Finance (Not Investing)
Topic: Mortgage: 15 vs 30 year
Replies: 58
Views: 5000

Mortgage: 15 vs 30 year

I'm going to be a first time homebuyer in the coming months and have gone back and forth on the type of mortgage I should get. I've posted other questions, but wanted to focus on the following issue: I am most likely going to be in the location for 8 or fewer years. The breakeven for renting vs. buy...
by Njm8845
Sun Dec 23, 2018 6:13 pm
Forum: Personal Investments
Topic: Should I invest my cap gains?
Replies: 5
Views: 582

Should I invest my cap gains?

I have significant cash in my money market account from cap gains.

I was always planning on selling shares at end of February for down payment on a house.

But the way the market has tanked the past couple weeks is enticing me to market time.

Thoughts?
by Njm8845
Wed Dec 19, 2018 12:57 pm
Forum: Personal Finance (Not Investing)
Topic: Does carrying a credit card with a very high limit bother you? Say you have credit card for 50k but never spend more
Replies: 71
Views: 3765

Re: Does carrying a credit card with a very high limit bother you? Say you have credit card for 50k but never spend mor

How about from a thief view? Is a lower limit safer? You're probably not at risk whether the thief charges $100 or $50,000. In my experience the credit card companies are vigilant about detecting fraudulent charges. I would highly doubt they'd miss a large purchase on your card when you usually mai...
by Njm8845
Wed Dec 19, 2018 12:54 pm
Forum: Personal Finance (Not Investing)
Topic: Does carrying a credit card with a very high limit bother you? Say you have credit card for 50k but never spend more
Replies: 71
Views: 3765

Re: Does carrying a credit card with a very high limit bother you? Say you have credit card for 50k but never spend mor

No, it doesn't bother me at all. Honestly I can't even tell you what my limits are.

It's good for your credit score if you use a small portion of your limit, if you care about that kind of thing.
by Njm8845
Tue Dec 04, 2018 8:30 am
Forum: Personal Finance (Not Investing)
Topic: Home Buying - Calculators and Analysis
Replies: 9
Views: 1022

Re: Home Buying - Calculators and Analysis

OP, just out of curiosity why do you prefer this method? To me, it is much faster to use a good rent vs. buy calculator (which you appear to dismiss quickly). I like that someone else has already built most of the variables in and I can click through quickly and compare. Accounting for opportunity ...
by Njm8845
Tue Dec 04, 2018 8:07 am
Forum: Personal Finance (Not Investing)
Topic: Home Buying - Calculators and Analysis
Replies: 9
Views: 1022

Re: Home Buying - Calculators and Analysis

My one big concern is your moving every three years or so. Suppose you get the "itch" after a few years! So has this been job changing or moving in the local area? I hate to speak the words ARM but if your a mover is it worth it? OP here - I have moved around the country going from project to proje...
by Njm8845
Mon Dec 03, 2018 12:00 pm
Forum: Personal Finance (Not Investing)
Topic: Home Buying - Calculators and Analysis
Replies: 9
Views: 1022

Home Buying - Calculators and Analysis

Potential first time home buyer here. I have lots of questions and am just starting to make sense of everything. I basically built my own amortization schedule before I discovered that these things exist. I also coined a term of "effective rent", which also probably exists out there somewhere, but f...
by Njm8845
Tue Nov 13, 2018 4:43 pm
Forum: Personal Investments
Topic: How much should Son and DIL put into Roth & Pre-tax 401k accounts...?
Replies: 21
Views: 1251

Re: How much should Son and DIL put into Roth & Pre-tax 401k accounts...?

KlangFool wrote:
Tue Nov 13, 2018 2:11 pm
Coming from a country where the average gross saving rate is 30+%, I max up my Trad 401K contribution when I started working. I had been doing this for 20+ years.

KlangFool
Just curious, what country is that? Japan?
by Njm8845
Tue Oct 30, 2018 3:12 pm
Forum: Personal Finance (Not Investing)
Topic: salary expectation question
Replies: 10
Views: 1800

Re: salary expectation question

In the back of your mind, you know that everything is negotiable, so if you progress past the 1st, 2nd, and possibly 3rd interviews to receive an offer, then you can negotiate. I agree with all your points except this one. Salary is negotiable within a certain range, but I'd want to make sure the e...
by Njm8845
Tue Oct 16, 2018 9:33 am
Forum: Personal Finance (Not Investing)
Topic: Relocation to California
Replies: 49
Views: 4608

Re: Relocation to California

FlyAF wrote:
Mon Oct 15, 2018 2:34 pm
The state income tax you'll be moving into is the biggest issue IMO. 10% haircut right off the top.
That's not how taxes work. You don't owe the marginal rate.

The effective tax rate for someone making, say $100k, is 5%. If they max out their 401(k), that drops to 3.8%
by Njm8845
Tue Oct 09, 2018 2:27 pm
Forum: Personal Finance (Not Investing)
Topic: Job Opportunity - Via Staffing Agency
Replies: 29
Views: 2421

Re: Job Opportunity - Via Staffing Agency

Why can’t you negotiate your employee salary once the time comes? I’d think you’d have even more leverage to negotiate as you’ve proven your worth to them as a contractor. The plan would be to negotiate when the time comes. I suppose I'm cautious because I currently have a high salary. So there's m...
by Njm8845
Tue Oct 09, 2018 1:22 pm
Forum: Personal Finance (Not Investing)
Topic: Job Opportunity - Via Staffing Agency
Replies: 29
Views: 2421

Re: Job Opportunity - Via Staffing Agency

I understand your preference, but the staffing agency did in fact put you and the firm in contact with one another, which is their job, so they deserve to be involved because that is how they make their money (commission, usually percentage of salary, although sometimes a fixed fee). Understood. I ...
by Njm8845
Tue Oct 09, 2018 12:37 pm
Forum: Personal Finance (Not Investing)
Topic: Job Opportunity - Via Staffing Agency
Replies: 29
Views: 2421

Re: Job Opportunity - Via Staffing Agency

My field is engineering. I'm not worried about the staffing agency "mucking up" the deal. They have an incentive for me to sign. I'm worried about salary negotiations with the firm once my contract is up. This move would be a major increase to my usual cost of living, and the ultimate remuneration p...
by Njm8845
Tue Oct 09, 2018 11:48 am
Forum: Personal Finance (Not Investing)
Topic: Job Opportunity - Via Staffing Agency
Replies: 29
Views: 2421

Job Opportunity - Via Staffing Agency

A headhunter contacted me recently with a very attractive opportunity. However, the situation is such that I must be on contract with his staffing agency for a period of time before I can transition to a full time employee of the firm. - The firm said they would like to hire me full time, but are ob...
by Njm8845
Wed Aug 22, 2018 1:48 pm
Forum: Personal Finance (Not Investing)
Topic: FireCalc Question
Replies: 11
Views: 1103

Re: FireCalc Question

I was using it to see if I had X amount and planned to spend Y amount and lived 30 years in retirement at what confidence level will I not run out of money. I play around with these numbers to see when I can retire with the money if all things being equal to their assumptions where I have rough fig...
by Njm8845
Wed Aug 22, 2018 12:07 pm
Forum: Personal Finance (Not Investing)
Topic: FireCalc Question
Replies: 11
Views: 1103

Re: FireCalc Question

Your inputs, you are expecting to use your retirement for 50-55years? or is that when you want to retire. That is long unless longevity runs in your family, if so that is great. I am planning on 20-30 years in retirement. The FIRE calc years input is the number of years you expect to be in retireme...
by Njm8845
Wed Aug 22, 2018 10:50 am
Forum: Personal Finance (Not Investing)
Topic: FireCalc Question
Replies: 11
Views: 1103

Re: FireCalc Question

Holding spending and portfolio value constant:

30 years = 99.2
35 = 97.3
40 = 96.3
45 = 93.2
50 = 93.9
55 = 97.8
60 = 96.6
65 = 95.2
70 = 93.6

I don't know how to post a graph of this, but it's clear that something fishy is going on.
by Njm8845
Wed Aug 22, 2018 10:35 am
Forum: Personal Finance (Not Investing)
Topic: FireCalc Question
Replies: 11
Views: 1103

FireCalc Question

Go to firecalc

Inputs:
Spending - 80,000
Portfolio - 1,500,000
Years - 50
Outcome = 39.8% success

Now if years are changed from 50 to 55, outcome = 41.9% success

How does increasing the number of years increase the likelihood of success?
by Njm8845
Thu Aug 09, 2018 7:23 am
Forum: Personal Finance (Not Investing)
Topic: Moving to LA - Tips Wanted
Replies: 26
Views: 2374

Re: Moving to LA - Tips Wanted

aristotelian wrote:
Thu Aug 09, 2018 5:38 am
You don't want to live in Burbank.
Why?
by Njm8845
Wed Aug 08, 2018 4:39 pm
Forum: Personal Finance (Not Investing)
Topic: Moving to LA - Tips Wanted
Replies: 26
Views: 2374

Re: Moving to LA - Tips Wanted

How carefully have you looked at the housing market? I think you might have a challenge finding an acceptable place with 2 children for 3k. I guess I'm projecting what I consider acceptable. And also think ahead--do you want to rent forever, or what will you be able to afford to buy? It seems like ...
by Njm8845
Wed Aug 08, 2018 3:01 pm
Forum: Personal Finance (Not Investing)
Topic: Moving to LA - Tips Wanted
Replies: 26
Views: 2374

Moving to LA - Tips Wanted

I will likely be moving to Los Angeles. I have a decent knowledge of the city, but have not spent an extensive amount of time there. I am looking for a good discussion on the following topics: 1) Where should I live? I have a family with toddler aged children. I would be working downtown. Walking di...
by Njm8845
Wed Aug 08, 2018 9:16 am
Forum: Personal Investments
Topic: Another Backdoor Roth Thread
Replies: 5
Views: 472

Re: Another Backdoor Roth Thread

After the conversion, all of my IRA monies will be in the Roth. Traditional IRA balance will be 0. I have filed forms 8606 in both years, and 2015 tax return shows a total of $11,000 in nondeductible IRA contributions. My other question is: Why does this loophole exist? Why not just allow people of ...
by Njm8845
Wed Aug 08, 2018 8:37 am
Forum: Personal Investments
Topic: Another Backdoor Roth Thread
Replies: 5
Views: 472

Another Backdoor Roth Thread

I've tried to read up on all the tax consequences of a backdoor Roth, and I just want to make sure that I'm thinking about things correctly. In 2014 and 2015 I was over the Roth Income limits, and contributed post-tax money to a traditional IRA. (During those years I did not have access to a 401(k) ...
by Njm8845
Mon Jul 30, 2018 8:43 am
Forum: Personal Finance (Not Investing)
Topic: Consistently over budget on food - what are you guys eating?
Replies: 70
Views: 6689

Re: Consistently over budget on food - what are you guys eating?

So within the last 3 months our food spend was: $729, $524 and this month $1,013 which now that I think about it aren't that bad overall. We've really "tightened" up our budget and focused on it, but previously it was consistently over $1000/mo. The only thing that was "out of the ordinary" during ...
by Njm8845
Wed Jul 11, 2018 6:40 am
Forum: Personal Investments
Topic: Expense Ratios Correlation with Returns
Replies: 6
Views: 688

Re: Expense Ratios Correlation with Returns

Some years ago, the SEC produced an official notice that expense ratios hurt returns. Link below. The gist is that expense ratios are a better predictor than past returns of future returns. Does anyone know how this is calculated exactly? I believe that a significant (negative) correlation is prese...
by Njm8845
Tue Jul 10, 2018 6:16 am
Forum: Personal Investments
Topic: Expense Ratios Correlation with Returns
Replies: 6
Views: 688

Re: Expense Ratios Correlation with Returns

If your fund returns 4%, then you can calculate how much (as a percentage) is lost to the expense ratio. 4% return, .5% ER = 12.5% of your earning out the door. The bad part is you paid 12.5% of your earnings. The worse part is the dollars left your account and now can't grow with the rest of your ...
by Njm8845
Mon Jul 09, 2018 3:48 pm
Forum: Personal Investments
Topic: Expense Ratios Correlation with Returns
Replies: 6
Views: 688

Expense Ratios Correlation with Returns

Some years ago, the SEC produced an official notice that expense ratios hurt returns. Link below. The gist is that expense ratios are a better predictor than past returns of future returns. Does anyone know how this is calculated exactly? I believe that a significant (negative) correlation is presen...
by Njm8845
Mon Jul 02, 2018 2:26 pm
Forum: Personal Consumer Issues
Topic: Any Boglehead powerlifters?
Replies: 115
Views: 9463

Re: Any Boglehead powerlifters?

I'm game. PM me if interested.
by Njm8845
Mon Jul 02, 2018 2:25 pm
Forum: Personal Investments
Topic: Do you own just 5% of anything?
Replies: 65
Views: 5450

Re: Do you own just 5% of anything?

mmcmonster wrote:
Mon Jul 02, 2018 5:02 am
I own 5% of Total International. Because I'm not convinced that I need international, but it's nice to have a little so I'm not totally missing out on the party.
Same here. 3% of my portfolio is International Growth.
by Njm8845
Mon Jul 02, 2018 2:21 pm
Forum: Personal Investments
Topic: How do credit cards work?
Replies: 4
Views: 762

How do credit cards work?

I recently got the Barclay Uber card. It's a visa card. Am I thinking about this properly? Visa has provided the infrastructure for companies to read credit cards. Barclay actually extends the credit. Uber partnered with Barclay so they both can benefit. Questions: 1) I also have an Amex card. Are t...
by Njm8845
Wed Jun 27, 2018 11:22 am
Forum: Personal Finance (Not Investing)
Topic: How many months of living expenses would you keep in your bank.
Replies: 61
Views: 4554

Re: How many months of living expenses would you keep in your bank.

A couple months. Not very Bogleheadish, but I'm young enough that I want to invest every cent I can. I have a good job and have a large amount of taxable savings I can tap if (multiple) emergencies strike.
by Njm8845
Tue Jun 26, 2018 12:03 pm
Forum: Personal Finance (Not Investing)
Topic: anyone working overseas? pros-cons?
Replies: 22
Views: 2857

Re: anyone working overseas? pros-cons?

Hello, I am electrical engineer, thinking about going to work overseas. Is anyone here currently working (or worked previously) overseas? I plan to do it to put together a nice cash pile and expedite my retirement. I heard middleeast (saudi/use/qatar) has many usa expats. If you have been or curren...
by Njm8845
Mon Apr 30, 2018 12:59 pm
Forum: Personal Investments
Topic: Newbie - 529 Help
Replies: 18
Views: 1782

Re: Newbie - 529 Help

This is outside the scope of your question, but do you really want to put this much into the 529? After 20 years this will likely be around $1MM. I have a 529 for both my daughters, and I don't mean to complicate things for you, but I do feel like you should consider the below questions. What if yo...
by Njm8845
Mon Apr 30, 2018 12:50 pm
Forum: Personal Investments
Topic: Newbie - 529 Help
Replies: 18
Views: 1782

Re: Newbie - 529 Help

This is outside the scope of your question, but do you really want to put this much into the 529? After 20 years this will likely be around $1MM. I have a 529 for both my daughters, and I don't mean to complicate things for you, but I do feel like you should consider the below questions. What if you...
by Njm8845
Fri Apr 06, 2018 5:33 pm
Forum: Personal Finance (Not Investing)
Topic: Your Monthly Cost of Living
Replies: 66
Views: 8885

Re: Your Monthly Cost of Living

My expenses are bigger than yours!!! Well clearly I am losing! :beer I’m always a bit skeptical of these numbers and what they may not include. I agree, some of these numbers are hard to believe. And why only list a portion of all spending categories? I track this very closely. Live in suburb of Se...