Search found 3895 matches

by Nate79
Tue Jan 22, 2019 10:24 am
Forum: Personal Finance (Not Investing)
Topic: Paying extra on mortgage - what am I missing?
Replies: 65
Views: 5673

Re: Paying extra on mortgage - what am I missing?

For my previous mortgage, the interest billed each month was the same no matter what point in the month I made an extra payment. I would keep that money in a higher interest bearing account and then make the payment toward the end of the month, earning interest on that extra money. In my scenario m...
by Nate79
Tue Jan 22, 2019 10:19 am
Forum: Personal Finance (Not Investing)
Topic: Has anyone see an inheritance not go as planned? I would like to hear stories from others of what can go wrong.
Replies: 46
Views: 3438

Re: Has anyone see an inheritance not go as planned? I would like to hear stories from others of what can go wrong.

I saw our family which was very close nit and loving family ripped apart when Grandfather passed away and their children (my parents and aunts/uncles) disagreed on how to deal with the assets. No matter how close you think a family is ANY family can be ripped apart due to money (greed) and sentiment.
by Nate79
Tue Jan 22, 2019 7:36 am
Forum: Personal Finance (Not Investing)
Topic: Possible Relocation to Portland, OR
Replies: 35
Views: 4133

Re: Possible Relocation to Portland, OR

If you will or won't have a commute is a huge part of the decision. Traffic is a nightmare in Portland. Really? I can get from one end to another in less than 40 mins. My wife commuted every day from downtown area to southwest suburbs (Clackamas area). Minimum commute every day was 45min if traffic...
by Nate79
Mon Jan 21, 2019 10:41 pm
Forum: Personal Finance (Not Investing)
Topic: Rent vs Own Assumptions
Replies: 46
Views: 2395

Re: Rent vs Own Assumptions

We own a similar valued property. A few problems with the analysis (some specific to our area also). Our property taxes are lower, more like $4500/year. Insurance is $800/year. House will sell tax free. Investments will have 15% capital gains tax. The general assumption on maintenance is 1% of purch...
by Nate79
Mon Jan 21, 2019 10:16 pm
Forum: Personal Finance (Not Investing)
Topic: Pay off mortgage in 7 years using HELOC?
Replies: 35
Views: 12590

Re: Pay off mortgage in 7 years using HELOC?

I thought that at the beginning of the mortgage, interest portion is much bigger than principal vs HELOC. I have a rental property with a balance of $153K at 5% and monthly payment $1370. On my primary home, I can borrow around $100K at 5.25 with interest portion of only $438 whereas my interest cu...
by Nate79
Mon Jan 21, 2019 9:01 pm
Forum: Personal Finance (Not Investing)
Topic: Pay off mortgage in 7 years using HELOC?
Replies: 35
Views: 12590

Re: Pay off mortgage in 7 years using HELOC?

I think the principal of this is how amortization works in mortgages vs HELOC. In mortgages, you would pay the majority of the interest at the beginning from P&I. In HELOC, interest is calculated based on balance(I believe based on daily average). So potentially you could pay less interest without ...
by Nate79
Mon Jan 21, 2019 1:55 pm
Forum: Investing - Help with Personal Investments
Topic: Employer offering HDHP but no HSA!
Replies: 12
Views: 1140

Re: Employer offering HDHP but no HSA!

If your plan is HSA compatible you should have written documentation stating such somewhere. If the insurance company says it is HSA compliant then have them point to that detail somewhere in writing. Do not rely on word of mouth from either the insurance company agent or your HR.
by Nate79
Mon Jan 21, 2019 12:12 pm
Forum: Personal Finance (Not Investing)
Topic: Survey - Total Cost of Insurance Policies
Replies: 25
Views: 1274

Re: Survey - Total Cost of Insurance Policies

Insurance is protecting some value. Without knowing the values you are protecting this is a meaningless comparison.
by Nate79
Mon Jan 21, 2019 12:10 pm
Forum: Personal Finance (Not Investing)
Topic: Student Loans
Replies: 16
Views: 1109

Re: Student Loans

I think the chance of you qualifying for PSLF is almost zero, especially if you are asking the question on the internet. To get forgiveness you need to have every duck in a row, every single year. There is no grey area.
by Nate79
Mon Jan 21, 2019 11:46 am
Forum: Investing - Help with Personal Investments
Topic: Noob needs help
Replies: 17
Views: 1108

Re: Noob needs help

That you have a Vanguard Roth IRA and a Wealthfront account is a red flag to me concerning potential wash sales. Are you aware of this issue and your responsibility to track wash sales? Whoops. No I wasn't paying attention, and I was just reading another thread about that. Goods new is I haven’t bo...
by Nate79
Sun Jan 20, 2019 7:09 pm
Forum: Investing - Help with Personal Investments
Topic: Noob needs help
Replies: 17
Views: 1108

Re: Noob needs help

That you have a Vanguard Roth IRA and a Wealthfront account is a red flag to me concerning potential wash sales. Are you aware of this issue and your responsibility to track wash sales?
by Nate79
Sun Jan 20, 2019 7:51 am
Forum: Investing - Theory, News & General
Topic: Is Fidelity Zero Fund BETTER than Fidelity Expense Ratio Fund
Replies: 58
Views: 5750

Re: Is Fidelity Zero Fund BETTER than Fidelity Expense Ratio Fund

VTSAX and FSKAX both follow different yet very similar indexes, yet are to be avoided as TLH partners. The same is true for FZROX and FSKAX. Your opinion is not shared by most around here. The most relevant IRS guidance says that two mutual funds can not be substantially identical. Yet being even m...
by Nate79
Sat Jan 19, 2019 10:34 pm
Forum: Investing - Theory, News & General
Topic: Is Fidelity Zero Fund BETTER than Fidelity Expense Ratio Fund
Replies: 58
Views: 5750

Re: Is Fidelity Zero Fund BETTER than Fidelity Expense Ratio Fund

I'm currently using FZROX and FSKAX as TLH partners in my taxable account, FSKAX has been around in some form since 1997 and has a proven track record. The expense ratio difference is negligible. I could see using the two funds as tax loss harvesting partners but don't see a compelling reason to mo...
by Nate79
Sat Jan 19, 2019 9:20 pm
Forum: Investing - Help with Personal Investments
Topic: turn over rate at 96% but fund rated 5 stars in tax efficiency?
Replies: 3
Views: 438

Re: turn over rate at 96% but fund rated 5 stars in tax efficiency?

This fund has historically distributed very little (or no) capital gains except for some reason huge distribution in 2018.

See here:
https://research.capitaloneinvesting.co ... mbol=PRGSX
by Nate79
Sat Jan 19, 2019 9:15 pm
Forum: Investing - Theory, News & General
Topic: How does Fidelity cut cost on their zero expense index funds?
Replies: 7
Views: 714

Re: How does Fidelity cut cost on their zero expense index funds?

Schwab and Fidelity have had lower cost funds than Vanguard for many years now. That is not novel.
by Nate79
Sat Jan 19, 2019 5:32 pm
Forum: Investing - Theory, News & General
Topic: Why don't Standard and Poor come up with their own index funds?
Replies: 4
Views: 415

Re: Why don't Standard and Poor come up with their own index funds?

Both Fidelity and Schwab run their own funds with their been own index.
by Nate79
Sat Jan 19, 2019 1:01 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage Observation - when it's better to invest at lower rate
Replies: 12
Views: 1229

Re: Mortgage Observation - when it's better to invest at lower rate

The return on making extra mortgage principle payment is the interest rate of the loan. Period. This has been discussed hundreds of times on here. Every once in a while someone will post a thread trying to prove against it even though the math is quite simple. The direct comparison is straight betwe...
by Nate79
Sat Jan 19, 2019 9:47 am
Forum: Personal Consumer Issues
Topic: diagnostic fee for car under warranty?
Replies: 15
Views: 1128

Re: diagnostic fee for car under warranty?

It is pretty common.
by Nate79
Sat Jan 19, 2019 8:11 am
Forum: Investing - Theory, News & General
Topic: What active management stock funds would you own?
Replies: 84
Views: 5410

Re: What active management stock funds would you own?

I own American funds EuroPac in my 401k.

There are tons of threads on what active funds are owned by Bogleheads and what is immediately obvious is that they are not against owning active funds.
by Nate79
Fri Jan 18, 2019 7:45 am
Forum: Investing - Theory, News & General
Topic: Investing and Paying down Debt
Replies: 10
Views: 1112

Re: Investing and Paying down Debt

You mention after tax yield on he mortgage but you don't specify how you will be itemizing. Assuming you are itemizing (very few actually do) the value of the tax deduction is only the incremental amount above the $24k standard deduction, not the full amount of the tax deduction. So depending on how...
by Nate79
Thu Jan 17, 2019 10:32 pm
Forum: Investing - Theory, News & General
Topic: My trend following strategy and experience
Replies: 157
Views: 5718

Re: My trend following strategy and experience

Thanks for posting this. It is extremely interesting approach. I'm not sure I have the conviction in the method to try it.
by Nate79
Thu Jan 17, 2019 7:44 pm
Forum: Personal Finance (Not Investing)
Topic: Paying extra on mortgage - what am I missing?
Replies: 65
Views: 5673

Re: Paying extra on mortgage - what am I missing?

There seems to be some confusion about how a mortgage is calculated. With a mortgage the initial payment is calculated based on the term and the interest rate. The amount of interest you pay every month is simple interest math: outstanding principal * interest rate / 12. The amount of interest you p...
by Nate79
Thu Jan 17, 2019 8:51 am
Forum: Personal Finance (Not Investing)
Topic: [Wash sale concern - Are these stocks substantially identical?]
Replies: 49
Views: 1679

Re: [Wash sale concern - Are these stocks substantially identical?]

Previous IRS guidance has stated that two different mutual funds can not be substantially identical. You are welcome to interpret it as you wish but I would be comfortable TLH as long as the funds are not the same share class regardless of the name of the fund (such as VTI vs VTSAX). And like most m...
by Nate79
Wed Jan 16, 2019 11:27 am
Forum: Investing - Help with Personal Investments
Topic: VOO Dividends--How to avoid double tax when wanting to spend them?
Replies: 14
Views: 648

Re: VOO Dividends--How to avoid double tax when wanting to spend them?

One feature of VOO as well as most Vanguard ETFs is the the ETF is a special share class of the mutual fund (only Vanguard because it’s patented, not sure for how much longer). That somehow gives Vanguard an extra tool to manipulate so the fund (and I guess the ETF) generates much less capital gain...
by Nate79
Wed Jan 16, 2019 11:24 am
Forum: Investing - Theory, News & General
Topic: Vanguard will use blockchain to share index data
Replies: 69
Views: 8513

Re: Vanguard will use blockchain to share index data

Another crypto thread pops up. Is it the sign of the apocalypse?
by Nate79
Wed Jan 16, 2019 8:27 am
Forum: Personal Finance (Not Investing)
Topic: Boost Emergency Fund or Pay Down Debt?
Replies: 13
Views: 884

Re: Boost Emergency Fund or Pay Down Debt?

Sounds like you have a spending problem or something doesnt compute. How is a $10k emergency fund 3 months of expenses when you only have $2k of extra each month with an income of $175k? I agree with the others that your emergency fund is light and I would build that to 6 months and then pound the d...
by Nate79
Wed Jan 16, 2019 7:03 am
Forum: Personal Finance (Not Investing)
Topic: Which Type of Annuities Did You Choose and Why
Replies: 18
Views: 1067

Re: Which Type of Annuities Did You Choose and Why

An SPIA is really the only recommended annuity around here. Search for SPIA and find the thousands of threads on this topic.
by Nate79
Tue Jan 15, 2019 8:04 pm
Forum: Investing - Help with Personal Investments
Topic: TLH a la max12377 style with self directed 401k
Replies: 10
Views: 388

Re: TLH a la max12377 style with self directed 401k

There is debate about whether purchases in a 401(k) can cause a wash sale. I would not volunteer to create a wash sale in that case. Is that true? I would assume it is a wash sale as the spirit of the IRS rule shouldn't matter on what "envelope" the moves are made from. Any tax or IRS agents out th...
by Nate79
Tue Jan 15, 2019 8:00 pm
Forum: Personal Finance (Not Investing)
Topic: Change my mind - Lease > Buy New Car
Replies: 23
Views: 1959

Re: Change my mind - Lease > Buy New Car

There are three problems with leasing. First, there is a financing cost so comparing buying with cash vs financing there is this cost to consider. Second, you are paying for a fixed amount of miles/depreciation. It's basically use it or lose it (but if you go over you are also penalized). And finall...
by Nate79
Tue Jan 15, 2019 7:54 pm
Forum: Personal Consumer Issues
Topic: Are You Dumping Netflix?
Replies: 177
Views: 10901

Re: Are You Dumping Netflix?

Nope, awesome service even at the measly increase in price.
by Nate79
Tue Jan 15, 2019 7:14 pm
Forum: Investing - Theory, News & General
Topic: Cryptocurrency
Replies: 10
Views: 1115

Re: Cryptocurrency

LOL. Why all the sudden we are getting crypto threads? Perhaps the lesson wasn't learned the first time?
by Nate79
Tue Jan 15, 2019 5:47 pm
Forum: Personal Finance (Not Investing)
Topic: A co-worker makes more than me
Replies: 77
Views: 6589

Re: A co-worker makes more than me

It's quite normal. Unless you started in the same year and got the same performance based raises every year and got thr same promotions at the same time I don't see how your pay could ever be thr same. Nor should it.
by Nate79
Tue Jan 15, 2019 9:38 am
Forum: Investing - Help with Personal Investments
Topic: 29 yo resident doc married need personal finance/investing advice
Replies: 27
Views: 2568

Re: 29 yo resident doc married need personal finance/investing advice

I highly recommend Dave Ramsey in this case. Broke, in debt up to your eyeballs yet have an extremely high food and bar monthly budget. Focus on getting it of debt, live well below your means (rice and beans, no bars).
by Nate79
Tue Jan 15, 2019 12:55 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Question - Vanguard or Blackrock??
Replies: 16
Views: 1059

Re: Portfolio Question - Vanguard or Blackrock??

Those BlackRock funds are excellent. I have similar in my 401k.

If you do not agree with the asset allocation of the target date fund and you have access to better/low cost funds then I would choose your own funds and not use the target date fund.
by Nate79
Mon Jan 14, 2019 7:55 pm
Forum: Personal Consumer Issues
Topic: Credit score dropped dramatically, while credit has been frozen
Replies: 36
Views: 2647

Re: Credit score dropped dramatically, while credit has been frozen

I suggest to get a Credit Karma account regardless. Unfreeze at Experian and Transunion, open an account and then refreeze.
by Nate79
Mon Jan 14, 2019 7:40 pm
Forum: Investing - Help with Personal Investments
Topic: Alternatives to Permanent Life Insurance
Replies: 8
Views: 431

Re: Alternatives to Permanent Life Insurance

Index funds in a taxable account are FAR better than permanent insurance junk ( and their ugly cousins related annuity products).
by Nate79
Mon Jan 14, 2019 12:46 pm
Forum: Personal Finance (Not Investing)
Topic: Cigna/Express Scripts merger - pls help me understand how I lost half my value
Replies: 6
Views: 680

Re: Cigna/Express Scripts merger - pls help me understand how I lost half my value

I bought Merck many years ago and part of it eventually became Express Scripts (ESRX). Last month it merged with Cigna (CI). The terms were $48.75 in cash and 0.2434 shares of stock of the combined company. In November, my 155 shares of ESRX was worth about $16K. Now, my 37 shares of CI is worth ab...
by Nate79
Sun Jan 13, 2019 3:24 pm
Forum: Personal Consumer Issues
Topic: 15 full days in Costa Rica
Replies: 25
Views: 1848

Re: 15 full days in Costa Rica

We have done a couple of trips. One self driven tour that took us to Arenal Volcano area and Playa Tambor. Another trip was to Playa Conchal. Mostly to all inclusive resorts. I second the poster who said that driving takes far longer than you would expect. I would not drive again, way too much work....
by Nate79
Sun Jan 13, 2019 2:50 pm
Forum: Personal Finance (Not Investing)
Topic: Term life insurance with indeterminate premium contract form?
Replies: 13
Views: 714

Re: Term life insurance with indeterminate premium contract form?

Did you shop your term insurance thru a broker/search site like term4sale or Zander? If not you should. Never shop term insurance with a captive insurance salesman.
by Nate79
Sat Jan 12, 2019 6:09 pm
Forum: Investing - Theory, News & General
Topic: Schwab SWSXX going away
Replies: 37
Views: 2633

Re: Schwab SWSXX going away

I bought $10,000 of Schwab Value Advantage MM (SWVXX) in August based on a similar discussion. I must say the returns are under-whelming. A short term bond fund might be much better. Dividends paid: Sep $17.14 Oct $15.12 Nov $17.50 Dec $27.98 SWVXX is a money market fund with a yield of about 2.3%....
by Nate79
Sat Jan 12, 2019 12:17 pm
Forum: Investing - Help with Personal Investments
Topic: E-Trade or Charles Schwab
Replies: 14
Views: 666

Re: E-Trade or Charles Schwab

We have both but I prefer Schwab, especially combined with their checking account. Schwab have excellent in house funds as well as decent free list.
by Nate79
Fri Jan 11, 2019 6:49 pm
Forum: Personal Finance (Not Investing)
Topic: Northwestern Mutual (65 Life) Whole Life Insurance Question
Replies: 31
Views: 7028

Re: Northwestern Mutual (65 Life) Whole Life Insurance Question

Hi everybody, my wife and I just had a meeting with our investment advisor from northwestern mutual and essentially had the same conversation as above. I am uneasy about the idea as it seems too good to be true. We will be maxing out 2 roth IRAs, meeting our match for work 403B, and also have mutua...
by Nate79
Thu Jan 10, 2019 6:04 pm
Forum: Personal Finance (Not Investing)
Topic: Can I make HSA contributions for 2018 (last year)?
Replies: 9
Views: 833

Re: Can I make HSA contributions for 2018 (last year)?

I think the answer is yes but only because of the last month rule (google the term). Normally amount you can contribute is prorated based on number of months of coverage.
by Nate79
Thu Jan 10, 2019 4:27 pm
Forum: Personal Finance (Not Investing)
Topic: Can I make HSA contributions for 2018 (last year)?
Replies: 9
Views: 833

Re: Can I make HSA contributions for 2018 (last year)?

Two questions that will probably help others answer your question. Was your HSA plan a family plan or individual? What coverage will you maintain for the entire 2019?
by Nate79
Thu Jan 10, 2019 1:35 pm
Forum: Personal Finance (Not Investing)
Topic: Emergency Fund questions
Replies: 17
Views: 926

Re: Emergency Fund questions

willthrill81 wrote:
Thu Jan 10, 2019 12:25 pm
Nate79 wrote:
Thu Jan 10, 2019 12:19 pm
I discount stocks 80% for valuing an emergency fund. To me they are near worthless in terms of an emergency fund and should not be counted on in the first few tiers of available funds.
Out of curiosity, how did you arrive at the 80% discount rate?
Great Depression.
by Nate79
Thu Jan 10, 2019 12:19 pm
Forum: Personal Finance (Not Investing)
Topic: Emergency Fund questions
Replies: 17
Views: 926

Re: Emergency Fund questions

I discount stocks 80% for valuing an emergency fund. To me they are near worthless in terms of an emergency fund and should not be counted on in the first few tiers of available funds.
by Nate79
Thu Jan 10, 2019 8:34 am
Forum: Personal Consumer Issues
Topic: Preventative home & auto checks
Replies: 30
Views: 2188

Re: Preventative home & auto checks

Regular car battery charging - this is a little OCD but the life of a car battery is improved if you keep it regularly charged up. Short tripping will not totally charge a car battery so I regularly put my smart charger (~every 2 months) on each car battery overnight to keep them topped off. Smoke d...
by Nate79
Wed Jan 09, 2019 11:12 pm
Forum: Personal Finance (Not Investing)
Topic: Attn Tax Experts: Sold Primary Residence
Replies: 24
Views: 1027

Re: Attn Tax Experts: Sold Primary Residence

Dear BH, I have used the search feature, read previous questions and reply’s and read the tax code/worksheet. I am still unclear about what to expect for tax year 2019. (I know! It’s early! But this is potentially a big hit for me and I want to plan!) Sold house 1/8/19 for $380,000 After selling ex...