Search found 1601 matches

by FIREchief
Tue Jan 16, 2018 3:39 pm
Forum: Investing - Theory, News & General
Topic: Dow 30,000 S&P 3000, Nasdaq 10,000
Replies: 36
Views: 3616

Re: Dow 30,000 S&P 3000, Nasdaq 10,000

For nearly the last 50 years, when the S&P 500 has been below its 200 DMA (~10 month MA), its return has been 2.0% with a std. dev. of 22%. I don't care to own an asset with that much volatility and that little return. Interesting. How did you determine the following to be the correct values? Time ...
by FIREchief
Tue Jan 16, 2018 1:56 am
Forum: Investing - Theory, News & General
Topic: Dow 30,000 S&P 3000, Nasdaq 10,000
Replies: 36
Views: 3616

Re: Dow 30,000 S&P 3000, Nasdaq 10,000

willthrill81 wrote:
Mon Jan 15, 2018 5:47 pm
mickeyd wrote:
Mon Jan 15, 2018 2:54 pm
I follow the S&P500. Can you shoot me the number that I will need to look for in order to know when to sell most of my equity assets?
When the price of the last closing day of the month is below its 7 month moving average (very close to what I do).
So, sell low???
by FIREchief
Sun Jan 14, 2018 2:08 pm
Forum: Personal Finance (Not Investing)
Topic: Estate Planning (Input Requested)
Replies: 14
Views: 1123

Re: Estate Planning (Input Requested)

Wannabe, Can you help me understand how having a will with NO trust provides the "second step up" you mention? thanks That attorney is right about this: you should consider updating your plan. You should probably do this even if you'll stick with your revocable trust. Most older trusts have credit ...
by FIREchief
Sun Jan 14, 2018 1:59 pm
Forum: Personal Finance (Not Investing)
Topic: Roth convert to just below IRMAA threshold?
Replies: 13
Views: 847

Re: Roth convert to just below IRMAA threshold?

I can convert 95% of my IRA (keeping the rest for future QCD use) in a 3 year period, taking a huge IRMAA hit, moving into the next-to-last IRMAA tier, thus costing $3200 each of those years ($6400 when DW becomes Medicare-eligible). But the positives seem to outweigh the negatives. Lower MAGI prob...
by FIREchief
Sun Jan 14, 2018 12:24 am
Forum: Investing - Theory, News & General
Topic: Jan 2018 TIPS Auction
Replies: 11
Views: 1052

Re: Jan 2018 TIPS Auction

auntie wrote:
Sat Jan 13, 2018 8:53 pm
I'm buying, just like always.
+1
by FIREchief
Sat Jan 13, 2018 4:28 pm
Forum: Personal Finance (Not Investing)
Topic: Estate Planning (Input Requested)
Replies: 14
Views: 1123

Re: Estate Planning (Input Requested)

Sounds like terrible advice. You need a better estate planning attorney. +1. That said, and considering the timeline, it is quite possible that you were sold an A/B trust back in 2007 and that this trust very well may be too complicated and/or inappropriate for your situation. As afan suggested, a ...
by FIREchief
Sat Jan 13, 2018 4:12 pm
Forum: Personal Finance (Not Investing)
Topic: What information should my heirs have just in case
Replies: 12
Views: 593

Re: What information should my heirs have just in case

Many good suggestions. I will add, that as a person starts to gather all of this, it's a great opportunity to looks for areas to streamline. Do you really want to leave that old stack of paper savings bonds, or can they be liquidated and invested in a TBM fund? Are there life insurance policies that...
by FIREchief
Sat Jan 13, 2018 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Roth convert to just below IRMAA threshold?
Replies: 13
Views: 847

Re: Roth convert to just below IRMAA threshold?

According to my calculations, the additional marginal "tax" (i.e. IRMAA premiums, both Part B and Part D) for the first three tiers of IRMAA are 3.63%, 4.57% and 4.57%. So, if I'm in the 24% fed bracket, I'll effectively be paying 27.63% or 28.57% for additional Roth conversions, provided I consume ...
by FIREchief
Sat Jan 13, 2018 2:32 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

If I have set up a living trust....... Thanks for that thorough explanation! I think you've reinforced my limited understanding of this, and it doesn't sound like I had any significant misunderstandings. I have read through some of the instructions for IRS 1041, and that's primarily where I learned...
by FIREchief
Sat Jan 13, 2018 1:32 am
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adults Children

However, some lawyers believe appointing the beneficiary as a co-trustee could be used to invalidate the asset protection aspects of the trust, if it were challenged in court. I don't beleive this has anything to do with which lawyer you're talking to, but everything to do with which state that law...
by FIREchief
Fri Jan 12, 2018 8:28 pm
Forum: Personal Finance (Not Investing)
Topic: Trustee vs POA
Replies: 27
Views: 1383

Re: Executer vs POA

I believe you mean that you are "trustee" of the living trust. An executor is not appointed until somebody passes away. While a trustee does have powers as established by a trust, it may depend upon language within the POA document how much "power" the POA may have over assets that the grantor place...
by FIREchief
Fri Jan 12, 2018 6:55 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

I have a question about how these two options would work in practice. Specifically, in both options while you are alive and the account owner, you would have used your SSN for the account and you would pay any taxes on the account. However, at the time of your death: If you have a living trust, as ...
by FIREchief
Fri Jan 12, 2018 1:25 pm
Forum: Personal Finance (Not Investing)
Topic: How much/little money to give kids in will so they continue to work
Replies: 95
Views: 7813

Re: How much/little money to give kids in will so they continue to work

A parent trying to leave funds to a child in a prudent manner is in absolutely no way trying to "run their lives." Sure, a trust dispersing the inheritance at intervals, with some discretion for emergencies, can make a lot of sense. But do it for the right reasons, not to make sure the kids live li...
by FIREchief
Fri Jan 12, 2018 2:50 am
Forum: Investing - Theory, News & General
Topic: Zimbabwe stock market acting strangely again
Replies: 15
Views: 1861

Re: Zimbabwe stock market acting strangely again

Thanks for the reminder why I only invest in US TMI. 8-)
by FIREchief
Fri Jan 12, 2018 2:27 am
Forum: Personal Finance (Not Investing)
Topic: How much/little money to give kids in will so they continue to work
Replies: 95
Views: 7813

Re: How much/little money to give kids in will so they continue to work

Why do you want to run their lives? If a kid wants to take the money and spend the time painting landscapes or hiking trails around the world, why is that a problem? (this is not my situation) A parent trying to leave funds to a child in a prudent manner is in absolutely no way trying to "run their...
by FIREchief
Fri Jan 12, 2018 1:49 am
Forum: Investing - Theory, News & General
Topic: Shares Are Wildly Overpriced. But Bonds May Be Even Worse
Replies: 34
Views: 5197

Re: Shares Are Wildly Overpriced. But Bonds May Be Even Worse

Nobody knows nothin.....

I've been reading for the past year how real returns in stocks will be 3% to 4% per year for the next several decades. Guess what? We're up over 3% in 8 trading days of 2018. Yeah, glad I listened to the experts! :D
by FIREchief
Thu Jan 11, 2018 6:11 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

FIREchief: If you really want to have things go quickly with your bank/broker, use their version of the power of attorney. If I am not mistaken, they typically limit the power to accounts only at that institution. Of course your other powers of attorney will need to account for that and your EP att...
by FIREchief
Thu Jan 11, 2018 6:06 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Mandatory IRA distributions. The IRS will take my money away!!
Replies: 29
Views: 1913

Re: Help with Mandatory IRA distributions. The IRS will take my money away!!

You can reduce your eventual RMDs considerably by making aggressive Roth conversions over the next five years. Your marginal tax bracket will increase, but your marginal bracket during RMDs will decrease. You'll want to find a good balance. OP wants to continue working, and has $3M in taxable. My g...
by FIREchief
Thu Jan 11, 2018 5:52 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

FIREchief: If you really want to have things go quickly with your bank/broker, use their version of the power of attorney. If I am not mistaken, they typically limit the power to accounts only at that institution. Of course your other powers of attorney will need to account for that and your EP att...
by FIREchief
Thu Jan 11, 2018 5:49 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Mandatory IRA distributions. The IRS will take my money away!!
Replies: 29
Views: 1913

Re: Help with Mandatory IRA distributions. The IRS will take my money away!!

You can reduce your eventual RMDs considerably by making aggressive Roth conversions over the next five years. Your marginal tax bracket will increase, but your marginal bracket during RMDs will decrease. You'll want to find a good balance.
by FIREchief
Thu Jan 11, 2018 5:38 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

FIREchief: If you really want to have things go quickly with your bank/broker, use their version of the power of attorney. If I am not mistaken, they typically limit the power to accounts only at that institution. Of course your other powers of attorney will need to account for that and your EP att...
by FIREchief
Thu Jan 11, 2018 5:21 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

Power of attorney vs trust. I would compare this to my experience with a perfectly legal durable power of attorney, but I cannot compare them. I cannot because not a single institution would accept the DPOA. Not one. I had it, but it was completely useless. First, I agree with everything afan has s...
by FIREchief
Thu Jan 11, 2018 5:12 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

In some situations (like a fixed price agreement to develop an estate plan) attorneys seem to want to gather some pre-determined data points, plug them into their document generator, and present me with "the answer". That's kind of the business model. There is room in there for some discussion, but...
by FIREchief
Thu Jan 11, 2018 3:32 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 4243
Views: 1143340

Re: U.S. stocks in freefall

A bear? How can that be? Absolutely a bear. The market only went up like 3% so far this year. That said, it DROPPED .11% yesterday. Yikes!!! Panic time!! How can the market drop like that? Doesn't the market know that the tax cut is jucing corporate profits? There must be some other sinister factor...
by FIREchief
Thu Jan 11, 2018 1:23 am
Forum: Personal Finance (Not Investing)
Topic: How much/little money to give kids in will so they continue to work
Replies: 95
Views: 7813

Re: How much/little money to give kids so they continue to work

KlangFool wrote:
Wed Jan 10, 2018 8:38 pm
Then, when they started working during summer while in high school, we matched their earning and contribute to their Roth IRA. They probably will graduate from college with about 10K to 20K worth of mutual funds.
Outstanding!!!! :sharebeer
by FIREchief
Thu Jan 11, 2018 1:05 am
Forum: Personal Finance (Not Investing)
Topic: How to pay for a new kitchen and dining room
Replies: 26
Views: 1525

Re: How to pay for a new kitchen and dinning room

How on earth could it cost $100K to remodel a kitchen and dining room? I'm not sure how you would even remodel a dining room, other than new paint/carpet/furniture. That sounds like about $3K - $4K tops. 20K for cabinets. 10K for solid stone counters. 10K for high end pro-consumer appliances. 5K fo...
by FIREchief
Thu Jan 11, 2018 12:18 am
Forum: Personal Finance (Not Investing)
Topic: How to pay for a new kitchen and dining room
Replies: 26
Views: 1525

Re: How to pay for a new kitchen and dinning room

How on earth could it cost $100K to remodel a kitchen and dining room? I'm not sure how you would even remodel a dining room, other than new paint/carpet/furniture. That sounds like about $3K - $4K tops.
by FIREchief
Wed Jan 10, 2018 11:30 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

NotWhoYouThink wrote:
Wed Jan 10, 2018 8:25 pm
I ask a lot of questions which annoy attorneys, then make my own decisions.
Interesting. Can you provide examples of these questions that your attorneys find annoying?

(I can fully relate to your background. "Almost" like looking in a mirror, except no MBA. 8-) )
by FIREchief
Wed Jan 10, 2018 11:25 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

I don't buy warranties for electronics or carry collision/comprehensive on paid for cars after the first year or two, because I don't want to pay for insurance if I can afford to take the risk. I don't plan to leave my estate in trust because there is a cost (we can argue about how much, some say i...
by FIREchief
Wed Jan 10, 2018 11:23 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

NotWhoYouThink wrote:
Wed Jan 10, 2018 8:00 pm
The big one seems to be keeping it from a spouse, which I think is kind of icky, but they can get a pre-nup if they want. What else?
Is a pre-nup NOT "icky?" :confused
by FIREchief
Wed Jan 10, 2018 11:20 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adults Children

I hope anyone considering a trust due to a high value estate (seven figures) has already started gifting the trust recipients with 14k a year. Give them the money sooner rather than later and get to see them enjoy it, teach them how to handle it responsibly, and let them learn how to handle money. ...
by FIREchief
Wed Jan 10, 2018 11:10 pm
Forum: Personal Finance (Not Investing)
Topic: Unusual Will/Probate Situation
Replies: 16
Views: 1206

Re: Unusual Will/Probate Situation

I don't think the sister-in-law has to state a reason. A simple "no," or silence/inaction should be the end of it. Agreed that it should be, but I think it probably won't be. LOL. You may be right. Hopefully sister-in-law lives in another state and is comfortable not answering when the phone rings....
by FIREchief
Wed Jan 10, 2018 7:27 pm
Forum: Personal Finance (Not Investing)
Topic: Unusual Will/Probate Situation
Replies: 16
Views: 1206

Re: Unusual Will/Probate Situation

I don't think the sister-in-law has to state a reason. A simple "no," or silence/inaction should be the end of it. Agreed that it should be, but I think it probably won't be. LOL. You may be right. Hopefully sister-in-law lives in another state and is comfortable not answering when the phone rings....
by FIREchief
Wed Jan 10, 2018 7:25 pm
Forum: Personal Finance (Not Investing)
Topic: Unusual Will/Probate Situation
Replies: 16
Views: 1206

Re: Unusual Will/Probate Situation

Her mother left no will. Is there any reason a bank executor cannot be appointed? I believe that this is totally dependent upon state law. Some (all?) states require a public administrator to take care of any estate where the heirs all refuse or fail to qualify to act as personal representative. It...
by FIREchief
Wed Jan 10, 2018 7:20 pm
Forum: Personal Finance (Not Investing)
Topic: Unusual Will/Probate Situation
Replies: 16
Views: 1206

Re: Unusual Will/Probate Situation

I can't answer your questions but would suggest that the sister-in-law find a reason to decline as I have a hunch that there is going to be some friction in settling the estate. Since she should get paid at the same rate as any other executor, she could just say that she doesn't know how to do it a...
by FIREchief
Wed Jan 10, 2018 6:04 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

I definitely would not have everything pass by TOD/POD or beneficiary designation. There will be expenses after you die. Taxes to pay, maintenance of the houses until they sell... If you leave no money in the estate your executor will have to chase down and unwind these distributions to pay the bil...
by FIREchief
Wed Jan 10, 2018 3:17 am
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

"Transfer on death" bank accounts could give heirs a generous amount for a splurge. Plus you would keep assets in your name if needed for long term care. Are you suggesting that if somebody places their assets into a living trust, they are no longer available to pay for long term care? :confused
by FIREchief
Wed Jan 10, 2018 2:15 am
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adults Children

Yes, it's called prenups and liability/umbrella insurance. :happy Best wishes denovo! :sharebeer Since you already had your answers, I'm not sure why we've "wasted" this time talking about the merits of trusts. (although, I may be catching a glimpse of why somebody might place some restrictive term...
by FIREchief
Wed Jan 10, 2018 1:13 am
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adults Children

My parents received their inheritances with no strings attached. I wouldn't expect to be treated any differently and would be offended if they think they couldn't trust me to manage the money or when to use it. denovo - you're obviously trapped in a paradigm where any control that a trust may impos...
by FIREchief
Wed Jan 10, 2018 1:08 am
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

That’s exactly what my lawyer said my trust would do, why is my trust bad. If your trust accomplishes exactly what you want it to, then it is "good." :sharebeer Your mention of A/B/C trust caught my eye. These types of trusts used to be used to minimize estate taxes (among other things). They also ...
by FIREchief
Wed Jan 10, 2018 12:16 am
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

So allowing some level of control of distribution is not a form of handcuffs. Interesting. It is healthy handcuffing. They are allowed to distribute funds to themselves for health, education, maintenance and support (the HEMS standard, all great things!!! 8-) ) They are not allowed to distribute fu...
by FIREchief
Wed Jan 10, 2018 12:09 am
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

I believe it was an A/B/C trust, lawyer said they can terminate if they want. They can take money out if they want for HEMS. But whether they want to terminate or set ups their own trust is up to them. (respectfully) :happy If you're dealing with a lawyer who is selling only/primarily A/B/C trusts,...
by FIREchief
Wed Jan 10, 2018 12:05 am
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

If they want to set up their own trust it’s up to them. All of us who don’t inherit from a trust face the same problem from bad actors, we learn to deal with it. We get umbrella insurance, we set up separate account for inheritance, as for creditors, we live at our means, we get health insurance, a...
by FIREchief
Tue Jan 09, 2018 11:46 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adults Children

I am talking about the contraptions that limit what you can withdraw or assign somebody else as a trustee to boss you around. I would be extremely offended if my parents tried to cook up anything like that. Interesting. Most of the trusts that we discuss on the forum are nothing like this. Certainl...
by FIREchief
Tue Jan 09, 2018 11:38 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

It depends on how you set it up right. People have mentioned trusts that are set up to just distribute certain amount at a certain age. I mean those are handcuffs. But it’s still up to them to decide whether they want to have their own trust, I won’t dictate that. The trusts you describe might not ...
by FIREchief
Tue Jan 09, 2018 10:35 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adult Children

For the second point, I’m saying these people are doing alright without receiving money from any trust. I’m not sure I want my kids to lounge around the beach all day either. What a waste of one’s life. I’m sure Bill Gates didn’t do that, I recall he was up to receive an inheritance of $5 million b...
by FIREchief
Tue Jan 09, 2018 10:27 pm
Forum: Personal Finance (Not Investing)
Topic: How do you add someone to a will if you don't know their Social?
Replies: 19
Views: 2242

Re: How do you add someone to a will if you don't know their Social?

What is an appropriate asset allocation for my investments? "Why not ask your financial advisor?" What are the best mutual funds for my situation? "Why not ask your financial advisor?" What?! You're comparing the value of a fine, competent estate planning attorney with an "FA?" You may owe an apolo...
by FIREchief
Tue Jan 09, 2018 9:37 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adults Children

It’s more like self declared bankruptcy so you can start over, it’s not the same as you get sued and go bankrupt, that’s where the trust can help. I think we are discussing bankruptcy in that context. Won't a trust be equally valuable in each of these situations? :confused I think it’s good for the...
by FIREchief
Tue Jan 09, 2018 9:23 pm
Forum: Investing - Theory, News & General
Topic: Why Buy Bonds If You Have A Mortgage?
Replies: 185
Views: 15767

Re: Why Buy Bonds If You Have A Mortgage?

Haven't seen it mentioned, and may not be a concern for some. A large mortgage is the most effective form of asset protection available for your personal residence. This is only a benefit if the money which would otherwise be used to pay down the mortgage is itself asset-protected, such as in a 401...
by FIREchief
Tue Jan 09, 2018 7:32 pm
Forum: Personal Finance (Not Investing)
Topic: Trusts for adult Children
Replies: 200
Views: 9464

Re: Trusts for adults Children

DrGoogle2017 wrote:
Tue Jan 09, 2018 6:56 pm
It’s more like self declared bankruptcy so you can start over, it’s not the same as you get sued and go bankrupt, that’s where the trust can help. I think we are discussing bankruptcy in that context.
Won't a trust be equally valuable in each of these situations? :confused