Search found 731 matches

by retire57
Fri Mar 08, 2024 6:33 pm
Forum: Personal Investments
Topic: Checkup: I'm way behind. Hope for late bloomers?
Replies: 42
Views: 5390

Re: Checkup: I'm way behind. Hope for late bloomers?

Your current net worth far exceeds ours at your age. (I am in my 60s now.) You are doing so very well, especially with 1) no consumer debt and 2) an impressive savings rate. Stay the course and you'll be in fantastic shape upon retirement! :beer
by retire57
Fri Mar 08, 2024 5:04 pm
Forum: Investing - Theory, News & General
Topic: Retirees apparently tend to maintain assets - lessons for BH investors?
Replies: 129
Views: 16930

Re: Retirees apparently tend to maintain assets - lessons for BH investors?

connor wrote: Wed Feb 28, 2024 10:53 am I'm 68. I retired at 64. I've yet to take a distribution from my retirement accounts and probably won't until my first RMD. I could potentially be spending double what I spend now, but I'm just spending at the same level now as when I was working and saving. I have not made a shift from being an accumulator to a decumulator. I like watching my portfolio get bigger each year. I like knowing I have more than enough. Reading this report, I see I'm typical. That's a relief. I was starting to wonder if there was something wrong with me for not "living it up" with my wealth.
Same. If I wanted to buy something big, I would. There just isn't anything big I really want.
by retire57
Sun Feb 11, 2024 6:31 pm
Forum: Personal Consumer Issues
Topic: Hybrid Car - Cost Savings?
Replies: 68
Views: 6938

Re: Hybrid Car - Cost Savings?

warner25 wrote: Sun Feb 11, 2024 2:08 pm
retire57 wrote: Sun Feb 11, 2024 12:25 pm If you are stuck in a large traffic jam-up, e.g. an accident slowdown, you will remain cool (or warm) without burning gas. Just set the thermostat... the car can stay cool while you are in the grocery store. Without burning gas.
I'm confused by this. It's not like free energy. The battery can certainly power the climate control while the engine isn't running, but the battery charge in most hybrids ultimately comes only from burning gas.

Does yours also have solar panels on the roof? I think I remember that being a feature at one time, for the purpose of keeping the car cool when parked in the sun.
The engine kicks in to top off the battery for about 2 minutes every 1/2 hour or so.
by retire57
Sun Feb 11, 2024 12:25 pm
Forum: Personal Consumer Issues
Topic: Hybrid Car - Cost Savings?
Replies: 68
Views: 6938

Re: Hybrid Car - Cost Savings?

You've received some helpful responses regarding fuel efficiency. I have a hybrid Toyota Highlander and one benefit no one talks about is climate control.

If you are stuck in a large traffic jam-up, e.g. an accident slowdown, you will remain cool (or warm) without burning gas. Just set the thermostat.

In the brutal heat and humidity of the south, the car can stay cool while you are in the grocery store. Without burning gas.

Sounds like a small thing, but the climate control comes in handy often. I will never NOT own a hybrid for that reason alone.
by retire57
Wed Feb 07, 2024 12:22 pm
Forum: Personal Finance (Not Investing)
Topic: Getting rid of emergency fund, budgeting for yearly expenses, and handling larger "surprise" expenses?
Replies: 18
Views: 1802

Re: Getting rid of emergency fund, budgeting for yearly expenses, and handling larger "surprise" expenses?

My method is #2. Having "too much cash" doesn’t seem like a big problem. Although I do have to periodically remind myself that that the purpose of the $ is security, not growth.
by retire57
Sat Feb 03, 2024 6:21 pm
Forum: Personal Consumer Issues
Topic: How has your Health Changed after Retirement; What are you doing to Stay Healthy?
Replies: 100
Views: 10094

Re: How has your Health Changed after Retirement; What are you doing to Stay Healthy?

I switched to a Whole Food Plant-Based method of eating and have never had more energy. I'm 65.

I also walk at least every other day, do core exercises and stretching, and light weights for upper body strength.

It's amazing how well the body operates when given the right fuel.
by retire57
Sat Feb 03, 2024 6:05 pm
Forum: Personal Investments
Topic: Holdings and Dividends
Replies: 18
Views: 1688

Re: Holdings and Dividends

My taxable VTSAX and VTIAX dividends increased from $13,369 in 2022 to $22,463 in 2023. I guess that's the price one pays for large taxable holdings. I've decided not to worry about it (does no good anyway) and, as someone upthread said, don't let the tax tail wag the dog.
by retire57
Fri Jan 19, 2024 3:11 pm
Forum: Investing - Theory, News & General
Topic: Withdrawal Rate Math
Replies: 36
Views: 4643

Re: Withdrawal Rate Math

OP here. Thanks so much for dissecting my question. As always, a fascinating conversation! :beer
by retire57
Thu Jan 11, 2024 5:36 pm
Forum: Investing - Theory, News & General
Topic: Withdrawal Rate Math
Replies: 36
Views: 4643

Re: Withdrawal Rate Math

If you planned for a 3% portfolio withdrawal rate in retirement but don't withdraw anything for 4 years, in year 5 (say you decide to take a world cruise), can you withdraw 12%. Is it that simple? That means you were not retired 4 years ago because you did not take 3%. At least not on paper. The 4 years you did not withdraw means you had to have money coming from somewhere. Like a job. If you say you had cash saved up then you did withdraw money from your portfolio. If you withdrew 3% every year for four years and did not use any of it, then, you can use it on your world cruise 4 years later. But if you withdraw the entire amount at 12%, then your first year withdrawal rate in retirement would be 12%. The OP was/is retired but lived on SS ...
by retire57
Thu Jan 11, 2024 12:38 pm
Forum: Investing - Theory, News & General
Topic: Withdrawal Rate Math
Replies: 36
Views: 4643

Re: Withdrawal Rate Math

First rule of retirement, there’s no hard and fast rules.. but have a plan (IPS). Second rule: see first rule. I have to ask; what have you been living on for those first 3-4 years? I understand this may be theoretical. I ask because I set out on my adventurous retirement exactly three years ago. I had a safe sum in my pre & post tax accounts (33x), AND an unexpected cash balance (about 3-4 years of expenses). I decided to spend down some of that cash and told myself (mistakenly), “hey look, you’re at a 0% SWR”. But in reality, I didn’t include the cash as part of my retirement portfolio. So in reality, I was actually spending about 2-3% for the last three years. Moreover, I likely did NOT retire with 33x… but more like 36-38x. But it ...
by retire57
Thu Jan 11, 2024 10:51 am
Forum: Investing - Theory, News & General
Topic: Withdrawal Rate Math
Replies: 36
Views: 4643

Re: Withdrawal Rate Math

smitcat wrote: Thu Jan 11, 2024 10:20 am
retire57 wrote: Thu Jan 11, 2024 10:17 am If you planned for a 3% portfolio withdrawal rate in retirement but don't withdraw anything for 4 years, in year 5 (say you decide to take a world cruise), can you withdraw 12%.

Is it that simple?
Are you saying 12% of the initial first year amount or 12% of the amount in year 4?
Good question. 12% of the amount in year 4.
by retire57
Thu Jan 11, 2024 10:17 am
Forum: Investing - Theory, News & General
Topic: Withdrawal Rate Math
Replies: 36
Views: 4643

Withdrawal Rate Math

If you planned for a 3% portfolio withdrawal rate in retirement but don't withdraw anything for 4 years, in year 5 (say you decide to take a world cruise), can you withdraw 12%.

Is it that simple?
by retire57
Sat Dec 16, 2023 7:51 pm
Forum: Personal Investments
Topic: For Those Who Are Retired Do You Keep Cash Accounts
Replies: 57
Views: 12342

Re: For Those Who Are Retired Do You Keep Cash Accounts

Option 3 here, with cash at 3%.

This is not an emergency fund as (to me anyway) an emergency fund's purpose is to cover living expenses in the event of a job loss.

Not a concern in retirement!
by retire57
Wed Aug 02, 2023 2:19 pm
Forum: Personal Investments
Topic: Portfolio Watch is Much Improved (Who else is using it?)
Replies: 21
Views: 2809

Re: Portfolio Watch is Much Improved (Who else is using it?)

I find it useful. At the end of the month, I look at my current asset allocation to determine where my taxable contributions will go.
by retire57
Fri Jul 28, 2023 8:13 pm
Forum: Personal Investments
Topic: CD or Money Market?
Replies: 22
Views: 2282

Re: CD or Money Market?

Artsdoctor wrote: Fri Jul 28, 2023 8:01 pm ^ If it's going to be invested, you can choose an investment which you might be able to transfer in-kind at the end of your 9 years. If you're going to donate it, then it will depend on your age: if you'll be 70-1/2 at the time you'll have to liquidate the inherited IRA, you can make a donation directly (a QCD).

Depending on your tax consequences and intent, you might choose a lower returning investment versus a higher returning investment. It all depends on your tax status at the time and your goals.
Most helpful. Thank you!
by retire57
Fri Jul 28, 2023 7:48 pm
Forum: Personal Investments
Topic: CD or Money Market?
Replies: 22
Views: 2282

Re: CD or Money Market?

Artsdoctor wrote: Fri Jul 28, 2023 6:45 pm First, figure out your strategy. Are you sure you want a bolus of money in 9 years? I didn't notice the amount you're talking about but it might not be beneficial to take the whole thing out all at once.

Second, if you feel strongly that you'll be taking out the whole thing in a single year, you might consider buying an inflation-protected (TIPS) bond which matures in 2032. The real rate (after inflation) is 1.7% which is not bad.

All of that said, what will you be using the money for when you withdraw it? Will you be spending it? Or will be investing it? Will you "need" it? Or will it just be aspirational income that you can use for a vacation or other life experience?
The money will either be invested or donated.
by retire57
Thu Jul 27, 2023 9:39 pm
Forum: Personal Consumer Issues
Topic: Subscriptions Worth Paying For?
Replies: 97
Views: 14257

Re: Subscriptions Worth Paying For?

Quicken
NY Times Games
YouTube Premium
by retire57
Thu Jul 27, 2023 8:39 pm
Forum: Personal Investments
Topic: CD or Money Market?
Replies: 22
Views: 2282

Re: CD or Money Market?

samsoes wrote: Thu Jul 27, 2023 8:37 pm When the IRS gets its act together regarding annual RMDs from inherited IRAs, you may need to start taking them on way before 9 years. Best not to lock-up the funds in an illiquid manner.
Thanks. What would you do in this situation?
by retire57
Thu Jul 27, 2023 8:37 pm
Forum: Personal Investments
Topic: CD or Money Market?
Replies: 22
Views: 2282

Re: CD or Money Market?

[/quote]
That CD is callable
[/quote]

Thank you! :oops:
by retire57
Thu Jul 27, 2023 8:26 pm
Forum: Personal Investments
Topic: CD or Money Market?
Replies: 22
Views: 2282

Re: CD or Money Market?

WalkingBackToHouston wrote: Thu Jul 27, 2023 4:12 pm
retire57 wrote: Thu Jul 27, 2023 11:36 am I be taking RMDs from an inherited IRA in about 9 years. Should I keep the $ in the settlement fund (VMFXX) earning about 5.5% now or purchase a 5 year CD earning roughly the same interest?

Edited to add: OR should I leave it in VBTLX (Total Bond Fund)?
For 5+ years ... you don't want to consider equities? Will you definitely need the money in its entirety for sure in 5 years?
Yes! I would actually prefer equities. Is that what you would do? I'll have to take the RMD in about 9 years.
by retire57
Thu Jul 27, 2023 8:23 pm
Forum: Personal Investments
Topic: CD or Money Market?
Replies: 22
Views: 2282

Re: CD or Money Market?

nonnie wrote: Thu Jul 27, 2023 4:01 pm
indexfundfan wrote: Thu Jul 27, 2023 3:28 pm
retire57 wrote: Thu Jul 27, 2023 11:36 am I be taking RMDs from an inherited IRA in about 9 years. Should I keep the $ in the settlement fund (VMFXX) earning about 5.5% now or purchase a 5 year CD earning roughly the same interest?

Edited to add: OR should I leave it in VBTLX (Total Bond Fund)?
I don't think you can currently get a non-callable 5-yr CD paying anywhere close to 5.5%.
+1
Here's the Link. 5 years 5.5% with a brokered CD.

https://investor.vanguard.com/investmen ... s#cd-rates
by retire57
Thu Jul 27, 2023 11:47 am
Forum: Personal Investments
Topic: CD or Money Market?
Replies: 22
Views: 2282

Re: CD or Money Market?

Thank you. I am 100% certain.
by retire57
Thu Jul 27, 2023 11:36 am
Forum: Personal Investments
Topic: CD or Money Market?
Replies: 22
Views: 2282

CD or Money Market?

I be taking RMDs from an inherited IRA in about 9 years. Should I keep the $ in the settlement fund (VMFXX) earning about 5.5% now or purchase a 5 year CD earning roughly the same interest?

Edited to add: OR should I leave it in VBTLX (Total Bond Fund)?
by retire57
Wed Jul 26, 2023 8:48 pm
Forum: Personal Investments
Topic: Successor Beneficiary Question
Replies: 7
Views: 1156

Re: Successor Beneficiary Question

Thanks for the info. I've researched and understand the RMD guidelines and plan to do a lump sum withdrawal in year 10.

Right now my concern is that selling and buying holdings within the account doesn't trigger a taxable event.
by retire57
Wed Jul 26, 2023 3:26 pm
Forum: Personal Investments
Topic: Successor Beneficiary Question
Replies: 7
Views: 1156

Re: Successor Beneficiary Question

Flobes wrote: Wed Jul 26, 2023 1:25 pm Yes, transactions within any IRA are not taxable. Withdrawals are taxed as ordinary rates.
TY. So with Vanguard I would sell the shares I own now and the proceeds would be deposited in the brokerage account VMFXX? Then purchase the shares I want?

It sounds silly but I'm very nervous about clicking "sell" when it's an IRA we're talking about. :shock:
by retire57
Wed Jul 26, 2023 3:25 pm
Forum: Personal Investments
Topic: Successor Beneficiary Question
Replies: 7
Views: 1156

Re: Successor Beneficiary Question

Duplicate post.
by retire57
Wed Jul 26, 2023 9:51 am
Forum: Personal Investments
Topic: Successor Beneficiary Question
Replies: 7
Views: 1156

Successor Beneficiary Question

I inherited an inherited IRA which makes me a successor beneficiary.

Are transactions I make within the IRA non- taxable?

TIA
by retire57
Tue Jul 25, 2023 5:26 pm
Forum: Personal Investments
Topic: Noob trying to get everything right.
Replies: 8
Views: 836

Re: Noob trying to get everything right.

You are thinking right. Your first steps are to get out of debt and establish an emergency fund. An EF that would carry you through a period of unemployment - most experts recommend 6 to 12 months of living expenses.

If you can get your spending under control, you will do extremely well. Congratulations on your willingness to make the right moves! :beer
by retire57
Tue Jul 25, 2023 4:41 pm
Forum: Personal Investments
Topic: super saver advice?
Replies: 17
Views: 3012

Re: super saver advice?

RMDs can be donated to charities tax-free (for both you and the organization) as a Qualified Charitable Distribution.

If you give to charity now, that will free up additional cash-flow when the time comes.
by retire57
Tue Jul 25, 2023 12:49 pm
Forum: Personal Consumer Issues
Topic: Prepaid Funerals- what do you think of them?
Replies: 42
Views: 4670

Re: Prepaid Funerals- what do you think of them?

I pre-paid for my cremation services a couple of weeks ago. The cost, roughly $2700, includes transportation to the crematory and ten death certificates.

The check was made out to an insurance company rather than the funeral home, to be held in escrow as a protection against misuse of funds.

I assume this practice varies by state.
by retire57
Fri Jul 21, 2023 2:28 pm
Forum: Personal Finance (Not Investing)
Topic: What role has generosity played in your wealth building?
Replies: 160
Views: 13842

Re: What role has generosity played in your wealth building?

We've always donated to our local animal shelter and I regret none of those dollars. We still reached our financial goals while helping a lot of animals along the way.

I'm retired now and have enough. As a result, I can give more and it's probably my biggest pleasure in life.
by retire57
Thu Jul 20, 2023 9:25 pm
Forum: Personal Investments
Topic: Allocation when you live way, way below your means
Replies: 40
Views: 5002

Re: Allocation when you live way, way below your means

If you live below your means now, you'll likely continue to do so in retirement. (Two years into retirement, I find myself doing exactly that.)

If you have an adequate guaranteed retirement income (pension, social security ...), you may never need to touch your nest egg until RMD time rolls around.

Therefore, your AA can be as aggressive as you want.

I recommend Mike Piper's book More Than Enough. where he delves into legacy-building.
by retire57
Mon Jul 17, 2023 11:08 am
Forum: Personal Investments
Topic: How Aggressive?
Replies: 5
Views: 582

Re: How Aggressive?

My expenses are covered by a pension + SS.
by retire57
Mon Jul 17, 2023 10:58 am
Forum: Personal Investments
Topic: How Aggressive?
Replies: 5
Views: 582

How Aggressive?

65, retired, no heirs. Looks like I won't need to withdraw any of my nest egg (aside from RMDs, of course). My estate goes to charity. I'm now left wondering how aggressive my portfolio should be. Currently 75% stocks, 22% bonds, 3% short-term.
by retire57
Thu Jan 12, 2023 2:59 pm
Forum: Personal Consumer Issues
Topic: Hybrid Vehicles-Specifically Toyota Highlander
Replies: 31
Views: 3123

Re: Hybrid Vehicles-Specifically Toyota Highlander

I have a 2020 Highlander Hybrid SE. I'm getting 35.6 mpg, mostly city driving. It's a dream to drive, wouldn't trade it. Good cargo capacity too if that's important to you.
by retire57
Sat Dec 31, 2022 6:17 pm
Forum: Personal Investments
Topic: How to spend my savings?
Replies: 6
Views: 1212

Re: How to spend my savings?

Thank you for the link! I've read such threads before - always interesting. I'm aware my "problem" is not uncommon.

BUT ... what I'm asking for is advice about my choices of withdrawal methods.
by retire57
Sat Dec 31, 2022 5:19 pm
Forum: Personal Investments
Topic: How to spend my savings?
Replies: 6
Views: 1212

How to spend my savings?

As the new year approaches, I'm fortunate to be in a position to start spending some of my retirement savings. My current income is sufficient to cover my living expenses, I own my home, and have no debt. I’ve met all my financial goals. At 64, I'm ready to spend a little more and give a lot more. But I need an established plan because it's difficult to spend money after so many years of disciplined saving. I am torn between a) selling stock shares as I go along - for example, to fund a project for my charity or to take a nice trip - or b) using the constant percentage withdrawal (CPW) strategy. With the CPW method, I would feel comfortable drawing down 3 % of my portfolio annually. One percent from VTSAX (taxable) dividends and the other 2...
by retire57
Sat Aug 27, 2022 5:55 pm
Forum: Personal Investments
Topic: Inheriting an Inherited IRA
Replies: 5
Views: 1160

Re: Inheriting an Inherited IRA

Thanks to all who took the time to respond. And thank you for your kind condolences.
by retire57
Wed Aug 24, 2022 7:12 pm
Forum: Personal Investments
Topic: Inheriting an Inherited IRA
Replies: 5
Views: 1160

Inheriting an Inherited IRA

I am recently widowed and have inherited my husband's father's IRA. My FIL - the original IRA owner - died in 2011.

I'm getting conflicting info on the RMD rules. Am I required to take the RMDs within 10 years or over the life of the IRA?

Thanks in advance.
by retire57
Sat Jun 05, 2021 5:43 pm
Forum: Personal Consumer Issues
Topic: Dark Chocolate heads Rejoice !!!
Replies: 189
Views: 29405

Re: Dark chocolate addicts: how much do you eat?

I allow myself one square after dinner. I've tried various brands of the 72% and, to my surprise, I like the Sam's Choice offering the best. And it's the least expensive I've found - about $1.98 per bar. Found at Sam's Club and WMT.
by retire57
Sat Jun 05, 2021 5:37 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security - It's Time - Advice?
Replies: 5
Views: 1278

Re: Social Security - It's Time - Advice?

I applied on April 28th and, according to the SS website, I was approved by our regional office yesterday, June 4th. That's 37 days, a bit more than the promised 2 - 4 weeks for application review. I was surprised it happened so "quickly". Next is receiving the official approval letter with the details. And next will be the actual payday. Hope this helps!
by retire57
Tue May 25, 2021 7:28 pm
Forum: Personal Finance (Not Investing)
Topic: What part does a paid off home play in retiring early?
Replies: 78
Views: 10744

Re: What part does a paid off home play in retiring early?

Being debt-free in retirement is everything, IMO. Your risk is reduced and your options expand. (This is true at just about any stage in life, of course.)
by retire57
Mon May 17, 2021 7:41 pm
Forum: Investing - Theory, News & General
Topic: Cash flow in retirement
Replies: 68
Views: 10590

Re: Cash flow in retirement

OP, are you talking about about an emergency fund? If so, consider your entire portfolio an emergency fund, as you no longer have to worry about losing your job.

You can't get simpler than that.
by retire57
Wed May 05, 2021 2:47 pm
Forum: Personal Finance (Not Investing)
Topic: How Much Did You Budget for Travel in Retirement?
Replies: 122
Views: 14608

Re: How Much Did You Budget for Travel in Retirement?

We keep 10k on hand for travel and replenish as needed. It hasn't been needed since March 2020.
by retire57
Fri Apr 30, 2021 5:54 pm
Forum: Personal Finance (Not Investing)
Topic: Home Sale Regret
Replies: 37
Views: 7168

Re: Home Sale Regret

I guess anyone who has lived long enough has at least one story like this. I know we do.

Forget it and move on. Enjoy your new house!
by retire57
Fri Apr 30, 2021 5:46 pm
Forum: Personal Finance (Not Investing)
Topic: 24 years old - car loan vs sell truck and invest cash
Replies: 7
Views: 686

Re: 24 years old - car loan vs sell truck and invest cash

To me, it's a no-brainer. Sell the Tacoma and keep and drive your perfectly good Tundra. Invest the proceeds.
by retire57
Tue Apr 27, 2021 11:34 am
Forum: Personal Finance (Not Investing)
Topic: Saving for a house by buying a smaller house?
Replies: 4
Views: 661

Re: Saving for a house by buying a smaller house?

Consider how much time, energy, and money go into maintaining a house and a yard. Also: furnishings, window coverings, floor coverings, appliances, lawn equipment ... the list of purchases is extensive.

If you value simplicity and free time, save your money until you can get the house you want.
by retire57
Mon Apr 26, 2021 5:01 pm
Forum: Personal Consumer Issues
Topic: YouTube TV may disappear from Roku devices shortly
Replies: 34
Views: 4812

Re: YouTube TV may disappear from Roku devices shortly

Time for new TVs. So long Roku!