Search found 5062 matches

by MikeG62
Tue Mar 26, 2024 12:22 pm
Forum: Personal Finance (Not Investing)
Topic: What are the Benefits and Perks of Fidelity Private Client Group?
Replies: 46
Views: 6457

Re: What are the Benefits and Perks of Fidelity Private Client Group?

Frequent trading may be one trigger, but it not the only trigger. I hardly trade (like once a year or less for equities), although I have bought a lot of Treasuries in the last few years. I have been getting free TT for as long as I can remember and have never been a frequent trader. If I had to guess, I would say frequent trading would get you the perk as well as level of assets in Fidelity accounts. Not sure that 401K accounts qualify, but I know from personal experience (my own and that of family members) that brokerage accounts qualify as well as IRA's. I think the trip wire is something in excess of $1.0 mil in those accounts. The exact amount is a mystery to me. jarjarM said he is mid 7 digits and he doesn't get free TT either. I use...
by MikeG62
Tue Mar 26, 2024 12:00 pm
Forum: Personal Finance (Not Investing)
Topic: What are the Benefits and Perks of Fidelity Private Client Group?
Replies: 46
Views: 6457

Re: What are the Benefits and Perks of Fidelity Private Client Group?

I do get free TT, but have read comments on this forum from other PCG clients who do not. Some seem to have an assigned rep and others do not. Some who have had an assigned PCG rep in the past no longer have one. The rules about who qualifies for what benefits seems shrouded in secrecy. Exactly. I've been PCG for a long time. I do not get free TT. I'm not a frequent trader. I got mad at Fidelity earlier this year since I saw a message from Fidelity that I qualified for the free turbotax on the website early in the morning. I thought, great, they are offering me free Premium TT, which is the one I use. Later that same day I logged into my account and the offer was GONE. I called. They offered no explanation, but they simply told me I did no...
by MikeG62
Tue Mar 26, 2024 8:02 am
Forum: Personal Investments
Topic: Fidelity Wealth Mgmt Advisor vs. Fidelity Target Fund
Replies: 17
Views: 1432

Re: Fidelity Wealth Mgmt Advisor vs. Fidelity Target Fund

BettyBon wrote: Mon Mar 25, 2024 7:03 pm Yikes. I paid the advisor fee for 10 months.
Expensive lesson but definitely cancelling advisor tomorrow.
Thank you!
Watch out for the tax implications of liquidating the investments in the managed account.

Places like Fidelity are good at making these managed accounts sticky for this reason.

Let us know how you make out.
by MikeG62
Mon Mar 25, 2024 8:02 am
Forum: Personal Investments
Topic: short term munis acceptable?
Replies: 20
Views: 1405

Re: short term munis acceptable?

Yes, my net worth is high and my income is high from taxable qualified dividends. If I buy regular bonds I’ll start climbing tax ladders. If I buy munis I can move $100k over from a traditional 401k to Roth and do it mostly at <22% tax rate. Given current yields and your marginal Federal rate, I doubt buying Muni's over say Treasuries will work out better for you on an after tax basis. Last time I looked at this, you'd need to be near the very top of the Federal income tax brackets for Muni's to make sense. FWIW, I own several dozen different individual muni's and have been a muni buyer since the early 2000's. However, I have not bought a muni bond in a few years because the after tax yield on the Treasuries I have been buying instead is g...
by MikeG62
Sun Mar 24, 2024 9:24 am
Forum: Personal Investments
Topic: short term munis acceptable?
Replies: 20
Views: 1405

Re: short term munis acceptable?

Yes, my net worth is high and my income is high from taxable qualified dividends. If I buy regular bonds I’ll start climbing tax ladders. If I buy munis I can move $100k over from a traditional 401k to Roth and do it mostly at <22% tax rate. Given current yields and your marginal Federal rate, I doubt buying Muni's over say Treasuries will work out better for you on an after tax basis. Last time I looked at this, you'd need to be near the very top of the Federal income tax brackets for Muni's to make sense. FWIW, I own several dozen different individual muni's and have been a muni buyer since the early 2000's. However, I have not bought a muni bond in a few years because the after tax yield on the Treasuries I have been buying instead is g...
by MikeG62
Sun Mar 24, 2024 9:07 am
Forum: Personal Finance (Not Investing)
Topic: What are the Benefits and Perks of Fidelity Private Client Group?
Replies: 46
Views: 6457

Re: What are the Benefits and Perks of Fidelity Private Client Group?

[Topic is now in Personal Finance (Not Investing) - mod mkc] What are the benefits and perks of being a member in Fidelity's Private Client Group? Does this give me a singular assigned representative, whom I can reach out to for questions and/or brokerage transfer bonuses? Does this give me free TurboTax? Other? I've been a Fidelity PCG client for a good two decades now. Biggest benefit to me is the PCG phone number. I feel I get a higher quality rep who can either answer my question on the spot (the vast majority of the time) or get me to someone who can. I do have a PC rep, but I hardly call him. He is a nice enough guy, but the call always moves to his suggesting some investing strategy that I don't feel I need (and believe is mostly ab...
by MikeG62
Wed Mar 20, 2024 10:36 am
Forum: Investing - Theory, News & General
Topic: Reset 4% withdrawal floor if portfolio increases in value?
Replies: 93
Views: 8046

Re: Reset 4% withdrawal floor if portfolio increases in value?

As mentioned upthread, there is Kitces’ ratcheting method and Guyton and Klinger’s Guardrails which do what the OP was asking.

Personally I follow a modified version of G&K’s withdrawal decision rules. In our 9th year of retirement.
by MikeG62
Tue Mar 19, 2024 9:28 am
Forum: Personal Investments
Topic: Fidelity 1099 error? Federal Farm Credit Bonds
Replies: 8
Views: 1083

Re: Fidelity 1099 error? Federal Farm Credit Bonds

I was able to adjust state taxable interest income on my Dad's return (AZ) within the state return in TT (this for AMD on Treasuries). There was a box to check to allow an adjustment for interest income. I then added a description for that amount.

You should be able to do the same for this interest.
by MikeG62
Tue Mar 19, 2024 9:08 am
Forum: Personal Finance (Not Investing)
Topic: Sending Copy of Driver License and SS Card by Email Question
Replies: 36
Views: 3746

Re: Sending Copy of Driver License and SS Card by Email Question

They should provide a secure platform for you to send or upload this information.

I would not send by standard e-mail.

Surely they have had other potential customers push back on this before.
by MikeG62
Tue Mar 19, 2024 8:58 am
Forum: Personal Finance (Not Investing)
Topic: Home insurance
Replies: 10
Views: 1236

Re: Home insurance

HereToLearn wrote: Mon Mar 18, 2024 8:51 pm I don't have any say in the matter. My carrier increases the value of my structure, contents, and outbuildings (and I don't have any!) every year at renewal.
Same for me.
by MikeG62
Tue Mar 19, 2024 8:50 am
Forum: Personal Finance (Not Investing)
Topic: How worthwhile is Zillow to estimate home value?
Replies: 58
Views: 5242

Re: How worthwhile is Zillow to estimate home value?

When we listed our home for sale this time last year, we used a realtor who suggested a listing price at the high end of any acceptable range (a price that was 15% higher than the highest sales price ever obtained for a home sale in our neighborhood). The Zestimate, prior to our listing, was considerably lower (by at least $100,000 as I recall) than our asking price. Within days of our home hitting the market, the Zestimate (as well as the estimates from our online sites) rose up to more or less match our asking price.

For this reason, I would assign little value to it.
by MikeG62
Mon Mar 18, 2024 1:27 pm
Forum: Investing - Theory, News & General
Topic: Taxation of Treasury bills, notes and bonds
Replies: 1078
Views: 157307

Re: Taxation of Treasury bills, notes and bonds

A data point about entering Accrued Market Discount for State tax filing. I'm using TurboTax 2023 Home&Business. I bought 2 Treasury bonds on secondary market and held to maturity. Fidelity 1099B reports the difference between purchase price & par as AMD. TT offers two ways to enter 1099B. The 'summary' approach won't work for AMD. So I entered the numbers for trades one by one. There is a button you could select to enter AMD to box 1F. Then TT will report capital gain = 0 on form 8949, and AMD as interest income on Schedule B. So no dummy 1099-INT needed. However, the State tax part doesn't treat this AMD as government obligations and charge me state tax (I'm a CA resident). When I played State Tax part, there is a radio 'Interest...
by MikeG62
Tue Mar 12, 2024 7:34 am
Forum: Personal Finance (Not Investing)
Topic: Transfer Car ownership to daughter or not?
Replies: 41
Views: 5177

Re: Transfer Car ownership to daughter or not?

I suggest asking your insurance agent if that arrangement is acceptable. I did this, transferred the title, daughter still lives at home, my insurance company said every licensed driver that lives in my household must be on my policy. So not really sure if I have any liability protection just with the title change. The insurance company agent did say many people ask for this for liability risk reduction, they can't do it. The insurance company told me that in New Jersey, at least liability follows the title of the car. Insurance has coverage for each individual regardless, if they are all on one policy. I guess a lawyer practicing in New Jersey would know the absolute answer to this but I was pretty much assured that my daughter driving a ...
by MikeG62
Sat Mar 09, 2024 8:49 am
Forum: Personal Investments
Topic: Tax Managed accounts
Replies: 21
Views: 1577

Re: Tax Managed accounts

Alongago wrote: Fri Mar 08, 2024 4:36 pm hello
I have 185k to invest but it’s not earned income it’s inherited. I am 39.
I’ve been offered two tax managed account options but the fees are 1% which seems really high. One option is Natixis SP 500 and the other is a brokerage account. Is tax managed super important? Would it be a huge mistake to put it in a Fidelity target end date fund?
Any advice would be great. Id ask my dad but he’s passed so I can’t, it’s his money.
Thanks
Pass on the TMA. Search here under SMA's and you will find lot's of discussions about this topic.
by MikeG62
Sat Mar 09, 2024 8:46 am
Forum: Personal Finance (Not Investing)
Topic: Transfer Car ownership to daughter or not?
Replies: 41
Views: 5177

Re: Transfer Car ownership to daughter or not?

If the car is intended to be a gift to your adult child, then I would complete the transfer. I understand young folks these days may need economic assistance from their parents after graduation but owning a 6-7 year old car and paying the tax and insurance is a great way to start to adult. Under very, very few circumstances would I carry an adult college graduate on my own auto insurance. Old thread, I know, but I did transfer ownership of the cars to my college senior daughter, but our insurance policy has me as primary and she and rest of family as other insured. My understanding is that liability follows car ownership, not the insurance policy.... I suggest asking your insurance agent if that arrangement is acceptable. I did this, trans...
by MikeG62
Fri Mar 08, 2024 7:57 am
Forum: Personal Finance (Not Investing)
Topic: Online savings account options
Replies: 11
Views: 989

Re: Online savings account options

So I wanted to take my long term savings out of my crappy big bank and put it in a higher interest online savings account. Somebody on this forum recommended Vanguard, as I already have some money invested with them and according to the poster they were offering 5.28% interest, which is higher than I've seen anywhere else. I haven't been able to find that rate on their website, though...I'm looking at the Vanguard Cash Plus account which is offering 4.7% but that's all I see for savings accounts, is there another one I'm not finding? I also just logged on to Wealthfront where I have my Roth IRA and they're offering 5% APY for their savings account...if Vanguard's 5.28% turns out to have been a mirage is that likely the best I'm likely to d...
by MikeG62
Tue Mar 05, 2024 6:34 am
Forum: Personal Investments
Topic: Merrill Edge Taxable Accounts
Replies: 30
Views: 4675

Re: Merrill Edge Taxable Accounts

I must be doing something wrong when I look at TTTXX. It says initial minimum is 3M! If you purchase directly through Merrill, the minimum initial investment is only $1.00 https://olui2.fs.ml.com/publish/content/application/pdf/gwmol/iccratesheet.pdf The minimum initial investment is $1,000, but subsequent investments are only $1. I have held TTTXX at Merrill Edge since 2022, when money market rates became attractive again. I have an IRA art ME (to meet the minimum for the Platinum Honors status at BofA). I am trying to put some excess cash in that account (about $1,600) somewhere/anywhere to earn more interest than the current MMF (which appears to pay around 0.01%). I have tried TTTXX (and several of the Fidelity funds listed in threads ...
by MikeG62
Sat Feb 24, 2024 9:13 am
Forum: Personal Investments
Topic: Buying CDs - Really this easy?
Replies: 23
Views: 3553

Re: Buying CDs - Really this easy?

mkc wrote: Sat Feb 24, 2024 8:36 am
jebmke wrote: Sat Feb 24, 2024 7:36 am I would certainly want to make sure they aren't callable. Personally, I've also stayed away from obscure small banks that nobody has ever heard of.
Excellent point on checking whether they are callable (and also survivor option). A check of Fidelity's CD ladder page, which will use only non-callable, today shows lower numbers, particularly for the longer duration CDs:

3 Mo - 5.3%
6 Mo - 5.2%
9 Mo - 5.2%
12 Mo - 5.1%
18 Mo - 5.0%
24 Mo - 4.8%
You'll do as well or better buying Treasuries of a similar duration and not be locked in for the full term should something happen which requires you to sell a position before maturity. Plus, you'll get the state income tax benefit (if you live in a state with an income-based tax).
by MikeG62
Sat Feb 24, 2024 9:01 am
Forum: Personal Finance (Not Investing)
Topic: 1099 dividend forms
Replies: 11
Views: 1203

Re: 1099 dividend forms

The following document is a Preliminary 1099 Tax Reporting Statement. Our records indicate that your tax information is not yet final. All pages of this document are for your information only and may assist you with your tax preparation. This document is only available online and a paper copy will not be mailed to you. This preliminary information will not be furnished to the Internal Revenue Service and is not available for download into tax preparation software. You can expect to receive an official consolidated 1099 Tax Reporting Statement as soon as your information is finalized. Your account is pending finalized tax reporting information for the following securities: SPY My tax documents screen lists the tax forms for our main brokera...
by MikeG62
Sat Feb 24, 2024 8:52 am
Forum: Personal Finance (Not Investing)
Topic: 1099 dividend forms
Replies: 11
Views: 1203

Re: 1099 dividend forms

The following document is a Preliminary 1099 Tax Reporting Statement. Our records indicate that your tax information is not yet final. All pages of this document are for your information only and may assist you with your tax preparation. This document is only available online and a paper copy will not be mailed to you. This preliminary information will not be furnished to the Internal Revenue Service and is not available for download into tax preparation software. You can expect to receive an official consolidated 1099 Tax Reporting Statement as soon as your information is finalized. Your account is pending finalized tax reporting information for the following securities: SPY My tax documents screen lists the tax forms for our main brokera...
by MikeG62
Fri Feb 23, 2024 4:57 pm
Forum: Personal Finance (Not Investing)
Topic: Concerns about using K. Hovnanian builder's mortgage and Identity theft
Replies: 16
Views: 1516

Re: Concerns about using K. Hovnanian builder's mortgage and Identity theft

My assumption is that you would be depositing the documents directly with the mortgage company. That is the only sane and rational choice give regulations around storing that type of personal documents. As such I can't see any higher risk in using the affiliate company than any other company. +1 We took out a small mortgage with Toll Brother's on a build that was completed in late 2023. Our incentive was only $10,000, but still worth doing. All requested information was uploaded by me into a secure site of the mortgage arm of TB. I don't see how this would be much different from using any mortgage company. We took out the smallest mortgage that predatory lending laws in the state of NJ would allow. We repaid the mortgage in full one day af...
by MikeG62
Fri Feb 23, 2024 8:01 am
Forum: Personal Finance (Not Investing)
Topic: Concerns about using K. Hovnanian builder's mortgage and Identity theft
Replies: 16
Views: 1516

Re: Concerns about using K. Hovnanian builder's mortgage and Identity theft

My assumption is that you would be depositing the documents directly with the mortgage company. That is the only sane and rational choice give regulations around storing that type of personal documents. As such I can't see any higher risk in using the affiliate company than any other company. +1 We took out a small mortgage with Toll Brother's on a build that was completed in late 2023. Our incentive was only $10,000, but still worth doing. All requested information was uploaded by me into a secure site of the mortgage arm of TB. I don't see how this would be much different from using any mortgage company. We took out the smallest mortgage that predatory lending laws in the state of NJ would allow. We repaid the mortgage in full one day af...
by MikeG62
Fri Feb 23, 2024 5:55 am
Forum: Personal Investments
Topic: Thoughts on Fidelity Separately Managed Accounts?
Replies: 16
Views: 1597

Re: Thoughts on Fidelity Separately Managed Accounts?

My Fidelity advisor (whom I really like and have come to trust) recently pitched me on letting Fidelity actively manage some of my brokerage investments (starting with $100K) in a Fidelity Separately Managed Account (SMA). Fidelity pitched two advantages over my usual low-cost index fund (VTI) approach. First, Fidelity thinks they can slightly outperform the index funds by making some active decisions about when to buy/sell value vs. growth stocks (I'm skeptical here). And second, the account provides additional tax-loss harvesting opportunities, which I'll admit I don't fully understand. The annual fee is 0.2-0.4%. What do you think? Have commented on this many times on this forum. Here is one of those places... https://www.bogleheads.org...
by MikeG62
Thu Feb 22, 2024 8:51 am
Forum: Personal Investments
Topic: Brokered CDs vs Treasuries and Flexibility
Replies: 12
Views: 1487

Re: Brokered CDs vs Treasuries and Flexibility

I would consider a MMF and/or short-term T-bills - possibly a mix of both depending on the amount of cash you are taking about.

Treasuries could include those of varying durations (ranging from a month to a year or thereabouts with anything in between).

I was in a similar position in 2023 (we sold our home and purchased a new home with a gap of about 5 months in between). I kept most of the money in Treasuries with a smaller allocation to one of Fidelity's premium MMF's.
by MikeG62
Wed Feb 21, 2024 12:06 pm
Forum: Personal Investments
Topic: Bond funds vs. Money Markets
Replies: 10
Views: 1733

Re: Bond funds vs. Money Markets

Money market funds and bond funds are different things. MMF could fill the space for some of the very short end of your fixed income allocation.

Problem with MMF is if and when the Fed drops rates the yield on your MMF will fall along with that. OTOH, the bond fund NAV would likely increase reflecting the fact that the bonds in the fund have attractive yields compare to current market rates.

It’s really about the duration you want in your fixed income portfolio. Duration should match expect need for the cash.
by MikeG62
Wed Feb 21, 2024 8:35 am
Forum: Investing - Theory, News & General
Topic: Agency Bonds, any reason to avoid?
Replies: 16
Views: 1324

Re: Agency Bonds, any reason to avoid?

I noticed a couple threads discussing Agency bonds and the fact they are frequently called but if someone doesn't care if they are called (perhaps even prefers it :oops: ) is there any reason to avoid Agency bonds? I own lots of Treasuries (of varying durations) and also a handful of Agency notes. Most of the Agency Notes I purchased are callable, but were not callable for at least a year from the time I purchased them. All Agency notes I own are state income tax exempt and were purchased at times when the yield on those Agency notes was considerably higher than comparable term Treasuries. Over the last several months at least (maybe longer) I see little incremental yield over comparable term Treasuries for Agency paper. So, not very attra...
by MikeG62
Tue Feb 20, 2024 5:08 pm
Forum: Personal Finance (Not Investing)
Topic: Safety of ACH for recurring payments
Replies: 16
Views: 1708

Re: Safety of ACH for recurring payments

I pay for gym membership from s-corp using a business credit card. It is autopay on the 1st of the month. Now gym wants to start charging 3% credit card fee. This fee can be avoided by setting up an ACH auto pay. I am reluctant to give gym my business checking account number as there are significant sums in there for operational expenses. While the gym is very nice, they have been known to make miscellaneous unapproved charges which had to be argued with and later refunded. Is there an easy way to set up an ACH proxy or some other method that would allow me to keep my main bank info private and also restrict how much can be debited? I guess I could create a new checking account and transfer enough money to pay for gym. But that sounds like...
by MikeG62
Tue Feb 20, 2024 7:58 am
Forum: Investing - Theory, News & General
Topic: Taxation of Treasury bills, notes and bonds
Replies: 1078
Views: 157307

Re: Taxation of Treasury bills, notes and bonds

...So newbies may buy T-notes/bonds at auction, then 2 or more years later be confused about why their brokerage is showing a capital gain (with no 1099-B Box 1f adjustment) for the matured treasury. I "believe" this issue of Treasury interest income showing up as a capital gain on the 1099-B applies only to maturing Treasuries that were purchased in the secondary market. Maturing Treasuries that were bought at auction show up in the 1099-Int (at least in my experience that has been the case). You seem to be describing the behavior of T-Bills. T-notes/bonds behave differently. T-note/bond *coupon* payments show up on 1099-INT, but their various sorts of discount are reported on 1099-B. In the case of T-bills/notes bought at aucti...
by MikeG62
Tue Feb 20, 2024 7:23 am
Forum: Investing - Theory, News & General
Topic: Taxation of Treasury bills, notes and bonds
Replies: 1078
Views: 157307

Re: Taxation of Treasury bills, notes and bonds

cas wrote: Tue Feb 20, 2024 7:13 am

...So newbies may buy T-notes/bonds at auction, then 2 or more years later be confused about why their brokerage is showing a capital gain (with no 1099-B Box 1f adjustment) for the matured treasury.
I "believe" this issue of Treasury interest income showing up as a capital gain on the 1099-B applies only to maturing Treasuries that were purchased in the secondary market. Maturing Treasuries that were bought at auction show up in the 1099-Int (at least in my experience that has been the case).

I've yet to tackle this in TT, but plan to over the coming weeks.
by MikeG62
Sat Feb 17, 2024 7:35 am
Forum: Personal Finance (Not Investing)
Topic: Any benefit of keeping BOA saving account
Replies: 17
Views: 1426

Re: Any benefit of keeping BOA saving account

Agree with the others who say to close the account. I have been a BofA customer for over 25 years and have our checking account with them. Closed the savings account probably 15 years ago. I can sweep funds in same day (either via wire or ACH) from Fidelity. So, I think there is zero risk of having the checking account get overdrawn. Have alerts set up for my checking account anytime the balance falls below $X amount. I get those in the morning while transactions are processing and have plenty of time to move funds in from Fidelity to cover all activity for the day in the checking account. For full disclosure, I am a BofA Platinum Honors client, so all wire transfer fees are waived for me. ACH would be free even if not a Platinum Honors cli...
by MikeG62
Sat Feb 17, 2024 7:27 am
Forum: Personal Finance (Not Investing)
Topic: [Tbill bought in Etrade - state tax exemption question]
Replies: 5
Views: 448

Re: Treasury brought in etrade

Is it a 6 month T-bill or a T-bond that you bought on a secondary market? Etrade has issues, see https://www.bogleheads.org/forum/viewtopic.php?t=423748 Sorry my question is not regarding the tax form. I m asking how it should be treated for taxes -as a short term sales or as interest not subjected to state taxes. The treasury was zero coupon sold under face value I want to understand if I lose the tax advantage by buying treasury in secondary market I believe e-trade reported this correctly (Fidelity has done the same thing for me). Transactions show up on the page of my 1099 under "1099-B". So, neither in the 1099-Div or 1099-Int sections. To get this treated correctly on your return, you will report this gain on form 8949 and ...
by MikeG62
Thu Feb 08, 2024 9:34 am
Forum: Personal Investments
Topic: Reporting capital gain on sale of home
Replies: 11
Views: 1714

Re: Reporting capital gain on sale of home

MarkNYC wrote: Thu Feb 08, 2024 9:04 am Per my comments above, you must report the sale on your tax return.
Thanks Marc.

I worked through the screens on Turbotax and input the relevant amounts and answered the questions. TT did include the sale on schedule D and also form 8949. No tax was due (which is the right answer). I think I'm good to go.

Thanks again for the quick reply.
by MikeG62
Thu Feb 08, 2024 8:22 am
Forum: Personal Investments
Topic: Reporting capital gain on sale of home
Replies: 11
Views: 1714

Re: Reporting capital gain on sale of home

My wife and I sold our primary residence in 2019. We have a capital gain of about $30,000. From what I've read, we don't need to report the sale on our tax returns because we have no taxable gain. I don't believe we received a 1099-S, and I'm not even sure who issues it or when it is issued. If I do report the gain on our taxes, that would put us over the limit to contribute to our Roth IRAs. I've read the IRS publication and it appears that we don't need to report the excluded gain on our taxes. Has anyone had a similar experience or situation? Hopefully the smart people on this forum can provide some guidance. My main question is: Do we need to report the excluded capital gain on the sale of our main residence on our tax return? Thank yo...
by MikeG62
Sat Jan 27, 2024 10:30 am
Forum: Personal Finance (Not Investing)
Topic: Retiring early: Health Insurance
Replies: 97
Views: 11343

Re: Retiring early: Health Insurance

I've read this thread https://www.bogleheads.org/forum/viewtopic.php?t=422486 and there are some people who have retired very early. I'm currently 53 and can draw my pension in two years. Without going into a lot of financial detail, it's not money that will keep me in the workforce, it's health insurance. For those of you who have retired in your 50's, how much is your medical insurance costing you per month; where and how did you purchase health insurance for you and your spouse? Please provide me with any other insight, advice or mistakes you may have made purchasing insurance to cover you and your spouse until Medicare comes into play at age 65. We purchase our insurance in the marketplace and have for the last 8 years. Current cost fo...
by MikeG62
Thu Jan 25, 2024 9:19 am
Forum: Personal Investments
Topic: 60/40 vs. 67/33 plus bond allocation question
Replies: 46
Views: 5058

Re: 60/40 vs. 67/33 plus bond allocation question

Thank you, rule of law guy. Plan is to use IVV over SPY as ER is lower for essentially the same product, and her CPA has recommended using a NY Municipal Bond Fund for the bond side to minimize taxable interest . To reduce interest rate risk, going with iShares NYF over Vanguard's option, which has a longer average duration, with only 8 Bps difference in ER between the two. Using a NY state only muni fund concentrates credit risk to a single state. CPA’s focus too much on tax minimization at the expense of other important considerations. 20-25 years ago I only bought NJ muni bonds (individual muni bonds and not a MF) but 10-15 years ago diversified to other state muni bonds. Yes not as tax efficient, but manages credit risk. Still hold a b...
by MikeG62
Thu Jan 25, 2024 9:04 am
Forum: Personal Investments
Topic: moving $400k from Fed. MMKT
Replies: 9
Views: 955

Re: moving $400k from Fed. MMKT

I am retired 67 years old and my wife plans on a couple more years work, 66 years old. Unfortunately most of our investments are taxable . Events led me to having about $400k in a mmkt. I am looking to invest this , maybe 3-5 years , and would like some ideas from you all. thanks for your time I don’t find that unfortunate. I think it’s a good thing as that money has already been taxed. Most (~75%) of our financial (invested) assets are in taxable as well. Been retired 8 years now and never had to take a withdrawal from our tax advantaged accounts. As to your question, what do you mean by 3-5 years? That’s how long you want the funds tied up or you want to take 3-5 years to get it invested. If the former (which I suspect is the case) why o...
by MikeG62
Thu Jan 25, 2024 8:51 am
Forum: Personal Finance (Not Investing)
Topic: New Fidelity Private Client Policy?
Replies: 44
Views: 6650

Re: New Fidelity Private Client Policy?

Even though I hardly ever speak to my assigned PC rep (it’s been a few years now at least) his name continues to show up on my account statements (this through 12/31/23).

So, maybe no clear rule within Fidelity as who has one assigned and who does not?

I’ve never signed up for any investment he has ever pitched to me either. So, it is not like he is making money off me. I’m really a giant waste of his time.
by MikeG62
Wed Jan 24, 2024 7:15 am
Forum: Personal Finance (Not Investing)
Topic: Banking questions: is your savings at the same bank, and moving assets to avoid fees?
Replies: 14
Views: 1240

Re: Banking questions: is your savings at the same bank, and moving assets to avoid fees?

All excess cash sits in Fidelity premium MMF (current yield >5.3%). I can ACH the funds to our checking account (at BofA) same day if done by early afternoon (usually I initiate early morning). I can also wire the funds same day (no wires fees at BofA due to Platinum Honors status).

Our checking account rarely has more than $1,000 in it.

We don’t use a savings account at BofA due to low yields there.
by MikeG62
Mon Jan 22, 2024 6:36 am
Forum: Personal Finance (Not Investing)
Topic: How to get the best rate and closing costs on a mortgage?
Replies: 15
Views: 1374

Re: How to get the best rate and closing costs on a mortgage?

I did ask for a breakdown of the 24k closing costs, hopefully they send that soon. Over the phone, they said some of that 24k is pre-payment of HOA, property tax, and home insurance, which I don't really view as a transactional cost because I'd save on future payments of HOA, property tax, and home insurance. Will see how much of the 24k is "true transaction cost" That seems really, really high if annual property tax is $12,000 (you’d typically only pay a portion of that at closing). The biggest single cost item is probably title search and insurance. We just closed on a house in NJ and that alone ran $5,000. It would also include HO insurance, your attorney costs, maybe a property survey - but those won’t get close to the figure...
by MikeG62
Wed Nov 15, 2023 5:13 am
Forum: Personal Finance (Not Investing)
Topic: Help Annette Keep Working and Not Retire
Replies: 648
Views: 63014

Re: Help Annette Keep Working and Not Retire

AnnetteLouisan wrote: Sun Aug 20, 2023 6:55 pm ...If I keep working I can have a high standard of living and extra to spend on health, and if I retire I’ll have to pinch pennies for 40 years, if I’m lucky enough to live so long...
This is the relevant section of your question. If retiring now means pinching pennies for 40 years (or however long you live) that would tell me everything I need to know. Continue working.
by MikeG62
Wed Nov 15, 2023 5:07 am
Forum: Personal Finance (Not Investing)
Topic: Do you have an annual budget?
Replies: 99
Views: 11275

Re: Do you have an annual budget?

My wife and I want to have one but am looking for realistic advice on how to make it work. Has anyone successfully kept one? If so, how? Posted this back in Dec of 2022. Hope it helps. I use a WD rate to set our budget for the year. That rate is in theory the prior years budget + an inflation factor. However, I have skipped adding in the inflation factor in most years since we have pretty much always underspent our budget. Seems silly to index the prior year budget level spend for inflation when we can spend up to the prior year budget in the current year and that would represent a YOY increase (and would allow us to at least maintain our standard of living). We, of course, spend what we spend and I track the spend against that budget (whi...
by MikeG62
Sun Nov 12, 2023 9:23 am
Forum: Personal Investments
Topic: Moving Out on an Inverted Yield Curve
Replies: 14
Views: 1879

Re: Moving Out on an Inverted Yield Curve

I have been gradually moving my nominal bond holdings to longer maturities - not super long but up to 5 years. Although I know intellectually why I am doing this, it pains me to take on more (interest-rate and inflation) risk while receiving less yield in return. Is anyone else struggling with this? Would be interested in your thoughts. Incidentally, this is not money that was in bond funds and sold. I had remained mostly short duration (in taxable) all of those years that interest rates were near historic lows. I don't view this as market timing - it just didn't make sense to me at the time to take a significant risk for little reward. The situation now is a bit different but there are still some assumptions one needs to make to determine...
by MikeG62
Sat Nov 11, 2023 3:54 pm
Forum: Personal Finance (Not Investing)
Topic: Someone else is associated with my phone number: What to do?
Replies: 7
Views: 1390

Re: Someone else is associated with my phone number: What to do?

I would call or visit him and let him know. He might be thankful you let him know as it could be an honest mistake.

If not an honest mistake, it would be good to find that out asap so you can take appropriate action.
by MikeG62
Sat Oct 28, 2023 7:47 am
Forum: Personal Finance (Not Investing)
Topic: severance package negotiating
Replies: 46
Views: 6753

Re: severance package negotiating

Sounds like you had a senior role (GM), so I would think the new owner has some plans for you - either they are keen to retain you because they know you bring a lot to the table or they have you in their crosshairs for termination and cost savings. This is well-articulated and is really the crux of the matter. The new owner is unlikely to want you for the long term. Most new owners want to get their hands dirty, bring in their own people, do things "differently" to "streamline" and "improve efficiency." A much smaller percentage buys and then leaves everything alone, but even so, your new owner has no idea what you've done over the years and you're just another cost to him. And I hate to say it, but I am sure ...
by MikeG62
Sat Oct 28, 2023 7:11 am
Forum: Personal Finance (Not Investing)
Topic: severance package negotiating
Replies: 46
Views: 6753

Re: severance package negotiating

To elaborate on my circumstance, I worked at my previous company for 33 years through Sept. Oct 1st was the start of new company takeover (approx 500 employees for size reference). The previous company owner had me on a very generous salary/bonus structure where my bonus, based on performance in my general manager role paid as much as 3X my salary annually. He also has historically rewarded long-tenured managers well when retiring (1 years salary). The new owner in my eyes has no reason to care about all those years of dedication I gave in the past so will likely not see it the same as original owner. I would be retiring for all intents and purposes in their eyes. Maybe my question is mistated. I'm looking for thoughts on how best to discu...
by MikeG62
Tue Oct 24, 2023 8:01 am
Forum: Personal Investments
Topic: Purchasing 10yr treasury notes in the secondary market
Replies: 9
Views: 1976

Re: Purchasing 10yr treasury notes in the secondary market

There's a new issue 10 year auction on November 8th, if you don't mind waiting. You may get a higher yield than the secondary market. I tend to believe you may get a higher yield on the day the auction completes than a secondary market purchase on that same day. However, buying a day or more before/after in the secondary market may yield more than a new issue auction. Depends on the ebb and flow of rates. Typically you don't get the best prices on the secondary market unless you are buying large quantities of bonds, $100,000 or more. Click on "depth of book" when you are looking at bonds to see prices/yields for smaller orders. This is true, but typically the yield premium for the larger lot's is truly minimal (like 1bp or less)....
by MikeG62
Tue Oct 24, 2023 7:53 am
Forum: Personal Investments
Topic: Structured Notes
Replies: 13
Views: 1712

Re: Structured Notes

My Fidelity Advisor has introduced me to a third party affiliate that sells Structured Notes. For a significant investment they offer 9- 11 % interest (after .75 management fee) .The notes are issued by “too big to fail” banks and offer a guaranteed return of principal ( not including interest). I’m certain that there’s some people in the Boglehead community who are familiar with these types of investments, and am curious as to how they feel about them. How would you rate the degree of risk in this type of holding? The minimum is pretty high (500k) and I wonder if I could purchase in lower amounts from other companies. Thanks I've invested in them before and wrote about my experience in this thread: https://www.bogleheads.org/forum/viewtop...
by MikeG62
Mon Oct 23, 2023 8:47 am
Forum: Personal Investments
Topic: A Good Time to Buy Treasury Bonds
Replies: 14
Views: 4618

Re: A Good Time to Buy Treasury Bonds

Are you asking if folks think now is a good time to purchase Treasury "Notes" (Treasury "Bond" have maturities > 10 years)?

I think it is, but I thought it was a good time at various points last year and earlier this year. I would have been better off waiting. But my crystal ball is not that clear. I am not all that disappointed as I will get exactly the yield I signed up for when I bought them as long as I hold them till maturity - which I fully intend to.

I would be happy locking in 5% in 5-10 year Treasuries (and even more on those with maturities at 1-3 years).
by MikeG62
Mon Oct 23, 2023 8:37 am
Forum: Personal Investments
Topic: Purchasing 10yr treasury notes in the secondary market
Replies: 9
Views: 1976

Re: Purchasing 10yr treasury notes in the secondary market

Hi guys I am trying to purchase individual treasury bonds in the secondary market at the Vanguard site and I need little guidance as it is my first time purchase. My experience with bond investment is limited to BND or intermediate TIPS funds in my 401k savings. I am looking at the list of 10yrs treasury bonds and not able to decide which one to pick. They all seem to have similar Yield. The difference seems to be the 'Coupon rate'. Should I pick the one with low coupon rate or high? Any other factors that I should know for making wise choice. The money is coming from the maturing CDs in my taxable account. My goal is to purchase them and hold it till maturity. Thanks Assuming you don't need the coupon payments, I'd lean toward the ones wi...