Search found 131 matches

by cresive
Tue Apr 03, 2018 9:35 am
Forum: Investing - Help with Personal Investments
Topic: Is it time to retire
Replies: 23
Views: 3598

Re: Is it time to retire

I am eligible for SSA Survivor benefits as a widower which I can start now at 71.5 % of the total amount. Per SSA that will be $21K per year. I will wait until I turn 70 to claim mine, which should be in the $40K range by then. I would double check this strategy. I believe that congress passed new r...
by cresive
Fri Mar 23, 2018 7:27 am
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

Thanks everyone for commenting on my post. I do feel a bit clearer on the value of bond funds, but not quite where I want to be. I will do some more research and see if I can find the answer to my original question. However, your responses have helped clarify my question quite a bit.

Ben
by cresive
Fri Mar 23, 2018 6:58 am
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

The list of annual returns for the S&P 500 shows a considerable number of down years, sometimes by a lot! The list of annual returns for Vanguard Total Bond Market going back a long way shows just a few down years, and then by only a little. This shows that TBM in the past was able to handle differ...
by cresive
Fri Mar 23, 2018 6:56 am
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

The list of annual returns for the S&P 500 shows a considerable number of down years, sometimes by a lot! The list of annual returns for Vanguard Total Bond Market going back a long way shows just a few down years, and then by only a little. This shows that TBM in the past was able to handle differ...
by cresive
Fri Mar 23, 2018 6:54 am
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

Therein lies one of my arguments. Why have any money in bond funds? I can see the utility of a bond ladder--you can balance any inflation/rising interest rates risk with guarantee of principal return. My fear is, you don't get the same guarantee with bond funds. Since their return is so low, why in...
by cresive
Sat Mar 17, 2018 9:49 am
Forum: Investing - Help with Personal Investments
Topic: Help with savings
Replies: 9
Views: 1063

Re: Help with savings

Hello. I have two questions and hope you can help. I have about 4,000 dollars in my savings account and it seems like a lot of money just sitting there. I've been reading a lot about online banking since it pays more interest than a traditional savings account. There is Synchrony and I Go Banking. ...
by cresive
Sat Mar 17, 2018 9:33 am
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

If you look at the long term, market volatility is not what you should worry about, it is inflation. At least in theory and based on the past, you really need equities to beat inflation as bonds have barely kept up with it. Therein lies one of my arguments. Why have any money in bond funds? I can s...
by cresive
Sat Mar 17, 2018 9:31 am
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

I have also researched and found that bond fund correlation with equities increases in a severely down market. Not sure where you read this, but I'm pretty sure it's wrong. It might be referring to certain types of higher-risk bonds that behave more equity like, but the safe bonds we typically reco...
by cresive
Sat Mar 17, 2018 9:26 am
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

Hello all! I apologize in advance, as I am sure this has been covered, but I am trying to wrap my head around bond funds. Most of my retirement savings are locked up in 401/403b funds. In these accounts, I do not have access to bonds. Instead, I HAVE to used bond funds. I keep hearing that bond fun...
by cresive
Sat Mar 17, 2018 9:23 am
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

The Wiki for this forum contains several excellent articles about bonds and there are also good books such as the one by Swedroe. https://www.bogleheads.org/w/index.php?search=bonds&title=Special%3ASearch&fulltext=1 You will be way ahead spending some time learning what you should know by reading c...
by cresive
Fri Mar 16, 2018 10:06 am
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Wrapping my head around bond funds

Hello all! I apologize in advance, as I am sure this has been covered, but I am trying to wrap my head around bond funds. Most of my retirement savings are locked up in 401/403b funds. In these accounts, I do not have access to bonds. Instead, I HAVE to used bond funds. I keep hearing that bond fund...
by cresive
Fri Jan 26, 2018 6:07 pm
Forum: Investing - Theory, News & General
Topic: Value of Annuity in Early Retirement
Replies: 6
Views: 696

Re: Value of Annuity in Early Retirement

Many good points. I do need to research COLA'd annuities, or at least cover inflation with additional assets. Other posters were not so tough on the comparison, and I appreciate everyone's input. I think I need to clarify that I when I stated early retirement, I meant early years in a standard retir...
by cresive
Fri Jan 26, 2018 12:36 pm
Forum: Investing - Theory, News & General
Topic: Asset Allocation in Early Retirement--a different Perspective
Replies: 18
Views: 2895

Re: Asset Allocation in Early Retirement--a different Perspective

Cresive....It was my thread that livesoft was responding to. Livesoft has given me much to think about (as have others). A couple of points. In your example, I think you might be just a bit off. Livesoft posited a 10% decline in bonds and a 50% decline in stocks. Using your example, 500K * 90% = 45...
by cresive
Fri Jan 26, 2018 12:20 pm
Forum: Investing - Theory, News & General
Topic: Value of Annuity in Early Retirement
Replies: 6
Views: 696

Value of Annuity in Early Retirement

I know that this has been covered before, and before you point me to an old thread, I have a specific situation that I wish to apply whether or not to purchase an annuity. I am presenting this scenario based upon some numbers I drew up from another post suggesting a maximum stock allocation for some...
by cresive
Fri Jan 26, 2018 12:04 pm
Forum: Investing - Help with Personal Investments
Topic: ROTH Ira for kids
Replies: 41
Views: 3792

Re: ROTH Ira for kids

I am not a lawyer, but it is my understanding that you have to have documented income to qualify for a Roth. You can also only deposit up to your income level. If your child only makes $1000 doing lawns, then your limit is $1000 to donate into your Roth.
by cresive
Fri Jan 26, 2018 9:37 am
Forum: Investing - Theory, News & General
Topic: Asset Allocation in Early Retirement--a different Perspective
Replies: 18
Views: 2895

Re: Asset Allocation in Early Retirement--a different Perspective

I have often seen “be prepared for a 50% drop in equities at any time” discussed within these forums but this is the first time I see the 10% figure used for a potential bond crash. Where is the 10% coming from and what sort of bonds are we talking about, may I ask? I don't know where the 10% figur...
by cresive
Thu Jan 25, 2018 12:48 pm
Forum: Investing - Theory, News & General
Topic: Asset Allocation in Early Retirement--a different Perspective
Replies: 18
Views: 2895

Asset Allocation in Early Retirement--a different Perspective

I was reading a series of posts about bucket theory, etc. on asset allocation in early retirement. Someone posted a concept that caught my eye. Unfortunately, I have lost the original posters comments. Therefore, I will paraphrase his statement and hope he will forgive my not making appropriate cita...
by cresive
Thu Jan 25, 2018 12:42 pm
Forum: Investing - Theory, News & General
Topic: Question to Taylor and others regarding bucket approach in retirement
Replies: 54
Views: 3734

Re: Question to Taylor and others regarding bucket approach in retirement

I have lost sight of the post that brought the question of asset allocation versus loss capacity. Paraphrasing the original poster describing a bad market; if Bonds go down < 10% and Stocks go down < 50% then you keep the money you can't afford to lose within the remaining 90% bond and 50% of stocks...
by cresive
Sun Jan 21, 2018 12:22 pm
Forum: Investing - Help with Personal Investments
Topic: Saturday Morning Panic and I-bonds
Replies: 8
Views: 1665

Re: Saturday Morning Panic and I-bonds

Thanks everyone for your comments. As a couple of you have said, I am getting too much into the weeds, so I did some simple arithmetic and decided to quit the I-bonds and up my Roth.

Thanks again,
cresive
by cresive
Sat Jan 20, 2018 10:08 am
Forum: Investing - Help with Personal Investments
Topic: Saturday Morning Panic and I-bonds
Replies: 8
Views: 1665

Saturday Morning Panic and I-bonds

Synopsis: Age 56—Want to retire about age 62. My intention is to find an encore job to cover essential spending until FRA where I will use my SSA benefits to cover them. I almost have sufficient funds in my tax-sheltered accounts to cover retirement. At age 62, should have sufficient funds, + actual...
by cresive
Fri Dec 08, 2017 9:50 am
Forum: Personal Finance (Not Investing)
Topic: Question about IRMAA and first couple years of retirement
Replies: 17
Views: 1913

Re: Question about IRMAA and first couple years of retirement

Re: Went through this personally. The Monday after I left my job, DW and I marched down to the SS office and filed the paperwork. You need the termination letter from your employer. Keep the termination letter, because they’ll keep trying to add the IRMAA every year until you file taxes with the lo...
by cresive
Tue Dec 05, 2017 11:29 am
Forum: Personal Finance (Not Investing)
Topic: Trust or Will
Replies: 14
Views: 1895

Re: Trust or Will

Hello! I am in mid 30's, have a few real estate properties, investments and other savings. I recently met with an Attorney to discuss Will/Trust options and he recommends a Trust (Estate) over a Will. An Estate requires me to add one of my properties to it. We currently only have 1 child (not sure ...
by cresive
Tue Dec 05, 2017 11:21 am
Forum: Personal Finance (Not Investing)
Topic: Question about IRMAA and first couple years of retirement
Replies: 17
Views: 1913

Re: Question about IRMAA and first couple years of retirement

I figured there must be some way around the issue. Thanks!!
by cresive
Tue Dec 05, 2017 11:01 am
Forum: Personal Finance (Not Investing)
Topic: Question about IRMAA and first couple years of retirement
Replies: 17
Views: 1913

Question about IRMAA and first couple years of retirement

Hello all, I have a fundamental question about the Income-Related Monthly Adjusted Amount calculation and retirement. From what I have read, IRMAA is calculated using a two-year old tax return--i.e. my 2017 IRMAA would be calculated using my 2015 tax return. I had always thought it was a three year ...
by cresive
Mon Nov 27, 2017 8:13 am
Forum: Investing - Theory, News & General
Topic: How your FA, insurance agent, your community reacts when you show your financial knowledge?
Replies: 39
Views: 4931

Re: How your FA, insurance agent, your community reacts when you show your financial knowledge?

This post is for pure entertainment. I don't have a financial advisor, but for those who had one and decided to fire him, how did he react? Did he lose his temper and became more aggressive, or tried in any offensive way to keep you? Have you ever turned down a WL insurance agent? and how persisten...
by cresive
Sat Nov 04, 2017 5:16 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Stock Share in Estate
Replies: 5
Views: 346

Re: Help with Stock Share in Estate

GREAT Information!!! Thank everyone who answered my post

Ben
by cresive
Sat Nov 04, 2017 10:47 am
Forum: Investing - Help with Personal Investments
Topic: Help with Stock Share in Estate
Replies: 5
Views: 346

Help with Stock Share in Estate

Hello All, I was the executor of a couzin's estate. I was also the successor trustee in his living revocable trust. He died a few years ago and his estate is basically settled. However, I was going through a bunch of files and found a stock voucher (or actual stock, I don't know what it is called). ...
by cresive
Mon Oct 23, 2017 10:00 am
Forum: Investing - Help with Personal Investments
Topic: Bond ladders that are hard to climb
Replies: 11
Views: 1154

Re: Bond ladders that are hard to climb

Lots of us prefer a ladder of TIPS (Treasury Inflation-Protected Securities) to a ladder of nominal Treasuries. Nobody is expecting any unexpected inflation these days, but Inflation has happened before, so it might happen again. TIPS protect against that risk. Here's a thread about building a TIPS...
by cresive
Mon Oct 23, 2017 8:02 am
Forum: Investing - Help with Personal Investments
Topic: Switching TSP Lifecycle Funds Question
Replies: 12
Views: 932

Re: Switching TSP Lifecycle Funds Question

YOu have to check with your specific fund, but usually if you have held the fund for longer than a specific time period (usually 3-9 months) then moving your funds shouldn't cost you. Direct movement of funds from "like" accounts is free. Some accounts have fees if you repeatedly move funds, but the...
by cresive
Mon Oct 23, 2017 7:59 am
Forum: Investing - Help with Personal Investments
Topic: Bond ladders that are hard to climb
Replies: 11
Views: 1154

Re: Bond ladders that are hard to climb

You can buy treasuries in an IRA. VBTLX (Vanguard's Total Bond Market Index) is a very popular IRA holding. I own it in an IRA. It is heavily weighted toward treasuries. Maybe you mean buying them via Treasury Direct. Yes, I understand you can own treasury FUNDS within an IRA or a 401 plan. However...
by cresive
Mon Oct 23, 2017 7:28 am
Forum: Investing - Help with Personal Investments
Topic: Bond ladders that are hard to climb
Replies: 11
Views: 1154

Bond ladders that are hard to climb

Hello All, I have read on numerous occasions that a good hedge against sequence risk is to build a bond ladder. A bond ladder is supposed to provide income, and be a hedge against inflation risk. Wade Pfau suggests building a 10-year ladder by buying 10-yr treasury bonds each year until you retire. ...
by cresive
Thu Oct 19, 2017 10:39 am
Forum: Personal Finance (Not Investing)
Topic: When is a Power of Attorney not valid?
Replies: 2
Views: 581

Re: When is a Power of Attorney not valid?

I am not a lawyer, but I believe there should be a statement in your DPOA document that allows for your mother to move (even out of state) but retain you as her DPOA. I would definitely consult with an attorney within the new state of residence to make sure everything is in order. Since you mentione...
by cresive
Wed Oct 04, 2017 7:21 pm
Forum: Investing - Theory, News & General
Topic: Some Hand-Holding
Replies: 17
Views: 1443

Re: Some Hand-Holding

... Where my anxiety is rising is how to ride out the next situation. I have an asset allocation of 70% equities and 30% bonds--all in mutual funds. This is down from an 80/20 allocation about a year ago. I did the reduction in anticipation of "the stock crisis of 2016." I am torn between wishing I...
by cresive
Wed Oct 04, 2017 9:31 am
Forum: Investing - Theory, News & General
Topic: Some Hand-Holding
Replies: 17
Views: 1443

Re: Some Hand-Holding

If you are concerned about what others say - market will crash or you are nervous, then you have too much allocated to equities. You can not successfully time the market, give up now! Instead, design an asset allocation that permits you to sleep at night and not go look at "what the market is doing...
by cresive
Wed Oct 04, 2017 7:52 am
Forum: Personal Finance (Not Investing)
Topic: Retirement Account Stolen by Identity theft
Replies: 392
Views: 61990

Re: Identity theft

My elderly father just called me and informed me that he was just notified by the company that holds one of his IRA's that all of the money has been withdrawn from the account. They also gave him a number to call in the event that this was an unauthorized withdrawal. This was an unauthorized withdr...
by cresive
Wed Oct 04, 2017 7:45 am
Forum: Investing - Theory, News & General
Topic: Does anyone hold cash?
Replies: 58
Views: 6857

Re: Does anyone hold cash?

Toons wrote:
Wed Oct 04, 2017 7:35 am
Still working.
5-10% Cash
:happy
Is that in your retirement fund, or is that an EF?
by cresive
Wed Oct 04, 2017 7:45 am
Forum: Investing - Theory, News & General
Topic: Does anyone hold cash?
Replies: 58
Views: 6857

Re: Does anyone hold cash?

I keep two years of expenses in cash now that I am retired. I agree with your position. When I am retired, I plan to use a bucket-like system and hold at least 2 years expenses in cash or equivalents. However, the article was about someone 8-10 years prior to retirement date. I believe there are to...
by cresive
Wed Oct 04, 2017 7:42 am
Forum: Investing - Theory, News & General
Topic: Some Hand-Holding
Replies: 17
Views: 1443

Some Hand-Holding

I know this is probably a popular post and it may have been answered before. However, I thought I would post this question to help with my personal anxiety about my plan. I have read for the last couple of years that the current bull market is getting long in the tooth and we are due for a major mar...
by cresive
Wed Oct 04, 2017 7:24 am
Forum: Investing - Theory, News & General
Topic: Does anyone hold cash?
Replies: 58
Views: 6857

Does anyone hold cash?

I just read an article about short-term investing. I was hoping to learn some tips for saving for bigger ticket items, or for emergency funds. I was underwhelmed with the information and left with a nagging question. Quick Synopsis of me: about 8-12 years from retirement holding more than the lion's...
by cresive
Thu Sep 14, 2017 9:59 am
Forum: Personal Finance (Not Investing)
Topic: Can't freeze credit at Experian?
Replies: 75
Views: 41230

Re: Can't freeze credit at Experian?

We did all 5 credit bureaus yesterday for H and me. We only had a slight glitch with Transunion because some of their info is dated/old and we didn't like the multiple choice options. Fortunately we were able to complete the freeze over the phone. It was easier than when we did fraud alerts previou...
by cresive
Tue Sep 12, 2017 11:29 am
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion Question
Replies: 5
Views: 774

Roth Conversion Question

Hello all, I want to say thanks for all the help I have received on this site. I have a question concerning converting money from a pretax account to a Roth account. I only have 401/403 pre-tax money that is associated with my employer and some money in a Roth IRA. They are all with Fidelity, but th...
by cresive
Thu Aug 10, 2017 9:35 am
Forum: Investing - Help with Personal Investments
Topic: Help with Bond Math
Replies: 7
Views: 1079

Re: Help with Bond Math

Thanks to everyone who tried to explain this math. I will print and re-read your responses to see if I can get the idea. I may just have to stick with the idea that rising rates hurt bonds and especially bond funds. I get the overall idea, but some of the nuanced math still eludes me. I guess it wil...
by cresive
Thu Aug 03, 2017 12:01 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Bond Math
Replies: 7
Views: 1079

Help with Bond Math

I just sat through a bond webinar from Fidelity and I can't seem to wrap my head around a concept of rising interest rates. The scenario is that there is an increase of 50 basis points/year (0.5%) over the next 2 years. The slide had the following information: Hypothetical example: Yields rise 100bp...
by cresive
Tue Jul 18, 2017 8:25 pm
Forum: Investing - Help with Personal Investments
Topic: Basic Question on I bonds
Replies: 11
Views: 1424

Re: Basic Question on I bonds

Hello everyone, Thank you for taking the time to read and hopefully explain the answer to my question. I have just started investing in I bonds. I have bout bonds for the last 5 months. In that time, the interest rate changed from 2.75% to 1.96%. The way I understood the rate change, ALL my bonds w...
by cresive
Mon Jul 17, 2017 10:11 am
Forum: Investing - Help with Personal Investments
Topic: Basic Question on I bonds
Replies: 11
Views: 1424

Re: Basic Question on I bonds

Chuck wrote:The rate changes every 6 months from the purchase date of the bond. So you will get 6 months at the initial rate, then it will change.

Thanks.
by cresive
Mon Jul 17, 2017 9:59 am
Forum: Investing - Help with Personal Investments
Topic: Basic Question on I bonds
Replies: 11
Views: 1424

Basic Question on I bonds

Hello everyone, Thank you for taking the time to read and hopefully explain the answer to my question. I have just started investing in I bonds. I have bout bonds for the last 5 months. In that time, the interest rate changed from 2.75% to 1.96%. The way I understood the rate change, ALL my bonds wo...
by cresive
Thu Jun 08, 2017 12:39 pm
Forum: Investing - Theory, News & General
Topic: Feasibility Question on Trad to ROTH IRA Conversion
Replies: 6
Views: 733

Re: Feasibility Question on Trad to ROTH IRA Conversion

I think I may have misread the article when it stated that when you move to a state with no income tax it wasn't worth converting to a Roth. That seems like the optimal state tax situation, avoid state taxes when contributing to Traditional and pay no state taxes on withdrawal. Are you married? It ...
by cresive
Thu Jun 08, 2017 12:34 pm
Forum: Investing - Theory, News & General
Topic: Feasibility Question on Trad to ROTH IRA Conversion
Replies: 6
Views: 733

Re: Feasibility Question on Trad to ROTH IRA Conversion

[ The marginal tax rates in play may be rather different from what you are thinking. Beyond that, don't withdraw extra just because your tax rate is low. Whenever you have the opportunity to withdraw at a lower marginal tax cost than you anticipate after RMDs have begun, use that space for Roth conv...
by cresive
Thu Jun 08, 2017 7:12 am
Forum: Personal Finance (Not Investing)
Topic: How often do you redeem your credit card cash rewards?
Replies: 54
Views: 4382

Re: How often do you redeem your credit card cash rewards?

Friends, I was wondering how often do you redeem your credit card cash rewards? Do you save them up for something to splurge on -or- do you redeem them monthly? Just curious. Thanks, Gort I have a fidelity cash reward that goes directly into my Roth account. I used to have travel card and then a bi...
by cresive
Thu Jun 08, 2017 7:02 am
Forum: Investing - Theory, News & General
Topic: Feasibility Question on Trad to ROTH IRA Conversion
Replies: 6
Views: 733

Feasibility Question on Trad to ROTH IRA Conversion

Hello all, I have one of those quirky questions again. I am trying to wrap my head around doing a Roth conversion in early retirement. I was reading an article giving the pros and cons of doing a conversion and wondered what the group thought of my game plan as it half fits and half does not fit wit...