Search found 165 matches

by rhornback
Tue Feb 23, 2021 10:05 am
Forum: Personal Investments
Topic: [Why is VBTLX down???]
Replies: 56
Views: 3570

Re: [Why is VBTLX down???]

The biggest thing to fear IMO is keeping your money in cash! If you put it in VBTLX with a 10 year return I pretty much guarantee that you will at least make slightly more than inflation. Why because the when the bonds mature new bonds will be bought at a higher rate and the bond fund price will re...
by rhornback
Tue Feb 23, 2021 9:07 am
Forum: Personal Investments
Topic: [Why is VBTLX down???]
Replies: 56
Views: 3570

Re: [Why is VBTLX down???]

I get it. Everyone here who has been invested in VBTLX over the long term has made a nice profit, including last year thanks to cut in interest rates, so no one much cares if they have to give a little back this year. If you just bought last year, after the interest rate cuts, you are down on VBTLX...
by rhornback
Tue Feb 23, 2021 9:03 am
Forum: Personal Investments
Topic: [Why is VBTLX down???]
Replies: 56
Views: 3570

Re: [Why is VBTLX down???]

I get it. Everyone here who has been invested in VBTLX over the long term has made a nice profit, including last year thanks to cut in interest rates, so no one much cares if they have to give a little back this year. If you just bought last year, after the interest rate cuts, you are down on VBTLX...
by rhornback
Tue Feb 23, 2021 7:27 am
Forum: Personal Investments
Topic: [Why is VBTLX down???]
Replies: 56
Views: 3570

Re: VBTLX???

Serious question: why do you care what it has done over the course of a month? Last year I purchased a large amount of VBTLX to bring my AA to where I wanted it. So now it's value is down and I know it is only a month but I just didn't expect it as I would in stocks. So I thought I would ask since ...
by rhornback
Tue Feb 23, 2021 7:14 am
Forum: Personal Investments
Topic: [Why is VBTLX down???]
Replies: 56
Views: 3570

Re: VBTLX???

I like this topic. I wrote a month or two ago that VBTLX may not do that well in 2021. And I may be right. Or I may be wrong. As others have wrote Bonds tend to do poorly when interest rates climb. VBTLX has a current 30 day yield of 1.2%. This IMO pretty much assumes 0% or negative inflation. But i...
by rhornback
Wed Jan 27, 2021 2:16 pm
Forum: Investing - Theory, News & General
Topic: My 3 stocks that went nowhere and lessons learned
Replies: 10
Views: 1569

Re: My 3 stocks that went nowhere and lessons learned

Last year I sold my remaining stocks: Bank of American, Citigroup, Traveler's Insurance. I was looking at my cost bases for these 3 stocks (doing my taxes) and I basically made $0. And this is over 20 years... When I do a backtest of a portfolio equal weighting those three companies, from Jan 2001 ...
by rhornback
Wed Jan 27, 2021 8:52 am
Forum: Investing - Theory, News & General
Topic: 'The long, long bull market since 2009 has finally matured into a fully-fledged epic bubble' - GMO
Replies: 205
Views: 23370

Re: 'The long, long bull market since 2009 has finally matured into a fully-fledged epic bubble' - GMO

I predict at some point there will be a a major market downturn.

It COULD be this year.

Remind me next year and I will provide the same prediction. And the year after that. And the year after that.

Sooner or later I will be right...
by rhornback
Wed Jan 27, 2021 8:15 am
Forum: Investing - Theory, News & General
Topic: My 3 stocks that went nowhere and lessons learned
Replies: 10
Views: 1569

My 3 stocks that went nowhere and lessons learned

I have been blessed to have been in Vanguard for the last 20 years and the funds I have been in have been very good to me. But prior to Vanguard I owned a bunch of dogs... with fleas. Last year I sold my remaining stocks: Bank of American, Citigroup, Traveler's Insurance. I was looking at my cost ba...
by rhornback
Wed Jan 13, 2021 9:10 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

Not much room for post-task contributions these days though I do like Vanguard Primecap and Vanguard Capital Opportunity so if I have extra I generally put it there. I believe these are US Large Cap / Mid Cap actively managed. What does post-task contributions mean? Taxable account, Roth IRA, other...
by rhornback
Mon Jan 11, 2021 12:38 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

A) In summary, you are going to check on your portfolio every now and then to make sure that the AA stays within your RISK tolerance. Am I correct? > Correct B) Is your new contribution going to the bond or the stock? > I am expecting my wife to retire before me so I have moved her 401K including co...
by rhornback
Mon Jan 11, 2021 10:41 am
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

2) Are you going to fix your no rebalancing problem? If not, you may end up with 90+% of stock and exposed to losing 40+% of your portfolio in an inopportune time. > I would love for my rebalancing problem to flat from its current place to 75%. Because that means my stocks have done well (cheering i...
by rhornback
Mon Jan 11, 2021 6:42 am
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

Two thoughts: 1. The focus of the discussion appears to be an underlying concern about minimal return from VBTLX or less return than in the recent past. This raises the question of whether bonds are primarily for safety or whether the recent equity-like performance has led to a changing expectation...
by rhornback
Mon Jan 11, 2021 6:37 am
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

I am thinking for the next year the place to be is VHYAX Vanguard High Dividend Yield (30 day yield is 3.3%). The reason is in a market downturn I would still get this yield. Says who? Bond interest payments are contractual. Stock dividends are just a company making a business decision to return so...
by rhornback
Sun Jan 10, 2021 7:59 am
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

Hi KlangFool, I have seen your posting on this web site over the years and I always enjoy them. So thanks for going back and forth with me. A) If you do not like a target retirement fund, you can just pick a Vanguard LifeStrategy Fund that matches your AA. > Agreed. But I have a little bit of contro...
by rhornback
Sun Jan 10, 2021 7:16 am
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

1) If you do not "buy, hold, and rebalance ", you should not use the 3-funds portfolio. > I am not in the 3 fund portfolio. I do not own international stocks! 2) If you do not want to rebalance and maintain your AA, you would not "Buy Low and Sell High". > Agreed. I am lucky to ...
by rhornback
Sat Jan 09, 2021 10:19 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

1) If you do not "buy, hold, and rebalance ", you should not use the 3-funds portfolio. > I am not in the 3 fund portfolio. I do not own international stocks! 2) If you do not want to rebalance and maintain your AA, you would not "Buy Low and Sell High". > Agreed. I am lucky to b...
by rhornback
Sat Jan 09, 2021 9:54 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

OP, Did you rebalance in March 2020? My AA is 60/40. In March 2020, both the stock and the bond drop. But, VBTLX drops much less than VTSAX. And, I was forced to rebalance by selling VBTLX to buy VTSAX. I made money from my March rebalancing a few months later by selling the VTSAX to buy VTBLX. So,...
by rhornback
Sat Jan 09, 2021 6:35 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

There’s nowhere to hide for the next 10 years at least. Just stick with the asset allocation in your individual policy statement and investment plan. Bonds are not there to give you any returns, only to hopefully smooth the ride. I am thinking for the next year the place to be is VHYAX Vanguard Hig...
by rhornback
Sat Jan 09, 2021 5:59 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

So my problem is at this yield (1.11%) I no longer am even keeping up with inflation. According to who? CPI is up 1.2% over the past 12 months and the fund (VBTLX) returned over 7% Inflation in the future is unknown. Sources: https://www.bls.gov/cpi/ https://investor.vanguard.com/mutual-funds/profi...
by rhornback
Sat Jan 09, 2021 5:54 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

It seems like for the duration of the bond (or average in the basket), you are 95% guaranteed the yield on the tin. If rates go up while you're holding it the returns will be backloaded. If they go down while you're holding it they will be frontloaded (as they were in the 1 year returns). But I wou...
by rhornback
Sat Jan 09, 2021 5:52 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

What is your alternative? There are few free lunches, so there is no way to increase return without increasing risk. While the yield is low, I don't see the downside risk as any higher than any other time. It is true that the expected return is low but that is different than saying it is higher ris...
by rhornback
Sat Jan 09, 2021 4:50 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

There’s nowhere to hide for the next 10 years at least. Just stick with the asset allocation in your individual policy statement and investment plan. Bonds are not there to give you any returns, only to hopefully smooth the ride. I am thinking for the next year the place to be is VHYAX Vanguard Hig...
by rhornback
Sat Jan 09, 2021 4:43 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

It seems like for the duration of the bond (or average in the basket), you are 95% guaranteed the yield on the tin. If rates go up while you're holding it the returns will be backloaded. If they go down while you're holding it they will be frontloaded (as they were in the 1 year returns). But I wou...
by rhornback
Sat Jan 09, 2021 4:27 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Re: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

I would like to add to my posting a little. In a normal situation I would expect VBTLX to pay an interest rate equal to inflation + risk. But my understanding is the government is buying bonds to ARTIFICIALLY keep interest rates low. https://www.cnbc.com/2020/12/16/fed-decision-december-2020-fed-com...
by rhornback
Sat Jan 09, 2021 4:15 pm
Forum: Personal Investments
Topic: Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk
Replies: 127
Views: 11776

Vanguard Total Bond (VBTLX) at 1.11% yield seems high risk

Like many here I am in the Vanguard Total Bond Market Admiral (VBTLX). Interestingly it has been doing pretty well! 1 year return is 7.72%. In my mind this is because every time I feel interest rates cannot go lower, they do. So this return is largely based on declining interest rates, not yield. Bu...
by rhornback
Mon Oct 26, 2020 10:04 am
Forum: Investing - Theory, News & General
Topic: Will I really need 80% replacement during retirement?
Replies: 118
Views: 10831

Re: Will I really need 80% replacement during retirement?

OP here. Thank you everyone for your feedback. I feel the advice of tracking two years expenses as pointed out by multiple responders is very valuable. Myself, I have a kid who is a Freshman in college and one who just started working in June. We also live in a house that we will not need (at any ra...
by rhornback
Sun Oct 25, 2020 5:59 pm
Forum: Investing - Theory, News & General
Topic: Tesla becomes most valuable car company in the world
Replies: 385
Views: 35576

Re: Tesla becomes most valuable car company in the world

I am fascinated by Tesla. It is my old guy fantasy. I read about their full self driving beta and how they are driving down the cost of materials and installation costs of roof solar I am fascinated. I guess I am a Tesla groupie. Now I have no idea what the fundamentals are for Tesla. Frankly I doub...
by rhornback
Sun Oct 25, 2020 5:36 pm
Forum: Investing - Theory, News & General
Topic: Will I really need 80% replacement during retirement?
Replies: 118
Views: 10831

Will I really need 80% replacement during retirement?

I recently logged into my corporate retirement account and it told me that it expected I would need $$$ a year in retirement. I suspect it came up with that number based on 80% of my salary. I suspect that is a well known argument. A simple google shows: "According to AARP, one common rule of t...
by rhornback
Sat Aug 29, 2020 9:17 pm
Forum: Investing - Theory, News & General
Topic: Are you a closet market-timer?
Replies: 177
Views: 14719

Re: Are you a closet market-timer?

This topic came across my feed and it is very timely for me. I was thinking about this today. I feel I have moved towards being a market timer. And if you had asked me about this a few years ago I would have told you NO WAY. So what has changed: My wife and I are in our 50s. I am seeing an economy r...
by rhornback
Sun Dec 08, 2019 3:19 pm
Forum: Personal Investments
Topic: Sell VGHAX Vanguard Health Care Fund Admiral?
Replies: 44
Views: 3607

Re: Sell VGHAX Vanguard Health Care Fund Admiral?

I do not know if anyone wants to know the details of my investments but as Op I want to close out what I started. I decided to sell our VGHAX in our IRA accounts. I liquidated these positions and bought VHCAX -Vanguard Capital Opportunity Fund Admiral Shares, VPMAX - Vanguard PRIMECAP Fund Admiral S...
by rhornback
Mon Dec 02, 2019 11:27 am
Forum: Investing - Theory, News & General
Topic: My 3 buckets: 1 yr cash + 2 yr bond + stocks
Replies: 114
Views: 10955

Re: My 3 buckets: 1 yr cash + 2 yr bond + stocks

I suggest minimum of 2 years in Short Corp. and 5 years in Total Bond. 3 years in Short Corp. and 7 years in Total Bond would be better. I feel this is highly dependent on your age and assets. As an exercise lets assume that you need $100 K in yearly living expenses. I realize that is probably exce...
by rhornback
Mon Dec 02, 2019 11:08 am
Forum: Investing - Theory, News & General
Topic: My 3 buckets: 1 yr cash + 2 yr bond + stocks
Replies: 114
Views: 10955

Re: My 3 buckets: 1 yr cash + 2 yr bond + stocks

If the future is similar to the past you probably will be ok. If it isn't and you are short or out of human capital then maybe not ok. There are no do overs if the future is a lot different and if you don't have earning power or are in ill health you might be in a tight spot - consuming equities th...
by rhornback
Mon Dec 02, 2019 10:50 am
Forum: Investing - Theory, News & General
Topic: My 3 buckets: 1 yr cash + 2 yr bond + stocks
Replies: 114
Views: 10955

Re: My 3 buckets: 1 yr cash + 2 yr bond + stocks

If a decade long downturn occurs (another great depression) I figure we are all in burnt toast. I don't care what your investments are. You could make the argument that in a great depression it would be best to be in cash but if the government decided to print cash to stimulate the economy then tha...
by rhornback
Mon Dec 02, 2019 10:37 am
Forum: Investing - Theory, News & General
Topic: My 3 buckets: 1 yr cash + 2 yr bond + stocks
Replies: 114
Views: 10955

Re: My 3 buckets: 1 yr cash + 2 yr bond + stocks

Maybe with 5 years cash and bond. The recovery from 08-09 was about 5 years. That is a lot of cash and bonds. It today's market it seems to me that bonds are just keeping up with inflation. The 5 year rate of return for my Vanguard Total Bond Index (Admiral) is 3.2%. My point is the opposite side o...
by rhornback
Mon Dec 02, 2019 10:22 am
Forum: Investing - Theory, News & General
Topic: My 3 buckets: 1 yr cash + 2 yr bond + stocks
Replies: 114
Views: 10955

Re: My 3 buckets: 1 yr cash + 2 yr bond + stocks

"The Bucket Approach for Retirement: A Suboptimal Behavioral Trick?" Abstract: "A bucket approach, which broadly consists of parking a few years of annual withdrawals safely in cash and investing the rest of the portfolio more aggressively, is a popular strategy often recommended by ...
by rhornback
Sat Nov 30, 2019 8:56 am
Forum: Personal Investments
Topic: Sell VGHAX Vanguard Health Care Fund Admiral?
Replies: 44
Views: 3607

Re: Sell VGHAX Vanguard Health Care Fund Admiral?

I really like this statement (from the advisers). Over the long term, innovation, an aging population, and the globalization of demand for cutting-edge health care should continue to drive the growth of the health care sector. We believe that we are favorably positioned to capitalize on that potent...
by rhornback
Sat Nov 30, 2019 8:45 am
Forum: Personal Investments
Topic: Basic Bucket Theory
Replies: 42
Views: 5004

Re: Basic Bucket Theory

Thanks for your response marcopolo! I am afraid I do not understand your point. Are you saying my approach is flawed. Too many buckets? Unsure.... Ask yourself what your mix should be in 10 years, 15 years, 20 years. The generic bucket description is to pull from the shortest-term assets first, ref...
by rhornback
Sat Nov 30, 2019 8:27 am
Forum: Personal Investments
Topic: Sell VGHAX Vanguard Health Care Fund Admiral?
Replies: 44
Views: 3607

Re: Sell VGHAX Vanguard Health Care Fund Admiral?

I am a pretty passive investor. I look at the specifics for my investments a couple times a year. I have my strategy and I stick with it. And when I do look generally it is the 5 year rate of return. IMO one year is to volatile So I was checking today and my Vanguard Health Care Admiral 5 year rate...
by rhornback
Sat Nov 30, 2019 8:16 am
Forum: Personal Investments
Topic: Sell VGHAX Vanguard Health Care Fund Admiral?
Replies: 44
Views: 3607

Re: Sell VGHAX Vanguard Health Care Fund Admiral?

I sold half my health care holdings in June. Poor timing as HC has been on a tear since then. However the active funds returns are much worse in taxable (where mine were) so I wanted to remove as much as possible (without moving into the next bracket). Plus the sector ETF has beaten the active fund...
by rhornback
Fri Nov 29, 2019 9:00 pm
Forum: Personal Investments
Topic: Sell VGHAX Vanguard Health Care Fund Admiral?
Replies: 44
Views: 3607

Re: Sell VGHAX Vanguard Health Care Fund Admiral?

It's one of the rules of the forum not to write or speak about certain topics. Read the forum rules to gain a deeper understanding of one of the factors that may be affecting that fund. Other factors - healthcare is out of favor, earnings growth is not there, patents expiration, fewer new blockbust...
by rhornback
Fri Nov 29, 2019 8:24 pm
Forum: Personal Investments
Topic: Sell VGHAX Vanguard Health Care Fund Admiral?
Replies: 44
Views: 3607

Sell VGHAX Vanguard Health Care Fund Admiral?

I am a pretty passive investor. I look at the specifics for my investments a couple times a year. I have my strategy and I stick with it. And when I do look generally it is the 5 year rate of return. IMO one year is to volatile So I was checking today and my Vanguard Health Care Admiral 5 year rate ...
by rhornback
Sat Apr 27, 2019 2:09 pm
Forum: Investing - Theory, News & General
Topic: Housing market bubble
Replies: 27
Views: 6537

Re: Housing market bubble

Creepy whisper: If they want homes, a builder will come. Over a long enough time yes supply will match demand for builders. However, my (albeit limited) observation is that much of the workforce in the trades were immigrants especially Hispanic (at least where I live). After the slowdown in 2008/20...
by rhornback
Sat Apr 27, 2019 2:00 pm
Forum: Investing - Theory, News & General
Topic: Housing market bubble
Replies: 27
Views: 6537

Re: Housing market bubble

Latest stats I have seen is that Millenials are, indeed, moving to the suburbs. The economic problems until lately delayed that compared to the earlier generation, but it hasn't stopped it. I agree that what Millenials seem to want is neighbourhoods like the suburban one my parents moved to - what ...
by rhornback
Sat Apr 27, 2019 1:43 pm
Forum: Investing - Theory, News & General
Topic: Housing market bubble
Replies: 27
Views: 6537

Re: Housing market bubble

This is a dynamic I am watching with interest. I live in the Chicago suburbs and have seen the value of my house go down about 10% since when I bought it 3 years ago. Here are some of the things I am watching. 1. The jobs, at least in Chicago, are downtown. Under previous mayors many of the downtown...
by rhornback
Mon Apr 15, 2019 4:48 pm
Forum: Personal Consumer Issues
Topic: Women, How Much Do You Pay for Haircut
Replies: 94
Views: 6763

Re: Women, How Much Do You Pay for Haircut

I tell my wife I want her to look nice and she should spend what is necessary to do that.
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But I also tell her not to tell me how much that costs :shock:
by rhornback
Thu Apr 04, 2019 6:28 pm
Forum: Personal Finance (Not Investing)
Topic: Federal tax refund? What are you doing with it?
Replies: 54
Views: 2876

Re: Federal tax refund? What are you doing with it?

As someone who just finished their taxes, owes money, wonders where my tax cut went, and then just logged into bogleheads.

This is salt in my wound.
by rhornback
Mon Mar 04, 2019 7:16 pm
Forum: Personal Investments
Topic: Lots of cash .. Scared to put it to work now
Replies: 207
Views: 19664

Re: Lots of cash .. Scared to put it to work now

I had this exact same problem a few years ago. I sold my house and the mortgage on my current house is 3.5% I figured this was 3% or less after mortgage tax deduction. I decided to take the proceeds of my first house and invest it. This was before SALT screwed this up for me !#@$!@%#. I took the amo...
by rhornback
Sun Feb 10, 2019 7:53 am
Forum: Personal Consumer Issues
Topic: replacing tires on AWD cars do you have to do all 4
Replies: 83
Views: 4789

Re: replacing tires on AWD cars do you have to do all 4

Thank you onourway for your suggestion. I canclelled my order for four tires and ordered one from Tirerack shaved to match my other tires. You saved me almost $600. I owe you a beer! BTW the charge now is $30 for shaving but still worth it. Shaving tires is one option that sometimes makes sense, bu...
by rhornback
Sun Feb 10, 2019 7:47 am
Forum: Personal Consumer Issues
Topic: replacing tires on AWD cars do you have to do all 4
Replies: 83
Views: 4789

Re: replacing tires on AWD cars do you have to do all 4

Yes you have to replace all four tires to get them matched. If they are not matched in type and size and diameter (which changes with wear) they will cause the transfer case and differentials to break. Yes and no - lets not scare people unnecessarily. An AWD vehicle has 3 differentials - one on eac...
by rhornback
Sun Feb 03, 2019 10:28 am
Forum: Personal Investments
Topic: 401K catch up instead of re-invest div & cap gains
Replies: 6
Views: 540

Re: 401K catch up instead of re-invest div & cap gains

I am assuming you are funding a traditional IRA from a taxable account both at Vanguard. Your 2018 limit is 6500 each not 6000 and that goes up to 7000 each in 2019 https://investor.vanguard.com/ira/ira-contribution-limits?WT.srch=1&cmpgn=PS:RE . The $13K total decrease your tax liability by th...