Search found 1495 matches

by Geologist
Sat Jul 11, 2020 12:12 pm
Forum: Personal Finance (Not Investing)
Topic: IRS Direct Pay - Identity Verification Problems??
Replies: 22
Views: 1070

Re: IRS Direct Pay - Identity Verification Problems??

My example is several years old, but I was working with my mother to arrange IRS Direct Pay and had similar problems to the OP and we were never able to overcome them. In the end, we just set up an ETPS account, which was more trouble, but we got that to work.
by Geologist
Sat Jul 11, 2020 8:37 am
Forum: Investing - Theory, News & General
Topic: How are IRA contribution maximums set?
Replies: 2
Views: 261

Re: How are IRA contribution maximums set?

To expand a little bit on Silk McCue's answer, there is a law that set the value and allows it to increase with inflation. As Silk McCue says, this happens only in $500 increments (so if inflation says the limit should increase $50, nothing happens).
by Geologist
Wed Jul 08, 2020 1:29 pm
Forum: Personal Investments
Topic: Treasury Bill Noob Question
Replies: 8
Views: 569

Re: Treasury Bill Noob Question

Remember that the Treasury market is primarily institutional, so whether you (or another individual) would want to trade a 30 day bill is not important. Insitutions might and they make big trades (I think Annette Thau said in her book that $100 million trades are routine).
by Geologist
Tue Jul 07, 2020 7:18 pm
Forum: Investing - Theory, News & General
Topic: Money markets breaking the buck
Replies: 4
Views: 1157

Re: Money markets breaking the buck

As a followup, here is a statement from the April 2015 semi-annual report for the Vanguard taxable money market funds (the oldest report I have handy). It is from Note B to the financial statement for the Prime Money Market Fund: "Vanguard and the board of trustees have agreed to temporarily limit c...
by Geologist
Tue Jul 07, 2020 7:06 pm
Forum: Investing - Theory, News & General
Topic: Money markets breaking the buck
Replies: 4
Views: 1157

Re: Money markets breaking the buck

First, the SEC yield is after expenses, so telling us the SEC yield is about the same as expenses is not all that meaningful. You have to add expenses to the SEC yield to get the gross yield. Second, we have been through this before. During the 2008-2009 recession and its aftermath, money market yie...
by Geologist
Sat Jun 27, 2020 1:45 pm
Forum: Investing - Theory, News & General
Topic: Mutual fund, effect on stock prices
Replies: 5
Views: 368

Re: Mutual fund, effect on stock prices

Mutual Fund managers can see the flow of orders before the market close so they will know roughly what they need to do. The biggest effects will be for big market shifts, of course. On ordinary days, as sport says, purchases and redemptions are likely to come closer to balance. Mutual Funds can also...
by Geologist
Tue Jun 16, 2020 11:31 am
Forum: Personal Finance (Not Investing)
Topic: Zero Fee Donor Advised Funds (DAF) Offered by New Company
Replies: 27
Views: 1327

Re: Zero Fee Donor Advised Funds (DAF) Offered by New Company

The Vanguard fund had the LOWEST expenses compared to assets, grants and contributions. Fidelity and Schwab charge MORE than Vanguard in expenses, once adjusted for the sizes of the funds. If you want your donated dollars to go further, the you should choose Vanguard over F or S. Are you sure about...
by Geologist
Fri Jun 12, 2020 11:39 am
Forum: Investing - Theory, News & General
Topic: How does Vanguard calculate taxes on widely diversified bond funds?
Replies: 16
Views: 800

Re: How does Vanguard calculate taxes on widely diversified bond funds?

Vanguard gives the percentage. You then multiply by the amount of dividends you received. You also have to know what the law is for your state (some states will not exempt Treasury interest unless it is at least a certain percentage such as half of the total earned by a fund).
by Geologist
Fri Jun 05, 2020 12:27 pm
Forum: Personal Consumer Issues
Topic: can't log on [to Vanguard website]
Replies: 70
Views: 2453

Re: can't log on [to Vanguard website]

Just like rkhusky. Just logged in (did transactions). No problem. Firefox on Macbook Pro (only slight hardware difference).
by Geologist
Wed May 13, 2020 7:19 am
Forum: Investing - Theory, News & General
Topic: Under the hood: Vanguard's Muni Bond Funds
Replies: 5
Views: 866

Re: Under the hood: Vanguard's Muni Bond Funds

There is no way we can simply sum up the holdings in a thread like this. You have to download the most recent annual or semi-annual report and look at the holdings for yourself. I will tell you that for the actively managed funds like Vanguard Short-Term, Limited-Term, and Intermediate-Term, there a...
by Geologist
Tue May 12, 2020 1:19 pm
Forum: Investing - Theory, News & General
Topic: Exchange VWIUX for VTEB?
Replies: 8
Views: 537

Re: Exchange VWIUX for VTEB?

The expense difference in dollars and cents is not material ($3/$10,000 account value per year). I don't see any of the others as being significantly different, so I don't buy that the Tax-Exempt Bond ETF is superior. And the idea you would pay long-term capitals gains taxes to make the switch makes...
by Geologist
Mon May 11, 2020 7:46 am
Forum: Personal Investments
Topic: Bond fund yields
Replies: 12
Views: 1283

Re: Bond fund yields

As you have seen, there are multiple yields, all in some sense “correct”. Because some bond funds were cherry-picking among yields to make themselves look good, the SEC created the SEC yield so that if you compare funds using that for the same day, the yield is comparable for each fund. SEC yield ha...
by Geologist
Sat May 09, 2020 9:19 am
Forum: Investing - Theory, News & General
Topic: How Does Vanguard Set The Value on a Brokered CD
Replies: 5
Views: 581

Re: How Does Vanguard Set The Value on a Brokered CD

For what it is worth, I think Vanguard supplies brokered CD's from a third party vendor (Bond Desk used to be one such vendor). Vanguard isn't setting the value, the vendor is. The vendor is observing transactions involving similar CD's and interest rates changes. This produces an estimate of an exi...
by Geologist
Fri Apr 24, 2020 8:36 am
Forum: Personal Investments
Topic: VG cut MM rates Apr 20
Replies: 18
Views: 2487

Re: VG cut MM rates Apr 20

In the US the Securities and Exchange Commission, SEC, mandates the method to calculate the yield, the SEC yield because of the mandate, for many funds. For money market mutual funds they must recalculate weekly. PJW The SEC yield for Money Market funds is based on the most recent 7 days, but it is...
by Geologist
Wed Apr 22, 2020 7:30 am
Forum: Personal Investments
Topic: VG cut MM rates Apr 20
Replies: 18
Views: 2487

Re: VG cut MM rates Apr 20

As ThunderTurtle said, rates have been dropping gradually. I was looking at Vanguard Prime MM for other purposes. Its SEC yield was 0.81% on April 17 and as of April 21, it is 0.75%. There could not have been a precipitous cut on April 20th. If the OP hadn't looked for a while, then the fall might h...
by Geologist
Mon Apr 20, 2020 6:42 pm
Forum: Investing - Theory, News & General
Topic: VMMXX Vanguard Prime MM Fund
Replies: 15
Views: 3314

Re: VMMXX Vanguard Prime MM Fund

It is not “cheating” to run a money market fund this way. It is the way money market funds are run under SEC regulations, which have the force of law. They just aren’t run the same way as other mutual funds. The maturities of their instruments are highly limited so amortized cost is permitted (by re...
by Geologist
Mon Apr 20, 2020 2:27 pm
Forum: Personal Investments
Topic: WTI Crude oil is $1.38/barrel less than Gallon of gas
Replies: 19
Views: 1648

Re: WTI Crude oil is $1.38/barrel less than Gallon of gas

This is a really good deal, I bought 10 May futures contracts at $.38, so I'm going to have those 10 barrels delivered to my house, I think it's FOB destination. I'm on hold with Fidelity now to arrange this delivery. What's really weird is those 10 contracts for 10 barrels, it cost me $3,800, I fi...
by Geologist
Fri Apr 17, 2020 3:10 pm
Forum: Investing - Theory, News & General
Topic: VMMXX Vanguard Prime MM Fund
Replies: 15
Views: 3314

Re: VMMXX Vanguard Prime MM Fund

That would be true if Prime MM was a bond fund, but it is a money market fund. The SEC yield of MM funds doesn't include changes in the value of its securities: "The SEC yield for a money market fund is calculated by annualizing its daily income distributions for the previous 7 days". A Money Marke...
by Geologist
Wed Apr 15, 2020 5:29 pm
Forum: Investing - Theory, News & General
Topic: VMMXX Vanguard Prime MM Fund
Replies: 15
Views: 3314

Re: VMMXX Vanguard Prime MM Fund

I think it's just arithmetic. If the fund owns a 52 week T_bill with a 1% "coupon" and the going rate on a new 52 week bill drops to 0.5% then the price of the existing bill goes up so that the returns match. That price increase is reflected in the MM SEC yield. That would be true if Prime MM was a...
by Geologist
Sat Apr 04, 2020 2:36 pm
Forum: Investing - Theory, News & General
Topic: Macy’s dropped from s&p 500
Replies: 71
Views: 6990

Re: Macy’s dropped from s&p 500

In the June 30, 2018 semi-annual report, the Vanguard 500 Index fund reported that the S&P 500 index had 505 stocks, but the fund held 509 stocks. How can that be if the Fund has to change immediately to match changes in the underlying index? Edit: Similarly, in the 2017 annual report, the Fund held...
by Geologist
Thu Apr 02, 2020 6:10 pm
Forum: Personal Finance (Not Investing)
Topic: Home office deductions for mandatory work at home?
Replies: 18
Views: 1185

Re: Home office deductions for mandatory work at home?

Although some previous posters have described this indirectly, there used to be a deduction for unreimbursed business expenses for employees. This was one of several "miscellaneous" deductions subject to a 2% floor. As the previous poster noted, the 2% miscellaneous deductions were eliminated in the...
by Geologist
Thu Apr 02, 2020 6:06 pm
Forum: Investing - Theory, News & General
Topic: The lost era of the 1960's to early 1980's. How did investing work and not work back then?
Replies: 25
Views: 2452

Re: The lost era of the 1960's to early 1980's. How did investing work and not work back then?

There was very little in the way of tax-deferred or tax-free (as in Roth) investing in that time. Practically everything was in taxable accounts. Aside from general commissions on stocks being high (as HenryPorter has already noted), there were few no-load mutual funds especially early in the period...
by Geologist
Tue Mar 31, 2020 1:26 pm
Forum: Investing - Theory, News & General
Topic: money market fund dividends
Replies: 20
Views: 1485

Re: money market fund dividends

As I said above, the prospectus* describes it so it is not implied. It is a statement of fact: Dividends are declared daily. That means for each share. There is no other way to do it. As Kevin M says, you can see the accrued dividends for a money market fund you own on the Balance by Date page when ...
by Geologist
Mon Mar 30, 2020 7:47 pm
Forum: Investing - Theory, News & General
Topic: money market fund dividends
Replies: 20
Views: 1485

Re: money market fund dividends

Addendum. From the annual report: "Distributions from net investment income are declared daily and paid on the first business day of the following month."

This is also in the prospectus.
by Geologist
Mon Mar 30, 2020 7:43 pm
Forum: Investing - Theory, News & General
Topic: money market fund dividends
Replies: 20
Views: 1485

Re: money market fund dividends

What you are missing is that money market funds declare dividends daily. The dividends are not "accrued" in the NAV. They are merely paid to you at the end of the month. If you sell the whole holding in the middle of the month, you get the dividends on what you owned to that date.
by Geologist
Sat Mar 28, 2020 2:49 pm
Forum: Personal Investments
Topic: Effect of Bond Downgrades in Broader Index Funds
Replies: 12
Views: 672

Re: Effect of Bond Downgrades in Broader Index Funds

Based on how this index works - and most bond indexes - as soon as it is downgraded to junk it gets immediately kicked out. Index funds must then immediately sell. Active managed investment grade funds have a little more leeway. Normally they don’t have to sell immediately as long as it represents ...
by Geologist
Fri Mar 27, 2020 6:47 pm
Forum: Personal Investments
Topic: Will my bank withhold my IRA RMD
Replies: 11
Views: 723

Re: Will my bank withhold my IRA RMD

Some people need the RMD to live, so rules suspending them would make no difference.. Therefore, the bank can't assume you don't want it if you have it automatically scheduled. There is nothing wrong with calling them, but assuming they will stop it seems like a dangerous choice.
by Geologist
Wed Mar 25, 2020 6:07 pm
Forum: Personal Consumer Issues
Topic: Are you still going to the grocery store or using a delivery service? Which?
Replies: 329
Views: 24548

Re: Are you still going to the grocery store or using a delivery service? Which?

I live in a relatively small town. There is no delivery. Therefore, I still go to the grocery store. I try to pick times when they are less busy.
by Geologist
Wed Mar 25, 2020 6:01 pm
Forum: Personal Investments
Topic: What is the Share Price (NAV) I'm buying at?
Replies: 3
Views: 168

Re: What is the Share Price (NAV) I'm buying at?

The prospectus for the Target Date Funds (it generally helps to give the name of the fund you are referring to because most people on this board have not memorized tickers) describes how purchases are made on p. 103-105. Specifically p. 104 says that "your purchase will be executed using the NAV as ...
by Geologist
Thu Mar 19, 2020 9:17 pm
Forum: Investing - Theory, News & General
Topic: log in problems - Vanguard
Replies: 13
Views: 558

Re: log in problems - Vanguard

I just had no problem logging in and looking at several pages (using Firefox). There have been a number of past threads like this. Sometimes people improve results either by changing browsers or clearing their web cookies. You had best try those before you assume the problem with Vanguard's website.
by Geologist
Wed Mar 18, 2020 8:19 pm
Forum: Personal Investments
Topic: SIPA question
Replies: 3
Views: 193

Re: SIPA question

You could also try reading the wiki: https://www.bogleheads.org/wiki/SIPC_protection_for_mutual_funds While it doesn't address your original question, it may make clear that SIPC protection is not like FDIC insurance for banks. It doesn't protect against loss of value of securities you own. Large fi...
by Geologist
Sun Mar 15, 2020 8:36 pm
Forum: Investing - Theory, News & General
Topic: vanguard prime money market [FDIC insured alternatives?]
Replies: 26
Views: 1900

Re: vanguard prime money market [FDIC insured alternatives?]

If you want to keep it at Vanguard, you may want to consider moving to Vanguard Treasury Money Market (VUSXX). It is 100% treasuries. How do Vanguard's Prime, Federal, and Treasury MM funds compare wrt "safety"? But safety, I suppose I mean things like "no gates or haircuts", or minimal/time-limite...
by Geologist
Sun Mar 15, 2020 8:29 pm
Forum: Investing - Theory, News & General
Topic: Breaking the buck
Replies: 27
Views: 2476

Re: Breaking the buck

The prospectus for the Vanguard MM funds says that the government MM funds (Federal and Treasury) may implement liquidity fees and redemption gates, but the Board has determined that the funds will not do so voluntarily. (These fees and gates are designed to transfer costs of liquidating securities ...
by Geologist
Sun Mar 15, 2020 8:20 pm
Forum: Investing - Theory, News & General
Topic: Breaking the buck
Replies: 27
Views: 2476

Re: Breaking the buck

If the possibility bothers you, switch from Prime to the Fed MM fund. Thanks for that watchnerd. But is the Vanguard Fed MM Fund VMFXX 1.31% , a safer fund than Vanguard Treasury MM Fund VUSXX 1.40%? Thanks. In this environment, it's hard to tell. VUSXX has more Treasuries and fewer "government obl...
by Geologist
Sun Mar 15, 2020 8:12 pm
Forum: Investing - Theory, News & General
Topic: vanguard prime money market [FDIC insured alternatives?]
Replies: 26
Views: 1900

Re: vanguard prime money market [FDIC insured alternatives?]

Ah, thanks very much! For some reason, I thought that there was only *one* retail MM fund (the type without gates or fluctuating NAV). IIRC, the retail MM funds might be allowed to delay access to money for up to 7 days (is that correct?), whereas the institutional MM funds can end up with money fr...
by Geologist
Sun Mar 15, 2020 6:58 pm
Forum: Investing - Theory, News & General
Topic: vanguard prime money market [FDIC insured alternatives?]
Replies: 26
Views: 1900

Re: vanguard prime money market [FDIC insured alternatives?]

Which seems to me that there is SIPC protection, which is up to 500k, if I am reading this right. SIPC protection has nothing to do with the value of a money market fund or mutual fund, it only protects in case the brokerage goes bust and can't find your investments. Or if its recordkeeping is scre...
by Geologist
Sun Mar 15, 2020 6:56 pm
Forum: Investing - Theory, News & General
Topic: vanguard prime money market [FDIC insured alternatives?]
Replies: 26
Views: 1900

Re: vanguard prime money market [FDIC insured alternatives?]

If you want to keep it at Vanguard, you may want to consider moving to Vanguard Treasury Money Market (VUSXX). It is 100% treasuries. I've been researching this as well, but I discovered something contrary to the comment above. VUSXX is not 100% treasuries, it's 87% Treasuries and 13% Gov't Obligat...
by Geologist
Sat Mar 07, 2020 6:20 pm
Forum: Personal Investments
Topic: Vanguard's Asset Mix Pie Chart
Replies: 19
Views: 1673

Re: Vanguard's Asset Mix Pie Chart

I don't use it or worry about it. First, for many years I was an agent for my mother's Vanguard accounts and Vanguard insisted on including her assets in my pie chart. This resulted in a screwy asset allocation. Second, I have assets outside Vanguard that cannot be included as "outside assets" in an...
by Geologist
Sat Mar 07, 2020 6:08 pm
Forum: Personal Finance (Not Investing)
Topic: How to fund ROTH for a child?
Replies: 12
Views: 728

Re: How to fund ROTH for a child?

For example, could a car title be signed over to a very young child before selling the vehicle; the vehicle could be a gift to them if it was worth maybe $5k and then would it be earned income which would allow them to invest that $5k into their Roth? How do you consider the proceeds from selling a...
by Geologist
Sat Mar 07, 2020 6:04 pm
Forum: Personal Finance (Not Investing)
Topic: 1099-DIV line items don't add up to total
Replies: 5
Views: 420

Re: 1099-DIV line items don't add up to total

As a followup, I just added up my 1099-DIV individual entries and they match the total. However , there is one fund that paid only one dividend (in December, not that it matters) and therefore there was not a "Security Total" for that fund (as all the other funds had). In addition, it so happened th...
by Geologist
Sat Mar 07, 2020 5:52 pm
Forum: Personal Finance (Not Investing)
Topic: 1099-DIV line items don't add up to total
Replies: 5
Views: 420

Re: 1099-DIV line items don't add up to total

I think we need to know something about what funds (or ETF's) are involved. It seems possible to me that complications arise if foreign funds are involved. The January/December payments aren't the answer. That could be the explanation if you were comparing the 1099-DIV to your Vanguard statements, b...
by Geologist
Thu Mar 05, 2020 7:17 am
Forum: Personal Investments
Topic: Differences between Federal and Prime money market funds??
Replies: 25
Views: 2219

Re: Differences between Federal and Prime money market funds??

I live in California. Definitely get the Federal, the partial state income tax exemption will more than make up for the slight difference in yield. Thank you! Where can I go to see that Federal has a partial state income tax exemption? Go to https://investor.vanguard.com/taxes/funds-tax-information...
by Geologist
Wed Mar 04, 2020 9:51 pm
Forum: Personal Investments
Topic: Vanguard Treasury Money Market and Turbotax
Replies: 1
Views: 294

Re: Vanguard Treasury Money Market and Turbotax

You have to do this manually. Not quite 100% of the dividends received in 2019 were state tax-exempt. There is a box in turbotax to enter the dollar amount (you multiply the percentage, which was 97.79% for 2019, times the dollar figure you received from the fund).
by Geologist
Wed Mar 04, 2020 9:46 pm
Forum: Personal Investments
Topic: Differences between Federal and Prime money market funds??
Replies: 25
Views: 2219

Re: Differences between Federal and Prime money market funds??

The expense ratio is irrelevant because the yields are after expenses. This has never been my understanding. Can you back this up? -TheDDC From Investopedia: "The SEC yield is a standard yield calculation developed by the U.S. Securities and Exchange Commission (SEC) that allows for fairer comparis...
by Geologist
Tue Mar 03, 2020 8:43 pm
Forum: Personal Investments
Topic: Thoughts on why VNYTX share price decreased today?
Replies: 11
Views: 859

Re: Thoughts on why VNYTX share price decreased today?

The most likely explanation is that there was a "flight to quality" as the stock market fell. Quality, in this context, are U.S. Treasuries. Municipals no matter the state are not as secure so they fell in price. Wouldn't corporate bonds be impacted by a flight to quality as well? Intermediate-term...
by Geologist
Tue Mar 03, 2020 8:41 pm
Forum: Personal Investments
Topic: Vanguard transition to brokerage time
Replies: 3
Views: 427

Re: Vanguard transition to brokerage time

I recall it took 2-3 business days. (I did it a couple of years ago and don't remember exactly.) Probably you can find out online, certainly by calling. I doubt that starting on Friday will save you market days because I suspect the weekend days don't count.
by Geologist
Tue Mar 03, 2020 8:34 pm
Forum: Personal Investments
Topic: Thoughts on why VNYTX share price decreased today?
Replies: 11
Views: 859

Re: Thoughts on why VNYTX share price decreased today?

According to the VG website, 3/2 is the payable date for the February dividend. Which suggests that the NAV on 3/3 should be lower. Except that VNYTX, like most Vanguard bond funds, declares distributions daily so the monthly payable date doesn't come out of the NAV. The most likely explanation is ...
by Geologist
Sun Mar 01, 2020 11:47 am
Forum: Investing - Theory, News & General
Topic: How Agg Bond Funds Reacted Last Week?
Replies: 14
Views: 635

Re: How Agg Bond Funds Reacted Last Week?

Perhaps you should look at this thread: viewtopic.php?t=286497

It doesn't show negative correlation for Aggregate Bonds. Furthermore, one week doesn't give reliable data, which is why the thread I cite uses longer periods.
by Geologist
Sun Mar 01, 2020 11:39 am
Forum: Personal Finance (Not Investing)
Topic: My cost basis doesn't match what Vanguard has -- why?
Replies: 10
Views: 709

Re: My cost basis doesn't match what Vanguard has -- why?

Spinoffs can be complicated. I know from dealing from a simpler set than what you have apparently had to deal with for Hewlett-Packard. It is possible that your cost basis and Vanguard's are both wrong. I assume that Vanguard is calculating the cost basis, despite the fact that the shares are noncov...
by Geologist
Thu Feb 27, 2020 9:56 pm
Forum: Personal Finance (Not Investing)
Topic: US Treasury Mutual Fund State Tax Question
Replies: 9
Views: 870

Re: US Treasury Mutual Fund State Tax Question

I don't know how tax software handles it, but those of us using tax forms directly (such as though Free File Fillable Forms or the state's equivalent) it amazes me just how "manual" the process is. Get the "Percentage of Income From U.S. government securities" document from the mutual fund company,...