Search found 422 matches

by NYC_Guy
Sun Sep 12, 2021 9:55 pm
Forum: Personal Finance (Not Investing)
Topic: At what amount would you cap a 529 for an only child (2-years old)?
Replies: 67
Views: 8448

Re: At what amount would you cap a 529 for an only child (2-years old)?

I make a $75k contribution for my newborn granddaughter last year, 100% equities. I coupled that with a promise to my daughter that I would fund four years of undergrad at whatever school she wants to attend. Hope that helps.
by NYC_Guy
Sun Sep 12, 2021 9:29 pm
Forum: Personal Investments
Topic: Do you factor in taxes owed as part of your net worth?
Replies: 84
Views: 8112

Re: Do you factor in taxes owed as part of your net worth?

I think we all agree that a portfolio that has $3 million in a Roth 401k is more valuable than the same portfolio that has $3 million in a Traditional 401k.

We also use talk about FIRE benchmarks requiring somewhere between 25x and 50x expenses.

The issue this thread presents is how taxes are incorporated into these guidelines/rules of thumb.

I prefer to tax adjust my portfolio and then apply the benchmarks, understanding that taxes on dividends and interest income still need to be paid.

In my opinion, there’s no right answer to this. You just need to be consistent in your approach.
by NYC_Guy
Sun Sep 12, 2021 8:47 pm
Forum: Personal Consumer Issues
Topic: surprise $7000 rental car damage bill
Replies: 186
Views: 26809

Re: surprise $7000 rental car damage bill

As I said in the beginning of this thread, this smacks of fraud and criminal behavior. Judges and juries love getting cases like this. Don’t be afraid of making their life a living hell.
by NYC_Guy
Sat Sep 11, 2021 11:00 pm
Forum: Personal Consumer Issues
Topic: surprise $7000 rental car damage bill
Replies: 186
Views: 26809

Re: surprise $7000 rental car damage bill

I would sue them for fraud. Maybe even seek a class action. And I’d file a criminal complaint. Probably notify the state consumer protection agency. That should get some fast remedial action.
by NYC_Guy
Sat Sep 11, 2021 9:39 pm
Forum: Personal Investments
Topic: Do you factor in taxes owed as part of your net worth?
Replies: 84
Views: 8112

Re: Do you factor in taxes owed as part of your net worth?

justsomeguy2018 wrote: Sat Sep 11, 2021 1:20 pm Say you have $1M in assets....but you will know owe taxes on the withdrawals....do you really have $1M net worth?
I tax adjust my holdings based on my expected effective rate at the time of realization. It involves assumptions about a lot of things. Others don’t. Personal choice.
by NYC_Guy
Sat Sep 11, 2021 9:38 am
Forum: Personal Investments
Topic: 100% Stock For Young High Earning Professional
Replies: 42
Views: 4464

Re: 100% Stock For Young High Earning Professional

Presumably your son has some savings targeted for retirement and some savings targeted for other goals (including an emergency fund in the case of a loss of income). At his age, 100% equities for retirement savings is fine. For other goals, the stock allocation should vary depending on the time frame — an emergency fund in cash equivalents; a house downpayment in 8 years, maybe 30% equities; etc. The son inherited some money too. Hence, he has a substantial portfolio at this moment. KlangFool A smaller, or larger, portfolio size wouldn’t change my advice for someone his age. So, if someone inherited 10 millions at his age, your would not change your answer. Is that your point of view? KlangFool Wouldn’t change my view. 100% equities for a ...
by NYC_Guy
Fri Sep 10, 2021 2:32 pm
Forum: Personal Finance (Not Investing)
Topic: FAFSA seriously? My kids see it?
Replies: 136
Views: 12399

Re: FAFSA seriously? My kids see it?

Your kids already know more than you think.
by NYC_Guy
Fri Sep 10, 2021 7:32 am
Forum: Personal Investments
Topic: 100% Stock For Young High Earning Professional
Replies: 42
Views: 4464

Re: 100% Stock For Young High Earning Professional

100% equity, with a strong SCV and EM tilt, if he is interested.
by NYC_Guy
Thu Sep 09, 2021 4:26 pm
Forum: Personal Investments
Topic: Whole life policy for children
Replies: 32
Views: 3078

Re: Whole life policy for children

Policies like this almost never make sense to start. But substantially aged policies may be worth keeping. But you’ll have to do the analysis. And you’ll have to look at it every year.

Doesn’t sound like these are big enough to warrant hiring someone to help you. Essentially, ignore the insurance component. Look at the accretion in cash value from one year to the next. Subtract any premiums paid during that period. Divide that number by the the sum of prior year cash value and premiums paid in the last year. If you like the tax-deferred return that that calculation produces (which I compare to investment grade debt), then keep it. If not, dump it.
by NYC_Guy
Wed Sep 08, 2021 6:56 am
Forum: Personal Finance (Not Investing)
Topic: Dotting the I's for a family loan
Replies: 7
Views: 1170

Re: Dotting the I's for a family loan

There is an exemption for loans of less than $100,000 that may be available. The exemption would allow your MIL to charge no interest and not have the foregone interest deemed a gift. See Section 7872. Otherwise, if there is an interest payment, your MIL has to pay income tax on it. In these circumstances, I consider handing family money to the IRS a waste when there’s an express exemption that can apply. There are some conditions to satisfy in Section 7872. But there is likely a way to make this a zero interest loan that is real and enforceable without adverse income or estate tax consequences.
by NYC_Guy
Mon Sep 06, 2021 6:45 pm
Forum: Personal Consumer Issues
Topic: [Is it worth flying first class?]
Replies: 265
Views: 30333

Re: Never fly first class

I buy relatively inexpensive cars (sub $50k) but almost always fly business for long haul. I also hate spending $1000+ per night on hotel rooms while traveling - I look for for niche boutique values in hotels. But I’ll also drop $$$$ on 3 star mich restaurants and wine. My point is we all value things differently. Find what gives you pleasure and live within your means.
by NYC_Guy
Sun Aug 29, 2021 9:58 pm
Forum: Personal Investments
Topic: How to factor in pension in AA?
Replies: 69
Views: 8312

Re: How to factor in pension in AA?

I PV all my future income streams (I have a few), including social security. I also include the net worth of my real property in my AA. I treat 75% of the net worth of my real property as conservative and 25% as speculative. I do this because I could substantially downsize my real estate if needed.

Other Bogleheads take other approaches.
by NYC_Guy
Fri Aug 20, 2021 8:57 am
Forum: Investing - Theory, News & General
Topic: I do not understand why I should compare mortgage to bonds
Replies: 72
Views: 9659

Re: I do not understand why I should compare mortgage to bonds

Would you take a margin loan against your portfolio to buy more bonds? In a recourse jurisdiction, they are, in fact, equivalent (setting aside interest and maturity). A margin loan may be preferable from a tax perspective for certain people. A mortgage may be preferable for others due to tenor and rate.

But, purely from a financial point if view, if a person wouldn’t take out a margin loan to buy bonds, then they should seriously consider paying down an outstanding mortgage in lieu of buying bonds.

This all ignores behavioral considerations. Those are often important. But protecting against bad choices can cost you something. Only you can decide whether paying behavioral “insurance” is worth it.
by NYC_Guy
Wed Aug 18, 2021 12:59 pm
Forum: Personal Consumer Issues
Topic: Where is your "Walden Pond"?
Replies: 51
Views: 6468

Re: Where is your "Walden Pond"?

In college, I went to Walden Pond… Usually at night and it involved a lot of au naturel swimming.

Now, I have another place with water. Water remains an important component of my “get away from it all” moments.
by NYC_Guy
Tue Aug 17, 2021 1:07 pm
Forum: Personal Finance (Not Investing)
Topic: How do I estimate my income when so much of my income is RSUs from a volatile stock?
Replies: 22
Views: 2034

Re: How do I estimate my income when so much of my income is RSUs from a volatile stock?

You guys are young. My advice is to not try to value the RSUs and plug them into a metric. Rather, I would buy the maximum I could/fund my lifestyle based on your minimum stable income as a household and then use RSUs and income appreciation to fund your savings. And hold the expense line as much as possible as those RSUs vest and you experience other income increases. I am not a believer in denying a pleasant lifestyle while working. But hold that line on expenses!
by NYC_Guy
Sun Aug 15, 2021 11:48 pm
Forum: Personal Consumer Issues
Topic: Best Way to Avoid Lines at Airports?
Replies: 51
Views: 5737

Re: Best Way to Avoid Lines at Airports?

There are other ways to avoid the normal lines. Being truly top tier frequent flyer (eg, United Global Services) can get you access to some crazy line skipping benefits. But you need to basically be on the road for business flying multiple times per week every week on high revenue segments.
by NYC_Guy
Sat Aug 14, 2021 8:26 am
Forum: Personal Finance (Not Investing)
Topic: Gifting property to children: A question of "consideration" when it comes to gifting
Replies: 38
Views: 3404

Re: Gifting property to children: A question of "consideration" when it comes to gifting

You could use a leveraged partnership model to effect income tax deferral for your sister’s share. But that’s a lot of paperwork/compliance effort for something like this. Your sister could also consider whether 1031 applies if she treats her share as an investment. It seems to me that the installment sales approach I described above is a lot simpler and more straightforward, with less paperwork than a leveraged partnership. Getting the sister entangled in the land transaction for land she does not want and that the OP and spouse have specific plans for seems unnecessary and potentially problematic (e.g., sister could wind up dealing with liability for accidents on the property, construction liens, etc.) I’m assuming they want the property...
by NYC_Guy
Sat Aug 14, 2021 8:15 am
Forum: Personal Finance (Not Investing)
Topic: Gifting property to children: A question of "consideration" when it comes to gifting
Replies: 38
Views: 3404

Re: Gifting property to children: A question of "consideration" when it comes to gifting

You could use a leveraged partnership model to effect income tax deferral for your sister’s share. But that’s a lot of paperwork/compliance effort for something like this. Your sister could also consider whether 1031 applies if she treats her share as an investment.
by NYC_Guy
Tue Aug 10, 2021 5:00 pm
Forum: Personal Consumer Issues
Topic: Car battery replacement interval advice
Replies: 271
Views: 28941

Re: Car battery replacement interval advice

Yet another reason I love my Tesla. Cheers!
by NYC_Guy
Mon Aug 09, 2021 10:37 am
Forum: Personal Finance (Not Investing)
Topic: Pulling permit history on home as a prospective homebuyer
Replies: 34
Views: 3873

Re: Pulling permit history on home as a prospective homebuyer

Hi all, I'm in the housing market, and am wondering if people pay attention to the permit history of a home. It's public record, and it could reveal work done on the home and whether the home seller was willing to do things which were proven up to code. Do people think this is worth doing? If no, why not? If yes, before or after submitting an offer? Thanks, -b4xt3r Yes. If the house has had a major addition or renovation, I pull the permit and the follow-up cert of occupancy. If it all looks good, ok. But if major reno or addition wasn’t permitted, I’m not buying the house as the next owner could certainly ask me to get a replacement c.o. I certainly don’t check for stuff like running a new electrical line. That’s for the home inspection.
by NYC_Guy
Tue Jul 13, 2021 7:00 am
Forum: Personal Consumer Issues
Topic: Wifi to Ethernet connection?
Replies: 23
Views: 2470

Re: Wifi to Ethernet connection?

People need to stop speculating on the terms of someone’s ISP contract. It’s just as likely that the ISP contract prevents use for “business” purposes or prevents the resale of the service. But my ISP terms of service do not prevent me from allowing non business access. I routinely use my service, for example, when I’m off my property (having drinks at my next door neighbor’s pool). I also have a wap bridge set up in my garage. My garage is not on the same legal property as my house. It’s a different tax lot and is owned by a different trust. My point - answer the question or stay quiet. To OP - The easiest way to do this is a dedicated WiFi extender, like the NetGear WiFi Extender 1200. You should be able to get this or a similar device fo...
by NYC_Guy
Sun Jul 11, 2021 8:11 am
Forum: Personal Investments
Topic: How to rotate out of an ETF into another similar one without a taxable event?
Replies: 27
Views: 2795

Re: How to rotate out of an ETF into another similar one without a taxable event?

retired@50 wrote: Sat Jul 10, 2021 11:26 pm
CrisisAverted wrote: Sat Jul 10, 2021 5:44 pm I had a chance to speak with Fidelity, and they made it seem (although, subject to a tax professional) that IVV to SPY would be different enough and the variance in the CUSIP would be sufficient. Not sure if that's completely accurate as they are not tax professionals, however.
I wouldn't want to argue this point to the IRS.

Both funds track the S&P 500 index. If there's an argument that they are NOT substantially identical, I'd imagine it's a pretty weak argument.

Regards,
I disagree. Just the fact that they are from a different sponsor makes them NOT substantially identical in my opinion. This is the position I take. Until the IRS issues regulations to the contrary, I am very comfortable in my position.
by NYC_Guy
Wed Jun 30, 2021 11:52 pm
Forum: Personal Consumer Issues
Topic: Which 7 seater SUV?
Replies: 89
Views: 14012

Re: Which 7 seater SUV?

I had an Acura MDX for 13 years. One of the best cars I’ve owned. Honda makes things that last.
by NYC_Guy
Tue Jun 29, 2021 12:33 am
Forum: Personal Investments
Topic: Ally account blocked after lump sum investment
Replies: 38
Views: 4874

Re: Ally account blocked after lump sum investment

It’s for things like this that I maintain relationships with a couple of financial institutions with real, assigned relationship managers. I primarily “bank” at Fidelity and JPMorgan Chase. At each institution, I have a person that knows me and can deal with any issues that arise. I don’t pay for these relationship managers but they have been quite helpful in the few times I have needed them.
by NYC_Guy
Thu Jun 24, 2021 6:03 pm
Forum: Personal Consumer Issues
Topic: When did cars start good safety features?
Replies: 105
Views: 9281

Re: When did cars start good safety features?

psteinx wrote: Thu Jun 24, 2021 2:46 pm
NYC_Guy wrote: Wed Jun 23, 2021 7:43 pm One other point…I currently have two cars that will “literally” override my actions, emergency brake a car and swerve to avoid killing someone.
While I'm quite familiar with automatic emergency braking, I'm not at all familiar with comparable functionality (currently widely available) that would cause a car to "swerve to avoid killing someone". Which specific car(s) and feature(s) are you talking about with the latter point?
The Tesla autopilot will swerve and avoid a collision.

Check this out. I’ve had a similar (not as dramatic) experience in my Tesla.

https://twitter.com/russlepage/status/1 ... 24418?s=20
by NYC_Guy
Wed Jun 23, 2021 7:43 pm
Forum: Personal Consumer Issues
Topic: When did cars start good safety features?
Replies: 105
Views: 9281

Re: When did cars start good safety features?

One other point…I currently have two cars that will “literally” override my actions, emergency brake a car and swerve to avoid killing someone. These are not “mandatory” safety features. But haven driven for the last 40 years, the current cutting edge features are going to save a lot of lives. Maybe even someone’s 16 year old. And this tech doesn’t require a second mortgage. I got my Tesla Model 3 for the net price of $35,000.
by NYC_Guy
Wed Jun 23, 2021 7:03 pm
Forum: Personal Consumer Issues
Topic: When did cars start good safety features?
Replies: 105
Views: 9281

Re: When did cars start good safety features?

I suppose I worry about the safety features that decay with age, particularly airbags. Takata stuff.
by NYC_Guy
Wed Jun 23, 2021 5:22 pm
Forum: Personal Investments
Topic: I’m about to inherit a stake in a large family business. Does a traditional asset allocation still make sense for me?
Replies: 53
Views: 4927

Re: I’m about to inherit a stake in a large family business. Does a traditional asset allocation still make sense for me

jomama341 wrote: Wed Jun 23, 2021 4:50 pm
KyleAAA wrote: Wed Jun 23, 2021 2:58 pm Your portfolio is already 30x your expenses, so no need to change. You have an extremely large ability to take risk and it seems like enough cash flow to easily double your portfolio within 2-3 years. Since your allocation is diversified and reasonable, what do you gain moving everything to bonds? Nothing, really.

Definitely retain a good CPA since your taxable portfolio is about to dominate.
Just to be clear, moving everything to bonds was never on the table. In fact, the question I'm really kicking around is whether any bond allocation at all even makes sense.
It almost certainly doesn’t from a financial point of view. But I’s probably have a significant cash/bond portfolio anyway.
by NYC_Guy
Wed Jun 23, 2021 5:21 pm
Forum: Personal Investments
Topic: I’m about to inherit a stake in a large family business. Does a traditional asset allocation still make sense for me?
Replies: 53
Views: 4927

Re: I’m about to inherit a stake in a large family business. Does a traditional asset allocation still make sense for me

Somethingwitty92912 wrote: Wed Jun 23, 2021 8:46 am I’d pretend like the family business doesn’t exist. If benefits come from it great. If not oh well.
I find these sentiments fascinating (not wrong but just so foreign to my thinking that it’s hard for me to compute).

My advice is to find assets that have a low or even negative correlation to my family business. I might even consider perpetually buying puts in a similar public business to offset risk.

I certainly would not ignore the most important and dominant part of my asset mix.
by NYC_Guy
Fri Jun 18, 2021 11:46 pm
Forum: Personal Consumer Issues
Topic: When did cars start good safety features?
Replies: 105
Views: 9281

Re: When did cars start good safety features?

JoeRetire wrote: Thu Jun 10, 2021 5:30 am
NYC_Guy wrote: Wed Jun 09, 2021 9:59 pm
JoeRetire wrote: Mon Jun 07, 2021 8:22 pm Seatbelts became standard in 1964.
That’s a complete troll post. Why do ppl do this?

I’d stick with 8 years old as a rule of thumb.
The point was "good safety features" is an individual thing. There's no magic about 8 years old - it only depends on what is important to you specifically.

Sorry if the subtlety was lost on you.
No, it’s not individual. Safety features are objective. There’s no way I’d put a 16 year old new driver in a car that’s more than 8 or so years old. And my reasoning is objective (not relative or subjective).
by NYC_Guy
Fri Jun 18, 2021 11:42 pm
Forum: Personal Investments
Topic: VTSAX or VTWAX over the next 35 years?
Replies: 269
Views: 86455

Re: VTSAX or VTWAX over the next 35 years?

40 Years' Gatherin's wrote: Mon Jun 14, 2021 4:23 pm
Flannelbeard wrote: Mon Jun 14, 2021 12:58 pm
Pepper11 wrote: Mon Jun 14, 2021 10:39 am Since when is VTSAX out of date and really bad advice. Come on. These recent international threads really bringing out some bad takes.
It's not a bad fund. It is bad advice to recommend a 100% VTSAX portfolio though. Especially to young investors.

Of course everyone giving this bad advice will claim that it's good advice. Such is the effect of psychological biases.
So Jack Bogle and Warren Buffett are giving bad advice? What makes your advice anymore sound than theirs?
They were raised in a world where the US was 60% of the world’s production?
by NYC_Guy
Fri Jun 18, 2021 11:40 pm
Forum: Personal Investments
Topic: VTSAX or VTWAX over the next 35 years?
Replies: 269
Views: 86455

Re: VTSAX or VTWAX over the next 35 years?

Trader Joe wrote: Wed May 15, 2019 11:17 am
guyesmith wrote: Wed May 15, 2019 10:05 am VTSAX or VTWAX over the next 35 years?

That's Vanguard Total Stock Market Index Fund or the Vanguard Total World Stock Index Fund.

What do you think?
This is an easy question to answer. Either VTSAX (Vanguard Total Stock Market Index Fund Admiral Shares) or VFIAX (Vanguard 500 Index Fund Admiral Shares).
As PT Barnum said…
by NYC_Guy
Wed Jun 09, 2021 9:59 pm
Forum: Personal Consumer Issues
Topic: When did cars start good safety features?
Replies: 105
Views: 9281

Re: When did cars start good safety features?

JoeRetire wrote: Mon Jun 07, 2021 8:22 pm Seatbelts became standard in 1964.
That’s a complete troll post. Why do ppl do this?

I’d stick with 8 years old as a rule of thumb.
by NYC_Guy
Sun May 30, 2021 4:48 pm
Forum: Personal Consumer Issues
Topic: New 2020 Honda Clarity vs New Tesla Model 3
Replies: 32
Views: 3366

Re: New 2020 Honda Clarity vs New Tesla Model 3

I would suggest you continue to research…and read the news. Buyer beware in the short term. Once it is time to buy (after doing your research), I can’t express how much my Model 3 has changed my commuting life.
by NYC_Guy
Thu May 27, 2021 3:07 pm
Forum: Personal Consumer Issues
Topic: starting a quiet lawn care company
Replies: 78
Views: 5773

Re: starting a quiet lawn care company

Many communities in my area are banning or limiting the use of gas-powered leaf blowers. For both noise and pollution reasons. But this needs to be HoA or government led. I agree that individual action to control negative externalities is unlikely to work. Collective action really is required - and it’s happening in my area.
by NYC_Guy
Tue May 25, 2021 9:15 am
Forum: Personal Finance (Not Investing)
Topic: Permanent Insurance for Doc Making 1.2 million/year
Replies: 94
Views: 10902

Re: Permanent Insurance for Doc Making 1.2 million/year

To the OP, feel free to PM me. The negative reaction in these forums to permanent life insurance is generally appropriate. But you are quite likely to have an estate in excess of the federal exemption. You won’t get good advice on this forum given you have a high likelihood of a federally taxable estate. The advice on this forum makes sense for most ppl, but it fails often for those fortunate to have a federally taxable estate dealing with real world behavioral issues. Please don’t react with personal attacks against me. I have much of my federally taxable estate (God willing) in incredibly low cost index funds. I also have gold. And real estate. And, yes, permanent life insurance in an ILIT. Shocking. Some thread is rather off track anywa...
by NYC_Guy
Fri May 21, 2021 11:19 pm
Forum: Personal Finance (Not Investing)
Topic: Permanent Insurance for Doc Making 1.2 million/year
Replies: 94
Views: 10902

Re: Permanent Insurance for Doc Making 1.2 million/year

To the OP, feel free to PM me. The negative reaction in these forums to permanent life insurance is generally appropriate. But you are quite likely to have an estate in excess of the federal exemption. You won’t get good advice on this forum given you have a high likelihood of a federally taxable estate. The advice on this forum makes sense for most ppl, but it fails often for those fortunate to have a federally taxable estate dealing with real world behavioral issues.

Please don’t react with personal attacks against me. I have much of my federally taxable estate (God willing) in incredibly low cost index funds. I also have gold. And real estate. And, yes, permanent life insurance in an ILIT. Shocking.
by NYC_Guy
Fri May 21, 2021 4:50 pm
Forum: Personal Finance (Not Investing)
Topic: Permanent Insurance for Doc Making 1.2 million/year
Replies: 94
Views: 10902

Re: Permanent Insurance for Doc Making 1.2 million/year

Rex66 wrote: Fri May 21, 2021 4:37 pm bad strategy

if you are going to use insurance then use a no lapse gUL
I was just sharing what I did. He asked about permanent insurance. I’m just offering than an ILIT w/ permanent insurance can be effective in a narrow set of circumstances. But he better be careful and pick the right kind of permanent insurance from the right insurer.
by NYC_Guy
Fri May 21, 2021 4:48 pm
Forum: Personal Finance (Not Investing)
Topic: Permanent Insurance for Doc Making 1.2 million/year
Replies: 94
Views: 10902

Re: Permanent Insurance for Doc Making 1.2 million/year

Just invest the extra money in a taxable account in tax-efficient investments (Total Stock Market Index is actually very tax-efficient) and pay the dividend taxes. Far cheaper to pay 0.4% in dividend taxes every year than to pay 2%-3% in fees to an insurance company. Don't let the tax tail wag the dog. You'll have far more money in the long run. For equities, I agree. As a replacement of a fixed income allocation at his tax rates, it’s a different analysis. I’m not giving a full throated “it makes sense”. But if 1) you dont want your kids to think they have a huge chuck if money, 2) you want fixed income type safety and 3) you want to use the annual gift exemption (and have the capital out of the estate), then an ILIT with permanent insura...
by NYC_Guy
Fri May 21, 2021 4:35 pm
Forum: Personal Finance (Not Investing)
Topic: Permanent Insurance for Doc Making 1.2 million/year
Replies: 94
Views: 10902

Re: Permanent Insurance for Doc Making 1.2 million/year

It could make sense if you use an ILIT and utilize the maximum annual gift exemption. When my kids were young, I did this. Now there’s a chunk of assets (the policy) sitting in an trust that isn’t kicking off income and behaviorally my kids don’t think if it as their asset — they think of it as protection for when I pass. It’s one of the safest parts of our family wealth. And yes, I expect to have a federally taxed estate. The conditions for proper use of permanent insurance are quite significant. But you may fall into the space where it has use. Just don’t rely on the agent to get this stuff right. You need to design it and find the right help (T&E advisor). And understand things like single pay, MECs, etc. I purposefully did single pa...
by NYC_Guy
Sun May 16, 2021 7:40 am
Forum: Personal Finance (Not Investing)
Topic: Making offer well-over asking price?
Replies: 58
Views: 14878

Re: Making offer well-over asking price?

RickBoglehead wrote: Sun May 16, 2021 6:27 am Irrational Exhuberance

'Nuff said.
By that you mean that nobody knows nothing and we may be just at the start of the greatest economic expansion in history? So current prices are a bargain? 😁
by NYC_Guy
Thu May 13, 2021 8:07 am
Forum: Personal Finance (Not Investing)
Topic: Bank error in my favor
Replies: 32
Views: 3932

Re: Bank error in my favor

sandan wrote: Thu May 13, 2021 6:42 am
Stinky wrote: Wed May 12, 2021 2:57 pm Give it a few days to resolve itself.

And post back when VG corrects the error.
Not a lawyer here, but strongly disagree.

Noticing something substantially wrong and letting it go is not defensible. Doesn't matter if it's money, crime, etc.
It absolutely is defensible. My time is worth money. And it’s not my job to spend time to fix another person’s commercial mistake. It’s totally defensible to wait a few days to see if it autocorrects. This is not an active crime scene where making the phone call or intervening could save a life. Now, I am a lawyer so if VG wants to pay me my hourly fee to help resolve, I’d be happy to waste an hour or two waiting for VG to pick up the phone and transfer me four times.
by NYC_Guy
Tue May 11, 2021 12:10 pm
Forum: Personal Investments
Topic: Social Security as Part of Bond Allocation
Replies: 142
Views: 9108

Re: Social Security as Part of Bond Allocation

So deferred income annuity inside a spendthrift trust isn’t an asset? The one thing these discussions have taught me is that everyone does mental gymnastics. Every single thing I have a right to that can be a source of income to me is an asset. Some are bonds, some are partnership interests, some are stocks. When I was younger, my biggest financial asset was my ability to work and generate an income. So for me, if it’s capable of producing cash to which I have an entitlement, then its an asset I consider when looking at my overall risk profile. Even a primary residence falls into this category for me (reverse mortgages, downsizing, moving to a lcol area). But we should each do what makes sense for (and to) us. If OP is looking for my two ce...
by NYC_Guy
Tue May 11, 2021 11:10 am
Forum: Personal Investments
Topic: Social Security as Part of Bond Allocation
Replies: 142
Views: 9108

Re: Social Security as Part of Bond Allocation

Since cash is fungible for me, I consider the PV of my expected Social Security when considering how much risk to take in other parts of my financial world. I own property, including vacation property and commercial property, I own equities, I own US treasuries, I have deferred partnership income, I have permanent life policies, I own some modest amounts of gold. And yes I don’t disregard social security when I set my AA between all of these things.
by NYC_Guy
Sun May 09, 2021 2:55 pm
Forum: Investing - Theory, News & General
Topic: What Ever Happened to "Your Age In Bonds"?
Replies: 163
Views: 23251

Re: What Ever Happened to "Your Age In Bonds"?

DB2 wrote: Sun May 09, 2021 1:43 pm
NYC_Guy wrote: Sat May 08, 2021 5:40 pm
So at 95, this says that I should be at 110% bonds and shorting the equity markets with 10% of my portfolio… There is no perfect AA. For me, I plan a classic U shape. Zero bond allocation until 50. Reaching 40% FI by 60. And reducing my bonds as I approach the time my heirs will be taking my estate. At 90 (should I live that long), I’ll likely be back above 80% equities.
Just curious. Do you plan on having this in writing for someone to execute as you realize potential or likely cognitive decline later in years? How do you have this managed later in life to achieve this U shape?
Trusts w/ an independent trustee.
by NYC_Guy
Sat May 08, 2021 5:40 pm
Forum: Investing - Theory, News & General
Topic: What Ever Happened to "Your Age In Bonds"?
Replies: 163
Views: 23251

Re: What Ever Happened to "Your Age In Bonds"?

Over the next decade at least, bonds are likely to lose out to inflation. Even in the past, 'age in bonds' has been overly conservative. In this thread , vineviz lays out a different, likely better, rule of thumb: bonds = 2 * (age - 40). Following this would mean that an investor would have no bond exposure at all until age 41. That's an interesting way to approach it. I'd have 12% bonds right now given that formula. I have about 20-25% currently. I was 70/30 but have let it slide and haven't rebalanced for a while. So at 95, this says that I should be at 110% bonds and shorting the equity markets with 10% of my portfolio… There is no perfect AA. For me, I plan a classic U shape. Zero bond allocation until 50. Reaching 40% FI by 60. And re...
by NYC_Guy
Fri May 07, 2021 6:04 pm
Forum: Personal Consumer Issues
Topic: Do you still read the print newspaper?
Replies: 84
Views: 5507

Re: Do you still read the print newspaper?

NW_Nutmegger wrote: Fri May 07, 2021 5:36 pm If you still read from the print newspaper, please share why you enjoy doing this in 2021.

I’m 45 and I’m torn between the world of growing up with the print newspaper and this current climate of news being available 24/7 on any variety of screens.

Looking forward to reading your reasons.
No. I gave up on print 20 years ago. And I don’t miss it.
by NYC_Guy
Fri May 07, 2021 12:57 pm
Forum: Personal Finance (Not Investing)
Topic: Acquiring Foreign Property — FX Question
Replies: 7
Views: 844

Re: Acquiring Foreign Property — FX Question

Thanks. I will keep the thread updated.

To answer your questions, it will be a vacation property, probably in the €1.5 million range. I have some ability to absorb adverse fluctuations from now until the purchase (by either buying less, paying more or working an extra few months).
by NYC_Guy
Thu May 06, 2021 11:20 am
Forum: Personal Finance (Not Investing)
Topic: Acquiring Foreign Property — FX Question
Replies: 7
Views: 844

Acquiring Foreign Property — FX Question

I plan to buy property outside the US in about two years. The property will be purchased with euros. The source of those funds is currently in short term US treasuries. My question for Bogleheads is how you would handle the foreign exchange decision. The USD/Euro exchange rate is a bit on the high side (1.2 USD to 1 euro) relative to near term rates. I have the ability to exchange at Fidelity for between 20 bps and 75 bps over the wholesale midpoint, so my concern isn’t how to exchange. It’s when. This isn’t like timing the equity markets (where the long term upward trend in the markets makes lump sum investing a superior risk adjusted decision). Would you DCA into those euros over the next two years? Would you wait until the end of the per...