Search found 5519 matches

by cherijoh
Sun May 19, 2019 4:06 pm
Forum: Personal Investments
Topic: What is the best roth conversion strategy?
Replies: 8
Views: 985

Re: What is the best roth conversion strategy?

I am looking at 2 approaches: 1) Sell tax deferred holdings and convert them to Roth in cash, and buy new positions on market down days. 2) Hold tax deferred money in positions that are good for Roth, convert the position directly to Roth on market down days. Any better alternative, since no rechar...
by cherijoh
Sun May 19, 2019 12:12 pm
Forum: Investing - Theory, News & General
Topic: Pre-RMD Retirement Sweet Spot - Accelerating IRA Withdrawals vs. Roth Conversion
Replies: 26
Views: 2005

Re: Pre-RMD Retirement Sweet Spot - Accelerating IRA Withdrawals vs. Roth Conversion

Age 56 onward ... We expect no real portfolio growth, tax brackets are indexed, my pension drops 50% if I croak first, one of 2 SS's goes away with demise of one of us. So we're not Roth converting to pay more taxes sooner in favor of enjoying retirement to the fullest in the best earlier years. Yo...
by cherijoh
Sun May 19, 2019 8:48 am
Forum: Personal Finance (Not Investing)
Topic: At what NW do I have disposable income?
Replies: 71
Views: 4446

Re: At what NW do I have disposable income?

Hi all, I am wrestling with the question, at what NW do my wife and I have disposable income? My only reply in this moment, is that I don't "really" have disposable income until I have at-least saved enough that my future retired selves at age 65 have a 4% withdrawal rate that could sustain the fed...
by cherijoh
Sun May 19, 2019 7:48 am
Forum: Personal Finance (Not Investing)
Topic: Aiming to Retire End of 2019 - Abit Scared
Replies: 33
Views: 3638

Re: Aiming to Retire End of 2019 - Abit Scared

But keep in mind this. There is always a max withdrawal rate of x.x% of portfolio balance annually below which the remaining portfolio AND the withdrawals will keep up with inflation forever, on average despite yo-yoing with market behavior. These are the max withdrawal rates for a portfolio and wi...
by cherijoh
Sun May 19, 2019 7:16 am
Forum: Personal Consumer Issues
Topic: How to deal with home upgrades - HELOC or not?
Replies: 10
Views: 663

Re: How to deal with home upgrades - HELOC or not?

I wouldn't recommend "borrowing" from Roth. You only have 60 days to repay the money before it is considered a permanent distribution.
by cherijoh
Sat May 18, 2019 5:37 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage in Retirement
Replies: 71
Views: 4956

Re: Mortgage in Retirement

Thanks for the replies. I appreciate the comments regarding sequence of returns risk. This is one of my main concerns as I enter retirement. I’m currently in process of changing asset allocation from 60/40 to 40/60 to partially address. I guess any reduced ability to accommodate a negative series o...
by cherijoh
Sat May 18, 2019 5:05 pm
Forum: Personal Consumer Issues
Topic: Questions about Cobra
Replies: 5
Views: 496

Re: Questions about Cobra

A special enrollment period is only available for 60 days after a qualifying event such as losing your health insurance.
by cherijoh
Sat May 18, 2019 11:49 am
Forum: Personal Finance (Not Investing)
Topic: Low-income retirement year: take capital gain, Roth convert, or tIRA withdrawal?
Replies: 14
Views: 1092

Re: Low-income retirement year: take capital gain, Roth convert, or tIRA withdrawal?

We're recent retirees keeping our income under the ACA cliff until Medicare and deferring SS. We've got the choice of taking a last modest bit of income for the year as capital gains in our taxable account, as a little more Roth conversion, or as simple taxable withdrawals from our taxable IRAs. I'...
by cherijoh
Sat May 18, 2019 11:44 am
Forum: Personal Investments
Topic: Tricky Roth IRA Questions
Replies: 35
Views: 2694

Re: Tricky Roth IRA Questions

For earnings in the Roth IRA to be distributed tax free, the Roth IRA itself must become qualified. If your designated Roth happens to be qualified when you roll it into your Roth IRA, the entire balance rolled in including earnings is treated as Roth IRA basis. This seems to be a good argument for...
by cherijoh
Fri May 17, 2019 8:22 am
Forum: Personal Investments
Topic: SIMPLE IRA--not so simple
Replies: 8
Views: 693

Re: SIMPLE IRA--not so simple

Two years ago my daughter enrolled in the SIMPLE IRA offered by her employer. Since this plan is administered by fee-hungry American Funds, I advised her to avoid those fees by putting her contributions into the AF money market option and then periodically transferring those funds to a SIMPLE IRA a...
by cherijoh
Thu May 16, 2019 8:55 am
Forum: Personal Finance (Not Investing)
Topic: Bank called my business manager
Replies: 49
Views: 5275

Re: Bank called my business manager

No, they specifically said cash would not have that restriction. But who these days walks around with a pocket full of cash intending to open an account? A hold of a few days or maybe 10 might be expected but 30 days? First time I've ever run into this restriction. The solution would have been to g...
by cherijoh
Wed May 15, 2019 4:30 pm
Forum: Personal Finance (Not Investing)
Topic: Bank called my business manager
Replies: 49
Views: 5275

Re: Bank called my business manager

Would that be the case if you had deposited some cash, so the bank didn't need to worry about any new fraudulent account (with fraudulent deposits)? RM No, they specifically said cash would not have that restriction. But who these days walks around with a pocket full of cash intending to open an ac...
by cherijoh
Wed May 15, 2019 1:33 pm
Forum: Personal Finance (Not Investing)
Topic: mechanics of paying taxes on a Roth Conversion
Replies: 26
Views: 1834

Re: mechanics of paying taxes on a Roth Conversion

Fidelity can’t just withhold the taxes at the time of conversion? If you do then the withheld taxes counts as an additional distribution (resulting in even more taxes). If you are less than 59.5, you would also owe a 10% early withdrawal penalty on any funds that were distributed that did not get c...
by cherijoh
Wed May 15, 2019 1:23 pm
Forum: Personal Investments
Topic: Sell I-Bond just to re Buy at fixed interest?
Replies: 5
Views: 362

Re: Sell I-Bond just to re Buy at fixed interest?

Assuming you have an I-Bond with a 0% fixed interest, already earning the 1.40% annualized rate, does it make any sense to sell just to re buy at the current fixed rate? This assumes you dont need the cash for 12to 60 months and you have already held the bond for 5 years. Also assumes you have the ...
by cherijoh
Wed May 15, 2019 7:15 am
Forum: Personal Investments
Topic: How to calculate exactly how much money you'll have by retirement?
Replies: 55
Views: 5295

Re: How to calculate exactly how much money you'll have by retirement?

I use 4% real, and do all calculations in real (inflation adjusted) dollars. I used to use 6%, but scaled back since 2000. Exactly is not possible, but I believe 4% real is conservative enough. Being a little low on the rate of return is safer than too high. I always confuse "real" and "nominal." I...
by cherijoh
Tue May 14, 2019 9:07 pm
Forum: Personal Investments
Topic: How did it come to this? [Help with investments]
Replies: 48
Views: 4699

Re: How did it come to this? [Help with investments]

If you have ever sold any shares using average cost basis, you are stuck with that basis for the rest of the remaining shares you held at the time of that sale. Thank you so much for this feedback. I do want to follow up on this. I HAVE sold shares of one of the more actively managed funds (growth ...
by cherijoh
Tue May 14, 2019 9:07 pm
Forum: Personal Investments
Topic: How did it come to this? [Help with investments]
Replies: 48
Views: 4699

Re: How did it come to this? [Help with investments]

If you have ever sold any shares using average cost basis, you are stuck with that basis for the rest of the remaining shares you held at the time of that sale. Thank you so much for this feedback. I do want to follow up on this. I HAVE sold shares of one of the more actively managed funds (growth ...
by cherijoh
Tue May 14, 2019 4:36 pm
Forum: Personal Investments
Topic: How did it come to this? [Help with investments]
Replies: 48
Views: 4699

Re: How did it come to this? [Help with investments]

58 y.o. single. Work for a nonprofit organization (80k per year), and have raised more than 20M for charity. (Irony!). But every year at tax time, I owe a huge amount to Fed (7k) and state (2k) and chew through my emergency fund paying taxes because my portfolio of taxable investments are primarily...
by cherijoh
Tue May 14, 2019 10:48 am
Forum: Personal Investments
Topic: Email to my Edward Jones Rep
Replies: 46
Views: 4185

Re: Email to my Edward Jones Rep

First posting here. Thanks to the wealth of info here, I have been diligently learning the basics of investing. I've read 4-5 books referred by this site and have lurked in the forums and wiki and soon I hope to be well enough informed to ask for input on my future plans. I thoroughly understand th...
by cherijoh
Tue May 14, 2019 10:35 am
Forum: Investing - Theory, News & General
Topic: What Am I Missing Here
Replies: 15
Views: 1570

Re: What Am I Missing Here

Okay, time for another of my weird hypothetical situations. There is a reason I am posing this scenario and it isn't totally hypothetical, but I am trying to gain a consensus and ask if there is a major, or even minor, issue with my supposition. I am planning for a major sequence of return issue wi...
by cherijoh
Mon May 13, 2019 6:20 am
Forum: Personal Consumer Issues
Topic: Computer issues, fix vs replace
Replies: 33
Views: 1937

Re: Computer issues, fix vs replace

My computer for a second time is giving me heartache. Text on the screen is screwy on most web pages, reloading the page helps but not for long. Frustrating to use. Basically half of each letter disappears. Last time I removed an update and the computer went back to normal. This time I can't clearl...
by cherijoh
Mon May 13, 2019 6:13 am
Forum: Personal Consumer Issues
Topic: Best month to visit London?
Replies: 40
Views: 2959

Re: Best month to visit London?

August has relatively good weather but is manic w European tourists. Out in the suburbs and commuting things are quiet but tourist stuff is probably busy. You can get heat waves though and London is not air conditioned by American standards. The Edinburgh Festival also draws away a lot of the theat...
by cherijoh
Mon May 13, 2019 4:54 am
Forum: Personal Finance (Not Investing)
Topic: Inherited ranch
Replies: 97
Views: 7716

Re: Inherited ranch

I have noticed in these deals that often the brokest member of the family that gets all sentimental and wants it. Cynical, but probably true. OP - what does the family member wanting to keep the land plan to do with it? Was the land being used productively by the previous generation? Over the time ...
by cherijoh
Sat Apr 27, 2019 6:23 pm
Forum: Personal Investments
Topic: Made a mistake putting bond funds in taxable account - how to correct mistake?
Replies: 37
Views: 3929

Re: Made a mistake putting bond funds in taxable account - how to correct mistake?

Sorry, this is probably a novice question. I'm an 42yo Air Force colonel making roughly $220K/year with medical bonuses, with about $900K in investments in mostly a 3-fund portfolio spread across Roth IRAs, Roth TSP (401k), and taxable accounts all with Vanguard. I have only recently begun studying...
by cherijoh
Sat Apr 27, 2019 11:29 am
Forum: Personal Consumer Issues
Topic: How Much to Tip Wedding Officiant
Replies: 38
Views: 2268

Re: How Much to Tip Wedding Officiant

The time away from home might actually be a vacation for him because he has two rambunctious toddlers Maybe send a gift to his partner who is staying home in the raw winter taking care of two rambunctious toddlers. I would have appreciated the acknowledgement and maybe something like a gift certifi...
by cherijoh
Fri Apr 26, 2019 9:13 am
Forum: Personal Finance (Not Investing)
Topic: For those with years on me...Can I afford this home?
Replies: 70
Views: 4685

Re: For those with years on me...Can I afford this home?

You can afford it, easily. But to make you sleep better at night, this is what I'd suggest: see if you can knock the price of the home to $675K or less. Unless there are multiple bidders or there is absolutely nothing wrong with the home, you might be able to get them to that number. Roll the home ...
by cherijoh
Fri Apr 26, 2019 8:46 am
Forum: Personal Finance (Not Investing)
Topic: Advising financially unsavvy family on windfall
Replies: 77
Views: 5660

Re: Advising financially unsavvy family on windfall

Another thing you might be able to do, is simply mention that you know of a place with good interest rates on savings accounts and CDs (Ally, or similar). That might come across as simply sharing information, rather than telling them what to do. And might open the door if they are interested in ask...
by cherijoh
Fri Apr 26, 2019 7:22 am
Forum: Personal Finance (Not Investing)
Topic: Advising financially unsavvy family on windfall
Replies: 77
Views: 5660

Re: Advising financially unsavvy family on windfall

Yes, a book. No follow up conversation unless they ask. But not most of the books talked about on this forum. No Bogle, Bernstein or Malkiel. More like, Dave Ramsey or Jane Bryant Quinn. Have you read Bernstein's If You Can ? It is perfect for a newbie. Although I would second the recommendation fo...
by cherijoh
Wed Apr 24, 2019 10:52 pm
Forum: Personal Investments
Topic: pros and cons for rollover to tIRA or other 401k from previous employer
Replies: 103
Views: 4550

Re: pros and cons for rollover to tIRA or other 401k from previous employer

I was reading more about backdoor Roth conversion and it seems that can't do it if I already have tIRA in my name. Do I need to ask my current employer's 401k admin if I can roll my tIRA into it(Principal)? I'm also wondering if I could roll it into one of my other previous employer's 401k( Fidelit...
by cherijoh
Wed Apr 24, 2019 4:38 pm
Forum: Personal Investments
Topic: Donor Advisor Fund how much and when to start?
Replies: 17
Views: 1004

Re: Donor Advisor Fund how much and when to start?

I have been reading up on the DAF and it seems like a great way to start my charity giving, but I am wondering how much to put in and when to create it (not when to make the actual grant). I envision making a contribution once every 3 years over say the next 10-15 years. This would allow me to item...
by cherijoh
Wed Apr 24, 2019 3:54 pm
Forum: Personal Investments
Topic: Is company’s 401k match based on base salary or social security salary?
Replies: 41
Views: 2675

Re: Is company’s 401k match based on base salary or social security salary?

Under no circumstances should a company match be based on W-2 Box 3 Social Security Wages. There are many things that can limit that, pretty much all Section 125 deductions including HSA contributions, SS wages are limited to the SS maximum wage base etc... The 401k plan will have an explicit defin...
by cherijoh
Wed Apr 24, 2019 3:45 pm
Forum: Personal Investments
Topic: Is company’s 401k match based on base salary or social security salary?
Replies: 41
Views: 2675

Re: Is company’s 401k match based on base salary or social security salary?

It's base salary. Some companies will include the bonus if they have a well established bonus plan. Nowhere I've heard of includes retention incentives or percentage bonus pay (that occurs on every paycheck). EDIT: For those who make a lot, they may not want to become HCE's (120k, but not really, l...
by cherijoh
Tue Apr 23, 2019 4:37 pm
Forum: Personal Finance (Not Investing)
Topic: Savings rate
Replies: 104
Views: 8860

Re: Savings rate

How do people calculate savings rate and what is it comprised of for FI purposes, People say 10-15% for standard retirement or 20-25% for early retirement and some people seem to save above this rate also, what is the savings rate comprised of? Is it Gross/Net income which is used to calculate the ...
by cherijoh
Tue Apr 23, 2019 3:42 pm
Forum: Personal Investments
Topic: Vanguard Flagship Select Representative ??
Replies: 31
Views: 2599

Re: Vanguard Flagship Select Representative ??

Has anybody on the Forum had success with asking for a particular Personal Flagship Representative ?? I recently got into the category for a Flagship Select & Vanguard promptly changed my Representative, who I was quite happy & content with for my many investing years. I kind of miss him as he was ...
by cherijoh
Tue Apr 23, 2019 3:35 pm
Forum: Personal Consumer Issues
Topic: Amazon Returns accepted at Kohl's Dept. Stores...
Replies: 26
Views: 2394

Re: Amazon Returns accepted at Kohl's Dept. Stores...

Does this eliminate the return fee? Amazon generally doesn't charge a return fee. I've certainly never paid one. I always just print off the Amazon-provided UPS return labels and drop the package in a UPS box. I work in an office tower in downtown Cincinnati, and there is a UPS box one level below ...
by cherijoh
Tue Apr 23, 2019 3:20 pm
Forum: Personal Finance (Not Investing)
Topic: Getting Spouse On Board With Saving
Replies: 41
Views: 3942

Re: Getting Spouse On Board With Saving

The two of you need to figure out what your goals are. From your perspective, you think she's being unreasonable in wanting to live in the moment. From her perspective, she could be thinking, "I just spent nine years scrimping and saving through my education, and all I want is to be able to eat som...
by cherijoh
Tue Apr 23, 2019 2:55 pm
Forum: Personal Finance (Not Investing)
Topic: Getting Spouse On Board With Saving
Replies: 41
Views: 3942

Re: Getting Spouse On Board With Saving

12 years until the student loans are paid off? Why not much, much sooner? Like say 3-4 years. Dave Ramsey would probably be great for the spouse. I just struggle with someone who recommends advisors that place clients in A-share mutual funds, disregards the benefits of credit card usage, and solves...
by cherijoh
Tue Apr 23, 2019 12:13 pm
Forum: Personal Finance (Not Investing)
Topic: Not Maxing 401K OK?
Replies: 53
Views: 5441

Re: Not Maxing 401K OK?

1) You're savings rate is fine. People can always save 'more'. To maximize savings (maximize 401k), What part, if any, of 'toys and travel' would you be able to give up to increase that? Only you can answer that. 2) Within the scope of the amount you save for retirement, start by maximizing Roth ac...
by cherijoh
Tue Apr 23, 2019 9:48 am
Forum: Personal Finance (Not Investing)
Topic: Not Maxing 401K OK?
Replies: 53
Views: 5441

Re: Not Maxing 401K OK?

So I see lots of folks on here maxing 401K’s. Question is: For us mortals with lower income, is it ok to not max? Deets below... I’m 40, wife 36. I gross $50K, she grosses $76K. I save 18% pre tax VTSAX, Roth maxed out (2018 was my first Roth sadly, wife too) we invest in mostly VTI in Roth’s. She ...
by cherijoh
Tue Apr 23, 2019 9:31 am
Forum: Personal Finance (Not Investing)
Topic: Not Maxing 401K OK?
Replies: 53
Views: 5441

Re: Not Maxing 401K OK?

So I see lots of folks on here maxing 401K’s. Question is: For us mortals with lower income, is it ok to not max? Deets below... I’m 40, wife 36. I gross $50K, she grosses $76K. I save 18% pre tax VTSAX, Roth maxed out (2018 was my first Roth sadly, wife too) we invest in mostly VTI in Roth’s. She ...
by cherijoh
Tue Apr 23, 2019 8:58 am
Forum: Personal Consumer Issues
Topic: Tips for getting the most out of your cruise?
Replies: 60
Views: 4061

Re: Tips for getting the most out of your cruise?

So, cruise selection is not only where you want to go but how you want to experience getting there and back. Trust cruisecritic for perceptions. Try to filter out negative comments (if there aren't too many) - some folks' expectations are out of line with the market segment they've chosen to travel...
by cherijoh
Mon Apr 22, 2019 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: Taxes: marginal rate now vs effective rate in retirement
Replies: 198
Views: 9290

Re: Taxes: marginal rate now vs effective rate in retirement

I was trying to explain to a friend why I contribute to a traditional 401k as opposed to a Roth 401k. He strongly disagrees with my logic and it has me questioning myself. I explained that every dollar I contribute to my traditional 401k now would have been taxed at my marginal rate of 22%. When I ...
by cherijoh
Mon Apr 22, 2019 3:52 pm
Forum: Personal Investments
Topic: Should I start doing Roth Conversions and if so
Replies: 89
Views: 6186

Re: Should I start doing Roth Conversions and if so

I think doing Roth conversions is probably a good idea. Since tax rates are scheduled to revert to the old higher numbers in a few years, I'd convert up to the top of the 24% tax bracket (or maybe just under that if you want to avoid pushing any of the LTCG into the 20% rate). If/when tax rates do ...
by cherijoh
Mon Apr 22, 2019 8:30 am
Forum: Personal Consumer Issues
Topic: Traveling to paris and amboise next week
Replies: 19
Views: 1296

Re: Traveling to paris and amboise next week

I won’t comment on Paris because there are simply too many things to do and see there. Rick Steves’ Paris guide might be a good starting point. I'm headed to France week after next. A friend just pointed out that Rick Steves has a free app of audio tours for Europe. Download the app and then read t...
by cherijoh
Mon Apr 22, 2019 8:24 am
Forum: Personal Consumer Issues
Topic: River cruise, Avignon to Lyon, France
Replies: 36
Views: 2272

Re: River cruise, Avignon to Lyon, France

Wanting to pick the brains of the experienced travelers here. We are doing a river cruise next year from Avignon France to Lyon France. Looking at the best ways to get there from the states, I'm considering flying into Paris and taking trains to Avignon and from Lyon back to Paris. Does that make s...
by cherijoh
Sun Apr 21, 2019 3:39 pm
Forum: Personal Consumer Issues
Topic: Traveling to paris and amboise next week
Replies: 19
Views: 1296

Re: Traveling to paris and amboise next week

For something interesting in Paris, not far from the Louvre but actually in the 2nd arr., Google "paris covered passages" (without quotes). These arcades are hidden in several blocks of 19th century buildings just to the north of the Louvre and the Palais Royal. I discovered this part of Paris a fe...
by cherijoh
Sun Apr 21, 2019 1:21 pm
Forum: Personal Consumer Issues
Topic: Traveling to paris and amboise next week
Replies: 19
Views: 1296

Re: Traveling to paris and amboise next week

I won’t comment on Paris because there are simply too many things to do and see there. Rick Steves’ Paris guide might be a good starting point. I'm headed to France week after next. A friend just pointed out that Rick Steves has a free app of audio tours for Europe. Download the app and then read t...
by cherijoh
Sun Apr 21, 2019 1:08 pm
Forum: Personal Investments
Topic: Tapping into Roth to buy a house
Replies: 21
Views: 1528

Re: Tapping into Roth to buy a house

Yes, at this point I own 2 rentals and a primary residence. The properties are in TX and the market is fairly stable - there are no massive booms and busts as in other parts of the country. The properties were purchased after the post-Great Recession recovery was underway, so I do not think that th...
by cherijoh
Sun Apr 21, 2019 12:53 pm
Forum: Investing - Theory, News & General
Topic: Cash Flow vs Appreciation - Same thing?
Replies: 23
Views: 1018

Re: Cash Flow vs Appreciation - Same thing?

I am not sure. :) Can we assume it’s the same amount of cash you have invested in either scenario? I don’t want to make this about “REI vs Stocks” because of the many differences including using leverage for real estate. I was just curious about the arguments people make saying “real estate is real...
by cherijoh
Sun Apr 21, 2019 12:46 pm
Forum: Personal Investments
Topic: Tapping into Roth to buy a house
Replies: 21
Views: 1528

Re: Tapping into Roth to buy a house

Hello Bogleheads and Happy Holidays, Here is something I have been contemplating lately: Normally, I would never take money out of any retirement vehicles, but ... my wife and I are planing to purchase a house in the next 2-3 years and getting about 30K out of Roth would enable us to do so earlier,...