Search found 113 matches

by Olemiss540
Wed Oct 18, 2017 4:34 pm
Forum: Investing - Help with Personal Investments
Topic: Is my prudential account worth the fees?
Replies: 20
Views: 1289

Re: Is my prudential account worth the fees?

At a lower income, it is highly recommended to invest in Roth type accounts as much as possible, EXCEPT where you can use traditional (pretax) investments in order to hack the EITC. Google earned income tax credits or savers credits to see if you would become eligible through lowering your income wi...
by Olemiss540
Wed Oct 18, 2017 7:18 am
Forum: Investing - Help with Personal Investments
Topic: Deciding between Roth TSP and Trad TSP
Replies: 25
Views: 1261

Re: Deciding between Roth TSP and Trad TSP

Leemiller wrote:
Wed Oct 18, 2017 7:12 am
In a higher bracket I chose the regular because I'd rather get the tax break now. If my tax bracket is high or as high in retirement, I can think of worse problems.
This. Are you fully funding all other available tax advantaged accounts? HSA? ROTH IRA?
by Olemiss540
Tue Oct 17, 2017 6:25 pm
Forum: Investing - Help with Personal Investments
Topic: Beginner Seeking 401K and IRA Advice!
Replies: 10
Views: 694

Re: Beginner Seeking 401K and IRA Advice!

Can't beat a target date fund for an all in one low cost solution.

Why not stick with target date funds and improve convenience while a small shift in returns will gain you little early in your investing career. Spend your time focused on maximizing your personal capital and increasing that income!
by Olemiss540
Mon Oct 16, 2017 8:48 pm
Forum: Personal Finance (Not Investing)
Topic: Best Next Steps - Kids/House/Savings Advise
Replies: 9
Views: 1386

Re: Best Next Steps - Kids/House/Savings Advise

It seems to me your fortunate position is largely based on some very lucky housing appreciation. Wait until you have settled down with kids before setting yourself up with a large mortgage obligation. Then you will have a much better feel for your new expense level and ensure one of you does not dec...
by Olemiss540
Mon Oct 09, 2017 9:11 am
Forum: Personal Finance (Not Investing)
Topic: (24M) - Should I take a pay cut for a new career path with a better payoff?
Replies: 21
Views: 2371

Re: (24M) - Should I take a pay cut for a new career path with a better payoff?

No doubt! Do it! One piece of advice, in the Energy sector you need to plan life one paycheck at a time. When times are good, remember they can just as easily be the opposite and keep stashing money as much as possible in the early years in case of downturns or layoffs. No new Porsches once you get ...
by Olemiss540
Fri Oct 06, 2017 11:31 am
Forum: Investing - Help with Personal Investments
Topic: Investing my HSA
Replies: 7
Views: 779

Re: Investing my HSA

Thanks learning_head! I assumed it would be best to consider it as part of my overall portfolio. I will need to make some adjustments by increasing bond holdings elsewhere. In my opinion, it is preferred to hold bonds in a IRA, and equities in an HSA and Roth account. Due to tax free growth and wit...
by Olemiss540
Fri Oct 06, 2017 10:36 am
Forum: Investing - Help with Personal Investments
Topic: Investing my HSA
Replies: 7
Views: 779

Re: Investing my HSA

Thanks learning_head! I assumed it would be best to consider it as part of my overall portfolio. I will need to make some adjustments by increasing bond holdings elsewhere. In my opinion, it is preferred to hold bonds in a IRA, and equities in an HSA and Roth account. Due to tax free growth and wit...
by Olemiss540
Thu Oct 05, 2017 1:47 pm
Forum: Investing - Help with Personal Investments
Topic: Seeking Input for Financial Plan
Replies: 12
Views: 899

Re: Seeking Input for Financial Plan

Which type of IRA did you contribute to? Non deductible? I am assuming at your income you are not eligible for direct Roth IRA contributions.

Plan to immediately roll this over to a Roth so as to not have to pay taxes on gains as it grows.
by Olemiss540
Thu Oct 05, 2017 1:42 pm
Forum: Investing - Help with Personal Investments
Topic: Help with making our money work harder for us?
Replies: 4
Views: 757

Re: Help with making our money work harder for us?

Thanks much for the reply delamer! I checked with my 401(k) provider at my new job, and they will accept a rollover from both of my abandoned accounts. So I'll get on that. Then for my Wife's, we can transfer her abandoned account (TIAA) to a new Vanguard IRA. In order to prepare to max out her 403...
by Olemiss540
Thu Oct 05, 2017 12:12 pm
Forum: Investing - Help with Personal Investments
Topic: Millionaire Next Door (Thank you Bogleheads)
Replies: 81
Views: 11081

Re: Millionaire Next Door (Thank you Bogleheads)

Fantastic! Any sage advice from your experience building the 7 figures in blue collar jobs, any stories on things that tried to derail your progress and how you navigated it?

I am sure mom is proud!
by Olemiss540
Thu Oct 05, 2017 10:54 am
Forum: Investing - Help with Personal Investments
Topic: First time home buyer - gut check
Replies: 19
Views: 1309

Re: First time home buyer - gut check

No way would I buy. Your rent is allowing you both extreme flexibility to setup your future finances. I would save and invest as much as possible while splurging on travel in preperation to how much your lives could change in your 30s. This will allow you to get a supercharged head start and pull th...
by Olemiss540
Tue Oct 03, 2017 7:51 pm
Forum: Investing - Help with Personal Investments
Topic: Chickened out... Now unsure where to start.
Replies: 33
Views: 3684

Re: Chickened out... Now unsure where to start.

Bro, When I start to have market concerns I wrap my head back around a few concepts and it puts my mind at ease a bit: 1.) My target date funds are heavily invested in foreign markets that are not as highly valued 2.) The "value" of the market is only what goes on inside the head of the person buyin...
by Olemiss540
Tue Oct 03, 2017 7:42 pm
Forum: Personal Finance (Not Investing)
Topic: Do you foresee a drop in housing prices in the next 5 years
Replies: 53
Views: 5330

Re: Do you foresee a drop in housing prices in the next 5 years

Nate79 wrote:
Tue Oct 03, 2017 2:11 pm
Maybe but I bought my crystal ball off of ebay.
Did you shake it first? That's how I got mine to work.
by Olemiss540
Mon Oct 02, 2017 12:05 pm
Forum: Investing - Help with Personal Investments
Topic: Starting Investing Strategy
Replies: 30
Views: 1928

Re: Starting Investing Strategy

Is there any way to refinance or lower your rate? That's is egregious.
by Olemiss540
Mon Oct 02, 2017 7:14 am
Forum: Investing - Help with Personal Investments
Topic: Starting Investing Strategy
Replies: 30
Views: 1928

Re: Starting Investing Strategy

@KlangFool Thank you so much for your advice. This is very helpful to me. In fact, being motivated, I bought the "Bogleheads Guide to Investing" yesterday and I have read 100 pages since yesterday (I just cannot keep the book down). So, here is my revised strategy: 1) Pre-Tax 401(k) - $428/month: T...
by Olemiss540
Fri Sep 29, 2017 6:32 pm
Forum: Personal Finance (Not Investing)
Topic: Bigger down payment or CDs?
Replies: 18
Views: 1436

Re: Bigger down payment or CDs?

I don't think you should pay a higher down payment unless that can reduce the overall interest rate. It's very difficult to get the money back -- you have to do a mortgage refinance which is costly and takes a long time. I think you should keep the money for emergency and for other opportunities. Y...
by Olemiss540
Fri Sep 29, 2017 12:18 pm
Forum: Investing - Help with Personal Investments
Topic: need advice
Replies: 11
Views: 604

Re: need advice

How can I roll TIRA into my 401k? I think using Roth IRA as emergency fund is good idea. You have to check your 401k plan documents to see if they allow incoming rollovers. They will have a form to fill out and then you contact your Tira provider to initiate the process. Make sure they send the che...
by Olemiss540
Fri Sep 29, 2017 11:04 am
Forum: Personal Finance (Not Investing)
Topic: Can we afford this house? ("Small Law" edition)
Replies: 19
Views: 2293

Re: Can we afford this house? ("Small Law" edition)

I thought you would be just fine until I saw those $1,200 a month in property taxes. That made my spider sense tingle. Must be Illinois, we pay 2.25-2.5% property taxes and it is one of the biggest reasons I haven't upgraded. My brother pays over 3%! Good thing they recently raised income taxes!
by Olemiss540
Fri Sep 29, 2017 7:45 am
Forum: Personal Finance (Not Investing)
Topic: Bigger down payment or CDs?
Replies: 18
Views: 1436

Re: Bigger down payment or CDs?

I would strongly consider a 15 year mortgage in your scenario with 404k down. On a 920k house, this will increase your payments by approximately 1200 dollars while decreasing total interest by 220k and shorten the term by 15 years. With so much liquidity, the increased monthly costs would be less of...
by Olemiss540
Thu Sep 28, 2017 7:45 pm
Forum: Personal Finance (Not Investing)
Topic: Can we afford this house? ("Small Law" edition)
Replies: 19
Views: 2293

Re: Can we afford this house? ("Small Law" edition)

I am in a fairly similar situation and would offer the following advice: Try to pay $4,000/mo on your mortgage for the next 6 months and see what it does to your savings rate. What your wife may do or business may do is not a part of your current situation, so give it a trial run and see how expense...
by Olemiss540
Thu Sep 28, 2017 7:31 pm
Forum: Investing - Help with Personal Investments
Topic: What additional investments to make or any other additional advice
Replies: 3
Views: 413

Re: What additional investments to make or any other additional advice

You can go ahead and invest the lump sum in the market now. Once your company offers a 401k, you can make withdrawals to help cover living expenses to enable you to max out your 401k contributions. No sense in waiting, investing is investing, and a downturn would enable you to harvest some tax losse...
by Olemiss540
Thu Sep 28, 2017 5:29 pm
Forum: Personal Finance (Not Investing)
Topic: I am in the investment advice industry and I'm not sure if I provide any value
Replies: 67
Views: 6403

Re: I am in the investment advice industry and I'm not sure if I provide any value

The knowledge is out there for any smart person to figure out on their own. I think you answered the question on accident. I hate to be the one to have to tell you this, but dare I say, a lot of the people in this country do not fall into the category of "smart person". Being a mechanic is tough, b...
by Olemiss540
Thu Sep 28, 2017 5:23 pm
Forum: Investing - Help with Personal Investments
Topic: Prioritizing investments - 401(k), HSA, Roth, or Trad IRA?
Replies: 16
Views: 1034

Re: Priotizing investments - 401(k), HSA, Roth, or Trad IRA?

I'm weird in that I rank an HSA much higher than most people do (if it's in an investment account.) It's the only place you get the tax deduction plus tax-free growth and tax-free withdrawals. True, it is largely limited in use, but who isn't going to have medical expenses at some point, especially...
by Olemiss540
Thu Sep 28, 2017 5:17 pm
Forum: Personal Finance (Not Investing)
Topic: What best to do with 150k cash in medical school?
Replies: 14
Views: 1245

Re: What best to do with 150k cash in medical school?

The loan has strings attached. You are the one who can decide whether to be bound by those strings. Some families use intra-family loans and gifts as a binding agent. It allows the lender to feel the pride of being a provider, giver, sponsor. It obligates the borrower to stay close to the family in...
by Olemiss540
Thu Sep 28, 2017 7:12 am
Forum: Personal Finance (Not Investing)
Topic: 27yo looking for advice on first house budget
Replies: 29
Views: 2480

Re: 27yo looking for advice on first house budget

No desire to rent. Why not? +1 27 and single is the time to either stay where you are and pile up money if you like your current living situation, or move to a nice 1 bedroom apt in the best location for you (either right by work or in the trendy bar/restaurant district; ideally both). No need for ...
by Olemiss540
Wed Sep 27, 2017 10:39 am
Forum: Investing - Help with Personal Investments
Topic: Starting Investing Strategy
Replies: 30
Views: 1928

Re: Starting Investing Strategy

OP, What is your current income? What are your current expenses? Any debt? Any short term savings goals? Any emergency fund in place? A lot of the suggestions above are making assumptions on these questions, it would simplify and improve the quality of advice if we knew your savings rates and could ...
by Olemiss540
Tue Sep 26, 2017 9:16 pm
Forum: Investing - Help with Personal Investments
Topic: Best way to build wealth
Replies: 32
Views: 4476

Re: Best way to build wealth

30k a year salary before taxes. And thank you! carguy1993, With 30K of salary, the first thing that you should learn is the tax credit. EITC https://ttlc.intuit.com/questions/1899157-what-are-the-qualifications-for-the-earned-income-credit-eic-or-eitc Saver's Credits https://www.bogleheads.org/wiki...
by Olemiss540
Tue Sep 26, 2017 9:08 pm
Forum: Investing - Help with Personal Investments
Topic: 40 Year Olds, how are we doing.. and other questions
Replies: 17
Views: 3572

Re: 40 Year Olds, how are we doing.. and other questions

Made the move to just max the 401k for the rest of this year. (There is enough time).. May pull from taxable for cash flow until it is maxed. Will pay down/off the HELOC soon enough. Any other general thoughts? I don't see any advertised Mortgages that are a benefit for refinancing... At least not ...
by Olemiss540
Tue Sep 26, 2017 3:55 pm
Forum: Investing - Help with Personal Investments
Topic: Roth vs traditional 401k
Replies: 31
Views: 2566

Re: Roth vs traditional 401k

But the OP is currently ALREADY in the HIGHEST marginal bracket, so his marginal bracket in retirement can be NO HIGHER. With the limited information given in the OP's post and the fact he is in the 39% marginal bracket RIGHT NOW, it would make zero sense to put money in a Roth account. "Zero" is n...
by Olemiss540
Tue Sep 26, 2017 1:18 pm
Forum: Investing - Help with Personal Investments
Topic: Roth vs traditional 401k
Replies: 31
Views: 2566

Re: Roth vs traditional 401k

People seem confused by if your marginal rate now vs retirement is the same, then it is a wash. That is incorrect logic. You need to compare your marginal rate on your contributions verses your EFFECTIVE tax rate on your withdrawals. Oh dear, not another one. :( Unfortunately, you have been misinfo...
by Olemiss540
Tue Sep 26, 2017 1:13 pm
Forum: Investing - Help with Personal Investments
Topic: Roth vs traditional 401k
Replies: 31
Views: 2566

Re: Roth vs traditional 401k

The marginal versus marginal people are only talking about the dollars in the last marginal tax bracket. The effective tax people are talking about them all. Both are right for the assumptions they are using. For example, if when you retire you have 100 dollars in the 25% bracket and 99900 dollars ...
by Olemiss540
Tue Sep 26, 2017 8:16 am
Forum: Investing - Help with Personal Investments
Topic: Investment Advice
Replies: 11
Views: 1215

Re: Investment Advice

Are you eligible for an HSA? I would fully contribute to the traditional 401k and then max out a Roth IRA (or backdoor roth) with the tax savings. This will give you a lot of flexibility for withdrawals and a larger total amount in your investments each year. If you are eligible for an HSA, consider...
by Olemiss540
Tue Sep 26, 2017 7:42 am
Forum: Investing - Help with Personal Investments
Topic: Roth vs traditional 401k
Replies: 31
Views: 2566

Re: Roth vs traditional 401k

People seem confused by if your marginal rate now vs retirement is the same, then it is a wash. That is incorrect logic. You need to compare your marginal rate on your contributions verses your EFFECTIVE tax rate on your withdrawals. Oh dear, not another one. :( Unfortunately, you have been misinfo...
by Olemiss540
Mon Sep 25, 2017 7:36 pm
Forum: Investing - Help with Personal Investments
Topic: Roth vs traditional 401k
Replies: 31
Views: 2566

Re: Roth vs traditional 401k

TRADITIONAL At a 4% withdrawal rate, you would need a 10 MILLION dollar nest egg to reach the 35% marginal bracket. People seem confused by if your marginal rate now vs retirement is the same, then it is a wash. That is incorrect logic. You need to compare your marginal rate on your contributions ve...
by Olemiss540
Mon Sep 25, 2017 7:27 pm
Forum: Investing - Help with Personal Investments
Topic: Maxed out Roths, 401k options?
Replies: 7
Views: 1025

Re: Maxed out Roths, 401k options?

Quick Info: Income $115,000k (married, combined annual) Mortgage: $276k at 3.5% (value $420k) Emergency Fund: Yes Portfolio: $160k Pension: Around 45% of my salary at age 53 Kids: Two (1 and 4 years old) Age: Both 31 years old College Savings Accounts: 509s for each child with small balances ($100 ...
by Olemiss540
Mon Sep 25, 2017 6:12 pm
Forum: Investing - Help with Personal Investments
Topic: Investing in the right funds for retirement & brokerage account
Replies: 7
Views: 720

Re: Investing in the right funds for retirement & brokerage account

You want to invest in tax efficient broadly diverse STOCK funds in your taxable account. Any mutual funds that contain bonds have interest that is taxed yearly at your marginal rate, so not a great option. Index stock funds have small amounts (2-3%) of qualified dividends which are taxed at much low...
by Olemiss540
Mon Sep 25, 2017 6:07 pm
Forum: Investing - Help with Personal Investments
Topic: Traditional versus Roth IRA
Replies: 4
Views: 768

Re: Traditional versus Roth IRA

mhalley wrote:
Mon Sep 25, 2017 5:42 pm
a general rule of thumb is that roths are better for most people.
Definately not, maybe this is a typo? A general rule of thumb is to fill pretax buckets first UNLESS you expect a hefty pension or are currently in the 15% bracket or lower.
by Olemiss540
Mon Sep 25, 2017 6:04 pm
Forum: Investing - Help with Personal Investments
Topic: Extra Cash - Where Should I Put It?
Replies: 9
Views: 918

Re: Extra Cash - Where Should I Put It?

I would like to invest/save it rather than needlessly spend it on something I don't need. ....since I COULD possibly use it for something in the next 3-5 years. I would go ahead and plop it down against the mortgage, if nothing else that the two conflicting comments above. Putting the money towards...
by Olemiss540
Mon Sep 25, 2017 4:56 pm
Forum: Investing - Help with Personal Investments
Topic: Extra Cash - Where Should I Put It?
Replies: 9
Views: 918

Re: Extra Cash - Where Should I Put It?

I would like to invest/save it rather than needlessly spend it on something I don't need. ....since I COULD possibly use it for something in the next 3-5 years. I would go ahead and plop it down against the mortgage, if nothing else that the two conflicting comments above. Putting the money towards...
by Olemiss540
Mon Sep 25, 2017 7:06 am
Forum: Investing - Help with Personal Investments
Topic: Med Student about to enter workforce
Replies: 3
Views: 426

Re: Med Student about to enter workforce

I'm 26 years old, will be graduating med school and starting internship this upcoming June/July. Before I start making money for the first time in my life I'd like to make sure I'm investing it appropriately. I've been reading The Bogleheads' guide to investing, the four pillars of investing and th...
by Olemiss540
Mon Sep 25, 2017 6:33 am
Forum: Personal Finance (Not Investing)
Topic: Sanity Check on Max Seller Paid Closing Costs
Replies: 3
Views: 404

Re: Sanity Check on Max Seller Paid Closing Costs

Not a realtor but that is what I was told when I purchased my current home. It was use it or lose it.
by Olemiss540
Sun Sep 24, 2017 4:44 pm
Forum: Investing - Help with Personal Investments
Topic: My idea---four fund portfolio ?
Replies: 10
Views: 1240

Re: My idea---four fund portfolio ?

vijaym73 wrote:
Sun Sep 24, 2017 3:54 pm
Thanks everyone for the replies.

You guys are correct. Keep It Simple Stupid !!!

Ill keep FUSEX and FSIIX and add FTABX to round things off

thanks again

V
Sounds great! After your previous experience, I would err on the opposite end of the spectrum and go simple simple simple!
by Olemiss540
Sun Sep 24, 2017 10:56 am
Forum: Investing - Help with Personal Investments
Topic: Investing in Roth/Traditional vs Paying off debt
Replies: 19
Views: 986

Re: Investing in Roth/Traditional vs Paying off debt

100k @8%, paying 45% taxes every year on gains = 364k in 30 years 100k @8% paying 20% on gains at the end of 30 years = 700k I am willing to take on volatility for 2x as much money. You have to be pretty risk adverse not to. How does this math equation have anything to do with the OP's situation? H...
by Olemiss540
Sun Sep 24, 2017 10:50 am
Forum: Investing - Help with Personal Investments
Topic: Investing in Roth/Traditional vs Paying off debt
Replies: 19
Views: 986

Re: Investing in Roth/Traditional vs Paying off debt

OP, The answer to all your questions is no for a very simple and important reason: diversification. This commercial property should stand on its own. If it is a good deal, you should keep it and it will be paid off in 6 years. If it is not, do not keep it. If you put the rest of your money into thi...
by Olemiss540
Sun Sep 24, 2017 9:36 am
Forum: Investing - Help with Personal Investments
Topic: Investing in Roth/Traditional vs Paying off debt
Replies: 19
Views: 986

Re: Investing in Roth/Traditional vs Paying off debt

Thank you all for your responses. Maybe acquired is not the right word. The property is a gift to me from my family, the debt is supposed to be paid off in 6 years using the rent. Beyond that, I get the rent monthly. I was hoping to see if it makes sense to pay off the loan earlier because of the 1...
by Olemiss540
Sun Sep 24, 2017 8:25 am
Forum: Investing - Help with Personal Investments
Topic: Investing in Roth/Traditional vs Paying off debt
Replies: 19
Views: 986

Re: Investing in Roth/Traditional vs Paying off debt

Thank you all for your responses. Maybe acquired is not the right word. The property is a gift to me from my family, the debt is supposed to be paid off in 6 years using the rent. Beyond that, I get the rent monthly. I was hoping to see if it makes sense to pay off the loan earlier because of the 1...
by Olemiss540
Sun Sep 24, 2017 7:58 am
Forum: Personal Finance (Not Investing)
Topic: Invest, or Buy a $25,000 Screened-in Deck?
Replies: 24
Views: 2226

Re: Invest, or Buy a $25,000 Screened-in Deck?

What is your age/income/mortgage size/savings rate (not counting the money you set aside for the deck), retirement portfolio size, estimated retirement expenses, hopeful retirement age? A 25k splurge is not a big deal once in a while as long as everything else is on track, but it seems you just splu...
by Olemiss540
Sun Sep 24, 2017 7:43 am
Forum: Personal Finance (Not Investing)
Topic: Mortgage Recast Before Renting Out
Replies: 10
Views: 848

Re: Mortgage Recast Before Renting Out

Congratulations on your first home! For an estimate, I calculated the lump sum/recast to give an annual cash-on-cash return of ~6% and $50k+ saved on interest which isn't too bad. I realize that just continuing the current terms/monthly payments with paying it down would pay it off earlier but this...
by Olemiss540
Sun Sep 24, 2017 7:30 am
Forum: Personal Finance (Not Investing)
Topic: Evaluating my HSA
Replies: 10
Views: 883

Re: Evaluating my HSA

Still not clear why you want to move away from the HDHP? You know you can also open your own HSA elsewhere and invest it right? You do not have to utilize the HSA that is offered through your employer. The HSA can also be utilized to cover your daughters braces as well. What benifit do you feel havi...