Search found 2552 matches

by heyyou
Wed Feb 22, 2017 11:23 pm
Forum: Personal Finance (Not Investing)
Topic: 1.3 million dollars in debt
Replies: 36
Views: 8135

Re: 1.3 million dollars in debt

If your tax guy gives the go ahead, open a 2016 Roth IRA before tax day this April, another one sometime for 2017, and one on each of the following years. The tax free growth on what is an annual small amount to you, will be a bright spot after three decades of contributions and growth. What matters...
by heyyou
Wed Feb 22, 2017 3:40 pm
Forum: Investing - Help with Personal Investments
Topic: Tilted in REIT, small cap, health care fund, should I continue or move them into total stock market
Replies: 14
Views: 1313

Re: Tilted in REIT, small cap, health care fund, should I continue or move them into total stock market

Since the 2000 Crash, I tilt away from Large Growth by using equal slices. I'm skeptical of over weighting the most popular stocks. Optimal is only known in retrospect, and the future is usually slightly different. When others find what suits them, it probably won't match my choices. Below is Trev H...
by heyyou
Wed Feb 22, 2017 2:47 pm
Forum: Personal Finance (Not Investing)
Topic: What are the big things to get right?
Replies: 57
Views: 5860

Re: What are the big things to get right?

Others have mentioned what to do. On how to do it, there is finding satisfaction with your current life, and seeing that passive investing will slowly take care of your future. Having a sense of enough will help you to save, and will reduce (but not eliminate) the frequency of your greedy financial ...
by heyyou
Sun Feb 19, 2017 1:15 am
Forum: Investing - Theory, News & General
Topic: Is a 4% plus CPI withdrawal rate actually aggressive?
Replies: 232
Views: 9663

Re: Is a 4% plus CPI withdrawal rate actually aggressive?

I think that beginning a 30 year (planned) retirement at 4% plus CPI is quite safe. But clearly, others are more pessimistic. Fixed real WDs are so 20th century, for those who remember cars with "3 on the tree" manual transmissions and when asbestos dust was safe to breathe. Use a WD base...
by heyyou
Sat Feb 18, 2017 3:34 pm
Forum: Investing - Help with Personal Investments
Topic: Investment in Limited Partnership?
Replies: 13
Views: 855

Re: Investment in Limited Partnership?

LPs are flawed for retail investors due to the various faults mentioned by each of the above posters.
Boglehead style investing works if you are patient enough. You won't be extremely wealthy, but you will be comfortable in retirement, living on your index fund investments. Patience is fullness.
by heyyou
Fri Feb 17, 2017 7:43 pm
Forum: Investing - Help with Personal Investments
Topic: Stock Market Fears
Replies: 55
Views: 5571

Re: Stock Market Fears

If the stock market crashes, how long could you two live on the $200K cash, then the bonds, before you sold any stock shares at reduced prices? And you already know how to cut back if the crash did last a long time. Ann, you got to where you are by living below your income, those skills do not go aw...
by heyyou
Fri Feb 17, 2017 3:46 pm
Forum: Personal Consumer Issues
Topic: Vietnam
Replies: 31
Views: 2492

Re: Vietnam

Nha Trang, a tourist town on the coast, north of Cam Rahn Bay, is on lists of scenic places to retire well on Social Security sized income. Cam Rahn Bay was okay, but my employer at the time, specified a year's stay. Compass Living has five properties in Saigon/Ho Chi Minh City. Some of them are hig...
by heyyou
Thu Feb 16, 2017 1:18 pm
Forum: Personal Finance (Not Investing)
Topic: "The Real Reason Big Savers Retire Early: Minimizing Retirement Savings Needs" by Michael Kitces
Replies: 5
Views: 1982

Re: "The Real Reason Big Savers Retire Early: Minimizing Retirement Savings Needs" by Michael Kitces

Saving pay raises is easier if you can adjust your perceptions to accepting "good enough," as in good enough car, good enough house, good enough electronic gadget, in spite of the constant advertising that implies you will be smarter and more attractive if you own a newer car/house/gadget....
by heyyou
Thu Feb 16, 2017 11:33 am
Forum: Investing - Theory, News & General
Topic: Merriman buy and hold strategy
Replies: 43
Views: 5205

Re: Merriman buy and hold strategy

Executing such a strategy with narrow rebalancing bands and/or frequent withdrawals or contributions might be like having a part time job. Frequent contributions would imply smaller ones. Putting each small one into whatever was down the most would be simple since the allocation slices are equal si...
by heyyou
Wed Feb 15, 2017 7:22 pm
Forum: Investing - Theory, News & General
Topic: Merriman buy and hold strategy
Replies: 43
Views: 5205

Re: Merriman buy and hold strategy

To reiterate what livesoft suggested above, his link is to Trev H's four fund Vanguard (VG) version of 8 of the 10 parts of the Merriman portfolio. The remaining two slices are Emerging Markets and REITs, also available at VG. Trev H's four funds are domestic LB, SV, and foreign ILV, ISB, all availa...
by heyyou
Wed Feb 15, 2017 5:19 pm
Forum: Personal Finance (Not Investing)
Topic: BH thoughts on money gurus
Replies: 12
Views: 1002

Re: BH thoughts on money gurus

They are all people, thus helpful and right sometimes, and sometimes dealing in their own interests. The proportions vary. Dave Ramsey encourages listeners to get out of debt, then advises them to enroll with higher cost investment advisers that send him a fee, when the alternative investment could ...
by heyyou
Wed Feb 15, 2017 8:17 am
Forum: Personal Finance (Not Investing)
Topic: Bogleheads not the norm?
Replies: 116
Views: 10098

Re: Bogleheads not the norm?

Personally I don't aspire to be normal, just average. I aspired to be normal but didn't ever get there. :happy What is not normal in our consumer economy is Living Below Your Means (LBYM), saving to invest. Another filter is, some savers are not willing to risk equity investing (my sister is among ...
by heyyou
Tue Feb 14, 2017 8:54 pm
Forum: Investing - Theory, News & General
Topic: Are stock valuations so high because interest rates are so low?
Replies: 28
Views: 2227

Re: Are stock valuations so high because interest rates are so low?

Are stock valuations so high because interest rates are so low? So what if they are? What is actionable? Nothing. Your allocation reflects your tolerance, and you just let it ride, rebalancing as necessary. We don't get to avoid crashes, we just have to accept them as part of being an equity invest...
by heyyou
Tue Feb 14, 2017 2:19 am
Forum: Investing - Theory, News & General
Topic: Does Passive Style of Index Fund create artificial demand?
Replies: 21
Views: 1222

Re: Does Passive Style of Index Fund create artificial demand?

But I feel there is some sort of circular logic in here, if index funds are too big then the demand created by market will be synonymous to the demand of the index funds. This is asked periodically. It is the same question as "If everyone is in indices, no one is setting prices." Count on...
by heyyou
Tue Feb 14, 2017 1:41 am
Forum: Personal Finance (Not Investing)
Topic: Using PE10 to limit withdrawal rate
Replies: 8
Views: 881

Re: Using PE10 to limit withdrawal rate

I've been toying with the idea to use the retiree's current investment balance, the equities allocation percent, and also the current market's PE10/CAPE, all to calculate a withdrawal rate. So has Michael McClung in Living Off Your Money. From several valuation methods, he divided their results int...
by heyyou
Tue Feb 14, 2017 12:11 am
Forum: Investing - Theory, News & General
Topic: Planning for Retirement: Why do it the recommended way?
Replies: 26
Views: 2489

Re: Planning for Retirement: Why do it the recommended way?

Nick, When investing, often the general advice needs minor adaptation to the individual. As mentioned above, some 401k plans have high expenses and some do not. That is typical of the imprecision that we have to live with. As Taylor Larimore has sagely noted, "There are many paths to Dublin&quo...
by heyyou
Wed Feb 08, 2017 12:28 am
Forum: Investing - Theory, News & General
Topic: What is the prediction of future long-term returns for your portfolio?
Replies: 63
Views: 4609

Re: What is the prediction of future long-term returns for your portfolio?

You are too late to get a prediction, we are fresh out of them. So far, the future is often slightly different from the past, in unexpected ways. Of the few who were right on a prediction, they noticeably failed on followup attempts. Many of those with predictions have an agenda that they want to sh...
by heyyou
Tue Feb 07, 2017 10:11 pm
Forum: Investing - Help with Personal Investments
Topic: Using DFA small/mid cap value fund in place of completion index?
Replies: 8
Views: 640

Re: Using DFA small/mid cap value fund in place of completion index?

What he said above, or some of each until you are more definite about which path to follow. The cost mantra is "low expenses," not "the very lowest ERs are the only acceptable choices." Cap weighting is the best way to have a low cost fund, but all of your choices are relatively ...
by heyyou
Mon Feb 06, 2017 11:50 am
Forum: Investing - Help with Personal Investments
Topic: What other investment options I can use to save more
Replies: 18
Views: 2039

Re: What other investment options I can use to save more

Many good answers above. Consider some of several of them, i.e. additional but taxable contributions into the employee retirement funds if the fees (fund fees and account fee are reasonable) and opening a conventional taxable account. Pay some extra on your mortgage. After you purchase I bonds, you ...
by heyyou
Sat Feb 04, 2017 9:08 pm
Forum: Investing - Theory, News & General
Topic: Anyone have a tilt portfolio similar to this
Replies: 22
Views: 1897

Re: Anyone have a tilt portfolio similar to this

Here is the Trev H thread discussing his VG version of Merriman's Slice and Dice portfolio:
https://www.bogleheads.org/forum/viewtopic.php?f=10&t=38374
25% domestic Large Blend
25% domestic Small Value
25% international Large Value
25% international Small Blend
by heyyou
Fri Feb 03, 2017 3:22 pm
Forum: Investing - Help with Personal Investments
Topic: Game won with market up and retire or Not Yet?
Replies: 33
Views: 4855

Re: Game won with market up and retire or Not Yet?

The market will crash but we don't know when, and it will then recover, but we don't know when. What we have seen is, if you annually spend a fixed percentage of the recent remaining portfolio value, you do not risk being impoverished. You risk a somewhat lower standard of living until recovery, to ...
by heyyou
Fri Feb 03, 2017 5:31 am
Forum: Investing - Help with Personal Investments
Topic: I'm a Midcap Underweight
Replies: 9
Views: 1045

Re: I'm a Midcap Underweight

A tempest in a tea pot, false precision, 6% is within some rebalancing trigger points, thus a mere rounding error, if that. Midweights have the mixed characteristics of Large and Small stocks, so any difference in the affect of them is muted. What is important is the stock/bond ratio, while the inte...
by heyyou
Fri Feb 03, 2017 4:56 am
Forum: Personal Finance (Not Investing)
Topic: Are Defined Benefit Plans a rip off?
Replies: 49
Views: 3983

Re: Are Defined Benefit Plans a rip off?

Research shows that some enjoyment comes from anticipating a purchase. Thanks. This is a very zen/efficient concept of making the dollar you work for give you the maximum pleasure. It is the anticipation that is part of the pleasure. Is there a book on this? the 2010 paper in pdf format https://sch...
by heyyou
Fri Feb 03, 2017 3:42 am
Forum: Investing - Help with Personal Investments
Topic: Market Weighted v Equal Split
Replies: 2
Views: 233

Re: Market Weighted v Equal Split

Whichever one you choose, the other will do better immediately, for a while. Either will perform good enough to help you reach your investing goals. How much you contribute is far more important than whether your equity fund choice(s) are solely cap weighted or multi-sliced. Consider using the singl...
by heyyou
Thu Feb 02, 2017 4:26 pm
Forum: Investing - Help with Personal Investments
Topic: How do you guys ignore this stuff?
Replies: 80
Views: 8078

Re: How do you guys ignore this stuff?

In the late 1970s, the Middle East was in turmoil, there was sabre rattling in Russia, China was a threat in the Far East, and inflation was a concern. Since then, there have been some market crashes, but stocks have grown expansively. The current situation is Middle Eastern turmoil, Russian sabre r...
by heyyou
Thu Feb 02, 2017 4:05 pm
Forum: Personal Finance (Not Investing)
Topic: Are Defined Benefit Plans a rip off?
Replies: 49
Views: 3983

Re: Are Defined Benefit Plans a rip off?

You do have time, long term, so pause and learn now before taking any action. You may benefit from seeing the rookie mistakes that others here, have made. You will be invested from now until you pass, then your assets will continue into your heirs' lives. My former tax guy became affiliated with an ...
by heyyou
Thu Feb 02, 2017 7:44 am
Forum: Investing - Theory, News & General
Topic: Does boglehead style investing benefit from being "Too big to fail"
Replies: 7
Views: 941

Re: Does boglehead style investing benefit from being "Too big to fail"

then I feel like heads would roll, hearings would be held, forces would intervene When the forces intervene, they are only doing what might have worked better than whatever was done the last time that they intervened. So far, the Japanese markets are still trying to recover from the last boom and b...
by heyyou
Tue Jan 31, 2017 10:08 pm
Forum: Investing - Theory, News & General
Topic: Kitces' "bond tent" to protect against sequence risk
Replies: 16
Views: 2869

Re: Kitces' "bond tent" to protect against sequence risk

Spending a fixed real amount of the retirement day assets, without ever considering returns for the next 2-3 decades, has risk. Spending as though your retirement is equal to the worst case, has risk. Retirees have lived within their means for 30 years prior to retirement. That needs to continue in ...
by heyyou
Mon Jan 30, 2017 9:47 pm
Forum: Investing - Help with Personal Investments
Topic: VEMAX vs DFEVX [Vanguard Emerging Mkt vs. DFA Emerging Mkt Value]
Replies: 9
Views: 763

Re: VEMAX vs DFEVX [Vanguard Emerging Mkt vs. DFA Emerging Mkt Value]

I wrote Over time, you will have exposure to both. To clarify, I had assumed that rolling a 401k into Vanguard (VG) at retirement, would involve selling the DFA EM shares, transferring only the value, then purchasing VG EM shares to maintain the same allocation during the retirement period. Thus, ma...
by heyyou
Mon Jan 30, 2017 8:20 pm
Forum: Investing - Help with Personal Investments
Topic: Projections for bonds if stocks tank
Replies: 26
Views: 2301

Re: Projections for bonds if stocks tank

If and when your portfolio value has fallen, consider withdrawing the 4% of its value all from the bond portion of your assets, not selling stocks at depressed prices. You will own ten or more years of withdrawals in the bond portion, giving the stock prices time to recover. You can replenish the bo...
by heyyou
Sun Jan 29, 2017 4:01 pm
Forum: Investing - Help with Personal Investments
Topic: VEMAX vs DFEVX [Vanguard Emerging Mkt vs. DFA Emerging Mkt Value]
Replies: 9
Views: 763

Re: VEMAX vs DFEVX

I would go with DFEVX until you leave that job, then your 401k gets rolled into a VG IRA for the rest of your life. Over time, you will have exposure to both.
by heyyou
Sun Jan 29, 2017 3:52 pm
Forum: Personal Finance (Not Investing)
Topic: SWR Logic [Safe Withdrawal Rate]
Replies: 28
Views: 2338

Re: SWR Logic

The best performing portfolios have about a tenth in bonds. Some of that is spent rebalancing into stocks during market crashes, which outperforms a 100% stock portfolio. Rigid spending parameters are easier to model, so the first SWR studies did that. Since then, it is obvious that retirees who are...
by heyyou
Thu Jan 26, 2017 12:29 pm
Forum: Personal Finance (Not Investing)
Topic: Do I have to pay full tax owed on RMD at time of distribution
Replies: 16
Views: 1866

Re: Do I have to pay full tax owed on RMD at time of distribution

I did not want to potentially miss the deadline. The dreaded penalty for late payment is.......just paying the interest due on the late tax. It is not a penalty plus the interest. Someone else will have to post the current annual interest rate but it is a low single digit percentage, and the tax is...
by heyyou
Thu Jan 26, 2017 11:34 am
Forum: Personal Finance (Not Investing)
Topic: Most creative and/or high value change
Replies: 31
Views: 2376

Re: Most creative and/or high value change

As others have mentioned, when you like your current spending level, stay there as your income rises. Save your pay increases. When you max out your tax deferred savings accounts, direct further savings into a Roth IRA, then to a taxable savings account. Most 401ks allow post tax contributions. With...
by heyyou
Tue Jan 24, 2017 12:11 am
Forum: Investing - Theory, News & General
Topic: Rewards of Multiple Asset Class Investing
Replies: 11
Views: 1308

Re: Rewards of Multiple Asset Class Investing

protecting against one risk will open me up to other risks.

Amen to that.
I like seeing that what worked better until 2009, is not what is doing well now. Broad diversification is needed over longer periods to capture whichever assets are doing well.
by heyyou
Mon Jan 23, 2017 11:21 pm
Forum: Investing - Help with Personal Investments
Topic: Rising Rate Environment-Keep or Sell VFIDX & VBTIX? [Int-term vs. Total Bond]
Replies: 6
Views: 658

Re: Rising Rate Environment-Keep or Sell VFIDX & VBTIX? [Int-term vs. Total Bond]

Whichever path you take, the other one will have been better at some point. Predicting the future is so difficult these days that I've given up trying. It has been written that after the price drop, every fund will be buying higher yielding bonds with new money, so the fund will recover after a while.
by heyyou
Mon Jan 23, 2017 10:57 pm
Forum: Investing - Theory, News & General
Topic: Why is Slicing/Dicing not Working?
Replies: 37
Views: 3755

Re: Why is Slicing/Dicing not Working?

Below is a slice and dice (S&D) equity portfolio using just four VG funds. Trev H does mention the low correlation/more frequent rebalancing between US SmV and foreign Small. Livesoft's observation above, that S&D requires more attention/rebalancing should be part of every S&D performanc...
by heyyou
Mon Jan 23, 2017 2:36 am
Forum: Investing - Theory, News & General
Topic: International equity allocation - do you tilt to EM?
Replies: 22
Views: 1772

Re: International equity allocation - do you tilt to EM?

International equity allocation - do you tilt to EM?
Yes.
I like equal slices of various equity sub-asset classes. Others would be wise to do whatever suits them.
by heyyou
Wed Jan 18, 2017 4:28 pm
Forum: Personal Consumer Issues
Topic: Volunteering Ideas
Replies: 87
Views: 6205

Re: Volunteering Ideas

When are "they" going to do something about that problem? Start to work on it yourself, that is how BHs developed. If you notice roadside litter in your neighborhood, or your parks, pick it up. Get one of those grabbing tools intended for senior use in the home, to keep your hands off of t...
by heyyou
Wed Jan 18, 2017 2:12 pm
Forum: Investing - Theory, News & General
Topic: TIPS are great in "theory." But real world...
Replies: 34
Views: 3570

Re: TIPS are great in "theory." But real world...

Without significant inflation, TIPS haven't been attractive. Have you noticed that every investment has risks, some obvious, some hidden until an unlikely future event? TIPS were designed for what occurred in the past, when no one expected our recent low inflation. Here we are, holding an imperfect ...
by heyyou
Mon Jan 16, 2017 11:13 am
Forum: Investing - Help with Personal Investments
Topic: Evaluating 2016 Retirement Investment - Planning for 2017
Replies: 7
Views: 865

Re: Evaluating 2016 Retirement Investment - Planning for 2017

We have been saving up to buy another house in the next 3-5 years. Should that "excess" money be put to use in a taxable account just buying tax efficient ETF/mutual fund? (e.g. Vanguard Total Stock Market Index)? When the stock market crashes, houses will sell for less, but so will your ...
by heyyou
Mon Jan 16, 2017 11:12 am
Forum: Investing - Help with Personal Investments
Topic: Evaluating 2016 Retirement Investment - Planning for 2017
Replies: 7
Views: 865

Re: Evaluating 2016 Retirement Investment - Planning for 2017

We have been saving up to buy another house in the next 3-5 years. Should that "excess" money be put to use in a taxable account just buying tax efficient ETF/mutual fund? (e.g. Vanguard Total Stock Market Index)? When the stock market crashes, houses will sell for less, but so will your ...
by heyyou
Sat Jan 14, 2017 12:13 am
Forum: Personal Consumer Issues
Topic: Trip to Kona, Hawaii - Suggestions
Replies: 44
Views: 2739

Re: Trip to Kona, Hawaii - Suggestions

Things to eat while you are in Hawaii, land of "food", island style. Loco Moco at Cafe 100 (ask for brown rice to slow the starch buzz, consider adding soy sauce, ketchup, maybe chili water) 969 Kilauea Ave. in Hilo http://cafe100.com/the-loco-moco/ Some of the enjoyment is the outdoor di...
by heyyou
Fri Jan 13, 2017 2:24 pm
Forum: Investing - Theory, News & General
Topic: Sectors and bubbles
Replies: 11
Views: 713

Re: Sectors and bubbles

No one knows the future. Sometimes the advisor's method will outperform, sometimes not, but his fee is constant. Note that the advisor isn't asking for a just a portion of his gains from managing your assets. When someone has you taking all of the risks while they get the steady income, that is not ...
by heyyou
Thu Jan 12, 2017 12:30 pm
Forum: Investing - Theory, News & General
Topic: Investing only after a market correction
Replies: 99
Views: 6850

Re: Investing only after a market correction

A decade or two from now, buying a little extra on the drops will not have mattered when compared to steady buying. My worst investments were when my gamble was successful on the first try, so I then thought that I could repeat it with a larger amount of money. These days, my striving for more is ju...
by heyyou
Thu Jan 12, 2017 2:39 am
Forum: Personal Consumer Issues
Topic: Trip to Kona, Hawaii - Suggestions
Replies: 44
Views: 2739

Re: Trip to Kona, Hawaii - Suggestions

Pau restaurant, in the same parking lot as Merriman's, in Waimea/Kamuela, has delicious, well prepared, food at a quarter of the prices next door. Hapuna Beach is famous for good reasons. For tourists, turn into the resort, stopping at the guard gate, then follow the signs past the resort to the pub...
by heyyou
Wed Jan 11, 2017 3:19 pm
Forum: Investing - Theory, News & General
Topic: 2016 Callan Periodic Table of Investment Returns
Replies: 27
Views: 3156

Re: 2016 Callan Periodic Table of Investment Returns

That chart has been the best learning tool for me, not just the relative return squares, but the return numbers accentuate the variations. I would like to see a computer model done with each square height relative to its % return.
by heyyou
Wed Jan 11, 2017 3:09 pm
Forum: Personal Finance (Not Investing)
Topic: Best Financial Moves You've Made
Replies: 141
Views: 16157

Re: Best Financial Moves You've Made

Somewhere about age 30, I felt that I had enough income, enough house chosen for its shorter commute, and enough reliable vehicle. I felt satisfied but what was lacking was, enough to retire. I then saved a good fraction and saved pay raises until I retired at 55, into the best years of my life. Abo...
by heyyou
Wed Jan 11, 2017 1:29 pm
Forum: Personal Consumer Issues
Topic: Anyone else having trouble with unrequested CVS auto-refills?
Replies: 55
Views: 2752

Re: Anyone else having trouble with unrequested CVS auto-refills?

Similar to CVS, Express Scripts sends a ninety day supply just before the prescription ends, then another 90 day supply when you renew.

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