Search found 87 matches

by TXJeff
Tue Apr 23, 2019 11:26 am
Forum: Personal Consumer Issues
Topic: Living Overseas for 4 Months/Year for Regional Travel (Retirement)
Replies: 45
Views: 2345

Re: Living Overseas for 4 Months/Year for Regional Travel (Retirement)

Has anyone else thought or done something like this? Any other negatives with this approach? Retired a couple of years ago, and I do this—with a twist. I don’t simply go to places where I want to travel—I go to places where I can uniquely pursue “bucket list” interests. For example, based myself in...
by TXJeff
Wed Mar 20, 2019 9:49 am
Forum: Personal Consumer Issues
Topic: Travel Insurance for Visiting the U.S.
Replies: 7
Views: 416

Re: Travel Insurance for Visiting the U.S.

I've used World Nomads travel insurance for many trips. They do cover the US. Always a good experience, including a making a claim.
https://www.worldnomads.com/
by TXJeff
Fri Mar 08, 2019 6:52 am
Forum: Personal Consumer Issues
Topic: attacked by off-leash dog
Replies: 220
Views: 7062

Re: attacked by off-leash dog

Here are some of my questions: -How to protect yourself when attacked by dog? How to minimize the chances of being attacked? I was taking a walk by myself and was not interacting with the dog in anyway. Thanks! TO PREVENT A DOG ATTACK Learn a little about canine behavior and “body language” to tell...
by TXJeff
Tue Feb 26, 2019 8:03 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

I think it really comes down to what you think your marginal rate is going to be when your RMDs hit. Any conversions you do now, factoring in the ACA loss of subsidy is really being taxed at a marginal rate of 22%. If you think your marginal rate will be at that or higher once SS and RMD hits you, ...
by TXJeff
Mon Feb 25, 2019 2:16 pm
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

ACA and ROTH Thru age 65, convert $162,000, lumping conversions into 6 years $27,000 per year. Tax is $2,700 per year. Total tax is $16,200. Age 65-70, convert $260,000 lumping conversions into 4 years at $65,000 per year to stay under IRMAA. Tax is $12,500 per year. Total tax is $50,000. ACA subsi...
by TXJeff
Mon Feb 25, 2019 11:15 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

Comments are in a random order: How important is it to you to stay under a limit to get ACA subsidies? What is the number you need to stay under? For 2019, I need to stay under $48,000. Subsidy at that amount is just under $4,000. Note that in the taxable account, some of those individual holdings ...
by TXJeff
Fri Feb 15, 2019 7:36 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

Have you made any decisions about getting rid of some of the positions in your portfolio? It is unnecessarily complex as you have already noticed. And if you wish to tax loss harvest, I'd put all the international into the taxable account and not use total stock in either IRA. In fact, for that Rot...
by TXJeff
Fri Feb 15, 2019 7:11 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

I think you might be thinking about this the wrong way. The OP can't get the $2,700 back by not taking the subsidy. If he goes over the cliff, he loses BOTH the $2,700 AND the $4k. Maybe a better way to think about it is that if he did not do the Roth conversion (right up to the cliff), he would ac...
by TXJeff
Thu Feb 14, 2019 5:56 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

Good question. I am tax driven, but not ACA-subsidy only driven. Here is how I came up with that multi-year strategy: At retirement, I realized I didn’t understand much about the mechanics of living off a portfolio. Read a lot, and waded into the abyss of ACA subsidies, ROTH conversions, SS tax per...
by TXJeff
Wed Feb 13, 2019 12:30 pm
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

Note: I realize that technically the individual stocks are probably the biggest portfolio threat, but there, I am executing a well-thought out, multi-year strategy, and I am completely comfortable. No wincing! Before I head into ideas for bigger changes, what is your well-thought out multi year str...
by TXJeff
Wed Feb 13, 2019 8:12 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

Note: I realize that technically the individual stocks are probably the biggest portfolio threat, but there, I am executing a well-thought out, multi-year strategy, and I am completely comfortable. No wincing! Before I head into ideas for bigger changes, what is your well-thought out multi year str...
by TXJeff
Wed Feb 13, 2019 5:33 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

I'm going to go ahead and get some thoughts written down before I forget them. I'm largely in agreement with aristotelian's thoughts except for one thing. I would not convert all of the IRA to Roth (probably only half) and to me that is a second priority, not the first. 1) Liquidate your entire IRA...
by TXJeff
Tue Feb 12, 2019 3:03 pm
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

Note: I realize that technically the individual stocks are probably the biggest portfolio threat, but there, I am executing a well-thought out, multi-year strategy, and I am completely comfortable. No wincing! Before I head into ideas for bigger changes, what is your well-thought out multi year str...
by TXJeff
Tue Feb 12, 2019 2:48 pm
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

How important is it to you to stay under a limit to get ACA subsidies? What is the number you need to stay under? For 2019, I need to stay under $48,000. Subsidy at that amount is just under $4,000. Note that in the taxable account, some of those individual holdings are non-dividend stocks. Early e...
by TXJeff
Tue Feb 12, 2019 12:53 pm
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

Ok, same question, but different emphasis - what is the greatest weakness or threat of the portfolio itself? When you look at it, which account or which holding(s) causes you to wince or worry a little bit? For me, I wince a little about fixed income. As I mentioned in my original question 1, the m...
by TXJeff
Tue Feb 12, 2019 12:18 pm
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

What do you consider the biggest threat or weakness in the portfolio? What makes you most anxious? I think the biggest threat/weakness is my limited knowledge. For example, in late 2017 and early 2018, I followed the BH wiki to place newly purchased Total International index funds in ROTH and in ta...
by TXJeff
Tue Feb 12, 2019 11:43 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

retiredjg wrote:
Tue Feb 12, 2019 11:38 am
TXJeff wrote:
Tue Feb 12, 2019 11:22 am
retiredjg wrote:
Tue Feb 12, 2019 10:27 am
How many custodians are involved in this portfolio?
I am managing it myself, via one brokerage.
I assume that is at Schwab? Are you paying any transaction fees to buy the non-Schwab ETFs?
Yes, held at Schwab. I have several years of free trades on non-Schwab etf's.
by TXJeff
Tue Feb 12, 2019 11:30 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

First, congratulations on all the progress you have made! 6. The portfolio still seems a long way from the simple, efficient Boglehead 3-fund. Any other suggestions? It is unclear to me what type of portfolio you want. Your first questions are all about the trees, not the forest. Only the last ques...
by TXJeff
Tue Feb 12, 2019 11:23 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

retiredjg wrote:
Tue Feb 12, 2019 10:35 am
I want to be sure I understand what you told us.

I am interpreting 15%: large cap growth, retail (99.7% long term cap. gains) as 1 stock worth about $300k+ and essentially all that $300k+ is long term capital gains.
Exactly.
by TXJeff
Tue Feb 12, 2019 11:22 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up: fund placement and tax efficiency

retiredjg wrote:
Tue Feb 12, 2019 10:27 am
How many custodians are involved in this portfolio?
I am managing it myself, via one brokerage.
by TXJeff
Tue Feb 12, 2019 5:51 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Re: Portfolio Check Up

Questions 1. Fixed income in IRA: After selling all individual stocks in IRA, I split proceeds between BND, BIV and CD’s, and continued reading/researching for a final fixed income plan. But I’m not any clearer now. It seems like some would recommend just BND, while others would suggest fund combin...
by TXJeff
Mon Feb 11, 2019 6:47 am
Forum: Personal Investments
Topic: Portfolio Check Up: fund placement and tax efficiency
Replies: 57
Views: 2977

Portfolio Check Up: fund placement and tax efficiency

UPDATE: the end of this thread turned into a discussion of if/how to balance ACA subsidies and ROTH conversions, given a highly appreciated taxable portfolio. I used the advice from posts and follow up PM’s to add a post showing how different options stack up. Many thanks to Celia, retiredjg and th...
by TXJeff
Tue Nov 06, 2018 1:21 pm
Forum: Personal Consumer Issues
Topic: Christmas in Montreal?
Replies: 8
Views: 656

Re: Christmas in Montreal?

My husband and I are deciding where to spend Christmas and the idea of Montreal was suggested. Anyone with experience spending the holiday there? We would stay downtown or in Old Montreal and do the holiday markets, museums, see the churches, ride the wheel, etc. Not sure of appropriate length of s...
by TXJeff
Fri Nov 02, 2018 8:34 am
Forum: Personal Investments
Topic: Too much risk in this retirement draw down plan?
Replies: 21
Views: 2068

Re: Too much risk in this retirement draw down plan?

Maybe I am missing something. Can you explain what you mean by "Free Roth Conversions". Those conversions are treated as ordinary income, subject to the marginal tax rate, additionally, since you also mention aca tax credits in the same years as the Roth conversions, then there is an additional 9.5...
by TXJeff
Thu Nov 01, 2018 7:09 pm
Forum: Personal Investments
Topic: Too much risk in this retirement draw down plan?
Replies: 21
Views: 2068

Re: Too much risk in this retirement draw down plan?

I am suggesting that you maintain your allocation except for withdrawals in small increments. You should certainly do your distributions and realized gains in whatever is the most tax efficient way. Thanks for this. It clarifies for me that sometimes "withdrawals in small increments" and "distribut...
by TXJeff
Thu Nov 01, 2018 5:52 pm
Forum: Personal Investments
Topic: Too much risk in this retirement draw down plan?
Replies: 21
Views: 2068

Re: Too much risk in this retirement draw down plan?

But what about next time? Is this concentrated sales strategy adding risk? And if so, how would you assess the risk? I don't understand how this necessarily adds risk? You don't talk about your asset allocation. The act or realizing a gain or loss doesn't necessarily imply more "risk" to me. If I s...
by TXJeff
Thu Nov 01, 2018 5:35 pm
Forum: Personal Investments
Topic: Too much risk in this retirement draw down plan?
Replies: 21
Views: 2068

Re: Too much risk in this retirement draw down plan?

I think it makes conceptual sense to lump capital gains into a year when you aren't going to do Roth conversions. That will keep your income down and either reduce the margin tax rate on conversions or allow you to convert more. You will lose some time in the market which may or may not have some l...
by TXJeff
Thu Nov 01, 2018 1:29 pm
Forum: Personal Investments
Topic: Too much risk in this retirement draw down plan?
Replies: 21
Views: 2068

Re: Too much risk in this retirement draw down plan?

Seems like the inverse of the question people have whether to invest a lump sum or dollar cost average. The reason the conventional wisdom is for lump sum is that with markets generally going up, probabilities favor staying fully invested. The same logic would seem to argue against the big withdraw...
by TXJeff
Thu Nov 01, 2018 1:18 pm
Forum: Personal Investments
Topic: Too much risk in this retirement draw down plan?
Replies: 21
Views: 2068

Re: Too much risk in this retirement draw down plan?

Maybe some background about my thinking will help: I found I couldn't use the popular retirement draw down tools, because they had baked in assumptions, unchangeable, that were so different from my situation. So I started researching draw down methods, the different taxes that would apply, etc. I sa...
by TXJeff
Thu Nov 01, 2018 1:10 pm
Forum: Personal Investments
Topic: Too much risk in this retirement draw down plan?
Replies: 21
Views: 2068

Re: Too much risk in this retirement draw down plan?

I must be missing something: how does bulking the selloffs from your taxable account provide a sweet spot for Roth conversions? Sales of appreciated assets from a taxable account are subject to capital gains tax, not income tax. Roth conversions are subject to income tax. You can do both in the sam...
by TXJeff
Thu Nov 01, 2018 12:42 pm
Forum: Personal Investments
Topic: Too much risk in this retirement draw down plan?
Replies: 21
Views: 2068

Too much risk in this retirement draw down plan?

Hello! 57 year old, with a $2 million plus portfolio. Early retiree as of last year. I use the inflation adjusted constant dollar withdrawal method: $65K for 2018. No pension, but will have social security. Asset allocation is 60/40 with 1/4 of portolio in IRA, the rest in taxable--so I have signifi...
by TXJeff
Mon Sep 17, 2018 10:15 am
Forum: Personal Investments
Topic: Simplyfing a Portfolio - Looking for Advice
Replies: 11
Views: 1351

Re: Simplyfing a Portfolio - Looking for Advice

To answer your other question - I am contemplating early-retirement, or at least a job change to something I find interesting and the pay can be secondary consideration. Today, I earn a very good salary, but the stress is high and hours can be brutal. Over the last two years my frustration level ha...
by TXJeff
Sun Sep 16, 2018 9:50 am
Forum: Personal Investments
Topic: Simplyfing a Portfolio - Looking for Advice
Replies: 11
Views: 1351

Re: Simplyfing a Portfolio - Looking for Advice

This portfolio is actually not too bad. The IRA and ROTH funds can be changed without tax implications. That’s just a research project for you. In the taxable, there are two issues: expense ratio, and holdings that are “off track” for your new total market index approach. If it were me, I’d look at ...
by TXJeff
Fri Sep 14, 2018 11:28 am
Forum: Personal Investments
Topic: How to overcome regrets/fears?
Replies: 15
Views: 1737

Re: How to overcome regrets/fears?

I’m also recently recovered from trying to beat the market and invest in individual stocks. What helped me was first, reading a couple of the Boglehead recommended books, then creating an Investment Policy Statement. Book list here: https://www.bogleheads.org/wiki/Books:_recommendations_and_reviews ...
by TXJeff
Wed Sep 12, 2018 10:24 am
Forum: Personal Finance (Not Investing)
Topic: My daughter's inheritance.
Replies: 85
Views: 12264

Re: My daughter's inheritance.

One other question I forgot to ask. If I go the multiple CD route for now, how do I go about this with multiple banks? The estate account ended up being invested in CDs by the financial advisor I mentioned earlier (She is a friend of the estate attorney's and that is how I got connected with Edward...
by TXJeff
Sun Sep 09, 2018 8:03 am
Forum: Personal Investments
Topic: Is it worth doing a small Roth conversion now?
Replies: 16
Views: 1158

Re: Is it worth doing a small Roth conversion now?

DW and I have never contributed to a Roth. We're hoping to FIRE at the beginning of 2021 at the age of 59. Running i-ORP it is telling us to make a ~$200K Roth conversion during the 1st year of retirement, then spend from the Roth and taxable over the next 5 years (until Medicare)... keeping income...
by TXJeff
Sun Sep 09, 2018 6:43 am
Forum: Personal Investments
Topic: Tax Loss Harvest newbie needs help!
Replies: 6
Views: 682

Re: Tax Loss Harvest newbie needs help!

I just wanted to point out that if you have losses left after TLH against cap gains, these will be applied to wage or other income up to $3000/year. Then if you have still more left in losses the excess gets "banked" for subsequent tax years. Take a look at Schedule D in your 1040 to see how it wor...
by TXJeff
Sat Sep 08, 2018 7:18 am
Forum: Personal Investments
Topic: Tax Loss Harvest newbie needs help!
Replies: 6
Views: 682

Re: Tax Loss Harvest newbie needs help!

student wrote:
Sat Sep 08, 2018 6:45 am
No expert myself but I agree this is not a wash sale. You have a short term capital loss since you hold them less than 1 year.
Thanks, student. The $10,000 in TLH can apply to both short and long term capital gains, right?
by TXJeff
Sat Sep 08, 2018 6:38 am
Forum: Personal Investments
Topic: Tax Loss Harvest newbie needs help!
Replies: 6
Views: 682

Tax Loss Harvest newbie needs help!

Thanks to discovering Bogleheads last year, I ditched my advisor, and have been re-organizing my portfolio, selling individual stocks and correcting my asset allocation. That’s been great. However, part of the change was buying into an international stock index ETF, and I now have a loss there. Have...
by TXJeff
Fri Aug 17, 2018 6:25 am
Forum: Personal Consumer Issues
Topic: What to do in Seattle around Christmas?
Replies: 29
Views: 1574

Re: What to do in Seattle around Christmas?

The Christmas Ship Parade. Local boats fully "decked out" with Christmas lights and decorations cruise the Seattle area's multiple interconnected lakes. There will be Christmas caroles! Two ways for tourists to enjoy: be a part of the parade by going on one of the boats--or enjoy the parade from on...
by TXJeff
Thu Aug 16, 2018 12:09 pm
Forum: Personal Finance (Not Investing)
Topic: Using ACA for early retirement years
Replies: 103
Views: 7936

Re: Using ACA for early retirement years

As someone "in the thick of it" what is recommended course of action that provides a more solid plan? If one is committed to retiring before being Medicare eligible (which you are I both did) then I think one needs to set aside a very healthy amount in the budget for health care coverage. You do ha...
by TXJeff
Wed Aug 15, 2018 8:50 pm
Forum: Personal Consumer Issues
Topic: Plan us a trip !
Replies: 17
Views: 2187

Re: Plan us a trip !

I think any trip destination should consider what activities are available for your children and what might you expect them to remember. No way I would do Costa Rica. (I was just there last January and not a good place for small children.) You do not want to do long airline flights and have long cu...
by TXJeff
Wed Aug 15, 2018 7:47 pm
Forum: Personal Consumer Issues
Topic: Plan us a trip !
Replies: 17
Views: 2187

Re: Plan us a trip !

Two words: Costa Rica!
by TXJeff
Wed Aug 15, 2018 2:44 pm
Forum: Personal Investments
Topic: Wife got a new job! Please evaluate my portfolio...
Replies: 24
Views: 2130

Re: Wife got a new job! Please evaluate my portfolio...

One thing to consider: with your wife now working, your monthly expenses are likely to go up.
by TXJeff
Tue Aug 14, 2018 9:55 pm
Forum: Personal Consumer Issues
Topic: As an American, where are some great places in the world to retire?
Replies: 151
Views: 15647

Re: As an American, where are some great places in the world to retire?

Some commenters are mentioning Italy and some other European countries. I thought it was quite difficult to get a resident visa in these places. I've heard that it's even hard for an American citizen to retire in Canada. Mexico. Central and South America, yes, Europe and Canada, no. Am I wrong? You...
by TXJeff
Mon Aug 13, 2018 9:59 pm
Forum: Personal Consumer Issues
Topic: Phone Plan for US-Child doing a Semester Abroad (VerizonWirelss)
Replies: 50
Views: 2732

Re: Phone Plan for US-Child doing a Semester Abroad (VerizonWirelss)

In Austria, she can do A1, T-Mobile (AU) or Drei (3). All offer pre-paid cards. EU cards can now be used all over the EU without roaming charges. They may all have offices at the airport near the train (assuming she is coming into Vienna)...or just walk into the shop in downtown Vienna (there will ...
by TXJeff
Mon Jul 09, 2018 1:16 pm
Forum: US Chapters
Topic: favorite bogleheads posts?
Replies: 113
Views: 25974

Re: favorite bogleheads posts?

Hands down favorite: the Chuck Norris thread. https://www.bogleheads.org/forum/viewtopic.php?t=59026 It features sayings like: Chuck Norris Morningstar X-Ray: 100/100/100 100/100/100 100/100/100 When the yield on a Chuck Norris bond goes up, the price also rises. Black Swans consider Chuck Norris a ...
by TXJeff
Fri Jul 06, 2018 3:54 am
Forum: Personal Consumer Issues
Topic: A week in Montreal in August, advice/suggestions?
Replies: 14
Views: 886

Re: A week in Montreal in August, advice/suggestions?

Montreal is a city of summer festivals, so first check out what’s happening when you’ll be there. Here’s one list: https://www.mtl.org/en/experience/montreal-summer-festival-guide With a week in the area, you could do something like: Day 1: Old Montreal, downtown, Art Museum Day 2: St Joseph’s Orato...
by TXJeff
Wed May 30, 2018 4:09 pm
Forum: Investing - Theory, News & General
Topic: Renting vs Owning Your Home
Replies: 166
Views: 15775

Re: Renting vs Owning Your Home

Ben Mathew wrote:
Thu May 24, 2018 12:05 am
I am aware of the earthquake risks in Seattle, and have taken steps to mitigate them. I got a seismic retrofit done, and purchased the optional "earthquake and volcanic eruption" coverage on my homewoners insurance
Kudos on the preparation, and I hope you never need to use that coverage!
by TXJeff
Wed May 30, 2018 2:54 pm
Forum: Investing - Theory, News & General
Topic: Renting vs Owning Your Home
Replies: 166
Views: 15775

Re: Renting vs Owning Your Home

The home you own and live in should be viewed as a safe asset in your portfolio. In the risk spectrum, you should consider your owned home significantly safer than stocks or nominal bonds, and comparable really to inflation-indexed bonds. OP, I admire your enthusiasm, but when it comes to Seattle r...