Search found 200 matches

by Pigeye Brewster
Fri Sep 21, 2018 3:09 pm
Forum: Personal Finance (Not Investing)
Topic: What is the process for Trustee to sell house?
Replies: 11
Views: 658

Re: What is the process for Trustee to sell house?

Based on my experience in CA, as successor Trustee, I followed the process you described. Have you checked with the beneficiaries to ensure that none of them want to buy the house from the other heirs? Trustee' here in CA usually convey title via a Quitclaim Deed or Grant Deed. I would consult with...
by Pigeye Brewster
Thu Sep 20, 2018 2:52 pm
Forum: Investing - Help with Personal Investments
Topic: Automated Roth in plan conversions better than Mega Backdoor to Roth IRA?
Replies: 7
Views: 474

Re: Automated Roth in plan conversions better than Mega Backdoor to Roth IRA?

Hi all, I've been mulling doing a mega backdoor Roth for awhile (https://www.bogleheads.org/forum/viewtopic.php?f=1&t=257494&p=4088813#p4088813). I'm one of the lucky ones who's 401k plans include after-tax contributions, in-service transfers, no fees on transfers, and no limit on transfers. Today ...
by Pigeye Brewster
Thu Sep 13, 2018 9:27 pm
Forum: Investing - Help with Personal Investments
Topic: What are 401k after-tax contributions?
Replies: 23
Views: 2185

Re: What are 401k after-tax contributions?

Following up here. I called Vanguard, my 401(k) provider and they said there are no fees for in service after tax withdrawals and they can be done as many times as desired. I'm thinking biweekly is too often. What is the consensus here for those that do this? A question about strategy on this. In o...
by Pigeye Brewster
Wed Sep 12, 2018 3:47 pm
Forum: Investing - Help with Personal Investments
Topic: Umbrella Policy: Right amount for $7 mil net worth?
Replies: 76
Views: 10888

Re: Umbrella Policy: Right amount for $7 mil net worth?

I was under the impression that most states(mine does) have laws that protect retirement accts and erisa pensions, along with homes and vehicles. Unless you have substantial tax paid accts and/or luxury toys, why should you be concerned about umbrella policies? Is this a case of being over-insured?...
by Pigeye Brewster
Tue Sep 11, 2018 9:39 am
Forum: Personal Consumer Issues
Topic: What will you do when you find you have more money than expected?
Replies: 91
Views: 9690

Re: What will you do when you find you have more money than expected?

There is no one answer to how much and when to gift to kids. I'm beginning to believe that insight. :happy My elder son went to a private college and costed us a lot of money. My younger son goes to a state university. We saved the difference in a Fidelity account and invested. This money is earmar...
by Pigeye Brewster
Tue Sep 11, 2018 9:35 am
Forum: Investing - Theory, News & General
Topic: Medallion Signature guarantee?
Replies: 28
Views: 2290

Re: Medallion Signature guarantee?

When a bank offers a MSG, they're accepting the financial liability associated with verifying that you are who you say you are. It's unlikely that an institution will offer a MSG if they haven't done business with you for a while. The bank insures the MSG liability. They usually do this up to a lim...
by Pigeye Brewster
Sun Sep 09, 2018 7:20 pm
Forum: Investing - Help with Personal Investments
Topic: Non discrimination testing and Mega back door
Replies: 2
Views: 276

Re: Non discrimination testing and Mega back door

My employer's 401k plan does not have the requirements needed to do the Mega back door Roth . Specifically the plan does not allow after-tax contributions. Employer is open to the idea of amending the plan. However, there is a concern that the after-tax contributions would all come from the highly ...
by Pigeye Brewster
Sat Sep 08, 2018 10:59 pm
Forum: Investing - Help with Personal Investments
Topic: New to Donor Advised Funds, need guidance
Replies: 22
Views: 1540

Re: New to Donor Advised Funds, need guidance

If you plan to donate appreciated securities, you may also wish to open a Fidelity brokerage account to use in conjunction with your DAF. If I had everything at Vanguard, that is what I would do. Then I would transfer appreciated securities first to a Fidelity brokerage account (i.e. have Fido pull...
by Pigeye Brewster
Thu Sep 06, 2018 5:22 pm
Forum: Personal Finance (Not Investing)
Topic: Living Revocable Trust - conveyance of assets
Replies: 37
Views: 2632

Re: Living Revocable Trust - conveyance of assets

JenniferG: Thank you for the information. I was unaware of that fact. Does it apply in all states to your knowledge? Tim In some states, it can depend on the dollar value of the assets involved. Below a certain statutory threshold, an affidavit of small estate may be an option instead of having to ...
by Pigeye Brewster
Wed Sep 05, 2018 2:21 pm
Forum: Personal Finance (Not Investing)
Topic: Charitable Tax Deductions
Replies: 46
Views: 3459

Re: Charitable Tax Deductions

I don’t like DAFs, because you have to be really careful about the donor receiving a benefit - e.g., a gala ticket or even the right to purchase a gala ticket - that can cause the donor, DAF and the charity all kinds of headache and penalties. But I’m sure there’s another thread on that :) I read e...
by Pigeye Brewster
Fri Aug 31, 2018 4:08 pm
Forum: Investing - Help with Personal Investments
Topic: Are quarterly Roth conversions of after-tax contributions to a 401(k) roughly equivalent to a Mega Backdoor Roth?
Replies: 22
Views: 1193

Re: Are quarterly Roth conversions of after-tax contributions to a 401(k) roughly equivalent to a Mega Backdoor Roth?

I just found out that my 401(k) plan at Fidelity allows after-tax non-Roth contributions but does not allow in-service distributions from the after-tax Roth sub-account into a Roth IRA, so I cannot set up a Mega Backdoor Roth IRA. However, the 401(k) does allow me to set up automatic quarterly Roth...
by Pigeye Brewster
Wed Aug 29, 2018 10:14 pm
Forum: Investing - Theory, News & General
Topic: Why do people buy ETFs in taxable with Vanguard when the ETF tracks an equivalent index fund?
Replies: 29
Views: 2394

Re: Why do people buy ETFs in taxable with Vanguard when the ETF tracks an equivalent index fund?

Someone once compared ETFs versus funds to beer in bottles versus beer in cans. The beer is the same; what's different is the packaging. :beer I have mutual funds, but ETFs can be better for charitable donations in certain circumstances. To donate Vanguard funds, the charity has to either already ha...
by Pigeye Brewster
Wed Aug 29, 2018 2:45 pm
Forum: Personal Finance (Not Investing)
Topic: How do you 7 figure guys organize multiple accounts?
Replies: 164
Views: 11845

Re: How do you 7 figure guys organize multiple accounts?

I use Vanguard. They have the option to enter outside accounts. Every month or so I manually update them. This. Honestly, this is one of the more helpful aspects of PAS. We have Roths, a taxable brokerage account, and a money market fund account at Vanguard. I log in monthly and update our 401k/TSP...
by Pigeye Brewster
Wed Aug 29, 2018 8:38 am
Forum: Personal Finance (Not Investing)
Topic: How do you 7 figure guys organize multiple accounts?
Replies: 164
Views: 11845

Re: How do you 7 figure guys organize multiple accounts?

Microsoft Money Sunset Edition for tracking transactions and Excel spreadsheet for tracking asset allocation. Multiple accounts include taxable, his/her IRAs, his/her Roth IRAs, his 401k, her 403b, his HSA.
by Pigeye Brewster
Fri Aug 17, 2018 9:14 pm
Forum: Personal Finance (Not Investing)
Topic: Using ACA for early retirement years
Replies: 103
Views: 7193

Re: Using ACA for early retirement years

A wndhen it comes staying healthy, of course you'd want to exercise and eat well. But there's this magical thinking going around that if you take care of yourself, you won't get sick (I'm not making this up). The fact is that there are plenty of people who wake up thinking it's just going to be ano...
by Pigeye Brewster
Thu Aug 16, 2018 5:07 pm
Forum: Personal Finance (Not Investing)
Topic: ADP and ACP tests
Replies: 4
Views: 335

Re: ADP and ACP tests

I learned 3 new terms today while talking to my 401k TPA. These are ADP test, ACP test, and safe harbor status. I was trying to discuss with them about re-writing our 401k documents to allow after-tax contributions and in-service distributions so that I would have the option of doing a mega-backdoo...
by Pigeye Brewster
Wed Aug 15, 2018 3:10 pm
Forum: Investing - Help with Personal Investments
Topic: Should I Max Out Tax-Deferred Accounts?
Replies: 28
Views: 2312

Re: Should I Max Out Tax-Deferred Accounts?

Dottie57 wrote:
Wed Aug 15, 2018 2:15 pm
Max it out and start/add to a taxable. I wish I had started taxable earlier.
Good advice. I wish I had emphasized taxable sooner as well.
by Pigeye Brewster
Thu Aug 09, 2018 10:57 am
Forum: Investing - Help with Personal Investments
Topic: Getting Mega Back Door Roth Provisions into a 401k?
Replies: 11
Views: 762

Re: Getting Mega Back Door Roth Provisions into a 401k?

so i know that we're up for our 401k renewal and i'd like to have the option to someday hopefully be able to do a mega back door roth. I know that they need to allow for after tax contributions and in service withdrawals. I also know from family that adding complexity to a 401k can be a hard sell, ...
by Pigeye Brewster
Thu Jun 28, 2018 9:47 am
Forum: Investing - Help with Personal Investments
Topic: The "leaving the old 401k where it is" argument
Replies: 30
Views: 3906

Re: The "leaving the old 401k where it is" argument

My question is, does one have to sell the stock at the time of the rollover or can the tax be paid on the basis and the stock held in a brokerage account and sold at a later date? No requirement to sell. You can retain the stock in a brokerage account as long as you want. However, one difference is...
by Pigeye Brewster
Wed Jun 13, 2018 8:46 am
Forum: Personal Finance (Not Investing)
Topic: Social Security: Effect of early claiming on spousal benefit
Replies: 20
Views: 1685

Re: Social Security: Effect of early claiming on spousal benefit

The actual language posted by SSA is here: https://www.ssa.gov/OACT/quickcalc/spouse.html I initially misread it, but I believe it is consistent with what happened above. Spouse gets up to 1/2 PIA, unless spouse is filing before full retirement age. It reads: When a worker files for retirement bene...
by Pigeye Brewster
Fri Jun 08, 2018 3:53 pm
Forum: Investing - Help with Personal Investments
Topic: 401k plan: adding after tax contributions for Mega-backdoor Roth
Replies: 6
Views: 429

Re: 401k plan: adding after tax contributions for Mega-backdoor Roth

If the plan had a safe-harbor provision, then you could bypass the ACP provision. A typical safe-harbor provision is to match 100% of the first 3% plus 50% of the next 2% in contributions. Of course, if your plan does not offer that, in essence you are asking your employer to raise their compensati...
by Pigeye Brewster
Fri Jun 08, 2018 1:32 pm
Forum: Investing - Theory, News & General
Topic: Indexing will fail investors in next decade
Replies: 57
Views: 9342

Re: Indexing will fail investors in next decade

there is so much unmitigated garbage i don't even know where to start. im pissed i gave it a click. also, how anyone published that guy is beyond my comprehension. It's published as an opinion piece by the head of a hedge fund. It's not research. It's simply more fear, uncertainty, and doubt being ...
by Pigeye Brewster
Wed May 16, 2018 4:42 pm
Forum: Investing - Theory, News & General
Topic: 2018 401k limit is $55K - do you max it out? Why/why not?
Replies: 110
Views: 11448

Re: 2018 401k limit is $55K - do you max it out? Why/why not?

Earl Lemongrab wrote:
Tue May 15, 2018 11:33 pm
Mega Backdoor is definitely great if you have it available. I consider this the most useful thing I have ever read on Bogleheads. I wish I had known about it earlier...
I agree 100% with this.
by Pigeye Brewster
Tue May 15, 2018 9:15 pm
Forum: Personal Consumer Issues
Topic: Neighbor wants to use our land temporarily - let them or not?
Replies: 48
Views: 6568

Re: Neighbor wants to use our land temporarily - let them or not?

As a gentle suggestion she said during Hurricane Irma the top of one of our pine trees broke off and landed on their pool cage and part of their roof. My understanding is that this would be considered an "act of God" and you don't have any liability. If you did, you probably would have heard from t...
by Pigeye Brewster
Mon May 14, 2018 9:44 am
Forum: Investing - Theory, News & General
Topic: Why is Fidelity more picky than banks about middle names?
Replies: 10
Views: 1845

Re: Why are Vanguard and Fidelity more picky than banks about middle names?

MnD wrote:
Sun May 13, 2018 11:31 pm
2015 wrote:
Sun May 13, 2018 7:11 pm
In fact, no financial institution has ever had the ridiculous legal first name my parents thought to give me at birth.
What is it? :shock:
Cosmo?
by Pigeye Brewster
Mon May 07, 2018 8:59 pm
Forum: Personal Finance (Not Investing)
Topic: Means of Titling/Re-Titling [checking acct into] my RLT?
Replies: 20
Views: 1298

Re: Means of Titling/Re-Titling [checking acct into] my RLT?

One simple workaround is to utilize a payable on death designation naming the trust as the payee. At death, the checking account is automatically transferred to the trust. This doesn't have any utility for what I consider the must important function of a trust: having a fully credentialed individua...
by Pigeye Brewster
Mon May 07, 2018 8:38 pm
Forum: Personal Finance (Not Investing)
Topic: Means of Titling/Re-Titling [checking acct into] my RLT?
Replies: 20
Views: 1298

Re: Means of Titling/Re-Titling [checking acct into] my RLT?

One simple workaround is to utilize a payable on death designation naming the trust as the payee. At death, the checking account is automatically transferred to the trust.
by Pigeye Brewster
Fri May 04, 2018 8:58 pm
Forum: Personal Finance (Not Investing)
Topic: Those with high savings rate: why?
Replies: 246
Views: 34365

Re: Those with high savings rate: why?

desafinado wrote:
Fri May 04, 2018 7:58 pm
...and I don't expect to be employed until 65 without interruption.
KlangFool approves this message. :beer
by Pigeye Brewster
Thu May 03, 2018 4:03 pm
Forum: Investing - Help with Personal Investments
Topic: Company stock in 401k plan question
Replies: 8
Views: 516

Re: Company stock in 401k plan question

Yes, NUA can be a big deal if you have a big unrealized gain in the account attributable to the stock. NUA with a big unrealized gain can be good. 30% in company stock can be bad. Time horizon also should be considered, i.e. not long until retirement in order to utilize NUA with big unrealized gain...
by Pigeye Brewster
Wed May 02, 2018 5:08 pm
Forum: Investing - Theory, News & General
Topic: Taxable Equivalent Yield (TEY)
Replies: 16
Views: 1777

Re: Taxable Equivalent Yield (TEY)

I thought there would be a Wiki article on this, but couldn't find one, and I'm too lazy to write one myself--posting is easier. Rather than repeat this in various threads where it's relevant, I thought I'd put my thoughts on it in one post. When buying fixed-income securities (Treasuries, in-state...
by Pigeye Brewster
Thu Apr 26, 2018 9:18 pm
Forum: Investing - Theory, News & General
Topic: "Tax-Adjusted Asset Allocation: Is It Necessary?"
Replies: 51
Views: 3215

Re: "Tax-Adjusted Asset Allocation: Is It Necessary?"

I track my tax-adjusted asset allocation. In my case, the difference is not significant.
by Pigeye Brewster
Thu Apr 26, 2018 4:23 pm
Forum: Investing - Help with Personal Investments
Topic: Making the decision to do a Roth Conversion
Replies: 46
Views: 3617

Re: Making the decision to do a Roth Conversion

The math is correct if one assumes the taxes will be paid from the tIRA money. It's a little different if one can pay the taxes from cash on hand. E.g., start with $1 million in a tIRA, and $250K available in taxable holdings (with no tax cost for removing the $250K). After converting and paying th...
by Pigeye Brewster
Fri Apr 20, 2018 11:35 pm
Forum: Personal Finance (Not Investing)
Topic: Questions about donating appreciated fund shares
Replies: 14
Views: 1400

Re: Questions about donating appreciated fund shares

I have gifted shares a few times, most recently the process was changed for me on how to gift for aince I was on the brokerage platform and the charitable institution had an older mutual fund account and Vanguard couldn't do across platform gifting (this time) so I had to change ownership of the sh...
by Pigeye Brewster
Fri Apr 20, 2018 3:31 pm
Forum: Investing - Theory, News & General
Topic: KF's simple rules to achieve FI [Financial Independence]
Replies: 451
Views: 34756

Re: KF's simple rules to achieve FI

Folks, The followings are some of the rules that I used. It may work for some folks. On this thread, I will compile some of them and provide the reasoning and thought behind those rules. You should adjust them based on your own circumstances. I am an engineer. So, I am biased towards my income and ...
by Pigeye Brewster
Sat Apr 14, 2018 10:45 pm
Forum: Personal Finance (Not Investing)
Topic: DAF question
Replies: 18
Views: 1362

Re: DAF question

A key to fulfilling a pledge and using a DAF is whether the pledge is a contractual obligation (legally enforceable). An organization I have been part of for many decades has had campaigns from time to time and requested pledges, but the pledges are absolutely not contractual obligations. I suspect...
by Pigeye Brewster
Fri Apr 13, 2018 2:36 pm
Forum: Personal Finance (Not Investing)
Topic: DAF question
Replies: 18
Views: 1362

Re: DAF question

The IRS is looking at this particular issue and also whether or not a DAF can be used to pay an existing legally enforceable pledge. They issued Notice 2017-73 last year which summarizes the issues, including public comments they received.

https://www.irs.gov/pub/irs-drop/n-17-73.pdf
by Pigeye Brewster
Fri Apr 13, 2018 2:15 pm
Forum: Investing - Help with Personal Investments
Topic: Why traditional IRA better than Roth IRA
Replies: 87
Views: 8501

Re: Why traditional IRA better than Roth IRA

A law is not a contract. It can be changed at any time, one party (the legislator, that is) can rip it up and rewrite it at any time, no correction is available through the court system. Absolutely. Real estate passive losses were immediately deductible against other ordinary income by nearly all i...
by Pigeye Brewster
Tue Apr 10, 2018 4:21 pm
Forum: Personal Finance (Not Investing)
Topic: Highly Compensated Employee
Replies: 1
Views: 606

Re: Highly Compensated Employee

There are a couple of discrimination testing issues here. If the plan is not a "safe harbor" plan, regular elective contributions, i.e. pre-tax or Roth, for HCEs are subject to ADP and ACP discrimination testing (in safe harbor, they aren't tested). In addition, after-tax contributions are subject t...
by Pigeye Brewster
Mon Apr 09, 2018 2:13 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable or backdoor Roth?
Replies: 20
Views: 1000

Re: Taxable or backdoor Roth?

If you have no pre-tax IRA assets then you can make a non-deductible IRA contribution and immediately convert to a Roth IRA with no tax implication. Ok - to make sure I understand what you're saying: If I only have a 401k account and a Roth IRA account, I can open an IRA with a non-deductible IRA c...
by Pigeye Brewster
Sat Apr 07, 2018 12:01 pm
Forum: Investing - Theory, News & General
Topic: What is Megacorp?
Replies: 62
Views: 5141

Re: What is Megacorp?

GE as depicted on 30 Rock when Jack Donaghy and Liz Lemon attended the "Retreat to Move Forward". Jack met with the "Six Sigmas", then he and Liz later had L.U.N.C.H. ("Lego Utilization for Negating Crisis Hierarchies") and C.L.A.S.S. ("Consuming Lunch And Simple Socializing").
by Pigeye Brewster
Sat Apr 07, 2018 10:43 am
Forum: Investing - Theory, News & General
Topic: What is Megacorp?
Replies: 62
Views: 5141

Re: What is Megacorp?

[ Yes, Acme is known for its incredibly broad product line. Their biggest challenge is that they are very dependent on one customer for the bulk of their revenue. :beer Also most of their stuff failed spectacularly and always at the most critical moment. :) Any Acme engineer would tell you that Mr....
by Pigeye Brewster
Fri Apr 06, 2018 6:50 pm
Forum: Investing - Theory, News & General
Topic: What is Megacorp?
Replies: 62
Views: 5141

Re: What is Megacorp?

A big big company, like Spacely Sprockets. Indeed. Spacely Sprockets made Forbes magazine's list of 25 largest fictional companies. Not sure about Cogswell Cogs, though. I was going to cite another example, the Acme Corporation, of Roadrunner fame. Yes, Acme is known for its incredibly broad produc...
by Pigeye Brewster
Fri Apr 06, 2018 4:54 pm
Forum: Investing - Theory, News & General
Topic: What is Megacorp?
Replies: 62
Views: 5141

Re: What is Megacorp?

Nicolas wrote:
Fri Apr 06, 2018 3:05 pm
A big big company, like Spacely Sprockets.
Indeed. Spacely Sprockets made Forbes magazine's list of 25 largest fictional companies.

Not sure about Cogswell Cogs, though.
by Pigeye Brewster
Fri Apr 06, 2018 10:18 am
Forum: Investing - Help with Personal Investments
Topic: Large Single Stock Position - Can't Sell - Retirement Account
Replies: 45
Views: 3626

Re: Large Single Stock Position - Can't Sell - Retirement Account

Why do we have AA? To create a efficient portfolio - to create the best risk adjusted return as possible. One way would be to crave it out into its own asset class. A more standard way is to give the asset a haircut. Illiquid and concentrated positions can be given a haircut in value of 20% to 60% ...
by Pigeye Brewster
Fri Apr 06, 2018 8:53 am
Forum: Investing - Help with Personal Investments
Topic: Large Single Stock Position - Can't Sell - Retirement Account
Replies: 45
Views: 3626

Re: Large Single Stock Position - Can't Sell - Retirement Account

I agree with 4nursebee it isn't clear to me from above statement if you are simply doing mental accounting and splitting hairs OR whether you would be adjusting the proportions of your other assets to meet some predetermined allocation. It certainly appears to be mental accounting in action. The st...
by Pigeye Brewster
Thu Apr 05, 2018 2:41 pm
Forum: Investing - Help with Personal Investments
Topic: After-Tax (and mega back door roth) or Taxable after maxing Roth & 401k?
Replies: 2
Views: 341

Re: After-Tax (and mega back door roth) or Taxable after maxing Roth & 401k?

If you are 1) saving these funds for retirement, 2) your plan and your circumstances allow you to do the mega backdoor Roth, I agree that it is a better option than taxable.
by Pigeye Brewster
Wed Apr 04, 2018 1:25 pm
Forum: Investing - Theory, News & General
Topic: “We’re not making enough money off you”
Replies: 62
Views: 12145

Re: “We’re not making enough money off you”

From the OP:
they would no longer extend to him the special loan service when the next refi cycle is up