Search found 114 matches

by Pigeye Brewster
Sat Feb 17, 2018 11:05 pm
Forum: Personal Finance (Not Investing)
Topic: Stock donation to alma mater
Replies: 1
Views: 182

Re: Stock donation to alma mater

Be sure to donate shares with long-term gains only. That makes your deduction the fair market value. For short-term gain shares, you can only deduct your cost basis.
by Pigeye Brewster
Wed Feb 14, 2018 12:45 pm
Forum: Investing - Help with Personal Investments
Topic: Is This Action by Megacorp Legal?
Replies: 64
Views: 3565

Re: Is This Action by Megacorp Legal?

From the OP, I'm not clear on whether or not he's liquidated the new funds. If not, after the run up in January and the selloff in February, the YTD total return on the S&P 500 through yesterday's close is -0.2%. Meanwhile, the total return for the Barclays Total Bond Market Index is -2.0%. So the ...
by Pigeye Brewster
Wed Feb 14, 2018 11:01 am
Forum: Investing - Help with Personal Investments
Topic: Is This Action by Megacorp Legal?
Replies: 64
Views: 3565

Re: Is This Action by Megacorp Legal?

From the OP, I'm not clear on whether or not he's liquidated the new funds. If not, after the run up in January and the selloff in February, the YTD total return on the S&P 500 through yesterday's close is -0.2%. Meanwhile, the total return for the Barclays Total Bond Market Index is -2.0%. So the a...
by Pigeye Brewster
Wed Feb 14, 2018 10:05 am
Forum: Investing - Help with Personal Investments
Topic: streamline mega backdoor roth conversions?
Replies: 5
Views: 474

Re: streamline mega backdoor roth conversions?

If so, the option might be to do IRRs each pay period and then do a rollover periodically. If you are an HCE, it might make sense to wait to rollover the previous year's after-tax contribution IRRs until after ACP testing results (3/15). That's a great idea. From reading the plan's description it d...
by Pigeye Brewster
Fri Feb 09, 2018 10:49 pm
Forum: Investing - Theory, News & General
Topic: "The stock market is officially in a correction... here's what usually happens next"
Replies: 83
Views: 13095

Re: "The stock market is officially in a correction... here's what usually happens next"

"Stay the course" is not the same as "Buy and hold." Corrections and bear markets can often be an opportunity to rebalance, sell an unwanted fund, tax-loss harvest or move to another company. Best wishes. Taylor Hi Taylor, I want to thank you again for the guidance I received from you, Mel, and Bob...
by Pigeye Brewster
Fri Feb 09, 2018 10:40 pm
Forum: Personal Finance (Not Investing)
Topic: HSA...let me get this straight
Replies: 36
Views: 3741

Re: HSA...let me get this straight

I have an HSA as well, and hear pretty much all good things about them due to their "triple-tax-advantage." I definitely see the benefit of treating the account like an additional investment account like a Roth IRA. One question I would like to get everyone's opinion on is this: does it truly make ...
by Pigeye Brewster
Thu Feb 08, 2018 3:15 pm
Forum: Investing - Help with Personal Investments
Topic: Help with understanding what should be in a Roth IRA vs traditional IRA
Replies: 7
Views: 566

Re: Help with understanding what should be in a Roth IRA vs traditional IRA

Assets with higher growth potential in your Roth IRA, as the growth will not be taxed when withdrawn. Then use the traditional IRA to achieve your overall asset allocation target. Simple example: 50/50 asset allocation target and similar balance in both Roth and traditional. In this case, 100% equit...
by Pigeye Brewster
Thu Feb 08, 2018 2:20 pm
Forum: Personal Finance (Not Investing)
Topic: HSA...let me get this straight
Replies: 36
Views: 3741

Re: HSA...let me get this straight

This is the first year we have an HSA. We are in our mid- and late- 50s. So, for any medical claims/bills, if we want to, we can pay out of pocket. Then, at a later date, several years down the road, we can be reimbursed for those medical expenses we are currently incurring today/this year/next yea...
by Pigeye Brewster
Thu Feb 08, 2018 12:10 pm
Forum: Investing - Theory, News & General
Topic: ETFs more tax efficient
Replies: 9
Views: 685

Re: ETFs more tax efficient

The structure of ETFs can provide some amount of greater tax efficiency. Vanguard has structured their funds so that ETFs are simply a share class of the fund. Admiral shares have the same expense ratios and tax efficiency as the ETF class. One difference is the accumulated capital gains. Because f...
by Pigeye Brewster
Thu Feb 08, 2018 11:18 am
Forum: Investing - Theory, News & General
Topic: ETFs more tax efficient
Replies: 9
Views: 685

Re: ETFs more tax efficient

Read an article on Morningstar by Ben Johnson this morning. http://www.morningstar.com/videos/845739/indexing-structure-help-etfs-win-tax-battle.html Can I get some help on the explanation of why this is true, if it is? I am relatively new to investment theories but I was under the impression that ...
by Pigeye Brewster
Wed Feb 07, 2018 12:14 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Insight Needed
Replies: 6
Views: 303

Re: 401k Insight Needed

If I roll it into a traditional IRA, will the fact that I have over $5500 in there hinder me? Or does that not matter for the rollover. And is the $5500 annual limit applicable to a Roth IRA and Traditional IRA separately? Or will I only be able to contribute $5500 total between a Roth and traditio...
by Pigeye Brewster
Tue Feb 06, 2018 9:16 pm
Forum: Personal Finance (Not Investing)
Topic: Is this 1099-R for my megabackdoor 401k incorrect?
Replies: 16
Views: 1076

Re: Is this 1099-R for my megabackdoor 401k incorrect?

IMO, In-plan Roth rollover is definitely NOT a backdoor because it was always allowed and not gray area (aka backdoor) under section 2112 of Small Business Jobs Act of 2010 whereas the mega backdoor involving after tax 401k to Roth IRA was gray area until IRS guidance in 2014. Yep...that's the sema...
by Pigeye Brewster
Mon Feb 05, 2018 10:51 pm
Forum: Personal Finance (Not Investing)
Topic: MS Money replacement
Replies: 16
Views: 1343

Re: MS Money replacement

Another Microsoft Money Sunset Edition user. My bank and Vanguard both have OFX download capability for transaction downloads.

I also track investments using Excel due to its flexibility.
by Pigeye Brewster
Thu Feb 01, 2018 1:58 pm
Forum: Personal Consumer Issues
Topic: What frugal thing did you do today?
Replies: 382
Views: 30065

Re: What frugal thing did you do today?

4strings wrote:
Thu Feb 01, 2018 11:45 am
I never turn on the Heat or AC in my car regardless of how cold or hot it gets to save on gas. Sometimes I wont even turn on the radio as to conserve battery power and demand/stress on the car.
Do you have some sort of algorithm you use to decide on the radio usage?
by Pigeye Brewster
Thu Feb 01, 2018 1:39 pm
Forum: Investing - Help with Personal Investments
Topic: Question about switching to SpecID at Vanguard
Replies: 5
Views: 443

Re: Question about switching to SpecID at Vanguard

When you place the sell order, you will be prompted to choose which tax lot(s) are to be sold. So you will pick whether you want to have short-term or long-term gains.
by Pigeye Brewster
Wed Jan 31, 2018 10:44 pm
Forum: Personal Finance (Not Investing)
Topic: Doubling of Standard Deduction--Really??
Replies: 56
Views: 6974

Re: Doubling of Standard Deduction--Really??

In my situation, I shifted a lot of donations to every other year. So, all my 2018 donations were made in 2017. I will skip a year to maximize the tax benefit... However, I realize that isn't possible for some items and cash flow reasons... +1. I went with a DAF last year and prefunded 2018 and 201...
by Pigeye Brewster
Wed Jan 31, 2018 4:47 pm
Forum: Personal Finance (Not Investing)
Topic: Doubling of Standard Deduction--Really??
Replies: 56
Views: 6974

Re: Doubling of Standard Deduction--Really??

In my situation, I shifted a lot of donations to every other year. So, all my 2018 donations were made in 2017. I will skip a year to maximize the tax benefit... However, I realize that isn't possible for some items and cash flow reasons... +1. I went with a DAF last year and prefunded 2018 and 201...
by Pigeye Brewster
Wed Jan 31, 2018 4:28 pm
Forum: Personal Finance (Not Investing)
Topic: Tax help - DAF contribution
Replies: 31
Views: 1996

Re: Tax help - DAF contribution

OP, FWIW, I donated shares to my new Fidelity DAF at year end, and under "Cost basis summary," then "Gifted shares," VG shows my basis for the donated noncovered shares at avg cost with a purchase date in 2009. So, that is where it should appear, or at least it did for mine. Good luck! But does it ...
by Pigeye Brewster
Wed Jan 31, 2018 4:07 pm
Forum: Investing - Theory, News & General
Topic: Living on Dividends and Interest
Replies: 58
Views: 7431

Re: Living on Dividends and Interest

I understand the first two sentences above. I don't understand the third sentence: "Re-investing dividends and then selling when you need money should be no different as you are taking out capital either way." If I reinvest my dividends and then sell some shares when I need money, wouldn't I have t...
by Pigeye Brewster
Wed Jan 31, 2018 12:13 am
Forum: Personal Finance (Not Investing)
Topic: Tax help - DAF contribution
Replies: 31
Views: 1996

Re: Tax help - DAF contribution

OP--You might find this summary to be helpful: https://www.bogleheads.org/wiki/Specific_identification_of_shares Pigeye Brewster stated that noncovered shares are accounted for at average cost even when using specific ID. While It might be true that a mutual fund would account for them at average c...
by Pigeye Brewster
Tue Jan 30, 2018 10:44 pm
Forum: Personal Finance (Not Investing)
Topic: Tax help - DAF contribution
Replies: 31
Views: 1996

Re: Tax help - DAF contribution

Yes, that's what I am saying. I have confirmation of the date, number, and value of shares leaving the account, and confirmation of receipt by the DAF, but no record under cost basis. Yes, I have Spec ID as cost basis method. Are some of your shares noncovered? They are accounted for at average cos...
by Pigeye Brewster
Fri Jan 26, 2018 11:59 pm
Forum: Investing - Help with Personal Investments
Topic: Novice needs ideas on fixing 401K and NUA company stock treatment
Replies: 27
Views: 1110

Re: Novice needs ideas on fixing 401K and NUA company stock treatment

OP, I recently completed an NUA Rollover and wanted to lay out a few additional alternative besides just selling the shares. 1. Perhaps your wife can retire earlier to reduce the risk, it would be a shame to sell the NUA eligible stock before rolling to Taxable and loosing the NUA treatment. 2.not ...
by Pigeye Brewster
Fri Jan 26, 2018 11:52 pm
Forum: Personal Finance (Not Investing)
Topic: [UPDATED 1/26/2018 ] 55+ Early retirement offer.
Replies: 90
Views: 12849

Re: [UPDATED 1/26/2018 ] 55+ Early retirement offer.

Dottie57 wrote:
Fri Jan 26, 2018 3:56 pm
Yup, my last day is 3/2/2018. OH Happy day! (Think rock gospel)
Well done. Congratuations. :beer
by Pigeye Brewster
Fri Jan 26, 2018 11:47 pm
Forum: Investing - Theory, News & General
Topic: Fidelity charging extra fee for Vanguard funds in 401k?
Replies: 31
Views: 2278

Re: Fidelity charging extra fee for Vanguard funds in 401k?

My employer is a megacorp. Raising the expenses on Vanguard funds in he fidelity 401k will not be liked. Not sure it will be Tolerated. From the OP: The fee applies to smaller plans — those with less than $20 million in assets. Sorry. Missed that. Simetimes posting after a work happy hour is not a ...
by Pigeye Brewster
Thu Jan 25, 2018 9:30 pm
Forum: Investing - Theory, News & General
Topic: Fidelity charging extra fee for Vanguard funds in 401k?
Replies: 31
Views: 2278

Re: Fidelity charging extra fee for Vanguard funds in 401k?

Dottie57 wrote:
Thu Jan 25, 2018 8:54 pm
My employer is a megacorp. Raising the expenses on Vanguard funds in he fidelity 401k will not be liked. Not sure it will be Tolerated.
From the OP:

The fee applies to smaller plans — those with less than $20 million in assets.
by Pigeye Brewster
Thu Jan 25, 2018 2:47 pm
Forum: Personal Finance (Not Investing)
Topic: QCD Mechanics [Qualified Charitable Distribution]
Replies: 40
Views: 2840

Re: QCD Mechanics [Qualified Charitable Distribution]

Please note that the required age is 70.5 , not 70, and that you can't do a QCD until you actually are "officially" 70.5. In other words, if you attempt a QCD in June, but you don't turn 70.5 until August, it isn't a bona fide QCD. I am aware of the IRS' age rule for a first QCD. In my post I shoul...
by Pigeye Brewster
Wed Jan 24, 2018 10:49 pm
Forum: Personal Finance (Not Investing)
Topic: QCD Mechanics [Qualified Charitable Distribution]
Replies: 40
Views: 2840

Re: QCD Mechanics [Qualified Charitable Distribution]

I will be turning 70 this year. I recently called called my Vanguard representative to say I had read it was possible to ask for checks on my IRA account and then write my own checks for QCDs. My representative consulted with the Vanguard section responsible for IRAs and told me Vanguard would not ...
by Pigeye Brewster
Wed Jan 24, 2018 10:36 pm
Forum: Investing - Help with Personal Investments
Topic: HCE/mega backdoor Roth risk?
Replies: 14
Views: 960

Re: HCE/mega backdoor Roth risk?

Thanks for the replies so far. I think I will operate under the assumption that most or all of my after-tax contributions will be ordered returned. So I'll put the after-tax contributions in during Q4 and keep them in the plan's stable value fund until the coast is clear to perform the rollover. I ...
by Pigeye Brewster
Wed Jan 24, 2018 6:03 pm
Forum: Investing - Help with Personal Investments
Topic: Novice needs ideas on fixing 401K and NUA company stock treatment
Replies: 27
Views: 1110

Re: Novice needs ideas on fixing 401K and NUA company stock treatment

59.93% Company Stock................................................................864,464 .........Quarterly dividends = 1,972......maybe more this year .........Cost basis = 43,482 It doesn't have to be all or none on the NUA. Your cost basis is only about 5% of market value. That's seems pretty...
by Pigeye Brewster
Wed Jan 24, 2018 9:53 am
Forum: Personal Finance (Not Investing)
Topic: Trying to pay down mortgage, but...
Replies: 32
Views: 2937

Re: Trying to pay down mortgage, but...

That seals it for me, the hassle is not worth it. Will do Option B. I thought I was being clever about saving interest but this is nuts :oops: Even Option B is not foolproof. I've been in the habit of adding on a round dollar amount of additional principal to every payment for several years. A coup...
by Pigeye Brewster
Wed Jan 24, 2018 9:41 am
Forum: Investing - Help with Personal Investments
Topic: Questions about 3 Fund, ETFs and Mutual Funds
Replies: 6
Views: 529

Re: Questions about 3 Fund, ETFs and Mutual Funds

I place all my bond funds in my tax-deferred accounts which are traditional IRA and traditional 401(k) and traditional 403(b). I do not have any bond funds in my Roth IRAs nor in my taxable accounts. I have many reasons for doing it this way: 1. Bond income does not show up on my tax return (except...
by Pigeye Brewster
Wed Jan 24, 2018 9:39 am
Forum: Investing - Help with Personal Investments
Topic: HCE/mega backdoor Roth risk?
Replies: 14
Views: 960

Re: HCE/mega backdoor Roth risk?

One observation I'll throw out there is that this ACP testing issue for HCEs hasn't received nearly enough mention in the various articles, blogs, etc. about the virtues of the mega backdoor Roth. Kind of surprising, at least to me, since it often (but not always, of course) suggests a fairly high l...
by Pigeye Brewster
Tue Jan 23, 2018 10:49 pm
Forum: Investing - Help with Personal Investments
Topic: HCE/mega backdoor Roth risk?
Replies: 14
Views: 960

Re: HCE/mega backdoor Roth risk?

OP is correct that there is ACP testing for HCE even in a safe harbor plan. 2017 was my first year for Mega Roth. Our plan has both Roth IRA rollover or in-plan Roth rollover options. I opted for the in-plan Roth in case the testing fails, as I think that would probably be easier to unwind. My under...
by Pigeye Brewster
Mon Jan 22, 2018 3:33 pm
Forum: Investing - Help with Personal Investments
Topic: Separate Roth Accounts for Conversions and Contributions?
Replies: 4
Views: 290

Re: Separate Roth Accounts for Conversions and Contributions?

One possible reason to keep separate Roth accounts is if the traditional IRA being converted was a rollover from a qualified plan. My understanding is that qualified plan rollover IRAs have somewhat better creditor protection than contribution IRAs.
by Pigeye Brewster
Wed Jan 17, 2018 3:56 pm
Forum: Personal Finance (Not Investing)
Topic: Executor/Trustee question
Replies: 20
Views: 1315

Re: Executor/Trustee question

I had a similar situation when my parents died (in California). They had a trust but the only asset titled in the Trust was their home. All of their other assets (stocks, CDs, checking, etc) were titled as joint. The lawyer who created the Estate documents for my parents said that their will had a ...
by Pigeye Brewster
Wed Jan 17, 2018 3:34 pm
Forum: Personal Finance (Not Investing)
Topic: Umbrella Policy - 1M or 2M
Replies: 43
Views: 4019

Re: Umbrella Policy - 1M or 2M

If you have some assets tied up in retirement vehicles (IRA; 401k) some jurisdictions protect these assets from liability lawsuits I believe the protection is limited to ERISA accounts, such as 401k & HSA. I believe non-ERISA account like a tIRA and Roth are not protected. I'm not sure this applies...
by Pigeye Brewster
Tue Jan 16, 2018 10:56 am
Forum: Investing - Help with Personal Investments
Topic: In-Service Roth 401(k) Rollovers
Replies: 3
Views: 320

Re: In-Service Roth 401(k) Rollovers

If one is able to do this during their working years wouldn't this be very beneficial having most of their money in a Roth IRA account and thus avoiding RMDs from a Roth 401K in retirement? However, would this be any different from taking your entire Roth 401k once you retire and just rolling over ...
by Pigeye Brewster
Mon Jan 15, 2018 5:15 pm
Forum: Personal Finance (Not Investing)
Topic: Executor/Trustee question
Replies: 20
Views: 1315

Re: Executor/Trustee question

I had a similar situation when my parents died (in California). They had a trust but the only asset titled in the Trust was their home. All of their other assets (stocks, CDs, checking, etc) were titled as joint. The lawyer who created the Estate documents for my parents said that their will had a ...
by Pigeye Brewster
Sun Jan 14, 2018 8:19 pm
Forum: Personal Finance (Not Investing)
Topic: Executor/Trustee question
Replies: 20
Views: 1315

Re: Executor/Trustee question

She personally owned (no POD designation): POD is irrlevant after death. A POD ceases on the death of the grantor. POA (power of attorney) is what ceases at death. POD (payable on death) is very relevant at death, as the account with the POD designation automatically is paid to the designated party...
by Pigeye Brewster
Sun Jan 14, 2018 8:14 pm
Forum: Personal Finance (Not Investing)
Topic: Executor/Trustee question
Replies: 20
Views: 1315

Re: Executor/Trustee question

What is the benefit of a pour over clause in the will if personal assets (assets not in the trust) still needs to be probated? I thought the pour over clause should result in assets outside of the trust automatically be placed in the trust, so no probate is needed. The goal is to have all assets ti...
by Pigeye Brewster
Fri Jan 12, 2018 10:45 am
Forum: Investing - Help with Personal Investments
Topic: Help me stop my addiction to stock market peeping!
Replies: 66
Views: 4617

Re: Help me stop my addiction to stock market peeping!

Toons wrote:
Thu Jan 11, 2018 8:48 am
Put a couple rubber bands on your wrist,
Every time you "peek".
Pull the rubber bands and let them "snap" on your wrist to produce a stinging effect.
It will aid you in "conditioning" your behavior
http://www.collaborativefund.com/blog/t ... certainty/
by Pigeye Brewster
Wed Jan 10, 2018 5:10 pm
Forum: Investing - Theory, News & General
Topic: [Yahoo Finance no longer works - Alternatives to download securities quotes]
Replies: 273
Views: 36028

Re: [Yahoo Finance no longer works - Alternatives to download securities quotes]

The only problem I see is that, as others have mentioned, the fund NAV's aren't updated until quite a bit later than Yahoo updated them. I used to get the closing prices around 7PM (Eastern), but now it seems to be more like 10PM. But at least the process is automated once again. I tried both this ...
by Pigeye Brewster
Wed Jan 10, 2018 4:45 pm
Forum: Investing - Theory, News & General
Topic: Why are 401k ROTH rare?
Replies: 11
Views: 1264

Re: Why are 401k ROTH rare?

There are surveys from this year that show > 50% of 401k plans with > 1,000 participants have Roth Designated accounts. They do tend to be less common in small and medium plans, but even there they are far from rare. My experience has been that the availability far exceeds the utilization. Presumab...
by Pigeye Brewster
Wed Jan 10, 2018 4:40 pm
Forum: Personal Finance (Not Investing)
Topic: Do you have an umbrella policy?
Replies: 191
Views: 22453

Re: Do you have an umbrella policy?

If a doctor that made $700k a year gets killed in an accident that is your fault, I doubt the family is going to be happy with $1M or $2M or stop there IF they think there is more to be had. All the more reason to have a "Millionaire Next Door" lifestyle and not give anyone a basis for thinking the...
by Pigeye Brewster
Sat Jan 06, 2018 10:24 am
Forum: Investing - Theory, News & General
Topic: Donating appreciated securities to charity
Replies: 8
Views: 387

Re: Donating appreciated securities to charity

I was planning on donating appreciate securities to charity this year from a taxable brokerage account I will not be itemizing, but I will get a reset in cost basis, correct? Is there anything that I should know about? (This is my first time donating appreciated securities.) Yes, you will be resett...
by Pigeye Brewster
Fri Jan 05, 2018 8:26 pm
Forum: Personal Consumer Issues
Topic: What frugal thing did you do today?
Replies: 382
Views: 30065

Re: What frugal thing did you do today?

I shovelled my walk and driveway the old fashioned way (a shovel) instead of firing up a snow blower. That's a two hour workout for the cost of a snow shovel, and I can use the snow shovel again and again. Since my town is more or less snowed in, I prepared and ate all my meals at home. Since I hav...
by Pigeye Brewster
Thu Jan 04, 2018 10:11 am
Forum: Investing - Help with Personal Investments
Topic: Too much tax deferral?
Replies: 26
Views: 3428

Re: Too much tax deferral?

Is there a point at which it stops making sense to put funds into tax-deferred investments and switch instead to more of a mix of Roths or even taxable? I ask because 2/3 of our investments are in tax deferred vehicles with about 20% in Roths and just 13% in taxable. Great question and I look forwa...
by Pigeye Brewster
Wed Jan 03, 2018 6:21 pm
Forum: Personal Finance (Not Investing)
Topic: Multiple Roth Accounts - no longer needed?
Replies: 7
Views: 815

Re: Multiple Roth Accounts - no longer needed?

OP here. Under current law, my current and future Roth conversions are not impacted by the penalty nor the taxation 5-year rules, so the only reason I could think of keeping a separate Roth is if the Roth had any 401K rollover money (creditor protection?). Other than that, I couldn't think of any o...
by Pigeye Brewster
Wed Jan 03, 2018 12:13 am
Forum: Investing - Help with Personal Investments
Topic: Value of Mega Backdoor Roth IRA
Replies: 5
Views: 799

Re: Value of Mega Backdoor Roth IRA

To make it even simpler, I'd say it's the same comparison as investing in a Roth IRA or investing in a taxable account.
by Pigeye Brewster
Thu Dec 28, 2017 12:05 am
Forum: Personal Finance (Not Investing)
Topic: Donor Advised Fund if your tax circumstances will change in the future
Replies: 75
Views: 5181

Re: Donor Advised Fund if your tax circumstances will change in the future

Also, if you're still interested in creating an account and funding it.. I set up my DAF w/ Fidelity in about 10 minutes today, and initiated the transfer of appreciated ETF assets (mutual funds will take too long) from Vanguard via Fax. Vanguard does not require a wet signature if you are gifting ...