Search found 9119 matches

by BL
Tue Nov 12, 2019 1:01 pm
Forum: Personal Investments
Topic: inheritance
Replies: 16
Views: 2105

Re: inheritance

It would be wise to keep this information about inheritance to yourself (and spouse). When word gets out folks may treat you differently; they may see a target on your back for all the money making schemes they have (for them to make money); they may get jealous and also try to borrow money; etc. Ta...
by BL
Mon Nov 11, 2019 2:41 pm
Forum: Personal Investments
Topic: Help for MIL
Replies: 18
Views: 953

Re: Help for MIL

MIL has asked for my help setting up her portfolio following death of spouse. Her situation is pretty far removed from mine so I would appreciate feedback/advice. She is due to receive about $12K annually from military Survivor Benefit Plan, plus $25K annually in Social Security. She also gets abou...
by BL
Fri Nov 08, 2019 9:27 am
Forum: Personal Investments
Topic: May need to move 401k money by end of year, but not eligible for new 401k until February
Replies: 27
Views: 1368

Re: May need to move 401k money by end of year, but not eligible for new 401k until February

Have you made any conversions in 2019 yet? If not, this is not a problem. Just do your next Roth conversion in 2020. You can make your 2019 non deductible contribution in either 2019 or before the April tax filing deadline in 2020. Not yet. But if I have an IRA balance on December 31st, 2019 from m...
by BL
Wed Nov 06, 2019 6:02 pm
Forum: Personal Finance (Not Investing)
Topic: Best month to take RMDs?
Replies: 86
Views: 4537

Re: Best month to take RMDs?

Not sure if everyone realizes that the QCD is almost unlimited (well, 100k/year). Whatever you direct to charity from your IRA will not be taxed, whenever you withdraw it. However, unless you do it before you withdraw all or some of your RMD, you will be paying tax on your RMD taken before the QCD. ...
by BL
Tue Nov 05, 2019 5:33 pm
Forum: Investing - Theory, News & General
Topic: Cost basis step up on death of spouse?
Replies: 43
Views: 2832

Re: Cost basis step up on death of spouse?

RubyTuesday wrote:
Tue Nov 05, 2019 5:27 pm
the wiki has a good description of step up in basis
https://www.bogleheads.org/wiki/Step-up_in_basis
Yes, read the Wiki.
It depends on whether you live in a community property state or not.
Community property is fully stepped up, but in other states, only 1/2 receives a step-up.
by BL
Tue Nov 05, 2019 5:22 pm
Forum: Personal Finance (Not Investing)
Topic: First year QCD close to New Year's Eve
Replies: 11
Views: 693

Re: First year QCD close to New Year's Eve

I agree with the above suggestions and do likewise. Another option might be to have a money market, bond, or possibly other fund set up for check-writing privileges, and write and deliver your own checks on your half-birthday to your charities. (There could be similar concerns about when checks are ...
by BL
Tue Nov 05, 2019 9:56 am
Forum: Investing - Theory, News & General
Topic: Two competing investing philosophies: buy and hold vs. move to indexing
Replies: 7
Views: 578

Re: Two competing investing philosophies: buy and hold vs. move to indexing

If you enjoy having a small bit of play funds, say, up to 5%, great! If you get tired of it, just sell it. If it kicks out more taxable dividends and capital gains than the other, you might get tired of that. It is probably less expensive than other toys that are popular here, such as expensive cars...
by BL
Mon Nov 04, 2019 8:40 am
Forum: Personal Investments
Topic: Should I pay taxes now or higher fees on part of my retirement contributions?
Replies: 16
Views: 723

Re: Should I pay taxes now or higher fees on part of my retirement contributions?

I would like to emphasize that you never pay tax on 15% of your SS. You may very well have income which makes the rest taxable.

Also would contribute at least 19k for the excellent match, as well as tax deferment.
by BL
Mon Nov 04, 2019 7:36 am
Forum: Non-US Investing
Topic: 5.1m Windfall - please advice
Replies: 22
Views: 3492

Re: 5.1m Windfall - please advice

I don't know the answer to your question (30% stocks/70% bonds does sound appropriate), but suggest you locate a tax expert on your home country to navigate the tax rules for both countries.
by BL
Sat Nov 02, 2019 9:02 pm
Forum: Personal Investments
Topic: Why can't I break up with Wellington? (Roth Conversion question)
Replies: 17
Views: 2163

Re: Why can't I break up with Wellington? (Roth Conversion question)

Sounds like you are doing fine. There is no tax consequence for changing funds in tax-advantaged accounts like a Roth IRA, so if, after a few months of consideration, you decide to change something, it should be fine. If you think something out carefully and are sure you want to stay with it, that i...
by BL
Sat Nov 02, 2019 8:37 am
Forum: Personal Investments
Topic: Annuity Question - Automatic Step-up feature of living benefit
Replies: 6
Views: 449

Re: Annuity Question - Automatic Step-up feature of living benefit

I am not quite sure how to keep it within the IRA when redeemed. I guess I would call Vanguard and ask if they would be able to handle it so that you don't get hit with the taxes. I expect other brokerages like Fidelity could handle this also. You want a trustee-to-trustee transfer, so you don't eve...
by BL
Sat Nov 02, 2019 1:04 am
Forum: Personal Investments
Topic: Annuity Question - Automatic Step-up feature of living benefit
Replies: 6
Views: 449

Re: Annuity Question - Automatic Step-up feature of living benefit

Is this annuity inside an IRA? It might make a difference due to taxes. If inside an IRA, it may need to stay within an IRA after cashing it to avoid immediate taxes on everything. If in taxable account, it might make sense to directly exchange to a cheaper annuity or SPIA and spread out taxable inc...
by BL
Wed Oct 30, 2019 7:29 am
Forum: Personal Investments
Topic: Which Bonds should I buy for Taxable account to avoid taxes?
Replies: 16
Views: 1926

Re: Which Bonds should I buy for Taxable account to avoid taxes?

If higher tax bracket, consider municipal bonds.
by BL
Wed Oct 30, 2019 7:25 am
Forum: Personal Investments
Topic: Inheritance Assistance - Edward Jones
Replies: 23
Views: 1881

Re: Inheritance Assistance - Edward Jones

I would also keep in mind Vanguard's PAS, if they would still like an adviser who works for them, at a low cost of 0.3%/year. It would protect you a bit as well, and they would be there if something happened to you. Also, could set things up and could be fired at any time leaving a decent low-ER por...
by BL
Mon Oct 28, 2019 10:55 pm
Forum: Personal Investments
Topic: Help with Investing
Replies: 6
Views: 441

Re: Help with Investing

Take a look at the 3-fund portfolio in Wiki. Farther down the page they list it at various brokerages:
https://www.bogleheads.org/wiki/Three-fund_portfolio
by BL
Mon Oct 28, 2019 8:58 am
Forum: Personal Investments
Topic: Prioritizing various tax deferred accounts with new baby (403b, ira, 529)
Replies: 12
Views: 605

Re: Prioritizing various tax deferred accounts with new baby (403b, ira, 529)

Do you have low ERs on your 403Bs? Some have several companies to choose from. If not, do you have a 457b (if governmental) available? Some don't know they do, but many states have them available and sometimes they are lower cost choices.
by BL
Sun Oct 27, 2019 8:52 pm
Forum: Personal Finance (Not Investing)
Topic: 15 vs 20 year term life???
Replies: 33
Views: 2273

Re: 15 vs 20 year term life???

If your agent only sells for one company you may not be getting competitive rates. Suggest you check with independent agent that will shop for best rates with several good companies. See term4sale.com online or similar to get an idea of rates.
by BL
Tue Oct 22, 2019 9:24 pm
Forum: Investing - Theory, News & General
Topic: Transitioning my Account ~ Not Mandatory
Replies: 61
Views: 5105

Re: Transitioning my Account ~ Not Mandatory

Just ignoring so far.
by BL
Tue Oct 22, 2019 2:52 pm
Forum: Personal Finance (Not Investing)
Topic: Executor for parent in Florida seeking guidance
Replies: 46
Views: 3193

Re: Executor for parent in Florida seeking guidance

Consider asking the bank if they would easily let you cash in paper I bonds. I have been gradually selling off I-bonds because I read here that it is troublesome for heirs to work through the website to cash them in. I might have second thoughts if they were guaranteed 4% or so older ones.
by BL
Tue Oct 22, 2019 1:54 pm
Forum: Personal Investments
Topic: Assisting a new widow manage her retirement
Replies: 14
Views: 982

Re: Assisting a new widow manage her retirement

Sorry about your dad. I think TLH and foreign tax credits are relatively unimportant in your situation. I'd get the big things right before wading into the weeds. As suggested, you could put the whole tIRA into a balanced fund to simplify. Put the $500K in Vanguard Prime MM, and/or something like W...
by BL
Sat Oct 19, 2019 5:39 am
Forum: Personal Investments
Topic: Got tricked into a VUL, $40K already in - Need advice with my options
Replies: 22
Views: 3131

Re: Got tricked into a VUL, $40K already in - Need advice with my options

So sorry you got taken by this ridiculous expensive policy and investment combo. Maybe you will feel better knowing you are far from the only one, as we all seem to do something similar before we learn to be more cautious. What is the total you have paid into this and the total you get back? Perhaps...
by BL
Fri Oct 18, 2019 11:21 pm
Forum: Personal Investments
Topic: Got tricked into a VUL, $40K already in - Need advice with my options
Replies: 22
Views: 3131

Re: Got tricked into a VUL, $40K already in - Need advice with my options

If you don't get responses, perhaps you could copy key information, or maybe start with one policy. I wouldn't click on a link from a brand new member.
by BL
Fri Oct 18, 2019 11:43 am
Forum: Personal Investments
Topic: Fidelity Target or John Bogle advice?
Replies: 14
Views: 1709

Re: Fidelity Target or John Bogle advice?

Good choice! Also remember there are no tax consequences if you should decide later to change the date or fund to more closely fit the desired AA. Just make a written plan and take your time before changing anything as jumping from one thing to another is not a good idea.
by BL
Fri Oct 18, 2019 8:12 am
Forum: Personal Investments
Topic: Taxable Account Strategy
Replies: 16
Views: 2236

Re: Taxable Account Strategy

I think Vanguard has super balanced funds (all-in-ones), at very low Expense Ratios (ER). Pick a fund that maintains a constant proportion of stocks/bonds like the 4 Life Strategy ones, Balanced Fund, even active ones like Wellington/Wellesley, or choose a Target Date one of the desired % bonds (ign...
by BL
Wed Oct 16, 2019 8:16 am
Forum: Personal Investments
Topic: 403b/457 vs TSP
Replies: 11
Views: 1057

Re: 403b/457 vs TSP

What time of year do you get your bonus? It may not have the same time frame as the other. I believe stocks fell at end of last year, so the timing could easily have affected the yields.

Agree that withholding does not mean you are taxed at that rate.
by BL
Tue Oct 15, 2019 6:42 am
Forum: Personal Investments
Topic: New to Bogleheads - Want to Rework my Portfolio Investments/Retirement
Replies: 14
Views: 1969

Re: New to Bogleheads - Want to Rework my Portfolio Investments/Retirement

It sounds like you don't do your own taxes. I recommend learning about tax brackets, adjusted gross income, and total income, and how capital gains relates to that. Perhaps your tax preparer can help with c.g. You and spouse may be able to earn over 100k, including c.g., before you pay more than 0% ...
by BL
Mon Oct 14, 2019 10:24 am
Forum: Personal Investments
Topic: Transferring American Funds to Vanguard
Replies: 24
Views: 1149

Re: Transferring American Funds to Vanguard

Can you be more specific about these "disgusting fees"? One thing I own is American Funds' tax-exempt bond fund, which I've randomly chosen to illustrate their fees. It charges a .62% expense ratio, a .23% annual management fee, a .30% 12b-1 fee, and lists 'other expenses' as .09%. This says nothin...
by BL
Thu Oct 10, 2019 7:32 pm
Forum: Personal Investments
Topic: Investment advice for a friend
Replies: 14
Views: 1290

Re: Investment advice for a friend

Vanguard has low-cost single balanced funds such as Target Retirement Income fund if he wants to risk a bit in equities. Otherwise CDs or Money Market funds/accounts might be more comfortable. A SPIA, single premium immediate annuity, might be an alternative for some of it, with payments for life bu...
by BL
Tue Oct 08, 2019 12:41 pm
Forum: Investing - Theory, News & General
Topic: What's a way to determin what is tax-efficient?
Replies: 14
Views: 1501

Re: What's a way to determin what is tax-efficient?

My understanding would be to look at distributed Capital Gains (not from your selling) and dividends other than qualified dividends. Vanguard's Total Stock market Fund has not distributed CGs in the recent past, at least, and most of it's dividends are qualified; I consider that tax efficient as it ...
by BL
Sun Sep 22, 2019 7:09 am
Forum: Personal Finance (Not Investing)
Topic: State Taxation of Federal Money Market Funds?
Replies: 7
Views: 574

Re: State Taxation of Federal Money Market Funds?

What state are you in? Someone might happen to know the answer. I don't think MN would let you use it except for treasury fund.
by BL
Thu Sep 19, 2019 8:11 am
Forum: Personal Investments
Topic: Roth IRA - Contributing too much too soon? (21 y/o)
Replies: 25
Views: 2174

Re: Roth IRA - Contributing too much too soon? (21 y/o)

Hey all, Currently 21 years old and have been contributing to my Roth IRA since I was 20 years old. Due to having various paid internships and other jobs, I was able to contribute 2000$ for 2018 and 3500$ for 2019 so far. At times, I feel like I may be contributing too much to my Roth IRA, and trad...
by BL
Mon Sep 16, 2019 6:54 pm
Forum: Personal Investments
Topic: What else can I be doing to maximize investments?
Replies: 5
Views: 925

Re: What else can I be doing to maximize investments?

You can always start a tax-efficient brokerage account with Total Stock Market fund or similar.
by BL
Mon Sep 16, 2019 5:32 am
Forum: Personal Investments
Topic: Help Designing Portfolio and Approximating Total Stock Market for DW
Replies: 5
Views: 633

Re: Help Designing Portfolio and Approximating Total Stock Market for DW

I would consider only investing in PDSIX in her 457b given that it has the lowest fee by far and still covers most of the US stock market. You could compensate by holding more mid/small cap in an IRA if desired but it wouldn't be necessary. Similarly I would look into holding bonds and internationa...
by BL
Mon Sep 16, 2019 5:22 am
Forum: Personal Finance (Not Investing)
Topic: Term Life - Worth paying extra $50/yr for TIAA-CREF?
Replies: 11
Views: 638

Re: Term Life - Worth paying extra $50/yr for TIAA-CREF?

Check prices at term4sale or your local Independent insurance broker who will shop low-cost, highly rated multiple companies for you.
by BL
Mon Sep 16, 2019 4:48 am
Forum: Personal Investments
Topic: Three Fund Portfolio taxes
Replies: 13
Views: 1994

Re: Three Fund Portfolio taxes

First, are you working at a job and earning some money? If so, you may be able to qualify for tax-advantaged savings, either at work or at a brokerage like Vanguard.
by BL
Sun Sep 15, 2019 11:22 am
Forum: Personal Investments
Topic: What’s the best way to respond?
Replies: 14
Views: 1884

Re: What’s the best way to respond?

We all assume that annuity is not their company pension. Can you verify that?
by BL
Fri Sep 13, 2019 10:27 am
Forum: Personal Finance (Not Investing)
Topic: Prulife life insurance
Replies: 41
Views: 2159

Re: Prulife life insurance

FrugalConservative wrote:
Fri Sep 13, 2019 10:19 am
Run, dont walk, from that garbage policy.
+1
run!
The payments will keep increasing. It should be illegal, if it isn't!
by BL
Tue Sep 10, 2019 4:10 pm
Forum: Personal Finance (Not Investing)
Topic: Spouse/Widow Inheriting My IRA
Replies: 26
Views: 2435

Re: Spouse/Widow Inheriting My IRA

from random Google search- regarding titling of inherited IRA: Answer: The titling of an inherited IRA can vary from one IRA custodian to another. The deceased IRA owner's name must remain on the inherited IRA account title and the account title must indicate that it is an inherited IRA by using the...
by BL
Tue Sep 10, 2019 1:55 am
Forum: Personal Investments
Topic: Best way to sell multiple funds
Replies: 14
Views: 1278

Re: Best way to sell multiple funds

May I suggest you add the unrealized gains to the Taxable funds you have? At a glance the 3 smallest ones might be sold just to simplify, assuming the CGs are not so much. Or you could just wait until/unless the fund drops to near 0 CGs. The Extended does seem to do a small/mid cap tilt since it is...
by BL
Mon Sep 09, 2019 12:39 pm
Forum: Personal Investments
Topic: RMD & Charitable Contribution
Replies: 17
Views: 1457

Re: RMD & Charitable Contribution

Are you taking advantage of the QCD as the non-taxed part of RMD? As long as the 10k is taken as a QCD (call Vanguard to have a check to your charity C/O you mailed to you before the last 10k is taken out of the IRA), you can identify that amount as QCD on your 1040 tax form and thus it is not taxab...
by BL
Mon Sep 09, 2019 1:11 am
Forum: Personal Investments
Topic: Too late for a Roth?
Replies: 20
Views: 2475

Re: Too late for a Roth?

It's never too late for a Roth! With a pension, that might be a good idea for some/all of your TSP.

Are you also contributing to a Roth IRA? If you make too much for direct contributions, you could check Wiki for Backdoor Roth.
by BL
Mon Sep 09, 2019 12:47 am
Forum: Personal Investments
Topic: Best way to sell multiple funds
Replies: 14
Views: 1278

Re: Best way to sell multiple funds

May I suggest you add the unrealized gains to the Taxable funds you have? At a glance the 3 smallest ones might be sold just to simplify, assuming the CGs are not so much. Or you could just wait until/unless the fund drops to near 0 CGs. The Extended does seem to do a small/mid cap tilt since it is ...
by BL
Sun Sep 08, 2019 3:02 pm
Forum: Personal Finance (Not Investing)
Topic: Can a Roth be an emergency EF?
Replies: 32
Views: 2756

Re: Can a Roth be an emergency EF?

My thoughts are: Yes, but---- It is good to know you have it there for emergencies, but what you are describing does not fit my definition of emergency. This is your new reality, and you need to find ways to live on that income, and build up an emergency fund as well. The things you mentioned might ...
by BL
Sat Sep 07, 2019 11:30 am
Forum: Personal Investments
Topic: Middle Age people with low savings need to take on more investment risk than is normal?
Replies: 52
Views: 5912

Re: Middle Age people with low savings need to take on more investment risk than is normal?

If she doesn't have a Social Security estimate, I suggest she set up an account there and find out her estimated amount for Full Retirement Age (FRA) and age 70. If she has regularly been paying in, she would get a large % pay-back, but if she has mostly losses on paper, perhaps she is missing enoug...
by BL
Wed Sep 04, 2019 11:24 pm
Forum: Personal Investments
Topic: Middle Age people with low savings need to take on more investment risk than is normal?
Replies: 52
Views: 5912

Re: Middle Age people with low savings need to take on more investment risk than is normal?

We are used to seeing stocks gain each year lately, but they could also go down each year for a while, or at least not gain. They really can't afford to take a great risk when they have so little, and somewhat limited time to recover, let alone not being used to seeing funds crashing around them. Al...
by BL
Wed Sep 04, 2019 7:18 pm
Forum: Personal Investments
Topic: Middle Age people with low savings need to take on more investment risk than is normal?
Replies: 52
Views: 5912

Re: Middle Age people with low savings need to take on more investment risk than is normal?

To answer your question, no. The person you describe as financially illiterate will likely be skittish at the thought of losing their money, even if only temporarily. The loss becomes permanent the moment they make behavioral mistakes such as selling when they should be buying or staying pat. It is...
by BL
Wed Sep 04, 2019 12:42 pm
Forum: Personal Investments
Topic: Is this a real strategy?
Replies: 21
Views: 2690

Re: Is this a real strategy?

It does sound very aggressive for a retired person. However, if he has fixed income (bonds, cash, etc.) elsewhere, it is the total portfolio that should be considered. It doesn't matter where it is, but taxes should be considered. If he wants an advisor, perhaps consider Vanguard PAS (see V website)...
by BL
Wed Sep 04, 2019 1:03 am
Forum: Personal Consumer Issues
Topic: Pre-paid Funeral Expenses
Replies: 66
Views: 3967

Re: Pre-paid Funeral Expenses

I have heard of establishing a bank account with funds for a funeral and with a Payable On Death Deed to a trusted relative, etc., so that the money is easily accessible to pay for the funeral. That may also be excluded from Medicaid, or other support, limits on assets. I would not give it to the fu...
by BL
Wed Sep 04, 2019 12:46 am
Forum: Personal Finance (Not Investing)
Topic: Retiring soon
Replies: 33
Views: 3199

Re: Retiring soon

Im applying for part a and b once I retire. I believe for part A you needed to apply when you turned 65. It is free. If you did not they may penalize you for applying late. For part B as long as you show that you had medical from work they will be fine with you starting it late. I could be wrong, b...