Search found 9851 matches

by BL
Tue Mar 05, 2024 11:53 am
Forum: Personal Investments
Topic: Should I close Traditional IRA account?
Replies: 10
Views: 1021

Re: Should I close Traditional IRA account?

There might be some considerations for leaving a small tIRA alone:

If you give to charity, QCDs can be part or all of your RMDs and would not be taxable income.
Where would you source charitable contributions after tIRA is gone? We use pension/SS income since Roth conversions and QCD depleted our small tIRA.

If you have high medical costs in future, this could offset any RMD or more redemptions otherwise taxable.

I doubt it is a critical decision whether you get rid of it or have it set to a single bond/cash fund or a single balanced fund such as a target retirement income fund.

If it is gone, your children won't have to deal with it eventually.
by BL
Sun Mar 03, 2024 12:43 am
Forum: Personal Investments
Topic: How to Get Roth IRA Out of Wells Fargo Advisors
Replies: 19
Views: 1962

Re: How to Get Roth IRA Out of Wells Fargo Advisors

Fidelity, Schwab and Vanguard will work hard to get your money, talk to them and they will tell you what the process is (and they will probably do most of the work for you). At any of the 3 you can get low cost index funds and quit paying 2% per year for nothing. It looks like SCICX is a technology fund, so it has probaby returned more lately than the s&p 500 but with additional risk. If the market takes a dive i would expect this fund to do much worse than an s&p 500 index fund or similar. I personally would not use this for my only retirement fund, i would use either an s&p 500 index fund or a total stock market index fund (much lower risk) for the stock portion. +1 You don't need an advisor that buys just a risky fund with a...
by BL
Sat Mar 02, 2024 2:07 pm
Forum: Personal Investments
Topic: Convert $1M+ to Roth while in high tax bracket?
Replies: 33
Views: 4270

Re: Convert $1M+ to Roth while in high tax bracket?

I may have missed it but did you fill your traditional 401k with all of your fixed income and bonds and only use equities to fill in the excess? That would slow down growth there while increasing it in Roth and taxable accounts with no RMDs.

Yes, charitable contributions (QCDs) would reduce taxes in trad. IRA.
by BL
Tue Feb 06, 2024 12:49 am
Forum: Personal Consumer Issues
Topic: Sleeping struggles with two people one bed
Replies: 71
Views: 6816

Re: Sleeping struggles with two people one bed

PoppyA wrote: Mon Feb 05, 2024 7:31 am Fitted sheet & 2 twin duvet covers. Skip the top sheet.

This gives each of you the option of adding more bedding as needed (colder nights) & makes the bed super simple to make.

In Europe where duvets come from they do not use a top sheet. They either use the duvet alone or with a down filler. Take the filler out & wash the cover.
+1
This is my plan for sometime soon. I loved the European separate duvets; having your own lets you keep covered without bothering the other partner.
by BL
Thu Feb 01, 2024 1:17 am
Forum: Personal Finance (Not Investing)
Topic: Advice with credit card debt while traveling.
Replies: 27
Views: 2308

Re: Advice with credit card debt while traveling.

You have received some good advice; now you need to choose what will work for you. Yes, avoid using a CC that is not paid off in full each month. That and high interest rates keep you from getting ahead on paying off the card debt because it is multiplying so fast. You could put it into something like a water-filled milk carton and freeze it indefinitely to help avoid the temptation of using it. Even if you get a card for your trip, please consider giving up on credit cards as soon as possible. I had a friend who did just that, and was able to learn to manage money successfully after some struggles. When you have succeeded in getting your financial life under control, you might slowly try using a card again if you can easily pay it off ever...
by BL
Tue Jan 16, 2024 2:10 am
Forum: Personal Investments
Topic: Advice for 80yr Grandma w/ 95% AT&T Stock Portfolio
Replies: 91
Views: 11341

Re: Advice for 80yr Grandma w/ 95% AT&T Stock Portfolio

delamer wrote: Mon Jan 15, 2024 9:12 pm
GaryA505 wrote: Mon Jan 15, 2024 5:58 pm
gavinsiu wrote: Mon Jan 15, 2024 5:31 pm I feel having everything in one stock is not a great idea. It's pretty unlikely that AT&T will go bust, but it can happen. Remember those great companies of our youth like Polaroid, where are they today? I would recommend paying the tax and diversified. You don't need to do it all at once and pay a huge bill but Grandma could live for quite a long time. My wife's grandma is 100. The losses from a single stock could exceed the tax loss.
Ah, but does Grandma understand why having everything in one stock is a bad idea?
My impression from the initial post is that Grandma does understand the risk, and that was the impetus for the post.

Many of us grandmothers are pretty sharp.
+1
by BL
Sat Dec 30, 2023 2:18 pm
Forum: Personal Investments
Topic: Investing for my parents in their 70s
Replies: 18
Views: 2276

Re: Investing for my parents in their 70s

My mom is 94 and she has money in Wellesley. If your parents have zero stock, making sure they are getting a good interest rate is the first step. If they want to invest,I would suggest treasuries with maybe 20% stock. +1 I am older than she is, and have been investing for decades. First, you haven't given us (perhaps you don't know) what they have or are living on right now. Do they have SS, pension, etc. along with cash so they are doing just fine at this time? Also, keep in mind that suddenly or slowly losing money can be very stressful if you are not used to having money in the stock market. Since she may need the money in less than 5 years, I agree to find a higher interest rate savings account, money market, or buy treasuries at any ...
by BL
Fri Dec 29, 2023 11:46 pm
Forum: Personal Investments
Topic: Help needed - 1st time investor
Replies: 59
Views: 5900

Re: Help needed - 1st time investor

This might be the time to recommend a very short free pdf (or buy it as a very thin book or e-book at Amazon or ?) that the author wrote for his adult children to get started with investing: https://flip4u.org/docs/If%20You%20Can%20Millenials-Bill%20Bernstein.pdf by William Bernstein. If You Can: How Millennials Can Get Rich Slowly This 17-page booklet can be read and re-read as needed to get the important ideas. He suggests buying 3 funds (equally divided, which could be a good idea until you have lived through a falling stock market event so you know your personal reaction to this. Some people panic and sell.) Anyway, sticking to 3 index funds (in almost any ratio): 1. a low expense ratio (ER) total US stock fund or ETF, 2. a low expense ...
by BL
Thu Dec 21, 2023 3:28 pm
Forum: Personal Investments
Topic: Please help me consolidate funds after leaving FA.
Replies: 47
Views: 5273

Re: Portfolio Review: Please help me consolidate funds after leaving FA.

Since you may want to keep the Fidelity 500, International, and Small Cap funds so as not to realize taxable gains...It would be worth considering never contributing to them again and instead choosing a different large-cap, international, and small-cap fund. That way you segregate the funds that are trapped in Average Cost from new money. I would also consider just investing in a total market fund (rather than S&P 500 fund) like FSKAX or any of the usual ETFs; and a total international fund (rather than a developed markets fund) like FTIHX or any of the usual ETFs. You should sell all your funds that have losses. Since both of these bond funds have losses you should sell both of them and buy something like FXNAX (or intermediate treasu...
by BL
Thu Dec 21, 2023 3:19 pm
Forum: Personal Investments
Topic: Please help me consolidate funds after leaving FA.
Replies: 47
Views: 5273

Re: Portfolio Review: Please help me consolidate funds after leaving FA.

It looks like you are getting a good handle on this:

1. Don't reinvest into funds you don't want to keep.
2. Sell everything with a loss.
3. Plan to sell high ER funds at least up to loss amount, plus whatever additional high ER or undesirable funds that will fit into your affordable plan.
4. Set new purchases to Specific Id (or similar) so you can sell lots that have a capital loss.
by BL
Fri Dec 15, 2023 1:49 am
Forum: Personal Investments
Topic: Do I Bonds make sense in my case?
Replies: 7
Views: 1531

Re: Do I Bonds make sense in my case?

You could also buy at least 10k to put in the Gift Box for your spouse that could be given to them any year they haven't purchased any. Same could be done by spouse for you. It starts earning income immediately.
by BL
Sun Nov 26, 2023 12:39 pm
Forum: Personal Finance (Not Investing)
Topic: Interested in becoming IRS Enrolled Agent, most direct path?
Replies: 10
Views: 1197

Re: Interested in becoming IRS Enrolled Agent, most direct path?

The market is terrible for entry level devs without a computer science degree. I attended an online coding school for about 2 years and don't have a full fledged portfolio project. I think the issue is that you attended an unaccredited for-profit school, to me such a school is almost a scam. If you want to be in coding. Step 1: Go to a local CC for an associate degree (inexpensive). Step 2: Transfer to a local university (if available) for a bachelor degree. I stressed on local so that you can continue with the current arrangement. +1 Don't disregard this without considering it seriously. Check to see if a local university accepts your Associate Degree and/or courses taken at your Community College. Most tax preparers seem to work just a f...
by BL
Sun Nov 26, 2023 12:18 pm
Forum: Personal Finance (Not Investing)
Topic: Please recommend Tax pre/file software/tool!
Replies: 23
Views: 2636

Re: Please recommend Tax pre/file software/tool!

I just bought the H&R Block Deluxe 2023 (PC/Mac download) for half price at Amazon.com (about $25 for both fed and state). This one stays in the Amazon software library into the future in case I need to download it again for some reason, unlike the one where they mail you a code. They also have it without state for about $20 which I have not tried.

I am happy with their software, especially at this weekend's prices. However, the above suggestion of doing it on paper and Free File also sounds like a good learning experience. How about trying it both ways?

Edit: The IRS website has all the 1040 paper forms for you as well as instruction booklets and general information.
by BL
Tue Nov 21, 2023 5:01 pm
Forum: Investing - Theory, News & General
Topic: RMD options in year of retirement...
Replies: 6
Views: 1383

Re: RMD options in year of retirement...

I think you are asking which of these apply:

1. "You must take your first required minimum distribution for the year in which you reach age 72 (73 if you reach age 72 after Dec. 31, 2022). However, you can delay taking the first RMD until April 1 of the following year."

2. If you have delayed the first RMD due to still working, can you still delay the first year's withdrawal until the next April 1?
by BL
Wed Nov 08, 2023 1:04 am
Forum: Personal Investments
Topic: Is it okay to be risky with retirement investments in this situation?
Replies: 35
Views: 5108

Re: Is it okay to be risky with retirement investments in this situation?

Your additional information about being the spouse of an x% disabled veteran and having 2 special needs children certainly adds to the necessary information to get a reasonable suggestion. First, have you considered what income you will have if you are the surviving spouse? The disability pay (it could be for 10-100% disabled) will disappear and SBP will be no more than 55% of his retired pay (I believe it is 55% of the selected base amount of $300 up to full retired pay). Your social security (if lower) will also disappear. How much additional income do you need to have enough to adequately cover your and your children's expenses, including long term care if needed? What will your children need when they have no living parents? You would b...
by BL
Tue Oct 31, 2023 10:41 pm
Forum: Personal Finance (Not Investing)
Topic: Should I ask my in-laws to change their trust?
Replies: 83
Views: 9924

Re: Should I ask my in-laws to change their trust?

In looking at this from the perspective of the parent, these ideas come to mind:

1. This inheritance is for my children; in-laws have no say in what I do and should butt out!
2. I will tell my heirs only what I wish them to know right now. Perhaps if there are some questions that they need to ask, I might or might not mind them asking when siblings and parents are alone together. If they sound nosy or greedy, I might just look for a charity instead.
3. I might like to be told how they are setting things up before they ask me questions.

Actually, we have showed them a list of our assets and where they are and their value.
The power of attorney and other basic paperwork is finished; they have a copy of that.
by BL
Mon Oct 30, 2023 10:03 pm
Forum: Personal Finance (Not Investing)
Topic: applying at any time on ex-spouses social security record?
Replies: 23
Views: 4286

Re: applying at any time on ex-spouses social security record?

Perhaps this book at Amazon.com would give you a more definite answer:

Social Security Made Simple: Social Security Retirement Benefits and Related Planning Topics Explained in 100 Pages or Less (Financial Topics in 100 Pages or Less)
Part of: Financial Topics in 100 Pages or Less (10 books) | by Mike Piper | Jan 8, 2022
4.5 out of 5 stars 151
Kindle
$4.99 Print List Price: $14.99

You can search for his comments on Boglehead; he was very generous with his time to inform us about the last changes in Social Security. He is also the author of the SS calculator you may have seen mentioned here.
by BL
Thu Oct 19, 2023 3:54 pm
Forum: Personal Investments
Topic: Advice for sale of house proceeds
Replies: 17
Views: 2471

Re: Advice for sale of house proceeds

VMFXX, Vanguard Federal Money Market Fund, has a 5.28% 7+day SEC yield, and is also the settlement fund at Vanguard.
There is also a Treasury Money Market fund with similar yield, which is also partly or completely state tax exempt, depending on what % is actually in Treasuries.

If you buy treasury bills or bonds, they will have a guaranteed rate until maturity, probably have a higher rate than MM, at least for short term bills, and be exempt from state taxes so they actually pay even more than a similar VMFXX rate. At maturity, they go back into the settlement fund, VMFXX.
by BL
Sun Oct 15, 2023 2:09 am
Forum: Personal Consumer Issues
Topic: Computer Upgrade for my Elderly Parents - Your Advice Appreciated
Replies: 59
Views: 5178

Re: Computer Upgrade for my Elderly Parents - Your Advice Appreciated

As an "elderly person" I pick out my own desktops and laptops. However, my spouse is not at ease with them so I have had to make these choices to the best of my abilities. I guess I am trying to say age isn't always relevant as I know lots of folks in 60's that don't do very well with computers in general. Memory problems can add to the difficulty. If possible, observe them as they use a computer to see where they may have problems and what they like to do with the computer. That might help determine which one to get. I believe some people are unable to use a computer without someone around to help when they get stuck. Do they like a touch screen or does it create problems when they accidentally touch it? I do believe that Chromeb...
by BL
Sat Oct 14, 2023 4:41 pm
Forum: Investing - Theory, News & General
Topic: I Bonds Mega Thread (I Bond Heads Rejoice!)
Replies: 6651
Views: 1201934

Re: I Bonds Mega Thread (I Bond Heads Rejoice!)

user9532 wrote: Sat Oct 14, 2023 3:03 pm

For your 1/1/22 purchase you will get 3.38% through the end of Dec 23 and at the new 11/1/23 rate (excluding the fixed portion, if any) for six months in 2024.
I sold our 1/22 I-Bonds in October as they already had 3 months at 3.38% by then. Why should I wait until Dec when this rate is lower than current Vanguard MM or Treasury Bills?

Also I plan to sell 9/21 I-Bonds in December with 3 months at 3.38% but undecided about 10/21 I-Bonds as they would sacrifice 1 month at 6+% rate if I don't wait until January. It may be too small an amount to matter while other factors may suggest selling ASAP.
by BL
Tue Oct 10, 2023 3:10 pm
Forum: Personal Investments
Topic: Sell out of taxable to enable mega backdoor Roth?
Replies: 8
Views: 1111

Re: Sell out of taxable to enable mega backdoor Roth?

Good plan even though Treasuries are taxable for federal tax and only tax-free for state and local taxes, AFAIK.
by BL
Tue Oct 10, 2023 1:00 am
Forum: Personal Investments
Topic: Where to invest $60K in cash now?
Replies: 19
Views: 3610

Re: Where to invest $60K in cash now?

Capster1 wrote: Mon Oct 09, 2023 9:36 pm As I posted on another thread, I don’t like brokerage accounts as cash holdings because they charge expense ratios.
0.4% on 60k is $240. Leave it in there five years and it just gets worse. It’s not much, but why not prevent it?

I’d rather put it in tbills or a CD.
+1
0.11 ER on VMFXX is $60. The rate given (currently 5.28% 7-day SEC yield) is what you get after ERs are handled.
Agree on the treasury bills or bonds for no state tax and slightly higher rates as well.
by BL
Mon Oct 02, 2023 1:34 am
Forum: Personal Investments
Topic: Roth IRA Restructuring Advice
Replies: 11
Views: 1569

Re: Roth IRA Restructuring Advice

David Jay wrote: Sun Oct 01, 2023 10:32 pm With your balance, I would make the Roth 100% VTI for simplicity. Hold all your bonds in your 401K (by using Target Date funds).

Re-examine the selection in a few years when you have a balance of $25,000 or more.
+1,
unless you are somehow unable to emotionally handle the ups and downs of a single stock.
by BL
Sun Aug 27, 2023 5:20 pm
Forum: Personal Investments
Topic: Unwinding Taxable Investments
Replies: 17
Views: 2226

Re: Unwinding Taxable Investments

Be sure you are not automatically buying more of the same with your dividends and capital gains.
Use it for expenses or to invest in something of your choice.
by BL
Thu Jul 20, 2023 9:46 am
Forum: Personal Investments
Topic: New to investing - question about Franklin Templeton funds suggested by financial planner
Replies: 41
Views: 3829

Re: New to investing - question about Franklin Templeton funds suggested by financial planner

Thank you for looking out for your sister. I believe you have gotten good advice here, and I have followed some (like Ducky) for a number of years where I was impressed by their solid advice to many. I don't have any specific knowledge to share but do have a few comments: 1. My first reaction was "Why change what she has to something so very similar?" The only reasons I can think of are to bring the salesman more money and make it look too complicated to handle on her own. 2. Do Fidelity or Schwab have offices within her driving range? That could be worth considering when deciding where to go. (No other local salespersons would likely be worth considering.) I would let them know that you want to use low-cost index funds or target ...
by BL
Fri Jul 14, 2023 10:34 pm
Forum: Personal Finance (Not Investing)
Topic: How to prevent this from happening again ? Computer order fraud .
Replies: 11
Views: 2106

Re: How to prevent this from happening again ? Computer order fraud .

Just received a similar email where a Nikon camera was supposedly ordered by
First MI Last to be delivered to an address a few states away with payment through Paypal.
Spouse does not have a Paypal account, although I do. Seeing the full name sent to this email address was rather startling. I will delete it.
by BL
Thu Jul 13, 2023 9:46 pm
Forum: Personal Investments
Topic: I only have 3 percent to invest in retirement. What’s my best option?
Replies: 40
Views: 5848

Re: I only have 3 percent to invest in retirement. What’s my best option?

You might have missed a key point mentioned by RuralAvalon:
Is your employer's SIMPLE IRA plan a 5304 or 5305 plan? It makes a difference when wanting to rollover to an IRA at a low cost provider like Vanguard, Fidelity or Schwab.


I believe the plan to start moving it out after 2 years only applies to one of the two types, so it is very important to find out now which one you have.
by BL
Thu Jul 06, 2023 8:54 pm
Forum: Personal Investments
Topic: Taxation of Series I Bonds
Replies: 4
Views: 982

Re: Taxation of Series I Bonds

WhitePuma wrote: Thu Jul 06, 2023 8:44 pm I have some questions regarding taxation of I Bonds. For the sake of example and simplicity, let’s assume one purchased 10K of I Bonds over 5 years ago. And let’s say the current value is $13K.

1. Upon redemption, is the $3K considered interest income or capital gains?
2. How is it reported, i.e., on what tax form?
3. Does Treasury Direct snail-mail the tax form, e-deliver it, or simply post it in one’s TD account for download?
To the best of my knowledge,
1. the interest is interest income.
2-3. The 1099-Int tax form will be on their website which you will need to download and/or print. I believe you will be notified by email.
by BL
Fri Jun 30, 2023 4:58 pm
Forum: Personal Finance (Not Investing)
Topic: Parents estimated taxes
Replies: 13
Views: 1371

Re: Parents estimated taxes

If they can easily set up enough withholding in one or more income source to meet the required tax, they shouldn't need to bother with quarterly estimates. Withholding can be done without worrying about each separate quarter and does not have to be all year as long as enough total tax is withheld.

I found it very easy to do it online for a federal pension and was able to change easily as needed. Have used other places like SS and other pensions as needed in the past with no problems.
by BL
Tue Jun 13, 2023 12:23 am
Forum: Personal Investments
Topic: Some advice needed regarding Parents Retirement
Replies: 19
Views: 3168

Re: Some advice needed regarding Parents Retirement

Just a comment on the Social Security: The decision on when to start the higher income SS should be based on the lifetime of both of them, because it could affect both the survivor and the person who first received it. Once the survivor has about reached Full Retirement Age around age 67, they will receive the full higher-paying spouses SS including future COLAs. They could take their own lower amount until they reached FRA, so they could receive the higher guaranteed income in the future.

Amazon.com has a small book or e-book on Social Security that was updated after some changes a few years ago that might be useful. Author Mike Piper also produced a SS calculator mentioned above.
by BL
Sat May 20, 2023 12:34 am
Forum: Personal Finance (Not Investing)
Topic: What to do with my raise?
Replies: 20
Views: 1859

Re: What to do with my raise?

Perhaps you could use this additional income to accumulate an emergency fund for at least 3 months living expenses to start. Right now the Vanguard settlement fund, (federal money market), pays about 5%/year, so that could be a decent return on savings that would be readily available. Fidelity and Schwab probably have similar ones at a decent rate. You could also save some to create a memory such as a vacation, hiking in the mountains, camping, other low-cost but fun activities best done in your youth. Giving something to a charity, giving a large tip, or paying for a stranger's meal at a drive-up (Pay-it-forward) can be very satisfying. I was on the receiving end and passed that and lots more around recently and plan to do it again. If the...
by BL
Mon May 08, 2023 1:27 am
Forum: Personal Finance (Not Investing)
Topic: Financial Advisors - long original post
Replies: 48
Views: 4999

Re: Financial Advisors - long original post

As you can see, you have gotten lots of good advice here from strangers who really want to give you the best advice they can think of, with no ulterior motive. I suggest you go on to the next step, which is to go to the "asking Portfolio questions" referred to by Taylor and others, and give your information the best you can. It may seem like a lot of work, but really it is similar to the information you need to gather anyway to get the best recommendation from a good paid advisor. I believe you will get similar good advice here when you present the facts in this format with which the advice-givers are familiar. I have read a lot of these over the years and am impressed with the quality of advice. Also, having a number of different...
by BL
Fri May 05, 2023 1:12 am
Forum: Personal Finance (Not Investing)
Topic: Helping parent with finances when they don't want help
Replies: 28
Views: 3679

Re: Helping parent with finances when they don't want help

I used the excuse of my parent recovering from a hospitalization to get involved with paying bills. While hospitalized, we had found out that there had been a few late payments including one shut off notice. We said it was just to make it easier until they had full strength back. I just kept pushing forward, pleasantly, regardless of protestations. Was able to handle it all once a month. Or would Dad maybe let you set up auto pay if you pressed forward? I have personally found in working with this population that most will let you do what you need to if you just keep moving forward calmly but firmly. In the short term, can you work with Mom to set up an alert to either her or to you if there is a transaction over a certain amount? Can you ...
by BL
Thu Apr 27, 2023 3:41 pm
Forum: Personal Investments
Topic: CDs best option for no risk investment?
Replies: 13
Views: 2409

Re: CDs best option for no risk investment?

While you are looking at Vanguard's CDs, also consider the treasury bills and bonds. They are supposedly easier to sell early compared to CDs and they also are not taxed by your state. They are especially competitive with CDs up to 6 months or so.
by BL
Sun Apr 16, 2023 9:43 pm
Forum: Personal Investments
Topic: Treasury Bonds
Replies: 13
Views: 2405

Re: Treasury Bonds

I brought $10K of treasury Bonds in Oct 20232when the interest rates were high. When do I cash them out? How long do they have to stay in there to get the full return? Thanks :happy Did you buy them in '23 or '22 or '21? If you bought them in Oct '22 you should get the 6 months of 9+% and 6 months of 6+% by Oct 1, '23, less the last 3 months of interest. If you wait until Jan '24, the loss of 3+% wouldn't be so painful. If you really want it in December '23, you would only lose 1 month of 6+% and 2 months of 3+% interest. If you are happy with the current rate and don't need the cash, you can keep it for a while longer up to 30 years. (The interest rates are the annual rates, and you get each rate for only 1/2 year. Another way to look at ...
by BL
Sun Apr 16, 2023 12:37 am
Forum: Investing - Theory, News & General
Topic: I Bonds Mega Thread (I Bond Heads Rejoice!)
Replies: 6651
Views: 1201934

Re: I-Bond sell date help

As far as I know, if you look up your balance on the website, they never include the last 3 months of interest until the 5 years have passed, so the amount you get is the total amount of interest with no adjustment needed on your 1099-Int.
by BL
Fri Apr 14, 2023 3:13 pm
Forum: Personal Investments
Topic: Leaving my Fiduciary Advisor
Replies: 69
Views: 8221

Re: Leaving my Fiduciary Advisor

Since you are dealing with only tax-advantaged accounts (traditional and Roth IRAs) you have the option to change in the future if you decide to do that, without suffering tax cost. Therefore, good enough will do for now. You may get a hard sell on using their advisor, which would cost you money again. Option one: leave alone for a while, possibly up to a year. Option two: Put everything in a low-cost balanced or retirement date fund (watch out to get the low-ER Fidelity Freedom Index fund, not their more expensive Fidelity Freedom Fund, which they make so much easier to find. You may or may not decide to change to a three-fund portfolio at some point. Option three: Decide your stock/bond ratio. Read up on the three-fund portfolio and selec...
by BL
Fri Apr 14, 2023 2:22 pm
Forum: Personal Finance (Not Investing)
Topic: Forgot to include income on tax submission. What do to?
Replies: 18
Views: 1942

Re: Forgot to include income on tax submission. What do to?

Since it may take a while to get any refund with paper filing, I suggest e-filing with either the above-mentioned or H&R Block/TurboTax.

Filing for extension is a good idea also. Since you are due a refund, you don't need to worry about paying taxes owed.
by BL
Wed Apr 12, 2023 11:53 am
Forum: Personal Finance (Not Investing)
Topic: Monetary Gift from parents
Replies: 10
Views: 1473

Re: Monetary Gift from parents

The gifting rules that you are referring to are generally rules for the person giving the gift. You could receive any amount in that case and not worry about your taxes.

I don't know the rules for gifting to or receiving from a foreign country. I suspect it matters what country it is received from.
by BL
Sun Apr 02, 2023 12:59 am
Forum: Personal Investments
Topic: Worth It To Sell American Funds in Taxable and Buy Vanguard ETFs?
Replies: 19
Views: 1986

Re: Worth It To Sell American Funds in Taxable and Buy Vanguard ETFs?

Agree to find out the unrealized gains in the taxable funds.

Find out the unrealized gains and losses for each unwanted fund.
Sell all taxable funds with a loss (unrealized loss).

Sell at least as much of the unwanted funds as will use up the losses.

Be sure not to reinvest or buy any more of the unwanted funds. Instead buy from your choice of preferred index funds/ETFs. It is ok to get there slowly.
by BL
Fri Mar 31, 2023 11:06 am
Forum: Personal Investments
Topic: Using IRA for donations instead of Roth conversion
Replies: 5
Views: 588

Re: Using IRA for donations instead of Roth conversion

QCDs can be up to $100,000/year; amount is not limited to RMD amount. I would definitely use QCDs instead of Vanguard Charitable when you get to 70 1/2 age unless there are unusual circumstances.

I believe age 70.5 is when you are eligible to start doing QCDs.

You might want to play with the numbers to see if Roth conversions will help with taxes, IRMAA, etc., based on RMDs (which can be reduced by QCDs).
by BL
Thu Mar 23, 2023 12:48 am
Forum: Personal Finance (Not Investing)
Topic: Owner Finance Offer - Too Good To Be True?
Replies: 47
Views: 4618

Re: Owner Finance Offer - Too Good To Be True?

I think you are getting good advice and would strongly consider the advice. If it were someone younger like yourself, it might possibly be worth investigating carefully and negotiating, but as someone older I would not want the concern or stress about all the "what if's" that could come up. Yes, a bargain sounds great (if it is a bargain), but we don't need the extra worry in our old age. (I wonder if there are some older folks stressing out about whether their bank is safe these days, and that would probably be a pretty minor concern compared to the things that could go wrong here.) I can easily think of at least three totally different types of sales of $xxx to $x,xxx where we were not paid; so it does happen, even in a communit...
by BL
Mon Mar 20, 2023 12:40 am
Forum: Personal Investments
Topic: Did I give my parents bad advice? VASIX
Replies: 27
Views: 3631

Re: Did I give my parents bad advice? VASIX

If you do look at what they would have made at EJ, be sure to consider the annual cost for the advisor which would be subtracted from their gains.

Recent market declines are not usual, but must be expected at unpredictable intervals. Agree that if this money may be needed at any time on short notice, it should be in something less volatile: eg., money markets (Vanguard's settlement fund currently has good interest/dividend rates), Treasury bills have been even better and can be bought from 4 weeks to 52 weeks, their bank CDs have been competitive, etc. Fidelity and Schwab have similar offerings.
by BL
Tue Mar 14, 2023 9:36 pm
Forum: Personal Investments
Topic: You're in your 20's, just made 100k profit from your business, how do you scale your wealth?
Replies: 35
Views: 3019

Re: You're in your 20's, just made 100k profit from your business, how do you scale your wealth?

The best investment could be to invest in yourself. Whether this is college, specific training, white or blue collar jobs that suit you and pay reasonably well could be your solution.
by BL
Sat Mar 11, 2023 5:08 pm
Forum: Investing - Theory, News & General
Topic: T Bills - How to Purchase at Vanguard
Replies: 11
Views: 1708

Re: T Bills - How to Purchase at Vanguard

I found this link to be very helpful for its detail in purchasing at 3 good brokerages:
https://thefinancebuff.com/treasury-bil ... c-vanguard

I believe this link is for purchasing at auction, but you are directed to the same location for purchasing secondary treasuries.
by BL
Thu Mar 02, 2023 10:41 pm
Forum: Personal Finance (Not Investing)
Topic: How long did you wait for your tax refund this year?
Replies: 165
Views: 17992

Re: How long did you wait for your tax refund this year?

Eight days to get federal refund in bank account. No state yet. Waiting for some I-Bonds now.
by BL
Sat Feb 25, 2023 1:11 am
Forum: Personal Investments
Topic: VG PAS for IRAs (RMD phase)
Replies: 8
Views: 928

Re: VG PAS for IRAs (RMD phase)

I wouldn't think it would make sense to use them for this purpose only. Vanguard will calculate RMDs for each year. I simply checked on that, did what QCDs I wanted (online, choose check, and gave the charity and amount so they could send a check to charity in care of me), and if I had any left I could request the remaining RMD to be sent to my joint brokerage account or checking account. (I expect that could be automated.) I went through the earlier annual government decision on QCDs which was a pain since they couldn't seem to decide until about the end of the year. Then for a while I had to call in and give a person the name and amount for the charity. Now you can do it all online. Before QCDs, we did some Roth conversions to nearly the ...
by BL
Thu Feb 16, 2023 1:30 am
Forum: Personal Finance (Not Investing)
Topic: Spouse (Age 37) Going Back to University
Replies: 196
Views: 17185

Re: Spouse (Age 37) Going Back to University

I’ll reiterate what I said earlier. This is an expensive hobby. Once she graduates and starts looking for a job and realizes she can’t get one with her preferred schedule then she’ll just be a better educated SAHM. This 100% fine if you can afford it. I think it's difficult for Bogleheads to relate to someone who's 37 years old and either has no goals or bounces from one goal to another on a whim. It's just not a concept they can relate to. I can relate completely and some of these comments are unnecessarily harsh about the spouse. I didn't read the situation as her having "no goals." One of her primary goals is to raise her children in what she considers an optimal way with significant parental time investment and daycare-free s...
by BL
Wed Feb 15, 2023 2:06 pm
Forum: Personal Investments
Topic: Benefits for Spouses / Primary Insurance Amount
Replies: 23
Views: 1440

Re: Benefits for Spouses / Primary Insurance Amount

I believe Mike Piper's little book on Social Security would be a handy reference to keep this straight. He kept us informed when big changes happened a few years ago:

Social Security Made Simple: Social Security Retirement Benefits and Related Planning Topics Explained in 100 Pages or Less (Financial Topics in 100 Pages or Less)
| by Mike Piper | Jan 9, 2022
Paperback $14.67 Kindle $4.99

Also keep in mind that Survivor's Benefits have very different rules than spouse's benefits.

Edit: I see the above book was just mentioned.
What in the world happened to the clock here? It says it is after 8 P.M.

Please note the age of applicant in the quote from S Critic. Rules really changed a few years ago.
by BL
Wed Feb 15, 2023 1:23 pm
Forum: Personal Finance (Not Investing)
Topic: Spouse (Age 37) Going Back to University
Replies: 196
Views: 17185

Re: Spouse (Age 37) Going Back to University

Lots of good ideas/suggestions here. I have to admit that a for-profit institution has many negatives. I don't want you to miss the idea that getting an education as an adult can be an inspiration to your kids that education is good and worthwhile, and that they can admire a mother who has made the effort to get further education as an older adult. There is really no way to put a number to it, but I have observed this benefit personally. It really can have a positive effect in your family. I believe there is merit in choosing a community college with transfer arrangements to start working toward a certificate or two-year degree in an area that might be satisfying for working at least in the short term as well as determine whether this area ...