Search found 134 matches

by teddytimtam
Mon Oct 19, 2020 5:53 am
Forum: Personal Consumer Issues
Topic: Convince us to buy our first luxury car!
Replies: 147
Views: 7179

Re: Convince us to buy our first luxury car!

White Oak wrote: Mon Oct 19, 2020 5:44 am I would recommend paying cash for whatever you decide. That will help you evaluate whether you can really afford it, if you are willing to write that big of a check.
+1 :sharebeer
by teddytimtam
Tue Sep 15, 2020 4:59 am
Forum: Personal Investments
Topic: starting out intelligently.
Replies: 140
Views: 3009

Re: My four plan vanguard portfolio !

100% VTI is all the diversity I need for US market exposure.

Is there a reason why you're 35% S&P and 40% total market?
by teddytimtam
Fri Sep 11, 2020 6:11 am
Forum: Personal Finance (Not Investing)
Topic: Paying off sub 4% mortgage interest rate early
Replies: 167
Views: 14606

Re: Paying off sub 4% mortgage interest rate early

Yes, I am. Will pay off $200k mortgage at 3.5% by end of year. (150k paid this year). I don't care what math tells you. I don't care if you can "theoretically" get a larger return investing it. Main drive is to set a solid foundation for future wealth building.
by teddytimtam
Sat Aug 22, 2020 10:26 pm
Forum: Personal Finance (Not Investing)
Topic: Are emergency funds for suckers?
Replies: 202
Views: 15858

Re: Are emergency funds for suckers?

However, I'm tempted to transfer ~$100k to my home loan at 2.75%, since it would otherwise sit for several years. Or I could play games with shifting new account welcome bonuses. Ask this question in reverse. If your home had the additional $100k equity, would you borrow $100k today against your ho...
by teddytimtam
Wed Aug 12, 2020 7:51 am
Forum: Personal Investments
Topic: Pay lump some on Mortgage or invest - Yes another thread
Replies: 3
Views: 561

Re: Pay lump some on Mortgage or invest - Yes another thread

Faisal wrote: Wed Aug 12, 2020 4:17 am We have a 410,000 US dollar - 30 year mortgage at 2.75% interest.
Flip the scenario. If your house was fully paid for, would you take a $410,000 loan on your house to invest?
by teddytimtam
Mon Aug 10, 2020 7:54 am
Forum: Investing - Theory, News & General
Topic: Real life example of 7 digit 401k/Roth IRA portfolios
Replies: 60
Views: 6278

Re: Real life example of 7 digit 401k/Roth IRA portfolios

Our retirement accounts are close to $4M combined and I haven’t contributed in almost 2 decades. We had one year of eligibility in mega, but always maxed out regular. Employer match declined from incredibly generous (2x) to generous (1x) with a couple of years of stingy (.5x). All in mutual funds. ...
by teddytimtam
Mon Aug 10, 2020 7:18 am
Forum: Investing - Theory, News & General
Topic: Real life example of 7 digit 401k/Roth IRA portfolios
Replies: 60
Views: 6278

Re: Real life example of 7 digit 401k/Roth IRA portfolios

That will have been true for many posters here; particularly those that have been investing long enough to reach 1M$ in a 401K/403B. I would guess the number of posters that have reached 1M$ in a 401K/403B using only index funds is pretty close to 0. Why do you say that? It seems like those who’s c...
by teddytimtam
Sun Aug 09, 2020 8:31 am
Forum: Personal Investments
Topic: Sidelined Cash
Replies: 4
Views: 607

Re: Sidelined Cash

That wouldn’t change the response. Whether it’s house, future business, investment property or whatever you’re saving towards. Keep 6-12 months of expenses in cash or CD for an emergency/rainy day fund. Invest the rest in an AA based on your risk tolerance. Might be a bit more conservative if you kn...
by teddytimtam
Sun Aug 09, 2020 8:19 am
Forum: Personal Investments
Topic: Sidelined Cash
Replies: 4
Views: 607

Re: Sidelined Cash

Keep 6-12 months of expenses in cash.

Invest the rest in an AA based on your risk tolerance. Might be a bit more conservative if you’re wanting to buy a home within the next 1-2 years vs 3-4 years. However it seems like you will be able to replenish this based on your monthly income and bonus.
by teddytimtam
Sun Aug 09, 2020 7:59 am
Forum: Investing - Theory, News & General
Topic: Real life example of 7 digit 401k/Roth IRA portfolios
Replies: 60
Views: 6278

Re: Real life example of 7 digit 401k/Roth IRA portfolios

About 24 years for me to reach $1 million in my traditional 403(b). I did not max it in the beginning, and then did so for about 10 or so years. My Roth IRA is about half a million. Started earlier (about 30 years ago), and have maxed that most years. 1) It took me 33 years, the year after I retire...
by teddytimtam
Sun Aug 09, 2020 6:37 am
Forum: Investing - Theory, News & General
Topic: Real life example of 7 digit 401k/Roth IRA portfolios
Replies: 60
Views: 6278

Real life example of 7 digit 401k/Roth IRA portfolios

Just wanting to hear from those who’s reach 7 digits 401k & Roth IRA portfolios with just investing in index funds throughout their career span. Math and theory shows its possible, but would like to hear from those who’s actually achieve this. 1) After how many years of contributing to 401k & Roth I...
by teddytimtam
Mon Aug 03, 2020 6:44 am
Forum: Personal Investments
Topic: Trying to match total market in 401k
Replies: 14
Views: 986

Re: Trying to match total market in 401k

Seems like the simplicity of having 100% SP is the popular choice.
by teddytimtam
Sat Aug 01, 2020 5:32 am
Forum: Personal Investments
Topic: Trying to match total market in 401k
Replies: 14
Views: 986

Re: Trying to match total market in 401k

Ran 3 cases from Jan 2011 to Jul 2020 and these are the results. Portfolio 1 = 100% SP500 (large) Portfolio 2 = 80/5/15 (large/mid/small) Portfolio 3 = 80/20 (large/small) Portfolio Initial Final CAGR Portfolio 1 $10,000 $31,720 12.80% Portfolio 2 $10,000 $30,273 12.25% Portfolio 3 $10,000 $30,122 1...
by teddytimtam
Sat Aug 01, 2020 2:42 am
Forum: Personal Investments
Topic: Trying to match total market in 401k
Replies: 14
Views: 986

Trying to match total market in 401k

Trying to approximate the total stock market with the funds provided in my 401k. The wiki page offers data from 2018, so don't know if its still valid. Goal: VTSAX Funds: Vanguard Institutional Index VIIIX Vanguard Mid-Cap Index VMCPX Vanguard Small Cap Index VSCPX I was playing with portfoliovisual...
by teddytimtam
Mon Jul 13, 2020 6:07 am
Forum: Personal Finance (Not Investing)
Topic: Talk me out of paying off mortgage
Replies: 146
Views: 9011

Re: Talk me out of paying off mortgage

Pay off the mortgage! And if you don’t like being debt free without a mortgage, go and get yourself another loan.
by teddytimtam
Wed Jul 08, 2020 5:20 am
Forum: Personal Investments
Topic: Am I oversaving?
Replies: 39
Views: 4376

Re: Am I oversaving?

Great job. Maximize savings/investing and minimize spending. That’s how you build wealth. No downside to “over saving” except you’ll have less to spend in today’s time.

I would focus more on paying off your mortgage too.
by teddytimtam
Wed Jul 01, 2020 7:16 pm
Forum: Personal Finance (Not Investing)
Topic: Payoff Mortgage?
Replies: 15
Views: 1312

Re: Payoff Mortgage?

I always like to look at these in different situation.

If your home was paid for, would you go borrow $136,600 to invest in the stock market?

Or...

If you suddenly had $136,600 sitting on your coffee table, would you pay off your home immediately or would you invest it in the stock market?
by teddytimtam
Wed Jul 01, 2020 7:10 pm
Forum: Personal Investments
Topic: Yet another emergency fund question
Replies: 14
Views: 1918

Re: Yet another emergency fund question

Look at it fundamentally. Investment (stock market, real estate, etc.) makes you money. Emergency fund [is an insurance] that protects your money in case of an "emergency." It's not supposed to make you money. Same reason we have home insurance, car insurance, life insurance. It's to protect our ass...
by teddytimtam
Sun Apr 05, 2020 7:47 am
Forum: Personal Finance (Not Investing)
Topic: Expat Tax Questions
Replies: 1
Views: 155

Re: Expat Tax Questions

1. No, as long as they're paid it doesn't matter who pays them 2. Do you have hypo tax withheld? It all depends on your company's equalization policy. Some company may reap the benefits for FEIE. Usually housing allowance is non-taxable. In some case, company paid housing be included as income on yo...
by teddytimtam
Wed Mar 25, 2020 5:12 am
Forum: Personal Investments
Topic: What's your average purchase price into SP500 since market drop?
Replies: 5
Views: 587

What's your average purchase price into SP500 since market drop?

I've DCA (randomly) into the market (SP500) over the past 3+ weeks... Looking at contributions made since late-Feb, the average SP500 price paid is equivalent @ 2730. This is roughly -20% from the high. 1) What's your average purchase price into SP500 since market drop? 2) I can't help but feel that...
by teddytimtam
Mon Mar 23, 2020 5:01 am
Forum: Personal Investments
Topic: Excess Roth IRA Contribution for 2019
Replies: 10
Views: 461

Re: Excess Roth IRA Contribution for 2019

1) Recharacterize the $6000 from your Roth IRA to a Non-Deductible Traditional IRA contribution. You'll need to open a Traditional IRA if you don't already have one.
2) Then do a backdoor and rollover the $6000 back to the Roth IRA.
3) When filing taxes, you need Form 8606.
by teddytimtam
Sun Mar 22, 2020 7:23 am
Forum: Personal Investments
Topic: First time 401k at the age of 51
Replies: 2
Views: 270

Re: First time 401k at the age of 51

Need more info: income, tax bracket, any emergency fund besides from the $30k, any debt, mortgage/rent amount? 1. Yes, contributing now is great. Stocks are on sale and the market will most likely be better by the time you retire. 2. Depending all the info needed above. Read the wiki pages and get f...
by teddytimtam
Thu Mar 19, 2020 7:24 am
Forum: Personal Finance (Not Investing)
Topic: High Interest Saving Accounts
Replies: 11
Views: 947

Re: High Interest Saving Accounts

I use Capital One 360 Performance Savings @ 1.5% (Was 1.7% two weeks back)
by teddytimtam
Thu Mar 19, 2020 5:33 am
Forum: Personal Investments
Topic: For those that buy single stocks, what to watch?
Replies: 37
Views: 3298

Re: For those that buy single stocks, what to watch?

Oil stocks are very tempting...

If Chevron falls to $45, Exxon $25, Shell $15... I may buy 100 shares of each and let them ride.
by teddytimtam
Tue Mar 17, 2020 8:38 am
Forum: Personal Investments
Topic: Single Stock Thread - Oil Stocks
Replies: 6
Views: 444

Re: Single Stock Thread - Oil Stocks

Quick sit rep: age late 20's, income $150k, no state tax, maxing out 401k and Roth IRA, 6 months emergency fund, no debt besides mortgage at 3.5% With the SP500/DOW dropping 20-30% these past few days due to virus scare and some ongoing oil war, oil stocks have dropped significantly low... I have s...
by teddytimtam
Tue Mar 17, 2020 7:46 am
Forum: Personal Investments
Topic: Single Stock Thread - Oil Stocks
Replies: 6
Views: 444

Re: Single Stock Thread - Oil Stocks

Does it make sense from a dividend justification? Assuming annual dividend per share remain same as today, $10000 invested is $700 per year in dividends (7% return). That sure beats any money market or savings? I know I am not factoring risk, but it’s hard to imagine a company like Exxon, chevron or...
by teddytimtam
Mon Mar 16, 2020 9:12 pm
Forum: Personal Investments
Topic: Single Stock Thread - Oil Stocks
Replies: 6
Views: 444

Single Stock Thread - Oil Stocks

Quick sit rep: age late 20's, income $150k, no state tax, maxing out 401k and Roth IRA, 6 months emergency fund, no debt besides mortgage at 3.5% With the SP500/DOW dropping 20-30% these past few days due to virus scare and some ongoing oil war, oil stocks have dropped significantly low... I have so...
by teddytimtam
Sat Mar 14, 2020 9:14 am
Forum: Personal Investments
Topic: Pay more on mortgage
Replies: 26
Views: 1489

Re: Pay more on mortgage

I have my mortgage paid off. I was regretting it last year with all the posts of keeping good debt and putting that money into a market that only goes up. Feeling much better about that choice now which allows me to put extra money into the market, savings and probably has reduced the stress I woul...
by teddytimtam
Sat Mar 14, 2020 8:55 am
Forum: Personal Investments
Topic: Whole Life Policy and What to do
Replies: 13
Views: 736

Re: Whole Life Policy and What to do

One thing we did was buy life insurance through NWM. Not a bad plan in my opinion, but my wife was talked into a whole life policy. We have been paying $300 a month for 6 years to this and I feel like it is a waste. I think we should cancel that and just have our two term plans and skip the whole. ...
by teddytimtam
Sat Mar 14, 2020 2:35 am
Forum: Personal Investments
Topic: Pay more on mortgage
Replies: 26
Views: 1489

Re: Pay more on mortgage

I am considering to pay more mortgage every month to become debt free earlier instead of in debt for the next thirty years. How do you make the decision regarding pay more mortgage vs. invest more? Thanks! Interest rate: 3.15% 30 year fixed I am a strong advocate of being debt free. We became debt ...
by teddytimtam
Sat Mar 14, 2020 1:28 am
Forum: Personal Investments
Topic: Pay more on mortgage
Replies: 26
Views: 1489

Re: Pay more on mortgage

Many people on this forum will disagree with me, but what I would do and currently am doing is... pay off mortgage ASAP. Sure, I could invest it in SP500 for long term gains, but... with no mortgage, no payment, no debt, the world is yours. Plus the grass is greener when you walk outside. And to fli...
by teddytimtam
Sun Dec 29, 2019 2:14 am
Forum: Personal Investments
Topic: Spousal IRA Questions - Backdoor
Replies: 2
Views: 273

Re: Spousal IRA Questions - Backdoor

No, a spousal IRA is not a special account. It's just a nickname for the rules that let couples who are married and file joint returns use their joint income to contribute to both individual IRAs. You can make contributions to your wife's existing traditional or Roth IRA accounts. Great, thanks for...
by teddytimtam
Sun Dec 29, 2019 1:57 am
Forum: Personal Investments
Topic: Spousal IRA Questions - Backdoor
Replies: 2
Views: 273

Spousal IRA Questions - Backdoor

Married - Filing Jointly - Income exceeds limit for Roth IRA contributions In 2020, I will contribution $6k to my non-deductible traditional IRA ($0 balance) then backdoor it to my Roth IRA account. My spouse already has a traditional ($0 balance) and Roth IRA account, but will not have any income. ...
by teddytimtam
Fri Jun 28, 2019 9:26 am
Forum: Personal Consumer Issues
Topic: how much to finance a new car at .9%
Replies: 57
Views: 4856

Re: how much to finance a new car at .9%

Putting the car aside... would you walk into your local bank and borrow $33k at to invest? If no, then pay off your car today. Like others have said, the spread is minimal and your earnings would probably buy you an extra Big Mac each year (metaphorically speaking).
by teddytimtam
Sun Mar 31, 2019 11:04 am
Forum: Personal Investments
Topic: Day trade ETF
Replies: 9
Views: 739

Day trade ETF

Does anyone day trade ETF with fun money (~1% to 5% of net worth)? The DOW has been recently up/down 300 points per day for months now. This might be a fun way to play with market timing and make a few bucks. Only down side I see is if the market keeps dropping, then I can just keep VTI shares until...
by teddytimtam
Wed Mar 13, 2019 4:37 pm
Forum: Investing - Theory, News & General
Topic: CD vs MM at current rates
Replies: 8
Views: 1501

CD vs MM at current rates

Capital One is offering 1 year CD's at 2.7%. Vanguard Prime MM is at 2.45%.

Difference is $35 for every $10,000.

Is the flexibility of a MM/access to cash worth losing out on $35/$10000/year?
by teddytimtam
Tue Jan 15, 2019 11:15 am
Forum: Personal Investments
Topic: Portfolio Question - Vanguard or Blackrock??
Replies: 16
Views: 1271

Re: Portfolio Question - Vanguard or Blackrock??

My own personal preference would be # 2, so that I could select the asset allocation I prefer and for the very slightly lower expense ratio. You are fortunate to have such excellent fund choices offered in your 401k. I would not be concerned about using International bonds. I’m leaning towards Opti...
by teddytimtam
Tue Jan 15, 2019 7:26 am
Forum: Personal Investments
Topic: Portfolio Question - Vanguard or Blackrock??
Replies: 16
Views: 1271

Re: Portfolio Question - Vanguard or Blackrock??

bluquark wrote: Mon Jan 14, 2019 9:55 pm whereas Blackrock may try to tempt you with some complicated junk.
Interested to understand the meaning behind this
by teddytimtam
Tue Jan 15, 2019 7:25 am
Forum: Personal Investments
Topic: Portfolio Question - Vanguard or Blackrock??
Replies: 16
Views: 1271

Re: Portfolio Question - Vanguard or Blackrock??

I have found that Blackrock has very good low cost index funds. My 401k is managed by Fidelity and they are the best option available. For Roth and taxable I use Vanguard and like what they offer. Do you also have the bond index fund and international funds that Blackrock offers? It would be a bett...
by teddytimtam
Mon Jan 14, 2019 9:47 pm
Forum: Personal Investments
Topic: Portfolio Question - Vanguard or Blackrock??
Replies: 16
Views: 1271

Re: Portfolio Question - Vanguard or Blackrock??

There's nothing magic about 20%. Bogleheads heatedly disagree about international allocation and recommend anywhere from 0% to 50%. It really depends if you're more comfortable holding mostly the single country you know and trust, or whether you're worried too many of your eggs are in that one coun...
by teddytimtam
Mon Jan 14, 2019 9:33 pm
Forum: Personal Investments
Topic: Portfolio Question - Vanguard or Blackrock??
Replies: 16
Views: 1271

Re: Portfolio Question - Vanguard or Blackrock??

teddytimtam: I would select the Vanguard fund (option #1) for two primary reasons: 1. Much greater diversification. 2. Simplicity Please read my "Simplicity" link below. Best wishes. Taylor Taylor, thank you so much for your input. The only reason I’m hesitant of selecting the target fund is the 36...
by teddytimtam
Mon Jan 14, 2019 7:58 pm
Forum: Personal Investments
Topic: Portfolio Question - Vanguard or Blackrock??
Replies: 16
Views: 1271

Portfolio Question - Vanguard or Blackrock??

Hi all, just wanted to as the Boglehead community about their opinion on some 401k fund choices. My employer switched funds this year and I need to choose by end of the week. Goal is to try to mimic the Total Market. For Option 2, I'm not worried about not having any international as I can offset th...
by teddytimtam
Wed Jan 09, 2019 7:37 am
Forum: Personal Investments
Topic: Blackrock - 3 Funds to Match Total Market
Replies: 6
Views: 721

Re: Blackrock - 3 Funds to Match Total Market

Thanks everyone.

Moving forward I think I may select to do

80% // Blackrock Equity Index T Fund (Large/SP500) - ER 0.04%
20% // BlackRock Russell 2000 Index T Fund (Small) - ER 0.06%
by teddytimtam
Tue Jan 08, 2019 9:38 pm
Forum: Personal Investments
Topic: Blackrock - 3 Funds to Match Total Market
Replies: 6
Views: 721

Re: Blackrock - 3 Funds to Match Total Market

Are these funds equivalent to Vanguard's SP500/mid/small cap index funds?
by teddytimtam
Tue Jan 08, 2019 7:52 pm
Forum: Personal Investments
Topic: Blackrock - 3 Funds to Match Total Market
Replies: 6
Views: 721

Re: Blackrock - 3 Funds to Match Total Market

hmmm . . . kind of interesting that they chose fund offerings that track different benchmark families. The Russell Mid Cap index contains the 800 smallest companies in the Russel 1000. The Russell 1000 is similar to the SP500. By buying the Mid-cap and the SP500 funds, you duplicate the mid cap exp...
by teddytimtam
Tue Jan 08, 2019 7:21 pm
Forum: Personal Investments
Topic: Blackrock - 3 Funds to Match Total Market
Replies: 6
Views: 721

Blackrock - 3 Funds to Match Total Market

Hello everyone, Age 25 w/ no debt 6 months emergency fund in place Just received new 401k options; mostly with Blackrock. There is no "total market" fund available, only large/mid/small/international. What's the best way to mimic the total stock market? Current portfolio across all assets is 100% st...
by teddytimtam
Wed Jan 02, 2019 2:54 pm
Forum: Personal Investments
Topic: Better to use backdoor Roth IRA when close to income limit?
Replies: 5
Views: 751

Re: Better to use backdoor Roth IRA when close to income limit?

I project that my total income will be close to but a little under the Roth IRA income limit. In general, I'd prefer to contribute to the Roth IRA at the beginning of each year. However, there's the possibility that I might have some unexpected income if, late in the year, I decide to sell some sto...
by teddytimtam
Wed Jan 02, 2019 12:14 pm
Forum: Personal Investments
Topic: Best way to backdoor Roth IRA
Replies: 37
Views: 3704

Re: Best way to backdoor Roth IRA

However, I would wait until I have received enough earned income to make the contribution. The conversion step cannot be reversed. Correct. And if you do the Roth conversion step and end up not having enough earned income, you are really screwed. This scenario is not really a problem and should not...
by teddytimtam
Wed Jan 02, 2019 11:29 am
Forum: Personal Investments
Topic: Best way to backdoor Roth IRA
Replies: 37
Views: 3704

Re: Best way to backdoor Roth IRA

nolesule is addressing the technical point that in a worst case scenario, you lost your job today and didn't get another job to generate enough earned income, you would have an issue with not being qualified to contribute to an IRA beyond your earned income amount. Not likely but anything is possib...
by teddytimtam
Wed Jan 02, 2019 10:03 am
Forum: Personal Investments
Topic: Best way to backdoor Roth IRA
Replies: 37
Views: 3704

Re: Best way to backdoor Roth IRA

You have to have earned income to do any kind of IRA contribution. Is this for 2018 or 2019? This is for 2019. My 2019 income is projected to be on the borderline of the maximum income limit for a Roth contribution. So in order to invest now, I believe I can go ahead and proceed with the backdoor r...