Search found 1413 matches

by ExitStageLeft
Mon Jun 24, 2019 6:46 pm
Forum: Personal Investments
Topic: Tangled Portfolio Review – Looking to Streamline
Replies: 16
Views: 619

Re: Tangled Portfolio Review – Looking to Streamline

... thank you, this is helpful. i updated my percentages so they're for the overall portfolio instead of per account. is there any particular reason you're going for funds over ETFs here? Nope, any low cost index total market fund will do. With Vanguard, ETFs and mutual funds are one and the same w...
by ExitStageLeft
Mon Jun 24, 2019 4:04 pm
Forum: Personal Investments
Topic: Tangled Portfolio Review – Looking to Streamline
Replies: 16
Views: 619

Re: Tangled Portfolio Review – Looking to Streamline

Here's the retirement portfolio I would try to build: His Simple IRA (46%) 20% Vanguard Total International Stock (VTIAX) (.11%ER) 20% Vanguard Total Bond Market Index (VBTLX) (.05%ER) 6% Vanguard Total Stock Market Index (VTSAX) His Trad IRA (24%) 24% Vanguard Total Stock Market Index (VTSAX) His R...
by ExitStageLeft
Mon Jun 24, 2019 12:25 pm
Forum: Personal Investments
Topic: Portfolio Check and Advice
Replies: 7
Views: 913

Re: Portfolio Check and Advice

Any more thoughts from others? I would look to increase your annual tax-advantaged savings space by putting money in Roth IRAs. Your income level prevents making direct contributions, so you would have to use the backdoor Roth method . That method is only practical when there are no tax-deferred as...
by ExitStageLeft
Mon Jun 24, 2019 12:09 pm
Forum: Personal Investments
Topic: VTIVX for both 401k & Roth IRA? [Vanguard Target Retirement 2045]
Replies: 10
Views: 798

Re: VTIVX for both 401k & Roth IRA? [Vanguard Target Retirement 2045]

For now you can start maxing out your 401k and not worry overly much about how your assets are allocated. Select the TD 2045 fund in your 401k (provided the expense ratio isn't greater than about 0.25%) and worry about other things. At some point though it will become worth your while to be more del...
by ExitStageLeft
Sat Jun 22, 2019 3:01 pm
Forum: Personal Investments
Topic: 401K advice
Replies: 17
Views: 1098

Re: 401K advice

It is actually $150,000 combined, doing the same math I come up around $77,600. Are there any other ways to lower my income another $10,000? 12% to 22% is such a large jump and we are so close. Double-check my math, I'm working off the top of my head and am poorly caffeinated... Gross income = $150...
by ExitStageLeft
Fri Jun 21, 2019 4:17 pm
Forum: Personal Investments
Topic: My first post ... how am I doing?
Replies: 20
Views: 2813

Re: NEWB | Doing this right?

Welcome to the forum! You've got a great plan and you should make it happen as soon as practical. With the combined income you're long past being able to deduct a traditional IRA contribution, and Roth IRA contributions may be hard to reach as well. It's worth your time and effort to explore what's ...
by ExitStageLeft
Fri Jun 21, 2019 1:58 pm
Forum: Personal Investments
Topic: Retirement Ready?
Replies: 35
Views: 4184

Re: Retirement Ready?

Thanks ExitStageLeft! You are educating me about important tax issues to consider in retirement. I understand that the most significant tax burden in retirement will be due to RMDs. Getting rid of at least some this tax burden makes sense , ie Roth conversions. I wasn’t considering spending down 40...
by ExitStageLeft
Thu Jun 20, 2019 5:30 pm
Forum: Personal Investments
Topic: Retirement Ready?
Replies: 35
Views: 4184

Re: Retirement Ready?

I did some brute-force calculations in Excel using your numbers and assuming 2% real growth for the tax-deferred portfolio. I was looking at total federal income tax paid over 35 years, all in 2019 dollars. This isn't very sophisticated and is likely riddled with bad assumptions, but here goes: Scen...
by ExitStageLeft
Thu Jun 20, 2019 3:49 pm
Forum: Personal Investments
Topic: Retirement Ready?
Replies: 35
Views: 4184

Re: Retirement Ready?

Thanks ExitStageLeft! This is very helpful. I really didn't know how to figure taxes into the equation. Used i-orp, but wasn't sure if it was accurate. In any case, it seems that taxes will likely significantly increase once RMD kick in, with distributions between 110 to 175k. SS and pension will b...
by ExitStageLeft
Thu Jun 20, 2019 2:01 pm
Forum: Personal Investments
Topic: Roth Conversion Question – Please help! (First Post)
Replies: 65
Views: 2343

Re: Roth Conversion Question – Please help! (First Post)

New and improved using $26k social security benefit after age 70: If you continue drawing from tIRA at present rate and take your SS at 70, tax bracket remains at 22%, with total tax paid over 30 years being $223,255. RMDs kick the annual draw up to around $55k per year. After 30 years (assuming 1....
by ExitStageLeft
Wed Jun 19, 2019 7:23 pm
Forum: Personal Investments
Topic: Roth Conversion Question – Please help! (First Post)
Replies: 65
Views: 2343

Re: Roth Conversion Question – Please help! (First Post)

... Oh, I answered too quickly. You mean $36k SS after age 70, right? Whoops! Yes, I meant $36k. A typo in my lead-in... I'm not up on all the finer points of Medicare but I believe that one can appeal an IRMAA determination if the AGI is now reduced. So my estimate for what it costs in increased M...
by ExitStageLeft
Wed Jun 19, 2019 7:01 pm
Forum: Personal Investments
Topic: Roth Conversion Question – Please help! (First Post)
Replies: 65
Views: 2343

Re: Roth Conversion Question – Please help! (First Post)

New and improved using $26k social security benefit after age 70: If you continue drawing from tIRA at present rate and take your SS at 70, tax bracket remains at 22%, with total tax paid over 30 years being $223,255. RMDs kick the annual draw up to around $55k per year. After 30 years (assuming 1.5...
by ExitStageLeft
Wed Jun 19, 2019 6:31 pm
Forum: Personal Investments
Topic: Roth Conversion Question – Please help! (First Post)
Replies: 65
Views: 2343

Re: Roth Conversion Question – Please help! (First Post)

So here's what my crystal ball (Excel spreadsheet) tells me: If you continue drawing from tIRA at present rate, tax bracket remains at 22%, with total tax paid over 30 years being $223,255. RMDs kick the annual draw up to around $55k per year. After 30 years (assuming 1.5% real growth) you have $435...
by ExitStageLeft
Wed Jun 19, 2019 5:48 pm
Forum: Personal Investments
Topic: Roth Conversion Question – Please help! (First Post)
Replies: 65
Views: 2343

Re: Roth Conversion Question – Please help! (First Post)

... I’ve already had a close call with the IRMAA. I was going to have to pay a surcharge of nearly $300 monthly because of my 2017 income (my severance benefit). I was at the Social Security office last week to claim Life Event change and prove my normal income was not what was filed for 2017. Do y...
by ExitStageLeft
Wed Jun 19, 2019 5:30 pm
Forum: Personal Investments
Topic: Roth Conversion Question – Please help! (First Post)
Replies: 65
Views: 2343

Re: Roth Conversion Question – Please help! (First Post)

... Do you have any specific suggestions on how I should approach the Roth conversions? Your SS benefit is 85% taxable, plus if you withdraw $45k from the tIRA that gives you total income of about $60k but an AGI of around $57,500. As you mentioned, that puts you in the 22% bracket. In looking at R...
by ExitStageLeft
Wed Jun 19, 2019 5:12 pm
Forum: Personal Investments
Topic: Roth Conversion Question – Please help! (First Post)
Replies: 65
Views: 2343

Re: Roth Conversion Question – Please help! (First Post)

... Ummm, I don't see how to pick up specific quotes to respond to. Maybe someone can give me a pointer. In the top right corner of a person's comment is the Reply with Quote button. Click on that and it will paste the comment into the edit box. You can delete the portions of the prior comment that...
by ExitStageLeft
Wed Jun 19, 2019 1:39 pm
Forum: Personal Investments
Topic: Retirement Ready?
Replies: 35
Views: 4184

Re: Retirement Ready?

If you don't spend down or convert the tax-deferred then it will grow until at age 70 it is about $2.5M. How much of that is in your accounts and will have RMD due at age 70? Definitely look into taxability of social security benefits. If by age 70 you have a small RMD and a small pension then a goo...
by ExitStageLeft
Wed Jun 19, 2019 1:11 pm
Forum: Personal Investments
Topic: 1-fund, 2-fund or 3-fund portfolio?
Replies: 20
Views: 2085

Re: 1-fund, 2-fund or 3-fund portfolio?

... I like the simplicity of the 1-fund option I like the 9 basis points savings of the 3-fund Choose one. If you're early in the accumulation stage then the difference in fees is inconsequential. When you get up to savings of $100k then 9 basis point savings is $90 a year. At some point the saving...
by ExitStageLeft
Wed Jun 19, 2019 1:02 pm
Forum: Personal Investments
Topic: Portfolio Question
Replies: 5
Views: 317

Re: Portfolio Question

I would track it based on why I own the property. If being held for the long term to appreciate and sell, then count it as a real estate asset. How to value it is another question, there are threads on the forum about how to do that. If instead it's meant to provide an income stream then I would tra...
by ExitStageLeft
Wed Jun 19, 2019 12:48 pm
Forum: Personal Investments
Topic: Basic questions
Replies: 7
Views: 751

Re: Basic questions

Welcome to the forum! There's nothing inane or unusual about your questions. There's a lot of information and concepts to take in and process when being your own financial planner and our intuition isn't always right. So ask those questions. 1) Is it common or accepted to invest in funds to achieve ...
by ExitStageLeft
Tue Jun 18, 2019 7:40 pm
Forum: Personal Investments
Topic: First Post! Portfolio Review Needed
Replies: 36
Views: 4023

Re: First Post! Portfolio Review Needed

1) If I convert my wife's $25k rollover IRA into her existing Roth, how should I best go about this? A bit each year? If so, how much? Would like to get it all into her Roth so I can start doing backdoor Roths for her. The taxes for doing it all in one year will be about the same as making a $6k co...
by ExitStageLeft
Tue Jun 18, 2019 5:08 pm
Forum: Personal Investments
Topic: After Tax Account Strategy
Replies: 7
Views: 915

Re: After Tax Account Strategy

The long answer is that you would do yourself a huge favor by starting to view all your assets as a single portfolio. Many people save in a brokerage account for things of a different investing horizon than simply retirement; college, weddings, cars, homes, etc. What then - add munis and CDs? If th...
by ExitStageLeft
Tue Jun 18, 2019 5:05 pm
Forum: Personal Investments
Topic: Suggestion for updating "Asking Portfolio Questions" thread
Replies: 218
Views: 19488

Re: Suggestion for updating "Asking Portfolio Questions" thread

... Who ignore the "Total of All Accounts Together (not each account individually) should equal 100%" phrase. [Big issue] As a low-post-count newbie, I feel a little presumptious offering my opinion. But item 1 in Duckie's list seems the most frequent to me. It seems like a problem that offers good...
by ExitStageLeft
Tue Jun 18, 2019 4:35 pm
Forum: Personal Finance (Not Investing)
Topic: Can I Quit My Job in 9 Months?
Replies: 3
Views: 853

Re: Can I Quit My Job in 9 Months?

Question #1 is an easy answer: With a $3.5M nest egg you can withdraw $100k per year and never run out of money. Check out https://earlyretirementnow.com/2016/12/07/the-ultimate-guide-to-safe-withdrawal-rates-part-1-intro/ and scroll down to the colorful chart. As to the rest of your questions, ther...
by ExitStageLeft
Tue Jun 18, 2019 4:13 pm
Forum: Personal Investments
Topic: Windfall Advice/Portfolio Review
Replies: 11
Views: 787

Re: Windfall Advice/Portfolio Review

What is the return for the Stable Value fund?
by ExitStageLeft
Tue Jun 18, 2019 3:54 pm
Forum: Personal Investments
Topic: Consolidating accounts
Replies: 4
Views: 656

Re: Consolidating accounts

Biggie13 wrote:
Mon Jun 17, 2019 8:37 pm
3. In order to roll into her 401k her company 401k paperwork says the IRA broker needs to send a check to her and she sends the check to the 401k broker? Does this sound correct?
The check is made out to the 401k broker "for benefit of" the account holder.
by ExitStageLeft
Tue Jun 18, 2019 12:40 pm
Forum: Personal Investments
Topic: 30 Y.O. Portfolio Review
Replies: 8
Views: 1067

Re: 30 Y.O. Portfolio Review

For those with taxable accounts, do you invest in individual stocks there or more of the same with total stock market index like your retirement accounts being maxed out? ... Honestly, after getting to this point with my EF and maxing out all advantaged retirement accounts, financial planning gets ...
by ExitStageLeft
Tue Jun 18, 2019 12:15 pm
Forum: Personal Investments
Topic: charitable gift account ?
Replies: 13
Views: 749

Re: charitable gift account ?

If you have reached/exceeded the age for RMDs, doing a donation with Qualified Charitable Distributions (QCDs) might be a better option. The donation comes right off the top and it doesn't matter if you aren't itemizing. This bears repeating. The QCD is credited to the RMD without affecting the adj...
by ExitStageLeft
Tue Jun 18, 2019 12:08 pm
Forum: Personal Investments
Topic: 401k now offering Index Funds.. please help
Replies: 8
Views: 569

Re: 401k now offering Index Funds.. please help

Definitely drop the high fee funds in the 401k and build yourself a three-fund portfolio. Going 100% equities isn't for everyone, but if you were able to withstand the ups and downs of the last year you can probably ride out a major market downturn. Of course it wouldn't hurt to have at least 10% bo...
by ExitStageLeft
Tue Jun 18, 2019 11:52 am
Forum: Personal Investments
Topic: After Tax Account Strategy
Replies: 7
Views: 915

Re: After Tax Account Strategy

Welcome to the forum! The short answer is to put it in tax-efficient equities like a total stock market index fund. As your taxable account grows you'll want to adjust your bond holdings in the tax-deferred accounts so that your overall asset allocation remains on track. If you go with Vanguard that...
by ExitStageLeft
Mon Jun 17, 2019 1:56 pm
Forum: Personal Investments
Topic: Where to Invest 2k - 4k a month
Replies: 12
Views: 1470

Re: Where to Invest 2k - 4k a month

Thanks. Currently we have a traditional and roth iras. Then we have a rollover account with Fidelity and one with Charles Schwab. We are finding that some accounts are doing consistently better than others. Any thoughts on what funds to put the money in these accounts with? Also, what would be your...
by ExitStageLeft
Mon Jun 17, 2019 1:39 pm
Forum: Personal Investments
Topic: Investment Options in Retirement
Replies: 9
Views: 1526

Re: Investment Options in Retirement

I would fill all tax-deferred with BND, F Fund, or G Fund. That gives you $968k in fixed income with an expense ratio of about 0.035%. IN the Roth IRA I would sell all and buy a total stock market index fund like VTSAX. In taxable I would strive for tax efficiency. If your combined income tax bracke...
by ExitStageLeft
Mon Jun 17, 2019 1:15 pm
Forum: Personal Investments
Topic: 30 Y.O. Portfolio Review
Replies: 8
Views: 1067

Re: 30 Y.O. Portfolio Review

You're doing an awesome job saving, keep it up! Thoughts from an internet kibitzer in blue. ... Questions/Comments 1.) Looking for general comments/critiques. None. 2.) Where should I be putting any additional money that comes in through raises or bonuses in my 30s as well? I am also currently savin...
by ExitStageLeft
Sun Jun 16, 2019 4:07 pm
Forum: Personal Investments
Topic: Questioning our portfolio
Replies: 67
Views: 3771

Re: Questioning our portfolio

Welcome to the forum! You're doing an awesome job living well below your means. With a few tweaks you can put your portfolio on an excellent course. If you can take the time, there's one more edit that will help the commentors as well as help you better see the overall picture. That's to update the ...
by ExitStageLeft
Sun Jun 16, 2019 3:54 pm
Forum: Personal Investments
Topic: Where to Invest 2k - 4k a month
Replies: 12
Views: 1470

Re: Where to Invest 2k - 4k a month

Welcome to the forum! What is your state and federal marginal tax rate or top bracket? 22% I would follow the priority order in https://www.bogleheads.org/wiki/Prioritizing_investments If not paying down the mortgage that would be: 0. Build up emergency fund 1. Contribute to 401ks for full match 2....
by ExitStageLeft
Sun Jun 16, 2019 3:43 pm
Forum: Personal Investments
Topic: Where to Invest 2k - 4k a month
Replies: 12
Views: 1470

Re: Where to Invest 2k - 4k a month

Welcome to the forum!

What is your state and federal marginal tax rate or top bracket?
by ExitStageLeft
Fri Jun 14, 2019 3:33 pm
Forum: Personal Investments
Topic: Max out 401k or TSP
Replies: 20
Views: 988

Re: Max out 401k or TSP

Broad Market Bond Index Fund 0.07 S&P 500 Indexed Equity Fund 0.06 Global Equity Fund 0.68 I would continue contributing in the 401k up to the full match. I would then fully fund the Roth IRA. Then max out the remainder of the $19k annual contribution in the TSP in tax-deferred. I would also drop t...
by ExitStageLeft
Fri Jun 14, 2019 2:18 pm
Forum: Personal Investments
Topic: Max out 401k or TSP
Replies: 20
Views: 988

Re: Max out 401k or TSP

If all other aspects are equal, you probably have much lower fund expense ratios in the TSP. My wife has a 457(b) plan with Empower and it has some reasonable index funds with low fees but nowhere close to the TSP rates. If you provide us the expense ratios on those Empower funds we can give you mor...
by ExitStageLeft
Thu Jun 13, 2019 4:12 pm
Forum: Personal Investments
Topic: New Investor Seeking Advice
Replies: 3
Views: 221

Re: New Investor Seeking Advice

Welcome to the forum! You have a great plan, but realize that you will likely change it several times over the ensuing years. Making changes in tax-advantaged accounts is easy, but in taxable there could be tax consequences. So once you start building that taxable brokerage account try to keep it si...
by ExitStageLeft
Thu Jun 13, 2019 4:03 pm
Forum: Personal Investments
Topic: Vanguard Backdoor Roth IRA Monthly Automatic Investments
Replies: 5
Views: 420

Re: Vanguard Backdoor Roth IRA Monthly Automatic Investments

Welcome to the forum!

I think a lot of folks do what you are contemplating and make their IRA contribution in one lump sum.
by ExitStageLeft
Thu Jun 13, 2019 3:52 pm
Forum: Personal Investments
Topic: Asset Allocation Help
Replies: 6
Views: 621

Re: Asset Allocation Help

Welcome to the forum! I know it's kind of picking nits, but if buying a house is a goal why not list it as a goal and with what time frame? General advice on the forum is that if you have a specific spending need in 5 years or less it shouldn't be viewed as part of your retirement portfolio. So if y...
by ExitStageLeft
Thu Jun 13, 2019 2:50 pm
Forum: Personal Consumer Issues
Topic: Side x Side/Utility Vehicle
Replies: 20
Views: 1263

Re: Side x Side/Utility Vehicle

I frequent the TractorByNet forum and the Kubota RTV and Kawasaki Mule seem to be favored for farm work. I have an Arctic Cat Prowler 700 and am happy with it for my off-road needs. If you are contemplating a lot of modifications, the Ranger is king of the hill and has mods for anything you can imag...
by ExitStageLeft
Thu Jun 13, 2019 2:23 pm
Forum: Personal Investments
Topic: 7-Year Portfolio Checkup
Replies: 7
Views: 932

Re: 7-Year Portfolio Checkup

... ExitStageLeft: I am investing $14,000/yr to the SURS retirement and $24,000 to the 457b for a total of $38,000. I plan to increase my contributions a little after our cost of living raise in July. I will check out CFIRESim.com with my numbers. I never heard of that resource, so thank you. TJ Th...
by ExitStageLeft
Wed Jun 12, 2019 8:17 pm
Forum: Personal Investments
Topic: 7-Year Portfolio Checkup
Replies: 7
Views: 932

Re: 7-Year Portfolio Checkup

I think you're almost but not quite there. It depends on what your annuitization package delivers, but using CFIRESim.com with your present assets, a 60/40 allocation, and a 35-year retirement the 95% success rate is with an annual spend of $68k. I assumed $20k saved per year before you retire.
by ExitStageLeft
Wed Jun 12, 2019 7:42 pm
Forum: Personal Finance (Not Investing)
Topic: How much is your guys’ fees for your 401k?
Replies: 96
Views: 4801

Re: How much is your guys’ fees for your 401k?

$0 for me, wife's 457(b) is 0.17%.
by ExitStageLeft
Tue Jun 11, 2019 4:55 pm
Forum: Personal Investments
Topic: Investment Annual Physical!
Replies: 8
Views: 2200

Re: Investment Annual Physical!

However MINHX fees are higher. How can I calculate the cost difference between the two over time? Compare fees at Expense Ratio Calculator or Compare Investment Fees . Duckie, many thanks for these easy calculators :D Have you found them to be accurate? Both of them spit out the exact same numbers ...
by ExitStageLeft
Mon Jun 10, 2019 7:22 pm
Forum: Personal Investments
Topic: Questions about allocation and more from a young investor
Replies: 4
Views: 408

Re: Questions about allocation and more from a young investor

+1 on all of the above advice! FICA isn't an income tax, it's a wage tax and isn't normally considered in a portfolio analysis. That leaves your federal, state, and city marginal tax rate at 32%. Unless you are dead set on retiring in the city, your best bet is to defer taxes on as much of your inco...
by ExitStageLeft
Mon Jun 10, 2019 6:58 pm
Forum: Personal Investments
Topic: Portfolio Review: New to VAS + Large Family
Replies: 10
Views: 776

Re: Portfolio Review: New to VAS + Large Family

... Thanks! So the percentages should be done for each “section” correct? In other words, the taxable section percentages will add up to 100%. Am I correct? If so, I will get to work on the original posting. No, add up all your retirement assets and that's your denominator. Should be about $950k. F...
by ExitStageLeft
Mon Jun 10, 2019 4:59 pm
Forum: Personal Investments
Topic: Portfolio Review: New to VAS + Large Family
Replies: 10
Views: 776

Re: Portfolio Review: New to VAS + Large Family

Your portfolio looks pretty clean. I think you're a little light on bonds - it would be helpful to list each asset's percentage. I suggest you update your post and put the percentage in front of each asset. You should exclude the education accounts from this calculation. Something like this is helpf...
by ExitStageLeft
Mon Jun 10, 2019 4:41 pm
Forum: Personal Investments
Topic: Receiving windfall and not sure what to do
Replies: 26
Views: 3679

Re: Receiving windfall and not sure what to do

... I do plan on staying with my current employer. It's a great place to work, and I have a house I like here. I did bring the retirement plans up to my HR department recently since there was just a change in management and they said they'd look into other options. I will check the link out. I've b...