Search found 294 matches

by international001
Thu Aug 02, 2018 9:44 am
Forum: Investing - Theory, News & General
Topic: Annuity vs investment
Replies: 40
Views: 2508

Re: Annunity vs investment

It seems most people are talking about 3% or 4% withdrawal rate here. I am wondering why not just buy immediate annunity and get let's say 6% rate annunity. isn't it better rate than these so called safety withdrawal rate? Thanks. Inflation. SWR is inflation adjusted. Your 6% is not. So an annuity ...
by international001
Thu Aug 02, 2018 5:14 am
Forum: Investing - Theory, News & General
Topic: 4% rule .. but when?
Replies: 35
Views: 4157

4% rule .. but when?

So person A retires at year 2007 with $1M. This person decides he can live with $40k/year Person B has the same $1M at year 2007. At year 2009, the stock market has crashed and and lost 50% value, so $500k are left. This person decides he can live with $20k/year You could argue that 100% stocks is t...
by international001
Tue Jul 31, 2018 6:27 pm
Forum: Investing - Help with Personal Investments
Topic: Helping my mother-in law with investments
Replies: 8
Views: 1128

Re: Helping my mother-in law with investments

What's wrong with Wellington or a similar 60/40 strategy? IT's standard for retirees But, of course $250 a month is too much. So perhaps it's a good moment to ask family to contribute for the extra $30k-$40k she needs. It's also likely that when she passes there is some money left, so it may be inhe...
by international001
Tue Jul 31, 2018 6:04 pm
Forum: Investing - Theory, News & General
Topic: Are women worse at investment?
Replies: 24
Views: 1409

Are women worse at investment?

(no sexist intention, just observational) I came out with this interesting piece: https://www.npr.org/sections/money/2018/07/17/629858218/saving-women So I wonder if there is serious research to back it up? Or any personal experiences? Do you have to try harder to teach your daughters than your sons?
by international001
Tue Jul 31, 2018 3:23 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Malta, Europe [EU]
Replies: 4
Views: 528

Re: Portfolio Malta, Europe [EU]

Look at the tax system in Malta. But usually (unless it tax-sheltered) you don't want distribution funds, you want accumulation funds
by international001
Fri Jul 27, 2018 4:54 pm
Forum: Investing - Help with Personal Investments
Topic: Investment advice for newbie: Roth 401k and bonds
Replies: 5
Views: 339

Re: Investment advice for newbie: Roth 401k and bonds

Unless you plan to start spending taxable first. You want tax-advantage without bonds so it can compound for longer time
by international001
Thu Jul 26, 2018 1:33 pm
Forum: Investing - Theory, News & General
Topic: Why is leveraging property good but leveraging stocks bad?
Replies: 206
Views: 15061

Re: Why is leveraging property good but leveraging stocks bad?

Hmm.. I guess I missunderstood it. So, in the lock run, stocks become more or less risky?
by international001
Thu Jul 26, 2018 1:21 pm
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

Then the 8% for distributions doesn't look that bad
I'm sure you'll have enough for retirement beers ! :D
by international001
Thu Jul 26, 2018 11:24 am
Forum: Personal Finance (Not Investing)
Topic: Job vs term life insurance
Replies: 23
Views: 1959

Re: Job vs term life insurance

JoeRetire wrote:
Wed Jul 25, 2018 8:04 am
"Total Gross" on your paycheck doesn't include company-paid benefits.
I see on my paycheck ~$27 as imputed income and the same $27 of after-tax deduction. After a salary increase, that $27 increased a bit
It was supposed to cost ~$22

How does the math work? Am I paying?
by international001
Thu Jul 26, 2018 11:01 am
Forum: Investing - Theory, News & General
Topic: Why is leveraging property good but leveraging stocks bad?
Replies: 206
Views: 15061

Re: Why is leveraging property good but leveraging stocks bad?

Some would say that "madness" is forgoing the opportunity to diversify away an identifiable source of risk, and I happen to agree with them. Leverage is just a financial tool, like any other tool we have. It comes with pros and cons, and is right for some jobs and not for others. A circular saw mak...
by international001
Thu Jul 26, 2018 10:52 am
Forum: Personal Finance (Not Investing)
Topic: Job vs term life insurance
Replies: 23
Views: 1959

Re: Job vs term life insurance

The other consideration on price, long term, is that most company plans I have seen charge premiums based on a 5 year age band so your premium is going up every 5 years. In my case it's xN your salary costs a fix amount Premium x (N-2) With my salary, I beats the market. I saw the breaking point at...
by international001
Thu Jul 26, 2018 10:04 am
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

No, I don't know about Portugal. That's what I just told OP to look. I know in Spain they were none, but in the last couple of years they starting appear. Total costs are around ~0.7%, what it's decent. Perhaps they'll come to Portugal soon, so a a reason to OP to keep an eye on Portuguese forums. A...
by international001
Wed Jul 25, 2018 6:47 am
Forum: Investing - Theory, News & General
Topic: Why is leveraging property good but leveraging stocks bad?
Replies: 206
Views: 15061

Re: Why is leveraging property good but leveraging stocks bad?

The goal is to reach your desired equity exposure as early in your lifetime as you can, and by starting with leverage at age 25 the strategy gives you some real options. If you get a lucky sequence of returns and reach your target equity exposure early then you take the bet off and remove your leve...
by international001
Wed Jul 25, 2018 5:42 am
Forum: Personal Finance (Not Investing)
Topic: Job vs term life insurance
Replies: 23
Views: 1959

Re: Job vs term life insurance

Why employer offer benefits based on salary (vs a fixed amount)? Doesn't make much financial sense from the point of view of the employer. Currently, employers don't pay any payroll taxes on benefits like these. Thus, it's a way to offer a bigger compensation package (salary + benefits) in a way th...
by international001
Wed Jul 25, 2018 5:13 am
Forum: Personal Finance (Not Investing)
Topic: Job vs term life insurance
Replies: 23
Views: 1959

Re: Job vs term life insurance

YEs.. it seems a catch 22. Insurance it's supposed to protect you from events and assure you some level of (financial) well-being. Not make you change your behavior in a way that your well-being diminishes So job life insurance only really protects under unexpected death. Given how screwed the syste...
by international001
Wed Jul 25, 2018 4:04 am
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

Most important, I think DeGiro doesn't have any custodial fee. It may sound strange for an US inverstor, but many brokers in Europe change you a percentage of the value of your ETFs just to hold it !!! If you want to use it for retirement, look at pension plans. Probably they are tax-advantaged in P...
by international001
Wed Jul 25, 2018 3:38 am
Forum: Investing - Theory, News & General
Topic: Mega-backdoor roth ira conversion with one check
Replies: 24
Views: 1323

Re: Mega-backdoor roth ira conversion with one check

Thanks all for the clarification. I guess I was very confused. Nope. I've been doing Mega since 2007. In fact it's impossible to pro-rate, because the law prohibits distributing employee deferrals and Roth contributions. The only thing the clarification was bless the split of the after-tax and earni...
by international001
Tue Jul 24, 2018 4:51 pm
Forum: Investing - Theory, News & General
Topic: Mega-backdoor roth ira conversion with one check
Replies: 24
Views: 1323

Re: Mega-backdoor roth ira conversion with one check

In most cases, if the earnings are small it makes the most sense to have a single direct rollover check made payable to your Roth IRA. However, if you have enough earnings and you do not want to pay the current taxes, then Notice 2014-54 comes into play with the split rollover. This works fine if d...
by international001
Tue Jul 24, 2018 4:46 pm
Forum: Investing - Theory, News & General
Topic: Mega-backdoor roth ira conversion with one check
Replies: 24
Views: 1323

Re: Mega-backdoor roth ira conversion with one check

I am confused. So before the notice it was possible to do a mega-back door conversion (with just 1 check? (after-tax 401k contributions + earnings -> Roth IRA) You could do that or roll it all to a TIRA. Then roll the pretax part back and convert the remaining basis. Pro-rata does not apply when do...
by international001
Tue Jul 24, 2018 1:31 pm
Forum: Investing - Theory, News & General
Topic: Mega-backdoor roth ira conversion with one check
Replies: 24
Views: 1323

Re: Mega-backdoor roth ira conversion with one check

Exactly, but the one rollover is easier. If you have your Roth IRA at the same place as your 401k plan. You can often do this with a simple phone call and maybe in-kind. What do you mean *but*? 1 check rollover is both easier and helps avoid pro-prata issues (when doing rollover from traditional IR...
by international001
Tue Jul 24, 2018 1:25 pm
Forum: Investing - Theory, News & General
Topic: Mega-backdoor roth ira conversion with one check
Replies: 24
Views: 1323

Re: Mega-backdoor roth ira conversion with one check

By your mention of pro-rata, I assume you're also doing the regular backdoor Roth? If so, then converting the earnings is a way to avoid some annoyance there. You could, if the plan allowed, roll the earnings from a split rollover back into plan. It comes down to the size of the taxable portion in ...
by international001
Tue Jul 24, 2018 10:51 am
Forum: Investing - Theory, News & General
Topic: Mega-backdoor roth ira conversion with one check
Replies: 24
Views: 1323

Re: Mega-backdoor roth ira conversion with one check

Fideliry knows exactly what they are doing. This is not something new since IRS Notice 2014-54. The Fidelity CSR is trying to help you by making sure you are aware of the options. The split-rollover was exactly what was enabled by Notice 2014-54. Prior to this based on notice 2008-68, IRS guidance ...
by international001
Tue Jul 24, 2018 10:26 am
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

What are your goals with the investment? Retirement? If it's shorter horizon, why are you postponing getting a bond fund?

BTW, what fees is DeGiro charging? I think it charges a small percentage every time you buy, but no custodial fees. Right?
by international001
Tue Jul 24, 2018 5:14 am
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

Thanks to TedSwipet and the rest for your patience Yes, I was trying to look in Spanish taxation system, where I am more familiar. I was not able to find a good answer (people in forums are not as knowledgeable as here). But I'll take it that you cannot recover L1 withholding. Good reason to keep us...
by international001
Tue Jul 24, 2018 4:32 am
Forum: Investing - Theory, News & General
Topic: Mega-backdoor roth ira conversion with one check
Replies: 24
Views: 1323

Mega-backdoor roth ira conversion with one check

I'm trying to do an in-service distribution from Fidelity 401k after-tax to Vanguard I thought I needed 1 check for after-tax contributions -> Roth and 1 check for after-tax earning -> traditional earnings But Fidelity offered me the option of doing it with just one check that would go to Roth. Of c...
by international001
Mon Jul 23, 2018 10:02 am
Forum: Personal Finance (Not Investing)
Topic: Job vs term life insurance
Replies: 23
Views: 1959

Re: Job vs term life insurance

Thanks for all the replies Yes.. I get 6x of my salary w/o any conditions at my company. I can get more if I do medical exams. But I don't really need that much. It seems other folks found better deals on the market, but I guess my company is doing it as a lost (or with some tax advantages) as a ben...
by international001
Mon Jul 23, 2018 9:52 am
Forum: Personal Finance (Not Investing)
Topic: Over contribution on 401k for megaroth backdoor
Replies: 17
Views: 1684

Re: Over contribution on 401k for megaroth backdoor

It turns out Fidelity representatives are not that knowledgeable

I just received a check for the over contribution. true-up received on Marc of 2018 counted for $54,000 limit of 2017

Better trust software than people.
by international001
Thu Jul 19, 2018 3:11 pm
Forum: Personal Finance (Not Investing)
Topic: Transferring $2M out of Vietnam to the US
Replies: 16
Views: 1708

Re: Transferring $2M out of Vietnam to the US

Can't you have 10k cash on each flight? They don't keep an account of that, do they?
It could cost you lots of time and money on planes, but perhaps is theoretically possible
by international001
Thu Jul 19, 2018 3:08 pm
Forum: Personal Finance (Not Investing)
Topic: Transferring $2M out of Vietnam to the US
Replies: 16
Views: 1708

Re: Transferring $2M out of Vietnam to the US

47Percent wrote:
Thu Jul 19, 2018 1:57 pm

https://en.wikipedia.org/wiki/Hawala
Isn't this what Transferwise does?
Does the Vietnamese government also keep an eye on Transferwise?
by international001
Thu Jul 19, 2018 1:28 pm
Forum: Personal Finance (Not Investing)
Topic: Job vs term life insurance
Replies: 23
Views: 1959

Job vs term life insurance

Hi, I have currently life insurance at my employer. Because benefits are based on my salary, it's ~40% cheaper of what I would get looking at term4sale. I don't grasp the full implications of it. My questions (and other comments you may think of): - Which the real difference between job and term LI?...
by international001
Thu Jul 19, 2018 5:39 am
Forum: Investing - Theory, News & General
Topic: Why is leveraging property good but leveraging stocks bad?
Replies: 206
Views: 15061

Re: Why is leveraging property good but leveraging stocks bad?

If your retirement savings fail, either due to bad returns or unexpected expenses or a combination of the two, the paid off house provides an alternate source of funds. You can always get a reverse mortgage to help out. I disagree with that line of thinking. If you take the pay-off amount of the ho...
by international001
Tue Jul 17, 2018 4:05 pm
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

You could also argue that the Crown of Aragon predates Portugal,or that Portugal and Spain were under the same king for 60 years. Or that the first traded company didn't appear till the 17th century. But nothing of that is that relevant ;-) Just let me modify 'chacnes are' for 'may' or 'might'. Of c...
by international001
Tue Jul 17, 2018 10:55 am
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

I am not sure if this example for Spanish taxation on individual stocks is relevant for this thread on Fund investing by Portuguese residents. I'm not sure either. I don't speak Portuguese to do searches for Portugal taxation system. But in Spain it seems you get a credit, so chances are that in Po...
by international001
Tue Jul 17, 2018 7:39 am
Forum: Investing - Help with Personal Investments
Topic: [EU] About the cost of taxes on dividends in European funds
Replies: 22
Views: 1593

Re: [EU] About the cost of taxes on dividends in European funds

Thanks a lot for following up.

Let's keep discussing then in the other thread so others are not confused (viewtopic.php?f=1&t=253457)
by international001
Tue Jul 17, 2018 7:37 am
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

@International, The example you give concerns direct investments by a Spanish taxpayer in an individual German stocks, you write that the Spanish nvestor could claim money back from the German treasury. This is something completely different from a Portuguese fund investor in investing in an Irish ...
by international001
Mon Jul 16, 2018 6:48 pm
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

I understand the levels of taxations. In my example, L1 is 15% for USA and L3 is 28% for Portugal

Look at my post at 'Tue Jul 10, 2018 7:40 am'. I was quoting a Spanish website talking about this relief of double taxation. You think it's wrong? Or that example does not apply
by international001
Mon Jul 16, 2018 3:18 pm
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

Thanks for the confirmation. Regarding the distribution ETFs/funds.. a country (like Portugal) is supposed to give you a tax credit for this tax leakage, right? Ex: If you get 100 of dividends, you would pay 15 to USA, (100-15)*28%=23.8 to Portugal, and then get back 15 from Portugal. So effective t...
by international001
Mon Jul 16, 2018 4:42 am
Forum: Investing - Help with Personal Investments
Topic: [EU] About the cost of taxes on dividends in European funds
Replies: 22
Views: 1593

Re: [EU] About the cost of taxes on dividends in European funds

A problem with this withholding tax is that it isn't passed through the funds, so in your home country you likely pay taxes on the dividends as if they hadn't been taxed yet (but this may depend on your jurisdiction). E.g. for me in Austria this means that I pay 15% US withholding tax and then 27.5...
by international001
Mon Jul 16, 2018 4:11 am
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

I'm thinking in the simple case where the underlying stocks of the fund are in US. Countries typically tax the dividends. It's level 1 witholding

https://www.bogleheads.org/wiki/Nonresi ... Irish_ETFs
by international001
Sun Jul 15, 2018 5:52 pm
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

I have finally gotten an answer from the national forum on finances. Here's what I was informed regarding Portugal: - For non-US domiciled accumulation funds (my case with IWDA and EIMI), Portugal will tax 28% of all profits only when I sell the ETF . - For non-US domiciled redistribution funds, Po...
by international001
Fri Jul 13, 2018 7:14 am
Forum: Investing - Help with Personal Investments
Topic: Where to put international?
Replies: 35
Views: 3553

Re: Where to put international?

Where can we get all this good info the spreadsheet has (QDI ratio, ...) ? You can find 2015,2016 links in the OP to the 2017 thread. You can get this data from the fund provider (use Google), as I do. Sorry.. I guess I cannot find it. Where do you get QDI for VTI, for instance (URL)? I have to do ...
by international001
Fri Jul 13, 2018 7:13 am
Forum: Investing - Help with Personal Investments
Topic: Where to put international?
Replies: 35
Views: 3553

Re: Where to put international?

zonto wrote:
Wed Jul 11, 2018 5:44 am
Higher is bad.
Exactly.. that why I'm saying it makes sense to put them on tax-shelter. State taxes do not seem to make a difference
by international001
Fri Jul 13, 2018 7:12 am
Forum: Investing - Help with Personal Investments
Topic: A new investor has appeared! [Portugal]
Replies: 61
Views: 4587

Re: A new investor has appeared! [Portugal]

Why do you prefer IWDA + EIMI than a fund? Those ETFs are accumulation, but they are denominated in USD (adds a little bit -not much- currency volatility) So did you check that they are taxed just like funds? IF they are accumulation, you should not have to pay taxes in Portugal while you just hold ...
by international001
Fri Jul 13, 2018 7:04 am
Forum: Investing - Theory, News & General
Topic: true-up and $54k 401k limit
Replies: 5
Views: 731

Re: true-up and $54k 401k limit

" Contributions count in the year they are made , so if your employer is (intentionally or unintentionally) late and contributes in year X+1, it counts for that year's limits." The above blanket statement on that link is false. Reference IRS Publication 560 page 15. Employer matches for the last pa...
by international001
Thu Jul 12, 2018 9:52 am
Forum: Personal Consumer Issues
Topic: Is expensive olive oil worth it?
Replies: 59
Views: 5742

Re: Is expensive olive oil worth it?

Only extra virgin has the good radical properties that make olive oil so healthy. Taste is your option

Careful with the ones showing with an Italian flag. If you read the label, they import from Spain, Greece, Turkey ...
by international001
Wed Jul 11, 2018 8:53 am
Forum: Investing - Theory, News & General
Topic: true-up and $54k 401k limit
Replies: 5
Views: 731

Re: true-up and $54k 401k limit

This link also seems to say that the true-up accounts for the year it's received

https://money.stackexchange.com/questio ... -year-x-co

Is the bogleheads thread wrong?
by international001
Wed Jul 11, 2018 8:48 am
Forum: Investing - Theory, News & General
Topic: true-up and $54k 401k limit
Replies: 5
Views: 731

Re: true-up and $54k 401k limit

No.. same 401k, no change of employer.
by international001
Wed Jul 11, 2018 7:08 am
Forum: Investing - Theory, News & General
Topic: true-up and $54k 401k limit
Replies: 5
Views: 731

true-up and $54k 401k limit

Hi March 2018 I got a true-up of ~$3k. My understanding was that this true-up should along all 2017 contributions towards 2017's $54k limit https://www.bogleheads.org/forum/viewtopic.php?t=218304 If adding it to my 401k 2017 contributions (including employer match), it would bring me over 2017's $54...
by international001
Wed Jul 11, 2018 4:18 am
Forum: Investing - Help with Personal Investments
Topic: Where to put international?
Replies: 35
Views: 3553

Re: Where to put international?

jalbert wrote:
Tue Jul 10, 2018 1:34 am

It depends on your state and federal tax brackets.
As much as I change it on the spreadsheet, International shows a higher % of tax efficiency