Bogleheads.org

Only net income has to be distributed to shareholders, so perhaps most/some of the dividends paid by POAGX holdings goes to cover the fund's 0.65% expense ratio.

And I'd guess the fund's growth tilt means they don't get all that much in dividend income in the first place.

Presumably you could look up gross/net income and expense info in the fund's documentation. Prospectus or some other SEC document I'd guess.

^ right.

The relevant rule is that you need $X in compensation/earned income to contribute $X to the SEP IRA. That doesn't mean that $X must literally/virtually come out of your paycheck or bank account where your paycheck was deposited to. It's not like the IRS or your IRA custodian is tracking where the money "came from."

I am adding on to my ME account an individual taxable brokerage account. I am trying to fund it now. I want to fund it from a Trust account I have at Vanguard that holds VUSXX. I want to move $10k. Do I have to liquidate the $10k of VUSXX so it can be in my settlement fund and transfer from there, or can ME hold $10k of VUSXX? I don't want trading costs at ME. My intention was to hold $10k of TTTXX, but if I could hold VUSXX and not be dinged $$$ trading costs, then I'd prefer that. From an ME brokerage account, one can initiate an account/asset transfer out of a Vanguard brokerage account. The asset (VUSXX for example) would be transferred in-kind via ACATS. But in your particular case, you're transferring from a Trust account to an indiv...

rkhusky wrote: ↑Mon Mar 20, 2023 9:18 am ...
The national fund will also have NY bonds. Vanguard has a document/page that shows the percentage for each state.

And sometimes the state by state breakdown is included in the 1099 document. OP, look in your consolidated 1099, probably somewhere toward the end.

ccf wrote: ↑Sun Mar 19, 2023 9:17 pm I have a lot of those same annoyances every year.

I make a step by step list of what I need to do and then I follow it every year and update it with new situations as needed. Most years are the same as the one before.

+1
A checklist is very helpful.

OverseasBH wrote: ↑Mon Mar 20, 2023 5:56 am I guess I am focused on whether it is rational to pursue an dividend-focused strategy. Countless posts on the forum make the case that it is not. Is there a scenario where a dividend focused strategy is rational?

Perhaps your focus is not focused enough.

Are you looking for a scenario where it's rational for a single person. Or rational for all people? Or rational specifically for you?

Surely you can think of a scenario where it's rational for at least one person.

Surely it's not rational for all people.

Tell us more about your situation and maybe we'll find a scenario where it be rational for you.

rrabick, Welcome to the forum! Below is my tentative plan. My 401k: move FSSNX small cap balance into FXAIX 500 index (for simplification purposes) move VAIPX tips to Fidelity FIPDX (similar duration 6.71/yr) Her 401K: maintain FXAIX 500 index move VAIPX tips to Fidelity FIPDX maintain FXNAX Do my bond moves look ok or since I am in the withdrawing stage should I move some of the VAIPX (6.9/yr duration) to a shorter duration fund like FNSOX bond fund (2.54/yr) or FUMBX short term treasury bond index (2.54/yr)? Welcome all input here. One general idea is to match your spending horizon with your investment horizon. That's easier said than done as it means tweaking your bond investments each year to reflect that your remaining investing horizo...

Are you trying to use the comparison tool at https://www.morningstar.com/funds/screener-compare ? I am able to compare two mutual funds using that tool. I am logged in to Morningstar using a "free" account (although a 7 day trial account would probably work too). What fund symbols did you want to compare?

I notice the tool says "This tool will be retired in the coming months."

I would likely use Merrill Edge now and then -- like when they offer transfer bonuses. But with no BoA rewards and no Edge bonuses I would not use them.

bertilak wrote: ↑Sat Mar 18, 2023 11:58 am Do you use a different starting page to get to the other download page?

No - I don't normally use the download page, I was just trying it to see how it works.

Thank you everyone for your input. I'm going to keep an eye on this fund, right now I need the monthly income from it. I've been with Vanguard since 1984 and one of these days I'm going to go transfer my Vanguard mutual funds to the three-fund portfolio recommended by so many of you. I am having a hard time giving up some of my favorites: Primecap Admiral and Extended Mkt Admiral. Here are my current allocations if anyone has any suggestions once I go to the three-fund portfolio: Investment Vanguard Total Bond Market Index Admiral 22% Vanguard Treasury Money Market Investor 12% Vanguard Total Stock Market Index Admiral 6% Vanguard High Dividend Yield Index Admiral 11% Vanguard High Yield Corp Admiral 43% Vanguard Total Intl Stock Index Adm...

strummer6969 wrote: ↑Sat Mar 18, 2023 12:01 pm I've always been curious about SCV tilting but it seems like timing is everything for this asset class. Do you guys think now is a good time for a SCV tilt with the small bank failures plastered all over the news, or is there further down to go? I really can't tell how serious of a crisis it is.

If you have to ask, you're not fit to buy SCV.

Just kidding

Some people are "committed" to SCV. It's like a relationship

Others will time the market -- see livesoft's postings about this.

Personally, I wouldn't make a buying or selling decision based on Boglehead's opinions about this or that. Ultimately you need to decide for yourself, otherwise you'll be changing your portfolio every other week, day, hour...

Hi, does anyone have a tutorial on how to sell your T bills on vanguard? Its confusing and doesn't really tell me what my expected sale price would be. Is there anything to adjust on the sale order? Also, are they sold in real time, or at end of day like mutual funds? Thanks! [Edit: good grief, I thought you were asking about buying :oops:] Briefly... There are two main ways to buy: at a Treasury auction, or on the secondary market. Harry Sit (he's a Boglehead) has a blog post about How to Buy Treasury Bills & Notes On the Secondary Market . There's a section specifically about Vanguard . Treasuries are traded on the open market -- there's no "net asset value" pricing like with mutual funds. The main thing you specify is how ...

When preparing my US taxes, I need to indicate the sum of my dividends and distributions that were from a foreign country or U.S. possession in a given year. E.g., in TurboTax: https://i.stack.imgur.com/Pw5Gl.png Where can I see on Merrill Edge the sum of the dividends and distributions that was from a foreign country or U.S. possession in a given year? Some brokers are better than others about providing the necessary info. Based on my consolidated 1099, Merrill Edge doesn't do it. E.g., I owned a Vanguard mutual fund that distributed both US and foreign dividends. The 1099-DIV itself didn't provide the info you're looking for, just the foreign tax paid (box 7). And the "2022 DIVIDENDS, QUALIFIED, 199A AND 897 DISTRIBUTIONS" sect...

Yesterday PM, when attempting to download CSV data from Vanguard, I got a message apologizing for not being able to download data at that time. This morning there was no apology message, but the downloaded data was old, from the day before yesterday. Is anyone else having this experience? What kind of data: transaction history or asset/account balances or something else? The data you get when you download from the "Download center." One's choics are: format: CSV vs Quicken date range account list What is the URL for "Download center"? It looks like there are two different pages that look similar. https://personal.vanguard.com/us/OfxWelcome https://personal1.vanguard.com/ofu-open-fin-exchange-webapp/ofx-welcome Maybe one...

Use the average of the two numbers

It sounds legal and legit to me. Is it frustrating? Yes. C'est la vie. You can make the situation better by making some slight adjustments to your portfolio. You say you wanted to move the SV money back into the stock market. And the SV money will only become available at, say, $X per year for the next five years. And you also have bond investments elsewhere. And presumably you have a target asset allocation for your whole portfolio. So why not sell (some of) your bond investments to buy stocks, and consider the locked-up SV money to be your bond allocation? Sure, SV is not the same as "bonds" but it may be close enough, at least to to tide you over until your SV assets transfer out of Voya. What matters most is meeting your portf...

If the market value of my holdings in VWIAX is $1,000,000 January 1 and I receive $58,000 in dividends during 2023 that $58,000 will not contribute a single dollar of additional growth to that $1,000,000 no matter the stock price into the future, correct or am I missing something? It would if you reinvested the $58k by buying more VWIAX. Then you would have $1,0058,000, which would throw off more dividends next year, which you could reinvest, and so on... Or maybe I'm misunderstanding your misunderstanding? To be picky, he wouldn't have 1,058,000 -- the price of the fund drops by the amount of the dividend. If he reinvested, he'd have 1,000,000 in shares. If he didn't reinvest, he'd have 942,000 in shares and 58,000 in cash. In both cases,...

Good to hear you're breaking up with the advisor

Assuming your solo 401k is intended for your retirement goal that's 10+ years away, I suggest starting with Vanguard Total Stock Market Index fund VTI. It's not for people who think they can beat the market

In addition to the Total Stock fund, I also invest in small-cap value (Vanguard's VBR). Instead of a market-cap allocation of 70/20/10 (large/medium/small), my portfolio is tilted to roughly 50/25/25. But my portfolio also has greater price volatility and I've had to live with years of underperformance - it's not for everyone.

As a TaxAide volunteer I'm seeing 1099 forms from various brokerages. One of my tasks is to look through a brokerage statement for info about "US government obligations". Some brokerages are better than others at providing the detail needed to prepare a return. I.e., some don't provide any at all, some provide all we need. Some only provide the details for certain funds and not others. Oh well. It's one of the more time-consuming aspects of return preparation.

Welcome to the forum inb4space!

inb4space wrote: ↑Thu Mar 16, 2023 11:17 am ... wondering if anyone's seen similar issues?

Not me.

I rarely used the unrealized cost basis info at Vanguard because I keep my own spreadsheet to keep track of such things. But I did use both trade confirmation PDF statements and account transaction history to make sure my lot/purchase info matches theirs. What does that info show for you?

Hope it all works out for ya!

I wonder if TurboTax's calculation of $110 includes not just the tax but also interest ?

"Duets" from The Blind Boys of Alabama. They perform various gospel-tinged songs with other various well known singers/performers.

https://www.youtube.com/watch?v=2UJzqDa ... qb&index=1

The song "Secular Praise" by Timothy B. Schmit (of Poco & The Eagles) stood out for me.

placeholder wrote: ↑Wed Mar 15, 2023 5:56 pm Some of the bond funds can't be converted because of the way earnings are accrued and distributed differ between the fund and the etf.

Yep. And Vanguard has a list of funds that can be converted, see https://www.vanguard.com/pdf/etfpdf.pdf.

thetaxguy wrote: ↑Wed Mar 15, 2023 3:32 pm Thanks for the info. In that case it doesn't make sense to invest in treasuries in an IRA since it loses its tax exemption so I might as well go for the higher CDs.

Yes, but only given the current market conditions for CDs and Treasuries. Who knows, maybe in another week, month, year or whatever, Treasuries will beat CDs of the same maturity.

For Vanguard index funds with both mutual fund and ETF share classes, whether to use one or the other comes down not to tax advantages (same for both) but to personal preference on other factors. See https://bogleheads.org/wiki/ETFs_vs_mutual_funds for a discussion.

creant wrote: ↑Tue Mar 14, 2023 9:26 pm I bought this fund on day 1 and sold maybe a week later. The amount from the sale was the same as the buy without any interest. When/how does this fund pay its interest?

The fund declares dividends daily and pays monthly. You may not see the dividend payout show up in your acct transaction history until late at night on the last day of the month, or even until the first day of the next month (though the transaction will likely be dated on the last day of the month).

Which brokerage did you use to buy the fund?

In general I don't think it's wrong to have all your investment accounts with one custodian / brokerage. Simplicity counts for something (although it doesn't outweigh bonus-chasing benefits -- I have accounts at four brokerages:) ).

But I would keep my at least one other bank or credit union account open with another company.

What's in your current portfolio? Maybe it's diversified enough already? A single broad stock market fund could be all you need, but maybe you want to diversify beyond stocks?

The Bogleheads approach is to first figure out your asset allocation (mix of stocks, bonds and/or cash like 80/15/5 or 60/40/0) that's appropriate for your goals and your personal risk tolerance. Once you know your target AA, picking the individual funds or ETFs is the easy part -- use low cost passive funds.

From my Vanguard IRA account, can I push money to an IRA housed at Chase Bank? I know that I can pull money into my Vanguard IRA account, from my Chase Bank IRA account, by executing a transfer through the Vanguard website. But, can I go the opposite direction? Using the Vanguard website (or through a Vanguard representative) can I transfer money to my Chase IRA account? Can you? Probably yes, assuming you set up your Chase Bank IRA as an external bank account at Vanguard just like any other non-IRA bank account. I was able to initiate a push & pull at Vanguard out of my (non-IRA) credit union account. I never had an IRA bank account so I never tried what you're suggesting. I have a vague concern that such transactions could be misclas...

My guess is you had Marketplace coverage in 2021, but didn't tell the Marketplace that you didn't need coverage in 2022, i.e. by opting out explicitly, or by updating your income info with them, circa late '21 or early '22 when you got your high income job.

I would go online to your healthcare.gov account and make sure you don't have coverage for 2023 either. And then work with the Marketplace customer support people to see what they can do. Doesn't sound promising, sorry to say

slalom wrote: ↑Tue Mar 14, 2023 2:05 am Still waiting on my $100k ACH to Merrill, it's been pending for about a week, nice chunk of lost interest in there.

Curious what date the assets left your old brokerage, based on its account transaction history?

If you're particularly concerned about unexpected inflation you would also consider TIPS, although they bring along some tax complexity with them.

3rivers wrote: ↑Mon Mar 13, 2023 9:12 pm I apologize if this subject has been discussed here; I don't check in often.

Vanguard recently informed me that I will soon be required to convert my mutual fund platform into a brokerage platform, signature required. I did not understand at all. Can anyone explain it to me?

Thank you.

3rivers, you're not literally required to convert your account but Vanguard is trying to "nudge" you along.

Vanguard has a document that explains things from their point of view: https://www.vanguard.com/pdf/vbafqm.pdf

I think the other replies in this thread are helpful in understanding what it all means for an investor.

bertilak wrote: ↑Tue Mar 14, 2023 7:02 am Yesterday PM, when attempting to download CSV data from Vanguard, I got a message apologizing for not being able to download data at that time.

This morning there was no apology message, but the downloaded data was old, from the day before yesterday.

Is anyone else having this experience?

What kind of data: transaction history or asset/account balances or something else?

My tax software calculation shows that ESPP ordinary income is not subject to medicare tax. Is the software correct? Questions: 1.Why is ESPP ordinary income not subject to medicare tax but ESPP ordinary income is subject to federal tax? 2.Why is my 401k contribution subject to medicare tax but the 401k contribution is not subject to federal tax? 1. Medicare and Social Security taxes are applied to "earned income." The law that authorizes those taxes says so. ESPP income is not "earned income" but it is income and thus is subject to the Federal income tax. 2. Your 401k contribution comes out of your earned income. It's your earned income that has Medicare tax applied. Making a 401k contribution does not exempt you from ...

Taking a break from the SVB threads, I see not much going on here.

My small cap value fund (VBR) was down 7.8% the past week versus down 5.7% for Total Stock. Presumably a greater drop due to exposure to financial stocks?

Anyway, carry on fellow SCV investors.

My Roth IRA has $130K invested solely in Vanguard TR2035. I'm 58 years old. I will not be withdrawing from this account for five years minimum. I'm seeking feedback on a theoretical plan to put $100K in the highest-yielding, shortest-term CD, holding till maturity, cashing out, and then using that same money and repeating the same process for the next several years, depending upon available CD yield. I'm not concerned about callable or non-callable, as the duration will be short, and I'll hold till maturity. While this plan unfolds, I'll continue to fully fund my Roth, my 401K, and purchase $10K of I-Bonds per year. These are my questions: 1) Is that plan sound? 2) Am I correct that there will be no tax consequences because all funding/pur...

Hello. I appreciate any clarification regarding the qualified dividend holding period in regards to: 1. 1099 DIV, do I need to consider the holding period if I have not sold the shares? 2. 1099 DIV, does the holding period crossing to the New Year matter? 1. You had shares that generated dividends in December. It's now March. That's more than 61 days since the fund went ex-dividend. So the dividends are qualified. 2. Crossing to the New Year does not matter. What matters is the number of days you held the fund during the 121 day period around the ex-dividend date. Specifically, S&P 500 purchased early December. It says a dividend was paid late December. I still hold the shares and plan to hold for long term. So, holding period is compl...

T Bills aren't taxed by your state, which could be a big plus over VFMXX depending on your state marginal tax rate. But there is a learning curve to buying. Presumably you won't sell them before maturity. You do have a bit more work to keep up with them - when they mature you have to roll the proceeds to a new T bill. Maybe Vanguard has "auto roll" ? Buying & selling VFMXX is about as simple as it gets. The buying and selling experience is pretty straightforward. Maybe its return is about the same as T Bills but it's not fully free from state income tax. If you like tinkering with your portfolio, buying T Bills instead of a money market fund is a good & safe way to scratch that itch. Beyond that I'd ask whether T Bills are...

student wrote: ↑Sat Mar 11, 2023 6:25 am My question is do I have to worry about the "stuff" in the detailed section as long as all the numbers in the boxes in 1099-INT are correct?

No you don't have to worry about it. Enter the corrected 1099-INT into your tax program (and delete the original if necessary), and you're good to go.

... I'm filing my 2022 taxes and would like some help understanding capital loss. I did not have any capital gains so my tax software is deducting $3000 from my ordinary income. 1. Do I have to deduct up to $3000? 2. I know you're allowed to carry over your losses into the following years. But I was wondering if I can pick an amount lower than $3000? 3. If I have to stick to $3000 because of IRS rules, the remaining balance of $1800 can be used next year when I file my 2023 taxes? 1. Yes, you must use up any loss. 2. No, you can't choose a lower amount. 3. Yes, the remaining loss carries forward to next year. Why wouldn't you want to offset $3000 of regular income this year? Maybe you anticipate being in a higher tax bracket next year? Tha...

They're separate taxes but related in that (as I understand) they were created by the same ACA legislation.

You may be thinking too hard about the names

Here are a couple links that explain what each tax covers:
https://www.irs.gov/businesses/small-bu ... dicare-tax

https://www.bogleheads.org/wiki/ACA_net ... income_tax

... I'm filing my 2022 taxes and would like some help understanding capital loss. I did not have any capital gains so my tax software is deducting $3000 from my ordinary income. 1. Do I have to deduct up to $3000? 2. I know you're allowed to carry over your losses into the following years. But I was wondering if I can pick an amount lower than $3000? 3. If I have to stick to $3000 because of IRS rules, the remaining balance of $1800 can be used next year when I file my 2023 taxes? 1. Yes, you must use up any loss. 2. No, you can't choose a lower amount. 3. Yes, the remaining loss carries forward to next year. Why wouldn't you want to offset $3000 of regular income this year? Maybe you anticipate being in a higher tax bracket next year?

In reading posts here I ran across one which essentially said not to include a target retirement fund in a taxable brokerage account. Is this statement true? I do not have anything except a taxable account. 🤔 Rather than thinking in terms of "truth", consider the pros and cons of an investment and then decide if it meets your goals and priorities. E.g., do you want to: - own an investment that matches your risk tolerance? - avoid panic/overreaction? Some people give up after a 20 or 30% drop. An all-in-one fund might help avoid this risk. As might a financial advisor. - minimize price volatility? - maximize risk / go for maximum return? - maximize tax efficiency? - keep things as simple as possible? Example: I have 3 or 4 funds, ...

I am 78, wife is 75. Have small ($50K) IRA, paid for (~$250K) home and ~$200K in taxable brokerage account with a 1.25% fee. And, that account is entirely ETF’s and MF’s. No need to leave any funds to kids. They do quite fine. Simply want to gradually withdraw $7K-$10K annually to live our years. And with lower or no fees. Think I could do fine with the appropriate ETF’s in a robo account or a zero cost brokerage account and be rid of the advisory fees (or have a significantly lower annual fee with a robo). I really do not want to spend much time to manage an account. Did that for the better part of my life. Looking for advice on my fee reduction ideas and thoughts on where (robo or self)? TIA Welcome to the forum diaperman1. I won't ask h...

For many years our IRA was heavily invested into Wellington (heavy for us), which we mostly switched to Wellesley going into retirement. We had stock funds, etfs, in Roth. So last year as everything was going down in value, no way to tax loss harvest. Also held off Roth conversions because we needed to keep income low for ACA plan (now on Medicare). Now thinking of doing Roth conversions for next three years because of scheduled change in tax brackets. I never really wanted to think about bonds, so figured letting most of bond position be managed by Wellington & Wellesley was good for me. However, now I feel that my hesitation about bonds was somewhat justified, and am not so "married" to Wellesley and Wellington. Both are do...

virginiabirdie wrote: ↑Tue Mar 07, 2023 8:49 am

atdharris wrote: ↑Tue Mar 07, 2023 8:32 am I was able to transfer VTSAX and VTIAX to ME from Vanguard years ago. You can get around the transaction fee by setting up automatic investment plans, but as others have said, you do incur a fee if you sell.

Huh, those are both admiral funds...

I think it's just active Admiral funds that aren't allowed outside Vanguard. Ever since Vanguard upgraded their index Investor class to Admiral class a few years back, you can get index Admiral funds outside Vanguard (including via in-kind transfer).

My plan is to do a partial transfer of 250k from a Traditional IRA at Vanguard. I want to check and make sure I didn't miss anything. 1. My understanding is that I can move funds "in kind"--does that sound right?  I currently hold a bunch of Vanguard bond funds, including some admiral shares, in an IRA. (VAIPX, VBTLX, VFIDX, VFSUX).  I don't think you can do an "in-kind" transfer on an IRA. I believe you have to sell, move cash, then re-buy. There's no tax implication of this. But, you won't be able to buy those funds at Merrill. In-kind transfers are allowed for IRAs as well as taxable accounts. I've done it several times with various brokerages including Merrill Edge. sfmurph, have you had a problem doing in-kind tran...

In addition to bringing the relevant tax forms (1099's, and 1095-A if he had Marketplace insurance), make sure he brings his driver's license and Social Security card. Those are needed to prove identity.

And bring a check (or his bank routing and account numbers) if he wants direct deposit for a refund or direct debit if he owes.

Also for tax year 2021, VITA will ask if he got the third stimulus payment a.k.a. EIP3. Letters were sent out by the Treasury to recipients. Or if he doesn't have the letter anymore, perhaps his bank account shows a record of a direct deposit. They'll still prepare his return if he doesn't know whether he got EIP3, but you might to assume he did get it.