Search found 314 matches

by sarabayo
Sat Aug 31, 2019 5:18 am
Forum: Investing - Theory, News & General
Topic: Best Fidelity Money Market Account to Hold Cash?
Replies: 55
Views: 16647

Re: Best Fidelity Money Market Account to Hold Cash?

I use ICSH iShares Ultra Short Term Bond at Fidelity which currently yields 2.34% with an ER of .08. Can this be used in a Fidelity Cash management account where the fund is liquidated to pay bills electronically, with draw money from an atm, pay the fidelity credit card, etc? They will only automa...
by sarabayo
Sat Aug 31, 2019 2:52 am
Forum: Investing - Theory, News & General
Topic: Best Fidelity Money Market Account to Hold Cash?
Replies: 55
Views: 16647

Re: Best Fidelity Money Market Account to Hold Cash?

You can query for a table of historical information about all Fidelity's money market funds, including the daily, 7-day, and 30-day yields, at this URL:

https://institutional.fidelity.com/app/funds/hpdy
by sarabayo
Thu Aug 22, 2019 7:08 pm
Forum: Personal Finance (Not Investing)
Topic: Fidelity as a one stop shop
Replies: 1053
Views: 118573

Re: Fidelity as a one stop shop

I really like this. But then I look at the overall yields, and it occurs to me that if I have any sizable amount of cash at Fido, it makes more sense to just buy Treasury bills directly as Mervin suggests... Yeah. I only keep "checking account money" at Fidelity, i.e. enough money to tide me from p...
by sarabayo
Thu Aug 22, 2019 1:22 pm
Forum: Personal Finance (Not Investing)
Topic: Fidelity as a one stop shop
Replies: 1053
Views: 118573

Re: Fidelity as a one stop shop

So everyone else who sees this thread can benefit from what I've researched on the after-tax yields of SPRXX and SPAXX, I'm going to post what I've found here. SPAXX is a Government Money Market fund and SPRXX is a Prime Money Market fund. The reason SPRXX is higher-yielding than SPAXX (currently 1...
by sarabayo
Tue Aug 13, 2019 3:06 am
Forum: Investing - Theory, News & General
Topic: Negative Interest Rates in U.S.
Replies: 249
Views: 21438

Re: Negative Interest Rates in U.S.

There is a Chinese curse which says “May he live in interesting times.” There is no such "Chinese curse". See https://quoteinvestigator.com/2015/12/18/live/. I don't know why English speakers are so fond of fabricating "ancient wisdom" from other cultures... I've never seen anyone quote an "ancient...
by sarabayo
Mon Aug 12, 2019 4:05 pm
Forum: Investing - Theory, News & General
Topic: Negative Interest Rates in U.S.
Replies: 249
Views: 21438

Re: Negative Interest Rates in U.S.

There is a Chinese curse which says “May he live in interesting times.” There is no such "Chinese curse". See https://quoteinvestigator.com/2015/12/18/live/. I don't know why English speakers are so fond of fabricating "ancient wisdom" from other cultures... I've never seen anyone quote an "ancient...
by sarabayo
Fri Aug 09, 2019 3:31 pm
Forum: Personal Investments
Topic: Roth IRA Income Limit Question
Replies: 14
Views: 874

Re: Roth IRA Income Limit Question

No, danaht is correct -- you can't pick and choose what part of your IRA to convert (this is because of the "pro rata rule"). For example if you had $6000 in pre-tax money in your traditional IRA, and then you tried to do a backdoor Roth contribution of $6000 (that is, you contribute $6000 after ta...
by sarabayo
Fri Aug 09, 2019 3:04 pm
Forum: Personal Investments
Topic: Roth IRA Income Limit Question
Replies: 14
Views: 874

Re: Roth IRA Income Limit Question

... Anyone can do the backdoor and there's no downside to doing it over the normal contribution. ... Just be careful. Although anyone can do this - this may result in taxable income if you already have a traditional IRA. If you do already have a IRA with before tax dollars - then your tax free back...
by sarabayo
Fri Aug 09, 2019 2:00 pm
Forum: Personal Investments
Topic: Roth IRA Income Limit Question
Replies: 14
Views: 874

Re: Roth IRA Income Limit Question

Base Pay - 165,000 Variable Pay - 41,200 Total pay 206,200 401k contributions 19,000 Ago 187,200 puts you safely under the cut off. +1. The income limits are not gross wages. OP didn't say they're contributing 19k to a 401(k), or that they even have a 401(k). But it's true that if they do have one ...
by sarabayo
Thu Aug 08, 2019 7:10 pm
Forum: Personal Investments
Topic: Buy During This Dip?
Replies: 99
Views: 12712

Re: Buy During This Dip?

Dip? What dip? My next set point for extra unscheduled funds in is djia = 20,000. But glad my 401k contributions are going in this week ($740, which is $19k divide by 26 checks) Does your asset allocation involve a position in a fund that tracks the DJIA? If yes, why aren't you using something more...
by sarabayo
Thu Aug 08, 2019 6:10 pm
Forum: Investing - Theory, News & General
Topic: AGG over BND
Replies: 10
Views: 900

Re: AGG over BND

livesoft wrote:
Thu Aug 08, 2019 11:19 am
The reason might be that iShares paid them to do so.
Bingo :)
by sarabayo
Thu Aug 08, 2019 5:57 pm
Forum: Personal Finance (Not Investing)
Topic: Fidelity as a one stop shop
Replies: 1053
Views: 118573

Re: Fidelity as a one stop shop

Curious what funds people hold at fidelity for 3 fund. Since I will have my taxable account there. I am think across all my accounts that I will use: ITOT for total stock market FTIHX for total intl FXNAX for bonds Thoughts? In a taxable account you shouldn't use non-Vanguard mutual funds because t...
by sarabayo
Thu Aug 08, 2019 4:39 pm
Forum: Personal Investments
Topic: Roth IRA Income Limit Question
Replies: 14
Views: 874

Re: Roth IRA Income Limit Question

Income is income, whether it's base or variable. When you say "variable" I guess you mean that it's in stock grants or something, whose value might change by the time they are actually realized as income. Then I guess the valuation you give of 41,200 is its current value. At its current value, your ...
by sarabayo
Thu Aug 08, 2019 3:42 pm
Forum: Personal Finance (Not Investing)
Topic: How does taxable, savings and retirement calculate into life insurance planning?
Replies: 16
Views: 1000

Re: How does taxable, savings and retirement calculate into LI planning?

Broken Man 1999 wrote:
Thu Aug 08, 2019 3:39 pm
What does LI stand for?

Is it perhaps lifecycle investing?
I'd guess "Life Insurance", based on this earlier thread by the OP.
by sarabayo
Thu Aug 08, 2019 3:39 pm
Forum: Personal Finance (Not Investing)
Topic: Simple Bank - Bonus for New Funds in Individual and Protected Goals Account
Replies: 43
Views: 979

Re: Simple Bank - Bonus for New Funds in Individual and Protected Goals Account

Some caveats I learned through signing up for this: You get $250 per account, but you can only have one individual and one shared. So if you're single, like, me, that caps your benefit at $250. If you have a partner, you can get $750 between the two of you (one individual account for each person and...
by sarabayo
Thu Aug 08, 2019 1:27 pm
Forum: Personal Investments
Topic: So, I have a quarter of a million dollar CD coming due.
Replies: 27
Views: 4832

Re: So, I have a quarter of a million dollar CD coming due.

Your post was perfectly clear to anyone with a brain. You were either being trolled or being given bad advice. I just want to point out that several posts in this thread, both by OP and by others, have been edited after the fact to resolve initial confusion, fix typos, etc. So those of us now readi...
by sarabayo
Thu Aug 08, 2019 1:10 pm
Forum: Personal Investments
Topic: mega-backdoor 401k is with Fidelity. Should I open a 2nd Roth with them or can I roll over directly to Vanguard?
Replies: 18
Views: 1032

Re: mega-backdoor 401k is with Fidelity. Should I open a 2nd Roth with them or can I roll over directly to Vanguard?

I called fidelity, and was told that it is plan-based. My plan does not support it, so I will keep on calling every month. It may be more useful to start bugging the people within your company who are responsible for setting the parameters of your company's 401(k) plan, since only they can change t...
by sarabayo
Wed Aug 07, 2019 3:57 pm
Forum: Investing - Theory, News & General
Topic: Personal Flagship Representaive Going Away
Replies: 111
Views: 10579

Re: Personal Flagship Representaive Going Away

furikake wrote:
Wed Aug 07, 2019 3:41 pm
There was one very bad one, I called in to ask about something, he said he couldn't talk to me, that he could only talk to the man in the house.
Incredible. I hope you were able to report his behavior to Vanguard somehow.
by sarabayo
Wed Aug 07, 2019 2:12 pm
Forum: Personal Investments
Topic: Does it bug anyone else that Vanguard only has money market for cash?
Replies: 101
Views: 8532

Re: Does it bug anyone else that Vanguard only has money market for cash?

Maybe I'm misunderstanding you, but I should say that Vanguard makes no such claim about VMFXX. Here is the "Principal Investment Strategies" section from the summary prospectus (emphasis mine): The post to which you were responding was concerned with repurchase agreements backed by t-bills, which ...
by sarabayo
Wed Aug 07, 2019 1:57 pm
Forum: Personal Investments
Topic: mega-backdoor 401k is with Fidelity. Should I open a 2nd Roth with them or can I roll over directly to Vanguard?
Replies: 18
Views: 1032

Re: mega-backdoor 401k is with Fidelity. Should I open a 2nd Roth with them or can I roll over directly to Vanguard?

I called fidelity, and was told that it is plan-based. My plan does not support it, so I will keep on calling every month. It may be more useful to start bugging the people within your company who are responsible for setting the parameters of your company's 401(k) plan, since only they can change t...
by sarabayo
Wed Aug 07, 2019 1:54 pm
Forum: Personal Investments
Topic: Does it bug anyone else that Vanguard only has money market for cash?
Replies: 101
Views: 8532

Re: Does it bug anyone else that Vanguard only has money market for cash?

The SEC would not let a mutual fund company advertise that 100% of the investments are backed by the full faith and credit of the US treasury unless it were true. Maybe I'm misunderstanding you, but I should say that Vanguard makes no such claim about VMFXX. Here is the "Principal Investment Strate...
by sarabayo
Wed Aug 07, 2019 2:21 am
Forum: Investing - Theory, News & General
Topic: Personal Flagship Representaive Going Away
Replies: 111
Views: 10579

Re: Personal Flagship Representaive Going Away

Rude to call companies? There are also some who consider it impolite to question why they got $2.95 in change instead of $12.95 because the millennial behind the counter couldn't read the cash register or didn't notice you gave them a $20 bill instead of a $10. What's this random jab at millennials...
by sarabayo
Tue Aug 06, 2019 5:12 pm
Forum: Investing - Theory, News & General
Topic: Personal Flagship Representaive Going Away
Replies: 111
Views: 10579

Re: Personal Flagship Representaive Going Away

My experience when I call a company. (Not actual story, but representative) Me: <rings Vanguard> Rep: How can I help you? Me: I would like to buy 2 shares of Amazon Rep: Oh, you should know that Vanguard recommends buying low cost index funds rather than individual stocks. individual stocks are hig...
by sarabayo
Mon Aug 05, 2019 12:30 am
Forum: Forum Issues and Administration
Topic: What [do the abbreviations used here] mean...???
Replies: 19
Views: 2483

Re: What does it all mean...???

Can you give us some examples of abbreviations you can't figure out? DH, DW, DD, DS mean Dear Husband, Dear Wife, Dear Daughter, Dear Son The financial ones have logic but these ones are ridiculous. The wiki says these are "internet terms" but I must say I've never seen them used anywhere but on th...
by sarabayo
Sat Aug 03, 2019 5:55 pm
Forum: Personal Investments
Topic: Does it bug anyone else that Vanguard only has money market for cash?
Replies: 101
Views: 8532

Re: Does it bug anyone else that Vanguard only has money market for cash?

Essentially. In the years since the GFC the SEC has implemented new rules that change the treatment of different MM funds based on their composition. "Prime" funds are now allowed to float their share price and also implement redemption gates to prevent runs. Treasury-backed MM funds are not, which...
by sarabayo
Sat Aug 03, 2019 3:24 am
Forum: Investing - Theory, News & General
Topic: Wealthfront now offers 2.51% APY
Replies: 83
Views: 9726

Re: Wealthfront now offers 2.51% APY

Wealthfront's new 2.32% is still in the top tier. The yields of Vanguard's MMFs will move down similarly within the next few weeks. VMMXX, the somewhat comparable Vanguard MMF, is currently at 2.24%, so it's already lower, though I imagine that for many people the tax-advantaged Vanguard MMFs are s...
by sarabayo
Fri Aug 02, 2019 5:25 am
Forum: Investing - Theory, News & General
Topic: Vanguard promoting their Actively managed funds
Replies: 54
Views: 4245

Re: Vanguard promoting their Actively managed funds

This really isn't anything new for Vanguard. For many years, they had a list of nine "core funds." One was Prime Money Market, and the other were equitably divided, four index, and four active (Short-Term Investment Grade rather than Short Term Bond Index; Wellesley; Wellington; and the rather unim...
by sarabayo
Thu Aug 01, 2019 6:58 pm
Forum: Investing - Theory, News & General
Topic: Vanguard promoting their Actively managed funds
Replies: 54
Views: 4245

Re: Vanguard promoting their Actively managed funds

Seriously, does anyone here really think the Vanguard active management funds are new, and represent a new focus for Vanguard? If so, talk about oblivious investors.... :shock: Of course Vanguard will promote their active funds, there is some serious dollars in them thar funds! Broken Man 1999 Your...
by sarabayo
Thu Aug 01, 2019 3:38 pm
Forum: Investing - Theory, News & General
Topic: Vanguard promoting their Actively managed funds
Replies: 54
Views: 4245

Re: Vanguard promoting their Actively managed funds

Maybe they can use the money from the active funds to improve things that could be considered lacking by some, like the website or customer service. Agreed. Might be kind of selfish of me to think this way, but if there's someone out there getting ripped off by high fee active funds, I'd certainly ...
by sarabayo
Mon Jul 29, 2019 3:10 pm
Forum: Personal Investments
Topic: Buying Amazon Stock
Replies: 28
Views: 3467

Re: Buying Amazon Stock

[ quoted post removed by admin LadyGeek]

FYI, from Rule 5(b) "No Solicitation":
Members may not post affiliate or referral links, except affiliate links in support of the forum, or ask for referrals.
That seems fairly clear to me.
by sarabayo
Mon Jul 29, 2019 2:38 pm
Forum: Personal Finance (Not Investing)
Topic: Maryland, is a Roth conversion tax exempted
Replies: 35
Views: 1515

Re: Maryland, is a Roth conversion tax exempted

I'm curious -- we've established that if a 401(k) is rolled over to an IRA, you lose the exclusion, but what if you roll an IRA into a 401(k) and annuitize the funds? Does that gain you an exclusion where you didn't have one before? My understanding is that the first step would have to involve fund...
by sarabayo
Mon Jul 29, 2019 1:52 pm
Forum: Personal Finance (Not Investing)
Topic: Maryland, is a Roth conversion tax exempted
Replies: 35
Views: 1515

Re: Maryland, is a Roth conversion tax exempted

I'm curious -- we've established that if a 401(k) is rolled over to an IRA, you lose the exclusion, but what if you roll an IRA into a 401(k) and annuitize the funds? Does that gain you an exclusion where you didn't have one before?
by sarabayo
Mon Jul 29, 2019 1:47 pm
Forum: Personal Investments
Topic: Buying Amazon Stock
Replies: 28
Views: 3467

Re: Buying Amazon Stock

Also, (probably a stupid question) can you only buy half of a share or do all platforms require you to pay for one whole share to start? M1 Finance allows you to buy fractional shares in any dollar amount. They also don't charge a fee for trades. The "catch" is that they don't let you micromanage w...
by sarabayo
Sun Jul 28, 2019 2:47 am
Forum: Personal Finance (Not Investing)
Topic: Too good to be true; what am I missing?
Replies: 19
Views: 4806

Re: Too good to be true; what am I missing?

The loan is callable when loan exceed 1/3 of account value. As per my reading, there are no additional fees OK, so $15k investment with a $5k loan - won't your loan be called on the first down day? Sorry for the necropost, but just thought I'd clarify this. M1 Borrow loans are apparently callable n...
by sarabayo
Fri Jul 26, 2019 6:02 am
Forum: Personal Investments
Topic: which money market - banks or funds?
Replies: 17
Views: 1284

Re: which money market - banks or funds?

Vanguard's money market funds are by far the best money market funds out there, mainly because their expense ratios are so much smaller than those of their competitors. Note that money market funds have different properties from money market accounts , so pure yield is not the only consideration in ...
by sarabayo
Thu Jul 25, 2019 2:02 pm
Forum: Personal Finance (Not Investing)
Topic: Creative, "outside the box" to lower auto expenses?
Replies: 63
Views: 3512

Re: Creative, "outside the box" to lower auto expenses?

This in regards to the renting, ride share, public transit comments. We live in a big city with public transportation, Uber, Lyft, Via, scooters, rental bikes, etc. Spouse's car is 17 years old with 175k miles and has seen better days. I suggested getting rid of it and using public transit and Lyft...
by sarabayo
Wed Jul 24, 2019 12:29 pm
Forum: Personal Finance (Not Investing)
Topic: Creative, "outside the box" to lower auto expenses?
Replies: 63
Views: 3512

Re: Creative, "outside the box" to lower auto expenses?

mhalley wrote:
Wed Jul 24, 2019 12:25 pm
This guy got a Tesla for $78 a month
https://m.youtube.com/watch?v=kWvs5H32Oyc&t=685s
Didn't watch the video, but that's some rather creative accounting he's doing in the video description...
by sarabayo
Wed Jul 24, 2019 12:17 pm
Forum: Personal Finance (Not Investing)
Topic: Creative, "outside the box" to lower auto expenses?
Replies: 63
Views: 3512

Re: Creative, "outside the box" to lower auto expenses?

Use Uber or car rental instead of owning a car (location dependant). --> This one was recently mentioned by Clark Howard as a way for them to significantly reduce the cost for their teenager. It was apparently far cheaper to have them do Uber all they want vs paying insurance for a teenage driver (...
by sarabayo
Fri Jul 19, 2019 5:27 pm
Forum: Personal Investments
Topic: 100% Stock in ROTH
Replies: 8
Views: 1059

Re: 100% Stock in ROTH

@OP: FYI, it is called a Roth IRA, not a "ROTH". First, there are other Roth accounts besides IRAs (such as Roth 401(k)s, Roth TSP, etc.). Second, "Roth" is not an acronym for anything. Roth IRAs are named after Sen. William Roth (R-DE) who pushed for them in the Taxpayer Relief Act of 1997.
by sarabayo
Fri Jul 19, 2019 4:34 pm
Forum: Investing - Theory, News & General
Topic: Vanguard says VTI is more tax-efficient than VTSAX
Replies: 32
Views: 3245

Re: Vanguard says VTI is more tax-efficient than VTSAX

For ETF's, how long you've held matters so you're only paying taxes on your actual share of the gains. Stock ETFs have a declaration date, an ex-dividend date, and a distribution date whenever a distribution occurs. If you hold the ETF prior to the ex-dividend date, you will get the full declared d...
by sarabayo
Thu Jul 18, 2019 11:11 pm
Forum: Personal Finance (Not Investing)
Topic: FitnessBank 3% savings with 12,500 daily steps - has anyone heard of them?
Replies: 26
Views: 4001

Re: FitnessBank 3% savings with 12,500 daily steps - has anyone heard of them?

You Don't Need to Walk 10,000 Steps Every Day ...the original basis for this 10,000-step guideline was really a marketing strategy,” she explains. “In 1965, a Japanese company was selling pedometers, and they gave it a name that, in Japanese, means ‘the 10,000-step meter.’” Based on conversations s...
by sarabayo
Thu Jul 18, 2019 8:39 pm
Forum: Personal Investments
Topic: Wealthfront 2.57% Savings
Replies: 12
Views: 1634

Re: Wealthfront 2.57% Savings

by sarabayo
Thu Jul 18, 2019 12:42 pm
Forum: Investing - Theory, News & General
Topic: Total Stock (US and Intl): Fidelity ZERO vs Vanguard
Replies: 63
Views: 5491

Re: Zero expense ratio funds

This $800 “savings” assumes performance is equal. So far, the performance of Fidelity’s fund has trumped Vanguards by 0.83%! . As I stated above, the funds use a different index so this is not a valid comparison. Not only are they different indexes, but those indexes are not even trying to track th...
by sarabayo
Thu Jul 18, 2019 3:06 am
Forum: Investing - Theory, News & General
Topic: Total Stock (US and Intl): Fidelity ZERO vs Vanguard
Replies: 63
Views: 5491

Re: Zero expense ratio funds

This $800 “savings” assumes performance is equal. So far, the performance of Fidelity’s fund has trumped Vanguards by 0.83%! . As I stated above, the funds use a different index so this is not a valid comparison. Not only are they different indexes, but those indexes are not even trying to track th...
by sarabayo
Thu Jul 18, 2019 3:02 am
Forum: Personal Investments
Topic: Mega backdoor Roth - checking my steps
Replies: 10
Views: 1090

Re: Mega backdoor Roth - checking my steps

My company has the auto-conversion thing too, through Fidelity, who runs our 401(k) plan. When I asked a Fidelity rep about it, they said that it's a feature they developed themselves and have offered to a lot of companies whose plans they administer, though not all have opted into it. For those of ...
by sarabayo
Wed Jul 17, 2019 5:58 pm
Forum: Personal Investments
Topic: Mega backdoor Roth - checking my steps
Replies: 10
Views: 1090

Re: Mega backdoor Roth - checking my steps

Looks fine to me, too. You're lucky that your 401(k) plan makes it easy for you with the auto conversions :)
by sarabayo
Wed Jul 17, 2019 3:14 pm
Forum: Investing - Theory, News & General
Topic: Total Stock (US and Intl): Fidelity ZERO vs Vanguard
Replies: 63
Views: 5491

Re: Total Stock (US and Intl): Fidelity ZERO vs Vanguard

Pick your brokerage and then pick your fund ( except that no one should prefer FZROX in a taxable account ). Could someone please explain this parenthetical? Is FZROX significantly less tax efficient than VTSAX? Vanguard mutual funds often have a leg up on their competitors in terms of tax efficien...
by sarabayo
Tue Jul 16, 2019 5:07 pm
Forum: Investing - Theory, News & General
Topic: Best Fidelity Money Market Account to Hold Cash?
Replies: 55
Views: 16647

Re: Best Fidelity Money Market Account to Hold Cash?

engineerbme wrote:
Tue Jul 16, 2019 2:47 pm
with interest rates going down and the 7-day yield falling for SPRXX and SPAXX, is the advice the same?
Thanks for the heads up. It looks like, for my tax brackets, FDLXX has dipped below FDRXX as of Jun 27 or so, so I've put in an order to switch.
by sarabayo
Tue Jun 25, 2019 4:15 pm
Forum: Personal Finance (Not Investing)
Topic: How did you lower your annual expenses?
Replies: 145
Views: 13565

Re: How did you lower your annual expenses?

Also we made them eat at their friends' homes. Since their clothes were always shabby, their friends' moms were only too happy to help since they thought we were relatively poor compared to them. :shock: Didn't you feel like you were taking advantage of the friends' moms by deceiving them (albeit p...
by sarabayo
Sat Jun 15, 2019 11:50 pm
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure [risk parity strategy using 3x leveraged ETFs]
Replies: 3353
Views: 275052

Re: HEDGEFUNDIE's excellent adventure [risk parity strategy using 3x leveraged ETFs]

I'm deciding to do this with a small amount from my roth IRA opened in 2018. I only have approx 8k in it. Would I be able to transfer this to M1 finance to purchase UPRO and TMF, or would I need to sell my current holding from vanguard before doing this? Just wondering if there is any penalty since...