Search found 232 matches

by sawdust60
Mon Sep 16, 2019 1:52 pm
Forum: Personal Investments
Topic: Early SS to pay Roth convert taxes?
Replies: 23
Views: 2404

Re: Early SS to pay Roth convert taxes?

With 60k tax bill, I would be concerned about IRMAA.
by sawdust60
Sun Sep 15, 2019 8:27 pm
Forum: Personal Investments
Topic: Early SS to pay Roth convert taxes?
Replies: 23
Views: 2404

Re: Early SS to pay Roth convert taxes?

Perhaps do the Roth conversion in 4th quarter. Make estimated tax payment on the following January 15th, using tIRA withdrawal. The tIRA withdrawal could help satisfy the RMD. Without a more complete analysis of income, savings and withdrawal plans, I don't understand how a recommendation could be m...
by sawdust60
Sat Aug 24, 2019 1:03 am
Forum: Investing - Theory, News & General
Topic: Ideas on staying in 12% tax bracket
Replies: 9
Views: 1934

Re: Ideas on staying in 12% tax bracket

You might check out Qualified Charitable Distributions, which can satisfy the RMD -- effectively your charitable giving can be tax free. Link to wiki You might be able to utilize some 0% tax rates for qualified dividends and LTCG -- this can be a reason to stay within the 12% tax bracket. If you wan...
by sawdust60
Wed Aug 21, 2019 1:46 am
Forum: Personal Finance (Not Investing)
Topic: Looking for a computer coding mentor
Replies: 13
Views: 1230

Re: Looking for a computer coding mentor

The Java language is beginner friendly. Starting with a good tutorial textbook can work as a first step. Javascript is less beginner friendly. Check out Java: How to Program by Deitel. While a bit dated, you should be able to find the 9th Edition (2011) [with shipping is $7 to $18 used/eBay]. Alter...
by sawdust60
Sun Aug 18, 2019 11:26 pm
Forum: Personal Finance (Not Investing)
Topic: Refinance out of the ARM? Are the fees worth it?
Replies: 11
Views: 822

Re: Refinance out of the ARM? Are the fees worth it?

Here's some results, assuming continued payments of $4,000/month, which includes additional principal. Amount of final payment / Date / Interest rate Option 2: Relock now $239 / 9-1-2027 / 3.25 Option 3: Fixed rate $1556 / 9-1-2027 / 2.59 w/10,000 points&fees added to principal 3b: plus 2 points $19...
by sawdust60
Sun Aug 18, 2019 5:51 pm
Forum: Personal Consumer Issues
Topic: Aliens have captured my husband [wants to buy a Porsche]
Replies: 138
Views: 10712

Re: Aliens have captured my husband [wants to buy a Porsche]

You might encourage more car shopping. Much better to finish shopping before you buy. What are your plans? Perhaps a 4Runner Limited AWD would make a road trip more enjoyable. It's about half the price of the Porsche, and might also be a good vehicle to pass down when you're ready for the autonomou...
by sawdust60
Sun Aug 18, 2019 5:17 pm
Forum: Personal Consumer Issues
Topic: New Bath Tub Install $$$
Replies: 22
Views: 1685

Re: New Bath Tub Install $$$

If this is a fairly simple job, you might try a plumbing company. My guess is they would have a guy who could do the tear-out and install the new tub and surround, as well as being able to get the materials from their plumbing supplier. And of course the plumber would be available as needed. Or call...
by sawdust60
Sun Aug 18, 2019 4:33 pm
Forum: Personal Consumer Issues
Topic: Aliens have captured my husband [wants to buy a Porsche]
Replies: 138
Views: 10712

Re: Aliens have captured my husband [wants to buy a Porsche]

You might encourage more car shopping. Much better to finish shopping before you buy. What are your plans? Perhaps a 4Runner Limited AWD would make a road trip more enjoyable. It's about half the price of the Porsche, and might also be a good vehicle to pass down when you're ready for the autonomous...
by sawdust60
Fri Aug 16, 2019 1:16 am
Forum: Personal Finance (Not Investing)
Topic: Survivor Annuity
Replies: 6
Views: 563

Re: Survivor Annuity

Perhaps this is comparable to term life insurance - - - For an annual premium of $400 You might get a term life policy of 500,000 Annuitized using 4% guess: 20,000 Divide by 25% for equivalent salary: 80,000 Cost at 2.2%: 1,760 Is the survivor annuity plan anything more than expensive term life insu...
by sawdust60
Thu Aug 15, 2019 12:58 pm
Forum: Personal Consumer Issues
Topic: 1) What age did you have your teen get a driver's license?
Replies: 48
Views: 2005

Re: 1) What age did you have your teen get a driver's license?

Those with after school activities took drivers education and got their license on turning 16. Our rules were nobody else in the car, for the first six months, and only to/from school, etc. The seriousness and responsibility of driving was understood. You may have a better chance to help the new dri...
by sawdust60
Thu Aug 15, 2019 12:14 am
Forum: Non-US Investing
Topic: Foreign Earned Income Exemption and U.S. 401k?
Replies: 24
Views: 1435

Re: Foreign Earned Income Exemption and U.S. 401k?

You will need to move your drivers licenses to a friendly state ... ... We don't own any property and we're selling the car before moving... so really it would just be switching drivers licenses, voting registration, and changing the addresses on our bank accounts. Can this easily be done by gettin...
by sawdust60
Tue Aug 13, 2019 11:25 pm
Forum: Personal Finance (Not Investing)
Topic: Provider choosing to bill as out of network
Replies: 37
Views: 2791

Re: Provider choosing to bill as out of network

The provider is not part of the network, so they bill your insurance company what they want. The insurance company pays what they want, perhaps based on their reasonable and customary guidelines. You pay a copay to the provider, as the provider agreed to accept the in-network amount on your policy. ...
by sawdust60
Tue Aug 13, 2019 6:10 pm
Forum: Personal Investments
Topic: Laid off - 59yo - advice please
Replies: 44
Views: 6967

Re: Laid off - 59yo - advice please

Is the layoff an opportunity for early retirement? One way is to reduce costs. How much could you reduce your rent? Check into HUD-Sponsored Senior Housing Programs. There are apartments where maybe half are reserved for elderly and/or low income. It can be quite difficult to find a vacancy when you...
by sawdust60
Tue Aug 13, 2019 12:06 pm
Forum: Personal Finance (Not Investing)
Topic: help understanding pension
Replies: 19
Views: 1263

Re: help understanding pension

Always cash out of pensions when given the chance. Why wouldn’t you? Evaluate the projected future cash flow vs. the lump sum. Sometimes the lump sum is an actuarial calculation of the pension. Sometimes the pension is based on factors different from the contributions, such as years of service, hig...
by sawdust60
Tue Aug 13, 2019 11:22 am
Forum: Personal Finance (Not Investing)
Topic: help understanding pension
Replies: 19
Views: 1263

Re: help understanding pension

Yes, he pays into social security and will have 30 years of credits. Will it say in the plan document how the pension affects social security? Thanks again. Not an issue for your case. You are good as both qualifications are satisfied. But I wondered about the concern; why you seem intent on wantin...
by sawdust60
Tue Aug 13, 2019 10:28 am
Forum: Personal Finance (Not Investing)
Topic: help understanding pension
Replies: 19
Views: 1263

Re: help understanding pension

Does he also pay into social security? Or, will he have 30 years of substantial SS earnings?

The pension or lump sum could result in a reduction in SS benefits.
by sawdust60
Fri Aug 09, 2019 1:29 am
Forum: Personal Finance (Not Investing)
Topic: Pretty much broke --- what would you advise?
Replies: 85
Views: 9583

Re: Pretty much broke --- what would you advise?

Lower cost, subsidized housing could be available -- the price dependent on income, such as 30% of family income. Get a job or do various gigs: dog walking, house sitting, day care, meal preparation, shopping. Conserve savings. Perhaps delay taking SS to age 70. Run the Open Social Security calculat...
by sawdust60
Tue Aug 06, 2019 11:53 pm
Forum: Non-US Investing
Topic: Foreign Earned Income Exemption and U.S. 401k?
Replies: 24
Views: 1435

Re: Foreign Earned Income Exemption and U.S. 401k?

You might try the search box with the terms: Foreign Exclusion , and do it again with the country. Check the wiki: Taxation as a US person living abroad - Investing - 401K I can see part of your question as 401K plans can have contribution limits imposed by the employer's plan: How do you get more o...
by sawdust60
Thu Aug 01, 2019 11:36 pm
Forum: Personal Investments
Topic: Another when to claim non-cola pension question
Replies: 4
Views: 649

Re: Another when to claim non-cola pension question

You might be interested in the Pension Payout Probability Analysis spreadsheet from this Kitces page: Rigorous Analysis of Pension Options Done Right! I plugged in some numbers and it appears a 4% discount rate results in parity between lump sum vs. single life annuity. This might help to understand...
by sawdust60
Thu Aug 01, 2019 12:10 am
Forum: Personal Investments
Topic: Pay off Mortgage? Pay down Mortgage? Let it ride?
Replies: 15
Views: 2092

Re: Pay off Mortgage? Pay down Mortgage? Let it ride?

I like the idea of being debt free.

1. Pay down: sell higher-basis shares to minimize capital gains taxes.
and/or
2. Make additional monthly principal payments to retire the debt sooner.

Example:
Pay down: $100,000
Additional monthly principal payments: $2,000
Debt free in 36 months.
by sawdust60
Thu Jul 18, 2019 10:29 pm
Forum: Personal Finance (Not Investing)
Topic: ACA subsidy vs Roth conversions
Replies: 35
Views: 2817

Re: ACA subsidy vs Roth conversions

..but... in general, I will convert more to Roth AFTER age 65 (no more need for subsidy), and BEFORE (and after) age 70. Since you will be on Medicare at 65 -- will that impact in any way your plan to convert to Roth ? You may want to do larger conversions for several years, once ACA subsidy is not...
by sawdust60
Sun Jul 14, 2019 5:03 pm
Forum: Investing - Theory, News & General
Topic: Who should fund a Roth after age 71?
Replies: 13
Views: 1551

Re: Who should fund a Roth after age 71?

Note that “earned income” has a specific definition. Interest, dividends and RMD are not earned income. No Roth unless working. That is my understanding. If a 71 year old withdrew $7k more than the RMD, would that $7k count as earned income? No, withdrawals from IRAs, 401k's, 403b's, 457b's, etc., ...
by sawdust60
Wed Jul 10, 2019 9:58 am
Forum: Investing - Theory, News & General
Topic: No advantage to doing Roth conversions?
Replies: 21
Views: 2917

Re: No advantage to doing Roth conversions?

Generalized approach may not be suitable. Use i-orp for some ideas. Using RPM and/or your own spreadsheet can help understanding. 12% marginal rates are scarce, once you start SS. see the wiki. Also consider tax rates of heirs for inherited IRA. And there may be years with low taxes, due to high med...
by sawdust60
Sun Jun 16, 2019 10:30 am
Forum: Personal Consumer Issues
Topic: Alternatives to car rental for three months?
Replies: 57
Views: 4189

Re: Alternatives to car rental for three months?

Talk to relatives and ask if they have plans for a new/different vehicle in the near future. Perhaps they would accelerate the purchase so that you would have a car to drive.

And if they don't, perhaps one of their friends.
by sawdust60
Sun Jun 09, 2019 9:00 pm
Forum: Personal Consumer Issues
Topic: Anyone recommend a cheap cell phone service for text and calls?
Replies: 24
Views: 2269

Re: Anyone recommend a cheap cell phone service for text and calls?

h2owirelessnow.com - AT&T MVNO - $10/90-day 5-cent/minute plan. prior post
by sawdust60
Wed Jun 05, 2019 1:54 pm
Forum: Personal Investments
Topic: To Roth-Convert, or not to Roth-Convert, that is the question
Replies: 16
Views: 1918

Re: To Roth-Convert, or not to Roth-Convert, that is the question

I might be inclined to do Roth conversions of 85k for three years, and then conversions to stay at zero tax. Since your marginal rate with higher SS income is at least 15%, go ahead and exceed the hump for three years and fully utilize the 12% tax bracket. The benefits of doing this: - surviving spo...
by sawdust60
Wed May 29, 2019 7:33 pm
Forum: Personal Finance (Not Investing)
Topic: check my thinking on Roth conversions?
Replies: 28
Views: 1607

Re: check my thinking on Roth conversions?

So it sounds like you could convert $101,000 minus your capital gains in my scenario. So I guess the goal would be that to pay for living expenses out of taxable accounts, I should sell lots with the smallest amounts of capital gains, to maximize the "space" for the Roth conversions. This is correc...
by sawdust60
Wed May 29, 2019 2:23 am
Forum: Personal Finance (Not Investing)
Topic: Lump sum versus annuity help
Replies: 22
Views: 1262

Re: Lump sum versus annuity help

You might be interested in the Pension Payout Probability Analysis spreadsheet from this Kitces page: Rigorous Analysis of Pension Options Done Right!
by sawdust60
Wed May 29, 2019 1:52 am
Forum: Personal Consumer Issues
Topic: Printing quality pictures taken from phone?
Replies: 19
Views: 1292

Re: Printing quality pictures taken from phone?

Low resolution is a common problem. 8 x 10 at 300 dpi is 7.2 megapixels. My guess is your phone is adequate, unless photos are cropped too much. There could be a setting on the phone to minimize file size, but perhaps not for Android. Download the photos onto your hard drive or a usb memory stick. L...
by sawdust60
Sun May 26, 2019 11:46 am
Forum: Personal Consumer Issues
Topic: Keeping old negatives from photos (why keep them?)
Replies: 26
Views: 2311

Re: Keeping old negatives from photos (why keep them?)

I was able to digitize slides and negatives using my digital camera and a backlight source. If you want to try this method, you can use a blank screen on your smartphone for the backlight. Place the slide on the phone. Take a picture with digital camera. It also works for negatives and then use Phot...
by sawdust60
Thu May 23, 2019 11:03 am
Forum: Personal Finance (Not Investing)
Topic: Changing from owning to renting a home for retirement
Replies: 23
Views: 2161

Re: Changing from owning to renting a home for retirement

Should you decide to move in with mom, consult with attorney to see if it might be better not to buy her house. There may be additional strategies for managing mom's assets, etc. Also think about what you might have an opportunity to do. Perhaps when daughter is out of school and settled, you might ...
by sawdust60
Mon May 20, 2019 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Seeking comment on proposed revisions to Marginal Tax Rate and Traditional v. Roth wiki articles
Replies: 419
Views: 18610

Re: Seeking comment on proposed revisions to Marginal Tax Rate and Traditional v. Roth wiki articles

I commend your work. A few comments: 1. --------------- User:Fyre4ce/Traditional_versus_Roth#Social_Security_benefits Suggest adding a reference to the wiki as you have done here: User:Fyre4ce/Marginal_tax_rate#Social_Security_benefits . I see the link within the first sentence, but some emphasis co...
by sawdust60
Wed May 15, 2019 9:44 pm
Forum: Personal Consumer Issues
Topic: Best month to visit London?
Replies: 40
Views: 3264

Re: Best month to visit London?

If you want to visit Buckingham Palace: ...State Rooms which are open to visitors for 10 weeks each summer (20 July - 29 September 2019) and on selected dates during winter and spring. https://www.rct.uk/visit/the-state-room ... ham-palace
by sawdust60
Sat May 11, 2019 4:07 pm
Forum: Personal Finance (Not Investing)
Topic: Best ways to buy second home (primary)?
Replies: 11
Views: 1239

Re: Best ways to buy second home (primary)?

If you have taxable account assets, ML/BOA has a mortgage option where you pledge 30% of brokerage assets.
https://mlaem.fs.ml.com/content/dam/ML/ ... ayment.pdf
by sawdust60
Sat May 11, 2019 1:39 pm
Forum: Personal Investments
Topic: Evaluating Pension Options
Replies: 16
Views: 803

Re: Evaluating Pension Options

You might be interested in the Pension Payout Probability Analysis spreadsheet from this Kitces page: Rigorous Analysis of Pension Options Done Right! It calculates NPV and uses actuarially adjusted amounts. This example below shows how you might enter/update inputs, and then delete the cells in Col...
by sawdust60
Sat May 04, 2019 3:25 pm
Forum: Personal Consumer Issues
Topic: What kind of Replacement A/C would you get ??
Replies: 59
Views: 6578

Re: What kind of Replacement A/C would you get ??

I have no regrets with multi stage ac. The smaller compressor carries the load most of the time. I also opted for the deluxe thermostat. Here is a picture of one of the screens on the thermostat. It shows the smaller compressor in light blue. If the heater ran, it would appear as a red bar where the...
by sawdust60
Mon Apr 29, 2019 5:01 pm
Forum: Personal Finance (Not Investing)
Topic: Please check my numbers for Roth conversion
Replies: 15
Views: 1366

Re: Please check my numbers for Roth conversion

Yes, I've been thinking about these things and struggling a bit to predict the future ( eg, what rate of return to assume when plugging numbers into RMD calculator). It might well be prudent to convert a bit more and venture into 22% territory. Assuming SS at 70 and including RMD's, total income co...
by sawdust60
Mon Apr 29, 2019 2:24 pm
Forum: Personal Finance (Not Investing)
Topic: Please check my numbers for Roth conversion
Replies: 15
Views: 1366

Re: Please check my numbers for Roth conversion

... Doubt we'll be in a much higher tax bracket when SS and RMD's kick in ... How much SS? How much RMD? You might review the wiki Taxation of SS benefits . Marginal tax rates are different with SS income. You may calculate using the 12% table, but since SS income becomes taxable based on non-SS in...
by sawdust60
Tue Apr 23, 2019 2:14 am
Forum: Personal Investments
Topic: Does my non-NUA plan make sense?
Replies: 7
Views: 550

Re: Does my non-NUA plan make sense?

Remember that it is not all or nothing. Get a schedule which shows the basis for those shares with lower cost basis. Do NUA for some. Roll the balance. And perhaps wait until the next year(s) to sell and utilize some 0% tax rate on some LTCG. Be careful. NUA has strict rules on the timing; don't tak...
by sawdust60
Fri Apr 19, 2019 7:57 pm
Forum: Personal Consumer Issues
Topic: For those who like travel, when did you retire and where are the most exciting places you travelled to?
Replies: 129
Views: 12693

Re: For those who like travel, when did you retire and where are the most exciting places you travelled to?

Our annual travel spending is $5k-$10k. Initially planned to budget for maximum out of pocket medical, and whatever not spent is available for travel the next year. So far, so good. Never cruised until in retirement. Now we seldom travel, except when we combine it with a cruise. Strong preference fo...
by sawdust60
Fri Apr 19, 2019 11:03 am
Forum: Personal Finance (Not Investing)
Topic: New job offer, pension vs diy retirement
Replies: 17
Views: 1229

Re: New job offer, pension vs diy retirement

Will you still participate in Social Security? Pension plus SS, or IRA/401k plus SS. Both are good. (Pension plus 401k plus SS is even better.) You will appreciate having SS, but there can be a significant penalty to those who have only a part of their career covered by SS. Pensions are great for th...
by sawdust60
Wed Apr 17, 2019 1:03 pm
Forum: Personal Consumer Issues
Topic: Small backup battery for Lenova YOGA laptop?
Replies: 4
Views: 346

Re: Small backup battery for Lenova YOGA laptop?

No experience with Yoga or these models -- which also provide the 19v output needed for some laptops. https://www.amazon.com/Krisdonia-50000mAh-Portable-Battery-Charger/dp/B074N1B15F https://www.amazon.com/BatPower-EX10L-Ultrabook-Rectangle-Smartphone/dp/B07DGN58K7 This one is Lenovo branded and has...
by sawdust60
Wed Apr 17, 2019 11:23 am
Forum: Investing - Theory, News & General
Topic: Pension Govt vs a High match job with higher pay.
Replies: 16
Views: 1909

Re: Pension Govt vs a High match job with higher pay.

You may have a math problem. Calculate the value of everything at age 56. Future value of your company match/savings. Present value of annuity streams. Also remember that the 1.5% COLA is probably not the rate to use for discounting. Create a spreadsheet with 50 Rows and understand the base numbers....
by sawdust60
Mon Apr 15, 2019 12:37 am
Forum: Personal Finance (Not Investing)
Topic: Net Tax liability
Replies: 2
Views: 397

Re: Net Tax liability

Net tax liability should be the amount you would owe, if no tax was withheld. So if 1000 were withheld, and you get a 100 refund, the net tax liability which will have been paid is 900.
by sawdust60
Sun Apr 14, 2019 4:17 pm
Forum: Personal Investments
Topic: Tax Math on 3.6MM portfolio
Replies: 21
Views: 3207

Re: Tax Math on 3.6MM portfolio

I didn't see where social security was included in your calculation. Marginal tax rates are different with SS income. Up to 85% of SS income becomes taxable, based on non-SS income. (With significant non-SS income, you might simply include 85% of SS in AGI and taxable income calculations.) link to w...
by sawdust60
Fri Apr 12, 2019 3:43 pm
Forum: Personal Investments
Topic: What % bonds for early retirement
Replies: 41
Views: 4043

Re: What % bonds for early retirement

Sometimes the discussion on AA omits the other significant components of your financial picture. 1. Mortgage. Paid off home eliminates a future expense. 2. Pension can be viewed as bond equivalent. 3. Include other plans, such as college funding. No issue with scaling into a desired AA over time, bu...
by sawdust60
Wed Apr 10, 2019 11:27 pm
Forum: Personal Investments
Topic: Defer Pension?
Replies: 10
Views: 844

Re: Defer Pension?

You might be interested in the Pension Payout Probability Analysis spreadsheet from this Kitces page: Rigorous Analysis of Pension Options Done Right! Using the spreadsheet, I saw no issue to the amount of your lump sum. Updates: C3: =488*12 C4: 0 C5: 0 B9: Female B10: 54 B25: 3.5% - discount rate A...
by sawdust60
Mon Apr 08, 2019 6:50 pm
Forum: Personal Investments
Topic: Conversion to Roth
Replies: 24
Views: 1483

Re: Conversion to Roth

Sawdust 60, so you are saying that with no tax exempt interest I could have $196,999 total income and still be under the IRMAA Limit taking into account the standard deduction? That would let me just be over the top of the 22% bracket and nick the 24% bracket? ... Think in the terms of Form 1040. A...
by sawdust60
Mon Apr 08, 2019 5:06 pm
Forum: Personal Investments
Topic: Conversion to Roth
Replies: 24
Views: 1483

Re: Conversion to Roth

The top of the 22% bracket is $168,400 for 2019 for married filing jointly I believe. The IRMAA starts at $170,000 for a married couple. We will stay away from the absolute top of the 22% bracket so we don't get into IRMAA rates for Medicare. ... Note that 170k is Medicare MAGI, and if you have no ...
by sawdust60
Mon Apr 08, 2019 2:47 pm
Forum: Personal Investments
Topic: Conversion to Roth
Replies: 24
Views: 1483

Re: Conversion to Roth

Perhaps Roth conversions up to slightly below the first IRMAA bracket. That's about 20k below the top of the 22% tax bracket MFJ, as it is Medicare MAGI based vs taxable income. Use caution when going higher in the 22% bracket or into the 24% bracket. When you use the full IRMAA bracket, it adds 3....