Search found 702 matches

by Wash.Invest
Sat Feb 24, 2024 11:59 pm
Forum: Personal Investments
Topic: Self directed ira - disqualified person?
Replies: 13
Views: 1090

Re: Self directed ira - disqualified person?

I really like the idea of investing in secured notes this way
Yes, I use my Self Directed IRA as a tool for hard lending, my alternative to bonds or annuity. +/- (not without risk)
by Wash.Invest
Sat Feb 24, 2024 11:56 pm
Forum: Personal Investments
Topic: Self directed ira - disqualified person?
Replies: 13
Views: 1090

Re: Self directed ira - disqualified person?

My Self Directed IRA custodian charges $440/ yr ($110/ Qtr) (up 20% from 10 yrs ago).

Rules sound like your in-laws could be deemed disqualified recipient of your acct, resulting in 100% taxable distribution. You're kind of on sticky territory, but if your spouse is the sole (or partial) beneficiary of your IRA..... There could be a disqualified link to in-laws. Not definitive but possible. Get the facts!

https://www.irs.gov/retirement-plans/pl ... descendant).
by Wash.Invest
Sat Feb 24, 2024 11:39 pm
Forum: Personal Finance (Not Investing)
Topic: Donor Advised Fund - Tax Deduction Question
Replies: 26
Views: 1973

Re: Donor Advised Fund - Tax Deduction Question

The DAF is a handy tax tool to manage appreciated gains, especially during employment years, and windfalls (property or business sales), or severance packages. Our DAF was purposely established looking at bridging our gifting desires for 25 yrs of early retirement before RMDs. It's been unexpectedly high growth when I finally pulled it from Community Foundation (fixed) to Fidelity (self managed), thus the DAF allows quite a lot of discretionary gifting I would have never expected, and lots of community arts and youth scholarships can now be awarded grants. The DAF can also be used as a 'pass-thru' as mentioned above, if you still have income to support occasional large contribution deduction. Maybe after the 2025 sunset of current generous ...
by Wash.Invest
Wed Feb 21, 2024 9:06 pm
Forum: Personal Investments
Topic: Any way to Roth?
Replies: 15
Views: 1958

Re: Any way to Roth?

Unless both spouses intend to live to eternity....when the 'Filing as individual' tax reaper comes calling, The survivor will appreciate every $ locked away into the Roth.

It's just another tool. Without it (Roth), your mitigation strategy each year will be limited. QCDs, business/ rental deductions (which decline as 'earned income' evaporates.)
by Wash.Invest
Mon Feb 19, 2024 5:23 pm
Forum: Personal Investments
Topic: Need advice about real estate investment
Replies: 18
Views: 1991

Re: Need advice about real estate investment

RE has been very good to me (at a cost).

~30% of my wealth building. And many different forms of RE. For me. I prefer multi tenant commercial (not residential). And bare land (view acreages). Each require capital!

For your $100k, you can be looking for $300-$500k properties that cash flow well. But.... You MUST retain 'reserves' for when bad, expensive stuff happens.

Get an education (from an old, successful person)… then be very diligent in (if) you purchase.

Real estate is forever. (I've lived through 8-10 year slumps.... Then what?). Be prepared.
by Wash.Invest
Mon Feb 19, 2024 9:09 am
Forum: Personal Investments
Topic: Need advice about real estate investment
Replies: 18
Views: 1991

Re: Need advice about real estate investment

You really need to know your areas for buying and holding physical investment Real Estate. Consider the changing demographics, and the many future changes. (Such as retirees downsizing and relocating. (And often renting). I specifically like retired military or gov pension tenants, and keep all my properties in tax free states, with moderate weather. Buy based on cash flow opportunities. I prefer to only buy what I'm willing to live in (if necessary), and can rent for 1% of total purchase price. $1000 monthly gross rents for every $100,000 price. I very seldom buy on open market, and almost never from a realtor. I dig up my own desirable properties, and make an offer. That way I'm 1:1 with seller. No middle man, or competing bids. Know ALL ...
by Wash.Invest
Mon Feb 19, 2024 8:46 am
Forum: Personal Finance (Not Investing)
Topic: Southwest Airlines Credit Card Strategy
Replies: 31
Views: 3978

Re: Southwest Airlines Credit Card Strategy

Companion Pass runs for year you qualify, + the following yr. So you can get nearly 2 yrs use. (It runs via calendar years, not by qualifying dates)

During our GO -Go retirement years, we have done 2 yr companion pass, then cancel card and take 2 yrs alternative trips, then requalify with new cards for another 2 yr use. We do a minimum of 50 flights, year, sometimes over 100. Wish we could select more the 3 different companions/ yr. We often take elderly friends to see their ailing siblings, and who are no longer able to travel solo.

SWA CC is a pretty good benefit, but use 'cash back' cards once I've qualified for Companion Pass.
by Wash.Invest
Mon Feb 05, 2024 3:28 pm
Forum: Personal Investments
Topic: How to invest cash at Schwab?
Replies: 76
Views: 9479

Re: How to invest cash at Schwab?

Wouldn't a Schwab customer invest cash the same way people invest cash at any other brokerage? How else does one buy securities if not with cash? As noted, Schwab does not have a HY 'settlement acct', so it is not like other brokerages that do. You must phyiscally trade in and out of the Schwab HY MM / treasury accts Yes, it's a pain, But I often initiate trades and later (within 24 hrs of execution) transfer my MM $$ into settlement fund. The problem is greater with pending buy and sell 'limit' orders. Especially for me (often traveling overseas or backcountry without access to email, phone ot internet)Thus my active trading accts are NOT at Schwab (Mosgt are at Fidelity) Where I have an automatic choice of high yield settlement accts / a...
by Wash.Invest
Sun Feb 04, 2024 12:45 pm
Forum: Personal Finance (Not Investing)
Topic: Side hustles for mid to late career folks
Replies: 112
Views: 16511

Re: Side hustles for mid to late career folks

Sorry to bump this older thread, ... I am seriously considering a side business too, but nothing like what some of you all do. ... I was going to start a thread about the advantages and pitfalls of running a side business like this and if anyone had any tips for starting a new business when one is mid-career (or at least middle aged). But that question ties in well here I think. Someone here mentioned being taxed 50%. Yikes! That would take a bite out of the dog cookie business. Although I would think I could write off some things too. But either way it would still be something I enjoy doing. Invest the time to clearly understand what this is gonna cost you... Time, Finances, Opportunity costs (Missed vacations / other opportunities) But, ...
by Wash.Invest
Mon Jan 29, 2024 3:03 pm
Forum: Personal Finance (Not Investing)
Topic: Help me navigate huge LTCG tax
Replies: 85
Views: 8460

Re: Help me navigate huge LTCG tax

I do section 179's, but you have your rules / mind / barriers already made up, so maybe it will work for the next 1000 readers searching Help me navigate huge LTCG tax

Doesn't erase, but goes a long way in opening up your options. and immediately reducing tax obligation.
https://www.nerdwallet.com/article/taxe ... -deduction

In 2023 (taxes filed in 2024), the maximum Section 179 deduction is $1,160,000

Of course my primary 'go-to' has always been my DAF for over 30 yrs of mitigating gains on appreciated shares. (Not for this poster, but maybe the next) - i.e. public forum to toss around ideas and share learnings.
by Wash.Invest
Mon Jan 29, 2024 1:12 am
Forum: Personal Finance (Not Investing)
Topic: Anyone wished they had worked a few more years before retiring?
Replies: 89
Views: 14727

Re: Anyone wished they had worked a few more years before retiring?

Wind down. Change your attitude. Work diligently, but not beyond requirements. (The joint will get by fine without you, so allow them to practice) Take as many vacations and days without pay as possible. (Practice retirement while enjoying benefits). Utilize company travel benefits (if you like to travel) Prepare for retirement by acquiring hobbies, supplies, and skills BEFORE departing employment. Put your future plans in place (while employed) Utilize all the benefits and advantages of your job. Enjoy it even more. Retire on your terms and at your ideal time. Don't continue working if it is imposing on your life. Time is drawing short. You've reached your financial independence. Staying on the job is your choice and consequence. (I lost 3...
by Wash.Invest
Mon Jan 29, 2024 12:20 am
Forum: Personal Finance (Not Investing)
Topic: Roth conversions and MAGI
Replies: 11
Views: 1315

Re: Roth conversions and MAGI

I frontload ~80% of conversions early in the year, or... since most are transferred as like-kind securities I will wait for a drop in asset valuation if it's within visibility.
(Dropping below 200DMA). Often March - June, seldom January. Definitely not this January! But... Sooner the better for Roth gains.

Run more estimates after Nov statements and fill up Roth to irmaa, or 12-15% actual aggregate tax rate.

I think many of use ran too aggressive this year, not expecting the jump in various cash / interest bearing accts. With 12 rental homes / accts in 3 states, and (7) LLCs + numerous banks, I'm still getting a few 'surprise' 1099s.
by Wash.Invest
Sun Jan 28, 2024 9:47 pm
Forum: Personal Investments
Topic: Our Plan To Sell Everything & Travel Full-Time - Plan & Portfolio Review Request
Replies: 65
Views: 11553

Re: Our Plan To Sell Everything & Travel Full-Time - Plan & Portfolio Review Request

The specific financials are quite your choice, but appears you have a workable plan. (Many BH are not on your wave length, and will see the potential difficulties and not likely to go out on that limb.) 1) I would not add LTC, unless you have a specific insight of need. It will add a financial cash flow burden, and you don't know you will be in the USA when you need it, and after traveling you might prefer private pay in Thailand or similar well equipped regions. It's typically 60-80% less expensive then the USA, so you can 'self-insure' for that unlikely need. (BTW, I have LTC since my early 40's, but I have a LOT of risk for LT needs in my family history) 2) I agree with your withdrawals, but would do so qtrly and usually by gleaning off ...
by Wash.Invest
Sun Jan 28, 2024 4:44 pm
Forum: Personal Investments
Topic: Our Plan To Sell Everything & Travel Full-Time - Plan & Portfolio Review Request
Replies: 65
Views: 11553

Re: Our Plan To Sell Everything & Travel Full-Time - Plan & Portfolio Review Request

Lesson learned. FTL was indeed meant to represent FLL/Ft. Lauderdale and SEA was meant to indicate Southeast Asia (my apologies). Fooled me (international wanderer / worker for 50+ yrs) spending much of my time in SE Asia. Spending long amounts of time far from friends, family, doctors and one’s own language, conveniences and cultural reference points is not for the faint of heart. Maybe take a two or three month trip first and see if it doesn’t put the idea of home in a different perspective. ... I lived overseas for many months when I was younger. It opened up my world and career options, many fond memories. There is a shift that occurs when things go from new, fun and exciting to a thorn and a long term mental adjustment to being other ...
by Wash.Invest
Sun Jan 28, 2024 4:20 pm
Forum: Personal Investments
Topic: Retirement Model for Partial Work
Replies: 25
Views: 2872

Re: Retirement Model for Partial Work

If I had a choice I would try this out as OP states in their first post (part time/partial etc). It’s all or nothing in tech (grrr :( ). At least in this country. We are into our last 5 years of planned full time work. After which I hope there is no way to dissect the calculations and not come up with 100% retirement success (financial success). ... Keep your eye on the light at the end of tunnel, but don't spend too long inside the tunnel, you need some light (frequently if possible) We were well below 70% chance of success when we pulled the plug, but... as with most bogleheads... we are not the norm, and willing to work to keep afloat and intent on our goals. I'm so grateful for being able to work evenings and nights while kids were sch...
by Wash.Invest
Fri Jan 26, 2024 12:38 pm
Forum: Personal Finance (Not Investing)
Topic: Selling house after 33 year; realtor distrust
Replies: 92
Views: 10495

Re: Selling house after 33 year; realtor distrust

You are hiring an employee so the job interview is no different. Be very diligent in your interview / selection of agent. (I always get the stats of agents who sell elite, comprable properties) especially their time on market and % of listing price and number of successful closings. I get this info from Board of Realtors / brokers, not from agents. ALWAYS have a 'walk clause' for non-performance. (and expect weekly activity reports, including marketing activities) Commission is very negotiable. You have a unique property, so buyers will be quite limited, but they will be there (through the correct connections) Do make sure property is updated for safety (unless it's a teardown) If so... there will be a salvage value for your unique interio...
by Wash.Invest
Fri Jan 26, 2024 12:24 pm
Forum: Personal Finance (Not Investing)
Topic: 2023 Taxes, How close were your estimates
Replies: 55
Views: 4535

Re: 2023 Taxes, How close were your estimates

very far off from initial estimate , but... fortunately knew this prior to EoY, so added a few 'fire extinguisher events' in Dec to offset total earnings (MAGI). Didn't count on the 5% returns on cash holdings :oops: Took advantage of some RBD's in early yr for Roth Conversions (a few too many) :greedy Got nailed by capped losses for investment props due to no earned income (for the first time since age 12) not able to do a tIRA (to lower MAGI) Dividends (typically inconsequential), added another $15k+ Eeking out IRMAA caps due to Roth Conversions (trusting for a 2-3% growth in 2025 cap) Lesson learned (save a few of those Roth conversions for early Dec implementation) Thank goodness for Safe Harbor (plenty under funded withholdings, but f...
by Wash.Invest
Thu Jan 25, 2024 6:46 am
Forum: Personal Finance (Not Investing)
Topic: Someone will inherit my Roth IRA - what happens?
Replies: 23
Views: 4088

Re: Someone will inherit my Roth IRA - what happens?

Jack FFR1846 wrote: Wed Jan 24, 2024 11:01 am If I were your heir, I'd cash the Roth and order a new Porsche 911 GT-3 for pickup in Leipzig, Germany. .... Only the sales tax on the Porsche when it's delivered in the US.
Tell your heir to deliver the Porsche to their Montana LLC, which also registers their airplane and yacht.

Why bother using a Roth to hold cash instruments? (Tax free growth, live off the earnings, until you must withdraw)
by Wash.Invest
Thu Jan 25, 2024 1:24 am
Forum: Personal Investments
Topic: Investing in a commercial NNN lease for a gas station
Replies: 7
Views: 1056

Re: Investing in a commercial NNN lease for a gas station

Gas station has too many risks (including potential soil contamination.... I.e Superfund :shock: )

Rental / storage, hotels, senior care homes, medical offices, national chain (I prefer tire and brake shops). Low chance of Internet erosion.

10% cap rate preferred (with adequate reserves). Commercial property can remain vacant for years.

Another lower effort RE investment is Land Lease. Tenants add all improvements. A farmer friend land leases to McDonald's, Burger King, and Subway (rural location at freeway interchange)
by Wash.Invest
Thu Jan 25, 2024 1:06 am
Forum: Personal Investments
Topic: Retirement Model for Partial Work
Replies: 25
Views: 2872

Re: Retirement Model for Partial Work

How flexible are you, and kids? I prefer blocks of time off, rather than a one day / week obligation. I would take international gigs that paid for my family to accompany, then take a few months on either side of work to travel the region. Our kid's first day of school was college at age 16 (free in our state, instead of HS). They survived, and excelled. Figure a set of annual fixed costs, then start with how to meet those costs with getting the most time off, and meeting family objectives. We keep separate living space in each of our 3 homes, so we can go to location with best weather, or events. And still rent home (or apt) out FT for all expenses. Since we have SWA companion passes, each paid passenger takes a free companion all year lon...
by Wash.Invest
Wed Jan 24, 2024 10:02 pm
Forum: Personal Finance (Not Investing)
Topic: Pets - how much would you spend at the end?
Replies: 127
Views: 20192

Re: Pets - how much would you spend at the end?

I was just wondering how any of y'all deal with the issue? And especially the money related costs. Depends on if you view pets like most of us view cattle or chickens ...or like one of your children. Spend your money on what you care about. Personally, I'm not sure i'd pay for a euthanasia bill, but I recognize there's a spectrum here and I'm pretty far down one side of it. If it was fixable, I'd probably be willing to spend hundreds, maybe a few thousands, but certainly not tens of thousands. Similar. Pet / working farm animal owner for over 50 yrs. They come, they go, and most are on the surface, 'invaluable', They earn their keep. but... there is a reasonable cap. And the many coyotes often cause me to evaluate that!!! The cougars and b...
by Wash.Invest
Wed Jan 24, 2024 9:38 pm
Forum: Personal Finance (Not Investing)
Topic: Most popular boglehead withdrawal strategy
Replies: 117
Views: 13145

Re: Most popular boglehead withdrawal strategy

OP, My personal approach uses an Amortization Based Withdrawal approach rather than the ones you mentioned. I believe it’s a much better fit for our Retirement Spending Needs (we are in the GoGo years and plan to spend more now rather than in other phases). Plus I am much more comfortable with a Mathematically driven answer ... Engineers unite... Me too, but 20 yrs retired and finally reaching FRA I've let most deferred grow, only pulling from the 'taxable' winners to rebalance. There is quite a lot of chaos to establish a fixed withdrawal strategy. Tax changes, needs for ACA qualification, Roth Rolls, Fixed asset repositioning, Gifting, immediate needs (that are a LOT more expensive today than 20 yrs ago). Basically, any 'planning' I did ...
by Wash.Invest
Wed Jan 24, 2024 9:19 pm
Forum: Personal Investments
Topic: Fidelity vs Vanguard for Taxable Accounts
Replies: 49
Views: 5747

Re: Fidelity vs Vanguard for Taxable Accounts

... Some states allow higher ages, but not sure what the brokerages do with this. Eight states (Florida, Virginia, Washington, Alaska, Ohio, Oregon, Pennsylvania and Tennessee) have their UTMA age of majority from 21 to 25. Wyoming' s range is the widest, spanning from 21 to 30. Good idea!!! :wink: Go for WY and relocate so kids can go to college for in-state rates!!! win:win (I always hire Mechanical Engineers from UofWY, if I can find any available grads) Undergraduate resident students block rate = $2,490 per semester https://www.uwyo.edu/fsbo/student-financial-services/tuition-and-fees.html On the UTMA... I'd keep it at Fidelity, and start their Roths and transfer their respective $$ into their Roths as Earned Income limits allows. FAF...
by Wash.Invest
Wed Jan 24, 2024 8:59 pm
Forum: Personal Finance (Not Investing)
Topic: Anyone intend on SS@70, now thinking 68 or 69?
Replies: 86
Views: 8372

Re: Anyone intend on SS@70, now thinking 68 or 69?

... You are combining two separate Social Security benefits. "Spousal" benefits are not the same as "Survivor" benefits. "Spousal" benefits have the cap you mention. However, the SURVIVOR can get much more. They get the same benefit as the recently-passed spouse had, and that can be much more than the "spousal benefits". RM Thx for that clarification. Back to the math behind our decision of FRA vs age 70... The 'Much More" benefit had we waited would be $660 / month (me only) But... Spousal benefit 'not able to be claimed' would have been $50k not claimed or invested (or recoverable) So if I die age 70+ one day, spouse gets $660 / month more, but already missed out on $50k + investment earnings,...
by Wash.Invest
Wed Jan 24, 2024 5:13 pm
Forum: Personal Finance (Not Investing)
Topic: Just got laid off
Replies: 120
Views: 16233

Re: Just got fired

"Insurance for my daughter and I ends at the end of the month." "and wife is still working making 70k" Will you be able to get on to your wife's insurance? We could, but the rate is $1300ish a month. If healthy, consider a HC cost sharing option. ~$300 / month. Btdt myself . HC cost sharing has worked great for 20+ years for families I know. Including monstrous ICU (brain surgery on kid) and Cancer treatments. As mentioned, get your credit options in line while still appearing employed. Apply for UI, and any retraining / referrals. (I got 2 yrs UI + free college, and reduced HC costs) Keep contacts alive (suppliers, vendors, similar job sources) Reinvent yourself, follow your passion. Read some books ("Die Broke&qu...
by Wash.Invest
Wed Jan 24, 2024 4:44 pm
Forum: Personal Investments
Topic: How much is owned real estate (primary/secondary homes) as a percent of your net worth?
Replies: 113
Views: 9023

Re: How much is owned real estate (primary/secondary homes) as a percent of your net worth?

Most Bogleheads don't count real estate values as part of their net worth. ... Real estate is part of net worth, it's not part of an investment portfolio. NW: net RE=30% IP: RE=20%, and makes up most of my Bond allocation, (now as a retiree, I'm selling investment RE and carrying back the paper) = preferable tax treatment on gains / depreciation recapture + a very healthy inflation adjusted cash flow (inflation adjusted rate adjustment on my personal notes). = Personally created I-bonds. +/-... Has it's own risks and rewards BTW.... Over 50 yr investment progress, RE has contributed about 30% of my investable NW. (High RE growth region, very diligent buyer of properties). If it's already listed FS on the public market, it's too late to buy...
by Wash.Invest
Wed Jan 24, 2024 4:23 pm
Forum: Personal Finance (Not Investing)
Topic: Anyone intend on SS@70, now thinking 68 or 69?
Replies: 86
Views: 8372

Re: Anyone intend on SS@70, now thinking 68 or 69?

Retired with no pension or HC at age 49.

Planned to delay SS until 70. Didn't need the income

But.... Non working spouse (ever) was leaving 1/2 my SS amount unclaimed.
FRA seemed to make the most sense, and been able to still do 100k Roth conversion annually within 12% actual tax. (Income tax free state as domicile).

Would have preferred my age 70 SS amount, but it didn't pencil, since survivor spousal benefit never exceeds FRA.

There's no secret sauce. Lost (3) friends this month (all under age 70). All unexpected / no diagnosed medical issues.
by Wash.Invest
Mon Jan 22, 2024 3:44 pm
Forum: Personal Investments
Topic: Early Retirement Plan - Age 38 w/over $2 million
Replies: 120
Views: 29279

Re: Early Retirement Plan - Age 38 w/over $2 million

You have a workable plan Go for it, BTDT myself - FIRE pre age 50 as an engineer for a mega corp, preceeded by a 1 yr sabbatical and a lot of other perks. I should have done it earlier, especially when kids were age 8-18, but we did a lot as a family during those years, including living and working internationally (Free travel for all, paid by company). We also did some home businesses, lots of adventures (not enough) and built (3) houses together as a family. The kids did a lot of the building and design work. Also had a farm, so that is plenty of learning and working together. Personally, I think staying home while kids are home, is a great early retirement / sabbatical / break from employment. You can always find something to go back to ...
by Wash.Invest
Sun Jan 21, 2024 6:01 am
Forum: Personal Finance (Not Investing)
Topic: Net Worth Averages in different professions
Replies: 91
Views: 11723

Re: Net Worth Averages in different professions

Pretty tough to 'average', as each individual has such different costs / spending // even earning potential and location dependent expenses. 10x current salary is a pretty common savings achievement, but so many gain their net worth apart from wages. Good thing for me, since I spent so many yrs making $1.50 / hr as wages. But working night shift provided 10% more ($1.65 = big bucks!) Working night shift also allowed me to have other jobs / investment activities, similar to most I worked with. As well as most firemen / pilots I know who work very few hours / month. With today's windfall bonus of selling primary residence and collecting $500k income tax free gains every 24 months... I can't imagine why anyone who can do that, even has a j-o-b...
by Wash.Invest
Sat Jan 20, 2024 11:20 pm
Forum: Personal Investments
Topic: What's the best way to invest $15k for kids (not 529)?
Replies: 31
Views: 5488

Re: What's the best way to invest $15k for kids (not 529)?

I was thinking about having the kids cleaning at a retail store but not sure a 6 year old kid can do cleaning job in California. The store owner is willing to help ... There is likely a requirement for a "work permit" for a 6 year old in California ... Thanks. The store owner said if there's a sign of troubles to his business, then he can't hire the kid. And I totally understand. Do you think if the kid has his own channel on Youtube, the income would be considered earned income? ... Not sure if cleaning is considered in the same category as baby sitting, lawn mowing, etc. and therefore not subject to minimum wage or any other lawful requirements. It's best to keep the work of a minor close at hand (self-employed, family, neighbo...
by Wash.Invest
Sat Jan 20, 2024 9:56 pm
Forum: Personal Finance (Not Investing)
Topic: No-state-income-tax states are not good for retirees.
Replies: 413
Views: 39643

Re: No-state-income-tax states are not good for retirees.

BTDT - lived in; Fair tax states, no income tax states, no sales tax states (Have not lived in AK yet, (No sales or income tax) I've always adjusted my living, earning, and spending to suit the location, But after retirement your latitude to manipulate tax burdens via income and spending 'shifting' decline. I chose to live in an income tax free state during my accumulation yrs. But my domicile state has radically changed in affordability, so I have diligently transferred and funded and aggressively invested in Roths for future tax free income. As well as accumulated acceptable residences in different states and locations I may use in the future (rented in the meantime). Just make your retirement relocation Spreadsheet very comprehensive to ...
by Wash.Invest
Sat Jan 20, 2024 4:25 pm
Forum: Personal Finance (Not Investing)
Topic: Nice home, nice neighborhood, unsavory neighbors – options?
Replies: 92
Views: 10643

Re: Nice home, nice neighborhood, unsavory neighbors – options?

Keep a low profile and keep the police and code enforcement involved. (don't make it too easy for neighbor to stay, but don't personally get engaged. See how reasonable and probable it is to buy the home (I always buy the surrounding homes / acreage when it has and opportunity to sell (NEVER through realtors!!!) I don't want these places to ever hit the open market. I want to be in the driver's seat of sealing the deal. I have to live with it (and the neighbors). Form an LLC and have 3rd party (attorney) close the deal ~$500 well spent. Hoping things improve (since you have a nice place, neighborhood. It's worth trying to protect. I have a running joke with tax assessor, that I am their best friend for bringing up community valuations, but ...
by Wash.Invest
Sat Jan 20, 2024 4:11 pm
Forum: Personal Finance (Not Investing)
Topic: Wisdom of owning house after retirement
Replies: 54
Views: 10486

Re: Wisdom of owning house after retirement

the plan... Live as long as possible in our home, but... I certainly have no problem renting the right place if needed. (including overseas). I do not NEED to OWN a home. BTDT way too many times. Of my current tenants, all but ONE are retirees (on pensions). Very happy to be renting our rural view homes on acreage. They are great renters... give them a $1000 Home Depot card and let them handle the places. (2500 miles away from our home) next steps; 1) Have a SNF all picked out and application ready should some unfortunate medical / accident happen (done before age 50, as per my experience with parents) 2) Always keep extra living qtrs in home or on-site for potential caregiver. (check, found that mandatory after doing 30+ yrs of eldercare) ...
by Wash.Invest
Fri Jan 19, 2024 1:16 pm
Forum: Personal Finance (Not Investing)
Topic: How to make FAFSA-conscious decisions?
Replies: 60
Views: 5278

Re: How to make FAFSA-conscious decisions?

Good points above... FAFSA can't be gamed, and it's very narrow benefit is not worth it. The only way to shelter family assets for FAFSA, is to buy and live and get your income on a working farm. 4 yrs out is too late for that option. Roths worked well for our kids FAFSA does not include. Nor did they include our kids owning their own homes. (They had built as homeschool projects). Kids need dough for college? 1) get a j-o-b in one of hundreds of companies that pay for college. 2) get that job in a company that is aligned with career / college major (have 4+ yrs experience (and pay) upon graduation 3) go international. Lots of colleges are free, even to USA students. Room and board is much cheaper (no dorms / food programs) you rent a board...
by Wash.Invest
Fri Jan 19, 2024 12:43 pm
Forum: Personal Investments
Topic: Selling rental property to max our retirements (good idea?)
Replies: 12
Views: 2019

Re: Selling rental property to max our retirements (good idea?)

You're correct in desiring more capital to be working for you (compounding / growth). I see most of that is equity in your own private residence. Since you are CA based. Do some very detailed research and planning for accurately projecting future equity growth of primary and rental props. (Which is where your equity lies today). It may be 10+% annual growth (if you bought correctly), and that will match a reinvestment into growth growth stocks, but cost you a lot of tax / income sheltering. So... Yours is not a simple or direct solution. You MUST correctly consider your total RE equity, and it's value to meeting LT retirement goals. Personally (I do better at RE investing than I do at Stocks) 1) consider Right sizing your primary residence ...
by Wash.Invest
Wed Jan 17, 2024 4:27 pm
Forum: Personal Finance (Not Investing)
Topic: [Decision] Leave my job or wait to be let go?
Replies: 75
Views: 7126

Re: [Decision] Leave my job or wait to be let go?

BTDT, (Good advice above) Good job, and good employers are not easy to replicate at age 50, but financially, you are fine to stay, or leave (permanently). You need clarity as to when it is right for you to leave. I strongly suggest you determine how and when to leave on your terms, and how to finish well (which can include leaving on your terms) Make a spreadsheet / list with +/- on each side, and also a LT objective list for 'What if I never work again". (Good to have at anytime due to health concerns.) Don't let your new boss overcome your performance or plan. They have their deliverables, understand them, keep communication very open and performance strong, and frequently ask new boss what you can do to help meet their business obje...
by Wash.Invest
Mon Jan 15, 2024 4:37 am
Forum: Personal Finance (Not Investing)
Topic: Why do we work?
Replies: 130
Views: 19032

Re: Why do we work?

No need to work a J-O-B, especially if you can build your own houses and get $500k tax free gains every 24 months. Some consider it a job to build a house, but I have always done it in my free time. I'm sure it's far less burdensome to write and sell an app and live off royalties.

I wish I had a dad to tell me. "Don't bother working and saving for a retirement that you may never live to enjoy. Just create an inflation adjusted income stream that will fund you for life". +++.
by Wash.Invest
Mon Jan 15, 2024 4:28 am
Forum: Personal Investments
Topic: Horrified by Schwab Platform -- Where to Next?
Replies: 94
Views: 15653

Re: Horrified by Schwab Platform -- Where to Next?

I've used Vanguard, Fidelity, and Schwab. Out of the three I like Fidelity's UI the most. Maybe open a account at Fidelity and see if you like it. That's me ^^^ I did create an excel pivot table to combine all my (12+) accts and spit out what I really want to see to accurately manage allocations. I will be getting rid of Schwab, mostly because of CS, UI, and inaccuracy issues. Probably place Schwab $ in Tastytrade, ($$$$ incentive) since they originated from TorS, which is where I was long before TD arrived and spoiled the party. Fidelity UI and CS better suits my tracking and evaluation needs. I'm only at Schwab for international travel card. I'll just transfer cash to that acct when traveling overseas. Everyone is making it hard to trave...
by Wash.Invest
Mon Jan 15, 2024 2:28 am
Forum: Personal Investments
Topic: Should I Pay down my 5.59% Commercial Building Loan
Replies: 15
Views: 2525

Re: Should I Pay down my 5.59% Commercial Building Loan

As a commercial property investor, I'm with Fisherman.

Don't pay it off, interest and fees are covered by your cash flows and depreciation. And thus advantageous to retain a loan on commercial property (that is cash flowing)

5.59 is a very good rate for commercial property, and it is costly to obtain (sunk costs). No need to also pay prepayment penalties.
by Wash.Invest
Mon Jan 15, 2024 2:12 am
Forum: Investing - Theory, News & General
Topic: Seeking Alpha
Replies: 26
Views: 4173

Re: Seeking Alpha

The authors on Seeking Alpha come from many different backgrounds and levels of expertise. There are certainly some very insightful contributors who seem adept at analyzing individual stocks. ... This ^^^ Seeking Alpha is a financial news consolidator. Any one author may be very good, or very bad. Know who you are getting information from, and what they are getting out of it. Since I don't desire to daily follow market movements and pressures, and world economic reports and direction. So...I subscribe to free weekly recaps from Fear and Greed (hosted by Seeking Alpha). I don't follow individual issues, but I do appreciate knowing market movements and forces from economic rigor and study. I don't have a TV or even Sirius radio. So I don't g...
by Wash.Invest
Thu Jan 11, 2024 8:29 pm
Forum: Personal Finance (Not Investing)
Topic: Should I buy land now or after I retire?
Replies: 43
Views: 7167

Re: Should I buy land now or after I retire?

I'm also curious to see, how the OP fared. The particular question is, how did the proposed 30-40 acre parcel of land, appreciate over the past dozen years? What were the carrying costs? How did investment in such land, compare to investment in stock/bond index funds? .... Should this person buy now, or wait until the finality of retirement? I have land and property investments in (3) desirable USA locations. (Have done this for 40+ yrs) High growth areas / desirable props can see 10-13% annual equity growth in land prices, but typically for bare land it is 3-6% (annual) Depends where in MS, but it is generally not a high property value growth area (for the 30- 40 acre parcels) - usually it will be rural / small town; and not in huge deman...
by Wash.Invest
Wed Jan 10, 2024 12:30 am
Forum: Personal Finance (Not Investing)
Topic: Healthcare retirement benefits before MRA
Replies: 9
Views: 1331

Re: Healthcare retirement benefits before MRA

It would be faster to just save up enough extra to cover $10K/yr or so for health insurance on ACA. or subsidized ACA very cheap to free depending on state. (and MAGI) Pre-age 65, this tool might be helpful: (assets don't exclude participants from subsidy, premium is based on income, not assets, manage your taxable cash flows to stay under subsidy cliff until medicare) https://www.kff.org/interactive/subsidy-calculator/ For other options...consider : Healthcare cost sharing (Not insurance) https://hsaforamerica.com/healthshare-plans/ https://www.chministries.org/ https://www.patientsbeyondborders.com/ PT job with HC. https://www.zippia.com/advice/part-time-jobs-with-health-insurance/ https://financebuzz.com/part-time-jobs-with-health-insur...
by Wash.Invest
Mon Jan 08, 2024 10:30 pm
Forum: Personal Investments
Topic: What's the best way to invest $15k for kids (not 529)?
Replies: 31
Views: 5488

Re: What's the best way to invest $15k for kids (not 529)?

... Thank you. I don't think the kids could apply for Financial aid because I'm not low income. Iirc, most schools require a FAFSA, even if you have no intention or need for financial aid. They glean a lot of data from FAFSA. (Like it or not). . Should I fill out the FAFSA if I don't want loans? While the Free Application for Federal Student Aid (FAFSA) may be commonly associated with loans, it offers a multitude of benefits beyond just borrowing. By filling out the FAFSA, you open doors to grants and scholarships, eligibility for institutional aid, and work-study opportunities. So, whether you're currently interested in loans or not, completing the FAFSA is a smart step in securing your educational future and ensuring you have options at ...
by Wash.Invest
Mon Jan 08, 2024 1:07 am
Forum: Personal Investments
Topic: What's the best way to invest $15k for kids (not 529)?
Replies: 31
Views: 5488

Re: What's the best way to invest $15k for kids (not 529)?

Set up the UTMA's, but get the kids into 'earned income ' status ASAP and match income onto their Roths. (This will be free from FAFSA applying toward expected 'contribution,')

Any earned income will do.
Ours sold eggs, produce, did cleaning and grounds maintenance on our LLC properties. Age 6+ is a good start for Roth. 12 - 16yrs growth and contributions should cover their college expenses at a state U.
by Wash.Invest
Sun Jan 07, 2024 7:25 pm
Forum: Personal Finance (Not Investing)
Topic: Co op [Purchase unit or continue renting?]
Replies: 10
Views: 1650

Re: Co op

9. (Implied with 7.)
How long might you get STUCK with this unit?

Real Estate is illiquid (you can get stuck forever)

A) Can you financially afford to be stuck?
B). Would you be satisfied (forever) being stuck?


I vote... Live as cheap and flexible as possible, until you are very certain you have a 10 + yr solution.
by Wash.Invest
Sun Jan 07, 2024 4:45 pm
Forum: Personal Finance (Not Investing)
Topic: Strategies for giving to charity and heirs
Replies: 33
Views: 2843

Re: Strategies for giving to charity and heirs

Strategies for giving to charity and heirs Caution.. different perspective... Our kids have been integral to our LR gifting purpose and strategies. (We transferred our investment wealth to DAF in our 30's, and have used it as a tax and perpetual gifting tool for 30+ yrs). . BTW. Started at community foundation, then Vanguard, now Fidelity (far more versatile and interactive). Our kids inheritance will be continuing our DAF or family foundation. They can roll into their own DAFs for perpetuity, or liquidate to our specified charities. It all goes to charity anyway (including home and many income properties). Kids knew 10 years before college that they were on their own, but we all participated as family to bolster the family assets (includi...
by Wash.Invest
Sun Jan 07, 2024 4:06 am
Forum: Personal Finance (Not Investing)
Topic: How did you find your dream job?
Replies: 79
Views: 25845

Re: How did you find your dream job?

Dream job arrived very unexpectedly....

At age 17 a parent got disabled, and I needed to step up and fund the family and help care for parent.

So... I became a night shift janitor (with 38 bathrooms to clean in a huge factory)
That work detail stunk. But I persevered. And got over 30 different positions, including free college 5x. Lots of inventions, a few US Patents, several international assignments (family joined). Paid travel, generous stock purchase program, very creative coworkers, benevolent company founders....

A great gig. Then paid to leave (3x) :beer

Now... Paid to stay home, or do whatever I desire. (Still lots of inventing)
, and international volunteering.
by Wash.Invest
Sun Jan 07, 2024 3:49 am
Forum: Personal Consumer Issues
Topic: retire in 50s what do you do
Replies: 64
Views: 12223

Re: retire in 50s what do you do

What to do? For each is different. Pursue your passion, or discover a new one. We love to design and build homes. And.... $500k tax free gains every 24 months can fund a lot of extra things during retirement. (Or you can give it away, that's fun too) Nothing boring about designing and building homes, especially with the limited craftsmen available and able to do all your custom elements. (Thus you end up doing them yourself, or babysitting/ training someone to do it. (Correctly)) Besides, sometimes it's fun to rent a bulldozer or excavator (digger) for a week, and see how much damage you can do! Find a very (cheap) difficult hillside property and get creative. We often collect building supplies from Habitat Restore or mis-ordered windows, c...
by Wash.Invest
Tue Dec 26, 2023 11:44 pm
Forum: Personal Investments
Topic: Did I save too much in tax-deferred?
Replies: 44
Views: 7790

Re: Did I save too much in tax-deferred?

I have most of my savings (2.4M) in tax-deferred accounts. I'm retired now at age 55 with an annual pension of $38K. Per the Fidelity representative, I should be trying to do Roth conversions up to the 24% tax bracket each year until RMDs. Do you agree? ... As a single filer, I would be loading up on Roth conversions up to the marginal tax rate you can digest, especially before Medicare IRMAA caps (age 65+) As with Livesoft, I do the max Roth roll up to 12 - 15% average tax rate. 100k + for MFJ. I do use my DAF (Donor Advised Fund) to digest charitable contributions as appropriate for current tax needs, and future perpetual gifting. My main incentive for Roth, is for future single filing status one of us will encounter sooner or later. For...
by Wash.Invest
Tue Dec 26, 2023 1:26 am
Forum: Personal Finance (Not Investing)
Topic: Renting Vs. Buying a Home in the Latter Decades of Life?
Replies: 22
Views: 4807

Re: Renting Vs. Buying a Home in the Latter Decades of Life?

Are you speaking of Co-housing or something different. We were really interested in the concept but couldn't find the climate we liked or a community in a not so favorite climate that would make it worthwhile. https://www.cohousing.org/ I was also very interested in the Village Model but couldn't find one in cities we were interested in; https://www.vtvnetwork.org/content.aspx?page_id=0&club_id=691012 Here are a few lists. http://seniorcoops.org/housing-list-2/ https://www.seniorliving.org/cooperative-housing/ http://seniorcoopliving.org/ But the majority I know of, I've found through referrals. There are also ROC (resident owned communities) in the form of Mobile home parks. This is a list (but not inclusive) https://rocusa.org/ There...