Search found 35 matches

by misterjohnny
Wed Jan 15, 2020 5:22 pm
Forum: Personal Finance (Not Investing)
Topic: Quick DAF limit question
Replies: 1
Views: 147

Quick DAF limit question

Helping my sister out with her tax planning as she moves to retirement. I suggested a Donor Advised Fund, but she has limited income this year. Do I have this right? W2 income 25k Husband 1099 income 15k Rental house net 20k Total 60k Capital Gains 30k AGI 90k Max amount to donor advised fund in cap...
by misterjohnny
Fri Jan 10, 2020 7:14 pm
Forum: Personal Finance (Not Investing)
Topic: Overfunded 529 account
Replies: 25
Views: 2436

Re: Overfunded 529 account

Is it still in stocks? If so, you might derisk since you have met your goal. I have moved a lot of it to bonds in the last year. Currently about 1/3 is in stocks. About 1/2 of the value is growth and 1/2 is deposits. I budgeted $50k per year for the last two, probably cost between 43k and 52k for n...
by misterjohnny
Fri Jan 10, 2020 2:09 pm
Forum: Personal Finance (Not Investing)
Topic: Overfunded 529 account
Replies: 25
Views: 2436

Re: Overfunded 529 account

You can to to the American University in Rome....eat pasta, drink wine, live in Rome....study half time...and burn up the 529. You can go back to school here and get a masters, PhD, etc. You can save for you grandkids college funds. This is really intriguing. Do they have programs that aren't degre...
by misterjohnny
Thu Jan 09, 2020 5:51 pm
Forum: Personal Finance (Not Investing)
Topic: Overfunded 529 account
Replies: 25
Views: 2436

Overfunded 529 account

Thanks to the tremendous run up of the stock market, the 529 accounts for my 3 children are heavily overfunded. I have one in college now, one HS Senior and one HS Sophomore. Based on out of state tuition for the last two, I will likely have $170,00 left over. I don't know if any of them will go to ...
by misterjohnny
Mon Dec 23, 2019 2:16 pm
Forum: Personal Finance (Not Investing)
Topic: Changes to 401(k) and IRAs, SECURE Act - It's signed
Replies: 292
Views: 22463

Re: Changes to 401(k) and IRAs, SECURE Act - It's signed

Spirit Rider wrote:
Sat Dec 21, 2019 12:13 pm
It does not effect any retirement account inherited on or before 12/31/2019.
How many people will be removed from life support in the next 8 days? :shock:
by misterjohnny
Fri Dec 06, 2019 6:47 pm
Forum: Personal Consumer Issues
Topic: Car buying - negotiating tips - need sage advice
Replies: 14
Views: 1606

Re: Car buying - negotiating tips - need sage advice

I recommend looking into Carvana. I wanted to get a full size pick up but gagged at the new car prices. Was able to get a 2017 with only 13,000 miles on it for $30,000. MSRP in 2017 was over 50,000. It is really easy to sort cars online and select just the options you want. You are effectively buyin...
by misterjohnny
Mon Nov 25, 2019 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement Friendly States
Replies: 397
Views: 26577

Re: Retirement Friendly States

I worked and retired in California. I chose in SoCal because: The weather is good. Activities are plentiful. Medical facilities are everywhere. The people I love are here. SoCal benefits > low taxes, so I am here also. Now if the people I love move to a different state, that changes the equation a ...
by misterjohnny
Mon Nov 25, 2019 5:39 pm
Forum: Personal Finance (Not Investing)
Topic: sold inherited house, high salary, pay off student loans now or invest?
Replies: 14
Views: 1080

Re: sold inherited house, high salary, pay off student loans now or invest?

When my wife and I got married, I also married her student loan debt. After maxing out tax advantaged accounts, we paid down the student loans as fast as possible. Besides, the "guaranteed after-tax return" of paying off student loans, you get the flexibility that comes with less debt. Want to chang...
by misterjohnny
Mon Nov 25, 2019 5:22 pm
Forum: Personal Investments
Topic: Questions about Fidelity Charitable DAF
Replies: 43
Views: 3225

Re: Questions about Fidelity Charitable DAF

For the charitable "walks", depending on who is running the event: Donate to the cause via DAF. Participate in the walk as an unregistered participant (guilt free, knowing you supported them through DAF). You don't get a t-shirt, but for me they end up in goodwill anyhow. The walks/runs I have parti...
by misterjohnny
Tue Nov 19, 2019 4:42 pm
Forum: Personal Investments
Topic: How to invest proceeds from a 10 Year ARM?
Replies: 52
Views: 3442

Re: How to invest proceeds from a 10 Year ARM?

I am in a similar situation, I just already have the loan. In Sept 2012 I refinanced my home to a lower rate, 2.875%, 15 year. Four months later I refinanced our vacation home to a similar rate and period. Today, as I am approaching retirement in 2020, I keep running the numbers for paying off the l...
by misterjohnny
Tue Nov 19, 2019 4:22 pm
Forum: Personal Consumer Issues
Topic: TV purchase -- 55" or 65" vs viewing distance
Replies: 51
Views: 4618

Re: TV purchase -- 55" or 65" vs viewing distance

Go Big. I've gone up to 65 and it is fantastic. About 8 feet from TV. Also, you might want to rethink the OLED. I went with it and it is a great picture. My picture source is Directv so all feeds are HD, with some Amazon streaming (HD and 4K).
by misterjohnny
Thu Nov 14, 2019 2:12 pm
Forum: Personal Finance (Not Investing)
Topic: Homebuying in Los Angeles - Advice Needed
Replies: 77
Views: 7883

Re: Homebuying in Los Angeles - Advice Needed

Yes, there are good K-5 schools in the LAUSD, especially the charter schools. Once you get to the middle schools, they drop off fast. Still some good specialized middle schools (STEM or Art focused). Good thing is, there is a ton of data online to compare schools. You don't just have to take the rea...
by misterjohnny
Thu Nov 14, 2019 1:56 pm
Forum: Personal Finance (Not Investing)
Topic: Bonus in Stock - sell or wait for LT CG
Replies: 5
Views: 494

Re: Bonus in Stock - sell or wait for LT CG

At my company I have received stock grants every year (after a three year vesting period). It is taxed as ordinary income, and shows up on my W2. The company sells some of the stock before i even get it, to pay payroll taxes on it and to do withholdings. I suspect the same will happen to you. If the...
by misterjohnny
Thu Nov 14, 2019 1:39 pm
Forum: Personal Investments
Topic: Winning the Game - Reducing Risk
Replies: 51
Views: 7912

Re: Winning the Game - Reducing Risk

If adjusting your AA immediately causes a taxable event, I would not do it in this manner. I would put all future savings into bonds and slowly get to your AA.
by misterjohnny
Wed Nov 13, 2019 5:49 pm
Forum: Personal Finance (Not Investing)
Topic: Fixing a bad inherited tIRA situation
Replies: 13
Views: 1495

Re: Fixing a bad inherited tIRA situation

Fall on you sword in a letter to the IRS. I am helping my MIL who is facing fees from a profit sharing plan that didn't file IRS forms. I expect the IRS to waive the fees. I was able to get penalties waived for a 501c3 that didn't file due to Director turnover.
by misterjohnny
Wed Nov 13, 2019 5:45 pm
Forum: Personal Finance (Not Investing)
Topic: Online MBA - Worth It?
Replies: 30
Views: 2316

Re: Online MBA - Worth It?

I have no idea how someone with an online MBA gets hired. I think the only way an online program makes sense is if it is a pre-req for a promotion with your current employer. 2 of my 4 managers are currently doing part-time MBAs (1 executive and 1 online), both partially subsidized by the company a...
by misterjohnny
Tue Nov 12, 2019 8:16 pm
Forum: Personal Finance (Not Investing)
Topic: Homebuying in Los Angeles - Advice Needed
Replies: 77
Views: 7883

Re: Homebuying in Los Angeles - Advice Needed

LA Native here for 54 years. The LA real estate market is quite diverse. Pasadena market is different than the Westside, and much different than the San Fernando Valley. I live in the South Bay area and it is a great place to raise a family. Schools that are not part of LA Unified School District. S...
by misterjohnny
Tue Oct 22, 2019 4:56 pm
Forum: Personal Finance (Not Investing)
Topic: Deferred Income after "retirement"
Replies: 4
Views: 616

Re: Deferred Income after "retirement"

Thanks for the bad news. :(
I appreciate the help.
by misterjohnny
Tue Oct 22, 2019 4:18 pm
Forum: Personal Finance (Not Investing)
Topic: Deferred Income after "retirement"
Replies: 4
Views: 616

Deferred Income after "retirement"

My company has a deferred income plan where we can put up to 30% of our pay and bonus into company stock (with a 20% company match) and defer the income. I do that regularly to get the 20% free money, and hope the stock doesn't go down 20% before I can unload it. I am retiring next April, and have d...
by misterjohnny
Thu Oct 17, 2019 6:07 pm
Forum: Personal Finance (Not Investing)
Topic: vacation home
Replies: 21
Views: 3747

Re: vacation home

The WSJ had an article recently (within the last month) on the dilemmas of generational homes (sharing, upkeep, taxes) and gave examples of what different families did to solve. I would recommend reading it, worth a trial subscription to WSJ.
by misterjohnny
Tue Oct 15, 2019 4:52 pm
Forum: Personal Investments
Topic: Taxable Account Strategy
Replies: 16
Views: 2397

Re: Taxable Account Strategy

Whatever you decide to invest in, it doesn't matter what is in which account. These are only two accounts in your mind. To the tax guy they are all one big account. When it is time to sell stocks/bonds/CDs/etc it doesn't matter which account they are in. You are just separating into two accounts for...
by misterjohnny
Fri Oct 11, 2019 5:56 pm
Forum: Personal Finance (Not Investing)
Topic: Life Insurance Policy
Replies: 19
Views: 1656

Re: Life Insurance Policy

I would recommend two term policies, one for 25 years and one for 15 years. In 15 years you will have built up assets and will have less need for insurance. Your home might be paid off or close to it. Your child's 529 account will be fully funded. If times change you can always buy another 15 year p...
by misterjohnny
Wed Oct 09, 2019 5:22 pm
Forum: Personal Finance (Not Investing)
Topic: Question for those who have used will prep software
Replies: 11
Views: 1511

Re: Question for those who have used will prep software

+1 for will prep software in simple situations. First wife, young kids, small estate. Don't spend the money on a lawyer - yet. Since you are a bogglehead, you will have more complicated estate later (more assets, don't want it all to go to the kids to spoil them) when you will need a lawyer. In six ...
by misterjohnny
Tue Oct 08, 2019 6:22 pm
Forum: Personal Finance (Not Investing)
Topic: Question for those who have used will prep software
Replies: 11
Views: 1511

Re: Question for those who have used will prep software

My wife and I are planning to move to another state w/in the next couple of years. If we get a will done by an attorney in our state will we have to start from scratch with another attorney in the new state? Start from scratch? No, but you will want a lawyer from the new state to look over your cur...
by misterjohnny
Tue Oct 01, 2019 5:42 pm
Forum: Personal Finance (Not Investing)
Topic: Getting ready to move to a better school area
Replies: 11
Views: 835

Re: Getting ready to move to a better school area

Depending on the private school, the cost may be a wash. Private schools can run 20,000 and up (less if you go with a religious based school). 750,000 additional debt for the house would result in interest of $26,250 at 3.5%. The decision to move should be more than just school, but neighborhood, co...
by misterjohnny
Fri Sep 27, 2019 1:00 pm
Forum: Personal Investments
Topic: Portfolio review for a young investor
Replies: 14
Views: 1479

Re: Portfolio review for a young investor

I'll chime in on the CA real estate market, as I've lived in the LA area my whole life (54 years). Markets are very local. Not only is LA different than SF, Santa Clarita is different than Riverside and Long Beach. If you want to buy a house, keep about $100k in a safe place for the inevitable housi...
by misterjohnny
Wed Sep 25, 2019 2:21 pm
Forum: Personal Investments
Topic: Advice, for recently "discovered" stock grants (RSU's?)
Replies: 18
Views: 1070

Re: Advice, for recently "discovered" stock grants (RSU's?)

Another vote for selling when they vest. I received RSUs since about 2008 and in 2015 the company was sold at a very nice premium. Did I regret selling those shares? Nope. I still had 3 years of RSUs (3 year vesting schedule) when the transaction was announced and those shares appreciated very nicel...
by misterjohnny
Thu Sep 12, 2019 3:48 pm
Forum: Personal Investments
Topic: ESPP - Tax Loss Harvest Question
Replies: 4
Views: 345

Re: ESPP - Tax Loss Harvest Question

Selling and buying the same security would result in a wash sale, which would eliminate your ability to deduct the loss on your taxes. You would have to refrain from buying more shares for 30 days
by misterjohnny
Tue Aug 27, 2019 11:42 am
Forum: Personal Investments
Topic: Two questions in one RE: Pension & Muni bonds
Replies: 14
Views: 1252

Re: Two questions in one RE: Pension & Muni bonds

When my father retired, he could take his pension in many different ways, including a lower amount that had a provision to continue to pay my mom if he should die first. After consulting his tax guy and running some numbers, he took the pension based on his lifetime only but bought a term life polic...
by misterjohnny
Mon Aug 26, 2019 6:08 pm
Forum: Personal Finance (Not Investing)
Topic: mortgage question
Replies: 15
Views: 1617

Re: mortgage question

Given that you are probably not going to itemize deductions on your taxes, I would look to minimize the borrowing as much as possible. But I wouldn't want to sell stocks that have a capital gain to do it. Maybe sell your bond funds to lower your borrowing amount and get yourself into a 15 year loan ...
by misterjohnny
Thu Aug 22, 2019 1:04 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement benefit Choice: Rule of 85 vs Age 65
Replies: 22
Views: 1490

Re: Retirement benefit Choice: Rule of 85 vs Age 65

I am in a similar position. I am eligible for a pension at age 55 (next year). I could continue working at the company or I could start a second career someplace else. The defining factor for me is "do I enjoy what I am doing at work, or am I doing it for the paycheck?" 5 years ago I enjoyed my work...
by misterjohnny
Thu Aug 22, 2019 12:22 pm
Forum: Personal Investments
Topic: Portfolio Review request
Replies: 9
Views: 1419

Re: Portfolio Review request

I would definitely reduce the amount of cash you have, first by paying off the student loans. With both of you having good paying jobs, you don't need as much of a Emergency Fund because the odds of both of you being out of work at the same time is slim. Plus you could always tap your inherited IRA ...
by misterjohnny
Fri Aug 09, 2019 1:31 pm
Forum: Personal Investments
Topic: Is my 529 glide path too aggressive?
Replies: 20
Views: 1779

Re: Is my 529 glide path too aggressive?

I've got a daughter starting her 3rd year, son a HS Senior, daughter a HS Sophomore. I don't like the age based funds because (in CA) they automatically move you to the next age every year. I want to be in control of my rebalancing. With a long time horizon (ages 0-9 or so) I would be probably 70-30...
by misterjohnny
Fri Aug 09, 2019 12:12 pm
Forum: Personal Investments
Topic: Analyze my portfolio
Replies: 5
Views: 653

Re: Analyze my portfolio

yes, my pension really is 80k/mo for 5 years. I could take it over my lifetime but it is a non qualified pension (too many high earners) so it is not insured and can't be rolled into an IRA. Don't want to take the risk of the company going bust over the next 25-30 years. Every retiree I've talked to...
by misterjohnny
Thu Aug 08, 2019 6:20 pm
Forum: Personal Investments
Topic: Analyze my portfolio
Replies: 5
Views: 653

Analyze my portfolio

My wife and I are 54 years old with three kids ages 15,18,20. We have been blessed with good careers and incomes. I was reading a blog post (humbledollar) that suggested getting a "second opinion" from Bogleheads forum, so here I am. I am planning on retiring in 9 months, when I will be eligible for...