Search found 48 matches

by HeelaMonster
Mon Sep 16, 2019 1:13 pm
Forum: Personal Investments
Topic: Should I change i-bonds -> stocks?
Replies: 20
Views: 2005

Re: Should I change i-bonds -> stocks?

https://i.imgur.com/QMAI0HF.jpg These are the interest rates I have Can someone please explain where the 2.83% comes from, for April 2019? When I look at the rate table for I-bonds at Treasury Direct, all I see is 1.9% for bonds purchased in 2019. https://www.treasurydirect.gov/indiv/research/indep...
by HeelaMonster
Mon Sep 16, 2019 12:36 pm
Forum: Personal Investments
Topic: Selling Rental Properties. What to do with proceeds? 3 different scenarios
Replies: 17
Views: 1535

Re: Selling Rental Properties. What to do with proceeds? 3 different scenarios

My basic understanding of a DST is that it is a way for passive real estate investors to do a 1031 exchange. Essentially you are buying into a trust that owns, say a collection of commercial real estate etc. but you are allowed to use a 1031 exchange to do it. Some of the limitations I’ve heard are...
by HeelaMonster
Sun Sep 08, 2019 6:39 pm
Forum: Personal Finance (Not Investing)
Topic: Improving the TSP [for current participants]
Replies: 352
Views: 54309

Re: Improving the TSP [for current participants]

A Big Plus to the G fund is that it basically pays Medium term Bond rates like Treasuries, with no risk of "Technical Loss", and adjusts rates monthly, unlike Bond Funds where one can actually "Lose Money" per se. I may move funds into my Vanguard account, however, I see no reason to do so as of ye...
by HeelaMonster
Sun Sep 08, 2019 4:19 pm
Forum: Personal Finance (Not Investing)
Topic: Improving the TSP [for current participants]
Replies: 352
Views: 54309

Re: Improving the TSP [for current participants]

Could someone speak a little more to this specific point... why the distinction between non-G fund and G fund holdings? Is the issue that G fund assets are harder to move, have more restrictions, etc.... or simply that you want to keep some money in G fund because you like it? The latter (people wa...
by HeelaMonster
Sun Sep 08, 2019 12:37 pm
Forum: Personal Finance (Not Investing)
Topic: Advice on selling real estate (Family Property)
Replies: 19
Views: 1152

Re: Advice on selling real estate (Family Property)

I have seen similar situations in our own family, and they are seldom easy, but I can only echo what others have already said: 1. We all need to separate emotions from financial decisions. 2. Be clear and transparent in communicating with other concerned parties, so they know exactly what is happeni...
by HeelaMonster
Sun Sep 08, 2019 12:24 pm
Forum: Personal Finance (Not Investing)
Topic: Improving the TSP [for current participants]
Replies: 352
Views: 54309

Re: Improving the TSP [for current participants]

So much easier to transfer out non-G fund assets to Fido, Schwab, Vanguard, etc and trim TSP involvement. This, plus the inability to make in-plan Roth conversions, plus offers by several low cost brokerage firms to pay me thousands of dollars to move funds to them are the reasons why I’ll move all...
by HeelaMonster
Tue Sep 03, 2019 4:05 pm
Forum: Personal Finance (Not Investing)
Topic: Do you consider your house as part of your bond portfolio?
Replies: 52
Views: 2275

Re: Do you consider your house as part of your bond portfolio?

runner3081 wrote:
Tue Sep 03, 2019 3:57 pm
The only thing it counts in, is net worth - as a non-liquid asset. For that, we have a fairly low value pegged.
Ditto.
by HeelaMonster
Fri Aug 30, 2019 1:14 pm
Forum: Personal Finance (Not Investing)
Topic: Should I do backdoor roth
Replies: 7
Views: 409

Re: Should I do backdoor roth

As others have noted, if your income allows and you have already maxed out contributions (as you said), then you have used up your IRA allowance for the year. Put another way, you already came in through the "front door," so there is no need (and no more room) to come through the back door. I suppos...
by HeelaMonster
Wed Aug 28, 2019 1:04 pm
Forum: Personal Investments
Topic: Roth Conversions into next tax bracket
Replies: 13
Views: 945

Re: Roth Conversions into next tax bracket

retiredjg wrote:
Wed Aug 28, 2019 1:02 pm
The two year look back re-occurs every year.
I assumed it had to be that way, but thanks for confirming!
by HeelaMonster
Wed Aug 28, 2019 12:49 pm
Forum: Personal Investments
Topic: Roth Conversions into next tax bracket
Replies: 13
Views: 945

Re: Roth Conversions into next tax bracket

Am I correct that IRMAA impact is calculated on a rolling basis, always looking two years behind? That is, age 65 looks back at ages 63-64... age 66 looks back at 64-65... age 67 looks back at 65-66... and so on. More precisely: SSA determines if you owe an IRMAA based on the income you reported on...
by HeelaMonster
Wed Aug 28, 2019 10:22 am
Forum: Personal Investments
Topic: Roth Conversions into next tax bracket
Replies: 13
Views: 945

Re: Roth Conversions into next tax bracket

Having an IRMAA impact for a short period of years does not mean that conversions don’t make sense. It’s all about the tax math across your full retirement. Cheers Am I correct that IRMAA impact is calculated on a rolling basis, always looking two years behind? That is, age 65 looks back at ages 63...
by HeelaMonster
Mon Aug 26, 2019 1:38 pm
Forum: Personal Investments
Topic: Retired: Don't want to outlive my funds
Replies: 65
Views: 8109

Re: Retired: Don't want to outlive my funds

Now we get down to what to do with the 1 million 401k money. I am thinking of putting it in CD's. Please don't cringe. Ok, so it's only 2%, but it is SAFE and 2% of a million dollars isn't chump change. However, the RMD is going to chew up most of that. This is the only part I didn't follow, as it ...
by HeelaMonster
Mon Aug 26, 2019 1:20 pm
Forum: Personal Investments
Topic: Capital Gain Taxes and withdrawals
Replies: 12
Views: 1057

Re: Capital Gain Taxes and withdrawals

Question, doesn’t a fund keep making distributions on the same dates so one would always be receiving distributions while waiting for the previous distribution to be long term (more than a year)? Yes, but you don't need to reinvest the distribution. And if you buy shares with a distribution and imm...
by HeelaMonster
Mon Aug 26, 2019 9:45 am
Forum: Investing - Theory, News & General
Topic: Retirement Expenses Rule of Thumb
Replies: 51
Views: 4093

Re: Retirement Expenses Rule of Thumb

The only rule of thumb I've heard is that you want your savings+SS to replace around 50, 60, 70 or even 80% of your pre-retirement income. The only problem with that is that I currently save a significant chunk of my post-tax income due to living well below means (like many other BHs I'm sure). So ...
by HeelaMonster
Sat Aug 24, 2019 3:37 pm
Forum: Personal Investments
Topic: Using TSP versus non-government funds in retirement
Replies: 29
Views: 2221

Re: Using TSP versus non-government funds in retirement

I didn't think the original poster was talking about converting bits and pieces. I'm not talking about doing conversions in bits a pieces either. There is no need to go "through" a tIRA to get to Roth IRA although a lot of people think it must be done that way. That was my point. In fact, if one ne...
by HeelaMonster
Sat Aug 24, 2019 3:21 pm
Forum: Personal Investments
Topic: Capital Gain Taxes and withdrawals
Replies: 12
Views: 1057

Re: Capital Gain Taxes and withdrawals

Related question that doesn't warrant its own thread. I recently switched off reinvestment of dividends and capital gains on an old mutual fund, which I have held for many years, and would eventually like to sell (in its entirety). The fund last made a distribution in December 2018. Am I correct th...
by HeelaMonster
Sat Aug 24, 2019 3:18 pm
Forum: Personal Investments
Topic: Asset Allocation Going Into Retirement
Replies: 13
Views: 1647

Re: Asset Allocation Going Into Retirement

SS for me at 67 will be $2,956 month or $3,710 at 70. SS for hubs at 67 will be about $2,500 month or $3,300 at 70. Perhaps you've already done this, and if so, great. If not, be aware that the payment numbers SSA gives you on those annual statements with estimated benefits are based on the assumpt...
by HeelaMonster
Sat Aug 24, 2019 2:58 pm
Forum: Personal Investments
Topic: Sudden infusion of cash “problems”
Replies: 26
Views: 2352

Re: Sudden infusion of cash “problems”

sorry, duplicate post
by HeelaMonster
Sat Aug 24, 2019 2:56 pm
Forum: Personal Investments
Topic: Sudden infusion of cash “problems”
Replies: 26
Views: 2352

Re: Sudden infusion of cash “problems”

7) I can’t figure out if I qualify or if I have any ability to do a Backdoor Roth or a mega Backdoor. I’ve read extensively about both. It seems like I can do a mega because my employer doesn’t let me do it add more pretax. The Backdoor I can’t do cause I don’t really have a traditional IRA. Can I ...
by HeelaMonster
Sat Aug 24, 2019 2:29 pm
Forum: Personal Investments
Topic: Capital Gain Taxes and withdrawals
Replies: 12
Views: 1057

Re: Capital Gain Taxes and withdrawals

Investments held in taxable accounts may distribute dividends and capital gains distributions. These are taxable even if you have not sold any shares. They are taxable whether they are reinvested or taken in cash. As others have posted, distributions that are reinvested will increase the cost basis...
by HeelaMonster
Sat Aug 24, 2019 2:13 pm
Forum: Personal Investments
Topic: Vtsax calculation
Replies: 13
Views: 1190

Re: Vtsax calculation

I invested $25,000 in VTSAX in 2003 at 19.70 per share. That investment grew to $92,081 as of yesterday's close, but I am trying to determine if this amount accounts for the reinvested dividends? And if not how would I figure out how much those dividends amounted to. Thanks for any and all help. A ...
by HeelaMonster
Sat Aug 24, 2019 11:44 am
Forum: Personal Investments
Topic: Suggestions From TIAA and Checkup
Replies: 39
Views: 2727

Re: Suggestions From TIAA and Checkup

I do not think you need to worry about this now. You are already in the 22% bracket and single. And you plan to retire at 60. So you will have more than a decade of using your income for your expenses, possibly doing Roth conversions, etc. This is something to address at the time of retirement, IMO...
by HeelaMonster
Sat Aug 24, 2019 10:13 am
Forum: Personal Investments
Topic: Suggestions From TIAA and Checkup
Replies: 39
Views: 2727

Re: Suggestions From TIAA and Checkup

Glad to hear your train trip was fun! My daughter and I have taken some fun trips together, now that she is an adult (but yes, it's just as well I didn't have to guide her through the teen years on my own). A lot of respondents have suggested that I will be in trouble at age 70.5 with Required Minim...
by HeelaMonster
Fri Aug 23, 2019 9:01 am
Forum: Personal Investments
Topic: Suggestions From TIAA and Checkup
Replies: 39
Views: 2727

Re: Suggestions From TIAA and Checkup

OP, I share some things in common with you and your daughter. I was a professor for 30 years, with TIAA/CREF for my tax deferred accounts, and am now on the cusp of retirement. I also lost a parent as I was entering high school, and appreciate the strength my mother showed in solo-parenting; I'd lik...
by HeelaMonster
Tue Aug 20, 2019 9:50 pm
Forum: Personal Investments
Topic: Using TSP versus non-government funds in retirement
Replies: 29
Views: 2221

Re: Using TSP versus non-government funds in retirement

With the changes that are effective on 9/15, you will be able to do Roth conversions freely in retirement, but only to Roth IRAs, not to the Roth TSP. I have been looking through the informational materials they sent to TSP participants, but can't find this change described. It would be very welcom...
by HeelaMonster
Tue Aug 20, 2019 9:32 pm
Forum: Personal Investments
Topic: Using TSP versus non-government funds in retirement
Replies: 29
Views: 2221

Re: Using TSP versus non-government funds in retirement

With the changes that are effective on 9/15, you will be able to do Roth conversions freely in retirement, but only to Roth IRAs, not to the Roth TSP. /quote] I have been looking through the informational materials they sent to TSP participants, but can't find this change described. It would be ver...
by HeelaMonster
Tue Aug 20, 2019 9:42 am
Forum: Personal Investments
Topic: Help getting out from under Northwestern and onto my own
Replies: 22
Views: 1725

Re: Help getting out from under Northwestern and onto my own

First and foremost, you should feel good about your situation! My kids are your age, and I only wish they were as organized and forward-looking as you (in terms of personal finance). Time and money are both on your side, and the attention you are giving this now will pay off dividends (no pun intend...
by HeelaMonster
Mon Aug 19, 2019 8:53 am
Forum: Personal Investments
Topic: Transfering of Lincoln Investment retirement account to Vanguard
Replies: 10
Views: 833

Re: Transfering of Lincoln Investment retirement account to Vanguard

I was also with Lincoln for many years, because that was what my employer offered for retirement contributions. It took me awhile (too long) to get around to it, after leaving that employer, but one of the best moves I ever made was to consolidate Lincoln (and other random accounts) into Vanguard. A...
by HeelaMonster
Fri Aug 16, 2019 6:43 pm
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Re: Paying current taxes vs continued high expenses

First, let me return the favor by sharing something I learned (probably known to most of you, but I have heard from some who are following this thread, dealing with similar situations). I started to reconstruct the cost basis on these 30-year old funds by going through the end-of-year statements, w...
by HeelaMonster
Fri Aug 16, 2019 11:01 am
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Re: Paying current taxes vs continued high expenses

One more update, with one more (hopefully last) question... First, let me return the favor by sharing something I learned (probably known to most of you, but I have heard from some who are following this thread, dealing with similar situations). I started to reconstruct the cost basis on these 30-ye...
by HeelaMonster
Thu Aug 15, 2019 8:03 am
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Re: Paying current taxes vs continued high expenses

Correct. The broker should provide a 1099-B with separate lines for each fund for 1) short-term, 2) long-term with basis provided to IRS, 3) long-term, basis not provided IRS. You will enter the basis for 3. If 1 or 2 is incorrect, you will correct it. Excellent. Great to have all this confirmed, b...
by HeelaMonster
Wed Aug 14, 2019 9:31 pm
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Re: Paying current taxes vs continued high expenses

Thanks, grabiner! Let me make sure I understand this specific point.... If you sell your entire balance, you don't need to set your cost basis, as specific identification and the IRS default of FIFO will give the same capital gains. I do intend to sell the entire balance. But presumably I still need...
by HeelaMonster
Wed Aug 14, 2019 8:30 pm
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Re: Paying current taxes vs continued high expenses

OP here, with an update. First, thanks very much to all who commented... this has been extremely helpful! Second, those who guessed that I might not owe as much in taxes as expected were spot on. I spent the last couple nights with my paper files on each of these old high-cost funds, and there is ve...
by HeelaMonster
Tue Aug 13, 2019 4:31 pm
Forum: Personal Investments
Topic: Any reason not to max out three plans?
Replies: 46
Views: 3083

Re: Any reason not to max out three plans?

One thing you do want to do is to start a Roth IRA for each of you now if you don't have one already. Even a small contribution will get the clock started. You want His and Her Roth IRAs to already be 5 years old when you hit 59.5, even if there is only a few dollars in there. It just makes things ...
by HeelaMonster
Tue Aug 13, 2019 3:36 pm
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Re: Paying current taxes vs continued high expenses

I realize that this gets into "the nightmare of calculating cost basis," but that 30+ years of unrealized gains may be much less than you think, due to large capital gains distributions over the years. (Yes, the CGD were reinvested. But that amount gets added to your cost basis.) Randomly, I chose ...
by HeelaMonster
Tue Aug 13, 2019 3:21 pm
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Re: Paying current taxes vs continued high expenses

Your capital gains tax rate is only 15% though - so whats the big deal ? (assuming married filing jointly and your current combined income is not over 200k plus the 200k gains) ? https://www.nerdwallet.com/blog/taxes/capital-gains-tax-rates/ And if you are currently moving IRA to Roth because you a...
by HeelaMonster
Tue Aug 13, 2019 2:54 pm
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Re: Paying current taxes vs continued high expenses

How significant is the nightmare of calculating basis? Have you checked to make sure that it is not available to you by request? And do you know that you have large capital gains? The active management fund that I started with 20 years ago is worth 6 times the original investment. But I could actua...
by HeelaMonster
Tue Aug 13, 2019 2:43 pm
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Re: Paying current taxes vs continued high expenses

Thanks for responses thus far. As noted, I am switching off reinvestment, so that's in the bag. But, as also noted, we could really use that space to the top of 15% (or 22%) bracket to convert pre-tax accounts, or we're going to get hammered by RMDs. So we have competing uses for that window of oppo...
by HeelaMonster
Tue Aug 13, 2019 2:22 pm
Forum: Personal Investments
Topic: Paying current taxes vs continued high expenses
Replies: 31
Views: 1680

Paying current taxes vs continued high expenses

Buried within my request for a general portfolio review https://www.bogleheads.org/forum/viewtopic.php?f=1&t=287910 was an isolated scenario on which I have a very specific question. Would greatly appreciate your thoughts, so will pull it out here to focus attention. Long before we stumbled onto Van...
by HeelaMonster
Tue Aug 13, 2019 10:35 am
Forum: Personal Investments
Topic: Can having wealthy parents be a justification for a more aggressive investment strategy?
Replies: 97
Views: 7243

Re: Can having wealthy parents be a justification for a more aggressive investment strategy?

Thanks for the warm welcome! That 45-50 range is about what I had in mind but for me that's only backed up by "yeah it feels right". My folks are in their mid-60s and their net worth is approx. $50 million. Gross income is approx. $2.5 million and they live on about $120-150k/yr. I have an advanced...
by HeelaMonster
Tue Aug 13, 2019 9:13 am
Forum: Personal Investments
Topic: Any reason not to max out three plans?
Replies: 46
Views: 3083

Re: Any reason not to max out three plans?

We also found it difficult in our 40's to predict what expenses would even look like in our 50's, 60's and beyond for retirement. It's not really until the kids are out of the house and out of college working on their own that you settle into your known newly adjusted household cashflow. Example, w...
by HeelaMonster
Mon Aug 12, 2019 10:02 am
Forum: Personal Investments
Topic: Any reason not to max out three plans?
Replies: 46
Views: 3083

Re: Any reason not to max out three plans?

Many people will tell you to do it all. And that is what I used to think as well. I no longer think it is automatically a good idea to put that much into tax-deferred accounts. Why the change of mind? I started noticing people who said they had too much in tax-deferred accounts. Many had done just ...
by HeelaMonster
Mon Aug 12, 2019 9:41 am
Forum: Personal Investments
Topic: Portfolio Review Entering Retirement
Replies: 12
Views: 1391

Re: Portfolio Review Entering Retirement

Thanks for your thoughts! If 15% of your portfolio equals about 8 years of your expenses, then your expenses are about 2% of your savings. Unless you are simply trying to continue to accumulate a large inheritance for your heirs, you might consider increasing your spending to about 3% of your accumu...
by HeelaMonster
Sun Aug 11, 2019 3:58 pm
Forum: Personal Investments
Topic: Portfolio Review Entering Retirement
Replies: 12
Views: 1391

Re: Portfolio Review Entering Retirement

There is lots of missing information in your post. What do you expect your retirment expenses to be? Will you get any sort of pension? If so what are the details. How much Social Security do you expect to get at different ages? See this web site for a suggested claiming strategy. https://opensocial...
by HeelaMonster
Sun Aug 11, 2019 2:25 pm
Forum: Personal Investments
Topic: Portfolio Review Entering Retirement
Replies: 12
Views: 1391

Re: Portfolio Review Entering Retirement

Thanks for clarification. No, they are not in one brokerage account... separate accounts with each company. While consolidating might help bookkeeping somewhat, my bigger concern was high expense ratios on the non-Vanguard funds.. which presumably would not be affected by moving under one account? ...
by HeelaMonster
Sun Aug 11, 2019 2:09 pm
Forum: Personal Investments
Topic: Portfolio Review Entering Retirement
Replies: 12
Views: 1391

Re: Portfolio Review Entering Retirement

Is everything in Taxable (aside from the I-bonds) in one Taxable brokerage account or in more than one account? I was just suggesting if you have more than one taxable account (aside from I-bonds) to consider consolidating into one account for simplicity. Thanks for clarification. No, they are not ...
by HeelaMonster
Sun Aug 11, 2019 1:55 pm
Forum: Personal Investments
Topic: Portfolio Review Entering Retirement
Replies: 12
Views: 1391

Re: Portfolio Review Entering Retirement

Taxable accounts- - It isn’t clear how many Taxable accounts you have (aside from i bonds). Is further simplification by consolidating accounts possible/desirable? Thanks for your reply, and sorry if I wasn't clear. I just inserted spaces to make it easier to see some subgroups. Everything under th...
by HeelaMonster
Sun Aug 11, 2019 10:50 am
Forum: Personal Investments
Topic: Portfolio Review Entering Retirement
Replies: 12
Views: 1391

Portfolio Review Entering Retirement

Hello, Bogleheads I am a longtime Vanguard investor and more recent reader, but first time poster. As you will see below, we are on the cusp of retirement, so this is an opportune time for a review, as we transition from saving to spending (and/or maintaining). Emergency funds: Ample (too much, if a...