Search found 21 matches

by AverageInvestor1982
Mon Nov 18, 2019 9:34 am
Forum: Personal Investments
Topic: Maxing out 401k Savings
Replies: 6
Views: 573

Re: Maxing out 401k Savings

Thank you!
by AverageInvestor1982
Mon Nov 18, 2019 9:26 am
Forum: Personal Investments
Topic: Maxing out 401k Savings
Replies: 6
Views: 573

Maxing out 401k Savings

I'm finally able to save enough to meet - or at least come very close - to the $39,000 (for 2020) 401k limit for "married filing jointly." Do I need to save exactly $19,500 in both my wife' s and my 401k plan? Or can I balance however I want as long as the total stays at/under the limit for the year...
by AverageInvestor1982
Tue Nov 12, 2019 3:08 pm
Forum: Investing - Theory, News & General
Topic: Flaws with 4% Rule?
Replies: 33
Views: 3872

Flaws with 4% Rule?

Can Bogleheads help distill this paper down to it's elements and then provide a reaction to it? https://web.stanford.edu/~wfsharpe/retecon/4percent.pdf I find Bogleheads to be one of the best places on the web to explain complicated things in straightforward manner, and am hoping someone can work th...
by AverageInvestor1982
Wed Nov 06, 2019 10:43 am
Forum: Personal Finance (Not Investing)
Topic: HDHP comparison
Replies: 13
Views: 521

Re: HDHP comparison

What about physician networks and prescription drug coverage? Another thing to double check is if either of the plans have an “insured spouse surcharge” to cover a spouse that can be covered under another plan. If not, then yes your plan is cheaper. Her company charges a spousal surcharge, mine doe...
by AverageInvestor1982
Wed Nov 06, 2019 10:06 am
Forum: Personal Finance (Not Investing)
Topic: HDHP comparison
Replies: 13
Views: 521

Re: HDHP comparison

Thanks for the responses.

To clarify, the premium is bi-weekly, so 26 pay periods per year.

Wife Annual: $4992
My Annual: $4160
by AverageInvestor1982
Wed Nov 06, 2019 9:26 am
Forum: Personal Finance (Not Investing)
Topic: HDHP comparison
Replies: 13
Views: 521

HDHP comparison

I'm trying to choose between my Wife's company's HDHP and my HDHP. ------------------------------ Wife: - Husband: Premium ------------------ $192 --- $160 Deductible --------------- $2800 -- $3500 Out of pocket Maximum $5000 -- $6000 Co. HSA Match ------------ $0 ----- $1300 I can't find a calculat...
by AverageInvestor1982
Mon Nov 04, 2019 2:00 pm
Forum: Personal Investments
Topic: How much money is really needed in retirement?
Replies: 74
Views: 9186

Re: How much money is really needed in retirement?

Looking back over the past 42 years! ... I really enjoyed your story, Retired2013! Thanks for sharing. I started contemplating retirement savings more seriously when I turned 30 about 8 years ago. The idea of answering the question of "what will your expenses be when you retire?" made me laugh out ...
by AverageInvestor1982
Mon Nov 04, 2019 10:53 am
Forum: Personal Investments
Topic: Holding bonds vs 100% equities
Replies: 367
Views: 21738

Re: Holding bonds vs 100% equities

Watching this thread unfold has been really interesting. To "resolve" the debate I think a chart like KlangFool has put together would be useful, but extended into the future showing the hypothetical investor having to withdraw money due to retirement. Also, rather than using the average return for ...
by AverageInvestor1982
Thu Oct 10, 2019 8:31 am
Forum: Personal Finance (Not Investing)
Topic: Is Alicia Munnell Wrong About Spousal Social Security Benefits
Replies: 19
Views: 1861

Re: Is Alicia Munnell Wrong About Spousal Social Security Benefits

I had never heard of this lady before, so I couldn't help but poke around. As I understand it, a married couple with a single breadwinner has a fictional (for the sake of round numbers) income of 1000. They contribute 100 automatically to social security. When they start collecting SS, they don't ju...
by AverageInvestor1982
Tue Oct 08, 2019 10:37 am
Forum: Personal Finance (Not Investing)
Topic: Personal Capital website?
Replies: 26
Views: 2390

Re: Personal Capital website?

Anyone use this account aggregator service? While searching for aggregators, Personal Capital and Mint seemed to be the top two ones that kept coming up. I've just been using my Fidelity account up until now since it has this feature built-in, but it's kind of flaky, and doesn't want to work with a...
by AverageInvestor1982
Tue Oct 08, 2019 10:22 am
Forum: Personal Finance (Not Investing)
Topic: Should I sell or hold [house]?
Replies: 31
Views: 2869

Re: Should I sell or hold [house]?

Anyone who still owns a 1987 Fiero has already won in my book and the rest is just gravy. :sharebeer Run the numbers for 10 years and see what poops out. My guesstimate is that the most likely outcome is that holding the house will be the best outcome financially. To an earlier poster "I'd rather ha...
by AverageInvestor1982
Mon Oct 07, 2019 10:54 am
Forum: Personal Finance (Not Investing)
Topic: Should I sell or hold [house]?
Replies: 31
Views: 2869

Re: Should I sell or hold [house]?

$500k (value of house) -230k ( amt owed) = 270k (equity / invested) $600 a month profit * 12 months = $7200 a year or 7.2k $7.2k / $270 = 2.88% return on investment each year, which is pretty low. Just my line of thinking. If you like the location and want to go back there some day, or you like the...
by AverageInvestor1982
Mon Oct 07, 2019 10:44 am
Forum: Personal Finance (Not Investing)
Topic: Psychologically adverse to start drawing down in retirement
Replies: 82
Views: 8241

Re: Psychologically adverse to start drawing down in retirement

Great topic, thanks for starting. As a 37 year old net-saver, I've already started thinking about this. The idea that one day the balance of my portfolio/net worth go down is a terrible thought to me. I intellectually understand the idea that the point of saving up money now is so that I have indepe...
by AverageInvestor1982
Mon Oct 07, 2019 9:18 am
Forum: Personal Finance (Not Investing)
Topic: Should I sell or hold [house]?
Replies: 31
Views: 2869

Re: Should I sell or hold [house]?

My thoughts lean toward keeping both properties. Keep in mind you aren't just earning $600/month, you are also earning the principle applied to the mortgage every month, plus the combined mortgage interest deduction of having two mortgages. Having good tenants already is what really pushes me firmly...
by AverageInvestor1982
Thu Sep 19, 2019 12:18 pm
Forum: Personal Investments
Topic: Emp Stock Purchase vs 401k increase
Replies: 33
Views: 2285

Re: Emp Stock Purchase vs 401k increase

Thanks again to all for contributing to the topic. I really appreciate the thought and insight!
by AverageInvestor1982
Tue Sep 17, 2019 2:15 pm
Forum: Personal Investments
Topic: Emp Stock Purchase vs 401k increase
Replies: 33
Views: 2285

Re: Emp Stock Purchase vs 401k increase

Not to belabor the point, but you don't have an additional 10k to put into the espp. More like an additional 6,250 which gets you to the 25k in Fair market value of the shares. (25*.85)=21250..minus the 15k you already do. :sharebeer So your comment made me dive into the Plan Information Document p...
by AverageInvestor1982
Tue Sep 17, 2019 2:01 pm
Forum: Personal Investments
Topic: Emp Stock Purchase vs 401k increase
Replies: 33
Views: 2285

Re: Emp Stock Purchase vs 401k increase

GT99 Makes a great point. A hypothetical increase in the 401k program reduces my taxable income which saves me tax dollars in the current year. By not increasing my ESPP to it's max, i'm forgoing $1500 of total compensation. (The 15% on the additional $10k I could allocate). To do that, I would hav...
by AverageInvestor1982
Tue Sep 17, 2019 1:26 pm
Forum: Personal Investments
Topic: Emp Stock Purchase vs 401k increase
Replies: 33
Views: 2285

Re: Emp Stock Purchase vs 401k increase

GT99 Makes a great point. A hypothetical increase in the 401k program reduces my taxable income which saves me tax dollars in the current year. By not increasing my ESPP to it's max, i'm forgoing $1500 of total compensation. (The 15% on the additional $10k I could allocate). To do that, I would have...
by AverageInvestor1982
Mon Sep 16, 2019 3:44 pm
Forum: Personal Investments
Topic: Emp Stock Purchase vs 401k increase
Replies: 33
Views: 2285

Re: Emp Stock Purchase vs 401k increase

Have you calculated how much you would really save waiting the extra 18 months? For me, it worked out to something like $100 on a $10,000 contribution, so in my mind it was no brainer in my case to sell immediately. YMMV. Some say don't let the tax tail wag the dog. No - I emailed my tax accountant...
by AverageInvestor1982
Mon Sep 16, 2019 3:34 pm
Forum: Personal Investments
Topic: Emp Stock Purchase vs 401k increase
Replies: 33
Views: 2285

Re: Emp Stock Purchase vs 401k increase

Thanks for the replies already. There is no company stock in my 401k portfolios. The total value of the company stock in my ESPP might exceed 5% of my total holdings, but not by much, and not for long. I would convert it to something else as soon as I can without a tax penalty. Basically, at the abs...
by AverageInvestor1982
Mon Sep 16, 2019 10:26 am
Forum: Personal Investments
Topic: Emp Stock Purchase vs 401k increase
Replies: 33
Views: 2285

Emp Stock Purchase vs 401k increase

Hello! This is my first post on the site, so be gentle! My Scenario : My new employer offers an Employee Stock Purchase Program(ESPP). I can defer up to $25,000 of my annual income to this program. The deferral accrues for a 6-month period, and then executes a purchase to buy company stock at a 15% ...