Bogleheads.org

bsteiner wrote: ↑Sun Mar 12, 2023 4:21 pm
More often, the children are all executors, or the more successful child is the executor and doesn't take commissions.

This is exactly the case here. DW has a job that requires financial and forensic skills, and is by far the most organized person in the entire family. Her siblings are not really capable of it and are fine with not having to sort it out. She was the only logical choice for her Dad.

Thanks to all who replied so quickly and with such detail. It looks like there is general agreement that my wife's instincts are correct here -- that both the potential for causing family strife, and the low payback vs. the inheritance coming, point to not pursuing any fee for her executrix duties. At most she may want to bring up reimbursement for the travel costs, but that should be between her and her siblings. In particular I was struck by the comment : My advice, get reimbursed for any out-of-pocket expenses, forget the executor's fee since you'd have to pay individual income tax on it and it might cause tension with her siblings and their spouses. After seven years, I still don't talk to my sister due to issues her husband caused with...

There is a separate thread on here about Lawyer Fees to Settle an Estate, and one comment in there struck a chord with me as it is a discussion currently ongoing in our home. I broke it out into this thread so as not to derail the original one. The Situation: My wife is the executrix for her father's estate (he just passed away a few weeks ago) and she has been doing a lot of legwork, calls, and meetings with lawyers, banks, insurance and doing the usual locating and canceling of numerous autopayment accounts in his name for various hobbies and interests he had. She has two siblings who have been doing bits and pieces to help with cleaning out the house, disposition possessions, and provide whatever info they may have to help fill gaps. The...

We had a cockapoo (cocker spaniel/poodle mix) for many years. Got her as a 12 wk old puppy when the kids were 9 & 11. Went to basic dog training class with her but she followed house rules and rhythm really well. Never any aggression and she was a beloved member of the house for 14 years. Has hair (not fur) so zero shedding and hypoallergenic. Max weight was 16-18 lbs so easy handled by the entire family and was into lap sitting. Has the intelligence of a poodle and the chill of a cocker spaniel. If you want the classic buff color I seem to recall that those are less expensive than the more rare ginger and black and mottled ones... but that may not still be the case. One note: If you are going to a breeder find out how many generations ...

toddthebod wrote: ↑Tue Jan 24, 2023 7:06 pm The IRS says to include it on Schedule 1 line 8z as "1099-K received in error" and then include a negative offset on line 24z with the same text.

In Massachusetts you just leave it off:

Molly goes to dinner with her 14 graduate school classmates to celebrate the end of the term. She pays for a $1,500 meal on her credit card and her classmates reimburse her for the expense via a peer-to-peer payment system, totaling $1,400. That $1,400 IS NOT subject to tax or any reporting as it was not payment for goods or services, but simply reimbursement.

https://www.mass.gov/service-details/fr ... processors

Thank you for this, todd. It is a big help.

I know this thread is for those already retired but I must say my greatest fear as I approach retirement in the coming few months is that I will do so and then face the regretful realization that I should have done it several years earlier than now. Living through the lockdown ended up realigning my priorities and trimmed 3 years off my target date when I realized the runway is shorter than we think.

And to @cheese_ breath - I read your story above and am sorry to hear of your loss and the struggles to get things back on center. Glad you got there.

I got a 1099-K from Venmo for tax year 2022 because a clueless relative checked the "Goods & Services" box back in January 2022 when repaying me $720 for her piece of a hotel room from a family trip. I let it go because at the time it did not seem to make a difference either way. Or so I thought. Now I come to find that, even though the Feds/IRS have delay the reporting requirement on Venmo G&S payments >$600 until the 2023 tax year, my state (MA) is one of 2 or 3 that have decided to implement the tax for 2022. I am most likely going to simply not report it on my MA taxes and let them adjust my refund by the $36 if they catch it. I know, why not just report it and pay it? The principle I guess. I am wondering is there any...

livesoft wrote: ↑Sat Dec 03, 2022 7:49 pm The OP has enough salary that the following thing that we did will not apply to them:

My spouse retired in February. She contributed essentially 100% of her after-deductions salary to her 401(k), but with a twist. If she had contributed to the traditional 401(k), then she would have no earned compensation left to appear in Box 1 of her W-2 and thus we would have not been able to contribute to our Roth IRAs (I had no planned earned income). So she contributed to her Roth 401(k) which left Box 1 W-2 intact. Thus her salary was used twice: For Roth 401(k) and for our individual Roths.

This is something I had not considered. I am unable to contribute to my Roth 401(k) due to the rules of my plan.. Thanks for your reply.

Looked around on BH and could not find this topic addressed. Background: 63 yrs old Planning to retire at end of June 2023 Salary = $205K, plus a likely $30K bonus in April '23 I have historically contributed whatever gets me to the IRS max annual deferral limit by ~end of Nov/early Dec each year. So for 2022 I made sure to tweak contributions to be 11-13% to get me to $27K in Dec (basic + >50 catch-up = 20.5 + 6.5). Under by employer's plan I can adjust my % real-time paycheck to paycheck). My company does a true-up on 401ks which I am told by my benefits department will even apply to me as a retiree in Dec 2023 even if I leave in June and have withdrawn my money from the Prudential plan by December (although I am awaiting a pointer to wh...

When kids fully launch and when officially retired in a couple of years, we anticipate a $24k reduction (2k per month), primarily driven by reduction in the categories of “Kids,” “Cell,” “Auto,” and “Insurance.” This may be reduced even further if we move from HCOL area…. Analysis / critiques here are welcome, as that previously helped me reduce expenses for 2022 :beer As someone who is a few years ahead of you on the "launched kid" timeline, I can say that you may find that the "Cell" category persists a few years into their true post-college adulthood. And we had to add a one-time "Wedding" item (not trivial!) into our 2022 budget, and we hope to have upcoming grandchild expenses , God willing, so we anticip...

Stinky wrote: ↑Thu Nov 24, 2022 11:02 am

BogleKev wrote: ↑Thu Nov 24, 2022 10:42 am

niagara_guy wrote: ↑Wed Nov 23, 2022 6:11 pm If you retire in June 23 you will probably be in a much lower tax bracket. Not suggesting you shouldn't max out your 401k for 2023, just pointing out the tax bracket. If you end up in a very low bracket for 2023 you could convert some money to Roth.

I would want the true-up in writing (maybe it's in the summary plan description).

Great points -- thanks for adding in about the Roth as an alternative to the plan to fully fund the 401k. I wil run and compare the options on that over the coming days.

You could also do the Roth in addition to the 401k.

If you have the cash to do it.

Normchad wrote: ↑Thu Nov 24, 2022 10:32 am I’m strongly considering leaving mid year; but haven’t made up my mind.

I’ve already doubled the 401k withholding so that I’ll hit the max around July 1 just in case.

If I work longer, than I’ll miss out on some matching dollars.

Good luck, Norm.

JoeJohnson wrote: ↑Thu Nov 24, 2022 7:14 am OP - are you saying the company does no match at all until December?

Overall, yes, it is beneficial to you to fill tax advantaged accounts. Traditional vs Roth is the big question here. Current and future tax brackets are important. ACA income limits, if you're going to use ACA health coverage, , lowering income might make you eligible for IRA limits, etc etc

Thanks Joe. My company matches quarterly, and then does an additional true-up in December.
And we have no ACA considerations since my wife will retire as a federal employee so her medical still covers us into and thru retirement.

lakpr wrote: ↑Wed Nov 23, 2022 7:02 pm If the OP is going to be in a lower tax bracket, then maxing out the Roth 401(k) for 2023 makes sense. No conversion necessary (making Roth contributions has the same effect).

However with a salary of $205k annual, for 6 months it would be $103k (rounded a bit) + $30k bonus expected = $133k, puts this couple into the 22% tax bracket, not that much lower than the current 24% tax bracket.

Appreciate this analysis of the tax bracket changes. As per my responses above I am definitely going to run numbers on Roth 401k vs traditional 401k for the coming 2023 with the assumptions covered by you and others here. Thanks!

niagara_guy wrote: ↑Wed Nov 23, 2022 6:11 pm If you retire in June 23 you will probably be in a much lower tax bracket. Not suggesting you shouldn't max out your 401k for 2023, just pointing out the tax bracket. If you end up in a very low bracket for 2023 you could convert some money to Roth.

I would want the true-up in writing (maybe it's in the summary plan description).

Great points -- thanks for adding in about the Roth as an alternative to the plan to fully fund the 401k. I wil run and compare the options on that over the coming days.

We aren't FI yet, and thus are a few years away from retirement - but I max out my 401k "early" every year. For added context, my employer likes to play "musical chairs" around the middle of the year, so I've decided to get as much of their "free money" (match) as is possible - in the case I lose my chair some year. Funny you mention that. There are strong rumors of a coming layoff early next year (with a decent package that would amount to 30 weeks pay for me with my seniority). I am hoping I can get on that list (after years of NOT wanting to be on such a list!) and have made it clear to my management that they can save two junior engineers' jobs if they put me on the list. But it seems low probability that ...

Stinky wrote: ↑Wed Nov 23, 2022 5:57 pm
In addition, it sounds like your income might dip to the level where you and your wife could make Roth (or maybe even traditional) IRA contributions next year. It sounds like you’ve been over the income thresholds in the past, but might be within the income limits for 2023. You could consider stuffing some more money away there if you chose. You wouldn’t need to make a decision on your 2023 contributions to those plans until April 2024.

Excellent point. I had not considered the reduced income and the Roth impacts. My wife will still have her income as well, but it may still put us under the limit. Thanks!

Although we have a different matching program, we have accelerated 401k contributions every year since achieving lean FI to keep open the possibility of leaving mid year while still getting the maximum match. It does mean we are not investing equally throughout the year, but between bonuses, ESPP and RSUs that was never really a thing for us, anyway. Thanks sailaway . Interesting, and it does make sense as a strategy even for years prior to retirement as you explain it, especially if leaving suddenly midyear is a possibility. The one caveat is that you also have in place whatever cash reserves your require to feel comfortable upon retirement. Yes we have just under 2 years of expected expenses in cash equivalent reserves, and we plan to au...

Looked around on BH and could not find this topic addressed. Background: 63 yrs old Planning to retire at end of June 2023 Salary = $205K, plus a likely $30K bonus in April '23 I have historically contributed whatever gets me to the IRS max annual deferral limit by ~end of Nov/early Dec each year. So for 2022 I made sure to tweak contributions to be 11-13% to get me to $27K in Dec (basic + >50 catch-up = 20.5 + 6.5). Under by employer's plan I can adjust my % real-time paycheck to paycheck). My company does a true-up on 401ks which I am told by my benefits department will even apply to me as a retiree in Dec 2023 even if I leave in June and have withdrawn my money from the Prudential plan by December (although I am awaiting a pointer to whe...

Rex66 wrote: ↑Wed Nov 16, 2022 5:12 pm The main reason to purchase would be IF you felt your health rating would be poor compared to purchase on your own AND you actually want a hybrid plan.

You would not qualify for great rates given your medical hx.

Thanks and I think given the other advice here I am good without it. Also the hybrid plan aspect seems to detract from main intent. Thanks for the input.

Thank you to @yohac , @Artful Dodger , @JoeRetire , and @softwaregeek for taking the time to respond with your thoughts and guidance. I really appreciate it. It seems unanimous, for all the reasons you each stated, that this is not something I should pursue. I will plan to stick with self-funding, possibly using the bond laddering approach recommended by @softwaregeek . Thanks again. Skip the dedicated bond ladder. You can cash flow the vast majority of this. You have a $3MM portfolio which should kick off something like $5k a month in dividends and interest. You have a $6k pension. You have social security - probably a couple of k per month. That is $13k per month of straight cash flow, minus taxes. Average nursing home expense? $9k a mon...

Thank you to @yohac, @Artful Dodger, @JoeRetire, and @softwaregeek for taking the time to respond with your thoughts and guidance. I really appreciate it.

It seems unanimous, for all the reasons you each stated, that this is not something I should pursue. I will plan to stick with self-funding, possibly using the bond laddering approach recommended by @softwaregeek.

Thanks again.

I had posted this onto the tail of another similar thread but realize my situation may be different enough.. thanks for any thoughts. My company is offering LTC via Allstate Insurance this open enrollment period (ends Fri 11/18). It is a new offering - they've never had LTC before. About the plan: - If I choose death benefit amount, i.e. $200K, it is then multiplied 2X for LTC benefit so total LTC benefit = $400K - For my age (63) that costs $1224/month - Death benefit is $200K - Guaranteed enrollment (no medical checkup required), which is important to note because I have been previously denied LTC based on a past medical incident from over a decade ago - Premium is frozen, will not change - Fully portable (no employer contribution) so if ...

If the weather is reasonably dry and warm, definitely check out the Boston Duck Boat tours (https://bostonducktours.com/). It's a great overview of the city, with a mix of history and neighborhood trivia. Like most duck boat operations around the country, it's dependent upon the boat's "captain" for what details and trivia you get, but it is our go-to when we have new visitors in town and we want to start them off with a city tour.

If you are into Italian food, check out the North End for lots of options.

My mid-twenties, late 1980's. Cashed out the $20K saved in my 401k (100% Fidelity's Magellan fund) to use as down payment on a condo. Paid the 10% penalty and the taxes. Real estate was a sure thing, I thought. Condo market crashed the next year and was worth only ~70% of what I paid. But I met my future wife who lived with two friends in the rented condo unit next door. We've been happily married for 35 years. Never would have had these decades of happy marriage had I not made the original bonehead move. I have never gone and calculated what that $20K would be worth today if I'd left it in Magellan fund. I'm guessing maybe ~$300K. But it doesn't really matter. I'm sure I have probably made or not made one or two other decisions that cost m...

Kenkat wrote: ↑Tue Aug 16, 2022 7:49 pm Have you sent an original, certified copy and not a photocopy? Some entities require an original, others will accept a copy.

When I tried to photocopy my Dad's death certificate two years ago for some similar kinds of financial follow-up after his death, the copies came out with a faint "VOID" watermark on them. That could be an issue. A couple of the institutions rejected the copies and asked for originals. If you know the funeral home that did your father's arrangements, they can send you official copies -- usually for a very small sum. Good luck, and sorry for your loss.

Longdog wrote: ↑Tue Aug 09, 2022 12:10 pm

jebmke wrote: ↑Tue Aug 09, 2022 12:06 pm Have you tried opening a previous version of the file?

Yes. That’s exactly how I’ve been “recovering” and then when I close the recovered file and reopen it, it’s corrupt again.

Quicken since 1990; no corruption issues today, or ever for that matter.

Just curious - what is the size of your QDF file? Some evidence online about 150MB being a limit where corruption may start to occur. (Mine is 36MB and no issues here)

Similarly, any register with at over 16,000 transactions? 16K (most likely precisely 16,384 entries) seems to run up against some variable size limit in the code, again according to some online sources.

Good luck!

Going to spend some time tomorrow/Tuesday working different scenarios as recommended in the last few posts and see if I can get a better deal. I'll come back with updates. Thanks all.

neilpilot wrote: ↑Fri Aug 20, 2021 3:15 pm A couple months ago I reserved a Budget 2 week rental at MIA, and it was about $1150. The same rental at FLL was about the same price.

However, a pickup at MIA and drop off at FLL was about $600, so I changed my return flight to save on the rental.

Was that a drop off credit? Made no sense to me, and when I checked a few days later the MIA-to-FLL was also about $1150.

Yes the algorithm is inscrutable. Seems almost as bad as pricing for airline seats..

ItzaHoot wrote: ↑Fri Aug 20, 2021 2:26 pm Check thru travelocity or expedia. They will show rates for various options without you laboriously checking each rental company's website.

Thanks for the idea.. I tried both just now and the weekly cost is at least +300 over the direct to Hertz or Budget/Avis. A Yaris costs $1100!! Crazy times..

Thanks @Kagord and @ZinCo for the quick replies. I do not have access to corporate rates, unfortunately. My employer explicitly forbids use of the corporate code for personal/leisure travel. Thank you for the idea though.

My wife and I are looking to fly into Orlando (FL) in a couple of months, rent a car for the week, and drop off at Ft Myers (FL) to fly back home. I am amazed at the differences in cost created by dropping off at a different city vs. the same city where pickup occurred. We all know rental car fees have gone nuts in recent months due to the vehicle shortages from the effects of the pandemic (and likely companies making up for lost revenue by exploiting the supply and demand inequity), but the difference seems ridiculously high. Example: Basic sedan pickup & dropoff at Orlando = $630 base without fees. Same model sedan but change drop-off to Ft Myers, base cost jumps to $899, so an almost 50% jump I read the various mitigation suggestions...

Riprap wrote: ↑Thu Aug 19, 2021 10:12 am Gamechanger books for me were:

How to Win Friends and Influence People. That book made me take a critical look at myself and I didn't like some of the things I saw. It motivated me to try to become a better person.

I've read plenty, but these two really were influential and prompted a change in the course of my life.

I second this. Read it myself years ago and I even gave copies to my kids when they were teenagers and it made a real difference in their personal growth. At first glance it seems like obvious stuff, but it really is eye-opening for anyone.

This week it's been "California Nights" by Best Coast

https://youtu.be/Lqvsbb4Ax6Q

I dig Bethany Cosentino's voice and it has a great mantric vibe that I can listen to on repeat while doing my work.


Last week it was "How Soon Is Now" by The Smiths

https://youtu.be/hnpILIIo9ek

I guess I'm just into the phased guitar thing lately...

.

I don’t own physical gold, but I do have a bit of physical silver. I bought it during the most unsure period of early COVID, not as an investment but in case I needed it for swap/barter. It still sits in my safe. I was without electricity and running water for a week, and nobody was bartering with precious metals. People were desperately seeking gasoline, generators, drinking water, food and firewood. But not metals. Even if the situation had gone on for months, I'm sure that metals would still have been of little trade value. I agree. Precious metals as an investment, maybe; but as a barter item it'll quickly have no value during a real crisis. Pints of various liquors, cartons/packs of cigarettes, fishing supplies, hand tools, feminine h...

Many people on a weight loss regimen (including me) are able to stick with it and lose weight when life is predictable and the habits you need to maintain (food choices, exercise, stress reduction, sleep) are easy to hold to. My advice: Have a plan for when things in your life go sideways . For when you have to suddenly travel for work, or an elderly parent gets ill and you need to move in with them temporarily, or you suffer a minor injury but one that keeps you from exercising, or for that big vacation week at the shore with all that awesome fried seafood and cold beer around you. Whenever I have strayed and fallen on my weight loss journey, it has always been when my daily routine is somehow disrupted or changed and I lose the predictabl...

A meme I saw on this topic was essentially:

USPS Tracking:
1) Package has left facility
2) We have no idea
3) Package delivered

Our kids know what our net worth is, where to find details on our accounts, what the terms of our wills are and where to find copies, and who the executor is. They’ve known since high school; they are both now in their 20’s. It’s important that they have all that information. We expect (and hope) to die before they do and want them to be prepared. Same here. Two kids in late 20's. My wife and I shared rough details with them when they were in high school and college, and since they have been out on their own we have had a family meeting during the last week of each year, covering all details of what is where, whom to call in the event it's needed, etc Adult to adult. My wife and I want to spare them the awful process of trying to tease apa...

DW and I have been blessed by being able to continue working through the Pandemic. Here's what we have tried to do since last June.. 1.) Anything we need, we buy at a local store....hardware, clothing, household goods, gifts... rather than giving any more money to Amazon. Sure, we do research on the big websites... But then buy locally. It's also easy to go to the local store, find a couple/few of choices on the shelf, and use the AZ site on our phone realtime to look at reviews and then buy right there locally. 2.) Buy gift cards to local restaurants for ourselves and to give as holiday/birthday gifts. Gets some money into the owners' pockets now to possibly help keep them afloat. (I don't know if there's some asset/liability aspect that r...

Stinky wrote: ↑Tue Oct 13, 2020 7:33 pm Your mom now has $75k in stock of a single company. What percent of her portfolio is in that single stock?

If it’s greater than 10% or so, most Bogleheads would say she should sell the stock to minimize “single stock” risk. She’ll pay some taxes, but that’s a necessary evil sometimes.

If it’s 5% or less, she could logically keep it to avail herself of stepped up basis at death.

What does she want to do?

Yes, the block of 4 stocks is 42% of her holdings... definitely a high percentage of what she holds. So some action is needed. An as I said above I need to ask her what she wants. I did not do that and do it asap.
Thank you
BK

JoeRetire wrote: ↑Tue Oct 13, 2020 7:16 pm

BogleKev wrote: ↑Tue Oct 13, 2020 6:53 pm My two siblings are insisting she should sell the shares

I am saying that we should not have her sell the stocks now, or anytime prior to her death

Am I right? Or are they? Or is it a wash?

So we know what your siblings want. And we know what you want.

But it appears that you haven't indicated what the one person who actually gets to make the decision wants...

Yes, families (including children) are a joy sometimes.

Agreed, this was a big miss on my part. What I and my brother & sister want is secondary. I will talk with her this weekend.
Thank you. BK

Thank you all for the very thoughtful and detailed responses and the many aspects to consider. I have a bunch of homework to do. Let me try to blanketly answer the questions and fill in some gaps. 1.) Most importantly, as many of you pointed out, I have not asked my mother what she would like to do. That is my first step. It is her money and the peace of mind of having these sold may outweigh any tax implications. 2.) I had no idea about the stepped-up basis aspect. I will look into that she is in Mass. which is not a community property state). I did mnot encounter this when moving the shares into her name. 3.) Her total income is just under $28K per year, made up of Social Security and some pension money from my father and her own, plus di...

Hi all, hoping you can help resolve a family discussion. Background : Dad died earlier this year. He had acquired approx $75K in stock certificates through the 1970s-1990's from his former employer at no cost to himself. After retirement he left the certificates stashed the certificates in lockbox and (we think) forgot about them over time. We found them when cleaning out his closet after his death. Mom was listed as JT on the certificates. I went through the process of moving the shares into solely her name and getting them set up as book-entry accounts at a brokerage. She also has other assets of close to $100K, mostly in MM and savings accounts with a tiny bit in bond funds. Here's why I'm posting: My two siblings are insisting she shoul...