Search found 60 matches

by Kintora
Tue Nov 24, 2020 7:09 pm
Forum: Investing - Theory, News & General
Topic: Withdrawal rate for an early retirement
Replies: 428
Views: 24099

Re: Withdrawal rate for an early retirement

We don't have a dedicated emergency fund and see no need for one. To me an emergency fund is cash wasted away. Correction, our emergency fund is our bond portfolio followed by our equities portfolio. Big ERN has talked about a cash position as a way to guard against SORR. He said that it could sit ...
by Kintora
Tue Nov 24, 2020 4:56 pm
Forum: Investing - Theory, News & General
Topic: Withdrawal rate for an early retirement
Replies: 428
Views: 24099

Re: Withdrawal rate for an early retirement

We don't have a dedicated emergency fund and see no need for one. To me an emergency fund is cash wasted away. Correction, our emergency fund is our bond portfolio followed by our equities portfolio. Big ERN has talked about a cash position as a way to guard against SORR. He said that it could sit ...
by Kintora
Tue Nov 24, 2020 4:32 pm
Forum: Personal Investments
Topic: Portfolio Check and Roth/Trad 401k Question
Replies: 7
Views: 577

Re: Portfolio Check and Roth/Trad 401k Question

ExitStageLeft wrote: Mon Nov 23, 2020 12:45 pm First off, awesome job having your financial life together at age 30. I was still spending like a drunken sailor at that age.
+1

I wish I had half your financial sense when I was 30.
by Kintora
Tue Nov 24, 2020 4:27 pm
Forum: Personal Investments
Topic: Portfolio Check and Roth/Trad 401k Question
Replies: 7
Views: 577

Re: Portfolio Check and Roth/Trad 401k Question

I think it is very difficult to estimate whether you will retire at a higher or lower marginal tax rate given how much can change before you retire. I would recommend you contribute to your 401k as pre-tax/traditional, at least up to the employer match, and also contribute to Roth IRA. If you can, m...
by Kintora
Mon Nov 23, 2020 6:43 pm
Forum: Personal Investments
Topic: Recommendations from financial advisor
Replies: 61
Views: 5229

Re: Recommendations from financial advisor

The phrase "high quality strategies" alone would have me running for the hills.

VTI or VTI/VXUS with some fixed income if appropriate for your relative's situation and goals.
by Kintora
Wed Nov 11, 2020 12:29 am
Forum: Personal Investments
Topic: Weighting US Stock vs Intl Stock
Replies: 3
Views: 667

Re: Weighting US Stock vs Intl Stock

Here is my 2 cents from someone relatively new to DIY investing, so take it for whatever that is worth. For equities, I invest in VTSAX and VTIAX. VTIAX is 20% of my equities allocation. I am comfortable with being overweight US for the following reasons. 1. Jack Bogle stated international is not ne...
by Kintora
Sun Nov 01, 2020 5:01 pm
Forum: Personal Investments
Topic: Fidelity HSA
Replies: 33
Views: 3966

Re: Fidelity HSA

having it withheld also avoids FICA taxes on our contributions. That's why many people put it into the company HSA first, and move it to their choice of HSA thereafter. I contribute with after tax dollars to a Fidelity HSA. Do the FICA taxes I pay on that money at least bump up my SS in the future?...
by Kintora
Sun Nov 01, 2020 1:11 pm
Forum: Personal Investments
Topic: Fidelity HSA
Replies: 33
Views: 3966

Re: Fidelity HSA

having it withheld also avoids FICA taxes on our contributions. That's why many people put it into the company HSA first, and move it to their choice of HSA thereafter. I contribute with after tax dollars to a Fidelity HSA. Do the FICA taxes I pay on that money at least bump up my SS in the future?...
by Kintora
Fri Oct 30, 2020 6:30 pm
Forum: Investing - Theory, News & General
Topic: Anybody here trying Coast FIRE?
Replies: 317
Views: 26930

Re: Anybody here trying Coast FIRE?

My son's roommate, after graduating from college and 15 months on a software developer job, just quitted his job, calming it is too much stressful. He plans to find an easy job at McDonald's. If he does this, he will be coasting for quite some time. The worst job I ever had as a teenager. Whenever ...
by Kintora
Fri Oct 30, 2020 4:56 pm
Forum: Investing - Theory, News & General
Topic: Should I max my 401k or HSA?
Replies: 7
Views: 479

Re: Should I max my 401k or HSA?

I personally would do the following. 1. Contribute to 401k up to employer match. 2. Contribute what is needed to max HSA. 3. Max Roth IRA. 4. Max 401k. Traditional vs. Roth for 401k and IRA will depend on your personal situation and analysis of which you consider optimal. Recommend you read the link...
by Kintora
Thu Oct 29, 2020 2:49 am
Forum: Investing - Theory, News & General
Topic: Anybody here trying Coast FIRE?
Replies: 317
Views: 26930

Re: Anybody here trying Coast FIRE?

Kevin Spacey Coast FIRE...

https://youtu.be/TJh5wdvdfVE
by Kintora
Thu Oct 22, 2020 3:41 pm
Forum: Investing - Theory, News & General
Topic: Anybody here trying Coast FIRE?
Replies: 317
Views: 26930

Re: Anybody here trying Coast FIRE?

I heard about "Barista FIRE" for the first time yesterday. I personally would not Coast FIRE, but I do like the idea of possibly going part-time in a low stress job after I have reached my FI number (which for me is 33.33 times expenses or 3% withdrawal rate). I hope to achieve this in abo...
by Kintora
Thu Sep 17, 2020 12:44 pm
Forum: Investing - Theory, News & General
Topic: what percent of retirement should be invested in tax deferred vs tax free accounts?
Replies: 39
Views: 3244

Re: what percent of retirement should be invested in tax deferred vs tax free accounts?

Well, leave it to the excellent minds on this forum to guide me in a hopefully better direction yet again. After reading all the replies so far, I think it would be best for me to switch back to traditional before-tax contributions to my 401k instead of Roth 401k (while still maxing my Roth IRA each...
by Kintora
Thu Sep 17, 2020 10:26 am
Forum: Investing - Theory, News & General
Topic: what percent of retirement should be invested in tax deferred vs tax free accounts?
Replies: 39
Views: 3244

Re: what percent of retirement should be invested in tax deferred vs tax free accounts?

OP, here is my take on it. I am currently in the 22% tax bracket. In retirement, I may be in the 12% tax bracket. However, we do not know what tax brackets will look like in the future. The current 12% bracket could be 15-20%+ when I retire. Or not. We just don't know. I personally feel like they ar...
by Kintora
Thu Sep 10, 2020 2:33 pm
Forum: Personal Investments
Topic: Roth IRA Contribution - At Once or Over Year
Replies: 13
Views: 1043

Re: Roth IRA Contribution - At Once or Over Year

From what I have read, the historical data has shown that it's better approximately 2/3 of the time to lump sum the entire amount up front as opposed to dollar cost averaging over time. That being said, there is an emotional factor as well. If you can't stand the thought of putting in $6k at once an...
by Kintora
Tue Sep 08, 2020 10:46 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

dknightd wrote: Sat Sep 05, 2020 9:55 am I'm not looking to maximize anything but my happiness.
I like to think of my health and happiness as my most valuable assets, and I try to "invest" in those. Without them, the money doesn't mean a whole lot. Thanks for your comments.
by Kintora
Tue Sep 08, 2020 10:38 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

racy wrote: Sat Sep 05, 2020 9:14 am For your reading enjoyment here's a link to several articles on re-balancing from Michael Kitces blog, https://tinyurl.com/y36rsclf
Thanks for posting. I am checking it out.
by Kintora
Tue Sep 08, 2020 10:33 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

Since I do what you are proposing I not only think it's reasonable, I think it's brilliant. :D At 60/40 I only rebalanced once on the downside in March, though I came within a whisker of a second rebalance. I still haven't rebalanced on the upside, though I'm close. I rebalanced in March as well. I...
by Kintora
Tue Sep 08, 2020 10:27 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

You are not. Practically speaking there us not much difference between a annual rebalance and a 10% band. 5% is a bit tight for many individual investors and this year has been extreme. But generally not a huge deal. OK, thanks. To clarify, I mean that if my AA goes plus/minus 5% I rebalance. So, I...
by Kintora
Tue Sep 08, 2020 10:21 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

seems reasonable. I would suggest using the annual date to review your overall situation and investment approach to make sure it still makes sense. Most times there should be no changes but it is easy to drift and as you get closer to retirement and/or your number. e.g. if you are 50 and have reach...
by Kintora
Tue Sep 08, 2020 10:09 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

Along with choosing the rebalancing band, you also need to determine how often you are going to check your AA. For me, computing my AA is the time consuming part. Doing the actual rebalance is easy. So, I generally rebalance whenever my AA is off by 1%. And I check every couple of weeks or whenever...
by Kintora
Fri Sep 04, 2020 11:07 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

From a simplification standpoint, I see no real issue in redirecting contributions when you hit your 5% band. If you already have substantial savings it would seem prudent to include a once a year rebalance of accounts. The once a year rebalance would also offer one the opportunity to rebalance acr...
by Kintora
Fri Sep 04, 2020 10:06 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

livesoft wrote: Fri Sep 04, 2020 8:54 pm Boglehead siamond just posted on some number crunching that he churned that you may wish to read:
https://www.bogleheads.org/blog/2020/08 ... us-part-1/
Thanks, I will take a look at this.
by Kintora
Fri Sep 04, 2020 10:05 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

I fail to see how your system is more simple than an annual rebalance? You talk about forcing an annual rebalance, but it still only happens if it exceeds your bands. I am speaking of an annual rebalance where it is executed regardless of hitting a band or not. One where it would go, for example, f...
by Kintora
Fri Sep 04, 2020 10:01 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Re: Rebalancing Question

You are not. Practically speaking there us not much difference between a annual rebalance and a 10% band. 5% is a bit tight for many individual investors and this year has been extreme. But generally not a huge deal. OK, thanks. To clarify, I mean that if my AA goes plus/minus 5% I rebalance. So, I...
by Kintora
Fri Sep 04, 2020 8:38 pm
Forum: Personal Investments
Topic: Rebalancing Question
Replies: 23
Views: 1395

Rebalancing Question

2020 has been my year for creating and refining my IPS as I learn more from this forum. My initial plan for rebalancing triggers is 5% plus/minus from AA is an immediate rebalance, and an annual rebalance on my birthday regardless of degree of drift from target AA. The more I think about it, I would...
by Kintora
Thu Aug 13, 2020 2:34 pm
Forum: Personal Finance (Not Investing)
Topic: Ally Bank savings interest rate dropping from 1% to 0.8%
Replies: 82
Views: 9449

Re: Ally Bank savings interest rate dropping from 1% to 0.8%

Capital One 360 Performance Savings made the same move (1% to 0.8%) not long ago.

No e-mail from them when they change. I just check it periodically.
by Kintora
Thu Aug 06, 2020 12:53 pm
Forum: Personal Investments
Topic: Help my Aunt decide on Edward Jones or somewhere else
Replies: 55
Views: 3256

Re: Help my Aunt decide on Edward Jones or somewhere else

One fee that I learned about near the end of my EJ experience I thought was particularly egregious. For "dollar cost averaging" in or out of a stock/fund, they take 2% right off the top going in and then another 2% on the way out if you want to systematically invest and then withdraw a cer...
by Kintora
Thu Aug 06, 2020 12:03 pm
Forum: Personal Investments
Topic: Help my Aunt decide on Edward Jones or somewhere else
Replies: 55
Views: 3256

Re: Help my Aunt decide on Edward Jones or somewhere else

Going to Edward Jones with my money to invest 9 years ago was a huge financial mistake. I can see that in retrospect, but I was very naive and ignorant at the time when it came to investing and financial matters in general. My money still grew, but they siphoned off a whole heck of a lot in fees, co...
by Kintora
Wed Jun 17, 2020 1:16 pm
Forum: Personal Finance (Not Investing)
Topic: Where to put a year's worth of living expenses?
Replies: 21
Views: 3040

Re: Where to put a year's worth of living expenses?

... The implied return rates are higher than any money market, there is no market risk, and the money is FDIC insured. My CapitalOne in process will pay me a $500 bonus, plus 1.3% interest (currently) on the balance, simply by keeping the money there for roughly 6 months. That's over a 3.3% annuali...
by Kintora
Thu May 28, 2020 10:00 am
Forum: Personal Investments
Topic: Tax-Exempt Bonds for Lower Tax Brackets
Replies: 21
Views: 1834

Re: Total Bond in Taxable OR Vanguard Intermediate Muni in taxable

what is your opinion on staying the course with VBTLX in taxable versus switching to VWITX/VWIUX and holding that for the long term? Is your question total bond in taxable or Van. Intermed Muni VWITX in taxable? Yes, that is essentially where I am at now. Deciding between staying the course with VB...
by Kintora
Thu May 28, 2020 9:56 am
Forum: Personal Investments
Topic: Tax-Exempt Bonds for Lower Tax Brackets
Replies: 21
Views: 1834

Re: Tax-Exempt Bonds for Lower Tax Brackets

My understanding is that the taxable bond will return more than a tax-exempt bond more than half of the time for a person in the 22% tax bracket. The only reason to switch to the tax exempt bond now is to take advantage of a temporary reversal. When things go back to how they are most of the time, ...
by Kintora
Wed May 27, 2020 10:33 pm
Forum: Personal Investments
Topic: Tax-Exempt Bonds for Lower Tax Brackets
Replies: 21
Views: 1834

Re: Tax-Exempt Bonds for Lower Tax Brackets

If you intend to switch back and forth between the total bond and a tax-exempt bond depending on the yields, remember that selling a bond fund can result in capital gains taxes which might wipe out the small benefit you have gotten. And while this can also result in losses, your strategy is more li...
by Kintora
Tue May 26, 2020 10:42 pm
Forum: Personal Investments
Topic: Tax-Exempt Bonds for Lower Tax Brackets
Replies: 21
Views: 1834

Re: Tax-Exempt Bonds for Lower Tax Brackets

I hold Vanguard intermediate term tax exempt VWIUX In a taxable account. Yes I am in a lower tax bracket. No I am not chasing yield,,taxable bond ,taxfree ,distribution yield,,etc Satisfied. For years. :happy Thanks for your feedback, Toons. If I go with VWITX, I guess I could eventually convert to...
by Kintora
Tue May 26, 2020 10:34 pm
Forum: Personal Investments
Topic: Tax-Exempt Bonds for Lower Tax Brackets
Replies: 21
Views: 1834

Re: Tax-Exempt Bonds for Lower Tax Brackets

hudson wrote: Tue May 26, 2020 10:10 pm VWITX is daily accrual so thats a big plus if need to tax loss harvest.

VTEAX and its ETF pair are not.

I’ll take another look on Wed.
Thanks for pointing this out, and I am reading more about this and the 6-month rule, etc.
by Kintora
Tue May 26, 2020 10:00 pm
Forum: Personal Investments
Topic: Tax-Exempt Bonds for Lower Tax Brackets
Replies: 21
Views: 1834

Re: Tax-Exempt Bonds for Lower Tax Brackets

One last question on this before I pull the trigger on exchanging my Total Bond Market (VBTLX) for tax-exempt muni bonds in my taxable account. For the tax-exempt muni bonds, I am looking at Intermediate-Term Tax-Exempt (VWITX/VWIUX) versus Tax-Exempt Bond Index Fund (VTEAX) . I am looking at around...
by Kintora
Mon May 11, 2020 7:41 pm
Forum: Personal Investments
Topic: Tax-Exempt Bonds for Lower Tax Brackets
Replies: 21
Views: 1834

Re: Tax-Exempt Bonds for Lower Tax Brackets

Kintora, When I'm trying to decide, I don't use percentage; I use dollars and try to estimate the amount each fund will payout per year. I look at the VWITX..Vang. Intermed Muni's Distribution tab and try to project say the next year. Last May 1st, VWIUX was paying 2.71%; now it's paying 2.48%. My ...
by Kintora
Sun May 10, 2020 11:40 pm
Forum: Personal Investments
Topic: Tax-Exempt Bonds for Lower Tax Brackets
Replies: 21
Views: 1834

Re: Tax-Exempt Bonds for Lower Tax Brackets

Everything I have read on this forum suggests that, generally speaking, muni funds are not worth it in taxable unless you are in a higher tax bracket. (e.g., 32%+) Intermediate munis can work in the 22% tax bracket. Do the math. Compare the after tax payout for total bond and Vang. Intermed Muni. U...
by Kintora
Sun May 10, 2020 7:04 pm
Forum: Personal Investments
Topic: Tax-Exempt Bonds for Lower Tax Brackets
Replies: 21
Views: 1834

Tax-Exempt Bonds for Lower Tax Brackets

I have no more room in tax advantaged accounts for bonds, so I need to hold some in my taxable account to meet my desired AA. My tax bracket is 22%. I currently hold Total Bond Market (VBTLX) in taxable, but thinking about switching my bond holdings there to Intermediate-Term Tax-Exempt (VWITX). Eve...
by Kintora
Fri Mar 27, 2020 12:17 pm
Forum: Personal Investments
Topic: How can I sell this CD on Vanguard?
Replies: 3
Views: 274

Re: How can I sell this CD on Vanguard?

Thank you both for your replies.

I called Vanguard and they got me over to a fixed income specialist who is handling the sale for me since the website has the limitation of quantity minimum of 10. :sharebeer
by Kintora
Fri Mar 27, 2020 11:18 am
Forum: Personal Investments
Topic: How can I sell this CD on Vanguard?
Replies: 3
Views: 274

How can I sell this CD on Vanguard?

Hello all. Hope everyone is doing well. I am trying to sell a CD on Vanguard that transferred over from Edward Jones. I have a quantity of 8 ($8,000) but when I go to sell, it says the minimum quantity is 10 (face value $10,000). Any idea how I can sell this? Please let me know if you need more deta...
by Kintora
Mon Feb 10, 2020 12:33 pm
Forum: Investing - Theory, News & General
Topic: A Boglehead's Edward Jones Question
Replies: 46
Views: 4634

Re: A Boglehead's Edward Jones Question

EJ's "Guided Solutions" is their answer for those who want to be more self-directed, so yes it's possible. But I don't see why then you'd do that, as the fees are still very high, just not quite as high as the traditional, full advisory "service." My Guided Solutions accounts we...
by Kintora
Mon Feb 10, 2020 11:39 am
Forum: Investing - Theory, News & General
Topic: Fidelity lets clients now trade fractional shares of stocks and ETFs
Replies: 200
Views: 20936

Re: Fidelity lets clients now trade fractional shares of stocks and ETFs

Relatively new HSA account here created in January. Fractional ETF share purchases are now possible for me on the iOS and Android apps, but not on the website. Purchased fractional of BND. It did give me the message that it had to be done during market open hours. Very nice feature!
by Kintora
Sun Feb 02, 2020 10:10 pm
Forum: Investing - Theory, News & General
Topic: Redeployment Today Despite China and Virus Noise
Replies: 5
Views: 609

Re: Redeployment Today Despite China and Virus Noise

Yes. Also, fwiw if the market is going to drop tomorrow, and you are buying mutual funds, you'll get the benefit of any market movement since you'll be getting the price at the end of the day Monday. In practice though, even a big one day swing or a correction looks like a lot of nothing compared t...
by Kintora
Sun Feb 02, 2020 10:06 pm
Forum: Investing - Theory, News & General
Topic: Redeployment Today Despite China and Virus Noise
Replies: 5
Views: 609

Re: Redeployment Today Despite China and Virus Noise

If you submit a purchase order for those mutual funds right now, it won't be processed until after the markets close on Monday, using the Monday closing price. Waiting until Tuesday doesn't make any sense given what you've said. Then you'd get the Tuesday price. But you said you want the Monday pri...
by Kintora
Sun Feb 02, 2020 9:53 pm
Forum: Investing - Theory, News & General
Topic: Redeployment Today Despite China and Virus Noise
Replies: 5
Views: 609

Redeployment Today Despite China and Virus Noise

Recently moved accounts and sold several funds on Thursday and Friday morning. Sitting on significant cash I want to redeploy to VTSAX and VTIAX (TSM and TISM). I considered holding off until Tuesday to buy back in to stocks via those indexes presuming likely drops again on Monday, but my brain tell...
by Kintora
Sun Feb 02, 2020 12:43 am
Forum: Personal Investments
Topic: Asset Allocation 10 Years Out to Retirement at 55
Replies: 5
Views: 729

Re: Asset Allocation 10 Years Out to Retirement at 55

It seems well thought out to me and the asset allocations seem reasonable. My only concern is that, if you live to 95, 40 years retirement is a long time and 30 k per year is not a lot of money. Your backup plan for a low stress job helps. The big bugaboo, however, is healthcare expenses, especiall...
by Kintora
Sun Feb 02, 2020 12:36 am
Forum: Personal Investments
Topic: Asset Allocation 10 Years Out to Retirement at 55
Replies: 5
Views: 729

Re: Asset Allocation 10 Years Out to Retirement at 55

The plan you've outlined in your post seems reasonable. If you can stick to a 3% withdrawal rate, you'll be in fine shape. Can we presume you're using the Three-Fund Portfolio? If not, you may be putting your $1 million goal in jeopardy. Regards, Thank you for your reply. I am using three funds. To...
by Kintora
Sun Feb 02, 2020 12:33 am
Forum: Personal Investments
Topic: Edward Jones to Vanguard Sanity Check Please
Replies: 28
Views: 2948

Re: Edward Jones to Vanguard Sanity Check Please

Quick update. Vanguard assigned someone to my transfer, and they have been very helpful. It was nice having a primary single point of contact in addition to others that I worked with over the phone. A couple things which may help others trying to escape Edward Jones. The whole process of transferrin...
by Kintora
Sun Feb 02, 2020 12:14 am
Forum: Personal Investments
Topic: Asset Allocation 10 Years Out to Retirement at 55
Replies: 5
Views: 729

Asset Allocation 10 Years Out to Retirement at 55

Hoping some of you can please give me feedback to make sure my plan is sound or if it needs tweaking. I am currently 45 and hope to retire early somewhere around 55. I currently have about $500k in my portfolio and hope to have around $1 million or more when I retire. My SWR could be 3% or so, as $3...