Search found 31 matches

by 2020 ButClassic
Fri Aug 14, 2020 2:43 pm
Forum: Personal Investments
Topic: Zero Dividend Stock Investment
Replies: 11
Views: 981

Re: Zero Dividend Stock Investment

Tax drag is well known and has been discussed ad nauseam by many novice and seasoned investors. Don't try to invent a perpetual machine. Yes, that is a legitimate point. However, the point is not so much about the taxes. This is to manage the associated income, i.e., long term planning before retir...
by 2020 ButClassic
Fri Aug 14, 2020 2:26 pm
Forum: Personal Investments
Topic: I don't understand bonds
Replies: 27
Views: 2286

Re: I don't understand bonds

Many thoughtful responses -- thank you! I am not anti-bond. I am about to retire, and while I was 98% in stocks in my earlier days, that allocation is now 60%, so I am following the obligatory allocation for stocks. I also invested $25k in BND in November of 2019 just to educate myself. That investm...
by 2020 ButClassic
Fri Aug 14, 2020 1:19 am
Forum: Personal Investments
Topic: I don't understand bonds
Replies: 27
Views: 2286

I don't understand bonds

I have a good understanding of stocks but not so much bonds. Stock are simple. You owe a chunk of a company. It is easy to understand how companies prosper or fail. Supporters of bonds confuse me. They say I'll make money when bonds go up. And I shouldn't worry about bonds going down because I earn ...
by 2020 ButClassic
Fri Aug 14, 2020 1:02 am
Forum: Personal Investments
Topic: Zero Dividend Stock Investment
Replies: 11
Views: 981

Zero Dividend Stock Investment

I need to redirect some investment to zero or near zero dividend equity. I am looking for large conglomerates or index funds, preferably not hyper growth type.

I have Berkshire B in mind. Any others that I should consider?
by 2020 ButClassic
Sat Jun 13, 2020 12:23 pm
Forum: Personal Consumer Issues
Topic: Nickeling and diming
Replies: 53
Views: 5477

Re: Nickeling and diming

To me, saving as much as possible is truly a hobby I enjoy... So, honestly, it is rarely ever futile. Do I waste time and energy and sometimes not have a great resolution? Absolutely, but I enjoy it so not a big deal. If it isn't for you.. no worries. Good point. It's not all about saving. It's the...
by 2020 ButClassic
Fri Jun 12, 2020 3:33 pm
Forum: Personal Investments
Topic: Is it bad to be a "day trader"?
Replies: 51
Views: 3124

Re: Is it bad to be a "day trader"?

Keep trading if it makes you money but don't draw a definite conclusion based on a small sampling. I was never a day trader but did trade frequently, convincing myself the wins were my doing and the bad trades were due to external events, e.g., company CEO making a bad decision. I then compared my p...
by 2020 ButClassic
Sun May 31, 2020 11:47 am
Forum: Personal Investments
Topic: CD interest disbursement options
Replies: 11
Views: 778

Re: CD interest disbursement options

Banks will report interest to IRS on annual basis. That's true whether they pay monthly, quarterly, annually or even if you don't receive interest at all until the CD matures, say for a 5-year CD. You may get interest more frequently such as in monthly installments but the amount is slightly less si...
by 2020 ButClassic
Fri May 29, 2020 9:41 pm
Forum: Personal Investments
Topic: Best place to put my cash right now
Replies: 11
Views: 2083

Re: Best place to put my cash right now

I enjoyed it when banks gave me over 3% interest last year and accept it that they are closer to 1% now.

I don't feel compelled to chase other investment categories especially when not being able to predict the future.
by 2020 ButClassic
Fri May 29, 2020 9:29 pm
Forum: Personal Investments
Topic: Am I panicking or being prudent?
Replies: 68
Views: 7007

Re: Am I panicking or being prudent?

You are scared of two extremes and there is probably 50% chance your fears may be realized.

I would move slightly toward the conservative side as many have suggested. You'll likely still be wrong with 50% likelihood but it won't impact you financially, and especially mentally, as much.
by 2020 ButClassic
Fri May 29, 2020 9:09 pm
Forum: Personal Finance (Not Investing)
Topic: Sell or rent $2m house?
Replies: 52
Views: 4177

Re: Sell or rent $2m house?

At least in the bay area you should expect that amount of rent for a 1.5M property.

It's probably a good idea to sell unless you seriously consider returning to the area.

Watching over a property while away, especially from outside the country, is not pleasant.
by 2020 ButClassic
Wed May 20, 2020 11:54 pm
Forum: Personal Investments
Topic: Diehards advice on missing the dip
Replies: 20
Views: 3399

Re: Diehards advice on missing the dip

If you buy the SP500 today you're getting about a 13% discount compared to February. It doesn't sound bad to me. I disagree with calling it a discount. The outlook for the economy - and for corporations' profits - is very different than it was in February. "Discount" makes it sound like t...
by 2020 ButClassic
Sat May 16, 2020 2:31 am
Forum: Personal Investments
Topic: Marcus or Ally
Replies: 166
Views: 18212

Re: Marcus or Ally

Marcus dropped their interest rate for 7 month No Penalty CD from 1.55% to 1.30%, which is now the same as their current basic savings interest rate. Lol. Only a week after they emailed customers to consider No Penalty CD as a substitute when they lowered the rate on their savings. I understand the...
by 2020 ButClassic
Mon May 11, 2020 4:32 pm
Forum: Personal Investments
Topic: Marcus or Ally
Replies: 166
Views: 18212

Re: Marcus or Ally

Letter from Marcus announcing the cut on savings also touted the 1.55% APY No Penalty CD, as a substitute for customers.

This was just last week so it won't look good if Marcus dropped the No Penalty CD rates in the coming days -- at least not in May, one would hope!
by 2020 ButClassic
Sat May 09, 2020 12:59 pm
Forum: Personal Investments
Topic: Marcus or Ally
Replies: 166
Views: 18212

Re: Marcus or Ally

I don't see a good reason for other banks to pay significantly more so they may adjust. Their game is to pay marginally more so to attract customers. Marcus may rethink its rate drop strategy if other banks don't dial down the rates. Unless, Marcus now thinks it has gained brand advantage and can no...
by 2020 ButClassic
Fri May 08, 2020 9:53 pm
Forum: Personal Investments
Topic: Marcus or Ally
Replies: 166
Views: 18212

Re: Marcus or Ally

Cheez-It Guy wrote: Sun May 03, 2020 5:51 pm Savings rate will drop.
And you were right!

Marcus dropped its savings rate to 1.30% so it went from top 3 to, well, not even top 10 anymore. So much for chasing the highest rate.
by 2020 ButClassic
Thu May 07, 2020 12:20 am
Forum: Personal Investments
Topic: How not to stretch yourself too thin on home purchase?
Replies: 34
Views: 3514

Re: How not to stretch yourself too thin on home purchase?

Make sure you won't outgrow the house and forced to sell and buy a bigger one anytime soon. You will lose money in moves, taxes and transactions. And the price gap will be even larger assuming the housing market appreciates as it has in the last 100 years. And other inconveniences will follow too, i...
by 2020 ButClassic
Mon May 04, 2020 7:57 pm
Forum: Personal Investments
Topic: Tell me what I don't know about retirement?
Replies: 55
Views: 5135

Re: Tell me what I don't know about retirement?

Is that salary 2 years before retirement or before applying?

What if you retire at age 60 and apply at 65?
by 2020 ButClassic
Thu Apr 30, 2020 11:04 pm
Forum: Personal Finance (Not Investing)
Topic: Trying to lower tax on short term capital gains. Do conservation easements work?
Replies: 137
Views: 9475

Re: Trying to lower $800k tax on short term capital gains. Do conservation easements work?

I second the idea of buying high risk, high reward stocks, at least as a partial remedy. And perhaps buy more than one.

If you get lucky, hold on to the gains for future. If the risky investments don't pan out, sell but recoup part of the loss by TLH.

And, if it all goes down, then well, you tried.
by 2020 ButClassic
Wed Apr 29, 2020 10:00 pm
Forum: Personal Investments
Topic: Money market rates... Vanguard Prime vs online banks
Replies: 17
Views: 1957

Re: Money market rates... Vanguard Prime vs online banks

Online banks with high yield savings have had several weeks to adjust and lower rates even further but chose to pause. They may have found a sweet spot to maintain profitability while remaining competitive with each other. I wouldn't be surprised if the rates stayed and perhaps even climbed. There i...
by 2020 ButClassic
Sun Apr 26, 2020 12:53 am
Forum: Personal Investments
Topic: Early retirees who were close - how are you adjusting
Replies: 47
Views: 6859

Re: Early retirees who were close - how are you adjusting

That's what geerhardusvos said too, kinda , i.e, 86% rounded to 9 out of 10.
by 2020 ButClassic
Fri Apr 17, 2020 11:52 am
Forum: Personal Investments
Topic: Marcus or Ally
Replies: 166
Views: 18212

Re: Marcus or Ally

Marcus dropped the APY on its Online Savings account to 1.55%, just above Ally's 1.50%. Marcus still has significantly better CD rates though. And they emailed the customers which is good. They kept it just above the 1.50% rate to stand out! As much as I'd like having the highest rates, I get a lit...
by 2020 ButClassic
Fri Apr 17, 2020 11:42 am
Forum: Personal Investments
Topic: Marcus or Ally
Replies: 166
Views: 18212

Re: Marcus or Ally

Capital One has a nasty habit of creating a new type of account and only giving good rates on the new accounts. Easy to move your money if you pay attention, but most people don't. The bonuses are also limited to customers that haven't had an account in 4 years or so. Ally, Marcus, etc. tend to mak...
by 2020 ButClassic
Fri Apr 17, 2020 12:45 am
Forum: Personal Investments
Topic: My friend says his Roth and 401k are higher than before the pandemic started
Replies: 49
Views: 5808

Re: My friend says his Roth and 401k are higher than before the pandemic started

Your friend could have done better than others in a given slice of time. He had a conservative portfolio? Did he also do better in the last 12 months? How about the last 3 years? Or 5 years? Probably not unless he was a super active investor. And significantly luckier than 95% of his peers while shu...
by 2020 ButClassic
Tue Mar 31, 2020 9:48 pm
Forum: Investing - Theory, News & General
Topic: Easy Asset Location and Tax-loss Harvesting
Replies: 9
Views: 988

Re: Easy Asset Location and Tax-loss Harvesting

Reason for ambiguity is that my options and RSU gain is treated as "ordinary" income. I’m not a tax pro but I’m fairly sure this is wrong. The RSUs are taxes as ordinary income when they vest. Then, when you sell any difference between the price at vest and price at sale is a capital gain...
by 2020 ButClassic
Tue Mar 31, 2020 9:34 pm
Forum: Personal Investments
Topic: Marcus or Ally
Replies: 166
Views: 18212

Re: Marcus or Ally

Thank you all with great and quick responses! My primary purpose is to improve FDIC. I have done some maneuvering at Cap One such as having individual and joint accounts. I need to do more to be in the safe zone. And it feels better to diversify across banks. At least some money is available while t...
by 2020 ButClassic
Tue Mar 31, 2020 5:58 pm
Forum: Personal Investments
Topic: Marcus or Ally
Replies: 166
Views: 18212

Marcus or Ally

I have Capital One for savings and CDs but would like to add another bank.

I don't need the highest yield or absolute best web app. A well balanced bank would work.

I hear names like Marcus and Ally often. I'd appreciate your thoughts on these or if you had good experience with other places.
by 2020 ButClassic
Wed Mar 25, 2020 12:47 am
Forum: Investing - Theory, News & General
Topic: Todays +10 percent gain from QE?
Replies: 52
Views: 3996

Re: Todays +10 percent gain from QE?

I predict the actual stimulus approval will see the markets decline. Wall Street is backward. The stimulus will eventually help the markets after a few days or weeks of volatility. But I believe damages, some of which is permanent, is already done. Oddly enough some companies will emerge stronger as...
by 2020 ButClassic
Tue Mar 24, 2020 11:41 am
Forum: Personal Investments
Topic: dead cat mouse
Replies: 56
Views: 5944

Re: dead cat mouse

This could be the buy-on-the-news stage. But hopefully the downward pressure has at least subsided.
by 2020 ButClassic
Thu Mar 19, 2020 9:18 pm
Forum: Personal Investments
Topic: How can I get to my "sleep at night " allocation ?
Replies: 24
Views: 1808

Re: How can I get to my "sleep at night " allocation ?

My understanding is that your fund has already diverted a significant amount away from stocks over this super long bull market. And stocks were still powerful enough to get you to 2.3 mil. The fund did that to keep the targeted AA. Otherwise, you could be at 90/10 allocation. Maybe you won't feel ba...
by 2020 ButClassic
Wed Mar 04, 2020 9:41 pm
Forum: Personal Investments
Topic: Should I ask employer to provide a corrected w2 form?
Replies: 4
Views: 549

Re: Should I ask employer to provide a corrected w2 form?

Also watch for how it is reported to Social Security. I never paid attention but recently came across an error from 2001. The ADP payroll processing changed something and sent out a W2 for through mid March and another for the rest of the year. Apparently Social Security was not informed or did not ...
by 2020 ButClassic
Sat Feb 29, 2020 8:57 pm
Forum: Investing - Theory, News & General
Topic: Easy Asset Location and Tax-loss Harvesting
Replies: 9
Views: 988

Re: Easy Asset Location and Tax-loss Harvesting

I made a similar swap as Rick suggested. I sold HDV at about $4,000 loss and bought VTI. I'd appreciate your thoughts on the following though. I assumed that only $3,000 of loss is used for this year and I'll carry over the remaining $1,000 HDV loss to 2021. Then I remembered that I realized signifi...