Search found 12948 matches

by The Wizard
Wed Apr 24, 2019 11:12 am
Forum: Personal Finance (Not Investing)
Topic: Quarterly Estimated Tax Checks & Insufficient Funds
Replies: 12
Views: 440

Re: Quarterly Estimated Tax Checks & Insufficient Funds

To simplify things and prevent this problem from ever happening again, could you setup appropriate income tax WITHHOLDING from your paycheck?
by The Wizard
Tue Apr 23, 2019 2:25 pm
Forum: Personal Consumer Issues
Topic: At what age did you buy your first first class airplane ticket?
Replies: 112
Views: 3973

Re: At what age did you buy your first first class airplane ticket?

I have NEVER bought a first class airline ticket.
I have, however, bought a first class train ticket a few times, in Europe...
by The Wizard
Tue Apr 23, 2019 7:31 am
Forum: Personal Finance (Not Investing)
Topic: travel budget in retirement
Replies: 46
Views: 2867

Re: travel budget in retirement

...They are all "one time" expenses, not reoccurring... I'm not sure about this part. I've been traveling to some degree pretty much forever. I was limited to 3-4 weeks a year in the bad old days and now have as much time as I want, limited only by money and certain other factors. While I could cer...
by The Wizard
Mon Apr 22, 2019 9:11 pm
Forum: Personal Finance (Not Investing)
Topic: travel budget in retirement
Replies: 46
Views: 2867

Re: travel budget in retirement

I'm not retired and I don't know, however, when I think about it I expect we might travel a lot in the first few years of retirement. After that? Well, after you've seen the world's major attractions once, I don't know you want to keep seeing them again and again. So I would expect that the travel ...
by The Wizard
Mon Apr 22, 2019 8:40 pm
Forum: Personal Finance (Not Investing)
Topic: travel budget in retirement
Replies: 46
Views: 2867

Re: travel budget in retirement

What is considered annual income in retirement? I look at my budgeted expenses and it is between 20-30%. It would be a lot less if I based it on my “returns”. Only you can determine what your retirement "income" is. You could have a $100k taxable pension. Or the equivalent taxable portfolio with mu...
by The Wizard
Mon Apr 22, 2019 8:32 pm
Forum: Personal Finance (Not Investing)
Topic: travel budget in retirement
Replies: 46
Views: 2867

Re: travel budget in retirement

An important thing that I've mentioned many times in the past is to figure what your Desired Income is in retirement, not just your pre retirement expenses. My pre retirement expenses were less than $50k per year and my post retirement income and expeditures are quite a bit more than that. This allo...
by The Wizard
Mon Apr 22, 2019 8:13 pm
Forum: Personal Finance (Not Investing)
Topic: travel budget in retirement
Replies: 46
Views: 2867

Re: travel budget in retirement

Similar to others, I don't really budget travel in retirement, starting year 7 a month ago. I did a month-long 7600 mile roadtrip in March which cost a few bucks with no problem. I have two European trips coming up this year along with a Caribbean dive trip I need to get planned. I keep a good sized...
by The Wizard
Mon Apr 22, 2019 7:49 pm
Forum: Personal Finance (Not Investing)
Topic: Is This Typical SSA Screw-up, or Cause for Alarm?
Replies: 10
Views: 915

Re: Is This Typical SSA Screw-up, or Cause for Alarm?

Always ask what you need to bring but it should be your birth certificate, social security card, and ID. If you were married and changed your name then your marriage certificate. I believe a detailed list is on the website. Always ask the person setting up the appointment what to bring. I just go i...
by The Wizard
Sun Apr 21, 2019 9:26 pm
Forum: Personal Investments
Topic: What should I know before selling a mutual fund for the first time?
Replies: 17
Views: 1162

Re: What should I know before selling a mutual fund for the first time?

I don’t think brokerages were required to track cost basis till 2012, but cost basis on shares bought since then should transfer. You might be able to get cost basis info from the previous brokerage../ fund co. The basis is probably more than 3k due to dividend and capital gains reinvestment over t...
by The Wizard
Sun Apr 21, 2019 9:04 pm
Forum: Personal Investments
Topic: What should I know before selling a mutual fund for the first time?
Replies: 17
Views: 1162

Re: What should I know before selling a mutual fund for the first time?

I just double checked on it now. So it looks like after I transferred the fund holding from American Funds to Schwab (now current brokerage), I lost the cost basis data... it now says "N/A" under cost basis. How would I calculate it? I don't have any paper statements. In fact I have not been follow...
by The Wizard
Sun Apr 21, 2019 8:17 pm
Forum: Personal Investments
Topic: What should I know before selling a mutual fund for the first time?
Replies: 17
Views: 1162

Re: What should I know before selling a mutual fund for the first time?

Macro wrote:
Sun Apr 21, 2019 8:13 pm
Until last week the find was held in my mother's name with me as a minor. She was the custodian.

The old account has been closed and a new one set up in my name. Holdings have been transferred.

Does it start from fresh now as it is a new account?
No...
by The Wizard
Sun Apr 21, 2019 8:14 pm
Forum: Personal Finance (Not Investing)
Topic: When to get attorney after car accident?
Replies: 19
Views: 1836

Re: When to get attorney after car accident?

Be aware that these attorneys typically get 40% of any settlement amount.
Try to negotiate it down to 35%...
by The Wizard
Sun Apr 21, 2019 8:09 pm
Forum: Personal Investments
Topic: What should I know before selling a mutual fund for the first time?
Replies: 17
Views: 1162

Re: What should I know before selling a mutual fund for the first time?

I am not sure what the initial cost basis was but probably around 3k or so and it is now worth 23k. Does that mean I'd have to pay capital gains tax on 20k worth of earnings at my current tax rate (which is 25% or so I think)? If fund dividends or capital-gains distributions or both have been reinv...
by The Wizard
Sun Apr 21, 2019 7:55 pm
Forum: Personal Investments
Topic: What should I know before selling a mutual fund for the first time?
Replies: 17
Views: 1162

Re: What should I know before selling a mutual fund for the first time?

Taxes are the main thing. Do you have a large amount of unrealized capital gains? I have an American Funds mutual fund that was set up by my parents probably around 20 years ago. I am not sure what the initial cost basis was but probably around 3k or so and it is now worth 23k. Does that mean I'd h...
by The Wizard
Sat Apr 20, 2019 3:09 pm
Forum: Personal Finance (Not Investing)
Topic: Taking more than required RMD tax free?
Replies: 13
Views: 1793

Re: Taking more than required RMD tax free?

Yes, I like the Roth conversion and the end of year plan. Question for the OP: do you do your own income taxes? [/quote] Yes, I do my own taxes via H&R Block software (and formerly TurboTax) [/quote] Good. This gives you a sharper tool to use each December in planning year-end tax strategy compared...
by The Wizard
Sat Apr 20, 2019 3:03 pm
Forum: Investing - Theory, News & General
Topic: a percentage decline is MORE than that decline OF YOUR GAINS??
Replies: 29
Views: 2261

Re: a percentage decline is MORE than that decline OF YOUR GAINS??

...Volatility Drag, as I understood it (and I'm not saying I do) is the idea that you want to avoid volatility because of the following: 1. An X% drop cannot be remediated by an X% again, (i.e. a 50% drop needs to be remediated by a whopping 100% gain to reach parity)... I think the point some of u...
by The Wizard
Sat Apr 20, 2019 1:36 pm
Forum: Investing - Theory, News & General
Topic: a percentage decline is MORE than that decline OF YOUR GAINS??
Replies: 29
Views: 2261

Re: a percentage decline is MORE than that decline OF YOUR GAINS??

Some naive people have been known to talk about gains as "house money".

I focus on Portfolio Value, whether tax-deferred or taxable accounts...
by The Wizard
Fri Apr 19, 2019 8:43 pm
Forum: Investing - Theory, News & General
Topic: This could be the biggest risk that retirees face?
Replies: 117
Views: 8164

Re: This could be the biggest risk that retirees face?

yousha wrote:
Fri Apr 19, 2019 8:31 pm
My goal is to die broke.
I'll one-up you.
My goal is both to die broke and to spend my last three years living under an interstate overpass in New Orleans.

Note: I'm lying...
by The Wizard
Fri Apr 19, 2019 8:21 pm
Forum: Personal Consumer Issues
Topic: For those who like travel, when did you retire and where are the most exciting places you travelled to?
Replies: 93
Views: 5678

Re: For those who like travel, when did you retire and where are the most exciting places you travelled to?

The title says everything. I'm not fully retired, but travel is the thing to which I want to retire. (Your financial situations may also help, if you don't mind). Good Q, I agree. I'm a SCUBA diver and for two decades prior to retirement in 2013, I did 7-10 day dive trips to the Caribbean mostly. I...
by The Wizard
Fri Apr 19, 2019 7:42 pm
Forum: Personal Consumer Issues
Topic: At what point would you hire someone vs. cut down a tree yourself?
Replies: 88
Views: 3048

Re: At what point would you hire someone vs. cut down a tree yourself?

Buy a cheap chainsaw and a polesaw. Tie it off with rope so it falls the way you want it to. I am curious how many 15" diameter trees you successfully made fall the direction you wanted by tying a rope to it? This is what I do at times on my GF's 10-acre lot. But I use a steel cable on the tree its...
by The Wizard
Fri Apr 19, 2019 6:26 pm
Forum: Personal Finance (Not Investing)
Topic: Taking more than required RMD tax free?
Replies: 13
Views: 1793

Re: Taking more than required RMD tax free?

Are you receiving social security? If so, is any of it taxed? Do you have any income from taxable accounts? If you really have no significant income except for IRA and 403b RMDs, then you have several choices. I think I would prefer converting some tIRA to Roth IRA rather than moving tIRA to taxabl...
by The Wizard
Fri Apr 19, 2019 5:59 pm
Forum: Personal Finance (Not Investing)
Topic: Taking more than required RMD tax free?
Replies: 13
Views: 1793

Re: Taking more than required RMD tax free?

If you're 72, then most income streams should be active.
It is indeed possible to owe no income tax; a good percentage of low income folks are in this situation, apparently.

And there's no downside to taking funds out of tax-deferred if tax rate is zero...
by The Wizard
Fri Apr 19, 2019 5:40 pm
Forum: Personal Finance (Not Investing)
Topic: What is the Magic Formula for when One can RETIRE ?
Replies: 24
Views: 3473

Re: What is the Magic Formula for when One can RETIRE ?

Is it as simple as when money from investments every month (stocks, real estate, whatever) is greater than one's expenses ? No. Because your expenses in retirement could be quite different (higher) than in pre-retirement. You need to come up with a Desired Retirement Income and then figure out the ...
by The Wizard
Fri Apr 19, 2019 12:42 am
Forum: Personal Investments
Topic: Thinking about selling stocks near all time highs
Replies: 98
Views: 9050

Re: Thinking about selling stocks near all time highs

We haven't recovered to new all-time high yet on any of the three major US indices...
by The Wizard
Thu Apr 18, 2019 4:23 pm
Forum: Personal Finance (Not Investing)
Topic: When did you start spending more and saving less?
Replies: 77
Views: 4852

Re: When did you start spending more and saving less?

The day after I retired. Same here. - Ron Same for me. I was able to max out my retirement account contributions for a number of years after my youngest graduated college. But I continued my reasonable travel regimen for those last full time working years. But once I retired in 2013, wham! The stop...
by The Wizard
Thu Apr 18, 2019 3:33 pm
Forum: Personal Consumer Issues
Topic: Bogleheads privacy warning
Replies: 61
Views: 5297

Re: Bogleheads privacy warning

This is why people shouldn't use their real name as their handle. Or a username / handle that they use on another forum or elsewhere on the net. Unless they're a public figure whose financial information is already out there. So what about "our" public figures, like Taylor, Mel, Rick, Larry, Bill, ...
by The Wizard
Thu Apr 18, 2019 2:23 pm
Forum: Personal Investments
Topic: Where to hold 2-3 years of living expenses
Replies: 28
Views: 4880

Re: Where to hold 2-3 years of living expenses

...I think it's better not to have a cash allocation or a large multi-year "emergency fund", we don't do either. I tend to agree with RA. I've been retired since 2013 and the bulk of my income comes from immediate annuities and a bit from divorced spouse SS. I keep no more than $10,000 in my checki...
by The Wizard
Wed Apr 17, 2019 7:25 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security - How Secure?
Replies: 28
Views: 1476

Re: Social Security - How Secure?

Thesaints wrote:
Wed Apr 17, 2019 7:05 pm
Silk McCue wrote:
Wed Apr 17, 2019 7:04 pm
Why are you taking Social Security at 62? That is a lifetime of reduced benefits.
Yes, but also 8 years of extra benefits.
Well, it's hard to beat Free Money, right?
by The Wizard
Wed Apr 17, 2019 5:28 pm
Forum: Personal Investments
Topic: Retirement Advice - Annuity or Not? RMD?
Replies: 27
Views: 1387

Re: Retirement Advice - Annuity or Not? RMD?

averagedude wrote:
Tue Apr 16, 2019 11:21 pm
i thought this was a family friendly website that had no curse words. Annuity is a word that should not belong on this website...
Boolsheet, to put it mildly.
Immediate Annuties are fine.
Do your homework...
by The Wizard
Wed Apr 17, 2019 8:02 am
Forum: Personal Investments
Topic: SSA Retirement and Child-in-Care Spousal Benefits
Replies: 10
Views: 468

Re: SSA Retirement and Child-in-Care Spousal Benefits

SSI is Supplemental Security Income.
Are you sure that's what you mean?
by The Wizard
Tue Apr 16, 2019 9:07 am
Forum: Personal Investments
Topic: Max 2019 retirement contributions?
Replies: 5
Views: 670

Re: Max 2019 retirement contributions?

Backdoor Roth of $7k does not count against the $62k limit for over-50 folks. For the Mega Backdoor Roth (using after-tax 401k): (a) 401k pre-tax (b) 401k Roth (c) 401k employer match (d) 401k after-tax (a) + (b) + (c) + (d) <= $62k for 2019, since you are over 50. For under-50 folks, this limit is...
by The Wizard
Mon Apr 15, 2019 5:36 pm
Forum: Personal Consumer Issues
Topic: Trip to Central Asia. Do you need a CC?
Replies: 44
Views: 2302

Re: Trip to Central Asia. Do you need a CC?

Cripes.
You should have certain things no matter where you travel on planet Earth.
Passport, credit cards, an ATM debit card.

Next question...
by The Wizard
Mon Apr 15, 2019 2:25 pm
Forum: Personal Consumer Issues
Topic: Boston area - nice towns for families
Replies: 79
Views: 4492

Re: Boston area - nice towns for families

Check out Ipswich. Small town on the ocean. Good schools. Its got Crane Beach and nature reserve. Boston & Maine R.R. stops there -28 miles from Boston. Respectfully, Ipswich would be about the last recommendation I would make. 40 miles away. Within five miles, Dedham or Waltham for a single family...
by The Wizard
Mon Apr 15, 2019 2:10 pm
Forum: Investing - Theory, News & General
Topic: What is your one favorite fixed income for retirement?
Replies: 45
Views: 5336

Re: What is your one favorite fixed income for retirement?

My favorite FI thing would be TIAA Traditional at around 4%, actually 3.75% starting this month for new money.
This version of Trad isn't "liquid" but that's fine for me...
by The Wizard
Mon Apr 15, 2019 11:57 am
Forum: Personal Investments
Topic: Where to hold 2-3 years of living expenses
Replies: 28
Views: 4880

Re: Where to hold 2-3 years of living expenses

My guess is that Taylor has cash coming to him each month from annuities and maybe dividends. Well, MOST retirees have cash hitting their checking account each month if they've planned properly. As for me, I keep no more than $10,000 in cash, in my checking account. The rest is kept invested in my ...
by The Wizard
Mon Apr 15, 2019 9:43 am
Forum: Personal Investments
Topic: Increasing Risk in Retirement
Replies: 26
Views: 2129

Re: Increasing Risk in Retirement

...I would think at age 63 the "mortality credit" will be very low and what about inflation risk? even with say a constant 2% COLA adjustment (the typical nominal vs TIPS yield difference ???) there is unexpected inflation risk...I am thinking of doing an SPIA ladder after age 80 - higher mortality...
by The Wizard
Mon Apr 15, 2019 9:08 am
Forum: Personal Investments
Topic: Increasing Risk in Retirement
Replies: 26
Views: 2129

Re: Increasing Risk in Retirement

If retirement is earlier than drawing SS, then there’s the added consequence of having to rely solely on portfolio early on for your entire income and later have SS base and relying on portfolio less - reverse of what you want. Wouldn’t it be prudent to establish a SS like floor (low risk) for thos...
by The Wizard
Sat Apr 13, 2019 10:11 am
Forum: Personal Finance (Not Investing)
Topic: IRS Estimated Tax Payments on ROTH conversion & Avoiding Penalties
Replies: 14
Views: 1023

Re: IRS Estimated Tax Payments on ROTH conversion & Avoiding Penalties

................................................ I also sent in a single estimated tax payment in December but it turned out that my withholding from retirement income streams came to 86% of my total tax, so I didn't have to file a 2210 for 2018 to avoid a penalty... I thought you still had to file...
by The Wizard
Sat Apr 13, 2019 9:48 am
Forum: Personal Consumer Issues
Topic: Boston area - nice towns for families
Replies: 79
Views: 4492

Re: Boston area - nice towns for families

OP, you've gotten great advice in this thread. I live in an "N town" and am very familiar with all the towns mentioned, esp. the "W towns", "M towns" and "H towns"... This is starting to get ridiculous and isn't helping to clarify things for the OP. Just say the names of the towns. I, for instance,...
by The Wizard
Sat Apr 13, 2019 9:37 am
Forum: Personal Finance (Not Investing)
Topic: IRS Estimated Tax Payments on ROTH conversion & Avoiding Penalties
Replies: 14
Views: 1023

Re: IRS Estimated Tax Payments on ROTH conversion & Avoiding Penalties

If I pay taxes through Fidelity from the IRA withdrawal it doesn't seem to be an issue and no Form 2210 required. I assumed this was because it was treated as paid throughout the year. Is that correct? If so, why would withdrawing from a Fidelity taxable account and having Fidelity send to IRS be d...
by The Wizard
Sat Apr 13, 2019 9:12 am
Forum: Personal Finance (Not Investing)
Topic: IRS Estimated Tax Payments on ROTH conversion & Avoiding Penalties
Replies: 14
Views: 1023

Re: IRS Estimated Tax Payments on ROTH conversion & Avoiding Penalties

...24% is also IRMAA territory; perhaps you're aware and just filling up the bracket. Correct, which is why some of us do Roth conversions in December after we have a good idea what our total AGI/MAGI for the year will be. The idea is to do a Roth conversion to get up close to the next IRMAA thresh...
by The Wizard
Sat Apr 13, 2019 8:50 am
Forum: Personal Finance (Not Investing)
Topic: IRS Estimated Tax Payments on ROTH conversion & Avoiding Penalties
Replies: 14
Views: 1023

Re: IRS Estimated Tax Payments on ROTH conversion & Avoiding Penalties

1) Can I file a Form 2210 only now and get penalty eliminated? (Will probably just pay penalty, but would prefer to keep the $100) Yes . 2) If I do a late Roth conversion in 2019, make a separate est. tax payment, and file with a Form 2210, would that eliminate a penalty for 2019? Yes . 3)If I do a...
by The Wizard
Fri Apr 12, 2019 10:38 am
Forum: Personal Investments
Topic: What definition of income do you use to figure out the percent you pay in taxes
Replies: 19
Views: 1367

Re: What definition of income do you use to figure out the percent you pay in taxes

It's hard enough to figure out how much to send the IRS. Once that is done, I am done. That's exactly why I need to know my marginal tax rate. The last few Decembers, I've sat down and totalled up my AGI for the year, which I can do pretty accurately at that point. I then figure how much additional...
by The Wizard
Thu Apr 11, 2019 10:51 am
Forum: Investing - Theory, News & General
Topic: Calculating ROI w dividends
Replies: 8
Views: 648

Re: Calculating ROI w dividends

DeadPoets wrote:
Sun Apr 07, 2019 10:21 pm
So let me give you my example

Dividends are reinvested.

Total cost = 3804
Ending balance = 4115
Dividends = 30
Short term capital gains = 311
So your total return is $341 on the $3804 starting amount.
Easy to compute a percentage, depending on what you are trying to do...
by The Wizard
Thu Apr 11, 2019 10:40 am
Forum: Personal Finance (Not Investing)
Topic: Paying Estimated Taxes in Retirement
Replies: 24
Views: 1513

Re: Paying Estimated Taxes in Retirement

Step one for the OP is to estimate your AGI for the year and it sounds like you have a good handle on that already. With the new SALT limitation and standard deduction, it's easier for many of us to estimate our total tax from our AGI than it used to be. I would recommend setting up withholding for ...
by The Wizard
Thu Apr 11, 2019 10:01 am
Forum: Personal Finance (Not Investing)
Topic: Torment from the IRS
Replies: 16
Views: 2331

Re: Torment from the IRS

Let's hope that the electronic payment system EFTPS has no such silly limitations...
by The Wizard
Thu Apr 11, 2019 9:53 am
Forum: Investing - Theory, News & General
Topic: 2019 BOGLEHEADS CONFERENCE REGISTRATION IS CLOSED. WAIT LIST IS AVAILABLE.
Replies: 89
Views: 7566

Re: 2019 BOGLEHEADS CONFERENCE REGISTRATION OPEN ANNOUNCEMENT

Can't make it this year.
The rest of you have a good time with it...
by The Wizard
Wed Apr 10, 2019 5:30 pm
Forum: Personal Finance (Not Investing)
Topic: Preparing for Climate Change
Replies: 17
Views: 823

Re: Preparing for Climate Change

I'm preparing by buying more T-shirts and short pants...
by The Wizard
Wed Apr 10, 2019 1:24 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Return lost in mail, do I simply refile?
Replies: 29
Views: 2337

Re: Tax Return lost in mail, do I simply refile?

Certified mail provides proof of mailing, and, if you have requested a return receipt, proof of delivery. This service should suffice for you to establish that you timely mailed your return... As we've pointed out in other threads, certified mail proves that you mailed *something* to the IRS, most ...
by The Wizard
Wed Apr 10, 2019 10:19 am
Forum: Investing - Theory, News & General
Topic: Reverse Gear - The Bogleheads
Replies: 9
Views: 1334

Re: Reverse Gear - The Bogleheads

I don’t know of anyone like that, but how would we know? And WHY would it matter? I'm sure some folks have put their 5% of play money into individual stocks and made out well...for now. So maybe they get convinced they're good at stock picking and expand their individuals. Good luck to them...