Search found 11745 matches

by The Wizard
Sun Jul 22, 2018 11:26 am
Forum: Personal Consumer Issues
Topic: WSJ Article on Aging -- Scary Stuff..
Replies: 16
Views: 1761

Re: WSJ Article on Aging -- Scary Stuff..

littlebird wrote:
Sun Jul 22, 2018 11:24 am
livesoft wrote:
Sun Jul 22, 2018 11:17 am
Full disclosure: Both my parents are dead. Both my spouse's parents are dead.
Then it’s not about parents any more, it’s about YOU.
Yes indeed. The Fickle Finger of Fate is on well lubricated bearings...
by The Wizard
Sun Jul 22, 2018 11:24 am
Forum: Personal Consumer Issues
Topic: WSJ Article on Aging -- Scary Stuff..
Replies: 16
Views: 1761

Re: WSJ Article on Aging -- Scary Stuff..

Perhaps triceratops will post a link to the article outside the wsj firewall?
by The Wizard
Sun Jul 22, 2018 8:50 am
Forum: Investing - Theory, News & General
Topic: Robert Merton on NewRetirement Podcast
Replies: 44
Views: 4554

Re: Robert Merton on NewRetirement Podcast

As part of the pension/annuity dichotomy, it's amusing to ponder alternate statements using the two words. For example: 1) I am someone who has generally not been a fan of annuities. vs 2) I am someone who has generally not been a fan of pensions. Do the two statements above reflect a consistent mi...
by The Wizard
Sat Jul 21, 2018 1:40 pm
Forum: Investing - Theory, News & General
Topic: TIAA - Full POA *not* enough for all tasks any more - need "Guardianship" ??
Replies: 27
Views: 1454

Re: TIAA - Full POA *not* enough for all tasks any more - need "Guardianship" ??

tibbitts wrote:
Sat Jul 21, 2018 11:09 am
The Wizard wrote:
Sat Jul 21, 2018 11:04 am

The M* forums have been down for two days and running...
Really? Wow. It works now in read-only mode but I haven't tried posting.
You're right, it's back now...
by The Wizard
Sat Jul 21, 2018 11:19 am
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

Wow, that's bit dire, don't you think? I think it is prudent to plan for the worse. While I'm working I have a 6 month emergency fund. I think when I retire I'll want a 2 year emergency fund. Yes it will be a drag on total returns. But once I retire it is unlikely I'll want, or be able, to find ano...
by The Wizard
Sat Jul 21, 2018 11:04 am
Forum: Investing - Theory, News & General
Topic: TIAA - Full POA *not* enough for all tasks any more - need "Guardianship" ??
Replies: 27
Views: 1454

Re: TIAA - Full POA *not* enough for all tasks any more - need "Guardianship" ??

Well, this is discouraging. What if the situation involved a durable financial power of attorney? In the next year or three, I'll be considering where to move some 401k and 403b monies. I have a very favorable 403b TIAA contract with TIAA, and if I could, I would probably choose to add it to my TIA...
by The Wizard
Sat Jul 21, 2018 8:40 am
Forum: Investing - Theory, News & General
Topic: TIAA - Full POA *not* enough for all tasks any more - need "Guardianship" ??
Replies: 27
Views: 1454

Re: TIAA - Full POA *not* enough for all tasks any more - need "Guardianship" ??

I'm a little puzzled why POA or beyond is needed if DH is not presently incapacitated or in the early stages of losing it mentally. What exactly is it that needs to be done on the TIAA website when DH is in a meeting or out of town? And why can't he do it himself in a few hours. And I use the Androi...
by The Wizard
Fri Jul 20, 2018 3:01 pm
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

Definitely no guarantee on my annuity payments not going down. To do so would require some sort of creative foolishness, the sort that tends to give variable annuities a bad name. As a practical matter, my TIAA Traditional annuities are quite unlikely to have a decrease in monthly payout. And unlik...
by The Wizard
Fri Jul 20, 2018 2:15 pm
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

...Unfortunately, decent annuitization options like these aren't available to the general public. And to the point of this thread, annuity and SS income more than cover my basic/essential expenses, making my remaining portfolio available for discretionary expenses... If these decent annuitization o...
by The Wizard
Fri Jul 20, 2018 2:11 pm
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

Since your annuity payouts did not seem to include an inflation rider, that, along with you being a single male, explains the higher payout ratio. But over the long-term, you'll likely at least keep pace with inflation and probably do better. I'm glad that I'll have access to TIAA's annuities; they...
by The Wizard
Fri Jul 20, 2018 10:49 am
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

What do you think of the theory that the SPIA allows for a more aggressive equity portfolio that likely will lead to more growth and likely more legacy? I don't buy it. Buying a SPIA is not likely to provide retirees with a meaningfully greater amount in their portfolio to allocate to equities. The...
by The Wizard
Fri Jul 20, 2018 7:40 am
Forum: Investing - Help with Personal Investments
Topic: $800,000 Windfall. Love the 3-Fund portfolio approach. Wealth Managers in contact
Replies: 33
Views: 3951

Re: $800,000 Windfall. Love the 3-Fund portfolio approach. Wealth Managers in contact

How did those Wealth Managers find out about your windfall? Was there something in the paper about it or did you solicit them yourself? Doesn't matter much at this point, but the general recommendation of not publicizing your wealth is a good one, preventing both shark attacks and assorted requests ...
by The Wizard
Thu Jul 19, 2018 3:15 pm
Forum: Personal Finance (Not Investing)
Topic: Early retirement
Replies: 145
Views: 13340

Re: Early retirement

We seem to have this disagreement about what "retired" means pretty regularly. It is generally a subjective thing to many people. I don't personally care what people want to call themselves. But, for the purposes of conversations, it does help to have common meaning for words. Perhaps we could bene...
by The Wizard
Wed Jul 18, 2018 7:51 pm
Forum: Personal Finance (Not Investing)
Topic: Roth conversion
Replies: 7
Views: 984

Re: Roth conversion

$50k may be too much to convert cost effectively.
I use income leveling to figure how much to convert.
Find the amount to convert in 2018 such that your AGI for 2018 and 2019 are the same.
Can you compute that?
by The Wizard
Wed Jul 18, 2018 7:10 pm
Forum: Local Chapters and Bogleheads Community
Topic: Post your Financial Milestone Announcements Here
Replies: 424
Views: 41669

Re: Seven figure milestone

We have a continuing separate thread for good announcements like this.
Perhaps LG will merge this one....
by The Wizard
Wed Jul 18, 2018 3:24 pm
Forum: Investing - Help with Personal Investments
Topic: rollover TIAA SRA to Roth IRA - which institution and funds?
Replies: 3
Views: 240

Re: rollover TIAA SRA to Roth IRA - which institution and funds?

Only thing worth holding in a Roth IRA at TIAA is TREA. Everything else has high ERs compared to most RA/SRA plans. I presently have $1500/month being converted from my SRA (pro rata) to TREA in my Roth there. I may do an additional lump conversion in December depending on certain things. A while ag...
by The Wizard
Wed Jul 18, 2018 3:15 pm
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

People are suspicious of insurance companies taking their money for single premium lifetime payout annuities and taking a hefty sales commission on the transaction. This happens even though SPIA overhead/profit is said to be "low". What I'd like to see is the Society of Actuaries come out with annua...
by The Wizard
Wed Jul 18, 2018 2:37 pm
Forum: Personal Finance (Not Investing)
Topic: Early retirement
Replies: 145
Views: 13340

Re: Early retirement

We seem to have this disagreement about what "retired" means pretty regularly. It is generally a subjective thing to many people. I don't personally care what people want to call themselves. But, for the purposes of conversations, it does help to have common meaning for words. Perhaps we could bene...
by The Wizard
Wed Jul 18, 2018 12:16 pm
Forum: Investing - Help with Personal Investments
Topic: Opening a Traditional IRA Within Existing Vanguard Account
Replies: 19
Views: 1012

Re: Opening a Traditional IRA Within Existing Vanguard Account

I'm trying to open a traditional IRA with Vanguard right now. They are not giving me the option to withdraw money from my existing Vanguard taxable account and deposit it into my new traditional IRA. Apparently, the only way I can fund it is to transfer money from my linked bank account. I tried to...
by The Wizard
Wed Jul 18, 2018 10:00 am
Forum: Investing - Help with Personal Investments
Topic: How do you handle the urge to DO something?
Replies: 102
Views: 6479

Re: How do you handle the urge to DO something?

You'll do fine. If you find that you really, really want to go making changes, come on over to my house on a weekend. This past winter, we got a lot of storm damaged trees that came down, so I need to clean up the brush and cut up the firewood. I have 2 chain saws, so I'll keep you busy. :D Funny y...
by The Wizard
Tue Jul 17, 2018 7:58 pm
Forum: Personal Finance (Not Investing)
Topic: Semi-Retire by 40-45, possible/realistic?
Replies: 21
Views: 3461

Re: Semi-Retire by 40-45, possible/realistic?

Not sure you have enough millions to cut loose in a decade.
Let's see what happens going forward.
If you're self employed, big things can happen...
by The Wizard
Tue Jul 17, 2018 3:26 pm
Forum: Investing - Help with Personal Investments
Topic: When to invest 100000?
Replies: 36
Views: 2494

Re: When to invest 100000?

When the CAPE gets down to 10 sounds like a good time also...
by The Wizard
Tue Jul 17, 2018 2:36 pm
Forum: Investing - Theory, News & General
Topic: Robert Merton on NewRetirement Podcast
Replies: 44
Views: 4554

Re: Robert Merton on NewRetirement Podcast

As part of the pension/annuity dichotomy, it's amusing to ponder alternate statements using the two words. For example: 1) I am someone who has generally not been a fan of annuities. vs 2) I am someone who has generally not been a fan of pensions. Do the two statements above reflect a consistent mi...
by The Wizard
Tue Jul 17, 2018 2:30 pm
Forum: Investing - Theory, News & General
Topic: Robert Merton on NewRetirement Podcast
Replies: 44
Views: 4554

Re: Robert Merton on NewRetirement Podcast

...If you do partially annuitize -- let's say just a basic SPIA -- would you feel more confident then being aggressive with the remaining amount being invested? As long as the annuity plus social security covered basic expenses? Yes indeed, regarding the remaining portfolio. My annuities + age 70 S...
by The Wizard
Tue Jul 17, 2018 9:48 am
Forum: Investing - Theory, News & General
Topic: Robert Merton on NewRetirement Podcast
Replies: 44
Views: 4554

Re: Robert Merton on NewRetirement Podcast

...If you do partially annuitize -- let's say just a basic SPIA -- would you feel more confident then being aggressive with the remaining amount being invested? As long as the annuity plus social security covered basic expenses? Yes indeed, regarding the remaining portfolio. My annuities + age 70 S...
by The Wizard
Tue Jul 17, 2018 8:35 am
Forum: Investing - Theory, News & General
Topic: Robert Merton on NewRetirement Podcast
Replies: 44
Views: 4554

Re: Robert Merton on NewRetirement Podcast

People like pensions because they earned it, right? But annuities have you giving your money to an evil insurance company and you can't get it back! If you are receiving a pension worth a million dollars that is funded primarily by taxpayers, what's not to like? If you are paying a fat sales commis...
by The Wizard
Tue Jul 17, 2018 7:45 am
Forum: Investing - Theory, News & General
Topic: Robert Merton on NewRetirement Podcast
Replies: 44
Views: 4554

Re: Robert Merton on NewRetirement Podcast

As part of the pension/annuity dichotomy, it's amusing to ponder alternate statements using the two words. For example: 1) I am someone who has generally not been a fan of annuities. vs 2) I am someone who has generally not been a fan of pensions. Do the two statements above reflect a consistent min...
by The Wizard
Tue Jul 17, 2018 7:38 am
Forum: Investing - Theory, News & General
Topic: Robert Merton on NewRetirement Podcast
Replies: 44
Views: 4554

Re: Robert Merton on NewRetirement Podcast

I just came across this podcast today -- I thought it was excellent. In particular, I was intrigued by his discussion of annuities -- not so much for myself, but for my parents who have modest assets, and really depend on social security (and who I fear my depend on Medicaid someday). I feel like t...
by The Wizard
Mon Jul 16, 2018 7:27 pm
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

Married couples would get higher income in retirement from SPIAs if each bought a single life SPIA for $500,000 rather than buying a joint life SPIA for $1M. This also helps solve that nasty problem after the death of the first spouse where the survivor has excess income in a higher tax bracket. Th...
by The Wizard
Mon Jul 16, 2018 7:22 pm
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

Married couples would get higher income in retirement from SPIAs if each bought a single life SPIA for $500,000 rather than buying a joint life SPIA for $1M. Is that only because you are allocating the same dollars to two SPIAs where one has a much shorter expected duration than the joint expectanc...
by The Wizard
Mon Jul 16, 2018 3:42 pm
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

Married couples would get higher income in retirement from SPIAs if each bought a single life SPIA for $500,000 rather than buying a joint life SPIA for $1M. This also helps solve that nasty problem after the death of the first spouse where the survivor has excess income in a higher tax bracket. Th...
by The Wizard
Mon Jul 16, 2018 2:50 pm
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

Married couples would get higher income in retirement from SPIAs if each bought a single life SPIA for $500,000 rather than buying a joint life SPIA for $1M. This also helps solve that nasty problem after the death of the first spouse where the survivor has excess income in a higher tax bracket. We ...
by The Wizard
Mon Jul 16, 2018 8:52 am
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

...For that matter, there is quite a bit of evidence that the vast majority of retirees -- even ones with comparatively tiny portfolios -- don't spend them down... Ok, I think there are two related but distinct issues here. One is the level of "spending" each year in retirement and the other is you...
by The Wizard
Mon Jul 16, 2018 8:31 am
Forum: Personal Finance (Not Investing)
Topic: Duration of Sequence of Return risk for long retirements
Replies: 47
Views: 3091

Re: Duration of Sequence of Return risk for long retirements

I'm not sure if I'll have a "long" retirement or not, but when I retired in 2013 at age 63, the main duration of concern for SOR risk was the seven years until starting age 70 SS in 2020. So when I claim SS 20 months from now, the $3400+ per month from that will pretty much immunize me against SOR r...
by The Wizard
Mon Jul 16, 2018 4:51 am
Forum: Investing - Help with Personal Investments
Topic: Realizing 85% of 401k contribution going to bonds
Replies: 21
Views: 2502

Re: Realizing 85% of 401k contribution going to bonds

If you have $1M in your 401(k) + IRA at age 70, your RMD will be less than $40,000 to start with. Income taxes on that much ordinary income are rather low, so it depends on how much additional income you have from SS, pensions, etc. I suspect that many people with good sized 401(k) accounts will end...
by The Wizard
Mon Jul 16, 2018 4:17 am
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

Theory is that retirees overall spending tends to decline with age. How much of this is because they spent much of their modest nest eggs early on, unwisely perhaps, and now don't really have enough remaining to spend more? On the other hand, we have people with larger portfolios who simply lose int...
by The Wizard
Mon Jul 16, 2018 4:03 am
Forum: Personal Finance (Not Investing)
Topic: A different take on retirement income: time segmentation
Replies: 172
Views: 10140

Re: A different take on retirement income: time segmentation

...A SPIA without an inflation-adjustment could certainly be used for part of retiree's ESP. But 20-30 years of inflation are likely to take their toll on the spending power of the monthly payout, so a significant portion of the ESP should have components that have at least historically been capabl...
by The Wizard
Sat Jul 14, 2018 8:08 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security Tax Hump vs. Tax Torpedo
Replies: 21
Views: 2307

Re: Social Security Tax Hump vs. Tax Torpedo

These are two separate issues. I'm well beyond the Tax Hump zone, with 85% of my Divorced Spouse SS Benefit being taxed presently. If I ignored future planning, then i could experience that wonderful Tax Torpedo effect at age 70 ( in two years) when maximal personal SS and RMDs start. My AGI would j...
by The Wizard
Sat Jul 14, 2018 7:54 pm
Forum: Investing - Help with Personal Investments
Topic: Spending profile in retirement
Replies: 19
Views: 1586

Re: Spending profile in retirement

I don't like the OP's decline in spending as time goes on. I've managed to have my income increase most years in retirement thus far (five). Now I don't actually "spend" all of my income each year in retirement. Some goes into my new car fund and will likely get spent later. I'd be happy to increase...
by The Wizard
Sat Jul 14, 2018 10:16 am
Forum: Investing - Theory, News & General
Topic: Bucket Portfolio article by Christine Benz
Replies: 85
Views: 6320

Re: Bucket Portfolio article by Christine Benz

This thread would be far more useful with terms associated. To me a bucket is an individually defined portfolio with it's own unique AA set created to serve a timeframe or purpose. Obviously this is not the definition being used by the majority here, especially ardent anti-Bucketeers. Right. Furthe...
by The Wizard
Sat Jul 14, 2018 3:28 am
Forum: Investing - Help with Personal Investments
Topic: massive Roth conversion
Replies: 39
Views: 3106

Re: massive Roth conversion

From my perspective the older you are the less valuable Roth conversions become because you have fewer years to take advantage of the tax-free gains (assuming the conversion is not for estate purposes to potentially pass the Roth proceeds to someone in a higher tax bracket). Another "Less bang for ...
by The Wizard
Fri Jul 13, 2018 6:38 am
Forum: Personal Consumer Issues
Topic: Thesaurus Help Please
Replies: 12
Views: 684

Re: Thesaurus Help Please

Moneybags...
by The Wizard
Fri Jul 13, 2018 2:59 am
Forum: Investing - Help with Personal Investments
Topic: 26 years old. Roth ira with edward jones last 3.5 years.
Replies: 44
Views: 2544

Re: 26 years old. Roth ira with edward jones last 3.5 years.

We despise Edward Jones here. Those funds have front end loads as well. Put no more money into your EJ accounts. And quietly formulate a plan to move your Roth IRA elsewhere, as you mentioned. You will have to pay those clowns an account closing fee to escape. This will be your best decision of the ...
by The Wizard
Fri Jul 13, 2018 2:43 am
Forum: Personal Consumer Issues
Topic: Thesaurus Help Please
Replies: 12
Views: 684

Re: Thesaurus Help Please

Plutocrat...
by The Wizard
Thu Jul 12, 2018 12:54 pm
Forum: Investing - Theory, News & General
Topic: Bucket Portfolio article by Christine Benz
Replies: 85
Views: 6320

Re: Bucket Portfolio article by Christine Benz

GAAP wrote:
Thu Jul 12, 2018 12:48 pm

This is what happens automatically if you use rebalancing bands. Bands effectively provide the "buckets", without changing your target AA.
Umm, no.
No they don't...
by The Wizard
Thu Jul 12, 2018 6:48 am
Forum: Investing - Theory, News & General
Topic: Bucket Portfolio article by Christine Benz
Replies: 85
Views: 6320

Re: Bucket Portfolio article by Christine Benz

One common variation or adaptation of bucket strategies that we see here on the forum at times involves Funding the Gap while delaying SS. I'm in the midst of that now, with a seven year gap from start of retirement in 2013 to starting age 70 SS in 2020. I withdraw $3000 per month on top of other in...
by The Wizard
Wed Jul 11, 2018 12:53 pm
Forum: Investing - Theory, News & General
Topic: Bucket Portfolio article by Christine Benz
Replies: 85
Views: 6320

Re: Bucket Portfolio article by Christine Benz

One difference between a bucket scheme and a non bucket scheme is the withdrawal mechanism. Lets assume monthly withdrawals to replenish your checking account in retirement. Thats what I do. So if my target AA was 50% stocks, 45% bonds, and 5% cash, then each monthly withdrawal of $X000 would be don...
by The Wizard
Tue Jul 10, 2018 9:42 pm
Forum: Investing - Theory, News & General
Topic: Bucket Portfolio article by Christine Benz
Replies: 85
Views: 6320

Re: Bucket Portfolio article by Christine Benz

No matter what one thinks is a bucket or is not a bucket, one owns the totality of what one owns. Thinking about it differently doesn't change that fundamental truth. PJW Correct. I printed the eight page report from CB and tried to read it but gave up part way through. *sigh* I have three differen...
by The Wizard
Tue Jul 10, 2018 3:13 pm
Forum: Personal Finance (Not Investing)
Topic: What’s the median income of Bogleheads?
Replies: 29
Views: 3211

Re: What’s the median income of Bogleheads?

Right - because what you keep is more important than what you make. Consider the celebrities with amazing incomes who have relatively little to show for it. Doesn't matter. Question is strictly about income. Net Worth or level of financial assets is a different question. LeBron James's income from ...
by The Wizard
Tue Jul 10, 2018 2:48 pm
Forum: Personal Finance (Not Investing)
Topic: What’s the median income of Bogleheads?
Replies: 29
Views: 3211

Re: What’s the median income of Bogleheads?

When these topics arise, here or elsewhere, they always confuse individual income with household income.
I'm single nowadays, so my household income = my personal income.

But some people are married, so they have two incomes combined for household income.
Or not.

So what was the question again?