Search found 11197 matches

by The Wizard
Sat Feb 24, 2018 11:35 am
Forum: Personal Finance (Not Investing)
Topic: The Ethics of Filing a SS Restricted Application
Replies: 6
Views: 228

Re: The Ethics of Filing a SS Restricted Application

Ethics has little to do with this. We're dealing with laws and regulations derived from them. I'm single and receiving Divorced Spouse SS benefits the past two years, with two years remaining until I claim my personal benefit at 70. I've talked about this with a few folks under certain circumstances...
by The Wizard
Sat Feb 24, 2018 11:23 am
Forum: Personal Finance (Not Investing)
Topic: Draw Down Plan - Stanford Longevity Report
Replies: 10
Views: 445

Re: Stanford papers on retirement withdrawal strategies

I just took a quick look at that Stanford site...and saw regular references to retirement planning based on % of pre-retirement income (rather than spending). That seems like a red flag to me... I scanned a few of those links quickly and didn't pick up on that. However, I think that planning on rep...
by The Wizard
Sat Feb 24, 2018 11:11 am
Forum: Personal Finance (Not Investing)
Topic: Tax deduction question
Replies: 3
Views: 175

Re: Tax deduction question

The investment fees are subject to the limit of only the amount above 2% of her AGI is deductible. If you go to the forms view and look at Schedule A you''ll see entries down towards the bottom (line 23) for the investment expense (and any other items like cost of the software for tax prep) It the ...
by The Wizard
Sat Feb 24, 2018 10:11 am
Forum: Investing - Theory, News & General
Topic: Buffett - Stock to Bond ratio
Replies: 11
Views: 769

Re: Buffet - Stock to Bond ratio

It's Buffett, not Buffet.
A buffet is a serve yourself food spread...
by The Wizard
Sat Feb 24, 2018 7:46 am
Forum: Personal Finance (Not Investing)
Topic: Social Security question under old rules
Replies: 12
Views: 424

Re: Social Security question under old rules

FRA for W is 66, not 65...
by The Wizard
Fri Feb 23, 2018 2:37 pm
Forum: Personal Finance (Not Investing)
Topic: How Do People Without Computer Access Prepare and File Their Taxes?
Replies: 52
Views: 2440

Re: How Do People Without Computer Access Prepare and File Their Taxes?

mnnice wrote:
Fri Feb 23, 2018 1:55 pm
There are people in this country running businesses grossing in the high six figures and netting in six figures too with no computers or smartphones...
I find this hard to believe in 2018.
Do you have a verifiable list of these people?
by The Wizard
Fri Feb 23, 2018 11:14 am
Forum: Investing - Help with Personal Investments
Topic: Is the RMD required prior to IRA rollover?
Replies: 5
Views: 420

Re: Is the RMD required prior to IRA rollover?

My personal opinion is that yes, you should be able to rollover a tIRA from one custodian to another without regard to RMDs.

The area where it IS a problem is when you do a rollover from 401(k) or 403(b) to tIRA.
In that case, current year RMD must be taken first...
by The Wizard
Fri Feb 23, 2018 11:07 am
Forum: Personal Finance (Not Investing)
Topic: How Do People Without Computer Access Prepare and File Their Taxes?
Replies: 52
Views: 2440

Re: How Do People Without Computer Access Prepare and File Their Taxes?

They go to H&R Block or a tax preparer. Show me a person without the need and means for some sort of internet device and I show you a person without the need or the ability to do their taxes. Yeah, I suspect that's largely true. And while I'm writing this reply on my smartphone, I'd have to say it ...
by The Wizard
Fri Feb 23, 2018 10:54 am
Forum: Personal Finance (Not Investing)
Topic: How Do People Without Computer Access Prepare and File Their Taxes?
Replies: 52
Views: 2440

Re: How Do People Without Computer Access Prepare and File Their Taxes?

A lot of people, even those with relatively simple returns, go to a commercial service such as H&R Block to have their taxes done.
Perhaps that method would be in your future...
by The Wizard
Thu Feb 22, 2018 9:23 am
Forum: Investing - Theory, News & General
Topic: Retirees: The common sense withdrawal method
Replies: 149
Views: 13136

Re: Retirees: The common sense withdrawal method

... I'm getting confused with the SWR % discussion, I don't see it that way, e.g. withdraw a certain percentage. Accumulating cash on the taxable side does produce an ongoing tax drag, but weighing the options, it makes sense to me to draw down tax-deferred as much as possible at 12% tax rate even ...
by The Wizard
Thu Feb 22, 2018 7:09 am
Forum: Investing - Help with Personal Investments
Topic: retirement calculator - most that I've seen are missing some things
Replies: 18
Views: 2359

Re: retirement calculator - most that I've seen are missing some things

I just use my own Excel spreadsheet. I have some lifetime annuities that pay monthly once started. I have Divorced Spouse SS that pays from age 66 to 70. Then larger personal SS that pays from 70 on. I have monthly withdrawals from portfolio in lieu of full SS that go from start of retirement to age...
by The Wizard
Thu Feb 22, 2018 1:39 am
Forum: Investing - Help with Personal Investments
Topic: <gulp> Expensive mistake
Replies: 51
Views: 7917

Re: <gulp> Expensive mistake

What is the TSP and F fund? Non-intuitive acronyms are ubiquitous on this forum. While that's often true, I don't think this is a good example. TSP and F fund are only slightly less commonly known than 401k and TBM, which I think are fair game. . I'm sorry, what's TBM mean? Google suggests Technogy...
by The Wizard
Thu Feb 22, 2018 12:51 am
Forum: Investing - Theory, News & General
Topic: Retirees: The common sense withdrawal method
Replies: 149
Views: 13136

Re: Retirees: The common sense withdrawal method

Instead of a set percentage for withdrawal, has anyone consider or currently using a withdrawal from tax-deferred accounts (401, 403, tIRA, etc.) up to the top of the 12% tax bracket (I think that's around $101k MFJ). The idea is to minimize taxes on the tax-deferred prior to RMD, and use any of th...
by The Wizard
Wed Feb 21, 2018 4:50 pm
Forum: Personal Consumer Issues
Topic: Mental Accounting -- How to solve problem
Replies: 31
Views: 2715

Re: Mental Accounting -- How to solve problem

...Some peoples monthly income varies from $0 to $100,000k. Do you suggest they live in a dumpster 10 months out of the year? I worked as an engineer for 40 years with a decent regular monthly income. I have zero, I mean ABSOLUTELY ZERO experience with dealing with monthly income that varies from $...
by The Wizard
Wed Feb 21, 2018 2:18 pm
Forum: Personal Consumer Issues
Topic: Mental Accounting -- How to solve problem
Replies: 31
Views: 2715

Re: Mental Accounting -- How to solve problem

To the OP: you need to live within your means on a monthly basis. Variable Income is fine so long as it varies ABOVE the minimum you need each month. This makes as much sense as saying you need to live within your means on a daily basis, so can only spend money every second Friday when you have inc...
by The Wizard
Wed Feb 21, 2018 10:11 am
Forum: Personal Consumer Issues
Topic: Mental Accounting -- How to solve problem
Replies: 31
Views: 2715

Re: Mental Accounting -- How to solve problem

The first thing I would do is to stop thinking about these things monthly. It is okay to have a monthly budget but life happens and not every expense or earning comes monthly... A lot of bills are due monthly, so it's definitely the best timeframe for managing your expenses. BUT, one definitely nee...
by The Wizard
Wed Feb 21, 2018 9:35 am
Forum: Personal Consumer Issues
Topic: Mental Accounting -- How to solve problem
Replies: 31
Views: 2715

Re: Mental Accounting -- How to solve problem

...I agree with the poster that you should try to save on a monthly basis, but what if a significant chunk of your overall compensation doesn't come to the end of the year? It seems prudent to at least try to take that into account in some way. I think the default for most people (myself included) ...
by The Wizard
Wed Feb 21, 2018 6:08 am
Forum: Personal Consumer Issues
Topic: Mental Accounting -- How to solve problem
Replies: 31
Views: 2715

Re: Mental Accounting -- How to solve problem

Money is fungible. $1 in this account is the same as $1 in that account... Not true. During working years, $1 contributed to my 403(b) isn't the same as $1 put into my Roth IRA or $1 in my checking account. You need to manage each of these areas separately. To the OP: you need to live within your m...
by The Wizard
Mon Feb 19, 2018 12:57 pm
Forum: Investing - Theory, News & General
Topic: Retirees: The common sense withdrawal method
Replies: 149
Views: 13136

Re: Retirees: The common sense withdrawal method

Very few people who expect to get $35,000 from Social Security by delaying benefits to age 70 have portfolios of $1,500,000 or more at age 60. How is this commonsense advice? That sized portfolio at age 60 couldn't apply to more than 5% of the population who expect to get $35,000/yr from SS at age ...
by The Wizard
Mon Feb 19, 2018 8:07 am
Forum: Personal Finance (Not Investing)
Topic: What does it mean to be "in cash"?
Replies: 21
Views: 1255

Re: What does it mean to be "in cash"?

It means that person is the worst type of Market Timer.
A million dollars, all in money market funds, where previously they were $600,000 in stocks, possibly individual stocks...
by The Wizard
Mon Feb 19, 2018 7:33 am
Forum: Investing - Help with Personal Investments
Topic: Roth conversions to shrink RMDs
Replies: 15
Views: 1050

Re: Roth conversions to shrink RMDs

It's $85k for singles. Hm.. ok I looked up the premiums: $85,000 - $107,000: +$642/year $107,000 - $133,500: +1596 year $133,500 - $160,000: +$4180/year So converting $200,000 (4 years until RMD, $50k per year to stay under the $133,500) would be her tax rate of 24% plus 3.2% in premium increases. ...
by The Wizard
Mon Feb 19, 2018 7:10 am
Forum: Investing - Help with Personal Investments
Topic: Roth conversions to shrink RMDs
Replies: 15
Views: 1050

Re: Roth conversions to shrink RMDs

She needs to consider what her modified adjusted gross income (MAGI) will be. If she exceeds $170k MAGI, Medicare Part B charges a premium. It still may be worth it, but she needs to figure out what the impact of the premium would be. An alternative, which I have used, is to take a Roth conversion ...
by The Wizard
Mon Feb 19, 2018 12:09 am
Forum: Personal Consumer Issues
Topic: Martha’s Vineyard: Is 2 weeks too long of a vacation there?
Replies: 13
Views: 1442

Re: Martha’s Vineyard: Is 2 weeks too long of a vacation there?

Answer might depend on your total vacation/travel budget for the year, both time and money. I travel 12 weeks or more per year in retirement now. Back when I worked for a living, I had four weeks vacation, so I had to balance competing desires. So I'm more likely to do longer trips now compared to b...
by The Wizard
Fri Feb 16, 2018 9:24 am
Forum: Investing - Theory, News & General
Topic: Retirees: The common sense withdrawal method
Replies: 149
Views: 13136

Re: Retirees: The common sense withdrawal method

No. "Common Sense" withdrawals are ill defined and not appropriate for some folks. What I've done is set up lifetime annuities which cover the bulk of my retirement income needs. I am withdrawing around 4% of my tax deferred 403(b) balance each year in lieu of SS, but the bulk of that is actually a ...
by The Wizard
Fri Feb 16, 2018 3:42 am
Forum: Investing - Help with Personal Investments
Topic: Roth IRA - Trading
Replies: 9
Views: 771

Re: Roth IRA - Trading

I use my daughter’s Roth IRA account strictly for trading. Since it’s a small account, I need to grow it aggressively, but I will put a limit on how much money I will accept for trading. I don’t want to lose her hard earn money. I'm not sure this a wise idea. Do you have power of attorney or other ...
by The Wizard
Thu Feb 15, 2018 4:54 am
Forum: Personal Finance (Not Investing)
Topic: Retirement Salary requirements
Replies: 6
Views: 1260

Re: Retirement Salary requirements

I aimed for roughly the same AGI in the early years of retirement as in the latter years of employment. My retirement began in 2013 and my income has increased every year, due to things like favorable market returns, starting Divorced Spouse SS, and doing an additional modest annuitization. About $2...
by The Wizard
Wed Feb 14, 2018 12:50 pm
Forum: Investing - Help with Personal Investments
Topic: Did you learn anything from the market correction?
Replies: 160
Views: 11165

Re: Did you learn anything from the market correction?

Our first market correction (10% decline from peak) after an 8 year bull run There was a correction in 2010 (-16%), a correction in 2011 (-19%), another correction in 2011 (-9.8%), one in 2012 (-9.9%), one in 2015 (-12%), and another one in 2015-2016 (-13%). (All based on the S&P 500.) So 6 correct...
by The Wizard
Tue Feb 13, 2018 10:19 am
Forum: Investing - Help with Personal Investments
Topic: Did you learn anything from the market correction?
Replies: 160
Views: 11165

Re: Did you learn anything from the market correction?

I'm just glad this correction is over.
Alrighty, onwards and upwards!
by The Wizard
Tue Feb 13, 2018 9:07 am
Forum: Investing - Help with Personal Investments
Topic: Too late for 2017 tIRA to Roth conversions?
Replies: 2
Views: 196

Re: Too late for 2017 tIRA to Roth conversions?

Nope. 2017 is gone for good, except for contributions of IRA money up to $5500 or $6500.

For 2018, do your planning as the year rolls on and do any desired Roth conversions by the end of December...
by The Wizard
Mon Feb 12, 2018 7:24 pm
Forum: Personal Consumer Issues
Topic: What big item (>20k) are you saving up for?
Replies: 133
Views: 9579

Re: What big item (>20k) are you saving up for?

I need to buy a new Mustang before long.
My present one is a 2008 bought new, but with 100k on the odometer.
So I'm putting funds aside...
by The Wizard
Sun Feb 11, 2018 10:41 pm
Forum: Personal Consumer Issues
Topic: Birding binoculars under $500?
Replies: 21
Views: 1016

Re: Birding binoculars under $500?

The better birding binoculars are electronically stabilized, right?
by The Wizard
Sat Feb 10, 2018 7:32 am
Forum: Personal Finance (Not Investing)
Topic: Taxable income calculation ?
Replies: 8
Views: 386

Re: Taxable income calculation ?

That sounds about right.
Monitor actual withholding and project where you'll be at year's end.
And aim for a small additional amount due, not a small refund...
by The Wizard
Fri Feb 09, 2018 3:54 pm
Forum: Investing - Theory, News & General
Topic: "The stock market is officially in a correction... here's what usually happens next"
Replies: 83
Views: 13197

Re: "The stock market is officially in a correction... here's what usually happens next"

DanMahowny wrote:
Fri Feb 09, 2018 1:46 pm
...I'll get back in after equities decline 40%.
So we're having a 40% drop this time?
Oh my!!
:shock: :shock:
by The Wizard
Fri Feb 09, 2018 8:14 am
Forum: Investing - Theory, News & General
Topic: "The stock market is officially in a correction... here's what usually happens next"
Replies: 83
Views: 13197

Re: "The stock market is officially in a correction... here's what usually happens next"

MrPotatoHead wrote:
Fri Feb 09, 2018 1:40 am

LOL, apparently there is a MrPotatoHead and a mrpotatoheadsays, two different user ids.
I don't wanna get between the two of you if you have a disagreement!
by The Wizard
Tue Feb 06, 2018 5:34 pm
Forum: Investing - Help with Personal Investments
Topic: Where to keep money to get to Social Security at age 70?
Replies: 14
Views: 1239

Re: Where to keep money to get to Social Security at age 70?

I don't see a total portfolio amount, just $200k plus an unknown amount in an IRA. Let's say that unknown amount is $1 million. Then combine the $200k with it conceptually and manage the whole thing to a 60/40 AA. That's what I'm doing to bridge a SEVEN year gap and it's working fine. Now if ALL th...
by The Wizard
Tue Feb 06, 2018 5:15 pm
Forum: Investing - Theory, News & General
Topic: RBD alert [Really Bad Day]
Replies: 86
Views: 10074

Re: RBD alert [Really Bad Day]

Huh. That's it? That's all there is to employing the fabled RBD System of market timing? You can even wait until the market closes, then just check rebalancing bands? This sure seems anticlimactic, hardly worthy of an "alert." In the worst case scenario — say someone doesn't get the alert in time —...
by The Wizard
Tue Feb 06, 2018 5:06 pm
Forum: Investing - Help with Personal Investments
Topic: Where to keep money to get to Social Security at age 70?
Replies: 14
Views: 1239

Re: Where to keep money to get to Social Security at age 70?

I don't see a total portfolio amount, just $200k plus an unknown amount in an IRA. Let's say that unknown amount is $1 million. Then combine the $200k with it conceptually and manage the whole thing to a 60/40 AA. That's what I'm doing to bridge a SEVEN year gap and it's working fine. Now if ALL the...
by The Wizard
Tue Feb 06, 2018 12:52 pm
Forum: Personal Finance (Not Investing)
Topic: Financial Hole
Replies: 163
Views: 13402

Re: Financial Hole

This appears to be a different case to solve. Step 1 would be education and fact finding, to determine the OP's true situation and devise a decent plan going forward. Step 2, sadly, is to declare bankruptcy to clear the burden of CC and payday loans, which likely exceed one year's gross income for t...
by The Wizard
Tue Feb 06, 2018 12:28 pm
Forum: Personal Finance (Not Investing)
Topic: Ineligibile Roth Contributions
Replies: 9
Views: 429

Re: Ineligibile Roth Contributions

The IRS finds it quite difficult to monitor taxpayer cash flows in a timely fashion, even when forms are submitted properly. And places like vanguard.com aren't helping much either as regards ineligible Roth IRA contributions. When I log on, their website continues to prompt me to contribute $6500 f...
by The Wizard
Tue Feb 06, 2018 11:45 am
Forum: Personal Finance (Not Investing)
Topic: Ineligibile Roth Contributions
Replies: 9
Views: 429

Re: Ineligibile Roth Contributions

You have to pay an annual 6% penalty on the disallowed contributions...
by The Wizard
Tue Feb 06, 2018 10:08 am
Forum: Investing - Theory, News & General
Topic: RBD alert [Really Bad Day]
Replies: 86
Views: 10074

Re: RBD alert [Really Bad Day]

Doc wrote:
Tue Feb 06, 2018 9:59 am
bling wrote:
Tue Feb 06, 2018 9:49 am
so that looks like i can actually do a TLH here...
Nope at 9:59 AM Easten the S&P futures were up some 2%.
Not futures, ACTUALS...
by The Wizard
Mon Feb 05, 2018 9:46 pm
Forum: Investing - Theory, News & General
Topic: Where Are The 100% Equity Bulls? BND up .44%
Replies: 47
Views: 4680

Re: Where Are The 100% Equity Bulls? BND up .44%

So what. We are here for the long run, this 4.2% do not worry. If we have cash, we can buy more Conversely, if you're already 100% in stocks, you can't really buy more when a situation like this hits. Well, I suppose you could put half of your checking account balance in at 3:30 pm, but you know wh...
by The Wizard
Mon Feb 05, 2018 8:51 pm
Forum: Investing - Theory, News & General
Topic: RBD alert [Really Bad Day]
Replies: 86
Views: 10074

Re: RBD alert [Really Bad Day]

Is VTSAX below where is was in Dec 2017? I don't think so. Keep things in perspective. If you weren't doing anything 6-8 weeks ago in Dec, why do you think you should do something now? Stay the course? What does your IPS say? VTSAX is below where it was for all but 2 days in December. So today's cl...
by The Wizard
Mon Feb 05, 2018 5:57 pm
Forum: Investing - Theory, News & General
Topic: Vanguard site is crashed now?
Replies: 188
Views: 14621

Re: Vanguard site is crashed now?

If a modern company like Vanguard has 1 million account holders who have accessed their account via the Internet in the past year, then what is the proper IT design for the expected maximum number of simultaneous/concurrent logon sessions? 200,000? 800,000? IT experts here need to reach consensus if...
by The Wizard
Mon Feb 05, 2018 3:27 pm
Forum: Investing - Help with Personal Investments
Topic: IRA contribution question. Can my dad contribute?
Replies: 6
Views: 400

Re: IRA contribution question. Can my dad contribute?

DSInvestor wrote:
Mon Feb 05, 2018 1:06 pm
Roth IRA contributions are allowed after age 70.5. If they file as married filing jointly, he can contribute to his Roth IRA based on his wife’s compensation.
Yes, but if MAGI too high, then backdoor Roth contribution is not allowed if 70.5 or older...
by The Wizard
Mon Feb 05, 2018 3:18 pm
Forum: Investing - Theory, News & General
Topic: RBD alert [Really Bad Day]
Replies: 86
Views: 10074

Re: RBD alert

It appears we just had a bit of a flash crash, in the DJIA at least, followed by a decent dead cat bounce.
Make of that what you will...
by The Wizard
Mon Feb 05, 2018 3:16 pm
Forum: Investing - Theory, News & General
Topic: RBD alert [Really Bad Day]
Replies: 86
Views: 10074

Re: RBD alert

vk_217 wrote:
Mon Feb 05, 2018 3:14 pm
Should I exchange my bonds to equities.Sorry 1 year BH here and I have about 25k in equities and 5K in Bonds.
Not the whole 5K, no.
$500 at most for you, probably less...
by The Wizard
Mon Feb 05, 2018 3:08 pm
Forum: Investing - Theory, News & General
Topic: RBD alert [Really Bad Day]
Replies: 86
Views: 10074

RBD alert [Really Bad Day]

Keep an eye on the major stock metrics.
You've got 50 minutes from now to put in a buy order if things hold...
by The Wizard
Sat Feb 03, 2018 6:48 pm
Forum: Investing - Help with Personal Investments
Topic: What Would You Do With $100,000 Right Now
Replies: 28
Views: 2840

Re: What Would You Do With $100,000 Right Now

2 nights here: https://www.fourseasons.com/newyork/accommodations/specialty_suites/ty_warner_penthouse/ Money well spent. "Located between Madison Avenue and Park Avenue on Billioinaire's Row" They could at least have spelled Billionaire correctly. 8-) The wealthy are different from you and me ...
by The Wizard
Sat Feb 03, 2018 5:52 pm
Forum: Personal Finance (Not Investing)
Topic: Credit for Retirees
Replies: 29
Views: 3570

Re: Credit for Retirees

tennisplyr wrote:
Sat Feb 03, 2018 5:31 pm
I was thinking similarly. Retired for 7 years and am interested in a HELOC on a mortgage free home. What are my odds on getting one, my credit score is >800
If you can show decent AGI on the past few years' tax returns, you should be fine...