Search found 11974 matches

by The Wizard
Tue Sep 18, 2018 11:36 am
Forum: Personal Finance (Not Investing)
Topic: "Taking" RMDs
Replies: 18
Views: 1266

Re: "Taking" RMDs

So when you "take" your RMD, do you sell assets to do so, transfer assets and just pay the taxes, or a little of both? When I start RMDs 16 months from now, I'll continue taking monthly distributions as I have been for the past several years, except that I'll probably lower the amount down to 1/12 ...
by The Wizard
Tue Sep 18, 2018 9:43 am
Forum: Investing - Help with Personal Investments
Topic: High employer contribution, still max 403b before taxable?
Replies: 20
Views: 901

Re: High employer contribution, still max 403b before taxable?

Thanks all. I'll focus on ratcheting up my 403b contribution and hold off on taxable for now. I also had high employer contribution to my 403(b) for forty years, along with mandatory 5% contribution from me, plus elective contribution of around $23k which I maxed out my final half dozen working yea...
by The Wizard
Tue Sep 18, 2018 9:34 am
Forum: Investing - Help with Personal Investments
Topic: High employer contribution, still max 403b before taxable?
Replies: 20
Views: 901

Re: High employer contribution, still max 403b before taxable?

Unless you need the liquidity of a taxable account for something in particular you're saving for (e.g. house down payment), yes it's a no-brainer, max out tax-advantaged space first before taxable. Are you 100% sure you can't roll your tIRA into your 403b, to make room for backdoor Roth? Usually on...
by The Wizard
Mon Sep 17, 2018 10:35 pm
Forum: Personal Finance (Not Investing)
Topic: Delaying SS? How Long It Will Take for It to Pay Off?
Replies: 39
Views: 2772

Re: Delaying SS? How Long It Will Take for It to Pay Off?

Lots of folks do Roth conversions in the 22% or 24% marginal Federal tax brackets, the latter for me this year at 68. My goal is simply to levelize my income and to keep my AGI from being even higher once I start SS and RMDs in 2020... So you're assuming tax law isn't going to change with respect t...
by The Wizard
Mon Sep 17, 2018 1:34 pm
Forum: Personal Finance (Not Investing)
Topic: I see now why Rollovers can take FOREVER ....
Replies: 55
Views: 4477

Re: I see now why Rollovers can take FOREVER ....

I would have just taken that $200 in cash and paid taxes on it... As noted, it is the same forms, red tape, paperwork, faxing, phone calls, and hassle whether taking a distribution in cash or doing a direct transfer. Perhaps. But there is a TIAA online Take a Distribution function which *might* wor...
by The Wizard
Mon Sep 17, 2018 8:39 am
Forum: Personal Finance (Not Investing)
Topic: Delaying SS? How Long It Will Take for It to Pay Off?
Replies: 39
Views: 2772

Re: Delaying SS? How Long It Will Take for It to Pay Off?

All calculators I tried.... Likely none of them included the effect of SS on taxation of traditional->Roth conversions. The more t->R you can do at low marginal rates, the more favorable it is to defer SS. The marginal rates kind of depend on your filing status. Filing single, the 12% bracket goes ...
by The Wizard
Mon Sep 17, 2018 7:58 am
Forum: Investing - Help with Personal Investments
Topic: (No Savings) *Everything* in S&P 500?
Replies: 33
Views: 3699

Re: (No Savings) *Everything* in S&P 500?

While my tax deferred account has a roughly 60/40 AA, both my smaller Roth IRA and taxable accounts are all stock funds.
I no longer keep a savings account but I keep a large enough balance in checking (up to $10k) to cover all expenses aside from a new vehicle purchase...
by The Wizard
Mon Sep 17, 2018 7:40 am
Forum: Personal Finance (Not Investing)
Topic: I see now why Rollovers can take FOREVER ....
Replies: 55
Views: 4477

Re: I see now why Rollovers can take FOREVER ....

I would have just taken that $200 in cash and paid taxes on it...
by The Wizard
Sun Sep 16, 2018 7:56 am
Forum: Investing - Help with Personal Investments
Topic: TIAA near-retiree begins to consider retirement now
Replies: 22
Views: 1216

Re: TIAA near-retiree begins to consider retirement now

... Would it be OK to ask a follow-up question about having an income stream? I have been considering that this might be a good idea, but I wonder what you think of this alternative to an annuity: I'm considering the possibility of purchasing something like a duplex wherever I move, and then rentin...
by The Wizard
Sun Sep 16, 2018 3:53 am
Forum: Personal Finance (Not Investing)
Topic: How did you decide when to retire?
Replies: 41
Views: 5151

Re: How did you decide when to retire?

In my case, I was pretty good money wise for retirement and was taking additional time off for travel while still employed full-time. It got to be a bit stressful trying to catch up on my engineering work after being gone for 7-10 days every two months so I decided I didn't need that stress. I set m...
by The Wizard
Sat Sep 15, 2018 9:14 pm
Forum: Personal Finance (Not Investing)
Topic: Delaying Social Security Until 70
Replies: 82
Views: 4780

Re: Delaying Social Security Until 70

I'm striving desperately to be in the 2%.
I retired 5-1/2 years ago and have just 18 months remaining until claiming my age 70 SS.
That same year, I plan to cease Roth conversions forevermore.
Cheers...
by The Wizard
Sat Sep 15, 2018 10:33 am
Forum: Investing - Help with Personal Investments
Topic: TIAA near-retiree begins to consider retirement now
Replies: 22
Views: 1216

Re: TIAA near-retiree begins to consider retirement now

TIAA is arguably the best available provider of immediate annuities, both "fixed" (Trad) and variable (TREA and the CREF VAs). i would be interested in hearing more about this. i'm not doubting you but how did you arrive at this conclusion? cheers, grok Well there's no question that older Trad (10 ...
by The Wizard
Sat Sep 15, 2018 8:48 am
Forum: Personal Consumer Issues
Topic: I need a chainsaw to trim branches and limbs!!
Replies: 90
Views: 3793

Re: I need a chainsaw to trim branches and limbs!!

If you don't know what you're doing, a chainsaw will sho 'nuff trim your limbs. I have heard a "widowmaker" defined as a tree that falls against another tree when sawing rather than falling to the ground. My buddies and I had an accident trying to deal with a widowmaker. Thankfully the gash in one ...
by The Wizard
Sat Sep 15, 2018 8:43 am
Forum: Personal Finance (Not Investing)
Topic: The Boglehead is anti-entrepreneur?
Replies: 62
Views: 3816

Re: The Boglehead is anti-entrepreneur?

I would say that a fair number of Bogleheads members are not entrepreneurs (I wasn't) and many prefer to retire earlier rather than later, with sufficient retirement income, but not excessive. If one has larger than "needed" retirement income and/or assets, there's a tendency to say that person work...
by The Wizard
Sat Sep 15, 2018 8:29 am
Forum: Investing - Help with Personal Investments
Topic: TIAA near-retiree begins to consider retirement now
Replies: 22
Views: 1216

Re: TIAA near-retiree begins to consider retirement now

As to OP's other questions: I have no opinion on LTC insurance, but shop around if you are considering it. I'm not. M* TIAA forum is good for more info. Join it. Italy and Spain are interesting places; I've visited each briefly. No opinion on becoming full-time expat there. Do homework and visit for...
by The Wizard
Sat Sep 15, 2018 8:20 am
Forum: Investing - Help with Personal Investments
Topic: TIAA near-retiree begins to consider retirement now
Replies: 22
Views: 1216

Re: TIAA near-retiree begins to consider retirement now

I've had significant funds in TIAA through 40 years of employment and over five years of retirement thus far. Especially if you have their lowest cost funds, R3 and institutional class, they aren't too bad for holding investments. TIAA Traditional and TREA are generally called unique investments you...
by The Wizard
Fri Sep 14, 2018 6:56 pm
Forum: Personal Consumer Issues
Topic: [Wearing] Shorts in Egypt
Replies: 70
Views: 4821

Re: Shorts in Egypt

I'm a clown also.
Shorts six+ months per year.
Legs browner than yours are.
But I do take two pairs of convertible pants on my foreign trips to allow for short notice adjustments...
by The Wizard
Fri Sep 14, 2018 4:46 pm
Forum: Personal Consumer Issues
Topic: I need a chainsaw to trim branches and limbs!!
Replies: 90
Views: 3793

Re: I need a chainsaw to trim branches and limbs!!

Hire someone who: 1. Has the right equipment 2. Knows what he/she is doing This is what I do. I don't even like to watch the pros with chain saws and wood chippers. Saws and Wood chippers are awesome!!! They are indeed. What's even more awesome is a semi-trailer unit with integral conveyor belt and...
by The Wizard
Fri Sep 14, 2018 4:23 pm
Forum: Investing - Help with Personal Investments
Topic: VTSAX and VTMSX in taxable
Replies: 12
Views: 1454

Re: VTSAX and VTMSX in taxable

If you are trying to get a small cap tilt, then that's an absolutely fine way to do it in your taxable account...
by The Wizard
Fri Sep 14, 2018 12:38 pm
Forum: Investing - Help with Personal Investments
Topic: Best tool/way to manage the a portfolio of multiple accounts
Replies: 22
Views: 1240

Re: Best tool/way to manage the a portfolio of multiple accounts

I use benign neglect for portfolio management to a limited degree. I believe that's a free download. :happy I'm transitioning from the accumulation stage to the retirement stage and have been using my own Excel spreadsheets. I just need to figure out how to reconfigure them for the drawdown rather ...
by The Wizard
Fri Sep 14, 2018 11:10 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard is requiring cell phone security codes - problem for international travel (UPDATE)
Replies: 65
Views: 3689

Re: Vanguard is requiring cell phone security codes - problem for international travel (UPDATE)

I setup 2FA with Vanguard a couple months ago and it works fine. I had it remember both my smartphone and my desktop PC at home so I don't get routine text messages when I log in from either of those devices. (I no longer use a tablet or laptop.) I was able to log into Vanguard and a few other finan...
by The Wizard
Fri Sep 14, 2018 7:38 am
Forum: Investing - Help with Personal Investments
Topic: Roth conversions when we will be in 22% bracket for indefinite future
Replies: 16
Views: 1785

Re: Roth conversions when we will be in 22% bracket for indefinite future

SGM wrote:
Fri Sep 14, 2018 2:54 am
We converted over several years since 2010 when conversion was allowed regardless of income...
To be clear, Roth conversion is STILL allowed regardless of income...
by The Wizard
Fri Sep 14, 2018 5:48 am
Forum: Investing - Help with Personal Investments
Topic: Best tool/way to manage the a portfolio of multiple accounts
Replies: 22
Views: 1240

Re: Best tool/way to manage the a portfolio of multiple accounts

I use benign neglect for portfolio management to a limited degree. I'm joking a bit, but something like 85% of my portfolio is with my 403(b) provider (TIAA) and they give me a decent breakdown on the AA of those funds. Other 15% of portfolio is Roth IRA and taxable account at Vanguard, all in a mix...
by The Wizard
Fri Sep 14, 2018 5:08 am
Forum: Investing - Help with Personal Investments
Topic: Is it LMP/RP, is it Buckets, is it rising equity AA, is it mental accounting, or is it just MLA? (Myopic loss aversion)?
Replies: 17
Views: 1205

Re: Is it LMP/RP, is it Buckets, is it rising equity AA, is it mental accounting, or is it just MLA? (Myopic loss aversi

I'm not a big fan of TIPS. I retired at 63, so only half the time to age 70, seven years instead of the 15 for the OP. I had/have several thousand dollars per month income from annuities rather than pension and also withdraw $3000 per month in lieu of SS from my remaining portfolio, in the 3-4% SWR ...
by The Wizard
Thu Sep 13, 2018 8:55 pm
Forum: Investing - Help with Personal Investments
Topic: Determining when to take Social Security if you don’t need the money
Replies: 21
Views: 1736

Re: Determining when to take Social Security if you don’t need the money

What if I'm making a large $X00,000 amount in my 30s or 40s, what do I do? I save the excess to add to my Financial Independence. So if I'm retired and have excess income from SS or RMDs or wherever, I do likewise. I add it to my portfolio to ensure that the coming 50% decline in equities doesn't im...
by The Wizard
Thu Sep 13, 2018 7:57 pm
Forum: Personal Consumer Issues
Topic: I need a chainsaw to trim branches and limbs!!
Replies: 90
Views: 3793

Re: I need a chainsaw to trim branches and limbs!!

Chain saws and ladders don't mix. Take a look at the pro's equipment when you see them cutting/trimming trees - you won't see any ladders! I largely agree. The few times I've used an extension ladder with a chainsaw, I first secured the top of the ladder to the tree with a rope before coming back u...
by The Wizard
Thu Sep 13, 2018 7:50 pm
Forum: Personal Consumer Issues
Topic: I need a chainsaw to trim branches and limbs!!
Replies: 90
Views: 3793

Re: I need a chainsaw to trim branches and limbs!!

Hire someone who: 1. Has the right equipment 2. Knows what he/she is doing This is what I do. I don't even like to watch the pros with chain saws and wood chippers. Saws and Wood chippers are awesome!!! They are indeed. What's even more awesome is a semi-trailer unit with integral conveyor belt and...
by The Wizard
Thu Sep 13, 2018 7:38 pm
Forum: Investing - Help with Personal Investments
Topic: TIAA questions [GRA (Group Retirement Annuity) payout options]
Replies: 6
Views: 499

Re: TIAA questions

Additionally, many of us with larger TIAA plans use Trad as a bond surrogate, since its value can't decrease, unlike a real bond fund. But you can only use GSRA Trad to rebalance into stocks, obviously, not restricted GRA Trad. Also need to consider your overall AA. Don't see your ages mentioned, bu...
by The Wizard
Thu Sep 13, 2018 7:22 pm
Forum: Investing - Help with Personal Investments
Topic: TIAA questions [GRA (Group Retirement Annuity) payout options]
Replies: 6
Views: 499

Re: TIAA questions

You say that this is a small part of your assets and income. Therefore keep some money in GRA Trad at 4%, annuitize it for lifetime monthly income in retirement, and pat yourself on the back for being so wise in your younger years. Full disclosure: I'm 68 and have several thousand $$ per month of li...
by The Wizard
Thu Sep 13, 2018 7:01 pm
Forum: Personal Finance (Not Investing)
Topic: [TIAA: Can initial payout rate go down?]
Replies: 5
Views: 269

Re: [TIAA: Can initial payout rate go down?]

The answer is Yes, the payout rate in percent or in dollars for TIAA Traditional can drop below the initial payout rate. In fact, the payout rate can drop all the way down to the Contractual rate, meaning zero Additional Amounts. Now is anything reasonably close to this likely to happen? Not on your...
by The Wizard
Thu Sep 13, 2018 3:19 pm
Forum: Personal Consumer Issues
Topic: I need a chainsaw to trim branches and limbs!!
Replies: 90
Views: 3793

Re: I need a chainsaw to trim branches and limbs!!

If you do it yourself: 1. Make sure your health insurance is in effect 2. Have someone available to call 911 Checko, pal... :) For the OP, I'd recommend an electric pole saw. I have the Remington model and just used it a week ago half way up a six foot step ladder to extend its reach. You need an e...
by The Wizard
Wed Sep 12, 2018 9:59 am
Forum: Investing - Theory, News & General
Topic: Argument for taking social security before 70. Comments?
Replies: 111
Views: 7179

Re: Argument for taking social security before 70. Comments?

Seems the argument in OP only applies to couples then, and only cases where one spouse will get quite a bit more from the spousal benefit than own benefit. Be nice to add that to the thread title. Indeed. For single folks in good health with a decently large amount in tax deferred, the answer is cl...
by The Wizard
Wed Sep 12, 2018 9:54 am
Forum: Investing - Theory, News & General
Topic: Argument for taking social security before 70. Comments?
Replies: 111
Views: 7179

Re: Argument for taking social security before 70. Comments?

You almost have to compare with the amount you pay out of your portfolio while waiting on SS as set up in TIPS funds, or at least intermed. bonds. Else the uncertainty over that short 4 yrs. is too great. No we don't. I'm withdrawing an equivalent amount to SS from my tax deferred accounts each mon...
by The Wizard
Wed Sep 12, 2018 8:46 am
Forum: Investing - Help with Personal Investments
Topic: Opinion's: Best time to withdraw RMD's when required to do so.
Replies: 22
Views: 1468

Re: Opinion's: Best time to withdraw RMD's when required to do so.

midareff wrote:
Wed Sep 12, 2018 7:31 am
I simply withdraw (automatically) 1/12 of the required RMD monthly in the form of a transfer from VG to bank. It's just another source of income besides SS, pension, Roth, dividends from taxable and so forth.
This sounds like a really excellent way to do it...
by The Wizard
Wed Sep 12, 2018 8:45 am
Forum: Investing - Help with Personal Investments
Topic: Opinion's: Best time to withdraw RMD's when required to do so.
Replies: 22
Views: 1468

Re: Opinion's: Best time to withdraw RMD's when required to do so.

I've been withdrawing $3000/month from tax-deferred since I retired at age 63. This is instead of SS as I delay that until age 70. I turn 70-1/2 in 2020 and will adjust that $3000/month to just cover my RMD, probably a lesser amount depending on what Mr. Market does. In a twist on fungibility, I pla...
by The Wizard
Wed Sep 12, 2018 8:31 am
Forum: Personal Finance (Not Investing)
Topic: TIAA: Help with Payout Options
Replies: 24
Views: 1624

Re: TIAA: Help with Payout Options

...Wait what happened with the rep moving something from vanguard to tiaa? Just asking so this doesn’t happen to me... Sometimes employer plans with TIAA change to add or remove investment options inside or outside of TIAA. My plans certainly have. It may be that the OP's had such a change which el...
by The Wizard
Wed Sep 12, 2018 8:18 am
Forum: Personal Finance (Not Investing)
Topic: TIAA: Help with Payout Options
Replies: 24
Views: 1624

Re: TIAA: Help with Payout Options

A TIAA consultant went ahead--without my understanding or approval--and annuitized the $15k portion invested in Vanguard, but kept it "variable" in CREF stock... I think you are using incorrect terminology here. When we say "annuitized", we mean transitioning a portion of your assets from accumulat...
by The Wizard
Tue Sep 11, 2018 4:42 pm
Forum: Personal Finance (Not Investing)
Topic: backdoor Roth conversion - is this is correct?
Replies: 12
Views: 938

Re: backdoor Roth conversion - is this is correct?

Also, there likely will be a smallish taxable event on this conversion based on the gains accrued by your after-tax investments while in the tIRA...
by The Wizard
Tue Sep 11, 2018 4:40 pm
Forum: Personal Finance (Not Investing)
Topic: backdoor Roth conversion - is this is correct?
Replies: 12
Views: 938

Re: backdoor Roth conversion - is this is correct?

I just wanted to make sure that my procedure is correct here, I have never done this before. I currently have a traditional IRA that has mixed funds(a prior rollover from my an old 401k/403b, some tax-deductible contributions, and some after-tax contributions). I just found out that I can roll over...
by The Wizard
Tue Sep 11, 2018 4:33 pm
Forum: Investing - Help with Personal Investments
Topic: Roth conversions when we will be in 22% bracket for indefinite future
Replies: 16
Views: 1785

Re: Roth conversions when we will be in 22% bracket for indefinite future

I'm doing Roth conversions in the 24% bracket for the next two years, so yes it's worth it.
Forget the "top of the xx% bracket".
Just Roth convert enough to levelize your AGI before and after age 70, with an eye on IRMAA tiers...
by The Wizard
Tue Sep 11, 2018 1:59 pm
Forum: Investing - Help with Personal Investments
Topic: Lump Sum Roth Conversion vs. tax-bracketed
Replies: 13
Views: 999

Re: Lump Sum Roth Conversion vs. tax-bracketed

For those who have converted funds to a Roth IRA, did you convert a large amount at one time or stagger to keep current-year taxes in a particular bracket? And did you make your decision by comparing the results of various approaches in a calculator? I have a spreadsheet that projects my AGI year b...
by The Wizard
Tue Sep 11, 2018 8:43 am
Forum: Investing - Help with Personal Investments
Topic: RMD will turn 70 in Nov. 2018
Replies: 22
Views: 1710

Re: RMD will turn 70 in Nov. 2018

...My birthday is in Nov. so I will turn 70 1/2 in May 2019. Is my first RMD to be taken after May 2019... Note that RMDs go by whole calendar years for the most part. So you can take part or all of your first RMD starting in January, 2019. You don't have to wait until your 70-1/2 date. My plan is ...
by The Wizard
Sun Sep 09, 2018 9:42 pm
Forum: Personal Consumer Issues
Topic: What will you do when you find you have more money than expected?
Replies: 91
Views: 9621

Re: What will you do when you find you have more money than expected?

We have been retired a long time and had good luck and ok health. Did good sized QCDs to three charities this year due to our good fortune. Plan to repeat this every year. Also took a big cruise for fun. Now my wife wants a luxury car or suv. But I am moving slow as I want to leave some to our kids...
by The Wizard
Sun Sep 09, 2018 8:04 pm
Forum: Personal Finance (Not Investing)
Topic: Is anyone using a bill paying service?
Replies: 38
Views: 3920

Re: Is anyone using a bill paying service?

I'm a little surprised at the number of people in this thread who authorized companies to direct debit from their bank account. I've always been afraid to do this. What's to keep them from taking $$ that are not owed? If you close whatever account you have with them, what's to stop them from contin...
by The Wizard
Sun Sep 09, 2018 7:40 pm
Forum: Personal Finance (Not Investing)
Topic: Getting professional tax help for 2018
Replies: 9
Views: 1041

Re: Getting professional tax help for 2018

PFInterest wrote:
Sun Sep 09, 2018 7:04 pm
ask them if they know what a backdoor rIRA and have them fill out 8606.
Since tax software fills out the form 8606 automatically, that part is no challenge.
But asking about the backdoor Roth is a good idea...
by The Wizard
Sun Sep 09, 2018 5:40 am
Forum: Investing - Help with Personal Investments
Topic: New Investor, IRA/401k/Backdoor Roth
Replies: 17
Views: 991

Re: New Investor, IRA/401k/Backdoor Roth

Is there a one rollover per year rule that applies here if the OP rolls the Rollover IRA into the current 401k? Another option might to convert the entire $30,000 in the Rollover IRA to a Roth and just pay the taxes, thereby opening up the Backdoor IRA option. No need to convert the ENTIRE $30k in ...
by The Wizard
Sat Sep 08, 2018 9:04 pm
Forum: Personal Finance (Not Investing)
Topic: IRS Tax Letter - TIRA to 401k
Replies: 15
Views: 1252

Re: IRS Tax Letter - TIRA to 401k

Yeah, keep it short and simple. For purposes of the IRS letter, they are only concerned that you rolled over the distribution, so you should avoid any details regarding your IRA basis with respect to the rollover. A copy of the 401k statement showing receipt of a rollover contribution equal to the ...
by The Wizard
Sat Sep 08, 2018 8:30 pm
Forum: Investing - Help with Personal Investments
Topic: [Retirement accounts locked by Vanguard, unable to convert Admiral funds to ETF]
Replies: 57
Views: 4136

Re: [Retirement accounts locked by Vanguard, unable to convert Admiral funds to ETF]

This could be a good time to lock this thread due to exhaustion of community resources or whatever the phrase is...
by The Wizard
Sat Sep 08, 2018 8:23 pm
Forum: Personal Finance (Not Investing)
Topic: IRS Tax Letter - TIRA to 401k
Replies: 15
Views: 1252

Re: IRS Tax Letter - TIRA to 401k

Yeah, keep it short and simple. For purposes of the IRS letter, they are only concerned that you rolled over the distribution, so you should avoid any details regarding your IRA basis with respect to the rollover. A copy of the 401k statement showing receipt of a rollover contribution equal to the ...
by The Wizard
Sat Sep 08, 2018 2:39 pm
Forum: Investing - Help with Personal Investments
Topic: Equities verses Annuities
Replies: 7
Views: 1046

Re: Equities verses Annuities

...You could have a mix of both options by purchasing an SPIA for $100,000 and receive a payment of $559 per month for the rest of your life. You could keep the remainder of your assets invested and draw a small amount to meet your monthly expenses. A 3% withdrawal would be $6,000 per year and woul...