Search found 4305 matches

by House Blend
Fri Feb 16, 2018 10:35 pm
Forum: Personal Finance (Not Investing)
Topic: Elderly person’s muni bonds when moving to new state
Replies: 6
Views: 474

Re: Elderly person’s muni bonds when moving to new state

So when an elderly patient moves to a new state with nearly 80% of his/her investments in state-specific munis, should they be changed to munis from the new state? Converted to a general Vanguard muni fund? Something else? Maybe medical costs would wipe out state taxation. I haven’t yet played with...
by House Blend
Wed Feb 14, 2018 5:29 pm
Forum: Investing - Help with Personal Investments
Topic: Average Cost to SpecID questions: Did Vanguard do this correctly?
Replies: 51
Views: 1596

Re: Average Cost to SpecID questions: Did Vanguard do this correctly?

I am certainly no expert on this matter, but if you want to have SpecID for all of your shares: 1) Buy the shares on day 1, there is no way to choose SpecID on this day. 2) Next day, select SpecID as the cost basis method. This selection will apply to your __future__ lots, but not the first one. Bu...
by House Blend
Tue Feb 13, 2018 10:40 am
Forum: Investing - Theory, News & General
Topic: annuity vs. decumulation: apples to apples comparisons?
Replies: 26
Views: 1901

Re: annuity vs. decumulation: apples to apples comparisons?

Most convincingly, I ran some numbers myself on a spreadsheet, playing amateur actuary with a mortality table, and that was enough to convince me that commercial annuities are, again, in the ballpark of what's reasonable and sane. They're not grotesque rip-offs. The basic calculation isn't terribly...
by House Blend
Mon Feb 12, 2018 5:55 pm
Forum: Investing - Theory, News & General
Topic: Reuters on last week's brokerage outages
Replies: 0
Views: 217

Reuters on last week's brokerage outages

They pin the blame on smartphone apps and the need for instant gratification. Rich Bolstridge, chief strategist for financial services at cloud services provider Akamai Technologies Inc, (AKAM.O) described the wide adoption of mobile apps in finance as “the number one factor in the riskier situation...
by House Blend
Mon Feb 12, 2018 12:43 pm
Forum: Investing - Help with Personal Investments
Topic: 1099-DIV does not equal income dividends?
Replies: 8
Views: 1122

Re: 1099-DIV does not equal income dividends?

To elaborate on EDs response, yes, if you hold international stocks in taxable, then your taxable dividends will be larger than the amounts distributed to you. The fund withheld amounts to pay foreign taxes from your dividend. So for example, if your brokerage paid you $1000 in dividends from VFWAX ...
by House Blend
Mon Feb 12, 2018 11:24 am
Forum: Investing - Theory, News & General
Topic: Wellesley Income Annual Distributions Data
Replies: 5
Views: 941

Re: Wellesley Income Annual Distributions Data

The "advisors" side of the Vanguard website is better for things like this--it has 10 years of distribution history for every Vanguard fund. The "personal" side just has ~18months or so. See https://advisors.vanguard.com/VGApp/iip/site/advisor/investments/price?fundId=0027 If you want to go back far...
by House Blend
Mon Feb 12, 2018 11:17 am
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 3339
Views: 961407

Re: What Movie Have You Recently Watched?

I saw Detroit recently. Highly recommended, if you can handle the intensity. Definitely not a date night movie. It's about the Detroit riots of 1967, and one particular incident of brutality. Somewhat surprised it didn't get any Oscar recognition. Perhaps because it doesn't have a happy ending, nor ...
by House Blend
Sun Feb 11, 2018 12:09 pm
Forum: Investing - Help with Personal Investments
Topic: Unwise for High-Earner to Contribute to Traditional IRA?
Replies: 20
Views: 1600

Re: Unwise for High-Earner to Contribute to Traditional IRA?

This is interesting. A non deductible IRA could be useful for somebody with a lot of savings to park their bond allocation. I never thought of that. Yes. If you need space for bonds, non-deductible contributions to tIRA are as good a place as any and better than taxable or Roth IRA in my opinion. Y...
by House Blend
Sat Feb 10, 2018 8:20 pm
Forum: Personal Finance (Not Investing)
Topic: Yes, one is required to use the tax tables. So plan wisely to save a few dollars
Replies: 23
Views: 3450

Re: Yes, one is required to use the tax tables. So plan wisely to save a few dollars

If you have significant amounts of international stock funds in taxable, it's pretty much impossible to accurately know how much foreign tax you paid, and as a result, impossible to accurately know how much non-qualifed dividend income you will have, until after the tax year is over. No way you can ...
by House Blend
Sat Feb 10, 2018 11:27 am
Forum: Personal Finance (Not Investing)
Topic: 2018 Tax Tables
Replies: 10
Views: 1574

Re: 2018 Tax Tables

At this point I have no idea how the IRS develops the tables but if there is a "formula" or "methodology" by all means please provide a link or share the formula/methodology directly . It's pretty easy. To figure the tax on income in the range $31,400 to $31,450, use the Tax Rate Schedules for the ...
by House Blend
Thu Feb 08, 2018 2:52 pm
Forum: Investing - Help with Personal Investments
Topic: Unusual allocation issue: need help!
Replies: 10
Views: 1014

Re: Unusual allocation issue: need help!

II have two individual stock positions in the taxable, one over $300k and one over $400k, each 90+% LTCG. Both are large cap growth stocks. [snip] Since my goal, as stated in my ISP, is to bear only market risk where possible, should I divide the $200k among small cap, mid cap, and large cap value ...
by House Blend
Thu Feb 08, 2018 2:05 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: 4 Horsemen Of Your Portfolio
Replies: 107
Views: 10135

Re: Larry Swedroe: 4 Horsemen Of Your Portfolio

^Thanks for that update, especially on the history of the Life Strategy series.
by House Blend
Thu Feb 08, 2018 1:55 pm
Forum: Investing - Help with Personal Investments
Topic: VWIUX vs VBTLX in 24% tax bracket
Replies: 8
Views: 1278

Re: VWIUX vs VBTLX in 24% tax bracket

Why is the SEC yield lagging so much for the Muni fund compared to the distributions, but almost identical for VBTLX? The most recent distribution in VWIUX was recorded as 2.83% 2.83/(1-0.24) = 3.72 (pre-tax equivalent) I think it's somewhat standard practice now for muni bonds to be sold at a prem...
by House Blend
Thu Feb 08, 2018 10:36 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: 4 Horsemen Of Your Portfolio
Replies: 107
Views: 10135

Re: Larry Swedroe: 4 Horsemen Of Your Portfolio

I think it must be very difficult for an advisor to tell people stick to what I'll call a "traditional" factor-based approach (basically "small-cap value tilt"), with no changes or additions of "innovative" new things. Blue is one such portfolio, one that was actually published in print in 1998; re...
by House Blend
Thu Feb 08, 2018 9:47 am
Forum: Investing - Theory, News & General
Topic: Tax cost of international in tax-deferred
Replies: 7
Views: 827

Re: Tax cost of international in tax-deferred

One also needs to keep in mind that published returns for ex-US (or global) funds are always net after foreign taxes. So US-based investors doing historical analysis of US vs. ex-US fund returns are using a dataset that has already already factored in the foreign tax effect for tax-advantaged accoun...
by House Blend
Wed Feb 07, 2018 2:33 pm
Forum: Investing - Help with Personal Investments
Topic: Helping parents reduce taxes (dividends)
Replies: 27
Views: 1396

Re: Helping parents reduce taxes (dividends)

One more update - reviewing the Dividends and Cap Gains section of the account, the total generated in 2017 was close to $10,000, $9,600 of which were dividends. She has a mentality of not “withdrawing” out of the account, but if she needs income to pay her taxes from dividends, she will eventually...
by House Blend
Wed Feb 07, 2018 2:27 pm
Forum: Investing - Help with Personal Investments
Topic: Helping parents reduce taxes (dividends)
Replies: 27
Views: 1396

Re: Helping parents reduce taxes (dividends)

retiredjg wrote:
Wed Feb 07, 2018 2:02 pm
On the other hand, if she is turning 70 soon, she will have an RMD due by the end of the year (grace period into April next year)
Not necessarily. If her tax-deferred accounts are all employer plans (403(b), 401(k), etc), no RMD is required until the year she retires.
by House Blend
Wed Feb 07, 2018 1:21 pm
Forum: Investing - Help with Personal Investments
Topic: Helping parents reduce taxes (dividends)
Replies: 27
Views: 1396

Re: Helping parents reduce taxes (dividends)

Second question- if she needs to pull money out to help pay taxes, which fund should she pull it from? I assume as long as it is a long-term Cap Gain, it will not matter. She shouldn't sell any shares to cover the increased taxes. Just have her increase the tax withholding from her paycheck. Or (an...
by House Blend
Wed Feb 07, 2018 10:15 am
Forum: Investing - Theory, News & General
Topic: Vanguard site is crashed now?
Replies: 188
Views: 14491

Re: Vanguard site is crashed now?

Before you respond again, it is worth repeating that I responded to a post in this thread stating I would not be comfortable with a week-long website blackout. So no, I do not think that that is an unrealistic expectation to hold Vanguard to. When has Vanguard or any other brokerage ever had a week...
by House Blend
Tue Feb 06, 2018 11:42 am
Forum: Investing - Help with Personal Investments
Topic: Reallocating TIAA retirement funds quickly
Replies: 4
Views: 312

Re: Reallocating TIAA retirement funds quickly

If you are not retired, there's no way to move this money to Vanguard or Elsewhere, unless they are options within your employer's retirement plan. (Multiple record keepers are fairly common in the 403(b) world.) Once you reach age 59.5, it becomes likely that at least one or more of your accounts c...
by House Blend
Tue Feb 06, 2018 10:35 am
Forum: Investing - Theory, News & General
Topic: When is best time to Tax Loss Harvest? Beginner needs help understanding process and strategies.
Replies: 5
Views: 765

Re: When is best time to Tax Loss Harvest? Beginner needs help understanding process and strategies.

I've spent quite a bit of time this evening trying to better understand tax loss harvesting and could use some advice from a more experienced investor. The money I'm dealing with small and may not warrant any action at the moment but I want to establish a habit of Tax Loss Harvesting on BD's and RB...
by House Blend
Tue Feb 06, 2018 10:01 am
Forum: Investing - Theory, News & General
Topic: Bonds in taxable for TLH purposes
Replies: 11
Views: 954

Re: Bonds in taxable for TLH purposes

My question was less about trying to find any opportunity to TLH and more about whether the small, albeit regular TLH opportunities provided by bonds is enough to tip the calculus towards bonds in taxable. I understood the rationale put forth by WCI in his article: And the answer is no. If you are ...
by House Blend
Mon Feb 05, 2018 12:36 pm
Forum: Investing - Help with Personal Investments
Topic: TIAA real estate (QREARX) versus Vanguard REIT index (
Replies: 9
Views: 1299

Re: TIAA real estate (QREARX) versus Vanguard REIT index (

^Sure, the returns of REITs can trounce TREA. The question is whether the low volatility of TREA makes it worthwhile for you. Also, I'm not sure it's fair to consider them the same asset type. Setting aside the differences in leverage, and setting aside the fact that TREA occasionally has small posi...
by House Blend
Mon Feb 05, 2018 10:30 am
Forum: Investing - Theory, News & General
Topic: Bonds in taxable for TLH purposes
Replies: 11
Views: 954

Re: Bonds in taxable for TLH purposes

This got me thinking....couldn't this be a desired feature if one wants to ensure regular TLH opportunities? The past 5 years of stock runup has afforded limited options for TLH in equities. The TLH potential for bonds compared to stocks is minuscule. There may be good arguments for putting bonds i...
by House Blend
Mon Feb 05, 2018 9:32 am
Forum: Investing - Theory, News & General
Topic: Does MM 7 day yield include expenses?
Replies: 8
Views: 820

Re: Does MM 7 day yield include expenses?

I purchased the MM on 1/19/18. Based on the interest that posted on 1/31/18, it looks like it's earning 1.15%. I thought that I read on this forum (several times) that the 7 day yield on a money market is calculated after expenses. Am I wrong about this? As someone upthread mentioned, when you buy ...
by House Blend
Sat Feb 03, 2018 10:59 am
Forum: Investing - Theory, News & General
Topic: Original Bases on 1099?
Replies: 3
Views: 403

Re: Original Bases on 1099?

Is there any reason that I shouldn't use my numbers? The fact that your "cleaner" way is wrong should be a good enough reason not to do it. If Fund X distributes a $0.10/share return of capital, then you need to decrease the cost basis of each share of X that you owned at the time by $0.10. So all ...
by House Blend
Thu Feb 01, 2018 3:55 pm
Forum: Investing - Help with Personal Investments
Topic: Help AA/Fixed In. TIAA Traditional vs Tot Bond Index
Replies: 4
Views: 301

Re: Help AA/Fixed In. TIAA Traditional vs Tot Bond Index

Using non-liquid Traditional as 100% of your fixed income is not a no-brainer. If you have bought into BH philosophy, then you want to be able to rebalance from fixed income to equity on occasion. (Probably not lately. ;-) ) You wouldn't be able to do that except possibly by redirecting new contribu...
by House Blend
Wed Jan 31, 2018 6:07 pm
Forum: Investing - Help with Personal Investments
Topic: When are taxes due on money moved from traditional IRA to Roth?
Replies: 6
Views: 716

Re: When are taxes due on money moved from traditional IRA to Roth?

do I need to make an estimated payment now? That's one option. But you don't have to do it today; you can wait until the 1st Quarter deadline of (approx) April 15, 2018. And you could pay it all at once, or do four equal quarterly installments. Another option: If you are within a "safe harbor", you...
by House Blend
Tue Jan 30, 2018 12:25 pm
Forum: Investing - Help with Personal Investments
Topic: Early retired: Realize capital gains now, or live off muni interest?
Replies: 8
Views: 742

Re: Early retired: Realize capital gains now, or live off muni interest?

The big dilemma I am having is this: should I withdraw from equities (since they are now slightly 'overweight') and pay capital gains tax, or should I be living off the tax-free municipal bond interest? I don't see a dilemma, at least not the one you've presented. You should be taking all dividends...
by House Blend
Tue Jan 30, 2018 11:21 am
Forum: Investing - Help with Personal Investments
Topic: Extra taxes if putting international (Vwo, Vss) in retirement vs non-retirement
Replies: 4
Views: 333

Re: Extra taxes if putting international (Vwo, Vss) in retirement vs non-retirement

So if my marginal tax rate is 40% then I'll be loosing out .4*(2% or 3%) ie .8-1.2%. Is that correct? I don't know what is qualified and non-qualified. I just added their quarterly dividend that is listed by vanguard to arrive at the 2-3% figure for the past 2 years. I presume all of it is non-qual...
by House Blend
Tue Jan 30, 2018 9:54 am
Forum: Investing - Theory, News & General
Topic: Foreign Tax-Please check my math
Replies: 18
Views: 1576

Re: Foreign Tax-Please check my math

No, it's $20K in foreign *qualified* dividends that requires adjustments. OP seems to have only $16K of those, so a bit of headroom remains. The adjustment also kicks in if Taxable Income minus QDI leaves you in the 33% bracket or higher. Can you provide any more detail or a link for this? I am int...
by House Blend
Mon Jan 29, 2018 10:05 pm
Forum: Investing - Theory, News & General
Topic: Foreign Tax-Please check my math
Replies: 18
Views: 1576

Re: Foreign Tax-Please check my math

Since you have more than $20,000 in foreign dividend income, you have to use the special calculations ("adjustments") described in Publication 514 and in Form 1116 as described in the instructions. I am guessing you ignored that complication in your math, but I don't know for sure. No, it's $20K in...
by House Blend
Mon Jan 29, 2018 4:46 pm
Forum: Investing - Help with Personal Investments
Topic: Should I use taxable dividends to bump 403b?
Replies: 3
Views: 212

Re: Should I use taxable dividends to bump 403b?

It's generally a good idea. Also, if you have not been contributing the max to a Roth IRA every year that you are eligible, start doing that too. Sell some of your taxable shares if the dividends aren't big enough to cover that. Note that you can withdraw *contributions* (not gains) from a Roth IRA ...
by House Blend
Fri Jan 26, 2018 2:23 pm
Forum: Investing - Help with Personal Investments
Topic: VBLTX (Vanguard Long-Term Bond Index Fund)
Replies: 13
Views: 1307

Re: VBLTX (Vanguard Long-Term Bond Index Fund)

1. Total return is dividends/interest + price appreciation. Bond funds in the long run typically fluctuate within a range of prices and do not grow to infinity. So the return is largely derived from the interest, making price charts an especially terrible way to measure the long term return of a bon...
by House Blend
Tue Jan 23, 2018 3:28 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Conversions or Knot(in stomach)
Replies: 7
Views: 762

Re: Roth Conversions or Knot(in stomach)

rock, There are special tax rules for SS income. These can monkey with tax brackets and produce counter-intuitive strategies for Roth conversions. Even worse, my recollection is that these special rules have extra-special rules when Railroad Retirement Benefits are involved. https://www.bogleheads.o...
by House Blend
Tue Jan 23, 2018 2:31 pm
Forum: Personal Finance (Not Investing)
Topic: Rule of 55 is it official?
Replies: 38
Views: 5250

Re: Rule of 55 is it official?

Are you thinking of the "in-service withdrawal" rules? I don't think any company can prevent you from rolling over your 401k balance when you leave their employment. That is true, but a rollover is not an age-55-rule no penalty withdrawal. I don't know of any age limit to a rollover when you leave ...
by House Blend
Tue Jan 23, 2018 10:14 am
Forum: Investing - Theory, News & General
Topic: Vanguard opens special offices for $1 million clients
Replies: 108
Views: 24002

Re: Vanguard opens special offices for $1 million clients

I would have said yesterday because I sent a secure email yesterday, but I was just notified that I have a response, so the answer is today. I would agree that most of the time a single rep was no big deal. Some came and went without my ever dealing with them. I am, however, now dealing with exactl...
by House Blend
Fri Jan 19, 2018 9:12 pm
Forum: Investing - Theory, News & General
Topic: information about TIAA "revenue sharing" policies
Replies: 8
Views: 1030

Re: information about TIAA "revenue sharing" policies

No announcements from my employer on this score. Employer has always paid all recordkeeping fees on our behalf (no details or accounting provided), and since 2012 we employees have been getting free money (Plan Servicing Credits) every year on top of the 0 administrative costs. (This is completely u...
by House Blend
Fri Jan 19, 2018 9:36 am
Forum: Investing - Theory, News & General
Topic: Amazing how much your IPS can de-stress your life
Replies: 29
Views: 4051

Re: Amazing how much your IPS can de-stress your life

InvestInPasta wrote:
Thu Jan 18, 2018 7:09 pm
Can someone post an example of his IPS?!
Just to have an idea of what an IPS looks like.
Try the wiki:
https://www.bogleheads.org/wiki/Investm ... _statement
by House Blend
Fri Jan 19, 2018 9:32 am
Forum: Investing - Theory, News & General
Topic: Rebalancing in last 12 months
Replies: 19
Views: 1446

Re: Rebalancing in last 12 months

My IPS says that I *must* rebalance if certain thresholds are crossed, but it also says that I am *allowed* to make trades at any time for any reason (including phases of the moon or who wins the Super Bowl) as long as two conditions are met: 1. The trade moves the portfolio closer to my allocation ...
by House Blend
Wed Jan 17, 2018 5:00 pm
Forum: Investing - Help with Personal Investments
Topic: rebalancing in a taxable account
Replies: 9
Views: 1162

Re: rebalancing in a taxable account

Selling equities now to try to reduce our equity exposure feels like a tough pill to swallow since we're still in a fairly high tax bracket. Am I over-thinking this with my reluctance to incur capital gains? I think ultimately it boils down to deciding how much risk is too much vs. how much it cost...
by House Blend
Wed Jan 17, 2018 2:17 pm
Forum: Investing - Help with Personal Investments
Topic: Is a Stable Value fund just a Variable Annuity?
Replies: 25
Views: 1644

Re: Is a Stable Value fund just a Variable Annuity?

Is it just that they have a different name so no one realizes they are annuities? Or is there an actual difference? What are the differences? Even if it is true (I have no opinion on that score), there are so many potential differences among insurance contracts labeled "annuities", that calling som...
by House Blend
Sun Jan 14, 2018 8:47 am
Forum: Investing - Theory, News & General
Topic: AA is much harder than I thought...
Replies: 45
Views: 4974

Re: AA is much harder than I thought...

I'm 33 and have only been in the markets about a year. Accept that you won't have a real understanding of your risk tolerance until you've been through a market crash. Just about anyone who started investing after 2010 is in the same boat. In the meantime, it's a good idea to have an allocation to ...
by House Blend
Sun Jan 14, 2018 8:12 am
Forum: Investing - Theory, News & General
Topic: Tax Exempt Bond Funds - Considerations after Tax Reform
Replies: 12
Views: 1922

Re: Tax Exempt Bond Funds - Considerations after Tax Reform

David, Thanks! That makes a lot of sense. The other thing that strikes me is that there is more incentive now to move taxable income to tax-exempt bonds for people who are nearing 157K in taxable income because of that sharp 8% surge in the tax rate that kicks in at that level, from 24% to 32%. The...
by House Blend
Wed Jan 10, 2018 11:56 am
Forum: Investing - Help with Personal Investments
Topic: Taxable Fidelity Account - FSTVX vs ITOT
Replies: 53
Views: 3721

Re: Taxable Fidelity Account - FSTVX vs ITOT

The real problem with a forced capital gains distribution is not that you pay the tax but that it is forced and uncontrollable. +1. If you lose $100 to Federal tax on a distribution of LTCG, and you sell the shares three years later at a profit, it means you paid $100 of the tax three years early. ...
by House Blend
Wed Jan 10, 2018 10:49 am
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth Mess
Replies: 7
Views: 843

Re: Backdoor Roth Mess

I've considered going ahead and taking the tax hit for converting this Traditional IRA to a Roth IRA, but we live in a state with a high incoming tax (7%) and given we are needing to do a backdoor Roth you can reasonably deduce our federal bracket. We will likely only be residing in this state for ...
by House Blend
Tue Jan 09, 2018 4:21 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement 4/2018 question
Replies: 5
Views: 893

Re: Retirement 4/2018 question

Over age 50? Maxing out the 401(k) would be $24,500 (if employer allows it). Will there be any other taxable income in 2018 besides the job and the LTCG on the sale? For example, will the proceeds of the sale be invested towards retirement and start throwing off taxable income, or used to pay off de...
by House Blend
Tue Jan 09, 2018 12:00 pm
Forum: Investing - Help with Personal Investments
Topic: Do I need $$ in taxable?
Replies: 26
Views: 4128

Re: Do I need $$ in taxable?

3 types of accounts: taxable, tax-deferred and tax-free. The tax-free (Roth) should be the last money you touch (withdraw). It is poised for the best, long-term growth. This is common advice, but if your goal is to maximize your retirement spending and leave nothing behind, it's often wrong. Exampl...
by House Blend
Mon Jan 08, 2018 3:51 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement 4/2018 question
Replies: 5
Views: 893

Re: Retirement 4/2018 question

No (taxable) income in 2018 other than job + $800K in LTCG? There could be a lot of things that *might* matter (state tax?), but the immediate one that comes to mind from the information given is that even though you will be in the highest tax bracket in 2018, your (Federal) marginal tax rate will l...
by House Blend
Sun Jan 07, 2018 9:42 am
Forum: Investing - Help with Personal Investments
Topic: Do I need $$ in taxable?
Replies: 26
Views: 4128

Re: Do I need $$ in taxable?

Ok, I guess I wasn't clear in what I am wondering. Basically, the question is there any reason in retirement to have a taxable account. Why not just use a Roth account in lieu of the taxable? 3 types of accounts: taxable, tax-deferred and tax-free. The tax-free (Roth) should be the last money you t...