Search found 6938 matches

by Wagnerjb
Mon Aug 14, 2017 8:03 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Hazards Of Individual Stocks
Replies: 3
Views: 1186

Re: Larry Swedroe: Hazards Of Individual Stocks

I first learned this concept in the small value asset class, where the performance of the whole class is due to the performance of a few huge winners that no one can reliably predict in advance. Dave I think this concept (of huge winners) is pretty much confined to the small cap sector. A group of ...
by Wagnerjb
Wed Jul 26, 2017 1:28 pm
Forum: Investing - Help with Personal Investments
Topic: What is the portfolio role of a leveraged bond fund like PONDX?
Replies: 44
Views: 1792

Re: What is the portfolio role of a leveraged bond fund like PONDX?

There is lots of crap out there that doesn't belong in a disciplined investors portfolio. Those investments are sold to people who are gullible or who have psychological issues causing them to want something unusual. Just say no. With an expense ratio of 0.79%, this fund serves to remove assets from...
by Wagnerjb
Sun Jul 23, 2017 11:56 pm
Forum: Investing - Help with Personal Investments
Topic: Stock Options and NQDC strategies
Replies: 8
Views: 458

Re: Stock Options and NQDC strategies

I'm feeling a bit anxious because my vested stock options are increasingly becoming a higher percentage of my NW, so while I don't want to be too concentrated in the NQDC accounts, I think it's a better alternative to diversify. A sensible risk management strategy is to set a limit for how much of ...
by Wagnerjb
Sun Jul 23, 2017 2:15 pm
Forum: Investing - Help with Personal Investments
Topic: Stock Options and NQDC strategies
Replies: 8
Views: 458

Re: Stock Options and NQDC strategies

I used the same strategy with my stock options and NQDC plan. Mike has given you some sensible thoughts on use of the NQDC plan. You don't want to contribute too much early in your career, you don't want to have too much of your nest egg in the NQDC plan, and you want to get it out quickly after ret...
by Wagnerjb
Mon Jul 03, 2017 11:35 am
Forum: Investing - Help with Personal Investments
Topic: Vested NQ Stock Options - Cash out or sit tight?
Replies: 7
Views: 384

Re: Vested NQ Stock Options - Cash out or sit tight?

Marshall: it sounds like you have a very well-thought out plan, and I agree with it. You have considered the time value remaining, how the option value impacts your diversification, taxes and more.

Well done.
by Wagnerjb
Fri Jun 30, 2017 8:59 am
Forum: Investing - Theory, News & General
Topic: Thoughts about tilting away from the sector you work in?
Replies: 32
Views: 2441

Re: Thoughts about tilting away from the sector you work in?

This is something that may be theoretically justified but is pretty hard to accomplish. In theory, accomplishing this would involve things like (in order of most to least reasonable) 3. Have a passive, buy and hold individual stock portfolio of stocks that aren't in the sector of employment Option ...
by Wagnerjb
Mon Jun 26, 2017 1:59 pm
Forum: Investing - Help with Personal Investments
Topic: Looking into selling a structured settlement and need some advice
Replies: 66
Views: 4261

Re: Looking into selling a structured settlement and need some advice

Here is what I would do. I would keep the structured settlement and live off of it. That's my GUARANTEED cash flow that I can use to eat for the rest of my life. Next, I would work hard in my day job and save money. I don't need that salary to eat, so I can invest all that "extra" money t...
by Wagnerjb
Tue Jun 06, 2017 9:33 am
Forum: Investing - Help with Personal Investments
Topic: When a company spins off part of itself, do you keep the new company stock?
Replies: 17
Views: 915

Re: When a company spins off part of itself, do you keep the new company stock?

I have received spin-offs over the years in my individual stock portfolio. In general, I look to dispose of those new shares. However, if the new holding is large and has a significant capital gain (It will have the same % gain as in the parent company), then I won't automatically sell. In that case...
by Wagnerjb
Mon Jun 05, 2017 9:15 am
Forum: Personal Finance (Not Investing)
Topic: Mortgages for seniors
Replies: 8
Views: 886

Re: Mortgages for seniors

I was retired and got a mortgage in 2012. I have no idea what criteria they used but I would think having assets to cover the mortgage made it a slam dunk for the bank. This wasn't true in my case. I took out a mortgage on a new build in 2014 when I was working. I retired in 2015, and last year I r...
by Wagnerjb
Sun May 28, 2017 10:16 am
Forum: Investing - Help with Personal Investments
Topic: Unwinding a maturing UTMA to pay least taxes
Replies: 18
Views: 1275

Re: Unwinding a maturing UTMA to pay least taxes

? If son is age of majority, why is there a "kiddie tax" ? or are you just saying that as a young adult he has a possible tax liability? Perhaps still a dependent due to student status, etc. But it does raise the question: can the son wait a couple of years until he is limited not by the ...
by Wagnerjb
Tue May 23, 2017 11:39 pm
Forum: Investing - Theory, News & General
Topic: Are all markets efficient?
Replies: 28
Views: 1832

Re: Are all markets efficient?

whodidntante wrote:Small, value and other factors are not sufficient to refute the EMH. If you could reliably train stock pickers to beat the market by acting on information in 10ks then you will have disproven the EMH.

Well said.
by Wagnerjb
Thu May 18, 2017 9:34 pm
Forum: Personal Finance (Not Investing)
Topic: Question for you high net worth individuals... [real estate investments]
Replies: 82
Views: 11250

Re: Question for you high net worth individuals...

retired recently wrote:Zero. High-paying job and frugal living.


Same here
by Wagnerjb
Thu Apr 27, 2017 9:33 am
Forum: Investing - Help with Personal Investments
Topic: Stock options and tax planning
Replies: 6
Views: 385

Re: Stock options and tax planning

There is a minimal deferred compensation plan I can enroll in (applies to bonus only, choose % to send into deferred compensation plan ahead of time), but next option to opt-in is at the end of 2017 for money that would normally be payed out January 2020. You can elect to defer 100% of your bonus t...
by Wagnerjb
Wed Apr 26, 2017 3:31 pm
Forum: Investing - Help with Personal Investments
Topic: Stock options and tax planning
Replies: 6
Views: 385

Re: Stock options and tax planning

Are you eligible to participate in a management Deferred Compensation plan? If so, that presents a wonderful opportunity for tax management that could dovetail with exercising the options. Let us know...if you are, I will outline the strategy.

Best wishes.
by Wagnerjb
Wed Apr 26, 2017 8:37 am
Forum: Investing - Help with Personal Investments
Topic: $1m capital gains, worth it to simplify and index?
Replies: 46
Views: 4450

Re: $1m capital gains, worth it to simplify and index?

My takeaways are: 1) take a few years to unwind to stay in the 15% LTCG bracket 2) stop auto-reinvestment 3) sell disproportionate holdings from overweight sectors (unsurprisingly, there is much overlap here) 4) sell others from overweight sectors and other disproportionate holdings 5) look into a ...
by Wagnerjb
Mon Apr 24, 2017 8:58 am
Forum: Personal Consumer Issues
Topic: If you are financially independent, how much monywould you bother to make?
Replies: 31
Views: 3956

Re: If you are financially independent, how much monywould you bother to make?

For (1), I have no problem spending $1,000 in 3 months and no problem in payment, so $200 is an easy money. The reason that I did not apply is because that I already have too many credit cards and there may be better offer in the future, and $200 is not very much. I am completely retired and comple...
by Wagnerjb
Wed Apr 19, 2017 8:10 am
Forum: Investing - Help with Personal Investments
Topic: TaxAct not calculating capital gain harvesting properly?
Replies: 28
Views: 1852

Re: TaxAct not calculating capital gain harvesting properly?

I'm 15% MFJ and they did correctly $0 tax my QDs, though I didn't have much. I have already filed and I can still go in and mess with the forms/numbers. I even did a $20k fictional SEP deduction for my wife since she isn't self employed and then did the small $100 capital gain and it still said I o...
by Wagnerjb
Tue Apr 18, 2017 4:13 pm
Forum: Investing - Theory, News & General
Topic: Weight loss and investing
Replies: 35
Views: 4366

Re: Weight loss and investing

Excellent list, and I agree 100% with the comparisons. Also, in both activities there is a lot of money to be made telling naive or lazy people what they want to hear and how easy it is to lose weight or retire early. "Lose weight without exercise"...."You can retire rich", etc. ...
by Wagnerjb
Tue Apr 18, 2017 1:53 pm
Forum: Investing - Help with Personal Investments
Topic: employer executive savings plan and 180k cash - prioritizing help
Replies: 14
Views: 1519

Re: employer executive savings plan and 180k cash - prioritizing help

Jason: I am 59 and I participated in a NQDC plan during my career, and the poster Hand has offered very sensible advice. Another risk not mentioned is that you might end up getting a 100% NQDC payout if you leave the firm before retirement. The huge tax burden on this distribution might more than of...
by Wagnerjb
Tue Apr 18, 2017 11:47 am
Forum: Investing - Theory, News & General
Topic: value of stock options
Replies: 30
Views: 2274

Re: value of stock options

I would love to see such a study, if you would be so kind as to provide a link. Sure. Here is a paper fleshing out such a view: m Thanks. I was hoping for an analytical calculation of the value of poor diversification as compared to the value destruction of early exercise. The paper you linked prov...
by Wagnerjb
Tue Apr 18, 2017 10:24 am
Forum: Investing - Theory, News & General
Topic: everywhere we are encouraged to trade and to our detriment
Replies: 31
Views: 3486

Re: everywhere we are encouraged to trade and to our detriment

I was just thinking about progress in our "modern times." We as investors are encouraged to trade, trade, trade. The brokerage houses lowered commissions drastically from what they were years ago. Everywhere I go I see people intently watching their hand held computers even when crossing ...
by Wagnerjb
Mon Apr 17, 2017 8:06 am
Forum: Personal Finance (Not Investing)
Topic: Living off loans to limit income?
Replies: 8
Views: 1558

Re: Living off loans to limit income?

Apparently it is common among the uber rich to live off loans secured by property, avoiding income taxes. You can do it too. Just get a margin loan against your investments. And get a mortgage against your property. There is nothing so secret or sophisticated about borrowing against your assets.
by Wagnerjb
Mon Apr 17, 2017 7:59 am
Forum: Investing - Theory, News & General
Topic: value of stock options
Replies: 30
Views: 2274

Re: value of stock options

So these are tricky. Standard models imply waiting until right before expiration. Standard models are missing a crucial factor, however, which is that if you have enough of these, they may represent a large portion of your net worth. If so, then they are putting you into a situation of being not pr...
by Wagnerjb
Mon Apr 17, 2017 7:46 am
Forum: Investing - Theory, News & General
Topic: Stable value funds as interest rates rise
Replies: 43
Views: 3199

Re: Stable value funds as interest rates rise

This could have further implications such as whether or not you keep a retirement account after leaving an employer, to keep access to a SVF that won't exist in an IRA, when you don't yet know if you'll even want that SVF in the future. I began investing in our 401k plan in 1983 and at that time - ...
by Wagnerjb
Sun Apr 16, 2017 9:50 pm
Forum: Personal Consumer Issues
Topic: Donations to charity for 2016 tax year (and 2017)...
Replies: 9
Views: 1250

Re: Donations to charity for 2016 tax year (and 2017)...

We also gave 5% of our AGI in 2016. As Jebmke suggested, we use a Donor Advised Fund and the 5% figure is the amount we requested to be granted to various charities in 2016. If you add the 100% charitable matching that my company offers, charities got an amount that is equal to 10% of my AGI. In add...
by Wagnerjb
Sun Apr 16, 2017 8:42 pm
Forum: Investing - Help with Personal Investments
Topic: How much money do you need to generate $50,000 per month?
Replies: 60
Views: 8129

Re: How much money do you need to generate $50,000 per month?

Yes, but with a caveat. Someone who seeks $50,000 per month (pre-tax) also likely could live very comfortably on half that number (if needed). That's not true for someone who is looking to live comfortably on $50,000 per year. In both cases they would have to cut their living expenses by 50%. It is...
by Wagnerjb
Fri Apr 14, 2017 11:46 pm
Forum: Personal Finance (Not Investing)
Topic: 1099-B question (date acquired 1/1/1900)
Replies: 22
Views: 1390

Re: 1099-B question (date acquired 1/1/1900)

Hi FiveK: I also volunteer in the AARP TaxAide program, and we have been instructed to mail in the 1099-B forms if we summarize. One of my colleagues had such a taxpayer last week, and TaxSlayer automatically printed out the form 8453 to accompany the 1099-B. Setting aside what people actually do, ...
by Wagnerjb
Fri Apr 14, 2017 6:07 pm
Forum: Personal Finance (Not Investing)
Topic: 1099-B question (date acquired 1/1/1900)
Replies: 22
Views: 1390

Re: 1099-B question (date acquired 1/1/1900)

My understanding is that the OP won't have to send in his 1099-B if he lists each individual transaction from the 1099-B on schedule 8949. If the OP chooses to summarize a large number of individual sales transactions (that are listed on the 1099-B) and list only the subtotal on schedule 8949, then...
by Wagnerjb
Fri Apr 14, 2017 11:53 am
Forum: Personal Consumer Issues
Topic: Cost Creep and Teen and College Years?
Replies: 52
Views: 4000

Re: Cost Creep and Teen and College Years?

Wagnerjb, By doing that, you had trained/coached/conditioned your children that they need to "keep up with the Jones". Depending on your point of view, it may or may not be a good thing. KlangFool I have a different view of the situation. I can afford summer camp, a decent used car for a ...
by Wagnerjb
Fri Apr 14, 2017 10:15 am
Forum: Personal Finance (Not Investing)
Topic: New Home - Design Center Options - making smart choices
Replies: 30
Views: 2745

Re: New Home - Design Center Options - making smart choices

Finally, after 2 month search - we narrowed down a lot in a community and a floor plan that we like. Home Price ( Base + Lot premium + structural upgrades ) is about $510K. Builder has offered $20K incentive towards home upgrades and if we stay at or below $20K, $510K will be our final price. We an...
by Wagnerjb
Fri Apr 14, 2017 9:51 am
Forum: Personal Consumer Issues
Topic: Cost Creep and Teen and College Years?
Replies: 52
Views: 4000

Re: Cost Creep and Teen and College Years?

If kids do get into competitive club sports, you're looking at >2k/yr. Yes, that amount and likely a lot more. Even if your child is just on a sports team (not at an elite level), you could spend a lot of money on lessons, on equipment, on summer camps, on clothes. My children did tennis (boy) and ...
by Wagnerjb
Fri Apr 14, 2017 9:35 am
Forum: Personal Finance (Not Investing)
Topic: Carrying a mortgage into retirement
Replies: 39
Views: 4907

Re: Carrying a mortgage into retirement

It looks to me that you only have $300k to $400k in your taxable accounts, right? If so - and you choose to pay cash for the retirement home - then you will basically drain your entire taxable account. That leaves you with little liquidity and also the potential to have to dip into tax-deferred fund...
by Wagnerjb
Fri Apr 14, 2017 9:19 am
Forum: Personal Finance (Not Investing)
Topic: 1099-B question (date acquired 1/1/1900)
Replies: 22
Views: 1390

Re: 1099-B question (date acquired 1/1/1900)

My concern is when I do this in turbo-tax, shouldn't I attach my 1099-B and Form 8949 and still send it to IRS? No need. My understanding is that the OP won't have to send in his 1099-B if he lists each individual transaction from the 1099-B on schedule 8949. If the OP chooses to summarize a large ...
by Wagnerjb
Fri Apr 14, 2017 9:12 am
Forum: Personal Consumer Issues
Topic: ROI for Boat Repair Project
Replies: 11
Views: 995

Re: ROI for Boat Repair Project

If this Handyman doesn't have $2,000 of his own money to put into the boat project, I would run away fast. The lack of that small amount of money would suggest to me that H isn't good with his own personal finances....which would lead me to question whether he is likely to turn a profit on project s...
by Wagnerjb
Fri Apr 14, 2017 9:07 am
Forum: Investing - Help with Personal Investments
Topic: Low income investor...Federal Help via Tax Return ?
Replies: 14
Views: 1002

Re: Low income investor...Federal Help via Tax Return ?

There is also something called the earned income credit that has been mentioned. I'm not sure what it is, but I think there is information in the Wiki. To be eligible for the Earned Income Credit, you have to be at least 25 years old (among other things). Thus, this student may not qualify. Best wi...
by Wagnerjb
Thu Apr 13, 2017 10:37 pm
Forum: Personal Finance (Not Investing)
Topic: 1099-B question (date acquired 1/1/1900)
Replies: 22
Views: 1390

Re: 1099-B question (date acquired 1/1/1900)

E*Trade shows basis as $0 because they have no record of the original cost. Doesn't matter. Your records show the basis was $480. And since the shares were transferred in kind, your holding period is not how long E*Trade had them, but how long you personally owned them. I agree with this, and I hav...
by Wagnerjb
Sun Apr 09, 2017 1:53 pm
Forum: Personal Finance (Not Investing)
Topic: American Opportunity Tax Credit - General Questions
Replies: 18
Views: 1565

Re: American Opportunity Tax Credit - General Questions

On many occasions it's clear the child may take 5 years to complete a course of study. If that's likely, then it may be best to pay the relatively minimal first year cost for community college out of pocket, and save the four AOTC credits for the last four years. The best strategy isn't always that...
by Wagnerjb
Sat Apr 08, 2017 10:08 am
Forum: Personal Finance (Not Investing)
Topic: Wells Advisors 1099-B summary is Wrong for 92 year old :-(
Replies: 10
Views: 856

Re: Wells Advisors 1099-B summary is Wrong for 92 year old :-(

QUESTIONS: 1) Any idea why the summary doesn't include the $14k basis from page 2? ("with box E checked" report) ? 2) Is the wrong summary sent to the IRS? Mike: I do volunteer income tax preparation (primarily for seniors, under AARP sponsorship) and I have seen this several times. It is...
by Wagnerjb
Sun Apr 02, 2017 1:31 pm
Forum: Personal Finance (Not Investing)
Topic: student internship 1099 income
Replies: 6
Views: 585

Re: student internship 1099 income

Have you checked to see if she is eligible for the earned income credit? If so, that credit will offset (some or all of) the self employment tax liability. Check the EIC rules carefully, there are several requirements. One is age....if your daughter was under 25 at year-end 2016 I believe she is ine...
by Wagnerjb
Thu Mar 30, 2017 8:28 am
Forum: Investing - Help with Personal Investments
Topic: Advisor fee
Replies: 15
Views: 2022

Re: Advisor fee

Jake: I think the most appropriate fee level will be determined by how much quality you need in the advisor. If you have a simple three fund portfolio and nothing else, the rock bottom fees suggested by others may be appropriate. In my mother's situation she hired an Advisor who charged 1% for the f...
by Wagnerjb
Tue Mar 21, 2017 7:17 pm
Forum: Investing - Help with Personal Investments
Topic: did anyone else get an email from investordelivery.com?
Replies: 8
Views: 776

Re: did anyone else get an email from investordelivery.com?

I just received an annual report today (from a DFA fund) in the mail from Fidelity, and they offered me the opportunity to go to InvestorDelivery to sign up for electronic delivery in the future. I did so this afternoon, setting up an email ID and a password, and I got a confirmation email from them...
by Wagnerjb
Sun Mar 19, 2017 10:57 am
Forum: Investing - Theory, News & General
Topic: Can I create tax losses with short/long ETF positions?
Replies: 4
Views: 350

Re: Can I create tax losses with short/long ETF positions?

Risks: 1. Basis risk between the two funds - if one goes down more than the other goes up, I lose. 2. Low volatility - if market is mostly flat, I've wasted my time (but not lost any money) One more risk - a strongly rising market. If the market goes up 35%, you have guaranteed yourself a 0% return...
by Wagnerjb
Sun Mar 19, 2017 10:50 am
Forum: Investing - Help with Personal Investments
Topic: Out of the norm all-equity portfolio to compliment pensions
Replies: 13
Views: 753

Re: Out of the norm all-equity portfolio to compliment pensions

In my mid-30's my asset allocation was around 80% equities. With your pension values included, you may be in that same range. I see nothing odd about your asset allocation, especially if you understand financial markets and can stand the volatility.

Best wishes.
by Wagnerjb
Thu Mar 16, 2017 7:57 am
Forum: Personal Finance (Not Investing)
Topic: TaxAct not calculating foreign tax credit
Replies: 15
Views: 1398

Re: TaxAct not calculating foreign tax credit

Bogleheads, I get this message from TaxAct: Explanation: Form 1116 - Foreign Taxes Paid Foreign taxes paid can generally be taken as either an itemized deduction on Schedule A or as a credit on Form 1116. You made entries on Form 1116, but no credit was allowed. You may want to take the foreign tax...
by Wagnerjb
Wed Mar 08, 2017 10:36 am
Forum: Investing - Help with Personal Investments
Topic: Withholdings for cashless exercise of stock options
Replies: 6
Views: 444

Re: Withholdings for cashless exercise of stock options

In the UK, post IPO, there's usually a clause with exercised stock options that you *have* to sell them through the company broker (that's an appointed role US listed cos do not have) or IPO lead bank. Transfers not allowed. That's at least until the end of the lock in period (say up to 2 years). A...
by Wagnerjb
Wed Mar 08, 2017 10:33 am
Forum: Investing - Help with Personal Investments
Topic: Withholdings for cashless exercise of stock options
Replies: 6
Views: 444

Re: Withholdings for cashless exercise of stock options

The fee is nominal relative to the number of shares I'm exercising so I'm not sweating that. The cost to exercise and hold ( strike price + taxes ) is large and I'd prefer not to tie any money up in the company. I just don't feel comfortable having a large percentage of my net worth locked just qua...
by Wagnerjb
Tue Mar 07, 2017 2:58 pm
Forum: Personal Finance (Not Investing)
Topic: Windfall - How To Make The Money Work For Us
Replies: 11
Views: 2326

Re: Windfall - How To Make The Money Work For Us

Welcome to the forum. I think you are taking the right approach in waiting 8 months before making any big move. In my mind, most important is that you not use these funds to significantly upgrade your current lifestyle. The more important use of this windfall is to provide a safety net, allowing you...
by Wagnerjb
Tue Mar 07, 2017 1:51 pm
Forum: Personal Finance (Not Investing)
Topic: Pension Options
Replies: 41
Views: 2448

Re: Pension Options

As someone in her early 60's, trust me that you don't want to have to keep track of that lump sum for the next 40 years. Take it and reinvest it. I agree. That amount of money isn't a life-changing sum for somebody working for the Big Four. If this was a $2 million pension lump sum, it would be wor...
by Wagnerjb
Tue Mar 07, 2017 10:42 am
Forum: Personal Finance (Not Investing)
Topic: Gift to Child for Roth IRA
Replies: 13
Views: 969

Re: Gift to Child for Roth IRA

Does it make sense to gift her $5.5k, out of our copious taxable investments, and open a Roth IRA in her name This is a very sensible move, and one that I have done for several years now. From a tax standpoint it may make sense for you to gift your daughter the shares with the lowest cost basis (th...
by Wagnerjb
Tue Mar 07, 2017 10:23 am
Forum: Investing - Help with Personal Investments
Topic: Withholdings for cashless exercise of stock options
Replies: 6
Views: 444

Re: Withholdings for cashless exercise of stock options

Ask your HR department if they will change the withholding on the option exercise to meet your needs. I believe my company had a policy to accommodate an employee with a compelling reason to have lower withholdings. If that doesn't work, just file a new W4 with your employer and lower your paycheck ...