Search found 19154 matches

by delamer
Thu Feb 06, 2025 7:42 pm
Forum: Personal Finance (Not Investing)
Topic: Understanding My Mother's Reverse Mortgage Situation
Replies: 20
Views: 1369

Re: Understanding My Mother's Reverse Mortgage Situation

morsetaper2 wrote: Thu Feb 06, 2025 6:00 pm
delamer wrote: Thu Feb 06, 2025 5:41 pm
So what does the $418,000 loan balance refer to in your original post?
$418,000 is the latest "Loan Balance". IOW, the amount to payoff and free her from the rev mortgage loan.
So the $0 credit line means she has nothing left to access on the reverse mortgage?
by delamer
Thu Feb 06, 2025 7:39 pm
Forum: Personal Finance (Not Investing)
Topic: Notice that SS check debited for past due medical insurance premiums
Replies: 8
Views: 759

Re: Notice that SS check debited for past due medical insurance premiums





It’s possible that that notification will arrive soon. With handoffs between and within agencies, one may process a change before the other has notified you.


But the notice would be that I owed IRMAA in 2023 (based on 2021 MAGI) and 2024 (based on 2022) income. So it seems like it is already a year late.

And this would upend everything I thought I knew about IRMAA after your spouse passes away. Maybe I needed to file an appeal redetermination due to the death of a spouse.

Let’s say my income was as follows:

2021 MFJ $150k
2022 MFJ $150k (this is the year the spouse passes)
2023 Single $75k
2024 Single $75k

Maybe I should have asked that my 2023 and 2024 be determined based on 2023 and 2024. I didn’t think that was necessary ...
by delamer
Thu Feb 06, 2025 5:41 pm
Forum: Personal Finance (Not Investing)
Topic: Understanding My Mother's Reverse Mortgage Situation
Replies: 20
Views: 1369

Re: Understanding My Mother's Reverse Mortgage Situation

morsetaper2 wrote: Thu Feb 06, 2025 3:42 pm
bsteiner wrote: Thu Feb 06, 2025 3:35 pm How much is the credit line on the reverse mortgage as of now? It should be on the most recent statement.
I do have the most recent statement in hand.

These lines referring to "Credit Line" are taken from the statement:

Original Credit Line: $0.00
Current Gross Credit Line: $0.00
Unsch. Credit Line Disb. Bal. (-): $0.00
Net Credit Line Set Aside (=): $0.00

OK, I guess that answers my question #1?
So what does the $418,000 loan balance refer to in your original post?
by delamer
Thu Feb 06, 2025 5:34 pm
Forum: Personal Finance (Not Investing)
Topic: Notice that SS check debited for past due medical insurance premiums
Replies: 8
Views: 759

Re: Notice that SS check debited for past due medical insurance premiums

SuzBanyan wrote: Thu Feb 06, 2025 5:29 pm
delamer wrote: Thu Feb 06, 2025 5:21 pm Any chance that IRMAA kicked in without the SSA/Medicare catching it on a timely basis?
I did wonder about that. But wouldn’t I have gotten a letter at some point? And if it did kick in, it would have to be because I was filing as a Single in 2023 and 2024 but my combined income with deceased husband when we filed MFJ in 2021 and 2022 exceeded the IRMAA limits for those filing Single.
It’s possible that that notification will arrive soon. With handoffs between and within agencies, one may process a change before the other has notified you.
by delamer
Thu Feb 06, 2025 5:27 pm
Forum: Personal Finance (Not Investing)
Topic: Applying for Senior Living facilities for parents
Replies: 18
Views: 1245

Re: Applying for Senior Living facilities for parents

I’d leave off the farm, especially since it is an illiquid asset.

I’m assuming that they aren’t attesting to information that will be given to a government entity for any reason.
by delamer
Thu Feb 06, 2025 5:21 pm
Forum: Personal Finance (Not Investing)
Topic: Notice that SS check debited for past due medical insurance premiums
Replies: 8
Views: 759

Re: Notice that SS check debited for past due medical insurance premiums

Any chance that IRMAA kicked in without the SSA/Medicare catching it on a timely basis?
by delamer
Thu Feb 06, 2025 9:56 am
Forum: Investing - Theory, News & General
Topic: Understanding short-term investing vehicles
Replies: 6
Views: 539

Re: Understanding short-term investing vehicles

This is the option that we use: https://investor.vanguard.com/investmen ... ofile/vgsh

It gets corporate bonds out of the mix.
by delamer
Wed Feb 05, 2025 10:01 pm
Forum: Personal Finance (Not Investing)
Topic: Potential Job Loss Questions
Replies: 29
Views: 3502

Re: Potential Job Loss Questions

It’s a tough time to be a fed.

Cutting your spending to the bone for the foreseeable future is the most effective action you can take for now.

No eating out, coupon cutting & shopping sales for groceries, no new clothes, no travel, no streaming services, turn down the thermostat (assuming you are in a winter climate), and likely others that I’m forgetting.

If you don’t have a budget or track your expenses currently, then you can use your recent credit card bills and checking account withdrawals to determine what you’ve been spending and how you’ve spent it. And, going forward, spend a lot less.

Finally, have a serious talk with your wife about finding work and developing a career going forward. Unless you have a significant life ...
by delamer
Wed Feb 05, 2025 8:24 pm
Forum: Personal Finance (Not Investing)
Topic: Need for spousal consent to withdraw from 403b ERISA plan New: TIAA POA info
Replies: 11
Views: 1233

Re: Need for spousal consent to withdraw from 403b ERISA plan

Katietsu wrote: Wed Feb 05, 2025 8:12 pm OP here. I understand the requirement for the spousal consent. My question is what happens if a spouse is incapacitated and unable to give consent. It seems like a water water everywhere and not a drop to drink situation where the account owner could be destitute with no access to their own funds. I am wondering if a general POA would allow the account holder to also sign the spousal consent. Otherwise, it seems that every married person with ERISA 403bs should move their accounts to an IRA.
Have you contacted the 403b custodian to see of they will accept a general POA?
by delamer
Wed Feb 05, 2025 7:22 pm
Forum: Personal Investments
Topic: UGMA for grandchild at Vanguard
Replies: 4
Views: 512

Re: UGMA for grandchild at Vanguard

Makefile wrote: Wed Feb 05, 2025 7:15 pm It is UTMA (the 1986 revision), not UGMA (the 1966 equivalent)

Presumably the child's parent just opens the account and gives you the account number. You've ruled out discussing anything else about it unless someone can speak to the mechanics of transferring shares.
That’s what I am uncertain about, the mechanics.

You may be right that my child needs to be the one to set up the account.
by delamer
Wed Feb 05, 2025 12:24 pm
Forum: Personal Investments
Topic: RMD
Replies: 26
Views: 2459

Re: RMD

So the annuity is inside a Traditional IRA?

I know that if you own a Traditional IRA and a 401(k), that any RMD must be taken from each according to its balance. You can’t sum the required amounts and take them from just one account.

But if you have multiple traditional IRAs, then you can determine that RMD for each but take the total required amount from any one (or more).

I don’t know if the annuity changes that. Interested to find out.
by delamer
Wed Feb 05, 2025 12:10 pm
Forum: Personal Investments
Topic: UGMA for grandchild at Vanguard
Replies: 4
Views: 512

UGMA for grandchild at Vanguard

We want to establish a UGMA at Vanguard for our (very) minor grandchild.

Here’s the particulars:

We plan to fund the account by transferring shares — of an individual stock, ETF, mutual fund, or some combination — from my Vanguard taxable account.

Our child and child-in-law will be the custodian and successor custodian. Our child already has accounts at Vanguard (not sure about CIL).

While I will not be a custodian, I want to be able to continue to make contributions of shares over time to the UGMA. (I assume this is not a problem since I transfer shares to my child’s taxable account each year. I have no ownership or custodianship of that account either.)

Our grandchild’s parents have approved the plan, and are aware of tax ...
by delamer
Wed Feb 05, 2025 10:43 am
Forum: Personal Investments
Topic: Investment for 26-year-old
Replies: 10
Views: 467

Re: Investment for 26-year-old

To answer your question — no, very little.

Either choice is good.

My personal preference is to have some international exposure, but Bogleheads can reasonably disagree about that.
by delamer
Wed Feb 05, 2025 10:34 am
Forum: Personal Finance (Not Investing)
Topic: Need for spousal consent to withdraw from 403b ERISA plan New: TIAA POA info
Replies: 11
Views: 1233

Re: Need for spousal consent to withdraw from 403b ERISA plan



You can move it to an IRA.

The regulations are in place to protect the spouse from being financially damaged by the account owner, through not being made aware of withdrawals.


Are you sure about moving money from the 403b to an IRA without spousal consent? Once the money is in an IRA, there's no required spousal consent, so how would the spouse's interest be protected?

RM


I didn’t intend to suggest the there was no spousal consent required to do a rollover out of the 403b. I don’t know, and it may vary by plan (see link below).

Once the rollover is completed though, you won’t have to deal with spousal consent for future withdrawals. That’s the work around.

There isn’t any spousal protection with an IRA that I’m aware of; it’s ...
by delamer
Tue Feb 04, 2025 10:14 pm
Forum: Personal Finance (Not Investing)
Topic: Need for spousal consent to withdraw from 403b ERISA plan New: TIAA POA info
Replies: 11
Views: 1233

Re: Need for spousal consent to withdraw from 403b ERISA plan

You can move it to an IRA.

The regulations are in place to protect the spouse from being financially damaged by the account owner, through not being made aware of withdrawals.
by delamer
Tue Feb 04, 2025 10:08 pm
Forum: Personal Consumer Issues
Topic: Best non-Tesla EV?
Replies: 140
Views: 9960

Re: Best non-Tesla EV?

Vogatrice wrote: Mon Feb 03, 2025 3:13 pm I’m really enjoying my all-electric Volvo XC-40. I’ve had it a year now and it’s been flawless. Cost a bit more than you suggested, but if you have a bit of wiggle room, take a look.
I have a 2023. Also problem free.

You can get a used one now in the low $30’s.

The range is not great, however. About 230 miles as long as the temperature is 50 degrees plus. When it’s colder, it’s more like 180 miles. So a significant drop.
by delamer
Tue Feb 04, 2025 6:06 pm
Forum: Personal Finance (Not Investing)
Topic: What Investments Should Retiree Liquidate to Buy Vacation/Investment Home
Replies: 19
Views: 1644

Re: What Investments Should Retiree Liquidate to Buy Vacation/Investment Home

Possibly some combination of the above, although touching Roths is frowned upon here if not absolutely necessary.

We can’t give good advice without knowing about your other income, your income tax brackets (federal, state, local), and the capital gains in your taxable account.

You can use a tax calculator to test out various scenarios, in terms of federal taxes: https://www.dinkytown.net/java/1040-tax-calculator.html
by delamer
Tue Feb 04, 2025 5:52 pm
Forum: Personal Investments
Topic: Simplicity
Replies: 7
Views: 1422

Re: Simplicity

Here are some options from the Bogleheads’ wiki: https://www.bogleheads.org/wiki/Lazy_portfolios

You can adjust the allocation percentages to reflect the level of equities (US & international) that you are comfortable holding.

Keep in mind that you will eventually need to take RMDs, assuming you don’t hold all Roth IRAs. You won’t need to spend the RMDs, but you will have to pay income taxes on them.
by delamer
Tue Feb 04, 2025 5:45 pm
Forum: Personal Investments
Topic: Money is there, WTB WTB [Want to Buy, What to Buy]
Replies: 5
Views: 704

Re: Money is there, WTB WTB

rkhusky wrote: Tue Feb 04, 2025 4:51 pm Why not use a target date fund now?
Or a Vanguard LifeStrategy Fund: https://investor.vanguard.com/investmen ... gy-funds#/

(Not knowledgeable about fees for non-Fidelity funds there.)
by delamer
Tue Feb 04, 2025 1:54 pm
Forum: Personal Investments
Topic: Investment Advice for my 77 y/o Father with 2m
Replies: 66
Views: 10817

Re: Investment Advice for my 77 y/o Father with 2m

HawaiiFiveO wrote: Tue Feb 04, 2025 1:39 pm It is also his first year taking RMDs with his main account.

Fidelity said by the end of 2025 but an article from 2024 I read said:

"Your first withdrawal has to be made by April 1st of the following year"

"If you fail to make the withdrawal, the penalty is 50% of the amount"
That’s correct about deferring the first RMD until April 1 of 2026. But he’ll also have to take his 2026 RMD in the calendar year too. And that doubling up can cause some people to be bumped into a higher tax bracket.
by delamer
Tue Feb 04, 2025 1:38 pm
Forum: Personal Investments
Topic: 1st post: 80 year old newbie with concerns about entering the market during these unsettled times
Replies: 39
Views: 3439

Re: 1st post: 80 year old newbie with concerns about entering the market during these unsettled times





That may be fine in the short term. But the OP is concerned about the finances of his considerably younger wife if he dies first

First thing is to determine what his wife’s Social Security benefit will be if she survives him. Probably, it is the larger of the two benefits that each is receiving now. But that can be verified.

Then determine what his wife’s expenses will look like after he’s gone. Some things will obviously decrease, like food and medical premiums. But others, like expenses for the house — if she stays in it — will not drop significantly.

Once they know how much she’ll need to withdraw from their portfolio to cover her expenses, they can make better decisions about their asset allocation. A low withdrawal rate might ...
by delamer
Tue Feb 04, 2025 11:06 am
Forum: Personal Finance (Not Investing)
Topic: Automotive Branded Credit Card?
Replies: 5
Views: 670

Automotive Branded Credit Card?

I’m interested in finding out about credit cards issued through automotive companies, and whether one is worth considering.

I’ve tried to research this online, but the information I found is pretty old in terms of finding out about multiple cards in one place. Have not researched by brand.

I’m particularly interested in whether it’s feasible to accumulate enough points for significant savings on vehicle purchases, leases, and repairs.

We charge roughly $100,000/year, although we probably wouldn’t shift all of it to a new card.

We tend toward luxury brands, like Audi, Volvo, Mercedes.

Charges are paid off every month.

Any recommendations, pro or con?
by delamer
Tue Feb 04, 2025 10:43 am
Forum: Personal Finance (Not Investing)
Topic: Joint credit card with DW a neccesity (after passing)?
Replies: 56
Views: 3851

Re: Joint credit card with DW a neccesity?

22twain wrote: Mon Feb 03, 2025 7:45 am
jdubsdubs wrote: Sat Feb 01, 2025 10:45 am our joint Fidelity Rewards Visa (issued by Elan Financial/US Bancorp), Experian lists a “Responsibility” field and the field says “Joint”.
Likewise with our Citi Rewards+ Mastercard. It was originally our AT&T Universal Card, issued 1991, back when joint cards were apparently more common. All our (my) other cards are individual ownership/responsibility.
I still have an AT&T Universal Card from that era! It’s in my name only; I wasn’t yet married when I got it and I never added my husband to it.
by delamer
Tue Feb 04, 2025 10:31 am
Forum: Personal Investments
Topic: 1st post: 80 year old newbie with concerns about entering the market during these unsettled times
Replies: 39
Views: 3439

Re: 1st post: 80 year old newbie with concerns about entering the market during these unsettled times


If I’m reading your post right, your SS covers your expenses and you have 1/3 left over. Why take on any additional risk?


That may be fine in the short term. But the OP is concerned about the finances of his considerably younger wife if he dies first

First thing is to determine what his wife’s Social Security benefit will be if she survives him. Probably, it is the larger of the two benefits that each is receiving now. But that can be verified.

Then determine what his wife’s expenses will look like after he’s gone. Some things will obviously decrease, like food and medical premiums. But others, like expenses for the house — if she stays in it — will not drop significantly.

Once they know how much she’ll need to withdraw from their ...
by delamer
Tue Feb 04, 2025 10:13 am
Forum: Personal Investments
Topic: Federal Employees Nearing Retirement (5-8 years): Should We Adjust Our 80/20 Asset Allocation Amid Job Uncertainty?
Replies: 61
Views: 8092

Re: Federal Employees Nearing Retirement (5-8 years): Should We Adjust Our 80/20 Asset Allocation Amid Job Uncertainty?





Given your concerns, I’d put a couple years of expenses in your after-tax account. You could either reduce your G Fund allocation to keep bonds/cash at 20% or allow the bonds/cash allocation to drift up.

Being able to cover your expenses for awhile with no tax consequences is a good position to be in. And if you are unemployed for a significant amount of time, you can tap the G Fund and pay little in taxes.

Good luck; between the job uncertainty and (for many) the loss of work-from-home opportunities, feds are not in a good place now. I’m expecting to get word that a lot of my former colleagues are retiring ASAP.

We could have a side-discussion about this strategy, but I wouldn't do this. I'm one of those who was convinced by ...
by delamer
Sun Feb 02, 2025 5:23 pm
Forum: Personal Investments
Topic: roll my own target date fund to save cost?
Replies: 10
Views: 1175

Re: roll my own target date fund to save cost?

Note also that the TDF is an actively managed fund, while your other options are index funds.

I agree with earlier suggestions of picking one of the index funds, consistent with your desired overall retirement portfolio allocation, and putting everything in it. You can easily rebalance later as the account grows.
by delamer
Sun Feb 02, 2025 10:55 am
Forum: Personal Investments
Topic: Simplifing daughters taxable brokarage account
Replies: 11
Views: 522

Re: Simplifing daughters taxable brokarage account

chrisdds98 wrote: Sun Feb 02, 2025 10:50 am
lazynovice wrote: Sun Feb 02, 2025 10:44 am In one part of the post, you say there are 70K in capital gains for VFSUX but then you say later there is a loss of 4K?
i think you're misinterpreting the post. I think its supposed to be 70k in value, not cap gains.
You might be correct, but my initial impression was the same as lazynovice’s.

And I agree with Watty that the 40-year-old “girl” should be posting herself.
by delamer
Sun Feb 02, 2025 10:44 am
Forum: Personal Investments
Topic: Does an Annuity make sense?
Replies: 28
Views: 2019

Re: Does an Annuity make sense?


Thanks for all the replies!
I am glad I asked, it reinforced my initial thoughts. Other than these annuities I have liked and agreed with most of what he has said (we have only met with him twice). I am curious what he will suggest in detail, and I plan to ask a lot of questions and see how he reacts when I tell him to take annuities off the table. He already knows that we want to manage our own funds but are open to allocation/fund suggestions within our existing accounts (TSP, Fidelity and T Rowe Price). I am really only looking for advice on a Roth conversion plan and preparing for a withdrawal strategy once I retire. We are doing fee only with him so we can stop anytime.
I'll report back after our meeting.


Glad to hear that you ...
by delamer
Sun Feb 02, 2025 10:39 am
Forum: Personal Investments
Topic: [Should I change my asset allocation?]
Replies: 6
Views: 432

Re: [Should I change my asset allocation?]

Have you ever heard anyone say “the markets are calm now and sill be for the foreseeable future?”

Of course not. People always think the markets are volatile, and so many look for a solution to protect themselves from that volatility.

The best way to do that is to find an allocation that you can live with and stick with, regardless of what’s going on with the markets.

Maybe 30% stocks and 70% bonds, with a healthy dose of short-term Treasuries in the bonds?

Two core Boglehead principles are “Never Try To Time The Market” & “Stay The Course.”

https://www.bogleheads.org/wiki/Boglehe ... philosophy

Good luck.
by delamer
Sun Feb 02, 2025 10:28 am
Forum: Personal Finance (Not Investing)
Topic: FEHB Retirees can now delay Medicare B w/o Penalty?
Replies: 41
Views: 4027

Re: FEHB Retirees can now delay Medicare B w/o Penalty?

archii wrote: Sun Feb 02, 2025 9:52 am
tj wrote: Sun Feb 02, 2025 9:49 am :shock:


The GS-5 (or contractor) must have been confused.

If that major loophole was true, everyone would know about it and not just the one rep who told you.
two seperate reps, spread 6 months apart, and the original poster who was told through a medicare training seminar.
Look, no one should believe everything they read on the internet. :shock: Even on a respected forum like this one.

And you’re the one who bears the consequences if you act based on bad information.

But, to use an unfortunate metaphor, you are beating a dead horse. You are misinformed.
by delamer
Sat Feb 01, 2025 6:28 pm
Forum: Personal Investments
Topic: Does an Annuity make sense?
Replies: 28
Views: 2019

Re: Does an Annuity make sense?


Thanks!
When he mentioned annuities, I knew little about them other than I heard they were not a good idea. He said that the bad ones were variable and SPIA (Single Premium Immediate) and that Fixed Annuities (MYGA), Indexed Annuities (Growth) and Indexed Income Annuities were better.

I thought he was a fiduciary, but I will ask again.

We meet again next week to see the details of what he is proposing. I think he wants to leave the majority of our portfolio in equities where I currently have them ( T Rowe Price, Fidelity and TSP) but put some money in a 'protected' area where he is suggesting these annuities for peace of mind.

I was already leery of annuities and based on the responses even more so. I am curious to see the details ...
by delamer
Sat Feb 01, 2025 6:20 pm
Forum: Personal Finance (Not Investing)
Topic: FEHB Retirees can now delay Medicare B w/o Penalty?
Replies: 41
Views: 4027

Re: FEHB Retirees can now delay Medicare B w/o Penalty?





Only if you are an active employee. Retiree plans don't count.

If you are retired, you don't have an employer.


To confirm, I just spoke to a medicare representative today. She in fact did say that as long as I am insured (FEHB) and there is no break in coverage, I do not need to be employed to be able to defer, without penalty, taking part B as long as desired. This confirms what I had researched before. I was concerned after reading this thread, but she assured me that there will be no penalty IF I decide to sign up for Part B later, much later in fact. I even asked her that "if I am retired, on FEHB, and waited ten years, would I be assessed a penalty when I sign up for part B?" No is what she told me. Several times to be exact ...
by delamer
Sat Feb 01, 2025 6:11 pm
Forum: Personal Investments
Topic: Does an Annuity make sense?
Replies: 28
Views: 2019

Re: Does an Annuity make sense?


Also, you can buy an annuity directly through the TSP without commissions.
https://www.tsp.gov/publications/tspfs24.pdf

If your pensions and social security cover your basic expenses, then you don't even need an annuity. But that is a separate question.


The bolded comment is absolutely correct. Your original plan is good — use your assets to make up the shortfall before your SS starts.

He’s trying to sell you a product that makes him a hefty commission, but isn’t in your best interest. If you haven’t given this guy access to your funds yet, don’t. If you have given him access, tell him you’ve changed your mind and you are going to manage your own money.

In addition, someone with a portfolio that is so large relative to their ...
by delamer
Sat Feb 01, 2025 5:51 pm
Forum: Personal Finance (Not Investing)
Topic: Married filing jointly
Replies: 19
Views: 1458

Re: Married filing jointly

It is a negotiation. It depends on how integrated your want your finances to be. And one part of the negotiation could be whether one partner having an AUM advisor whose actions that neither of you controls is in your joint best interest.

You always can file separately, but that’s probably going to mean that your total taxes paid will be higher.
by delamer
Sat Feb 01, 2025 5:29 pm
Forum: Investing - Theory, News & General
Topic: Market volatility versus stay the course
Replies: 37
Views: 4285

Re: Market volatility versus stay the course



This chart showing the historical concentration of the top 10 stocks in the S&P500 is interesting: https://globalfinancialdata.com/s-p-market-concentration-hits-a-new-all-time-high

It looks like the range has been from about 15% to 36%. Seems like 25% or more is not unusual.


Your link is dead but it's currently at ~36%, not 25%.

https://i.ibb.co/ym0zQVDx/Image.png



It doesn’t tell us anything about the industry concentration level though.

Obviously past performance does not predict future performance but the last time concentration of the SP500 was so high was the nifty 50 era in the 60s. The unwind of that bubble led to an ~80% decline in nifty 50 over the course of 6 years. This also corresponds to the period where the 4 ...
by delamer
Sat Feb 01, 2025 12:14 pm
Forum: Personal Investments
Topic: Bernstein makes me wonder if I'm doing bonds all wrong? Seeking advice.
Replies: 93
Views: 9951

Re: Bernstein makes me wonder if I'm doing bonds all wrong? Seeking advice.

He specifically says in the quote that Treasury ETFs are fine, and uncomplicated, during accumulation.

And TIPS funds work OK for decumulation if you want to avoid complications.

We use Treasury ETFs and some individual treasuries. We are retired but not doing withdrawals due to adequate pension & Social Security income.

We are following his advice on bonds and avoid corporates.
by delamer
Sat Feb 01, 2025 11:57 am
Forum: Personal Investments
Topic: Should my parents pay for a financial planner in retirement?
Replies: 31
Views: 2793

Re: Should my parents pay for a financial planner in retirement?


It totally depends on the amount of handholding they need/want and their ability to do things like use a computer to engage in financial transactions and email. I have relatives who pay 1% and use every penny of it. They want multiple in person meetings every year to review everything in detail, constantly fret about money, are bad with tech and struggle with simple bill payments, could not be trusted to follow instructions on raising cash, etc. People here consistently fail to realize that investing your assets is only a small part of the service offered by a FA.

If your parents ask your opinion (and only if they do) let them know about less expensive options. But the choice is not yours, no matter how angry it may make BHs.


This is ...
by delamer
Fri Jan 31, 2025 7:31 pm
Forum: Personal Finance (Not Investing)
Topic: Joint credit card with DW a neccesity (after passing)?
Replies: 56
Views: 3851

Re: Joint credit card with DW a neccesity?

sailaway wrote: Fri Jan 31, 2025 7:09 pm If the primary passes, the accounts are closed.
Is that an absolute?

Our principal reward card is in my husband’s name, with me as authorized user. And I’d like to keep it if he goes first.

I do have a card in my name as the sole user and we have another that actually is joint. So I wouldn’t be “creditless.”
by delamer
Fri Jan 31, 2025 5:52 pm
Forum: Personal Investments
Topic: Investment Advice for my 77 y/o Father with 2m
Replies: 66
Views: 10817

Re: Investment Advice for my 77 y/o Father





Slight correction:

You don't take out more RMDs. The RMD is the minimum you MUST withdraw, but you can
withdraw more.

You cannot convert the RMD to Roth, but you can convert any additional withdrawal.
The advantage of withdrawing extra is that though it increases the tax in the current year,
there are no RMDs on whatever you have converted, which would allow for a lower RMD
in the next tax year.

What may interest your father more if he hates taxes:

If your father contributes to charity, he can make a Qualified Charitable Distribution (QCD).
This can count as part of the RMD. QCDs are not taxed, and you don't have to itemize.
I would do that early in the year. QCDs can be made after age 70 1/2 , so he is eligible.
This ...
by delamer
Fri Jan 31, 2025 3:35 pm
Forum: Personal Investments
Topic: VTI for stock ETF in Merrill Edge taxable?
Replies: 11
Views: 825

Re: VTI for stock ETF in Merrill Edge taxable?

Looking globally, it depends on what your goal and timeframe is.

If you are saving for a house downpayment that you’ll spend within 2 years, then you don’t need a stock fund at all.

If you are saving for retirement in 30 years, sure.
by delamer
Fri Jan 31, 2025 3:30 pm
Forum: Personal Investments
Topic: Met with a CFP today.
Replies: 63
Views: 6610

Re: Met with a CFP today.

Why do you think you need a CFP now?

Bogleheads don’t lean toward stocks. We lean toward creating an appropriate portfolio for your needs, using index funds for each part of the allocation. Although some of us aren’t that keen on bond funds.
by delamer
Fri Jan 31, 2025 1:48 pm
Forum: Personal Finance (Not Investing)
Topic: $80k long term capital gain this year
Replies: 27
Views: 2953

Re: $80k long term capital gain this year

fivedots wrote: Fri Jan 31, 2025 1:46 pm I expect to make $85k in W2 income this year. And also another $4k or 5k from mostly qualified dividends and a little interest.
Again, use the calculator linked above to assess the federal tax impact.
by delamer
Fri Jan 31, 2025 1:47 pm
Forum: Personal Consumer Issues
Topic: Conflicted on Accord- whether to repair or buy new
Replies: 22
Views: 1779

Re: Conflicted on Accord- whether to repair or buy new

Buy a newer vehicle with more safety features, like blind spot warning.

That’s how I think it through. :?
by delamer
Fri Jan 31, 2025 1:43 pm
Forum: Personal Investments
Topic: Capital Gaines, Divideds, taxes and withdrawals.
Replies: 15
Views: 1485

Re: Capital Gaines, Divideds, taxes and withdrawals.

It doesn’t affect your annual taxes, but are you having dividends paid out in cash but capital gains distributions reinvested?
by delamer
Fri Jan 31, 2025 1:36 pm
Forum: Personal Finance (Not Investing)
Topic: $80k long term capital gain this year
Replies: 27
Views: 2953

Re: $80k long term capital gain this year

fivedots wrote: Fri Jan 31, 2025 1:32 pm My taxes are pretty simple. All income is from W2 and I only get a standard deduction. I max-out RothIRA, HSA, and Roth401k.
The effect still will differ depending on shether you make $75,000 ot $750,000, or something in between.
by delamer
Fri Jan 31, 2025 1:31 pm
Forum: Personal Finance (Not Investing)
Topic: $80k long term capital gain this year
Replies: 27
Views: 2953

Re: $80k long term capital gain this year

fivedots wrote: Fri Jan 31, 2025 1:27 pm Yes, I do get a state tax deduction for 529s.

The unrealized losses on everything else amount to about $2,000 dollars, not much to tax loss harvest.
Try this calculator to get some real numbers in the event you 1) change nothing else or 2) do some tinkering: https://www.dinkytown.net/java/1040-tax-calculator.html
by delamer
Fri Jan 31, 2025 1:24 pm
Forum: Personal Finance (Not Investing)
Topic: $80k long term capital gain this year
Replies: 27
Views: 2953

Re: $80k long term capital gain this year

To state the obvious, you should have asked these questions before you sold the shares.

Do you get a state tax deduction for 529 contributions? Do you have a need for an education fund?

Have you run an estimated tax return to see what the effect will be on your taxes owed? It depends on your other income, but it’s unlikely you’ll owe more than $12,000 (although the NIIT could come into play) in federal taxes on the gain.
by delamer
Fri Jan 31, 2025 10:38 am
Forum: Personal Investments
Topic: Should my parents pay for a financial planner in retirement?
Replies: 31
Views: 2793

Re: Should my parents pay for a financial planner in retirement?



Have they been managing their own investments up until this point?

Do they hold a combination of tax-advantaged accounts [like IRAs and 401(k)s] and taxable accounts?


They are currently “set it and forget it” investors. They buy QQQ when it dips and never sell. Yes, they’ll have a mix of taxable and non-taxable accounts in retirement.


If they are amenable, I agree with the suggestion that you post their information on this forum and get recommendations.

Depending on the number of accounts that they have and the number of assets held within those accounts, it might be a relatively simple portfolio to right size and self manage (or use a service like Vanguard PAS). Or it could be very complex and might need a professional’s hand ...
by delamer
Thu Jan 30, 2025 9:14 pm
Forum: Personal Investments
Topic: Should my parents pay for a financial planner in retirement?
Replies: 31
Views: 2793

Re: Should my parents pay for a financial planner in retirement?

Have they been managing their own investments up until this point?

Do they hold a combination of tax-advantaged accounts [like IRAs and 401(k)s] and taxable accounts?
by delamer
Thu Jan 30, 2025 4:33 pm
Forum: Personal Investments
Topic: Dad going into long term care (expensive) - how to adjust parents portfolio
Replies: 47
Views: 7901

Re: Dad going into long term care (expensive) - how to adjust parents portfolio

CaptainT wrote: Thu Jan 30, 2025 1:32 pm 1. Dementia patients do not have a significant reduction in life expectancy so may live like this for a decade
2. Look after mom who probably has not lived alone in decades if ever
3. Can mom also downsize at same time decrease overall cost? Do they own a house? If so what value?
4. Is dad a veteran? There are some programs that pay for veteran assistance
Some dementia is caused by disease that reduces the sufferer’s lifespan. So asserting that dementia patients do not have a significant reduction in life expectancy, without any qualifiers, is overstating.

But it is true that some dementia patients live a decade or more.