Search found 6393 matches

by delamer
Sat Dec 15, 2018 10:55 pm
Forum: Personal Finance (Not Investing)
Topic: Forgoing health insurance
Replies: 112
Views: 4745

Re: Forgoing health insurance

She is a teacher and had excellent health insurance. Out of curiousity, what details of her insurance plan indicate it's "excellence"? I hear this often but I'm never sure what this means or how the consumer would know. Excellent insurance plan means the plan pays everything and you pay nothing. An...
by delamer
Sat Dec 15, 2018 10:47 pm
Forum: Personal Consumer Issues
Topic: Is this a good time to start paying extra on the mortgage?
Replies: 29
Views: 1200

Re: Is this a good time to start paying extra on the mortgage?

Stocks are the one thing that people are reluctant to buy when the price is low. DCA = dollar cost averaging, a fancy term for buying on regular schedule. Thanks Whodidntante. Are they low yet? Most don't think so. When you make a statement like “Are they low yet? Most don’t think so,” it seems tha...
by delamer
Sat Dec 15, 2018 10:37 pm
Forum: Personal Finance (Not Investing)
Topic: Can I retire
Replies: 44
Views: 3572

Re: Can I retire

Thanks for the responses - even the blunt ones ! A couple of takeaways I know I have to prepare a budget - I meticulously track all our finances - I just don't want to see what we spend on groceries and eating out (LOL). We live very well but equally have come from more frugal backgrounds and I bel...
by delamer
Sat Dec 15, 2018 8:11 pm
Forum: Investing - Theory, News & General
Topic: How do you know when dividend/interest is paid from a mutual fund?
Replies: 12
Views: 607

Re: How do you know when dividend/interest is paid from a mutual fund?

All my investments have told me ahead of time when dividends and interest payments are made, so I have never been surprised by a transaction. Does Vanguard do that? From searching around, it seems like they only announce a dividend distribution a day in advance? There is a list on their website of ...
by delamer
Sat Dec 15, 2018 7:54 pm
Forum: Personal Consumer Issues
Topic: Is this a good time to start paying extra on the mortgage?
Replies: 29
Views: 1200

Re: Is this a good time to start paying extra on the mortgage?

You could certainly do worse things than pay down a mortgage. If it is helps you sleep better, that's worth something. I have a 3% mortgage too but have a bit longer until retirement. I don't mind having a mortgage that's lower than my local rate of inflation and am taking my time paying it off. Ho...
by delamer
Sat Dec 15, 2018 7:48 pm
Forum: Investing - Theory, News & General
Topic: How do you know when dividend/interest is paid from a mutual fund?
Replies: 12
Views: 607

Re: How do you know when dividend/interest is paid from a mutual fund?

I download all new transactions into Quicken each week, so it is clear to me when there is a distribution.

Almost always, you can look at a fund’s distribution pattern for the prior year to determine when they will happen in the current year.
by delamer
Sat Dec 15, 2018 7:45 pm
Forum: Personal Finance (Not Investing)
Topic: Can I retire
Replies: 44
Views: 3572

Re: Can I retire

Yes expect to have reduced standard of living $150,000 to $180,000 Expenses - uurgh ! hate to think of it - current or anticipated or both (need a checklist for guidance) You should track your expenses for a few months to see where your money is going. If you “hate to think of it” you could be way ...
by delamer
Sat Dec 15, 2018 7:26 pm
Forum: Investing - Help with Personal Investments
Topic: Possible Recession and a Retiree's postulation?
Replies: 11
Views: 941

Re: Possible Recession and a Retiree's postulation?

Take a look at this list of S&P 500 dividends by year: http://www.multpl.com/s-p-500-dividend/table They fell by over 23% from 2008 to 2009, and it took 4 years for them to get back to their (nominal) 2008 level. The overall trajectory is clearly up, but dividends can fall from year-to-year or for ...
by delamer
Sat Dec 15, 2018 6:38 pm
Forum: Investing - Help with Personal Investments
Topic: Possible Recession and a Retiree's postulation?
Replies: 11
Views: 941

Re: Possible Recession and a Retiree's postulation?

Take a look at this list of S&P 500 dividends by year: http://www.multpl.com/s-p-500-dividend/table They fell by over 23% from 2008 to 2009, and it took 4 years for them to get back to their (nominal) 2008 level. The overall trajectory is clearly up, but dividends can fall from year-to-year or for m...
by delamer
Sat Dec 15, 2018 6:26 pm
Forum: Investing - Theory, News & General
Topic: AA for a Retiree being a Booglehead
Replies: 20
Views: 1330

Re: AA for a Retiree being a Booglehead

One thing people fail to take account of is the enormous expense of dementia care which, as people live longer, becomes more of a possibility and/or necessity. Your mental state at age 65 or 70 tells you nothing about how you will be functioning at 85. A severe stroke or other severely limiting med...
by delamer
Sat Dec 15, 2018 3:35 pm
Forum: Investing - Theory, News & General
Topic: AA for a Retiree being a Booglehead
Replies: 20
Views: 1330

Re: AA for a Retiree being a Booglehead

What would be the stock bond mix for someone in retirement , that would go along with the 3 fund portfolio. Is it your age in bonds? Or do you still keep with the pre retirement mix? I read somewhere John Bogle had an idea about this but I couldn't find it. Thank you for any help Tatala1945, Years ...
by delamer
Sat Dec 15, 2018 3:23 pm
Forum: Investing - Help with Personal Investments
Topic: I made a mistake by not selling when the market was high this year
Replies: 87
Views: 6127

Re: I made a mistake by not selling when the market was high this year

I have not read all of the responses closely. But I wanted to point out that it is possible that the OP just regrets not rebalancing before the recent decline. That may or may not be market timing. If s/he ignored an IPS in hopes of wringing out some more stock gains, then it is market timing. If s/...
by delamer
Sat Dec 15, 2018 11:54 am
Forum: Personal Finance (Not Investing)
Topic: Forgoing health insurance
Replies: 112
Views: 4745

Re: Forgoing health insurance

And lets get rid of the fallacy that a Healthcare System must treat you. They will stabilize you, they do not have to treat you. If you have cancer, they do not have to give you Chemo treatments. They do not have to give you a heart transplant. And just because a Health System needs to stabilize yo...
by delamer
Fri Dec 14, 2018 10:13 pm
Forum: Investing - Theory, News & General
Topic: High Load and ERs
Replies: 7
Views: 559

Re: High Load and ERs

It isn’t clear what your question is.

Certainly you should encourage your daughter to transfer her funds to Vanguard, Schwab, etc. and offer to help with the paperwork.
by delamer
Fri Dec 14, 2018 9:54 pm
Forum: Investing - Help with Personal Investments
Topic: Rebalancing all retirement funds
Replies: 2
Views: 313

Re: Rebalancing all retirement funds

Your allocation looks good, except it isn’t clear why you are considering the GNMA fund. Put more into the Total Bond fund in your account instead to get to the 25%. Yes, make all the changes at once. If this a bad time to buy bonds, what would be a good time? That’s the problem with trying to time ...
by delamer
Fri Dec 14, 2018 4:24 pm
Forum: Personal Finance (Not Investing)
Topic: Withholding options
Replies: 4
Views: 274

Re: Withholding options

I'm sorry but this post left me a bit confused as I don't understand exactly what the questions is. However, I can tell you that if you can properly estimate your next years tax withholding obligations you should be able to adjust both of your withholdings in order to take just the amount needed to...
by delamer
Fri Dec 14, 2018 4:10 pm
Forum: Investing - Help with Personal Investments
Topic: Retiring next year, would appreciate some advice
Replies: 30
Views: 2664

Re: Retiring next year, would appreciate some advice

I don’t understand why you would consider taking the lump sum rather than the pension; the annuity is so much higher than the potential SWR. The only exception would be if the pension would disappear if you predecease your wife. What would your wife receive as a survivor’s benefit if you die first? ...
by delamer
Fri Dec 14, 2018 2:09 pm
Forum: Personal Finance (Not Investing)
Topic: Forgoing health insurance
Replies: 112
Views: 4745

Re: Forgoing health insurance

You are saying one of two things if you go without health insurance: 1. We can’t provide our children with the basic necessity of health insurance coverage, because our income is too low. 2. We don’t want to provide our children with the basic necessity of health insurance, because we have higher pr...
by delamer
Fri Dec 14, 2018 11:52 am
Forum: Personal Finance (Not Investing)
Topic: Financing mortgage closing costs - to do or not to do?
Replies: 13
Views: 949

Re: Financing mortgage closing costs - to do or not to do?

Flamesuit ON! I personally am not against financing closing costs if you are in a low prop tax state. This can help (in my uneducated opinion) elevate the value of your house in the future (and those houses selling around you) as sold data is reviewed by potential buyers. Helps artificially inflate...
by delamer
Fri Dec 14, 2018 11:45 am
Forum: Investing - Help with Personal Investments
Topic: Allocation when cost of living expenses covered
Replies: 23
Views: 1213

Re: Allocation when cost of living expenses covered

One thing to look at is what will be the income for each of you if the other passes and how that stacks up to expenses. One SS, reduced or no pension income?, annuity? tax filing single vs joint, etc. In our case my wife will lose her SS and 1/2 my pension income. I would lose only her much smaller...
by delamer
Thu Dec 13, 2018 7:12 pm
Forum: Personal Finance (Not Investing)
Topic: Financing mortgage closing costs - to do or not to do?
Replies: 13
Views: 949

Re: Financing mortgage closing costs - to do or not to do?

Flamesuit ON! I personally am not against financing closing costs if you are in a low prop tax state. This can help (in my uneducated opinion) elevate the value of your house in the future (and those houses selling around you) as sold data is reviewed by potential buyers. Helps artificially inflate...
by delamer
Thu Dec 13, 2018 1:25 pm
Forum: Investing - Help with Personal Investments
Topic: Allocation when cost of living expenses covered
Replies: 23
Views: 1213

Re: Allocation when cost of living expenses covered

We are in exactly the same position (SS plus pensions covering all expenses) at the same ages. We have exactly the opposite allocation — 70% stocks and 30% cash/bonds. Our philosophy is that we can easily handle the risk/volatility of stocks. So why not invest for the long-term higher return to bene...
by delamer
Thu Dec 13, 2018 11:12 am
Forum: Personal Finance (Not Investing)
Topic: Financing mortgage closing costs - to do or not to do?
Replies: 13
Views: 949

Re: Financing mortgage closing costs - to do or not to do?

One factor is how long you expect to keep the property and/or loan.

Shorter term means finance the closing costs.

Longer term means pay the closing costs.
by delamer
Thu Dec 13, 2018 11:08 am
Forum: Personal Consumer Issues
Topic: Buying used car
Replies: 25
Views: 1145

Re: Buying used car

Even if the minivan went into service in Fall 2014, that is nearly 20,000 miles per year. I’d pass unless the price was really good. This is the entire premise of buying a used car. I don’t understand your comment. While used cars are priced lower than a new model of the same car, that doesn’t mean...
by delamer
Thu Dec 13, 2018 10:45 am
Forum: Personal Consumer Issues
Topic: Buying used car
Replies: 25
Views: 1145

Re: Buying used car

Even if the minivan went into service in Fall 2014, that is nearly 20,000 miles per year. I’d pass unless the price was really good. This is the entire premise of buying a used car. I don’t understand your comment. While used cars are priced lower than a new model of the same car, that doesn’t mean...
by delamer
Wed Dec 12, 2018 11:55 pm
Forum: Personal Consumer Issues
Topic: Buying used car
Replies: 25
Views: 1145

Re: Buying used car

Even if the minivan went into service in Fall 2014, that is nearly 20,000 miles per year.

I’d pass unless the price was really good.
by delamer
Wed Dec 12, 2018 11:51 pm
Forum: Investing - Theory, News & General
Topic: Recession Coming
Replies: 49
Views: 6019

Re: Recession Coming

"Dry powder" can mean investments in fixed income like Treasuries, CD's, short-term bond funds, etc., which can be liquidated to buy equities when they drop. In other words, rebalancing. It is an argument used to explain why not to be 100% stocks. It doesn't automatically mean money out of the mark...
by delamer
Wed Dec 12, 2018 5:16 pm
Forum: Investing - Theory, News & General
Topic: Recession Coming
Replies: 49
Views: 6019

Re: Recession Coming

Portfolio7 wrote:
Wed Dec 12, 2018 5:01 pm
What is this dry powder you speak of? My money is in savings, or it's invested - it doesn't sit around waiting for events I can't time...
Yup. My allocation is in place. If there is a big enough change in the markets, then I’ll rebalance.
by delamer
Wed Dec 12, 2018 5:14 pm
Forum: Investing - Help with Personal Investments
Topic: Lost value in 529 savings
Replies: 23
Views: 1569

Re: Lost value in 529 savings

You should look at the other investment options in the 529. There is probably a stable value fund/money market fund that you could use for some of the money (although don’t avoid stocks altogether). We hardly get to understand these investments. IL Brightstart Age based was simple for us to underst...
by delamer
Wed Dec 12, 2018 2:50 pm
Forum: Investing - Help with Personal Investments
Topic: Lost value in 529 savings
Replies: 23
Views: 1569

Re: Lost value in 529 savings

OK, I got what everyone is saying. So this year again I can contribute another 20K into 529 savings :) Hopefully the 2008 never repeats again :( You should look at the other investment options in the 529. There is probably a stable value fund/money market fund that you could use for some of the mon...
by delamer
Tue Dec 11, 2018 10:30 pm
Forum: Personal Finance (Not Investing)
Topic: Not accepting Medicare benefits
Replies: 24
Views: 4058

Re: Not accepting Medicare benefits

The IRMAA surcharges for any given year are based on your Modified Adjusted Gross Income (MAGI) from 2 years prior. So for 2019 the IRMAA surcharge is based on your 2017 MAGI. For Medicare, MAGI is your AGI from your 1040 plus your tax exempt interest income. There are a limited number of ways to a...
by delamer
Tue Dec 11, 2018 1:34 pm
Forum: Investing - Help with Personal Investments
Topic: Bonds or CD's
Replies: 5
Views: 515

Re: Bonds or CD's

1. You could use a bond fund that invests solely in government bonds, rather than one that has a large dose of private sector bonds (take your risk in your stock portfolio).

2. This isn’t an either/or situation. Put some in CDs and some in bonds.
by delamer
Tue Dec 11, 2018 1:25 pm
Forum: Investing - Help with Personal Investments
Topic: New Retiree Investment Strategy
Replies: 19
Views: 1945

Re: New Retiree Investment Stratedgy

I appreciate everyone's reply and respect your wisdom. I fully understand the focus on Total Return and I agree. I have been investing in Vanguard funds since about 1990. While I am at 75% REIT, that's just my stocks. At this time, that only represents about half of my portfolio. And within the REI...
by delamer
Tue Dec 11, 2018 10:40 am
Forum: Investing - Help with Personal Investments
Topic: Windfall predicament
Replies: 20
Views: 2564

Re: Windfall predicament

Funny how things change. We are looking into 529's for college and the separate stock and bond index funds that gradually reallocate over the long haul until we hit some of our target dates. The next concern is how much do I contribute into the 529's? PA's 529 allows deductions up to $28,000 filed ...
by delamer
Tue Dec 11, 2018 10:34 am
Forum: Investing - Help with Personal Investments
Topic: Income is greatly reduced. When would you absolutely stop 401k contributions?
Replies: 12
Views: 1546

Re: Income is greatly reduced. When would you absolutely stop 401k contributions?

Just to answer some questions above.... 1) With her salary and other income, we can cover about 60% of pre-tax expenses, including mortgage. We are mid 40s, two middle school kids. 2) She's not employed by the S corp. Her 401k doesn't have an official match, but the employer typically makes an end ...
by delamer
Tue Dec 11, 2018 10:23 am
Forum: Personal Finance (Not Investing)
Topic: Too Much Savings Regret
Replies: 112
Views: 16880

Re: Too Much Savings Regret

Exactly. As a 32 year old this possibility haunts me to no end. Indeed. Because you can't get those years back. Ever. I don’t remember who said it but this expression sums it up best: “money is a renewable resource; time is not.” The advantage of having a high income is you get to live for today an...
by delamer
Mon Dec 10, 2018 7:15 pm
Forum: Investing - Help with Personal Investments
Topic: Income is greatly reduced. When would you absolutely stop 401k contributions?
Replies: 12
Views: 1546

Re: Income is greatly reduced. When would you absolutely stop 401k contributions?

I agree with those above who said we really need more information to give you good advice, including your wife’s income and your fixed expenses. Primary breadwinner is a pretty broad term. Do you make 90% of the income or 55%? Can you get health insurance through your wife’s job? Good luck finding a...
by delamer
Mon Dec 10, 2018 3:06 pm
Forum: Investing - Help with Personal Investments
Topic: Windfall predicament
Replies: 20
Views: 2564

Re: Windfall predicament

Thank you for all the great advice. It's funny how much my opinions have changed in just a few days. I've been really looking into the 529 and I will say I had a distorted opinion of it. I obviously do not have any sort of account yet, but how hard would it be to redirect the dividends and capital ...
by delamer
Sun Dec 09, 2018 9:46 pm
Forum: Investing - Help with Personal Investments
Topic: Helping Parents with Retirement
Replies: 36
Views: 4403

Re: Helping Parents with Retirement

Now that I've got everything in Vanguard, I've done some more research and I am planning to change their portfolios all to the Vanguard Balanced Index Fund VBIAX. Vanguard gives some free trades up to a certain number so I think I can sell most of it with minimal fees and since most of it is in tax...
by delamer
Sun Dec 09, 2018 6:38 pm
Forum: Investing - Help with Personal Investments
Topic: Windfall predicament
Replies: 20
Views: 2564

Re: Windfall predicament

Thanks for the replies. I appreciate the feedback. My concerns were the following: 1. Life Strategy Growth- How does using separate index stock and bond funds make it easier to reallocate funds? I just assumed I could move to the moderate plan and then conservative, etc, when the time came. 2. 529 ...
by delamer
Sun Dec 09, 2018 3:22 pm
Forum: Investing - Help with Personal Investments
Topic: Has anyone adjusted their stock allocation on the dip?
Replies: 39
Views: 3281

Re: Has anyone adjusted their stock allocation on the dip?

Are you asking about rebalancing or reallocating?

Two different things.
by delamer
Sun Dec 09, 2018 2:26 pm
Forum: Investing - Theory, News & General
Topic: does the 4% withdrawal guideline include dividends?
Replies: 43
Views: 2984

Re: does the 4% withdrawal guideline include dividends?

The question for me is whether the RMD is counted into the 4% guideline such like dividends is and secondly, at my age 5% is calculated for me to take from my portfolio each year....should that also apply to the 4% guideline increasing the amount of the withdrawal? The 4% is based on spending that ...
by delamer
Sun Dec 09, 2018 2:21 pm
Forum: Investing - Help with Personal Investments
Topic: AA [Asset Allocation]
Replies: 5
Views: 420

Re: AA [Asset Allocation]

Any money that you want to use to make a purchase in 2 years should be in cash.
by delamer
Sun Dec 09, 2018 2:19 pm
Forum: Investing - Help with Personal Investments
Topic: Windfall predicament
Replies: 20
Views: 2564

Re: Windfall predicament

Thanks for the replies. I appreciate the feedback. My concerns were the following: 1. Life Strategy Growth- How does using separate index stock and bond funds make it easier to reallocate funds? I just assumed I could move to the moderate plan and then conservative, etc, when the time came. 2. 529 ...
by delamer
Sun Dec 09, 2018 1:54 pm
Forum: Investing - Theory, News & General
Topic: does the 4% withdrawal guideline include dividends?
Replies: 43
Views: 2984

Re: does the 4% withdrawal guideline include dividends?

Opportunity for me to ask a question: You say the 4% rule is taking out 4% of the year 0 amount. I guess I had always assumed it was taking 4% of the current portfolio amount? In other words, if your year 0 portfolio is 1M, you can take 40,000. If by year 5 your portfolio is worth 1.3M, you could t...
by delamer
Sun Dec 09, 2018 1:44 pm
Forum: Investing - Help with Personal Investments
Topic: Age 60, portfolio review for possible retirement soon
Replies: 9
Views: 1535

Re: Age 60, portfolio review for possible retirement soon

I was in a similar situation with rationalizing an inherited taxable portfolio, and it can be painful. I started with getting rid of small positions with high costs, like the Buffalo and Mathews funds in your case. I kept low cost funds, like your Schwab holdings. Some positions I reduced but did no...
by delamer
Sun Dec 09, 2018 1:25 pm
Forum: Investing - Help with Personal Investments
Topic: Windfall predicament
Replies: 20
Views: 2564

Re: Windfall predicament

While 80/20 is OK for now, you should have a plan to gradually decrease the stock allocation as you get closer to your spending date(s). Consider using separate stock and bond funds (instead of a LifeStrategy fund) to make it easier to adjust your allocation over time. Also, look into a 529 plan for...
by delamer
Sun Dec 09, 2018 1:02 pm
Forum: Investing - Theory, News & General
Topic: does the 4% withdrawal guideline include dividends?
Replies: 43
Views: 2984

Re: does the 4% withdrawal guideline include dividends?

The 4% rule is a terrible rule. Most people (outside of this blog) never make it to below 4%, you have to assume future expenses, and it encourages you to spend a certain amount even if you don't have to. That being said, it's the best we have, as far as a simple recommendation. It includes everyth...
by delamer
Sun Dec 09, 2018 12:56 pm
Forum: Investing - Help with Personal Investments
Topic: AA [Asset Allocation]
Replies: 5
Views: 420

Re: AA

What is the ultimate purpose of the $15,000 — retirement, new car, second home, etc.?
by delamer
Sat Dec 08, 2018 11:49 am
Forum: Investing - Theory, News & General
Topic: How to know what expected price is for index funds/ETFs?
Replies: 4
Views: 288

Re: How to know what expected price is for index funds/ETFs?

No one knows what the price of VTI or any other stock investment will be, in the short-run or the long-run.

If anyone tells you otherwise, they are lying.