Search found 2376 matches

by SGM
Tue Nov 21, 2017 10:12 pm
Forum: Investing - Help with Personal Investments
Topic: Are you your own worse enemy when it comes to investing?
Replies: 34
Views: 2109

Re: Are you your own worse enemy when it comes to investing?

Listening to the cacophony of information can also make you your own worst enemy. So many ideas and plans and you can start to doubt your self and if you are doing the right thing at the right time. There is a middle road somewhere but I, for one, am struggling to find it. Mike Piper in his Oblivio...
by SGM
Tue Nov 21, 2017 10:11 am
Forum: Personal Finance (Not Investing)
Topic: Why not take Social Security at 62
Replies: 134
Views: 7161

Re: Why not take Social Security at 62

We chose to delay SS to age 70 for the following reasons: 1. We value the insurance aspect of having higher SS should one or both of us live a long time. DWs parents both lived to be over 100. 2. COLA on the higher SS will be greater. 3. Use the time between retirement and collecting SS to convert t...
by SGM
Mon Nov 20, 2017 5:00 pm
Forum: Investing - Help with Personal Investments
Topic: Spending Taxable to Zero during Retirement
Replies: 32
Views: 3296

Re: Spending Taxable to Zero during Retirement

We decided to convert all of our tIRAs to Roth accounts prior to taking delayed SS. We will spend only from taxable for many years. There may be a point when we spend from both Roth and taxable late in retirement. Most likely we will spend all or nearly all of the taxable account prior to taking fro...
by SGM
Sun Nov 19, 2017 5:35 am
Forum: Investing - Help with Personal Investments
Topic: Do you include the sale of your home as part of your retirement planning?
Replies: 75
Views: 3357

Re: Do you include the sale of your home as part of your retirement planning?

If I were planning on moving to a continuous care retirement community I would likely use the proceeds of a home sale to move in. I don't think I would want the burden of renting out the home at age 80. Projecting the value of the home at age 80 and the future cost of a move would only be estimates....
by SGM
Thu Nov 16, 2017 1:41 am
Forum: Personal Finance (Not Investing)
Topic: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)
Replies: 50
Views: 3731

Re: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)

I have property near the Sound in CT although I am not a resident. We have noted that it is much easier and cheaper to get repair work on our CT properties than in another high cost of living area where we reside. We did have a New York relative come in and do some painting for us and the New York p...
by SGM
Wed Nov 15, 2017 8:52 am
Forum: Investing - Theory, News & General
Topic: GE and the myth of "safe blue-chip stocks"
Replies: 73
Views: 7312

Re: GE and the myth of "safe blue-chip stocks"

If world peace broke out and defense stocks plunged I would be a buyer. The difficult decision would be when to sell.
by SGM
Mon Nov 13, 2017 9:00 am
Forum: Personal Finance (Not Investing)
Topic: Did you tell anyone you paid off your mortgage?
Replies: 329
Views: 34961

Re: Did you tell anyone you paid off your mortgage?

Are you serious? Mortgage-burning parties were a long-established custom, and a reason for celebration of someone's good luck or achievement. Not much different from celebrating a wedding, birth or other joyous landmark in life. I don't know when they fell out of favor, but you don't hear them much...
by SGM
Sun Nov 12, 2017 12:15 pm
Forum: Investing - Help with Personal Investments
Topic: How do you project the amount you will have to spend annually in retirement?
Replies: 76
Views: 4158

Re: How do you project the amount of income you will have in retirement?

I have used multiple calculators to determine how much I will receive from SS at age 70. Currently retired, I know how much each income stream has produced last year. Some streams have COLAs others do not. I have a row for each stream and determine expected income for each of the next 5 years. For t...
by SGM
Sat Nov 11, 2017 9:48 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Slaughtering The High Dividend Sacred Cow
Replies: 192
Views: 13006

Re: Larry Swedroe: Slaughtering The High Dividend Sacred Cow

Dividends are part of total return, but are less tax efficient than selling stock in a taxable account as all of the dividend is taxed yearly and when selling stocks only the capital gains part is taxed. So I am ambivalent about dividends. If you can live off of dividends in retirement and are not r...
by SGM
Wed Nov 08, 2017 5:24 am
Forum: Investing - Theory, News & General
Topic: "I took all my money out of the stock market and it feels amazing"
Replies: 69
Views: 8722

Re: "I took all my money out of the stock market and it feels amazing"

She states she will wait until age 70 to take SS. She was never 100% in stocks as she invested in a balanced fund. Her expense ratios were on the low side because she was with Vanguard. TIPs are supposed to protect against inflation. She hasn't done badly so far although I feel it is foolish to be o...
by SGM
Tue Nov 07, 2017 2:24 am
Forum: Investing - Theory, News & General
Topic: Why is Vanguard sending so much junk mail telling me to vote in the proxy election?
Replies: 39
Views: 3941

Re: Why is Vanguard sending so much junk mail telling me to vote in the proxy election?

I don't recall ever receiving proxies from Vanguard before. I have strong opinions about owning all of the market and keeping costs low so I voted early and voted often. Voting early and voting often was the motto of an alderman I knew in Chicago. :D
by SGM
Sat Nov 04, 2017 10:21 am
Forum: Investing - Theory, News & General
Topic: "What's Your Uncertainty/Humility Score?"
Replies: 17
Views: 2462

Re: "What's Your Uncertainty/Humility Score?"

"An unsophisticated forecaster uses statistics as a drunken man uses lamp-posts - for support rather than for illumination. "
by SGM
Sat Nov 04, 2017 4:17 am
Forum: Investing - Help with Personal Investments
Topic: How has your AA philosophy changed over the years?
Replies: 45
Views: 3571

Re: How has your AA philosophy changed over the years?

For many years I have owned individual stock and no bonds.I did learn about investing in individual stocks from conversations with older employees. Now that I am retired, I am more conservative and own bond funds as well. Over time I have been selling individual stocks and buying broad index stock a...
by SGM
Wed Nov 01, 2017 9:26 am
Forum: Investing - Theory, News & General
Topic: How I use I-ORP, and who shouldn't
Replies: 127
Views: 12642

Re: How I use I-ORP, and who shouldn't

I look at I-ORP occasionally. It recommended Roth conversions over an extended period prior to taking SS which I acted upon. I used James Lange's book The Roth Revolution as another guide for conversions. Earlier versions didn't seem to be correct regarding taxes. For delaying SS I used multiple fre...
by SGM
Tue Oct 31, 2017 5:03 pm
Forum: Investing - Theory, News & General
Topic: Emotional impact of spending down assets?
Replies: 100
Views: 10019

Re: Emotional impact of spending down assets?

The emotional impact of spending down assets is different if you have a cost of living adjusted pension and other income streams vs. depending only on a portfolio for retirement income. I know a lot of couples with two cola pensions who spend very freely. In our case we are delaying SS and will buy ...
by SGM
Sun Oct 29, 2017 2:03 pm
Forum: Investing - Theory, News & General
Topic: What strategies do you use to manage risk in your portfolio?
Replies: 21
Views: 1243

Re: What strategies do you use to manage risk in your portfolio?

Multiple streams of income including rental income, pension, a spousal SS benefit, and a TIAA-CREF annuity cover the usual expenses. My own delayed SS will be 32 % higher than it would have been if I took it at 66. All of these except for the pension will offer some protection from inflation. Since ...
by SGM
Sat Oct 28, 2017 8:15 am
Forum: Personal Finance (Not Investing)
Topic: Can I retire today?
Replies: 132
Views: 7660

Re: Can I retire today?

Converting to traditional IRAs and 401ks to Roth accounts are a wash in terms of purchasing power at the time of conversion. I have a friend who refuses to look at the calculations because he is emotionally attached to the higher numbers associated with not doing the conversion. He doesn't care that...
by SGM
Thu Oct 26, 2017 8:55 am
Forum: Investing - Help with Personal Investments
Topic: Can one have too much money in tax-deferred
Replies: 128
Views: 11386

Re: Can one have too much money in tax-deferred

This includes making non-deductible tIRA contributions and either doing backdoor conversions or convert at a later date depending on your personal situation. Non-deductible TIRA is generally worse than taxable, unless you convert quickly. Not for me. All my non-deductible IRA contributions are in R...
by SGM
Thu Oct 26, 2017 8:49 am
Forum: Investing - Help with Personal Investments
Topic: How Well Do You Know About Retirement Income?
Replies: 40
Views: 4546

Re: How Well Do You Know About Retirement Income?

Maybe 70% require nursing home care, but for many it is only for very late in life and the cost would not be prohibitive if it is for only a few months. Since most of nursing home payments are from Medicaid they are not talking about wealthy bogleheads. Some also arrange to deplete assets so that th...
by SGM
Wed Oct 25, 2017 4:47 am
Forum: Investing - Help with Personal Investments
Topic: Can one have too much money in tax-deferred
Replies: 128
Views: 11386

Re: Can one have too much money in tax-deferred

I realized I was going to have large RMDs at 70 1/2. I began to convert when I cut my work to part time and completed it before I planned on taking delayed SS. However, I continued to maximize my 401k/profit sharing plan and traditional IRA savings. This helped keeping my marginal rate a little lowe...
by SGM
Tue Oct 24, 2017 9:46 pm
Forum: Investing - Theory, News & General
Topic: 2017 BOGLEHEADS CONFERENCE ANNOUNCEMENT
Replies: 192
Views: 27800

Re: 2017 BOGLEHEADS CONFERENCE ANNOUNCEMENT

Another well run conference. I enjoyed meeting some newbies and seeing some familiar faces. Hopefully I can get back in 2018. I also appreciate that The Bogleheads 2017 Conference cup is designed so it is very hard for me to stick my watercolor paint brush in it. :D
by SGM
Mon Oct 23, 2017 4:05 pm
Forum: Investing - Help with Personal Investments
Topic: Is it ok to have 100% stocks, 15 years+
Replies: 97
Views: 8453

Re: Is it ok to have 100% stocks, 15 years+

If you have job security and are able to continue to put money into the market when the bear returns you will benefit. Unfortunately, investors tend to sell when the market has bargain prices and to buy when the market is expensive. In a recession some jobs are at risk which would mean you might hav...
by SGM
Sat Oct 21, 2017 4:05 pm
Forum: Investing - Help with Personal Investments
Topic: Asset Allocation with Farm Land
Replies: 20
Views: 1519

Re: Asset Allocation with Farm Land

We have farmland that produces income. I consider all real estate as an income stream minus any real estate taxes and maintenance. Some income is more efficient and trouble free than others. Farm rental and deer leases require very little work on our part. It is neither a bond or a stock. Less incom...
by SGM
Wed Oct 18, 2017 3:48 am
Forum: Investing - Theory, News & General
Topic: Vanguard expects "decent sized correction" soon, sometime, maybe later
Replies: 68
Views: 7183

Re: Vanguard expects "decent sized correction" soon, sometime, maybe later

I profess no expertise in market predictions. Decreased regulations and increased profits are built in to the current price. I am not so sure that a proposed controversial tax cut is priced into the market.
by SGM
Tue Oct 17, 2017 7:45 am
Forum: Personal Finance (Not Investing)
Topic: Tax Bracket in Retirement
Replies: 46
Views: 5349

Re: Tax Bracket in Retirement

I did my conversions while either working very part time or retired prior to taking SS. However, my tax rates remain high. Also I pay additional Medicare payments related to income. I lowered my taxable dividends somewhat by paying taxes out of a taxable account. However, I keep making money on my t...
by SGM
Mon Oct 16, 2017 10:07 am
Forum: Personal Finance (Not Investing)
Topic: UTMA accounts
Replies: 17
Views: 634

Re: UTMA accounts

I have been trying to get my children to take over their UTMA accounts. I have warned them that if they do not change the account registration, the accounts will revert back into my estate at death. They seem to be too busy working. I cannot transfer the accounts without their signatures either meda...
by SGM
Sun Oct 15, 2017 4:19 pm
Forum: Personal Consumer Issues
Topic: How long for hedonic adaptation to set in?
Replies: 109
Views: 7474

Re: How long for hedonic adaptation to set in?

Hedonic adaptation occurs a few months after the new car smell is gone. :D I have been riding business and first class most of the time since the 1980s. Mostly this was paid for by a business or through frequent flyer mileage. I am more interested in the leg room. I don't fit well in a regular cabin...
by SGM
Fri Oct 13, 2017 7:58 am
Forum: Investing - Theory, News & General
Topic: And the Nobel Memorial Prize in Economic Sciences goes to [Richard Thaler]
Replies: 97
Views: 8544

Re: And the Nobel Memorial Prize in Economic Sciences goes to [Richard Thaler]

The equity premium puzzle during accumulation has always intrigued me. If the market goes low, there are opportunities to buy low. From 1925 to 1995 the equity premium for a $1000 invested in treasuries vs. stocks is a difference of $880,000. I am not cherry picking the numbers but the author who qu...
by SGM
Thu Oct 12, 2017 12:50 pm
Forum: Personal Finance (Not Investing)
Topic: What is the process for liquidating inherited individual stocks?
Replies: 17
Views: 1190

Re: What is the process for liquidating inherited individual stocks?

We are liquidating the estate of a recently deceased relative. Nothing can be done until we get the death certificates. The POA needs the proper form to be declared the executor or whatever term they use. By the way death certificates cost $20 each additional copy in this state. Official copies are ...
by SGM
Thu Oct 12, 2017 11:35 am
Forum: Personal Finance (Not Investing)
Topic: 7702 plan
Replies: 4
Views: 479

Re: 7702 plan

I was disappointed to see that on Jonathan Clements website there is an advertisement for one of these plans. I like a lot of what Clements has written, but this does not seem to be a product that he would endorse. Allowing such an advertisement on your website seems to imply that you approve of the...
by SGM
Thu Oct 12, 2017 4:08 am
Forum: Investing - Help with Personal Investments
Topic: 100% invested, all in, no cash- how do you do it?
Replies: 42
Views: 3684

Re: 100% invested, all in, no cash- how do you do it?

When we both worked we invested all of one paycheck and lived off the other. Later on when I had my own business we would always have the next month's expenses in cash. If we had larger expenses we would sell a position in stocks or bond funds. I also kept some cash aside near the end of the year or...
by SGM
Sat Oct 07, 2017 4:04 pm
Forum: Investing - Theory, News & General
Topic: Dividends vs. Capital Gains for Spending Needs?
Replies: 200
Views: 15415

Re: Dividends vs. Capital Gains for Spending Needs?

The "dividend puzzle "will be with us a long time, also why do investors prefer dividends when capital gains are better when you consider taxation. Reaching for yield can be a disastrous mistake as others have pointed out. It is difficult to understand that capital gains are preferential in taxable ...
by SGM
Fri Oct 06, 2017 4:33 pm
Forum: Investing - Theory, News & General
Topic: Dividends vs. Capital Gains for Spending Needs?
Replies: 200
Views: 15415

Re: Dividends vs. Capital Gains for Spending Needs?

I spend from my dividend pocket and my capital gains pocket. I didn't feel the tax drag of dividends until I sold most of my BRK to become more diversified. Spending only dividends is a way some people discipline their spending. The dividend puzzle has been discussed for a long time. It is good for ...
by SGM
Fri Oct 06, 2017 7:41 am
Forum: Investing - Theory, News & General
Topic: Are stocks going up only because all the alternatives are lousy?
Replies: 45
Views: 4829

Re: Are stocks going up only because all the alternatives are lousy?

Since my guess for the S&P 500 moved from 110th to 33rd in 6 days in the BH contest, it is a sell sign per my acquaintances. :oops: Interest rates are low and that usually means that investors will prefer stocks. The prospect of lower corporate tax rates may continue to help elevate the market. Perc...
by SGM
Mon Oct 02, 2017 8:09 am
Forum: Personal Finance (Not Investing)
Topic: trust issues vs. will
Replies: 2
Views: 320

trust issues vs. will

The future executor of an estate with power of attorney currently will be talking to an attorney shortly. An elderly relative is in a coma and irrationally dissolved a trust against the attorney's advice years ago. The will makes no mention of a trust. Can a trust be created now with the same instru...
by SGM
Mon Oct 02, 2017 7:28 am
Forum: Investing - Theory, News & General
Topic: $10 million+ - Still Working and LBYM
Replies: 162
Views: 16818

Re: $10 million+ - Still Working and LBYM

One problem we do anticipate as we move toward the 8 figure club is an estate tax issue. My previous plan to deal with this issue (which we never expected to have to deal with) was just to give away everything over the estate tax limit. That's really hard to do if you don't have significant money i...
by SGM
Sat Sep 30, 2017 5:24 pm
Forum: Investing - Theory, News & General
Topic: Why do you LBYM? Why do you save and invest?
Replies: 204
Views: 15388

Re: Why do you LBYM? Why do you save and invest?

I wanted to avoid the fate of Shakespeare's Richard the 2nd who said, “I wasted time, and now doth time waste me.”
by SGM
Fri Sep 29, 2017 9:50 am
Forum: Investing - Theory, News & General
Topic: Why do you LBYM? Why do you save and invest?
Replies: 204
Views: 15388

Re: Why do you LBYM? Why do you save and invest?

I learned about compounding at a very early age. While I found a lot of good role models, I also observed and learned the mistakes of others. I repeatedly found ways to increase my human capital while enjoying life along the way. I opted for increased opportunities and experience as opposed to stayi...
by SGM
Tue Sep 26, 2017 9:18 am
Forum: Personal Consumer Issues
Topic: Where do you get your news?
Replies: 131
Views: 8862

Re: Where do you get your news?

The quality of the news has become so poor and biased that it has reignited my long dormant interest in baseball. :D Go Nats.
by SGM
Mon Sep 25, 2017 7:33 am
Forum: Personal Consumer Issues
Topic: The Expert's Dilemma - How can I know I'm getting a good physician without being one myself?
Replies: 125
Views: 8780

Re: The Expert's Dilemma - How can I know I'm getting a good physician without being one myself?

As a retired family physician and gerontologists I referred my patients to specialists who were responsive and communicative to me and would see my patients quickly if I felt it was more urgent. The specialists knew that I would not abuse the privilege by exaggerating the need for an urgent referral...
by SGM
Mon Sep 25, 2017 3:43 am
Forum: Investing - Help with Personal Investments
Topic: Just Getting Started
Replies: 6
Views: 587

Re: Just Getting Started

If you inherit a Traditional, Rollover, SEP, or SIMPLE IRA from a friend or family member, you have several options, depending on whether the account holder was under or over age 70½. I would check with Vanguard or whatever institution you are going to use for the specific rules regarding required w...
by SGM
Sun Sep 24, 2017 4:23 am
Forum: Personal Finance (Not Investing)
Topic: Calling out the not so rich bogleheads
Replies: 233
Views: 26150

Re: Calling out the not so rich bogleheads

Commoner OP?. Are we back in merry old England or what? :D

Most of the financial advice I have read was written after the establishment of the American colonies.
by SGM
Sat Sep 23, 2017 3:14 am
Forum: Personal Finance (Not Investing)
Topic: Calling out the not so rich bogleheads
Replies: 233
Views: 26150

Re: Calling out the not so rich bogleheads

I have learned a lot from both rich and not so rich BHs although I came to many core BH principles on my own before finding this forum. The wealth or income of a poster is not of concern to me. There are certain problems or issues that transcend differences in wealth and are common to all. There are...
by SGM
Thu Sep 21, 2017 4:07 pm
Forum: Investing - Help with Personal Investments
Topic: Investment Advice-Whole life,Vanguard,Roth IRA?
Replies: 16
Views: 872

Re: Investment Advice-Whole life,Vanguard,Roth IRA?

OP you have good instincts to realize these insurance salesmen do not have your best interests at heart. The loans are pretty high and I would pay them off as quickly as possible. Make sure you get the match for your 401k. Try to keep your car running. I would look for tax deductible investments lik...
by SGM
Thu Sep 21, 2017 10:42 am
Forum: Investing - Help with Personal Investments
Topic: IRA to Roth conversion now (age 68) or RMD?
Replies: 29
Views: 1870

Re: IRA to Roth conversion now (age 68) or RMD?

If you are going to be in the same or greater tax rate when you take RMDs it will pay to make Roth conversions. If you pay your taxes out of a taxable account the buying power at the time of conversion will be exactly the same. You don't lose any buying power period. In the 25% tax bracket you have ...
by SGM
Thu Sep 21, 2017 8:00 am
Forum: Local Chapters and Bogleheads Community
Topic: Bogleheads you would most like to meet and why?
Replies: 134
Views: 9487

Re: Bogleheads you would most like to meet and why?

I have been fortunate to meet many BHs at the Philadelphia national meetings and at local meetings. There are a lot of friendly, intelligent, and good humored BHs out there.
by SGM
Thu Sep 21, 2017 7:53 am
Forum: Investing - Help with Personal Investments
Topic: I won the Lottery. Need sound advice.
Replies: 220
Views: 24992

Re: I won the Lottery. Need sound advice.

OP has shown no discipline in the past. If he takes a lump sum pay off all the debt and learn to live within your means. If the OP does not intend to pay off the debt and cannot change his ways then an annuity would be a safer bet. Get rid of your financial advisor.
by SGM
Wed Sep 20, 2017 2:06 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security - Applying Online for Age 70 Benefit - Avoiding Retroactive Payments
Replies: 5
Views: 974

Re: Social Security - Applying Online for Age 70 Benefit - Avoiding Retroactive Payments

A friend who just turned 70 in August had to argue with the SS agent to not receive a retroactive payment for the prior 6 months. She was receiving a divorced spouse's benefit since she reached her FRA. This occurred face to face at the local SS office. The agent was insistent that the friend would ...
by SGM
Wed Sep 20, 2017 2:57 am
Forum: Investing - Theory, News & General
Topic: Multiple sources of income - fact or fiction?
Replies: 12
Views: 2027

Re: Multiple sources of income - fact or fiction?

Some rental income requires almost no effort, like a cell tower lease, farmland rental, hunting leases, solar farms or wind farms. Renting apartments or houses requires more effort, but the IRS considers it as passive income unless you spend large amounts of time as a landlord. SS, pensions, and oth...