Search found 1885 matches

by ray.james
Wed Mar 13, 2024 3:07 pm
Forum: Personal Finance (Not Investing)
Topic: How much to target in 529 for covering full tuition?
Replies: 75
Views: 8597

Re: How much to target in 529 for covering full tuition?

Update to our situation. We have sold a big chunk of company stock that built up. After taxes it is about $450k. The plan is to just add it to our portfolio, bringing our portfolio to about $2.5M. Another thought we had that is be curious to get opinions on. We currently save $800 per month per kid (2nd and 3rd graders). That puts us in a path to our goal of having about 60% of an expensive private school saved. Each kid has around $100k in their 529s today. Alternatively, instead of putting all the proceeds in taxable, we could put about $90k in each kids 529 and let it ride, stopping monthly contributions. This gets the benefit of more time in market with about ten years before college. Part of me likes the idea of front loading and part...
by ray.james
Wed Feb 28, 2024 11:09 am
Forum: US Chapters
Topic: Post your Financial Milestone Announcements Here
Replies: 3623
Views: 569247

Re: Post your Financial Milestone Announcements Here

Broke $1.7M NW when updating my spreadsheet this month. Crazy how as your life grows with a family and today's inflated economy it feels like the goal post just moves. When I started seriously investing I thought I could get away with a $2.5M portfolio ($100k a year withdraw) and paid off $500K home. That was basically a decade ago. Not realistic at all for us anymore. Now I feel obligate to work hard at least another 15ish years until my kids go to college. Have the classic parent drive to get a better house in best school district, save for their college, etc. Congrats!! I have the same feeling about goal posts changing, especially handling seemingly endless escape routes for money with two teenagers at home! Perhaps I can dream the goal...
by ray.james
Wed Feb 14, 2024 7:53 pm
Forum: Personal Finance (Not Investing)
Topic: Tales from this insane real estate market [Home sales]
Replies: 2923
Views: 521180

Re: Tales from this insane real estate market [Home sales]

Doublebatman wrote: Wed Feb 14, 2024 6:58 pm Just when I thought we were maybe approaching a slightly more reasonable market I see a home that sold for $230k in 2018, list for $775k, and go pending a day later. This was not a reno or rehab.

Since 2021 I’ve watched $675k pre pandemic new builds climb to $800k, $900k then $1M as interest rates dropped and then continue to climb to $1.1M then $1.2M and higher as interest rates went upwards of 7%….

Someone make it make sense! This housing market truly baffles me :confused
Which city/area is this? Thanks.
by ray.james
Sun Feb 04, 2024 4:08 pm
Forum: Personal Consumer Issues
Topic: Resale value of gas cars in 10 to 15 years
Replies: 49
Views: 3052

Re: Resale value of gas cars in 10 to 15 years

A typical car lifespan is 15 years. Irrespective of what I think about ev's or gas; it is still irrational fear at this point. Probably somewhere around 2030 is when this question may actually be relevant. If I were buying today, I would probably buy a hybrid to save money but the ev's fear is not part of it.

The EVs itself are going through exciting change. Battery chemistry updates, v2l/v2g capabilities etc will change the future. But the changes in tech itself feels like mobile phones in 2009's. Except in case of mobile they have a useful lifespan of 2-4 years which is why they got replaced so much quicker.
by ray.james
Fri Feb 02, 2024 12:09 pm
Forum: Personal Consumer Issues
Topic: What frugal thing did you do today?
Replies: 4536
Views: 625987

Re: What frugal thing did you do today?

Cut my own hair, as I've done for as long as I can remember. Scary to think how much I haven't spent over the years. Clippers weren't working great, but are a fairly good quality set. Googled how to sharpen the blades. Took the blades off, cleaned everything, and sharpened the blades on a sharpening stone. Was really easy and probably only took 15 minutes. I had a 2nd older set that had quit working many years ago, before I began working on being frugal, hence the 2nd set. Son cleaned and sharpened that one too and now it's working great. My son has been using mine so now he has his own set. If anyone does this, or needs to, a good tip I found is to color the blade surface with a sharpie. When the black is all gone, sharpening is done and ...
by ray.james
Wed Jan 31, 2024 10:14 am
Forum: Personal Finance (Not Investing)
Topic: Help me navigate huge LTCG tax
Replies: 85
Views: 8460

Re: Help me navigate huge LTCG tax

For CA, the 6 month rule does not work like that. You will be considered partial year resident and will ask for proportional taxes to your stay in CA.

If you do not mind asking what stock is this?
by ray.james
Mon Jan 29, 2024 6:19 pm
Forum: Personal Finance (Not Investing)
Topic: Help me navigate huge LTCG tax
Replies: 85
Views: 8460

Re: Help me navigate huge LTCG tax

Here's a handy LTCG calculator to assist you in planning: https://www.nerdwallet.com/article/taxes/capital-gains-tax-rates Note that it doesn't include the NIIT tax though, so you would need to add that to the projections. Not sure how much in ordinary income you make, but that could eat up the entire 15% space if you are a high income earner. If it were me, I'd sell it in two chunks, 1.6 million this year and 1.6 million next; unless, you make so much that the vast majority of it is going to be at 23.8% regardless. Good luck! It's certainly a nice problem to have. The 15% tax bracket goes up to 553,850. So if his income is 100k, it might be better to sell 2.75Mill this year and 450K next year. The maximum saved by doing this in this examp...
by ray.james
Mon Jan 29, 2024 3:55 pm
Forum: Personal Finance (Not Investing)
Topic: Help me navigate huge LTCG tax
Replies: 85
Views: 8460

Re: Help me navigate huge LTCG tax

Here's a handy LTCG calculator to assist you in planning: https://www.nerdwallet.com/article/taxes/capital-gains-tax-rates Note that it doesn't include the NIIT tax though, so you would need to add that to the projections. Not sure how much in ordinary income you make, but that could eat up the entire 15% space if you are a high income earner. If it were me, I'd sell it in two chunks, 1.6 million this year and 1.6 million next; unless, you make so much that the vast majority of it is going to be at 23.8% regardless. Good luck! It's certainly a nice problem to have. The 15% tax bracket goes up to 553,850. So if his income is 100k, it might be better to sell 2.75Mill this year and 450K next year. The maximum saved by doing this in this examp...
by ray.james
Mon Jan 29, 2024 3:28 pm
Forum: Personal Finance (Not Investing)
Topic: Help me navigate huge LTCG tax
Replies: 85
Views: 8460

Re: Help me navigate huge LTCG tax

If it is already LTCG, the difference between 18.8 and 23.8 is 5%. It is not like short term where the tax rate keeps climbing from 22 to 37% + NIIT. I would just sell everything in one swoop. This would protect against stock drops.
by ray.james
Tue Jan 23, 2024 8:05 pm
Forum: Personal Finance (Not Investing)
Topic: First Republic line of credit - 100k @ 2.25%, any concerns? [And other financial considerations]
Replies: 277
Views: 54121

Re: First Republic line of credit - 100k @ 2.25%, any concerns? [And other financial considerations]

Received in the mail today a letter indicating that my First Republic Personal Line of Credit will transition to SoFi on March 18. The terms and conditions of your line of credit such as your interest rate, remain the same unless otherwise noted in the letter. ... If you have other First Republic accounts, such as deposit accounts, they will transfer to JPMorgan Chase at a later date. I imagine this will render the linked balance requirement moot... It has a link to this page also: https://www.firstrepublic.com/PLOC-FAQ#slide-2 Will my relationship-based interest rate adjustment continue once my line of credit transfers to SoFi? Yes. As a courtesy, we’ll continue to honor your rate adjustments and let you know before there are changes to t...
by ray.james
Mon Jan 22, 2024 11:15 am
Forum: US Chapters
Topic: 🎁 🎉Happy 100th Birthday to Taylor Larimore 🎊🎂
Replies: 429
Views: 43355

Re: 🎁 🎉Happy 100th Birthday to Taylor Larimore 🎊🎂

Happy birthday Taylor. Wish you the best of time.

Your mission and work with spreading bogle's words has changed my family's financial trajectory.
by ray.james
Sun Jan 07, 2024 1:40 pm
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2023 software offer
Replies: 246
Views: 39301

Re: H&R Block 2023 software offer

Can someone who has already purchased H&R Block 2023 Deluxe (Federal only) or Deluxe & State download version confirm that it supports Schedule D form? I used to be able to find the forms supported by download SW at H&R Block website, but that feature appears to be removed this year. Thanks. In previous years, you could manually add the form and fill it in. No walk through assistant. Not sure about 2023, since I started using premier for rentals and depreciation tracking. No, as of 2022, the assistant helped fill in Schedule D with Deluxe version. No need to add the form manually. I wanted to find out if 2023 version retained that feature. HRB Deluxe download has supported Schedule D for as long as I've been using it--quite a f...
by ray.james
Sat Jan 06, 2024 6:55 pm
Forum: Investing - Theory, News & General
Topic: I Bonds Mega Thread (I Bond Heads Rejoice!)
Replies: 6658
Views: 1241572

Re: I Bonds Mega Thread (I Bond Heads Rejoice!)

Hi Everyone, Can we gift a paper I bonds after a few years of owning them? My understanding is "yes" but I am not sure how it works. I am well aware of gift box strategy thanks to this thread. But this is a complete different question. The gift section of TD left me even more confused. https://www.treasurydirect.gov/savings-bonds/gift-a-bond/ I have some paper I bonds from 5-10 years ago. I am wondering if I can start gifting them to nieces/nephews for their birthdays? I am looking to get rid of those with under 1K denomination. 1) Is this possible? How to execute this? 2) Are taxes on earnings paid by me or the receiver? 3) Any differences between the gift recipient being minor (vs) non-dependent adult.( in my case, I have some ...
by ray.james
Sat Jan 06, 2024 3:59 pm
Forum: Personal Finance (Not Investing)
Topic: H&R Block 2023 software offer
Replies: 246
Views: 39301

Re: H&R Block 2023 software offer

Pam01 wrote: Sat Jan 06, 2024 3:33 pm Can someone who has already purchased H&R Block 2023 Deluxe (Federal only) or Deluxe & State download version confirm that it supports Schedule D form? I used to be able to find the forms supported by download SW at H&R Block website, but that feature appears to be removed this year.

Thanks.
In previous years, you could manually add the form and fill it in. No walk through assistant. Not sure about 2023, since I started using premier for rentals and depreciation tracking.
by ray.james
Sat Jan 06, 2024 2:54 pm
Forum: Investing - Theory, News & General
Topic: I Bonds Mega Thread (I Bond Heads Rejoice!)
Replies: 6658
Views: 1241572

Re: I Bonds Mega Thread (I Bond Heads Rejoice!)

Hi Everyone, Can we gift a paper I bonds after a few years of owning them? My understanding is "yes" but I am not sure how it works. I am well aware of gift box strategy thanks to this thread. But this is a complete different question. The gift section of TD left me even more confused. https://www.treasurydirect.gov/savings-bonds/gift-a-bond/ I have some paper I bonds from 5-10 years ago. I am wondering if I can start gifting them to nieces/nephews for their birthdays? I am looking to get rid of those with under 1K denomination. 1) Is this possible? How to execute this? 2) Are taxes on earnings paid by me or the receiver? 3) Any differences between the gift recipient being minor (vs) non-dependent adult.( in my case, I have some h...
by ray.james
Wed Dec 06, 2023 9:17 am
Forum: Personal Investments
Topic: Contributed $52K to TWO 529 Plans in 2023 - Is that a problem?
Replies: 30
Views: 3028

Re: Contributed $52K to TWO 529 Plans in 2023 - Is that a problem?

I believe the correct answer is: + If the deposit into the 529 account came from a joint account, no gift tax return is required as 1/2 is deemed to have come from each owner on the account and the amount of the gift from each spouse per kid is below the annual gift tax exclusion. + If the deposit into the 529 account came from an account in only one spouses name AND you live in a community property state, no gift tax return is required as 1/2 is deemed to have come from each spouse and the amount of the gift from each spouse per kid is below the annual gift tax exclusion. + If the deposit into the 529 account came from an account in only one spouses name AND you live in a non-community property state, a gift tax return is required as the ...
by ray.james
Wed Dec 06, 2023 9:16 am
Forum: Personal Investments
Topic: Contributed $52K to TWO 529 Plans in 2023 - Is that a problem?
Replies: 30
Views: 3028

Re: Contributed $52K to TWO 529 Plans in 2023 - Is that a problem?

rkhusky wrote: Wed Dec 06, 2023 7:54 am Could you open multiple 529 accounts for each child and give $34K to each account?
Not really ( in the context of this question). You can open multiple accounts but gift tax limit is per person to a per recipient. But this is also not needed. You can always superfund it for up to 5 years and file the gift tax form. Again no additional taxes in this case either.
by ray.james
Tue Dec 05, 2023 3:17 pm
Forum: Personal Investments
Topic: Contributed $52K to TWO 529 Plans in 2023 - Is that a problem?
Replies: 30
Views: 3028

Re: Contributed $52K to TWO 529 Plans in 2023 - Is that a problem?

Not to confuse OP, but is there any requirement that the contributing account needs to be joint account if adding more than 17K(for married couple).
by ray.james
Tue Dec 05, 2023 11:51 am
Forum: Personal Finance (Not Investing)
Topic: Advice for nephew, 25, raking in that Silicon Valley pay
Replies: 76
Views: 14517

Re: Advice for nephew, 25, raking in that Silicon Valley pay

Hello Professor MCQ, I do not work for FANG but as a dual income, I was in the same shoes for the past 10 years. I have consistently looked at best ways to save wealth and these are my conclusions. 1) Taxes are brutal. Not just on income but also on earnings. Optimizing that is better than beating the market up to a limit. I say this after seeing many friends running after NVDIA, TSLA to a number of unsuccessful companies, failed unicorn IPO's out there. The victors are far few as compared against boring index investor with taxes optimized. 401k, roth, mega backdoor roth are your friend. If you can, real estate for the taxable portion of investing is not bad, due to depreciation covering the rental income. 2) Buy a personal home if you are ...
by ray.james
Thu Nov 30, 2023 5:26 pm
Forum: Personal Investments
Topic: Stopping retirement contributions to pay towards mortgage.
Replies: 62
Views: 5719

Re: Stopping retirement contributions to pay towards mortgage.

I am in a similar boat and I am approaching it like this: My current rate is 2.375 and the maximum rate it could be is 8.375. I have 4 more years on my arm. During this, If I can get a fixed rate at 4%, I will take it. I will start piling the extra payments in a taxable account and earn 5% in treasuries until decision time. There are 2 things that could happen. The 2025 tax brackets will sunset and the SALT will be brought back. In this case the effective mortgage rate of 8.375 will become 4.5 - 5%. If the tax cuts and jobs act remain in some form with the 750K mortgage limit and higher standard deduction, my effective rate becomes 7%(At this point, I will prepay with the amount saved so far and refinance to a 15 year term/another arm to th...
by ray.james
Tue Nov 28, 2023 5:40 pm
Forum: Personal Consumer Issues
Topic: CA Solar Decision
Replies: 90
Views: 12408

Re: CA Solar Decision

krafty81 wrote: Tue Nov 28, 2023 5:25 pm Thanks for the correction. I also want a battery so I can charge my car during a power outage if needed. Anyone know if there is a federal tax rebate for battery install?
the battery needs to be more than 3 KWH and has a way for solar to charge it. The rebate is same as panels -30% federal.
by ray.james
Mon Nov 20, 2023 10:32 am
Forum: Personal Finance (Not Investing)
Topic: What is my "true" wage income?
Replies: 33
Views: 3866

Re: What is my "true" wage income?

In some countries, they use total cost of employee during salary negotiations which includes all the above components. In USA, it is complicated. I found Medicare wages to the best proxy for income that you can control to make wealth from. (the rest are discretionary from employers.
by ray.james
Thu Nov 09, 2023 3:21 pm
Forum: Personal Finance (Not Investing)
Topic: Bank of America promo: extra 2%/2x credit card rewards [Updated later in thread for Nov 9, 2023]
Replies: 268
Views: 30355

Re: Bank of America promo: extra 2%/2x credit card rewards [Updated later in thread for Nov 9, 2023]

Another tip for CA folk: If PGE is your service provider you can prepay the electric bills using credit cards. They charge $1.35 fee per transaction which is a fixed cost. So you can prepay some amount 1k-2.5k and just roll through next year with out a bill.
by ray.james
Fri Nov 03, 2023 11:09 am
Forum: Investing - Theory, News & General
Topic: Executions outside the spread leaving my limit order untouched?
Replies: 5
Views: 887

Re: Executions outside the spread leaving my limit order untouched?

Someone was ok with a limit order up to 51.58/51.60. And a buyer was asking no less then 51.56/51.58. So the market moved to the new rate. I usually give myself a 5 cent range for the limit order, to not hit this issue.
by ray.james
Wed Nov 01, 2023 10:27 am
Forum: Personal Finance (Not Investing)
Topic: Bank of America/Merrill Edge - Preferred Rewards
Replies: 7057
Views: 891500

Re: Bank of America/Merrill Edge - Preferred Rewards

Curious as to what the premium elite card holders like compared to let's say the Chase Sapphire Reserve or Amex Platinum. Seems this tier of card could provide better returns on flights/hotels, but perhaps I'm mistaken.. I'll put in my two cents. First, I don't think it is that great of a card. But here is my situation and it is very specific to....well....me. Since I am in the BofA Preferred Rewards ecosystem, to get 3.5% on all travel and dining, which better than the base reimbursement on Chase and American Express Platinum, I am committed to at least the $95 annual fee for the regular BofA Premium Rewards card. So why would I pay $550 for the Premium Rewards Elite? As I have said in this and other threads, I fly United and American a d...
by ray.james
Fri Oct 20, 2023 10:18 am
Forum: Personal Investments
Topic: Buying muncipal bonds like treasuries
Replies: 6
Views: 1343

Re: Buying muncipal bonds like treasuries

Muni bonds are not like buying Treasuries. Lot's of factors to consider. I have bought a crap ton (several million) of Treasuries on the Fidelity platform over the last 18 months. Very easy to do. I also own about 3 dozen individual muni bonds. However, all of those were hand selected for me by a muni bond specialist I've been working with at a full service broker for over two decades now. Even with as many muni bonds as I own (and have bought over the years) I would take pause before assembling a muni bond portfolio on my own. Fidelity does have muni bond specialists. I know because I got a call from one some years ago. If you really wanted to buy muni's, I'd give their fixed income folks a call. They "could possibly" make sense...
by ray.james
Fri Oct 20, 2023 12:36 am
Forum: Personal Investments
Topic: Buying muncipal bonds like treasuries
Replies: 6
Views: 1343

Buying muncipal bonds like treasuries

Hello fellow bogleheads, Armed with the knowledge provided on this site and related members, after several years in bond funds, I started buying individual bonds earlier this year. This is at my brokerage, Fidelity. I thought I could extend on this in taxable to buy municipal bonds as well. Alas, this turned out to be an adventure. I wonder if anyone would advise/ have done buying individual municipal bonds on treasury market can help me. Case in point, I tried to see what bonds are available in 3 months maturity duration. CUSIP 764440JF1 with maturity on 11/1/2023 with yield to maturity of 6.2% CUSIP 54473EWS9 with maturity on 12/1/2023 with yield to maturity of -1%. The fidelity muni table says I could expect a return of 4% and there are ...
by ray.james
Thu Oct 12, 2023 10:49 am
Forum: Personal Consumer Issues
Topic: SUV recommendations for our 2nd car
Replies: 38
Views: 3974

Re: SUV recommendations for our 2nd car

The smallest but able to fit adults is Sorrento hybrid for occasional 6 seater needs.

Adding to chorus, minivan beats everything but there are no discounts available on them.
by ray.james
Sun Oct 08, 2023 3:12 pm
Forum: Personal Finance (Not Investing)
Topic: [New] CA tax hike next year for high earners
Replies: 101
Views: 10250

Re: [New] CA tax hike next year for high earners

For those unable to read the article behind the paywall, the increase is to provide increased benefits under California's paid family leave and state disability programs. "The tax hike will pay for an increase in benefits under California’s state disability insurance and paid family leave programs starting Jan. 1, 2025. At that point, the wage-replacement rate — how much of their weekly pay participating workers get in benefits — will rise to up to 70% to 90% depending on income. That’s up from 60% to 70% today." " State disability insurance covers an employee’s non-work-related injury, illness or pregnancy. Paid family leave kicks in when an employee needs time off to care for a seriously ill family member, bond with a new ...
by ray.james
Tue Oct 03, 2023 4:28 pm
Forum: Investing - Theory, News & General
Topic: we may be close to a bottom
Replies: 36
Views: 4191

Re: we may be close to a bottom

Personally, I think we haven't even started. The interest rates on auto loans, home loans, finance, student loan repayment etc., are at an interjection. I think S&P will see atleast 3,500 for this downturn(again). Personally, I am in short term bonds and bill for 65% of my portfolio. 2008 and 2020 created a false sense of going up and down like a "V". Humans forget.
by ray.james
Mon Sep 18, 2023 10:54 am
Forum: Personal Finance (Not Investing)
Topic: Has anybody listed their property for a ridiculously high price and gotten it?
Replies: 58
Views: 6679

Re: Has anybody listed their property for a ridiculously high price and gotten it?

Zillow allows a listing for this called - FSBO-make me move. You can list your price, pics and see if it attracts any attention.
by ray.james
Fri Sep 15, 2023 3:45 pm
Forum: Personal Investments
Topic: Oversimplified? Investment advice going forward.
Replies: 28
Views: 2847

Re: Oversimplified? Investment advice going forward.

Things I would do differently:

1) superfund 529. Lets say your target is 100K. What do you need put in right now for it to reach 100K 14 years(4 year old) from now at 6%. The answer is 45,000. I would use gift tax exemptions and get it done once. Once the kids is 14-15 years old, re-evaluate the college costs.

2) Mega backdoor Roth if available. If early retired, the contributions can be withdrawn anytime and they are ordered as first withdrawals out of a Roth account.
by ray.james
Tue Sep 05, 2023 3:37 pm
Forum: Personal Consumer Issues
Topic: Tesla Model X price drop: thoughts?
Replies: 102
Views: 10192

Re: Tesla Model X price drop: thoughts?

TomatoTomahto wrote: Tue Sep 05, 2023 3:34 pm
Theseus wrote: Tue Sep 05, 2023 3:08 pm
I have a 2017 model x. I paid for more back then. And now I am so tempted to buy one. I only have 50k miles on it. So I don’t drive a lot. But if I qualify for the tax credit then it’s worth it seems.

Not sure what’s my old X worth. Need to figure that out.
I’m in a similar boat. I bought a 2016 Model X P90D with double chargers and paid a lot. I have lifetime free Superchargong and that transfers to a new owner, so I hope that factors into what I get for it.

I am looking to order a 2024 Mercedes EQS 580. I’m also starting to fly Business Class on longer trips :D The kids will be fine.
How much has range improved for the current Model X since 2016/2017 from efficiency improvements?
by ray.james
Fri Sep 01, 2023 11:56 am
Forum: Personal Consumer Issues
Topic: Buying a first car (Nissan Leaf?) at 35
Replies: 60
Views: 6049

Re: Buying a first car (Nissan Leaf?) at 35

It's actually "met". At least in China. BYD (Build Your Dream) has become one of the 10th largest automakers in the world-- seemingly out of nowhere. And they have just launched here (UK). Also MG Rover - a clapped out British brand which went bust over 10 years ago*, now owned by Shanghai Automotive (?). They have landed in markets here with a bang, with pretty much the lowest priced EVs. Mind, from the SW tip of England (Land's End, in Cornwall) to the tip of mainland Scotland (John O'Groat's) is only about 700 miles, so the range issue is less of a concern (but people worry about it). I was reading a car related article, when I was surprised to find MG as one of large sellers in India. In fact, A quarter of them are electric c...
by ray.james
Mon Aug 28, 2023 3:36 pm
Forum: Personal Finance (Not Investing)
Topic: First Republic line of credit - 100k @ 2.25%, any concerns? [And other financial considerations]
Replies: 277
Views: 54121

Re: First Republic line of credit - 100k @ 2.25%, any concerns? [And other financial considerations]

What does renewal mean in this context? like using credit line again for second term with same interest rates?

The PLOC product- subject of this thread is usually a 7 year, 10 year, 15 year product. In my case, I took a 10 year loan(8 years of paying back) which will end sometime in 2030. So far I have drawn down 100% and will slowly pay off. The draw down period is always the first 2 years.
by ray.james
Fri Aug 25, 2023 1:21 pm
Forum: Personal Finance (Not Investing)
Topic: Rethinking "Keep Your Car for Ten Years"
Replies: 466
Views: 49616

Re: Rethinking "Keep Your Car for Ten Years"

Who knows what new gadgetry they will come up with next. I still want to keep cars for about 10+ years. But, if something comes out that is as game changing as anti lock brakes or electronic stabilization, I would upgrade sooner. Having just bought my first new car in over 7 years, I am blown away by the advances in active driving assist safety features. They are a bit disconcerting at times, like the first time the car steers itself back into the middle of the lane. While I hope not to test them too much, if they help me avoid a major accident they will be, of course, priceless. I would not have done an upgrade just for the safety advances (although I probably should have), and now that I have them glad to. Emergency braking which reduces...
by ray.james
Fri Aug 25, 2023 11:46 am
Forum: Personal Finance (Not Investing)
Topic: Rethinking "Keep Your Car for Ten Years"
Replies: 466
Views: 49616

Re: Rethinking "Keep Your Car for Ten Years"

Who knows what new gadgetry they will come up with next. I still want to keep cars for about 10+ years. But, if something comes out that is as game changing as anti lock brakes or electronic stabilization, I would upgrade sooner. Having just bought my first new car in over 7 years, I am blown away by the advances in active driving assist safety features. They are a bit disconcerting at times, like the first time the car steers itself back into the middle of the lane. While I hope not to test them too much, if they help me avoid a major accident they will be, of course, priceless. I would not have done an upgrade just for the safety advances (although I probably should have), and now that I have them glad to. Emergency braking which reduces...
by ray.james
Fri Aug 18, 2023 5:53 pm
Forum: Personal Finance (Not Investing)
Topic: Rethinking "Keep Your Car for Ten Years"
Replies: 466
Views: 49616

Re: Rethinking "Keep Your Car for Ten Years"

I am partially worried about availability of parts due to increasing EV switch. If you have a 10 year old model or a very popular gas model, not a big deal. I own Honda Clarity which niche product for Honda in USA. All together they sold 40K over 5 years before it was dropped off the product line. I am worried about parts beyond 10 year timeline.
by ray.james
Thu Aug 17, 2023 5:59 pm
Forum: Personal Consumer Issues
Topic: Amex Platinum in 2023 - worth it to hold and use?
Replies: 63
Views: 9786

Re: Amex Platinum in 2023 - worth it to hold and use?

Not great news with making annual fee per card, instead of per 3 members. I dropped mine earlier this year. I was a customer since 2010. First as gold and then converted to platinum, then a second separate card for my wife. In the end it became a coupon book. Families with children are penalized at lounges. I am fine with that, but lounges at most international destinations are crowded as hell. What used to be a simple travel card, became useless and combined with carrying visa/master for Europe, made it a clear decision for us. I would imagine, a careful user might get value out of it. But I want to trust AmEx to provide some value with out burden. The agent at the last renewal/cancellation attempt said- this is the best lifestyle card. Pu...
by ray.james
Thu Aug 17, 2023 3:05 pm
Forum: Personal Investments
Topic: California 529 Plan
Replies: 6
Views: 1252

Re: California 529 Plan

Tax deduction is based on residence. In general some states allow deductions only if opened with the same state plan.

Either way if you are California resident, California does not allow deduction. At the same time it recognizes 529, so the gains are tax free. Now, what is good plan with low cost funds for 529? In the regards California plan is pretty great.
by ray.james
Mon Aug 14, 2023 11:38 am
Forum: Personal Finance (Not Investing)
Topic: Share your net worth progression
Replies: 4288
Views: 1082185

Re: Share your net worth progression

If I had to do it today I would do a lot more Roth. Forty years ago we had no clue if we'd be financially secure. Now we're looking at high RMDs. I'm advising my kids about this now. Hi R7000, would like your thoughts on the Roth 401K. would you advise people to switch to Roth at a certain asset level say 500K or 1M? Thanks. Would look forward to what R7000 is doing now to mitigate or might recommend choosing earlier. But what coconuts suggested is what I plan to do. According to SEPP rules a 2 million IRA using annuitization method yields 120K withdrawal. I have kept 55 as my possible early retirement age. So I have set 2mill at 55 as a benchmark point for switching to Roth. So to reach 2 million at 55, one needs to have 500k by 31 (or) 1...
by ray.james
Thu Aug 10, 2023 3:39 pm
Forum: Investing - Theory, News & General
Topic: Taxation of Treasury bills, notes and bonds
Replies: 1078
Views: 157314

Re: Taxation of Treasury bills, notes and bonds

Bought my first t-bills in secondary market. Thanks Kevin for the excellent thread. Answered my immediate set of questions
by ray.james
Wed Aug 09, 2023 1:04 pm
Forum: Personal Investments
Topic: What is your total accumulation number, how did you come to it. No Judgements!
Replies: 404
Views: 77276

Re: What is your total accumulation number, how did you come to it. No Judgements!

I will take a try since some of the responses are very helpful. When I started my first job, I wrote down a 1.5million + paid off home+ 300K(kid education, personal medical/acute conditions overflow etc.,) is what I needed to retire. I was single, living in a shared apartment and came up with that number realistic expenses I knew. I was also living in MCOL->HCOL depending on how you see it in Sacramento region. Today, the number is not that far off even with our HCOLA move. I moved to Bay area which means the paid off home could be worth more than a million and an additional 10-20K housing expenses between HOA, maintenance costs impacted due HCOL. If I moved back to MCOL, my original goal is still a valid fire goal. At this juncture I just...
by ray.james
Mon Aug 07, 2023 5:18 pm
Forum: Personal Investments
Topic: What is your total accumulation number, how did you come to it. No Judgements!
Replies: 404
Views: 77276

Re: What is your total accumulation number, how did you come to it. No Judgements!

I will take a try since some of the responses are very helpful. When I started my first job, I wrote down a 1.5million + paid off home+ 300K(kid education, personal medical/acute conditions overflow etc.,) is what I needed to retire. I was single, living in a shared apartment and came up with that number realistic expenses I knew. I was also living in MCOL->HCOL depending on how you see it in Sacramento region. Today, the number is not that far off even with our HCOLA move. I moved to Bay area which means the paid off home could be worth more than a million and an additional 10-20K housing expenses between HOA, maintenance costs impacted due HCOL. If I moved back to MCOL, my original goal is still a valid fire goal. At this juncture I just ...
by ray.james
Wed Jul 26, 2023 11:57 am
Forum: Personal Finance (Not Investing)
Topic: Tales from this insane real estate market [Home sales]
Replies: 2923
Views: 521180

Re: Tales from this insane real estate market [Home sales]

It's true, and Utah has an exploding tech sector so there are no shortage of 25-35yr olds who make good money. Sucks for us older millenials who are looking to get into a single family home. Our area of Utah is supposedly one of the handful of most "overvalued" housing markets in the country (my townhome is currently valued >2.5x what we bought it for 7.5yrs ago), but prices seem to barely even be leveling out as mortgage rates increase. My insurance agent lives in Ogden. She married a teacher and they have been saving since 2017. They thought, they are almost on the verge to buy with enough down payment- until covid bumped prices. I live in California and even among my friends who feel their budgets are tight, lament they will m...
by ray.james
Wed Jul 26, 2023 9:28 am
Forum: Personal Finance (Not Investing)
Topic: Tales from this insane real estate market [Home sales]
Replies: 2923
Views: 521180

Re: Tales from this insane real estate market [Home sales]

I do not expect a price correction... if anything, I wouldn't be surprised to see prices push even higher next year if/when rates start to come down a little. I think demand will continue to outstrip supply for quite a long time. This prediction is reasonable. But I am left dismayed... why is demand still so high? We've had the pandemic, a slowdown in immigration, a decline in birth rates. Population growth has been muted. The WFH craze is waning too. The "macro" picture, if I'm using the term correctly, ought to be, formation of fewer households, and in particular for single family houses, as with less WFH there's less appeal to the suburbs. Demand should be weakening, and that's before we factor prices or interest rates. Instea...
by ray.james
Thu Jul 20, 2023 1:54 pm
Forum: Investing - Theory, News & General
Topic: Is it normal to double net worth every 3 years during accumulation phase?
Replies: 51
Views: 7696

Re: Is it normal to double net worth every 3 years during accumulation phase?

This equation for compounding:

Code: Select all

72/r = t
The time it takes to double is inversely proportional to the rate of earnings.
At 5%, it takes 14 years to double.
at 8%, it takes 8-9 years to double.
At 10% it takes 7 years to double.

However this does not include your contributions. As time goes, it becomes less of a factor and your interest rate is the key.
by ray.james
Tue Jul 18, 2023 11:23 am
Forum: Personal Investments
Topic: How are our finances doing in retirement ?
Replies: 33
Views: 4428

Re: How are our finances doing in retirement ?

Echoing others, you have won and irrespective of further optimizations would only improve things by very small marginal amounts.

Gifting appreciated to children/adult grandchildren who might be lower tax brackets. I saw DAF. So in 3 years, QCD is an option. I would also consider the option to pay current expenses out of IRA to supplement dividends from taxable. Essentially conserve taxable over 401k. But this depends on a lot of personal factors and taxation.

Finally if I may ask, what is your rough budget? What was your biggest surprise in retirement expense wise?
by ray.james
Fri Jul 14, 2023 2:01 pm
Forum: Personal Consumer Issues
Topic: As I wait it out for a hybrid Sienna, Honda Odysseys are becoming more available…
Replies: 31
Views: 4379

Re: As I wait it out for a hybrid Sienna, Honda Odysseys are becoming more available…

Bikes4life wrote: Thu Jul 13, 2023 8:12 pm This link has been posted on the forum already, but if you have not seen it already, will be helpful in your search.

Can search siennas by model and see which ones are being allocated to dealers.
Seems like it is updated every 1-2 days.

https://docs.google.com/spreadsheets/d/ ... 1312794155
Thank you for this. What is the difference between "IsPresold" and "Hold status". Trying to see which ones are already pre sold vs available.
by ray.james
Thu Jul 13, 2023 5:47 pm
Forum: Personal Consumer Issues
Topic: As I wait it out for a hybrid Sienna, Honda Odysseys are becoming more available…
Replies: 31
Views: 4379

Re: As I wait it out for a hybrid Sienna, Honda Odysseys are becoming more available…

@tarHeel2002 Did you purchase one? How is it going so far?

Our sienna search at MSRP is still going on, mainly because of limiting ourself to XLE(for parking sensors)+ FWD(for 8 seater config) + (maybe) 1500w inverter. Meanwhile Odyssey seem to be in and out of stock in a loop. But we need to buy one before end of the year.