Search found 2873 matches

by Artsdoctor
Fri Oct 20, 2017 6:32 pm
Forum: Personal Finance (Not Investing)
Topic: Does anyone here with net worths north of $1 mil use financial advisors?
Replies: 122
Views: 8610

Re: Does anyone here with net worths north of $1 mil use financial advisors?

You mean like the FA who wanted to put me in a tax efficient variable annuity to shelter the money that was already sheltered in my 401k plan? :oops: Yikes! They just love variable annuities, don't they? Yes, I used a financial advisor once. We moved to LA from the East Coast more than 20 years ago...
by Artsdoctor
Fri Oct 20, 2017 6:24 pm
Forum: Investing - Help with Personal Investments
Topic: Worry market crush, selling 50%, but increase buying 100%
Replies: 39
Views: 3332

Re: Worry market crush, selling 50%, but increase buying 100%

Wait until both interest rate and CAPE ratio back to history norm. I would love to have interest rates "back to history norm." The problem is, what rate are you talking about and when might that be? Ranges are really all over the place: http://observationsandnotes.blogspot.com/2010/11/100-years-of-...
by Artsdoctor
Fri Oct 20, 2017 6:05 pm
Forum: Personal Finance (Not Investing)
Topic: 2018 IRS tax information
Replies: 26
Views: 3258

Re: 2018 IRS tax information

I agree that you have to start somewhere, but perhaps a bit of flexibility might be wise to build in to your projections. :sharebeer
by Artsdoctor
Fri Oct 20, 2017 3:53 pm
Forum: Personal Finance (Not Investing)
Topic: 2018 IRS tax information
Replies: 26
Views: 3258

Re: 2018 IRS tax information

While I can appreciate formal IRS documentation, and I understand that business has to proceed as usual for the most part, Congress has made tax reform their #2 priority after healthcare reform. Or perhaps vice versa. I certainly wouldn't put much stock in this particular IRS publication knowing tha...
by Artsdoctor
Fri Oct 20, 2017 3:39 pm
Forum: Investing - Help with Personal Investments
Topic: Worry market crush, selling 50%, but increase buying 100%
Replies: 39
Views: 3332

Re: Worry market crush, selling 50%, but increae buying 100%

WhiteMaxima wrote:
Fri Oct 20, 2017 2:28 pm
I think my permanent AA would be 80/20 Stock/Bond. I don't believe timing the market BTW.
By definition, this is market timing. If you're permanent AA is 80/20 and you're now at 50/50 because you see a crash coming, you'd presumably go back up to 80/20 "at the right time."
by Artsdoctor
Thu Oct 19, 2017 9:06 am
Forum: Personal Finance (Not Investing)
Topic: Life in AMT Hell (or, How I Learned to Keep Worrying and Hate the Exemption Phaseout)
Replies: 37
Views: 4515

Re: Life in AMT Hell (or, How I Learned to Keep Worrying and Hate the Exemption Phaseout)

I just keep trying to make as much money as possible and not worry about the taxes. I have enough stress issues so why worry about one more thing. Just make more money, you'll have enough, and this issue won't be an issue! The concept is true and even admirable. But the whole idea is not to "make m...
by Artsdoctor
Thu Oct 19, 2017 8:59 am
Forum: Personal Finance (Not Investing)
Topic: couple of questions regarding inflation and the 4% rule
Replies: 19
Views: 2007

Re: couple of questions regarding inflation and the 4% rule

Factual, Not sure why I was having so much difficulty opening the PDF while at work, but I've finally had a chance to re-read the original article. Bengen looked back at all the data he had available and used inflation rates (CPI-U) up until the end of the data period (the end of 1992). In order to ...
by Artsdoctor
Wed Oct 18, 2017 11:47 pm
Forum: Investing - Theory, News & General
Topic: "Investment Lessons From The 21st Century"
Replies: 16
Views: 2004

Re: "Investing: What We've Learned This Century"

Certainly brings back memories: on January 1, 2000, the 10-year treasury yielded 6.6%, if I’m reading the charts correctly ... That graphic is a nice reminder.
by Artsdoctor
Wed Oct 18, 2017 6:08 pm
Forum: Personal Finance (Not Investing)
Topic: Life in AMT Hell (or, How I Learned to Keep Worrying and Hate the Exemption Phaseout)
Replies: 37
Views: 4515

Re: Life in AMT Hell (or, How I Learned to Keep Worrying and Hate the Exemption Phaseout)

Take a look at Michael Kitces' article here: https://www.kitces.com/blog/evaluating-exposure-to-the-alternative-minimum-tax-and-strategies-to-reduce-the-amt-bite/ It's from 2014 but he updates this periodically. There's a limited amount you can do but if you have any control over your income, you ca...
by Artsdoctor
Wed Oct 18, 2017 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: couple of questions regarding inflation and the 4% rule
Replies: 19
Views: 2007

Re: couple of questions regarding inflation and the 4% rule

^ I wish I could pull up the original paper but I can't. My own link will not work on the computers I have available. If you take a look at the Ibbotson numbers used in their SBBI tables, CPI-U has been used. From 1926-2015, I think that the average value is 3% per year; the 2016 number is less at j...
by Artsdoctor
Wed Oct 18, 2017 1:06 pm
Forum: Investing - Help with Personal Investments
Topic: Tracking HSA investment income/cost basis for CA state taxes
Replies: 18
Views: 1421

Re: Tracking HSA investment income/cost basis for CA state taxes

I don't have a TD account of any sort although you will definitely have access to your transaction history. However, you will not get a 1099 form for an HSA. If you don't reinvest the dividends, you're going to miss out on some of the advantages inherit to bond funds (or ETFs). You're still going to...
by Artsdoctor
Tue Oct 17, 2017 4:41 pm
Forum: Personal Finance (Not Investing)
Topic: couple of questions regarding inflation and the 4% rule
Replies: 19
Views: 2007

Re: couple of questions regarding inflation and the 4% rule

No it actually is a 4% 'rule' even in bad times - no need to reduce to 3.5 or somesuch thing, there are current threads worth reading with some reddit from the original researcher doing the study. Its actually more of a 4.8% rule when you retire in very good years....but thats besides the point... ...
by Artsdoctor
Tue Oct 17, 2017 1:24 pm
Forum: Investing - Theory, News & General
Topic: Vanguard expects "decent sized correction" soon, sometime, maybe later
Replies: 68
Views: 6918

Re: Vanguard expects "decent sized correction" soon

harvestbook wrote:
Tue Oct 17, 2017 12:38 pm
It's possible we never have another correction.

It's possible.
It's really not possible. There will always be corrections. This is inevitable. No one can say exactly when that might be.
by Artsdoctor
Tue Oct 17, 2017 12:58 pm
Forum: Investing - Theory, News & General
Topic: Wade Pfau’s new book: How Much Can I Spend in Retirement?
Replies: 25
Views: 5119

Re: Wade Pfau’s new book: How Much Can I Spend in Retirement?

^ Strictly speaking, I'd agree with you. I think the most you can say is that the location of the assets may influence amounts but in an unpredictable way. If all of your money were in a taxable account, you'd be paying tax on dividends throughout retirement; however, you'd be paying capital gains t...
by Artsdoctor
Tue Oct 17, 2017 11:18 am
Forum: Investing - Theory, News & General
Topic: Wade Pfau’s new book: How Much Can I Spend in Retirement?
Replies: 25
Views: 5119

Re: Wade Pfau’s new book: How Much Can I Spend in Retirement?

I've just finished the book. It's excellent... He'll give you practical alternatives on how the withdraw from your portfolio based on your needs. He doesn't recommend just one way of doing this because there are too many variables, and he does a great job of illustrating how different needs can be....
by Artsdoctor
Mon Oct 16, 2017 3:01 pm
Forum: Investing - Theory, News & General
Topic: Wade Pfau’s new book: How Much Can I Spend in Retirement?
Replies: 25
Views: 5119

Re: Wade Pfau’s new book: How Much Can I Spend in Retirement?

I've just finished the book. It's excellent. This will be one of several. The focus of this particular book is to examine ways to tap retirement portfolios using a total return method. If you're interested in learning more about a "safety-first," liability matching portfolio, you'll need to wait for...
by Artsdoctor
Mon Oct 16, 2017 2:46 pm
Forum: Investing - Help with Personal Investments
Topic: Bonds v. bond funds
Replies: 36
Views: 1946

Re: Bonds v. bond funds

I'm curious as to why the standard advice/approach is to buy bond funds, rather than individual bonds? Aren't bond funds riskier, since there's no guarantee of making your investment back? As you can see from the comments, there is no "standard advice." There are fundamental differences in the way ...
by Artsdoctor
Mon Oct 16, 2017 2:16 pm
Forum: Personal Finance (Not Investing)
Topic: couple of questions regarding inflation and the 4% rule
Replies: 19
Views: 2007

Re: couple of questions regarding inflation and the 4% rule

There are many, many caveats with Bengen's initial 1994 study but if you're really interested in following his guidelines and suppositions, they're here: http://www.retailinvestor.org/pdf/Bengen1.pdf He used a lot of historical data that might not be applicable now and you'll find a few of the detai...
by Artsdoctor
Sat Oct 14, 2017 11:22 am
Forum: Investing - Theory, News & General
Topic: "Dumb and dumber" from Allan Roth
Replies: 10
Views: 2813

Re: "Dumb and dumber" from Allan Roth

Officer, You know, you're right. I actually fell for something that I usually recommend against. The traditional way that investment books describe duration is a measure of volatility: the longer the duration, the more the volatility. And in general, most would further explain that for 1% rate incre...
by Artsdoctor
Fri Oct 13, 2017 7:47 pm
Forum: Investing - Theory, News & General
Topic: "Dumb and dumber" from Allan Roth
Replies: 10
Views: 2813

Re: "Dumb and dumber" from Allan Roth

^ That might be correct in concept but in practice, maybe not. There are investors in higher marginal tax brackets who may be heavily invested in municipal bond funds. We're lucky that Vanguard offers both intermediate-term and long-term California funds; I've only used the former. However, many res...
by Artsdoctor
Fri Oct 13, 2017 12:16 pm
Forum: Investing - Theory, News & General
Topic: Dividends vs. Capital Gains for Spending Needs?
Replies: 200
Views: 14811

Re: Dividends vs. Capital Gains for Spending Needs?

TD, I understand your bias regarding convenience. Those of us who have non-covered shares of mutual funds, ETFs, stocks, or bonds are responsible for calculating the cost basis of those shares. It goes with the territory and it always has. The moment you open a taxable account, you need to be aware ...
by Artsdoctor
Fri Oct 13, 2017 11:59 am
Forum: Investing - Help with Personal Investments
Topic: Tracking HSA investment income/cost basis for CA state taxes
Replies: 18
Views: 1421

Re: Tracking HSA investment income/cost basis for CA state taxes

^ I can definitely understand the desire to make things simpler. One last thing. Since you already have taxable accounts, you're most likely familiar with tax-loss harvesting. California allows you to carry over those losses after off-setting any gains. Consequently, you can also tax-loss harvest in...
by Artsdoctor
Fri Oct 13, 2017 9:38 am
Forum: Investing - Help with Personal Investments
Topic: Tracking HSA investment income/cost basis for CA state taxes
Replies: 18
Views: 1421

Re: Tracking HSA investment income/cost basis for CA state taxes

Guinea Pig, I wouldn't let the fear of bookkeeping influence your investment decisions. Although it might seem like a daunting task, it's really very easy to keep track of your HSA separately for state tax purposes. Once you go through the reporting one year, you won't be intimidated. I was the same...
by Artsdoctor
Fri Oct 13, 2017 9:23 am
Forum: Personal Finance (Not Investing)
Topic: Medicare Advantage vs. Supplemental
Replies: 40
Views: 2447

Re: Medicare Advantage vs. Supplemental

Rusty, There are two fundamental questions that you have to start with. Only after you answer those questions can you proceed with comparing options. 1. Can I easily afford either the Medicare + Medigap or the Medicare Advantage plan? 2. How much emphasis do I want to place on choice? Plans will var...
by Artsdoctor
Thu Oct 12, 2017 5:28 pm
Forum: Investing - Help with Personal Investments
Topic: Are Treasury Zero's Liquid?
Replies: 6
Views: 450

Re: Are Treasury Zero's Liquid?

No. Zeros are not as liquid as coupon-bearing treasuries, if you get into looking closely at bid-ask spreads and do your own research (Federal Reserve has some research on this, if I remember correctly). And coupon STRIPS are not as liquid as principal STRIPS. This doesn't mean that they're "illiqui...
by Artsdoctor
Thu Oct 12, 2017 5:13 pm
Forum: Personal Consumer Issues
Topic: Going First Class
Replies: 42
Views: 2399

Re: Going First Class

When I inherited several million dollars last year we decided that while we had no interest in a nicer home, fancy cars, expensive clothes, watches, handbags etc... we were only gonna to fly first class. The reactions when I have told people have been interesting often expressions of disbeief. Like...
by Artsdoctor
Thu Oct 12, 2017 10:14 am
Forum: Personal Finance (Not Investing)
Topic: What is the process for liquidating inherited individual stocks?
Replies: 17
Views: 1123

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

A Wells Fargo advisor at a brokerage firm holding an account owned by a recently-deceased relative called the executor of the estate and offered to “research” the deceased’s individual stocks (held for many decades) at no charge. He said if the probate lawyer were to do it, it would cost the estate...
by Artsdoctor
Wed Oct 11, 2017 12:00 pm
Forum: Investing - Theory, News & General
Topic: Dividends vs. Capital Gains for Spending Needs?
Replies: 200
Views: 14811

Re: Dividends vs. Capital Gains for Spending Needs?

There is a thread elsewhere that has just begun. The OP offers a good, simple, well done overview by Allan Roth.

viewtopic.php?p=3568320#p3568320
by Artsdoctor
Wed Oct 11, 2017 9:28 am
Forum: Investing - Theory, News & General
Topic: Vanguard bond ETF/funds
Replies: 21
Views: 1201

Re: Vanguard bond ETF/funds

If you could buy only 1 Vanguard bond ETF or Mutual Fund, which would it be? Also since Mutual Fund trade only once per day, how do you know what that price will be.. I mean you may not like it until its too late? Also could the price run up a lot of enough people are buying that one day? Would the...
by Artsdoctor
Wed Oct 11, 2017 9:21 am
Forum: Personal Finance (Not Investing)
Topic: HSA’s: What level of risk do you prefer?
Replies: 58
Views: 3775

Re: HSA’s: What level of risk do you prefer?

Between reimbursing for past expenses, paying all Medicare premiums, co-pays, medications, transportation, hearing aids, dental expenses, and various other healthcare-related expenses, I just can't imagine having too much in an HSA although if one is super-healthy, that might well be the case. If I...
by Artsdoctor
Tue Oct 10, 2017 7:32 pm
Forum: Personal Finance (Not Investing)
Topic: HSA’s: What level of risk do you prefer?
Replies: 58
Views: 3775

Re: HSA’s: What level of risk do you prefer?

^ I think that this a terrific analysis, David, and it makes sense with your numbers used. However, I do bring some baggage to the table since I'm reminded everyday how expensive medical care can be. I am aware that I have a heavily skewed population since I'm used to seeing very complex and often v...
by Artsdoctor
Tue Oct 10, 2017 2:19 pm
Forum: Personal Finance (Not Investing)
Topic: HSA’s: What level of risk do you prefer?
Replies: 58
Views: 3775

Re: HSA’s: What level of risk do you prefer?

http://www.investopedia.com/articles/personal-finance/091615/how-use-your-hsa-retirement.asp Open insurance enrollment for my employer is coming in a few weeks. I’m strongly looking to move from the currently enrolled HRA employer offered plan to the employer offered HSA. I’m 40, single, and withou...
by Artsdoctor
Tue Oct 10, 2017 2:08 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare High Earner Premium
Replies: 15
Views: 2274

Re: Medicare High Earner Premium

A life-changing event is defined by HHS. The link taking you to their website is above. Perhaps it's possible that they would allow exceptions through that are not defined in their own literature and submitting a request would be worth it under any circumstance. However, if you're in a position to t...
by Artsdoctor
Tue Oct 10, 2017 8:26 am
Forum: Personal Finance (Not Investing)
Topic: HSA’s: What level of risk do you prefer?
Replies: 58
Views: 3775

Re: HSA’s: What level of risk do you prefer?

100% in Total Stock Market during accumulation years and then more conservative when getting close to spending it. I can't imagine having our HSAs be "too big" but if they ballooned incredibly, you can use them like IRAs and even then if you failed to exhaust them, leave them to charities to maintai...
by Artsdoctor
Tue Oct 10, 2017 8:19 am
Forum: Investing - Help with Personal Investments
Topic: Does Anyone Here Buy Callable Munis?
Replies: 6
Views: 530

Re: Does Anyone Here Buy Callable Munis?

^ Agree. No problem buying callable munis if you understand them. This is a personal decision, but I generally would buy callable munis only if the call date is near the maturity date. For example, if I'm buying a callable bond that matures in 2025 but has a call date of 2024, that's easy. However, ...
by Artsdoctor
Mon Oct 09, 2017 11:12 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare High Earner Premium
Replies: 15
Views: 2274

Re: Medicare High Earner Premium

Just to be clear, a "one-time event" that boosts your MAGI is not a reason to appeal your Medicare premium increase. If you sell your house and the capital gain boosts your MAGI into the stratosphere, you're not going to be able to appeal it. It's going to have to be a life-changing event and those ...
by Artsdoctor
Mon Oct 09, 2017 7:16 pm
Forum: Personal Consumer Issues
Topic: Sonoma in October
Replies: 56
Views: 4741

Re: Sonoma in October

Unfortunately, they're struggling with fires right now. There has been a lot of destruction in the Glen Ellen region. This would not be a good time to go, as you'd imagine. Touring wine country in the winter is a great option. Had an email from my BIL. His sister and husband live in Sonoma County a...
by Artsdoctor
Mon Oct 09, 2017 5:13 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare High Earner Premium
Replies: 15
Views: 2274

Re: Medicare High Earner Premium

DH retired in 2016 and sold his business that year as well. Earnings were around 35K salary and mid six figures for sale of his business. He is enrolling for Medicare for the first time in 2018. It is my understanding they will look back at 1040 for 2018 to the 2016 year. So I guess he will have to...
by Artsdoctor
Mon Oct 09, 2017 5:03 pm
Forum: Personal Consumer Issues
Topic: Sonoma in October
Replies: 56
Views: 4741

Re: Sonoma in October

Unfortunately, they're struggling with fires right now. There has been a lot of destruction in the Glen Ellen region. This would not be a good time to go, as you'd imagine.

Touring wine country in the winter is a great option.
by Artsdoctor
Sun Oct 08, 2017 6:31 pm
Forum: Investing - Theory, News & General
Topic: Dividends vs. Capital Gains for Spending Needs?
Replies: 200
Views: 14811

Re: Dividends vs. Capital Gains for Spending Needs?

I'm in the "we love dividends" camp, and have moved into investments that generate some kind of reasonable dividend specifically to replace income in retirement. In fact, I've shifted wife's investments more into dividend paying investments as she's at an age where she can pull from her tax-deferre...
by Artsdoctor
Sun Oct 08, 2017 6:24 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's long-term outlook for TIPS
Replies: 92
Views: 7025

Re: Vanguard's long-term outlook for TIPS

Those "stodgy" old I Bonds with REAL rates of 3.0, 3.3, 3.4 and 3.6% are looking mighty good compared to TIPS right now. Because I backed up the truck over the years (and recommended that others do the same), they provide all the inflation protection I need, so I no longer have any reason to own TI...
by Artsdoctor
Fri Oct 06, 2017 5:47 pm
Forum: Investing - Theory, News & General
Topic: Dividend yield vs. 10 year gov't bond
Replies: 10
Views: 916

Re: Dividend yield vs. 10 year gov't bond

When bond yields increase money will move from dividend stocks to bonds and dividend stock prices may decline. But right now a 4% dividend yield, a total return higher than the market portfolio, and much less volatility makes some dividend funds appealing. This is the mindset that worries me. I agr...
by Artsdoctor
Fri Oct 06, 2017 5:36 pm
Forum: Investing - Theory, News & General
Topic: Dividends vs. Capital Gains for Spending Needs?
Replies: 200
Views: 14811

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 Artsdoctor
Wed Oct 04, 2017 4:14 pm
Forum: Investing - Help with Personal Investments
Topic: Any reason to not transition my vanguard IRA and taxable mutual fund accounts to Brokerage Accounts
Replies: 8
Views: 1182

Re: Any reason to not transition my vanguard IRA and taxable mutual fund accounts to Brokerage Accounts

The problem with the brokerage account is that one cannot direct dividends of one fund to another. You'll either have to reinvest the dividend or send it to your settlement fund (or get a check). If you're used to reinvesting your dividends, this won't affect you. If you're in the habit of taking di...
by Artsdoctor
Tue Oct 03, 2017 5:06 pm
Forum: Investing - Theory, News & General
Topic: Peter L. Bernstein: Cash BETTER than Bonds
Replies: 64
Views: 7390

Re: Peter L. Bernstein: Cash BETTER than Bonds

Victoria, I've had brokered CDs for many years. I have bought both initial offerings and CDs on the secondary market. When I buy them, I do it with the intention of holding them until maturity. I have sold brokered CDs occasionally so I cannot claim to be an expert on this. My personal experience ha...
by Artsdoctor
Sun Oct 01, 2017 8:33 pm
Forum: Personal Consumer Issues
Topic: What will happen if I refuse to pay a medical bill?
Replies: 125
Views: 7406

Re: What will happen if I refuse to pay a medical bill?

You're not asking the right question. The amount you're discussing is relatively insignificant. I would think that you'd want to be asking how this happened in order to decrease the likelihood of this happening again--with a much larger amount. Mistake can happen anywhere but this seems to be s syst...
by Artsdoctor
Thu Sep 28, 2017 9:05 am
Forum: Investing - Help with Personal Investments
Topic: House sale windfall investment
Replies: 9
Views: 975

Re: House sale windfall investment

If you're going to spend that money on something specific, I wouldn't think of it as an "investment," I'd think of it as "savings." Depending on your tax situation, just putting it in the highest yielding FDIC-insured savings account would be best. If you want to compare online savings with a 1-year...
by Artsdoctor
Wed Sep 27, 2017 6:58 pm
Forum: Investing - Theory, News & General
Topic: RMD tax strategy if only SS + retirement accounts
Replies: 31
Views: 1678

Re: RMD tax strategy if only SS + retirement accounts

^ Hmm. This is news to me; I agree with sport. My mom doesn't have any taxes taken out of her social security check and pays the year's taxes with her December 1 RMD. Every April, having received her "total tax" amount for the prior year, she arranges to have that same amount taken out of the curren...
by Artsdoctor
Fri Sep 22, 2017 3:17 pm
Forum: Personal Finance (Not Investing)
Topic: Donor Advised Fund: Am I thinking about this correctly?
Replies: 31
Views: 2230

Re: Donor Advised Fund: Am I thinking about this correctly?

^ We have committed to sponsoring a multi-year fellowship at our medical school. Generally, such a commitment would not be permitted through a DAF. That is the biggest drawback in using a DAF, in my opinion (the idea being that it's really not your money anymore, you are only "advising" that a donat...
by Artsdoctor
Fri Sep 22, 2017 3:09 pm
Forum: Personal Finance (Not Investing)
Topic: with frozen credit, is there benefit to fraud monitoring services?
Replies: 19
Views: 1431

Re: with frozen credit, is there benefit to fraud monitoring services?

^ Once you let an entity in, they'll be able to access the credit agencies going forward even if you have a freeze.