Search found 702 matches

by Garco
Wed Oct 17, 2018 11:13 am
Forum: Investing - Theory, News & General
Topic: "Retirement age uncertainty increases the savings needed for success"
Replies: 46
Views: 4105

Re: "Retirement age uncertainty increases the savings needed for success"

I think a lot of random and nonrandom factors come into play in determining actual retirement age. In my profession (academia) it is rare for people to voluntarily retire early. The question for those who have successful careers and perhaps also "tenure," is whether to retire at full Social Security...
by Garco
Wed Oct 17, 2018 10:53 am
Forum: Investing - Theory, News & General
Topic: Vanguard screws up rollover from TSP
Replies: 28
Views: 2483

Re: Vanguard screws up rollover from TSP

I'll just log myself here as a Boglehead who does not have a VG account. That's mainly because my employer did not offer VG as a plan sponsor. It offered TIAA and Fidelity. I have investments in both the TIAA and Fido plans. And I own some VG funds in both of them. A year ago when my daughter took a...
by Garco
Tue Oct 16, 2018 1:12 pm
Forum: Investing - Theory, News & General
Topic: Monthly vs. Annual Withdrawals
Replies: 15
Views: 1096

Re: Monthly vs. Annual Withdrawals

I'm taking required minimum distributions (RMD's) from my tax deferred account. I take the money out on a quarterly basis. That works reasonably well, and is a compromise between the alternatives proposed by the OP. I've been thinking of moving to monthly, just because of the "paycheck" feeling as t...
by Garco
Tue Oct 16, 2018 11:35 am
Forum: Investing - Help with Personal Investments
Topic: Time to reach 1M and 2M milestones
Replies: 171
Views: 55023

Re: Time to reach 1M and 2M milestones

With a 75-25 portfolio from 1975 (contributing 15% every year, beginning when my salary was <$20K in 1975), I first reached $1 Million in 1999. When the market crashed in March 2001 ("Dotcom crash"), I dropped below $1 Million. (I had been heavily exposed to tech stocks.) The account again got above...
by Garco
Mon Oct 15, 2018 2:54 pm
Forum: Investing - Help with Personal Investments
Topic: 30 yr old needing rebalance advice for current 401k
Replies: 19
Views: 1386

Re: 30 yr old needing rebalance advice for current 401k

After reading your earlier posts, and this end-result plan -- including moving funds from previous employer into current funds -- I think this is a good allocation for some period of time. The most important thing for you to build your retirement fund is TIME. Keep at it. Added: When those babies ar...
by Garco
Mon Oct 15, 2018 4:49 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: 2018 Good For Gurus
Replies: 7
Views: 1081

Re: Larry Swedroe: 2018 Good For Gurus

Oh I took the historically based advice to keep 20% of my retirement funds in international. I never much liked history in school. I should have followed my feelings and not the advice.
by Garco
Mon Oct 15, 2018 4:22 am
Forum: Investing - Theory, News & General
Topic: A time to EVALUATE your jitters
Replies: 283
Views: 243290

Re: A time to EVALUATE your jitters

At Monday preopen I have one firm resolution. I will not trade. There is no other action that I can take with any confidence. I don’t need any cash from my investments for another month, when I must take a quarterly RMD from my main tax deferred investment account. That RMD will come from cash (mone...
by Garco
Fri Oct 05, 2018 11:21 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Be Prepared For Losses
Replies: 100
Views: 12073

Re: Larry Swedroe: Be Prepared For Losses

As a retiree, if the market dropped 50% I'd be a very unhappy camper, but I wouldn't be lost or broke. I reduced my exposure to equities when I neared retirement, and then some more when I actually retired. To meet my RMD, I have about 2 years of distributions in CASH (money market fund), and >50% o...
by Garco
Wed Jul 25, 2018 8:51 pm
Forum: Investing - Help with Personal Investments
Topic: What are the best options for a home equity line of credit?
Replies: 8
Views: 596

Re: What are the best options for a home equity line of credit?

In my case the best option is a HELOC at my employer's "federal credit union." Currently 5.00% APR. I've already established my eligibility and this is my main bank for all purposes (checking, savings, mmf, credit card). So it's easy for me to transfer cash to/from the HELOC and other subaccounts.
by Garco
Wed Jul 25, 2018 12:06 pm
Forum: Investing - Help with Personal Investments
Topic: 401k asset allocation
Replies: 9
Views: 412

Re: 401k asset allocation

Well good luck in getting through the next 4 years without a major market pullback of some kind. I managed for the bulk of my investing career from age 27 to age 50-55 to keep 75-25 ratio to my contributions from salary, which led to about an 85% equities distribution. Then a couple of major recessi...
by Garco
Wed Jul 25, 2018 12:01 pm
Forum: Investing - Help with Personal Investments
Topic: 401k asset allocation
Replies: 9
Views: 412

Re: 401k asset allocation

You're young so my comment here doesn't matter much, but I would be putting ~20% in to fixed income of some kind.
by Garco
Sun Jul 08, 2018 8:08 pm
Forum: Investing - Theory, News & General
Topic: Spending Patterns in Retirement: Retirees are Slow to Exhaust their Assets
Replies: 16
Views: 3695

Re: Spending Patterns in Retirement: Retirees are Slow to Exhaust their Assets

At age 74, I'm just beginning my 5th year of retirement. With Social Security and retirement fund investments that I contributed to for 40 years, I'm not drawing down my assets. That has to do with the performance of my invested portfolio (mainly tax deferred accounts) especially since the last elec...
by Garco
Mon Jun 25, 2018 10:31 am
Forum: Investing - Theory, News & General
Topic: What’s the magic savings rate???
Replies: 94
Views: 14327

Re: What’s the magic savings rate???

I think that as a practical matter yes you should control your spending, especially on material things that you don't need. But also as a practical matter using a rule of thumb for payroll contributions to a 401k plan is simple to implement as well as essential to long-term planning. The standard re...
by Garco
Mon Jun 25, 2018 1:14 am
Forum: Investing - Theory, News & General
Topic: What’s the magic savings rate???
Replies: 94
Views: 14327

Re: What’s the magic savings rate???

But my ending salary was ~$200K. Not great. I hope you're not implying your $200k salary was "not great". These boards can really skew one's perception of the world. 8-) It was a "very good" salary at the end of a 44-year career that started at $11,500 ($13K with summer pay -- about $83K in 2014 do...
by Garco
Sat Jun 23, 2018 10:03 pm
Forum: Investing - Theory, News & General
Topic: What’s the magic savings rate???
Replies: 94
Views: 14327

Re: What’s the magic savings rate???

It's hard to predict what your earnings will be over your working life. I know someone whose earnings at age 22 (just graduated from college) were ~$40K, then after about 7 years grew to $80K, then about 5 years later grew to $1 million per year. What should his annual savings rate have been? Then I...
by Garco
Sun Jun 03, 2018 11:25 pm
Forum: Investing - Theory, News & General
Topic: What are you up YTD? [Year To Date]
Replies: 1969
Views: 366128

Re: What are you up YTD? [Year To Date]

1. In my main retirement acct. (403b): +3.00% ytd. thru June 1, 2018.
2. Asset allocation ~45% equities, 10% CRE, remainder in FI.

I'm in retirement mode, as reflected in conservative allocation. Living on SS + RMD's as well drawing some income from int. and div. in a taxable investment account.
by Garco
Tue May 01, 2018 9:07 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Review/Advice
Replies: 11
Views: 947

Re: Portfolio Review/Advice

Oi, my head hurts. Too many separate funds to wrap my mind around. Can you summarize by asset class, across the different accounts? That would give a better sense of what you hold.

I agree with the premise of your post: too complex.
by Garco
Sun Apr 15, 2018 3:26 pm
Forum: Investing - Theory, News & General
Topic: Trinity Study updated to 2018
Replies: 156
Views: 17732

Re: Trinity Study updated to 2018

I'm using a seat-of-the-pants method after 4 years in retirement. That is due to several factors: 1) Because inheritance funds were arriving, unevenly, over a roughly 3-year period, there wasn't a simple starting sum to use in calculating a "safe withdrawal rate" (SWR) when I retired; 2) We decided ...
by Garco
Sun Apr 15, 2018 2:51 pm
Forum: Investing - Theory, News & General
Topic: We crush stock indexes, Yale claims
Replies: 98
Views: 12702

Re: We crush stock indexes, Yale claims

There's a certain unmentionable variant on your little aphorism. One that I learned from a very wise man: my father. But I won't "print" it here.
by Garco
Mon Apr 02, 2018 2:39 pm
Forum: Investing - Help with Personal Investments
Topic: 403(b) / 457(b) Selection and Vendor Advice
Replies: 21
Views: 1766

Re: 403(b) / 457(b) Selection and Vendor Advice

That list of providers makes me sick. This kind of thing has been going on too long. Far too many teachers have been cheated out of good retirement plan options. The OP should follow up on the efforts so far, and don't settle for any high cost (high fee) plan.
by Garco
Mon Apr 02, 2018 1:04 pm
Forum: Investing - Theory, News & General
Topic: What’s the magic savings rate???
Replies: 94
Views: 14327

Re: What’s the magic savings rate???

This discussion has interpreted "savings rate" as "retirement savings rate." I think a much broader definition is needed. You should save for: (1) retirement [general rule of thumb: minimum of 15% per year in 401k-type tax deferred funds] (2) a home [at minimum for down-payment but also to use cash ...
by Garco
Mon Apr 02, 2018 12:22 pm
Forum: Investing - Theory, News & General
Topic: Where Nobel Economists Put Their Money
Replies: 19
Views: 5058

Re: Where Nobel Economists Put Their Money

Whether you are an avowed Boglehead or not, John Bogle's recommendation to "Don't just do something; stand there!" holds for Nobel economists and mere ordinary PhD academics (of which I am one). As pointed out above, professors usually have great job stability, at least after they receive tenure. Th...
by Garco
Sun Mar 04, 2018 1:50 pm
Forum: Investing - Theory, News & General
Topic: Is Cash Trash? The Purpose of Cash
Replies: 178
Views: 19800

Re: Is Cash Trash? The Purpose of Cash

When I was still working, I always had a source of cash: my paycheck. I spent upwards of 80% of it each month, invested the rest. Now that I'm retired, my cash comes from Social Security and RMD's from my retirement fund. I spend upwards of 90% each month, "save" the rest for a rainy day or special ...
by Garco
Sun Mar 04, 2018 12:13 pm
Forum: Investing - Help with Personal Investments
Topic: Lost My Way - Advice Needed
Replies: 44
Views: 5080

Re: Lost My Way - Advice Needed

My investing began in a pre-Bogleian era when all I knew was that I was required to contribute 10% from my salary (matched by some money from my employer) into the only account that I had available: TIAA-CREF. And 75% of that went into the TIAA stock fund, 25% into CREF annuity fund. I had a great t...
by Garco
Thu Feb 15, 2018 8:02 pm
Forum: Investing - Theory, News & General
Topic: How many of you use the "4% rule" during retirement?
Replies: 68
Views: 10098

Re: How many of you use the "4% rule" during retirement?

We sorta use "a" 4% rule but not the particular way the OP presented it. And not formally and to the penny. In our first few years of retirement (at age 70), we followed the RMD formula to determine our distributions from our tax deferred investments. This meant less than 4% withdrawals in the first...
by Garco
Sun Feb 11, 2018 10:30 am
Forum: Investing - Theory, News & General
Topic: how did you determine your risk tolerance?
Replies: 138
Views: 8858

Re: how did you determine your risk tolerance?

To the OP. Thirty-three, eh? I'd be 75% equities, too. In fact when I was age 30-55, I was always contributing 75% to equities in my tax deferred retirement plan. Never touched a thing, through ups and downs in the market between 1974 and 1999. I was focused on my family and my career! Stock market ...
by Garco
Thu Feb 08, 2018 8:48 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: 4 Horsemen Of Your Portfolio
Replies: 111
Views: 12458

Re: Larry Swedroe: 4 Horseman Of Your Portfolio

Thanks for posting this excellent article, Dave. I believe Larry states the problem realistically and well. It is not a pretty picture but if we are to plan effectively for our future retirement needs, we need to make realistic assumptions about what that future is likely to be. International diver...
by Garco
Tue Feb 06, 2018 8:02 am
Forum: Investing - Help with Personal Investments
Topic: Stay the course?
Replies: 65
Views: 8214

Re: Stay the course?

I'm not doing one single thing to my investments during this crisis market. I don't need cash. I don't try to make a million by trading. I have a well designed portfolio accumulated over 40 years. Two things are certain about the stock market: it goes up and it goes down. I'm sitting tight.
by Garco
Mon Feb 05, 2018 8:17 pm
Forum: Investing - Help with Personal Investments
Topic: Rebalance after today's drop?
Replies: 32
Views: 5025

Re: Rebalance after today's drop?

I lost many thousands today. But rebalance now? Why? The basic asset allocation did not change all that much. And since I'm retired, I'm inclined to sleep in the bed that I've made. A good variety of investments. And a cache of cash sufficient to cover my required minimum distributions more more tha...
by Garco
Sun Jan 28, 2018 2:08 pm
Forum: Investing - Theory, News & General
Topic: 401k millionaires
Replies: 158
Views: 26447

Re: 401k millionaires

Some posters here appear to assume that only the very high earners can contribute 15% to a 401k. This doesn't take into account that some employers mandate 10-12% contributions, often including a partial employer match. Back when I was early in my career in the 1970's, I took a position in which my ...
by Garco
Sun Jan 28, 2018 11:11 am
Forum: Investing - Theory, News & General
Topic: increasing stock allocation in retirement
Replies: 16
Views: 1360

Re: increasing stock allocation in retirement

TNBoy wrote: I agree there is no magic bullet here, but a conservative allocation at retirement (say 40 to 50% equity) will still show nice gains if there is a good sequence of returns early in retirement. Most likely, the portfolio value will increase even while withdrawals are being made. Now for ...
by Garco
Fri Jan 26, 2018 12:05 am
Forum: Personal Consumer Issues
Topic: Your favorite beach vacation destination?
Replies: 64
Views: 6048

Re: Your favorite beach vacation destination?

Our favorite summer vacation destination is the coast of Maine. Usually in the general vicinity of Mt. Desert Island (Bar Harbor etc.), usually in Hancock County. We rent a house for 2-3 weeks, and our (grown) kids come up there, too. My wife has been a Maine person her entire life; I first went to ...
by Garco
Tue Jan 23, 2018 11:33 am
Forum: Investing - Help with Personal Investments
Topic: Losing job soon but have big nest egg -- problem?
Replies: 20
Views: 3294

Re: Losing job soon but have big nest egg -- problem?

Thanks, Niceguy! Sorry, I missed the $200K in 529 plans in the OP's list. I would hope the sum at least doubles by the time the kids apply to college.
by Garco
Tue Jan 23, 2018 11:12 am
Forum: Investing - Help with Personal Investments
Topic: Losing job soon but have big nest egg -- problem?
Replies: 20
Views: 3294

Re: Losing job soon but have big nest egg -- problem?

You have two kids who will be entering college in 10 and 15 years. I don't see that you've set up 529 plans or made other arrangements for this. If you want the kids to have good options, you need to start saving now. A round estimate of the total costs of attendance 10-15 years from now might be $7...
by Garco
Mon Jan 22, 2018 10:05 am
Forum: Investing - Help with Personal Investments
Topic: 50/50 AA recommended by Benjamin Graham
Replies: 43
Views: 5877

Re: 50/50 AA recommended by Benjamin Graham

There's nothing wrong with 50-50 for a young person, but I was 75-25 for my first 25 years of investing, and then got too aggressive (over 80% stocks, and heavy into hi-tech) during the dot-com affair, and I paid for it! I did recover in about 3.5 years, but since then never held that large a percen...
by Garco
Sun Jan 21, 2018 11:09 pm
Forum: Investing - Help with Personal Investments
Topic: which Brokerage do you use...why?
Replies: 48
Views: 6385

Re: which Brokerage do you use...why?

I use Fidelity because: a) As a brokerage, it's plenty good, I like their web interface, they're responsive when I have questions. b) I have tax deferred accounts at Fidelity, and this makes it easy for me to make certain kinds of transfers. c) The interface with my bank works well when I need to tr...
by Garco
Sun Jan 21, 2018 7:06 pm
Forum: Investing - Help with Personal Investments
Topic: TIAA - How do I tell the tax year of a contribution?
Replies: 9
Views: 619

Re: TIAA - How do I tell the tax year of a contribution?

I noticed the same thing on some other transactions that actually occurred on December 29th but didn't snow up in my TIAA account until January 2. When I look at year-end summaries of my specific holdings now, TIAA did attribute the transfer to 2017.
by Garco
Sun Jan 21, 2018 2:13 pm
Forum: Investing - Help with Personal Investments
Topic: Pull back on retirement saving to increase savings for kids' college?
Replies: 31
Views: 2845

Re: Pull back on retirement saving to increase savings for kids' college?

My 2 cents. We got two kids through elite (non-Ivy) private colleges in 1996-2003. The total costs for each were about $125-$130K including room and board. We managed via savings plus some contributions by our own parents. Kid 1 then went on to a very good career, now earning 5-10 times per year wha...
by Garco
Sun Jan 21, 2018 11:21 am
Forum: Investing - Help with Personal Investments
Topic: A 4-5% rebalance to bonds barely budges risk/return
Replies: 43
Views: 3943

Re: A 4-5% rebalance to bonds barely budges risk/return

If you're really concerned, then you can consider a larger rebalance. As I moved to retirement in my late 60's, I definitely did that b/c my income flow depended increasingly on returns from my investments. But a dinky 4-5% rebalance while you're still employed and in your 40's doesn't change your r...
by Garco
Sun Jan 21, 2018 10:27 am
Forum: Local Chapters and Bogleheads Community
Topic: My daughter got her dream job [Proud Papa]
Replies: 40
Views: 5292

Re: My daughter got her dream job

Here's to your daughter's success. I'm all for daughters (and sons), wish I could have another one!! But I did my part, so to speak. And kids are well launched.
by Garco
Sat Jan 20, 2018 12:45 pm
Forum: Investing - Help with Personal Investments
Topic: Choosing 403(b) TIAA Investments
Replies: 22
Views: 1884

Re: Choosing 403(b) TIAA Investments

@kmstx-- IMO, TIAA is definitely the best plan administrator among the options you have. Also, as I reflect on the fact that this may be a supplement to your main pension, I think being a little bit more adventuresome or aggressive in your selection of investment options is OK. At age 25, you are in...
by Garco
Fri Jan 19, 2018 10:50 pm
Forum: Investing - Help with Personal Investments
Topic: Choosing 403(b) TIAA Investments
Replies: 22
Views: 1884

Re: Choosing 403(b) TIAA Investments

I don't like your mid/small cap options. If you ever are offered better ones (including TIAA MC or SC), consider adding them. * next to item below means that I currently own it. I have better LC options, so I don't own CREF Stock. I recommend: 30% CREF Stock (70% US; 30% non-US) 15% CREF Social Choi...
by Garco
Fri Jan 19, 2018 10:52 am
Forum: Investing - Theory, News & General
Topic: Rebalancing in last 12 months
Replies: 19
Views: 1754

Re: Rebalancing in last 12 months

In my taxable (brokerage) account, I don't rebalance for the sake of better balance but may buy or sell certain holdings based on the market, e.g., in one or two more speculative investments. This account also provides income (cash) that augments my family budget. In my tax deferred accounts, I basi...
by Garco
Thu Jan 18, 2018 10:58 pm
Forum: Investing - Help with Personal Investments
Topic: Saving for college
Replies: 3
Views: 385

Re: Saving for college

https://en.wikipedia.org/wiki/529_plan

There are tax advantages from most 529 plans. Read the above and then study up using other sources. A great investment vehicle.
by Garco
Thu Jan 18, 2018 9:49 pm
Forum: Investing - Theory, News & General
Topic: International Bonds
Replies: 34
Views: 5860

Re: International Bonds

I've only ever owned one dedicated international FI fund. FNMIX. It comprises the entire FI share of one of my supplemental tax deferred retirement funds (403b). It's been a good investment. http://www.morningstar.com/funds/XNAS/FNMIX/quote.html
by Garco
Thu Jan 18, 2018 2:26 pm
Forum: Investing - Theory, News & General
Topic: AA is much harder than I thought...
Replies: 45
Views: 5525

Re: AA is much harder than I thought...

I'm not 27 or 33. I'm 72. It pains me to be missing out on all those stock increases. I could have earned hundreds of thousands more in the last 12 months if I'd been all equities! Ouch!!! But deep down I'm laughing all the way to the bank. The fact is that even if I might have had those hundreds of...
by Garco
Wed Jan 17, 2018 9:40 am
Forum: Investing - Theory, News & General
Topic: Anyone pondering moving to a cheaper place and downsizing?
Replies: 63
Views: 5400

Re: Anyone pondering moving to a cheaper place and downsizing?

We're in process of moving to a more expensive place and downsizing.

That is, we've bought a condo in a nice community, for an amount that exceeds the value of our previous home. But with no external or yard upkeep headaches and costs, though of course condo fees and property taxes.
by Garco
Mon Jan 08, 2018 11:34 am
Forum: Investing - Theory, News & General
Topic: Memo to those who have won the game: it's time to quit playing
Replies: 211
Views: 21693

Re: Memo to those who have won the game: it's time to quit playing

I'm still in the early years of retirement (entering 5th year), and I have sufficient invested resources (>$3 million) plus real property to live comfortably without taking a lot of risk. SS is nice to have and covers about 1/3 of my ordinary spending needs. But there's always a temptation to respon...
by Garco
Sun Jan 07, 2018 4:00 pm
Forum: Investing - Help with Personal Investments
Topic: Does it make sense to try to "time" a first time home purchase?
Replies: 48
Views: 2840

Re: Does it make sense to try to "time" a first time home purchase?

I think timing the L.A. housing market in expectation of lower prices is foolish. You could get lucky. You could end up feeling like a fool. In the meantime, if you wait to purchase you're paying rent to somebody who's making a profit on money that you could be putting into your own property. True, ...