Bogleheads.org

We are selective on what we pick up and avoid most of the frozen and processed foods. We always get a roast chicken for the dog even though they look unnaturally fat and full of heaven knows what chemicals. I hope you are joking about the chicken and the dog! Costco is like any other store - choose what is appropriate for your needs at a good price. If you have a smoker, vacuum sealer, and a freezer, a 15 lb packer brisket at Costco can be a great deal, even for a family of 2. For the six pack of steaks, they only make sense if you are serving six people at once, unless you want to freeze them. Personally I like their brisket and pork ribs for smoking. But for pork shoulder they only have boneless, and at a high price (above $2/lb), while ...

I just watched the show and there is a definite left-wing bias in the presentation from beginning to end. There were some entertaining interviews, but overall it seems like a blame shifting attempt by PBS, and otherwise not very informative or interesting.

You are definitely on the right track, and I would choose the simpler (2nd) of the options.

Now to think... if it were me, at age 22, what advice would I give to myself, given your situation?
$1500k VTI
$500k VXUS
$500k cash or equivalents earning over 4%
Then read a lot of stuff here before making any big decisions.

jaybee9 wrote: ↑Sat Feb 18, 2023 12:26 am It seems like discussions about early withdrawals from retirement accounts using 72(t) (SEPP) and Rule of 55 are "either/or". Why not both?

Many companies (including mine) don't allow partial distributions from the 401k after retirement via the Rule of 55. Only full distributions. So that might be why there is less discussion. Anyone can do the 72(t)/SEPP.

WoobieX wrote: ↑Sun Feb 12, 2023 12:35 pm Have I met our goals to:
-Keep the total value of the account intact?
-Eliminate or minimize capital gains?
-Avoid wash sales?

It looks like your other goals are simplifying (reducing # of holdings) and moving from ETFs to mutual funds?

Are the ETFs in all caps, but not italics, funds coming over from Betterment that you don't want/need to sell immediately?

This appears to do what you want, without wash sales.

Fremdon Ferndock wrote: ↑Tue Feb 07, 2023 11:10 am Is this a common thing?

I doubt it. We purchased an X3 with lane assist in Dec 2022, and the dealership website shows current inventory X3 models with lane assist. It could be a problem or confusion with the online configurator.

- If you value simplicity I would try to reduce the # of holdings. For example in your Roth IRAs there's no reason for you and your wife to both hold US and international stock funds. You also have international in your taxable, and within the target date and LifeStrategy funds in your 401k and tIRA accounts. 25% of 65% is only 16%. So you could hold all of the international in your wife's 401k (for example).

- In taxable I don't know if the tax-managed funds are worthwhile for your income level, particularly the stock funds. Have you run the numbers? If you can sell without big gains I would combine the large/mid and small cap funds into a total market stock fund like VTSAX, for simplicity and cost savings.

If you went a bit longer to, say, Jan 10, you could earn enough to make a $7500 Roth contribution. Also a small chunk of salary might increase your SS payout just a bit (canceling out a lean teenage year), but probably not if age 65.

I use Scosche Magic Mounts (available on Amazon) in all vehicles, and put the thin steel strip on the back of the phone. The magnet is plenty strong to hold it, through the case.

We recently tried to get on the wait list for a Lexus NX350h (Lexus equiv. of the Rav-4 hybrid) for about 6 months. One dealer insisted on a deposit for MSRP +$3500 in dealer add-on garbage. Another dealer said $2k of garbage with no deposit until the VIN became available, but I had to pounce if he contacted me. The two times he did were for the wrong trim levels, then he stopped calling. Inventory is very low, so I don't really blame the dealers for trying to squeeze as much as they can - they need to make a living with fewer sales. The car was for my wife, and although she was set on a Lexus forever, eventually even she had enough of the delays. So she test drove a BMW X3, loved it, and we bought it the next day. The hybrid part of the NX...

benevo wrote: ↑Thu Jan 26, 2023 9:00 pm 55% SWTSX
25% SWISX

In the original post you said you wanted your AA to be 70/30, but this would put you at 80/20 (in taxable?), and the 100% stock in your 401ks would make your overall AA closer to 85/15. Did your risk tolerance change with newfound Boglehead confidence?

Otherwise yes, it looks great, and I would tweak the dials to make your overall AA 70/30, or whatever you want it to be. SWAGX for all of your fixed income seems fine to avoid an extra fund.

benevo wrote: ↑Wed Jan 25, 2023 7:18 pm Thanks! Would you recommend like 2% cash at our age then?

I would recommend 0% cash in your investment portfolios. Just emergency fund and short term expected needs in HYSA and/or MMF.

In both 401k I would move into the total market index fund, @ 0.015% ER. The funds you are currently in are costing you $1746 per year more just in expense ratios (assuming $360,000 in 401k).

Regarding cash, 5% is fine but as your portfolio grows larger it will become an unnecessary drag, at your age. I'm a fan of the three-fund portfolio and would not have a significant cash balance until closer to retirement.

Paying down a 9.75% debt is equivalent to a 9.75% guaranteed investment return. There is no investment even close to a guaranteed 9.75%, which is why the advice is unanimous here. Paying the personal loan first is the optimal choice, mathematically.

If your wife rolled her 401k into an IRA "a couple years back" and you both were doing backdoor Roths, you might owe pro rata tax for 2022, 2021, and maybe 2020. Is the money still in her IRA? If so, it's too late now for 2022, but you should get it into her 401k before Dec 31, 2023. thank you, yes, i understand we might owe pro rata tax for 2021 and 2022. we made the post-tax contribution through her IRA and converted that to the Roth IRA for 2023 already, so noted on the timing of getting the IRA $ out of there. thank you. If her tIRA had tax-deferred funds when you did the backdoor, you most certainly owe tax every year you did the conversion with a tIRA balance on Dec 31. You'll need to file amended tax returns and a form 860...

If your wife rolled her 401k into an IRA "a couple years back" and you both were doing backdoor Roths, you might owe pro rata tax for 2022, 2021, and maybe 2020. Is the money still in her IRA? If so, it's too late now for 2022, but you should get it into her 401k before Dec 31, 2023.

Net Worth is reported on the first page of the report. It's fun and motivating to track, but more importantly my spreadsheet tracks asset allocation, also reported on the first page. Tracking the balances has multiple benefits.

SquawkIdent wrote: ↑Mon Jan 02, 2023 1:40 am Reminder…use the post search box above to make sure your guess wasn’t already used…

Thank you, I noticed 3 other people had already used my guess!
So I edited my guess (to 4204.20).

4204.20

You might consider holding the international (and bonds) in your 401k, and then the Roth accounts will only have 1 fund each (FXAIX). That's what we do. It's a bit simpler, and easier to rebalance with 401k paycheck contributions.

I share the opinion that 10% bonds is fine. Much easier to increase from 10% than 0%, and you will increase.

Regarding tax efficiency, it looks like all of your taxable funds will be held in Money Market for house and vacations, so no worries. Your plan looks great to me.

camper wrote: ↑Mon Dec 26, 2022 9:06 pm Just so I understand this better...
Let's say the current traditional IRA gets rolled over to current 401k, say 2/1/23. This results in a zero balance in the traditional IRA. After that happens, she can then make a $12.5K contribution ($6K for 2022 & $6.5K for 2023) to the traditional IRA and convert it to her Roth?

Yes, with the clarification that the traditional IRA needs zero balance on Dec 31, 2023 to avoid taxes on the conversion in 2023 (it doesn't have to be zero before you do the conversion).

Yes, you should get it fixed.
The repair ($2000-$3500) is well below the value of the car (2014 Kia Sorento, 112k miles, $11k value).

What to do after it's fixed is a different question. Depending on your situation and needs I'd probably keep it for another 1-2 years and sell, like you said.

How many miles on the Kia? What is the resale value, after repair? Did you already get a $2k quote for the head gasket?
If you sold the Kia as-is, you would receive $2k less (probably closer to 3k) vs the car without a blown head gasket. So at this point it's a sunk cost.

Unless the repair cost is near the resale value of the car (in this case it's likely not), then the choices should be 1) repair the Kia and sell it, or 2) repair the Kia and keep it.

I just checked and have the same problem with ups.com and Firefox. It loads with Edge.
So either UPS or Firefox recently changed something, and they aren't cooperating.

Without a special type deal, in your situation I would not even think about buying real estate until that car loan was paid off, you had more cash on hand, and your credit score was above 720.

Make a plan to be ready to pounce around 1-2 years from now. You are kicking butt and chipping away at stuff, I wouldn't want to risk forward progress by a crappy deal or some misfortune. You should go into the buying process with a very strong position, and it will only take a year or two to be in that position if you keep advancing at the same rate. Good luck and Semper Fi.

It looks like $162k, for 2022.
If you are under 50: (61k - 20.5k)/0.25
https://www.irs.gov/retirement-plans/on ... 401k-plans

ccdmb2022 wrote: ↑Thu Dec 01, 2022 4:39 am ...
That being said, do index funds have any advantages that I might be overlooking?

Both ETFs and mutual funds can be index funds. With mutual funds, it's easier to schedule automatic investments, and easier to trade in dollar amounts (fractions of a share) instead of whole shares.

"ROTH" IRA, "safety" deposit box, "principle" and interest.

Welcome to the forum! For a newer, conservative investor at age 40, I'd begin with at least 20% bonds/cash in your AA. 1. It's not too complicated, and close to what I had at age 40. But eventually I simplified down to a Three-Fund portfolio because the small tilts were meaningless. So that's what I'd suggest you start with (VTI, VXUS, BND). 2. ETFs and mutual funds are essentially the same funds, just traded differently. I have some of both. Read about the differences and choose. 3. Put your bond allocation in a tax deferred account, like your traditional IRA or 403b, because bonds are not tax efficient. Put your international funds in your taxable account to benefit from the foreign tax credit. 4. Lump sum has better odds of being the bes...

To simplify I would begin by not treating the 529 accounts as part of your investments. Then your account space is approximately 1/3 taxable, 1/3 Roths, 1/3 403b. - Try to emulate a Three-Fund portfolio, or something similar, and incorporate that across your accounts. - For an 80/20 asset allocation, normally you'd want to put your 20% of bond funds in the 403b first, since they are not tax efficient and lower growth. The remaining 13% of the 403b, and the taxable and Roth accounts, would hold your 80% of stock funds. - In your 403b, the bond funds are really expensive, but so is the Growth Equity Index fund. I would probably go with the money market or low duration bond (plus 13% of Growth Equity Index). In taxable and Roth I would fill wi...

I wouldn't bother with the extra step. It's easy to wire transfer from Vanguard to buy a house, but you'll need to call them.
Related thread: viewtopic.php?t=341435

It's overwhelming because that's a very long laundry list of projects, and there are too many variables to say what it should cost. You should prioritize them separately, then group them in a logical order. If you are replacing windows or siding you might want to do that first. Paint before carpet/flooring. Etc. There's no reason you have to do it all at once.

I would start with the windows and recessed lighting, then the kitchen, bathrooms, then paint the whole house. Do the furniture and blinds last. Keep the outdoor stuff separate from the indoor stuff. $200k sounds about right for everything, but there are many variables. A kitchen can cost well over $100k alone, depending on the size and your choices.

We just returned from a 5-day Vegas trip. Assuming you'll have evenings free, since you are there for a conference, I'd focus on shows/nightlife.

1. Mat Franco at the Linq. Incredible show, and it's close to Bally's. You need reservations.

2. Another show, whatever suits your taste. You'll likely need reservations. We also went to the MJ Live show and it was pretty good. We wanted to add Mac King or the MJ Cirque du Soleil show, but they didn't fit our schedule.

3. Go down to Fremont Street one night, to check out the craziness. It's also a better place to drink and gamble, because everything is cheaper and limits are lower.

Only issue is the size (small...closer to 2" in length) and blossom rot early on (addressed). We have the rot on San Marzons as well. Turning black at the bottom. How did you address it? I think our water is not enough as the leaves go wilted during the day before we water in the evening. Blossom end rot is caused by calcium deficiency. Usually the problem is not a lack of calcium in the soil, but lack of water to deliver the calcium, or over fertilizing with nitrogen. In my case I addressed it by watering more thoroughly in the morning, and adding a midday watering on the really hot days. A timer is your friend (if you work during the day). There is also a treatment available called "Rot Stop" in the gardening section of HD...

I grow my own tomatoes, but they are generally used for salads (I don't grow paste tomatoes).
I've made sauce from store bought Romas and others, but the canned options are far better. My preference is the Posardi (Sardinian) canned whole tomatoes.

vfinx wrote: ↑Wed Jul 06, 2022 12:29 am I personally do believe that avoiding the first model year of a redesign is a good idea, even for Lexus. So don’t wait too long to make your purchase or you’ll be caught having to buy the first year of this upcoming generation.

On the other hand, the current RX generation is very long in the tooth at 7 years. And Lexus is known to have a dated interior anyway (my gf's 2007 GX 470 has a stock cassette player!). So there is a benefit to wait for the refreshed generation, especially if you'll be keeping the car 10-15 years. We are also shopping for an RX in 2022/2023 to replace hers.

You should be using MakeMKV to copy and convert the contents off the DVD into a usable package (.mkv files). Don't copy the individual files off the DVD.
Handbrake is used to further compress the .mkv into an .mp4 file.

We are going in August for a wedding, with a group including several teens. Our plan to keep the teens from getting bored:
1.) Shows (Mat Franco, Michael Jackson show, Mac King)
2.) Touring the strip, rides like at the Stratosphere, TopGolf, and excursions out of town.
3.) Pool time, relax time, and not over planning.
Good luck and have fun!

What does your IPS say?

That may seem like a flippant response, but I'm currently having a look at my IPS and this is a good question to address within the plan. Right now it's not addressed at all. I might add a section that says AA cannot be changed during periods of high market volatility (or something).

Since it's such a small change for you, in this case I would just do it.

SlowMovingInvestor wrote: ↑Tue Feb 01, 2022 10:05 pm It works, just has a few issues (noise when spinning, primarily).
Their tech came out, said the problem was with the washing machine motor (not bearings or belts).

I wouldn't expect a washer motor to fail early, or a failing motor to cause your washer to make noise when spinning. Depending on the other "issues", I don't trust the diagnosis, and I would not have a problem paying Samsung for their diagnosis.

If you are really 10+ years out from buying a home, and in your mid 20s, no I would not hold 20% bonds. But asset allocation is personal, and your risk tolerance might be lower than mine.

By the time you are 2 years out, your down payment savings should all be in bonds or other type of fixed income.
In between 10 years and 2 years you could gradually add bonds. I found it easiest to have a separate short term bond fund position, dedicated to the house, and keep the rest of my accounts aligned to my normal asset allocation.

startingout2022 wrote: ↑Wed Jan 12, 2022 1:05 am Yes, I can certainly max out 401(k) + Roth IRA + HSA. In fact, as per my calculations, I can save up to $5000 per month (and these savings will likely increase).

That's awesome! Be aware that you'll need to use the Backdoor Roth method for the IRAs since your income is above the direct Roth contribution limit. See the wiki, and fill out a practice form 8606 before making the move, to make sure you understand the process.

startingout2022 wrote: ↑Wed Jan 12, 2022 12:45 am The list of resources on the internet comparing 401(k) Traditional with 401(k) Roth is overwhelming but I am learning along the way. What I understand is that if I am expecting to fall under a higher tax bracket in the future, going the Roth way might be better.

In that context, "future" means retirement (when you would be withdrawing the funds), not a few years later when you are earning more.

Many people at your income level would max out both traditional 401k and Roth IRA, to get future tax diversification while filling both of those buckets. That's $21,500 + $12,000 if you include spousal IRA. If you can add $7,300 HSA that is $40,800 of tax-advantaged savings possible.

Stereo is 2-channel audio, left and right, and abbreviated 2.0 (no subwoofer). If you add a subwoofer it becomes 2.1. Surround sound starts at 5.1, which is 5 main (floor) speakers plus 1 subwoofer. The 5 speakers are Front L + R, center, and surround L + R. 7.1 adds rear surround speakers. 5.2.4 means 5 surround speakers, 2 subwoofers, and 4 ceiling speakers. And so on. If you want to use external speakers, you should get a modern receiver (AVR). Your TV doesn't necessarily need ARC. It depends on how you wire it up. Most people would use the AVR as the "brain" and plug all the sources into it, like your cable box or DVD player. Then one HDMI cable from the AVR to your TV for video. Or, you can use your TV as the brain, in which ...

SEPP distribution from Roth are qualified (i.e. no 10% penalty). It's in 590B about halfway down, under Roth IRAs.
You would still owe tax on any distribution before age 59.5 (edit: earnings are taxed)

Since you are only commuting 3 days I'd probably go for the east side (Bellevue/Kirkland/Redmond). The west side is dying (comparatively), while the east side is growing. Look to the future. All the big tech companies have a large presence on the east side and that's where the growth (and housing appreciation) will be. The schools are much better, and you can still get a somewhat decent 3br 2ba with a yard for 1.5m, if not in Kirkland then Bothell or Woodinville. I think it's a big risk to spend $3m for a Queen Anne home with the higher crime and other problems that the east side doesn't have. The momentum is east.

If you really want to live close to the needle I would say Magnolia or Interbay, maybe Fremont.

What matters is the status of your IRAs on Dec 31. If you can undo the rollover, or get the money back into the 401k by Dec 31 it looks like you would avoid the pro rata tax. That date is coming up quick though. You might just end up paying the "stupid tax" which we have all done. Worst case, hopefully it's a small % on a $6000 conversion, and you still got your money into the Roth like you wanted.

... I haven't seen anyone else mention they apply for an Amex after rate lock and signing the "I will try to avoid changing my credit" statements. I suppose since I have already locked and it won't expire for 2 months nearly, I could do it but I'd have to pretend I didn't actually sign or understand that doc. I wouldn't want to blow up the refinance entirely in the pursuit of it. Score wouldn't drop enough to negatively affect anything either as I am above 760. The $2k is tempting for sure. If you go back in this thread, I'm pretty sure you'll find people who were also unaware of the bonus, and applied for an Amex card after their Better lock without disrupting the loan. If your credit score is solid you should be able to do the ...

Will those of you who have had panels professionally replaced please tell us how much you paid?
I'm looking to do this myself and just curious. Also wondering how much a 240V subpanel would cost for a compressor and/or car charger.

It depends: Do you need a second fridge, or more freezer space? If you need more freezer space, I'd suggest a self-defrosting upright. They take up less room, than a chest freezer and are easier to use. I replaced our manual defrost chest with an upright self defrost, and I would never ever go back to either a manual defrost or chest. This ^^ is good advice. I have both a fridge (with freezer on top) and upright freezer. The fridge was the cheapest model available at the store, gutted and converted into a kegerator during my homebrewing days. Now it mostly just stores juice, milk, beer, and other drinks. But it is incredibly useful for storing meats during brining or drying (like a Thanksgiving turkey), or piles of unfrozen meat waiting to...