Search found 381 matches

by OutInThirteen
Fri Feb 24, 2017 7:49 am
Forum: Personal Finance (Not Investing)
Topic: TSP Participant Account Balances
Replies: 72
Views: 22030

Re: TSP Participant Account Balances

In DC at least, there's a lot of rotation between public and private sector. Could be that people work for five years in gov, go to private sector, and keep the TSP. That could affect balances. Or come to government service as a second career. Wife has over $1M in retirement assets, but not all with TSP. Very true (in fact, I bet having lots of savings first may make it easier to transition into government service). The last five years of my full-time career were in Federal service. With a change in contract my former non-FERS pension was frozen late in my career, then budget issues threatened my ability to stay on without having to relocate. Luckily a Federal position requiring hard to find unique skills became available in the same locat...
by OutInThirteen
Thu Feb 16, 2017 7:46 pm
Forum: Personal Investments
Topic: Closed my Roth IRA due to political uncertainty - mistake???
Replies: 102
Views: 9958

Re: Reopening Roth after a panic move - need advice on investment

Thanks for the advice. I realize I have blundered and am doing all to remedy it. This world is brand new to me and I'm doing this completely on my own. I don't have family, etc to point me in the right direction. While I appreciate your advice, I could do without your tone. No one likes to have their nosed shoved in their mistake. Sorry if I sounded so harsh, but I said it that way to get your attention since you seemed to ignore the kinder warnings. Maybe one, possibly two, posters could be wrong with their advice, but when it is almost unanimous and you seem to ignore it, well . . . There must have been a misunderstanding. You need to unfortunately call them back and talk to someone again. You need to specifically say that it is an "...
by OutInThirteen
Tue Feb 14, 2017 8:36 pm
Forum: Personal Finance (Not Investing)
Topic: TSP Inheritance count toward MAGI (Obamacare)
Replies: 5
Views: 919

Re: TSP Inheritance count toward MAGI (Obamacare)

retiredjg wrote:The problem here is not the non-spouse part. The problem is that the inheritor cannot pass the TSP account on to another inheritor. The only choice the second inheritor has is to receive a lump sum distribution. That's how I understand it anyway.

Not sure this is well known. I've had a TSP account since the 80's and didn't know it until last year.
That's why it's important for the spouse beneficiary to (maybe immediately) roll over the TSP into an IRA. That's what my spouse has been instructed to do.
by OutInThirteen
Sat Feb 11, 2017 10:26 am
Forum: Investing - Theory, News & General
Topic: Fresh Look at the "Larry Portfolio" from Portfolio Charts
Replies: 125
Views: 28621

Re: Fresh Look at the "Larry Portfolio" from Portfolio Charts

Is the Larry Portfolio even implementable if the vast majority of one's bond portfolio (low- to mid-6 figures) is in the Thift Savings Plan G Fund? I would say yes. The main idea is that a big percentage of your portfolio is in a relatively safe asset class, while the risky portion is in higher expected-return / higher-risk asset classes, like small-cap value stocks. The G fund is an excellent candidate for the relatively safe asset class. You're not going to get an increase in price of the safe asset class when stocks tank or interest rates decrease, but you're also not going to get a price decrease in the safe asset class when interest rates increase. You definitely reduce left-tail risk by having a large portion of your portfolio in the...
by OutInThirteen
Sat Feb 11, 2017 7:59 am
Forum: Investing - Theory, News & General
Topic: Fresh Look at the "Larry Portfolio" from Portfolio Charts
Replies: 125
Views: 28621

Re: Fresh Look at the "Larry Portfolio" from Portfolio Charts

Is the Larry Portfolio even implementable if the vast majority of one's bond portfolio (low- to mid-6 figures) is in the Thift Savings Plan G Fund? All retirement expenses, including discretionary, are covered by 3 pensions (2 are COLA'd, mostly with 100% survivor benefit) and 2 SSs, so the portfolio is mainly there to cover medical and LTC expenses later in life. Any remaining will go to our children. Current equity portfolio is 66% total international (FTIPX), 17% REIT (VGSNX), and 17% total US (FSTVX and equivalent). The REIT is there mainly to take advantage of the volatility for rebalancing opportunities, which has been successful in the past. I know that international is overweight (my target is 50/50 US/international), so I will be a...
by OutInThirteen
Sat Feb 11, 2017 7:23 am
Forum: Personal Finance (Not Investing)
Topic: Social security benefits when worked in non covered job 32 years ago?
Replies: 8
Views: 1806

Re: Social security benefits when worked in non covered job 32 years ago?

You may need to review the windfall elimination provisions of social security. Your wife may be exempt if she has 30 or more years of social security earnings. If she does not then she would be subject to actuarial reduction of her PIA based on her lump sum benefit. Here is a brief review of windfall elimination provisions: https://www.ssa.gov/pubs/EN-05-10045.pdf Here is how you may have to reduce the Primary insurance amount if you are subject to the windfall elimination provisions: https://secure.ssa.gov/poms.nsf/lnx/0300605360 Update: We spoke on the phone today with a representative from Social Security. They said that DW's uncovered employment was before a certain date and thus will have no impact on her Social Security benefit amoun...
by OutInThirteen
Thu Feb 09, 2017 8:05 am
Forum: Investing - Theory, News & General
Topic: What is the prediction of future long-term returns for your portfolio?
Replies: 64
Views: 9243

Re: What is the prediction of future long-term returns for your portfolio?

In my Excel spreadsheet I assume 6% for stocks and 4% for inflation, resulting in 2% real. However, the information isn't particularly useful to me. COLA'd pensions and SS cover all expenses, with investments set aside for medical and/or long term care expenses. Whatever's left will go to the children.
by OutInThirteen
Thu Feb 09, 2017 7:59 am
Forum: Investing - Theory, News & General
Topic: Costs of the TSP? is it self-sustained?
Replies: 33
Views: 4885

Re: Costs of the TSP? is it self-sustained?

Why would you roll back into the G Fund if the withdrawal options suck? I ask because my wife's funds are in TSP and always figured we would roll out of TSP into vanguard come retirement time. Not something I have to do right away. It's an option. One concern is that Congress may change the G fund's construction so it is not advantageous versus other basic Boglehead bond funds. If moved back, then the withdrawal option would probably be specific monthly dollar amount adjusted yearly. I agree it's a trade-off of the benefits of the current G-fund versus the current TSP withdrawal restrictions. As you imply, those benefits may not be worth the price. But by leaving some money in the TSP, one has the option of moving money back to the TSP if ...
by OutInThirteen
Tue Feb 07, 2017 8:52 pm
Forum: Personal Finance (Not Investing)
Topic: Form 2210 questions
Replies: 17
Views: 2914

Re: Form 2210 questions

If the instructions for a tax form lists conditions for which the form is to be filed, and those conditions are not met, then don't file the form. This is a good general rule. After all, why make your tax return more voluminous than it needs to be. There are, however, some situations where I think it makes sense to file a federal schedule or form even if not required. Two examples: 1. You have taxable interest and dividends from seven different sources that total $1,450. Schedule B is not required since the total does not exceed $1,500. I would file the form anyway because it will make it easier the following year to avoid overlooking an income source when preparing next year's return; and it will make it easier to analyze the accuracy of ...
by OutInThirteen
Thu Feb 02, 2017 10:39 pm
Forum: Personal Investments
Topic: Am I being given needlessly complicated advice?
Replies: 31
Views: 5108

Re: Am I being given needlessly complicated advice?

FSTVX (total market) and FTIPX (total international) are all I have in my Fidelity traditional and Roth IRAs. For bonds, I use the Thrift Savings Plan G Fund.
by OutInThirteen
Thu Feb 02, 2017 10:07 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security Maximum Withdrawal
Replies: 8
Views: 1844

Re: Social Security Maximum Withdrawal

prudent wrote:Here's the answer from the ssa.gov site: https://faq.ssa.gov/link/portal/34011/3 ... it-payable
The maximum monthly benefit at age 62 of $2,102 from the link above is for a worker (retiring in 2016 at age 62) whose 35 highest years' salary were in the years 1981 through 2015. If 1981 wages were $0, the benefit would be $2,075, or 98.72% of the maximum. That gives you some idea of the "hit" taken by only having 34 years of earnings instead of 35.
by OutInThirteen
Thu Feb 02, 2017 8:40 am
Forum: Personal Finance (Not Investing)
Topic: Mortgage Deduction SEEMS Too good to be true - What am I MISSING!?
Replies: 37
Views: 9006

Re: Mortgage Deduction SEEMS Too good to be true - What am I MISSING!?

It sounds like you have been using the standard deduction instead of itemizing. If your state income taxes are more than the standard deduction, then you should have been itemizing. Review Schedule A. https://www.irs.gov/pub/irs-pdf/f1040sa.pdf How will this affect your state taxes? If your state allows a deduction for mortgage interest, then the amount of state taxes that you can deduct from your federal taxes will decrease. If you determine that you could have been itemizing due to state income taxes > standard deduction, plan on filing amended tax returns as far back as you could have itemized, understanding that you can only go back three tax years. The clock runs out on tax filing day this April for one of those previous years, so pla...
by OutInThirteen
Sun Jan 29, 2017 7:22 pm
Forum: Personal Finance (Not Investing)
Topic: Civil/Struct Engineers. Public Vs. Private Employment
Replies: 21
Views: 10273

Re: Civil/Struct Engineers. Public Vs. Private Employment

I'm a retired structural engineer, with 35 years of experience under my belt. However, I only spent my first 5 years designing structures (oil and gas drilling and production platforms in the Gulf of Mexico), including this one (not my fault, I swear!): http://www.opednews.com/articles/NEW-PHOTOS-Mariner-Fire-o-by-Georgianne-Nienabe-100902-238.html However, a big part of my job during those 5 years was project management (bid package preparation, contract bid and award, fabrication and installation oversight, etc.) for the structures I designed. Had I stayed with the company (one of the Seven Sisters) no doubt my salary would have been significantly higher at retirement than my final Federal salary, which was about as high as you could get ...
by OutInThirteen
Thu Jan 26, 2017 9:39 pm
Forum: Personal Investments
Topic: 401K Fidelity Investment Options
Replies: 3
Views: 1204

Re: 401K Fidelity Investment Options

I'd suggest limiting your investments to those funds with expense ratios less than or equal to 0.20%. You've got some good choices: an S&P 500 fund and mid cap and small cap funds, which can be combined to approximate the total US equity market. You've also got a good total bond fund. And don't overlook the stable value fund. In the end, it all depends on what other investment accounts you already have or have access to. To get more specific input from others, it would help to post your situation in the format recommended in Asking Portfolio Questions:

viewtopic.php?f=1&t=6212
by OutInThirteen
Thu Jan 26, 2017 8:45 am
Forum: Personal Investments
Topic: Should I be investing in a 457b plan offered by my job
Replies: 26
Views: 3737

Re: Should I be investing in a 457b plan offered by my job

If you have any desire to retire early, 457(b) withdrawals (from a government 457(b)) never invoke early withdrawal penalties, at any age (you don't have to wait until the year you turn 55 to separate from employment and you don't have to wait until age 59-1/2 (IRA)). So it provides some flexibility in early retirement withdrawals.
by OutInThirteen
Thu Jan 26, 2017 8:36 am
Forum: Personal Investments
Topic: Bonds and TSP - 3 questions
Replies: 5
Views: 1078

Re: Bonds and TSP - 3 questions

My plan is to finish converting the rest of my traditional IRA and 403(b) balances to my Roth IRA before RMDs in seven years. All I will have left will be the G Fund. My RMDs, which the TSP will calculate for me, will cover my entire Federal tax liability, with a little left over. So I'll have the TSP send a monthly payment, but with most of it being withheld for Federal income tax.
by OutInThirteen
Thu Jan 26, 2017 8:16 am
Forum: Personal Finance (Not Investing)
Topic: 401k loan for downpayment
Replies: 15
Views: 2961

Re: 401k loan for downpayment

logicon wrote:I appreciate all of your help. Looks like the home is headed to a bidding war. We don't stand a chance with limited funds and a contingency. Goodbye dream home!

On the plus side, we'll probably end up in something a bit more fiscally responsible. Thanks again!
Overall, I think you're taking the best approach.
by OutInThirteen
Thu Jan 26, 2017 7:59 am
Forum: Personal Finance (Not Investing)
Topic: What investment firm for small investors?
Replies: 14
Views: 1983

Re: What investment firm for small investors?

(Fidelity spends way, way too much on advertising/marketing for my tastes - compare their column inches and full-truck displays in NYT, WSJ, etc. with VG, Price, Columbia, others. Somebody has got to pay for all those expensive ads, eh :shock: The people paying for them aren't the index customers. Fidelity subsidizes expenses on some of their index funds. For people starting out, Fidelity's investor class total US index fund costs 9bp vs 16bp for Vanguard's. The $10k minimum class is 5bp at Vanguard and 4.5bp at Fidelity. I'm certainly not paying for that advertising either - my only holdings at Fidelity (Traditional IRA and Roth IRA) are FSTVX and FTIPX. I do hold VGSNX (Institutional REIT Index) in my Fidelity administered 403(b). Great ...
by OutInThirteen
Tue Jan 24, 2017 10:57 pm
Forum: Personal Finance (Not Investing)
Topic: RMD and Tax questions
Replies: 8
Views: 1297

Re: RMD and Tax questions

1. Taxable in 2017.
2. Don't have the answer to this off-hand.
by OutInThirteen
Tue Jan 24, 2017 10:55 pm
Forum: Personal Consumer Issues
Topic: Anyone have experience with plumbing issues or any Plumbers here?
Replies: 30
Views: 3607

Re: Anyone have experience with plumbing issues or any Plumbers here?

If repairing, the new piping must be CPVC, the same as the rest of your plumbing. In my part of Nevada, PVC piping inside a dwelling was not permitted per the building code, it had to be CPVC.
by OutInThirteen
Mon Jan 23, 2017 8:13 am
Forum: Personal Investments
Topic: Investing advice for recently widowed 62 yr old Man
Replies: 7
Views: 1427

Re: Investing advice for recently widowed 62 yr old Man

Re: mortgage interest deduction and "effective" mortgage rate - how much headroom does your father have in his standard deduction without considering the mortgage interest deduction? In other words, if his other itemized deductions (state income tax, property taxes, etc.) are less than the standard deduction, not all of his mortgage interest will be deductible. I''d take another look at using some of the cash to pay down a big chunk of the mortgage.
by OutInThirteen
Sat Jan 21, 2017 8:48 am
Forum: Personal Finance (Not Investing)
Topic: Doing Taxes for the First Time....
Replies: 7
Views: 1431

Re: Doing Taxes for the First Time....

I've done mine with pencil (draft)/pen (final) and paper, by hand, since 1975. About ten years ago I built an Excel spreadsheet to capture information throughout the year, and to use as a cross-check when finalizing my return. I thinks that's the best way to truly understand what's behind the numbers.
by OutInThirteen
Sat Jan 21, 2017 8:43 am
Forum: Personal Finance (Not Investing)
Topic: Load up on cash - it might be one of your best investments
Replies: 53
Views: 12204

Re: Load up on cash - it might be one of your best investments

Houses, cars . . .? This can't be serious. When the market had its down tick in 2009, we significantly increased our spending in 2009 and 2010 because the prices of goods and services - mainly travel and home renovations. Our spending rate dropped back after that - I think 2012 was a low point. If I get lucky, next time a recession rolls around it will be time to replace the cars and the roof. Well, how many houses and cars did you buy up? Actually a relative did have the good luck to enter the housing market then by buying a foreclosure and he lives there now. But he is a penny ante piker and only bought one house. We bought probably our last new vehicle, a Silverado 2500HD crew cab 4WD pickup, in mid-2009 and saved at least an additional...
by OutInThirteen
Tue Jan 17, 2017 6:53 pm
Forum: Personal Finance (Not Investing)
Topic: What monetary value has your education provided you?
Replies: 107
Views: 9907

Re: What monetary value has your education provided you?

Using IRR, and approximate figure, I calculate my ROI for my degree at 27% per year. For my wife it will be about 9% per year. The idea of ever getting a 100x ROI from just a bachelor's degree honestly seems preposterous. You must include opportunity cost of the lost earnings from going to school those years instead of working. The cost of a quality college engineering education has gone up since I went to school. Here are my numbers: Cost of 5-year education (BS and MS): ~$10,000 (includes tuition, fees, books, and room and board) Opportunity cost of not working 5 years: <$10,000 * 5 = <$50,000 (this is conservative) First year's salary: ~$19,000 Fifth year's salary: ~$42,000 Final (35th) year's salary: ~$156,000 Total earnings (35 years)...
by OutInThirteen
Mon Jan 16, 2017 1:09 pm
Forum: Personal Finance (Not Investing)
Topic: Why nobody understands importance of high-deductible insurance?
Replies: 115
Views: 14907

Re: Why nobody understands importance of high-deductible insurance?

delamer wrote:
Big Dog wrote:
That is good to know. Although this may be the way it is supposed to work, however, unless a claim is filed (for under the deductible) I would wonder how well the insurance company pricing is really applied by the provider.
By definition, if a provider has a contract with the insurance carrier, they are supposed to file a claim with the carrier, and balance bill the participant.
Plus how would any given provider know whether you'd met your deductible or not?
The first piece of information they ask for is your insurance card. The provider can easily verify with your insurance carrier whether or not you've met your deductible.
by OutInThirteen
Sat Jan 14, 2017 7:31 am
Forum: Personal Investments
Topic: Help with Vanguard 401k to TSP Transfer
Replies: 3
Views: 1153

Re: Help with Vanguard 401k to TSP Transfer

When I wanted to transfer some funds from my 403(b) plan (administered by Fidelity) to the TSP I ran across a similar issue. In my case (employed by a Federal contractor), the contract had recently been recompeted and awarded to a different contractor, so the new contractor didn't yet have an IRS Letter of Determination. The new contractor's Plan Administrator wrote a letter confirming the proceeds were from a qualified plan, which I sent in with the TSP paperwork. So I think you've got it right.
by OutInThirteen
Fri Jan 13, 2017 7:09 am
Forum: Personal Finance (Not Investing)
Topic: Correcting Social Security earnings record
Replies: 19
Views: 3190

Re: Correcting Social Security earnings record

Just did the math. Based on her record as shown on her statement, as compared to what it would be if the omission were fixed, correcting the data should result in her grossing another $25 per month at retirement. Not an earthshaking amount, but every little bit helps. Definitely worth a short appointment with the local SS office. I would add that wife and I have found a "phone appointment" has worked extremely well. You make such by calling your local SS office and asking for one. Ours was a month or two out but precisely at the scheduled time the SS guy called us. We both got all our age 70 switching around of benefits done in about 15 minutes. JW Just wanted to post an update on this. DW got a letter in the mail today, only (ga...
by OutInThirteen
Fri Jan 13, 2017 7:08 am
Forum: Personal Finance (Not Investing)
Topic: t-IRA to Roth conversions..the rest of the story
Replies: 24
Views: 2662

Re: t-IRA to Roth conversions..the rest of the story

@Good Listener, my spouse still works full-time, so her salary is better than most people's pension. But without presenting a photocopy of our tax return, let me suggest that you may be surprised. Let me give a ball-park example with rough numbers: +$90K Spouse #1 gross salary -$24K Spouse #1 401(k) contribution -$05K health insurance -$02K FSA contribution +10K Spouse #2 consulting income -09K Spouse #2 401(k) contribution +30K dividends ($25K QDI) -03K capital loss +23K Roth conversion ================= 100K AGI ================= -12.1K 3 personal exemptions -12.6K standard deduction (itemizing with more deductions just allows a higher amount for Roth conversion) ======================== 75.3K taxable income (roughly top of 15% marginal ...
by OutInThirteen
Fri Jan 13, 2017 7:03 am
Forum: Personal Finance (Not Investing)
Topic: Options for parents' Social Security
Replies: 21
Views: 2630

Re: Options for parents' Social Security

AllieTB1323 wrote:
David Jay wrote:It is not just your father's longevity, it is your mother's as well. It is very likely that one of them will live into their late 80's or early 90's.

The survivor's benefit is 100% of the HIGHER of the two benefits, so your mom will get 100% of your Dad's benefit (if, as you say, he has the higher earnings record). So his delay in taking benefits will impacts the survivor, regardless of which spouse survives longer.

Isn't the survivor benefit capped at the higher wager earner's benefit at Full Retirement Age, in this case 66?
No, that cap is for spousal benefits, assuming the spouse waits until their own FRA to claim. Survivor benefit is capped at 100% of whatever benefit the deceased spouse was receiving.
by OutInThirteen
Thu Jan 12, 2017 2:20 pm
Forum: Personal Finance (Not Investing)
Topic: t-IRA to Roth conversions..the rest of the story
Replies: 24
Views: 2662

Re: t-IRA to Roth conversions..the rest of the story

Now of course, this is just one case study, to give a sense about the concept. I was recently speaking to somebody who is ready to retire in his early 60s, and 100% of his savings are in tax-sheltered accounts (401k-like). Roth conversion made zero sense for him. It only makes sense if you have a sizable taxable account, and can benefit from low tax rates on capital gains. It also makes sense for us, even though we have very little in taxable accounts. Even with pensions and SS, we still have ~$12,000 in Roth conversion headroom available before reaching the top of the 15% bracket. Even though we have little in taxable accounts, the extra monthly pension and SS income exceeding our living expenses is sufficient to pay the conversion tax. I...
by OutInThirteen
Wed Jan 11, 2017 10:30 pm
Forum: Personal Investments
Topic: Looking to retire at 55 (4 years) - Questions on current direction
Replies: 10
Views: 2231

Re: Looking to retire at 55 (4 years) - Questions on current direction

DSInvestor wrote:If you leave your job at age 55, you can withdraw from your 401k without early withdrawal penalty. Just make sure you don't rollover to IRA. IMO, you should continue to max out your 401k and you should use the backdoor into Roth IRA. Max out your retirement plans before college savings.
Minor clarification - no early withdrawal penalty if you leave employment any time in the year you turn 55. If your 55th birthday is on December 31st, you could leave employment a day after your 54th birthday and still avoid the early withdrawal penalty.
by OutInThirteen
Sun Jan 08, 2017 8:18 pm
Forum: Personal Investments
Topic: Maxing out SIMPLE IRA
Replies: 7
Views: 1497

Re: Maxing out SIMPLE IRA

The Fidelity SIMPLE IRA plan through my employer allows changes to employee salary reductions only quarterly. The form I sent in several months ago to reduce my salary reduction (in 2017 I wanted to earmark most of my salary for my 2017 TIRA contribution instead of the SIMPLE IRA) was to take effect at the beginning of 2017. However, I received my first pay stub last Thursday, January 5, and it still had the 92.35% salary reduction. I'm thinking that the higher amount was still taken from my salary because the pay stub was for the pay period ending on December 30, 2016. I expect the change to be reflected in my pay stub on January 19.
by OutInThirteen
Sun Jan 08, 2017 9:23 am
Forum: Investing - Theory, News & General
Topic: Whats your number to walk away?
Replies: 360
Views: 64138

Re: Whats your number to walk away?

HomerJ wrote:
OutInThirteen wrote:as pensions and SS more than cover our expenses.
Must be nice.
It does let us sleep better at night, especially knowing our savings/investments can be set aside for late in life medical/long term care expenses if needed.

But to get to the point of having decent pensions, there were significant financial trade-offs. Instead of continuing to work in big oil, for the last 30 years of my career I decided to go the route of employment with Federal contractors, and finally five years as a Federal employee. My prospects for promotions and raises in big oil could easily have resulted in a final salary two to three times my ending salary as a Federal employee.
by OutInThirteen
Sun Jan 08, 2017 8:28 am
Forum: Personal Finance (Not Investing)
Topic: Doing taxes for the first time--Please help!
Replies: 33
Views: 3964

Re: Doing taxes for the first time--Please help!

May I suggest an even bolder proposal? Can you do your taxes by reading the Form 1040 instructions and filling out the return with a pencil? That is really the only way you are going to get your first benefit about learning. IRS Publication 17 will get you started. irs.gov has all the forms and instructions, too. Google will find everything. I've done my own taxes by hand with pencil and paper ever since 1974, but in the last ten years have been using an Excel spreadsheet as the year progresses to capture/project the numbers, then finalize after all year-end information is available as a last check. There's only one year that (as far as I know) I made a mistake, called to my attention by the IRS via a letter - the year my income was first ...
by OutInThirteen
Fri Jan 06, 2017 10:51 pm
Forum: Personal Finance (Not Investing)
Topic: What monetary value has your education provided you?
Replies: 107
Views: 9907

Re: What monetary value has your education provided you?

Two engineering degrees, BS and MS, mid-'70s. Total cost of education (five years), including room and board, books, tuition <$10,000. First year's salary (big oil) recouped twice that much alone. Ending salary after 35 years in the workforce was eight times higher than starting. Total W-2 earnings >$3,000,000. Multiplier: >300.
by OutInThirteen
Thu Jan 05, 2017 5:33 pm
Forum: Investing - Theory, News & General
Topic: Whats your number to walk away?
Replies: 360
Views: 64138

Re: Whats your number to walk away?

Back in late 2008, shortly after starting my new Federal job, my number was 5, the number of remaining years I needed to work before locking in a second (albeit small and deferred) COLA'd pension. My dollar number was essentially 0, as pensions and SS more than cover our expenses. What we have accumulated in savings and investments is being reserved primarily for any future medical and/or long-term care. Any left over will go to our children.
by OutInThirteen
Wed Jan 04, 2017 9:01 am
Forum: Investing - Theory, News & General
Topic: Bernstein on Bonds...wow
Replies: 31
Views: 6593

Re: Bernstein on Bonds...wow

I'm glad I have some I bonds (unfortunately not the older, higher fixed rate bonds) and access to the TSP G Fund :-).
by OutInThirteen
Wed Jan 04, 2017 8:43 am
Forum: Personal Finance (Not Investing)
Topic: Fidelity Roth conversion - when is taxable value established?
Replies: 19
Views: 1442

Re: Fidelity Roth conversion - when is taxable value established?

FIREchief wrote:This would work as well, but then my money is out of the market for one to two days. I don't like that. :annoyed
I have my TIRA and Roth IRA at Fidelity. At the end of 2016, when I did just what livesoft does (sell in Traditional to cash, then convert to Roth), on the same day I executed an interfund transfer in my Thrift Savings Plan. So day one sell FTIPX to cash (SPAXX) and transfer equivalent dollars of G Fund to I Fund (based on EAFE index, so not quite the same as FTIPX, but close enough). Day two buy FTIPX in Roth and transfer equivalent dollars of I Fund back to G Fund.
by OutInThirteen
Mon Jan 02, 2017 11:11 pm
Forum: Personal Investments
Topic: Rollover IRA question
Replies: 3
Views: 499

Re: Rollover IRA question

I converted some of my Fidelity Rollover IRA balance to my Fidelity Roth IRA late last week. With Fidelity you can choose to not have any taxes withheld.

BTW, why not keep both of your accounts at Fidelity?
by OutInThirteen
Sun Jan 01, 2017 7:12 pm
Forum: Personal Investments
Topic: Strategy for consolidating retirement accounts
Replies: 23
Views: 2095

Re: Strategy for consolidating retirement accounts

* Thrift Savings Plan (TSP) from previous (gov't) job - all contributions pre-tax <--Keep One downside to keeping the TSP is that the inheritance rules for a TSP are a lot less favorable then IRA inheritance rules. https://www.tsp.gov/PDF/bulletins/14-04.html The details are complex but as I understand it this situations could be a problem. 1) Your wife dies first and you inherit it, that would basically work OK. 2) You then die and you kids inherit it. They use special terminology but basically they can't inherit it again as a TSP so they would have to take the money out of the TSP which could put them in a high tax bracket and they would lose years of tax advantage saving. If your wife rolled the money out to an IRA then the kids could i...
by OutInThirteen
Sun Jan 01, 2017 9:51 am
Forum: Personal Finance (Not Investing)
Topic: Considering Tax Benefits of 401k when you have existing debts...
Replies: 8
Views: 1181

Re: Considering Tax Benefits of 401k when you have existing debts...

Agressively paying down the debt, especially to the point of eliminating the debt entirely, frees up future income to expand the 401(k) contributions beyond just enough to obtain an employer match. If your timeframe is long enough, you'll have plenty of opportunity in future years to play catch up, especially when you get to age 50.
by OutInThirteen
Sun Jan 01, 2017 9:45 am
Forum: Personal Finance (Not Investing)
Topic: Can I help settle my father in law's estate without an attorney?
Replies: 44
Views: 5035

Re: Can I help settle my father in law's estate without an attorney?

We met with the attorney and I pressed him on the fee. He shortly went from 1% of probate to assets, to 0.5%, to a $200 hourly charge estimating the total fee should not be "more than $2500 or $3000". If it were me I probably would have gone looking for another attorney but my mother in law told him she was happy with that and it seemed she did not want to press the issue so I left it at that. I will still try to help her handle as much as we can comfortably accomplish without the attorney to keep the charges down. I get the impression the bill will end up at about $3000 plus filing fees etc, no matter what we do... Thanks all for your help. That sounds like a very reasonable approach. Recently my spouse settled the estate of my ...
by OutInThirteen
Fri Dec 30, 2016 8:57 am
Forum: Personal Investments
Topic: Fidelity 401k
Replies: 3
Views: 783

Re: Fidelity 401k

Details on the specifics of the Invesco fund should be available from your 401(k) plan administrator. It sounds like a Collective Investment Trust, common in 401(k)s, not a traditional fund.
by OutInThirteen
Wed Dec 28, 2016 8:48 am
Forum: Personal Finance (Not Investing)
Topic: Another Social Security question
Replies: 9
Views: 1953

Re: Another Social Security question

The SS earnings test is based on gross earned income, so that won't help. The actual mechanics of how SS reduces benefits for earnings over the limit are complicated. If your girlfriend cannot truly predict her 2017 income reliably in advance she could estimate $16,920 when applying and she would receive her benefit without reduction for earnings. Sometime in late 2018 the SSA will have her 2017 earned income (one of the ways an individual can meet the regulatory requirement to notify the SSA of their wages is by filing their annual tax return). The SSA will contact your girlfriend and ask for more details regarding the timing (by month IIRC). The SSA will take that information and calculate the total "overpayments", then withhold...
by OutInThirteen
Wed Dec 21, 2016 8:30 am
Forum: Personal Finance (Not Investing)
Topic: How do you track your finances?
Replies: 79
Views: 11587

Re: How do you track your finances?

Custom-built Excel spreadsheet for all finances, with the exception of Quicken to balance the checking account. Now that we're transitioning to online banking, I'll have to see if Quicken is still needed for that. Taxes are also done on Excel spreadsheets, with numbers transferred to paper returns (no big deal because we file 1040As every year) and sent in an envelope US Postal Service, so no need for tax software. Future projected SS increases and Medicare Part B costs (two years away) are in the main spreadsheet, so no need for a personal SS online account for me or my spouse. We're finally to the point where I'm drawing SS and two DB pensions, which covers basic and discretionary expenses. So I won't need to rely on the spreadsheet as mu...
by OutInThirteen
Sun Dec 18, 2016 6:24 pm
Forum: Personal Investments
Topic: Fidelity ERs - Look Into Your Crystal Ball
Replies: 21
Views: 2447

Re: Fidelity ERs - Look Into Your Crystal Ball

boilernole wrote: The other reason for switching to Fidelity would be so my IRA is with my 401k. Again, not that it really matters, but it can't hurt. And I've always wanted to "play" with stocks in a very small taxable account...so wouldn't Fidelity be better?
When my 403(b) and 457(b) went to Fidelity for management I decided it would be easiest to have my TIRA and Roth IRA also at Fidelity. It sure does make things easy.
by OutInThirteen
Sun Dec 18, 2016 6:07 pm
Forum: Personal Finance (Not Investing)
Topic: IRS coming after mother for deceased father's payment plan
Replies: 25
Views: 3451

Re: IRS coming after mother for deceased father's payment plan

If the deceased agreed to a payment plan then the debt would seem to have been clearly accepted and acknowledged. The presumption would likely be that if there were joint returns and no separation of households then whatever taxes the deceased may have deferred payment on would have benefited the surviving spouse. My mom has the land to be sold if required (which was intended, poorly, by my dad to be her retirement "funds"). The issue is more that we're hoping at least some of the debt stays with my dad's estate since he basically controlled all the money and didn't apply much / any of it to taxes and debts that mattered, other than the land . I realize this smacks of blissful ignorance (which it is) but still hoping it doesn't p...
by OutInThirteen
Sat Dec 17, 2016 12:11 am
Forum: Personal Finance (Not Investing)
Topic: Simple Math but wanted verification
Replies: 7
Views: 1364

Re: Simple Math but wanted verification

None of your Dad's SS is taxable (for Federal income taxes), so Mom could take out a lot more if needed, subject to how much in early withdrawal penalties she's willing to pay.
by OutInThirteen
Fri Dec 02, 2016 7:19 am
Forum: Personal Investments
Topic: Edward Jones to Vanguard - about to make the move
Replies: 46
Views: 7869

Re: Edward Jones to Vanguard - about to make the move

Have you considered consolidating your accounts at Fidelity? I did that a number of years ago when my employer contracted with Fidelity to administer their 403(b) and 457(b) plans. Sure makes it a lot easier. Yes I have, but a couple of things are steering me toward Vangaurd: 1. Lower Expenses. 2. Diversifying (not having all of my eggs with a single broker) I do agree that it would make it much easier to manage and evaluate though, if everything was with Fidelity. The majority of my equities are in FSTVX, Total Market, and FTIPX, Total International. The expense ratios for both of these Fidelity funds are slightly lower than Vanguard. I also hold the institutional class of the Vangurd REIT index, VGSNX, in my 403(b). When I held REITs in ...