Search found 453 matches

by gclancer
Wed Feb 21, 2018 9:23 pm
Forum: Investing - Help with Personal Investments
Topic: Employee Stock Purchase Plan - is this even valuable/worth it?
Replies: 34
Views: 2170

Re: Employee Stock Purchase Plan - is this even valuable/worth it?

For 5% I would not touch it..... Too much risk of loss for a small discount. I have used ESPP heavily in the past... but at a FAR greater discount with a trailing price. As long as OP remembers to sell ASAP there is essentially no risk of loss (yes the stock could open the next day >5% down from th...
by gclancer
Wed Feb 21, 2018 9:01 pm
Forum: Personal Finance (Not Investing)
Topic: Evaluate my first Roth conversion / 22% tax bracket avoidance strategy
Replies: 6
Views: 590

Re: Evaluate my first Roth conversion / 22% tax bracket avoidance strategy

might as well only use her tIRA, not mine, particularly since mine will have been converted to Roth by mid-2018. I think my 401k would take an incoming rollover, but I want to avoid that if I can because of the lack of flexibility and that 0.15% fee. Does it perhaps makes sense to prioritize conver...
by gclancer
Wed Feb 21, 2018 4:06 pm
Forum: Personal Finance (Not Investing)
Topic: Evaluate my first Roth conversion / 22% tax bracket avoidance strategy
Replies: 6
Views: 590

Re: Evaluate my first Roth conversion / 22% tax bracket avoidance strategy

(so that I at least can do a backdoor Roth if needed) Are you expecting a spike in income? Backdoor Roths don’t become a consideration until your AGI exceeds roughly $189k because you can still make a direct Roth contribution up until that point. So you can continue to use your 401(k) to both stay ...
by gclancer
Wed Feb 21, 2018 3:41 pm
Forum: Personal Finance (Not Investing)
Topic: Evaluate my first Roth conversion / 22% tax bracket avoidance strategy
Replies: 6
Views: 590

Re: Evaluate my first Roth conversion / 22% tax bracket avoidance strategy

I like the plan and it’s well thought out. Regarding step 7, both of you will be able to contribute to a Traditional IRA to zero in on the $101,400 AGI you’re looking for (Traditional IRA deductibility phases out between $101k and $121k Modified AGI which doesn’t account for Traditonal IRA contribut...
by gclancer
Sat Feb 17, 2018 8:13 pm
Forum: Investing - Theory, News & General
Topic: Target Retirement Fund Question
Replies: 20
Views: 1517

Re: Target Retirement Fund Question

Research Vanguard’s structure. The short answer to your question is that they’re the most likely to remain unchanged of any entity currently offering target date retirement funds.
by gclancer
Sat Feb 17, 2018 3:50 pm
Forum: Investing - Help with Personal Investments
Topic: When do IRA's stop making sense?
Replies: 37
Views: 2654

Re: When do IRA's stop making sense?

My 401k does NOT allow me to rollover any IRA's into the plan The first thing I would do I make a business case to HR that they should accept incoming rollovers. The case would be that more assets under management generally equals lower prorata fees for everyone so they should be encouraging employ...
by gclancer
Wed Feb 07, 2018 9:16 pm
Forum: Investing - Help with Personal Investments
Topic: Selling a mutual fund to buy an ETF
Replies: 6
Views: 448

Re: Selling a mutual fund to buy an ETF

TropikThunder wrote:
Wed Feb 07, 2018 9:12 pm
A lot of "ifs", I know. :P But if so, that would accomplish what OP wants without ever being out of the market.
+1 that is a lot of ifs but I was going to point the same thing out to OP.
by gclancer
Mon Feb 05, 2018 6:01 am
Forum: Personal Finance (Not Investing)
Topic: Legitimate ways to reduce SE tax to 0?
Replies: 10
Views: 1153

Re: Legitimate ways to reduce SE tax to 0?

Going back to the SE tax which you are trying to avoid since it is 15.3% ($3,672 on joint $24,000 of AGI) +1 to Celia’s entire post - great info in there OP. I’ll focus on the quote above. There is no way to avoid SE tax all together (except not making any money - if you contribute to retirement ac...
by gclancer
Wed Jan 31, 2018 6:15 pm
Forum: Investing - Help with Personal Investments
Topic: Why do many bogleheads feel they can time the housing market but can't time the stock market?
Replies: 63
Views: 4651

Re: Why do many bogleheads feel they can time the housing market but can't time the stock market?

Would be helpful if you linked to some of the threads where timing the housing market is discussed.
by gclancer
Mon Jan 29, 2018 3:31 pm
Forum: Investing - Help with Personal Investments
Topic: IRA type
Replies: 4
Views: 250

Re: IRA type

You don’t provide many details, but unless she has big tax deferred savings that you haven’t mentioned Traditional IRA is almost certainly the way to go. Is she going to retire at 70 with social security as her only income?
by gclancer
Mon Jan 29, 2018 11:53 am
Forum: Investing - Help with Personal Investments
Topic: SEP Rollover Questions
Replies: 16
Views: 601

Re: SEP Rollover Questions

Traditional IRA is probably easier. The only reason to roll the Traditional/SEP IRA into the 401(k) would be if you wanted to do a Backdoor Roth contribution for your wife in the future (it sounds like your income is “lower” since your wife was able to contribute to a Traditional IRA even though sh...
by gclancer
Sat Jan 06, 2018 8:29 am
Forum: Personal Finance (Not Investing)
Topic: Contribute to 401k or pay off fixed 20yr 7.625% HELOC?
Replies: 21
Views: 1166

Re: Contribute to 401k or pay off 7.625% HELOC?

Traditional IRA: 500k Old firm 401k: 50k Current firm 401k: 50k Use emergency fund to pay off HELOC. Does your current 401(k) have good investment options and low expenses? If so, consider rolling your Traditional IRA (and Old firm 401(k) for simplicity even though that’s not actually a necessary s...
by gclancer
Thu Jan 04, 2018 9:58 pm
Forum: Investing - Help with Personal Investments
Topic: Schwab New York Municipal Money Market - Paying >5%?
Replies: 3
Views: 749

Re: Schwab New York Municipal Money Market - Paying >5%?

You’re looking at distribution yield. Take a look at the SEC yield which is a more accurate reflection of the fund’s actual yield.
by gclancer
Thu Jan 04, 2018 9:47 pm
Forum: Investing - Help with Personal Investments
Topic: Why do money market and bond funds make up 1% of my 401K, which includes only equities?
Replies: 7
Views: 554

Re: Why do money market and bond funds make up 1% of my 401K, which includes only equities?

That and they typically keep a bit of cash for redemptions when the outflow of cash to investors selling the fund during the day exceeds the inflow of cash from new investors purchasing the fund.
by gclancer
Thu Jan 04, 2018 9:18 pm
Forum: Investing - Theory, News & General
Topic: Conceptually: *Why* does the Yield Curve invert?
Replies: 27
Views: 2599

Re: Conceptually: *Why* does the Yield Curve invert?

whodidntante wrote:
Thu Jan 04, 2018 8:36 pm
They use colorful graphics and talk loudly, and I don't see that kind of quality here, so they must be right.
+1
by gclancer
Mon Jan 01, 2018 3:26 pm
Forum: Personal Finance (Not Investing)
Topic: Pay off mortgage?
Replies: 12
Views: 1217

Re: Pay off mortgage?

You'll pay $4,500 in tax to get it done assuming a LTCG of 30k. You could instead direct new cash flow to pay it off and then you won't pay that tax. I don't like paying tax. +1 - don’t pay tax to pay it off. If you can generate tax free cash from your taxable investments/new earnings while maintai...
by gclancer
Thu Dec 28, 2017 12:05 pm
Forum: Investing - Help with Personal Investments
Topic: Roth 401(k) a better option with new tax law?
Replies: 17
Views: 1615

Re: Roth 401(k) a better option with new tax law?

Gclancer- My state tax rate is 3.07 and I don't see myself retiring to a different state. So your marginal tax rate will be 15% next year which for someone making $100,000 per year now is probably as low as it will ever be (even if your tax rate doesn’t end up being higher, the math between a Roth ...
by gclancer
Thu Dec 28, 2017 11:24 am
Forum: Investing - Help with Personal Investments
Topic: Roth 401(k) a better option with new tax law?
Replies: 17
Views: 1615

Re: Roth 401(k) a better option with new tax law?

What’s your state tax rate? Any chance you’ll retire to a income tax free state like Florida? I would personally lean towards Roth while you’re in the 12% bracket because I agree with you that your tax rate in retirement isn’t likely to be much lower. Regarding the impact of Roth 401(k) on order of ...
by gclancer
Wed Dec 27, 2017 1:41 pm
Forum: Personal Finance (Not Investing)
Topic: Moonlighting Income - Convert from Sole Prop. to S-Corp or LLC for 2018?
Replies: 6
Views: 445

Re: Moonlighting Income - Convert from Sole Prop. to S-Corp or LLC for 2018?

I'd assume that I'd be in the 24% fed tax rate for 2018. Why wouldn't I want my moonlighting income to fall within a 21% corporate rate for 2018? Research the 20% deduction available to pass-thoughs. Once you take that into consideration the income you earn from moon lighting should come in at unde...
by gclancer
Mon Dec 25, 2017 6:44 pm
Forum: Investing - Theory, News & General
Topic: Bankers selling high end collectibles
Replies: 20
Views: 2242

Re: Bankers selling high end collectibles

Because they need the money by a certain date?
by gclancer
Mon Dec 11, 2017 6:12 pm
Forum: Personal Finance (Not Investing)
Topic: Year end review with less nerdy spouse
Replies: 72
Views: 8307

Re: Year end review with less nerdy spouse

I try but don’t seem to gain much traction. I think a PowerPoint presentation might do the trick! Thanks for the suggestion.
by gclancer
Thu Dec 07, 2017 7:13 pm
Forum: Personal Finance (Not Investing)
Topic: Seeking term life insurance recommendation
Replies: 16
Views: 1261

Re: Seeking term life insurance recommendation

You didn’t ask, but you can compare price quotes/find policies to research further here: https://www.term4sale.com The cheapest/best policy for me was actually through Costco (Protective Life) but I only needed a 20 year term (they only offer 10 and 20 year policies - but you could ladder them as s...
by gclancer
Tue Dec 05, 2017 5:37 pm
Forum: Personal Finance (Not Investing)
Topic: How is Home Equity Line of Credit Payoff Number Calculated?
Replies: 4
Views: 331

Re: How is Home Equity Line of Credit Payoff Number Calculated?

I’ve always paid lenders the payoff amount they are asking for and they’ve always refunded the over payment to me after everything settled.
by gclancer
Tue Dec 05, 2017 5:24 pm
Forum: Personal Finance (Not Investing)
Topic: Seeking term life insurance recommendation
Replies: 16
Views: 1261

Re: Seeking term life insurance recommendation

You didn’t ask, but you can compare price quotes/find policies to research further here: https://www.term4sale.com The cheapest/best policy for me was actually through Costco (Protective Life) but I only needed a 20 year term (they only offer 10 and 20 year policies - but you could ladder them as su...
by gclancer
Sat Nov 25, 2017 8:10 am
Forum: Personal Consumer Issues
Topic: Etiquette question: Paying for meals out & out of town guests
Replies: 79
Views: 5960

Re: Etiquette question: Paying for meals out & out of town guests

Assuming you’re accurately recalling what transpired, the out of town guests should have absolutely paid, no further conversation needed. When this sort of thing happens to me I’ll tell third-party friends/family later and they’ll inevitably act like I’m crazy for thinking the out of town guests sho...
by gclancer
Fri Nov 24, 2017 7:38 pm
Forum: Personal Finance (Not Investing)
Topic: Too much house, right?
Replies: 88
Views: 8692

Re: Too much house, right?

If you are going to have a house built you might consider using geothermal energy, solar energy, and passive heating type design, so that at least your utility bills can be very low, to offset the mortgage payment. +1 - obviously this all adds to the cost but you should probably consider finishing ...
by gclancer
Wed Nov 22, 2017 11:35 am
Forum: Investing - Help with Personal Investments
Topic: Concerned parent :(
Replies: 56
Views: 7684

Re: Concerned parent :(

I see this a lot with people saying what they are going to college to study. A very successful person I met told me about his college decision and the conversation he had with his father. His father asked him "Is it a hobby or a profession"? He asked him "whats the difference". His father said "You...
by gclancer
Tue Nov 21, 2017 8:45 pm
Forum: Personal Finance (Not Investing)
Topic: 501(c)(3) Public-Charity or a Private Foundation?
Replies: 32
Views: 1577

Re: 501(c)(3) Public-Charity or a Private Foundation?

I would meet with a CPA or an attorney regarding your plans (at the outset I would probably start with a CPA specializing in nonprofits myself). You'll run in to funding issues if you try to establish a Public-Charity and fund it with your DAF (see here: http://grantspace.org/tools/knowledge-base/No...
by gclancer
Tue Nov 21, 2017 8:36 pm
Forum: Personal Finance (Not Investing)
Topic: 0% APR for 15month for Balance transfer
Replies: 3
Views: 392

Re: 0% APR for 15month for Balance transfer

Chase Slate, Barclaycard Ring and BankAmericard all offer 15 months 0% APR with no balance transfer fee, so if you're going to apply for a credit card for the purpose of transferring a balance I would go with one of those.
by gclancer
Sat Nov 18, 2017 10:55 am
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth - should we do it?
Replies: 9
Views: 1085

Re: Backdoor Roth - should we do it?

People do appear to get around this by putting all the non-deductible money into a separate account, but I wouldn't trust that method to always work in the future. Safest thing is to move all your tIRA money to a 401k first. JW +1 - for someone with enough financial savvy to be on the Bogleheads fo...
by gclancer
Sun Nov 12, 2017 5:10 pm
Forum: Personal Finance (Not Investing)
Topic: $30K loan for 12 months
Replies: 24
Views: 1955

Re: $30K loan for 12 months

The credit card idea is a good one assuming you can get a sufficient credit line, which you won’t (not on the cards offering 0% for a long period of time). To get a sufficient credit line, you’ll need to pick an issuer where you already have credit card(s), apply for a 0% card, transfer the majority...
by gclancer
Sat Nov 11, 2017 3:32 pm
Forum: Investing - Theory, News & General
Topic: My favorite bond portfolio
Replies: 19
Views: 3071

Re: My favorite bond portfolio

That’s my approach. You can easily outperform by mixing in CDs (mostly) and/or I Bonds (at times). If you use 5% rebalancing bands, you don’t have to hold as much back as you’d think in mutual funds for rebalancing purposes (CDs and I Bonds aren’t good for rebalancing).
by gclancer
Fri Nov 03, 2017 8:43 pm
Forum: Personal Finance (Not Investing)
Topic: SEP IRA vs Self 401k
Replies: 13
Views: 1676

Re: SEP IRA vs Self 401k

The CPA is right, you should do a Solo 401(k). Also worth noting - once your Solo 401(k) exceeds $250,000 it’ll require an annual tax filing which I’m sure the CPA is interested in preparing for you. The SEP is indeed more “simple” but the implicit suggestion is that a Solo 401(k) is “complicated” w...
by gclancer
Fri Nov 03, 2017 7:24 pm
Forum: Investing - Help with Personal Investments
Topic: In 40s and no retirement [US ex-pat in Brazil]
Replies: 28
Views: 3597

Re: In 40s and no retirement [US ex-pat in Brazil]

Giving you a bump, hopefully you’ll get lots of good advice. Since you don’t have a lot of savings to speak of I would recommend you use a Traditional IRA instead of a Roth IRA at least until your annual tax liability is $0 (research the Savers Credit, Eanred Income Credit, etc. to make sure you’re ...
by gclancer
Sat Oct 28, 2017 10:37 am
Forum: Investing - Help with Personal Investments
Topic: Early-retired 35 year old with $1 million
Replies: 198
Views: 20218

Re: Early-retired 35 year old with $1 million

Answer to your question: staying below the ACA premium cliff will give you the most bang for your buck. I would convert to Roth up to the cliff with the idea that you’ll replenish your cash reserves 5 years from now with whatever is converted. With some careful planning (just the right amount of Rot...
by gclancer
Sat Oct 28, 2017 7:53 am
Forum: Investing - Help with Personal Investments
Topic: HSA Bank vs Associated HSA Plus for HSA Investing
Replies: 4
Views: 476

Re: HSA Bank vs Associated HSA Plus for HSA Investing

Just use the SPDR Portfolio ETFs they’re not THAT much worse.
by gclancer
Sat Oct 28, 2017 6:53 am
Forum: Personal Finance (Not Investing)
Topic: Pay off the car or not?
Replies: 25
Views: 2248

Re: Pay off the car or not?

knpstr wrote:
Fri Oct 27, 2017 7:00 am
If you want to keep your emergency fund at $5,000 then do so now.

Take the excess $19,000 and put towards the car loan. Then pay off the remaining $5,000 by paying extra on it each month.

:beer
+1
by gclancer
Fri Oct 27, 2017 7:51 pm
Forum: Investing - Help with Personal Investments
Topic: 1031 Exchange Info
Replies: 11
Views: 926

Re: 1031 Exchange Info

What would be the benefit of 1031 exchange in the case of OP numbers? 250000-180000+65000 = 135000? So instead of paying taxes on that amount, it can be invested in another property and thus postpone the taxes? Remember though that $65,000 is taxed as ordinary income (depreciation recapture) and on...
by gclancer
Wed Oct 25, 2017 12:46 pm
Forum: Personal Finance (Not Investing)
Topic: Windfall Question - Farmland Rental versus Sale
Replies: 31
Views: 2025

Re: Windfall Question - Farmland Rental versus Sale

I think you’ve gotten some good advice here. If I were in your shoes I’d let my wife decide whether to sell the land or not. As an attorney I’m sure you can appreciate that inheritances follow blood lines and this is really your wife’s inheritance, not yours. Since you’re well positioned to hold the...
by gclancer
Sun Oct 22, 2017 11:07 am
Forum: Investing - Theory, News & General
Topic: Any compelling reason to not contribute to Indiana 529?
Replies: 23
Views: 1404

Re: Any compelling reason to not contribute to Indiana 529?

I think that the math is a little more complicated due to compounding but NOT enough to overwhelm the tax credit. If one assumes that the $5000 investment is going to grow at 5% CAGR in the Indiana plan and at 5.3% under a non Indiana plan (due to better expense ratio), after 10 years, the differen...
by gclancer
Sat Oct 21, 2017 8:28 pm
Forum: Investing - Theory, News & General
Topic: Any compelling reason to not contribute to Indiana 529?
Replies: 23
Views: 1404

Re: Any compelling reason to not contribute to Indiana 529?

The short answer is that you should put the first $5,000 of 529 contributions you want to make each year into the Indiana plan. If you want to make contributions beyond $5,000, then you can make those contributions to another 529 plan. The 0.3% in extra expense ratio you’re paying on the investments...
by gclancer
Tue Oct 17, 2017 8:42 pm
Forum: Investing - Help with Personal Investments
Topic: Use G Fund Distribution for I Bonds
Replies: 2
Views: 351

Re: Use G Fund Distribution for I Bonds

You didn’t provide enough information to prove that that is not a good idea, however, it’s not a good idea. I’m sure I could come up with a scenario where it makes sense, but I doubt it’s your situation.
by gclancer
Sat Sep 23, 2017 7:28 am
Forum: Investing - Help with Personal Investments
Topic: Can i max out a Roth at the start of the year?
Replies: 6
Views: 937

Re: Can i max out a Roth at the start of the year?

Yes, as long as you're otherwise eligible to contribute $5,500 at the end of the year (there are also income limits) you can contribute $5,500 on 1/1 (that is, you don't have to wait until you actually earn $5,500, you just need to earn $5,500 before 12/31 - note this rule doesn't apply to individua...
by gclancer
Sat Sep 23, 2017 7:23 am
Forum: Investing - Help with Personal Investments
Topic: sell or keep stock for dividends
Replies: 7
Views: 588

Re: sell or keep stock for dividends

Not enough info. Let's start with how much in long term capital gains tax are you going to end up paying if you sell the stock? What percentage of your portfolio does this stock represent? Do you ever give money to charity (asking because you could use that cash to buy TSM and give shares of this st...
by gclancer
Sun Sep 17, 2017 8:05 pm
Forum: Investing - Help with Personal Investments
Topic: My in-laws' nest egg of $50k
Replies: 34
Views: 4645

Re: My in-laws' nest egg of $50k

Absolutely that money is an emergency fund and should just be in a savings account. Agreed. Can they be convinced to use an online bank (such as Ally, for example) in order to maximize yield? If they're with Chase they're getting $5 of interest income a year, with Ally (or other online bank) they'd...
by gclancer
Thu Sep 14, 2017 5:45 pm
Forum: Personal Finance (Not Investing)
Topic: Good flat-fee financial advisors in Boston suburbs?
Replies: 13
Views: 1570

Re: Good flat-fee financial advisors in Boston suburbs?

tfb will provide you vetted leads for what you're looking for in the Boston metro area https://adviceonlyfinancial.com
by gclancer
Sun Aug 27, 2017 5:46 am
Forum: Personal Finance (Not Investing)
Topic: How much $$$ should I expect working in CPA's office for the tax season
Replies: 8
Views: 1464

Re: How much $$$ should I expect working in CPA's office for the tax season

There seems to be some consensus building. I did exactly what you're talking about several years ago in a lower cost of living area for $20/hour. Due to my background I probably earned the higher end of the scale, but my guess would be $20-$25 an hour.
by gclancer
Sat Aug 26, 2017 8:15 pm
Forum: Investing - Theory, News & General
Topic: Switching 100% to Mid-Cap Value? It consistently beats Total Stock Market with lower risk
Replies: 10
Views: 2048

Re: Switching 100% to Mid-Cap Value? It consistently beats the S&P 500 with lower risk

Intuitively the "story" makes sense. One of the bigger drawbacks is that the index only has 200 stocks in it, which in modern times doesn't seem like many, but by any reasonable standard really is sufficiently diversified (for purposes of avoiding idiosyncratic risk at least).