Search found 417 matches

by pop77
Sat Aug 03, 2019 4:15 pm
Forum: Personal Finance (Not Investing)
Topic: Finally considering paying off my mortgage
Replies: 36
Views: 2727

Re: Finally planning to pay off my mortgage

I decided to divert all the extra funds to Vanguard Wellesley to accumulate towards mortgage payoff. It is now accumulating towards the desired payoff amount. With its risk profile, I am confident that I can pay off mortgage within reasonable time if needed. This way I can sleep better, knowing tha...
by pop77
Sat Aug 03, 2019 3:54 pm
Forum: Personal Finance (Not Investing)
Topic: Finally considering paying off my mortgage
Replies: 36
Views: 2727

Re: Finally planning to pay off my mortgage

I decided to divert all the extra funds to Vanguard Wellesley to accumulate towards mortgage payoff. It is now accumulating towards the desired payoff amount. With its risk profile, I am confident that I can pay off mortgage within reasonable time if needed. This way I can sleep better, knowing that...
by pop77
Sat Jul 27, 2019 6:37 pm
Forum: Personal Investments
Topic: Personal Finance Toolbox - Question
Replies: 2
Views: 536

Re: Personal Finance Toolbox - Question

Thank you. Very helpful
by pop77
Fri Jul 26, 2019 3:17 pm
Forum: Personal Investments
Topic: Personal Finance Toolbox - Question
Replies: 2
Views: 536

Personal Finance Toolbox - Question

First a HUGE thank you to whomever put the personal finance toolbox spreadsheet (link in BogleheadWiki) https://drive.google.com/file/d/1aPE6MbD7TM-qp6dsHDWALlSFAaUhqINg/view?usp=sharing together and keeps it updated. This a great effort. I stumbled upon this through an article in thefinancebuff abo...
by pop77
Wed Jul 24, 2019 10:37 am
Forum: Personal Investments
Topic: Estimating Long Term Capital Gains in Retirement
Replies: 6
Views: 493

Re: Estimating Long Term Capital Gains in Retirement

Yes, I could do that. However, what I am asking is more for planning purposes from say 55-65 not for a specific year. So if my overall profits based on average cost is 30% , will that be a good estimate?
by pop77
Wed Jul 24, 2019 9:43 am
Forum: Personal Investments
Topic: Estimating Long Term Capital Gains in Retirement
Replies: 6
Views: 493

Estimating Long Term Capital Gains in Retirement

In retirement, the main source of funds before being eligible for social security or any pension that is available are 1. Interest income from CDs/Bond Funds/Money Market Funds 2. Qualified Dividends 3. Long Term Capital Gains. If one needs 60,000 a year and 20,000 comes from item 1 and 2, remaining...
by pop77
Tue Jun 18, 2019 12:34 pm
Forum: Personal Investments
Topic: Questions on using Firecalc
Replies: 8
Views: 623

Re: Questions on using Firecalc

#1 It is good to vary the inputs to see the sensitivity to any particular input. #2 That is the nature of statistics. If the seed is not the same for each run, then each run will give you a different result. I think the #2 is because I choose the last option in the "your portfolio" tab. ALL OTHER I...
by pop77
Tue Jun 18, 2019 12:33 pm
Forum: Personal Investments
Topic: Questions on using Firecalc
Replies: 8
Views: 623

Re: Questions on using Firecalc

2. That doesn't happen when I run it, but maybe you have unknowingly set a switch that I don't use. I think it is because I use the last option under the "Your Portfolio" tab. I adjust the mean return to 8% and S.D to 10 % based on my portfolio's historical performance. "A portfolio with random per...
by pop77
Tue Jun 18, 2019 12:01 pm
Forum: Personal Investments
Topic: Questions on using Firecalc
Replies: 8
Views: 623

Questions on using Firecalc

I have a couple of questions on using Firecalc. 1. As we are in a long bull market, does it make sense to adjust your portfolio assuming some correction? For example, if my portfolio value is 1.2 Million, should I input the portfolio is 1.1 Million (giving a 100K buffer). If Firecalc looks at past h...
by pop77
Sat Jun 01, 2019 8:10 am
Forum: Personal Finance (Not Investing)
Topic: Quicken Fidelity account download [not working]
Replies: 9
Views: 598

Re: Quicken Fidelity account download [not working]

This has been a problem since last week. Not sure what is going on..
by pop77
Sat Jun 01, 2019 6:46 am
Forum: Personal Finance (Not Investing)
Topic: Considering Pension Options
Replies: 14
Views: 1255

Re: Considering Pension Options

Thanks for all the replies. The reason I put this topic in the Investing Forum was to come up with a logical framework for analysis that ANYONE to use. Now I see it has been moved to personal finance :D . My first emotional response was to delay as much I can and choose 100% joint survivor. But want...
by pop77
Fri May 31, 2019 12:36 pm
Forum: Personal Finance (Not Investing)
Topic: Considering Pension Options
Replies: 14
Views: 1255

Re: Considering Pension Options

Thanks for the suggestions. I was trying the different options along with my portfolio value and expenses in Firecalc and interestingly enough the success rate for taking pension at 60 scored higher than taking it in 65 (in spite of the increase in amount of pension).
by pop77
Thu May 30, 2019 2:33 pm
Forum: Personal Finance (Not Investing)
Topic: Considering Pension Options
Replies: 14
Views: 1255

Considering Pension Options

Hi Everyone, Probably this has been asked before for specific use cases, but I want to see whether there is a framework that would help me pick the right option for pensions. Basically there are two variables. 1. When I can opt to start getting the pension (Options : 55, 60, 650 2. Who is included (...
by pop77
Thu May 30, 2019 2:19 pm
Forum: Personal Investments
Topic: Good fund to accumulate for mortgage payoff
Replies: 37
Views: 4044

Re: Good fund to accumulate for mortgage payoff

Thanks all for your replies. I am currently scheduled to pay it off by 2026. I want to pay it off by 2022 if possible.
by pop77
Sun May 19, 2019 9:20 am
Forum: Personal Investments
Topic: Good fund to accumulate for mortgage payoff
Replies: 37
Views: 4044

Re: Good fund to accumulate for mortgage payoff

When I saw the subject line of this post, the Wellesley fund came to my mind immediately, but I see that you already got it. Wellesley came to my mind instantly as well. As long as the OP is aware that the fund can lose value, it should be fine. If the market is down when he wants to use the funds,...
by pop77
Sun May 19, 2019 9:17 am
Forum: Personal Investments
Topic: Good fund to accumulate for mortgage payoff
Replies: 37
Views: 4044

Re: Good fund to accumulate for mortgage payoff

Have you considered splitting 50/50 between early principal payments and saving? This is the route I am taking for my home loan payoff. I'm currently putting 50% into VBIRX (Vanguard Short-Term Bond Index Fund Admiral Shares) each month, and paying the other 50% directly to principal each month. On...
by pop77
Thu May 16, 2019 2:02 pm
Forum: Personal Investments
Topic: Good fund to accumulate for mortgage payoff
Replies: 37
Views: 4044

Re: Good fund to accumulate for mortgage payoff

The lowest-risk possibility that I know of to meet your requirement is Vanguard Intermediate-Term Corporate ETF [VCIT], which has a current SEC yield of 3.57% (2.78% after tax, assuming the 22% tax bracket). That does not take into account state taxes or possibly being in a higher federal tax brack...
by pop77
Thu May 16, 2019 2:01 pm
Forum: Personal Investments
Topic: Good fund to accumulate for mortgage payoff
Replies: 37
Views: 4044

Re: Good fund to accumulate for mortgage payoff

this is a risk mitigation strategy I am wondering what fund would be best to hold this cash that can pay me more than 2.75% after tax. These statements are at odds. Anything yielding more than 2.75% after tax would have MORE risk than paying down the mortgage. (Perhaps if willing to jump through ho...
by pop77
Thu May 16, 2019 1:59 pm
Forum: Personal Investments
Topic: Good fund to accumulate for mortgage payoff
Replies: 37
Views: 4044

Re: Good fund to accumulate for mortgage payoff

Curious -- why wait to pay off in one fell swoop vs aggressively whittling away at it, given that part of your motivation in paying it off early in spite of the low interest rate is eliminating the risk of that debt exposure? I paid off my modest house a couple years ago, just a few years early, wi...
by pop77
Thu May 16, 2019 11:45 am
Forum: Personal Investments
Topic: Good fund to accumulate for mortgage payoff
Replies: 37
Views: 4044

Good fund to accumulate for mortgage payoff

I am planning to payoff my mortgage early (Currently at 2.75%). I understand you could get more returns from market, but this is a risk mitigation strategy and also a strategy to reduce money drawn from portfolio (once I retire) to stay under MAGI limits. The extra cash (after maxing retirement acco...
by pop77
Fri Apr 26, 2019 8:42 am
Forum: Investing - Theory, News & General
Topic: Value Averaging: My experience after 9 years
Replies: 32
Views: 8795

Re: Value Averaging: My experience after 9 years

Interesting thought. Some how I am hooked onto value averaging. May be I should change to DCA + periodic rebalancing
by pop77
Thu Apr 18, 2019 12:30 pm
Forum: Investing - Theory, News & General
Topic: Value Averaging: My experience after 9 years
Replies: 32
Views: 8795

Re: Value Averaging: My experience after 9 years

I want restart this thread on VA. Some questions I have after doing VA for the past couple of years. 1. How long is your value path for? Mine is for two years 2. Do you do one value path per asset class? I have one path per asset class (Small Cap/RE/Emerging Market) etc. 3. Do you reset the value pa...
by pop77
Wed Apr 10, 2019 9:44 am
Forum: Personal Investments
Topic: Back door Roth - Spousal Traditional IRA treated deductible?
Replies: 16
Views: 847

Re: Back door Roth - Spousal Traditional IRA treated deductible?

Why did you use the "backdoor"? It appears she could contribute directly to Roth IRA, no back door needed. You nailed it. In fact I could have directly contributed to Roth for both me and my wife. However, as I was not sure at the beginning of the year, I did not want to wait till the end of the ye...
by pop77
Wed Apr 10, 2019 9:42 am
Forum: Personal Investments
Topic: Back door Roth - Spousal Traditional IRA treated deductible?
Replies: 16
Views: 847

Re: Back door Roth - Spousal Traditional IRA treated deductible?

retiredjg wrote:
Tue Apr 09, 2019 7:39 am
No better way. You either have to wait until you know or just do the back door whether you need it or not.

And there is really nothing to fix about her IRA being deducted and then converted. It all comes out the same.
Thanks!
by pop77
Tue Apr 09, 2019 7:13 am
Forum: Personal Investments
Topic: Back door Roth - Spousal Traditional IRA treated deductible?
Replies: 16
Views: 847

Re: Back door Roth - Spousal Traditional IRA treated deductible?

Why did you use the "backdoor"? It appears she could contribute directly to Roth IRA, no back door needed. You nailed it. In fact I could have directly contributed to Roth for both me and my wife. However, as I was not sure at the beginning of the year, I did not want to wait till the end of the ye...
by pop77
Mon Apr 08, 2019 2:44 pm
Forum: Personal Investments
Topic: Back door Roth - Spousal Traditional IRA treated deductible?
Replies: 16
Views: 847

Re: Back door Roth - Spousal Traditional IRA treated deductible?

NO other traditional IRA accounts in my name or my wife's name and I keep it simple by contributing and converting in the same year. Thanks!
by pop77
Mon Apr 08, 2019 12:19 pm
Forum: Personal Investments
Topic: Back door Roth - Spousal Traditional IRA treated deductible?
Replies: 16
Views: 847

Re: Back door Roth - Spousal Traditional IRA treated deductible?

Thanks. If there is no harm, I will just leave as is. Was wondering, whether it has any impacts..
by pop77
Mon Apr 08, 2019 9:41 am
Forum: Personal Investments
Topic: Back door Roth - Spousal Traditional IRA treated deductible?
Replies: 16
Views: 847

Back door Roth - Spousal Traditional IRA treated deductible?

My wife is a homemaker and does not have any earned income and is not covered by any 401k. I contributed for a traditional IRA for my wife and converted it into Roth. I went through the step by step process in H & R Block deluxe (I used thefinancebuff website) for her . H & R block automatically too...
by pop77
Mon Mar 25, 2019 5:26 pm
Forum: Personal Finance (Not Investing)
Topic: Sanity check: Buying new house -- 400k with 155k income?
Replies: 46
Views: 5236

Re: Sanity check: Buying new house -- 400k with 155k income?

If you have a house you look forward to get back to , that itself is a nice feeling. You will go out less for entertainment :happy . You seem to be pretty organized and buttoned up in other aspects of finance. I would say go for it. Shop around for 15 year fixed as well and see if you can knock down...
by pop77
Mon Mar 04, 2019 8:04 am
Forum: Personal Consumer Issues
Topic: Options to repair Appliances
Replies: 15
Views: 760

Options to repair Appliances

If one does not have extended warranty or maintenance contracts for home appliances (Microwave Oven, Oven, Dishwasher, Refrigerator etc), what are the options to get them repaired? Or even get a quote for repair.. Home Depot seems to have a services division, but want to get some feedback first befo...
by pop77
Fri Feb 08, 2019 12:05 pm
Forum: Investing - Theory, News & General
Topic: Firecalc (or any other Monte Carlo Simulation) Question
Replies: 4
Views: 536

Re: Firecalc (or any other Monte Carlo Simulation) Question

Thanks for clarifying Firecalc uses history. There could be situations where stocks drop but not so much for may be two years. In those scenarios it is feasible that the bond drops below your allocated 40% once you use it to withdraw 100% of your expense needs. If Firecalc tries to maintain 60% stoc...
by pop77
Thu Feb 07, 2019 6:07 pm
Forum: Investing - Theory, News & General
Topic: Firecalc (or any other Monte Carlo Simulation) Question
Replies: 4
Views: 536

Firecalc (or any other Monte Carlo Simulation) Question

I have a very basic question on how Firecalc (or any other Monte Carlo simulation) calculates portfolio ending values and % success rates. Assume you have a 60/40 portfolio of stocks/bonds. And assume one of the scenarios is a worst case. While calculating portfolio ending value after 30 or 40 years...
by pop77
Mon Jan 28, 2019 7:06 pm
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Re: Retirement readiness checklist.

I am trying to check my retirement readiness and want to come up with a checklist to validate retirement readiness from a financial perspective. 1. Calculate expenses at retirement – I used previous three years expenses and adjusted it for retirement. For example, I used ACA to estimate health care...
by pop77
Mon Jan 28, 2019 7:05 pm
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Re: Retirement readiness checklist.

Working off a big serial list of pessimistic assumptions and/or ultra-low inflation-fixed SWR would have meant for us working years or even decade+ longer and possibly never retiring, because no-one knows how many years they have left and how many years of of those with decent physical and mental h...
by pop77
Mon Jan 28, 2019 7:03 pm
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Re: Retirement readiness checklist.

1. How to cover medical expenses until Medicare 2. How to fund expenses to get SS at desired age 3. How much should you convert from TIRA to Roth 4. How will RMDs affect your tax bracket -- gets to issue of Roth conversions. 5. Most recommended TIRA should be fixed income heavy and Taxable should b...
by pop77
Sat Jan 26, 2019 11:31 am
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Re: Retirement readiness checklist.

Be certain and make a plan for what you will do with the extra time during retirement. Tim Yes, this is just the financial aspect. There are psychological considerations as well. I am trying to analyze what I like doing and will have to come up with planned activities. Netflix is just part of it :D
by pop77
Wed Jan 23, 2019 4:14 pm
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Re: Retirement readiness checklist.

Dirk Cotton at The Retirement Cafe has some excellent pieces on risks in retirement. I used his series on retirement risks as a sort of checklist for things to consider when making plans for mitigating my various risks, both deep and shallow. I also highly recommend his series on creating an IPS. P...
by pop77
Wed Jan 23, 2019 4:14 pm
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Re: Retirement readiness checklist.

In the expenses forecasting plan you need to include some $$ for future capital spending beyond monthly costs. I added a big $200K amount at two years after retirement to forecast my desire to pay off my mortgage. I also added a $5K amount for a wedding for my son and a $20K amount for a wedding fo...
by pop77
Wed Jan 23, 2019 4:11 pm
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Re: Retirement readiness checklist.

pop77 We are aiming to retire at end of this year. So we have been going through the same estimates and exercise. Looks like you have a good approach that you are using. As many others have said - get expenses realistically and honestly identified and defined. There are many good online calculators...
by pop77
Wed Jan 23, 2019 4:08 pm
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Re: Retirement readiness checklist.

I would also have: 1. Completed Retirement Portfolio Model (or similar custom spreadsheet) https://www.bogleheads.org/wiki/Retiree_Portfolio_Model 2. General Plans for what you are going to do in retirement. 3. Written Investment Policy Statement and target portfolio https://www.bogleheads.org/wiki...
by pop77
Tue Jan 22, 2019 6:30 pm
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Re: Retirement readiness checklist.

mtmingus wrote:
Tue Jan 22, 2019 2:09 pm
I'd aim for 100%. Also make sure to check all the option tabs, don't take the default settings.
Another good tool to play with: Fidelity Guided Portfolio Summary.
Thanks for the additional tool recommendation. I will check it out.
by pop77
Tue Jan 22, 2019 1:43 pm
Forum: Investing - Theory, News & General
Topic: Retirement readiness checklist.
Replies: 43
Views: 3913

Retirement readiness checklist.

I am trying to check my retirement readiness and want to come up with a checklist to validate retirement readiness from a financial perspective. 1. Calculate expenses at retirement – I used previous three years expenses and adjusted it for retirement. For example, I used ACA to estimate health care ...
by pop77
Thu Jan 17, 2019 11:47 am
Forum: Investing - Theory, News & General
Topic: John Bogle has died at age 89
Replies: 856
Views: 53613

Re: John Bogle has died at age 89

RIP Mr. Bogle.

There should be a hall of fame for financial thought leaders who have changed the life of many and Jack Bogle should be inducted!
by pop77
Tue Dec 25, 2018 9:41 am
Forum: Investing - Theory, News & General
Topic: Now is the time to REJOICE!
Replies: 102
Views: 11993

Re: Now is the time to REJOICE!

This is why writing down HOW you feel in a piece of paper with a date is very helpful as your mind plays games with you. It is one thing to visualize a market loss and plan and it is completely different when you experience it. It is funny how the paradigm itself changes based on what is happening c...
by pop77
Mon Dec 24, 2018 7:22 pm
Forum: Personal Investments
Topic: Should I book losses this year....then Buy back in?
Replies: 12
Views: 1178

Re: Should I book losses this year....then Buy back in?

Buying the same - or substantially the same - equities creates a wash sale and disallows the loss. But wash sales are not illegal and generally the loss is only temporarily disallowed. Example: Sell fund VFIAX for a loss and go to cash. A few days later VFIAX drops another 10%, so use the cash to b...
by pop77
Mon Dec 17, 2018 3:49 pm
Forum: Investing - Theory, News & General
Topic: Has anyone adjusted their stock allocation on the dip?
Replies: 71
Views: 5815

Re: Sell Sell Sell!

The title of this thread might be a good contrarian indicator!
by pop77
Tue Dec 11, 2018 6:19 pm
Forum: Personal Consumer Issues
Topic: Retired in your late 40s or early 50s?
Replies: 87
Views: 15024

Re: Retired in your late 40s or early 50s?

I keep dreaming about retiring (hopefully soon). Will be great to hear some lessons learnt here. What are the things that you would not do if you relived the retiring experience. To me the major question mark is healthcare though ACA provides a solution. Just worried about how long before it gets di...
by pop77
Fri Dec 07, 2018 9:14 am
Forum: Personal Investments
Topic: Should I sell?? 1,118.75% gain!!
Replies: 26
Views: 4008

Re: Should I sell?? 1,118.75% gain!!

It is too late now, but in such situations, I typically try to sell it to the worth of the original investment + 7% return p.a. In your case it would be 133*1.07^10 . Let the remaining ride. If it does not pan out at least I get the money equivalent of a stock index return. If it does :sharebeer
by pop77
Tue Dec 04, 2018 11:17 am
Forum: Investing - Theory, News & General
Topic: Sell 0% Fixed Rate IBonds and Buy TIPS?
Replies: 19
Views: 2150

Re: Sell 0% Fixed Rate IBonds and Buy TIPS?

Great. Thanks Cruncher!