Search found 6762 matches

by JW-Retired
Tue Jul 17, 2018 3:37 pm
Forum: Personal Consumer Issues
Topic: Be Careful Using Mailboxes
Replies: 54
Views: 6239

Re: Be Careful Using Mailboxes

I've read this several places, for instance here: http://www.ckfraud.org/washing.html From the last paragraph: WHAT TYPE OF PEN TO USE WHEN WRITING A CHECK: If you are a ballpoint pen lover, switch to black ink when security is important. Among water-based inks, remember that gels are the most impe...
by JW-Retired
Tue Jul 17, 2018 11:09 am
Forum: Investing - Help with Personal Investments
Topic: Rollover to a expensive 401k worth it?
Replies: 15
Views: 565

Re: Rollover to a expensive 401k worth it?

4) The other option is to do MM s&p index 0.37% and global bonds 0.8% and international/large core 0.80%. Is that a better option? What would Bogleheads do? I would put all her 401k assets into the S&P fund with the not so bad 0.37% ER. You can increase the bonds in your other accounts to keep the ...
by JW-Retired
Mon Jul 16, 2018 9:54 am
Forum: Investing - Help with Personal Investments
Topic: Diversification & Capital Gains
Replies: 3
Views: 230

Re: Diversification & Capital Gains

I fear (1) that I’m emotionally attached to certain individual securities because of past performance and company growth; and (2) that I’m allowing the tax tail to wag the investment dog. That being said, is a 600k tax bill for the 2 mil in gains reasonable on a 14.6 mil portfolio? I feel, perhaps ...
by JW-Retired
Sun Jul 15, 2018 11:49 am
Forum: Investing - Help with Personal Investments
Topic: Investing vs Debt
Replies: 12
Views: 642

Re: Investing vs Debt

I would tend to favor the Roth because once you start earning it may be a long time before you will be able to fund a Roth. He can fund a Roth as soon as he gets rid of most of the loans. He is just starting out so presumably he has no tIRAs/SEP/or Simple IRAs, meaning he can fund a "Backdoor" Roth...
by JW-Retired
Sun Jul 15, 2018 11:28 am
Forum: Investing - Help with Personal Investments
Topic: Investing vs Debt
Replies: 12
Views: 642

Re: Investing vs Debt

rootcanaldoc, I don't see a benefit to putting a dime into a Roth for either you or spouse. With only wife's $30k income to live on, won't anything you might contribute mean you will need to fund your investment by borrowing more money at 6.6%? If you have extra money coming in just borrow less. Onc...
by JW-Retired
Sat Jul 14, 2018 1:27 pm
Forum: Personal Consumer Issues
Topic: Be Careful Using Mailboxes
Replies: 54
Views: 6239

Re: Be Careful Using Mailboxes

DW and I still mail a lot of checks. That will continue since we can't recall that we ever had a check stolen in the mail and fraudulently cashed. We do always drop any mail with checks into the mailbox down the street within an hour or two of the pickup time. Also, our mail delivery goes through a ...
by JW-Retired
Tue Jul 10, 2018 7:33 am
Forum: Investing - Help with Personal Investments
Topic: Should I move all my investments to Vanguard?
Replies: 31
Views: 2233

Re: Should I move all my investments to Vanguard?

I have about 60% of my investments held at Vanguard and 40% of my investments held at Fidelity. The Fidelity support leaves much to be desired and I am think of moving all my investments to Vanguard. What would you say are the pros and cons of this move? We have about equal assets at Vanguard and F...
by JW-Retired
Sun Jul 08, 2018 8:06 am
Forum: Investing - Help with Personal Investments
Topic: VGTSX in Traditional IRA-Convert to Roth?
Replies: 12
Views: 772

Re: VGTSX in Traditional IRA-Convert to Roth?

It's all about your tax rate now versus your tax rate in the future. What rate will you pay on this conversion now? JW Roughly, if it is traditional retirement we will be staying in the same brackets (pending any more tax law changes). However, we are both hoping to retire early and use the various...
by JW-Retired
Sat Jul 07, 2018 9:25 am
Forum: Investing - Help with Personal Investments
Topic: VGTSX in Traditional IRA-Convert to Roth?
Replies: 12
Views: 772

Re: VGTSX in Traditional IRA-Convert to Roth?

It's all about your tax rate now versus your tax rate in the future. What rate will you pay on this conversion now?
JW
by JW-Retired
Fri Jul 06, 2018 8:03 am
Forum: Investing - Help with Personal Investments
Topic: Pension, Income needs, and Asset Allocation Question
Replies: 32
Views: 4787

Re: Pension, Income needs, and Asset Allocation Question

sergeant wrote:
Thu Jul 05, 2018 12:28 pm
Hah, you went with Livesoft's "flippant" recommendation. Good choice!
I was already at 60/40 prior to 2008 so I could just follow my do-nothing instincts, and yes it's always heartning to see even flippant concurrence from Livesoft. :beer
JW
by JW-Retired
Thu Jul 05, 2018 10:24 am
Forum: Investing - Help with Personal Investments
Topic: Pension, Income needs, and Asset Allocation Question
Replies: 32
Views: 4787

Re: Pension, Income needs, and Asset Allocation Question

I ran across this old thread . It is about 10 years old. Note all the posters on that thread that still post here, almost daily. JW-- I am now in the hypothetical person you mentioned. I have the same question you posed. Did you come to a conclusion for a proper AA? Yep, sticking with 60/40 forever...
by JW-Retired
Mon Jul 02, 2018 5:27 pm
Forum: Personal Finance (Not Investing)
Topic: Does It Make Sense to Wait to Claim SocSec?
Replies: 62
Views: 6758

Re: Does It Make Sense to Wait to Claim SocSec?

The Federal tax on SS income is applied to from 0% to 85% of SS depending on your "other income" level. Meaning RMD dollars get roughly double taxed when the tax on SS is phasing in. When fully phased in, IRS SS taxation is still like a tax bracket lower than RMD dollars because at least 15% of SS ...
by JW-Retired
Mon Jul 02, 2018 8:53 am
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion
Replies: 5
Views: 549

Re: Roth Conversion

Haven't done any Roth conversions for awhile, but as I recall I used to get 1099-R for them. That would make them retirement income, not earned income. I looked at my Vanguard 1099-R for a year I did a Roth conversion and it's there. It was taxed the same as if I just took a IRA distribution and sp...
by JW-Retired
Sun Jul 01, 2018 8:25 pm
Forum: Personal Finance (Not Investing)
Topic: Required minimum distributions from IRA
Replies: 18
Views: 1450

Re: Required minimum distributions from IRA

Cody wrote:
Sun Jul 01, 2018 6:03 pm
JW-Retired

Wrote: Vanguard asks what percentages I want to withhold for Fed & State tax.

My experience is that VG will not take state tax out. Is this true for some states and not others?

Thanks,
Cody
It's true for California. I had them withhold 25% for Federal and 6% for California.
JW
by JW-Retired
Sun Jul 01, 2018 4:46 pm
Forum: Personal Finance (Not Investing)
Topic: Required minimum distributions from IRA
Replies: 18
Views: 1450

Re: Required minimum distributions from IRA

Am I supposed to receive a form from each IRA trustee, advising RMD and asking if I am them to withhold a certain percent for federal taxes? You need to withdraw enough to cover all IRA accounts you might have. It could all come from just one of several vendors accounts. The tax withholding amount ...
by JW-Retired
Sat Jun 30, 2018 8:21 pm
Forum: Personal Finance (Not Investing)
Topic: Does It Make Sense to Wait to Claim SocSec?
Replies: 62
Views: 6758

Re: Does It Make Sense to Wait to Claim SocSec?

The Federal tax on SS income is applied to from 0% to 85% of SS depending on your "other income" level. Meaning RMD dollars get roughly double taxed when the tax on SS is phasing in. When fully phased in, IRS SS taxation is still like a tax bracket lower than RMD dollars because at least 15% of SS ...
by JW-Retired
Sat Jun 30, 2018 10:09 am
Forum: Personal Finance (Not Investing)
Topic: Does It Make Sense to Wait to Claim SocSec?
Replies: 62
Views: 6758

Re: Does It Make Sense to Wait to Claim SocSec?

I used the time between retiring and SS delay to convert to Roth accounts. The other two did not. One likes the idea of having a larger portfolio regardless of the tax consequences after 70 1/2. I like the idea of not having to take unneeded RMDs which would shove me into the next highest tax brack...
by JW-Retired
Fri Jun 29, 2018 5:41 pm
Forum: Investing - Help with Personal Investments
Topic: Roth calculator?
Replies: 6
Views: 636

Re: Roth calculator?

I'm 65 (will be 66 in November) and just retired (couldn't refuse early retirement package). Not taking social security until 70 and was looking for some type of calculator that would provide amounts I could transfer from my IRA to a Roth before I have to start taking my RMD at 70 1/2. What you nee...
by JW-Retired
Thu Jun 28, 2018 4:24 pm
Forum: Personal Finance (Not Investing)
Topic: Does It Make Sense to Wait to Claim SocSec?
Replies: 62
Views: 6758

Re: Does It Make Sense to Wait to Claim SocSec?

1) To a very rough approximation, it shouldn't matter. 2) All the experts seem to agree that it is slightly better to wait in almost every situation. 3) The conclusion that it is slightly better to wait is based on many, many assumptions. Many of them are hardly more than educated guesses. Ideally ...
by JW-Retired
Mon Jun 25, 2018 8:42 pm
Forum: Investing - Help with Personal Investments
Topic: Why not go 100% stocks?
Replies: 116
Views: 11398

Re: Why not go 100% stocks?

The next 10 years may not be as good to investors as the last 10 years. To me it seems like you have regency bias. You were 25 when the bull market had its beginning. You haven’t been in a really bad pull back. This. You gotta love the 100% stock threads when the market is at an all time high. The ...
by JW-Retired
Mon Jun 25, 2018 11:28 am
Forum: Investing - Help with Personal Investments
Topic: Why not go 100% stocks?
Replies: 116
Views: 11398

Re: Why not go 100% stocks?

My question is, why not keep 100% of my assets in stocks? The only thing holding me from putting 100% in stocks is to be able to take advantage of a market downturn. How do you know you will "take advantage" of a serious stock crash? No offense but I doubt you would. And with your large income what...
by JW-Retired
Mon Jun 25, 2018 8:57 am
Forum: Investing - Theory, News & General
Topic: Still re-balance in TSP/401k if it is split between traditional and Roth?
Replies: 19
Views: 1088

Re: Still re-balance in TSP/401k if it is split between traditional and Roth?

However, if your 401k/TSP has a Roth option, AND you utilize both components in that account (traditional and Roth contributions), AND there is no way to keep the Roth and Traditional funds separate during a re-balance, is this still the best account to use to re-balance? Is this a real situation? ...
by JW-Retired
Sun Jun 24, 2018 10:32 am
Forum: Investing - Help with Personal Investments
Topic: Roth IRA investment question
Replies: 22
Views: 1799

Re: Roth IRA investment question

Can my husband do better with a Target Retirement fund instead? I figured this gives us more diversification, but a Target Retirement Fund's stock allocation would grow more conservative as we near retirement and the Vanguard Wellington won't . Your TR fund won't grow more conservative if you don't...
by JW-Retired
Sat Jun 23, 2018 12:37 pm
Forum: Investing - Help with Personal Investments
Topic: Fixing My Cost Basis [on inherited stocks]
Replies: 13
Views: 849

Re: Fixing My Cost Basis [on inherited stocks]

Has the estate settled? Has a federal or state tax return been filed? If there was I think there must have been an appraisal of the stock holdings. That would show either the value at death or, used to be the executor had another option of some number like 6 or 12 months after that. Not sure exactly...
by JW-Retired
Sat Jun 23, 2018 9:00 am
Forum: Investing - Help with Personal Investments
Topic: Fixing My Cost Basis [on inherited stocks]
Replies: 13
Views: 849

Re: Fixing My Cost Basis [on inherited stocks]

You supply the cost basis when you sell the stock.
https://www.investopedia.com/ask/answer ... tbasis.asp

Look up the closing price of the stock on the date of your father's passing here for example.
https://www.marketwatch.com/tools/quotes/historical.asp
JW
by JW-Retired
Fri Jun 22, 2018 8:10 am
Forum: Investing - Help with Personal Investments
Topic: Simple IRA at work with American Century Investments - need help
Replies: 17
Views: 1374

Re: Simple IRA at work with American Century Investments - need help

Large cap - State Street S&P 500 Index - .65% Mid cap - state St mid cap 400 .71% Small cap - State St small cap index Cl - 0.71% Do I REALLY have to be forced into these options? This is RIDICULOUS!!! Max it out. Those ERs are pretty tolerable compared to what many folks put up with, especially if...
by JW-Retired
Sun Jun 17, 2018 10:08 am
Forum: Personal Finance (Not Investing)
Topic: How to calculate "fun money" per year?
Replies: 37
Views: 3449

Re: How to calculate "fun money" per year?

One simple measure of retirement savings: You say you are "maxing" your contributions to your 401k and 2 IRAs meaning of $18.5k + $11k = $29.5k yearly. Does that amount to 15% of your salary or more? That's the number recommended in W. J. Bernstein's "If You Can" minibook as a good rate for a Millen...
by JW-Retired
Sat Jun 16, 2018 9:10 am
Forum: Personal Consumer Issues
Topic: Drive from Phoenix to San Diego
Replies: 42
Views: 2697

Re: Drive from Phoenix to San Diego

If those are the places you want to go, OP, your trip will be just fine. Sure, it is 108 right now (Thursday 1530hrs) in Phoenix. So what? You can see Grand Canyon easily in 2 days -- it's not like you are going to hike to the bottom with 2 kids. Joshua Tree is mostly a drive-by place, maybe a shor...
by JW-Retired
Sat Jun 16, 2018 8:52 am
Forum: Investing - Help with Personal Investments
Topic: portfolio checkup - move more money to Roth?
Replies: 13
Views: 1351

Re: portfolio checkup - move more money to Roth?

I guess I am on the high end of the 22%, but doing any Roth conversation would like be in the 24% bracket. Also, did some calculation, with what I currently have in 401k and tax-deferred IRA, it will take 30k annual contribution for 20 years (7% annual return) to hit 2.5M mentioned by FiveK. Since ...
by JW-Retired
Wed Jun 13, 2018 4:20 pm
Forum: Investing - Help with Personal Investments
Topic: One IRA contribution was non-deductible, but no records
Replies: 14
Views: 1095

Re: One IRA contribution was non-deductible, but no records

If I use all my IRA before I die, I'll pay tax a second time on that $2k. But if I get down the the last $2k in my IRA before I die, I don't think it will make a lot of difference if I pay tax on it or not. :D PS, I'm happy that I don't have to use Form 8606 every year. In fact, I'm now using the s...
by JW-Retired
Wed Jun 13, 2018 9:59 am
Forum: Investing - Help with Personal Investments
Topic: Interesting Social Security analysis
Replies: 16
Views: 2350

Re: Interesting Social Security analysis

To JW-Retired, the numbers are gross before taxes. In the bridge years, that would come out of taxable which would be LTCG @ 10%-15%. During the collection years, it would be SS vs. taxable or tax deferred, so it might be tax favorable to SS. My state (CA) taxes dividends and realized LTCG at the s...
by JW-Retired
Wed Jun 13, 2018 8:13 am
Forum: Investing - Help with Personal Investments
Topic: Interesting Social Security analysis
Replies: 16
Views: 2350

Re: Interesting Social Security analysis

Income: $43,757 COLA Pension (I am collecting this now) $XX SS bridge $$$ then SS (the bridge dollars are taken from the portfolio balance) 4% SWR of remaining portfolio @ SS age Portfolio balance at 55 is estimated @ $1.96M. In all 3 scenarios, my annual income was about the same: $142,350 +- $200...
by JW-Retired
Tue Jun 12, 2018 9:15 am
Forum: Personal Finance (Not Investing)
Topic: Social Security distribution strategy
Replies: 9
Views: 1108

Re: Social Security distribution strategy

Do you have a spouse that has filed spousal benefits under your record? Yes, my wife plans on receiving spousal benefits. Is it possible to suspend just my benefits while my wife receives the spousal benefit, or do we have to suspend both within 12 months to be able to receive the future 8% annuall...
by JW-Retired
Mon Jun 11, 2018 4:34 pm
Forum: Personal Consumer Issues
Topic: Question on applying for SS benefits
Replies: 16
Views: 1575

Re: Question on applying for SS benefits

Today I waited 1.5 hours in a Brooklyn Social Security office, finally get to the window and the clerk tells me that applying must be done in the early mornings. That " Tomorrow I should wait outside the SS office 2 hours before they open to make sure they take me (SS closed the main office in Bens...
by JW-Retired
Mon Jun 11, 2018 1:57 pm
Forum: Investing - Help with Personal Investments
Topic: converting some traditional IRA to Roth
Replies: 45
Views: 2466

Re: converting some traditional IRA to Roth

Personally I don't see how the US can continue with such low income tax rates, so I'm betting on Roth conversion this year being worthwhile. But my income should be low enough in retirement that having most of my retirement savings in tax deferred should make sense. Thanks to David Jay and JW-Retir...
by JW-Retired
Mon Jun 11, 2018 12:57 pm
Forum: Investing - Help with Personal Investments
Topic: converting some traditional IRA to Roth
Replies: 45
Views: 2466

Re: converting some traditional IRA to Roth

The pre-tax IRA funds would have also doubled and they would not have been reduced by the 22% tax right off the bat. What David Jay said uses the correct math. The pre-tax funds and the Roth funds would be the exact same amount (unless I put the cash into the 457b). So nothing's necessarily being r...
by JW-Retired
Mon Jun 11, 2018 12:10 pm
Forum: Personal Consumer Issues
Topic: Question on applying for SS benefits
Replies: 16
Views: 1575

Re: Question on applying for SS benefits

Is there any reason not to apply earlier rather than later during the four-month application window before your benefits start? https://www.ssa.gov/benefits/retirement/ I would do whatever you can to check what they are planning to do before you get the first check. My own experience is SSA skimmed...
by JW-Retired
Mon Jun 11, 2018 11:41 am
Forum: Investing - Help with Personal Investments
Topic: converting some traditional IRA to Roth
Replies: 45
Views: 2466

Re: converting some traditional IRA to Roth

I don't think you will regret having more Roth retirement money and less tax deferred, but the Roth conversion tax cost is going to be 22%. What you said here about the 11% tax isn't the correct math. Assuming 3% real return over 25 years, the money will double in the Roth... and I have a hard time ...
by JW-Retired
Mon Jun 11, 2018 9:21 am
Forum: Investing - Help with Personal Investments
Topic: Strategy for a prolonged bear market
Replies: 65
Views: 5603

Re: Strategy for a prolonged bear market

I think that a lot of people also stop rebalancing during a prolonged bear market. I'm not sure if their IPS says that but the reality is that rebalancing is easier on the way up than on the way down, when it can feel like you are throwing good money after bad. We have no plan B. Our plan A (that w...
by JW-Retired
Sun Jun 10, 2018 9:45 am
Forum: Investing - Help with Personal Investments
Topic: tax loss worthwhile?
Replies: 15
Views: 1279

Re: tax loss worthwhile?

Wondering if i sold some Total Bond for a tax loss, if it can be claimed against Long term Cap gains even if i am in a low enough Tax Bracket that i do not pay any taxes on LTCGains? all is within a joint taxable brokerage account Not sure what you are getting at but sure, it will be accounted for ...
by JW-Retired
Sat Jun 09, 2018 11:55 am
Forum: Investing - Help with Personal Investments
Topic: Asset Allocation 53 years old
Replies: 21
Views: 1782

Re: Asset Allocation 53 years old

I’m currently 53 and married (wife same age). ............. My question is about my assets allocation. It’s 80/20 now which is too high on equities going by what I read about the “100 - Age” rule of thumb. But how can I get to the goal with a more conservative allocation? Am i laying out way too mu...
by JW-Retired
Wed Jun 06, 2018 10:15 pm
Forum: Personal Finance (Not Investing)
Topic: Form 709 - no spousal consent for community property gift, right?
Replies: 1
Views: 232

Re: Form 709 - no spousal consent for community property gift, right?

I've always done it the other way around so you only need to file one 709. One spouse signs as the donor on lines 1-6, and the other spouse signs as consenting in lines 13-18. This doubles the amount of yearly gifts that are excluded from any tax. You check yes to gift splitting. I'm not a lawyer bu...
by JW-Retired
Wed Jun 06, 2018 8:39 am
Forum: Investing - Help with Personal Investments
Topic: Teacher 403b TSA HELP Please!
Replies: 9
Views: 736

Re: Teacher 403b TSA HELP Please!

Yeah it looks like the NEA Direct Invest Option is available and offers a bunch of Vanguard funds. 403bwise also has some good discussion on this product and most people say it is a good option (among many bad ones) for teachers. You do need to find out the actual expenses of all the plans and pick...
by JW-Retired
Tue Jun 05, 2018 8:43 am
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth IRA
Replies: 8
Views: 784

Re: Backdoor Roth IRA

Here is what to look for on your finished return with a backdoor Roth: On the front of the 1040 there is a line for IRA distributions (line 15 on 2017 forms). The field labeled 15a (total distribution) should show the total conversion amount; the field labeled 15b (taxable amount) should show $0 Th...
by JW-Retired
Sun Jun 03, 2018 8:38 am
Forum: Personal Finance (Not Investing)
Topic: Tax software for 2018
Replies: 20
Views: 1680

Re: Tax software for 2018

Yep. HR Block's 2017 tax estimator adds what the 2018 tax would have been for comparison ...... i.e., "the new tax reform law could mean you owe $xxxx next year."

https://www.hrblock.com/tax-calculator/#/en/te/aboutYou
JW
by JW-Retired
Mon May 28, 2018 9:39 am
Forum: Personal Finance (Not Investing)
Topic: Lump sum versus annuity - could use your insight.
Replies: 18
Views: 2273

Re: Lump sum versus annuity - could use your insight.

Planning on SS at age 68 combined with DW at $57k/yr. .......................... This is my first new topic post here, and I wanted to get your experienced thoughts. I keep flip-flopping....what am I missing? Thank you. Make sure you understand the weird way SS income is taxed compared to your othe...
by JW-Retired
Tue May 22, 2018 7:13 pm
Forum: Personal Finance (Not Investing)
Topic: Does the IRS care about pennies?
Replies: 7
Views: 968

Re: Does the IRS care about pennies?

My question is, does this sort of stuff ever present problems in the future? Is this something I should just ignore? Or does the IRS actually care about the 4 pennies worth of taxes that I should have paid on the 14 pennies worth of gains? In the future you should always convert "all" so it doesn't...
by JW-Retired
Mon May 21, 2018 12:30 pm
Forum: Investing - Help with Personal Investments
Topic: Can I transfer brokerage Acct without speaking to FA?
Replies: 20
Views: 1279

Re: Can I transfer brokerage Acct without speaking to FA?

I would like to at all costs avoid the uncomfortable conversation with the Financial Advisor before I transfer everything but when I called Citibank they say I have to go thru him because this is a managed account. Is this true? Is there no other way around this? I doubt very much that it's true. I...
by JW-Retired
Mon May 21, 2018 10:16 am
Forum: Investing - Help with Personal Investments
Topic: Frontloading 401k Mistake
Replies: 27
Views: 2394

Re: Frontloading 401k Mistake

That's not what I'm suggesting. I'm suggesting that once you hit the $18,500 cap, you keep making after-tax contributions to get the match (if your new plan is setup this way). Yes! I did exactly this one year when I had boosted up my contributions to hit the max in April and then retire, but chang...
by JW-Retired
Sat May 19, 2018 12:32 pm
Forum: Investing - Theory, News & General
Topic: If RMD are large should you still defer into 401k
Replies: 32
Views: 3195

Re: If RMD are large should you still defer into 401k

The RMD calculator indicates that my first RMD will be over 50k. My wife' will be about 30k. I will be 70.5 in 6 years. ............... I am wondering since my projected RMD will be large ( at least to me) if I should stop my 401k contributions. ................. I don't know when I will retire. In...