Search found 6086 matches

by JW-Retired
Mon Apr 24, 2017 9:59 am
Forum: Investing - Help with Personal Investments
Topic: [Should I get an advisor?]
Replies: 14
Views: 958

Re: [Should I get an advisor?]

I am moving my company retirement to Vanguard currently so will have many more options to invest and a Roth alternative in future. .................................. We have after tax 4.2 million, after tax with Vanguard, pretax wife 1.7 and pretax me at 1.4 million. With $3M in the 401ks you might...
by JW-Retired
Sun Apr 23, 2017 8:37 am
Forum: Investing - Theory, News & General
Topic: Does Knowledge of Fellow Employees’ Retirement Contributions Encourage Greater Participation?
Replies: 13
Views: 1352

Re: Does Knowledge of Fellow Employees’ Retirement Contributions Encourage Greater Participation?

There is a company/organization that provides statistics on 401k plans. I don't remember who they are off the top of my head. The thing that has always struck me is the percentage of participants that contribute enough to get the full match is not as high as you would think. One I have linked is br...
by JW-Retired
Fri Apr 21, 2017 10:00 am
Forum: Investing - Help with Personal Investments
Topic: Hedging against divorce
Replies: 17
Views: 4333

Re: Hedging against divorce

What if the mutual funds, in non-retirement accounts, are owned jointly? Can one name simply be removed, or is that considered a "transfer?" You can certainly "transfer" shares from one joint account to another individual persons account and the cost basis goes with it. No tax i...
by JW-Retired
Fri Apr 21, 2017 9:09 am
Forum: Investing - Help with Personal Investments
Topic: Grandparent's Variable Annuity and Edward Jones
Replies: 9
Views: 1512

Re: Grandparent's Variable Annuity and Edward Jones

I do hear the comment often here, that if you are using the "safe withdrawal rate" of 4%, and the advisor gets 1% AUM + funds have a 1%+ ER cost, that is 1/2 or 50% of your retirement income going to the advisor. 3CheersforLkyJack, Note that on top of this 50% safe retirement income cut, ...
by JW-Retired
Wed Apr 19, 2017 10:09 am
Forum: Personal Finance (Not Investing)
Topic: Social Security - Collect While Working?
Replies: 13
Views: 1183

Re: Social Security - Collect While Working?

Currently, either income would quickly exceed the earnings limit - a nice problem to have. Does it make sense tax-wise for the spouse with the lower benefit to begin SS at 62 given these conditions and the earnings penalty? The earnings test is by the month, so prior to full retirement age taking S...
by JW-Retired
Mon Apr 17, 2017 6:38 pm
Forum: Personal Finance (Not Investing)
Topic: "Vanguard's free RMD Service: Sign up before you turn 70½"
Replies: 23
Views: 2465

Re: "Vanguard's free RMD Service: Sign up before you turn 70½"

I sure don't recall ever signing up for a RMD service. Even so, when I go to take my RMD (always early in the year) Vanguard still tells me how much my RMD should be on the withdrawal screen. I've checked and they are giving me the correct amount. They have my DOB in their files so they should have ...
by JW-Retired
Mon Apr 17, 2017 11:13 am
Forum: Personal Finance (Not Investing)
Topic: take pension or not..Help?
Replies: 12
Views: 1481

Re: take pension or not..Help?

We need more information but I would probably spend savings and delay his pension a year. Does this pension have a cola and/or survivor benefits? More important in my opinion, your 1st priority ought to be to maximize social security for the higher earner. Judging by the sizes of your pensions, it w...
by JW-Retired
Sun Apr 16, 2017 8:46 pm
Forum: Personal Finance (Not Investing)
Topic: Do you have an umbrella policy?
Replies: 129
Views: 11772

Re: Do you have an umbrella policy?

sherwink wrote: I carry $5M in umbrella insurance as the last line of defense. .....

Yep, same here. It's only $550 for $5M, which IMO is a fantastic bargain given the vast number of high salaried people sharing the freeway near me.
JW
by JW-Retired
Sun Apr 16, 2017 4:58 pm
Forum: Investing - Help with Personal Investments
Topic: Is it possible to gift an IRA?
Replies: 5
Views: 487

Re: Is it possible to gift an IRA?

I'd love my kids to start an IRA account NOW while they are young (20s). Can I create an IRA account in their name with modest funds and gift it to them? It's their account. They each need to create the account in their name. After that if they give you their account number you can make contributio...
by JW-Retired
Sun Apr 16, 2017 8:30 am
Forum: Personal Finance (Not Investing)
Topic: My kids don't care about saving
Replies: 114
Views: 10783

Re: My kids don't care about saving

I have 4 children ages 24-30, they all have decent paying jobs but when I talk with them about contributing a small percentage to a Roth it falls on deaf ears. I have even gone as far as setting up ROTHS at VG and funded them for the last few years In hopes they would get onboard.....nope. Good gri...
by JW-Retired
Sun Apr 16, 2017 7:50 am
Forum: Investing - Help with Personal Investments
Topic: Will it be a mistake to buy VTSMX today?
Replies: 39
Views: 3913

Re: Will it be a mistake to buy VTSMX today?

Just set and forget your investment contributions ASAP. I can attest this worked very well for me! Never missed a single bear market investment opportunity because I never stopped investing. :D JW We hear this a lot, but the OP will probably be unemployed throughout that long and deep bear market. ...
by JW-Retired
Sat Apr 15, 2017 9:20 am
Forum: Investing - Help with Personal Investments
Topic: Will it be a mistake to buy VTSMX today?
Replies: 39
Views: 3913

Re: Will it be a mistake to buy VTSMX today?

What are all these talks about a bear market that I have been hearing recently? I am scared. ........................................... Thanks everyone else for bearing with me and my silly questions. As you all can clearly tell, I am very, VERY new to this and learning as I go along. Not a silly ...
by JW-Retired
Fri Apr 14, 2017 5:04 pm
Forum: Investing - Help with Personal Investments
Topic: Quick Help - Your traditional IRA contributions are disallowed due to your AGI...
Replies: 18
Views: 1035

Re: Quick Help - Your traditional IRA contributions are disallowed due to your AGI...

rebellovw, There is a standard way to create two accounts that segregate the tIRA basis portion in one account so you can convert the basis only account to a Roth. The employer should accept the non-basis part if you can say it is free of basis. See.......... http://fairmark.com/retirement/roth-acco...
by JW-Retired
Fri Apr 14, 2017 4:47 pm
Forum: Personal Finance (Not Investing)
Topic: Tax question on married filing separately
Replies: 4
Views: 294

Re: Tax question on married filing separately

See http://www.investopedia.com/articles/ta ... rately.asp

I've read that usually MFS makes your taxes worse but there are exceptions.
JW
by JW-Retired
Fri Apr 14, 2017 11:38 am
Forum: Investing - Help with Personal Investments
Topic: How to invest my children's inheritance
Replies: 33
Views: 2728

Re: How to invest my children's inheritance

I'm in a similar situation with less assets in play. I keep my AA at 60%/40%, which seems like a good place if you want reasonable growth without unreasonable risk. I also gift them each year, well less than the allowable max so far, but that might increase as the years go by. Always passive, Also ...
by JW-Retired
Mon Apr 10, 2017 4:44 pm
Forum: Personal Finance (Not Investing)
Topic: Kotlikoff: When Should you Take Social Security?
Replies: 250
Views: 35384

Re: Kotlikoff: When Should you Take Social Security?

It's different for everyone based on personal circumstances. My dad is waiting. He's already at full retirement age but still working full-time. He said today that he will get a higher benefit by waiting and he can keep working and earn as much as he wants. I didn't research it but he said there wa...
by JW-Retired
Mon Apr 10, 2017 12:59 pm
Forum: Investing - Help with Personal Investments
Topic: Try to decide 401K or IRA.
Replies: 11
Views: 779

Re: Try to decide 401K or IRA.

I have been contributed max amount allowed by IRA to my 401K at work and not contribute to IRA. This is an odd way to put it? You do understand the there are separate maximums for IRAs and the 401k? If under age 50, you can contribute $5500 to the IRA and $18,000 to the 401k. You can do both these ...
by JW-Retired
Sat Apr 08, 2017 8:38 am
Forum: Investing - Help with Personal Investments
Topic: Monte Carlo app?
Replies: 10
Views: 909

Re: Monte Carlo app?

Vanguard has an extremely easy-to-use Monte Carlo program you should at least try out. https://retirementplans.vanguard.com/VG ... ggCalc.jsf
JW
by JW-Retired
Fri Apr 07, 2017 11:35 am
Forum: Investing - Help with Personal Investments
Topic: [What] to Do When Income Too High for Roth IRA
Replies: 20
Views: 2187

Re: [What] to Do When Income Too High for Roth IRA

ljbadd wrote:The expense ratio of the Vanguard target dates funds are is 0.10.

IMO, a very reasonable choice. 0.10% is better than the VG retail TR funds.

Also, remember that if you change your mind any time down the road it's painless to change things around in a tax-deferred account.
JW
by JW-Retired
Fri Apr 07, 2017 10:44 am
Forum: Investing - Help with Personal Investments
Topic: [What] to Do When Income Too High for Roth IRA
Replies: 20
Views: 2187

Re: [What] to Do When Income Too High for Roth IRA

Thanks so much guys. Here's a follow-up question. In the event I do a backdoor Roth and have to rollover my current IRA into my 401k, here are the fund options my 401k offers: ........................................ The choices are limited. Given I'm 36 now, should I consider just rolling all my I...
by JW-Retired
Fri Apr 07, 2017 9:37 am
Forum: Personal Finance (Not Investing)
Topic: Avoiding shafting my local merchants with card fees
Replies: 42
Views: 4038

Re: Avoiding shafting my local merchants with card fees

I'm certain they don't feel shafted in the slightest. If local merchants felt shafted by my credit card fees, they would not have invoked a policy of refusing to take paper checks. Most of them I frequent have voted for credit cards in this perfectly clear way. :annoyed
JW
by JW-Retired
Mon Apr 03, 2017 2:33 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security Spousal Benefit
Replies: 10
Views: 1148

Re: Social Security Spousal Benefit

Your wife was born prior to Jan 2, 1954 so, once she is her FRA(66), she can still make a restricted application for spousal benefits only. Letting her own delayed benefits grow. I did this and worked full time at a 6-figure salary for most of the next 4 years. There was no SS reduction. Per a recen...
by JW-Retired
Sun Apr 02, 2017 1:03 pm
Forum: Investing - Help with Personal Investments
Topic: What percentage to contribute to Roth 401(K)
Replies: 6
Views: 791

Re: What percentage to contribute to Roth 401(K)

Him-44 Her-44 Him-Salary $247,000 Her-Stay at Home Mom His 401K - $503,000 His Roth IRA - $31,000 His Rollover IRA - $182,780 Is his 401k a good enough plan that you could put his current Rollover IRA into? If he could get that IRA out of the picture, then he could do backdoor Roth contributions fo...
by JW-Retired
Sun Apr 02, 2017 12:41 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement Planning Today Course
Replies: 15
Views: 1240

Re: Retirement Planning Today Course

The fee is nominal, so I am mostly interested in hearing whether any of the forum members here have taken it and if they recommend it. From the looks of the topic list, it does appear to be comprehensive. Took one 15 years ago when we started thinking about retirement. Turned out it had been taught...
by JW-Retired
Sun Apr 02, 2017 12:16 pm
Forum: Investing - Help with Personal Investments
Topic: Edward jones to vanguard?
Replies: 19
Views: 1597

Re: Edward jones to vanguard?

Thanks, I see now. Do EJ types go with the AUM (+ERs) or just charge for front loaded funds (+ERs). Seems over decades people would go with the up front load as 5.75% is steep off the top, but much better than 1-1.5% every year. Do EJ types give the client a choice? I don't know if it's an option o...
by JW-Retired
Sun Apr 02, 2017 10:49 am
Forum: Personal Finance (Not Investing)
Topic: Taxable SS Benefits
Replies: 28
Views: 2600

Re: Taxable SS Benefits

...our RMD's to start at about 36,000,and a pension annuity of 7000. We live in Calif so if someone has that state tax info that would be great. CA does not tax SS. Based on your $43k pension/RMD gross income the CA 2016 EZ tax table says you would owe $314 state tax. https://www.ftb.ca.gov/forms/2...
by JW-Retired
Sun Apr 02, 2017 10:13 am
Forum: Investing - Help with Personal Investments
Topic: Edward jones to vanguard?
Replies: 19
Views: 1597

Re: Edward jones to vanguard?

?? I come up with $2,500 on 50 basis point ER's with $500k invested. But the overall theme of 150 basis points per year is insanity It's $2500 for the ER's plus the (new) 1.5% AUM fee of $7500 that yields the OP's $10,000 EJ overall cost. Probably this will end up with similar overall investor cost...
by JW-Retired
Sun Apr 02, 2017 8:42 am
Forum: Investing - Help with Personal Investments
Topic: Advice for Parents (mid 60's)
Replies: 17
Views: 1910

Re: Advice for Parents (mid 60's)

Moms main question was what to do once dad hits 70 1/2 and they start taking RMD's. Between moms pension, their SS, and the RMD's, they will be taking more out than they need. They don't have a Roth and I don't think a conversion will be useful before they hit 70 because they should solidly be in t...
by JW-Retired
Sat Apr 01, 2017 1:42 pm
Forum: Personal Finance (Not Investing)
Topic: Advice Needed: Enough to Retire, but the Tax Bill is a shock
Replies: 58
Views: 7908

Re: Advice Needed: Enough to Retire, but the Tax Bill is a shock

WoodSpinner, If you are going stay in California then delaying SS to 70 should be a no-brainer. It's the only thing that CA doesn't tax. CA definitely will state tax all your pensions and tax deferred account withdrawals, as well as dividends & long term cap gains, at your ordinary income CA rat...
by JW-Retired
Sat Apr 01, 2017 9:33 am
Forum: Investing - Help with Personal Investments
Topic: 2016 Roth Contributions and an unexpected December bonus
Replies: 7
Views: 492

Re: 2016 Roth Contributions and an unexpected December bonus

Hello, Sorry to derail OP's question but I feel it is relevant. What can one do if one already has an existing T-IRA and cannot re-characterize ? Would it just be simply calling Vanguard and withdraw the excess contribution + earnings and get taxed on the earnings? Is there any forms that I will ge...
by JW-Retired
Fri Mar 31, 2017 8:18 am
Forum: Personal Finance (Not Investing)
Topic: Social Security tax calculator
Replies: 4
Views: 552

Re: Social Security tax calculator

I understand that we have to factor in total income and tax bracket. I'd just like to figure out how much will be taken out for taxes if we hit various tax brackets, etc. Sorry if this is a simple question and the answer should be obvious. Definitely not a simple question. The way SS taxation is ph...
by JW-Retired
Thu Mar 30, 2017 8:07 pm
Forum: Investing - Help with Personal Investments
Topic: Recent Retiree with many questions
Replies: 29
Views: 4579

Re: Recent Retiree with many questions

Fifth question: My SS will be about $2400/month if I take it this July, and will be around $2800/month if I wait till I am 70. You said you were recently age 66 so I think your math is way off. After you reach full retirement age your SS goes up by 2/3rds percent per month of delay.... 8% per year....
by JW-Retired
Wed Mar 29, 2017 5:40 pm
Forum: Investing - Help with Personal Investments
Topic: What do Bogleheads think about Aspiration?
Replies: 12
Views: 958

Re: What do Bogleheads think about Aspiration?

Something i did see there that im not as keen on is that they dont seem to use as many index funds. Am I wrong here? Also, here is the prospectus'; https://assets.aspiration.com/docs/funds/prospectus/FullProspectus.20170131.pdf I would definitely prefer learning from folks that have more experience...
by JW-Retired
Tue Mar 28, 2017 9:35 am
Forum: Investing - Help with Personal Investments
Topic: Advice for taxable fund reallocation
Replies: 5
Views: 463

Re: Advice for taxable fund reallocation

We let that account sit and recently are looking at balancing it. There are several large cap value mutuals, and internet ETFs that are: 1. High ER 2. High Turnover 3. High div distributions (taxable account) Find out the tax consequences first, but I would aim to dump all these high ER funds as so...
by JW-Retired
Tue Mar 28, 2017 9:05 am
Forum: Investing - Theory, News & General
Topic: Does your asset allocation derate tax-deferred holdings to account for future tax liability?
Replies: 163
Views: 7043

Re: Does your asset allocation derate tax-deferred holdings to account for future tax liability?

Personally, I see no need to "derate" since we have already picked an AA that fits our overall situation. We have a tax deferred portfolio about twice as large as the taxable account. All the taxable bonds are in tax-deferred. I was aware of these facts in choosing our long used overall (n...
by JW-Retired
Tue Mar 28, 2017 7:44 am
Forum: Investing - Help with Personal Investments
Topic: taxable account
Replies: 8
Views: 588

Re: taxable account

Most investors would not have bonds in a taxable account since interest is taxed at your marginal tax rate. Equity dividend and capital gains earnings are only taxed at zero or 15% for all but people with very high incomes (around $0.5M) who pay 20%.
JW
by JW-Retired
Sun Mar 26, 2017 10:08 am
Forum: Personal Finance (Not Investing)
Topic: How did you do your income taxes?
Replies: 96
Views: 4366

Re: How did you do your income taxes?

Used H&R Block 2016 Deluxe Federal + State...... direct download from H&RB. I always get it early and don't worry about paying the full $45 price. For security, I do all manual data input and file paper returns with paper check payments. We quit E-filing many years back. Certified mail plus ...
by JW-Retired
Sun Mar 26, 2017 8:44 am
Forum: Personal Finance (Not Investing)
Topic: RMD Question:
Replies: 8
Views: 960

Re: RMD Question:

Prior to passage of legislation authorizing the Roth-IRA, I made non-deductible contributions to an existing IRA. The IRA continues to exist and contains both deductible and non-deductible contributions. I am aware that the non-deductible amounts are not taxed but accrued appreciation is taxable up...
by JW-Retired
Thu Mar 23, 2017 10:27 am
Forum: Investing - Help with Personal Investments
Topic: Requesting assistance with 401K, Roth IRA and Taxable Accounts
Replies: 9
Views: 655

Re: Requesting assistance with 401K, Roth IRA and Taxable Accounts

njfastlife wrote:thanks. so just to make sure i am reading this correctly a "good" AA would be:

80% VBMFX
10% VGTSX
10% VTSMX


No, you have it backwards. VBMFX is a bond fund so this AA is stocks/bonds = 20/80.
JW
by JW-Retired
Wed Mar 22, 2017 8:00 am
Forum: Personal Finance (Not Investing)
Topic: Alternative SSA Claiming Strategy--question for the group
Replies: 10
Views: 776

Re: Alternative SSA Claiming Strategy--question for the group

Since your SSA benefits are returned to your account, and are added to increase your benefit after your FRA, you don’t lose in this scenario. If done correctly, you would get the best of both worlds. ............................................. What are the holes in the above strategy? Has anyone ...
by JW-Retired
Sun Mar 19, 2017 10:03 am
Forum: Investing - Help with Personal Investments
Topic: How to figure whether its good to move all IRA into 401k to do backdoor Roth
Replies: 26
Views: 1198

Re: How to figure whether its good to move all IRA into 401k to do backdoor Roth

If capital gains is zero, then it doesn't make sense to move IRA into 401k just to do a Backdoor Roth. If capital gains is taxed at 15%, then there's that on the ($649k - $400k) X 0.15..which equals to $37,500 in taxes making the backdoor Roth the clear winner. So, it looks like it's the capital ga...
by JW-Retired
Thu Mar 16, 2017 9:14 am
Forum: Investing - Help with Personal Investments
Topic: Helping a friend with retirement planning
Replies: 4
Views: 419

Re: Helping a friend with retirement planning

I would urge him to max the 401k before the Roth. Right now the gov. will be funding 25% of the 401k savings via the tax deduction he gets. (Or maybe a bit more if his bonus pushes him into the 28% bracket). When he is retired and drawing money from the 401k/tIRA looks like he will be safely in the ...
by JW-Retired
Thu Mar 16, 2017 8:13 am
Forum: Investing - Help with Personal Investments
Topic: How do you cope with regret over selling too soon?
Replies: 57
Views: 3306

Re: How do you cope with regret over selling too soon?

kathyauburn wrote:I guess I'm here for advice and commiseration. I sure could use those millions now.

Has this helped you accept that like most everyone else here, you can't pick stocks? If so you shouldn't regret anything. :beer
JW
by JW-Retired
Thu Mar 16, 2017 7:36 am
Forum: Investing - Help with Personal Investments
Topic: Helping a friend with retirement planning
Replies: 4
Views: 419

Re: Helping a friend with retirement planning

Savings: $180,000 in tIRA, Roth, 401K (about 200 Roth and 3000 401K, the rest in tIRA)

$200 and $3000 is the total in the Roth & 401k? Is this a typo?
by JW-Retired
Wed Mar 15, 2017 8:02 pm
Forum: Personal Finance (Not Investing)
Topic: Convincing Someone To Dump A Bad Financial Advisor
Replies: 39
Views: 3290

Re: Convincing Someone To Dump A Bad Financial Advisor

Just trying to get my head around these fees. If I'm a financial adviser with only THREE retired clients (assuming similar sized portfolios), and I am taking 1.5% from each of these portfolios, my aggregate fee is MORE than the typical 4% SWR of the clients themselves. This seems absurdly well paid...
by JW-Retired
Wed Mar 15, 2017 10:29 am
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth: Those few cents that accumulate in your MM settlement funds
Replies: 9
Views: 954

Re: Backdoor Roth: Those few cents that accumulate in your MM settlement funds

Stop leaving anything in the tIRA if it annoys you. Click on the exchange all button. There is no dollar limit on conversions of tIRA assets to Roth assets.

Vanguard will leave the totally empty tIRA there so you can use it next year.
JW
by JW-Retired
Tue Mar 14, 2017 9:28 am
Forum: Personal Finance (Not Investing)
Topic: Finding The "Sweet Spot" on a Roth Conversion
Replies: 26
Views: 2699

Re: Finding The "Sweet Spot" on a Roth Conversion

RMD is $73,000. Taxable Interest = 2,336 Ord. Div. = 42,893 Qual Div = 35,765 Cap Gain = -3,000 Taxable SS 22,708 AGI = 64,937 Taxable Inc = 41,737 What is total gross SS income? Taxable SS is a wildly moving target that depends on your other income, which complicates things immensely. Also, is the...
by JW-Retired
Tue Mar 14, 2017 7:05 am
Forum: Personal Finance (Not Investing)
Topic: Finding The "Sweet Spot" on a Roth Conversion
Replies: 26
Views: 2699

Re: Finding The "Sweet Spot" on a Roth Conversion

RMD is $73,000. Taxable Interest = 2,336 Ord. Div. = 42,893 Qual Div = 35,765 Cap Gain = -3,000 Taxable SS 22,708 AGI = 64,937 Taxable Inc = 41,737 What is total gross SS income? Taxable SS is a wildly moving target that depends on your other income, which complicates things immensely. Also, is the...
by JW-Retired
Mon Mar 13, 2017 6:27 pm
Forum: Personal Finance (Not Investing)
Topic: Finding The "Sweet Spot" on a Roth Conversion
Replies: 26
Views: 2699

Re: Finding The "Sweet Spot" on a Roth Conversion

Status = MFJ Taxable Income w/o Conversion: $41,737 Currently retired and drawing Soc. Sec. 70% taxable RMD's start 4/2019 Est. RMD = $73,000 This is not enough information. If you are getting SS plus other income then there are way more marginal tax rates than the ones without SS. It's highly depe...

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