Search found 6716 matches

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: 896

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: 1192

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: 2279

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: 2992

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...
by JW-Retired
Fri May 18, 2018 8:26 am
Forum: Investing - Help with Personal Investments
Topic: Retiring soon - some questions
Replies: 27
Views: 3163

Re: Retiring soon - some questions

Not sure when I’ll take SS. I believe our total SS would be about 50K/yr at 66. This should be heavily dependent on what state you live in, which you didn't mention. Many/most states don't tax Social Security income at all, but some do tax every other type of income heavily. My dear old California ...
by JW-Retired
Thu May 17, 2018 10:23 am
Forum: Investing - Help with Personal Investments
Topic: Large Personal Injury Settlement
Replies: 58
Views: 4919

Re: Large Personal Injury Settlement

Thanks a lot for your guys' analysis. I read the firms ADV part 2 form and I was wrong about their fee. I must have misunderstood on the phone and heard 1/8 of as percentage instead of .8%. How embarrassing. When I went into the meeting with the advisors, I think I brought the number up a couple ti...
by JW-Retired
Fri May 11, 2018 5:02 pm
Forum: Investing - Help with Personal Investments
Topic: New Job - Use High Fee 401k With Match or Other?
Replies: 31
Views: 1295

Re: New Job - Use High Fee 401k With Match or Other?

I don't believe I have any Traditional IRAs, but that is what confused me in the past. All I have are Rollover IRAs, from when I left previous jobs and transferred the 401k over to a Vanguard Rollover IRA, regular taxable brokerage accounts, regular Roth IRAs and my active 401k. So no traditional I...
by JW-Retired
Fri May 11, 2018 11:45 am
Forum: Investing - Help with Personal Investments
Topic: Backdoor ROTH for 1 Year Only? Worth It?
Replies: 12
Views: 638

Re: Backdoor ROTH for 1 Year Only? Worth It?

Assuming you have no old tIRAs or SEP/Simple/rollover IRAs somewhere you forgot to mention, there is just nothing to it. You and wife can each do one. That's $11k per year.
JW
by JW-Retired
Thu May 10, 2018 2:56 pm
Forum: Personal Finance (Not Investing)
Topic: RMDS, Taxes, Social Security timing
Replies: 16
Views: 1721

Re: RMDS, Taxes, Social Security timing

On a purely dollar and cents basis, with taxes and RMDs taken out of the equation, we’d have higher annual Social Security payments if the higher earner’s retirement benefits were deferred till age 70. You probably need to keep taxes in your analysis. Many/most states with an income tax hit RMDs ha...
by JW-Retired
Sun May 06, 2018 9:41 am
Forum: Investing - Help with Personal Investments
Topic: Help with post retirement IRA portfolio
Replies: 14
Views: 1239

Re: Help with post retirement IRA portfolio

I still must be doing something wrong - perhaps there are so many posting that responders stay at the top if the chronological list? Help!!!! I'm afraid we just don't have any magic advice for you. You have large taxable account holdings of high expense funds with 20 years of reinvesting earnings b...
by JW-Retired
Sun May 06, 2018 8:31 am
Forum: Investing - Help with Personal Investments
Topic: Help with in-laws investment- 100% in stocks with 5 years left to retire
Replies: 46
Views: 3040

Re: Help with in-laws investment- 100% in stocks with 5 years left to retu

My in laws plan to retire in 5 years and have everything in 100% stocks. From reading bogleheads, I know this is not a recommended strategy. How do I discuss with them that they should be taking less risk? I would have some floor amount of bonds that I could survive on...... but given they each wil...
by JW-Retired
Sat May 05, 2018 9:48 am
Forum: Investing - Help with Personal Investments
Topic: Basic knowledge-inexperienced and overwhelmed
Replies: 43
Views: 3376

Re: Basic knowledge-inexperienced and overwhelmed

My retirement plan is a company sponsored 401k. I should also note that I earn too much to have a Roth IRA. Sparkette, Welcome to the forum! Are you sure you have the Roth contribution limits right? You are implying you have more than $189,000/year in adjusted gross income, but can't scrape togethe...
by JW-Retired
Fri May 04, 2018 9:57 am
Forum: Investing - Help with Personal Investments
Topic: I inherited 1 million dollars, should I open an IRA or keep adding money to this million dollar brokerage account
Replies: 52
Views: 5104

Re: I inherited 1 million dollars, should I open an IRA or keep adding money to this million dollar brokerage account

I have a very modest 401k at work... If you are eligible for an IRA or Roth IRA then contributing to those is a slam dunk easy choice because of the tax advantages. You should also max out your 401k. You have to do this through payroll deductions so you would need to do something like increase your...
by JW-Retired
Thu May 03, 2018 9:00 am
Forum: Investing - Help with Personal Investments
Topic: Help With Roth IRA
Replies: 6
Views: 385

Re: Help With Roth IRA

I have $2,400 Roth IRA in URTRX Usaa fund. What Vanguard Roth IRA fund should I move this money to? UTRTX is a 2030 target retirement fund that googling says has an expense ratio of 0.75%. ...... Vanguard's TR fund with the same 2030 target date is VTHRX, which has an expense ratio of 0.14%. :shock...
by JW-Retired
Wed May 02, 2018 9:14 am
Forum: Personal Consumer Issues
Topic: Device or app to find road gradient while biking?
Replies: 18
Views: 1180

Re: Device or app to find road gradient while biking?

Anything except a true inclinometer, like the bubble in a carpenter's level or the swinging dial in a handheld compass And the physics tells us that those will NOT work when you are NOT at steady speed (only applicable when there is no acceleration or deceleration during the measurement). Yes, but ...
by JW-Retired
Wed May 02, 2018 8:03 am
Forum: Personal Finance (Not Investing)
Topic: Ally asking CURRENT customer to provide SSN card?
Replies: 58
Views: 4106

Re: Ally asking CURRENT customer to provide SSN card?

I wonder if this doesn't have something to do with the new social security cards that are being sent out to everyone. Has anyone received their new card yet? Appears new medicare cards without your SS number on them are being sent to everyone on medicare this year. Mine has not showed up. I don't t...
by JW-Retired
Tue Apr 17, 2018 8:13 am
Forum: Personal Finance (Not Investing)
Topic: Wanting to leave Fidelity
Replies: 97
Views: 10519

Re: Wanting to leave Fidelity

I moved almost all of our investments from Fidelity to Vanguard. The main reason was unsolicited calls from my Fidelity "Account Executive" urging me to take advantage of some flaky investment opportunity. Every call sounded like his hair was on fire and that the world was ending today. This sounds...
by JW-Retired
Mon Apr 16, 2018 10:14 am
Forum: Personal Finance (Not Investing)
Topic: Capital Gains Tax When Very Little Income
Replies: 7
Views: 1025

Re: Capital Gains Tax When Very Little Income

Since I won't be making any income beyond my investment income this year will my marginal tax rate on these capital gains be $0 because I will be in one of the lower income brackets? Or am I not understanding this correctly. How much cap gains get Federally taxed depends on how much all your income...
by JW-Retired
Sat Apr 14, 2018 9:16 am
Forum: Personal Finance (Not Investing)
Topic: Tax Consequences of Rolling a Traditional 401k to Roth IRA
Replies: 7
Views: 654

Re: Tax Consequences of Rolling a Traditional 401k to Roth IRA

Single (live in CA, which has state income tax) $10k business income @ 10% = $1k $10k non-qualified dividends @ 12% = $1.2k $20k qualified dividends @ 0% = $0k $10k qualified dividends @ 15% = $1.5k TOTAL = $3.7k Federal I also have a Traditional 401k with my previous employer and am thinking about...
by JW-Retired
Sat Apr 14, 2018 7:53 am
Forum: Investing - Help with Personal Investments
Topic: Trying to understand my 401K
Replies: 11
Views: 1408

Re: Trying to understand my 401K

Does this mean I can start a Roth now (neither I nor my husband currently have one) by just instructing my employer to do it for me? There are no warnings on the deferral form about income limits. I had the impression DH and I had too much income to have Roths. Our AGI for 2017 was about $212,000 (...
by JW-Retired
Fri Apr 13, 2018 9:55 am
Forum: Investing - Help with Personal Investments
Topic: Question on Roth conversion
Replies: 6
Views: 526

Re: Question on Roth conversion

I was under the impression that most people that do a Backdoor Roth want to convert as quickly as possible to avoid a taxable event. Everything I've read said they opened the non-deductible TIRA on day 1 and on day 2 they converted to a Roth. I recall reading that doing it this way, it's likely the...
by JW-Retired
Thu Apr 12, 2018 4:46 pm
Forum: Investing - Help with Personal Investments
Topic: Why traditional IRA better than Roth IRA
Replies: 87
Views: 7388

Re: Why traditional IRA better than Roth IRA

Traditional IRA is way better than Roth IRA because you do not pay tax in the beginning. Then when you reach 59 1/2 years old you make sure your withdrawals are at or less than $72K/year That way you don't pay tax ever. It turns out IRS does not tax dividends and capital gains up to 72K/year if you...
by JW-Retired
Thu Apr 12, 2018 2:19 pm
Forum: Personal Finance (Not Investing)
Topic: How do I make sure IRS receives my manual tax return ?
Replies: 89
Views: 6071

Re: How do I make sure IRS receives my manual tax return ?

In some forums it says IRS does not recognize certified or express or priority mail as proof So what is the best way to make sure IRS receives it? I generally do it via certified mail with a return receipt. They do send back the return receipt. Never had a federal or state tax return get lost in 50...
by JW-Retired
Thu Apr 12, 2018 9:00 am
Forum: Investing - Help with Personal Investments
Topic: Fund IRA's or not? Possible to have too much in IRA's?
Replies: 20
Views: 1951

Re: Fund IRA's or not? Possible to have too much in IRA's?

Coming back and adding to this: I looked into the process more. It turns out that I will need a 1099-R from Vanguard for the conversion. I will call Vanguard in the morning and see how quickly this would be issued. (Or can we do the conversion right away--before April 18th--and still file this with...
by JW-Retired
Wed Apr 11, 2018 7:02 pm
Forum: Investing - Help with Personal Investments
Topic: Why traditional IRA better than Roth IRA
Replies: 87
Views: 7388

Re: Why traditional IRA better than Roth IRA

Folks, don't forget about the standard deduction which could make quite a lot of the traditional IRA withdrawal tax-free. So no taxes going in and no taxes coming out. I haven't run the numbers, but suppose a MFJ family had $72K a year from $30K Social Security checks and $42K from a traditional IR...
by JW-Retired
Tue Apr 10, 2018 9:52 pm
Forum: Investing - Help with Personal Investments
Topic: Fund IRA's or not? Possible to have too much in IRA's?
Replies: 20
Views: 1951

Re: Fund IRA's or not? Possible to have too much in IRA's?

These are our tax-advantaged accounts: His Roth IRA: $48,362 His Rollover IRA (not Roth): $88,580. His 401(k): $358,165 - just under half of this is Roth. Her Roth IRA: $31,570 Her Inherited IRA (not Roth): $3,399,992 Her inherited IRA is different and doesn't come into this at all, so she can do a...
by JW-Retired
Tue Apr 10, 2018 7:51 am
Forum: Investing - Help with Personal Investments
Topic: Fund IRA's or not? Possible to have too much in IRA's?
Replies: 20
Views: 1951

Re: Fund IRA's or not? Possible to have too much in IRA's?

We do not qualify to fund Roth IRA's, but could each put $5,000 into traditional IRA's (for a total of $10,000 a year). We would not qualify for the IRA deduction however. The max contribution if you are age 50 or more is $6500. More important is you can convert your tIRA to a Roth IRA regardless o...
by JW-Retired
Mon Apr 09, 2018 10:35 am
Forum: Investing - Help with Personal Investments
Topic: Roth Contribution 2017 MAGI Limits
Replies: 7
Views: 441

Re: Roth Contribution 2017 MAGI Limits

See page 6 of this for a nice table & list of what is and isn't taxable compensation for purposes of IRA contributions.
https://www.irs.gov/pub/irs-pdf/p590a.pdf
JW
by JW-Retired
Mon Apr 09, 2018 8:59 am
Forum: Investing - Theory, News & General
Topic: What is your AA, given your age? and, Why?
Replies: 163
Views: 12170

Re: What is your AA, given your age? and, Why?

My current asset-allocation is approximately 40% bonds (money that I cannot afford to lose) and 60% stocks. Likewise ...... plus wife and I don't re-balance when stocks are down. That means a comforting thing about our 60/40 AA is if equities lose 50% of their value like in 2008, we still have 70% ...
by JW-Retired
Sun Apr 08, 2018 10:10 am
Forum: Investing - Theory, News & General
Topic: What is your AA, given your age? and, Why?
Replies: 163
Views: 12170

Re: What is your AA, given your age? and, Why?

Wife and I are in our 70's with a target AA= 60/40 forevermore. We sell stocks to re-balance if/when equities get up to 65, never on the downside. (They got down to a hair below 50 in 08/09.) We don't sell bonds to re-balance, only sell them as a proportional share of our RMDs. Why?..... It's very e...
by JW-Retired
Sat Apr 07, 2018 10:16 am
Forum: Investing - Help with Personal Investments
Topic: Help needed - Getting serious w/finances
Replies: 17
Views: 1667

Re: Help needed - Getting serious w/finances

Tax Rate: 24% Federal, 6% State State of Residence: CT Age: 37 Questions: 1. Should I roll over my old 401(k) into my new one or to an IRA? No IRA, roll it to the new 401k! Rolling to an IRA will seriously muck up your chance of doing a backdoor Roth. If you are in the 24% bracket you are at best a...
by JW-Retired
Fri Apr 06, 2018 7:44 pm
Forum: Investing - Help with Personal Investments
Topic: Surprise its a 5304-questions in post #40- transferring work simple IRA to frozen simple IRA
Replies: 78
Views: 3463

Re: My work in starting a simple IRA --questions

Today, she announced that she has chosen to go with a simple IRA in place of a 401K as there were less admin fees for the company and some other reasons her advisors gave her. I was disappointed, as while I have IRAs and other accounts with Vanguard, I wanted to put more money additional money into...
by JW-Retired
Thu Apr 05, 2018 7:14 pm
Forum: Personal Finance (Not Investing)
Topic: Roth IRA conversion from Traditional IRA
Replies: 3
Views: 310

Re: Roth IRA conversion from Traditional IRA

You will have to pay taxes on any pre-tax money in the traditional IRA, and I believe you will also have to pay taxes on any gains from the non-deductible contributions. You will not have to pay taxes on the non-deductible contributions. Yes, and OP needed to file form 8606 "Nondeductible IRAs" wit...
by JW-Retired
Thu Apr 05, 2018 6:11 pm
Forum: Personal Finance (Not Investing)
Topic: Backdoor Roth Questions
Replies: 4
Views: 468

Re: Backdoor Roth Questions

I recharacterized the 2016 and 2017 Roth contributions to non-deductible Traditional contributions. In January 2018, I made a non-deductible contribution to my Traditional IRA for 2018. I'd like to convert everything back to Roth eventually, if not now. I have no deductible contributions in my Trad...
by JW-Retired
Tue Apr 03, 2018 10:17 am
Forum: Investing - Help with Personal Investments
Topic: Any seasoned advisors to discuss best sectors/mutual funds for market out-performance?
Replies: 93
Views: 4726

Re: Any seasoned advisors to discuss best sectors/mutual funds for market out-performance?

What sectors, based on current information, do you think should outperform over the next 12 months? Any specific mutual fund picks? Suggest you pore over the latest Callan periodic table of investments for a while. It is a very pretty chart. Most all here think it isn't predictive but who knows, ma...
by JW-Retired
Sun Apr 01, 2018 7:19 pm
Forum: Personal Consumer Issues
Topic: Knocking pipes
Replies: 12
Views: 1555

Re: Knocking pipes

Meaty wrote:
Sun Apr 01, 2018 7:07 pm
JW-Retired wrote:
Sun Apr 01, 2018 7:04 pm
google "water hammer".
+1. Easy to fix. Shut off water to house, drain all pipes, turn water back on
Great! I'd forgotten the easy fix. :beer
(It empties air chamber piping of water.) ..... But I see OP tried that? Maybe read more about water hammer?
JW
by JW-Retired
Sun Apr 01, 2018 7:04 pm
Forum: Personal Consumer Issues
Topic: Knocking pipes
Replies: 12
Views: 1555

Re: Knocking pipes

google "water hammer".
by JW-Retired
Sun Apr 01, 2018 2:56 pm
Forum: Personal Finance (Not Investing)
Topic: SS Survivor Benefit Eligibility
Replies: 4
Views: 411

Re: SS Survivor Benefit Eligibility

Yes, unless she had a larger benefit herself, the basic monthly amount he was receiving will be her basic amount as a survivor.
JW
by JW-Retired
Sat Mar 31, 2018 9:10 am
Forum: Investing - Help with Personal Investments
Topic: Edward Jones
Replies: 26
Views: 3685

Re: Edward Jones

2) Does anyone know exactly what Edward Jones charges yearly for mutual funds in a brokerage account? I know they charge 1.35 yearly (guided solutions) in my retirement account. Chances are they make about the same in a different way. Their long practice has been selling you funds with high front o...
by JW-Retired
Fri Mar 30, 2018 8:26 am
Forum: Investing - Help with Personal Investments
Topic: Co-worker told me 401k/403b is a bad idea.
Replies: 52
Views: 5945

Re: Co-worker told me 401k/403b is a bad idea.

Her complaint was "When you hit 70 they make you start taking money from those accounts and you pay a lot of taxes on them." She's still working, her husband might still be working. She's stating the Roth would be a better choice. Actually, if still working they might be able to skip the RMDs for a...
by JW-Retired
Thu Mar 29, 2018 7:45 am
Forum: Personal Finance (Not Investing)
Topic: Roll over 401k - Backdoor Roth question
Replies: 6
Views: 647

Re: Roll over 401k - Backdoor Roth question

Thanks for the replies. I am not sure about the expense ratios but both 401ks hold vanguard index funds. The new company uses Financial Engines as the fund manager. Vanguard index funds are a hopeful sign, but to make a rational decision you do need to know the actual expenses you pay in your parti...
by JW-Retired
Wed Mar 28, 2018 9:29 am
Forum: Personal Finance (Not Investing)
Topic: Tax estimate with no earned income
Replies: 10
Views: 679

Re: Tax estimate with no earned income

Here is the tax estimator I usually use. I get zero Federal tax too.
https://www.hrblock.com/tax-calculator/#/en/te/aboutYou
JW
by JW-Retired
Wed Mar 28, 2018 8:54 am
Forum: Personal Finance (Not Investing)
Topic: Roll over 401k - Backdoor Roth question
Replies: 6
Views: 647

Re: Roll over 401k - Backdoor Roth question

1.Should we leave her previous 401k untouched 2. Roll it over to new company’s 401k ( ending up with same custodian and investment options) 3. Roll it to a Traditional IRA but lose the ability to do backdoor Roth sports at least make it much more complicated Which company has lower 401k expenses? T...
by JW-Retired
Wed Mar 28, 2018 6:48 am
Forum: Personal Finance (Not Investing)
Topic: When to Take Social Security (again...)
Replies: 62
Views: 5353

Re: When to Take Social Security (again...)

If one has a secure financial situation outside of SS, then starting the benefits in your sixties will give you the option of enjoying certain aspects of life when you have your most vigor. I would think the reverse would be better for most retirees. Spend more from your "secure financial situation...
by JW-Retired
Tue Mar 27, 2018 9:18 am
Forum: Investing - Help with Personal Investments
Topic: Lowest fees for 403(b) for Texas Teacher
Replies: 19
Views: 1178

Re: Lowest fees for 403(b) for Texas Teacher

I'm looking for the lowest fees and start her 403(b) investing on mutual funds for the next 20 years (when she retires). Sorry, but knowing the administrator of the plan doesn't relate well to knowing the fees. You need to dig through the investment options and their fees inside your particular 403...
by JW-Retired
Mon Mar 26, 2018 11:36 am
Forum: Personal Finance (Not Investing)
Topic: When to Take Social Security (again...)
Replies: 62
Views: 5353

Re: When to Take Social Security (again...)

I have not crunched the numbers after the tax law changes but an over 65 couple can have $25K in taxable income and $35K in Social Security and pay very little if any federal income tax. I have not crunched the numbers after the tax law changes but an over 65 couple can have $25K in taxable income ...
by JW-Retired
Fri Mar 23, 2018 9:21 am
Forum: Personal Finance (Not Investing)
Topic: Losing friends/family when wealthy
Replies: 118
Views: 10503

Re: Losing friends/family when wealthy

It appears that the closest people such as friends and family members are more passive aggressive instead of being genuinely happy for our success. For those of you that have accumulated a high net worth from modest means, have you experienced a loss of friends/family? No, but wife and I don't shar...
by JW-Retired
Thu Mar 22, 2018 11:18 am
Forum: Investing - Help with Personal Investments
Topic: Spouse's tIRA and backdoor Roth
Replies: 3
Views: 255

Re: Spouse's tIRA and backdoor Roth

My wife has $11k in a 403b from a previous job My wife has $20k in a spousal traditional IRA funded with deductible contributions I'm interested in a backdoor Roth IRA, but I'm not willing to pay the taxes to convert my traditional IRA to a Roth. However, I could convert my wife's spousal IRA to a ...
by JW-Retired
Thu Mar 22, 2018 9:52 am
Forum: Investing - Help with Personal Investments
Topic: Basic question!
Replies: 22
Views: 2036

Re: Basic question!

Thanks everyone! What is the argument against American Funds that I can give as my reasoning? I am sure I will be shown some graph of the American Funds performance beating these others over the years. No use giving them any reasoning or talking to them at all. Just call Vanguard, fill out their pa...
by JW-Retired
Thu Mar 22, 2018 8:26 am
Forum: Investing - Help with Personal Investments
Topic: Helping daughter set up an IRA
Replies: 28
Views: 1352

Re: Helping daughter set up an IRA

Typically, it is the earned income or the annual limit ($6500) whichever is less. but then the above link says everyone can contribute to a traditional IRA up to a limit regardless of income. That means whether student has earned 6500 or not we can still invest in IRA up to 6500. Is this correct? N...