Search found 658 matches

by Chadnudj
Thu Nov 16, 2017 4:19 pm
Forum: Investing - Help with Personal Investments
Topic: Help for semi retired friend with 8 figure savings
Replies: 68
Views: 4906

Re: Help for semi retired friend with 8 figure savings

Seems like a classic need/ability/willingness to take risk scenario, so start there: 1. What does your friend NEED to maintain his lifestyle through death? Find that number in terms of annual expenses, and then multiply it by 50, which would represent a 2% withdrawal rate. If it's $500k, that would ...
by Chadnudj
Mon Nov 13, 2017 1:17 pm
Forum: Investing - Help with Personal Investments
Topic: 529 Contribution limit for 2018
Replies: 2
Views: 463

Re: 529 Contribution limit for 2018

Yes, you individually can contribute $15k. Your spouse (if you have one) could contribute another $15k. And you could repeat this for multiple accounts (i.e. if you have 3 kids, $30k per in each). Now, that doesn't mean you'd get to deduct the full $30k (or $90k) in contributions from your state tax...
by Chadnudj
Tue Nov 07, 2017 2:44 pm
Forum: Personal Consumer Issues
Topic: I Cut the Cord yesterday!
Replies: 51
Views: 4297

Re: I Cut the Cord yesterday!

Just wanted to say loud and proud that I finally cut the cord from cable yesterday! I now only get internet from Spectrum and we have youtube TV (I had to have access to ESPN) for our channels along with hulu and netflix. It feels great to return all of the equipment to Spectrum. It was funny becau...
by Chadnudj
Tue Nov 07, 2017 7:57 am
Forum: Investing - Help with Personal Investments
Topic: Where to take more risk: 401k or Roth?
Replies: 32
Views: 2827

Re: Where to take more risk: 401k or Roth?

Now I'll open a related can of worms, er, "discussion thread." My daughter works for GE. Engineer there, bright future, at least to the extent that GE has a bright future. So who knows. Her 401k is in a low-cost 2055 target fund. 90% of it. She has two-years new cash ($11,000) in the Roth, deposite...
by Chadnudj
Mon Nov 06, 2017 11:33 am
Forum: Personal Finance (Not Investing)
Topic: Term Life - Time to cancel?
Replies: 33
Views: 2734

Re: Term Life - Time to cancel?

Just jumping in to note: I have term life insurance through Northwestern Mutual up to age 80. The policy does have "dividends" that get used to reduce my monthly premiums. (As does my disability insurance, FWIW.) It's still term insurance, though. My two cents: keep the insurance. Yes, it may never ...
by Chadnudj
Mon Nov 06, 2017 10:59 am
Forum: Investing - Help with Personal Investments
Topic: Investing in index funds at this moment
Replies: 50
Views: 3626

Re: Investing in index funds at this moment

Stealing this from the excellent "A Wealth of Common Sense" blog by Ben Carlson: The CAPE ratio has been above the 17.9 average 49 years and below average 40 years since 1928. But since 1990 there’s only been one year (2009) when it began the year below the rolling average historical CAPE. If you on...
by Chadnudj
Thu Oct 26, 2017 8:53 am
Forum: Investing - Help with Personal Investments
Topic: Payoff Student Loans or Save?
Replies: 13
Views: 1221

Re: Payoff Student Loans or Save?

Absolutely pay off the loans. THEN, save. You've got 5.25% guaranteed return on the loans you pay off. You can't beat that anywhere. No question. Pay off the loans. Only exception: If your employer offers a "match", then contribute enough to get your match. Then, the rest goes to pay down the loans...
by Chadnudj
Thu Oct 26, 2017 8:36 am
Forum: Personal Finance (Not Investing)
Topic: My fear about buying a house justified?
Replies: 72
Views: 6099

Re: My fear about buying a house justified?

Why not rent the 2 bedroom condo? It would cost you $2500 a month vs. $2800 for mortgage ($2500) plus HOA ($300), but would leave your cash untouched. You could then invest the $200k cash and $160k in CDs into a stock/bond allocation that makes sense for you, with a goal to bump up those retirement ...
by Chadnudj
Fri Oct 20, 2017 10:09 pm
Forum: Investing - Help with Personal Investments
Topic: Is my rental property worth keeping?
Replies: 28
Views: 1878

Re: Is my rental property worth keeping?

1850 rent on a 380k property is really really low. Are you renting below market rent? Also, tell us about the house? SF Detached? Age? Area? City? Sqr ft? etc... I added property details to the original post. I do think I am renting below market rate as I have not raised the rent for two years (las...
by Chadnudj
Tue Oct 17, 2017 12:17 pm
Forum: Personal Finance (Not Investing)
Topic: Car fund in index fun or savings?
Replies: 19
Views: 1459

Re: Car fund in index fun or savings?

Our goal is to never finance another car again. So, would it be smarter tax wise to keep car fund money in index funds vs. savings? Not to mention it would be nice to make some money on fund. Willing to take some risk. Really just trying to do what's best for tax consequences. Thanks in advance. Su...
by Chadnudj
Tue Oct 17, 2017 7:12 am
Forum: Investing - Help with Personal Investments
Topic: Should I contribute 100% of paycheck to 401k?
Replies: 13
Views: 2523

Re: Should I contribute 100% of paycheck to 401k?

Two things - There's a limit on your contribution. If you get a company match, you more than likely will not get that match with a front loading strategy. For example, I get a 5% match, based on my biweekly salary. If I want to fill up my annual $18k contribution in just a couple of months I'll be ...
by Chadnudj
Sat Oct 14, 2017 7:28 pm
Forum: Personal Consumer Issues
Topic: Which Streaming Service/Live TV?
Replies: 53
Views: 4915

Re: Which Streaming Service/Live TV?

May be slightly more expensive than your target, but I'm pleased with Hulu Live TV's service -- get all the ESPNs, HGTV, Food Network, Bravo, Big Ten Network, FX, Disney, Cartoon Network, CNN, MSNBC and my local ABC/CBS/NBC/Fox. Plus you get a DVR that records live TV for you/lets you pause, AND you...
by Chadnudj
Mon Oct 09, 2017 8:10 am
Forum: Investing - Help with Personal Investments
Topic: Windfall and advice
Replies: 52
Views: 4514

Re: Windfall and advice

If the only thing you're worried about is rebalancing, why not just go with Vanguard LifeStrategy? LifeStrategy Growth is basically an 80-20 stock-bond fund with international included, auto-rebalances, and has an expense of 0.15% (which is FAR less than you'd pay for a comparable adviser to do the...
by Chadnudj
Sun Oct 08, 2017 9:22 pm
Forum: Investing - Help with Personal Investments
Topic: Windfall and advice
Replies: 52
Views: 4514

Re: Windfall and advice

If the only thing you're worried about is rebalancing, why not just go with Vanguard LifeStrategy? LifeStrategy Growth is basically an 80-20 stock-bond fund with international included, auto-rebalances, and has an expense of 0.15% (which is FAR less than you'd pay for a comparable adviser to do the ...
by Chadnudj
Thu Sep 14, 2017 5:24 pm
Forum: Investing - Theory, News & General
Topic: Ted Seides "Why I lost My Bet With Warren Buffett" - Bloomberg
Replies: 94
Views: 12429

Re: Ted Seides "Why I lost My Bet With Warren Buffett" - Bloomberg

From article: Comparing hedge funds and the S&P 500 is a little bit like asking which team is better, the Chicago Bulls or the Chicago Bears. Like the Bulls and the Bears in the Windy City, hedge funds and the S&P 500 play different sports. Pretty much stopped reading there. Every Chicagoan can tell...
by Chadnudj
Wed Sep 13, 2017 1:07 pm
Forum: Personal Finance (Not Investing)
Topic: Paying off debt vs. max savings
Replies: 53
Views: 5892

Re: Paying off debt vs. max savings

If you want to keep the property, consider recasting the mortgage (i.e. paying off the principal but keeping the same interest rate/loan terms) down to a point where your monthly rent exceeds the monthly mortgage price plus some safety buffer. That way, what is currently a cash-flow drain is, at mi...
by Chadnudj
Wed Sep 13, 2017 12:32 pm
Forum: Personal Finance (Not Investing)
Topic: Paying off debt vs. max savings
Replies: 53
Views: 5892

Re: Paying off debt vs. max savings

Good point, and I have thought of that--selling the property. However, the house is currently valued at $80k (according to Zillow based on surrounding comps). We receive about $950 in rental income with $90/mo going to property management (it is too far from us to manage ourselves). So, if we sold ...
by Chadnudj
Wed Sep 13, 2017 12:20 pm
Forum: Investing - Help with Personal Investments
Topic: Traditional 401K vs Roth 401K
Replies: 90
Views: 5339

Re: Traditional 401K vs Roth 401K

Thank you to FiveK and JBTX for the explanations! Was really struggling with how to conceptualize it mathematically, but now I see what you're talking about.
by Chadnudj
Wed Sep 13, 2017 11:17 am
Forum: Investing - Help with Personal Investments
Topic: Traditional 401K vs Roth 401K
Replies: 90
Views: 5339

Re: Traditional 401K vs Roth 401K

So if your total (SS+traditional 401k withdrawals) is in the 28% bracket, you're still paying no more than 28% on that last dollar (and probably less since only 85% of your SS amount is subject to that tax). Am I right in this? Or have I got it all wrong? I just am not understanding how you come to...
by Chadnudj
Tue Sep 12, 2017 11:39 pm
Forum: Investing - Help with Personal Investments
Topic: Traditional 401K vs Roth 401K
Replies: 90
Views: 5339

Re: Traditional 401K vs Roth 401K

How do you know what his marginal tax rate at retirement will be? Like I said, my scenario is somewhat similar to his, and somebody ran some numbers for me (based upon my inputs) and my marginal tax rate in retirement was above 40% - due to tax on social security. I've seen you mention this repeate...
by Chadnudj
Tue Sep 12, 2017 11:28 pm
Forum: Investing - Help with Personal Investments
Topic: Traditional 401K vs Roth 401K
Replies: 90
Views: 5339

Re: Traditional 401K vs Roth 401K

Just to add a few details which might spur any additional thoughts from everyone: We are fortunate enough that our current household gross income is about $215K to $255K depending on how annual bonuses fall. That places the later portions of our current income in a pretty high tax rate. Given earni...
by Chadnudj
Tue Sep 12, 2017 8:37 am
Forum: Investing - Help with Personal Investments
Topic: Dividend impact of investing $4,000 / month in VTSAX?
Replies: 5
Views: 1298

Re: Dividend impact of investing $4,000 / month in VTSAX?

The one practical interest in estimating dividend income I can think of is anticipating one's tax costs. Exactly. If you can estimate the expected dividend income, you can also estimate how much you need to set aside in cash each year (or additional amount you need withheld from your wages) to pay ...
by Chadnudj
Wed Sep 06, 2017 12:10 pm
Forum: Personal Finance (Not Investing)
Topic: When calculating net worth, how do you value your house?
Replies: 167
Views: 9158

Re: When calculating net worth, how do you value your house?

For primary residence, I use our purchase price. Yes, it has increased in value since we bought it, but I want to be very conservative in regards to its value, since it's not really an "investment" but rather a place we live that has some investment-like features. For rental property, I use Zillow e...
by Chadnudj
Tue Sep 05, 2017 10:55 pm
Forum: Personal Consumer Issues
Topic: Name something you had to have and now you regret purchasing it?
Replies: 275
Views: 25256

Re: Name something you had to have and now you regret purchasing it?

A rental property. Look, it may end up working out in the end....but I think of the time/money spent on the property (and the lost earnings on that time/money invested elsewhere) and the pain in the neck tenants (although my current tenants are wonderful), and all I can say is that once these tenant...
by Chadnudj
Fri Aug 25, 2017 11:27 pm
Forum: Personal Finance (Not Investing)
Topic: "I'm Bill Bengen, and I first proposed the 4% safe withdrawal rate in 1994. Ask me anything!"
Replies: 119
Views: 14522

Re: "I'm Bill Bengen, and I first proposed the 4% safe withdrawal rate in 1994. Ask me anything!"

Any study that uses rolling windows and only data after 1970 is very suspect. Aside from the problems with rolling window to begin with, there are only 17 30-year periods since 1970 and only 7 40-year periods. :oops: How can one possibly make a statement about safe withdrawal rates and probability ...
by Chadnudj
Fri Aug 25, 2017 10:23 am
Forum: Investing - Help with Personal Investments
Topic: Priorities - Biglaw junior associate
Replies: 45
Views: 4677

Re: Priorities - Biglaw junior associate

This is a fascinating thread. I understand the people who have responded and said don't pay down the debt yet, prepayment gets you nowhere, etc. But it's interesting that everyone who has responded and who has worked or is working in BigLaw has given you the same investment -- pay down the debt fir...
by Chadnudj
Fri Aug 25, 2017 7:43 am
Forum: Investing - Help with Personal Investments
Topic: Priorities - Biglaw junior associate
Replies: 45
Views: 4677

Re: Priorities - Biglaw junior associate

I don't think there is a right answer to this, really, but I lean towards saving excess money rather than paying off the student loan debt. Right now, you can afford the student loan payments, and you even mention paying some excess. This is great. For now, and perhaps you'll make partner and pay of...
by Chadnudj
Wed Aug 23, 2017 9:21 pm
Forum: Personal Consumer Issues
Topic: Miles Davis: Kind of Blue - Question for Jazz experts
Replies: 49
Views: 3440

Re: Miles Davis: Kind of Blue - Question for Jazz experts

If you love Miles Davis and Kind of Blue, I'd definitely suggest moving on with the following artists: Dave Brubeck - Time Out (although really just go for Greatest Hits, which will get you the best of Time Out plus some of Brubeck's cool stuff like his jazz interpretations of West Side Story) John ...
by Chadnudj
Thu Aug 10, 2017 10:19 am
Forum: Investing - Help with Personal Investments
Topic: Where To Put My Emergency Fund?
Replies: 58
Views: 4834

Re: Where To Put My Emergency Fund?

State of emergency or no, it's happened several times in recent U.S. history. Most of Michigan and some areas in nearby states and Canada lost power for over 24 hours due to a power grid issue. Many retailers stayed open, but the only way people could buy anything was with hard cash. The utility co...
by Chadnudj
Thu Aug 10, 2017 10:01 am
Forum: Investing - Help with Personal Investments
Topic: Where To Put My Emergency Fund?
Replies: 58
Views: 4834

Re: Where To Put My Emergency Fund?

In the event of a significant power outage, retailers can't verify your checks and may not take them (do you carry checks around with you?), ATMs don't work, and credit cards don't work either. It's happened several times in the U.S. And yes, fire resistant boxes are cheap and easily available. And...
by Chadnudj
Fri Aug 04, 2017 1:36 pm
Forum: Personal Finance (Not Investing)
Topic: Help with understanding - pay taxes now or in future
Replies: 59
Views: 3614

Re: Help with understanding - pay taxes now or in future

However, with the assumption that taxes always go up, doesn't it make sense to just pay today's known federal and state income tax rate instead of deferring and paying an unknown , likely higher, tax rate? If the fees and funds offered in a 401k/403b program are inferior, then this approach seems t...
by Chadnudj
Wed Aug 02, 2017 10:09 am
Forum: Personal Consumer Issues
Topic: belts for dress pants
Replies: 37
Views: 2627

Re: belts for dress pants

Go to Marshalls/Ross/TJ Maxx. They'll have tons of perfectly nice (even designer!) belts for low prices.

I, for one, never buy dress accessories (specifically ties and/or belts) anywhere other than Marshalls/Ross/TJ Maxx.
by Chadnudj
Wed Aug 02, 2017 9:58 am
Forum: Investing - Help with Personal Investments
Topic: Request help deciding on Roth vs Traditional
Replies: 17
Views: 876

Re: Request help deciding on Roth vs Traditional

Agreed with posters above: 1. Max Roth IRAs ($5.5k per person, $11k total) each year. 2. Max Traditional 401k (you can contribute up to $18k; your employer contribution is just a "bonus" on top of this number) Generally speaking, if you (a) do not have a pension, (b) are not very early in your caree...
by Chadnudj
Wed Aug 02, 2017 7:19 am
Forum: Personal Finance (Not Investing)
Topic: How far off are Zillow's estimates?
Replies: 82
Views: 8306

Re: How far off are Zillow's estimates?

I think it tends to vary in terms of accuracy based on your property's neighborhood/features....but it isn't TERRIBLE, per se. I have two properties: our primary home condo and a rental property in another state. For our primary home, I use our purchase price as the value in my net worth spreadsheet...
by Chadnudj
Tue Aug 01, 2017 9:08 am
Forum: Investing - Help with Personal Investments
Topic: Plan for enough assets to get to age 70 if stocks plummet?
Replies: 14
Views: 2129

Re: Plan for enough assets to get to age 70 if stocks plummet

A concern, which confuses me when calculating our future budget, is the cost of health care and the financial effects of losing the employer retirement plan. I'm not sure how to factor in the loss of health insurance since our medical coste are unpredictable and have risen over the years. There is ...
by Chadnudj
Mon Jul 31, 2017 4:32 pm
Forum: Personal Finance (Not Investing)
Topic: Moving to the suburbs - how much can i afford?
Replies: 22
Views: 1175

Re: Moving to the suburbs - how much can i afford?

I will note that I'm going to follow this thread pretty carefully, because much of this sounds like my scenario (married, two kids under 3, dog, living in condo in the city, looking to move to suburbs). I will note one thing, though -- you're already paying $1500 a month for daycare, so going from t...
by Chadnudj
Mon Jul 31, 2017 11:11 am
Forum: Investing - Help with Personal Investments
Topic: Do I Have Enough In My Emergency Fund?
Replies: 22
Views: 3069

Re: Do I Have Enough In My Emergency Fund?

I'd remember that, technically speaking, ALL savings/funds/investments are emergency funds, when it comes down to it. I mean, you don't WANT to tap your 401k, but if the emergency got dire enough, it's there. 6 months is good because (a) the larger actual expenses in life (a new roof, a new car, etc...
by Chadnudj
Mon Jul 31, 2017 10:21 am
Forum: Personal Finance (Not Investing)
Topic: Should we increase our retirement savings rate?
Replies: 35
Views: 2939

Re: Should we increase our retirement savings rate?

My two cents: - You have a lot of general ideas of what you'd do with this money (maybe a cabin, maybe a couple jet ski rentals, etc.), but no specific ideas. - You're pretty close to maxing out your 401ks now (i.e. just $9k off) and already max Roth IRAs. If that's the case, why NOT just bite the b...
by Chadnudj
Mon Jul 24, 2017 4:45 pm
Forum: Personal Finance (Not Investing)
Topic: Order of Operations (Retirement, Loans, Emergency Fund)
Replies: 25
Views: 1706

Re: Order of Operations (Retirement, Loans, Emergency Fund)

Let's say you have a) An emergency fund that is less than 3 months b) Access to a 401k with a match c) Access (income low enough) to a Roth IRA d) Student loan debt around 4-5% e) Upcoming expenses Let's say you can save about $20k a year. Do you...max out your 401k without topping off your emergen...
by Chadnudj
Mon Jul 24, 2017 9:15 am
Forum: Personal Finance (Not Investing)
Topic: PMI - Why So Much Hate? [Private Mortgage Insurance]
Replies: 13
Views: 1491

Re: PMI - Why So Much Hate?

I agree -- while it's important to realize what interest you're paying with PMI, don't let the tail of PMI wag the dog, so to speak. For instance, we have PMI on our condo -- we put 10% down on a $428k condo, and pay PMI of approximately $150 or so a month. Not great, obviously. But, our PITI plus C...
by Chadnudj
Sun Jul 23, 2017 8:17 am
Forum: Personal Consumer Issues
Topic: Is Amazon Prime worth it?
Replies: 135
Views: 10955

Re: Is Amazon Prime worth it?

Time is money. This nails it. Amazon is such a huge waste of time (and money). And it's very inconvenient. And the 3rd party sellers are nasty. And customer service is non-existent. Fake quality, fake quantity (just like Wholefoods). Etc. Paying a membership fee is beyond ludicrous. Nice one. You t...
by Chadnudj
Sun Jul 23, 2017 8:07 am
Forum: Personal Consumer Issues
Topic: Is Amazon Prime worth it?
Replies: 135
Views: 10955

Re: Is Amazon Prime worth it?

Personally, I love it. The Amazon Prime video collection isn't perfect, but there's plenty of good content/movies (Moonlight and Manchester by the Sea, for instance, are Oscar nominated/winning movies currently on Prime), particularly in terms of kids shows (Daniel Tiger, for instance, is on Prime)....
by Chadnudj
Sat Jul 15, 2017 10:12 am
Forum: Investing - Help with Personal Investments
Topic: Reduce MAGI
Replies: 8
Views: 1452

Re: Reduce MAGI

Hello, I am on track to make $105 this year, making maximum contributions to 401k and HSA. Full-time grad student and filing single; not a homeowner. I am interested in learning about possible strategies for reducing my MAGI to enable deductions for education expenses and student loan interest paym...
by Chadnudj
Sat Jul 15, 2017 9:18 am
Forum: Personal Finance (Not Investing)
Topic: What am I missing here? [I'm a bachelor]
Replies: 51
Views: 3715

Re: What am I missing here? [I'm a bachelor]

Looked at a house today, $240,000 with a 30 year fixed at 3.75% APR I will pay $270,000 in interest/$510,000 total principle+interest at the end of the 30 years. Add in all the home maintenance, and the taxes. This is why I rent. I have no kids, no wife. Don't need it. The white picket fence Americ...
by Chadnudj
Fri Jul 14, 2017 7:12 am
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5459

Re: When to max out 401k (Aspiring Early Retiree)

I am loathe to implement it because I fear getting into debt. Lifestyle creep should be avoided, but not every major expense will be lifestyle creep. For example, my car breaks down and I need a new one. What if I can't pay cash to repair it because i dont' have enough reserves? Then I need to buy ...
by Chadnudj
Sat Jul 08, 2017 9:00 am
Forum: Investing - Help with Personal Investments
Topic: Helping an 18 year old start investing
Replies: 16
Views: 992

Re: Helping an 18 year old start investing

VTSAX (or, since they're younger and probably not eligible for Admiral Fund Shares, the Investor Shares of the same), all the way. Actually, VTI (the ETF version of VTSAX) might be even better, since there is no minimum necessary (save the amount to buy 1 full share) They are 18 years old, and have ...
by Chadnudj
Mon Jul 03, 2017 12:23 pm
Forum: Investing - Help with Personal Investments
Topic: The conundrum I am in concerning need vs desire
Replies: 19
Views: 2473

Re: The conundrum I am in concerning need vs desire

Friends, In just a few weeks I will be retiring and will be moving my 401K to a Vanguard traditional IRA. The IRA will be a 3-fund portfolio of TSM, TINTL, and TBM. (The current 401K is in the American Fund Balanced Fund which has approximately a 60/40 asset allocation). My military retirement and ...
by Chadnudj
Mon Jul 03, 2017 10:29 am
Forum: Personal Finance (Not Investing)
Topic: Student loan payoff vs emergency fund or continue investing
Replies: 20
Views: 1944

Re: Student loan payoff vs emergency fund or continue investing

I'll be a slight dissenter here: Don't worry about increasing the emergency fund. You have a taxable account of $132k, that you're contributing around $36k a year to. That IS an emergency fund -- you could always sell shares if you needed money, and do so in as tax-efficient a manner as possible. Yo...
by Chadnudj
Sun Jul 02, 2017 9:38 am
Forum: Investing - Help with Personal Investments
Topic: 33 and getting serious about retirement
Replies: 17
Views: 2281

Re: 33 and getting serious about retirement

I'll just say you should really consider re-financing those student loans -- SoFi and others have much lower interest rates than that for someone like yourself (high earner, highly educated, etc.)....you're likely to find rates down near 4% if not lower than that if you can stomach a variable intere...
by Chadnudj
Thu Jun 29, 2017 9:35 am
Forum: Investing - Theory, News & General
Topic: Yes, This Is Market Timing: If the CAPE Goes Above 30, Bring on the Larry
Replies: 142
Views: 11176

Re: Yes, This Is Market Timing: If the CAPE Goes Above 30, Bring on the Larry

There is, of course, a middle ground between both positions. 1. You set asset allocation ranges that are comfortable based on your age/ability to take risk/need to take risk, etc. and 2. You allow yourself to fluctuate within those ranges based on valuations. So, for instance, someone could say tha...