Search found 568 matches

by Chadnudj
Fri Feb 24, 2017 11:47 pm
Forum: Investing - Theory, News & General
Topic: Please vote on the wisest decision
Replies: 44
Views: 2071

Re: Please vote on the wisest decision

This is the IRS defination of "Covered by an Employer's Retirement Plan": "You’re covered by an employer retirement plan for a tax year if your employer (or your spouse’s employer) has a: Defined contribution plan (profit-sharing, 401(k), stock bonus and money purchase pension plan) ...
by Chadnudj
Fri Feb 24, 2017 11:40 pm
Forum: Investing - Theory, News & General
Topic: Please vote on the wisest decision
Replies: 44
Views: 2071

Re: Please vote on the wisest decision

Also, I'm missing something, but why can't your wife do a traditional IRA because she has a pension? That makes no sense to me....she should be able to do a Roth OR Traditional IRA, even if she qualifies for a pension....heck, many workers with pensions ALSO have a 401k (or the public sector equiva...
by Chadnudj
Fri Feb 24, 2017 11:26 pm
Forum: Investing - Theory, News & General
Topic: Please vote on the wisest decision
Replies: 44
Views: 2071

Re: Please vote on the wisest decision

Can't you do Roth and 401k? I can, but can't maximize both of them, may be after I am done saving for my first home down payment.. Then the answer is two fold: 1. Do 401k in S&P 500 fund up to any match you get from your employer, then Roth to $5500 max ($11k for couple), then back to 401k. BUT...
by Chadnudj
Thu Feb 23, 2017 11:37 pm
Forum: Personal Finance (Not Investing)
Topic: Purchasing a new house -- Are we being stupid to consider it?
Replies: 35
Views: 3559

Re: Purchasing a new house -- Are we being stupid to consider it?

I contribute about $800/month to 401k but have to be careful about hitting IRS maximum when including employer's contribution and my overtime (I get paid by the hour which also increases employer profit sharing) Contribute $1100/month to taxable mutual funds Contribute $700/month to 529's for kids ...
by Chadnudj
Tue Feb 21, 2017 12:02 pm
Forum: Investing - Help with Personal Investments
Topic: Advice on what to do with portion of the downpayment. Short but flexible time horizon
Replies: 6
Views: 358

Re: Advice on what to do with portion of the downpayment. Short but flexible time horizon

Vanguard Total Bond Fund? You have both an emergency fund of 6 months, plus this $125k that you have to have for liquidity requirements....so, technically, you could show the coop board the emergency fund as PART of the liquidity requirements (they don't need to know it's your emergency fund). Depe...
by Chadnudj
Tue Feb 21, 2017 11:27 am
Forum: Investing - Theory, News & General
Topic: Warren Buffett v. Bogleheads
Replies: 39
Views: 3637

Re: Warren Buffett v. Bogleheads

A common quote that I see floating around here is Warren Buffett's famous "be fearful when others are greedy, and be greedy when others are fearful". Sounds like words of wisdom, but I just realized that is market timing. How do Bogleheads reconcile this? If you're in the accumulation sta...
by Chadnudj
Fri Feb 17, 2017 11:48 pm
Forum: Investing - Help with Personal Investments
Topic: Advice on what to do with portion of the downpayment. Short but flexible time horizon
Replies: 6
Views: 358

Re: Advice on what to do with portion of the downpayment. Short but flexible time horizon

Vanguard Total Bond Fund? You have both an emergency fund of 6 months, plus this $125k that you have to have for liquidity requirements....so, technically, you could show the coop board the emergency fund as PART of the liquidity requirements (they don't need to know it's your emergency fund). Depen...
by Chadnudj
Mon Feb 13, 2017 2:24 pm
Forum: Personal Finance (Not Investing)
Topic: The old debate on taxes now vs later
Replies: 25
Views: 2454

Re: The old debate on taxes now vs later

Can I ask a (probably) dumb question? What is the rationale behind a 401a contribution (i.e. getting up to the $53k limit using post-tax dollars)? Why is it better than using that money in a taxable account? Just curious, because while we max out our 401ks and will (hopefully) soon be doing backdoo...
by Chadnudj
Mon Feb 13, 2017 2:15 pm
Forum: Personal Finance (Not Investing)
Topic: The old debate on taxes now vs later
Replies: 25
Views: 2454

Re: The old debate on taxes now vs later

Can I ask a (probably) dumb question? What is the rationale behind a 401a contribution (i.e. getting up to the $53k limit using post-tax dollars)? Why is it better than using that money in a taxable account? Just curious, because while we max out our 401ks and will (hopefully) soon be doing backdoo...
by Chadnudj
Mon Feb 13, 2017 2:01 pm
Forum: Personal Finance (Not Investing)
Topic: The old debate on taxes now vs later
Replies: 25
Views: 2454

Re: The old debate on taxes now vs later

For my personal situation; I think a good option for me would be to max my 401k contribution at $18k, do a backdoor Roth conversion for my wife and I for another $11k, continue to contribute whatever is left to hit the max $53k per IRS 401a rules less what my employe puts in. I should be able to to...
by Chadnudj
Tue Feb 07, 2017 7:02 am
Forum: Investing - Theory, News & General
Topic: A short study of the recent Japanese crisis
Replies: 56
Views: 4325

Re: A short study of the recent Japanese crisis

Loved this article. The big takeaways for me: 1. Even in the worst case scenario of retiring at the end of 1989, in Japan, fully invested domestically in Japan with a 60/40 stock/bond asset allocation, a 3.3% SWR works for a 30 year retirement period; add a bit of international diversification and/o...
by Chadnudj
Fri Feb 03, 2017 4:31 pm
Forum: Investing - Help with Personal Investments
Topic: Game won with market up and retire or Not Yet?
Replies: 33
Views: 4864

Re: Game won with market up and retire or Not Yet?

I'd do two things: 1. Get to 60/40 asset allocation, stat (albeit in a way that makes sense in terms of taxes, etc.). You have the game won -- don't blow it by being too aggressive. This is the "need to take risk" aspect -- you don't need to take so much risk, so don't. 2. Related to and f...
by Chadnudj
Fri Feb 03, 2017 11:28 am
Forum: Personal Finance (Not Investing)
Topic: Where to Park Emergency Fund to protect against inflation
Replies: 32
Views: 3639

Re: Where to Park Emergency Fund to protect against inflation

Hello, I am SAHM and my husband is the breadwinner. We have two children DD 17, DS 14. I have following questions about the emergency fund. 1. My husband's job isn't easily replaceable. So, he feels comfortable with 12 years of expense($72,000) + $5000 (Home Emergency) + $5000 (Auto Emergency). 2. ...
by Chadnudj
Fri Feb 03, 2017 11:13 am
Forum: Personal Consumer Issues
Topic: Where to stay in Siesta Key
Replies: 10
Views: 1263

Re: Where to stay in Siesta Key

I grew up in Sarasota and I'm very familiar with Siesta Key. A 3-4 night stay on Siesta Key itself is going to be tough to manage -- there aren't really hotels on the beach, and most condos are week-long (or longer) rentals, particularly in-season. There are some places that will do shorter term ren...
by Chadnudj
Thu Feb 02, 2017 1:10 pm
Forum: Personal Finance (Not Investing)
Topic: Rent vs. buy analysis
Replies: 7
Views: 831

Re: Rent vs. buy analysis

I'd also point out that given that your father-in-law is in his mid-80s, renting might be a much wiser decision depending on his health, the considerable transaction costs in buying/selling, and maintenance factors of owning.
by Chadnudj
Mon Jan 30, 2017 4:18 pm
Forum: Investing - Help with Personal Investments
Topic: Do I use Effective or Marginal Tax Rate to Decide on tIRA vs Roth?
Replies: 26
Views: 1900

Re: Do I use Effective or Marginal Tax Rate to Decide on tIRA vs Roth?

Your retirement income needn't be all portfolio withdrawals. Pensions, annuities and SS are generally taxable as well. True, but most retirees don't have pensions or annuities, and the average SS payout is only around $15k per year. But to be honest, I never factor SS in my own calculations since I...
by Chadnudj
Thu Jan 26, 2017 12:55 pm
Forum: Investing - Help with Personal Investments
Topic: My 401k fees - worth it?
Replies: 6
Views: 631

Re: My 401k fees - worth it?

So I still have some money left at a previous employer's 401k. They charge fees of about $80 on close to $100k I have there. This is like a 0.08% ER. However, the choice of funds is excellent, including many low ER commission free ETFs. My other option is to rollover to my current employer's 401k a...
by Chadnudj
Wed Jan 25, 2017 2:22 pm
Forum: Investing - Help with Personal Investments
Topic: Completely new/oblivious to most of this... need advice
Replies: 16
Views: 1119

Re: Completely new/oblivious to most of this... need advice

I'll echo what cantos said above -- you're 26, which is still REMARKABLY early to start getting a handle on this. Plus, from the appearance of things, you don't have debt (other than your mortgage), which is also good. A couple questions: 1. Does your spouse work? You mention your income, but nothin...
by Chadnudj
Tue Jan 24, 2017 12:00 pm
Forum: Personal Finance (Not Investing)
Topic: Share your net worth progression
Replies: 469
Views: 112262

Re: Share your networth progression

I am leary about using online services that require sharing of passwords. With all of the hacking, it makes me a bit uneasy. Yeah, that risk is the price you pay for the convenience. Will be worth it to some, not so much to others. I use a Google Docs spreadsheet. I just log on once a month (always...
by Chadnudj
Tue Jan 17, 2017 2:20 pm
Forum: Personal Finance (Not Investing)
Topic: Saving rater after becoming father
Replies: 27
Views: 2444

Re: Saving rater after becoming father

HI Gents, I'm 27 and living with my girlfriend, 28. We currently save around $6-7K/month. We are considering to have a child in the next 1-2 years. Currently, we are saving a good chunk of our salary and I'd like to understand from your experience, how has your saving rate evolved after the first k...
by Chadnudj
Tue Jan 17, 2017 11:09 am
Forum: Investing - Theory, News & General
Topic: Investing only after a market correction
Replies: 99
Views: 6859

Re: Investing only after a market correction

No, you can't do both! You only have $1k and it can't be used for both repayment and investing at the same time. Splitting the different is the easy, lazy answer. It's saying you don't know which is better, or don't care, or can't tell. If you took this type of strategy at every choice, you'd wind ...
by Chadnudj
Tue Jan 17, 2017 10:49 am
Forum: Investing - Help with Personal Investments
Topic: Investing at times of job insecurity/unemployment
Replies: 14
Views: 1426

Re: Investing at times of job insecurity/unemployment

If you're facing a potential near-term job loss, you need to not worry about investing. You need to worry about building up a larger cash emergency fund and/or networking to find your next job. You're not yet in a position to be financially independent (or so it seems), so you'll need to continue wo...
by Chadnudj
Mon Jan 16, 2017 12:26 am
Forum: Investing - Theory, News & General
Topic: Investing only after a market correction
Replies: 99
Views: 6859

Re: Investing only after a market correction

True, because I want to invest and my better half wants to pay down the debt. So it's a decision of two and thus the dichotomy. She's already turned down the idea. But, I am still curious, not that I will do it as she has the implied veto. P.S: She makes a good point whenever it comes to debt. If f...
by Chadnudj
Sat Jan 14, 2017 6:37 pm
Forum: Investing - Theory, News & General
Topic: Investing only after a market correction
Replies: 99
Views: 6859

Re: Investing only after a market correction

True, because I want to invest and my better half wants to pay down the debt. So it's a decision of two and thus the dichotomy. She's already turned down the idea. But, I am still curious, not that I will do it as she has the implied veto. P.S: She makes a good point whenever it comes to debt. If f...
by Chadnudj
Sat Jan 14, 2017 1:31 pm
Forum: Investing - Help with Personal Investments
Topic: Long Term Retirement Advice
Replies: 5
Views: 764

Re: Long Term Retirement Advice

Why are you putting $10,400 into a taxable account before either (a) maxing out a Roth (either ordinary or backdoor) or (b) maxing out your 401k all the way to $18k (which would reduce your taxes)?

And as the previous posted noted, WAY too many funds. Get it down to 3-4, max.
by Chadnudj
Sat Jan 14, 2017 1:02 pm
Forum: Investing - Theory, News & General
Topic: Shouldn't everyone do a traditional IRA/401k instead of a Roth?
Replies: 132
Views: 7753

Re: Shouldn't everyone do a traditional IRA/401k instead of a Roth?

jacoavlu wrote:My 10 year old daughter has a paper route and made $5000
She will file a tax return and her liabliltiy will be $0.
Should she contribute to a tIRA or a Roth IRA?


Almost certainly a Roth.
by Chadnudj
Sat Jan 14, 2017 12:59 pm
Forum: Investing - Theory, News & General
Topic: Shouldn't everyone do a traditional IRA/401k instead of a Roth?
Replies: 132
Views: 7753

Re: Shouldn't everyone do a traditional IRA/401k instead of a Roth?

Who would have more income as a retiree than when they're working? I do. I kept my taxable income down in the 25% bracket while working and contributing the max to my tax deferred 403(b). In retirement, I'm now in the 28% bracket. This is not a terrible situation but, knowing what I do now, I would...
by Chadnudj
Sat Jan 14, 2017 8:00 am
Forum: Investing - Help with Personal Investments
Topic: 65k Cash. 25 y/o. Best place to put this?
Replies: 25
Views: 1676

Re: 65k Cash. 25 y/o. Best place to put this?

Derivative wrote:Can the 529 save me on my income taxes now or will the earnings only be tax free?


Both. The 529 will be a state (not federal) income tax deduction, and its earnings will be tax free.
by Chadnudj
Sat Jan 14, 2017 12:15 am
Forum: Investing - Help with Personal Investments
Topic: 65k Cash. 25 y/o. Best place to put this?
Replies: 25
Views: 1676

Re: 65k Cash. 25 y/o. Best place to put this?

I currently have 65k cash in a 1% APY savings account. I'm 25 y/o planning to go to medical school within 2 years. Is this the best place to put this cash? I already have maxed out my Vanguard Roth IRA contributions. I have no house and am currently renting. Not sure if I should try to purchase a h...
by Chadnudj
Sat Jan 14, 2017 12:04 am
Forum: Personal Finance (Not Investing)
Topic: Let's say you are dying this year
Replies: 46
Views: 6865

Re: Let's say you are dying this year

The frequent flyer miles seems to be a big YMMV. Officially their airline (AA) does not permit miles to be inherited, although there are some anecdotal exceptions. They have had top tier status with AA for several years so that may help, on the other hand it's not something I would necessarily coun...
by Chadnudj
Fri Jan 13, 2017 11:58 pm
Forum: Investing - Help with Personal Investments
Topic: Sell stock to pay debt?
Replies: 23
Views: 1109

Re: Sell stock to pay debt?

I'm on track to have the loans paid off March 2018. I do have extra cash flow but most of that goes toward paying down the mortgage at 4%. Mathematically, that makes no sense. The student loans both have higher interest rates. You're in the 28% tax bracket, so the interest on those student loans ar...
by Chadnudj
Thu Jan 12, 2017 6:09 pm
Forum: Personal Finance (Not Investing)
Topic: How to best approach saving for retirement/debt reduction
Replies: 14
Views: 696

Re: How to best approach saving for retirement/debt reduction

It's not going to be a popular position here on Bogleheads, but maybe consider lining up another credit card that would have a 0% balance transfer offer in case you're not done paying off the CC debt in 18 months. Even if there is a one-time 3% fee on the balance transfer (which is typical), that's ...
by Chadnudj
Wed Jan 11, 2017 4:52 pm
Forum: Investing - Help with Personal Investments
Topic: How to allocate 3-6 million in assets to achieve goals?
Replies: 72
Views: 7579

Re: How to allocate 3-6 million in assets to achieve goals?

$500k in a cash "emergency fund" (kept in 2-5 online savings banks to ensure FDIC insurance limits are observed) $5.5 million in VTSAX. The $5.5 million in VTSAX, with a current SEC dividends yield of 1.96%, would yield $107,800 per year ($8983 a month), nearly $3k a month in excess of you...
by Chadnudj
Wed Jan 11, 2017 1:48 pm
Forum: Investing - Help with Personal Investments
Topic: How're we doing?
Replies: 33
Views: 3424

Re: How're we doing?

I feel like there are some details missing that skew the advice to pay off the debt first. What we see is a large amount of debt and a negative networth, which quickly leads one to think you shouldn't take on more debt with a house. However, you also have a large income, and as a percentage of your...
by Chadnudj
Wed Jan 11, 2017 1:32 pm
Forum: Investing - Help with Personal Investments
Topic: How're we doing?
Replies: 33
Views: 3424

Re: How're we doing?

We discussed last night finding a better 2+ bedroom apartment that we can live in even if we have a baby in a year. That way we get out of our current situation faster (this spring is the target) and put off the need to find a house until we're financially ready for it. We'll double our rent in the...
by Chadnudj
Tue Jan 10, 2017 6:19 pm
Forum: Personal Finance (Not Investing)
Topic: Dumping An Out Of State Condo
Replies: 8
Views: 1049

Re: Dumping An Out Of State Condo

Why not get in touch with a national company like Keller Williams deal with agent in your town and they work with agent where condo is located. This. Get a referral from someone in your area for an agent down there. Odds are, they know someone. (Or: where in South Florida? I know a number of realto...
by Chadnudj
Tue Jan 10, 2017 12:09 pm
Forum: Investing - Help with Personal Investments
Topic: What would you do with $30k at 30 years old?
Replies: 49
Views: 3631

Re: What would you do with $30k at 30 years old?

I have $30k to invest -I have a Roth IRA already and have paid off my debt. -I am a remodeler and have the ability to flip houses for less cost than most people. What would you do? Real estate? Stocks? something else? What type of flips would you do? If it's a "it's a place that you could affo...
by Chadnudj
Tue Jan 10, 2017 12:06 pm
Forum: Investing - Theory, News & General
Topic: Shoe Shine boy stock tipper, Island owning truck drivers, what's next?
Replies: 8
Views: 1305

Re: Shoe Shine boy stock tipper, Island owning truck drivers, what's next?

That said, in my HCOL area homes are already worth more than they were at the peak. If they were unsustainable then, I'm not sure why they are sustainable now. To be fair, 9 years of inflation plus record low interest rates (that make borrowing money "cheap") probably mean homes at or eve...
by Chadnudj
Mon Jan 09, 2017 4:24 pm
Forum: Investing - Help with Personal Investments
Topic: How're we doing?
Replies: 33
Views: 3424

Re: How're we doing?

Here's another thought, for those who are saying kill the student loan first (and again: I agree, in theory that's 100% the way to go--but in our situation it's not feasible to stay in this 1-bed apartment with children and we're not putting off kids, I'd rather retire a little later, or with a lit...
by Chadnudj
Mon Jan 09, 2017 4:19 pm
Forum: Investing - Help with Personal Investments
Topic: How're we doing?
Replies: 33
Views: 3424

Re: How're we doing?

6. Back to the house: do you REALLY need it by fall 2017? That's the problem. We live in a small 1-bed apartment. It's livable with the two of us and our dog, but add a tiny human to the mix and it'd be tough--not impossible, but tough. There's the emotional element too, I've been here 5.5 years, m...
by Chadnudj
Mon Jan 09, 2017 4:13 pm
Forum: Investing - Theory, News & General
Topic: To Cash or Not To Cash...
Replies: 13
Views: 1675

Re: To Cash or Not To Cash...

I wonder why you need/want to do anything with this 401(k) a week after retiring. I had a Fido 401(k) and it took me about a year to do anything with it. And I'm glad I did because my company added true-up money and pofit-sharing money to my account about 6 months later. When I rolled it over, I go...
by Chadnudj
Fri Jan 06, 2017 5:45 pm
Forum: Investing - Help with Personal Investments
Topic: 500K milestone celebration
Replies: 74
Views: 7179

Re: 500K milestone celebration

Very cool....my stretch goal is to make it there (albeit $500k in net worth, conservatively estimated since I don't count any growth in my home value from the price I paid for it) by the end of this year (complicated by spouse taking 6 months off for maternity leave and childcare costs after that).....
by Chadnudj
Fri Jan 06, 2017 5:10 pm
Forum: Investing - Help with Personal Investments
Topic: How're we doing?
Replies: 33
Views: 3424

Re: How're we doing?

Questions: 1. We have no true 'emergency fund', just the savings for the house. I hate the brokerage acct she has (opened five years ago, 0.85% annualized return, high expense ratios, high portfolio turnover). My idea is to close that into a savings account as our emergency fund (would amount to ~5...
by Chadnudj
Thu Jan 05, 2017 4:11 pm
Forum: Investing - Theory, News & General
Topic: Are Younger people funding 529 Plans?
Replies: 109
Views: 7522

Re: Are Younger people funding 529 Plans?

The state tax deductions aren't always a big impact. For example: my state offers a tax deduction and at our income our marginal state income tax rate is 4.597%. You can deduct $2,000 per beneficiary. That only amounts to about $92 per year in tax breaks. If that's enough to make you risk paying th...
by Chadnudj
Wed Jan 04, 2017 3:43 pm
Forum: Personal Finance (Not Investing)
Topic: spousal disagreement over how much house to buy
Replies: 99
Views: 6525

Re: spousal disagreement over how much house to buy

23% of gross pay (when you have no other debt and steady jobs) doesn't seem like a red flag to me at all for a place that checks off all of your list....particularly when the other option is just a 5% reduction in that amount and would require you to oversee renovation work/deal with the inconvenien...
by Chadnudj
Tue Jan 03, 2017 5:27 pm
Forum: Personal Finance (Not Investing)
Topic: Study on SWR rates for Early Retirement
Replies: 63
Views: 6057

Re: Study on SWR rates for Early Retirement

The best strategy is to pick something that seems sensible, then adjust based on changes in your portfolio and expenses. Realize that studies of the past have limited utility. Also realize that how to adjust is not going to be entirely clear. Consider: - Alan retires on 1/1/2016 with portfolio of $...
by Chadnudj
Tue Jan 03, 2017 5:25 pm
Forum: Personal Finance (Not Investing)
Topic: Study on SWR rates for Early Retirement
Replies: 63
Views: 6057

Re: Study on SWR rates for Early Retirement

I will note that the original article uses a 100% equities portfolio for its calculations. The study looks at 100% 75% 50% 25% and 0% equities. However, what frequently goes entirely UNEXPLORED by these studies is what amount you end up with in the 90% of SUCCESSFUL outcomes. Indeed, in some not-in...
by Chadnudj
Tue Jan 03, 2017 2:17 pm
Forum: Personal Finance (Not Investing)
Topic: Study on SWR rates for Early Retirement
Replies: 63
Views: 6057

Re: Study on SWR rates for Early Retirement

I will note that the original article uses a 100% equities portfolio for its calculations, which is not optimal based on portfolio theory, but particularly ill-suited for a draw-down scenario. I'd be curious to see the results with a still-equity heavy 80-20 stock-bond portfolio, with re-balancing f...
by Chadnudj
Mon Jan 02, 2017 11:56 pm
Forum: Personal Finance (Not Investing)
Topic: How do you view money over and above your number?
Replies: 50
Views: 5653

Re: How do you view money over and above your number?

Being the start of a new year, I did some calculations and am trying to figure out what the results mean to my life. I started using the variable withdrawal method last year and updated my spreadsheet for the first time. I underspent during 2016 what was allocated according to the spreadsheet by $4...
by Chadnudj
Mon Jan 02, 2017 11:07 pm
Forum: Investing - Theory, News & General
Topic: Are Younger people funding 529 Plans?
Replies: 109
Views: 7522

Re: Are Younger people funding 529 Plans?

I hardly think this is surprising at all, for a variety of reasons: 1. People are getting married later, and thus having children later. No reason to do a 529 until you have a kid (or at least prioritize doing one until you have a kid), so if you're not having kids until you're 34 (which is when my ...

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