Search found 644 matches

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: 11659

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: 5458

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: 5458

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: 4489

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: 4489

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: 4489

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: 4489

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: 1179

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: 8094

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: 249
Views: 20223

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: 13693

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: 4360

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: 4360

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: 3189

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: 4438

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: 4438

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: 3334

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: 2412

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: 795

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: 7807

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: 1972

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: 1090

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: 2914

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: 2798

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: 1579

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: 1397

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: 10306

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: 10306

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: 1379

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: 3524

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: 5126

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: 926

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: 2363

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: 1835

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: 2213

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: 10754

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...
by Chadnudj
Thu Jun 29, 2017 12:16 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: 10754

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

Who cares what we call it? Let them call it market timing if they wish. Look guys. If you want to change your AA based on valuations, be my guest. It may indeed be the smart thing to do. But quit making up terms. You are not buying and holding if you change your AA back and forth based on valuation...
by Chadnudj
Wed Jun 28, 2017 11:48 pm
Forum: Investing - Theory, News & General
Topic: Yes, This Is Market Timing: If the CAPE Goes Above 30, Bring on the Larry
Replies: 142
Views: 10754

Re: CAPE Ratios?

Bogleheads: One of the benefits of Boglehead stay-the-course investing is that CAPE ratios are meaningless. Stay the course. No matter what happens, stick to your program. I've said stay-the-course a thousand times and I meant it every time. It is the most important single piece of investment wisdo...
by Chadnudj
Wed Jun 28, 2017 9:11 pm
Forum: Investing - Help with Personal Investments
Topic: Howdy! Seeking some [401k] advice please
Replies: 7
Views: 726

Re: Howdy! Seeking some advice please

After reading the above, looks like I've decided to lean towards the 90% stocks and 10% bonds. I'm just looking for any suggestions to better my current 401k plan. In that case, I'd put 100% of your 401k contributions (and I agree with previous posters -- do all of it Traditional 401k, don't do Rot...
by Chadnudj
Wed Jun 28, 2017 9:04 pm
Forum: Personal Finance (Not Investing)
Topic: I need a strategy to address debt and savings
Replies: 38
Views: 4447

Re: I need a strategy to address debt and savings

Oh, also, forgot to ask: would it make sense to try to refinance my student loans to a private lender like Sofi? My federal loan is a consolidation. I work in private industry, so there's no concern with missing out on the loan forgiveness public service benefit. Not going to happen for me. No one ...
by Chadnudj
Wed Jun 21, 2017 8:33 am
Forum: Personal Consumer Issues
Topic: Oregon personal Trip
Replies: 25
Views: 2142

Re: Oregon personal Trip

I definitely loved Crater Lake, so another vote for it (particularly if you have a lot of time to hike/enjoy hiking). I'd also definitely drive the Columbia River Gorge with plenty of time to stop and hike the waterfalls along the way -- simply gorgeous scenery, and Hood River at the east end of it ...
by Chadnudj
Tue Jun 20, 2017 6:13 am
Forum: Personal Finance (Not Investing)
Topic: Storing funds for a house
Replies: 10
Views: 1422

Re: Storing funds for a house

A 3-5 year timeline is JUST getting to the point where you can likely/probably do better investing it rather conservatively than just putting it in CDs/high-interest savings. I'd echo the Vanguard LifeStrategy option -- the LifeStrategy Income fund is a 20/80 stocks to bonds fund that should give yo...
by Chadnudj
Mon Jun 19, 2017 1:40 pm
Forum: Personal Finance (Not Investing)
Topic: So sick of it! [Paying off student loans]
Replies: 42
Views: 6749

Re: So sick of it! [Paying off student loans]

Gang, I have 4 kids and we have one income so I am terrified to have less than 100k cash in the bank. I will probably have about 135k or so by October or November. This seems to be the answer to your question. Keep $100k in cash in the bank. Divert the $35k plus whatever extra you have every month ...
by Chadnudj
Mon Jun 12, 2017 4:22 pm
Forum: Investing - Help with Personal Investments
Topic: Pay Mortgage vs. Buy Bonds
Replies: 61
Views: 5516

Re: Pay Mortgage vs. Buy Bonds

I don't think it's a "no brainer" to pay off the mortgage (or more accurately accelerate principal payments on your mortgage) than buy bonds. Bonds have (relatively) instant liquidity. Equity in your home does not. That liquidity aspect should play a role in your analysis, at minimum. Not ...
by Chadnudj
Mon Jun 12, 2017 1:40 pm
Forum: Investing - Help with Personal Investments
Topic: New(ish) to investing - Too much cash? - Need guidance
Replies: 10
Views: 1569

Re: New(ish) to investing - Too much cash? - Need guidance

My advice: Move forward. You have too much in cash? So what? Treat it as a VERY large emergency fund (almost surely more than 1 year expenses, probably 2-3). Everyone needs one anyway and typically builds it at the same time as building their other retirement/taxable savings....you just took a diffe...
by Chadnudj
Mon Jun 12, 2017 7:09 am
Forum: Personal Consumer Issues
Topic: Your fav espionage/thriller books for summer
Replies: 4
Views: 717

Re: Your fav espionage/thriller books for summer

I highly recommend Chris Pavone's "The Expats." It's kinda sequel, "The Accident," is also very good.
by Chadnudj
Sat Jun 10, 2017 12:24 am
Forum: Investing - Help with Personal Investments
Topic: How to divide investments for early retirement
Replies: 16
Views: 2217

Re: How to divide investments for early retirement

I'll just note that, per your post, you just bought a home that you're planning as your forever home and have a forecast that you can pay it off in 20 years. Given you're currently 32, that means 52. So, that means, when you're 52 or so, you'll all of a sudden have a rather substantial amount of mon...
by Chadnudj
Wed May 31, 2017 4:30 pm
Forum: Personal Finance (Not Investing)
Topic: Which debt to pay off first?
Replies: 37
Views: 3038

Re: Which debt to pay off first?

I'll go against the grain. In your situation (dual-income, no kids, but plenty of debt as obligations on your paychecks every month), I think cashflow is king. You need to use this $60k to free up as much cashflow as possible for the two of you as you can, since that will (a) stretch your emergency ...
by Chadnudj
Wed May 31, 2017 11:03 am
Forum: Investing - Help with Personal Investments
Topic: Should I max out wife's 401k
Replies: 26
Views: 1700

Re: Should I max out wife's 401k

Even with high fees like that, you should max out her 401k (so long as you've first maxed out your own hopefully better 401k and IRAs for the both of you first). I'd also have your wife talk with the employer (ideally along with some co-workers) about finding a better 401k plan. Employers can get in...
by Chadnudj
Fri May 26, 2017 2:56 pm
Forum: Personal Consumer Issues
Topic: Worth it to Refinance?
Replies: 18
Views: 1287

Re: Worth it to Refinance?

I can see how the PMI comes out as more expensive than the student loans, but there is a large red flag here -- your student loans are currently variable interest rates. And we know the Fed is planning to raise rates in the near future. While that's FAR from certain to happen, it's a known risk and ...