Yes, which I did not do. But having gone through one of the worst periods for bonds in history, I'm not going to quit playing this game now.ruralavalon wrote: ↑Sat Mar 16, 2024 9:42 amThe time to swear off bond funds was before the rate hikes, not after.
Search found 1701 matches
- Sat Mar 16, 2024 9:54 am
- Forum: Personal Investments
- Topic: Cash or CD's Instead of Bond Funds
- Replies: 61
- Views: 5436
Re: Cash or CD's Instead of Bond Funds
- Sat Mar 16, 2024 9:02 am
- Forum: Personal Investments
- Topic: Cash or CD's Instead of Bond Funds
- Replies: 61
- Views: 5436
Re: Cash or CD's Instead of Bond Funds
Or $12, we will roll a dice or use a random number generator to see. I'm starting to like this game we are inventing.
- Sat Mar 16, 2024 8:52 am
- Forum: Personal Investments
- Topic: Cash or CD's Instead of Bond Funds
- Replies: 61
- Views: 5436
Re: Cash or CD's Instead of Bond Funds
I am completely soured on bond funds, and decided to NEVER INVEST A PENNY MORE in any bond fund going forward. For me, I won't say NEVER, but I'll be very wary. People need to quit taking the drop in bonds personally. Rates went up, bonds went down. Now we are being compensated with better dividends. My prediction is in a few years people will be complaining about the lack of returns from their stack of CD's. Let me make an offer to you. Give me $100, I will pay you $6 every year, and at the end of 7 years I will return something other than $100. It will not be $0, it will not be $100, it depends on my fancy and mood at that time. Sounds like a deal? Take the emotions out of it. You are looking for better dividends right? I am offering the...
- Sat Mar 16, 2024 7:56 am
- Forum: Personal Investments
- Topic: Cash or CD's Instead of Bond Funds
- Replies: 61
- Views: 5436
Re: Cash or CD's Instead of Bond Funds
People need to quit taking the drop in bonds personally. Rates went up, bonds went down. Now we are being compensated with better dividends. My prediction is in a few years people will be complaining about the lack of returns from their stack of CD's.
- Fri Mar 15, 2024 7:19 am
- Forum: Personal Finance (Not Investing)
- Topic: How much should I leave to nieces/nephews vs. siblings vs. charity I'm passionate about?
- Replies: 58
- Views: 4136
Re: How much should I leave to nieces/nephews vs. siblings vs. charity I'm passionate about?
Or do it now. 15,000 in 20+ years is not nearly as useful as 10k now, to that 20 something year old. And you will be alive to see if they spent it usefully.Gradient Descent wrote: ↑Thu Mar 14, 2024 9:24 pm It could be a very long time before you die. That token amount for nieces/nephews now in their 20s/30s could end up going to 50/60-something year olds themselves.
If you are only considering token amounts anyway, I just wouldn’t bother.
- Thu Mar 14, 2024 9:38 pm
- Forum: Personal Finance (Not Investing)
- Topic: The best game-changing financial advice you ever received (or "discovered")
- Replies: 120
- Views: 11067
Re: The best game-changing financial advice you ever received (or "discovered")
Few things in life are expensive as divorce. A bad marriage is one.
- Thu Mar 14, 2024 9:25 pm
- Forum: Investing - Theory, News & General
- Topic: 5M, probably enough to retire to a frugal lifestyle
- Replies: 180
- Views: 15177
Re: 5M, probably enough to retire to a frugal lifestyle
Love it! I've been listening to Warren's version of Steve Winewood's Back in the High Life. Seems to fit this thread, somehow.TheTimeLord wrote: ↑Thu Mar 14, 2024 7:50 pmAlso the words of Warren Zevon "There's a train leavin' nightly called "When All is Said and Done"".
https://www.youtube.com/watch?v=xgs6eLCaN9s
- Thu Mar 14, 2024 7:39 pm
- Forum: Investing - Theory, News & General
- Topic: 5M, probably enough to retire to a frugal lifestyle
- Replies: 180
- Views: 15177
Re: 5M, probably enough to retire to a frugal lifestyle
in the words of Warren Zevon, sung by Linda Ronstadt, "poor, poor, pitiful me". I only have 1.5 million to live on. I feel like I'm a step ahead of frugal.
- Sun Mar 10, 2024 9:09 am
- Forum: Personal Finance (Not Investing)
- Topic: At what point did you prioritize health over money?
- Replies: 53
- Views: 6054
Re: At what point did you prioritize health over money?
I never felt it was a choice of health or money. For me it was healthy or unhealthy. Did I want to smoke or not smoke? I finally chose to not smoke. Did I want to be really over weight, or just a little? (or not at all, but for me it appears a little is more realistic). At some point I understood that taking care of myself was more important than not. It started to look like the old saying of "if I'd known I was going to live this long, I'd have taken better care of myself" was coming true.
- Sat Mar 09, 2024 10:12 am
- Forum: Personal Consumer Issues
- Topic: [Visiting Mackinac Island, Michigan with a small child]
- Replies: 19
- Views: 1470
Re: Mackinac Island, Michigan
You can take a horse and carriage ride to sightsee. A 1 year old is generally ambivalent to their surroundings. The island won't be much different. Keep the child fed and rested and hope for good weather.
- Fri Mar 08, 2024 9:03 am
- Forum: Personal Investments
- Topic: 16 yr old - how can I best take on high risk?
- Replies: 65
- Views: 5233
Re: 16 yr old - how can I best take on high risk?
There was a whole thread on this option, PSLDX:
viewtopic.php?t=305950
I put some money into this that is earmarked for my heirs. They don't know they are taking on more risk, but hopefully it will be worth it.
viewtopic.php?t=305950
I put some money into this that is earmarked for my heirs. They don't know they are taking on more risk, but hopefully it will be worth it.
- Thu Mar 07, 2024 9:30 am
- Forum: Investing - Theory, News & General
- Topic: Age 60+ AND retired? What's your asset allocation? What type of bonds/Fixed Inc instruments do you use?
- Replies: 57
- Views: 8456
Re: Age 60+ AND retired? What's your asset allocation? What type of bonds/Fixed Inc instruments do you use?
1. 63/62 60/35/5 (5% cash)
2. Intermediate bond fund, AGG. I used to have TIPs but simplified out of them around 2019.
3. AGG 100%. I have some CD's in my cash allocation.
I would say the most interesting thing is I never thought I would be as conservative as 60/40, but when the job went away I became more risk adverse.
2. Intermediate bond fund, AGG. I used to have TIPs but simplified out of them around 2019.
3. AGG 100%. I have some CD's in my cash allocation.
I would say the most interesting thing is I never thought I would be as conservative as 60/40, but when the job went away I became more risk adverse.
- Thu Mar 07, 2024 7:48 am
- Forum: Personal Finance (Not Investing)
- Topic: How do you deal with online misinformation?
- Replies: 28
- Views: 1738
Re: How do you deal with online misinformation?
I believe in Darwinism. People who are smart enough will soon find out the advice is bad and the others won't believe you anyway.
- Fri Mar 01, 2024 7:57 am
- Forum: Investing - Theory, News & General
- Topic: Retirees: at what age...?
- Replies: 48
- Views: 5168
- Thu Feb 29, 2024 10:13 pm
- Forum: Personal Investments
- Topic: HSA question
- Replies: 11
- Views: 1598
Re: HSA question
I wonder if she has an HRA? The fact she can carry over $500 makes me think HRA.
https://www.metlife.com/stories/benefits/hra-vs-hsa/
- Thu Feb 29, 2024 4:02 pm
- Forum: Investing - Theory, News & General
- Topic: Retirees: at what age...?
- Replies: 48
- Views: 5168
Re: Retirees: at what age...?
Shackles, I have a few.
But then again, too few to mention. - With apologies to ol blue eyes
My biggest shackle is the ACA subsidy and Roth rollovers and keeping the agi under 55,000. Luckily I'm able to spend some after tax money. I feel like the shackles will really come off in two years when we are on Medicare and don't have to worry about ACA.
But then again, too few to mention. - With apologies to ol blue eyes
My biggest shackle is the ACA subsidy and Roth rollovers and keeping the agi under 55,000. Luckily I'm able to spend some after tax money. I feel like the shackles will really come off in two years when we are on Medicare and don't have to worry about ACA.
- Tue Feb 27, 2024 11:00 am
- Forum: Personal Finance (Not Investing)
- Topic: HSA Contribution
- Replies: 13
- Views: 1675
Re: HSA Contribution
I found two useful IRS publications for anyone interested in this topic. I'll document them here on the off chance a forum search turns up this thread.
https://www.irs.gov/pub/irs-pdf/p4942.pdf
https://www.irs.gov/pub/irs-pdf/p969.pdf
https://www.irs.gov/pub/irs-pdf/p4942.pdf
https://www.irs.gov/pub/irs-pdf/p969.pdf
- Mon Feb 26, 2024 4:50 pm
- Forum: Personal Finance (Not Investing)
- Topic: HSA Contribution
- Replies: 13
- Views: 1675
Re: HSA Contribution
This was the crux of the question that I was intending to ask. So IF I have a qualifying plan I could put money in and reduce my AGI?
And, I thank the other posters for trying to ensure I had a qualifying plan. As I said, I had assumed it was a qualifying but now I'm not sure and I'm leaning towards no.
- Mon Feb 26, 2024 2:41 pm
- Forum: Personal Finance (Not Investing)
- Topic: HSA Contribution
- Replies: 13
- Views: 1675
Re: HSA Contribution
The deductible would qualify for 2023, as long as the plan provides no coverage under the deductible. So be sure there are no co-pays or $25 Dr. visits or anything like that. Generally a plan that is HSA qualified will have "HSA" in the plan name. If yours doesn't then you should probably assume that there is some disqualifying feature unless you are certain there is not. Thanks for the feedback. I had assumed (making an ass out of me) it was a HDHP but I can't find anything in the plan documents that says that. I guess I've been ok because I haven't made any new contributions since I left my job. I guess to be safe I shouldn't put anything in for 2023 and make sure to get a qualifying plan next open enrollment. To the person tha...
- Mon Feb 26, 2024 10:04 am
- Forum: Personal Finance (Not Investing)
- Topic: HSA Contribution
- Replies: 13
- Views: 1675
Re: HSA Contribution
It is actually 1500/3000. It is BSW Premier HMO.
No, not on Medicare.
I believe it is.
- Sun Feb 25, 2024 5:19 pm
- Forum: Personal Finance (Not Investing)
- Topic: HSA Contribution
- Replies: 13
- Views: 1675
HSA Contribution
So my wife and I are both 62 and retired. We had no earned income other than capital gains, dividends, interest and IRA to Roth rollovers. Can I contribute some of the dividends and interest into our HSA to lower our AGI? We ended up with a little higher income than I expected and losing $4850 of AGI would help but wanted to make sure it is allowed.
- Tue Feb 20, 2024 8:04 am
- Forum: Personal Investments
- Topic: Help me understand my Fidelity 401(k) plan fees
- Replies: 8
- Views: 1087
Re: Help me understand my Fidelity 401(k) plan fees
I think its a bad idea. You have money in an IRA with no restrictions, why subject it to the whims of the 401k plan coordinator? If you want it at Fidelity just roll it into an IRA there.
- Mon Feb 19, 2024 4:20 pm
- Forum: Personal Investments
- Topic: Is it Too Late to Invest in VTI?
- Replies: 126
- Views: 19018
Re: Is it Too Late to Invest in VTI?
Most of the people on this forum are investing 6 or 7 figures in VTI every day that they don't sell. Maybe Bill Gates. He is not talking about new investment he is talking about the investment you already have. Basically not selling is like buying everyday from a practical perspective because you are deciding to hold $X of that investment. I know, just having a little fun based on the way it was worded. :happy Its not the first time I've been accused of making things confusing. TheTimeLord has my meaning correct. There is no difference between someone making an initial investment or additional investment in something or holding that amount. You "buy" your portfolio every day that you don't sell it. And 6 figures could be $1,000.00
- Mon Feb 19, 2024 10:12 am
- Forum: Personal Investments
- Topic: Is it Too Late to Invest in VTI?
- Replies: 126
- Views: 19018
Re: Is it Too Late to Invest in VTI?
Most of the people on this forum are investing 6 or 7 figures in VTI every day that they don't sell.
- Thu Feb 08, 2024 8:38 am
- Forum: US Chapters
- Topic: Are any BH's not wealthy?
- Replies: 165
- Views: 25625
Re: Are any BH's not wealthy?
This is an interesting perspective that has been highlighted for me over the past week. Spending 2 weeks in Mazatlán Mexico with my sister in law who is still working and 66. My wife and I are 62 and have been retired two years. My sister in law has:
A life coach.
a naturopath
a stylist
a therapist
We have a paid off house.
Who is wealthy? Some will pick A, some will pick B.
- Sat Feb 03, 2024 9:45 am
- Forum: Personal Investments
- Topic: Do Bogleheads "Buy the Dip"?
- Replies: 136
- Views: 12632
Re: Do index investors "Buy the Dip"?
We feel good when we can buy something on sale, provided we can muster the courage to actually act when things are going poorly. But if we really hold cash, for say 3 or 4 years while waiting for the sale, we will likely find that our sale price is more than the entry point would have been 3 or 4 years ago.
- Thu Feb 01, 2024 8:27 am
- Forum: Personal Consumer Issues
- Topic: How do you retire when you love your work?
- Replies: 163
- Views: 12982
Re: How do you retire when you love your work?
The surgeon that replaced my knee was 70, looked 60, and I had a wonderful result. I'm glad he didn't fire. OP, it's your life. Don't retire until you are ready.Artful Dodger wrote: ↑Thu Jan 25, 2024 10:19 am I’ll go a step further and applaud you for staying in your career, following your Hippocratic oath, and benefiting others. You put a lot of time into your medical education and I think it’s great you continue finding your work rewarding.
You’re still young. Possibly you can find some ways to introduce a little more flexibility into your career and take a little more time off.
- Thu Feb 01, 2024 8:20 am
- Forum: Investing - Theory, News & General
- Topic: Asset allocation strategy
- Replies: 37
- Views: 3756
Re: Asset allocation strategy
60% equities and about 40% fixed income. It has not changed since a few years before we retired and will not change going forward. I chose about 60% equities because I can compare portfolio performance to many 60/40 target risk funds. I check the portfolio composition as described in this thread: https://www.bogleheads.org/forum/viewtopic.php?t=150267 Of course, what I do is personal to me and should not affect what you decide to do for yourself. Others may come along shortly and describe Larry Swedroe's "ability, willingness, and need to take risk." Now that I'm retired, I evaluated my need, ability and willingness to take risk and I also landed on 60/40 (actually 60/30/10). Early 40s, retired. 80-90% equities and 8-10 years of ...
- Wed Jan 31, 2024 4:50 pm
- Forum: Personal Finance (Not Investing)
- Topic: Concerned my elderly parents are spending too much of retirement portfolio
- Replies: 69
- Views: 10421
Re: Concerned my elderly parents are spending too much of retirement portfolio
Appreciate all the advice - what I hear is 1) I shouldn’t be worried about portfolio depleting by current spending levels but 2) I should be concerned about absolute spending levels as they seem high for no go years. Thinking about #2 above a little more and my role - it’s not what my mom asked for help with and any spending investigation wouldn’t be welcomed. Another view is my Dad as a cardiologist worked his ass off until 75, built a healthy sized nest egg and I don’t have any business digging into it unless asked. I don’t have any evidence of fraud and think their spending has been around 200k per year over last decade. Is this really “none of my damned business”? Appreciate any perspective from more senior members of forum on this You...
- Wed Jan 31, 2024 4:41 pm
- Forum: Personal Finance (Not Investing)
- Topic: Concerned my elderly parents are spending too much of retirement portfolio
- Replies: 69
- Views: 10421
- Wed Jan 31, 2024 11:42 am
- Forum: Investing - Theory, News & General
- Topic: The number one reason why investors fail
- Replies: 94
- Views: 15809
Re: The number one reason why investors fail
I failed to get S&P 500 returns because:
A. I invested in the full US stock market.
B. I invested internationally 18%.
C. I had money in REITS.
Do I regret my allocation? Not really, because my crystal ball was in the repair shop. Still is, for that matter. Still, I would have been better off investing as Warren Buffet said. Guess I should have listened to the real expert.
A. I invested in the full US stock market.
B. I invested internationally 18%.
C. I had money in REITS.
Do I regret my allocation? Not really, because my crystal ball was in the repair shop. Still is, for that matter. Still, I would have been better off investing as Warren Buffet said. Guess I should have listened to the real expert.
- Mon Jan 29, 2024 3:04 pm
- Forum: Personal Consumer Issues
- Topic: Vanguard login, asked for phone # to send PIN?
- Replies: 40
- Views: 3433
Re: Vanguard - 2FA Change
It's a little hard to see below, but this the 2FA page.
"Check your phone
We sent a security code to ***-***-1234. It expires in 10 minutes.
Six-digit security code (required)
Error: Please enter a response.
Send another code
Remember me? (required)
Yes, skip security codes when you recognize me.
No, prompt me with security codes every time I log in."
There are radio buttons to select either "No, prompt me with security codes every time I log in." or
"Yes, skip security codes when you recognize me."
The No option is the default one. Is there a chance you hit the yes option inadvertently?
For what it is worth it is working normally for me.
"Check your phone
We sent a security code to ***-***-1234. It expires in 10 minutes.
Six-digit security code (required)
Error: Please enter a response.
Send another code
Remember me? (required)
Yes, skip security codes when you recognize me.
No, prompt me with security codes every time I log in."
There are radio buttons to select either "No, prompt me with security codes every time I log in." or
"Yes, skip security codes when you recognize me."
The No option is the default one. Is there a chance you hit the yes option inadvertently?
For what it is worth it is working normally for me.
- Mon Jan 29, 2024 2:13 pm
- Forum: Investing - Theory, News & General
- Topic: REITS As A Supplement to Bonds in Retirement
- Replies: 77
- Views: 7818
Re: REITS As A Supplement to Bonds in Retirement
...I often find myself puzzled where this "income" presumption comes from as it is a common one. Clearly it is conventional to label dividends and interest paid by assets as income to the portfolio, distinct from losses or gains in asset prices, but I don't understand why this is confused with the cash flow income in how a person raises funds to pay expenses outside the portfolio. It might be interesting to hear where this mix-up comes from... From before the end of fixed commissions on Mayday, May 1, 1975, I think! Yes, really. Before then, a typical brokerage commission for buying or selling stock was in the neighborhood of $150, plus an extra hidden fee of $0.50 for odd lot transactions. In general, it simply was not feasible ...
- Mon Jan 29, 2024 9:07 am
- Forum: Personal Consumer Issues
- Topic: Recommendations needed for dental insurance for someone with no dental plan
- Replies: 31
- Views: 2811
Re: Recommendations needed for dental insurance for someone with no dental plan
I visit the dentist of my choice and pay out of pocket. After trying various dental plans I found this to provide flexibility in where I visit and not more expensive when factoring in the insurance premiums I no longer pay. This is what I do. I tried some insurance but once I figured out what it really covered which appeared not to be much I was just better off on my own. My dentist has a yearly plan for out of pocketers. It is slightly less than two out of pocket cleanings and x rays and I think he will give 10% off any work needed. I've done this the last two years. All dental insurance sucks. 100% - no exceptions. Don't buy it. I did not realize this was everyone else's experience as well. Makes me feel better I'm not missing something.
- Thu Jan 25, 2024 7:27 am
- Forum: Personal Finance (Not Investing)
- Topic: Anyone wished they had worked a few more years before retiring?
- Replies: 89
- Views: 14576
Re: Anyone wished they had worked a few more years before retiring?
I didn't have nearly as good a situation or incentive to keep working as you did. I managed to make it to 2 months short of 60 before pulling the plug. If I were you, I'd try to keep working while taking some expensive trips as vacations, if that is something you are considering once retired. It's easier to do it while you have a job and can recover some of the cash. Try a fake retirement using as much vacation as you are allowed.
- Thu Jan 25, 2024 7:20 am
- Forum: Personal Investments
- Topic: 20% bond allocation: BND or US treasury note better?
- Replies: 28
- Views: 3015
Re: 20% bond allocation: BND or US treasury note better?
I agree with this post 100%. All the hand wringing over BND's bad year is overdone. We have already recovered a bunch of the decline once rates stopped rising.z3r0c00l wrote: ↑Thu Jan 25, 2024 7:06 am I much prefer the simplicity and liquidity of the mutual fund or ETF. The impact of changing interest rates may be less visible in your ladder, but I assure you it is there. A bond paying 1% less for 5 years is absolutely losing out on 5% over a new bond paying 1% more. This is true of CD ladders also. That the principal doesn't change if held to maturity is just a distraction from what is happening to your total return.
- Wed Jan 24, 2024 1:55 pm
- Forum: Personal Finance (Not Investing)
- Topic: Washington Post: "That 'free' annual checkup might cost you"
- Replies: 112
- Views: 11772
Re: Washington Post: "That 'free' annual checkup might cost you"
Peter Opaskar, 46, of Texas, went to his primary-care doctor this year for his preventive-care visit — as he’d done before, at no cost. This time, his insurer paid $130.81 for the visit, but he also received a perplexing bill for $111.81. Opaskar learned that he had incurred the additional charge because when his doctor asked if he had any health concerns, he mentioned that he was having digestive problems but had already made an appointment with his gastroenterologist. So, the office explained, his visit was billed as both a preventive physical and a consultation. “Next year,” Opasker said in an interview, if he’s asked about health concerns, “I’ll say ‘no,’ even if I have a gunshot wound.” I had this same experience. I mentioned I was ha...
- Tue Jan 23, 2024 12:05 pm
- Forum: Personal Finance (Not Investing)
- Topic: Most popular boglehead withdrawal strategy
- Replies: 117
- Views: 12896
Re: Most popular boglehead withdrawal strategy
I'm using the goblue100 + VPW smart strategy. VPW is used to set a yearly cap and a monthly goal. I've been under that amount most months of my 3 year so far retirement. I could spend more but haven't needed to do so, so far. Going to Mexico this spring and hope to get to Europe soon. Pretty much what fortunefavored says:
fortunefavored wrote: ↑Tue Jan 23, 2024 11:57 am I think if you ask Bogleheads who are actually retired and spending from their portfolio, the answer is "they spend whatever they feel like spending."
- Tue Jan 23, 2024 10:42 am
- Forum: Personal Investments
- Topic: Sell Bond Fund Now, Never, or Later?
- Replies: 49
- Views: 4692
Re: Sell Bond Fund Now, Never, or Later?
You have my permission. I ran a back test of the two portfolios and there is virtually no difference in performance:
https://www.portfoliovisualizer.com/bac ... xKzTDxlFkw
An 8% allocation to bonds doesn't really move the needle.
Just for grins I included a 3rd allocation, no cash and 17% bonds. It outperformed the other two.
https://www.portfoliovisualizer.com/bac ... TaHTPWRS2V
https://www.portfoliovisualizer.com/bac ... xKzTDxlFkw
An 8% allocation to bonds doesn't really move the needle.
Just for grins I included a 3rd allocation, no cash and 17% bonds. It outperformed the other two.
https://www.portfoliovisualizer.com/bac ... TaHTPWRS2V
- Sun Jan 21, 2024 7:44 pm
- Forum: Personal Investments
- Topic: Re-Assessing Risk at 50
- Replies: 42
- Views: 4700
Re: Re-Assessing Risk at 50
Anyone else out there around 50? What's your risk profile look like? My husband and I have about 15 years to retire. We have just in the past couple years taken over control of our investments. We're at about 60% stocks and 30% bonds 10% cash across all accounts with a total investment portfolio of around 1.2 million. Lately I've been feeling that this is too conservative. Since we're relatively new I'm having a hard time understanding why we're so heavily invested in bonds. This is a leftover from when we had an advisor who recommended 60/40. It was my understanding then that bonds and stocks were not correlated. Lately it seems like bonds go down just as much as stocks but don't nearly match stocks when stocks rise. At the very least I f...
- Sat Jan 20, 2024 11:18 am
- Forum: Personal Finance (Not Investing)
- Topic: It Does not Seem to Make Sense for Me to Ever Pay Home off Early
- Replies: 51
- Views: 5595
Re: It Does not Seem to Make Sense for Me to Ever Pay Home off Early
My .02, I'd split the difference and make one or two extra payments a year. Shorten the loan life while not putting your life on hold to aggressively pay off the loan. An after tax investment account can add a lot of flexibility when it comes time to withdraw money to live on. I don't think holding a 6.75% mortgage is a no brainer like a 3% mortgage was.
- Tue Jan 16, 2024 10:28 am
- Forum: Investing - Theory, News & General
- Topic: Would Disappointed BND Investors Have Been More Satisfied with a Short-Duration Fund (e.g. BSV)?
- Replies: 455
- Views: 26207
Re: Would Disappointed BND Investors Have Been More Satisfied with a Short-Duration Fund (e.g. BSV)?
They are out there. It took me 4 or 5 minutes to find this post:lakpr wrote: ↑Tue Jan 16, 2024 7:54 am
Again, all these reasons are only coming up now. Show me posts on these forums, dated prior to 2021, that highlighted that BND / Total Bond funds can lose *significant* value!
If your intent is to make the point that I was an idiot to invest in Total Bond fund, I am fully admitting that I am.
viewtopic.php?p=4860927#p4860927
There are plenty of other ones out there, but if you don't know to search for them they wouldn't be obvious.
- Mon Jan 08, 2024 6:06 am
- Forum: Personal Finance (Not Investing)
- Topic: “You’ll know when the right time is to retire”
- Replies: 69
- Views: 9208
Re: “You’ll know when the right time is to retire”
I had a decent desk job in the tech industry, but it was not hard to see the signs on the wall that most things were getting worse(more big brother, fewer people for the same amount of work). I was probably mentally done 18 months before Covid hit. In October of 2020 they asked for volunteers for the next layoff. I raised my hand and in November got laid off. Obviously I also had "enough" I felt, but by many standards here I'm probably woefully underfunded at around 30x. Don't regret it one bit. I remember reading something on here by someone who's name I have lost, but he or she said you are essentially selling your time to your company and at some point you have to decide if your time is worth more than you can make. Because whi...
- Sun Jan 07, 2024 5:45 pm
- Forum: Personal Finance (Not Investing)
- Topic: SS one time payment
- Replies: 6
- Views: 1243
Re: SS one time payment
We applied in October to start my wife's SS in January, first payment in February. She did not get a sign up bonus. Can you send us half of yours?
- Sat Jan 06, 2024 12:08 pm
- Forum: Personal Investments
- Topic: Feeling overwhelmed by investment/retirement planning
- Replies: 12
- Views: 1806
Re: Feeling overwhelmed by investment/retirement planning
Well, if you are doing it all wrong, how do you think the 92% of Americans who are doing worse than you at your age feel?
According to this calculator, you are in the top 10% net worth for your age group.
https://dqydj.com/net-worth-by-age-calculator/
The point I'm trying to make is, stop being overwhelmed, and take small steps to get to where you want to be. But you are doing great so far.
My one piece of advice would be to put some money in Roth but I'm not 100 sure if that is the best advice for you are the 19% tax level. I only offer it because I wish I had more in Roth and less in IRA now at the age of 63.
- Wed Jan 03, 2024 9:58 pm
- Forum: Personal Investments
- Topic: Appointment with local Fidelity Rep: should I bother?
- Replies: 74
- Views: 17592
Re: Appointment with local Fidelity Rep: should I bother?
Occasionally, it is useful to have a living breathing contact at the local office. That's what I figured, I'm not always patient with pushy salespeople though, and I can't always help myself from enjoying a bout of sparring, so it could backfire and burn that contact right then :P Quite curious as to what their approach is to something more tax-efficient than a couple of broad stock market index funds will be... The only thing I can think of is Tax Loss Harvesting, but I do that too... I was offered a free portfolio review or some such at Fidelity. I went with my wife for a couple of reasons, I was about to be laid off at 59.8 and wasn't planning on going back to work, and I was looking for a contact for my wife in case I passed sooner tha...
- Mon Jan 01, 2024 8:29 am
- Forum: Personal Investments
- Topic: Porfolio Post
- Replies: 6
- Views: 1045
Re: Porfolio Post
I tried to make sense of your portfolio but was having a hard time understanding how much is in each account. Also I don't see where you mention annual expenses, 3.9M sounds like a lot but if you are spending 300k a year, not so much. Anyway, my .02: 1. 15% of 3.9M is 585K. I would try to stay under the 24% bracket, provided you have enough Roth Money. 2. I didn't see your wife's age in OP, is her health condition a factor in her expected life span? Your plan for her to takeover sounds as likely as any. Try to make sure all accounts are listed somewhere with id's and passwords (I know that is a security issue, keep it safe!) Search this web site for "death book" and you will see many idea's of how to provide info for surviving lov...
- Sun Dec 31, 2023 7:45 pm
- Forum: Personal Investments
- Topic: Wellesly vs BND & VTI
- Replies: 4
- Views: 1300
Re: Wellesly vs BND & VTI
Am I understanding correctly that you will pay your expenses only with the distributions?
If 20% of your portfolio invested in a fund that pays 5% a year is enough to cover your expenses, you have no worries. Just as an example, if your expenses are 25K a year you need 500k in Wellesley. That leaves 2 million in your portfolio. If expenses are 100k you need 2 million in Wellesley which leaves 8 million in your portfolio. You have something like 100x expenses, unless I misunderstood something.
Your plan will work fine, but you are probably living "poorer" than you need to.
One more thought, VWIAX only pays distributions quarterly, and the biggest distribution will be at year end. Might lead to some issues since bills are monthly.
If 20% of your portfolio invested in a fund that pays 5% a year is enough to cover your expenses, you have no worries. Just as an example, if your expenses are 25K a year you need 500k in Wellesley. That leaves 2 million in your portfolio. If expenses are 100k you need 2 million in Wellesley which leaves 8 million in your portfolio. You have something like 100x expenses, unless I misunderstood something.
Your plan will work fine, but you are probably living "poorer" than you need to.
One more thought, VWIAX only pays distributions quarterly, and the biggest distribution will be at year end. Might lead to some issues since bills are monthly.
- Sun Dec 31, 2023 2:15 pm
- Forum: Investing - Theory, News & General
- Topic: Do you view portfolio risk differently when you retired
- Replies: 32
- Views: 3804
Re: Do you view portfolio risk differently when you retired
They way that I look at it is that when you voluntarily retire you pretty much by definition have "enough" so doing something like investing aggressively and having twice as much ten years from now will not really have a big impact on your lifestyle. The problem is that if you invest aggressively and lose half of your money then your lifestyle could be badly impacted. Basically at some point there is little reason to be aggressive. I agree with above. So there comes a point where you look at your portfolio and your expenses and lets say it is 23X. For me that was about the age of 57. That was the point I started looking at things differently and started moving money into bonds. I wouldn't call it anxiety, exactly, but I was aware...
- Sun Dec 31, 2023 1:55 pm
- Forum: Personal Investments
- Topic: Should my AA change if I have significant annuity income?
- Replies: 24
- Views: 2355
Re: Should my AA change if I have significant annuity income?
($1m in an immediate annuity with an 8% payout rate, and $200k in a pension that I would defer until I'm 70. SS also deferred until I'm 70, and then paying me $48k/year.) Something isn't adding up for me. You are looking for 130k a year, right? Surely these 3 items alone add up to 130k once you are 70, mostly inflation protected. That leaves 1.9M plus 500k house equity to bridge to 70 plus enhance lifestyle along the way. Seems like plenty. I'm doing pretty much the same thing(retired at 60, looking for 80k a year) without the 1M annuity or 200k pension and so far so good @ 63. Anyway, to answer the OP, you can take more risk, if you want. But with no legacy needs or wants I don't see why you would. Especially with bonds paying around 5%.