Search found 1135 matches

by ryman554
Wed Jan 23, 2019 9:35 am
Forum: Investing - Help with Personal Investments
Topic: Back-door Roth with Existing tIRA Balance
Replies: 22
Views: 1262

Re: Back-door Roth with Existing tIRA Balance

4. Remaining balance in tIRA will be $18000 - $7170 = $10,830. I will transfer this amount ($10,830) to my workplace 401k (They accept transfers from rollover IRAs). I don't need to tell them anything about the non deductible portion that I moved to my Roth. I don't need to let them know as I had a...
by ryman554
Tue Jan 22, 2019 10:35 am
Forum: Investing - Help with Personal Investments
Topic: Fidelity BrokerageLink in 401k
Replies: 13
Views: 584

Re: Fidelity BrokerageLink in 401k

Just use the fidelity ex-spartan funds.

Low cost. Free. And in a 401(k), what's the advantage of trading ETF vs. mutual fund? What's not to like?

I personally own:
FUAMX
FXAIX
FSMAX
FTIHX
FPADX
by ryman554
Mon Jan 21, 2019 9:28 am
Forum: Investing - Help with Personal Investments
Topic: 401k + aftertax 401k -> roth methodology
Replies: 20
Views: 1461

Re: 401k + aftertax 401k -> roth methodology

Since you are planning to leave the after tax money with 401(k) plan custodian/trustee/service provider till the end of 2019, I think, the capital gain on the after tax money will be taxable when you eventually do the rollover into a roth IRA. I have read differing opinions on this. Perhaps, it is ...
by ryman554
Tue Jan 15, 2019 9:37 am
Forum: Personal Finance (Not Investing)
Topic: Getting a Mortgage when You can Pay Cash for a House
Replies: 162
Views: 8703

Re: Getting a Mortgage when You can Pay Cash for a House

Offering a cash offer to a seller has leverage, and in some cases quite a lot. Sometimes they are desperate to move because they can't afford their payments or have personal or occupational reasons for wanting a quick sale. A quick all-cash closing without hindrance from a lender can help close you...
by ryman554
Tue Jan 15, 2019 9:23 am
Forum: Investing - Help with Personal Investments
Topic: Why isn't an AA of 75/25 with a SWR 3.75% the standard??
Replies: 62
Views: 6872

Re: Why isn't an AA of 75/25 with a SWR 3.75% the standard??

3.75% is conservative, nearly 28x expenses and that is with zero growth. If bonds yield 3%, equities will have to yield more to entice risk takers. I think you have this backwards. Nothing ever "makes" equities yield more, except for larger corporate profits (and profit sharing!) In fact, I think y...
by ryman554
Thu Jan 10, 2019 10:42 am
Forum: Investing - Theory, News & General
Topic: BHers, what is your Roth IRA %?
Replies: 113
Views: 5271

Re: BHers, what is your Roth IRA %?

There is a much better way to look at it. Currently, I have 44% of my stuff where I have to pay marginal tax rates. This includes 401(k) and tIRAs. Currently, I have 53% of my stuff where I have to pay no tax at all. This includes roth IRAS, HSAs, and basis on my taxable account. Currently, I have 3...
by ryman554
Wed Jan 09, 2019 9:38 am
Forum: Investing - Help with Personal Investments
Topic: Back-door Roth with Existing tIRA Balance
Replies: 22
Views: 1262

Re: Back-door Roth with Existing tIRA Balance

Thanks all. Please let me know if I can do the following: 1. Convert all 11.5k to Roth now. Per the following formula, I need to pay taxes on 50% of this amount which is $5.75k in 2019 taxes. Is my assumption correct? TF = 100 * [ C / (C + B)] = 100 * [11500 / 11500 + 11500)] = 100 * .5 = 50% If th...
by ryman554
Wed Jan 09, 2019 9:30 am
Forum: Investing - Help with Personal Investments
Topic: Back-door Roth with Existing tIRA Balance
Replies: 22
Views: 1262

Re: Background Roth with Existing tIRA Balance

Can I contribute $6000 towards non deductible IRA into my tIRA account and convert it into Roth immediately (next day) now and then rollover previous balance of $11.5k into 401k after a week? The potential for confusion (and error) is high, why are you in such a hurry to make the non-deductible tIR...
by ryman554
Thu Jan 03, 2019 8:51 am
Forum: Investing - Theory, News & General
Topic: Social Security for Millennials
Replies: 234
Views: 29034

Re: Social Security for Millennials

My very simple calculation focuses on generated income via pension(SS) and income I can safely draw on from my portfolio, using real dollars. To make it even more simple, I assume that, for every year I do not take SS, I must have in "cash" (in this case, TIPS to keep them real). I know my PIA (assu...
by ryman554
Wed Jan 02, 2019 9:24 am
Forum: Investing - Theory, News & General
Topic: Will you contribute the max to your IRA and then invest it all in equities for the first market day of the new year?
Replies: 159
Views: 7751

Re: Will you contribute the max to your IRA and then invest it all in equities for the first market day of the new year?

No.

If I did, I would have 12k of money just laying around doing nothng... who has that? If I sell/buy from taxable, I ether have to pay CG tax or lose my loss due to wash sale rules. Nope.

I wait until I get my bonus some time in March. That's my IRA fund.
by ryman554
Wed Jan 02, 2019 9:15 am
Forum: Investing - Help with Personal Investments
Topic: I just started to realize how important it is to manage the finances
Replies: 9
Views: 1626

Re: I just started to realize how important it is to manage the finances

I just started to realize how important it is to manage the finances. Seems that the investigation it is more important than how much you earn. Therefore I registered this forum. Welcome, and I will also add: You will find out that the more you actually manage your finances, the worse results you t...
by ryman554
Wed Jan 02, 2019 9:11 am
Forum: Investing - Help with Personal Investments
Topic: Timing of Backdoor Roth Contribution and Avoiding the Pro Rata Rule
Replies: 9
Views: 578

Re: Timing of Backdoor Roth Contribution and Avoiding the Pro Rata Rule

If you are trying to avoid pro-rata taxation, you should wait until the pre-tax TIRA balances have completed their moves into employer 401k accounts. This will save you from having to undo things in the case that the rollovers are not accepted. And one should consider that the conversion step of th...
by ryman554
Sun Dec 30, 2018 12:36 am
Forum: Personal Finance (Not Investing)
Topic: Share your net worth progression
Replies: 903
Views: 233054

Re: What is your Year 2018 networth change?

Back to the topic at hand... NW is around 2.2M, increase of ~10%+ this year. My investment portfolio dropped 1%... but that includes 8-9% contributions this year. So, net investments down 10% this year. Lesson learned: even for a 2 comma portfolio, your contributions still matter. A lot. It can turn...
by ryman554
Sun Dec 30, 2018 12:18 am
Forum: Investing - Help with Personal Investments
Topic: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.
Replies: 33
Views: 1842

Re: Roth conversion. Penalty if withdrawn before 59.5? Suggestions for early retirement.

Thanks for the help everyone! Did you actually get any help? I just saw a little bit of a disagreement. =) The table cited above is correct. The tl;dr is that you never pay taxes/penalties on money that WENT INTO an IRA (roth, or otherwise) that was already taxed. If you are converting from 401(k) ...
by ryman554
Mon Dec 24, 2018 10:35 pm
Forum: Investing - Help with Personal Investments
Topic: Anyone rebalancing?
Replies: 36
Views: 2296

Re: Anyone rebalancing?

My next bolus of cash shows up on Dec 31. I will very likely be rebalancing then, as I almost always do, I may also take the opportunity to TLH from my S&P/extended market tilt into a total market portfolio, but need to re-compute portfolio distributions.
by ryman554
Mon Dec 24, 2018 10:27 pm
Forum: Investing - Help with Personal Investments
Topic: Should I hold, rather than sell, tech RSUs in light of downturn?
Replies: 13
Views: 1150

Re: Should I hold, rather than sell, tech RSUs in light of downturn?

Vesting RSU is equivalent to: The company providing you with a bonus and withholding 25%* tax on it and then purchasing a whole number of shares of company stock with the remainder of the bonus. That the bonus is dependent on the price of the company shares is irrelevant, but is what you are focusin...
by ryman554
Wed Dec 19, 2018 10:41 am
Forum: Investing - Help with Personal Investments
Topic: The 4% rule
Replies: 71
Views: 6545

Re: The 4% rule

i am targeting 3% rule. plus pension and SS And I hope you enjoy the time spent at work oversaving. There is very little in this world that we cannot buy or get back. Time is one of them. We can argue the details of the 4% rule, as has been done almost every week here on these boards, but as a gene...
by ryman554
Wed Dec 19, 2018 9:33 am
Forum: Personal Finance (Not Investing)
Topic: Fidelity free Turbotax
Replies: 380
Views: 52440

Re: Fidelity free Turbotax

The basic version includes the 5 federal for free, but does charge for state. You have to get at least the deluxe to get the free state filing. As for the discount, there seems to be a long discussion each year as to who is eligible. Not quite. The Deluxe includes includes one free state, i.e. the ...
by ryman554
Tue Dec 18, 2018 1:14 pm
Forum: Personal Finance (Not Investing)
Topic: Fidelity free Turbotax
Replies: 380
Views: 52440

Re: Fidelity free Turbotax

The basic version includes the 5 federal for free, but does charge for state. You have to get at least the deluxe to get the free state filing. As for the discount, there seems to be a long discussion each year as to who is eligible. Not quite. The Deluxe includes includes one free state, i.e. the ...
by ryman554
Tue Dec 18, 2018 11:51 am
Forum: Personal Finance (Not Investing)
Topic: Fidelity free Turbotax
Replies: 380
Views: 52440

Re: Fidelity free Turbotax

Is everyone getting $20 off? I recall last year it was free. That is the norm... some frequent traders and high balance/private client members get offered "free". I'm somewhat surprised that I qualified for "free" this year... I went back under the $1M dividing line due to market losses -- but sinc...
by ryman554
Mon Dec 17, 2018 10:37 am
Forum: Personal Finance (Not Investing)
Topic: Pre-paying mortgage only in early years
Replies: 51
Views: 3558

Re: Pre-paying mortgage only in early years

Prepaying a mortgage is building your wealth. It is more or less equivalent to buying a bond, and for net worth purposes more "more" than "less". I don't see how prepaying a mortgage is building wealth. You are simply transferring one investment (whatever investment the money you use to prepay is c...
by ryman554
Mon Dec 17, 2018 9:21 am
Forum: Investing - Help with Personal Investments
Topic: Year end distributions question
Replies: 6
Views: 724

Re: Year end distributions question

Just to clarify. Several funds have a record date of 12/17 (today); and a payable date of 12/19. So if one put in an order to purchase a new mutual fund with a record date of 12/17 before 4PM today, would they be purchasing units and then receiving the dividend. Or would they be purchasing units at...
by ryman554
Tue Dec 04, 2018 1:40 pm
Forum: Investing - Help with Personal Investments
Topic: Home Down Payment - Where to Save?
Replies: 22
Views: 2092

Re: Home Down Payment - Where to Save?

The OP may or may not be buying a house in the near future. Therefore, the OP should be putting extra money in equities for the long term. When the details of OP's life clarifies to the point where purchasing a house (or have anything else major) is in the immediate future, then the OP should be mov...
by ryman554
Fri Nov 30, 2018 9:38 am
Forum: Investing - Help with Personal Investments
Topic: backdoor roth and new limitation?
Replies: 15
Views: 1260

Re: backdoor roth and new limitation?

Could you explain what would prevent someone from doing a "mega backdoor Roth" we are doing our first one this year and I didn't think there was anything that could prevent it. The total amount of contributions (employee elective, employer + "your after-tax mega back door thingy" can't exceed somet...
by ryman554
Tue Nov 27, 2018 10:56 am
Forum: Investing - Help with Personal Investments
Topic: Good newsletters for speculative investments?
Replies: 14
Views: 944

Re: Good newsletters for speculative investments?

Like I am sure all of you I get intrigued every week by at least a couple of ads that promise insights to take advantage of new trends (eg cannabis legalization), legislation (eg prescription drug reform), etc. Invariably I am pulled into a nauseatingly long-winded sales pitch that concludes after ...
by ryman554
Mon Nov 26, 2018 12:53 pm
Forum: Investing - Help with Personal Investments
Topic: Can I over-contribute to 401k plan between 2 employers in anticipation of HCE refund from old employer?
Replies: 15
Views: 803

Re: Can I over-contribute to 401k plan between 2 employers in anticipation of HCE refund from old employer?

I over contributed one year due to job change. What happened was I had to pay taxes when filing my tax return. However, even if you've paid taxes, the 401k money still stays in before tax bucket and there's no way the plan admin will move it to after tax for you, and down the road you still have to...
by ryman554
Mon Nov 26, 2018 9:22 am
Forum: Investing - Help with Personal Investments
Topic: Can I over-contribute to 401k plan between 2 employers in anticipation of HCE refund from old employer?
Replies: 15
Views: 803

Re: Can I over-contribute to 401k plan between 2 employers in anticipation of HCE refund from old employer?

I over contributed one year due to job change. What happened was I had to pay taxes when filing my tax return. However, even if you've paid taxes, the 401k money still stays in before tax bucket and there's no way the plan admin will move it to after tax for you, and down the road you still have to...
by ryman554
Mon Nov 26, 2018 9:18 am
Forum: Investing - Help with Personal Investments
Topic: Can I over-contribute to 401k plan between 2 employers in anticipation of HCE refund from old employer?
Replies: 15
Views: 803

Re: Can I over-contribute to 401k plan between 2 employers in anticipation of HCE refund from old employer?

I contributed 16,334.84 with a prior employer as of today's date. Tomorrow I start with a new employer. They have asked me for my prior year contributions so they can set my maximum contribution limit. I know I will get a refund check from the prior year employer anyways, as I expect the HCE limit ...
by ryman554
Mon Nov 26, 2018 9:12 am
Forum: Investing - Help with Personal Investments
Topic: Can I over-contribute to 401k plan between 2 employers in anticipation of HCE refund from old employer?
Replies: 15
Views: 803

Re: Can I over-contribute to 401k plan between 2 employers in anticipation of HCE refund from old employer?

One idea is you could try to roll over your old employer's 401k plan to an IRA or the new employer's 401k before they do the HCE refund. Then just contribute to the IRS max with the new employer. Sometimes they'd be willing to overnight the rollover check/etc for the cost of overnight service. For ...
by ryman554
Mon Nov 26, 2018 8:57 am
Forum: Investing - Help with Personal Investments
Topic: Inheritance and Financial Advisor (Advice Please!)
Replies: 16
Views: 2053

Re: Inheritance and Financial Advisor (Advice Please!)

Just called Jeff Nat and I am wrong about the 10% early withdrawal penalty -- there is none. Only taxes would be on the gains and they would be taxed as ordinary income. I was also incorrect about my cost basis which is 400k, not 540k -- current value of account is ~610k. With this in mind my plan ...
by ryman554
Tue Nov 20, 2018 12:04 pm
Forum: Investing - Theory, News & General
Topic: Rumor mill - Fidelity starting individual HSA's Nov. 15th
Replies: 867
Views: 66199

Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

EDIT: Fidelity rep said to print the form outside the wizard and check the brokerage transfer option. We'll see. *** I'm trying to transfer an HSA account currently at my BCBS provider, Acclaris, to a new individual Fidelity account. When I fill in the Acclaris information on the transfer screens, ...
by ryman554
Fri Nov 16, 2018 10:23 am
Forum: Personal Finance (Not Investing)
Topic: How Long / Hard To Become a Millionaire on Under $100k Income
Replies: 133
Views: 12524

Re: How Long / Hard To Become a Millionaire on Under $100k Income

Becoming a millionaire by 40 can be done by saving $60 a day from age 21 through 40 with an 8% return on investments. How hard it is to save $60 a day depends greatly on how close to the $100k/yr mark you get. Yes, that would be tough. $60 a day is $1,800 a month. Really, that's $22k/year. That is ...
by ryman554
Fri Nov 16, 2018 10:11 am
Forum: Investing - Theory, News & General
Topic: Withhold-to-Cover method for RSU grant
Replies: 10
Views: 745

Re: Withhold-to-Cover method for RSU grant

The company I work for also uses "withhold to cover," but it returns the difference between taxes due and the value of the shares withheld to us as cash in our paycheck. I'd expect your company to do the same; it seems unlikely they could legally just pocket the difference. I would try to clarify i...
by ryman554
Fri Nov 16, 2018 10:05 am
Forum: Investing - Theory, News & General
Topic: Rumor mill - Fidelity starting individual HSA's Nov. 15th
Replies: 867
Views: 66199

Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

I submitted my transfer form along with statements as a message to Fidelity yesterday, and today they responded that it was being processed. The form does not have to be mailed. Just to clarify, you attached the form and the statement from your old provider to a secure message (under Customer Servi...
by ryman554
Wed Nov 14, 2018 9:40 am
Forum: Investing - Help with Personal Investments
Topic: I can't take this anymore=) I'm selling stocks and buying bonds!
Replies: 129
Views: 19914

Re: I can't take this anymore=) I'm selling stocks and buying bonds!

When you sell you haven't accomplished anything other than realizing a loss. Instead, direct all new purchases to bonds, money market, etc. until your overall allocation is comfortable. Stop looking at your account(s) so often. I completely disagree. If one's asset allocation turns out to be unsuit...
by ryman554
Tue Nov 13, 2018 8:23 am
Forum: Investing - Help with Personal Investments
Topic: Severance | 401(k)
Replies: 20
Views: 1987

Re: Severance | 401(k)

Tell old company you over-contributed to 401(k) and request return of all (excess) contributions and earnings for 2019. You can try that. However, the old custodian doesn't have to cooperate. They look at their books and see no excess, and you can't provide any evidence of prior contributions. They...
by ryman554
Mon Nov 12, 2018 10:36 am
Forum: Investing - Help with Personal Investments
Topic: Severance | 401(k)
Replies: 20
Views: 1987

Re: Severance | 401(k)

Can't you just do both? Max out 401(k) now. When you get a new job, max out 401(k) then (again) + match. Tell old company you over-contributed to 401(k) and request return of all (excess) contributions and earnings for 2019. No, you are only allowed $19K employee contributions across all plans, and...
by ryman554
Mon Nov 12, 2018 9:31 am
Forum: Investing - Help with Personal Investments
Topic: Severance | 401(k)
Replies: 20
Views: 1987

Re: Severance | 401(k)

After discussing with HR, severance and 19' pro-rated bonus will not be eligible for 401(k) contributions. However, I have the option to contribute 100% of my pay check in early 2019 in order to max the 2019 401(k) limits (by February). Initially I liked this option but with more time I realized th...
by ryman554
Tue Nov 06, 2018 3:30 pm
Forum: Investing - Theory, News & General
Topic: This man can predict when bubbles burst: time to time the market?
Replies: 145
Views: 10845

Re: This man can predict when bubbles burst: time to time the market?

I suffer from anxiety and I am afraid of huge losses in my investments. Taleb shows that extreme events are possible and losses in the stock market can be much higher than the bell curve predicts. So I am looking for ways to manage my anxiety in this, including by researching serious methods of ris...
by ryman554
Tue Oct 30, 2018 8:35 am
Forum: Investing - Help with Personal Investments
Topic: Mega Backdoor: Cap on Distribution to Roth IRA?
Replies: 12
Views: 987

Re: Mega Backdoor: Cap on Distribution to Roth IRA?

If you are thinking of accessing the conversion principal prior to turning 59.5, remember there is a 5 year seasoning period for penalty free access on each individual conversion. Keep records of your conversions until you are 59.5 in case you needed to withdraw principal. While true, this money co...
by ryman554
Tue Oct 30, 2018 8:26 am
Forum: Investing - Help with Personal Investments
Topic: Mega Backdoor: Cap on Distribution to Roth IRA?
Replies: 12
Views: 987

Re: Mega Backdoor: Cap on Distribution to Roth IRA?

I have read that some plans allow you to set up scheduled automated conversions. Mine does not and I have to initiate each conversion. If you have to initiate each withdrawal, then what matters is if any gains have accrued . When the market is going through a flat or declining period (like now), th...
by ryman554
Fri Oct 26, 2018 9:46 am
Forum: Personal Finance (Not Investing)
Topic: Question about the 4% rule
Replies: 27
Views: 2482

Re: Question about the 4% rule

So for early retirement in early 50s does the 4% rule still apply? I would say no, because it was originally calculated for 30-year retirements. Early retirement can be tricky because you need to plan for more than 30-years (just in case), you're not getting Social Security for a while, and you hav...
by ryman554
Thu Oct 18, 2018 8:32 am
Forum: Investing - Theory, News & General
Topic: flat for the year
Replies: 27
Views: 2604

Re: flat for the year

I'm +5% when considering contributions. I'm -2% when subtracting out the new contributions. So, I'm down to flat. Treading water, so to speak, but still adding ballast, which is nice considering a (low) 7 figure portfolio. Contributions matter, even at this level. Not a good year to be 40% internati...
by ryman554
Thu Oct 18, 2018 8:11 am
Forum: Investing - Help with Personal Investments
Topic: "Breaking" a CD: On a Specific Date ??
Replies: 12
Views: 853

Re: "Breaking" a CD: On a Specific Date ??

I guess that different institutions have varied penalties for breaking CDs of similar maturities? Do some institutions claw back principal as well as interest if a CD is "broken"? Yes. If the penalty is 6 months of interest and you break the CD after 3 months, they will take 3 months of interest ou...
by ryman554
Sat Oct 13, 2018 5:50 pm
Forum: Personal Finance (Not Investing)
Topic: If I retire to a State that has no State taxes...
Replies: 46
Views: 7554

Re: If I retire to a State that has no State taxes...

If i retire to a State that has no state taxes, I wont pay any state taxes on my RMDs and long term capital gain that I exercise after moving to that state. Is that correct? Yes, I believe that's correct if it's one of the 7 states listed above. One caveat based on your use of the term "exercise". ...
by ryman554
Tue Oct 09, 2018 2:25 pm
Forum: Personal Finance (Not Investing)
Topic: Apartment 50% of assets
Replies: 21
Views: 1962

Re: Apartment 50% of assets

So. I agree completely. However, this place is pretty pricy and we could easily sell it and move to something much less expensive. It's a lot less complicated than you are making it. 1. Assume the goal of your investing is to become financially independent. Also assume you want to get there as soon...
by ryman554
Tue Oct 09, 2018 1:06 am
Forum: Personal Finance (Not Investing)
Topic: Postponing the bonus to next year. Is it a good idea?
Replies: 30
Views: 2018

Re: Postponing the bonus to next year. Is it a good idea?

It would not work in many jobs but taking a leave of absence without pay might keep you below the income limits. Even if your wife cannot take the time off you might be able to, or you both might be able to take two extra weeks off. Don't forget that if you have anything you can take a capital loss...
by ryman554
Mon Oct 08, 2018 3:02 pm
Forum: Personal Finance (Not Investing)
Topic: Postponing the bonus to next year. Is it a good idea?
Replies: 30
Views: 2018

Re: Postponing the bonus to next year. Is it a good idea?

Thanks everyone! I will just ask the employer to cancel the bonus this year all together. You are going to ask your wife’s employer to cancel her bonus? How does your wife feel about that? The OP will get hit with a 15k ACA subsidy penalty for 5k of extra income, if I remember the other thread corr...
by ryman554
Fri Oct 05, 2018 8:18 am
Forum: Investing - Help with Personal Investments
Topic: Shorting and buying a stock in two accounts (one is retirement account)
Replies: 19
Views: 1422

Re: Shorting and buying a stock in two accounts (one is retirement account)

OP: Since this in an (M)AGI problem, please post to this group where your income is coming from, and what tax-advantaged space you have used up. There may be other solutions. You should also change your title to something like "need to reduce MAGI by $5000 to avoid Obamacare subsidy..." or something...
by ryman554
Thu Oct 04, 2018 8:27 am
Forum: Personal Finance (Not Investing)
Topic: Record keeping fees fidelity 401k vs. brokerage link
Replies: 19
Views: 3097

Re: Record keeping fees fidelity 401k vs. brokerage link

Nevermind. I see my plan suddenly has a $67 a year recordkeeping fee. For me that's an additional 0.08% expense, thanks Fidelity :( It is up to the employer whether or not they want pass along the recordkeeping fee or not. For example, my wife's MegaUni's 403b has no recordkeeping fees while my Meg...