Search found 33464 matches

by retiredjg
Sat Sep 22, 2018 12:48 pm
Forum: Investing - Help with Personal Investments
Topic: AA Review [Asset Allocation]
Replies: 3
Views: 187

Re: AA Review [Asset Allocation]

Now on to investing. My wife is a teacher and has a pension of about 18k no match. What does this mean? Is her pension currently worth about $18k? Does she put in $18k a year? Does the employer put in $18 k a year? Something else entirely? I plan on opening her a Vanguard brokerage account at end o...
by retiredjg
Sat Sep 22, 2018 10:40 am
Forum: Investing - Help with Personal Investments
Topic: Roth in-plan conversion questions
Replies: 4
Views: 298

Re: Roth in-plan conversion questions

Hello, I'm new to the mega backdoor Roth IRA, have read enough to have a basic understanding but came across one question. My employer's 401k is held through Vanguard, and they offer after-tax contributions and in-plan conversion to Roth. There are two methods that have the name "mega back door". O...
by retiredjg
Sat Sep 22, 2018 8:55 am
Forum: Investing - Help with Personal Investments
Topic: Traditional TSP and Roth TSP
Replies: 16
Views: 1353

Re: Traditional TSP and Roth TSP

It just seems likely that someone "behind in...retirement savings" would likely be in lower tax bracket in retirement. If that person is married, perhaps. If this poster is single, there is a very good chance s/he is in the 22% bracket now and will be in the 25% bracket in retirement if taxes do re...
by retiredjg
Sat Sep 22, 2018 8:24 am
Forum: Investing - Help with Personal Investments
Topic: Medallion Gold Signature
Replies: 16
Views: 2420

Re: Medallion Gold Signature

But it sounds from a few replies that I can still put money into that Roth. I thought I had maxed it out due to my MFS status. Is it true I can continue to add to a Roth IRA with MFS status? Since you are MFS and probably have income of greater than $10k, you are not allowed to contribute directly ...
by retiredjg
Fri Sep 21, 2018 7:07 pm
Forum: Investing - Help with Personal Investments
Topic: Still haven't made sense of this 50-50 AA situation
Replies: 9
Views: 1235

Re: Still haven't made sense of this 50-50 AA situation

What if you put a LifeStrategy fund with lots of stocks in the Roth IRA and a LS fund with lots of bonds in the tIRA? Could you achieve the stock to bond ratio you want while still having more stocks in Roth and more bonds in tIRA? I think you probably can do it, but you might need another fund (a b...
by retiredjg
Fri Sep 21, 2018 6:00 pm
Forum: Investing - Help with Personal Investments
Topic: Still haven't made sense of this 50-50 AA situation
Replies: 9
Views: 1235

Re: Still haven't made sense of this 50-50 AA situation

If you are planning to spend the RMDs, you would/may need to adjust your portfolio back to 50/50 by buying bonds in Roth IRA. Don't worry about that - bonds do just fine in Roth IRA. If you do not spend the RMDs, invest your RMD money in some kind of bonds or fixed income assets and call it good unl...
by retiredjg
Fri Sep 21, 2018 5:36 pm
Forum: Personal Finance (Not Investing)
Topic: Thoughts on Using Medicare Consultant that is Paid by the Insurers
Replies: 24
Views: 1048

Re: Thoughts on Using Medicare Consultant that is Paid by the Insurers

Here's my concern. Certain people do not need to buy a plan from the vendors that consultant is representing. For example, Federal employees (and I assume many state or municipal employees) don't need that service - they can carry their old insurance into old age as their secondary provider, sometim...
by retiredjg
Fri Sep 21, 2018 5:18 pm
Forum: Personal Finance (Not Investing)
Topic: Thoughts on Using Medicare Consultant that is Paid by the Insurers
Replies: 24
Views: 1048

Re: Thoughts on Using Medicare Consultant that is Paid by the Insurers

I think listening and learning from such a person is fine. But it would NOT be my only source of information. Even if they represent many companies, they probably do not represent the entire universe you need to know about. The SHIP volunteers Ive known are sharp and helpful. And some are not volunt...
by retiredjg
Fri Sep 21, 2018 5:05 pm
Forum: Investing - Help with Personal Investments
Topic: Requesting portfolio review
Replies: 17
Views: 1617

Re: Requesting portfolio review

Thank you, I've learnt something. In my continuing quest to simplify things with a view to the future, I now have to consider turning off dividend/cap gains reinvestment in Roth/trad IRAs as well, or alternatively choose substantially non-identical investments in the same bucket across different ac...
by retiredjg
Fri Sep 21, 2018 9:57 am
Forum: Personal Finance (Not Investing)
Topic: Converting solo 401k and SEP IRA to 401k with loans and/or early withdrawal
Replies: 5
Views: 213

Re: Converting solo 401k and SEP IRA to 401k with loans and/or early withdrawal

Spirit Rider, can this be done any time of year or only by calendar year?
by retiredjg
Fri Sep 21, 2018 8:15 am
Forum: Investing - Help with Personal Investments
Topic: 409A/Backdoor Roth - Question
Replies: 2
Views: 168

Re: 409A/Backdoor Roth - Question

What is required for a Roth contribution is "compensation".

Publication 590A has some examples of what compensation is or is not. In general, payout from a retirement plan is not compensation. I don't know anything about a 409A, but I would expect that it is not compensation.
by retiredjg
Fri Sep 21, 2018 7:11 am
Forum: Investing - Help with Personal Investments
Topic: Help: Is it worth it for me to do a Back Door Roth
Replies: 4
Views: 557

Re: Help: Is it worth it for me to do a Back Door Roth

You cannot have an active Solo 401k and an active SIMPLE IRA for the same employment. Your plan makes sense up to the point of continuing to use the SIMPLE IRA. Once you've moved all this money, you should just use the Solo 401k (in addition to the back door Roth) after that.
by retiredjg
Fri Sep 21, 2018 7:04 am
Forum: Investing - Help with Personal Investments
Topic: Let's rebalance my young 401k
Replies: 5
Views: 608

Re: Let's rebalance my young 401k

You are young, but it is always good to have some bonds in a portfolio. I suggest 20%, but 10% is better than nothing. Use these and get rid of the rest: Intermediate-Term Bond - BlackRock US Debt Index Fund M DEBTM 0.04% Large Blend - Vanguard Institutional Index Trust MARVI 0.02%[/color] actually ...
by retiredjg
Fri Sep 21, 2018 5:48 am
Forum: Investing - Help with Personal Investments
Topic: Requesting portfolio review
Replies: 17
Views: 1617

Re: Requesting portfolio review

Is the concern specific to Roth IRA holding substantially similar investment as in taxable, and this doesn't apply to traditional IRAs? No, it could be any other taxable account or any IRA (Roth or traditional). It could even be an account that belongs solely to your spouse )such as an IRA). Opinio...
by retiredjg
Thu Sep 20, 2018 3:48 pm
Forum: Investing - Help with Personal Investments
Topic: Automated Roth in plan conversions better than Mega Backdoor to Roth IRA?
Replies: 7
Views: 466

Re: Automated Roth in plan conversions better than Mega Backdoor to Roth IRA?

This is called an in-plan Roth rollover (IRR) and is essentially the same thing as the mega back door. Sounds like a super system - should almost completely eliminate taxes on earnings because there won't be much in earnings. I believe we have been told that that portion of your Roth 401k can be rol...
by retiredjg
Thu Sep 20, 2018 7:38 am
Forum: Investing - Help with Personal Investments
Topic: Requesting portfolio review
Replies: 17
Views: 1617

Re: Requesting portfolio review

I would eliminate the international equity portfolio as unnecessary and transfer most of it into bonds, leaving close to a 50-50 AA. With assets between $5-$15M I think risk avoidance. If for some reason you feel the need for international exposure in your portfolio keep it to a max of 20% of your ...
by retiredjg
Wed Sep 19, 2018 7:07 pm
Forum: Personal Consumer Issues
Topic: Did you really have something to retire to?
Replies: 122
Views: 9301

Re: Did you really have something to retire to?

In addition to not having something to "retire to", I also decided to have no expectations at all for the first year of retirement. Whatever happened would happen and be OK. Expectations, or more accurately not meeting one's expectations, is the source of disappointment and discontent. I decided to ...
by retiredjg
Wed Sep 19, 2018 6:44 pm
Forum: Investing - Help with Personal Investments
Topic: Requesting portfolio review
Replies: 17
Views: 1617

Re: Requesting portfolio review

Not being knowledgeable about wash sales, I googled it and I assume you are referencing the possibility that at some point I may want to tax-loss harvest a position in VTI in a taxable account? In that case, I would have to be careful about adding the VTI position in the Roth IRA. It is a subtle po...
by retiredjg
Wed Sep 19, 2018 5:52 pm
Forum: Personal Finance (Not Investing)
Topic: General 2018 Tax Question
Replies: 33
Views: 3190

Re: General 2018 Tax Question

But the important thing is the 1040 form is now postcard sized. Are you being ironic ? :) I think it would be more accurate to say I was being a bit sarcastic. I do believe fewer people will itemize deductions and I think that is a probably a good thing. Other than that, I think information gatheri...
by retiredjg
Wed Sep 19, 2018 4:48 pm
Forum: Personal Finance (Not Investing)
Topic: General 2018 Tax Question
Replies: 33
Views: 3190

Re: General 2018 Tax Question

It appears that way to me.

Other than fewer people using itemized deductions, I think all the other stuff will still be captured, just in different places. But the important thing is the 1040 form is now postcard sized.
by retiredjg
Wed Sep 19, 2018 4:45 pm
Forum: Personal Consumer Issues
Topic: Did you really have something to retire to?
Replies: 122
Views: 9301

Re: Did you really have something to retire to?

Golf maniac wrote:
Wed Sep 19, 2018 4:08 pm
Also, it is important to not do what your DW does and follow her around. You need your own activities and things to do. That is a key part of keeping the peace..lol
Oh my goodness, yes! Nail. Head. And all that. :happy
by retiredjg
Wed Sep 19, 2018 4:12 pm
Forum: Investing - Help with Personal Investments
Topic: Requesting portfolio review
Replies: 17
Views: 1617

Re: Requesting portfolio review

1. My current asset allocation is 51 U.S. stocks, 16 % international stocks, 33 % fixed income. What asset allocation would forum contributors choose if they were in my situation? This is a reasonable choice. 2. Fixed income holdings comprise 33 % of my portfolio. As shown above, 10 % of this is in...
by retiredjg
Wed Sep 19, 2018 3:12 pm
Forum: Personal Consumer Issues
Topic: Did you really have something to retire to?
Replies: 122
Views: 9301

Re: Did you really have something to retire to?

flyingaway wrote:
Wed Sep 19, 2018 2:55 pm
For those who are retired, did you really have something solid to retire to?
I didn't. Not a clue. It has not been a problem. :happy
by retiredjg
Wed Sep 19, 2018 1:23 pm
Forum: Personal Finance (Not Investing)
Topic: What is a reasonable fee charged by financial planners?
Replies: 30
Views: 2109

Re: What is a reasonable fee charged by financial planners?

1. DO NOT USE anyone but a FEE ONLY planner!!!! Yes, but....one has to be careful with this term - fee only planner - because it can also refer to a planner that charges nothing but an AUM (assets under management) fee. And that is obviously NOT what you are suggesting. I don't know of a better ter...
by retiredjg
Wed Sep 19, 2018 12:07 pm
Forum: Investing - Help with Personal Investments
Topic: Back door Roth
Replies: 3
Views: 191

Re: Back door Roth

Agree. Her IRA does not affect your ability to use the back door.
by retiredjg
Wed Sep 19, 2018 12:00 pm
Forum: Investing - Help with Personal Investments
Topic: Dollar cost average funds being transferred to new retirement account?
Replies: 24
Views: 1456

Re: Dollar cost average funds being transferred to new retirement account?

RickBoglehead wrote:
Wed Sep 19, 2018 6:10 am
Threads several times a week on this. Often quoted studies show that DCA loses to lump sum investing roughly 2/3 of the time.
That is correct but I believe those studies relate to a different scenario (a lump sum of money not already in the market).
by retiredjg
Wed Sep 19, 2018 9:32 am
Forum: Investing - Help with Personal Investments
Topic: Asset allocation calculator
Replies: 47
Views: 2909

Re: Asset allocation calculator

I think this poster is saying s/he is older and within 10 years of retirement with a willingness and at least some ability to take risk. In a case like that, the need to take risk may actually be less than willingness and ability. It is possible that need should be the limiting factor for this poster.
by retiredjg
Wed Sep 19, 2018 7:17 am
Forum: Investing - Theory, News & General
Topic: 401k: Why not only after-tax?
Replies: 31
Views: 2964

Re: 401k: Why not only after-tax?

Now, my problem is that roth 401k is not flexible enough. I'd rather prefer to have it in Roth IRA. So my strategy for doing so is to only do after-tax 401k (ignore the employer match for simplicity, let's say I can do 55k). I do a mega backdoor conversion and move it to a ROth IRA. Does it sound r...
by retiredjg
Wed Sep 19, 2018 6:40 am
Forum: Investing - Help with Personal Investments
Topic: Organizing an unplanned portfolio and dealing with LTCG
Replies: 14
Views: 1239

Re: Organizing an unplanned portfolio and dealing with LTCG

With a 70/30 stock bond split a simple three fund target could be - 30% vbltx vanguard total bond market (IRA) 30% vtiax vanguard total intl stock index (taxable) 40% vtsax vanguard total stock market (remaining IRA+taxable) Please let me know if this is a workable plan. I would not suggest holding...
by retiredjg
Wed Sep 19, 2018 6:36 am
Forum: Investing - Help with Personal Investments
Topic: Organizing an unplanned portfolio and dealing with LTCG
Replies: 14
Views: 1239

Re: Organizing an unplanned portfolio and dealing with LTCG

Not 100% sure why you are talking about penalties in relation to safe harbor. You can just make estimated tax payments using the proceeds of your sale. That was just related to any 2018 sales as I have missed the dates for the first three estimated tax payments and might not meet 110% with withhold...
by retiredjg
Wed Sep 19, 2018 6:29 am
Forum: Investing - Help with Personal Investments
Topic: Have We Missed the Boat on Roth Conversions?
Replies: 48
Views: 5432

Re: Have We Missed the Boat on Roth Conversions?

If I am doing the mega do I have to stay in the plan? If I don’t like that plan then maybe the straight up conversion would give me more flexibility. There are a couple of things that might be considered a Mega backdoor. One is an "in-plan Roth Rollover" where the money rolls from the after tax-acc...
by retiredjg
Tue Sep 18, 2018 5:10 pm
Forum: Personal Finance (Not Investing)
Topic: Manager - Cancer Diagnosis
Replies: 15
Views: 1705

Re: Manager - Cancer Diagnosis

Palatineman wrote:
Tue Sep 18, 2018 4:40 pm
-We both trust each other and he has been very supportive when I have had health issues in the past
He already knows he can trust you so you don't need to do anything out of the ordinary. Just continue being trustworthy and helpful.
by retiredjg
Tue Sep 18, 2018 5:04 pm
Forum: Personal Finance (Not Investing)
Topic: What is a reasonable fee charged by financial planners?
Replies: 30
Views: 2109

Re: What is a reasonable fee charged by financial planners?

Two things come to mind. A poster here provides a service to help people find an advice only financial advisor that may fit your needs. You would pay a small feel for his service. See this link. https://adviceonlyfinancial.com You could post your financial picture here and get opinions from the peop...
by retiredjg
Tue Sep 18, 2018 3:44 pm
Forum: Investing - Theory, News & General
Topic: Why I left Wealthfront
Replies: 40
Views: 11363

Re: Why I left Wealthfront

:shock:

I had no idea....
by retiredjg
Tue Sep 18, 2018 8:37 am
Forum: Investing - Help with Personal Investments
Topic: AA and Tax efficiency review
Replies: 12
Views: 764

Re: AA and Tax efficiency review

There really is no general "should" for this. The total bond market is good enough alone. For people who must or choose to hold bonds in taxable, I Bonds are a good choice. And if your MAGI is not too high, they can be used for education without paying tax on the earnings. I Bonds can also be used f...
by retiredjg
Tue Sep 18, 2018 6:36 am
Forum: Investing - Theory, News & General
Topic: 401k: Why not only after-tax?
Replies: 31
Views: 2964

Re: 401k: Why not only after-tax?

But this is not my question. My question is wether it's a good strategy to use only after-tax 401k. So I can flexibly decide which funds go to pre-tax and which funds go to Roth (after mega backdoor conversion) Or there is something I didn't think about? I don't think your question is very clear. R...
by retiredjg
Mon Sep 17, 2018 5:56 pm
Forum: Investing - Theory, News & General
Topic: 401k: Why not only after-tax?
Replies: 31
Views: 2964

Re: 401k: Why not only after-tax?

If I do only after-tax 401k (forget traditional 401k pre-tax and 401k Roth), I can convert it into a Roth IRA once a year. I would have to pay some little amount on taxes, but it would be better long term. This could be true if you are in a very low tax bracket or in a lower tax bracket and expecti...
by retiredjg
Mon Sep 17, 2018 5:28 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Personal Advisor - .30%
Replies: 23
Views: 3079

Re: Vanguard Personal Advisor - .33%

One of the nice things about Vanguard's PAS is that it can easily be used as "training wheels" for learning to do it yourself. You can simply stop the management at any time and do it yourself. Maybe you are ready to do it on your own. Would you know how to rebalance? If not, are you interested enou...
by retiredjg
Mon Sep 17, 2018 3:50 pm
Forum: Investing - Help with Personal Investments
Topic: Confused with Backdoor Roth, need some help
Replies: 6
Views: 446

Re: Confused with Backdoor Roth, need some help

Would it be better to roll over to another 401k type account now? If you can get this money into another 401k before the end of the year, it will not mess up your back door contribution to Roth IRA. Would that account for my 401k contribution this year? No. Rollovers do not count in your contributi...
by retiredjg
Mon Sep 17, 2018 2:52 pm
Forum: Investing - Help with Personal Investments
Topic: Confused with Backdoor Roth, need some help
Replies: 6
Views: 446

Re: Confused with Backdoor Roth, need some help

It does not count as part of your IRA contribution, but it does mess up your back door contribution to Roth. Do you have a 401k/403b type account you can roll that money (the old 401k money) into? How large is the old 401k (now IRA)? Are you sure they moved it to IRA, not a different 401k? That does...
by retiredjg
Mon Sep 17, 2018 1:27 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard vs. EJ vs. Fidelity
Replies: 13
Views: 963

Re: Vanguard vs. EJ vs. Fidelity

I am looking to roll my Roth 401k and Traditional 401K to IRA’s. I’ve been doing some research on EJ, Vanguard & Fidelity. It is all very confusing to me. My gut says go with Vanguard. Targeted retirement funds which will make things easier. EJ is truly loaded with fees. Do not use them. You can ge...
by retiredjg
Mon Sep 17, 2018 9:00 am
Forum: Investing - Help with Personal Investments
Topic: Organizing an unplanned portfolio and dealing with LTCG
Replies: 14
Views: 1239

Re: Organizing an unplanned portfolio and dealing with LTCG

I think you need to bite the bullet. Your portfolio has two issues to address. The first is your high allocation to Amazon. Getting that number down to 5% or less should be very high - probably first - on your list because it makes your portfolio much riskier than a similar stock to bond ratio witho...
by retiredjg
Mon Sep 17, 2018 8:34 am
Forum: Investing - Help with Personal Investments
Topic: Asset allocation calculator
Replies: 47
Views: 2909

Re: Asset allocation calculator

I agree with Ron Scott. Figuring out "what return do I need?" only addresses one part of the asset allocation decision. It addresses "need" to take risk. And it is fine to know that, but it is NOT the most important factor in your decision. What if you find you have a high need for risk (you need a ...
by retiredjg
Mon Sep 17, 2018 7:28 am
Forum: Investing - Help with Personal Investments
Topic: Have We Missed the Boat on Roth Conversions?
Replies: 48
Views: 5432

Re: Have We Missed the Boat on Roth Conversions?

What additional money out of pocket are you referring to in the mega back door over the ordinary conversion? In your earlier example, are you referring to $500 earnings on the 10K? If you do the mega back door for say $15k, you have to come up with $15k in "new" money (probably from income) in orde...
by retiredjg
Mon Sep 17, 2018 5:30 am
Forum: Investing - Help with Personal Investments
Topic: Setting up Backdoor Roth IRA, can't figure out where to stuff IRA
Replies: 20
Views: 1734

Re: Setting up Backdoor Roth IRA, can't figure out where to stuff IRA

If you make enough income that you cannot contribute directly to Roth IRA, chances are you should be using traditional 401k (to defer taxes) rather than Roth 401k.

https://www.bogleheads.org/wiki/Traditional_versus_Roth
by retiredjg
Sun Sep 16, 2018 2:04 pm
Forum: Investing - Help with Personal Investments
Topic: How to invest money that you may need in 6 months to a year.
Replies: 17
Views: 1801

Re: How to invest money that you may need in 6 months to a year.

Money needed in 6 or 12 months should not be invested. It should be preserved in a safe place.
by retiredjg
Sun Sep 16, 2018 12:41 pm
Forum: Personal Finance (Not Investing)
Topic: Could I open two Solo 401 [Solo 401(k)s]
Replies: 17
Views: 1032

Re: Could I open two Solo 401 [Solo 401(k)s]

Oh. I guess that does make more sense. :happy
by retiredjg
Sun Sep 16, 2018 11:51 am
Forum: Personal Finance (Not Investing)
Topic: Could I open two Solo 401 [Solo 401(k)s]
Replies: 17
Views: 1032

Re: Could I open two Solo 401 [Solo 401(k)s]

Or maybe the answer is in the wording that Spirit Rider has used. Maybe they don't accept a "rollover" but they would do an adoption agreement to amend a current plan at some other provider and accept that money.... which might not be called a "rollover". Wow, who wrote that post. I think that verb...