Search found 33716 matches

by retiredjg
Mon Oct 15, 2018 9:05 am
Forum: Investing - Help with Personal Investments
Topic: Convert TIRA to Roth, nondeductible
Replies: 5
Views: 154

Re: Convert TIRA to Roth, nondeductible

AstroGirl wrote:
Mon Oct 15, 2018 7:43 am
I’ve been told my Roth 401 plan (Fidelity) won’t accept my IRA funds.
I'd look into this again. It is uncommon (but not impossible) for a 401k not to accept incoming IRA rollovers. A 401k that allows Roth contributions also offers traditional (pre-tax) contributions so that is not the problem.
by retiredjg
Mon Oct 15, 2018 9:00 am
Forum: Investing - Help with Personal Investments
Topic: Maturing out of Target 2015 fund
Replies: 2
Views: 82

Re: Maturing out of Target 2015 fund

There are plenty of bond funds available, but I don't know of any bond funds that are "equally conservative" to a fund that has both stocks and bonds. All will be more conservative than your target fund except for junk bonds which is almost certainly not what you want. If you want a fund with both s...
by retiredjg
Mon Oct 15, 2018 8:51 am
Forum: Personal Finance (Not Investing)
Topic: Entering distribution phase of retirement
Replies: 1
Views: 143

Re: Entering distribution phase of retirement

If your tax-deferred accounts are large, take money from there for your expenses and consider if you want to do Roth conversions so the tax-deferred balance will be lower when RMD time comes. Or....taking your expenses from taxable now will increase the "space" you have to do Roth conversions if you...
by retiredjg
Mon Oct 15, 2018 8:45 am
Forum: Investing - Help with Personal Investments
Topic: help with personal finance and alternatives
Replies: 3
Views: 121

Re: help with personal finance and alternatives

If the choices in the old 401k are not good, you will want to roll it somewhere eventually. If you know the new 401k will be a good one, wait and do that. If you don't know, wait anyway. You do not want to roll to Roth IRA because the entire amount would be taxable. Rolling to an IRA with low cost f...
by retiredjg
Mon Oct 15, 2018 7:20 am
Forum: Personal Consumer Issues
Topic: How do you buy a mattress ?
Replies: 10
Views: 556

Re: How do you buy a mattress ?

My experience is that an RV bed may be called "queen" or "king", but they are often different sizes from standard. Do some measuring before you shop.
by retiredjg
Mon Oct 15, 2018 7:18 am
Forum: Personal Finance (Not Investing)
Topic: Doing my own taxes?
Replies: 14
Views: 542

Re: Doing my own taxes?

If you want to do your taxes, that's fine, but you have not made a compelling financial argument that it needs to be done.
by retiredjg
Sun Oct 14, 2018 5:24 pm
Forum: Investing - Help with Personal Investments
Topic: Reallocation Help
Replies: 8
Views: 562

Re: Reallocation Help

Many people have to substitute here and there. If one is filling a work plan such as a 401k, which is an important thing to try, there if often a 500 index to use instead of the total stock market. That works fine. Sometimes they have to use some other bond fund because there is no bond index fund a...
by retiredjg
Sun Oct 14, 2018 12:50 pm
Forum: Investing - Help with Personal Investments
Topic: New 401k confusion with market
Replies: 19
Views: 1447

Re: New 401k confusion with market

Similarly, self-employed individuals who set up a an i-401k can make the employer contributions up to tax-filing deadline, but that's it. I found one internet source that seems to agree with you, but several that said employee contributions (elective deferrals) can be made into the next year. A cou...
by retiredjg
Sun Oct 14, 2018 12:22 pm
Forum: Investing - Help with Personal Investments
Topic: New 401k confusion with market
Replies: 19
Views: 1447

Re: New 401k confusion with market

Any light shined or better explained on this over contribution would be appreciated. I thought I had until April to deposit for 2017 since I began the business in 2016 and had yet to contribute to anything. My understanding is that the documents for a 2017 Solo 401k must be signed before the end of...
by retiredjg
Sun Oct 14, 2018 11:31 am
Forum: Investing - Theory, News & General
Topic: Better to invest in taxable and not deferred?
Replies: 22
Views: 1852

Re: Better to invest in taxable and not deferred?

expectation is ordinary income taxes will remain high in retirement If you retire wealthy with a high income, then yes, ordinary income taxes will be high and you might have done better investing in taxable. If you do not retire wealthy, then taxes will be low and you will have done better investin...
by retiredjg
Sun Oct 14, 2018 9:18 am
Forum: Investing - Help with Personal Investments
Topic: $50,000: Should I buy now or wait for the market to drop further?
Replies: 30
Views: 3234

Re: $50,000: Should I buy now or wait for the market to drop further?

Invest money when you have it. If it is now time to increase bonds, buy stocks with your $50k and increase the bonds in your tax-advantaged accounts.

Wellington is not a good choice for a taxable account unless you are in a very low tax bracket.
by retiredjg
Sun Oct 14, 2018 9:13 am
Forum: Investing - Theory, News & General
Topic: Better to invest in taxable and not deferred?
Replies: 22
Views: 1852

Re: Better to invest in taxable and not deferred?

There are two arguments against this that I know of. 1) If you put money into taxable now, you pay taxes on it now so less actually gets into the taxable account. If you put $10k into a tax deferred account, you have $10k in there - to be taxed at a later time when you hope your tax rate will be low...
by retiredjg
Sun Oct 14, 2018 8:09 am
Forum: Investing - Help with Personal Investments
Topic: New 401k confusion with market
Replies: 19
Views: 1447

Re: New 401k confusion with market

Heatpr, from what you've said, it appears you may have over-contributed to your 401k. Or maybe not. It appears to be a solo-401k (individual 401k). Is that correct? If yes, I too think if you opened it in 2018, you could not make contributions for 2017. Your employ ee contributions for this year cou...
by retiredjg
Sun Oct 14, 2018 7:36 am
Forum: Personal Finance (Not Investing)
Topic: ProFed Fed Employee Retirement workshop: FA sales or legit help?
Replies: 10
Views: 692

Re: ProFed Fed Employee Retirement workshop: FA sales or legit help?

If your husband can get his agency to send him to a retirement workshop, it would likely be a good experience for him. The people running these workshops probably do gather some customers there, but the workshops themselves (at least the 2 I went to) are legit. I think your best source of informatio...
by retiredjg
Sun Oct 14, 2018 7:18 am
Forum: Investing - Help with Personal Investments
Topic: Unwinding and transferring positions
Replies: 17
Views: 979

Re: Unwinding and transferring positions

4. Above someone mentioned that I should be doing a 403b for my spouse. She does not work outside of the home... am I missing some available option to get her into a 403b? There is a mention of Her 403b in your second post and a question about whether you should be contributing to it. That made it ...
by retiredjg
Sat Oct 13, 2018 3:46 pm
Forum: Investing - Help with Personal Investments
Topic: Dollar cost averaging recs
Replies: 2
Views: 241

Re: Dollar cost averaging recs

Your mistake will be trying to time the market. Decide on a stock to bond ratio for your portfolio and invest in it. If you cannot invest it all at one time, invest a certain amount every Monday or Wednesday or Friday or whatever day you like. I do not mean to decide every Monday (or whatever) wheth...
by retiredjg
Sat Oct 13, 2018 12:24 pm
Forum: Investing - Help with Personal Investments
Topic: ESPP vs. Mega Backdoor Roth
Replies: 19
Views: 413

Re: ESPP vs. Mega Backdoor Roth

If there is no other Microsoft stock in the portfolio, the ESPP could be a nice fun money diversion. If the portfolio already has more than a tiny bit of Microsoft stock, I would not add more. As for option #2, there is no logic in converting some every quarter. Just convert it all to Roth immediate...
by retiredjg
Sat Oct 13, 2018 12:14 pm
Forum: Investing - Help with Personal Investments
Topic: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)
Replies: 23
Views: 1036

Re: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)

I don't think I'm guilty of suggesting that investors ignore best practice in other areas of portfolio construction in order to achieve it with their bond allocation. I'm sorry if you thought I meant that. I didn't. What I meant is that many people with less knowledge than you will not know the dif...
by retiredjg
Sat Oct 13, 2018 9:52 am
Forum: Investing - Help with Personal Investments
Topic: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)
Replies: 23
Views: 1036

Re: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)

I'm sympathetic to the argument that many investors don't have access to a decent bond funds with specific maturity targets, but I'm not sure that the lack of availability should alter their preferences even though it might alter their ability to execute their preference. Herein lies the rub for me...
by retiredjg
Sat Oct 13, 2018 9:07 am
Forum: Investing - Help with Personal Investments
Topic: New member: help with asset allocation and fund selections
Replies: 11
Views: 948

Re: New member: help with asset allocation and fund selections

How much have you contributed to retirement accounts so far this year? How much more money do you have available to contribute? If I understand correctly, you still have some room in the 22% bracket for 2018, but will be firmly in the 24% bracket for 2019. Or can your 401k contributions in 2019 brin...
by retiredjg
Fri Oct 12, 2018 8:18 am
Forum: Investing - Help with Personal Investments
Topic: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)
Replies: 23
Views: 1036

Re: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)

I understand that is how you think and we'll just have to not agree on the subject. But in some ways, our thoughts are not so different. A mixed term bond fund like a total bond index is not that much different from holding all three terms for different horizons. It is a good suggestion for people w...
by retiredjg
Fri Oct 12, 2018 7:35 am
Forum: Personal Finance (Not Investing)
Topic: Backdoor roth /Rollover IRA Mess
Replies: 8
Views: 789

Re: Backdoor roth /Rollover IRA Mess

What i am gather is that after tax 401K conversion to Roth IRA is not pro rated? If the money was transferred directly to Roth IRA, it is NOT pro-rated with the Rollover IRA that you have sitting on the side. This is how it is usually done and you have no mess to fix. If for some reason the money w...
by retiredjg
Fri Oct 12, 2018 6:48 am
Forum: Investing - Help with Personal Investments
Topic: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)
Replies: 23
Views: 1036

Re: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)

It is a very long thread and I only read some of it and don't know what those people think, but I don't think that long term bonds are where most investors should be. For most purposes, I'd suggest using an intermediate term bond. Keep in mind that things like total bond market and the actively mana...
by retiredjg
Thu Oct 11, 2018 6:26 pm
Forum: Personal Finance (Not Investing)
Topic: Employer Contributions 401k/roth 401k/ Vanguard IRA confused
Replies: 10
Views: 470

Re: Employer Contributions 401k/roth 401k/ Vanguard IRA confused

The match always goes into the traditional (tax-deferred) 401k account. The plan can apply their match to whatever type of contribution/account they want. It seems to always apply to traditional 401k contributions and Roth 401k contributions. Whether an after-tax contribution gets matched seems to v...
by retiredjg
Thu Oct 11, 2018 5:55 pm
Forum: Personal Finance (Not Investing)
Topic: Home Purchase - Sellers Request Help with Repairs
Replies: 69
Views: 2969

Re: Home Purchase - Sellers Request Help with Repairs

I wonder if the agent(s) involved have steered this issue in the wrong direction. It seems to me the easiest solution is to just lower the contract price. The problem is that lowers the agent's commission so some would not be willing to make that suggestion. Unwitting sellers and buyers could easily...
by retiredjg
Thu Oct 11, 2018 5:30 pm
Forum: Personal Finance (Not Investing)
Topic: Employer Contributions 401k/roth 401k/ Vanguard IRA confused
Replies: 10
Views: 470

Re: Employer Contributions 401k/roth 401k/ Vanguard IRA confused

In your situation I suggest that you contribute to each traditional 401k enough to get the full match from each employer. The match is essentially free money and you should not miss that. Once you have met the match(es), decide if you want to put more into traditional 401k or Roth IRA. Roth IRA has ...
by retiredjg
Thu Oct 11, 2018 4:38 pm
Forum: Investing - Help with Personal Investments
Topic: 30 yr old needing rebalance advice for current 401k
Replies: 16
Views: 1120

Re: rebalancing future contributuis in employers 401k, 30yr old

Does this look better... Vanguard Small Cap Index Ins (VSCIX)- {25% of future allocation} Vanguard Mid Cap Index Ins (VMCIX)- {0% of future allocation} Vanguard Institutional Index Instl (VIIIX) [ER is .02]- {55% of future allocation} Vanguard Total International Stock Index Instl (VTSNX)- {10% of ...
by retiredjg
Thu Oct 11, 2018 4:29 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio advice, early 20s
Replies: 20
Views: 903

Re: Portfolio advice

bluebutter wrote:
Thu Oct 11, 2018 11:25 am
I don't know anything however about deductions for/from IRA contributions... :confused
Anyone with income who is not yet 70 can contribute to IRA. Only people under certain income limits can deduct that contribution from their taxable income.

https://www.bogleheads.org/wiki/Traditional_IRA
by retiredjg
Thu Oct 11, 2018 4:27 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio advice, early 20s
Replies: 20
Views: 903

Re: Portfolio advice

1. I’m expecting my income to grow by 3-5% yearly. So I guess if I want to spend less money on taxes I should start doing conversion as soon as possible, correct? There is no rush. Get to it this year or next year. 2. I've read the Backdoor Roth: A Complete How-To article, and as you mentioned I ca...
by retiredjg
Thu Oct 11, 2018 4:24 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio advice, early 20s
Replies: 20
Views: 903

Re: Portfolio advice

Got it, I will read more about international stocks and different opinion and will decide for myself what my allocation should be for international stocks, if any! Have you found the Wiki? There is information there about whether and how much to invest in international. Oh, I didn’t know that the h...
by retiredjg
Thu Oct 11, 2018 4:19 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio advice, early 20s
Replies: 20
Views: 903

Re: Portfolio advice

bluebutter, what do you know about your contributions to the IRA? Are you aware there are income limits that determine if you can deduct or not? I do know that there are income limits and in my case I cannot contribute to Roth IRA at all because my income is too high for that. I don't know anything...
by retiredjg
Thu Oct 11, 2018 9:53 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio advice, early 20s
Replies: 20
Views: 903

Re: Portfolio advice

Good catch, lessismore, on the traditional IRA - it may not be deductible. I'm not sure the back door is needed for Roth IRA though.

bluebutter, what do you know about your contributions to the IRA? Are you aware there are income limits that determine if you can deduct or not?
by retiredjg
Thu Oct 11, 2018 9:46 am
Forum: Investing - Help with Personal Investments
Topic: Help with 401k fund choice please!
Replies: 30
Views: 1783

Re: Help with 401k fund choice please!

The mega back door Roth maneuver is not very complicated. Roth withdrawals are complicated though. If you don't have good records of how money got into Roth, it is hard to figure out what you can take out before age 59.5 if you should want to. All in all, it is a great way to get a lot of money into...
by retiredjg
Thu Oct 11, 2018 9:39 am
Forum: Investing - Theory, News & General
Topic: Remembering the Lessons of the 2008 Financial Crisis - Allan Roth
Replies: 3
Views: 1080

Re: Remembering the Lessons of the 2008 Financial Crisis - Allan Roth

Excellent article! My favorite part...." It was an Imodium moment."
by retiredjg
Thu Oct 11, 2018 9:23 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio advice, early 20s
Replies: 20
Views: 903

Re: Portfolio advice

1. What bonds should I get for my 401(k) considering my options? VBTLX (Vanguard Total Bond Market Index Adm) (0.05%) 2. I want to have majority of my holdings in VTSAX (Vanguard Total Stock Market Index Fund Admiral Shares) (0.04%) but I'm not sure about the allocation % and what the rest of the s...
by retiredjg
Thu Oct 11, 2018 9:12 am
Forum: Investing - Help with Personal Investments
Topic: Pre-Tax TIAA Traditional vs taxable VWITX
Replies: 5
Views: 430

Re: Pre-Tax TIAA Traditional vs taxable VWITX

blueman457 wrote:
Tue Oct 09, 2018 10:38 pm
...and currently use my pre-tax TIAA traditional as my bond fund.
I'd stick with this.
by retiredjg
Thu Oct 11, 2018 9:05 am
Forum: Investing - Help with Personal Investments
Topic: 30 yr old needing rebalance advice for current 401k
Replies: 16
Views: 1120

Re: rebalancing future contributuis in employers 401k, 30yr old

There is no reason to keep the target fund. Just sell it and set up the entire account like you want it using those 4 funds you listed. There is no tax cost for doing so. I would suggest 10 - 20% bonds instead of 5% bonds though. I have a Roth account with American Funds that I contributed to for a ...
by retiredjg
Thu Oct 11, 2018 7:55 am
Forum: Personal Finance (Not Investing)
Topic: Backdoor roth /Rollover IRA Mess
Replies: 8
Views: 789

Re: Backdoor roth /Rollover IRA Mess

Money that goes directly from an after-tax account in a 401k to Roth IRA is not pro-rated with a tIRA. That is most likely what you did. I am not talking about Roth 401k - an after-tax account is something different. If somehow the after-tax money went into tIRA and then got converted to Roth IRA, i...
by retiredjg
Thu Oct 11, 2018 6:14 am
Forum: Personal Finance (Not Investing)
Topic: confused about medicare threshold
Replies: 11
Views: 862

Re: confused about medicare threshold

Spirit Rider wrote:
Wed Oct 10, 2018 8:07 pm
What you might have seen was that Roth conversions do not change your direct Roth contribution MAGI.
Always learning something here. I don't recall having heard this before. :happy
by retiredjg
Wed Oct 10, 2018 7:53 pm
Forum: Investing - Theory, News & General
Topic: Debunking Bonds in Taxable
Replies: 35
Views: 2711

Re: Debunking Bonds in Taxable

A CD can be whatever you want it to be...except maybe a stock. :happy
by retiredjg
Wed Oct 10, 2018 7:49 pm
Forum: Personal Finance (Not Investing)
Topic: confused about medicare threshold
Replies: 11
Views: 862

Re: confused about medicare threshold

Not sure what you saw, but a Roth conversion of previously untaxed money is reported as income and included in your AGI.
by retiredjg
Wed Oct 10, 2018 6:18 pm
Forum: Investing - Help with Personal Investments
Topic: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)
Replies: 23
Views: 1036

Re: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)

The way to say this is 90% taxable, 9% 401k, and 1% Roth IRA. :happy
by retiredjg
Wed Oct 10, 2018 5:19 pm
Forum: Investing - Help with Personal Investments
Topic: using IRA distributions to buy munis
Replies: 17
Views: 1105

Re: using IRA distributions to buy munis

Kennyt7 wrote:
Wed Oct 10, 2018 5:12 pm
250k income=16.8 effective tax rate
that's what counts rather than marginal bracket
florida resident
Effective rate is not what counts when you are looking at Roth conversions (which you are apparently doing).
by retiredjg
Wed Oct 10, 2018 5:15 pm
Forum: Investing - Help with Personal Investments
Topic: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)
Replies: 23
Views: 1036

Re: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)

I think the taxable account is much much larger - 90% of the portfolio. And the 401k is 10x the size of the Roth IRA.
by retiredjg
Wed Oct 10, 2018 5:11 pm
Forum: Investing - Help with Personal Investments
Topic: When stocks and bonds drop at the same time, what do you do?
Replies: 40
Views: 4299

Re: When stocks and bonds drop at the same time, what do you do?

I'm not going to go in and analyze the short-term details day by day, but my overall description, which corresponds to the way I experienced it in at the time , was not that stocks and "bonds" dropped at the same time. My experience was that stocks dropped and bonds held steady. Looking at the $10k...
by retiredjg
Wed Oct 10, 2018 4:56 pm
Forum: Personal Finance (Not Investing)
Topic: confused about medicare threshold
Replies: 11
Views: 862

Re: confused about medicare threshold

Interest and dividends from Roth IRA and tIRA are never counted in anything that I can think of. If you take any money from the tIRA, that would be taxable under most circumstances though. The IRMAA MAGI threshold of $170k for a couple filing jointly is your AGI (line 37 on Form 1040) plus income fr...
by retiredjg
Wed Oct 10, 2018 4:41 pm
Forum: Investing - Help with Personal Investments
Topic: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)
Replies: 23
Views: 1036

Re: Intermediate-term Bond Fund or Target Retirement Fund in 401(k)

From what you’ve posted, your desired allocation would be 90% bonds, and that seems crazy. I didn't read it that way at all. Did I miss something? I think your taxable looks fine, and I’d use a target date fund in the 401k and call it done. I think this poster wants 90% stocks and 10% bonds. The se...