Search found 31398 matches

by retiredjg
Tue Feb 20, 2018 11:45 am
Forum: Investing - Help with Personal Investments
Topic: Help deciding on 401k options
Replies: 6
Views: 445

Re: Help deciding on 401k options

In order to really answer your questions, you have to compare the expense ratio of each fund. The 500 index is clearly your best choice. Hard to say what the best bond fund is without knowing exactly what they are charging you. My guess it the Baird Core Plus, but you need to actually check your pla...
by retiredjg
Tue Feb 20, 2018 8:18 am
Forum: Personal Finance (Not Investing)
Topic: Married Filing Separately - Roth IRA oops
Replies: 10
Views: 411

Re: Married Filing Separately - Roth IRA oops

I also would wonder about spending 20 years in a social service field at very low pay and long hours. I'd guess a significant number of people will move on to something with less wear and tear after 10 years or so.
by retiredjg
Tue Feb 20, 2018 8:14 am
Forum: Personal Finance (Not Investing)
Topic: Married Filing Separately - Roth IRA oops
Replies: 10
Views: 411

Re: Married Filing Separately - Roth IRA oops

Twenty years? I'm not sure I'd plan to file separately for 20 years for a loan that you can actually pay off in a year if you choose to. How much of the loan would you expect she won't have to pay? I think you have another option. Recharacterize your Roth contribution to tIRA and convert. This assum...
by retiredjg
Tue Feb 20, 2018 7:26 am
Forum: Investing - Help with Personal Investments
Topic: Where to park 800K cash
Replies: 6
Views: 1187

Re: Where to park 800K cash

Cash, CD, money market, short term bonds. Do not put any money you need next year in stocks. It might not be there when you want it.
by retiredjg
Tue Feb 20, 2018 7:17 am
Forum: Investing - Theory, News & General
Topic: Does Non-deductible IRA make sense
Replies: 6
Views: 396

Re: Does Non-deductible IRA make sense

I would not add non-deductible contributions to tIRA unless I needed space for holding bonds. If there is plenty of tax-deferred space for my bond allocation, I would put the money in taxable. This is because of the way earnings from bonds are taxed - they are taxed the same in taxable or IRA. Stock...
by retiredjg
Mon Feb 19, 2018 4:39 pm
Forum: Investing - Help with Personal Investments
Topic: Tax Adjusting a Taxable Account
Replies: 18
Views: 815

Re: Tax Adjusting a Taxable Account

For example, I will likely put bonds in my tax deferred 401k so if I didn't adjust between the stocks in my taxable I'd fear I'd be taking on too much risk (going on the assumption for the moment that I would tax adjust less than my current 25% tax bracket in the taxable). I don't tax adjust. It ma...
by retiredjg
Mon Feb 19, 2018 2:12 pm
Forum: Personal Finance (Not Investing)
Topic: Criteria used to make Roth Conversion decision
Replies: 36
Views: 2384

Re: Criteria used to make Roth Conversion decision

Here's the 2018 Married jointly tax brackets, 10% Up to $19,050, 12% $19,051 to $77,400 If my 2018 AGI is $68k, I could still add $77,400 - $68,000 = $9,400 and stay in the 12% tax bracket. You are confusing AGI and taxable income. AGI is the last line on the front page of Form 1040. It is before y...
by retiredjg
Mon Feb 19, 2018 1:54 pm
Forum: Personal Finance (Not Investing)
Topic: Criteria used to make Roth Conversion decision
Replies: 36
Views: 2384

Re: Criteria used to make Roth Conversion decision

Qmavam wrote:
Mon Feb 19, 2018 11:59 am
I did a quick search on Medicare B and D, as I see it, as long as you don't go above $170k (jointly) the amount of income won't change the cost of medicare B and D premiums.
Is that correct?
No chance we'll get near $170k.
That is correct.
by retiredjg
Mon Feb 19, 2018 10:37 am
Forum: Investing - Help with Personal Investments
Topic: Recommendations for Fidelity Bond Funds in Taxable Account
Replies: 25
Views: 1658

Re: Recommendations for Fidelity Bond Funds in Taxable Account

Wow, you've certainly done your research. Actually, it was not me. It was Grabiner , a poster here...a numbers guy and, in my opinion, a dependable source of accurate information about numbers things. The other funds are high yield bond funds, one US, two are foreign. Like I said....apples and oran...
by retiredjg
Mon Feb 19, 2018 7:44 am
Forum: Investing - Help with Personal Investments
Topic: Recommendations for Fidelity Bond Funds in Taxable Account
Replies: 25
Views: 1658

Re: Recommendations for Fidelity Bond Funds in Taxable Account

There is a useful metric on Morningstar called the tax cost ratio that, along with turnover ratio is a great predictor of what funds should or should not be in your taxable account. I have observed that Morningstar's tax cost ratio is not very accurate for stock funds. It has been said this is beca...
by retiredjg
Sun Feb 18, 2018 9:24 pm
Forum: Personal Consumer Issues
Topic: Do you wear a wedding band? [at a job interview]
Replies: 126
Views: 7001

Re: Do you wear a wedding band?

This is a nice realistic analysis, retiredjg. But my visceral reactions are binary. If a man has a ring, he is off limits. If a man does not have a ring, and I like him, I explore further. Victoria I agree on all points. My post simply meant that the presence of a ring on a man does not mean any on...
by retiredjg
Sun Feb 18, 2018 6:37 pm
Forum: Personal Consumer Issues
Topic: Do you wear a wedding band? [at a job interview]
Replies: 126
Views: 7001

Re: Do you wear a wedding band?

... and also interested in the perceptions of women about men who don’t. From a woman's view point..... A man who does not wear a ring might be unmarried. This does not mean he is "available". He might be in a committed relationship. Or he might be married and just not like rings. Or he might be ma...
by retiredjg
Sun Feb 18, 2018 5:47 pm
Forum: Investing - Help with Personal Investments
Topic: Really need an advice: sell the house or rent it out
Replies: 40
Views: 2130

Re: Really need an advice: sell the house or rent it out

Is there a better option than CD? If I invest $250K in CDs for 6 years, best case I stand to make $50k. You have a choice. If you want the money to be there when you want it, you must invest in something conservative like a CD or short term bonds, maybe with a little in intermediate term bonds. If ...
by retiredjg
Sun Feb 18, 2018 5:28 pm
Forum: Personal Consumer Issues
Topic: Good store for roller shades?
Replies: 12
Views: 848

Re: Good store for roller shades?

yolli71 wrote:
Sun Feb 18, 2018 5:14 pm
Thanks everyone. I just ordered samples from all 3 stores...we'll see how it goes!
I'd be interested in hearing what you learn from the samples.
by retiredjg
Sun Feb 18, 2018 5:01 pm
Forum: Investing - Help with Personal Investments
Topic: New-ish Investor--Advice on strategy
Replies: 18
Views: 1878

Re: New-ish Investor--Advice on strategy

Is it possible you thought that suggestion was just talking about your contributions? If so, I'm sorry it was not clear.

I meant for you to change what you already had invested to that suggestion and then add money in roughly the ratios you want for your portfolio.
by retiredjg
Sun Feb 18, 2018 4:58 pm
Forum: Personal Finance (Not Investing)
Topic: Did Backdoor Roth with existing Rollover IRA
Replies: 5
Views: 397

Re: Did Backdoor Roth with existing Rollover IRA

That is how it seems to me. Maybe someone else can give you a thumbs up in case I missed something. #2 will go to the IRS with #1. Do that now and wait a bit before filing your current taxes if you can. I guess you left out one step. You will have to report your 2018 contribution and conversion a ye...
by retiredjg
Sun Feb 18, 2018 4:53 pm
Forum: Investing - Help with Personal Investments
Topic: New-ish Investor--Advice on strategy
Replies: 18
Views: 1878

Re: New-ish Investor--Advice on strategy

Hi there, I'm following up to my previous post with a new challenge I've run into. Refresher on my current allocations is below. That was a year ago. Did you actually change your allocations to match that suggestion? What are the allocations now? Also tell us what your expected contributions are, h...
by retiredjg
Sun Feb 18, 2018 11:55 am
Forum: Personal Finance (Not Investing)
Topic: Did Backdoor Roth with existing Rollover IRA
Replies: 5
Views: 397

Re: Did Backdoor Roth with existing Rollover IRA

I think you need to file a 1040x for 2016. You will have to pro-rate your 2016 conversion using form 8606. It might be easiest to do this by hand rather than through software. You will owe some tax and penalty for the 2016 conversion. I do not know how to calculate the penalty,but maybe the 1040x fo...
by retiredjg
Sun Feb 18, 2018 11:12 am
Forum: Investing - Help with Personal Investments
Topic: Why not tax-exempt bonds?
Replies: 23
Views: 2291

Re: Why not tax-exempt bonds?

Everything I've read about bonds says that if you intend to have bonds in taxable, it should be a municipal bond fund like Vanguard Intermeidate tax exempt... This is true only for people in the higher tax brackets. People in the lower brackets make more money, even after taxes, by using a taxable ...
by retiredjg
Sun Feb 18, 2018 11:08 am
Forum: Investing - Help with Personal Investments
Topic: Really need an advice: sell the house or rent it out
Replies: 40
Views: 2130

Re: Really need an advice: sell the house or rent it out

Yes, but that does not solve the problem that they probably will lose money in the long run if the rent does not cover enough. Repairs are always a major issue and in this case, the rent does not even cover the mortgage, much less the repairs and a management company. That money has to come from som...
by retiredjg
Sun Feb 18, 2018 11:04 am
Forum: Investing - Help with Personal Investments
Topic: Why paying off loans would be better than fully funding 401k?
Replies: 87
Views: 6178

Re: Why paying off loans would be better than fully funding 401k?

Take a look at Fidelity's Solo 401k. I think they do not charge a fee (not sure). Not sure the Vanguard Solo will work for you because I'm not sure they will accept a rollover from another 401k. From an IRA, definitely not.
by retiredjg
Sun Feb 18, 2018 11:00 am
Forum: Personal Finance (Not Investing)
Topic: IRA basis question
Replies: 44
Views: 3030

Re: IRA basis question

Insturctions for Form 8606 Line 2: Total Basis Chart IF the last Form 8606 you filed was for . . . THEN enter on line 2 . . . A year after 2000 and before 2017 The amount from line 14 of that Form 8606 So 2017 Line 2 would be 2016 Line 14 = 0. As far as I know if I want to change things manually in...
by retiredjg
Sun Feb 18, 2018 10:09 am
Forum: Investing - Help with Personal Investments
Topic: Why paying off loans would be better than fully funding 401k?
Replies: 87
Views: 6178

Re: Why paying off loans would be better than fully funding 401k?

.....but a separation is in my best interest. Absolutely. This advisor is not doing you any favors. There will probably have to be a new 401k plan. I do not know if you can switch mid-year or if you have to wait and start it for 2019. I do know you can do better than what you have now. Or is it pos...
by retiredjg
Sun Feb 18, 2018 9:58 am
Forum: Personal Finance (Not Investing)
Topic: IRA basis question
Replies: 44
Views: 3030

Re: IRA basis question

2015 was the first year for backdoor so I never had a nondeductible contribution to this IRA 2015 I did backdoor $5,500 in late December so there was a balance Dec 31st 2015 of 5500 that was converted to Roth Jan '16. 2015 8606 Line 2: 0, Line 14: $5,500 This 2015 contribution changes everything an...
by retiredjg
Sun Feb 18, 2018 8:50 am
Forum: Personal Finance (Not Investing)
Topic: IRA basis question
Replies: 44
Views: 3030

Re: IRA basis question

After reading this thread I'm realizing maybe I did my taxes wrong last year. I did the same as the OP in 2016 and 2017: Contribute 5500 non-deductible then convert to my existing Roth. On Dec 31st 2016 & 2017 I had $0 balance in my traditional IRA. On my 2016 return I have 5,500 on Lines 1&2 of 86...
by retiredjg
Sun Feb 18, 2018 7:07 am
Forum: Investing - Help with Personal Investments
Topic: Recommendations for Fidelity Bond Funds in Taxable Account
Replies: 25
Views: 1658

Re: Recommendations for Fidelity Bond Funds in Taxable Account

This is true for bond fund returns. But again, my tax-deferred and tax-free accounts are maxed out every year. I prefer the stability that bond funds provide to my taxable account and I see paying taxes as the cost of having peace of mind. Is this wrong thinking? Having my taxable account completel...
by retiredjg
Sun Feb 18, 2018 6:50 am
Forum: Investing - Help with Personal Investments
Topic: Why paying off loans would be better than fully funding 401k?
Replies: 87
Views: 6178

Re: Why paying off loans would be better than fully funding 401k?

I'm still going to pay off the 401k loan 1st ChinchillaWhiplash. Why? With the 401K loan, you are paying interest to yourself. As opposed to all other loans that you are paying interest to other people. What do I miss here? KlangFool Thinking I would get it out of the way sooner. Have less time to ...
by retiredjg
Sat Feb 17, 2018 8:16 pm
Forum: Investing - Help with Personal Investments
Topic: Recommendations for Fidelity Bond Funds in Taxable Account
Replies: 25
Views: 1658

Re: Recommendations for Fidelity Bond Funds in Taxable Account

You have it backwards. It is because of the way things are taxed. Bond dividends are taxed at your marginal rate (often the same as your tax bracket) no matter what type of account (tax-deferred or taxable) they are in. Wait. Don't bond dividends held in an traditional IRA, a Roth IRA, or a trad or...
by retiredjg
Sat Feb 17, 2018 6:03 pm
Forum: Investing - Help with Personal Investments
Topic: Why paying off loans would be better than fully funding 401k?
Replies: 87
Views: 6178

Re: Why paying off loans would be better than fully funding 401k?

It always happens when someone posts a list like that. Each reader sees something they think is dumb and some will comment. And sometimes they misread things as you have noticed ($500 for nails?????). Just evaluate each comment for whether it is something you could improve on and then move on. There...
by retiredjg
Sat Feb 17, 2018 5:48 pm
Forum: Investing - Help with Personal Investments
Topic: Rollover a Pension into Roth IRA or Traditional IRA?
Replies: 20
Views: 1191

Re: Rollover a Pension into Roth IRA or Traditional IRA?

Sorry, I too made the assumption that our original poster is younger. If older, there might not be a penalty for paying the tax out of the pension.
by retiredjg
Sat Feb 17, 2018 5:20 pm
Forum: Investing - Help with Personal Investments
Topic: Really need an advice: sell the house or rent it out
Replies: 40
Views: 2130

Re: Really need an advice: sell the house or rent it out

Need_help_please wrote:
Sat Feb 17, 2018 5:17 pm
Any suggestions on where to invest $200K. Looking for "safe" investment.
A short term bond fund is often a good choice. Or CDs. But you really need to consider this decision in light of what you already have in your portfolio.
by retiredjg
Sat Feb 17, 2018 5:06 pm
Forum: Personal Consumer Issues
Topic: Good store for roller shades?
Replies: 12
Views: 848

Re: Good store for roller shades?

I've used Select Blinds for my last 3 houses. Never used the roller shades, always used the cellular shades (top down is wonderful). There have been few problems. One time when a string broke, they fixed it for free. Fast, cheap, easy to install, good quality, and good customer service. Maybe you'll...
by retiredjg
Sat Feb 17, 2018 5:01 pm
Forum: Investing - Help with Personal Investments
Topic: Really need an advice: sell the house or rent it out
Replies: 40
Views: 2130

Re: Really need an advice: sell the house or rent it out

In 6 years, I will come back to the area but at that point sell the house and buy in Arlington county (better public schools) Sell now. Being a landlord is a pain in the rear. Being a long distance landlord is a huge pain in the rear. Losing money while being a long distance landlord is stressful, ...
by retiredjg
Sat Feb 17, 2018 4:40 pm
Forum: Investing - Theory, News & General
Topic: Which book for an 18 year old who is asking about investing?
Replies: 43
Views: 2476

Re: Which book for an 18 year old who is asking about investing?

The Only Investment Guide You'll Ever Need by Andrew Tobias. Solid, broad ranging financial advice and an easy read. In spite of the title, this book (when I read an earlier addition) focuses a lot on just making smart financial decisions. It was not all investing. I found it very helpful in keepin...
by retiredjg
Sat Feb 17, 2018 4:18 pm
Forum: Investing - Help with Personal Investments
Topic: Rollover a Pension into Roth IRA or Traditional IRA?
Replies: 20
Views: 1191

Re: Rollover a Pension into Roth IRA or Traditional IRA?

Yes, it's a qualified plan and pretax. So rolling into my Roth would increase my 2018 income by $30K. Would the pension fund hold back the tax and roll over the rest? That would be an early withdrawal. You would then owe tax and penalty on that part. I don't suggest rolling to Roth unless you are j...
by retiredjg
Sat Feb 17, 2018 4:09 pm
Forum: Investing - Help with Personal Investments
Topic: Recommendations for Fidelity Bond Funds in Taxable Account
Replies: 25
Views: 1658

Re: Recommendations for Fidelity Bond Funds in Taxable Account

I don't think whodidntante is recommending putting bonds in a Roth. You would put bonds in non roth tax deferred, since withdrawls from those are taxed at full income tax rates anyways OK, but I would think you would want large gains to be made in tax deferred accounts and not be holding low return...
by retiredjg
Sat Feb 17, 2018 11:31 am
Forum: Investing - Help with Personal Investments
Topic: portfolio advice
Replies: 11
Views: 1123

Re: portfolio advice

If you move the 3 accounts to an IRA, I would consider whether you want to do "Roth conversions" each year. This means convert some of the IRA to Roth IRA. You will pay taxes on that. Most people will convert an amount that takes them up to a limit of one kind or another. You could go to the top of ...
by retiredjg
Sat Feb 17, 2018 11:18 am
Forum: Investing - Help with Personal Investments
Topic: portfolio advice
Replies: 11
Views: 1123

Re: portfolio advice

Total Portfolio (including cash to be invested) is about $366,560 (using the total you gave for each account, not for the funds in the accounts) Taxable $69,383 18.9%% Cash $15k Long Term Inv Grade Bond Fund Vanguard $11,503 VWESX (er .22)(3.2% ) IntermediateTerm Bond Fund Vanguard $9880. VBILX (er....
by retiredjg
Sat Feb 17, 2018 10:29 am
Forum: Investing - Help with Personal Investments
Topic: portfolio advice
Replies: 11
Views: 1123

Re: portfolio advice

As best I can estimate we will have an "excess" of $1260 at that point. (this includes an estimate of $1000 a month for health insurance) I'd like to have something else coming in to shore that up. This is good news. Ok I understand now what you are saying. I didn't think of moving it. In the TIAA ...
by retiredjg
Fri Feb 16, 2018 5:55 pm
Forum: Investing - Help with Personal Investments
Topic: High earners need help with IRAs
Replies: 9
Views: 1194

Re: High earners need help with IRAs

Newbie here :sharebeer . If a couple was firmly seated in the 33% tax bracket with a AGI of 340K would you still suggest putting money in a IRA or just keep putting savings in brokerage account? Or something else? There are several answers to this question depending on circumstances and what you ac...
by retiredjg
Fri Feb 16, 2018 5:26 pm
Forum: Forum Issues and Administration
Topic: Doesn't seem like people respond to portfolio assessments like they did a few years ago.
Replies: 103
Views: 8306

Re: Doesn't seem like people respond to portfolio assessments like they did a few years ago.

I agree. It's important to answer the question they asked, but I also try to answer the question they should have asked. If that's useful to them, great. If it isn't, take what's useful and leave the rest. My thoughts exactly. It is not uncommon for people to be asking the wrong question in the fir...
by retiredjg
Fri Feb 16, 2018 3:20 pm
Forum: Investing - Help with Personal Investments
Topic: Requesting portfolio/investment advice
Replies: 20
Views: 1397

Re: Requesting portfolio/investment advice

If the money is needed at a certain time, do not invest in stocks. If your goal could be rescheduled a few years later than you want, to accommodate the recovery from a market crash, using some stocks could be OK. Looking at historical returns is not going to help you much. If you want the money to ...
by retiredjg
Fri Feb 16, 2018 9:16 am
Forum: Investing - Help with Personal Investments
Topic: portfolio advice
Replies: 11
Views: 1123

Re: portfolio advice

Taxable <---are you using the income from these investments or just letting it grow? I'm letting them grow. Will start Min Distributions when I must. (otherwise I have rental income) Just a clarification - there is no required minimum distribution from your taxable account. I don't think that is wh...
by retiredjg
Fri Feb 16, 2018 8:45 am
Forum: Investing - Help with Personal Investments
Topic: Suggestions for Reasonably Safe Funds
Replies: 27
Views: 1833

Re: Suggestions for Reasonably Safe Funds

Isn't LifeStrategy Income at 20% stock and 80% bonds?

I think it is the Target Income fund that is at 30% stock.
by retiredjg
Fri Feb 16, 2018 7:56 am
Forum: Investing - Help with Personal Investments
Topic: Requesting portfolio/investment advice
Replies: 20
Views: 1397

Re: Requesting portfolio/investment advice

As stated in my original post, other than the emergency fund, we have about $130,000 sitting in a regular savings account earning virtually nothing. I know I can do much better to park the money in a CD, but I am sure there are probably better choices. I won't need access to the money for at least ...
by retiredjg
Thu Feb 15, 2018 8:42 am
Forum: Investing - Theory, News & General
Topic: How many of you use the "4% rule" during retirement?
Replies: 61
Views: 7082

Re: How many of you use the "4% rule" during retirement?

Most years, I don't need the full 4% so I take less. Two or 3 of my 11 years of retirement, I've needed more - maybe 4.5% or even 5% one year. So, I do not follow it, but it is always on my radar screen. A couple of years in a row at 5% would definitely get my attention and cause a re-evaluation of ...
by retiredjg
Thu Feb 15, 2018 8:34 am
Forum: Investing - Help with Personal Investments
Topic: Need to restructure
Replies: 20
Views: 826

Re: Need to restructure

Thanks. What about the following portfolio considering our circumstances and desired AA of 75/25. I'll be 43 soon and my wife is 39. Roth IRA 1: Target Retirement 2045 Fund (100%) Roth IRA 2: Target Retirement 2045 Fund (100%) Wife's 401(K): Target Retirement 2045 Fund (100%) Joint Taxable account:...
by retiredjg
Thu Feb 15, 2018 7:14 am
Forum: Investing - Help with Personal Investments
Topic: Trad IRA or Roth IRA
Replies: 10
Views: 757

Re: Trad IRA or Roth IRA

More information is needed. If you are in the 22% tax bracket, there is a good chance a contribution to tIRA would not be deductible. There would be no point in doing it. In a case like that, using Roth IRA is a no brainer. I think it is good to arrive at retirement with both tax-deferred money (li...
by retiredjg
Wed Feb 14, 2018 7:51 pm
Forum: Investing - Help with Personal Investments
Topic: Trad IRA or Roth IRA
Replies: 10
Views: 757

Re: Trad IRA or Roth IRA

More information is needed. If you are in the 22% tax bracket, there is a good chance a contribution to tIRA would not be deductible. There would be no point in doing it. In a case like that, using Roth IRA is a no brainer. I think it is good to arrive at retirement with both tax-deferred money (lik...