Search found 37 matches

by Island John
Sat Nov 30, 2019 4:02 pm
Forum: Personal Investments
Topic: Significance of "tax advantaged"
Replies: 9
Views: 827

Re: Significance of "tax advantaged"

One advantage of holding a collection of individual funds is that you can hold the funds in the type of account (taxable vs tax-advantaged) that is more favorable for the fund. For example, bond funds generate ordinary income. By holding your bond funds in tax-advantaged accounts, you can delay payi...
by Island John
Fri Nov 15, 2019 12:03 pm
Forum: Personal Investments
Topic: Charles Schwab or Fidelity?
Replies: 46
Views: 3618

Re: Charles Schwab or Fidelity?

...One advantage for Fidelity that I've found is that I can sell funds in their money market account and invest them in another fund on the same day. With Schwab, I have to sell the money market funds one day and those funds are not available to invest in another fund until the next day. I don't se...
by Island John
Fri Nov 15, 2019 11:40 am
Forum: Personal Investments
Topic: Charles Schwab or Fidelity?
Replies: 46
Views: 3618

Re: Charles Schwab or Fidelity?

I use both Schwab and Fidelity. My experience is that they are both good, very comparable. I do like Schwab's customer service although I have not had to contact Fidelity customer service as much. Both have brick and mortar locations near me which has been an advantage. I like Schwab's web site bett...
by Island John
Fri Oct 11, 2019 10:05 am
Forum: Personal Finance (Not Investing)
Topic: Retirement Calculators
Replies: 13
Views: 1907

Re: Retirement Calculators

The Retiree Portfolio Model spreadsheet posted by BigFoot48 is pretty comprehensive and flexible. You can use it to do “what if” scenarios. I also like the fact that, in addition to the Results information, it provides worksheets with the detailed information that allows me to make sure that I've en...
by Island John
Thu Oct 03, 2019 12:46 pm
Forum: Personal Investments
Topic: Investing half of net worth, is market too high?
Replies: 25
Views: 5242

Re: Investing half of net worth, is market too high?

Regarding the question of whether the market is too high, most people on this board will advise that you should go ahead and lump sum invest. I agree that, based on probabilities, lump summing will be the correct approach most of the time. However, if you are investing a large percentage of your net...
by Island John
Sun Aug 11, 2019 8:27 pm
Forum: Personal Finance (Not Investing)
Topic: As a trustee, can I "settle" the financial portion of a trust on my own?
Replies: 21
Views: 1798

Re: As a trustee, can I "settle" the financial portion of a trust on my own?

I recently had a similar experience as a trustee settling an estate. Similar to you, I was a little surprised at how easy it was to do the actual distributions to the heirs. However, there were some formalities that our estate/trust lawyer recommended and I followed the advice. You have to keep in m...
by Island John
Sun Aug 11, 2019 11:01 am
Forum: Investing - Theory, News & General
Topic: The fallacy of Dollar Cost Averaging
Replies: 101
Views: 9200

Re: The fallacy of Dollar Cost Averaging

Lump sum is usually thought to be better about 2/3 of the time. Not familiar with the underlying studies. But wonder if a study ever looked at how they would differ when done when the market (S&P 500?) was at a historic high. You would think the lump sum advantage would be less. I think the article...
by Island John
Sat Aug 10, 2019 11:40 am
Forum: Investing - Theory, News & General
Topic: The fallacy of Dollar Cost Averaging
Replies: 101
Views: 9200

Re: The fallacy of Dollar Cost Averaging

I agree that lump sum investing is generally the better approach. However, the article at the link below by Ben Carlson looked at DCA vs lump sum investing during periods when the CAPE was 32 or higher (CAPE is currently 29.5). According to the author, during the periods when the CAPE ratio was 32 o...
by Island John
Sun Jun 30, 2019 11:09 am
Forum: Personal Consumer Issues
Topic: Best city/state to raise an autistic child?
Replies: 20
Views: 3155

Re: Best city/state to raise an autistic child?

I am looking for the best Medicaid coverage for children with autism since I might not find a new job right away and might have to rely on Obama Care, which may or may not have the best coverage for autism. Just to clarify, just because you are on Obama Care (ACA), it doesn't mean you are on Medica...
by Island John
Sat Jun 29, 2019 11:38 pm
Forum: Personal Consumer Issues
Topic: Best city/state to raise an autistic child?
Replies: 20
Views: 3155

Re: Best city/state to raise an autistic child?

I live in California in the SF Bay Area (but not in SF). I have an adult daughter with autism (fairly high functioning). The Regional Center System in California has been very helpful to us and to our daughter. My daughter is now on Medi-Cal which is not great, but I don’t know if Medicaid would be ...
by Island John
Mon Jun 24, 2019 9:39 pm
Forum: Personal Investments
Topic: Financial planning now that retired
Replies: 63
Views: 12433

Re: Financial planning now that retired

I agree with the previous posters that you have a very complex portfolio. As has already been said, you should look toward simplifying your investments and transitioning to funds with low expense ratios. Since you are transitioning to retirement, I would highly recommend the book The Bogleheads' Gui...
by Island John
Mon Apr 01, 2019 11:42 pm
Forum: Investing - Theory, News & General
Topic: Reasonable timeframe to 'average in' to index funds?
Replies: 45
Views: 3784

Re: Reasonable timeframe to 'average in' to index funds?

When I posted to this thread a couple of days ago, I was asking if anyone knew of any research showing whether a lump sum or dollar cost average approach performed better during periods of high valuations. Several people pointed out that lump sum investing is generally the better approach, which I a...
by Island John
Sat Mar 30, 2019 12:46 pm
Forum: Investing - Theory, News & General
Topic: Reasonable timeframe to 'average in' to index funds?
Replies: 45
Views: 3784

Re: Reasonable timeframe to 'average in' to index funds?

I recognize that as a passive, long-term investor, the conventional wisdom is that there isn't any advantage to dollar cost averaging into the market and that there is no "better time" to invest. However, I'm wondering if this approach applies in all cases. Can anyone here point me to any research s...
by Island John
Thu Mar 28, 2019 6:43 pm
Forum: Personal Investments
Topic: $480K, no job, special needs kids, what to do?
Replies: 52
Views: 6080

Re: $480K, no job, special needs kids, what to do?

Does interest income count? If he/she could put all $480k in interest bearing securities that may get you enough interest income to get you most of the way there.
Yes, interest income counts. The income number that applies is the AGI on the Federal tax return.
by Island John
Thu Mar 28, 2019 6:07 pm
Forum: Personal Investments
Topic: $480K, no job, special needs kids, what to do?
Replies: 52
Views: 6080

Re: $480K, no job, special needs kids, what to do?

I agree with JBTX. You did not mention whether your children are receiving any services from the state of California. If they are not, I would get in touch with your local Regional Center (I believe every county has one) to see if they might be eligible. It might reduce your expenses, and maybe your...
by Island John
Tue Mar 19, 2019 7:05 pm
Forum: Investing - Theory, News & General
Topic: McClung's Harvesting Ratio vs. Sharpe Ratio
Replies: 6
Views: 733

Re: McClung's Harvesting Ratio vs. Sharpe Ratio

When I read the book a while back, I didn’t take any note of the similarity of those two formulas nor the fact that the way he describes them does, as you say, make it appear that the “risk free rate” term in the Sharpe ratio and the “sufficient return” term in the Harvesting Ratio are constants. Pa...
by Island John
Sat Mar 09, 2019 1:14 pm
Forum: Personal Investments
Topic: Getting nervous..
Replies: 66
Views: 8066

Re: Getting nervous..

I think your current allocation is fine, but if you want to make it a little more conservative, here's an idea: Take say 10% of it and put it in a good money-market fund, short-term (less than one-year) treasury bond fund, or high-yield savings account, any of which are currently paying over 2% int...
by Island John
Sun Mar 03, 2019 11:51 am
Forum: Investing - Theory, News & General
Topic: Optimal approaches when you've "won the game"
Replies: 38
Views: 3606

Re: Optimal approaches when you've "won the game"

You might want to take a look at Michael McClung's book "Living Off Your Money". In addition to it being an excellent resource for guidance on income harvesting, variable withdrawal, and asset allocation, he has an entire chapter titled "Underpinning Systemic Withdrawals with Guaranteed Income". The...
by Island John
Sat Feb 23, 2019 10:15 am
Forum: Personal Investments
Topic: Why Not 5 years of Expenses in Fixed Income, Remainder in Equities?
Replies: 49
Views: 4716

Re: Why Not 5 years of Expenses in Fixed Income, Remainder in Equities?

986racer » Fri Feb 22, 2019 7:05 pm I strongly recommend Michael McClung’s “Living off your Money” available on Amazon. He covers many different asset allocation strategies and spending strategies and then some. It is meant for those who are in the period where they are spending down their assets. ...
by Island John
Fri Feb 01, 2019 10:29 pm
Forum: Personal Investments
Topic: We won the game, went to 50/50, but it just doesn't feel right
Replies: 108
Views: 12581

Re: We won the game, went to 50/50, but it just doesn't feel right

There was a book that came out a few years ago called "Living Off Your Money" by Michael McClung. He studied many retirement drawdown strategies (as opposed to accumulation strategies) and made a recommendation for maximizing annual withdrawals while minimizing the risk of running out of money. In ...
by Island John
Sat Jan 12, 2019 11:56 am
Forum: Personal Investments
Topic: E-Trade or Charles Schwab
Replies: 14
Views: 1048

Re: E-Trade or Charles Schwab

I've had accounts at both Schwab and E-trade, but I have more experience with Schwab. I prefer Schwab's web site and, as others have said, their customer service is great, both in how quickly you can connect with a person (both phone and chat) and with the knowledge of their agents. The customer ser...
by Island John
Thu Jan 10, 2019 5:46 pm
Forum: Investing - Theory, News & General
Topic: Best investing/financial/tax advice podcasts in 2019?
Replies: 4
Views: 830

Re: Best investing/financial/tax advice podcasts in 2019?

I like Rob Berger's Dough Roller Money Podcast. You can download or listen to past episodes here: https://www.doughroller.net/thepodcast/
by Island John
Sun Jan 06, 2019 2:31 pm
Forum: Personal Investments
Topic: Asset allocation in multiple accounts for retirees
Replies: 20
Views: 1444

Re: Asset allocation in multiple accounts for retirees

First, I would say it’s great that both you and your husband are interested in your investments and having a discussion about it. My DW has no interest in our investments. Like the others here, I think the conventional wisdom on asset location (i.e. equities in taxable, bonds in tax-deferred) is gen...
by Island John
Wed Jan 02, 2019 11:10 pm
Forum: Personal Investments
Topic: Trust Income will throw us off the ACA exchanges [Portfolio help requested]
Replies: 2
Views: 617

Re: Trust Income will throw us off the ACA exchanges [Portfolio help requested]

I was searching the forum on another topic and came across this post. I can see that you posted it on December 10, but haven’t had any responses yet. That’s pretty unusual. The list of assets in your post is one of the more lengthy and complicated that I’ve seen. Maybe it was just too much for anyon...
by Island John
Sun Dec 30, 2018 9:16 pm
Forum: US Chapters
Topic: My favorite Boglehead posters
Replies: 154
Views: 12299

Re: My favorite Boglehead posters

I'd like to add BigFoot48 to the list for developing and making the Retiree Portfolio Model available. Great tool!
by Island John
Wed Dec 26, 2018 10:51 pm
Forum: Investing - Theory, News & General
Topic: QE, massive crash, Dow 3000?
Replies: 39
Views: 6176

Re: QE, massive crash, Dow 3000?

The concerns that you express about the Federal Reserve, QE, and how the level of the stock market might be affected are shared by a lot of people. Investors that subscribe to the Boglehead philosophy ignore all that noise. Bogleheads believe that trying to forecast the market is a loser’s game. The...
by Island John
Tue Dec 04, 2018 11:01 pm
Forum: Personal Consumer Issues
Topic: Regarding iPhone. Is there an app for day vs night?
Replies: 13
Views: 1394

Re: Regarding iPhone. Is there an app for day vs night?

I realize that you are asking about iphone apps for changing the wallpaper. For what it's worth, I had a similar problem with my mother. I bought a desk clock that displays time of day, day of the week, portion of the day (morning, afternoon, evening, night), etc. It was a big help for her. The cloc...
by Island John
Sat Nov 17, 2018 3:34 pm
Forum: Personal Investments
Topic: If the market is this high, does it make sense to invest a large sum of money?
Replies: 38
Views: 3683

Re: If the market is this high, does it make sense to invest a large sum of money?

Please read this below. It is right on point. If you're worried, divide the money by 12 and dollar cost average in. I believe statistically it's better to invest it all at once, but it may be hard to watch your portfolio go down if you invest at a high.
+1
by Island John
Sat Nov 17, 2018 11:43 am
Forum: Personal Finance (Not Investing)
Topic: Need a sophisticated calculator for retirement. Help.
Replies: 7
Views: 1126

Re: Need a sophisticated calculator for retirement. Help.

Have you tried the Retiree Portfolio Model spreadsheet posted by BigFoot48. I think it's pretty comprehensive and flexible. You can use it to do “what if” scenarios. I also like the fact that, in addition to the Results information, it provides worksheets with the detailed information that allows me...
by Island John
Fri Nov 16, 2018 9:21 pm
Forum: Personal Finance (Not Investing)
Topic: Employment for a disabled son
Replies: 29
Views: 2547

Re: Employment for a disabled son

As a step toward finding a regular job, have you considered some volunteer work? For example, at a food bank or animal shelter? You might also consider doing it with him. It might be a step toward developing job skills and give you a sense of how your son would handle a more structured environment l...
by Island John
Tue Nov 06, 2018 11:38 am
Forum: Personal Finance (Not Investing)
Topic: Estate Documents
Replies: 32
Views: 2824

Re: estate Documents

Yes. HIPAA. Thanks for correcting my mistake.
by Island John
Mon Nov 05, 2018 3:55 pm
Forum: Personal Finance (Not Investing)
Topic: Estate Documents
Replies: 32
Views: 2824

Re: estate Documents

I live in California. Here are the estate planning documents that have been created for my wife and me. Last Will and Testament Living Trust Durable Power of Attorney for Property Health Care Directive (including Power of Attorney for Health Care) HIIPPA release I was recently responsible for settli...
by Island John
Sun Nov 04, 2018 1:41 pm
Forum: Personal Finance (Not Investing)
Topic: tips to protect identity
Replies: 11
Views: 877

Re: tips to protect identity

My wife and I each have a credit card that we use for daily purchases. We have a third credit card that is only used for auto-pay. That card never leaves the house.
by Island John
Sat Oct 13, 2018 10:51 am
Forum: Personal Investments
Topic: Does Timing Matter? 3 Fund Portfolio
Replies: 39
Views: 2986

Re: Does Timing Matter? 3 Fund Portfolio

If you are worried about timing, you could take a dollar cost averaging approach to the transition. Regarding your target asset allocation, it sounds fine to me. At the age of 31, you have plenty of time to tweak your allocation as you gain knowledge and experience and have a better sense of your go...
by Island John
Tue Sep 25, 2018 12:26 pm
Forum: Personal Finance (Not Investing)
Topic: What do folks use for long-term forecasting of their personal finances?
Replies: 24
Views: 2621

Re: What do folks use for long-term forecasting of their personal finances?

I have used the Retiree Portfolio Model spreadsheet posted by BigFoot48. I think it's pretty comprehensive and flexible. You can use it to do “what if” scenarios. I also like the fact that, in addition to the Results information, it provides worksheets with the detailed information that allows me to...
by Island John
Sun Aug 26, 2018 7:55 pm
Forum: Personal Consumer Issues
Topic: Your Best Mood Boosting Books (not self-help)
Replies: 29
Views: 2606

Re: Your Best Mood Boosting Books (not self-help)

Abundance: The Future Is Better Than You Think by Peter Diamodis and Steven Kotler

Provides a positive outlook on the future.
by Island John
Fri Jun 01, 2018 10:41 am
Forum: Investing - Theory, News & General
Topic: Schwab Intelligent Portfolio vs. Schwab Target Fund
Replies: 92
Views: 14292

Re: Schwab Intelligent Portfolio vs. Schwab Target Fund

I believe another difference between the SIP funds and the Target funds is that the Target funds rebalance the asset allocation automatically over time, from more aggressive to more conservative, whereas the SIP funds maintain whatever asset allocation you start with (unless you take the action to c...