Search found 286 matches

by hawkfan55
Wed Oct 17, 2018 12:02 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Fixed Income Allocation in Early Retirement
Replies: 7
Views: 1232

Re: Help with Fixed Income Allocation in Early Retirement

For near-term spending, converting bonds to Vanguard Prime is more tempting to me at 2.2% now than the risks of negative returns from bond funds. I remember back in the late 1980s, thinking a short-term bond fund would be a sort of supercharged savings account, and it was traumatic to see my saving...
by hawkfan55
Tue Oct 16, 2018 10:17 pm
Forum: Investing - Help with Personal Investments
Topic: Investing During Retirement
Replies: 15
Views: 1431

Re: Investing During Retirement

Welcome to the forum John! You'll find lots of people willing to help. My wife and I are newly retired within the past couple years. I've learned so much with the forum and am able to help others as well. You will get more specific, usable advice if you post your situation as described by the "Askin...
by hawkfan55
Tue Oct 16, 2018 10:02 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Fixed Income Allocation in Early Retirement
Replies: 7
Views: 1232

Re: Help with Fixed Income Allocation in Early Retirement

In my opinion, when you make your "withdrawals" is not important. When you will actually spend the money is. It appears you do not need most of these withdrawals for expenses at the moment (hence the Roth conversions). Your bond allocation/duration should correspond to when you will spend the funds...
by hawkfan55
Tue Oct 16, 2018 12:30 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Fixed Income Allocation in Early Retirement
Replies: 7
Views: 1232

Re: Help with Fixed Income Allocation in Early Retirement

Peter and Ralph, thank you for your replies! Given the current interest rate environment and the fact that you are starting withdrawals, I would favor shorter term and intermediate term bond funds over total bond market. I thought Total Bond Market was an intermediate term bond fund? Would you move ...
by hawkfan55
Mon Oct 15, 2018 10:12 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Fixed Income Allocation in Early Retirement
Replies: 7
Views: 1232

Help with Fixed Income Allocation in Early Retirement

We are trying to decide how best to position our fixed income retirement savings. Questions below. Here's our situation. Me: 63 DW: 59 Both Retired. I am holding off taking SS until at least FRA,34k. DW will most likely start her SS payments at age 62, 16k. Planned Withdrawals below assume SS begins...
by hawkfan55
Sat Sep 29, 2018 7:57 pm
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to purchase PERS Service Credit?
Replies: 3
Views: 526

Re: Should we purchase PERS Service Credit?

I think your comparison is faulty. It's not a fair comparison to compare 4% of $12,079 to an increase in pension that pays out like an annuity, instead of 4% a year. And you are assuming the $12,079 will not grow more than the yearly payout. And the fact that the pension is not COLAed is troubling....
by hawkfan55
Sat Sep 29, 2018 6:06 pm
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to purchase PERS Service Credit?
Replies: 3
Views: 526

Does it make sense to purchase PERS Service Credit?

DW, age 59 is a newly retired teacher and receiving her Public Employee Retirement System (PERS) pension. She is able to purchase three quarters of service for $12,079.66 which will increase her monthly benefit by $84.07 per month or $1,008.84/yr. Her benefit is not COLA'ed. The purchase can be made...
by hawkfan55
Wed Sep 26, 2018 7:50 pm
Forum: Investing - Help with Personal Investments
Topic: Pension vs 401k, help
Replies: 31
Views: 2126

Re: Pension vs 401k, help

Florida's Pension Plan is very well funded at 86% of obligations. Anything above 80% is considered well funded.
by hawkfan55
Wed Sep 26, 2018 12:25 pm
Forum: Investing - Help with Personal Investments
Topic: Pension vs 401k, help
Replies: 31
Views: 2126

Re: Pension vs 401k, help

I would recommend you consider staying in your current position AND contribute the maximum to a deferred account, 403b, etc. each year so that you maximize both your pension and savings. Perhaps you are already doing this? Are you able to purchase service credits? Many state employees can use pre-ta...
by hawkfan55
Wed Sep 12, 2018 10:40 pm
Forum: Investing - Help with Personal Investments
Topic: Flipping a home Resident Physician flipping a home while in debt? help me weigh my pros and cons
Replies: 21
Views: 1450

Re: Flipping a home Resident Physician flipping a home while in debt? help me weigh my pros and cons

I would highly recommend you focus on your priorities, spouse and residency. Residency can be very time consuming. Renting for what you consider "a great deal" is ideal. You won't have to pay real estate taxes. Not buying a property now will give you more flexibility when fielding offers as to where...
by hawkfan55
Wed Sep 12, 2018 9:42 pm
Forum: Investing - Help with Personal Investments
Topic: Roth conversions when we will be in 22% bracket for indefinite future
Replies: 16
Views: 1862

Re: Roth conversions when we will be in 22% bracket for indefinite future

Try www.i-orp.com. Use the Extended Version of the Optimal Retirement Planner. We are doing Roth Conversions up to MAGI $170k, the IRMAA threshold for MFJ where additional Medicare surcharges/premiums are not required. I do want to try to protect my DW from the "filing single" tax burden in the even...
by hawkfan55
Mon Aug 27, 2018 7:49 pm
Forum: Investing - Help with Personal Investments
Topic: Social Security question
Replies: 14
Views: 1516

Re: Social Security question

Thanks. I am unsure what they will do now.
Hopefully, not start SS now but wait till FRA, assuming good health.
by hawkfan55
Wed Aug 22, 2018 10:06 pm
Forum: Investing - Help with Personal Investments
Topic: Investing monthly Social Security payments
Replies: 33
Views: 3023

Re: Investing monthly Social Security payments

A couple thoughts... To have that much money in Vanguard's Prime Money Market is putting yourself at risk of loss because of inflation. I agree with others that it would be best for you and your spouse to wait until at least FRA to start Social Security.
by hawkfan55
Mon Aug 20, 2018 8:54 am
Forum: Investing - Help with Personal Investments
Topic: Retirees: Timing your withdrawals
Replies: 40
Views: 3799

Re: Retirees: Timing your withdrawals

DW and I are both retired within last couple years. We are doing Roth Conversions up to the top of 22% federal tax bracket. We complete taxes using Turbo Tax so have a pretty good handle on the following year's taxes by June. During the first half of year, we do our Roth Conversions and withdraw nee...
by hawkfan55
Wed Aug 01, 2018 2:11 pm
Forum: Investing - Help with Personal Investments
Topic: Early retirement withdrawal strategy
Replies: 16
Views: 2289

Re: Early retirement withdrawal strategy

I've found Optimal Retirement Planner to be an excellent tool in planning optimal retirement spending. Obviously, you should not rely solely on any retirement calculator that requires the user to input information... "garbage in, garbage out". I understand Bigfoot's RPM calculator is also excellent....
by hawkfan55
Wed Aug 01, 2018 10:54 am
Forum: Investing - Help with Personal Investments
Topic: Is maxing Out an IRA, 403B, and 457B Along with a Pension Too Much Saving for the Future?
Replies: 19
Views: 2338

Re: Is maxing Out an IRA, 403B, and 457B Along with a Pension Too Much Saving for the Future?

I do not think you are saving too much. Are you teachers? Do you contribute to Social Security? If you do not, you will be glad you saved for retirement on your own. Saving in a mixture of Tax Deferred and Roth accounts will be of benefit to you in the future. I would max out deferred and Roth accou...
by hawkfan55
Wed Aug 01, 2018 10:09 am
Forum: Investing - Help with Personal Investments
Topic: Early retirement withdrawal strategy
Replies: 16
Views: 2289

Re: Early retirement withdrawal strategy

Wenonah, the following inputs may be of assistance to you in filling out the I-ORP Extended Version form. These are the inputs I used to reach the conclusions in my earlier post. I made some assumptions that you will want to change to fit your actual situation. I assumed you and spouse would have ea...
by hawkfan55
Tue Jul 31, 2018 9:21 pm
Forum: Investing - Help with Personal Investments
Topic: Newbie enlightened by Bogleheads
Replies: 23
Views: 3209

Re: Newbie enlightened by Bogleheads

Very difficult to predict interest rate movements. I use bond funds as part of my fixed income allocation. Since we are retired, ages 63 and 59, and need to draw from the total returns of our portfolio, I use Prime Money Market for distributions planned within the next 6 months, short term bond fund...
by hawkfan55
Tue Jul 31, 2018 8:33 pm
Forum: Investing - Help with Personal Investments
Topic: Early retirement withdrawal strategy
Replies: 16
Views: 2289

Re: Early retirement withdrawal strategy

I would highly recommend you use the Optimal Retirement Planner, www.i-orp.com, Extended Version to determine your optimal retirement income strategy. I took your information and came up with a projected, maximum annual disposable income, after taxes of approx. $82,000 per year in today's dollars. T...
by hawkfan55
Mon Jul 30, 2018 11:40 pm
Forum: Investing - Help with Personal Investments
Topic: 7-8% SWR/year for first 7 years of Retirement...am I good?
Replies: 22
Views: 2711

Re: 7-8% SWR/year for first 7 years of Retirement...am I good?

Another resource for you would be the Optimal Retirement Planner, www.i-orp.com Use the Extended Version and determine your optimal spending amounts. If you know your expenses, you'll be able to have a good idea if your portfolio and income sources will support your planned retirement. We are withdr...
by hawkfan55
Mon Jul 30, 2018 5:08 pm
Forum: Investing - Help with Personal Investments
Topic: Making My Dad A Portfolio.
Replies: 8
Views: 554

Re: Making My Dad A Portfolio.

So I moved my Roth-IRA from Edward Jones over to Vanguard at the start of this year (2018). I talked to my Dad today and he said he was thinking about moving over to Vanguard as well to reduce his fee's. I thought about: If I had as much money as he does in his IRA, how would I allocate that in a p...
by hawkfan55
Mon Jul 30, 2018 4:43 pm
Forum: Investing - Help with Personal Investments
Topic: Newbie enlightened by Bogleheads
Replies: 23
Views: 3209

Re: Newbie burned by bonds

Bonds should be a component of most asset allocations, especially for someone 54 years old. Typically, bonds do not suffer the extreme drops that the stock market does. You should look at your portfolio as a whole, reallocating if necessary to keep your chosen AA. I suggest you look at the wiki to l...
by hawkfan55
Sun Jul 29, 2018 8:46 pm
Forum: Investing - Help with Personal Investments
Topic: 7-8% SWR/year for first 7 years of Retirement...am I good?
Replies: 22
Views: 2711

Re: 7-8% SWR/year for first 7 years of Retirement...am I good?

Pulling 6% from total portfolio during first five years of retirement. Waiting on small pension and SS for DW and me before cutting back on our SWR. :D
by hawkfan55
Sun Jul 22, 2018 1:01 am
Forum: Investing - Help with Personal Investments
Topic: Pension Lump Sum: Short-term bonds?
Replies: 37
Views: 2133

Re: Pension Lump Sum: Short-term bonds?

For example - Extreme uncertainty in so many areas as the county that seems to have lost its collective mind, led by a chaotic government and leader that lurch from one bad decision to another. Despite somewhat agreement in this statement, we are not allowed to express this type of sentiment on thi...
by hawkfan55
Thu Jul 19, 2018 9:56 pm
Forum: Investing - Help with Personal Investments
Topic: Opinions on investing Roth IRA
Replies: 7
Views: 708

Re: Opinions on investing Roth IRA

As conservative investors, we plan to move the 401K to bond mutual funds and CDs, and the Roth IRAs plus after-tax portion of the 401K to an aggressive 100% stock fund. I believe we can live with the ups and downs of the stock fund since we do not plan to touch the Roths for a long time, if ever. D...
by hawkfan55
Thu Jul 19, 2018 9:39 pm
Forum: Investing - Help with Personal Investments
Topic: Opinions on investing Roth IRA
Replies: 7
Views: 708

Re: Opinions on investing Roth IRA

The only gotcha with a Roth conversion is the impact it has on AGI and the IRMAA medicare premium. Not doing Roth Conversions could result in RMDs placing one in an unintended tax bracket or higher IRMAA. Also, doing Roth Conversions while MFJ could be very beneficial vs a surviving spouse filing a...
by hawkfan55
Tue Jul 17, 2018 11:13 pm
Forum: Investing - Help with Personal Investments
Topic: Heresy: Is It Worth Converting tIRAs to Roth?
Replies: 46
Views: 4678

Re: Heresy: Is It Worth Converting tIRAs to Roth?

I would recommend using www.i-orp.com , Extended Version. It will allow you to see if Roth Conversions will benefit you and give you tax information as well. Since I'm a few years older than my DW, odds are she will outlive me and face taxes as a single taxpayer. We are both retired, doing Roth Conv...
by hawkfan55
Sat Jul 07, 2018 3:21 pm
Forum: Investing - Help with Personal Investments
Topic: Should we contribute to Roth 403b?
Replies: 4
Views: 368

Re: Should we contribute to Roth 403b?

I would be inclined to use the Roth 403b and to consider doing Roth Conversions up to the top of the 24% tax bracket beginning this year. With the passage of the Tax Cuts Act, brackets, thresholds and rates have changed in 2018. Filing MFJ, you can have taxable income of $314,999 and still stay in t...
by hawkfan55
Mon Jun 18, 2018 11:08 am
Forum: Investing - Help with Personal Investments
Topic: I feel like selling my 3 fund
Replies: 57
Views: 8159

Re: I feel like selling my 3 fund

Unread post by Sandtrap » Mon Jun 18, 2018 10:02 am Education, information, and understanding, are the enemies of impulse. The word, "feel", does not have a place in investment finance. Read, read, read. Outstanding write up on the 64/40 allocation by Bernstein. http://web.archive.org/web/20061214...
by hawkfan55
Fri Jun 15, 2018 1:00 pm
Forum: Personal Finance (Not Investing)
Topic: Anyone regret paying off mortgage early?
Replies: 505
Views: 112822

Re: Anyone regret paying off mortgage early?

Paid off home early that we raised our family in... felt great and enjoyed not having a payment for about six years. Then, after living in that home for 24 years, decided to build a new home. Took sale proceeds from our paid off home and applied them towards our newly built home. Also took out a 15 ...
by hawkfan55
Fri Jun 15, 2018 12:55 am
Forum: Personal Finance (Not Investing)
Topic: ~1 year from FIRE - Tax diversification strategy?
Replies: 25
Views: 3315

Re: ~1 year from FIRE - Tax diversification strategy?

I would recommend the Optimal Retirement Planner, i-orp.com. Use the Extended Version for best results.
by hawkfan55
Fri Jun 15, 2018 12:37 am
Forum: Personal Finance (Not Investing)
Topic: add to DW 401k while withdrawing from (self) 403b?
Replies: 19
Views: 968

Re: add to DW 401k while withdrawing from (self) 403b?

I've been retired for 1.5 years and withdrawing from my Rollover IRA account while my DW contributes the max to her deferred 403b plan. We liked the Stable Value plan she invests in and she is four years younger so RMDs won't start as soon as mine.
by hawkfan55
Tue Jun 12, 2018 12:24 am
Forum: Investing - Help with Personal Investments
Topic: MD&P just purchased X / sold Y [md&pharmacist]
Replies: 198
Views: 13303

Re: MD&P just purchased X / sold Y [md&pharmacist]

While I appreciate the warning at the top of this post, I honestly do not understand why this opposing point of view is welcome here. There is a set of Boglehead principles: https://www.bogleheads.org/wiki/Boglehe ... philosophy While there are many financial issues that forum members can disagree ...
by hawkfan55
Sun Jun 10, 2018 4:21 pm
Forum: Investing - Help with Personal Investments
Topic: Windfall advice for an overwhelmed person
Replies: 76
Views: 6701

Re: Is Bogleheads not right for me? Trying to generate monthly income before retirement

"So the question becomes, is it worth it to gamble on being able to pay down the line over 5 years, or, just pay down everything now in cash?"
Pay down everything now in cash. You can lead a horse to water but you can't force it to drink... good luck!
by hawkfan55
Wed May 30, 2018 11:46 am
Forum: Personal Finance (Not Investing)
Topic: Can we retire in 2018?
Replies: 103
Views: 9080

Re: Can we retire in 2018?

I agree with most replies that retirement would be tight. You could probably do it but with the realization that you may need to return to work if market returns or social program changes dictate needs for more income. You need to seriously consider your expenses and your willingness to adjust your ...
by hawkfan55
Tue May 22, 2018 2:37 pm
Forum: Investing - Help with Personal Investments
Topic: How do you stop moving the goal posts.
Replies: 62
Views: 5416

Re: How do you stop moving the goal posts.

The standard of living I will have in retirement today will be significantly higher than what I would have had 4 years ago. When you retire, you will have to stop measuring your self worth by the movement of your financial asset balances. As you stated, your standard of living in retirement today i...
by hawkfan55
Tue May 22, 2018 1:47 pm
Forum: Investing - Help with Personal Investments
Topic: Can I afford to retire now?
Replies: 45
Views: 6918

Re: Can I afford to retire now?

Is it really worth making the Roth conversions? Or just spend down the 401K first (ahead of the taxable) to push out SS start ? We think so... here's why. DW and I both retired. Pensions of $54k. We are withdrawing from deferred to meet expenses AND doing Roth Conversions. DW starting SS at 63, I w...
by hawkfan55
Wed May 16, 2018 9:04 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement Communities w Great Weather and Low/No State Taxes?
Replies: 12
Views: 2010

Re: Retirement Communities w Great Weather and Low/No State Taxes?

Great suggestions... Washington State, Texas Hill Country, Sedona, AZ, Reno, eastern Tennessee! I agree with Alan S that it is not wise to let the tax tail wag the dog. DW and I would like to relocate to an active adult retirement community with lots of different outdoor activities such as golf, ten...
by hawkfan55
Wed May 16, 2018 4:39 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement Communities w Great Weather and Low/No State Taxes?
Replies: 12
Views: 2010

Retirement Communities w Great Weather and Low/No State Taxes?

Newly retired and looking for recommendations on retirement communities located in areas where one can live year round. Not too hot in summer or too cold in winter. Also want low or no state taxes on retirement savings withdrawals. Good healthcare and low crime also wanted. Thought maybe northern Fl...
by hawkfan55
Wed May 16, 2018 2:02 pm
Forum: Investing - Help with Personal Investments
Topic: Can I afford to retire now?
Replies: 45
Views: 6918

Re: Can I afford to retire now?

3. Do I need to downsize on my primary residence – in order to meet retirement expenses? Only you can determine whether you need or want to downsize your home. I-ORP will give you your optimal spending solution after taxes. You can then "rightsize" your spending. My reason for considering moving at...
by hawkfan55
Wed May 16, 2018 10:46 am
Forum: Investing - Help with Personal Investments
Topic: Can I afford to retire now?
Replies: 45
Views: 6918

Re: Can I afford to retire now?

Emergency funds: 65K in checking You will find that, when you are retired, having 65k in a checking account might not be prudent as long as you can access funds in case of an emergency. Consider keeping a year's expenses in a high-yield savings account or Vanguard's Prime Money Market earning 1.5% ...
by hawkfan55
Thu May 10, 2018 9:37 am
Forum: Personal Finance (Not Investing)
Topic: 100%, 75%, 50% Joint & Survivor?
Replies: 17
Views: 1839

Re: 100%, 75%, 50% Joint & Survivor?

Decided to go Option 6, 100% joint and survivor.
Thanks to all who weighed in!
HawkFan55
by hawkfan55
Tue May 08, 2018 12:36 pm
Forum: Personal Finance (Not Investing)
Topic: 100%, 75%, 50% Joint & Survivor?
Replies: 17
Views: 1839

Re: 100%, 75%, 50% Joint & Survivor?

Thanks #Cruncher! Appreciate your advice. 8-)
by hawkfan55
Tue May 08, 2018 11:27 am
Forum: Personal Finance (Not Investing)
Topic: 100%, 75%, 50% Joint & Survivor?
Replies: 17
Views: 1839

Re: 100%, 75%, 50% Joint & Survivor?

Thanks to all who've replied. We've chosen Option 6. Would you choose 100%, 75%, 50% Joint & Survivor?
by hawkfan55
Tue May 08, 2018 10:42 am
Forum: Personal Finance (Not Investing)
Topic: 100%, 75%, 50% Joint & Survivor?
Replies: 17
Views: 1839

Re: Which PERS Benefit Option would be best?

#Cruncher, thank you for taking a look at our situation. Your input is always appreciated. I'm glad to hear that we are on the right track with Option 6. Option 6 A lifetime monthly benefit for you and, after your death, a lifetime monthly benefit for your contingent annuitant (CA), if you die befor...
by hawkfan55
Fri May 04, 2018 7:16 pm
Forum: Personal Finance (Not Investing)
Topic: 100%, 75%, 50% Joint & Survivor?
Replies: 17
Views: 1839

Re: Which PERS Benefit Option would be best?

ExitStageLeft, thank you for your reply! I can appreciate your ideas and I've certainly used many retirement calculators. Spreadsheets can make situations more clear. I would imagine most people just pick a survivor benefit they feel would make them comfortable. Thank you, again.
by hawkfan55
Thu May 03, 2018 9:31 pm
Forum: Personal Finance (Not Investing)
Topic: Question on Pension Payout from Former Job
Replies: 10
Views: 1299

Re: Question on Pension Payout from Former Job

Best to do a rollover IRA and avoid penalties and taxes. This $38k will be worth SIGNIFICANTLY more when you retire. Listen to your gut... you are right!
by hawkfan55
Thu May 03, 2018 9:27 pm
Forum: Personal Finance (Not Investing)
Topic: 100%, 75%, 50% Joint & Survivor?
Replies: 17
Views: 1839

Re: Which PERS Benefit Option would be best?

Thanks GAAP and soccerrules! I called to find out what a $1,000,000 term life insurance policy for my DW would cost. At age 59 and in excellent health, the cost would be $241 per month for 20 years, $168 per month for 15 years and $128 per month for . An $800,000 term life insurance policy would be ...
by hawkfan55
Wed May 02, 2018 7:38 pm
Forum: Personal Finance (Not Investing)
Topic: 100%, 75%, 50% Joint & Survivor?
Replies: 17
Views: 1839

Re: Which PERS Benefit Option would be best?

She has the bigger pension amount, but is younger. How is your health? All things equal, there's less chance her death benefit will be necessary. Can she delay drawing on the pension to increase her benefit? Can you delay your own Social Security to 70? that would increase both your benefit and her...
by hawkfan55
Wed May 02, 2018 5:36 pm
Forum: Personal Finance (Not Investing)
Topic: 100%, 75%, 50% Joint & Survivor?
Replies: 17
Views: 1839

Re: Which PERS Benefit Option would be best?

3) Choosing #4 or #6 gives you $100K a year of cola'd benefit including SS (very nice benefit) 4) You also have $1.4M with a SWR of 4% = $56K a year on top of the $100K. soccerrules, thanks for replying. I wish our pensions were cost of living adjusted... unfortunately, they are not. They will prov...