Search found 189 matches

by Gattamelata
Wed Oct 31, 2018 12:14 am
Forum: Investing - Help with Personal Investments
Topic: inherited IRA
Replies: 14
Views: 1348

Re: inherited IRA

As I understand the situation, the OP is using the inherited IRA withdrawals to fund his own IRA.. You're right, thanks. I didn't see that on the first read. Not that the OP is planning this, but if the money were invested aggressively it is possible that the account would grow faster than the RMD'...
by Gattamelata
Tue Oct 30, 2018 4:27 pm
Forum: Investing - Help with Personal Investments
Topic: inherited IRA
Replies: 14
Views: 1348

Re: inherited IRA

Grabiner wrote: Welcome to the forum! n00bieecho wrote: ↑Mon Oct 29, 2018 2:58 pm Friendly neighborhood Bogleheads, I inherited my aunts IRA to the tune of $112k, which I am very grateful to have. I enrolled in Vanguard Personal Advisor, which they put me in 84.9% in stocks and 6.3 % in bonds. VTSA...
by Gattamelata
Thu Jul 27, 2017 9:20 pm
Forum: Personal Consumer Issues
Topic: Why is everything done with a mouse?
Replies: 49
Views: 6454

Re: Why is everything done with a mouse?

From a design perspective: a mouse is a cheap, conceptually simple, easily-learned, cognitively inexpensive way to convert the entire surface of a monitor into an input interface. A touchscreen does the same thing, but much more expensively (and inaccessibly to the pre-2005 hardware designers). It a...
by Gattamelata
Sat Jul 22, 2017 9:15 pm
Forum: Personal Finance (Not Investing)
Topic: Approaching major milestone, need cool-headed advice
Replies: 34
Views: 6062

Re: Approaching major milestone, need cool-headed advice

Financially, I don't think you have enough to retire on. If you had 2.5M and were 65, that would be one thing, but I estimate your age as 42 ("23 years on the individual market" until Medicare), so you will likely need twice that amount since half will be spent between now and age 65. Your estimate...
by Gattamelata
Thu Jul 20, 2017 9:29 pm
Forum: Personal Finance (Not Investing)
Topic: Approaching major milestone, need cool-headed advice
Replies: 34
Views: 6062

Re: Approaching major milestone, need cool-headed advice

Thank you all for your thoughts and assessments. I'm humbled by the breadth and depth of your replies. I'll try to reply comprehensively; if you think I'm missing something, please let me know. I'll bundle some of the common sentiments together so that I'm not just gratuitously increasing my post co...
by Gattamelata
Wed Jul 19, 2017 8:27 pm
Forum: Personal Finance (Not Investing)
Topic: Approaching major milestone, need cool-headed advice
Replies: 34
Views: 6062

Approaching major milestone, need cool-headed advice

So I'm approaching a major inflection point in my plan, and I'm troubled by some of the decisions that it has put before me. I'd like some sanity-checking from the wise, rational heads around here. Here's the context. My number is 2.5 million. This is enough to generate my target of 80k annually wit...
by Gattamelata
Wed Aug 31, 2016 11:10 pm
Forum: Personal Consumer Issues
Topic: Google Word Processing and Spreadsheet
Replies: 29
Views: 4830

Re: Google Word Processing and Spreadsheet

I'm a bit late to the discussion, but I thought I'd add that in my experience there are some areas where Google Sheets is better than Excel. This is most particularly true in the filter() and sort() types of functions, which don't exist in Excel. filter() is particularly valuable for me in things li...
by Gattamelata
Wed Nov 18, 2015 5:56 pm
Forum: Personal Finance (Not Investing)
Topic: Things to do near or in retirement while in the 15% bracket.
Replies: 17
Views: 2932

Re: Things to do near or in retirement while in the 15% bracket.

4) Paying the taxes on the RMD might not be fun but one thing to keep in mind is that the RMD's don't force you to actually start drawing down the IRA until the RMD percentage is higher than the percentage that your investments are earning . If you have a balanced portfolio and can earn 7%(includin...
by Gattamelata
Tue Oct 20, 2015 1:37 am
Forum: Investing - Theory, News & General
Topic: 2008 Market Crash, Did You See It As Opportunity?
Replies: 60
Views: 6018

Re: 2008 Market Crash, Did You See It As Opportunity?

I'm curious how did you handle the 2008 stock market crash? ... Did you investers who are relatively far away from needing your investment money keep dumping money into the market (Maybe even more than normal?) as it keep dropping? I wasn't conventionally employed and so didn't have access to a 401...
by Gattamelata
Tue Oct 20, 2015 12:35 am
Forum: Investing - Help with Personal Investments
Topic: Wife’s inheritance actively managed, please help!!!
Replies: 74
Views: 7099

Re: Wife’s inheritance actively managed, please help!!!

I am asking on this forum because I can't see a way where I am not perceived as an interloper (even though I am loved and trusted by my MIL). And even though a passive strategy would be better. Respectfully, this may be because you are an interloper. Money is a touchy subject. So is family. Why ins...
by Gattamelata
Thu Oct 15, 2015 7:30 pm
Forum: Investing - Theory, News & General
Topic: Am I saving 10% or 20%
Replies: 51
Views: 6523

Re: Am I saving 10% or 20%

How would you compute this savings rate? I would look at the point of the metric. What is it trying to measure? Is it trying to measure how much you have saved? I don't think so - that's much better measured by the dollar value of your savings. I think then that its main value is as a rough measure...
by Gattamelata
Thu Oct 15, 2015 7:09 pm
Forum: Investing - Help with Personal Investments
Topic: Warren Buffett 90/10 Portfolio
Replies: 69
Views: 11720

Re: Warren Buffett 90/10 Portfolio

The Life Tables get "updated" for the current statistics/risk factors. Unfortunately we do not know all the risk factors, we only have data. If I exclude babies that died in year 0, then perhaps I exclude some relevant data along with it. Extend that to all other age groups. I think you might be mi...
by Gattamelata
Mon Oct 05, 2015 8:52 pm
Forum: Investing - Theory, News & General
Topic: A Hedge Fund Manager Shuts Down and Goes Bogle
Replies: 69
Views: 9747

Re: A Hedge Fund Manager Shuts Down and Goes Bogle

Benjamin Graham had a similar crisis of confidence in the 60s(?) - declaring markets too efficient to be beaten anymore He was wrong - his simple value strategy not only continued to work, but became part of modern investing academia .. a virtually self-evident truth now happily absorbed into the p...
by Gattamelata
Mon Oct 05, 2015 6:16 pm
Forum: Investing - Theory, News & General
Topic: Jim Simons and Renaissance Technologies
Replies: 52
Views: 6355

Re: Jim Simons and Renaissance Technologies

This time it's different, Nisiprius. Jim Simons is a living god and his ways are not to be questioned. Why track how much money a CAGR of 50% generates? Why count the angels dancing on the head of a pin? Shut down your shabby indexing scheme once you have five million and head to the holy medallion ...
by Gattamelata
Mon Oct 05, 2015 4:17 pm
Forum: Investing - Theory, News & General
Topic: Common Misconceptions about Safe Floor Retirement Planning
Replies: 93
Views: 20402

Re: Common Misconceptions about Safe Floor Retirement Planning

This stuff is tricky. In the past I had trouble understanding it. Now I have trouble explaining it. :D Thanks, Bob, your efforts are sincerely appreciated. I had never considered duration matching before I saw you mention it. One way of characterizing the value occurred to me as I was reading your ...
by Gattamelata
Thu Oct 01, 2015 2:24 am
Forum: Investing - Help with Personal Investments
Topic: Trying to decide which employer retirement plan to choose
Replies: 3
Views: 592

Re: Trying to decide which employer retirement plan to choose

I think I recognize these plans. Some thoughts (assuming I'm correct): Plan 3 vests when you have ten service years, OR five years if at least 12 months of those five years were earned after age 44. So in your case, it would vest someplace between 8 and 9 years, depending on how far into year 36 you...
by Gattamelata
Wed Sep 30, 2015 9:01 pm
Forum: Investing - Theory, News & General
Topic: You won't get to the Promised Land by investing in stocks
Replies: 139
Views: 15429

Re: You won't get to the Promised Land by investing in stocks

With relatively few exceptions, people don't become wealthy by investing in stocks. This depends entirely on your definition of "wealthy." Here's mine: wealthy means that my money generates enough income that I can live well and take some fun vacations without having to work for it. I altered my fi...
by Gattamelata
Tue Sep 29, 2015 8:36 pm
Forum: Investing - Theory, News & General
Topic: Want reference for common EXCEL financial functions
Replies: 8
Views: 1166

Re: Want reference for common EXCEL financial functions

I find Google Sheets' documentation to be easier to work with than Excel's. Here's a link to their financial functions . The explanations are useful to me, the suggested related functions are handy, and on the right hand side is a list of all the financial functions so you can browse easily. The exa...
by Gattamelata
Tue Sep 29, 2015 1:30 pm
Forum: Investing - Help with Personal Investments
Topic: Maxing out 401K, Backdoor Roth and Mega Backdoor Roth. What’s next?
Replies: 8
Views: 939

Re: Maxing out 401K, Backdoor Roth and Mega Backdoor Roth. What’s next?

Have you considered ibonds? Beyond that, investing in a taxable account has some advantages: the ability to employ tax loss harvesting, easy access, and a source of savings that can be employed in lieu of tax deferred savings in order to defer/prolong the tax favored growth. Tax-advantaged is better...
by Gattamelata
Sat Sep 26, 2015 5:00 pm
Forum: Investing - Theory, News & General
Topic: Investment advice to my kids
Replies: 15
Views: 2124

Re: Investment advice to my kids

I'm thinking of people in retirement who have saved all their lives. And those that have some riches, don't need the risk of stock markets, except for an inflation hedge. Not to put too fine a point on it, the topic is advice to young adults. From the OP: I sent this email message to my kids (all c...
by Gattamelata
Wed Sep 23, 2015 11:30 pm
Forum: Investing - Theory, News & General
Topic: Solutions for Retirement Funding & Post-Retirement Payout
Replies: 74
Views: 7258

Re: Solutions for Retirement Funding & Post-Retirement Payout

Thanks for posting this, BobK. I doubt I would have seen it otherwise, and I found it fascinating. I wish I had been able to hear audio - some of the slides didn't stand alone very well, or maybe I just don't know enough for them to be meaningful to me. As a person who builds systems professionally,...
by Gattamelata
Wed Sep 23, 2015 8:58 pm
Forum: Investing - Help with Personal Investments
Topic: Double Check? Choosing Roth 401k contributions for my situation
Replies: 16
Views: 1251

Re: Double Check? Choosing Roth 401k contributions for my situation

Would you defer the entire $36k (both 401ks) on Traditional, and put the ~$10k savings into the mega backdoor? Yes, I'd defer taxes on the entire $36k. Many couples, even wealthy couples, fall into the 15% tax bracket early in retirement. Especially if SS is delayed and before RMDs start. At that t...
by Gattamelata
Sat Sep 05, 2015 11:10 pm
Forum: Personal Finance (Not Investing)
Topic: Strategies for RMDs [Required Minimum Distributions]
Replies: 57
Views: 10046

Re: Strategies for RMDs [Required Minimum Distributions]

Another thought, if the market is low when you withdraw, and you do not need the money, you can simply transfer the RMD into an identical fund in a taxable account. We just did this in another thread.:) You are not going to end up with more money by taking RMDs when the market is low with most norm...
by Gattamelata
Tue Sep 01, 2015 5:32 pm
Forum: Investing - Theory, News & General
Topic: Buffett's most underrated advice?
Replies: 44
Views: 5417

Re: Buffett's most underrated advice?

OP, does this actually appear to you to be advice? About personal finance? Do you imagine Buffett does this with his own money? If so, do you have evidence? At the risk of giving offense, it appears to me that your desire to be in common cause with Buffett has put you in the difficult position of tr...
by Gattamelata
Mon Aug 24, 2015 11:36 am
Forum: Investing - Theory, News & General
Topic: New Investors - First Correction?
Replies: 45
Views: 5428

Re: New Investors - First Correction?

I am planning on staying the course, but this definitely isn't how I picture the first few weeks of being a boglehead to play out. Performance as a Boglehead is measured across decades, not weeks. The benchmark is not whether your account balance went up, but whether you stuck to your plan. It soun...
by Gattamelata
Sat Jul 18, 2015 11:40 am
Forum: Personal Finance (Not Investing)
Topic: losing money on a house....how do Bogleheads deal with it emotionally?
Replies: 76
Views: 9146

Re: losing money on a house....how do Bogleheads deal with it emotionally?

Happy wife = happy life. Anyone else get annoyed by that statement? That statement annoys me every time I read it. It's so demeaning to women AND men. Yes, every time. It submits that there are completely separate expectations for each partner in the relationship based entirely on gender. How would...
by Gattamelata
Fri Jul 17, 2015 10:49 am
Forum: Personal Finance (Not Investing)
Topic: Today I paid off my law-school student loans
Replies: 37
Views: 5925

Re: Today I paid off my law-school student loans

Congratulations, and thanks for sharing! I love reading about other people meeting their goals and how they did it.
by Gattamelata
Tue Jul 14, 2015 12:57 pm
Forum: Personal Finance (Not Investing)
Topic: Tips on switching from FT to contracting (software engineering)
Replies: 15
Views: 2212

Re: Tips on switching from FT to contracting (software engineering)

vitaflo's response is excellent, and I want to emphasize one very, very important point: 2). Work hard and be pleasant to work with . I added bold because I'm serious about how important this is. To survive, you need at least one of these things. To be excellent, you need both. Hard work is importan...
by Gattamelata
Tue Jul 14, 2015 12:21 pm
Forum: Personal Finance (Not Investing)
Topic: Tips on switching from FT to contracting (software engineering)
Replies: 15
Views: 2212

Re: Tips on switching from FT to contracting (software engineering)

Context: I've consulted for megacorps for the last three and a half years, and am just transitioning out. My replies are based on my experiences and those of my colleagues. Short answer: Assuming your megacorp hires consultants, yes, you can do this. Consulting companies often like hiring FTEs from ...
by Gattamelata
Thu Jul 09, 2015 2:18 pm
Forum: Personal Finance (Not Investing)
Topic: $100 k for a MBA, worth it ?
Replies: 35
Views: 10193

Re: $100 k for a MBA, worth it ?

When I ran the numbers at 37 years old as an IT professional, the benefits just couldn't overcome the opportunity costs. The potential increase in compensation was nowhere near the costs, especially if I retired before 65. That said, it might be my industry... You should ask mentors within your comp...
by Gattamelata
Thu Jul 09, 2015 1:40 pm
Forum: Investing - Theory, News & General
Topic: Government bond defaults
Replies: 29
Views: 3012

Re: Government bond defaults

The increased risk of default is the price you pay for higher yields. If the debtor defaults, you lose the money. If you didn't want that risk, you shouldn't have bought the bonds. Why then is there such an outcry from creditors over Greece defaulting? Or Argentina, Puerto Rico, Spain, Ireland, etc...
by Gattamelata
Thu Jul 09, 2015 1:04 pm
Forum: Investing - Help with Personal Investments
Topic: Deplete emergency fund to increase tax advantaged space?
Replies: 7
Views: 1474

Re: Deplete emergency fund to increase tax advantaged space?

Before even asking the question, you need to know if the 457b is governmental or non-governmental. There are some problems with the latter - you might decide not to use it at all. Thanks for the caution. I researched 457s when this opportunity first came up a year ago, so I did indeed know before I...
by Gattamelata
Wed Jul 08, 2015 5:56 pm
Forum: Investing - Help with Personal Investments
Topic: Deplete emergency fund to increase tax advantaged space?
Replies: 7
Views: 1474

Deplete emergency fund to increase tax advantaged space?

I just accepted a new job. This job has three retirement plans ( pension/401(a), 403(b), and 457(b) ), where I had only a 401(k) from my previous employer. Contributions to the pension are fixed, and contribution limits with the 403(b) are shared with my 401(k), so in these cases I will be saving fo...
by Gattamelata
Mon Jul 06, 2015 5:22 pm
Forum: Investing - Help with Personal Investments
Topic: Is there a formula for picking between DB and DC plans?
Replies: 4
Views: 624

Re: Is there a formula for picking between DB and DC plans?

Here are a few ways that I've compared: 1) Calculate the amount of employer contribution to each plan. It's not always easy to do, but sometimes in a DB plan the amount of employer contribution is made very explicit. For instance, a job I considered recently offered a choice between a DC plan where ...
by Gattamelata
Sun Jul 05, 2015 8:44 pm
Forum: Investing - Theory, News & General
Topic: BullionDirect.com suspends operations. Looks like another implosion/scam
Replies: 67
Views: 11429

Re: BullionDirect.com suspends operations. Looks like another implosion/scam

I'm skeptical of the claims of gold's value once electronic and paper records disappear. In that world, I think, your gold is only as valuable as your ability to protect it. ("We have lost paper and electronic records. But we need gold to manufacture cell phones and jewelry, or to marry Indian peopl...
by Gattamelata
Fri Jul 03, 2015 2:24 am
Forum: Investing - Theory, News & General
Topic: What are you up YTD? [Year To Date]
Replies: 2031
Views: 377482

Re: What are you up YTD? [Year To Date]

So far through 6/30, I have beat my benchmark by 44%. What's your benchmark - TVIX or RUSS (crappy leveraged ETFs), or something more normal? I have mentioned my benchmarks many times on the forum. Vanguard Life Strategy Moderate Growth VSMGX is a great 60/40 benchmark that I am writing about here ...
by Gattamelata
Wed May 27, 2015 4:17 pm
Forum: Personal Finance (Not Investing)
Topic: Just general comments for a 22 y/o on financial position
Replies: 32
Views: 6085

Re: Just general comments for a 22 y/o on financial position

I'll give my answers to your specific questions first and then address your general situation. 1.) I have this charles schwab portfolio (see below) that will continue to grow at about on average 15% per year, and I'm unsure of when I should actually start taking money out of that. I'm thinking of us...
by Gattamelata
Mon Mar 09, 2015 1:28 pm
Forum: Investing - Help with Personal Investments
Topic: How to create a 3% return portfolio?
Replies: 52
Views: 7461

Re: How to create a 3% return portfolio?

I think 3% is entirely reasonable for a 30/70 portfolio over the long haul. If equities provide a 5% return and bonds manage 2%, the portfolio will return 3.5%. Nominal returns of course. Dale Is that right? I get 2.9% total return. Take a portfolio of $100. 30 of those dollars get a 5% return, giv...
by Gattamelata
Wed Feb 18, 2015 1:05 pm
Forum: Investing - Help with Personal Investments
Topic: Advice needed to re-kajigger my entire financial life
Replies: 31
Views: 4031

Re: Advice needed to re-kajigger my entire financial life

Allow me to be a bit of a reductionist for the sake of illustration. You have no debt and your net worth is ~2.447 million. Let's make the simplistic assumption for the moment that you can convert that entire amount into liquid assets. At a very conservative 2% withdrawal rate, that generates $48.94...
by Gattamelata
Wed Feb 04, 2015 1:47 pm
Forum: Investing - Theory, News & General
Topic: Milestone >$100k in my retirement investment portfolio
Replies: 30
Views: 4333

Re: Milestone >$100k in my retirement investment portfolio

I realize at any point the investment portfolio balances, not to mention equity, may take a nose dive due to the market random walk-ness, but I'll still enjoy this milestone because it's AWESOME! And hey, if your total dips below the milestone, that just means you get to celebrate this awesome mile...
by Gattamelata
Wed Dec 10, 2014 2:03 pm
Forum: Personal Consumer Issues
Topic: Why did you quit your job?
Replies: 37
Views: 5893

Re: Why did you quit your job?

I worked for a small startup building enterprise software for Fortune 500 companies. Our product was well-liked by our customers and our product had feature and flexibility advantages over our larger competitors. After a few years, we were bought by a mid-size company that had one of the weakest com...
by Gattamelata
Wed Dec 10, 2014 1:23 pm
Forum: Personal Finance (Not Investing)
Topic: "Why Retirement at 65 is a Fairy Tale"
Replies: 117
Views: 15086

Re: "Why Retirement at 65 is a Fairy Tale"

It's interesting how conventional advice about retirement seems to differ based on recent events in the market. For instance, I started saving and investing in 1996, and the advice at the time was "if you max out both your 401k and your Roth IRA, you're way ahead of the game and will easily have an ...
by Gattamelata
Tue Oct 28, 2014 3:42 pm
Forum: Personal Finance (Not Investing)
Topic: Are we really in the 0% bracket?
Replies: 32
Views: 4944

Re: Are we really in the 0% bracket?

I'm no expert, and I may be misunderstanding your question, but there are several different things interacting here. There's income tax and capital gains tax and dividend taxation, and each of those has its own brackets and different things can push you among those brackets in different ways. To nit...
by Gattamelata
Mon Oct 27, 2014 2:17 pm
Forum: Investing - Help with Personal Investments
Topic: Retiring without any additional investments for 25 years
Replies: 20
Views: 3409

Re: Retiring without any additional investments for 25 years

If your annual income is $400-500 K now, how would you be happy living on $120K in retirement? I'd turn this question around. If you're convinced you can live on $120k per year in retirement, why are you even considering jeopardizing that by not contributing some of your much higher current income ...
by Gattamelata
Tue Oct 07, 2014 2:01 pm
Forum: Investing - Help with Personal Investments
Topic: Large Inheritance - Need Advice
Replies: 28
Views: 4486

Re: Large Inheritance - Need Advice

But more importantly, is now a good time to invest? I definitely heard the saying "you can't time the market" but given I have no position in it now. What is my upside vs downside by getting into the market now? If I do go in, how much do I go in with? 25%, 50%, 75% or 100%. I don't want to receive...
by Gattamelata
Mon Oct 06, 2014 7:11 pm
Forum: Investing - Theory, News & General
Topic: Flaws in This Reasoning About Retiring Off Dividends
Replies: 15
Views: 3723

Re: Flaws in This Reasoning About Retiring Off Dividends

I buy $1000 dollars worth of Stock X at $40 a share a month. Stock X has a yearly dividend payout of $1. Buying at that rate I would then get 25 shares a month. In the course of a year I would then get 300 shares. Over 10 years this would be 3,000 shares resulting in a yearly dividend payout of $30...
by Gattamelata
Mon Oct 06, 2014 2:05 pm
Forum: Personal Consumer Issues
Topic: Two-factor Authentication Question
Replies: 18
Views: 2837

Re: Two-factor Authentication Question

My question was whether using Ally's SMS-based two-factor authentication, if I access both the message and the app from my mobile device, makes any meaningful difference over not using it. For my definition of "meaningful," yes, it does. It's not as secure as having the second factor completely ind...
by Gattamelata
Fri Oct 03, 2014 5:46 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a legacy
Replies: 63
Views: 6347

Re: Leaving a legacy

I have a question for the OP and like-minded folks. Let's say that you have two kids. One has demonstrated what you consider to be admirable financial discipline, and the other hasn't. The time comes to refresh your will. Do you leave more to one child based on your impressions? If so, don't you wo...
by Gattamelata
Fri Oct 03, 2014 12:31 pm
Forum: Personal Finance (Not Investing)
Topic: Leaving a legacy
Replies: 63
Views: 6347

Re: Leaving a legacy

I have a question for the OP and like-minded folks. Let's say that you have two kids. One has demonstrated what you consider to be admirable financial discipline, and the other hasn't. The time comes to refresh your will. Do you leave more to one child based on your impressions? If so, don't you wor...
by Gattamelata
Tue Sep 30, 2014 3:38 pm
Forum: Personal Finance (Not Investing)
Topic: SS website - credit freeze
Replies: 7
Views: 1408

Re: SS website - credit freeze

I have not frozen my credit, but one of the bureaus has frozen it anyway. When I went to sign up on the SS web site, they told me that my credit was frozen. I was not able to get the bureau in question to un-freeze my credit (they make it exceptionally hard - they said I needed a PIN that they claim...