Search found 1325 matches

by trueblueky
Sat Sep 22, 2018 12:47 pm
Forum: Personal Finance (Not Investing)
Topic: Physical Banking - Any benefits anymore?
Replies: 136
Views: 7720

Re: Physical Banking - Any benefits anymore?

This week I talked about banking with my German students and most said they haven't seen a paper check in over 20 years. They were a bit amused and surprised that Americans actually still write checks. I've only used on-line banking since I've lived in Germany. I have a physical bank in the States ...
by trueblueky
Fri Sep 21, 2018 7:17 pm
Forum: Investing - Help with Personal Investments
Topic: TSP to Roth IRA Tax Strategy (Post Retirement)
Replies: 27
Views: 1618

Re: TSP to Roth IRA Tax Strategy (Post Retirement)

Not allowed. Makes sense. I see why that would be restricted. When someone inherits a Roth IRA and the estate is under the estate tax threashold his it passed on compleatly tax free to the beneficiaries? When you inherit a traditional IRA, you must take a required minimum.distribution each year. It...
by trueblueky
Fri Sep 21, 2018 3:36 pm
Forum: Investing - Help with Personal Investments
Topic: TSP to Roth IRA Tax Strategy (Post Retirement)
Replies: 27
Views: 1618

Re: TSP to Roth IRA Tax Strategy (Post Retirement)

The Federal Retirement Thrift Investment Board announced a few months ago that it expected to implement the liberalized withdrawal rules in September 2019, about one year from now. I’m trying to wait until then before I begin making Roth conversions from my TSP account. In the meantime, we’re makin...
by trueblueky
Wed Sep 19, 2018 9:22 pm
Forum: Personal Finance (Not Investing)
Topic: General 2018 Tax Question
Replies: 33
Views: 3552

Re: General 2018 Tax Question

I think it would be more accurate to say I was being a bit sarcastic. Tax preparers who charge "by the form" will get a benefit. Other than that, it's probably not much different. I agree with both comments. I’m an AARP volunteer tax preparer and as far as I can tell, only one line of the 70+ line ...
by trueblueky
Mon Sep 17, 2018 6:17 pm
Forum: Personal Finance (Not Investing)
Topic: Whole Life vs Universal Life Insurance
Replies: 30
Views: 1628

Re: Whole Life vs Universal Life Insurance

+1 to all the above advice.

Let me add that no one on this forum will make a penny advising you. Their motives are pure.
by trueblueky
Sun Sep 16, 2018 3:08 pm
Forum: Personal Finance (Not Investing)
Topic: Looking for Tax Reduction moves this year
Replies: 11
Views: 1261

Re: Looking for Tax Reduction moves this year

If you have other capital assets with unrealized losses you can sell them and use the loss to reduce the capital gain. +1 Take long-term capital losses. See if you can donate, have elective surgery, pay 2019 state/local taxes early, etc. IF that will increase itemized deductions and those are above...
by trueblueky
Sun Sep 16, 2018 2:53 pm
Forum: Personal Finance (Not Investing)
Topic: Taxes Paid on Savings Account
Replies: 9
Views: 1293

Re: Taxes Paid on Savings Account

We need to know the state. Some states allow a local tax on earned income -- PA and KY come to mind. This allows the city to raise funds from commuters who use the city's streets, fire, police, etc., but who live in the suburbs. Some states have a local tax that is figured as a line on the state tax...
by trueblueky
Sun Sep 16, 2018 2:38 pm
Forum: Personal Finance (Not Investing)
Topic: How did you decide when to retire?
Replies: 54
Views: 7816

Re: How did you decide when to retire?

Youngest finished college in June 20xx with no debt. That July took me over another year of work. Retired in August same year, age 60. DW and I relocated to be near our only surviving parent.

So, a mix of family and financial factors.
by trueblueky
Fri Sep 14, 2018 11:01 am
Forum: Investing - Help with Personal Investments
Topic: FERS why it is so low.
Replies: 12
Views: 1779

Re: FERS why it is so low.

There are a lot of misconceptions with regards to federal employment, and especially, retirement. I've had people think it was like the military or police and you could retire after 20 years. I wish! At one time there was the CSRS and that plan was generous although it presented the "golden handcuf...
by trueblueky
Wed Sep 12, 2018 7:52 pm
Forum: Investing - Help with Personal Investments
Topic: FERS why it is so low.
Replies: 12
Views: 1779

Re: FERS why it is so low.

Three-legged stool:

* Social Security (maybe 1/3 of your final salary -- high earners receive a lower percentage of a higher salary history; low earners, more)
* FERS -- 1/3 of your high-three salary at age 62 with 30 years of service
* TSP -- depends on how much you save
by trueblueky
Wed Sep 12, 2018 4:14 pm
Forum: Investing - Help with Personal Investments
Topic: Fidelity, Schwab, or Vanguard
Replies: 61
Views: 4106

Re: Fidelity, Schwab, or Vanguard

DW had a tIRA with Schwab from her days with MegaCorp. Never any pressure. When I wanted to convert some TSP into Roth IRA (a two-step process: first TSP to tIRA, then tIRA to Roth), Schwab was helpful. They understood what I was doing, why, and that I wanted the accounts self-directed. No pressure....
by trueblueky
Fri Sep 07, 2018 7:03 pm
Forum: Investing - Help with Personal Investments
Topic: RE: Help with Mom's Taxable account
Replies: 11
Views: 1008

Re: RE: Help with Mom's Taxable account

SS is the only income she receives and I'm not sure the amount (I don't believe she worked at all after age 35 or so). My stepfather was the sole income provider and he retired about a year or so ago. With that said, what would you recommend she invest in? Recommend providing a better picture of th...
by trueblueky
Thu Sep 06, 2018 4:14 pm
Forum: Personal Finance (Not Investing)
Topic: Dad's Finacial Paperwork
Replies: 8
Views: 1067

Re: Dad's Finacial Paperwork

The IRS has three years from the date a return is filed or is due, whichever is later, to audit or ask for more money. After that, they cannot. At the same time, you cannot amend a return after that date. The exceptions are fraud, significant underreported income, failure to file. Example, tax fili...
by trueblueky
Thu Sep 06, 2018 11:53 am
Forum: Personal Finance (Not Investing)
Topic: Dad's Finacial Paperwork
Replies: 8
Views: 1067

Re: Dad's Finacial Paperwork

The IRS has three years from the date a return is filed or is due, whichever is later, to audit or ask for more money. After that, they cannot. At the same time, you cannot amend a return after that date. The exceptions are fraud, significant underreported income, failure to file. Example, tax filin...
by trueblueky
Fri Aug 31, 2018 7:45 pm
Forum: Investing - Theory, News & General
Topic: Possible Change to RMDs? [Executive order]
Replies: 47
Views: 6096

Re: Possible Change to RMDs? [Executive order]

Here it is: https://www.whitehouse.gov/presidential-actions/executive-order-strengthening-retirement-security-america/ Lots of examine this and study that. This order doesn't change anything, yet. DOL will conduct the studies and post draft changes for comment at some point. Updating the life tables...
by trueblueky
Mon Aug 27, 2018 1:55 pm
Forum: Investing - Theory, News & General
Topic: Pensions and retirement savings rate
Replies: 30
Views: 2571

Re: Pensions and retirement savings rate

Agreed. I guess my question is more about practical thoughts on retirement saving in light of also having a pension. Nate79 provided the approved solution. So, it'll take a little work to figure out a SWAG on the amount to save in addition to your pension contribution. More than 30 years ago, I wor...
by trueblueky
Sat Aug 25, 2018 11:41 am
Forum: Investing - Theory, News & General
Topic: Which bond index fund best in taxable acct?
Replies: 22
Views: 2279

Re: Which bond index fund best in taxable acct?

I would not hold a taxable bond fund in a taxable account at a tax rate of 32%. You could consider holding all bonds in tax-deferred. Or you could hold 50% VG California Intermediate Tax-Free along with 50% VG Intermediate Tax-Free in taxable as your bond holding. This would reduce the state tax wh...
by trueblueky
Fri Aug 24, 2018 8:09 pm
Forum: Investing - Theory, News & General
Topic: Which bond index fund best in taxable acct?
Replies: 22
Views: 2279

Re: Which bond index fund best in taxable acct?

I would not hold a taxable bond fund in a taxable account at a tax rate of 32%. You could consider holding all bonds in tax-deferred. Or you could hold 50% VG California Intermediate Tax-Free along with 50% VG Intermediate Tax-Free in taxable as your bond holding. This would reduce the state tax whi...
by trueblueky
Fri Aug 24, 2018 7:30 pm
Forum: Personal Finance (Not Investing)
Topic: SALT: IRS issues proposed regs for State Tax Credit for Donation
Replies: 62
Views: 6076

Re: SALT: IRS issues proposed regs for State Tax Credit for Donation

I'm not too surprised that the Treasury would try to stop this, but I am (a little) surprised that all of the existing programs in place would most likely go away as well. For several years, many states (regardless of political predominance) have allowed contributions to college tuition programs in...
by trueblueky
Fri Aug 17, 2018 5:14 pm
Forum: Personal Finance (Not Investing)
Topic: How to Treat "Negative" Basis in Nondeductible IRA
Replies: 52
Views: 2534

Re: How to Treat "Negative" Basis in Nondeductible IRA

There is a concept of negative basis, such as when a partnership owes more than its assets. However, I can't see negative basis in an IRA. When you have fully depreciated an asset, there's no more depreciation. When a REIT has returned all your basis through its periodic return of capital, the decre...
by trueblueky
Tue Aug 14, 2018 1:37 pm
Forum: Personal Consumer Issues
Topic: Retire in Florida or Alabama?
Replies: 107
Views: 8079

Re: Retire in Florida or Alabama?

Alabama has income tax and a 4% up to 5% sales tax. https://www.tax-brackets.org/alabamataxtable Florida has no income tax and a 6% up to 7% sales tax. Cheers In terms of overall affordability Alabama ranks #5, Florida #27. Statewide affordability is probably not relevant to the choice of whether t...
by trueblueky
Sat Aug 11, 2018 5:46 pm
Forum: Investing - Theory, News & General
Topic: Request for distribution data of Vanguard REIT Index Fund
Replies: 10
Views: 977

Re: Request for distribution data of Vanguard REIT Index Fund

However, I want the return of capital per share of each distribution, from June 2007 to June 2008, to the number of digits used by Vanguard. My Quicken entries show the last Long Term Capital Gain distribution in December 2006 for Investor class. If there was a return of capital that showed up on t...
by trueblueky
Fri Aug 10, 2018 10:12 pm
Forum: Investing - Help with Personal Investments
Topic: Buy back service time on pension
Replies: 42
Views: 3424

Re: Buy back service time on pension

If you leave service in 2020 and start the pension in 2040, how is inflation over those twenty years accounted for?
by trueblueky
Fri Aug 10, 2018 10:46 am
Forum: Personal Finance (Not Investing)
Topic: Draft a will with legalzoom or other online legal help
Replies: 104
Views: 10496

Re: Draft a will with legalzoom or other online legal help

But not sure how much those attorney usually charge? So ask a few. It's a rare attorney that doesn't want new clients and those that don't will quickly tell you. I paid $800 for will, trust, financial PoA, healthcare PoA, etc. This was at a fairly large local law firm with commercial clients, so pr...
by trueblueky
Thu Aug 09, 2018 2:04 pm
Forum: Personal Finance (Not Investing)
Topic: Can I use my Donor Advised Fund to give extra cash to sponsor my kids travel sports team?
Replies: 75
Views: 5131

Re: Can I use my Donor Advised Fund to give extra cash to sponsor my kids travel sports team?

I'm wondering whether others' experience is similar to mine: I'm a recent contributor FIdelity's DAF. I find it a really easy way to give. Fidelity does make you check a box that certifies that nothing but incidental benefits are accrued. Do other DAFs require the same action? On another tack, I've...
by trueblueky
Wed Aug 08, 2018 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Can I use my Donor Advised Fund to give extra cash to sponsor my kids travel sports team?
Replies: 75
Views: 5131

Re: Can I use my Donor Advised Fund to give extra cash to sponsor my kids travel sports team?

I'm wondering whether others' experience is similar to mine: I'm a recent contributor FIdelity's DAF. I find it a really easy way to give. Fidelity does make you check a box that certifies that nothing but incidental benefits are accrued. Do other DAFs require the same action? On another tack, I've...
by trueblueky
Tue Aug 07, 2018 7:34 pm
Forum: Investing - Theory, News & General
Topic: "Age in Bonds" fails almost everyone
Replies: 217
Views: 13727

Re: "Age in Bonds" fails almost everyone

Maybe I missed it. Where do you define "wrong?" They are treating the asset allocation models from three top-rated target date fund managers (BlackRock, JP Morgan, and Vanguard) as "right" and age in bonds as "wrong". Their current AA models. We will see if their targets change with the next crash.
by trueblueky
Mon Aug 06, 2018 12:29 pm
Forum: Personal Finance (Not Investing)
Topic: Improving the TSP [for current participants]
Replies: 262
Views: 42754

Re: TSP vs Fidelity Zeroes

I’m pretty sure it’s not a loss leader for Fidelity; they are being more aggressive with securities lending, which FRTIB could do easily. I was able to get into the zeros on day zero. I’ve rolled all available funds in both our Fido Roth IRAs to the zeros as of Close of Business Friday, in accordan...
by trueblueky
Sun Aug 05, 2018 10:47 am
Forum: Personal Finance (Not Investing)
Topic: Improving the TSP [for current participants]
Replies: 262
Views: 42754

Re: TSP vs Fidelity Zeroes

As noted in a monstrous thread, Fidelity has just started offering a Total US Stock Market fund and a Total International Stock Market find, both with an expense ratio of 0%, and both with a minimum investment of $0. Fidelity makes its money on the funds by loaning securities to short sellers. I im...
by trueblueky
Sat Aug 04, 2018 7:58 pm
Forum: Personal Finance (Not Investing)
Topic: Can I use my Donor Advised Fund to give extra cash to sponsor my kids travel sports team?
Replies: 75
Views: 5131

Re: Can I use my Donor Advised Fund to give extra cash to sponsor my kids travel sports team?

I repeat my earlier suggestion; Ask the donor advised fund to make this grant, fully disclosing where it is to go, and see what they say. This is not the final word by any means. The DAF custodian simply wants 100% protection for themselves. OP only needs 95% protection. It's not an issue of legali...
by trueblueky
Fri Aug 03, 2018 5:11 pm
Forum: Investing - Help with Personal Investments
Topic: Help with my Parents RMD and my potential future inheritance
Replies: 13
Views: 951

Re: Help with my Parents RMD and my potential future inheritance

What is OP's tax bracket?

It does not make sense to pay 22% to Roth convert if OP is in the 12% bracket.
by trueblueky
Thu Aug 02, 2018 9:51 pm
Forum: Personal Consumer Issues
Topic: Gated communities pros and cons? (Atlanta or anywhere.)
Replies: 67
Views: 4457

Re: Gated communities pros and cons? (Atlanta or anywhere.)

Some areas have started telling developers, "We are not taking responsibility for your road." This has nothing to do with gated or not gated. It has to do with county resources and tax levels.
by trueblueky
Wed Aug 01, 2018 7:39 am
Forum: Investing - Help with Personal Investments
Topic: Index Funds - Schwab and Vanguard
Replies: 7
Views: 732

Re: Index Funds - Schwab and Vanguard

Schwab International Index is not the same as Vanguard's as it's only Developed Markets Large Cap (excludes small caps and emerging markets). So, you'd have to use Schwab ETFs to fill the void. I agree with others and wouldn't choose Schwab just because it's expense ratios are a tiny bit lower. It'...
by trueblueky
Tue Jul 31, 2018 2:12 pm
Forum: Investing - Help with Personal Investments
Topic: 1.9 M windfall. My plan; input requested
Replies: 30
Views: 4681

Re: 1.9 M windfall. My plan; input requested

To echo bloom2708, I think the primary residence number seems low, and I would also pass on investment real estate. Also, you probably could spend less on furniture... Edit.. nvm, that includes the ring, honeymoon, and wedding. $180,000 will buy a lot of house in parts of the rural Midwest. There's...
by trueblueky
Sat Jul 28, 2018 2:17 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Paper on Roth Conversion Analysis
Replies: 123
Views: 9473

Re: Vanguard Paper on Roth Conversion Analysis

FiveK, I can assure you no "properties of math" are violated in my spreadsheet. The independent variables to " just " the retirement simulation are the following, just so there is no confusion: 1. Roth balance (tax-free dollars) 2. IRA Balance (pre-tax dollars) 3. Retirement Funds Growth Rate (the ...
by trueblueky
Fri Jul 27, 2018 2:26 pm
Forum: Investing - Theory, News & General
Topic: Bonds: VG Treasury Funds vs ETFs vs Ladders
Replies: 21
Views: 2156

Re: Bonds: VG Treasury Funds vs ETFs vs Ladders

It really sounds to me like you're double-counting the benefit of "riding the yield curve". I say "No, you shouldn't care", but with a caveat. Did you bother to even look at all the articles describing the effect? For one example from Forbes: One of the Most Profitable Strategies in Bond Investing ...
by trueblueky
Thu Jul 26, 2018 2:52 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Paper on Roth Conversion Analysis
Replies: 123
Views: 9473

Re: Vanguard Paper on Roth Conversion Analysis

...and if money remains unspent at death, one would have to know the marginal rates applicable to the heirs, and how much was left to each, etc., etc. That gets messy very quickly, adding more noise than signal. In one extreme, someone with no heirs other than charities could indeed assume a margin...
by trueblueky
Wed Jul 25, 2018 8:20 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Paper on Roth Conversion Analysis
Replies: 123
Views: 9473

Re: Vanguard Paper on Roth Conversion Analysis

Many tax items are indexed to inflation, but taxation on SS is not. This is an important consideration for many in retirement.
by trueblueky
Wed Jul 25, 2018 8:04 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Paper on Roth Conversion Analysis
Replies: 123
Views: 9473

Re: Vanguard Paper on Roth Conversion Analysis

It doesn’t seem too difficult to get your retirement tax bracket above that once RMDs start. Especially after the first spouse dies and the second is forced into the single tax brackets... Yeah, that single tax bracket is a killer. That's why we are converting into the 22% bracket. Survivor will de...
by trueblueky
Sun Jul 22, 2018 1:21 pm
Forum: Personal Consumer Issues
Topic: Good places to visit within 4-5 hr drive from Atlanta
Replies: 38
Views: 3036

Re: Good places to visit within 4-5 hr drive from Atlanta

Amicalola Falls State Park near Dawson, GA
Helen (faux German tourist trap with some decent food) on a weekday
Unicoi State Park near Helen, GA
by trueblueky
Wed Jul 18, 2018 1:03 pm
Forum: Investing - Theory, News & General
Topic: In defense of short-term treasuries
Replies: 114
Views: 7331

Re: In defense of short-term treasuries

We've had a significant period where short-term bonds were the best. More recently we've had a significant period of time where long-term bonds were the best. One can try to guess which might work best in the future or one can try to split the difference in some way by, say, owning "intermediate" t...
by trueblueky
Tue Jul 17, 2018 10:02 am
Forum: Investing - Theory, News & General
Topic: Why is leveraging property good but leveraging stocks bad?
Replies: 206
Views: 15556

Re: Why is leveraging property good but leveraging stocks bad?

Until recently, home values had never fallen nationally. You mean other than in the national housing crashes of 1890, 1915, 1942, 1978, and 1987? Housing prices didn't reach their 1915 levels again until 1945. 30 years just to break even. Housing prices didn't reach their 1890 levels again until 20...
by trueblueky
Tue Jul 17, 2018 7:54 am
Forum: Investing - Theory, News & General
Topic: Why is leveraging property good but leveraging stocks bad?
Replies: 206
Views: 15556

Re: Why is leveraging property good but leveraging stocks bad?

You can play around with language and no categories are precise. However: 1) I don't think a mortgage on the house you live in is "good," it's more of a "necessary evil." 2) Is a mortgage on the house you live in "leverage?" It's debt, it's borrowing, but is it "leverage?" A dictionary defines "lev...
by trueblueky
Mon Jul 16, 2018 12:17 pm
Forum: Personal Consumer Issues
Topic: TripAdvisor "Points" & "Levels" ?
Replies: 8
Views: 679

Re: TripAdvisor "Points" & "Levels" ?

ResearchMed wrote:
Sun Jul 15, 2018 5:21 pm

Do people really fall for this?

That is, do people really post to get "more points"?
"A soldier will fight long and hard for a bit of colored ribbon" -- Napoleon
by trueblueky
Sun Jul 15, 2018 7:11 pm
Forum: Personal Finance (Not Investing)
Topic: Are Credit Cards Actually Convenient?
Replies: 91
Views: 7150

Re: Are Credit Cards Actually Convenient?

I always use credit card at gas pumps. That way, I don't need to go inside and wait behind six suckers buying lottery tickets.
by trueblueky
Fri Jul 13, 2018 6:51 pm
Forum: Personal Consumer Issues
Topic: When does frugal cross the line to cheapskate?
Replies: 136
Views: 10231

Re: When does frugal cross the line to cheapskate?

I think Sidney suggested that "Thrift is the fuel of magnificence." At some point our thrifty habits should enable some splash-out, if not for ourselves, then for loved ones and friends. Also, give to charitable causes we actually care about ourselves--not because other people we need to impress sa...
by trueblueky
Wed Jul 11, 2018 11:48 am
Forum: Investing - Help with Personal Investments
Topic: RMD from Inherited IRA
Replies: 12
Views: 1330

Re: RMD from Inherited IRA

Don't include those forms with your 1040 next year; the IRS will already have them, and we don't want to confuse things by having it entered twice. You should receive a 1099 with the $126 plus your normal RMD from the inherited IRA. The 1099 will not show those as separate items. These will go on yo...
by trueblueky
Mon Jul 09, 2018 9:00 pm
Forum: Investing - Help with Personal Investments
Topic: Soon to retire Fed in the TSP
Replies: 20
Views: 1611

Re: Soon to retire Fed in the TSP

October?
If you have a large annual leave balance, you could have an income spike that spikes your taxes as well. Why not January?