Search found 189 matches

by Not Law
Mon Sep 24, 2018 3:35 pm
Forum: Personal Consumer Issues
Topic: Acoustic Pianos
Replies: 42
Views: 2100

Re: Acoustic Pianos

College music departments sell slightly used good quality pianos annually. Usually well cared for and treated with respect by budding virtuosos. The acoustics of your foyer might leave something to be desired.
by Not Law
Mon Sep 24, 2018 11:53 am
Forum: Personal Finance (Not Investing)
Topic: IRA contribution made income too LOW ... thoughts?
Replies: 5
Views: 768

Re: IRA contribution made income too LOW ... thoughts?

When I was planning for the ACA in 2013 I did substantial research on this as my state had not expanded Medicaid at the time, and I had the ability to set my income as needed for eligibility. There did not appear to be any consequence of OVER estimating my income to reach the 138% threshold. I actua...
by Not Law
Tue Sep 11, 2018 12:48 pm
Forum: Personal Finance (Not Investing)
Topic: Father Wants a Home Mortgage (Bad Credit Score)
Replies: 43
Views: 3225

Re: Father Wants a Home Mortgage (Bad Credit Score)

Grandparents may be doing some medicaid planning in advance of anticipated future nursing home care. Father needs his attorney to contact grandparent's attorney and attempt to negotiate a resolution that satisfies everyone.
by Not Law
Wed Aug 01, 2018 7:33 pm
Forum: Personal Finance (Not Investing)
Topic: Three questions about Social Security
Replies: 3
Views: 732

Re: Three questions about Social Security

1. It is not indexed. When it was implemented in the early 80's, about 3% of SS recipients were taxed. Now it is about 50%.
2. 1/2 plus the other sources is my understanding.
3. 32k income plus 1/2 of SS is 44k of income, deduct 24k standard deduction, leaves 20k taxable, as I read the law.
by Not Law
Tue Jul 31, 2018 7:16 pm
Forum: Personal Finance (Not Investing)
Topic: Question to retirees - money or work/life balance?
Replies: 46
Views: 5527

Re: Question to retirees - money or work/life balance?

It is not all or nothing. 50% or 60% for the future and 50% or 40% for the now is just fine. It all depends on when you want to be financially independent, and what it will take to get there. Not spending every cent you make does not equal deprivation.
by Not Law
Mon Jul 02, 2018 6:40 pm
Forum: Personal Consumer Issues
Topic: Recommend a vehicle for $24,000 or less
Replies: 47
Views: 4280

Re: Recommend a vehicle for $24,000 or less

2000 to 2005 Buick Park Avenue or LeSabre. Cost is between $2k and $4k. Engines last forever. 4 years ago I bought 2003 and 2002 Park Avenues for about $7,500 for both, with 125k miles each. Both are still running fine. MPG is in the 22 to 30 range, depending on driving distance. No major maintenanc...
by Not Law
Mon Jul 02, 2018 5:35 pm
Forum: Personal Consumer Issues
Topic: Retiring in Michigan (Ann Arbor)
Replies: 65
Views: 5189

Re: Retiring in Michigan (Ann Arbor)

The last two winters in SE Michigan had several 8 to 10 inch snowfalls, which melted relatively quickly - did not require shoveling if you could wait a day or two for the melt. The long term average snowfall as far north as Bay City is under 40" per season. Of course anomalies occur - this last wint...
by Not Law
Sun Jul 01, 2018 11:10 am
Forum: Personal Finance (Not Investing)
Topic: How to document a verbal conversation for future legal reasons.
Replies: 21
Views: 3120

Re: How to document a verbal conversation for future legal reasons.

littlebird wrote:
Sun Jul 01, 2018 9:38 am
Most communication is verbal, that is, consisting of words. The correct term for non-written communication is “oral”.
+1
by Not Law
Thu Jun 28, 2018 3:44 pm
Forum: Personal Finance (Not Investing)
Topic: Pre nups.
Replies: 70
Views: 9215

Re: Pre nups.

A few decades ago, prenuptial agreements were against public policy as they related to pre-planning one's divorce. Their primary purpose was to design a death related distribution to protect one's children from a previous marriage, and to avoid the presumptions in favor of the surviving spouse over ...
by Not Law
Mon Jun 25, 2018 4:36 pm
Forum: Personal Finance (Not Investing)
Topic: Settling Consumer Debt
Replies: 30
Views: 1896

Re: Settling Consumer Debt

There would be no forgiveness of debt federal income tax issue if you are "insolvent" at the time of forgiveness. You owe $150k in student loans, $10k to the credit card (among others) and have $50k in a retirement account plus $3k cash = net worth of -$107k. After payment and forgiveness, you still...
by Not Law
Sat Jun 09, 2018 8:00 pm
Forum: Personal Finance (Not Investing)
Topic: Title company asking for another warranty deed?
Replies: 12
Views: 1191

Re: Title company asking for another warranty deed?

If you don't, the title company will sue you for specific performance (and/or the return of the funds), at their cost, and seek to recover their costs in the lawsuit. I would consider adding language to the second deed that it replaces the original deed which (you as the grantor have been led to bel...
by Not Law
Sat Jun 09, 2018 7:33 pm
Forum: Personal Finance (Not Investing)
Topic: Are you including SS in your planning model? Are the benefits really that high?
Replies: 148
Views: 12625

Re: Are you including SS in your planning model? Are the benefits really that high?

Benefits at 62 = $1800 ($21.6k/year), at 66 = $2400 ($28.8/yr), at 70 = $3150 ($37.8/yr). Spousal benefit at 66 = $1200 ($14.4/yr). "Break even" for all is <80. Odds that one spouse will reach 90 when both are 65 is about 25%. Odds that at least one will reach 80 are closer to 80%. Waiting for benef...
by Not Law
Mon Jun 04, 2018 2:59 pm
Forum: Personal Finance (Not Investing)
Topic: Custodian for Parents Assets? Also, Executor of Will Question.
Replies: 4
Views: 471

Re: Custodian for Parents Assets? Also, Executor of Will Question.

Revocable living trust, with dad as trustee and OP as successor trustee. Parents are beneficiaries until both are deceased. Instructions for OP to disburse 80/20 at that point. Pour over will to trust, and beneficiary designations of 80/20 on retirement accounts.
by Not Law
Mon Jun 04, 2018 1:44 pm
Forum: Personal Finance (Not Investing)
Topic: Roommate in a house?
Replies: 32
Views: 3193

Re: Roommate in a house?

Try to fill out the schedule E that the SO would have to file. Offsetting the rental income with with the renter's half of all the expenses. Seems to me that the arrangement would be a wash as far as the taxes go. In fact, if the mortgage interest and taxes are too small to be schedule A items, it w...
by Not Law
Wed May 30, 2018 7:30 pm
Forum: Personal Finance (Not Investing)
Topic: Bank overpaid contractor and wants my daughter to be responsible
Replies: 25
Views: 3786

Re: Bank overpaid contractor and wants my daughter to be responsible

The General contractor should have provided sworn statements indicating the subs had been paid. There should be a title company involved here. The construction loan should have had a title insurance policy in place. Your daughter's attorney/the lender should be making a claim with the title insuranc...
by Not Law
Fri Mar 30, 2018 6:37 pm
Forum: Personal Consumer Issues
Topic: Portable Inverter Generator vs Standby Generator
Replies: 78
Views: 4251

Re: Portable Inverter Generator vs Standby Generator

Shutting off the water and leaving taps open will avoid freezing pipes. My biggest issue is sump pump operation. Then furnace (boiler with small pump to circulate hot water heat). And the ability to make coffee in the morning!
by Not Law
Fri Mar 30, 2018 5:50 pm
Forum: Personal Consumer Issues
Topic: Portable Inverter Generator vs Standby Generator
Replies: 78
Views: 4251

Re: Portable Inverter Generator vs Standby Generator

Portable generator tips: 1. If you buy a made in China model, it will likely require premium gasoline (at least 90 octane). 2. Make sure the fuel tank will last for eight hours (My first was a two hour tank, and it was a pain to get up every two hours to fill it over a 5 day power outage in the wint...
by Not Law
Tue Jan 30, 2018 3:58 pm
Forum: Investing - Theory, News & General
Topic: When did the bad news start in 2008?
Replies: 135
Views: 14598

Re: When did the bad news start in 2008?

The bad news was available in 2007. When I became aware of a couple receiving public assistance who had purchased a $130,000 home with 80/20 financing. They assumed since they had been approved for the loan they would be able to afford the payments - otherwise the lender would not have loaned the mo...
by Not Law
Tue Jan 30, 2018 3:40 pm
Forum: Investing - Theory, News & General
Topic: 401k & the Stock Market
Replies: 12
Views: 1781

Re: 401k & the Stock Market

Payroll processors like ADP make money off the float, so those contributions could be delayed by as much as a week (even two back in the 90's when electronic transfers were more cumbersome or non-existent).
by Not Law
Tue Jan 30, 2018 3:33 pm
Forum: Investing - Theory, News & General
Topic: Wow: Shiller PE is 34.52
Replies: 52
Views: 7155

Re: Wow: Shiller PE is 34.52

On a parallel note, those mutual fund 10 year historical earnings will be going sky high over the next 14 months.
by Not Law
Tue Jan 30, 2018 3:27 pm
Forum: Investing - Theory, News & General
Topic: Interesting Anomaly (mutual fund credited extra cent)
Replies: 4
Views: 811

Re: Interesting Anomaly (mutual fund credited extra cent)

Must be Superman III. I did not see the other two.
by Not Law
Sun Jan 28, 2018 7:41 pm
Forum: Investing - Theory, News & General
Topic: Interesting Anomaly (mutual fund credited extra cent)
Replies: 4
Views: 811

Re: Interesting Anomaly (mutual fund credited extra cent)

There was a movie in the 80"s ( I think) where those extra partial pennies were diverted and made someone millions.
by Not Law
Sun Jan 28, 2018 4:46 pm
Forum: Investing - Theory, News & General
Topic: Inflation and Constant rate (4% rule) vs. RMD-based portfolio withdrawals
Replies: 11
Views: 1284

Re: Inflation and Constant rate (4% rule) vs. RMD-based portfolio withdrawals

As I understand it the 4% (plus inflation) rule in its pure sense only takes into account the portfolio value at the time of the initial 4% withdrawal. That is, if you start with $1m, your first withdrawal is $40k and the $40k number is increased by inflation without regard to the value of the portf...
by Not Law
Sat Jan 27, 2018 8:05 pm
Forum: Investing - Theory, News & General
Topic: How do you know much retirement income is needed?
Replies: 53
Views: 4822

Re: How do you know much retirement income is needed?

"What is the percentage relationship between spending to maintain a specific lifestyle in the year before retirement and spending to maintain the same lifestyle in the year after retirement?"

100%
by Not Law
Sat Jan 27, 2018 3:51 pm
Forum: Personal Finance (Not Investing)
Topic: April vacation for 2 families
Replies: 13
Views: 1259

Re: April vacation for 2 families

Puerto Rico or the Virgin Islands
by Not Law
Sat Jan 27, 2018 3:48 pm
Forum: Personal Finance (Not Investing)
Topic: Father financial trouble
Replies: 40
Views: 5110

Re: Father financial trouble

1. Bankruptcy will eliminate all collection efforts.
2. ALL Social Security is protected from collection, not just 2 months worth.
3. Dad is judgment proof, so turn the car in and stop paying the debts. Bankruptcy if you can't handle collection efforts.
by Not Law
Wed Jan 24, 2018 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: Working in the real world
Replies: 118
Views: 10715

Re: Working in the real world

Back in the 90's, Money magazine ran an article about how $125,000 was low income in New York City. The family had expenses for private schools, country club membership, etc. and were hardly getting by. When I compared my income of $50,000 in middle America, I came out far ahead, using public school...
by Not Law
Mon Jan 22, 2018 4:20 pm
Forum: Personal Finance (Not Investing)
Topic: Transfer money to family members to take advantage of lower tax rates
Replies: 35
Views: 3978

Re: Transfer money to family members to take advantage of lower tax rates

The recipient of inherited stock get a stepped up basis because the actual value at the time of death is included in the deceased's estate for tax purposes. The "standard deduction" for the estate is now $11 million.
by Not Law
Sun Jan 21, 2018 6:36 pm
Forum: Personal Finance (Not Investing)
Topic: Going to one income-seeking testimonials
Replies: 101
Views: 6437

Re: Going to one income-seeking testimonials

When we did it in the 80's, the loss of "take home" pay was 50% of spouse's gross wage. Eliminating commuting costs, day care and other such expenses made it pretty much a break even situation.
by Not Law
Tue Jan 16, 2018 4:13 pm
Forum: Personal Finance (Not Investing)
Topic: Getting your spouse on the same page
Replies: 53
Views: 5781

Re: Getting your spouse on the same page

double comma level Is that 1 million or 10 million? I am hoping you actually meant latter even though that is not the correct definition of "double comma". If you are spending like no tomorrow with the former number, you are in rude surprise. I mean 1 million in 2014, spent some and now back at 1 m...
by Not Law
Fri Jan 12, 2018 4:02 pm
Forum: Personal Finance (Not Investing)
Topic: Pay off student loans after kid graduates?
Replies: 35
Views: 2561

Re: Pay off student loans after kid graduates?

I would make sure there is not a government or employer loan repayment program before shelling out money. Some teachers, doctors, etc. that work in certain places have loan forgiveness programs. And some employers offer a loan repayment incentive. Good reason to wait for a year or so before making t...
by Not Law
Fri Jan 12, 2018 3:48 pm
Forum: Personal Finance (Not Investing)
Topic: Getting your spouse on the same page
Replies: 53
Views: 5781

Re: Getting your spouse on the same page

double comma level Is that 1 million or 10 million? I am hoping you actually meant latter even though that is not the correct definition of "double comma". If you are spending like no tomorrow with the former number, you are in rude surprise. I mean 1 million in 2014, spent some and now back at 1 m...
by Not Law
Thu Jan 11, 2018 8:32 pm
Forum: Personal Finance (Not Investing)
Topic: Work affect social security benefit?
Replies: 6
Views: 617

Re: Work affect social security benefit?

A surviving spouse with a child under 16 can receive "caretaker" benefits which are subject to income limits. This is a benefit that has no bearing on one's future ability to obtain "retirement" benefits. So a 40 year old mother with an 11 year old can collect for five years, as long as income is le...
by Not Law
Thu Jan 11, 2018 7:02 pm
Forum: Personal Finance (Not Investing)
Topic: Getting your spouse on the same page
Replies: 53
Views: 5781

Re: Getting your spouse on the same page

I have been the primary manager for investing and long term planning. My spouse has left me to manage these things, not thinking of these funds as anything but "play money" - that is electronic blips that have no real meaning to our day to day lives. When our retirement accounts reached double comma...
by Not Law
Sun Jan 07, 2018 4:24 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgages, condos, insurance - escrow question
Replies: 7
Views: 375

Re: Mortgages, condos, insurance - escrow question

She is using the equity in her home as a means to live BEYOND her means. Unless you can convince her to live BELOW her means, your efforts will be futile.
by Not Law
Sat Jan 06, 2018 1:52 pm
Forum: Personal Finance (Not Investing)
Topic: Should I take this promotion?
Replies: 26
Views: 2455

Re: Should I take this promotion?

Ask the employer in advance to consider returning you to your happy place if the promotion does not work out. Give you an escape route. More than likely you will do just fine at the new level of responsibility.
by Not Law
Sat Jan 06, 2018 1:49 pm
Forum: Personal Finance (Not Investing)
Topic: Splitting Assets in Divorce
Replies: 51
Views: 6241

Re: Splitting Assets in Divorce

Consider maintaining the home for the child, with each custodial parent moving in and out of the house for parenting time. Have an apartment on the side that either of you lives in when the other is at home with the child. Makes for a more stable childhood. You must have a lawyer familiar with draft...
by Not Law
Tue Jan 02, 2018 6:36 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security at age 62 perhaps?
Replies: 57
Views: 6261

Re: Social Security at age 62 perhaps?

I plan to live forever, so the choice is 75% of PIA forever, or 132% of PIA for forever minus 8 years.
by Not Law
Tue Jan 02, 2018 6:26 pm
Forum: Personal Finance (Not Investing)
Topic: College scholarships: How much should I pencil in for my future students?
Replies: 54
Views: 3046

Re: College scholarships: How much should I pencil in for my future students?

Looking at current pricing, I am appalled. I had a full tuition scholarship when I started college in 1973. It was renewed as long as I maintained at least a 3.0 GPA. The first year's tuition was $210 per semester! Grad school began in 1977 with tuition at $750 per semester. The current tuition for ...
by Not Law
Sun Dec 31, 2017 1:41 pm
Forum: Personal Finance (Not Investing)
Topic: Creative gifting of property
Replies: 28
Views: 2507

Re: Creative gifting of property

Understand that the reason for the stepped up basis upon inheritance is that the gain is subject to the parent's estate tax. So a gift now applied to the $11 million is the same as inheriting the same. If everything adds up to more than $11m ($22m with properly drafted trusts), then the estate will ...
by Not Law
Thu Dec 28, 2017 9:02 pm
Forum: Personal Finance (Not Investing)
Topic: Absolute vs percentage saving
Replies: 21
Views: 2460

Re: Absolute vs percentage saving

It is all about what you expect to spend in retirement. At your age, your saving's rate is the best you can do, and that seems reasonable. As you get closer to retirement, you have to determine what your expected expenses are, and whether your savings can sustain them.
by Not Law
Thu Dec 28, 2017 11:00 am
Forum: Personal Finance (Not Investing)
Topic: How to financially assist DD to help continue her Obamacare
Replies: 54
Views: 4535

Re: How to financially assist DD to help continue her Obamacare

She can tax gain harvest up to the 138% of poverty level required to qualify for the ACA. When she files her taxes, this amount will be included in her MAGI even though the tax rate on the funds is 0%. I did this in 2012 and 2013 to make sure after the ACA that a sale would not push me over the cliff.
by Not Law
Wed Dec 27, 2017 4:08 pm
Forum: Personal Finance (Not Investing)
Topic: TurboTax 2017 - Medical deduction floor still at 10%
Replies: 11
Views: 852

Re: TurboTax 2017 - Medical deduction floor still at 10%

The bill was signed Friday of a long holiday weekend. I am shocked that the tax software companies have not already incorporated the entire bill into their software by now! I would certainly not rely on anything for at least a month, as there are many moving parts that need to be integrated, which t...
by Not Law
Sat Dec 16, 2017 7:15 pm
Forum: Personal Finance (Not Investing)
Topic: Tax gain harvesting
Replies: 29
Views: 3677

Re: Tax gain harvesting

In the run up to the ACA, we TGH'd about $30k in 2012 and $14k in 2013, with no federal taxes due. Prior to that from 2005 forward, we filled the 15% bracket with Roth conversions. With the ACA, Roth conversions add to MAGI, so to keep the subsidies in place, the Roth conversions have been minimal.
by Not Law
Sat Dec 16, 2017 4:25 pm
Forum: Personal Finance (Not Investing)
Topic: Can/Should early retiree avoid ACA tax credits?
Replies: 55
Views: 4582

Re: Can/Should early retiree avoid ACA tax credits?

Employers are required to pay into the unemployment insurance system and ultimately repay the benefits paid out. So a self employed individual who is allowed to take unemployment as a seasonal worker would be charged by the unemployment agency to recoup the payments.
by Not Law
Thu Dec 14, 2017 3:44 pm
Forum: Personal Finance (Not Investing)
Topic: We had a pretty successful 2017
Replies: 15
Views: 2340

Re: We had a pretty successful 2017

Withdrew $65k from retirement funds for living expenses, account balances are still $100k higher than they were on January 1st.
by Not Law
Thu Dec 14, 2017 3:38 pm
Forum: Personal Finance (Not Investing)
Topic: What is a Reasonable Retirement Cost of Living?
Replies: 47
Views: 6590

Re: What is a Reasonable Retirement Cost of Living?

What you currently spend less those costs that will be gone by the time you retire.
by Not Law
Thu Dec 14, 2017 3:15 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement Account Stolen by Identity theft
Replies: 393
Views: 69223

Re: Retirement Account Stolen by Identity theft

Transamerica was a fiduciary. It failed in its duty to protect your father's funds. Once it became satisfied that it made a mistake (father's affidavit), it made good on the account. Based on the mishandling, I would expect your father will receive a 1099R showing a taxable distribution from his IRA...
by Not Law
Sun Dec 10, 2017 4:02 pm
Forum: Personal Finance (Not Investing)
Topic: Can/Should early retiree avoid ACA tax credits?
Replies: 55
Views: 4582

Re: Can/Should early retiree avoid ACA tax credits?

I prefer the Roth conversion which gets funds totally outside the tax system. Use of those funds will not affect ACA credits down the road. I do not see an ethical issue. The tax code is what it is. You are allowed to deduct things on schedule A, regardless of your net worth. You are entitled to Soc...