Search found 190 matches

by MrDrinkingWater
Sat Nov 28, 2020 3:35 pm
Forum: Personal Finance (Not Investing)
Topic: Housing once you have considerable assets
Replies: 49
Views: 4459

Re: Housing once you have considerable assets

[quote=Jsdi7873hd post_id=5624215 time=1606535751 2. Maybe to rephrase, my question is, if your assets start to be much larger than a house purchase, but based on income the house wouldn’t be viable due to the 3x gross income rule, are there other guidelines to follow instead? E.g. if you have 3 mi...
by MrDrinkingWater
Sat Nov 28, 2020 11:34 am
Forum: Personal Finance (Not Investing)
Topic: Housing once you have considerable assets
Replies: 49
Views: 4459

Re: Housing once you have considerable assets

Hi all, <SNIP> How do bogleheads approach housing once you have considerable assets as tailwind? <SNIP> Are there bogleheads guidelines on how much to spend in such scenarios? We aren’t planning to buy a new house right now, but I could see in 10 years that we’d like to get a forever home <SNIP> I ...
by MrDrinkingWater
Fri Nov 20, 2020 9:52 pm
Forum: Personal Investments
Topic: What is your percentage of debt to NW?
Replies: 139
Views: 7408

Re: What is your percentage of debt to NW?

<SNIP> If having a mortgage, or keeping your low-rate student loans, allows you to contribute more to your 401(k) and IRA for permanent tax benefits, that is usually a good deal. <SNIP> I like this response to the OP the best. I think the OP could reformulate his question to ask what we think is th...
by MrDrinkingWater
Mon Nov 09, 2020 1:58 pm
Forum: Personal Investments
Topic: Best way to offload over $100k in defense stock
Replies: 12
Views: 1104

Re: Best way to offload over $100k in defense stock

<SNIP> You are right. The opportunity cost of waiting to see if it will recoup is too great. I will submit the form to sell it all in one entry and move on. Diversification is important to me and I don’t want to depend on a single stock for a chunk of my portfolio. Thank you all for your comments. ...
by MrDrinkingWater
Fri Oct 30, 2020 9:06 am
Forum: Personal Investments
Topic: What to do w/ consulting W2 income?
Replies: 5
Views: 394

Re: What to do w/ consulting W2 income?

I'm assuming your backdoor Roth activity is a conversion, right? If you're getting this $11K as W-2 wage income, could you do a Roth IRA contribution for yourself and a spousal Roth IRA contribution for your spouse? Split this additional W-2 wage income into two parts: $5500 for your Roth IRA accoun...
by MrDrinkingWater
Tue Oct 20, 2020 7:48 pm
Forum: Personal Investments
Topic: Take Pension Now or Defer and Continue Roth Conversions for 5 years
Replies: 31
Views: 2517

Re: Take Pension Now or Defer and Continue Roth Conversions for 5 years

I read through all the posts in this thread. You're getting a lot of good advice. Deferring taking the pension is probably the best advice for maximizing your utilitarian benefit through minimizing total income tax over your remaining lifetime by doing all those Roth Conversions. Just don't unnecess...
by MrDrinkingWater
Mon Oct 12, 2020 4:52 pm
Forum: Personal Finance (Not Investing)
Topic: Retiree Portfolio Model
Replies: 1026
Views: 323458

Re: Retiree Portfolio Model

I would suggest that first-time RPM users should not sweat having negative numbers and red text error messages for the first few hours of using and entering data into RPM. For the first-time in using RPM, don't clear all the entries on the Setup Page. Don't try to make a perfect model that exactly f...
by MrDrinkingWater
Fri Oct 02, 2020 1:56 pm
Forum: Personal Finance (Not Investing)
Topic: If you have a pension, how do you view it?
Replies: 203
Views: 14402

Re: If you have a pension, how do you view it?

The way the pension math often works is that most of a the value of a pension accrues in your last five or ten years of work so there is a lot of incentive for companies with pension plans to pay off workers when they are in their 50s. What the current value of a pension is varies greatly with the ...
by MrDrinkingWater
Thu Oct 01, 2020 12:44 pm
Forum: Personal Finance (Not Investing)
Topic: Retiring at 55 and help deciding on Pension now or delay
Replies: 29
Views: 3779

Re: Retiring at 55 and help deciding on Pension now or delay

Are you looking at your defined benefit pension plan from MegaCorp as being actuarily about $1.5 million dollars that you are deciding when to dole out to you and your spouse, per your Joint & Survivor 100% option? I think of these kinds of pension start date decisions are deciding between start...
by MrDrinkingWater
Sat Sep 26, 2020 2:03 pm
Forum: Investing - Theory, News & General
Topic: Were you nervous when you retired?
Replies: 98
Views: 10400

Re: Were you nervous when you retired?

Maybe reading a book will help. Some folks got value out of reading the book What Color Is My Parachute For Retirement? It is not really about the financial side of retirement, but about the emotional side of retirement. There are plenty of other books about the financial side, and I believe you ver...
by MrDrinkingWater
Sat Sep 26, 2020 1:45 pm
Forum: Personal Investments
Topic: Should I sell my bonds and stocks? -- Jumping tack brackets next year
Replies: 7
Views: 850

Re: Should I sell my bonds and stocks? -- Jumping tack brackets next year

I honestly didn't know there is a state-level capital gains tax... I had only been considering federal. Thanks for mentioning that, Watty! ...I'm slowly learning... There isn't for most states. But there is in CA Almost all states with an income tax also tax capital gains, because capital gains are...
by MrDrinkingWater
Thu Sep 24, 2020 2:55 pm
Forum: Personal Finance (Not Investing)
Topic: Retiree Portfolio Model
Replies: 1026
Views: 323458

Re: Retiree Portfolio Model

<SNIP> I think the difference is that in your model, if taxable account balances go negative, that means an error. In my model, I allow dipping into the Roth account to cover annual expenses and only flag an error if both taxable and roth accounts cannot cover annual expenses. <SNIP> Any thoughts o...
by MrDrinkingWater
Sun Sep 20, 2020 2:48 pm
Forum: Personal Finance (Not Investing)
Topic: Answering Survey Questions Regarding Income
Replies: 16
Views: 1208

Re: Answering Survey Questions Regarding Income

Of the following, which would you include? Social Security Benefits Pension Income Annuity income Required minimum distributions IRA withdrawals not subject to RMDs that you use to cover expenses each year Income from taxable accounts that you spend each year. I'm retired and personally would only ...
by MrDrinkingWater
Sat Sep 19, 2020 4:18 pm
Forum: Personal Consumer Issues
Topic: Is Costco worth the $120 membership?
Replies: 267
Views: 19670

Re: Is Costco worth the $120 membership?

I think Costco is worth it. I estimate I'd easily be spending 25% to 30% more for groceries at conventional grocery stores. I will also say that my experience at nearly all the conventional grocery stores in the past decade or more has been fairly negative, especially in respect to how slow the chec...
by MrDrinkingWater
Tue Sep 15, 2020 2:11 pm
Forum: Personal Investments
Topic: Covert non-deductible IRA to Roth
Replies: 7
Views: 387

Re: Covert non-deductible IRA to Roth

Did you use tax-preparation software last year? If you did, maybe you can try running a test case (using your Tax Year 2019 software) of doing a conversion of that traditional IRA with the non-deductible contributions to a ROTH IRA. You can figure out what numbers go into which fields on the questio...
by MrDrinkingWater
Sun Sep 06, 2020 12:46 pm
Forum: Personal Finance (Not Investing)
Topic: Buying vs. Renting Principles
Replies: 206
Views: 14134

Re: Buying vs. Renting Principles (Sticky Thread Request)

I like what you are trying to consolidate together in one spot, geerhardusvos. As many threads on Bogleheads have detailed out, the decisions to buy or rent are complicated. As you point out, there are other resources and websites out there that have captured many aspects of the buy vs rent decision...
by MrDrinkingWater
Sat Sep 05, 2020 12:31 pm
Forum: Personal Finance (Not Investing)
Topic: Declined 2 opportunities for advancement. Should I be trying to climb the corporate ladder or is being content okay?
Replies: 65
Views: 6188

Re: Declined 2 opportunities for advancement. Should I be trying to climb the corporate ladder or is being content okay?

The low bump up in salary could reflect two different things: Either (1) the company does not place a premium on folks moving into a supervisor role and the lowest rung of coded management role, or (2) you are in the uppermost or second-uppermost quartile of compensation in your technical role. Ther...
by MrDrinkingWater
Fri Sep 04, 2020 11:58 am
Forum: Investing - Theory, News & General
Topic: Need Help Breaking Through a Mental Accounting Block
Replies: 25
Views: 1959

Re: Need Help Breaking Through a Mental Accounting Block

I get that this is all a giant exercise in mental accounting I had this inspiration reading your post: instead of mental accounting, why don't you double-down and try actuarial accounting? I think this goes by Liability Matching? For each of your savings goals, make a separate brokerage/retirement ...
by MrDrinkingWater
Fri Sep 04, 2020 9:41 am
Forum: Personal Investments
Topic: Bond anxiety
Replies: 53
Views: 5200

Re: Bond anxiety

I am 69 years old and refuse to invest in bonds. I know the logic is when the market crashes, the bonds will level out your returns so you are not tempted to make any hasty decisions and weather the storm. However, my logic is even when the market crashes it usually comes back stronger and the tota...
by MrDrinkingWater
Thu Aug 27, 2020 6:56 pm
Forum: Personal Consumer Issues
Topic: How to Send Email Message to Mobile Phone Number?
Replies: 25
Views: 2286

Re: How to Send Email Message to Mobile Phone Number?

Some older members of Bogleheads may recall that some cellular phone providers did provide email services in the way that you have described, ninedigitnumber@cellularphonesprovider.com, but I believe most cellular phone providers got out of that business being an email domain for their customers at...
by MrDrinkingWater
Tue Aug 25, 2020 12:29 pm
Forum: Investing - Theory, News & General
Topic: Variable Percentage Withdrawal (VPW)
Replies: 1093
Views: 357514

Re: Variable Percentage Withdrawal (VPW)

In the VPW forward test thread, forum members Azanon and Hitchcock_Fan made an improvement suggestion for the VPW Accumulation and Retirement Worksheet: Finally got a chance to play with the "new" VWP- Accumulationo-and-retirement-worksheet. I have a wishlist item for the accumulation and...
by MrDrinkingWater
Fri Aug 21, 2020 4:54 pm
Forum: Personal Consumer Issues
Topic: How to Send Email Message to Mobile Phone Number?
Replies: 25
Views: 2286

Re: How to Send Email Message to Mobile Phone Number?

Some older members of Bogleheads may recall that some cellular phone providers did provide email services in the way that you have described, ninedigitnumber@cellularphonesprovider.com, but I believe most cellular phone providers got out of that business being an email domain for their customers at ...
by MrDrinkingWater
Wed Aug 19, 2020 11:28 pm
Forum: Personal Investments
Topic: Please review my de-risking/cash-out plan
Replies: 111
Views: 5560

Re: Please review my de-risking/cash-out plan

KlangFool, I think I understand what you are trying to do: You would like to build a bigger cash cushion and you don't mind removing investable dollars from an ever-increasing stock portfolio to do that. I think your plan is okay to achieve that goal, if the returns of the entire stock market, as a ...
by MrDrinkingWater
Sun Aug 02, 2020 8:43 pm
Forum: Investing - Theory, News & General
Topic: Do financial advisors, themselves, use financial advisors?
Replies: 15
Views: 1510

Re: Do financial advisors, themselves, use financial advisors?

I'd suggest that a financial advisor without any expertise in one area might very well make use of another financial advisor with expertise in that exact area of finance. For example, an advisor who has great expertise on debt reduction strategy, but no expertise at selecting bond funds, and who wan...
by MrDrinkingWater
Wed Jul 01, 2020 3:38 pm
Forum: Investing - Theory, News & General
Topic: How to analyze having a paid-off mortgage in retirement?
Replies: 104
Views: 6632

Re: How to analyze having a paid-off mortgage in retirement?

It's pretty common to have a goal of paying off your mortgage by retirement. But why? Obviously it reduces your expenses, but it also reduces the size of your nest egg. It's possible that it's better financially to have the larger nest egg. How would you determine which alternative is better? How w...
by MrDrinkingWater
Mon Jun 29, 2020 8:41 pm
Forum: Investing - Theory, News & General
Topic: Asymmetric risk in the Roth vs Traditional question
Replies: 306
Views: 14725

Re: Asymmetric risk in the Roth vs Traditional question

Is there not a viable argument that the Roth reliably reduces risks in virtually every case where contributors/converters are married with children, such that the marginal tax rate forecast becomes the most unreliable aspect of the prediction? In contrast to predicting future marginal tax rates (wh...
by MrDrinkingWater
Wed Jun 17, 2020 11:57 am
Forum: Investing - Theory, News & General
Topic: Is Stock Market becoming Casino ?
Replies: 42
Views: 3849

Re: Is Stock Market becoming Casino ?

johnpau wrote: Tue Jun 16, 2020 10:40 am With past few months volatility and stock market seems detached with real economy wondering
if the Stock Market is becoming Casino ?
No, the stock market is an opportunity to invest in companies and build wealth.
by MrDrinkingWater
Tue Jun 16, 2020 9:48 pm
Forum: Personal Finance (Not Investing)
Topic: Would you rent your house to a famous athlete?
Replies: 104
Views: 8215

Re: Would you rent your house to a famous athlete?

<SNIP> Would you rent it to them? If so, what provisions would you include in the contract to safeguard your property? Thanks. It sounds as if this is your primary residence and you would prefer to sell it. Were you planning to move to somewhere nearby or faraway? This might influence whether renti...
by MrDrinkingWater
Sun Jun 14, 2020 9:22 am
Forum: Personal Consumer Issues
Topic: OBD2 scanner?
Replies: 28
Views: 1759

Re: OBD2 scanner?

I bought what is probably considered a lower-end model of the standalone OBD2 monitors available. I didn't want to fool with model that connects through Bluetooth to a smartphone and has the software that points you to the stores with the parts you need to buy to fix your car by yourself. The lower-...
by MrDrinkingWater
Fri Jun 12, 2020 9:58 am
Forum: Personal Finance (Not Investing)
Topic: Crazy Times: Should Digital Nomads Live in Their Rental House or Carry On?
Replies: 15
Views: 1668

Re: Crazy Times: Should Digital Nomads Live in Their Rental House or Carry On?

While living night-to-night at various Air BnB locations, are you still saving at least 10% of your annual income? The answer to that question might give you a large part of the answer that you are seeking in regard to continuing with what you are doing or relocating to Birmingham for a while. It al...
by MrDrinkingWater
Fri May 29, 2020 3:24 pm
Forum: Investing - Theory, News & General
Topic: Can you recommend a book for a non-investor? Jill Schlesinger?
Replies: 7
Views: 480

Re: Can you recommend a book for a non-investor? Jill Schlesinger?

May I suggest How to Make Your Money Last , The Indispensable Retirement Guide , by Jane Bryant Quinn? I thought it was quite good. Reaching back a few years, they might find Making The Most of Your Money Now , also by Jane Bryant Quinn, to be a very good read. You didn't say how old your relatives ...
by MrDrinkingWater
Wed May 27, 2020 11:40 am
Forum: Personal Consumer Issues
Topic: How can I use 6 weeks of vacation in the next 6 months in the Covid era?
Replies: 37
Views: 3467

Re: How can I use 6 weeks of vacation in the next 6 months in the Covid era?

No one has said this, so I will. Be sure to coordinate taking your accrued vacation with your supervisor or manager. He or she may not be paying attention to what your personal situation is (in regard to using up your vacation and not losing your vacation.) A lot of managers can figure out how to ha...
by MrDrinkingWater
Wed May 20, 2020 3:03 pm
Forum: Personal Consumer Issues
Topic: Buying tires for 2017 Subaru Outback
Replies: 29
Views: 1902

Re: Buying tires for 2017 Subaru Outback

I know a 2016 Subaru Outback owner. She bought Cooper brand tires at America's Tire / Discount Tire. She's very happy with the tires. If your tire guy doesn't have the Cooper tires in stock, check to see if he can get them delivered in the next delivery he gets. Each store will have a slightly diffe...
by MrDrinkingWater
Wed May 06, 2020 8:40 pm
Forum: Personal Finance (Not Investing)
Topic: sending a fax to IRS (w/o a fax machine!)
Replies: 10
Views: 885

Re: sending a fax to IRS (w/o a fax machine!)

Just for completeness, I'll cover the last way you might be able to do this at home. Are you still using that old WinXP PC with that 56K fax/modem card as a doorstop in your computer and hobby room? Come on, be honest. You'll have to scan your document (with your scanner/printer) to a PDF and put th...
by MrDrinkingWater
Thu Apr 30, 2020 10:43 am
Forum: Personal Consumer Issues
Topic: 20 AMP Plugs
Replies: 31
Views: 2174

Re: 20 AMP Plugs

I was confused a little the other day, so I looked at a NEMA chart that had all the different receptacles. For example, NEMA 5-15 is what you see in most rooms of an apartment or house for 125 Volt 15 Amp service. In some rooms within some homes, you will see a NEMA 5-20 T-Slot, which is a 125 Volt ...
by MrDrinkingWater
Sat Apr 25, 2020 9:04 pm
Forum: Personal Investments
Topic: Preparing for the storm ahead.
Replies: 59
Views: 6662

Re: Preparing for the storm ahead.

I did not see the OP mention whether or not he would receive a Severance Plan payout as part of the possible furlough. I've not seen anyone else above this entry into the thread ask if the OP would receive a Severance Plan payout from his employer. So, I'll ask: What kind of severance pay will you g...
by MrDrinkingWater
Wed Apr 22, 2020 10:12 am
Forum: Investing - Theory, News & General
Topic: Variable Percentage Withdrawal (VPW)
Replies: 1093
Views: 357514

Re: Variable Percentage Withdrawal (VPW)

When I read member ososnilknarf's question, I read it this way: At age 65, he does not want to replace $2200/month of allowable spending on a mortgage with $2200/month of spending on other things. If we assume that he is currently spending at his highest highest allowed VPW-calculated withdrawal rat...
by MrDrinkingWater
Tue Apr 21, 2020 4:32 pm
Forum: Personal Consumer Issues
Topic: If you had to buy one new car which of these three would you buy Corolla, Camry or Prius? You only have these three to
Replies: 131
Views: 6647

Re: If you had to buy one new car which of these three would you buy Corolla, Camry or Prius? You only have these three

If you had to buy one new car which of these three would you buy Corolla, Camry or Prius? You only have these three to choose from. I am thinking about buying a new car and would like you feed back on these three cars. You can't really go wrong with selecting a Camry. I hope you will test drive all...
by MrDrinkingWater
Sat Apr 18, 2020 9:53 pm
Forum: Personal Finance (Not Investing)
Topic: Parent is working grueling job, considering retiring just a few years before pension. How else can I help her decide?
Replies: 91
Views: 7830

Re: Parent is working grueling job, considering retiring just a few years before pension. How else can I help her decide

<SNIP> .. I think the night shifts aren't great for old folks. <SNIP> I read through your message and this thread. There's a lot of great advice being given. I have to agree that working night shift is hard for nearly everyone, except for those who love the night shift. Is there any policy statemen...
by MrDrinkingWater
Sun Apr 12, 2020 9:46 am
Forum: Investing - Theory, News & General
Topic: Does anybody have an IPS that says 'I will sell all equities when X happens'?
Replies: 92
Views: 4175

Re: Does anybody have an IPS that says 'I will sell all equities when X happens'?

I don't have such a line in my IPS. I suppose someone could simplistically have a general rule in their IPS that says this: Bond % = current age, Stock % = 100 - current age. Then, he or she could add in a IF-THEN-ELSE statement with a rule that says f they live to be 100 or more years of age, that ...
by MrDrinkingWater
Thu Apr 02, 2020 2:54 pm
Forum: Investing - Theory, News & General
Topic: Is Bogleheads suffering a derivatives epidemic?
Replies: 40
Views: 3360

Re: Is Bogleheads suffering a derivatives epidemic?

I think we may have a lot of new members who like that we have adult conversations here in this forum. Our great moderators enforce the rules of the road with skill.

This is a safe community where members reveal what they want to do, what they are doing, and they ask questions and learn.
by MrDrinkingWater
Sat Mar 28, 2020 9:51 am
Forum: Personal Finance (Not Investing)
Topic: High school money topics
Replies: 23
Views: 1253

Re: High school money topics

I've heard from many that their fathers just laid their paystubs on the kitchen table for their children to see and ask questions about? What's gross pay? What's net pay? What are all those deductions in between those two numbers? In this modern era of electronic deposits, you may have to print out ...
by MrDrinkingWater
Sat Mar 28, 2020 9:15 am
Forum: Personal Investments
Topic: Tide went out and I was naked
Replies: 28
Views: 5517

Re: Tide went out and I was naked

Before selecting individual bond types and individual bond funds, you should consider what your marginal income tax rates are, both federal and state. What is your Federal marginal income tax rate? What's your State marginal income tax rate? Those answers will guide you to which bonds or bond funds ...
by MrDrinkingWater
Thu Mar 26, 2020 1:05 pm
Forum: Personal Investments
Topic: What does it mean to have X years of expenses in cash/fixed-income?
Replies: 54
Views: 2502

Re: What does it mean to have X years of expenses in cash/fixed-income?

I think many members do a mental accounting that provides a very lengthy delay before rebalancing back to their desired Asset Allocation (AA) by holding off selling stocks until after they have determined that a market correction has completed. Perhaps it is very hard for them to write down their ex...
by MrDrinkingWater
Mon Mar 23, 2020 3:38 pm
Forum: Personal Finance (Not Investing)
Topic: Roth Conversion / Private Letter Ruling
Replies: 48
Views: 4616

Re: Roth Conversion / Private Letter Ruling

<SNIP> I will have to file for Social Security three years earlier than planned, and my Medicare premiums will go up three-fold. ... now I am in the 12% tax bracket. This trade puts me in the 32% tax bracket. <SNIP> I am sorry this has happened. But as you move forward, please seek advice so that t...
by MrDrinkingWater
Sun Mar 22, 2020 12:57 pm
Forum: Personal Finance (Not Investing)
Topic: Pay fed tax now - or July 15?
Replies: 47
Views: 4366

Re: Pay fed tax now - or July 15?

To prevent identity theft and refund fraud, I think filing now and paying later on July 15th makes a lot of sense. I know the probability of identity theft and refund fraud is very low.
by MrDrinkingWater
Wed Mar 18, 2020 3:46 pm
Forum: Personal Consumer Issues
Topic: What Happens To Your Battery When Your Car Is Parked For Weeks?
Replies: 90
Views: 5000

Re: What Happens To Your Battery When Your Car Is Parked For Weeks?

Good safety precautions shared above in regard to working safely under the hood. We drive our little-used vehicle for a scenic drive to a far enough away restaurant we like. Probably 22 miles round trip. I have often heard that driving at freeway or highway speeds (greater than 50 MPH) creates more ...
by MrDrinkingWater
Mon Mar 16, 2020 10:48 pm
Forum: Personal Investments
Topic: Is this blog actually worthwhile
Replies: 32
Views: 3189

Re: Is this blog actually worthwhile

<SNIP> Before I withdraw from Bogleheads.org and Vanguard, please tell me why I am wrong. Thank you Please follow the advice from member pkcrafter, and others who have posted similar advice above. <SNIP> I suspect that many members stay the course but don't post about it. <SNIP> I believe there are...
by MrDrinkingWater
Sat Mar 07, 2020 9:42 pm
Forum: Personal Finance (Not Investing)
Topic: Choosing a university/college for my son a future Computer Science Major
Replies: 131
Views: 11215

Re: Choosing a university/college for my son a future Computer Science Major

If your son can get into University of Illinois, Champaign-Urbana, that would be the best financial deal, and likely close to home. I think the ideal college experience for many students is for the student to be at a university that is 90 to 120 miles from the student's hometown, but only if the stu...
by MrDrinkingWater
Tue Mar 03, 2020 8:08 pm
Forum: Personal Finance (Not Investing)
Topic: TurboTax - Marginal Tax Rate, anybody do this?
Replies: 8
Views: 912

Re: TurboTax - Marginal Tax Rate, anybody do this?

Check your "Qualified Dividends and Capital Gain Tax Worksheet." If Line 7 is greater than $168,400.00, then I would say that you really are in the 24% bracket. When I read through this thread, I was thinking you might be looking at the "Tax History Report". If your ordinary inco...