Search found 334 matches

by EdLaFave
Tue Nov 27, 2018 10:54 am
Forum: Investing - Help with Personal Investments
Topic: Avoiding wash sale
Replies: 27
Views: 1706

Re: Avoiding wash sale

It is also worth mentioning that if you received a dividend on shares and then sell then too soon (60-ish days, google for the exact duration) then even the qualified portion of the distribution will now be considered unqualified (i.e. higher taxes).

So the wash sale isn’t the only consideration.
by EdLaFave
Sun Nov 25, 2018 1:46 pm
Forum: Investing - Help with Personal Investments
Topic: Avoiding wash sale
Replies: 27
Views: 1706

Re: Avoiding wash sale

The IRS has explicitly said you can trigger a wash sale with IRA and taxable transactions. They haven’t explicitly said anything about accounts outside of taxable and IRA accounts. In my opinion... If the spirit of the wash sale rule is blindly applied then I see no reason it wouldn’t apply to every...
by EdLaFave
Tue Oct 23, 2018 9:20 pm
Forum: Investing - Help with Personal Investments
Topic: Avoiding excess HSA contributions.
Replies: 21
Views: 2145

Re: Avoiding excess HSA contributions.

contributions made to your HSA that wouldn’t have been made except for the last-month rule are not considered excess contributions . If you were to incorrectly remove those as excess contributions you would have a bigger problem. They would be considered non-qualified distributions subject to a 20%...
by EdLaFave
Sun Oct 21, 2018 2:44 am
Forum: Investing - Help with Personal Investments
Topic: Avoiding excess HSA contributions.
Replies: 21
Views: 2145

Re: Avoiding excess HSA contributions.

Gryphon, doing that in combination with pro-rating the employer contribution would seemingly prevent tax issues, but that doesn’t seem to be an option for me. JustinR, I agree. Perhaps they didn’t want to penalize or complicate life for people like me who become HSA eligible at the end of the year a...
by EdLaFave
Sun Oct 21, 2018 1:04 am
Forum: Investing - Help with Personal Investments
Topic: Avoiding excess HSA contributions.
Replies: 21
Views: 2145

Re: Avoiding excess HSA contributions.

It might be the case that COBRA and an HDHP plan would be more expensive than the health plans I’m likely to have access to when my employment at this new company is terminated. The difference may be significant enough that it might be worth paying the extra the taxes/fees associated with excess con...
by EdLaFave
Sat Oct 20, 2018 11:23 pm
Forum: Investing - Help with Personal Investments
Topic: Avoiding excess HSA contributions.
Replies: 21
Views: 2145

Avoiding excess HSA contributions.

Background information 1) I'm about to start a new job where I'll have an individual HDHP and an HSA. 2) I'll be paid once every two weeks. 3) The company contributes $1,500/year to the HSA (once right when I'm hired and then every January thereafter). I plan to contribute another $1,950/year to hi...
by EdLaFave
Fri Oct 12, 2018 2:33 pm
Forum: Investing - Help with Personal Investments
Topic: Higher fee index fund or lower fee actively managed fund for 403(b)
Replies: 9
Views: 684

Re: Higher fee index fund or lower fee actively managed fund for 403(b)

One of our vendors is a local credit union and among their options is Vanguard Index Total Stock Market. The combined expense ratio + mgmt/admin fees is 0.94% The other vendor is American Century Investments. I feel like I could probably choose the Government Bond Fund at a 0.47% expense ratio 1) I...
by EdLaFave
Tue Oct 09, 2018 10:39 pm
Forum: Investing - Help with Personal Investments
Topic: Helping girlfriend (full-time teacher) with retirement options: 401k, 403b, 457?
Replies: 15
Views: 1638

Re: Helping girlfriend (full-time teacher) with retirement options: 401k, 403b, 457?

My current impression is that the 403b should be completely avoided unless she is able to max out the 401k/457 and IRA. I felt very suspicious of her 403b when I realized a salesguy was involved. Your instinct about the exploitative 403b/457b sales reps is 100% accurate, actually you may even be un...
by EdLaFave
Fri Oct 05, 2018 7:10 pm
Forum: Investing - Help with Personal Investments
Topic: Security benefits: nea directinvest issues
Replies: 3
Views: 242

Re: Security benefits: nea directinvest issues

I enrolled in Security Benefit's NEA DirectInvest and it absolutely does not involve an adviser. I documented the plan here . I documented the issues we had enrolling, which you're currently experiencing, here . I documented all of the paper work we had to go through to enroll here . Stream of consc...
by EdLaFave
Tue Sep 25, 2018 7:57 pm
Forum: Investing - Help with Personal Investments
Topic: Non-spousal Inherited IRA
Replies: 18
Views: 1449

Re: Non-spousal Inherited IRA

The money can be moved to a new account, it just needs to be in her name only. She can't co-mingle these funds with other spousal funds. I personally have a prenuptial agreement and totally separate finances from my wife, so this is a foreign topic to me. What exactly constitutes being in her name ...
by EdLaFave
Tue Sep 25, 2018 4:20 pm
Forum: Investing - Help with Personal Investments
Topic: Non-spousal Inherited IRA
Replies: 18
Views: 1449

Re: Non-spousal Inherited IRA

Thank you everybody for the responses, keep them coming if something wasn't covered. Option #1 doesn't prevent you from withdrawing over 5 years or even all at once. You have to take minimum distributions but can take as much as you want. I don't see any downside to choosing that route. Vanguard at ...
by EdLaFave
Tue Sep 25, 2018 11:41 am
Forum: Investing - Help with Personal Investments
Topic: Non-spousal Inherited IRA
Replies: 18
Views: 1449

Non-spousal Inherited IRA

My mother died at 58 years old and left my sister as the beneficiary of a roughly 50k IRA. I'm trying to help my sister figure out how to best proceed and I'd appreciate guidance. It looks like my sister has two choices: 1. My sister can "stretch" the IRA distributions over her lifetime and begin ta...
by EdLaFave
Mon Sep 24, 2018 1:09 pm
Forum: Personal Finance (Not Investing)
Topic: Mom died, financial guidance welcome.
Replies: 21
Views: 3286

Re: Mom died, financial guidance welcome.

Thanks for the responses so far. Unfortunately, I have very little information. My sister dug through mail at my moms house. It appears that after the financial collapse my mom did some kind of refinancing/restructuring of her debt, perhaps through a government program of some kind. My sister believ...
by EdLaFave
Sat Sep 22, 2018 3:44 pm
Forum: Investing - Help with Personal Investments
Topic: New to Investing, I feel lost
Replies: 43
Views: 2100

Re: New to Investing, I feel lost

I work with a university system, and the list of vendors includes: Fidelity Investments Voya Financial Lincoln Financial Group TIAA VALIC I am thinking about using Fidelity Fidelity is great. I documented their plan here . But the question still remains, do you also have access to a 457b? If so the...
by EdLaFave
Sat Sep 22, 2018 11:45 am
Forum: Investing - Help with Personal Investments
Topic: New to Investing, I feel lost
Replies: 43
Views: 2100

Re: New to Investing, I feel lost

I'd like to know how you survive on so little. I'm a bit of a minimalist, but that doesn't seem possible when rent for a 1 bedroom in my city is 13k. If you're still in the reading phase you may want to check on this Investing 101 page . It covers the fundamentals nicely. If you have a 403b, list th...
by EdLaFave
Wed Sep 19, 2018 4:49 pm
Forum: Investing - Help with Personal Investments
Topic: Asset Location - 403b + Roths
Replies: 4
Views: 568

Re: Asset Location - 403b + Roths

Are you essentially asking if it is better to hold stocks in a Roth retirement account and bonds in a Traditional retirement account? If so, then yes. It makes mathematical sense to put the asset class with the highest expected return into the account that won't require you to pay taxes because if e...
by EdLaFave
Fri Sep 14, 2018 11:00 am
Forum: Investing - Help with Personal Investments
Topic: How to overcome regrets/fears?
Replies: 15
Views: 1556

Re: How to overcome regrets/fears?

I think it is statistically likely that your commitment to Roth accounts is sub-optimal. I apologize for being blunt, but I believe the way you currently think about investing is dangerous. You seem to believe that you can read the news, make predictions about the market, and adjust your portfolio t...
by EdLaFave
Wed Sep 12, 2018 7:53 am
Forum: Investing - Help with Personal Investments
Topic: Avoid unqualified dividends by selling a lot too quickly when TLH.
Replies: 7
Views: 1343

Re: Avoid unqualified dividends by selling a lot too quickly when TLH.

Whether a dividend distribution of a mutual fund is qualified or nonqualified has nothing to do with when you buy/sell; it has to do with the buying/selling of underlying securities by the fund...(You’re worrying about nothing.) I believe you are wrong. Among other sources, the boglehead wiki state...
by EdLaFave
Tue Sep 11, 2018 9:54 pm
Forum: Investing - Help with Personal Investments
Topic: Avoid unqualified dividends by selling a lot too quickly when TLH.
Replies: 7
Views: 1343

Re: Avoid unqualified dividends by selling a lot too quickly when TLH.

As long as 9/13 is before the record date for Q3 dividends, you should be ok, but I would only sell if I could sell at a loss. Thanks House Blend. This Vanguard page lists the upcoming dividend schedule and uses the term declaration date. This Vanguard page lists historical dividend dates and uses ...
by EdLaFave
Tue Sep 11, 2018 3:08 pm
Forum: Personal Finance (Not Investing)
Topic: Mom died, financial guidance welcome.
Replies: 21
Views: 3286

Re: Mom died, financial guidance welcome.

Thanks. I don't believe there was a will (details are unclear) and she lived in Florida.
by EdLaFave
Tue Sep 11, 2018 3:01 pm
Forum: Personal Finance (Not Investing)
Topic: Mom died, financial guidance welcome.
Replies: 21
Views: 3286

Mom died, financial guidance welcome.

I'm just digging into this topic so any guidance is welcome. I don't know what I don't know, so feel free to answer questions I don't even know to ask. I believe the following may represent the entire picture: 1. Small amount in an IRA (my sister was the beneficiary). 2. Life insurance policy from e...
by EdLaFave
Thu Sep 06, 2018 10:53 am
Forum: Investing - Help with Personal Investments
Topic: 457?
Replies: 16
Views: 1169

Re: 457?

The T. Rowe Price website does have the expense ratio listed as 0.74% so the link may be outdated but definitely a great reference. You're probably looking at the T. Rowe Price Retirement 2060 Fund , which I think is different than the T. Rowe Price Retirement 2060 Trust, which is what is available...
by EdLaFave
Thu Sep 06, 2018 10:07 am
Forum: Investing - Help with Personal Investments
Topic: 457?
Replies: 16
Views: 1169

Re: 457?

The expense ratios of the funds can be found towards the bottom of this document . At least I think that is accurate/current. My understanding is that the T Rowe Price Target Date funds cost 0.38%, not 0.74%. The Wellington fund is 0.16%. I personally wouldn't pay an extra 0.22% for the target date ...
by EdLaFave
Wed Sep 05, 2018 8:03 pm
Forum: Investing - Help with Personal Investments
Topic: Need some guidance on 401k, 403b, 457b
Replies: 6
Views: 620

Re: Need some guidance on 401k, 403b, 457b

I'd like to second everything Krow said. I also believe sjt is right about having to split the $18,500 limit between the 401k and 403b...but that doesn't impact the 457b, which you can also put $18,500 into. I documented Security Benefit's NEA DirectInvest plan here . I documented the steps I went t...
by EdLaFave
Wed Aug 29, 2018 8:36 pm
Forum: Investing - Help with Personal Investments
Topic: 457(b) error
Replies: 7
Views: 831

Re: 457(b) error

I won't comment on any kind of "recourse". It isn't clear how many months you've gone without contributing to the 457b when you were eligible to make contributions. However, you have 4 months left in the year and if it were me, I'd set my 457b contribution rate such that by the end of the year I wil...
by EdLaFave
Sun Aug 26, 2018 8:07 pm
Forum: Investing - Help with Personal Investments
Topic: Reallocating my 403b - Advice welcome!
Replies: 16
Views: 851

Re: Reallocating my 403b - Advice welcome!

I’ve never done a 403b rollover, but I don’t see why you couldn’t. If you roll it into an NEA DirectInvest account it’ll get you that much closer to them dropping the $35/year fee, which they do for account balances over $50,000.

Best of luck to you!
by EdLaFave
Sun Aug 26, 2018 7:46 pm
Forum: Investing - Help with Personal Investments
Topic: Reallocating my 403b - Advice welcome!
Replies: 16
Views: 851

Re: Reallocating my 403b - Advice welcome!

As far as I know Security Benefit always makes NEA DirectInvest available everywhere they offer a 403b. However, they do their best to hide it. When I was enrolling I talked to a multitude of Seceuity Benefit employees. Most of them didn’t acknowledge the existence of NEA DirectInvest and those who ...
by EdLaFave
Sun Aug 26, 2018 7:27 pm
Forum: Investing - Help with Personal Investments
Topic: Reallocating my 403b - Advice welcome!
Replies: 16
Views: 851

Re: Reallocating my 403b - Advice welcome!

You can post all of the fees for Voya and Valic, but I am skeptical that they don’t have unacceptable fees. SecurityBenefit has something called NEA DirectInvest which is an elite 403b plan that allows you to build a Vanguard 3 fund portfolio at very low cost. I documented that plan here . I documen...
by EdLaFave
Sun Aug 26, 2018 3:18 pm
Forum: Investing - Help with Personal Investments
Topic: Reallocating my 403b - Advice welcome!
Replies: 16
Views: 851

Re: Reallocating my 403b - Advice welcome!

The summation of all of your accounts should meet your desired asset allocation. It would be a mistake to make one account aggressive merely because you have other accounts. However if one account had cheap stock funds and expensive bond funds while another account had the opposite then it would be ...
by EdLaFave
Wed Aug 22, 2018 11:24 am
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

You are still breaking Florida State law if you/spouse aren't mentally incapacitated or your marriage isn't "irretrievably broken". You will need to specify what your grounds for divorce are in the state of Florida and "financial gain" isn't one of the choices...You are actually breaking board poli...
by EdLaFave
Wed Aug 22, 2018 10:31 am
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

You can save $1500 in a multitude of ways that are orders of magnitude simpler than getting a divorce. This isn't an either/or proposition. The fact that I can and have saved money by continuing to drive my car for almost two decades now has no bearing on the unrelated tax consequences of marriage.
by EdLaFave
Wed Aug 22, 2018 10:28 am
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

you may not be able to accomplish the divorce without perjuring yourself. Obviously, I don't know what state you are in and the laws vary but as a general matter you are supposed to live separate and apart during the divorce process in many states. While several states permit you to still live in t...
by EdLaFave
Wed Aug 22, 2018 8:50 am
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

Getting divorced to save $1500 in taxes every year seems like a pretty textbook definition of cutting off your nose to spite your face. This is one of those penny wise, pound foolish moves. Who planted this bad seed in your heads? Getting divorced for about $1.5k per year. Really? Hardly worth a re...
by EdLaFave
Wed Aug 22, 2018 8:38 am
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

Irelavent if you publicly state your sole intention of disolving the marriage os for financial gain. I find it surprising and quite interesting that a couple would be forced to remain married if they mutually no longer wished to continue on under the terms of the contract. I had this vague notion t...
by EdLaFave
Wed Aug 22, 2018 8:12 am
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

Divorcing for the specific purpose of financial gain with anything such as taxes, SS and medical status woudl be fraud and woudl be looked upon as theft. If true, that's interesting. What if one were to file for divorce because they no longer, or never did, believe in the legal institution of marri...
by EdLaFave
Tue Aug 21, 2018 8:48 pm
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

Why did you marry in the first place? There once was a marriage penalty. It’s much cheaper to stay single than marry and later divorce. Gill First of all, neither of us knew about the marriage penalty until we filled taxes jointly for the first time. That was a nice surprise. I think we ultimately ...
by EdLaFave
Tue Aug 21, 2018 8:34 pm
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

I can’t believe you were considering divorce to just save a thousand bucks It’s fine that some folks on this thread have an emotional attachment to legal marriage. I personally don’t want the government involved in my personal relationships and I certainly don’t like a legal contract that hurts me ...
by EdLaFave
Tue Aug 21, 2018 8:16 pm
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

Gill wrote:
Tue Aug 21, 2018 8:14 pm
I’m speechless.
lol and why is that?
by EdLaFave
Tue Aug 21, 2018 8:10 pm
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

You say four digits more in tax. Is this $9,999 or less? Seems like small potatoes to consider a divorce. It is very low 4 digits. I don't have the figure in front of me, but it might have been around 1.5k last year. Either way, it is enough for us to prefer having the money in our pockets. There i...
by EdLaFave
Tue Aug 21, 2018 7:55 pm
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Re: Is divorce a wise financial move?

We're in the 22% bracket. We're each on the health insurance plan offered by our respective employers...neither plan charges more for singles vs couples. I'm not sure we're getting a break on auto insurance since we've maintained the individual policies that we had before getting married. I'll have ...
by EdLaFave
Tue Aug 21, 2018 7:44 pm
Forum: Personal Finance (Not Investing)
Topic: Is divorce a wise financial move?
Replies: 90
Views: 5143

Is divorce a wise financial move?

We are considering divorcing strictly for financial benefit and not because of a change in our personal relationship. Frankly, we’re tired of paying four digits more in tax every year just to be married. We know the perk we’re after, but we’re just now beginning to look into the potential cons of a ...
by EdLaFave
Tue Aug 14, 2018 1:27 pm
Forum: Investing - Help with Personal Investments
Topic: Funding 403(b) as Wife Starts Full-time Teaching Career
Replies: 10
Views: 831

Re: Funding 403(b) as Wife Starts Full-time Teaching Career

Think of your portfolio as the summation of all accounts. Yes, use the 403b account. Look into whether there is a 457b account available and use it if it is reasonable enough. I'd either build a 3-fund portfolio using: Vanguard Total Intl Stock Index Institutional VTSNX 0.09 Vanguard Institutional I...
by EdLaFave
Mon Aug 13, 2018 6:49 pm
Forum: Investing - Help with Personal Investments
Topic: Avoid unqualified dividends by selling a lot too quickly when TLH.
Replies: 7
Views: 1343

Re: Avoid unqualified dividends by selling a lot too quickly when TLH.

Turn off dividend reinvestment in both your old fund and the new fund. Take dividends in cash. There will be no issue about qualified/unqualified. From experience, don't count on being able to do a round trip back into your original fund unless you're indifferent to paying ST capital gains. You hav...
by EdLaFave
Mon Aug 13, 2018 10:30 am
Forum: Investing - Help with Personal Investments
Topic: Avoid unqualified dividends by selling a lot too quickly when TLH.
Replies: 7
Views: 1343

Avoid unqualified dividends by selling a lot too quickly when TLH.

I'd like some help understanding exactly how to calculate important dates associated with Tax Loss Harvesting and avoiding unqualified dividends in the process. Suppose the following: 1. You were planning to Tax Loss Harvest by placing an order to exchange an old Vanguard mutual fund for a new one b...
by EdLaFave
Wed Aug 08, 2018 10:48 am
Forum: Investing - Help with Personal Investments
Topic: Tax-deductible 403b vs. taxable Vanguard ETF
Replies: 26
Views: 1398

Re: Tax-deductible 403b vs. taxable Vanguard ETF

niceguy, speaking as somebody who has tried to reform this industry, I just wanted to throw in my two cents. This exploitation ultimately persists because teachers don't do anything about it. You can argue "why" that is, but the end result is the same. I think you can make a strong argument that the...
by EdLaFave
Wed Aug 08, 2018 10:25 am
Forum: Investing - Help with Personal Investments
Topic: Tax-deductible 403b vs. taxable Vanguard ETF
Replies: 26
Views: 1398

Re: Tax-deductible 403b vs. taxable Vanguard ETF

A 2.5% annual fee is obscenely predatory. If you assume a 6% return and 3% inflation, then after 30 years that 2.5% fee will have consumed 87.15% of your real profits. I haven't done the math myself, but grabiner is right. The answer depends on how long the money will remain in the 403b as well as y...
by EdLaFave
Wed Aug 01, 2018 4:31 pm
Forum: Investing - Theory, News & General
Topic: Fidelity Files for Four Fidelity ZERO℠ Funds (0.00% ER)
Replies: 762
Views: 78653

Re: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)

I'm reading claims that the revenue generated from security lending is added back to the fund under the banner of "performance" rather than being subtracted from the expense ratio. If this result is significant enough to warrant discussion then why does Vanguard's 500 Index Admiral fund (expense rat...
by EdLaFave
Wed Aug 01, 2018 10:19 am
Forum: Investing - Help with Personal Investments
Topic: Fidelity advice
Replies: 5
Views: 699

Re: Fidelity advice

I second that advice.

The bond fund is expensive. Diversification comes from the number and type of stocks your funds own, not the number of funds you own. You have excellent diversification with those funds.
by EdLaFave
Mon Jul 30, 2018 12:12 pm
Forum: Investing - Help with Personal Investments
Topic: Setting Up 403b/457 Accounts and Prioritizing Investments
Replies: 8
Views: 673

Re: Setting Up 403b/457 Accounts and Prioritizing Investments

I was not aware that TIAA has assets under management fees in addition to fund expense ratios. we will probably keep some money in a brokerage account in case of early retirement. Double check that TIAA has that fee for your spouse's plan, but I expect they will. Also be aware that in the 403b/457b...
by EdLaFave
Mon Jul 30, 2018 10:20 am
Forum: Investing - Help with Personal Investments
Topic: Building a portfolio from scratch, starting with 100k
Replies: 15
Views: 1370

Re: Building a portfolio from scratch, starting with 100k

if I could refi down to 3.5%, then it would make sense to pay it down slowly? It is a judgement call. I think the delta between 3.5% and the long-term expected returns of the stock market is enough to justify taking the 'risk'. Of course I think I've seen reports from Vanguard predicting that the s...