Search found 244 matches

by chicagoan23
Wed Jan 17, 2018 2:42 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio Advice - Investing 100K in vanguard emerging/value/bond funds today, am I CRAZY?
Replies: 14
Views: 1706

Re: Portfolio Advice - Investing 100K in stocks today, am I CRAZY?

1. My bad, I should be in 24% tax bracket ($165K to $315K) My income tax last year was about 64K. Please note I am a mid westerner (Chicago) and income levels weren't in this range until 2016 when I moved to PNW. 2. My spouse is working. I agree I should buy term life insurance given the liabilitie...
by chicagoan23
Wed Jan 17, 2018 8:12 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Advice - Investing 100K in vanguard emerging/value/bond funds today, am I CRAZY?
Replies: 14
Views: 1706

Re: Portfolio Advice - Investing 100K in stocks today, am I CRAZY?

Some more questions..... 1. You are in the narrow tax bracket of $416,700 to $470,700 in taxable income, putting gross income into the $500k+ range, and yet you have a total of $300k saved at age 38, and a net worth of $550k including home equity? What is your annual spending? How much did you pay i...
by chicagoan23
Fri Jan 12, 2018 12:58 pm
Forum: Personal Consumer Issues
Topic: Almost a pathological fear of debt, to my detriment?
Replies: 79
Views: 4462

Re: Almost a pathological fear of debt, to my detriment?

Still, I'm wondering if there are things I can do in terms of changing my perspective or just getting okay with at least holding on to SOME debt when it's at such a low interest rate, like my car loan? Credit and insurance make the world go 'round. There's nothing wrong with borrowing money if it's...
by chicagoan23
Thu Jan 11, 2018 2:57 pm
Forum: Investing - Help with Personal Investments
Topic: Pay off 6.5% Student Loan or Invest
Replies: 22
Views: 960

Re: Pay off %6.5 Student Loan or Invest

Do you max out your tax-favored accounts? If you have a high income, it may make sense to keep your student loan debt--even at a high rate--in order to max out tax-favored accounts such as a 401(k) and IRAs. Lowering your biggest expense (taxes) might be worth adding on a new expense (student loan d...
by chicagoan23
Wed Jan 10, 2018 4:18 pm
Forum: Investing - Help with Personal Investments
Topic: What would you do with a 25 million windfall?
Replies: 47
Views: 2791

Re: What would you do with a 25 million windfall?

What actionable steps would you do with a 25 million windfall? Btw I’ve read the wiki for it and appeeciate the input. Another question is would you continue to work. I dont necessarily love my work but earn pretty decent money (0.5 million per year) and find it satisfying (at times). I did spend 3...
by chicagoan23
Wed Jan 10, 2018 3:25 pm
Forum: Local Chapters and Bogleheads Community
Topic: Post your Financial Milestone Announcements Here
Replies: 106
Views: 8241

Re: Post your Financial Milestone Announcements Here

This will be a very fun thread.....congrats to all. We hit $2 million in assets last week for the first time. Subtract out the mortgage and a very low-rate student loan that I have no intention of paying off early, and our net worth hit $1.75 million for the first time. Financially secure, although ...
by chicagoan23
Wed Jan 10, 2018 2:26 pm
Forum: Investing - Help with Personal Investments
Topic: 25 Year Old Retiring Extremely Early-Domestic Wellesley or Half Global, Half Domestic Wellesley Better for my Bonds?
Replies: 55
Views: 6598

Re: 25 Year Old Retiring Extremely Early-Domestic Wellesley or Half Global, Half Domestic Wellesley Better for my Bonds?

So far, I have gotten more lifestyle and early retirement warnings. That's because the lifestyle and early retirement warnings are far more relevant to the success of your plan than the choice of an active fund or a split of index funds, which will only marginally impact your results and over such ...
by chicagoan23
Wed Jan 10, 2018 12:30 pm
Forum: Personal Consumer Issues
Topic: Sell Sports Car and Invest or Keep for Fun Factor
Replies: 25
Views: 1163

Re: Sell Sports Car and Invest or Keep for Fun Factor

How do you all decide between what makes the most financial sense vs. what feels good at the moment? What things should I consider/look at? I guess this is one of those classic personal finance questions. Thanks for all your help, advice, and wisdom! I look to my personal hierarchy of savings befor...
by chicagoan23
Tue Jan 02, 2018 8:45 pm
Forum: Investing - Help with Personal Investments
Topic: Do you eventually get accustomed to your higher balances?
Replies: 47
Views: 6754

Re: Do you eventually get accustomed to your higher balances?

I grew up with very little but saved and saved and then invested everything I could with the help of this forum. I've been blessed to see my portfolio grow to a large magnitude. A 10% drop in the market would equal roughly a 50k drop for me. Do you eventually get used to this where it is a non-even...
by chicagoan23
Sat Dec 30, 2017 2:13 pm
Forum: Personal Finance (Not Investing)
Topic: Stopped Check 2018 Property Tax - Etiquette to County?
Replies: 38
Views: 3278

Re: Stopped Check 2018 Property Tax - Etiquette to County?

Are we really claiming that it's okay to prepay not assessed taxes and take the deduction because audits aren't likely? That's like saying I'm going to claim all my commuting mileage even though I know I legally can't claim it because an audit is unlikely. Unless you have a bill in hand you can't c...
by chicagoan23
Thu Dec 28, 2017 7:50 pm
Forum: Personal Finance (Not Investing)
Topic: CNBC quotes IRS on terms of deductibility of prepaid property taxes
Replies: 79
Views: 5574

Re: CNBC quotes IRS on terms of deductibility of prepaid property taxes

From Illinois law: County Collector -- Deadline: May 1st of Following Year The County Collector prints and mails the tax bills. Typically this takes place during the last week of April, in the year following the assessment year. The bill is payable in two installments, with the first being normally ...
by chicagoan23
Thu Dec 28, 2017 7:43 pm
Forum: Personal Finance (Not Investing)
Topic: CNBC quotes IRS on terms of deductibility of prepaid property taxes
Replies: 79
Views: 5574

Re: CNBC quotes IRS on terms of deductibility of prepaid property taxes

Not too sure about what you are saying coz the irs guidance could be interpreted as, you can't just deduct taxes that are not billed to you by just prepaying..regardless of what year you are paying for. Unless someone thinks otherwise.. The assessment process is different from the billing process, ...
by chicagoan23
Thu Dec 28, 2017 5:57 pm
Forum: Investing - Help with Personal Investments
Topic: Can I afford a $600-650k house?
Replies: 60
Views: 6834

Re: Can I afford a $600-650k house?

Thanks for all the replies folks. Guess I'll put this idea off for a few years.... The easy bit will be saving more, spending less and all the other ideas listed here... The hard bit will be telling the Fiancé this is what we should do :/ :| :| Marriage tip: Don't tell her; just ask her to read thi...
by chicagoan23
Thu Dec 28, 2017 11:15 am
Forum: Investing - Help with Personal Investments
Topic: Can I afford a $600-650k house?
Replies: 60
Views: 6834

Re: Can I afford a $600-650k house?

I understand the instinct here...you are doing much better than your Millennial peers, many of whom can't come up with $400 in an emergency. You want to see something tangible from that; you're getting married, both you and your future wife want to get settled; you are afraid of missing out on a goo...
by chicagoan23
Wed Dec 27, 2017 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: Debt, Investing, and Miscellaneous Planning
Replies: 5
Views: 613

Re: Debt, Investing, and Miscellaneous Planning

Unsure as to whether this is more appropriate for the investing sub or this location here. It is certainly financial, personal, and actionable. Question: What ought I be doing to best utilize our income and assets (saving relative to taxes, investing, etc.)? . Unsure as One student loan of $25,000 ...
by chicagoan23
Wed Dec 20, 2017 6:25 pm
Forum: Personal Finance (Not Investing)
Topic: Please Post Tax Bill Questions Here [was Tax Bill Omnibus Thread]
Replies: 878
Views: 48794

Re: Tax Bill Omnibus Thread

How does the 20% deduction for pass-through income interact with AMT? It seems like if you had to add the deduction back in, it would negate the benefit (then again, that seems to be the point of AMT). I haven't been able to find a comprehensive explanation of the pass-through deduction, just some ...
by chicagoan23
Wed Dec 20, 2017 1:16 pm
Forum: Personal Finance (Not Investing)
Topic: Tax-planning - What to pay in '17 before it's too late?
Replies: 33
Views: 1779

Re: Tax-planning - What to pay in '17 before it's too late?

1. Prepay as much 2017 property tax that you can, even if it is not due until 2018. Ask your county if they allow it. 2. Pay as much 2017 estimated state income tax as you can. Don't pay any 2018 estimates for state or local income tax. 3. Pay your January 2018 mortgage bill a few days early, befor...
by chicagoan23
Wed Dec 20, 2017 12:28 pm
Forum: Personal Finance (Not Investing)
Topic: Tax-planning - What to pay in '17 before it's too late?
Replies: 33
Views: 1779

Re: Tax-planning - What to pay in '17 before it's too late?

1. Prepay as much 2017 property tax that you can, even if it is not due until 2018. Ask your county if they allow it. 2. Pay as much 2017 estimated state income tax as you can. Don't pay any 2018 estimates for state or local income tax. 3. Pay your January 2018 mortgage bill a few days early, before...
by chicagoan23
Sat Dec 16, 2017 6:48 am
Forum: Personal Finance (Not Investing)
Topic: Prepayment of SALT Taxes? [State and Local]
Replies: 270
Views: 23442

Re: Prepayment of SALT Taxes? [State and Local]

New York Times reporting that this loophole is being closed by the compromise bill. Much ado about nothing apparently (although I'll still pay my 2017 taxes this month.) https://www.nytimes.com/2017/12/15/us/politics/republican-tax-bill.html?hp&action=click&pgtype=Homepage&clickSource=story-heading...
by chicagoan23
Thu Dec 14, 2017 12:39 pm
Forum: Investing - Help with Personal Investments
Topic: Japan. iShares gone. Replacements ?
Replies: 2
Views: 468

Re: Japan. iShares gone. Replacements ?

I own VPL (Vanguard FTSE Pacific ETF) and have been happy with it. It has about 60% Japanese stocks
by chicagoan23
Thu Dec 14, 2017 7:21 am
Forum: Personal Finance (Not Investing)
Topic: Prepayment of SALT Taxes? [State and Local]
Replies: 270
Views: 23442

Re: Prepayment of SALT Taxes? [State and Local]

IT is light gray, if not white, area. Why would the state accept estimatedpayments for 2018 in 2017 ? Clearly at that point all income is future income. You guys help me understand this: - By end of 2017 I make a 10k estimated tax payment for 2018, equal to my estimated tax liability. - By 4/15/18 ...
by chicagoan23
Thu Dec 07, 2017 11:27 am
Forum: Investing - Help with Personal Investments
Topic: 112K pension- need help w/the rest
Replies: 26
Views: 2497

Re: 112K pension- need help w/the rest

I earn an additional 65k in a new career and my new wife earns 350k and has her own pension plus IRA. I am not sure what my expenses will be in 20 years so I am not sure how to answer that question. Currently we spend about 170k per year. Does the pension have a COLA? If not, the annual payout may ...
by chicagoan23
Wed Dec 06, 2017 3:08 pm
Forum: Investing - Theory, News & General
Topic: The Final, Definitive Thread on Brokerage Transfer Bonuses
Replies: 781
Views: 131729

Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

I hadn't realized TD Ameritrade had a $1000 offer going, but here it is: https://www.tdameritrade.com/offer/for90days/index.html They are pretty formulaic. In fact the bonuses are automatically credited as each level is reached. However, it wouldn't hurt to contact them and see, maybe a rep can wor...
by chicagoan23
Wed Dec 06, 2017 2:57 pm
Forum: Investing - Theory, News & General
Topic: Farmland REITs?
Replies: 33
Views: 4316

Re: Farmland REITs?

Was wondering if there are any updates to this thread? Seems like the past 18 months have not been good for appreciation of farm prices. Have the yields caught up to the underlying land prices yet? Are the likes of FPI and LAND overleveraged in a rising interest rate environment? Any other thoughts?...
by chicagoan23
Thu Nov 16, 2017 1:31 pm
Forum: Investing - Help with Personal Investments
Topic: Why pay cash for a car?
Replies: 179
Views: 15857

Re: Why pay cash for a car?

"2% discount on the price" FWIW- my cash buy target has been 20% off MSRP or higher over the last 3 transactions. No, not a 2% discount off sticker....a 2% discount off the price we had already agreed to. That price was well below sticker and also below invoice, and was extensively researched for m...
by chicagoan23
Wed Nov 15, 2017 5:45 pm
Forum: Investing - Help with Personal Investments
Topic: Why pay cash for a car?
Replies: 179
Views: 15857

Re: Why pay cash for a car?

Those 0% loans are only on new cars and new car values drop $5,000-$10,000 the second you drive the vehicle off the dealer lot. You might "make" $500 over five years vs. paying cash, but with financing you lost $5,000 instantly and the car only keep depreciating. Used car rates are 4%-8% depending ...
by chicagoan23
Wed Nov 15, 2017 5:43 pm
Forum: Investing - Help with Personal Investments
Topic: Why pay cash for a car?
Replies: 179
Views: 15857

Re: Why pay cash for a car?

Lots of people in denial... Having had a car dealers as clients, I've seen all the tricks - including dealing with buyers who think that they know it all... Dealers are in business to make money. The prices that you can find online may or may not be close to what the dealer pays at any given point ...
by chicagoan23
Wed Nov 15, 2017 12:11 pm
Forum: Investing - Help with Personal Investments
Topic: Why pay cash for a car?
Replies: 179
Views: 15857

Re: Why pay cash for a car?

When negotiating a price, the dealer will take into account whether you are paying cash or financing. You will pay for a below-market finance rate in the sale price of the car. This is not at all true. Here's how it actually works. For MANUFACTURER financing you often (but not always) give up a reb...
by chicagoan23
Tue Nov 14, 2017 6:34 pm
Forum: Investing - Help with Personal Investments
Topic: Why pay cash for a car?
Replies: 179
Views: 15857

Re: Why pay cash for a car?

"If you can get a car loan for under 2% over five years or so, it is a no-brainer to take the loan, 100% of the time." But I don't want a loan. I haven't had a car payment since 1986 and have been completely debt free since 1997. I'm perfectly happy setting aside money for a vehicle, buying new at ...
by chicagoan23
Tue Nov 14, 2017 4:50 pm
Forum: Investing - Help with Personal Investments
Topic: Why pay cash for a car?
Replies: 179
Views: 15857

Re: Why pay cash for a car?

I happily took a five-year 0% loan when I bought a new car in 2012. I got a great price; tried to negotiate further by offering cash and was told the price would go up if I didn't take the financing. I set up auto payments for the first month, and had 60 equal installments come out of my checking ac...
by chicagoan23
Fri Nov 10, 2017 4:18 pm
Forum: Investing - Theory, News & General
Topic: "$1 Million is Closer Than You Think"
Replies: 54
Views: 9850

Re: "$1 Million is Closer Than You Think"

JoMoney wrote:
Tue Nov 07, 2017 4:20 am
I input a 7 figure number and it told me I had a 95% chance of having $1 million in 5 years :shock:
I moved the goal to $10 million by inputting 1/10 of my current portfolio and 1/10 of my current income/savings, but everything else the same. Very encouraging!
by chicagoan23
Wed Nov 08, 2017 2:48 pm
Forum: Personal Finance (Not Investing)
Topic: Poll-How much do you have in your HSA?
Replies: 50
Views: 5152

Re: Poll-How much do you have in your HSA?

$38,000 give or take a few hundred. Now have $10,000 in cash, the rest all in Vanguard Target Date Fund for 2040 (VFORX). Using SelectAccount and am very happy with them. Started in 2009, maxed it out every year but unfortunately also took distributions to pay medical expenses (mostly related to chi...
by chicagoan23
Tue Oct 24, 2017 10:24 pm
Forum: Personal Finance (Not Investing)
Topic: Student Loan: To Pay or Not to Pay: That is the Question
Replies: 32
Views: 3248

Re: Student Loan: To Pay or Not to Pay: That is the Question

Don't pay it off. Goal #1 should be to take all available funds and max out tax favored accounts. If you're not doing that yet then I wouldn't even consider a student loan payoff. You need to cut your tax expense, especially if you're getting severance.
by chicagoan23
Fri Oct 06, 2017 5:04 pm
Forum: Investing - Theory, News & General
Topic: Time Value of Money (Young Investors)
Replies: 29
Views: 2232

Re: Time Value of Money (Young Investors)

We're now surrounded by places like this forum that chant "experts don't know shit, everyone's corrupt in the industry, don't trust anyone, crashes are coming, but you should still invest in the market" (and if you're not on this forum, the news can be even less encouraging) and, shockingly, these ...
by chicagoan23
Fri Oct 06, 2017 12:29 pm
Forum: Personal Finance (Not Investing)
Topic: Student loan/investing advice
Replies: 5
Views: 461

Re: Student loan/investing advice

What is the rate on the student loans? If it is anything less than, say 4%, I'd leave things as they are and just pay the minimums. If it is higher than 4% think of refinancing to SoFi. I wouldn't liquidate a taxable account to pay off student loan debt, unless you were already planning on selling a...
by chicagoan23
Fri Oct 06, 2017 12:14 pm
Forum: Investing - Theory, News & General
Topic: Time Value of Money (Young Investors)
Replies: 29
Views: 2232

Re: Time Value of Money (Young Investors)

60k/year from 18 to 65 yields 237 million. Somewhat unrealistic unless you have a very good job which you could reasonably have by age 30: 60k/year from 30 to 65 yields 100 million. I think most people would choose early retirement or a more lavish lifestyle. Oh how I wish this were true, but accor...
by chicagoan23
Wed Oct 04, 2017 12:24 pm
Forum: Investing - Theory, News & General
Topic: $10 million+ - Still Working and LBYM
Replies: 162
Views: 17872

Re: $10 million+ - Still Working and LBYM

If you are FI in your early 30s, then let's say you started building your real estate empire in 2009 at the bottom of the financial crisis. According to this data and again here , the S&P CoreLogic Case-Shiller San Francisco Home Price NSA Index bottomed out at about 120 or so. It's now at 245. Gre...
by chicagoan23
Wed Oct 04, 2017 11:50 am
Forum: Investing - Theory, News & General
Topic: $10 million+ - Still Working and LBYM
Replies: 162
Views: 17872

Re: $10 million+ - Still Working and LBYM

And you're right - I don't see real estate in good areas of NYC/SF/LA as being "risky". Sure, anything could happen, but losing money on that would be at the very bottom of my worry list when considering history. Must be recent history.....NYC real estate was destroyed in the 70s and 80s; an old ne...
by chicagoan23
Wed Oct 04, 2017 6:55 am
Forum: Investing - Theory, News & General
Topic: $10 million+ - Still Working and LBYM
Replies: 162
Views: 17872

Re: $10 million+ - Still Working and LBYM

And you're right - I don't see real estate in good areas of NYC/SF/LA as being "risky". Sure, anything could happen, but losing money on that would be at the very bottom of my worry list when considering history. Must be recent history.....NYC real estate was destroyed in the 70s and 80s; an old ne...
by chicagoan23
Tue Oct 03, 2017 5:12 pm
Forum: Investing - Theory, News & General
Topic: $10 million+ - Still Working and LBYM
Replies: 162
Views: 17872

Re: $10 million+ - Still Working and LBYM

And you're right - I don't see real estate in good areas of NYC/SF/LA as being "risky". Sure, anything could happen, but losing money on that would be at the very bottom of my worry list when considering history. Must be recent history.....NYC real estate was destroyed in the 70s and 80s; an old ne...
by chicagoan23
Tue Oct 03, 2017 2:18 pm
Forum: Investing - Theory, News & General
Topic: $10 million+ - Still Working and LBYM
Replies: 162
Views: 17872

Re: $10 million+ - Still Working and LBYM

My friend who is worth $20M has $19.5M equity in real estate (but a lot more in total exposure to real estate because of his mortgages) and $500k in cash, and he just holds onto his properties forever, or 1031 exchanges them (deferring the taxes), in which case he would pass it onto his children an...
by chicagoan23
Tue Oct 03, 2017 12:59 pm
Forum: Personal Finance (Not Investing)
Topic: loosening the purse strings a bit at 37?
Replies: 30
Views: 4175

Re: loosening the purse strings a bit at 37?

I think you should try to save even more because you have reached the "sweet spot" for accumulations. Many of the early life expenses (your college/education, wedding, loss of income after kids are born, house downpayment, furniture for that house, first cars, second cars, etc.) are behind you. Othe...
by chicagoan23
Fri Sep 29, 2017 10:51 pm
Forum: Personal Finance (Not Investing)
Topic: Question: Why do people put/keep millions of dollars in investment accounts?
Replies: 66
Views: 8925

Re: Question: Why do people put/keep millions of dollars in investment accounts?

In my opinion, the hardest part about real estate is not managing the property (which can consume time if you don't have a property manager) but rather in finding an appropriate deal. Too many people want to buy a $300K home and rent it out for $1800 -> bad deal and you would be better off keeping ...
by chicagoan23
Fri Sep 29, 2017 11:55 am
Forum: Personal Finance (Not Investing)
Topic: Question: Why do people put/keep millions of dollars in investment accounts?
Replies: 66
Views: 8925

Re: Question: Why do people put/keep millions of dollars in investment accounts?

Question: Why do people put/keep millions of dollars in investment accounts? If the stock market can crash at any time, why do some people have a lot of their wealth (50%-80%+) tied up in investment accounts? I have seen some people's posts on here who have something like 2 million in their investm...
by chicagoan23
Thu Sep 28, 2017 3:31 pm
Forum: Personal Finance (Not Investing)
Topic: I am in the investment advice industry and I'm not sure if I provide any value
Replies: 67
Views: 7053

Re: I am in the investment advice industry and I'm not sure if I provide any value

For people that never developed the right neural connections to control their spending, savings, and urge to gamble in the latest hot stocks, your fees are worth every penny. Agreed. Your advice seems sound, and you aren't steering people into terrible investment decisions. There is value in that. ...
by chicagoan23
Thu Sep 21, 2017 5:30 pm
Forum: Investing - Help with Personal Investments
Topic: I won the Lottery. Need sound advice.
Replies: 220
Views: 26047

Re: I won the Lottery. Need sound advice.

I want to thank you all for the advice. Many of you pulled no punches, so thank you. I agree that the underlying problem has been our spending habits and general lack of financial discipline. This windfall is the "reset button", I know. Nothing will change until we learn to live within our means, a...
by chicagoan23
Thu Sep 21, 2017 1:38 pm
Forum: Investing - Help with Personal Investments
Topic: I won the Lottery. Need sound advice.
Replies: 220
Views: 26047

Re: I won the Lottery. Need sound advice.

If the OP paid all debt including mortgage he'd have $700,000 left. That amounts to somewhere between $20-$25k annual withdrawal rate in perpetuity. If he increases his standard of living at all he will burn right through that amount. And ~$150k in retirement accounts and a $400k paid-in-full house...
by chicagoan23
Thu Sep 21, 2017 12:40 pm
Forum: Investing - Help with Personal Investments
Topic: I won the Lottery. Need sound advice.
Replies: 220
Views: 26047

Re: I won the Lottery. Need sound advice.

If the OP paid all debt including mortgage he'd have $700,000 left. That amounts to somewhere between $20-$25k annual withdrawal rate in perpetuity. If he increases his standard of living at all he will burn right through that amount. And ~$150k in retirement accounts and a $400k paid-in-full house...
by chicagoan23
Thu Sep 21, 2017 11:40 am
Forum: Investing - Help with Personal Investments
Topic: I won the Lottery. Need sound advice.
Replies: 220
Views: 26047

Re: I won the Lottery. Need sound advice.

Looks like we'll never hear back from OP. Time for everyone to stop replying to this thread. It has been less than 12 hours since OP was on the site and posted. You have a looser definition of "never" than I do, but you might be right. Otoh, the initial post has been an interesting Rorschach test, ...
by chicagoan23
Wed Sep 20, 2017 10:35 pm
Forum: Investing - Help with Personal Investments
Topic: I won the Lottery. Need sound advice.
Replies: 220
Views: 26047

Re: I won the Lottery. Need sound advice.

My goodness, what a post. Congratulations!! I would say in your situation a payoff of all debt is probably a good idea. Once that is done I would say blow $20k on yourself and then tie up most of the rest in something that gives you some time to think. DON'T DO ANYTHING RASH!! Did you read the wiki ...