Search found 8429 matches

by celia
Sat Nov 17, 2018 3:29 pm
Forum: Personal Finance (Not Investing)
Topic: Roth conversion complications- tax help needed!
Replies: 16
Views: 1900

Re: Roth conversion complications- tax help needed!

She is aware that her money has lost value in the last decade. Don't forget that some accounts have had money withdrawn. So the "loss" is not as large as you might think. You might try to get her to consider money market accounts in the 401K (future TIRA) since they are now earning about 2%, althou...
by celia
Sat Nov 17, 2018 1:53 pm
Forum: Investing - Theory, News & General
Topic: Ed Slott & Roth Conversions
Replies: 11
Views: 870

Re: Ed Slott & Roth Conversions

One major decision is whether you want the aca subsidy vs the Roth conversions. I elected for the Roth conversions, but at age 64 my monthly hsa insurance bill is 2800+. Will joyfully pay the IRRMA premium. This is my highest retirement expense, with taxes on the conversions a close second. I am we...
by celia
Sat Nov 17, 2018 1:26 pm
Forum: Investing - Theory, News & General
Topic: Ed Slott & Roth Conversions
Replies: 11
Views: 870

Re: Ed Slott & Roth Conversions

And what other issues should one consider? Yes, it makes sense and many of us started converting when we retired. If tax rates are of great importance to you, you want to consider not only your current tax rate and the rate you would be in during early retirement, but also the rate you will be in a...
by celia
Sat Nov 17, 2018 12:48 am
Forum: Investing - Help with Personal Investments
Topic: WOW - big Vanguard capital gains distribution coming this year
Replies: 6
Views: 1976

Re: WOW! Vanguard Capital Opportunity capital gains distribution!

...why the big distribution?? Because the companies owned by the fund may have big distributions or the fund managers may take capital gains when some companies are over-represented in the fund (ie, grow faster than other companies). The fund is top-heavy in technology (33%) and healthcare (30%) wh...
by celia
Sat Nov 17, 2018 12:35 am
Forum: Investing - Help with Personal Investments
Topic: Is it worth doing a Roth conversion now to avoid future backdoor pro rata headaches?
Replies: 6
Views: 728

Re: Is it worth doing a Roth conversion now to avoid future backdoor pro rata headaches?

I'm confused. You said: ...Unfortunately, she has a small Rollover IRA (currently $27k)... ...Her 401k plan (T. Rowe Price) does not accept rollovers from Traditional IRAs, but does accept them from “rollover/conduit” IRAs . She has a Rollover IRA, right? I assume that is from a former 401K. If they...
by celia
Fri Nov 16, 2018 11:53 pm
Forum: Investing - Help with Personal Investments
Topic: WOW - big Vanguard capital gains distribution coming this year
Replies: 6
Views: 1976

Re: WOW! Vanguard Capital Opportunity capital gains distribution!

I think people with investments in a closed fund like Capital Opportunity are unlikely to redeem shares since they are warned that they can't buy them back ($25K limit per year, for existing shareholders). And I suspect that most people who own it, have it in a tax-advantaged account. Note that port...
by celia
Fri Nov 16, 2018 11:14 pm
Forum: Personal Finance (Not Investing)
Topic: Roth conversion complications- tax help needed!
Replies: 16
Views: 1900

Re: Roth conversion complications- tax help needed!

The Roth to Roth conversion was done in one sitting at the same institution. She signed paperwork, but I have no memory of any check being generated in the process, so I think we're fine. It is possible that they printed out a check as part of the paperwork and pointed at it to have her endorse it....
by celia
Fri Nov 16, 2018 10:45 pm
Forum: Personal Finance (Not Investing)
Topic: Roth conversion complications- tax help needed!
Replies: 16
Views: 1900

Re: Roth conversion complications- tax help needed!

1. His RMD came out the month after his death...does this change anything with the 8606? (I double checked and the RMDs are accurate) I assume the RMD came out while the account was still in his name, so the RMD would show up on his 1099-R under his SSN. I'm not aware of anything that would need to...
by celia
Fri Nov 16, 2018 11:25 am
Forum: Personal Consumer Issues
Topic: Cremation seminar – with complimentary lunch
Replies: 64
Views: 3873

Re: Cremation seminar – with complimentary lunch

What if the company goes out of business, bankruptcy or otherwise? I guess your upfront payment would burn to ashes. Part of our cost went into a trust fund (as required by law) to cover that case. It is also refundable should you die and not use the service (ie you were lost at sea or your survivo...
by celia
Fri Nov 16, 2018 3:43 am
Forum: Personal Consumer Issues
Topic: Cremation seminar – with complimentary lunch
Replies: 64
Views: 3873

Re: Cremation seminar – with complimentary lunch

We went to that presentation and enjoyed it. (There are a lot of "hot" jokes that can be thrown in so it was also humorous.) We had been thinking about cremation but not done anything about it and hadn't thought of where to start. Ours was open to anyone. Don't know why this is being restricted to v...
by celia
Fri Nov 16, 2018 2:29 am
Forum: Investing - Help with Personal Investments
Topic: Why You Should Consider a Backdoor Roth IRA
Replies: 9
Views: 1561

Re: Why You Should Consider a Backdoor Roth IRA

It's not that you need income. You (or your spouse) need Earned Income (ie, wages).

AND the contribution to all your (and your spouse's) IRAs can't be more than that Earned Income or the maximum contribution defined for the year (including the higher amount when over age 50).
by celia
Thu Nov 15, 2018 12:14 pm
Forum: Personal Finance (Not Investing)
Topic: As a new grad, should I consider buying or renting?
Replies: 48
Views: 1856

Re: As a new grad, should I consider buying or renting?

Thank you for your response. I am trying to aim for $800 rent and keep rent and utility expenses under $1000 a month. I'm just so nervous about signing a lease because many apartments have these reviews were people say they couldn't wait to move out or something. I would hate to lock myself in a pl...
by celia
Wed Nov 14, 2018 5:29 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to Roth IRA now or tIRA later (to save tax)?
Replies: 20
Views: 1224

Re: Contribute to Roth IRA now or tIRA later (to save tax)?

We like the current tax benefit of tIRA but the problem for this year is we don't know what exact amount we can deduct before having all the tax documents handy and run the tax software next year. I heard it's a pain to have basis in tIRA and track it in the future if the contributions went beyond ...
by celia
Wed Nov 14, 2018 5:00 pm
Forum: Personal Finance (Not Investing)
Topic: Does it ever make sense to pay more tax intentionally?
Replies: 15
Views: 1602

Re: Does it ever make sense to pay more tax intentionally?

My question is, is there ever a reason to not take those mileage deductions and pay taxes on the full $25,000 in order to increase social security down the road? I wonder what your 67-year-old self would say as you think about starting SS. Those at the bottom of incomes get a better return on their...
by celia
Wed Nov 14, 2018 10:54 am
Forum: Personal Finance (Not Investing)
Topic: Comparing Medigap Policies - Need a Bit of Advice
Replies: 3
Views: 586

Re: Comparing Medigap Policies - Need a Bit of Advice

Yes, I think you need assistance from an agent who can sell any of the Medigap policies in her state or from her state's SHIP counselors (see the Dept of Insurance for NJ website). There are several things you need to ask that I can't answer: 1. How can someone from NJ be insured through Blue Cross ...
by celia
Tue Nov 13, 2018 9:54 pm
Forum: Investing - Help with Personal Investments
Topic: Need to invest $100k to bring my asset allocation back in line
Replies: 8
Views: 1460

Re: Need to invest $100k to bring my asset allocation back in line

Long story short - our business ended up not incurring expenses I estimated, so I need to move funds from our fixed income to equities to bring our asset allocation back in line. This sounds like you want to re-invest some of the company's money in stocks(???) . If this is your business, don't you ...
by celia
Tue Nov 13, 2018 7:07 pm
Forum: Investing - Help with Personal Investments
Topic: How much should Son and DIL put into Roth & Pre-tax 401k accounts...?
Replies: 21
Views: 1120

Re: How much should Son and DIL put into Roth & Pre-tax 401k accounts...?

My son and DIL are starting their first post-military jobs. They are in late 20s. Each has 6% matching available. Income, he ~100k, her ~25k. Only std deduction (only 1600/mo apt as far as fixed bills). No kids yet. House in the next 2 years and they have the down payment. I'm in disbelief that the...
by celia
Tue Nov 13, 2018 4:43 pm
Forum: Personal Finance (Not Investing)
Topic: Roth conversion complications- tax help needed!
Replies: 16
Views: 1900

Re: Roth conversion complications- tax help needed!

Francine, after thinking about this, I think your original plan is best, since you should want to convert as much as you can this year while your mom can still file as Married (for the last time, unless she remarries, of course. :D ) and may have big medical expenses the joint return can itemize. M...
by celia
Mon Nov 12, 2018 11:39 pm
Forum: Personal Finance (Not Investing)
Topic: Stop paying on life insurance policy?
Replies: 33
Views: 2463

Re: Stop paying on life insurance policy?

Hogan773 wrote:
Sun Nov 11, 2018 8:07 pm
I gotta say the earlier post was really bumming me out! I know it is "only 2%" but to think there was a 2% chance I will die in the next 5 years was a buzzkill!
Another way of saying this is that there is a 98% chance you will live at least 5 more years. Does that sound better?
by celia
Mon Nov 12, 2018 11:07 pm
Forum: Personal Consumer Issues
Topic: Granddaughter needs $ help for university
Replies: 103
Views: 8252

Re: Granddaughter needs $ help for university

My granddaughter just called asking me to co-sign for $15,000 of her college costs for this year. The rest of the college costs ($50,000) are covered by scholarships....Her mother originally co-signed but the college didn't accept it (her words). I know her mother is having a difficult time, but th...
by celia
Mon Nov 12, 2018 3:52 am
Forum: Personal Finance (Not Investing)
Topic: 457 vs 403b
Replies: 29
Views: 1961

Re: 457 vs 403b

I don't know why you think 457s are a "secret". We've talked about them here as well as being publically available when I started working for a CA school district 25 years ago. At least in California, both 403Bs and 457s choices contained primarily expensive annuities, offered by insurance companies...
by celia
Mon Nov 12, 2018 2:00 am
Forum: Personal Finance (Not Investing)
Topic: Paying life insurance for parents
Replies: 13
Views: 1279

Re: Paying life insurance for parents

HEDGEFUNDIE wrote:
Sun Nov 11, 2018 8:29 pm
Can you just offer your parents $50k out of your own resources? Would stop the drain on their/your bank account.
Giving ANY money to the parents may disqualify him from help if he is currently getting any government assistance in paying for the memory care.
by celia
Sun Nov 11, 2018 12:07 pm
Forum: Personal Finance (Not Investing)
Topic: [Financial] Habits of the Rich
Replies: 164
Views: 20490

Re: Habits of the Rich

Pay yourself first by setting up automatic transfers to savings (that you don't withdraw). Lifelong learner. (Advance in your career and learn to do things yourself, besides making you a more interesting person.) Prepare your own taxes, so you learn to understand the tax code and how it impacts futu...
by celia
Sun Nov 11, 2018 11:57 am
Forum: Personal Finance (Not Investing)
Topic: Regrets from canceling whole life insurance policy - anyone out there?
Replies: 27
Views: 2957

Re: Regrets from canceling whole life insurance policy - anyone out there?

I would think the only time someone would regret cancellation is if they were almost paid off on it or if they were much older/sicker now such that term insurance for their current age would cost almost the same as what the life premiums cost. If they were also their own insurance agent, they would ...
by celia
Sun Nov 11, 2018 4:47 am
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion/Tax Withheld Then Deposited
Replies: 7
Views: 612

Re: Roth Conversion/Tax Withheld Then Deposited

It is hard for me to decipher exactly what you did to try to correct the tax withholding. It sounds like you contributed $200 in after tax money to an IRA with only pre-tax contributions. If this is true it will make future Roth conversions a little more complicated. I'm pretty sure the OP meant "a...
by celia
Sun Nov 11, 2018 4:36 am
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion/Tax Withheld Then Deposited
Replies: 7
Views: 612

Re: Roth Conversion/Tax Withheld Then Deposited

... tell them you messed up and that the $200 was a rollover, not an ordinary contribution. Jail is not in your future, at least not for this. :happy However, if you are not yet 59.5 years old, there will be an early withdrawal tax penalty on that $200 that was used to pay taxes if you cannot get t...
by celia
Sun Nov 11, 2018 4:21 am
Forum: Personal Finance (Not Investing)
Topic: Roth conversion complications- tax help needed!
Replies: 16
Views: 1900

Re: Roth conversion complications- tax help needed!

I've paged Alan S. for you, so he will probably show up next time he signs in. Also, I've looked over Form 8606 and it seems like I can use it for both the non-deductible contributions and the roth conversions, correct? Yes, you can use Form 8606 for both the reporting of the non-deductible contribu...
by celia
Sat Nov 10, 2018 7:22 pm
Forum: Investing - Theory, News & General
Topic: USAA getting out of mutual fund biz
Replies: 32
Views: 3952

Re: USAA getting out of mutual fund biz

Hmmm. I inherited shares of their tax exempt funds, and have kept them at USAA. I also inherited Vanguard funds held at Vanguard. As the executor of the estate I found USAA to be far better, faster, and more courteous in handling the transition of the accounts to the beneficiaries than Vanguard was...
by celia
Sat Nov 10, 2018 5:49 pm
Forum: Personal Finance (Not Investing)
Topic: Stop paying on life insurance policy?
Replies: 33
Views: 2463

Re: Stop paying on life insurance policy?

Keep the cheap insurance. Let your wife know that she can use it to pay taxes on Roth conversions in the same year you die. (Please don't die in late December). This is because she will have to file as Single (or Head of Household) starting the year after you die. The space in each tax bracket is ha...
by celia
Sat Nov 10, 2018 5:39 pm
Forum: Investing - Theory, News & General
Topic: Roth Investment Theory
Replies: 45
Views: 3657

Re: Roth Investment Theory

Vanguard says lump sum outperforms dollar cost averaging 2/3rds of the time: https://personal.vanguard.com/pdf/ISGDCA.pdf It depends on the date you lump sum. If you time it for the lowest-stock-market-price-date for the year, that would be optimal. But I can't tell you what date that will be. :P
by celia
Sat Nov 10, 2018 5:10 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard - Cost basis not ACTUALLY switching to SpecID?
Replies: 9
Views: 958

Re: Vanguard - Cost basis not ACTUALLY switching to SpecID?

Suppose you bought a fund over time with many different prices. Your flag was set for "average" cost basis. But if you then sold part of the fund, they wouldn't know which cost basis you reported to the IRS (specific ID or average) especially if you sold before they had to start reporting the basis ...
by celia
Sat Nov 10, 2018 4:12 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard customer service
Replies: 12
Views: 1675

Re: Vanguard customer service

I also wanted to put money in Prime MM for a non-profit, but called to verify it was possible (since many custodians (or the SEC?) limit what organizations can invest in). The agent or I usually refers such a detailed question (ie, "for a non-profit") to another department while I stay on hold. I do...
by celia
Fri Nov 09, 2018 9:06 pm
Forum: Personal Finance (Not Investing)
Topic: 401k Help. They are removing index funds.
Replies: 56
Views: 4003

Re: 401k Help. They are removing index funds.

I think the original letter was well-written and shows that at least some employees care about their 401K plan. The employer response also shows understanding of your concerns and that they will discuss them with the Consultants: (Employer) meets regularly with Pension Consultants to understand what...
by celia
Fri Nov 09, 2018 7:06 pm
Forum: Investing - Help with Personal Investments
Topic: Strategy during the last stock market decline
Replies: 58
Views: 6144

Re: Strategy during the last stock market decline

#4 We were both still working then but started Roth conversions. I did about 8 conversions that year as the market kept going down, knowing that we would recharacterize some of them. (Recharacterizations of conversions are no longer possible. Roth conversions are now "keepers".) I thought of it as "...
by celia
Fri Nov 09, 2018 11:40 am
Forum: Personal Consumer Issues
Topic: Selling Internet domain name based on family last name.
Replies: 31
Views: 3068

Re: Selling Internet domain name based on family last name.

Now, my last name is fairly unique. I'm pretty sure that everyone who lives in the U.S. and has my last name is somehow related to me. A serious genealogist might do something like buy a domain for their surname or a surname where a lot of their ancestors are represented. It would be one way of att...
by celia
Fri Nov 09, 2018 2:19 am
Forum: Investing - Help with Personal Investments
Topic: Convinced wife to invest but wants her own accounts
Replies: 22
Views: 3372

Re: Convinced wife to invest but wants her own accounts

Her retirement consists of a Teacher Retirement System pension worth about ~$90K, tIRA $10K, and some savings. The tIRA is funded as follows about 20-25% on each fund Vanguard 500 Index Investor ER 0.14 Vanguard Explorer Inv ER 0.34 Vanguard Global Equity Inv ER 0.17 Vanguard Growth & Income Inv ER...
by celia
Fri Nov 09, 2018 1:40 am
Forum: Investing - Help with Personal Investments
Topic: Retirement withdrawal plan Fall 2019, ACA vs Roth conversions
Replies: 10
Views: 902

Re: Retirement withdrawal plan Fall 2019, ACA vs Roth conversions

401K and IRAs: 2,500,600 Just to show you what's on the horizon, if your tax-deferred accounts are valued at $3M when you retire, the RMD starts at $109K. If your tax-deferred accounts are valued at $4M when you retire, the RMD starts at $146K. The RMDs will increase each year until the rate of wit...
by celia
Thu Nov 08, 2018 4:33 pm
Forum: Personal Finance (Not Investing)
Topic: Estate Documents
Replies: 32
Views: 2626

Re: estate Documents

Perhaps he should have identified himself as such before saying that he wouldn't spend his time reading the book that I recommended. If I were Mr. Steiner, I wouldn't read it either. He is widely known on Bogleheads and doesn't need to introduce himself. Sorry, not going to agree with that. The OP ...
by celia
Thu Nov 08, 2018 12:39 pm
Forum: Personal Finance (Not Investing)
Topic: How to plan for bonus without knowing amount?
Replies: 32
Views: 1887

Re: How to plan for bonus without knowing amount?

stimulacra wrote:
Thu Nov 08, 2018 11:41 am
surprise his family with a backward pool
I think I'd be interested in one too, if I could figure out how it works! LOL :D

As far as tax withholding, make sure you always withhold 110% of the previous year's tax liability to avoid an underpayment penalty when the bonus is more than expected.
by celia
Wed Nov 07, 2018 11:16 pm
Forum: Investing - Theory, News & General
Topic: This man can predict when bubbles burst: time to time the market?
Replies: 145
Views: 10533

Re: This man can predict when bubbles burst: time to time the market?

If he can predict the market, why is he still teaching? He should have put all his assets in the stock/fund that would grow the most at the best time to get a good price for it and sell at the best time to realize his gain.
by celia
Wed Nov 07, 2018 10:57 pm
Forum: Investing - Theory, News & General
Topic: year-end capital gains distributions
Replies: 6
Views: 822

Re: year-end capital gains distributions

I found some of them by googling: "2018 expected mutual fund distributions" Add the name of the company offering the fund to see if their funds' distributions are posted yet. Although I didn't find end-of-the year distributions for Vanguard yet, this page shows the most recent distribution for each ...
by celia
Wed Nov 07, 2018 10:39 pm
Forum: Investing - Help with Personal Investments
Topic: Take SS or do Roth conversion
Replies: 7
Views: 969

Re: Take SS or do Roth conversion

Well, you didn't give us any specifics of YOUR situation so we don't know if Roth conversions are right for you or not. A lot of it depends on what percentage of your portfolio is in tax-deferred, what your tax brackets would be after age 70 if you converted or not, what your other sources of income...
by celia
Wed Nov 07, 2018 10:15 pm
Forum: Investing - Help with Personal Investments
Topic: portfolio, plan and early retirement
Replies: 6
Views: 1465

Re: portfolio, plan and early retirement

SSM1, The first thing I look at when looking at the portfolio and taxes of a young retiree, is if it makes sense for them to do some Roth conversions (which you may already know from my past posts :D ). If most of the portfolio is in tax-deferred accounts and they will/could start SS at age 70, con...
by celia
Wed Nov 07, 2018 4:23 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio for 87yo widowed Mom.
Replies: 13
Views: 998

Re: Portfolio for 87yo widowed Mom.

My siblings and I want her to use her money with abandon and not save it for us. I don't know that I'd go to that extreme! Don't you want her to be able to take care of her own expenses should she need 2 or 3 years of Long Term care expenses? It would be financially terrible if she took everyone on...
by celia
Wed Nov 07, 2018 1:26 pm
Forum: Personal Finance (Not Investing)
Topic: How much money did you receive from family? (Gifts/inheritance)
Replies: 46
Views: 4390

Re: How much money did you receive from family? (Gifts/inheritance)

Just posting to say that I love that you did this with an inheritance at that age. On this forum many members seem to want their kids to start saving for retirement before they are old enough to drive. Phooey. Using the money to buy an experience was a great idea, glad you took that opportunity. I ...
by celia
Tue Nov 06, 2018 7:14 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio for 87yo widowed Mom.
Replies: 13
Views: 998

Re: Portfolio for 87yo widowed Mom.

I, too, see nothing wrong with her current holdings, since income is higher than expenses. But if she owns individual stocks, it might make sense to sell some and buy stock mutual funds instead (for diversity). But also remember that starting next year she will have to file as Single, where each tax...
by celia
Tue Nov 06, 2018 12:37 am
Forum: Personal Finance (Not Investing)
Topic: Are we in trouble?
Replies: 106
Views: 12690

Re: Are we in trouble?

Yes we lowered the price twice. originally listed at 799K ...lowerd it to 775K and now 750K. My first suggestion is that when the listing expires, don't renew with the same realtor. They may not be very aggressive in marketing your house. Give someone else a try. Secondly, you may need to get some ...
by celia
Tue Nov 06, 2018 12:05 am
Forum: Personal Finance (Not Investing)
Topic: Do I need more than Original Medicare?
Replies: 110
Views: 6119

Re: Do I need more than Original Medicare?

I plan to go with Original Medicare for a year, and then reassess. What do you think? It's a gamble. If you should end up in the hospital some day, are you willing to pay the part not covered by Medicare? If you end up with a serious condition (or even one not so serious, but it is a chronic condit...
by celia
Mon Nov 05, 2018 1:37 pm
Forum: Personal Finance (Not Investing)
Topic: Estate Documents
Replies: 32
Views: 2626

Re: estate Documents

Filling out forms is easy. Understanding what your options are (which usually aren't reflected that much in the forms) and making decisions about things you have never considered before (eg, what do you want to happen to your assets if your beneficiaries/executor/trustee die before you) is the hard ...
by celia
Mon Nov 05, 2018 1:12 pm
Forum: Personal Finance (Not Investing)
Topic: Deal fell through and didn't get escrow money.....
Replies: 56
Views: 5896

Re: Deal fell through and didn't get escrow money.....

I am surprised that the sellers would accept 1% of the sales price as the earnest money. That indicates to me that the buyer is not that serious and could easily walk away from that money, should the deal go sour (for any number of reasons, not just because their old house didn't sell). It’s a good...