Search found 259 matches

by JaySayms
Tue Dec 03, 2019 4:47 pm
Forum: Personal Investments
Topic: Psychology of re-balancing during small portfolio drop
Replies: 11
Views: 954

Re: Psychology of re-balancing during small portfolio drop

I add new money every month. I usually use it and dividends, to nudge my portfolio back to "center". Using this method I almost never have had to rebalance as my portfolio typically doesn't drift outside my rebalance bands (5%).

Seems to work. Somebody else can chime in and tell me I'm all wet....
by JaySayms
Sun Aug 25, 2019 9:46 pm
Forum: Personal Investments
Topic: Vanguard Settlement fund - direct deposit?
Replies: 6
Views: 918

Re: Vanguard Settlement fund - direct deposit?

Thanks everyone, super helpful! As always....
by JaySayms
Sun Aug 25, 2019 10:24 am
Forum: Personal Investments
Topic: Vanguard Settlement fund - direct deposit?
Replies: 6
Views: 918

Re: Vanguard Settlement fund - direct deposit?

Jomoney pointed out, that function is under account maintenance. Found it! Thanks Now...is it possible to delete VMSXX from my holdings? I feel like in the past you couldn't delete any funds, only liquidate the contents but the fund would stay. But I think this fund charges you a fee if you don't ho...
by JaySayms
Sun Aug 25, 2019 9:55 am
Forum: Personal Investments
Topic: Vanguard Settlement fund - direct deposit?
Replies: 6
Views: 918

Vanguard Settlement fund - direct deposit?

Sorry if this is a question already answered, but I can't find it anywhere and I am not very savvy when it comes to these things. My question is about the new(ish) Brokerage account Settlement fund that everyone at Vanguard now has to use. Up until the point where I was forced to go with a brokerage...
by JaySayms
Tue Jan 15, 2019 11:25 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

I appreciate the thoughtful response. A couple of things to clarify: If/when I retire in 2029, I'll be getting the equivalent to $44000 per year from my pension, with a COLA. If my house was close to being paid off, then my pension alone would likely cover my bills, plus a little. I wouldn't be who...
by JaySayms
Tue Jan 15, 2019 10:59 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

{edit}And actually - reading your cliff notes, we're almost in an identical situation! Near same age, mortgage, etc., lol. I don't have a pension (curse you) but a substantially bigger nest egg. I too would like to retire around 53. I would say that you have a LOOONG way to go if you're retiring th...
by JaySayms
Tue Jan 15, 2019 9:32 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

You don't mention an HSA in your list of tax advantaged accounts. If you have access to an HSA you can treat that as another retirement account. I reached the point you are currently in several ago where all of my tax advantaged space was maxed and I was wondering what to do with extra cash. I ende...
by JaySayms
Tue Jan 15, 2019 9:27 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

You don't mention an HSA in your list of tax advantaged accounts. If you have access to an HSA you can treat that as another retirement account. I reached the point you are currently in several ago where all of my tax advantaged space was maxed and I was wondering what to do with extra cash. I ende...
by JaySayms
Tue Jan 15, 2019 5:46 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

{edit}And actually - reading your cliff notes, we're almost in an identical situation! Near same age, mortgage, etc., lol. I don't have a pension (curse you) but a substantially bigger nest egg. I too would like to retire around 53. I would say that you have a LOOONG way to go if you're retiring tha...
by JaySayms
Tue Jan 15, 2019 5:42 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

Depends on risk tolerance and age and tax bracket. I'm in a similar situation, although my mortgage rate is at 3.25% on 30 years with 24ish years left. I can't bring myself to pay it down. I put the extra money into index ETFs periodically. If there is a particular down year, I sell to harvest the ...
by JaySayms
Tue Jan 15, 2019 5:35 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

You don't mention an HSA in your list of tax advantaged accounts. If you have access to an HSA you can treat that as another retirement account. I reached the point you are currently in several ago where all of my tax advantaged space was maxed and I was wondering what to do with extra cash. I ende...
by JaySayms
Tue Jan 15, 2019 5:31 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

In stead of paying down your mortgage (with low interest rate of 3.81%), consider the followings: 1. Use extra money as down pay to buy an investment (rental) property at a good location; 2. Unless your contribution to 401(k) is matched by your employer, do NOT contribute to 401(k), as tax rate wou...
by JaySayms
Tue Jan 15, 2019 4:50 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

I've found this helpful: https://forum.mrmoneymustache.com/investor-alley/investment-order/msg1333153/#msg1333153 "7. Pay off any debts with interest rates ~3% or more above the current 10-year Treasury note yield." Current 10 year treasury note: 2.75% So a mortgage of 3.875% + 2.75% = 6.625%. So, ...
by JaySayms
Tue Jan 15, 2019 4:42 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

I'll give the search button another try, I found it a bit lacking earlier but maybe I just didn't look hard enough Things to look in to: 1) How long have you had the mortgage (the older the mortgage the less your interest savings due to how mortgages are amortized); 2) Is your mortgage tax deductib...
by JaySayms
Tue Jan 15, 2019 2:53 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

Paying off debt is a great way to kick the decision can down the road. So put dollars into the mortgage as you think about it some more. By the time you figure out what you want to do with the extra money, you'll have more excess extra money. I don't know......get on the list for a new Porsche 911 ...
by JaySayms
Tue Jan 15, 2019 2:45 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Re: Retirement accounts maxed out, what to do with extra cash?

I appreciate all the replies. In terms of financial or life goals, I can give you the cliff notes version, but I don't think it will change your answers that much. I hope to retire at 53, 10 years from now. I'll have a pension equal to $42,000 per year, in today's dollars and hope to have roughly $ ...
by JaySayms
Tue Jan 15, 2019 1:41 pm
Forum: Personal Investments
Topic: Retirement accounts maxed out, what to do with extra cash?
Replies: 32
Views: 2331

Retirement accounts maxed out, what to do with extra cash?

Maybe you can point me in the right direction, either with personal experience, an article, web page or a book. I follow Boglehead principles, take a three fund approach as best I can across a 401k, 457, roth IRA and a taxable account. I currently max out all my retirement accounts and throw some ex...
by JaySayms
Fri Feb 09, 2018 1:13 pm
Forum: Personal Investments
Topic: Anybody hit their rebalance bands?
Replies: 27
Views: 3236

Anybody hit their rebalance bands?

I was surprised to see that I hadn't hit my rebalance bands for overall stock to bonds ratio after the last weeks' dips. I have them set at 5% and I only ended up around 2.5% today. I decided to rebalance anyways as it looked like a reasonable time to do so after a 10% correction. This may seem like...
by JaySayms
Fri Jun 02, 2017 1:23 pm
Forum: Personal Investments
Topic: Bonds in taxable
Replies: 8
Views: 955

Re: Bonds in taxable

livesoft wrote:
JaySayms wrote:So you believe that the tax benefit outweighs the value of owning your expected highest earning funds in tax advantaged space of a roth.
Absolutely not. How did you get that out of what I posted?

Nevermind.
by JaySayms
Fri Jun 02, 2017 12:56 pm
Forum: Personal Investments
Topic: Bonds in taxable
Replies: 8
Views: 955

Re: Bonds in taxable

I'd advise checking out "Pet Peeve #1" here: https://www.whitecoatinvestor.com/my-two-asset-location-pet-peeves/ And also this: https://www.kitces.com/blog/asset-location-for-stocks-in-a-brokerage-account-versus-ira-depends-on-time-horizon/ Thanks for sharing. Haven't read the second article yet, b...
by JaySayms
Fri Jun 02, 2017 12:07 pm
Forum: Personal Investments
Topic: Bonds in taxable
Replies: 8
Views: 955

Re: Bonds in taxable

I think bonds go in tax-deferred if they fit. One can invest in equities in taxable very very tax-efficiently. So if one is low-income, then equities in taxable are essentially tax-free. If one is high-income and tax-exempt bonds are better than non-tax-exempt bonds when either or both are invested...
by JaySayms
Fri Jun 02, 2017 11:49 am
Forum: Personal Investments
Topic: Bonds in taxable
Replies: 8
Views: 955

Re: Bonds in taxable

What tax bracket are you in? Generally if you're in a lower tax bracket, you won't be hit so hard with the tax inefficiencies of a bond fund. If you're in a higher tax bracket, you could try investing in a tax-exempt muni bond fund or go with savings bonds. Thanks for the response. My marginal tax ...
by JaySayms
Fri Jun 02, 2017 11:31 am
Forum: Personal Investments
Topic: Bonds in taxable
Replies: 8
Views: 955

Bonds in taxable

I know this has been talked about quite a bit in the forums over the years but I felt it was hard to dig out a good answer for today's interest rate environment. I currently have no bonds in my taxable account. They are all held in two employer accounts, a 401k and a 457. The 401k is a trust so I ha...
by JaySayms
Sun May 07, 2017 6:04 pm
Forum: Personal Investments
Topic: POLL: Pay down 3.5% mortgage or invest in taxable?
Replies: 102
Views: 20388

Re: POLL: Pay down 3.5% mortgage or invest in taxable?

Funny, I just brought up the same question with my spouse. I suggested we put some extra money towards our 30 year 3.5% mortgage. The response was- that sounds dumb. Don't we expect our investments to make over 3.5% long term and don't we also expect interest rates to be higher in the future? I hav...
by JaySayms
Sun May 07, 2017 11:50 am
Forum: Personal Investments
Topic: POLL: Pay down 3.5% mortgage or invest in taxable?
Replies: 102
Views: 20388

Re: POLL: Pay down 3.5% mortgage or invest in taxable?

Old thread but interesting read. What about a 15 year fixed vs. a 30 year standard mortgage? Better rate, still an inflation hedge and a little money left over for your taxable account.
by JaySayms
Wed Apr 12, 2017 7:39 pm
Forum: Personal Finance (Not Investing)
Topic: Funding a house build
Replies: 5
Views: 874

Re: Funding a house build

I know someone who financed 1.3MM construcion loan, which was 3% interest only payments during construction and then converted to a 30 year fixed at 3.25% upon completion. It was a 2MM build; they put $700k upfront. Construction took 8 months; the disbursements were in four 25% packets. Each bank d...
by JaySayms
Wed Apr 12, 2017 7:38 pm
Forum: Personal Finance (Not Investing)
Topic: Funding a house build
Replies: 5
Views: 874

Re: Funding a house build

Depends on many factors (I would think). Some are: Are you going to finance the mortgage after the house is built and thus get a construction loan that converts to a ARM or fixed after the house is built? How much liquidity do you need if one sells investments to pay for the construction? How much ...
by JaySayms
Wed Apr 12, 2017 5:58 pm
Forum: Personal Finance (Not Investing)
Topic: Funding a house build
Replies: 5
Views: 874

Funding a house build

Hi everyone, For all you house builders out there, novice or experienced, if given the option of getting a construction loan to build a house vs. pulling money out of a taxable investment account, which do you prefer and why? Assume all capital gains are long term. Any reason why getting a construct...
by JaySayms
Mon Mar 27, 2017 8:20 pm
Forum: Personal Finance (Not Investing)
Topic: Turbo Tax 2016 purchase source
Replies: 91
Views: 19044

Re: Turbo Tax 2016 purchase source

Dang. Shoulda read this thread before simply clicking the Turbotax link at Vanguard. Ended up costing me $79.00. They bamboozled me!
by JaySayms
Sun Jan 08, 2017 12:47 am
Forum: Personal Investments
Topic: Funding Roth IRA from taxable
Replies: 6
Views: 773

Re: Funding Roth IRA from taxable

If you sell shares of your tax exempt fund there may be some capital gains taxes,,,but If you are using the dividends ,,it is like using cash, so there are no tax implications. I like that idea. Fund it with dividends. :happy OP indicated that he held tax exempt money market . No capital gains issu...
by JaySayms
Sat Jan 07, 2017 1:00 pm
Forum: Personal Investments
Topic: Funding Roth IRA from taxable
Replies: 6
Views: 773

Funding Roth IRA from taxable

I read a few threads on this but I'm still a little confused. I have a tax exempt money market account in my taxable at Vanguard. All dividends are directed there from my funds in the taxable account. I'd like to take what's in there and fund my Roth Ira with it. Will there be any tax implications? ...
by JaySayms
Tue Dec 27, 2016 4:59 pm
Forum: Personal Investments
Topic: My 401k kinda sucks
Replies: 8
Views: 1145

Re: My 401k kinda sucks

livesoft wrote:I think you should always max it out, that is all $18K and later $24K or whatever the statutory limit is.

The tax deferral is worth it and the match is just a bonus.

Awesome, thank you. I'll continue on into 2017.
by JaySayms
Tue Dec 27, 2016 4:53 pm
Forum: Personal Investments
Topic: My 401k kinda sucks
Replies: 8
Views: 1145

Re: My 401k kinda sucks

1- Contribute up to 6.2% to get the match. No matter what, that is equal to 100% rate on investment, even if you pay too much fees and even if your investment is too bad, it is still worth it. 2- Open an IRA (or Roth IRA) account. Depends on your tax situation and eligibility. Max it out. Invest in...
by JaySayms
Tue Dec 27, 2016 4:40 pm
Forum: Personal Investments
Topic: My 401k kinda sucks
Replies: 8
Views: 1145

My 401k kinda sucks

I have a kinda sucky 401k, but a good match. Up to 6.2% Obviously contributing the 6.2% is a no brainer. But what about after that? The 401k is a trust, meaning I have zero control over which funds I invest in. It's a moderate portfolio at about 60% stocks, 40% bonds. Stocks are 80-20 split Domestic...
by JaySayms
Tue Dec 13, 2016 1:59 pm
Forum: Investing - Theory, News & General
Topic: I thought Swedroe was a fan of REITs?
Replies: 127
Views: 12992

Re: I thought Swedroe was a fan of REITs?

As a 95%er, I have to agree with Paul and say that reading a couple books a year from my local library on investing and some odd 200 posts on Bogleheads woefully under qualifies me in terms of making tactical moves away from a total stock market approach. These threads are always really interesting ...
by JaySayms
Sun Dec 04, 2016 3:07 pm
Forum: Investing - Theory, News & General
Topic: Anybody regretting holding on to your REITS?
Replies: 97
Views: 17615

Re: Anybody regretting holding on to your REITS?

If you have a small allocation, yet this recent "dip" was enough to trigger a rebalance, do you mind sharing what your rebalance bands are? Seems like the 5/25 rule that a lot of bogleheads use (so do I) wouldn't be aggressive, or sensitive enough to have triggered a rebalance. I said that this rec...
by JaySayms
Sat Dec 03, 2016 4:13 pm
Forum: Investing - Theory, News & General
Topic: Anybody regretting holding on to your REITS?
Replies: 97
Views: 17615

Re: Anybody regretting holding on to your REITS?

Historically they zig when stocks or bonds zag. However, in times of financial stress all assets may decrease. This was true during the financial crisis. However, REITs performed very well during the technology bust of 2000. Hi, Why do they go opposite the stocks and bonds? They don't. You have bee...
by JaySayms
Sun Nov 27, 2016 2:01 pm
Forum: Investing - Theory, News & General
Topic: Military Pension (Or any pension) - Roth vs. Traditional for 401K
Replies: 21
Views: 4468

Re: Military Pension (Or any pension) - Roth vs. Traditional for 401K

Not to hijack, but perhaps I can piggy back a question here as I have always been a little foggy on marginal tax rates. So, in looking at my tax returns from last year, I believe I ended up in the 21% range for marginal tax rate. So in answer to Grabiner's questions above, • marginal tax rate is 21%...
by JaySayms
Fri Nov 11, 2016 11:07 pm
Forum: Investing - Theory, News & General
Topic: Anybody regretting holding on to your REITS?
Replies: 97
Views: 17615

Re: Anybody regretting holding on to your REITS?

Thanks for all the responses. Not currently an owner of REITS, but have always been tempted to hold in my ROTH ira. Kinda seems like you need to be a frequent checker of your portfolio in order to take advantage of the volatility "premium" REITS have to offer. I check my portfolio once a month and r...
by JaySayms
Fri Nov 11, 2016 2:52 pm
Forum: Investing - Theory, News & General
Topic: Anybody regretting holding on to your REITS?
Replies: 97
Views: 17615

Anybody regretting holding on to your REITS?

Looks like VNQ is down substantially after a gradual decline the last few months. Any regrets, or holding on for the long haul?
by JaySayms
Thu Sep 29, 2016 10:41 pm
Forum: Personal Investments
Topic: Are REITS appropriate in a "buy and hold" portfolio?
Replies: 18
Views: 3148

Are REITS appropriate in a "buy and hold" portfolio?

For those that slice and dice, and particularly with REITS, I have heard that some of the premium is in the owners ability to "buy the dips", as REITS are potentially more volatile than other sectors of the market. Is this true? Do most people who own them, monitor their portfolios daily and buy the...
by JaySayms
Thu Sep 29, 2016 3:28 pm
Forum: Investing - Theory, News & General
Topic: reit allocation
Replies: 30
Views: 5463

Re: reit allocation

I slice and dice. I like risk. I also like being realistic about things. REITs are either stocks or a volatile 3rd class of investments that are similar to stocks in the risk profile. We have a 10% allocation to real estate in our plan and treat it as a volatile 3rd asset class. Over time, our stoc...
by JaySayms
Wed Sep 28, 2016 12:39 am
Forum: Investing - Theory, News & General
Topic: Anybody using Rick Ferri's "Total Economy Portfolio"?
Replies: 27
Views: 5691

Re: Anybody using Rick Ferri's "Total Economy Portfolio"?

nedsaid wrote:Provide a link and I will read about it and comment. Thanks.

viewtopic.php?t=91615
by JaySayms
Tue Sep 27, 2016 11:50 pm
Forum: Investing - Theory, News & General
Topic: Anybody using Rick Ferri's "Total Economy Portfolio"?
Replies: 27
Views: 5691

Anybody using Rick Ferri's "Total Economy Portfolio"?

I believe it calls for 25% SCV and 10% REIT. The rest is Total stock market and total international on the equity side. Bonds were not discussed.

Anybody use it, and why/why not?

Just curious. Thanks!
by JaySayms
Mon Sep 26, 2016 5:32 pm
Forum: Personal Investments
Topic: Value indexes to bring portfolio back from growth tilt
Replies: 2
Views: 515

Value indexes to bring portfolio back from growth tilt

This may be splitting hairs, but I thought I'd ask anyways: I have a few retirement accounts, a 401k, a 457, a roth ira and a taxable account at Vanguard. My 401k is through my employer and it is a "trust". In other words the portfolio is decided upon by a management team and we, the employees, have...
by JaySayms
Mon Sep 12, 2016 6:07 pm
Forum: Personal Investments
Topic: Washington state bond fund
Replies: 13
Views: 1758

Re: Washington state bond fund

patrick wrote:Although it doesn't show a total percentage, it is interesting to note that there are a fair number of non-US issuers in the top 10.
That is interesting, though I don't really know if that's good, bad or indifferent!
by JaySayms
Mon Sep 12, 2016 6:05 pm
Forum: Personal Investments
Topic: Washington state bond fund
Replies: 13
Views: 1758

Re: Washington state bond fund


Gotcha. I was looking at Plan 3, which for some reason does not offer the savings pool bond fund. Thanks!
by JaySayms
Mon Sep 12, 2016 3:10 pm
Forum: Personal Investments
Topic: Washington state bond fund
Replies: 13
Views: 1758

Re: Washington state bond fund

alec wrote:You could always use the stable value fund in addition to the bond fund.

It's called the Savings Pool fund.

Hmmmmm....Saving pool fund? I don't see that in the offerings. The only other non equity fund is a money market fund from Black rock.
by JaySayms
Mon Sep 12, 2016 2:52 pm
Forum: Personal Investments
Topic: Washington state bond fund
Replies: 13
Views: 1758

Re: Washington state bond fund

It looks like a fine investment. It would probably be relatively similar to Vanguard's Intermediate-Term Investment-Grade, which has similar expenses (0.20% on Investor shares, 0.10% on Admiral shares); you could look at charts of the Vanguard fund to get an idea of the risk involved. If you have a...