Search found 945 matches

by markcoop
Tue Jun 18, 2019 2:15 pm
Forum: Personal Finance (Not Investing)
Topic: HSA - 2 parts: contribute and spend. When to spend?
Replies: 23
Views: 1039

Re: HSA - 2 parts: contribute and spend. When to spend?

I am not sure I followed what you have above, but I am pretty sure the Roth will yield the same result at the end as well, assuming tax rates stay the same. Everything hinges on this part: "This would result in a tax saving of $1.75k at tax time, since HSA goes in tax free, whereas Roth does not." ...
by markcoop
Tue Jun 18, 2019 2:08 pm
Forum: Personal Finance (Not Investing)
Topic: HSA - 2 parts: contribute and spend. When to spend?
Replies: 23
Views: 1039

Re: HSA - 2 parts: contribute and spend. When to spend?

My whole point here is once the money is in the HSA, it is just like any other tax-advantaged account if used for medical bills. But it isn't. :) $7K pre-tax into an HSA, and growth therefrom, never gets taxed if used for medical bills. $7K pre-tax into a tIRA, and growth therefrom, is taxed on wit...
by markcoop
Tue Jun 18, 2019 1:37 pm
Forum: Personal Finance (Not Investing)
Topic: HSA - 2 parts: contribute and spend. When to spend?
Replies: 23
Views: 1039

Re: HSA - 2 parts: contribute and spend. When to spend?

ok...Nice analysis. A few small mistakes that actually will demonstrate my point. 1) "All of the above are before tax." - Not actually true as some of the money was Roth money that would have been contributed post-tax. However, no harm on that point. We can assume all is tax-deffered for this examp...
by markcoop
Tue Jun 18, 2019 1:23 pm
Forum: Personal Finance (Not Investing)
Topic: HSA - 2 parts: contribute and spend. When to spend?
Replies: 23
Views: 1039

Re: HSA - 2 parts: contribute and spend. When to spend?

In other words, they came out the same! Need to start both scenarios with the same pre-tax amounts to get apples v. apples. If one assumes $64K to pre-tax non-HSA (401k, etc.), $7K to an HSA, and a $7K medical bill, that's $64K + $7K + $7K/0.75 = $80,333.33. If the medical bill is paid after tax, t...
by markcoop
Tue Jun 18, 2019 12:37 pm
Forum: Personal Finance (Not Investing)
Topic: HSA - 2 parts: contribute and spend. When to spend?
Replies: 23
Views: 1039

Re: HSA - 2 parts: contribute and spend. When to spend?

Maybe my question can be simplified. Assuming all my tax-advantaged accounts (401K, 403B, Roth IRAs, HSAs) are all equal as far as choices and fees (just making this assumption to clarify the choice), then would it be adviseable to first max out everything listed above before paying medical bills w...
by markcoop
Tue Jun 18, 2019 11:09 am
Forum: Personal Finance (Not Investing)
Topic: HSA - 2 parts: contribute and spend. When to spend?
Replies: 23
Views: 1039

Re: HSA - 2 parts: contribute and spend. When to spend?

Maybe my question can be simplified. Assuming all my tax-advantaged accounts (401K, 403B, Roth IRAs, HSAs) are all equal as far as choices and fees (just making this assumption to clarify the choice), then would it be adviseable to first max out everything listed above before paying medical bills wi...
by markcoop
Tue Jun 18, 2019 9:50 am
Forum: Personal Finance (Not Investing)
Topic: HSA - 2 parts: contribute and spend. When to spend?
Replies: 23
Views: 1039

Re: HSA - 2 parts: contribute and spend. When to spend?

Am I looking at this correctly? Anyone see any problems with my logic? I just seem to always hear about the great advantages of HSAs, and they are great, but they involve two separate decisions. Anyone think it is worth it to cut back on Roth or 401K contributions to keep money saved in my HSA? See...
by markcoop
Mon Jun 17, 2019 4:51 pm
Forum: Personal Finance (Not Investing)
Topic: HSA - 2 parts: contribute and spend. When to spend?
Replies: 23
Views: 1039

HSA - 2 parts: contribute and spend. When to spend?

HSA's are a unique product offering triple tax advantages: No taxes on the way in, possible no Social Security and Medicare on the way in (via payroll deduction) and no taxes on the way out (if used for medical expenses). Seems like a no-brainer to max-out this product if available and you are able ...
by markcoop
Mon Jun 17, 2019 1:16 pm
Forum: Personal Finance (Not Investing)
Topic: Article on high deductible health plans - and the math
Replies: 104
Views: 6676

Re: Article on high deductible health plans - and the math

rantk81 wrote:
Mon Jun 17, 2019 12:57 pm
The $7000 into the HSA is deductible in either case.

If you are not in an HDHP, you are not eligible to contribute to an HSA.
by markcoop
Mon Jun 17, 2019 12:48 pm
Forum: Personal Finance (Not Investing)
Topic: Article on high deductible health plans - and the math
Replies: 104
Views: 6676

Re: Article on high deductible health plans - and the math

These two options are really similar: 1) $6,000 annual premium + $6,000 deductible. 2) $12,000 annual premium. In fact, (1) is really superior because you may not use the whole deductible. In reality, the numbers may not be like that, but when you factor in annual maxes and employer contributions, ...
by markcoop
Mon Jun 17, 2019 12:33 pm
Forum: Personal Finance (Not Investing)
Topic: Article on high deductible health plans - and the math
Replies: 104
Views: 6676

Re: Article on high deductible health plans - and the math

For the past few years I have used a HDHP and have chewed through my $6,000+ family deductible. In fact, I expected to with a family of 5 and some medications used. I still came out better than the other options. Others have mentioned it, but I think it is important enough to mention. These two opti...
by markcoop
Sat Jun 15, 2019 12:17 pm
Forum: Personal Investments
Topic: For those of you who have a factor diversified portfolio, what is yours?
Replies: 27
Views: 1584

Re: For those of you who have a factor diversified portfolio, what is yours?

I just tilt using a small value fund in my 401K run by Vanguard that tracks the Russel 2K. It has an .04% expense ratio. I have about 20% of my domestic stock in it. On the int'l side, I overweight small with Vanguard FTSE All-World ex-US Small-Cap Index in my Roth IRA. That is about 25% of my int'l...
by markcoop
Sat Jun 15, 2019 12:01 pm
Forum: Personal Consumer Issues
Topic: IPhone 6 - showing some age
Replies: 63
Views: 3719

Re: IPhone 6 - showing some age

Although I would suspect the battery to be the issue, I would recommend to do a factory reset after making sure you know how to get everything back. If something on your phone is draining power, this could clear it up. I imagine there are tools that can detect if there is a software issue, but a fac...
by markcoop
Tue Jun 11, 2019 8:20 pm
Forum: Personal Investments
Topic: Help me analyze small value in my 401K
Replies: 5
Views: 364

Re: Help me analyze small value in my 401K

Thanks for the replies. I have always just blindly used the small value fund in my 401K because it had such a low fee and Vanguard was the fund manager. Pretty surprising looking under the hood a bit and seeing such differences between small value funds (Russell 2K vs S&P 600). The return difference...
by markcoop
Tue Jun 11, 2019 3:10 pm
Forum: Personal Investments
Topic: Help me analyze small value in my 401K
Replies: 5
Views: 364

Re: Help me analyze small value in my 401K

How does it compare to VTWV, Vanguard's R2K Value ETF? I haven't looked in a while but I thought R2K was pretty close to S&P600 in terms of median market cap. Both were about 1/2 of Vanguard's preferred CRSP based fund (VBR is the ETF). I did not know about VTWV. The fund in my 401K appears to trac...
by markcoop
Tue Jun 11, 2019 1:13 pm
Forum: Personal Investments
Topic: Help me analyze small value in my 401K
Replies: 5
Views: 364

Help me analyze small value in my 401K

With all the recent factor threads, I've been trying to understand the small value fund offered in my 401K. As it doesn't map to a known fund, I was hoping to get some input from people here as to how it compares to other small cap value funds as far as size and value. It uses the Russell 2000 Value...
by markcoop
Thu Jun 06, 2019 1:02 pm
Forum: Investing - Theory, News & General
Topic: Excellent Larry Swedroe Podcast Interview: Factors For The Long Run
Replies: 337
Views: 17273

Re: Excellent Larry Swedroe Podcast Interview: Factors For The Long Run

I have found this thread very interesting. Thanks to the contributors. I have always been a small tilter (approx 85% TSM + 15% SV). Have been doing this over the past couple of decades having read some of Larry's and Rick's books. I work for a large company, so in addition to the factor play, I have...
by markcoop
Tue May 28, 2019 12:21 pm
Forum: Personal Investments
Topic: For those of us that can't max contribute
Replies: 74
Views: 6923

Re: For those of us that can't max contribute

I think sometimes these priority lists are looked at incorrectly. If the item in the list is concerning the same goal, it's fine to say don't do B before A. But when there are mixed goals, I think one may want to save for multiple goals. You just want to give priority, not exclusivity, to the higher...
by markcoop
Fri May 24, 2019 8:47 am
Forum: Personal Investments
Topic: Options for Roth conversions
Replies: 3
Views: 407

Re: Options for Roth conversions

Thanks for the responses. So it looks like I will have some flexibility in how I get money into Roth accounts. Hopefully they don't change the rules for doing Roth conversions. It seems to me it is a really important step in the retirement process.
by markcoop
Thu May 23, 2019 2:56 pm
Forum: Personal Investments
Topic: Options for Roth conversions
Replies: 3
Views: 407

Options for Roth conversions

I'm starting to think about how I will do Roth conversions after I retire. I still have a few years to go, but want to understand some of the rules better. 1) Can I do a Roth conversion from a traditional 401K to a Roth IRA? My research showed it can be done with a two-step process: First, convert t...
by markcoop
Wed May 22, 2019 2:47 pm
Forum: Personal Finance (Not Investing)
Topic: Do you think we can stop funding our 529 plan?
Replies: 41
Views: 2923

Re: Do you think we can stop funding our 529 plan?

This is the Texas Promise Fund. You buy tuition credits that are indexed to the most expensive public university program in Texas (a nursing program, if I recall correctly). I didn't set up the plan, my ex did. We ended up funding 100% tuition, then realized that all other public programs are cheap...
by markcoop
Wed May 22, 2019 11:42 am
Forum: Personal Finance (Not Investing)
Topic: Do you think we can stop funding our 529 plan?
Replies: 41
Views: 2923

Re: Do you think we can stop funding our 529 plan?

Hydromod wrote:
Wed May 22, 2019 11:24 am
Also, make sure that you know whether the 529 can be used for room and board. Some don't allow this, as I found out to my chagrin.
Please explain. It's not up to the 529 plan to decide whether you withdrew the money for a qualified expense including room and board.
by markcoop
Thu May 09, 2019 11:33 am
Forum: Personal Investments
Topic: alternatives to 529 plans
Replies: 44
Views: 2214

Re: 529 plan limitations

It's an annoying limitation. One loophole is if you have multiple kids. You can move money around between their plans and change investment options at that time.
by markcoop
Tue May 07, 2019 12:05 pm
Forum: Personal Finance (Not Investing)
Topic: 529 Question--one per child, or one per family?
Replies: 13
Views: 1065

Re: 529 Question--one per child, or one per family?

I had one 529 for my 3 kids. I did it for a few reasons: 1) Simplicity during the accumulation phase. 2) Didn't really want to deal with rates of returns not being equal (should one get more because of something beyond their control?). 3) Didn't want to deal with college inflation - The cost for a y...
by markcoop
Wed May 01, 2019 9:27 pm
Forum: Personal Investments
Topic: Ever Too Much in HSA?
Replies: 53
Views: 5078

Re: Ever Too Much in HSA?

I feel there really are two decisions to be made: 1) Should you max out the HSA contributions? 2) Should you pay for medical bills out of pocket or from the HSA? I think (1) should be the high priority mentioned above (right after 401K company match). For (2) however, I think you really need to look...
by markcoop
Wed May 01, 2019 10:13 am
Forum: Personal Investments
Topic: Ever Too Much in HSA?
Replies: 53
Views: 5078

Re: Ever Too Much in HSA?

I have a slightly different approach for myself (I am 53). I am not in position to max out my 401K, Roth IRAs and HSA in years when I have high medical expenses. However, I do max out HSA contributions. I think it's a no-brainer. If I have medical expenses, I have the money for them. If I don't, the...
by markcoop
Tue Apr 30, 2019 7:55 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

I really think LTCi is becoming a real problem in this country and it will be interesting how the industry changes in the future. Has anyone investigated other alternatives? For example, would the use of trusts and immediate annuities be a way of protecting a good portion of your money and just go o...
by markcoop
Tue Apr 30, 2019 7:31 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

So you pay a reasonable rate for insurance you don't need at 50, and then at 70-80 rates are jacked up to point you must drop them, and the insurance companies know you can't get a policy anywhere else due to age and elimination of competition in recent years. I thought that insurance companies by ...
by markcoop
Mon Apr 29, 2019 2:56 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

A few posters, as well as myself, mentioned they would be interested in a policy that had a 3 year deductible. Currently, I was told the largest deductibles are 1 year. Perhaps in the future insurance companies may find it profitable to offer such policies, especially because the odds of needing ins...
by markcoop
Mon Apr 29, 2019 2:15 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

I have 5% just like yours but only for the first 15 years The premiums didn't increase each year after that because of the inflation factor. But, usually it is only good for 15 or 20 years of inflation coverage, then the maximum monthly benefit freezes. I have a hard time understanding stopping the...
by markcoop
Mon Apr 29, 2019 1:14 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

So here's the scoop on what is being offered to me. They have many policies and many options. A fixed premium policy is an option as well as the inflation adjusted premium option I quoted earlier. I had mentioned one kind of policy I am considering, if I decide to do this, will be one with a longer ...
by markcoop
Sun Apr 28, 2019 11:22 am
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

I will inquire about the increasing premiums. One point, however, is that the increasing premiums due to inflation is not necessarily the reason for buying earlier. Without the inflation rider, the cost would be stable. And if I bought it at a later age, say 59, the cost would be still be stable but...
by markcoop
Sat Apr 27, 2019 6:02 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

I do not think the numbers sound that crazy. It is just that most people do not calculate total premiums to age 100 along with a 5% increase every year in both premiums and benefits. The numbers quoted stop the inflation rider at 85. I also asked to show me a policy with a 3% inflation rider, altho...
by markcoop
Sat Apr 27, 2019 5:00 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

I did not want to get too bogged down with numbers for this post. I had asked for a couple different alternatives. The original amount suggested was as follows: Benefit amt: $360K Inflation: 5% (stop increasing policy for inflation at 85) Elimination period: 12 weeks His total premium: $900K Her to...
by markcoop
Sat Apr 27, 2019 4:49 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

Is this the rate you would pay if you started the insurance at that age? No. That is the premium in each year. It goes up because of the inflation rider. Edit: I believe that is the big difference with would is being compared here to other people's policies and why mine sounds so high. Then I certa...
by markcoop
Sat Apr 27, 2019 4:42 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

smitcat wrote:
Sat Apr 27, 2019 4:38 pm
Is this the rate you would pay if you started the insurance at that age?
No. That is the premium in each year. It goes up because of the inflation rider.

Edit: I believe that is the big difference with what is being compared here to other people's policies and why mine sounds so high.
by markcoop
Sat Apr 27, 2019 4:40 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

... Very, very few people need more than 3 years of care. So save your money and self-insure. ... So the ideal policy wouldn't pay for the first 3 years but would pay for everything after 3 years. That would protect against the risk that you're the one who needs care for a very long time. Since tha...
by markcoop
Sat Apr 27, 2019 4:21 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

Here's the info for my wife: 53, Female Initial Annual Contract Premium: $3,400 State of Execution: New York Maximum Monthly Limit for: 100% Nursing Home Care: $10K 100% Home Health Care: $10K 100% Assisted Living Facility Care: $10K Annual Premium: $3,400 Caregiver Training Benefit: $2,000.00 (Life...
by markcoop
Sat Apr 27, 2019 3:42 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

I'm confused. Why would you pay $1.4m for only $360k of benefits? I believe the answer is that $360K is in today's value. It would be a max of $10K/month today. By the time I hit 100, the max would be $47K/month. I am a bit confused if that is the total that would be paid for the life of the policy...
by markcoop
Sat Apr 27, 2019 2:39 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

Have you shopped around? Your premiums sound ludicrously high. I have not shopped around yet. The numbers quoted above were total premiums paid up until age 100. I thought this one insurer was enough to decide if I want to buy it now. If I decide yes, then I would shop around. I suspected that shop...
by markcoop
Sat Apr 27, 2019 1:50 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Re: Why I don't think I should get long term care insurance right now

Can you share your premium calculations that get you to $2 million. I did not want to get too bogged down with numbers for this post. I had asked for a couple different alternatives. The original amount suggested was as follows: Benefit amt: $360K Inflation: 5% (stop increasing policy for inflation...
by markcoop
Sat Apr 27, 2019 12:50 pm
Forum: Personal Finance (Not Investing)
Topic: Why I don't think I should get long term care insurance right now
Replies: 87
Views: 4630

Why I don't think I should get long term care insurance right now

My wife and myself are both 53 years old. I have been talking to an insurance salesperson about long term care insurance. At this point, I am leaning against getting it for the following reasons: 1. The total cost difference is about $20K total to not buy it now, but instead buy at age 59. Since I v...
by markcoop
Tue Apr 23, 2019 6:09 pm
Forum: Personal Investments
Topic: Max out 403b/401k early ?
Replies: 16
Views: 1012

Re: Max out 403b/401k early ?

Maybe a simple example: Tax rate: 25% Capital gains tax: 15% Initial pretax contribution: $1,000 Gain: 20% A) Value in 401K at withdrawal: Total with gain = $1,000*1.20= $1,200; After taxes = $1,200*.75 = $900 B) Value in taxable at withdrawal: Initial value after taxes = $1,000*.75 = $750; Total w...
by markcoop
Tue Apr 23, 2019 2:04 pm
Forum: Personal Investments
Topic: Max out 403b/401k early ?
Replies: 16
Views: 1012

Re: Max out 403b/401k early ?

All contributions and earnings in a tax-deferred account are subject to ordinary income taxes on withdrawal. Therefore, capital gains and qualified dividends that would have been taxed at capital gains tax rates are effectively converted to ordinary income subject to ordinary income tax rates. The ...
by markcoop
Tue Apr 23, 2019 11:56 am
Forum: Personal Investments
Topic: Max out 403b/401k early ?
Replies: 16
Views: 1012

Re: Max out 403b/401k early ?

Spirit Rider - I'm having a hard time understanding this point about order and tax-deffered accounts. I believe many here have seen the math showing a tax-free account will yield the same result as a tax-deffered account assuming the tax rates are the same. So, it would therefore seem to me that inv...
by markcoop
Mon Apr 22, 2019 9:30 am
Forum: Personal Finance (Not Investing)
Topic: 1st job as an MD- contract review
Replies: 16
Views: 2071

Re: 1st job as an MD- contract review

delete mistake
by markcoop
Fri Apr 19, 2019 7:42 am
Forum: Personal Investments
Topic: Thinking about selling stocks near all time highs
Replies: 98
Views: 9427

Re: Thinking about selling stocks near all time highs

If the change is permanent because of your age and changing risk tolerance, I can't think of a better time to make the change then after a decade of gains and very close to the all-time highs. Otherwise, I have two feelings. If someone one wants to pull back a little because of a decade of gains and...
by markcoop
Mon Apr 15, 2019 9:31 am
Forum: Personal Finance (Not Investing)
Topic: volunteering to teach financial literacy basics
Replies: 27
Views: 1382

Re: volunteering to teach financial literacy basics

I would be very concerned about giving generic advice because the world is just not that clear as to right and wrong. A popular phrase on this sight is "there are many roads to Dublin". I think in the Boglehead scope, they are deciding between adding a small value fund or just owning a total market ...
by markcoop
Wed Apr 10, 2019 10:16 am
Forum: Personal Investments
Topic: EE Bonds past maturity date
Replies: 17
Views: 1278

Re: EE Bonds past maturity date

I'm confused here. I believe what is being said is that I am supposed to put the cumulative income from the bond on the year the bond matures, not the year of redemption. This appears to be true even if the 1099INT is issued for the year of redemption. Then why is the 1099INT issued for the year of ...