Search found 102 matches

by lvrpl
Fri Mar 08, 2019 2:23 pm
Forum: Personal Finance (Not Investing)
Topic: Employee stock options investment thesis?
Replies: 29
Views: 2148

Re: Employee stock options investment thesis?

Thesaints wrote:
Fri Mar 08, 2019 1:53 pm
I don't think a vast majority of people, BH-ers amongst them, understand options.
Can you help us understand, then?
by lvrpl
Tue Feb 26, 2019 11:56 am
Forum: Personal Finance (Not Investing)
Topic: If you currently or are planning to spend over $120k/year in retirement, what is your projected budget?
Replies: 196
Views: 16271

If you currently or are planning to spend over $120k/year in retirement, what is your projected budget?

I've seen a few posts recently of people saying they're planning for a good amount of income in retirement (anywhere form $150k to $350k per year). Just curious for anyone in this camp what that spending looks like broken down by categories. We've planned to have $10k per month (so $120k/year) as ou...
by lvrpl
Mon Feb 11, 2019 10:35 pm
Forum: Personal Investments
Topic: What funds for a fully balanced portfolio in a taxable account?
Replies: 10
Views: 983

Re: What funds for a fully balanced portfolio in a taxable account?

So for the bond fund, I see a lot of people using VWITX - Vanguard Intermediate-Term Tax-Exempt Fund Would this be a good selection for me to put in taxable for my bond allocation? I've also seen a few people using VMLTX - Vanguard Limited-Term Tax-Exempt Fund How would this compare to VWITX for my ...
by lvrpl
Sun Feb 10, 2019 9:59 am
Forum: Personal Investments
Topic: What funds for a fully balanced portfolio in a taxable account?
Replies: 10
Views: 983

Re: What funds for a fully balanced portfolio in a taxable account?

I don't think the previous responder thought at all about tax efficiency. Typically the 3-fund portfolio is recommended for folks who want to think about rebalancing. The bond fund used will be a national tax-exempt muni bond fund and if warranted by one's state income taxes, a state-tax-exempt mun...
by lvrpl
Sun Feb 10, 2019 9:39 am
Forum: Personal Investments
Topic: What funds for a fully balanced portfolio in a taxable account?
Replies: 10
Views: 983

Re: What funds for a fully balanced portfolio in a taxable account?

Life Strategy Aggressive Growth Fund which has a 80:20 ratio of stocks and bonds Life Strategy Moderate Growth Fund which has a 60:40 ratio Wellington Fund, which has a ratio of 60:40, but actively managed Vanguard Balanced Index Fund, which has a ration of 60:40, purely index fund, passively manag...
by lvrpl
Sun Feb 10, 2019 8:58 am
Forum: Personal Investments
Topic: What funds for a fully balanced portfolio in a taxable account?
Replies: 10
Views: 983

What funds for a fully balanced portfolio in a taxable account?

I'd like to have a fully balanced portfolio in a single taxable account. Any suggestions on which funds I should use to make sure it's properly diversified and balanced, and as tax efficient as possible (or should I say, reasonably tax efficient?)? For reference, I'm going with a 75/25 equities to b...
by lvrpl
Thu Feb 07, 2019 10:13 pm
Forum: Personal Finance (Not Investing)
Topic: Is the MBA degree market saturated?
Replies: 39
Views: 4127

Re: Is the MBA degree market saturated?

Some fields still have credentials that matter, like the CPA or CFA. I have cousins who in total have 2 stanford mbas, 2 harvard mba, and 1 wharton mba (who is married to a wharton mba) and NONE of them are any more successful with their mba then they were without. I'm sure I will take a lot of fla...
by lvrpl
Sat Jan 26, 2019 4:55 pm
Forum: Personal Finance (Not Investing)
Topic: Where do you keep your emergency fund?
Replies: 62
Views: 8885

Re: Where do you keep your emergency fund?

VSUXX - Vanguard Treasury Money Market Fund. Right now, 2.3% with no state tax. Another option is VMFXX or VMMXX, but you will pay state tax on that (if you live in a state with income tax). Another option commonly posted here is a high yield savings account (~2%) Is the interest in VSUXX subject t...
by lvrpl
Fri Jan 25, 2019 10:05 am
Forum: Personal Finance (Not Investing)
Topic: How much money do you want to retire?
Replies: 968
Views: 132321

Re: How much money do you need to retire?

For example, I think that with $6M a couple retiring at 50 is fine assuming a non-extravagant lifestyle, and assuming not getting extremely unlucky, such as both getting a stoke and needing long-term care for decades or some such thing. Sure, $10M is even safer and allows for a better lifestyle, bu...
by lvrpl
Thu Jan 17, 2019 11:44 pm
Forum: Personal Finance (Not Investing)
Topic: Paying extra on mortgage - what am I missing?
Replies: 70
Views: 7700

Re: Paying extra on mortgage - what am I missing?

Maybe I missed something but it is unclear to me what other investments are there. If you have only 401k and 50k emergency fund is a bad idea to put 100k in the mortgage. Not necessarily. The OP may have a very significant 401k balance, especially if he rolled over a prior 401k balance into his cur...
by lvrpl
Thu Jan 17, 2019 11:35 pm
Forum: Personal Finance (Not Investing)
Topic: Paying extra on mortgage - what am I missing?
Replies: 70
Views: 7700

Re: Paying extra on mortgage - what am I missing?

I do itemize my deductions every year and my mortgage interest is deductible. With the standard deductions in place from 2019 (for tax year 2018) you might not have to itemize your tax deductions. Standard deductions is $12K for individuals and $24K for married couples. So I guess we can ignore the...
by lvrpl
Thu Jan 17, 2019 11:31 pm
Forum: Personal Finance (Not Investing)
Topic: Paying extra on mortgage - what am I missing?
Replies: 70
Views: 7700

Re: Paying extra on mortgage - what am I missing?

Nate is absolutely correct above. I think the OP is making the assumption that pre-paying $100k eliminates the payments that would have taken the balance from $100k to $0. But that’s wrong; it eliminates the payments that take it from the current balance (let’s call it X) to X-$100k. And since the ...
by lvrpl
Thu Jan 17, 2019 2:51 pm
Forum: Personal Finance (Not Investing)
Topic: Paying extra on mortgage - what am I missing?
Replies: 70
Views: 7700

Re: Paying extra on mortgage - what am I missing?

zhy0916 wrote:
Thu Jan 17, 2019 2:49 pm
Anyone familiar with mortgage interest tax deduction? I wonder if one should consider the fact that if you itemize your deductions, you may be able to deduct your mortgage interest.
I do itemize my deductions every year and my mortgage interest is deductible.
by lvrpl
Thu Jan 17, 2019 2:42 pm
Forum: Personal Finance (Not Investing)
Topic: Paying extra on mortgage - what am I missing?
Replies: 70
Views: 7700

Re: Paying extra on mortgage - what am I missing?

OP, Before you even think about doing this, A) Do you max up your Trad. 401K? B) What is your marginal tax rate? C) Do you pay state income tax? D) Do you qualify for the tax credit if you max up your Trad. 401K? If your marginal tax rate is 22%, how does it makes any sense to pay 22% tax in order ...
by lvrpl
Thu Jan 17, 2019 2:37 pm
Forum: Personal Finance (Not Investing)
Topic: Paying extra on mortgage - what am I missing?
Replies: 70
Views: 7700

Re: Paying extra on mortgage - what am I missing?

That's from a mathematical perspective, as others have shown. But there's more involved than math. Do you have an emergency fund? What is worth to you to have 100K of emergency funds? We have $50k in an emergency fund already. I guess it would be helpful to give a few more details generally for eve...
by lvrpl
Thu Jan 17, 2019 11:52 am
Forum: Personal Finance (Not Investing)
Topic: Paying extra on mortgage - what am I missing?
Replies: 70
Views: 7700

Paying extra on mortgage - what am I missing?

I have a question about pouring a lump-sum into my mortgage. Background: I am currently 1 year into a 30-year mortgage. I will soon have a large-ish lump sum (call it ~$100k) that I'd like to put towards the mortgage in an effort to pay it off more quickly than 30 years. My mortgage is currently at ...
by lvrpl
Thu Dec 27, 2018 10:13 pm
Forum: Personal Investments
Topic: Can I tax loss harvest?
Replies: 3
Views: 225

Re: Can I tax loss harvest?

As far as I understand, unless you sell all your VTSAX holdings, you will be subjected to Wash Sale rule. Your proposed action of reinvesting in VFIAX/VEXAX will not trigger the wash sale,and you can TLH without issues. Edited to clarify further: the wash sale would disallow only to the extent of s...
by lvrpl
Thu Dec 27, 2018 9:58 pm
Forum: Personal Investments
Topic: Can I tax loss harvest?
Replies: 3
Views: 225

Can I tax loss harvest?

I've got some money in a Vanguard brokerage/taxable account that's currently showing a loss for a few thousand dollars that I'd like to try and tax loss harvest, if possible. However, I've never tax loss harvested so want to make sure I'm doing this right (and that I can even do it). All of the fund...
by lvrpl
Mon Oct 29, 2018 3:45 pm
Forum: Personal Finance (Not Investing)
Topic: Am I doing well financially?
Replies: 174
Views: 16790

Re: Am I doing well financially?

House is 1700 sq ft. 3br, 2ba. It's actually on the lower-end price range in our market and in a lesser-desirable neighborhood. Could very easily have spent $100k-$200k more on a house in our market. With potential kids coming down pipeline, downsizing isn't option. Don't think the house is the iss...
by lvrpl
Mon Sep 24, 2018 2:10 pm
Forum: Personal Finance (Not Investing)
Topic: How to pay for upcoming medical / IVF expenses
Replies: 73
Views: 5547

Re: How to pay for upcoming medical / IVF expenses

Just a note on the cost - as you can see, there is a lot of variation in cost for IVF. I think the biggest variables driving people's answers here (and what you can expect) are the following: - How many times will you need to / want to try? Some people are saying it cost them $50k but then also sayi...
by lvrpl
Wed Sep 12, 2018 3:41 pm
Forum: Personal Finance (Not Investing)
Topic: MBA vs Home Ownership
Replies: 24
Views: 2332

Re: MBA vs Home Ownership

My pre-MBA pay was $120k, my post MBA pay is $220k (tech RSU appreciation is really something else). And my current job only hires top MBAs. Quite a few MBAs from 6-figure schools in the house. I'm hijacking this thread because I've been told more than once by a good friend that I should look into ...
by lvrpl
Fri Sep 07, 2018 2:27 pm
Forum: Personal Finance (Not Investing)
Topic: Home purchase PITI % for high income earners
Replies: 16
Views: 1399

Re: Home purchase PITI % for high income earners

DW and I are considering purchasing a new house. My question revolves around PITI (Principal,Interest,Taxes,Insurance) guidelines for purchases. Many things I read suggest keeping PITI to < 28%. Or 28% PITI and up to 36% for total debt. Regardless of the exact numbers, do people adjust down PITI as...
by lvrpl
Thu Aug 16, 2018 8:35 am
Forum: Personal Finance (Not Investing)
Topic: Big 4 Who Jumped to Industry - Compensation
Replies: 35
Views: 10935

Re: Big 4 Who Jumped to Industry - Compensation

Anyone that's left Big 4 in the last few years comfortable with saying what their actual compensation was (in absolute numbers, not increase %), along with the level / number of years you had at the Big 4? Totally understand if people don't want to share that but if you're comfortable, it would be v...
by lvrpl
Tue Jul 10, 2018 10:49 am
Forum: Personal Finance (Not Investing)
Topic: Non-qualified retirement plan - should I enroll?
Replies: 5
Views: 421

Re: Non-qualified retirement plan - should I enroll?

You could look at this as the option to buy company stock at a 37.5% discount (since you're paying $1.00 for every $1.60 of stock). Would you buy the stock at that price? The other benefit (tax deferral) has to be weighed against the inability to cash out until you leave the company and the risks o...
by lvrpl
Tue Jul 10, 2018 10:44 am
Forum: Personal Finance (Not Investing)
Topic: Non-qualified retirement plan - should I enroll?
Replies: 5
Views: 421

Re: Non-qualified retirement plan - should I enroll?

So it's all match money that you would otherwise not get? If so, what is the downside? I don't think I could put my money in it, but if it is money that would otherwise be left on the table I would. I think the downside is that the 6% I put in to get the match in this non-qualified plan will have t...
by lvrpl
Tue Jul 10, 2018 9:38 am
Forum: Personal Finance (Not Investing)
Topic: Non-qualified retirement plan - should I enroll?
Replies: 5
Views: 421

Non-qualified retirement plan - should I enroll?

I've got the option at my employer (megacorp) to elect enrollment in a non-qualified retirement plan. Here's how it works: I currently get a 7.6% contribution from my employer when I contribute at least 6% of my income (4% is an automatic employer contribution with no matching requirement, 3.6% is a...
by lvrpl
Wed May 23, 2018 10:54 am
Forum: Personal Finance (Not Investing)
Topic: Are there any experienced real-estate people here?
Replies: 39
Views: 4638

Re: Are there any experienced real-estate people here?

One other thing to consider is to sell it yourself without a realtor. I only think this option applies and is realistic in a hot market, which you are in. Do you really think that a listing agent is going to add more value than $21k (3% of the $700k value)? In truly hot markets, people will find you...
by lvrpl
Mon Apr 02, 2018 8:49 am
Forum: Personal Investments
Topic: Any reason not to roll Roth 401k funds from old employers over to Roth IRA?
Replies: 18
Views: 1386

Re: Any reason not to roll Roth 401k funds from old employers over to Roth IRA?

Thanks for all the input, it's been very helpful. I'm going to set up the rollover and consolidate my accounts.
by lvrpl
Mon Apr 02, 2018 8:05 am
Forum: Personal Investments
Topic: Help with funds in new company's 401k
Replies: 12
Views: 1010

Re: Help with funds in new company's 401k

My wife's 401k has a similar lineup. To keep things simple, we use the fund that tracks the S&P 500 as a proxy for Total Stock and don't bother with the small cap fund. We hold most of our International outside of the 401k in our Roth IRAs (and taxable). The remaining allocation to International th...
by lvrpl
Sun Apr 01, 2018 3:41 pm
Forum: Personal Investments
Topic: Help with funds in new company's 401k
Replies: 12
Views: 1010

Re: Help with funds in new company's 401k

The bond index is intermediate-term, about 60/40 government/corporate, no Mortgage Backed Securities (MBS), average effective duration = 6.46 years, average credit quality = A. For a fund using the Barclays Capital U.S. Government/Credit Bond Index see iShares Government/Credit Bond ETF (GBF). Ok, ...
by lvrpl
Sun Apr 01, 2018 1:08 pm
Forum: Personal Investments
Topic: Help with funds in new company's 401k
Replies: 12
Views: 1010

Re: Help with funds in new company's 401k

The bond index is intermediate-term, about 60/40 government/corporate, no Mortgage Backed Securities (MBS), average effective duration = 6.46 years, average credit quality = A. For a fund using the Barclays Capital U.S. Government/Credit Bond Index see iShares Government/Credit Bond ETF (GBF). Ok, ...
by lvrpl
Thu Mar 29, 2018 6:46 am
Forum: Personal Investments
Topic: Help with funds in new company's 401k
Replies: 12
Views: 1010

Re: Help with funds in new company's 401k

Do you have the names of the target funds? Paul They simply call them "Target Date Fund 2025" and so on. However, per MotoTrojan's recommendation, I requested the prospectuses for the funds to see what exactly is in them. However, for some bizarre reason, they can only mail me a hard copy and it lo...
by lvrpl
Thu Mar 29, 2018 6:44 am
Forum: Personal Investments
Topic: Help with funds in new company's 401k
Replies: 12
Views: 1010

Re: Help with funds in new company's 401k

lvrpl , welcome to the forum. The options in the core funds are: Those are decent funds. Equity Fund (S&P 500) -- Large caps, 80% of US stocks Small Company Stock Fund -- Mid/small caps, 20% of US stocks International Equity Fund -- Developed markets, 75% of international stocks Emerging Markets Eq...
by lvrpl
Wed Mar 28, 2018 9:14 pm
Forum: Personal Investments
Topic: Help with funds in new company's 401k
Replies: 12
Views: 1010

Help with funds in new company's 401k

I recently started at a new company and am trying to make sense of which funds I should/could use for a good passive portfolio. I could use some help making sense of whether I can build a good diversified portfolio out of these and would appreciate any thoughts. The megacorp I work for now has five ...
by lvrpl
Wed Mar 28, 2018 10:34 am
Forum: Personal Investments
Topic: Any reason not to roll Roth 401k funds from old employers over to Roth IRA?
Replies: 18
Views: 1386

Re: Any reason not to roll Roth 401k funds from old employers over to Roth IRA?

Also good points about asset protection. For me, these accounts I'd be rolling over total less than $15k, so I suppose I'm less concerned about the asset protection implications as it's a relatively small part of my net worth (and hopefully a very small part in the future).
by lvrpl
Wed Mar 28, 2018 9:46 am
Forum: Personal Investments
Topic: Any reason not to roll Roth 401k funds from old employers over to Roth IRA?
Replies: 18
Views: 1386

Re: Any reason not to roll Roth 401k funds from old employers over to Roth IRA?

If there is a high yielding stable value fund in an old 401k account, you might want to consider whether it's worth maintaining access to it. Good point - in my case, there is nothing special about the funds available in the old Roth 401k employer plan and, in fact, I'd prefer the options available...
by lvrpl
Wed Mar 28, 2018 9:32 am
Forum: Personal Investments
Topic: Any reason not to roll Roth 401k funds from old employers over to Roth IRA?
Replies: 18
Views: 1386

Any reason not to roll Roth 401k funds from old employers over to Roth IRA?

I have two Roth 401k accounts from previous employers that are still held in those employers' plans. Is there any reason not to roll those balances over to my own personal Roth IRA (which is held at Vanguard)? For context, I do a backdoor Roth every year. I'd be rolling over these old employer accou...
by lvrpl
Tue Mar 27, 2018 12:53 pm
Forum: Personal Finance (Not Investing)
Topic: House Purchase - Sanity Check On Financials
Replies: 53
Views: 5263

Re: House Purchase - Sanity Check On Financials

So our HHI is about the same as yours, also single income. We're about 10yrs older than you so we have more savings and quite a bit more equity in our current house that we bought for 395K in 2008. My husband is itching to upgrade our house and we would need to spend about 800-850K (with only about...
by lvrpl
Mon Mar 26, 2018 8:13 pm
Forum: Personal Finance (Not Investing)
Topic: House Purchase - Sanity Check On Financials
Replies: 53
Views: 5263

Re: House Purchase - Sanity Check On Financials

I am a little surprised with the majority saying this can't be afforded. It certainly is pushing it, but OP is still talking about a mortgage that would be ~2.5x his gross income. I realize many here like that number to be closer to 2.0x income, but this isn't that crazy, is it? It's not the mortga...
by lvrpl
Mon Mar 26, 2018 5:26 pm
Forum: Personal Finance (Not Investing)
Topic: House Purchase - Sanity Check On Financials
Replies: 53
Views: 5263

Re: House Purchase - Sanity Check On Financials

I am a little surprised with the majority saying this can't be afforded. It certainly is pushing it, but OP is still talking about a mortgage that would be ~2.5x his gross income. I realize many here like that number to be closer to 2.0x income, but this isn't that crazy, is it?
by lvrpl
Mon Feb 05, 2018 8:26 pm
Forum: Personal Finance (Not Investing)
Topic: Can/should we buy this much house?
Replies: 9
Views: 1776

Re: Can/should we buy this much house?

Thanks for all the thoughts so far. A few responses: Our oldest will be starting kindergarten next year so we'll be in the public schools shortly. All are excellent, but the school in the $730k house has a few kids that our son is already friends with that will also be starting kindergarten and woul...
by lvrpl
Mon Feb 05, 2018 9:33 am
Forum: Personal Finance (Not Investing)
Topic: Can/should we buy this much house?
Replies: 9
Views: 1776

Can/should we buy this much house?

Looking for any thoughts to sanity check how much house we can afford. We just moved to a new high tax state (CT) for a job I’m starting and we’re looking at houses in the $600k-$730k range. Would love to get any thoughts on if we’re spending too much. Our personal info is below: -35 years old, wife...
by lvrpl
Thu Nov 16, 2017 2:19 pm
Forum: Personal Finance (Not Investing)
Topic: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)
Replies: 50
Views: 5206

Re: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)

The salary bump from this move MAY have an effect on the pay at any subsequent jobs that you may or may not get. Do you expect this to be your final company? Ralph Interesting - how are you thinking of that? That a bump going to a HCOL area would help later? Or hurt? Odds that this is my final comp...
by lvrpl
Thu Nov 16, 2017 10:40 am
Forum: Personal Finance (Not Investing)
Topic: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)
Replies: 50
Views: 5206

Re: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)

More great input, thanks. A few more responses: -I agree that living in Hartford has it's own challenges. We'd most likely be looking at cities on the west side of Hartford (in the Farmington Valley - Avon, Simsbury, Farmington most likely). So we definitely won't be in the municipality. More just s...
by lvrpl
Wed Nov 15, 2017 11:34 pm
Forum: Personal Finance (Not Investing)
Topic: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)
Replies: 50
Views: 5206

Re: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)

Thanks for all the thoughts so far. A few things in response to a some comments and questions so far: -We'd be going to the Hartford area - the job is in one of the western suburbs. -We don't actually like Texas all that much. It's fine, but we've liked other places much more. -We've lived in Boston...
by lvrpl
Wed Nov 15, 2017 4:51 pm
Forum: Personal Finance (Not Investing)
Topic: How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)
Replies: 50
Views: 5206

How unwise is it to move to a high-tax fiscally-shaky state? (Connecticut)

I'm looking at a new job that would be in Connecticut and would require us to relocate from Dallas. We've had several people tell us we're crazy given the high-tax (both state income and property) situation in CT and the fiscal issues they're having at both the state level and city (Hartford) level....
by lvrpl
Mon Jan 09, 2017 2:08 pm
Forum: Personal Investments
Topic: Portfolio from Schwab offerings?
Replies: 11
Views: 1138

Re: Portfolio from Schwab offerings?

Thanks again for the help everyone, greatly appreciated. I think I've got everything set up now! I went with the ETFs to leverage the slightly lower expense ratios (and did the funds in the calculator in_reality linked to - SCHB, SCHF, SCHC, SCHE, and SCHZ). However, I still need to set up my mom's ...
by lvrpl
Mon Jan 09, 2017 12:57 pm
Forum: Personal Investments
Topic: Portfolio from Schwab offerings?
Replies: 11
Views: 1138

Re: Portfolio from Schwab offerings?

A couple of distinctions: 1) as at Fidelity, where there exist Freedom 20nn funds and Freedom 20nn Index funds, Schwab offers Target Retirement funds (expensively composed of actively managed) and Target Index funds(cheaply, passively managed to a glide path). The passives are newer, and easily mis...
by lvrpl
Mon Jan 09, 2017 10:56 am
Forum: Personal Investments
Topic: Portfolio from Schwab offerings?
Replies: 11
Views: 1138

Re: Portfolio from Schwab offerings?

The only compelling reason I can think of is if whoever is rebalancing the portfolio someday will not want to rebalance and not want to manage it. The simple calculator I suggested only has Intermediate Bond. The target date uses a mix of SCHP (tips), SCHO (short term treasuries), Intermediate Bond...
by lvrpl
Mon Jan 09, 2017 10:01 am
Forum: Personal Investments
Topic: Portfolio from Schwab offerings?
Replies: 11
Views: 1138

Re: Portfolio from Schwab offerings?

Thanks for all the thoughts so far, very helpful. Makes a lot of sense that I should forget about the Vanguard ETFs and either use the Schwab ETFs or the Schwab target date funds. If I like the lower ERs on the Schwab ETFs, is there any compelling reason to still use the target date fund (other than...