Search found 5531 matches

by David Jay
Sun Oct 14, 2018 10:09 pm
Forum: Investing - Help with Personal Investments
Topic: Feedback on Kai-Zen premium finance life insurance plan
Replies: 7
Views: 505

Re: Feedback on Kai-Zen premium finance life insurance plan

Instead of looking at the pretty glossy brochure, ask for the prospectus.

When you fully understand the prospectus and have calculated the impact of fees, caps, participation rates and dividends lost, then you have a basis for comparing the product to traditional investments.
by David Jay
Sun Oct 14, 2018 10:03 pm
Forum: Investing - Help with Personal Investments
Topic: Feedback on Kai-Zen premium finance life insurance plan
Replies: 7
Views: 505

Re: Feedback on Kai-Zen premium finance life insurance plan

I looked at the literature for another Boglehead who was pitched this product about 18 months ago. I think the bottom line is the old adage not to mix investments with insurance. It is almost impossible to figure out the different moving parts of this Rube Goldberg arrangement. And if you can’t figu...
by David Jay
Sun Oct 14, 2018 9:03 pm
Forum: Investing - Help with Personal Investments
Topic: Muscular Portfolios Questions
Replies: 4
Views: 455

Re: Muscular Portfolios Questions

Welcome to the forum. We tend towards lazy portfolios here at BH, using broad based stock funds. I had never heard of Muscular Portfolios or Brian Livingston before your post. I am trying to understand Brian’s expertise in portfolio management, most of his books seem to be IT related. Mama-bear cons...
by David Jay
Sun Oct 14, 2018 2:27 pm
Forum: Investing - Help with Personal Investments
Topic: Can I rollover my Traditional IRA to 403b or 457
Replies: 3
Views: 199

Re: Can I rollover my Traditional IRA to 403b or 457

If your plans do not allow a rollover, another possibility is to just convert the $10,000 to Roth, pay the taxes and use the (now) empty tIRA for after-tax contributions.
by David Jay
Sun Oct 14, 2018 2:24 pm
Forum: Investing - Help with Personal Investments
Topic: Can I rollover my Traditional IRA to 403b or 457
Replies: 3
Views: 199

Re: Can I rollover my Traditional IRA to 403b or 457

The 403B or 457 plan can be written to allow rollovers or not allow rollovers. You must consult your plan documents or talk to HR.

The Wiki has good details about backdoor Roth process here: https://www.bogleheads.org/wiki/Backdoor_Roth_IRA
by David Jay
Sun Oct 14, 2018 1:05 pm
Forum: Investing - Theory, News & General
Topic: Has the US bull become addicted to corporate buybacks?
Replies: 15
Views: 1227

Re: Has the US bull become addicted to corporate buybacks?

1. Corporate buybacks now account for the largest share of trading in US stocks, surpassing individual and institutional buying. 2. This year corporations will buy back more than $1 trillion in stock, a record. Something is wrong with the assertion in Item 1 above. It is not believable that “ buyba...
by David Jay
Sat Oct 13, 2018 6:13 pm
Forum: Investing - Help with Personal Investments
Topic: Please help with asset allocation - 63 yr old
Replies: 12
Views: 1255

Re: How Am I Doing? 63 Yrs Young

So what are you thinking about? What are your concerns? What is your schedule?
by David Jay
Sat Oct 13, 2018 2:00 pm
Forum: Personal Consumer Issues
Topic: Route-66 trip recommendations
Replies: 38
Views: 1711

Re: Route-66 trip recommendations

Instead, have them buy a Ntl Park Pass ($80) and visit the big five national parks in Utah. There are some beautiful drives between them (i.e. Between Capital Reef, Bryce Canyon, and Zion.) Hit the north rim of the Grand Canyon on the way out. Closely related to this is the “Grand Circle” tour. We ...
by David Jay
Sat Oct 13, 2018 9:49 am
Forum: Investing - Theory, News & General
Topic: "Safe" Withdrawal Rate for Early Retirees (or any retiree)
Replies: 153
Views: 10544

Re: "Safe" Withdrawal Rate for Early Retirees (or any retiree)

Why would I be wrong in my opinion that 2% is the max perpetual SWR for early retirement? I understand that there's a chance that I may accumulate significant assets over time. I'd rather do that than risk running out of money. “wrong” is a strong word, but there is a significant opportunity cost f...
by David Jay
Sat Oct 13, 2018 9:15 am
Forum: Investing - Theory, News & General
Topic: Social Security COLA - how is it applied?
Replies: 9
Views: 782

Social Security COLA - how is it applied?

My spouse turns 62 in December. Her first SS check will be received in January. Will it include the 2019 COLA because her birthday was in December? In this case her very first check would include the COLA.

I googled around and have not been able to find a description of the exact mechanics.
by David Jay
Sat Oct 13, 2018 8:57 am
Forum: Local Chapters and Bogleheads Community
Topic: West Michigan Bogleheads Chapter - chat
Replies: 33
Views: 1559

Re: New West Michigan Bogleheads Chapter Established

MIretired wrote:
Sat Oct 13, 2018 1:31 am
Yea. Credit unions is something I've acquired in the past couple yrs.
Like LMCU 3% checking account. Too bad it is limited to $15K
by David Jay
Fri Oct 12, 2018 5:59 pm
Forum: Local Chapters and Bogleheads Community
Topic: West Michigan Bogleheads Chapter - chat
Replies: 33
Views: 1559

Re: New West Michigan Bogleheads Chapter Established

As I said above, please keep responding so I can PM everyone about getting together. I have one last big overseas trip coming up in early November, getting back just before Thanksgiving. That suggests that first get together will be in early December. In the meantime, be thinking about what you woul...
by David Jay
Fri Oct 12, 2018 12:41 pm
Forum: Local Chapters and Bogleheads Community
Topic: West Michigan Bogleheads Chapter - chat
Replies: 33
Views: 1559

Re: New West Michigan Bogleheads Chapter Established

tenkuky wrote:
Fri Oct 12, 2018 12:01 pm
ping1050 wrote:
Thu Oct 11, 2018 10:49 pm
Also interested. Live in Grand Haven
Summer meeting at Grand Haven Beach please, David. :beer
We can "dine" at Pronto Pup...
by David Jay
Fri Oct 12, 2018 9:57 am
Forum: Investing - Help with Personal Investments
Topic: To Roth IRA or Not
Replies: 13
Views: 942

Re: To ROTH IRA or Not

Cali:

There are some "clocks" that limit your withdrawals from Roth accounts. I would open one now while you qualify, even if you stop contributing in a few years.

That way, when you get to age 55 (or whatever) and you want to use your Roth creatively, the clock qualification is met.
by David Jay
Thu Oct 11, 2018 9:02 pm
Forum: Personal Finance (Not Investing)
Topic: KaiZen Life Policy
Replies: 22
Views: 3606

Re: KaiZen Life Policy

How so? Is it because my opinion differs from yours? No, it’s because of commercial posts such as below: ...that offers benefits way beyond what other investment options, such as 401k, IRA, Roth, regular brokerage accts. etc. can deliver. If you have passed your CFP Exam, you should be ashamed to h...
by David Jay
Thu Oct 11, 2018 8:40 pm
Forum: Personal Finance (Not Investing)
Topic: KaiZen Life Policy
Replies: 22
Views: 3606

Re: KaiZen Life Policy

EsaCFP wrote:
Thu Oct 11, 2018 8:37 pm
I do have knowledge of the topic that the op might benefit from. I don’t own a boat and not soliciting, just giving advice like everyone else, however, I am well educated on the topic.
You are getting very close to violating forum policy.
by David Jay
Thu Oct 11, 2018 8:38 pm
Forum: Personal Finance (Not Investing)
Topic: KaiZen Life Policy
Replies: 22
Views: 3606

Re: KaiZen Life Policy

Nate79 wrote:
Thu Oct 11, 2018 8:13 pm
You bumped an inactive thread why?
And in a first post, telling us we don’t know what we are talking about. How to win friends and influence people.
by David Jay
Thu Oct 11, 2018 4:43 pm
Forum: Investing - Help with Personal Investments
Topic: Calculating amount needed for SS bridge
Replies: 50
Views: 2772

Re: Calculating amount needed for SS bridge

I like this approach and that is my plan right now. I am just going to withdraw from my 60/40 portfolio during the bridge period. The 40% bonds @ age 55 will equal the bridge amount required with a 0% discount rate, but I will just withdraw from the portfolio and maintain the 60/40 allocation. At l...
by David Jay
Thu Oct 11, 2018 2:21 pm
Forum: Investing - Theory, News & General
Topic: 2017 Social Security AWI / Bend Points released
Replies: 9
Views: 708

Re: 2017 Social Security AWI released

Thank you for the info. One less pseudo number on my spreadsheet, wonderful! Any idea when the bend points will be updated? Bend points are directly proportional to the AWI, so they were also updated today: https://www.ssa.gov/oact/cola/piaformula.html First bend point for 2019 (derived from 2017 d...
by David Jay
Thu Oct 11, 2018 1:02 pm
Forum: Investing - Help with Personal Investments
Topic: Opinions on a large Roth conversion if we have a 30-40% correction.
Replies: 22
Views: 2262

Re: Opinions on a large Roth conversion if we have a 30-40% correction.

I would certainly convert to the top of, say, the 22% tax bracket.

But hundreds of thousands - you need to look at whether or not it actually saves (net) on taxes.
by David Jay
Thu Oct 11, 2018 12:59 pm
Forum: Investing - Theory, News & General
Topic: 2017 Social Security AWI / Bend Points released
Replies: 9
Views: 708

Re: 2017 Social Security AWI released

Does anyone know what assumptions SS makes about future years Average Wage Index for purposes of supplying their estimate of PIA? I use the anypia program downloaded from the soc sec website. Within that program, I can choose from the three alternatives that are included as part of the trustee's re...
by David Jay
Thu Oct 11, 2018 12:46 pm
Forum: Investing - Help with Personal Investments
Topic: Calculating amount needed for SS bridge
Replies: 50
Views: 2772

Re: Calculating amount needed for SS bridge

I don’t believe it’s possible to get $54k in 2018 dollars for a maxed out Social Security benefit at age 70. I think the current max at age 70 is $3698 per month, or $44,376 per year. I come up with about a $64,000 max family benefit for someone born in 1956 (the latest year for which an AWI is ava...
by David Jay
Thu Oct 11, 2018 12:13 pm
Forum: Personal Consumer Issues
Topic: tablet or small laptop for general and travel computer?
Replies: 35
Views: 1754

Re: tablet or small laptop for general and travel computer?

I would definitely go Tablet with Bluetooth keyboard. Use the keyboard for typing, use the tablet on your lap for reading.

Different strokes, but for me I find that a Tablet is, in the words of Goldilocks: "just right". (I have a smart phone and a work laptop, but really like the tablet).
by David Jay
Thu Oct 11, 2018 11:51 am
Forum: Investing - Theory, News & General
Topic: 2017 Social Security AWI / Bend Points released
Replies: 9
Views: 708

Re: 2017 Social Security AWI released

My PIA, as of the end of 2017 is $2,743. I will add a couple of bucks with a one year substitution (2018 will replace 1985) this year so my final PIA will be $2,745 or $2,746.

[edited to reflect new bend points]
by David Jay
Thu Oct 11, 2018 11:46 am
Forum: Investing - Theory, News & General
Topic: 2017 Social Security AWI / Bend Points released
Replies: 9
Views: 708

2017 Social Security AWI / Bend Points released

The 2017 AWI was released: https://www.ssa.gov/oact/cola/AWI.html $50,321.89 , which is a 3.45% increase from 2016. I was born in 1957 so the 2017 numbers are used to calculate my PIA (Primary Insurance Amount) I calculate that Max PIA for someone born in 1957 is $ 3,074 $3,086 [missed the revised b...
by David Jay
Thu Oct 11, 2018 8:49 am
Forum: Investing - Theory, News & General
Topic: Diversifying with a zero-correlation, zero-return volatile asset
Replies: 66
Views: 3448

Re: Diversifying with a zero-correlation, zero-return volatile asset

AlphaLess wrote:
Thu Oct 11, 2018 8:38 am
In expectation, a typical customer will LOSE money.
And gladly, in most cases.

Can you imagine "improving your return"? I'll schedule a major accident every year so the insurance company doesn't "make money" off of me.
by David Jay
Thu Oct 11, 2018 8:42 am
Forum: Local Chapters and Bogleheads Community
Topic: West Michigan Bogleheads Chapter - chat
Replies: 33
Views: 1559

Re: West Michigan Bogleheads Chapter - Who's interested?

Traveller wrote:
Wed Oct 10, 2018 10:48 am
Another interested Grand Rapidian here.
Hi Traveller. Still driving the XF?
by David Jay
Wed Oct 10, 2018 8:48 pm
Forum: Local Chapters and Bogleheads Community
Topic: West Michigan Bogleheads Chapter - chat
Replies: 33
Views: 1559

Re: West Michigan Bogleheads Chapter - Who's interested?

badbreath wrote:
Wed Oct 10, 2018 8:10 pm
I am from St Joe and would be interested.
I received a PM from K-zoo as well. We can adjust locations as we go.
by David Jay
Wed Oct 10, 2018 2:30 pm
Forum: Local Chapters and Bogleheads Community
Topic: West Michigan Bogleheads Chapter - chat
Replies: 33
Views: 1559

Re: West Michigan Bogleheads Chapter - Who's interested?

Please keep the replies coming - I need to know who to contact (PM) as we get things underway...
by David Jay
Wed Oct 10, 2018 11:48 am
Forum: Investing - Help with Personal Investments
Topic: Fixed annuity with a guaranteed lifetime withdrawal benefit
Replies: 8
Views: 435

Re: Fixed annuity with a guaranteed lifetime withdrawal benefit

The one and only reason for an annuity at his age is to create a lifetime income stream . If he is concerned about managing his portfolio in the event of cognitive decline, or if he is worried about his spouse being able to do the same, an annuity may make sense. Joint annuities are available, so th...
by David Jay
Wed Oct 10, 2018 11:00 am
Forum: Investing - Help with Personal Investments
Topic: Fixed annuity with a guaranteed lifetime withdrawal benefit
Replies: 8
Views: 435

Re: Fixed annuity with a guaranteed lifetime withdrawal benefit

It looks like an SPIA quote from immediateannuities.com gives your dad an 11.2% payout (put in 100,000, get $934 per month/11,200 per year).

That is the equivalent number to the brochure's 5.5% payout.
by David Jay
Wed Oct 10, 2018 10:54 am
Forum: Investing - Help with Personal Investments
Topic: Fixed annuity with a guaranteed lifetime withdrawal benefit
Replies: 8
Views: 435

Re: Fixed annuity with a guaranteed lifetime withdrawal benefit

Wrong product for an individual who is 79 years old. I suspect that the 5.5% and the 7.5% numbers are the attraction. Note that neither of these numbers is an interest rate , lest he be confused. At his age, if he wants an income stream for life, an SPIA would be appropriate and the payout is quite ...
by David Jay
Wed Oct 10, 2018 10:38 am
Forum: Investing - Theory, News & General
Topic: Diversifying with a zero-correlation, zero-return volatile asset
Replies: 66
Views: 3448

Re: Diversifying with a zero-correlation, zero-return volatile asset

I suspect this discussion is about "A" - does non-correlation alone, by definition, improve the performance of a portfolio. For instance, does adding less than perfectly correlated sector funds improve portfolio performance compared to simply holding Total Stock.
by David Jay
Wed Oct 10, 2018 10:14 am
Forum: Local Chapters and Bogleheads Community
Topic: West Michigan Bogleheads Chapter - chat
Replies: 33
Views: 1559

Re: West Michigan Bogleheads Chapter - Who's interested?

Old Goat wrote:
Wed Oct 10, 2018 10:03 am
I too live in metro GR and yes, I would be interested.
I hope your user name means you own a '66 G.T.O. :happy
by David Jay
Wed Oct 10, 2018 10:10 am
Forum: Investing - Help with Personal Investments
Topic: Annuities
Replies: 12
Views: 987

Re: Annuities

The WIKI has some information on annuities: Normally, when sales people are talking annuities, they are talking about the high commission products like: 1. Variable Annuities, Wiki link: https://www.bogleheads.org/wiki/Variable_annuity 2. Fixed Index Annuities, Wiki link: https://www.bogleheads.org/...
by David Jay
Wed Oct 10, 2018 9:55 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 7350
Views: 1542639

Re: Stocks tumbling?

adamthesmythe wrote:
Wed Oct 10, 2018 9:53 am
I think it's just a thermodynamic fluctuation.
What, the market is in "flux"? :wink:
by David Jay
Wed Oct 10, 2018 9:53 am
Forum: Local Chapters and Bogleheads Community
Topic: West Michigan Bogleheads Chapter - chat
Replies: 33
Views: 1559

West Michigan Bogleheads Chapter - chat

I have renamed this as the “chat” thread. Some of you have already started to use it that way, that’s great. Please continue to check in if you want to be included in the contact list. I will create a “Master Thread” for meeting announcements as we get things under way over the next weeks and month...
by David Jay
Tue Oct 09, 2018 8:26 pm
Forum: Investing - Help with Personal Investments
Topic: Allocation re: Social Security
Replies: 13
Views: 1003

Re: Allocation re: Social Security

Like Jeb, I am subtracting SS from expenses and calculating from there.
by David Jay
Tue Oct 09, 2018 7:28 pm
Forum: Investing - Help with Personal Investments
Topic: Calculating amount needed for SS bridge
Replies: 50
Views: 2772

Re: Calculating amount needed for SS bridge

I don’t believe it’s possible to get $54k in 2018 dollars for a maxed out Social Security benefit at age 70. I think the current max at age 70 is $3698 per month, or $44,376 per year. I come up with about a $64,000 max family benefit for someone born in 1956 (the latest year for which an AWI is ava...
by David Jay
Tue Oct 09, 2018 7:17 pm
Forum: Investing - Help with Personal Investments
Topic: 3 fund portfolio
Replies: 2
Views: 319

Re: 3 fund portfolio

Welcome to the forum.

Your AA is very reasonable for a beginning investor.

Your AA is not the dominant component of your portfolio in the early years, the amount of your contributions drive the growth.
by David Jay
Tue Oct 09, 2018 7:09 pm
Forum: Investing - Help with Personal Investments
Topic: Calculating amount needed for SS bridge
Replies: 50
Views: 2772

Re: Calculating amount needed for SS bridge

dknightd wrote:
Tue Oct 09, 2018 6:57 pm
CRTR wrote:
Tue Oct 09, 2018 6:29 pm
Another option could be an immediate annuity. $650k investment, 15 year, period certain, with CPI COLA would give you ~$54k/year
where?
I believe that only Principle still writes an SPIA with true COLA. I do not know if they will write it as 15 year date certain.
by David Jay
Tue Oct 09, 2018 6:57 pm
Forum: Investing - Help with Personal Investments
Topic: Calculating amount needed for SS bridge
Replies: 50
Views: 2772

Re: Calculating amount needed for SS bridge

I don’t believe it’s possible to get $54k in 2018 dollars for a maxed out Social Security benefit at age 70. I think the current max at age 70 is $3698 per month, or $44,376 per year. I come up with about a $64,000 max family benefit for someone born in 1956 (the latest year for which an AWI is ava...
by David Jay
Tue Oct 09, 2018 4:31 pm
Forum: Investing - Theory, News & General
Topic: Short Term Bond yield over 3%
Replies: 63
Views: 7171

Re: Short Term Bond yield over 3%

OP , Please explain to me why folks are paying off the fixed-rate low-interest mortgage when the interest rate is going up. At the rate of interest rate increases, cash in the money market fund may pay a higher interest rate than their mortgages in the future. KlangFool It’s now my job to explain o...
by David Jay
Tue Oct 09, 2018 2:37 pm
Forum: Investing - Theory, News & General
Topic: Short Term Bond yield over 3%
Replies: 63
Views: 7171

Short Term Bond yield over 3%

I was in my accounts today and noticed that the SEC yield on the Vanguard Short Term Bond Fund (Admiral: VBIRX) is 3.01% :happy

This is the fund where I am holding our living expenses for the first next two years of retirement (out years are in intermediate term).
by David Jay
Tue Oct 09, 2018 12:35 pm
Forum: Investing - Theory, News & General
Topic: Argument for taking social security before 70. Comments?
Replies: 134
Views: 10026

Re: Argument for taking social security before 70. Comments?

I look it at the opposite way. If you need the income sometime in the age 62-70 time period where will you get it? From your portfolio? If it's a down market you shouldn't be selling stocks so you'll be getting it from the cash and fixed portions. If you don't have sufficient funds in those allocat...
by David Jay
Tue Oct 09, 2018 12:06 pm
Forum: Personal Finance (Not Investing)
Topic: Additional post-tax 401(k) contribution
Replies: 7
Views: 687

Re: Additional post-tax 401(k) contribution

A lot of good information on the WIKI, link: https://www.bogleheads.org/wiki/After-tax_401(k)

As I read the WIKI, only the GAINS in the account are taxed (as regular income, in the year of the gain). The contributions do not appear to be taxed. Check it out.
by David Jay
Tue Oct 09, 2018 10:45 am
Forum: Investing - Help with Personal Investments
Topic: Retirement Portfolio Review Request - 5 years later
Replies: 10
Views: 1626

Re: Retirement Portfolio Review Request - 5 years later

I had thought about moving everything to an IRA, what would be the consideration in doing that versus keeping it in these old accounts, or moving to my new retirement account? Rolling over pre-tax 401K money would be done to a traditional IRA (BH commonly: tIRA). This will give one complete control...
by David Jay
Tue Oct 09, 2018 10:08 am
Forum: Personal Finance (Not Investing)
Topic: can i start a private investment firm?
Replies: 70
Views: 5026

Re: can i start a private investment firm?

I also want to start my own Merger & Acquisition Firm but I have no interest in getting admitted to Wharton for MBA program or anything like that stupid stuff. I know I can make more money that way than starting my own hedge fund. Do I need to start a new topic (but it is too much work to start a n...
by David Jay
Mon Oct 08, 2018 3:10 pm
Forum: Investing - Help with Personal Investments
Topic: YAFEJT- Yet Another Fleeing Edward Jones Thread
Replies: 5
Views: 429

Re: YAFEJT- Yet Another Fleeing Edward Jones Thread

I'd like to figure out how to see everything at once at Vanguard, I suppose the way to do that is to set up a joint account and then tie all the accounts together? You can link family accounts. I can see my wife's Roth on my account and it is included in summary totals (the accounts also combine fo...
by David Jay
Mon Oct 08, 2018 1:37 pm
Forum: Personal Finance (Not Investing)
Topic: Raiding 401k/IRA - How much is peace of mind worth?
Replies: 13
Views: 1092

Re: Raiding 401k/IRA - How much is peace of mind worth?

As others have said, stop making (or cut way back on) 401K contributions while you make big payments on your debts. That is the equivalent of withdrawing $18,000 of 401K money in 2019 but without paying the 10% penalty.