Search found 1552 matches

by indexonlyplease
Sat Apr 06, 2019 7:15 am
Forum: Personal Investments
Topic: TDF plus 10% scv [Target Date Fund plus 10% Small Cap Value]
Replies: 1
Views: 366

TDF plus 10% scv [Target Date Fund plus 10% Small Cap Value]

I went over this with my son as a learning tool on Paul Merrimans site. Does anyone here believe or follow this or maybe doing this.

In a Roth IRA with a TDF can adding 10% be a great value for a 22 year old. Is this worth the effort or is the answer "you can do this but won't know how you did until you reach retirement". I guess this would be considered a tilt to the scv.

Thanks
by indexonlyplease
Sat Apr 06, 2019 6:52 am
Forum: Personal Investments
Topic: International Question
Replies: 2
Views: 464

International Question

I think this is posted by can't find.

Question:
For someone that has decided on 20% of their stock portolio to be invested in international fund, what is the return. Meaning will 20% make a different compared to just being 100% in domestics. I believe both will decline equally in a bear market?

For simplicity can someone just 50/50= domestic/fixed?
by indexonlyplease
Fri Apr 05, 2019 10:06 am
Forum: Personal Investments
Topic: Retirement Asset Allocation Question
Replies: 18
Views: 3063

Re: Retirement Asset Allocation Question

As I was approaching retirement I thought 30/70 or 40/60 would be good. 30/70 is what Rick Ferri calls the "Center of Gravity" for a retiree. The Center Of Gravity For Retirees Is anyone here allocated 30/70 a la Rick Ferri's "new center of gravity?" Of course, I’m speaking about the average investor and everyone is different. Some people will decide 30/70 is too conservative and move up the risk scale. Others may decide to move a bit lower in stocks. These adjustments are fully understandable and acceptable after a thorough assessment of safety needs, income, longevity and estate planning considerations in retirement. However, my thinking is with a low expected withdrawal rate I should have a higher equity allocation. ...
by indexonlyplease
Thu Apr 04, 2019 9:48 am
Forum: Personal Consumer Issues
Topic: Additional Costs for 3rd Child?
Replies: 74
Views: 4079

Re: Additional Costs for 3rd Child?

Our first child is a 2 y.o boy that has brought us a lot of joy. We are expecting our second child (another boy) later this year and have always thought 2 would be ideal for us. We will be more than grateful for two healthy kids. My wife was hoping for a daughter that she can do girly stuff with (shopping, nails, cooking, etc)....a dream that she will have to let go of now. She brought up the idea of maybe trying for a 3rd kid in a few years. I will be 40 y.o by then and she will be 34. I had a few thoughts in my head about the idea: 1) There's no guarantee that 3rd child will be a girl (50/50 chance). It could be a 3-boy family! 2) Unless, we are willing to do gender selection in IVF clinic. I have personal reservations (ethical) about th...
by indexonlyplease
Thu Apr 04, 2019 9:28 am
Forum: Personal Finance (Not Investing)
Topic: What is Financial Independence (FI) in the simplest terms?
Replies: 80
Views: 7509

Re: What is Financial Independence (FI) in the simplest terms?

You just pegged a number yourself - $40k! What if you realized your savings could only provide $10k a year? You would probably say you're not financially independent and would need to find some income somehow, even if some people do live on $10k a year. If 99% of us, for example, say $40k is what we need, that number would be based on something somewhat objective - housing cost, food cost, etc. It's not just a random number. In other words, we would have collectively concluded that $40k is a reasonable benchmark for financial independence. A benchmark definition is not all important, and there will be exceptional cases for which it is not applicable at all. However, that doesn't mean that there is no value in coming up with a uniform stand...
by indexonlyplease
Thu Apr 04, 2019 9:10 am
Forum: Investing - Theory, News & General
Topic: Make sure your retirement investment plan includes being fired from your job in your 50s
Replies: 285
Views: 22096

Re: Make sure your retirement investment plan includes being fired from your job in your 50s

That's why I think you need to: Live debt Free and live below you income invest as much as possible Save as much as possible with a large emergency fund change your AA a long the way to more conservative Work 2 jobs while you are long to fast track the above. Most important keep educating yourself to the new work trends. Most people dont' stay in the same job 30-40 years. If you have the above and are fired or laid off you will be able to find another job but maybe at less pay. But you will have the above to keep you goinging until retirement. I did all of the above with the exception of working two jobs. I was able to save 25+% of my salary from just one job. My job loss in mid-40's resulted from a site closure. I took a generous separati...
by indexonlyplease
Thu Apr 04, 2019 9:02 am
Forum: Personal Finance (Not Investing)
Topic: What is Financial Independence (FI) in the simplest terms?
Replies: 80
Views: 7509

Re: What is Financial Independence (FI) in the simplest terms?

My idea was and still is: When you no longer need to work and can maintain the same lifestyle as you did when working . Also, it will not matter what the market does. You may want to work full or part time but you don't have to. So, working will be for fun. Not about the money. I cant' understand the idea of FI when you income went from 100k to 25k. Beacuse you retired to early. Then health care eat you up. Don't be fooled by the people on line that state they are FI with a low income. Most are making money from the blogs they have. They are the few successful lucky ones. What about those of us who have a (much) better lifestyle than when working (more as a result of luck than anything else)? Work? In retirement? Fun?? Having to be anywher...
by indexonlyplease
Thu Apr 04, 2019 8:59 am
Forum: Personal Finance (Not Investing)
Topic: What is Financial Independence (FI) in the simplest terms?
Replies: 80
Views: 7509

Re: What is Financial Independence (FI) in the simplest terms?

MnD wrote: Wed Apr 03, 2019 11:35 pm
indexonlyplease wrote: Tue Apr 02, 2019 1:32 pm When you no longer need to work and can maintain the same lifestyle as you did when working.
This by personal experience.
If you are asking yes. Living it now for almost 3 years. But I have worked part time for 3 months then another 8 months for the fun of it. But now not working again.
by indexonlyplease
Tue Apr 02, 2019 1:32 pm
Forum: Personal Finance (Not Investing)
Topic: What is Financial Independence (FI) in the simplest terms?
Replies: 80
Views: 7509

Re: What is Financial Independence (FI) in the simplest terms?

My idea was and still is:

When you no longer need to work and can maintain the same lifestyle as you did when working. Also, it will not matter what the market does. You may want to work full or part time but you don't have to. So, working will be for fun. Not about the money.

I cant' understand the idea of FI when you income went from 100k to 25k. Beacuse you retired to early. Then health care eat you up. Don't be fooled by the people on line that state they are FI with a low income. Most are making money from the blogs they have. They are the few successful lucky ones.
by indexonlyplease
Tue Apr 02, 2019 1:26 pm
Forum: Personal Consumer Issues
Topic: Want to see a concert! Ideas?
Replies: 50
Views: 3836

Re: Want to see a concert! Ideas?

dm200 wrote: Fri Mar 29, 2019 4:09 pm My wife and I are "old" :)

I think I would like to see one of the large arena concerts (Capital One arena - where they have NBA Basketball and NHL Hockey) - but want an idea of what they might be like. The two I see schedule for 2019 are Jennifer Lopez and later, Carrie Underwood.

Feedback?
For those 2 stay home and watch on TV. Try to go see Metallica, Disturbed, Lincoln Park, Or Country Rascal Flats, kieth Urbane, Tim McGraw, Blake Sheldon. And if we are feeling sensitive go see Sam Smith.
by indexonlyplease
Tue Apr 02, 2019 9:44 am
Forum: Investing - Theory, News & General
Topic: Make sure your retirement investment plan includes being fired from your job in your 50s
Replies: 285
Views: 22096

Re: Make sure your retirement investment plan includes being fired from your job in your 50s

That's why I think you need to:

Live debt Free and live below you income
invest as much as possible
Save as much as possible with a large emergency fund
change your AA a long the way to more conservative
Work 2 jobs while you are long to fast track the above.
Most important keep educating yourself to the new work trends. Most people dont' stay in the same job 30-40 years.

If you have the above and are fired or laid off you will be able to find another job but maybe at less pay. But you will have the above to keep you goinging until retirement.
by indexonlyplease
Tue Apr 02, 2019 9:35 am
Forum: Investing - Theory, News & General
Topic: Which Vanguard Dividend Fund to pick?
Replies: 47
Views: 6032

Re: Which Vanguard Dividend Fund to pick?

I also believe I would of been better of investing in a target dated fund 30 plus years ago and then just fund the plan. Then do the same in my Roth IRA. I don't think there were target date funds (or Roths) 30 years ago :wink: . Our investing history is just over 20 years and did not have target date funds available in employer plans, but we probably would've done as well or better had I put all my money in Wellington in my employer's plan and my spouse all hers in a T. Rowe Personal strategy fund in her employer plan. I guess I could do a comparison to our lifetime IRR of about 6.5% to see. Yes I don't think so either and my plan only had non index funds for th 32 years I was employed. I allocated 100% into funds no bonds, 25% equal to g...
by indexonlyplease
Tue Apr 02, 2019 8:50 am
Forum: Investing - Theory, News & General
Topic: IF we enter a financial crisis in the future, how are you going to adjust?
Replies: 57
Views: 4950

Re: IF we enter a financial crisis in the future, how are you going to adjust?

There are no longer "normal" interest rates. All currencies are merely fiat faith based paper. Many pensions will not meet their obligations in the future. Where did you get this information? Has there ever been another period in US history when rates were near these same levels? We just left an eight year period of nearly zero returns for money market funds. Many European countries have zero return rates. Never happened before. Central banks have balance sheets thanks to QE at levels never before seen in history. The US is the largest debtor nation in history. Next time the financial markets adjust, I think it will be far worse than anything we have seen before. I just read this after I posted. I responded to thinking you were a...
by indexonlyplease
Tue Apr 02, 2019 8:36 am
Forum: Investing - Theory, News & General
Topic: IF we enter a financial crisis in the future, how are you going to adjust?
Replies: 57
Views: 4950

Re: IF we enter a financial crisis in the future, how are you going to adjust?

The best you can do if you are worried is reduce the stocks in your AA. Live debt free and live way under your income. Also have a large emergency fund. what else can you do. I would say one more is keep educatiing your self. In the last financial crisis look at who was hurt the most. My experience wth people I know is they were deep in dept and had no emergency budget. So, they loss the rental properties, wife went back to work and they spend their investments money with penalty. They had jobs that cut salaries but they wanted to keep the same lifestyle. In the end they lost all but a least had a job makng less. Now everyone is back making more and in the same situation. Wife and I always worked, saved, invested, lived debt free and off of...
by indexonlyplease
Tue Apr 02, 2019 8:09 am
Forum: Investing - Theory, News & General
Topic: Which Vanguard Dividend Fund to pick?
Replies: 47
Views: 6032

Re: Which Vanguard Dividend Fund to pick?

I think the problem that we get forget is what investing is really about. Us that have been investing for 30 plus years and have made many mistakes understand setting a simple portfolio with the correct AA and keeping it long term may be the best we can do. Moving to other funds beause we think will get us better returns may work but may not and then we bail on them and take a loss. This is why I keep thinking for most of us the best we can do is invest into a low cost index target dated fund and just hope the pros are correct. Sure many here can do better or many here think they can do better but really won't know for 30 plus years ( Not around then or available to me). I also believe I would of been better of investing in a target dated f...
by indexonlyplease
Tue Apr 02, 2019 7:53 am
Forum: Personal Consumer Issues
Topic: Better elementary school - switch soon or wait
Replies: 29
Views: 2225

Re: Better elementary school - switch soon or wait

My oldest daughter is in Kindergarten and often impresses people with how sharp she is. Kindergarten has been great for her socially but her current school doesn't get the best ratings and has a large variation in performance. We love where we live but the next district over has much better ratings and performance. The other town over is also significantly more expensive. For a similar set up we'd spend about $20-$30k more a year if we moved which we could easily afford, but it's a lot if we're moving just for a better school. There aren't any privates around us and the charters are lottery based where you have to hit the jackpot to get in. I also don't think homeschooling is a great fit for us. My daughter enjoys learning and being challe...
by indexonlyplease
Tue Apr 02, 2019 7:23 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Performance Of State Pension Plans
Replies: 46
Views: 6345

Re: Larry Swedroe: Performance Of State Pension Plans

Thank You Florida pension. 6 years ago Gov. Rick Scott twicked the pension system to new employees. Increased years required to work to get penison and took away the COLA and also increase contributions to pension. Also reduced drop interest to 1.25%. So, the pension board realized something had to be done. This adjustment allow Florida to keep a well funded pension. What I have seen here in Florida is cities giving employess shorter time to work for pension, higher percent of pension and a 8% interest to drop employees and allowing them to earn this 8% if they keep the money in the pension. So you can see the problem is not the pension system it's the politicians that promise something but then does not fund the liability or make it unreal...
by indexonlyplease
Tue Apr 02, 2019 6:51 am
Forum: Personal Consumer Issues
Topic: Dealing with craigslist scammers
Replies: 22
Views: 2319

Re: Dealing with craigslist scammers

From time to time I sell things on craigslist. Usually, they are smaller items, but this time a storage unit for a garage. One that might require movers for $200 bucks or so. I seem to have struck the holy grail for this check fronting scheme where I've received 4 offers already for people who want to pay extra because they are out of town. They want to send me a certified check for the amount and have the movers pick it up immediately. I'm sure the check bounces somehow. What can I do to really make these fools suffer? Any way to punish them? I had one person send me a check for 2k. I was selling rims for 400 dollars. They called me and said the extra money was to pay for shipping when they get their. I told him over the phone that I will...
by indexonlyplease
Mon Apr 01, 2019 6:54 pm
Forum: Investing - Theory, News & General
Topic: What accounts do you have for your kids?
Replies: 27
Views: 3267

Re: What accounts do you have for your kids?

My 2 kids now 19 and 22 both had saving accounts and UTMA accounts. I invested every month into their UTMA. Now as adults they also have checking accounts and debt cards. No credit cards. Can only spend what’s in their account. Both work part time while in college full time. So now we are able to move $5500 into the 22 yr olds Roth IRA each year from the UTMA that was turned over to one of him. Othe child hass to wait until 21.
by indexonlyplease
Mon Apr 01, 2019 4:05 pm
Forum: Personal Investments
Topic: Roth conversion
Replies: 48
Views: 5568

Re: Roth conversion

Depending on how far out you're thinking, converting to Roth can be a killer estate planning move . Roth funds aren't subject to RMDs and retain their tax-free status indefinitely. I'm not an expert in that area, but it might be something to think about. Why a killer estate planning move? Roth 401k /Roth 403b /Roth 457 plans ARE subject to RMDs during the lifetime of the owner, based on life expectancy. Roth IRAs are not subject to RMDs for the owner, they can be bequeathed to heirs with no tax consequences; except that the heirs will have to take RMDs based on their life expectancy. It is not fully true therefore to say Roth are not subject to RMD rules. At the same time they can be a great estate planning tool indeed. Once you name Roth ...
by indexonlyplease
Mon Apr 01, 2019 4:02 pm
Forum: Personal Investments
Topic: Vanguard Prime Money Market fund
Replies: 22
Views: 3656

Re: Vanguard Prime Money Market fund

I like keeping large amounts of cash that is easy to get to. So it's almost paying 2.4% better than all other equal investments. Also, keeping over 100k in the fund now. So, I just maxed my Roth IRA's with the money in the funds. I will also start using that money this year to pay taxes on my Roth IRA conversions.

So, it depends on what you are using the money for and needed easy accesss.
by indexonlyplease
Mon Apr 01, 2019 3:49 pm
Forum: Personal Investments
Topic: Roth conversion
Replies: 48
Views: 5568

Re: Roth conversion

I must be the odd duck that doesn't wish to part with any after-tax funds to pay taxes. I am driving my IRA down as fast as I can, prior to IRMAA and SS and RMD.... so the next several years, I am doing Roth conversions and IRA withdrawals for Tax withholding in December to cover 99% of my federal and state taxes - out of my IRA, and yes I know the it might be better not to. Carefully calculated to the top dollar of the 24% bracket. You gotta pay taxes on it one way or the other, and none of us really know... but I don't think my top tax bracket will ever be lower. And don't let the IRMAA tail wag the dog - I'm going to max out my Roth Conversions at 63 and 64 anyway; it will drive my effective marginal tax rate from 24% to 28%, which is s...
by indexonlyplease
Mon Apr 01, 2019 3:43 pm
Forum: Personal Investments
Topic: Roth conversion
Replies: 48
Views: 5568

Re: Roth conversion

Salmonid wrote: Fri Mar 29, 2019 3:35 pm Depending on how far out you're thinking, converting to Roth can be a killer estate planning move. Roth funds aren't subject to RMDs and retain their tax-free status indefinitely. I'm not an expert in that area, but it might be something to think about.
Why a killer estate planning move?
by indexonlyplease
Mon Apr 01, 2019 7:26 am
Forum: Personal Finance (Not Investing)
Topic: Should I Refinance Mortgage? Currently at 4.75%
Replies: 21
Views: 3365

Re: Should I Refinance Mortgage? Currently at 4.75%

Forget the refi. Just pay the loan off in 15 years. Have the loan company set up an amortizations chart for you. If the rates drop again after you refi will you refi again?
by indexonlyplease
Mon Apr 01, 2019 7:24 am
Forum: Personal Finance (Not Investing)
Topic: Should I Refinance Mortgage? Currently at 4.75%
Replies: 21
Views: 3365

Re: Should I Refinance Mortgage? Currently at 4.75%

That’s a good spread. Those rates are below their listed rates as well. I’m surprised Jumbo’s are lower than conforming. This is the WF listed rates since the Fed rate announcements and remains the same today: https://www.wellsfargo.com/mortgage/rates/ . WF has given favors treatment of jumbos for reasons unknown to me for a long time. Yeah, I was looking at refi rates as I thought that’s what the topic was about. I see those rates under new purchases that match yours. :oops: you’re right. The spread is not as attractive for refis. I’m still surprised rates are as low as they are. Historically these are still crazy low. We own three properties. One is our main house at 3.375% 2 years into a 15 fixed. Our second home is at 2% 6 years into a...
by indexonlyplease
Mon Apr 01, 2019 6:35 am
Forum: Personal Finance (Not Investing)
Topic: How can I get a handle on income taxes in retirement?
Replies: 33
Views: 3772

Re: How can I get a handle on income taxes in retirement?

You are making this difficult.

What you spend now to live on is what you will spend in the future. Munis any debt you have. If you can afford to live the lifestyle you have now why not continue this same lifestyle in retirment. Why does it have to change if you can afford it.

I retired with the same income plus my investments. My idea was to retire with the same lifestyle and zero debt.
by indexonlyplease
Mon Apr 01, 2019 6:28 am
Forum: Non-US Investing
Topic: Your opinion on debt?
Replies: 111
Views: 9814

Re: Your opinion on debt?

I will never understand how people hate car payments but they are ok with a 30 plus year house loan. Why I say 30 plus years is because most people refinance their house loans. Paying off your house is like any other debt. It allows you to save on the interest of the loan and also take away the risk of the loan. Financial advisors have always stated it's better to not pay down the loan and invest the money instead. Why because they say you will make more in the market. This only occurs with no mistakes in investing. Paying off that loan guarentees you savings on interest. I would say the best approach is get a 15 year loan then you don't have to worry about making the extra payments. If the 15 year loan payment is to high then you bought to...
by indexonlyplease
Sun Mar 31, 2019 4:56 pm
Forum: Personal Consumer Issues
Topic: "The best and worst U.S. states for retirement"
Replies: 303
Views: 43687

Re: "The best and worst U.S. states for retirement"

Nobody is average. My personal situation is different than the averages, and different than any individual making the same decision. I live in California because it is low cost and high quality for me . It might not be for someone else, especially if they aren’t already here. I’ve been to all of the “top 10” states in this article, and I would only ever consider living in one of them. The rest either have quality of life issues that I don’t want to have to deal with, or they would be more expensive than where I already am. I think the biggest error the article makes in its methodology is not considering quality of life issues. Weather, amenities, etc. I suppose a website called “Wallet Hub” could be forgiven for that, but it is a big miss....
by indexonlyplease
Sun Mar 31, 2019 11:45 am
Forum: Personal Finance (Not Investing)
Topic: Paying "early" on mortgage may be unwise
Replies: 298
Views: 33213

Re: Paying "early" on mortgage may be unwise

Avoid worrying about making extra payments and just take a 15 year loan. Sure your payments will be higher but your loan will be paid off in 15 year. Plus the loans are always cheaper. None of us like payments, so the faster you get the house paid off the more you get to put towards retirement funds. Also, nothing better than having your house paid off during retirement. Especially for the dreamers that want to retire early. One has to weigh the loss of the power of time and compounding on those retirement fund investments if one is directing all or a portion of that money to the mortgage first to pay it off early, then starting or increasing the retirement fund investing amounts later after the mortgage has been paid off. Low interest rat...
by indexonlyplease
Sun Mar 31, 2019 10:18 am
Forum: Personal Finance (Not Investing)
Topic: Paying "early" on mortgage may be unwise
Replies: 298
Views: 33213

Re: Paying "early" on mortgage may be unwise

Of course Rick Eldelman or any advisosr would advise you invest first and keep the mortgage. Why beacuse they make money off your investments. I listen to Rick but I believe he charges 1.5-2% to invest with him. So who is he really helping? Anyway, on paper what he or you are saying sounds good if all goes right. The problem as we know people make to many mistakes along the way with investing so it hardly works out the way it is suppose to. But if one pays off the mortgage, that is a guarantee savings on interest money. With investments you never know. The best part is being retired debt free and like many say he retire early. Hard to do that with a mortgage. I am not sure why its so difficult to do both. My wife and I worked saved in our d...
by indexonlyplease
Sat Mar 30, 2019 7:24 pm
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 21389

Re: How often do you check your net worth?

Broken Man 1999 wrote: Sat Mar 30, 2019 5:55 pm
indexonlyplease wrote: Sat Mar 30, 2019 5:32 pm Here is a question:

How to you decide what your really paid in taxes in percent? Since there are only certain amounts of dollar range that keep you in each income bracket.
Married filing jointly
0%: $0 to $19,050 of taxable income
12%: $19,051 to $77,400
22%: $77,401 to $165,000
24%: $165,001 to $315,000
You might want to play around with this free tool:

https://www.mortgagecalculator.org/calc ... ulator.php

Very useful to model different things that impact your taxes.

I used it to zero in on my taxes so I could pay enough to be in safe harbor (made easier by late changes, as it turned out) and to end up owing some money. Worked great.

Broken Man 1999
I liked it thanks
by indexonlyplease
Sat Mar 30, 2019 5:42 pm
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 21389

Re: How often do you check your net worth?

retiredjg wrote: Sat Mar 30, 2019 5:41 pm
indexonlyplease wrote: Sat Mar 30, 2019 5:32 pm Here is a question.
Is your question directed to my comment? Or something else in the thread?
No but I will take the answer. I think I figured it out which is close to the amount on my tax form. I see you have to add up the dollar amounts in each bracket.
by indexonlyplease
Sat Mar 30, 2019 5:32 pm
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 21389

Re: How often do you check your net worth?

Here is a question:

How to you decide what your really paid in taxes in percent? Since there are only certain amounts of dollar range that keep you in each income bracket.
Married filing jointly
0%: $0 to $19,050 of taxable income
12%: $19,051 to $77,400
22%: $77,401 to $165,000
24%: $165,001 to $315,000
by indexonlyplease
Sat Mar 30, 2019 5:19 pm
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 21389

Re: How often do you check your net worth?

Bacchus01 wrote: Sat Mar 30, 2019 11:26 am
indexonlyplease wrote: Sat Mar 30, 2019 11:14 am Not when ones pension keeps them in the 22 percent bracket. Or someone that wants the same lifestyle as when they work. I can’t understand to work all your life or retire early to live in the zero percent bracket.
Conceptually I understand what you are saying. And agree.

Practically, however. There. Are ways to have six figures of income and still be in the zero percent tax bracket and live mighty well on that. There is a thread here but I couldn’t find it.
I believe you are correct but that would be someone that has more control of their money. Like all in a taxed deferred account like a 401k.
by indexonlyplease
Sat Mar 30, 2019 11:14 am
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 21389

Re: How often do you check your net worth?

Not when ones pension keeps them in the 22 percent bracket. Or someone that wants the same lifestyle as when they work. I can’t understand to work all your life or retire early to live in the zero percent bracket.
by indexonlyplease
Sat Mar 30, 2019 11:11 am
Forum: Personal Finance (Not Investing)
Topic: Keeping a stash of vacation days as unemployment "insurance"
Replies: 70
Views: 6860

Re: Keeping a stash of vacation days as unemployment "insurance"

And no vacation. That’s one of the reasons you work.
by indexonlyplease
Sat Mar 30, 2019 9:23 am
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 21389

Re: How often do you check your net worth?

whodidntante wrote: Sat Mar 30, 2019 9:21 am
indexonlyplease wrote: Sat Mar 30, 2019 8:05 am
whodidntante wrote: Sat Mar 30, 2019 8:03 am Personal Capital makes it easy, so often.
I set up everything in Vanguards Portfolio Watch. I found this easy. What would be the difference in Personal Capital??
That might be OK if had a Vanguard account. But the last time I was on vanguard.com, the website appeared to be designed by 2.5 GPA "computer" grads, and a top manager's cousin.
I will look in to Capital One.
by indexonlyplease
Sat Mar 30, 2019 9:22 am
Forum: Personal Finance (Not Investing)
Topic: Retirement: What expenses did you reduce?
Replies: 63
Views: 5831

Re: Retirement: What expenses did you reduce?

I don't think you reduce any expenses. You just move them to another area. Sure you don't pay FICA MICA tax, don't put money in the roth or 401k. But now you spend your money on more travel and travel better. Go out more for entertainment and lunches and dinners ect.

So, I call this a good thing. The only saving I can see is when your kids stop asking for money. Now that is a big savings.
by indexonlyplease
Sat Mar 30, 2019 8:05 am
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 21389

Re: How often do you check your net worth?

whodidntante wrote: Sat Mar 30, 2019 8:03 am Personal Capital makes it easy, so often.
I set up everything in Vanguards Portfolio Watch. I found this easy. What would be the difference in Personal Capital??
by indexonlyplease
Sat Mar 30, 2019 8:03 am
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 21389

Re: How often do you check your net worth?

Like my tax accountant told me what every you have deduct 25% for Uncle Sam. You then have your real value. Also, can't include the house because you need to live somewhere. It is not difficult, with moderate tax deferred balances, to have a plan which would include withdrawals being in the 0% tax bracket. Regarding the home, the proper approach is to factor imputed rent (you have to live somewhere) not to ignore the value of a large asset on a balance sheet. Also, I disagree that anyone has to live anywhere. I see folks every day who live nowhere at all. The fact that some like to ignore that doesn't change how you calculate net worth. But I do admit I have all my accounts set up in Vangaurds Portfolio Watch. So, this does make it easy to...
by indexonlyplease
Sat Mar 30, 2019 7:21 am
Forum: Investing - Theory, News & General
Topic: Vanguard Balanced Index (VBIAX) vs. Vanguard LifeStrategy Moderate Growth Fund (VSMGX)
Replies: 25
Views: 6537

Re: Vanguard Balanced Index (VBIAX) vs. Vanguard LifeStrategy Moderate Growth Fund (VSMGX)

I laugh how many worry about the little difference in the er% of different funds. Before most of us do this we should look our debt and see the interest we are paying.
by indexonlyplease
Sat Mar 30, 2019 7:15 am
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 21389

Re: How often do you check your net worth?

Net worth: close to never. House is paid off. Retired. No spreadsheets. Short of the zombie apocalypse (which will definitely happen, it's just that none of us know when), our financial machinery is boringly automatic and pretty bulletproof. I will admit I look at my Vanguard portfolio more than necessary, every few days. I rarely do anything while there. It's just weirdly comforting, even during down weeks or months. I'm still recovering from our past days of Fidelity asset management bloat syndrome, so I look for opportunities to sell an equity in the taxable account and move that money into our five-funds-in-one (VTINX). Cash flow: I reconcile the checking account each month and confirm the auto transfer from VG occurred. Since we're ta...
by indexonlyplease
Sat Mar 30, 2019 7:05 am
Forum: Personal Finance (Not Investing)
Topic: Paying "early" on mortgage may be unwise
Replies: 298
Views: 33213

Re: Paying "early" on mortgage may be unwise

Avoid worrying about making extra payments and just take a 15 year loan. Sure your payments will be higher but your loan will be paid off in 15 year. Plus the loans are always cheaper.

None of us like payments, so the faster you get the house paid off the more you get to put towards retirement funds. Also, nothing better than having your house paid off during retirement. Especially for the dreamers that want to retire early.
by indexonlyplease
Sat Mar 30, 2019 6:54 am
Forum: Personal Finance (Not Investing)
Topic: Primer on Paying Taxes With a Credit Card
Replies: 871
Views: 162046

Re: Primer on Paying Taxes With a Credit Card

This year I went online to pay my taxes owed which was $4500.00. After I put in the information I found the fee was I believe $86.00. I cancelled and send the check in the mail.
by indexonlyplease
Fri Mar 29, 2019 8:06 pm
Forum: Personal Investments
Topic: Roth IRA question
Replies: 16
Views: 1902

Re: Roth IRA question

retiredjg wrote: Fri Mar 29, 2019 5:01 pm
indexonlyplease wrote: Fri Mar 29, 2019 4:53 pm For someone like me that will stay in the 22% tax bracket in retirement. Is there any negative to doing Roth conversions?
No. Paying 22% now is the same as 22% later (assuming no phase outs or cliffs in other areas). In fact, paying 22% now is good if you believe that tax rates will revert to earlier rates in a few years as they are scheduled to do.
Good info

Thanks
by indexonlyplease
Fri Mar 29, 2019 4:53 pm
Forum: Personal Investments
Topic: Roth IRA question
Replies: 16
Views: 1902

Re: Roth IRA question

For someone like me that will stay in the 22% tax bracket in retirement. Is there any negative to doing Roth conversions?
by indexonlyplease
Fri Mar 29, 2019 3:27 pm
Forum: Personal Investments
Topic: Roth conversion
Replies: 48
Views: 5568

Re: Roth conversion

If the growth and tax rate stays the same, they are identical. Transitive property of multiplication Just seems like you would make extra money on holding the taxes and gaining growth on the tax part also. But I have not done the math. I do see many other benefits to having your money in the Roth IRA, The math is pretty easy for same growth and tax. Let's say you start with $100. 25% tax rate, and doubling your money due to growth. In Trad, the entire $100 double to $200, then you pay 25% tax, so $50 goes to tax, leaving you with $150. For Roth, you pay 25% tax on the $100, leaving $75, then it doubles, producing $150, no taxes due, so same as Trad. Trad is (100 * 2) * .75 Roth is (100 * .75) * 2 ok I get that Thanks, Question, what if you...
by indexonlyplease
Fri Mar 29, 2019 7:36 am
Forum: Personal Finance (Not Investing)
Topic: 11-year old with iPhone - advice on how best to manage?
Replies: 68
Views: 6618

Re: 11-year old with iPhone - advice on how best to manage?

jfn111 wrote: Fri Mar 29, 2019 6:54 am The problem with getting a kid a cell phone is it never ends. My daughter (36) and my son (33) are still on my plan. :shock:
(For many plans the 3rd and 4th lines are cheap so it saved THEM a lot of money just staying on our plan).
I understand this. I went to cut off my to adult kids from our plan. They are 19 and 22. But when I went to Verizon it went from $30 a month to $80 on their own plan. A lot cheaper on the family plan of 4 phones.

I could not see them paying this much more. So we are stuck for now.
by indexonlyplease
Fri Mar 29, 2019 7:29 am
Forum: Personal Finance (Not Investing)
Topic: Is our household budget crazy?
Replies: 141
Views: 16120

Re: Is our household budget crazy?

Cycle wrote: Thu Mar 28, 2019 8:51 pm On grocery, shop at Aldi, it's a fraction of the Costco cost.

Last week, I bought 12 24 packs of LaCroix for $1.99 ea, 12 lbs of boneless chicken thighs for $.89 a pound. blueberries were 1.29. avocados were expensive, at .89. frozen berries are always super cheap.

I buy mountains of berries, nuts, veggies, chocolates, cheeses, and meats and my grocery bill for a family of 3 is maybe $300 a month.
Walked into Alidi one time and was shock of the garbage the sell. I can't imagine were the meat comes from. I would not buy meat al Walmart so if Aldi is cheaper, what is that meat?

Also, who has time to grocery shop at 3 different stores just to save a little. Spent more money in gas and your time.
by indexonlyplease
Fri Mar 29, 2019 7:27 am
Forum: Personal Finance (Not Investing)
Topic: Is our household budget crazy?
Replies: 141
Views: 16120

Re: Is our household budget crazy?

You have a huge income and you're spending like 25% of it. You don't have a reason to cut your budget, but if you really want to, I'm your man. I'm notoriously cheap. You have $250 in "uncategorized" while I'd flip out if I had $2.50 in "uncategorized." I track literally every cent. We cancelled Netflix because it was too expensive (and we only had the one SD stream $7.99 version ($8.54 after tax)). I would tear your budget apart, if you wanted me to. But you don't want me to. Because your income is so high. Why live like a pauper for a tomorrow that may never come if you don't have to? However, if it's causing you stress or something, then, sure, strip it down to some degree. You can "trim the fat" or "g...