Search found 371 matches

by MNGopher
Mon Jul 15, 2019 11:33 pm
Forum: Personal Investments
Topic: Teacher 403B Plans
Replies: 30
Views: 1878

Re: Teacher 403B Plans

No......Here is the list from the 403(b) website which matches my fund choices also: https://www.vanguard.com/pdf/403BINVT.pdf I didn’t take the time to see if this list is equal to the list others have sent me. However, my confusion centers on your use of the words “limited fund choices”. It’s har...
by MNGopher
Wed Jul 10, 2019 11:08 am
Forum: Personal Investments
Topic: Life-strategy MODERATE growth and Life-strategy GROWTH for 70/30 mix?
Replies: 42
Views: 2336

Re: Life-strategy MODERATE growth and Life-strategy GROWTH for 70/30 mix?

Another angle....What I do is keep VASGX (Life Strategy Growth 80/20) in my Roth IRA and target date 2025 (65/35) in my tax deferred account. This puts my overall asset allocation in tax advantaged accounts at about 70/30. My reasoning is I will start spending from the tax deferred account in about ...
by MNGopher
Wed Jul 03, 2019 1:39 pm
Forum: Personal Investments
Topic: Teacher Looking To Stop 403b Contributions
Replies: 46
Views: 2779

Re: Teacher Looking To Stop 403b Contributions

Lot's of good advice here. The 1% advisor fee on top of your expense ratio, makes your 403b a lot less appealing, but it still may be worth contributing more to, depending on when you will retire. For example if you retire in your 50's you may have many years to spend down your 403b at a lower tax r...
by MNGopher
Tue Jul 02, 2019 3:55 pm
Forum: Personal Investments
Topic: Do Target Date Retirement Funds Have a Down Side?
Replies: 29
Views: 3206

Re: Do Target Date Retirement Funds Have a Down Side?

Slightly higher expense ratio than if the underlying funds were purchased separately. But this difference will not be all that significant to newer investors, and is quite likely worth it.
by MNGopher
Tue Jul 02, 2019 3:51 pm
Forum: Personal Investments
Topic: Teacher Looking To Stop 403b Contributions
Replies: 46
Views: 2779

Re: Teacher Looking To Stop 403b Contributions

Many teachers will have several years, or a decade even, when their taxable income will be lower (between retiring and starting Social Security), and they can spend down their 403b money at a lower tax rate or maybe do conversions to Roth. Check out this site for more info https://403bwise.com/ Tho...
by MNGopher
Tue Jul 02, 2019 3:37 pm
Forum: Personal Investments
Topic: Teacher Looking To Stop 403b Contributions
Replies: 46
Views: 2779

Re: Teacher Looking To Stop 403b Contributions

You say you have mostly Vanguard funds in your 403b. If they are through Vanguard directly and you are paying low expense ratios in the .05 -.20 range then it is worth continuing to contribute to the plan. But, if you have an annuity product through an insurance company you are probably paying at le...
by MNGopher
Sat Jun 29, 2019 6:23 am
Forum: Investing - Theory, News & General
Topic: Vanguard Money Market (VMMXX)
Replies: 19
Views: 2727

Re: Vanguard Money Market (VMMXX)

I have some cash parked in a roth ira and they are all in VMMXX for a month and two. I actually noticed my balance goes down in several occasions last month and this month. Does anyone know why? Curious why you’re holding cash in a Roth...? Trying to figure out what to buy and trying to decide if I...
by MNGopher
Fri Jun 28, 2019 10:38 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Money Market (VMMXX)
Replies: 19
Views: 2727

Re: Vanguard Money Market (VMMXX)

I have some cash parked in a roth ira and they are all in VMMXX for a month and two. I actually noticed my balance goes down in several occasions last month and this month. Does anyone know why? Curious why you’re holding cash in a Roth...? Trying to figure out what to buy and trying to decide if I...
by MNGopher
Sat Jun 15, 2019 9:03 pm
Forum: Personal Investments
Topic: Should I invest 100k into a total index or do it slowly
Replies: 50
Views: 5091

Re: Should I invest 100k into a total index or do it slowly

When you go to the casino do you go to the first dice table you see and put your entire bankroll on the pass line (or come if a point has already been established)? Your answer may help guide you in your investment decision. Point taken, but at the casino the odds are tilted in favor of the house, ...
by MNGopher
Wed Jun 12, 2019 8:39 pm
Forum: Investing - Theory, News & General
Topic: What financial information do you wish was more commonly known?
Replies: 50
Views: 8616

Re: What financial information do you wish was more commonly known?

I wish that my co-workers didn't think that variable annuities were the best way to invest for retirement.
by MNGopher
Tue Jun 11, 2019 9:45 am
Forum: Investing - Theory, News & General
Topic: Pay Growth vs Stock Market Returns
Replies: 26
Views: 1756

Re: Pay Growth vs Stock Market Returns

Pay growth, savings increases, and investment return are not 3 mutually exclusive things. You can strive to do your best in all 3 areas.
by MNGopher
Tue Jun 11, 2019 9:35 am
Forum: Investing - Theory, News & General
Topic: [Why did my fund suddenly drop in value?]
Replies: 228
Views: 186402

Re: [Why did my fund suddenly drop in value?]

I understand why a funds NAV drops after a distribution but is the same true when you hold individual stock. For example say you own stock in Company Z and it pay a 2% Dividend, does the share price also drop by 2%? If yes, how does that work if its the market that determines stock price? Thanks It...
by MNGopher
Sun Jun 09, 2019 11:09 pm
Forum: Personal Investments
Topic: Roth 401k vs. (Traditional 401k+Taxable account)
Replies: 13
Views: 1184

Re: Roth 401k vs. (Traditional 401k+Taxable account)

Do you qualify for a Roth IRA? In the 22% tax bracket I would think so. Why not max out your traditional 401K and fund a Roth IRA with the tax saving?
by MNGopher
Sun Jun 09, 2019 10:57 pm
Forum: Personal Finance (Not Investing)
Topic: How much VTIAX can I hold in a taxable account to have under $300 foreign tax paid?
Replies: 6
Views: 1029

Re: How much VTIAX can I hold in a taxable account to have under $300 foreign tax paid?

Take my answer with a grain of salt, because I know nothing about foreign taxes, but I can tell you what my tax statement from last year says...At the end of 2018 I owned a little more than 30K of VTIAX in a taxable account. The gross income paid to me was about $750 and the foreign taxes that I pai...
by MNGopher
Sat Jun 08, 2019 10:51 pm
Forum: Investing - Theory, News & General
Topic: S&P Index Chart
Replies: 3
Views: 586

Re: S&P Index Chart

It should be noted that these studies refer to how long it takes the index (in this case S&P 500) to return to previous levels. Individual investors in the accumulation phase of investing should recover much quicker when you consider reinvesting dividends and continued contributions to accounts duri...
by MNGopher
Fri Jun 07, 2019 3:47 pm
Forum: Personal Finance (Not Investing)
Topic: Attn: teachers....Daughter considering 80% teaching position. Good idea?
Replies: 64
Views: 5043

Re: Attn: teachers....Daughter considering 80% teaching position. Good idea?

You are correct about the WEP. That's why I mentioned the pension. If Maine's pension is well-funded, and the politicians are living up their end of the contract and paying in to the system, then great. If they are abdicating their responsibility and the pension is in trouble, she could be in finan...
by MNGopher
Thu Jun 06, 2019 8:59 pm
Forum: Personal Finance (Not Investing)
Topic: Attn: teachers....Daughter considering 80% teaching position. Good idea?
Replies: 64
Views: 5043

Re: Attn: teachers....Daughter considering 80% teaching position. Good idea?

Starting the pension clock as soon as possible can be a big deal. In my case, substitute teaching for just a few weeks at the end of a school year allowed me qualify for much better pension payouts. Someone who started teaching just a few months after me has to work 5 more years to get the same pens...
by MNGopher
Sat Jun 01, 2019 8:30 am
Forum: Personal Investments
Topic: 45 and getting older... [asset allocation]
Replies: 26
Views: 3401

Re: 45 and getting older... [asset allocation]

Your return right now is not all that important. What's important is contribution rate, diversification, tax efficiency, and low fees. I'm about 8 years older than you. My biggest investing regret is not investing more 8 years ago.
by MNGopher
Fri May 31, 2019 8:53 pm
Forum: Personal Investments
Topic: New Here..A Couple Simple Questions..Vanguard VTSAX
Replies: 14
Views: 2422

Re: New Here..A Couple Simple Questions..Vanguard VTSAX

IRAs, Roth or traditional are not offered by employers. You must set them up individually through a company of your choices. Whereas 401k's, both Roth and traditional, are through your employer, if they offer them. Whether you pay taxes now (Roth) or later (traditional) depends on your current incom...
by MNGopher
Fri May 31, 2019 6:42 pm
Forum: Investing - Theory, News & General
Topic: Best day of the month to invest?
Replies: 41
Views: 4549

Re: Best day of the month to invest?

Probably just superstition, but I don't like to invest extra money on a down Friday (like today).
by MNGopher
Thu May 30, 2019 2:54 pm
Forum: Investing - Theory, News & General
Topic: 2% withdrawal rate
Replies: 182
Views: 12982

Re: 2% withdrawal rate

Well 7 minute abs is better than 8 minute abs.
https://www.youtube.com/watch?v=rnso4nfdM9w
by MNGopher
Thu May 30, 2019 10:50 am
Forum: Investing - Theory, News & General
Topic: Feedback on 403b meeting with school board member
Replies: 27
Views: 1472

Re: Feedback on 403b meeting with school board member

Good for you for doing this. I don't know anything about your Colorado situation, but in Minnesota we also have hoards of the insurance salesmen coming into our schools every fall. I would throw something in to your presentation about 403b's not being ERISA regulated like 401k's are. Thus there is ...
by MNGopher
Wed May 29, 2019 10:22 pm
Forum: Investing - Theory, News & General
Topic: Feedback on 403b meeting with school board member
Replies: 27
Views: 1472

Re: Feedback on 403b meeting with school board member

Good for you for doing this. I don't know anything about your Colorado situation, but in Minnesota we also have hoards of the insurance salesmen coming into our schools every fall. I would throw something in to your presentation about 403b's not being ERISA regulated like 401k's are. Thus there is a...
by MNGopher
Tue May 28, 2019 9:57 pm
Forum: Personal Investments
Topic: VALIC fees
Replies: 5
Views: 587

Re: VALIC fees

When people come to realize that the expense ratio is applied to their total account value, every year, year after year, they can really see the difference it makes in their total return. Over a 30 year period a 1-2% difference can steal almost half the value of your account when you figure the lost...
by MNGopher
Sat May 18, 2019 10:48 pm
Forum: Personal Consumer Issues
Topic: Hiking shoe suggestion for supinators/under-pronators
Replies: 18
Views: 996

Re: Hiking shoe suggestion for supinators/under-pronators

I don't like the one pair of Oboz hiking shoes that I bought. I think I have Morton's Neuroma which causes pain under the mid toes. I bought an insert from the Good Feet store of Minnesota to wear with my work shoes with great results. I like my Hoka One One for walking. I have two pairs, one for pa...
by MNGopher
Wed May 15, 2019 5:49 pm
Forum: Personal Investments
Topic: 403b vs Roth 403b?
Replies: 20
Views: 1216

Re: 403b vs Roth 403b?

It is pay taxes now vs pay taxes later issue. With Roth 403b, your money will never be taxed again, including its growth. But you pay taxes on the money you contribute now. With regular 403b, you will get a tax break now; so if your salary is $100k and you contribute $15k to 403b, your year end W-2...
by MNGopher
Tue May 14, 2019 10:16 pm
Forum: Investing - Theory, News & General
Topic: Dividends almost Doubled between 2013 and now
Replies: 96
Views: 7420

Re: Dividends almost Doubled between 2013 and now

It's not that people here don't like dividends, they just realize that they are nothing more than taking a couple bucks out of your right pocket and putting it in your left pocket (and possibly paying taxes on it). That's your take. If it stays in your right pocket, it's your cash but someone else ...
by MNGopher
Tue May 14, 2019 9:51 pm
Forum: Investing - Theory, News & General
Topic: Dividends almost Doubled between 2013 and now
Replies: 96
Views: 7420

Re: Dividends almost Doubled between 2013 and now

Riprap wrote:
Tue May 14, 2019 9:39 pm
Shsssh! Don't tell anyone. Besides, being a fan a dividends here is heresy.
It's not that people here don't like dividends, they just realize that they are nothing more than taking a couple bucks out of your right pocket and putting it in your left pocket (and possibly paying taxes on it).
by MNGopher
Wed May 08, 2019 6:31 pm
Forum: Personal Investments
Topic: investment for infant
Replies: 29
Views: 2782

Re: investment for infant

crossbow wrote:
Wed May 08, 2019 6:22 pm
Gill wrote:
Wed May 08, 2019 6:17 pm
crossbow wrote:
Wed May 08, 2019 6:08 pm
How does one create a Roth IRA for an infant? I would like to do this.
No problem if the infant has earned income.
Gill
How does an infant earn income? :confused
Get the kid working in some TV comercials...E-trade, Pampers, etc
Target Date Fund 2085 in the Roth. Boom!
by MNGopher
Sat May 04, 2019 9:28 am
Forum: Personal Investments
Topic: Vanguard target date vs. convoluted portfolio
Replies: 32
Views: 1998

Re: Vanguard target date vs. convoluted portfolio

I will join the crowd in saying that the "free" advisor that shows up at your work and tries to get people to complicate their investments with higher fees and also sell you life insurance, is not an advisor, and it is definitely not free. He is a vulture trying to make a living feeding off the youn...
by MNGopher
Sat May 04, 2019 8:35 am
Forum: Personal Investments
Topic: Say you have a pension & lot of cash. With those in mind, does it make sense to have a more aggressive allocation?
Replies: 62
Views: 4384

Re: Say you have a pension & lot of cash. With those in mind, does it make sense to have a more aggressive allocation?

It's hard to know how aggressive you really are without knowing what "a lot of cash" is. Is this just the standard 3-6 month emergency fund or does it greatly exceed that? What is your ratio of stock funds to cash?
by MNGopher
Mon Apr 22, 2019 10:16 pm
Forum: Investing - Theory, News & General
Topic: Vanguard 403b Changes
Replies: 191
Views: 29531

Re: Vanguard 403b Changes

I’m sure a current account holder can tell you exactly where to see the fee being applied. Sure... -Go to your Vanguard 403b Dashboard (via "Go to my 403b plan details" on Vanguard Site). -Click on Statements and choose the most recent one -Under Fees you will see the $15 fee for the quarter. You c...
by MNGopher
Sat Apr 20, 2019 11:32 am
Forum: Personal Investments
Topic: Is it better to borrow from 401(k) or withdraw from ROTH for a downpayment?
Replies: 15
Views: 660

Re: Is it better to borrow from 401(k) or withdraw from ROTH for a downpayment?

Thank you. Assuming #4, would you reduce retirement contributions to get to 20%? Right now, I'm not saving a whole lot of liquid cash because most of my savings go towards the 401(k) and ROTH. Not much leftover after that. Correct. IMO reducing contributions for a couple years is a much better idea...
by MNGopher
Sat Apr 20, 2019 10:55 am
Forum: Personal Investments
Topic: Is it better to borrow from 401(k) or withdraw from ROTH for a downpayment?
Replies: 15
Views: 660

Re: Is it better to borrow from 401(k) or withdraw from ROTH for a downpayment?

You're off to a good start for your age, but I would never borrow from a retirement account. So 3, or 4. Wait until you have the 20% cash to put down before purchasing the house.
by MNGopher
Sat Apr 20, 2019 8:49 am
Forum: Investing - Theory, News & General
Topic: Market timers thread
Replies: 214
Views: 14036

Re: Market timers thread

Why does it make you angry for someone to simply confirm that yes, market timing is not only possible, but is happening successfully every day? People also win at blackjack every day, but that doesn't make it a wise strategy. Market timing can be successful, but the data suggest the odds are agains...
by MNGopher
Sun Apr 14, 2019 4:55 pm
Forum: Personal Consumer Issues
Topic: Walking shoes
Replies: 33
Views: 2249

Re: Walking shoes

Hoka One One (pronounced own-ay) is a running shoe company, but I like them for walking. Tons of cushioning.
by MNGopher
Tue Apr 09, 2019 5:45 pm
Forum: Personal Finance (Not Investing)
Topic: Cost Basis for Vanguard
Replies: 12
Views: 1283

Re: Cost Basis for Vanguard

If you're a buy-and-hold isn't "average gain' is a lot easier since you don't have to track lots? One can still tax loss/gain harvest, but it will be based on long term averages rather than with a fine-toothed comb. From what I've seen Vanguard keeps track of all the lots, so it really isn't much t...
by MNGopher
Mon Apr 08, 2019 9:48 pm
Forum: Personal Investments
Topic: Do we add to a Roth or 401k?
Replies: 26
Views: 1498

Re: Do we add to a Roth or 401k?

In the 12% bracket I would probably do both/split it, but a lot depends on your individual circumstances.
by MNGopher
Mon Apr 08, 2019 9:31 pm
Forum: Personal Finance (Not Investing)
Topic: Cost Basis for Vanguard
Replies: 12
Views: 1283

Re: Cost Basis for Vanguard

If you're a buy-and-hold isn't "average gain' is a lot easier since you don't have to track lots? One can still tax loss/gain harvest, but it will be based on long term averages rather than with a fine-toothed comb. From what I've seen Vanguard keeps track of all the lots, so it really isn't much t...
by MNGopher
Mon Apr 08, 2019 5:11 pm
Forum: Personal Investments
Topic: Do we add to a Roth or 401k?
Replies: 26
Views: 1498

Re: Do we add to a Roth or 401k?

In the 22% tax bracket the 401K is almost always the better choice. The exception would be if you will receive a large pension and/or expect your income to go up significantly in upcoming years.
by MNGopher
Sun Apr 07, 2019 8:35 pm
Forum: Investing - Theory, News & General
Topic: The "dividend preference anomaly"
Replies: 183
Views: 8732

Re: The "dividend preference anomaly"

Maybe people are getting confused by the semantics of temporary and permanent. If I write a check for $2 for some consumable, I permanently lost that $2, temporarily dropping the balance in my checking account. That $2 is gone, but it doesn't mean that my checking account balance will never reach th...
by MNGopher
Sun Apr 07, 2019 10:36 am
Forum: Personal Finance (Not Investing)
Topic: "Worried about being pushed into 'higher tax bracket' "
Replies: 25
Views: 2087

Re: "Worried about being pushed into 'higher tax bracket' "

I was listening to a very popular morning radio program (KQRS) here in Mpls/StP area go on for ten minutes about how all your income is taxed the same. :oops: Between 5 of them, none of them knew about marginal tax brackets. Even after listeners were texting in to correct them they still didn't unde...
by MNGopher
Sat Apr 06, 2019 10:33 pm
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 4593
Views: 1181713

Re: What Movie Have You Recently Watched?

The Highwaymen - Netflix Kevin Costner, Woody Harrelson, Kathy Bates. The pursuit of Bonnie & Clyde. My kind of movie. +1 A couple of over the hill Texas Rangers come out of retirement. Pretty well done I thought. +2. Good movie Seemed historically accurate from what I have read. The last 30 minute...
by MNGopher
Tue Apr 02, 2019 7:52 pm
Forum: Personal Finance (Not Investing)
Topic: Boglehead teachers or those married to one: some questions about career and life...
Replies: 101
Views: 6905

Re: Boglehead teachers or those married to one: some questions about career and life...

Teaching jobs can obviously be found anywhere in the country, but depending on how long she has been working, it might be hard to get the same level of pay when starting at a new district. For example someone with 20 years experience, probably won't get the 20 year pay scale at the new school, and i...
by MNGopher
Mon Apr 01, 2019 5:35 pm
Forum: Investing - Theory, News & General
Topic: Rich Dad / Poor Dad Investing Theory
Replies: 74
Views: 5607

Re: Rich Dad / Poor Dad Investing Theory

I bought my house for 103K with 20K down in 1995. I paid it off in 2006 after making extra payments. Assessed value for 2019 is 235K, which would be a little lower than what I could sell it for. I have replaced a few kitchen appliances, and insurance has replaced the roof and a few windows from hail...
by MNGopher
Sun Mar 31, 2019 3:18 pm
Forum: Investing - Theory, News & General
Topic: Rich Dad / Poor Dad Investing Theory
Replies: 74
Views: 5607

Re: Rich Dad / Poor Dad Investing Theory

His book was the first investing book I ever read. I found it very vague and condescending, and it turned me off on investing. What I did learn from his story is that anyone can have a corny idea (Velcro wallets) that is popular for awhile, and than sell a bunch of books proclaiming financial wizard...
by MNGopher
Fri Mar 29, 2019 5:21 pm
Forum: Investing - Theory, News & General
Topic: Newbie Question: Taxes on Brokerage Account?
Replies: 10
Views: 929

Re: Newbie Question: Taxes on Brokerage Account?

I would agree that Vanguard index funds are equally tax efficient to the corresponding ETF. Here's a Forbes article that explains.
https://www.forbes.com/sites/simonmoore ... b533712c61
by MNGopher
Fri Mar 29, 2019 5:07 pm
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 14915

Re: How often do you check your net worth?

The reason I check, at least monthly, is because I'm competitive, even it is only against myself or my previous months gains. I make a game of it, and set goals. This keeps me motivated to invest smarter, save more, and lower expenses where I can.
by MNGopher
Fri Mar 29, 2019 11:32 am
Forum: Personal Finance (Not Investing)
Topic: How often do you check your net worth?
Replies: 257
Views: 14915

Re: How often do you check your net worth?

I record the value of my investment portfolio once a month on the same date. I will often check Vanguard (90% of investments) after big gain days or when deposits are scheduled. I don't check the value of my house or other personal property except when the county or someone does an assessment, but I...
by MNGopher
Thu Mar 28, 2019 4:24 pm
Forum: Investing - Theory, News & General
Topic: Newbie Question: Taxes on Brokerage Account?
Replies: 10
Views: 929

Re: Newbie Question: Taxes on Brokerage Account?

This is the reason that it is recommended to keep tax efficient funds in your taxable account, or ones that don't have a lot of distributions, while the ones that pay a lot of dividends are more efficient in your IRA's and 401K's. VTSAX in taxable isn't a bad choice at all though, by the way.