Search found 1003 matches

by Engineer250
Thu Jul 07, 2016 5:04 pm
Forum: Investing - Help with Personal Investments
Topic: Mid-Twenties Migrating 401k and Roth IRA to Index Funds (+Misc Qs)
Replies: 17
Views: 2108

Re: Mid-Twenties Migrating 401k and Roth IRA to Index Funds (+Misc Qs)

His 401k at Fidelity No company match. Both Traditional and Roth 401k options are offered. I took a stab at contributing 3:1 (Roth:Traditional) for benefits of tax-free growth plus tax-diversification in retirement. In the 28% bracket the pre-tax 401k is better. See 
 The Case Against Roth 401(k) ....
by Engineer250
Thu Jul 07, 2016 4:49 pm
Forum: Investing - Help with Personal Investments
Topic: Am I a little crazy to be thinking this way?
Replies: 112
Views: 14951

Re: Am I a little crazy to be thinking this way?

This is not realistic. From where OP is in life expenses increase much faster than investment returns. At 10% expense increase over 20 years, OP will be spending $200,000 per year after 20 years. Your calculation projects savings of $2.1M in the best case which is only 10x of annual expenses. OP ha...
by Engineer250
Thu Jul 07, 2016 3:58 pm
Forum: Investing - Theory, News & General
Topic: the paradox of skill explained
Replies: 9
Views: 1928

Re: the paradox of skill explained

Excellent article, thank you for posting.

I especially liked the nod to the infamous War Games quote in your last several sentences.
by Engineer250
Thu Jul 07, 2016 3:54 pm
Forum: Investing - Theory, News & General
Topic: What are your thoughts on the "Golden Butterfly" portfolio?
Replies: 115
Views: 21670

Re: What are your thoughts on the "Golden Butterfly" portfolio?

I like the name ... Does it meet the requirements of your Investment Policy Statement? The portfolio has, at least in theory, both incredibly high return and incredibly low volatility. In other words, what IPS wouldn't it support, would be the better question. I haven't written out my IPS formally....
by Engineer250
Thu Jul 07, 2016 3:34 pm
Forum: Investing - Theory, News & General
Topic: Actionable Advice: What to do if Japan happens here?
Replies: 36
Views: 4610

Re: Actionable Advice: What to do if Japan happens here?

Christ. Why are people so negative on the USA? Hope for the best, plan for the worst. Here's just my personal take: I ran a couple hypothetical charts on whether one were 100% invested in stocks or 80%/20% stocks/bonds to see if the bond allocation would "hurt" your gains. I used the last 25 years ...
by Engineer250
Thu Jul 07, 2016 11:56 am
Forum: Investing - Help with Personal Investments
Topic: Emerging Markets Small Cap Value
Replies: 53
Views: 8052

Re: Emerging Markets Small Cap Value

You can also overweight small-cap emerging markets (but not value) without a separate ETF, by using Vanguard's funds for small-cap international (which includes EM) and emerging markets (which includes small-cap). For example, if you work for the US Government and your international holdings are 30...
by Engineer250
Thu Jul 07, 2016 11:27 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard Personal Advisor Services Experiences: Tell Me About Your Experience
Replies: 34
Views: 7316

Re: Vanguard Personal Advisor Services Experiences: Tell Me About Your Experience

Just a suggestion to inquire about, but maybe the Vanguard investor would be willing to occasionally video Skype with your relative instead of just a phonecall. It is afterall the 21st century and such technology is available. So long as both sides have a good connection it might be more personable ...
by Engineer250
Thu Jul 07, 2016 11:01 am
Forum: Investing - Help with Personal Investments
Topic: Investing a Generation Skipping Inheritance
Replies: 3
Views: 527

Re: Investing a Generation Skipping Inheritance

I think you are on the right track. 60/40 is probably a good set it and forget it allocation. You could go more aggressive, but it might be smart then to make it a little more conservative again as they get older, so depends on whether you want to remember that in 10 years or not. If grandparents ke...
by Engineer250
Wed Jul 06, 2016 1:40 pm
Forum: Investing - Help with Personal Investments
Topic: Bond Funds - worth it?
Replies: 33
Views: 3916

Re: Bond Funds - worth it?

Not everyone has as good of alternatives as the OP, or in my case (G Fund). If you look at Vanguard's offerings, there's a more compelling reason to use an intermediate-term fund. Comparing VBRIX at 1.09% yield and almost 3 yr duration, vs. total bond fund at 1.96% yield and 5.7 yr duration, the to...
by Engineer250
Wed Jul 06, 2016 1:35 pm
Forum: Investing - Help with Personal Investments
Topic: Bond Funds - worth it?
Replies: 33
Views: 3916

Re: Bond Funds - worth it?

... I am doing a tax-deferred to tax-deferred rollover which later this year I will do a portion of to rollover to a Roth. I was thinking of putting a little more than that portion in the total bond market fund as a temporary holding spot so I wasn't buying/selling equities in such a short period o...
by Engineer250
Wed Jul 06, 2016 10:12 am
Forum: Investing - Help with Personal Investments
Topic: Bond Funds - worth it?
Replies: 33
Views: 3916

Re: Bond Funds - worth it?

What does this mean for the oft recommended Total Bond Market fund usually suggested on here? Like the poster above I'm not sure I entirely understand bonds or bond funds. I am doing a tax-deferred to tax-deferred rollover which later this year I will do a portion of to rollover to a Roth. I was thi...
by Engineer250
Tue Jul 05, 2016 5:00 pm
Forum: Investing - Help with Personal Investments
Topic: Hoping for an early retirement
Replies: 29
Views: 5161

Re: Hoping for an early retirement

Something I didn't see explicitly addressed, what is your current income? Are you currently living off of $60k a year or is this some estimate that hopes you downsize some aspects of your life? I'd plug all my numbers into a spreadsheet (or Mint or something) and see what I'm really costing myself t...
by Engineer250
Tue Jul 05, 2016 4:44 pm
Forum: Investing - Help with Personal Investments
Topic: Just found out I have a TSP
Replies: 22
Views: 2605

Re: Just found out I have a TSP

When I retired from the Navy in 2008, I lost track of my TSP because it had little money in it ($1,100). Well, I found an old file with my TSP info in it and logged on to find out I had almost tripled my $1,100. Yeah. So, I put it all in the G fund and now I would like to figure out what to do with...
by Engineer250
Tue Jul 05, 2016 4:13 pm
Forum: Investing - Theory, News & General
Topic: Good one-year return for REITs: time to rebalance
Replies: 17
Views: 2785

Re: Good one-year return for REITs: time to rebalance

I have a teeny tiny amount in Vanguard's REIT ETF. In May I started to get serious about getting my money organized which meant moving over an old 401k to my TSP. I had read a lot online about things the TSP was "missing" and the two that stuck out were emerging markets and REIT. So my tiny Roth is ...
by Engineer250
Tue Jul 05, 2016 1:40 pm
Forum: Personal Finance (Not Investing)
Topic: Zero bonds at 38 yo... and no plans to buy any
Replies: 68
Views: 6433

Re: Zero bonds at 38 yo... and no plans to buy any

Most people would suggest you don't consider social security as a substitute for bonds. Instead, as you are nearing retirement, you take it into consideration as part of your income needs. The fact that your pension and current income are tied up with the city/state as are your property values, I wo...
by Engineer250
Tue Jul 05, 2016 12:07 pm
Forum: Investing - Help with Personal Investments
Topic: Roll call Warren Buffet 90/10 portfolio
Replies: 89
Views: 17312

Re: Role call Warren Buffet 90/10 portfolio

You can count me in as well. Roth IRA: 100% FUSVX (Fidelity S&P 500 Fund) Roth TSP: 100% C Fund (S&P 500 equivalent) Taxable: 100% VTSAX (TSM) Emergency fund: 12 months expenses in a high yield savings account, currently about 12% of my portfolio. I'm 29 and the only changes I have in mind is to ad...
by Engineer250
Sun Jul 03, 2016 3:58 pm
Forum: Investing - Help with Personal Investments
Topic: ETF vs Admiral (Vanguard)
Replies: 3
Views: 1143

ETF vs Admiral (Vanguard)

Two accounts: Emerging Markets ETF vs Admiral Shares (and small cap international): 1) I currently have ~$1500 in emerging markets ETF (VWO) in my Roth IRA. I expect to get more via a rollover end of this year or next such that I could get the admiral shares (VEMAX). I'll also have some in a traditi...
by Engineer250
Sun Jul 03, 2016 3:37 pm
Forum: Investing - Help with Personal Investments
Topic: Am I a little crazy to be thinking this way?
Replies: 112
Views: 14951

Re: Am I a little crazy to be thinking this way?

I find the 100% stock debate to be pretty interesting. I read an article several years ago that has reflected how I am invested. The person suggested we are too conservative when we are young and not conservative enough when we are nearing retirement. That the traditional age in bonds means we miss ...
by Engineer250
Sat Jul 02, 2016 10:09 pm
Forum: Investing - Help with Personal Investments
Topic: Newbie here: Help with my 401k and my Potential Roth IRA.
Replies: 16
Views: 1523

Re: Newbie here: Help with my 401k and my Potential Roth IRA.

What other ways one can invest in real estate? Would you please elaborate? My sister's husband's parents own 100+ unit apartment in New Mexico and a restaurant. He also owns a duplex in Boston. So I'd figure I'll follow the same. I do feel responsible for my parent's retirement since I'm the only M...
by Engineer250
Sat Jul 02, 2016 2:42 pm
Forum: Personal Finance (Not Investing)
Topic: Applied for Internal Position - Wasn't Interviewed
Replies: 33
Views: 3982

Re: Applied for Internal Position - Wasn't Interviewed

In fact, the person was impressed with my skills and said "man I wish I knew you applied before the process" and asked if I would like to move into the new position if it becomes available. Have you considered that this might have been BS to avoid an uncomfortable conversation? This would exactly b...
by Engineer250
Fri Jul 01, 2016 11:35 pm
Forum: Investing - Help with Personal Investments
Topic: Newbie here: Help with my 401k and my Potential Roth IRA.
Replies: 16
Views: 1523

Re: Newbie here: Help with my 401k and my Potential Roth IRA.

What other ways one can invest in real estate? Would you please elaborate? My sister's husband's parents own 100+ unit apartment in New Mexico and a restaurant. He also owns a duplex in Boston. So I'd figure I'll follow the same. I do feel responsible for my parent's retirement since I'm the only M...
by Engineer250
Thu Jun 30, 2016 6:33 pm
Forum: Investing - Theory, News & General
Topic: For those that "buy" during stock market downturns...
Replies: 158
Views: 13130

Re: For those that "buy" during stock market downturns...

I disagree with others that this drop was necessarily a "great buying opportunity". S&P 500 was lower for all of the beginning of 2016 until March than the current drop. EAF (MSCI European Asian Far East - just to use an example of a fund I am in, that is also heavily European dominated) was lower m...
by Engineer250
Thu Jun 30, 2016 5:46 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement planning scrutiny for first time poster
Replies: 16
Views: 1456

Re: Retirement planning scrutiny for first time poster

I am not aware of anything called "mandatory retirement age". I was referring to MINIMUM retirement age, which is 57 for most FERS employees born after 1970. I have no idea what non-support type employees means and whether or not you really do fall into some special category I have not heard of. Th...
by Engineer250
Thu Jun 30, 2016 1:51 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement planning scrutiny for first time poster
Replies: 16
Views: 1456

Re: Retirement planning scrutiny for first time poster

Not sure if this has been asked, how are you able to retire at 50 with your pension? Are you under CSRS somehow or FERS? Even with FERS, retiring at 30 years is still MRA which is 57 for you. You could obviously take a deferred retirement by retiring with 20 or 30 years service at age 50 and then n...
by Engineer250
Thu Jun 30, 2016 1:39 pm
Forum: Investing - Help with Personal Investments
Topic: TSP G Fund Daily Reinvestment Question
Replies: 5
Views: 902

Re: TSP G Fund Daily Reinvestment Question

The TSP funds do not pay dividends; instead, the share price adjusts based on the current value of the investments, including dividends used to buy new investments. Thus the G fund value goes up by a fraction of a cent every day, representing the return, and the other fund values go up and down as ...
by Engineer250
Thu Jun 30, 2016 1:22 pm
Forum: Investing - Help with Personal Investments
Topic: Forgo Vanguard IRA because of my 401k options? Help with strategy
Replies: 16
Views: 1847

Re: Forgo Vanguard IRA because of my 401k options? Help with strategy

Could you convert your traditional IRA to a Roth IRA? That might be a good reason to keep it with Vanguard instead of rolling it over to your 401k. Then if you can afford to you could still contribute the $5500 max to the Roth account. Regarding fund fees: there are ETF alternatives to most Vanguard...
by Engineer250
Thu Jun 30, 2016 1:16 pm
Forum: Investing - Help with Personal Investments
Topic: Newbie here: Help with my 401k and my Potential Roth IRA.
Replies: 16
Views: 1523

Re: Newbie here: Help with my 401k and my Potential Roth IRA.

My long term investing plan: 401k + ROTH max (both me and future wife/GF) Multifamily unit 2-3 live on one Buy more units or create a taxable account I need to start thinking of my parents retirement as well. My GF's parents are doing well. It's just my parents that I need to worry about. We will a...
by Engineer250
Thu Jun 30, 2016 1:01 pm
Forum: Investing - Help with Personal Investments
Topic: Refinancing Home to buy Stocks. Confusion
Replies: 62
Views: 5465

Re: Refinancing Home to buy Stocks. Confusion

I vote for no debt. No reason the stock market could not do exactly what Japan's stock market has done for the last several decades for the next several decades going forward. Possibly after another crash. No one knows. I'd pretend like you still have a mortgage, and just deposit that amount monthly...
by Engineer250
Thu Jun 30, 2016 12:36 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement planning scrutiny for first time poster
Replies: 16
Views: 1456

Re: Retirement planning scrutiny for first time poster

Not sure if this has been asked, how are you able to retire at 50 with your pension? Are you under CSRS somehow or FERS? Even with FERS, retiring at 30 years is still MRA which is 57 for you. You could obviously take a deferred retirement by retiring with 20 or 30 years service at age 50 and then no...
by Engineer250
Thu Jun 30, 2016 12:24 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion - Taxes / Time of Year
Replies: 11
Views: 1274

Re: Roth Conversion - Taxes / Time of Year

I don't try to cut it too close. I have always over converted a few thousand and not worried about the last 2K-5K being in the 25% bracket. But, I am also in a position where either my wife or I will do Roth conversions over a 6-7 year period and still have substantial sums in traditional IRA's whe...
by Engineer250
Thu Jun 30, 2016 12:18 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion - Taxes / Time of Year
Replies: 11
Views: 1274

Re: Roth Conversion - Taxes / Time of Year

-Or in December should I just look at my last paycheck (it looks like my paycheck includes a line item for "Taxable Wages" that I assume removes 401k and healthcare premiums) and then try to subtract mortgage interest and my estimated tuition credit and the standard deduction and just try to take m...
by Engineer250
Wed Jun 29, 2016 6:48 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion - Taxes / Time of Year
Replies: 11
Views: 1274

Re: Roth Conversion - Taxes / Time of Year

my AGI is in the 15% tax bracket…. I'm having some trouble figuring out what my AGI might be ahead of time. It is unclear if you are using the wrong word (AGI) or if you are looking at the wrong number. If you are just using the wrong word, no big deal. If you are looking at the wrong number, thing...
by Engineer250
Wed Jun 29, 2016 6:11 pm
Forum: Investing - Help with Personal Investments
Topic: Need help deciding!
Replies: 16
Views: 1289

Re: Need help deciding!

Don't forget fees on the refinance. They usually add those back into the principal, and they get the interest all over again. If you look up amortization you're guaranteeing with a re-fi of paying more in interest than you would be by just paying the mortgage for the next 8 years. Also, tax implicat...
by Engineer250
Wed Jun 29, 2016 1:35 pm
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion - Taxes / Time of Year
Replies: 11
Views: 1274

Re: Roth Conversion - Taxes / Time of Year

If you convert in 2016, you can recharacterize any amount you wish before 10/15/2017, so you can do it at the same time you're doing your taxes to be just at the 15% line. Just to be clear, the "it" is the recharacterization. The conversion must be in 2016. I did that exact scenario in 2015. I did ...
by Engineer250
Wed Jun 29, 2016 10:24 am
Forum: Personal Consumer Issues
Topic: How best to take little kids sightseeing?
Replies: 37
Views: 3181

Re: How best to take little kids sightseeing?

Are they helping to pick what they want to see? When we were kids my dad would get a Fodor's book from the local AAA and we'd get to pick what we wanted to see in the cities we visited. Also do they enjoy reading maps or navigating? Could you maybe have them help in finding the way from one place to...
by Engineer250
Wed Jun 29, 2016 10:13 am
Forum: Investing - Help with Personal Investments
Topic: Roth Conversion - Taxes / Time of Year
Replies: 11
Views: 1274

Roth Conversion - Taxes / Time of Year

I have a defined contribution benefit plan from a former employer I'm rolling over into a Rollover IRA at Vanguard. It is worth around $42k. I'd like to possibly convert it into a Roth if that makes sense but am having trouble figuring out the tax implications. I'm currently income-wise in the 25% m...
by Engineer250
Wed Jun 29, 2016 9:45 am
Forum: Investing - Help with Personal Investments
Topic: TSP to Vanguard?
Replies: 127
Views: 19620

Re: TSP to Vanguard?

Just want to point out withdrawals have to come out proportionally. So if you have $1M if your TSP and $750k is tax deferred and $250k is Roth, and you withdraw $100k, it will come out $75k pre-tax, $25k Roth. Correct, hence the workaround for folks with significant Roth TSPs. For your example, tra...
by Engineer250
Tue Jun 28, 2016 6:34 pm
Forum: Investing - Theory, News & General
Topic: What did you learn from the post-Brexit bloodbath?
Replies: 145
Views: 15154

Re: What did you learn from the post-Brexit bloodbath?

i learned that i need to control my urge to buy in "down" markets. bought 300 shares of VTIAX on Friday (was planning to do it next week anyway), and want to dip into my emergency fund to buy more. also posed the question of going from 90/10 to 100 to the wife last night if the total us/int'l drops...
by Engineer250
Tue Jun 28, 2016 6:27 pm
Forum: Investing - Help with Personal Investments
Topic: 13K and a market ready for my money
Replies: 11
Views: 1523

Re: 13K and a market ready for my money

I agree with pay off debt first. It's likely the best guaranteed return you can get. Don't worry about the market being "ripe" now or not. Looks like it may be bouncing back already. You missed the little blip. :happy It was nothing. You're 23 and ready to start saving/investing. You will be fine. ...
by Engineer250
Tue Jun 28, 2016 6:24 pm
Forum: Investing - Help with Personal Investments
Topic: How significant is my pension? Having a tough time planning
Replies: 7
Views: 1855

Re: How significant is my pension? Having a tough time planning

I had a similar pension at my last job that was 7% and explicitly defined contribution (not defined benefit). I would consider it icing on the cake and don't even think about it. I stayed 10 years. I am now with the feds who have a ~1% * years worked defined benefit plan that I have to pay ~3% into ...
by Engineer250
Tue Jun 28, 2016 6:03 pm
Forum: Investing - Help with Personal Investments
Topic: Help me retire early! Ongoing Thread
Replies: 27
Views: 3751

Re: Help me retire early! Ongoing Thread

Everyone's given really good advice. Totally get making hay while the sun shines. Only thought to see if you've thought about it, are you going to want/need to pay for your kids' college? I don't in any way think Mom/Dad should HAVE be responsible for kids tuition, but they should know now what your...
by Engineer250
Tue Jun 28, 2016 5:57 pm
Forum: Investing - Help with Personal Investments
Topic: Financial advisor in Washington DC metro area, need suggestions
Replies: 9
Views: 902

Re: Financial advisor in Washington DC metro area, need suggestions

Did they receive retirement training on the job? At my location an outside company is contracted to "teach" the retirement training offered. That is probably where I would start. Second suggestion would be they ask other federal employees for suggestions. Any financial planner can claim to understan...
by Engineer250
Tue Jun 28, 2016 5:51 pm
Forum: Investing - Help with Personal Investments
Topic: Betting on the next industrial revolution?
Replies: 7
Views: 1314

Re: Betting on the next industrial revolution?

To agree with @orca91 and to provide another way of looking at it, when we have had big advances in computers/tech industry or the medical industry, did benefits confine themselves only to that industry or did they tend to provide improvement to the economy as a whole? Computers were largely a thing...
by Engineer250
Tue Jun 28, 2016 5:47 pm
Forum: Investing - Help with Personal Investments
Topic: Newbie, Partial Bogle, Help getting all the way
Replies: 18
Views: 2111

Re: Newbie, Partial Bogle, Help getting all the way

Is that 30% real estate all equity with no debt? I would personally not consider the rental income nor the current value of the property as equivalent to bonds in security. But maybe a portion of the current value could be reasonably considered. I'm sure there are a lot of opinions on the value of r...
by Engineer250
Tue Jun 28, 2016 5:40 pm
Forum: Investing - Help with Personal Investments
Topic: TSP to Vanguard?
Replies: 127
Views: 19620

Re: TSP to Vanguard?

The very limited withdrawal options are the problem here. Agreed, hence discussion on some of the other BH threads about weighing present day withdrawal needs against future TSP withdrawal options. The compromise that many, including myself, gravitate towards is leaving enough TSP behind as "G Fund...
by Engineer250
Tue Jun 28, 2016 12:04 pm
Forum: Investing - Help with Personal Investments
Topic: 13K and a market ready for my money
Replies: 11
Views: 1523

Re: 13K and a market ready for my money

-How old are you? -How much money do you have saved for retirement so far? -Do you have an emergency fund and how many months of expenses does it cover? -Do you have any non-mortgage debt? -Do you have any longer term goals you are saving for such as buying a home, going back to school, sending a c...
by Engineer250
Mon Jun 27, 2016 6:20 pm
Forum: Investing - Help with Personal Investments
Topic: 13K and a market ready for my money
Replies: 11
Views: 1523

Re: 13K and a market ready for my money

-How old are you? -How much money do you have saved for retirement so far? -Do you have an emergency fund and how many months of expenses does it cover? -Do you have any non-mortgage debt? -Do you have any longer term goals you are saving for such as buying a home, going back to school, sending a ch...
by Engineer250
Mon Jun 27, 2016 3:54 pm
Forum: Investing - Help with Personal Investments
Topic: TSP to Vanguard?
Replies: 127
Views: 19620

Re: TSP to Vanguard?

I'm a Federal employee as well with almost 30 years of service. I have another 10 years before I meet the minimum age requirement to retire. My back of the envelope plan is to make a sizable rollover into an IRA at retirement and spend the years prior to drawing social security converting that mone...
by Engineer250
Thu Jun 23, 2016 6:04 pm
Forum: Investing - Help with Personal Investments
Topic: Advice for 401k plan. 31 years old. Thanks!
Replies: 6
Views: 843

Re: Advice for 401k plan. 31 years old. Thanks!

I am a newbie so take my things to think about with a grain of salt: 1) At 4% are you getting the biggest match from your employer? If not increase so that you are getting the full match. 2) I assume with a 28% tax bracket you make too much to contribute to a Roth IRA. Does your company offer a Roth...
by Engineer250
Thu Jun 23, 2016 5:27 pm
Forum: Investing - Help with Personal Investments
Topic: TSP to Vanguard?
Replies: 127
Views: 19620

Re: TSP to Vanguard?

The main reason to keep the TSP is the G fund. The main reason to have money at Vanguard is the options that are not available in the TSP, such as a broader-based international fund (I fund is large-cap developed markets only, while Total International includes emerging markets and small-cap) and o...