Search found 2334 matches

by Meg77
Fri Jan 12, 2018 12:47 pm
Forum: Investing - Theory, News & General
Topic: If I have a million with Edward Jones, in 10 years, how much money has my FA made off me?
Replies: 48
Views: 7113

Re: If I have a million with Edward Jones, in 10 years, how much money has my FA made off me?

And PS her 80/20 portfolio has averaged a return of 14% a year over the last 10 years. Are we talking average or CAGR. CAGR would make this adviser Buffetesque for an entire ten year period. Well she does hold a substantial amount of Berkshire Hathaway. :) I just looked it up, and actually her retu...
by Meg77
Thu Jan 11, 2018 5:21 pm
Forum: Investing - Theory, News & General
Topic: Individual investors, possible structural advantages
Replies: 10
Views: 897

Re: Individual investors, possible structural advantages

2) Munis - especially in state, secondary market, tough to analyze stuff. This is less applicable if you're in a state with a very good (i.e. generally Vanguard), state specific muni fund. But for those of us without, we've already got a tailwind from state tax savings. I'm in Missouri - 6% state t...
by Meg77
Thu Jan 11, 2018 5:08 pm
Forum: Investing - Help with Personal Investments
Topic: Yet another Retiree Emergency Fund Question - Income floor vs EF?
Replies: 13
Views: 915

Re: Yet another Retiree Emergency Fund Question - Income floor vs EF?

I think a cash cushion of 3 months expenses is appropriate if you have no steady income from pension or social security - or even if you do, just for peace of mind. Beyond that you're drawing from your portfolio, probably at least quarterly, so there's no financial need to hold more cash than that (...
by Meg77
Thu Jan 11, 2018 11:49 am
Forum: Local Chapters and Bogleheads Community
Topic: Post your Financial Milestone Announcements Here
Replies: 477
Views: 46364

Re: Post your Financial Milestone Announcements Here

To be honest I haven't even told my husband yet, and I'm sure we won't do anything special to celebrate. I feel a bit selfish/guilty even being excited about this milestone. # 1 Go celebrate. We don't celebrate enough. You can certainly afford it. # 2 Don't feel guilty about having the opportunity,...
by Meg77
Wed Jan 10, 2018 3:26 pm
Forum: Investing - Theory, News & General
Topic: If I have a million with Edward Jones, in 10 years, how much money has my FA made off me?
Replies: 48
Views: 7113

Re: If I have a million with Edward Jones, in 10 years, how much money has my FA made off me?

As far as your mothers account only costing $11K - that is what you calculate, however many of these brokerage accounts holding securities are frequently lent out via securities lending arrangement to outside parties unbeknown to the person holding the account. I doubt this. For individual accounts...
by Meg77
Wed Jan 10, 2018 3:15 pm
Forum: Local Chapters and Bogleheads Community
Topic: Post your Financial Milestone Announcements Here
Replies: 477
Views: 46364

Re: Post your Financial Milestone Announcements Here

Well I wasn't going to post this, but since I was prompted by this new thread title, here goes! My husband and I surpassed a net worth of $2,000,000 yesterday for the first time. :moneybag With bonuses pending and a strong savings rate, we should stay above this level even if/when the market correct...
by Meg77
Wed Jan 10, 2018 2:50 pm
Forum: Investing - Theory, News & General
Topic: If I have a million with Edward Jones, in 10 years, how much money has my FA made off me?
Replies: 48
Views: 7113

Re: If I have a million with Edward Jones, in 10 years, how much money has my FA made off me?

The costs could be yet higher if the adviser actively switches funds, each time reducing principal by the front load. So a case worse than just the AUM fee plus high ER funds is an adviser that on top of that switches you through funds. E.g. 3 switches with a front load of 5% in that time frame wou...
by Meg77
Wed Jan 10, 2018 2:47 pm
Forum: Investing - Theory, News & General
Topic: If I have a million with Edward Jones, in 10 years, how much money has my FA made off me?
Replies: 48
Views: 7113

Re: If I have a million with Edward Jones, in 10 years, how much money has my FA made off me?

Edward Jones doesn't typically charge AUM fees, so the references to examples above using 1% fees (which is standard for advisors who do charge that) are not relevant here. Edward Jones charges commissions - front end loads on mutual fund purchases as well as fees to purchase individual securities. ...
by Meg77
Tue Jan 09, 2018 4:38 pm
Forum: Personal Finance (Not Investing)
Topic: Personal Finance Magazine
Replies: 17
Views: 2042

Re: Personal Finance Magazine

Money Magazine is my favorite and the only one I've subscribed to long term. It's less about stock picking (only small references to that) and more personal finance focused with retirement and real estate features, interesting profiles, etc. I received Bloomberg Businessweek with my FPA subscription...
by Meg77
Fri Jan 05, 2018 2:49 pm
Forum: Investing - Help with Personal Investments
Topic: House Down-payment
Replies: 15
Views: 2510

Re: House Down-payment

I would definitely transfer funds at least to a money market account. Short term bonds are OK too with fairly low risk of principal loss. In the scheme of things though, we aren't talking about much money (0% return versus 1-2% after tax on $50K). If you think you might wait 3-5 years to buy (or ev...
by Meg77
Thu Jan 04, 2018 3:51 pm
Forum: Investing - Help with Personal Investments
Topic: House Down-payment
Replies: 15
Views: 2510

Re: House Down-payment

I would definitely transfer funds at least to a money market account. Short term bonds are OK too with fairly low risk of principal loss. In the scheme of things though, we aren't talking about much money (0% return versus 1-2% after tax on $50K). If you think you might wait 3-5 years to buy (or eve...
by Meg77
Thu Dec 28, 2017 4:52 pm
Forum: Investing - Help with Personal Investments
Topic: Can I afford a $600-650k house?
Replies: 60
Views: 7829

Re: Can I afford a $600-650k house?

I get the urge to buy, and I think you can technically afford it, but I agree with others that it is better to wait. For one, you are only 26 so presumably have a max of 4 years in the workforce, so I don't really think you can classify your bonuses as "reliable" or ongoing 10% raises as "stable." T...
by Meg77
Tue Dec 19, 2017 3:34 pm
Forum: Investing - Help with Personal Investments
Topic: Just received an inheritance. Need to get financial life in order.
Replies: 14
Views: 2874

Re: Just received an inheritance. Need to get financial life in order.

You missed the open enrollment period...so you aren't covered by a health insurance plan? The Obamacare enrollment period has passed too so that is a big risk you're taking if you're uninsured. And no, you can't contribute to a HSA if you're uninsured. You have to be covered by a high deductible he...
by Meg77
Mon Dec 18, 2017 5:10 pm
Forum: Investing - Theory, News & General
Topic: Where do you read financial news?
Replies: 44
Views: 5067

Re: Where do you read financial news?

I like MSN Money and scan Yahoo! Finance for headlines as well on a daily basis. I enjoy Bloomberg and always find that Forbes has good detail; I usually end up at their website when Googling for a specific answer to something (like what the new tax brackets will look like for example).
by Meg77
Mon Dec 18, 2017 4:32 pm
Forum: Personal Finance (Not Investing)
Topic: The "Perfect Formula for Wealth"
Replies: 22
Views: 3722

Re: The "Perfect Formula for Wealth"

This is a scam - a pretty old one too. These "use a heloc to get rid of your mortgage faster" schemes have been around for awhile and are not a financially viable way to pay down debt faster. I'm a banker and I've seen lots of versions of this, and I've never seen one that made any financial sense. ...
by Meg77
Mon Dec 18, 2017 3:47 pm
Forum: Investing - Help with Personal Investments
Topic: How long to hold 80/20 asset allocation
Replies: 58
Views: 9943

Re: How long to hold 80/20 asset allocation

I'd stick to 80/20 indefinitely - until death. That's my plan anyway. I was at 90/10 through my 20s and am now at 80/20 at 34. Perhaps I'll get to a point at age 60 ish where I want to make sure my fixed expenses are covered by a bond ladder which could require a higher percentage of bonds (dependin...
by Meg77
Mon Dec 18, 2017 3:39 pm
Forum: Investing - Help with Personal Investments
Topic: Just received an inheritance. Need to get financial life in order.
Replies: 14
Views: 2874

Re: Just received an inheritance. Need to get financial life in order.

Questions 1. Should we keep our 401(k) contributions simple with just the S&P 500 and International Equity funds or try to mimic the total market indexes? My husband and I put all our 401k investments into the S&P 500 and use IRAs and taxable to get bonds and international and small/mid caps. The S...
by Meg77
Mon Dec 18, 2017 3:26 pm
Forum: Personal Consumer Issues
Topic: How much do you spend on food per month, per person?
Replies: 151
Views: 10710

Re: How much do you spend on food per month, per person?

We spend just under $1000 per person per month on all food and alcohol. DINK household in a city center.

$700 a month groceries on average, $1300 a month restaurants and wine clubs (includes dining out while traveling).
by Meg77
Mon Dec 18, 2017 3:22 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement Savings Strategy Advice
Replies: 3
Views: 583

Re: Retirement Savings Strategy Advice

I think what you're doing is fine; taxable investments give you a lot of flexibility and tax efficiency in retirement. Real estate investments in particular can provide a lot of tax sheltered income in retirement. But stock index funds are very tax efficient as well (try to hold international funds ...
by Meg77
Thu Dec 14, 2017 4:35 pm
Forum: Investing - Help with Personal Investments
Topic: Young Investor: When to diversify
Replies: 22
Views: 1859

Re: Young Investor: When to diversify

Hey there! Great question. The short answer is that your asset allocation and even fees don't matter much until you have closer to 6 figures invested. Prior to that (and even after that if your income and savings rate are high), the amount you are contributing dwarfs any other variable when it comes...
by Meg77
Thu Dec 14, 2017 4:25 pm
Forum: Investing - Theory, News & General
Topic: M1 Finance is Free
Replies: 12
Views: 2668

Re: M1 Finance is Free

“Vanguard will soon offer the first S&P ETF that instead of charging typical asset-under-management fees, will pay customers a nominal amount to subscribe,” Tyler Sosin, Principle at Menlo Ventures, said in an interview.
Huh??
by Meg77
Thu Dec 14, 2017 4:17 pm
Forum: Investing - Help with Personal Investments
Topic: I’ve made huge errors and hope it’s not too late
Replies: 35
Views: 5359

Re: I’ve made huge errors and hope it’s not too late

You're doing great! Shake off your guilt and move ahead confidently. Your net worth is pushing $800K, your income is $200K, you own a home, and you have a six figure emergency fund. Oh and you're in your 30s. Only on this wacko website is that "behind" in any sense of the word. You are 38. You could...
by Meg77
Thu Dec 14, 2017 4:01 pm
Forum: Investing - Help with Personal Investments
Topic: seeking financial advice
Replies: 16
Views: 1387

Re: seeking financial advice

Given that you intend to be in a much lower tax bracket in retirement, then the traditional 401(k) is even more compelling. I guess what is throwing me off is the wifes parents who had everything in pretax savings thus having huge tax consequences due to their unique scenario of needing to "hide" t...
by Meg77
Thu Dec 14, 2017 3:52 pm
Forum: Personal Finance (Not Investing)
Topic: Recast mortgage as part of a pay down strategy
Replies: 60
Views: 3714

Re: Recast mortgage as part of a pay down strategy

Hey there, banker here. It definitely won't hurt anything to do the recast every year, as long as they continue to allow it with no fee. I agree with other posters though that this is pretty worthless as a risk mitigation technique. It would make more sense if your cash flow is tight and/or if your ...
by Meg77
Mon Dec 11, 2017 4:03 pm
Forum: Investing - Help with Personal Investments
Topic: Help for Mom - Retiring, Windfall, Edward Jones
Replies: 9
Views: 2199

Re: Help for Mom - Retiring, Windfall, Edward Jones

So I had assumed that annuitizing some of her assets (if that's a real verb) would be an ideal way to give her a baseline fixed income. This is because her small pension and SS income will cover less than half her expenses and also because most of her money is in taxable accounts. But after looking...
by Meg77
Sun Dec 10, 2017 7:54 pm
Forum: Personal Finance (Not Investing)
Topic: How much house can I afford? (First Home)
Replies: 27
Views: 3056

Re: How much house can I afford? (First Home)

Rent!! This will give your spouse the utmost flexibility when it comes to selecting a residency program and ultimate job. Plus it's cheaper. Plus you could use your savings to enable her to graduate debt free and not accumulate a massive amount of student loans. Plus, you can't afford to buy in the ...
by Meg77
Sun Dec 10, 2017 7:44 pm
Forum: Investing - Help with Personal Investments
Topic: Help for Mom - Retiring, Windfall, Edward Jones
Replies: 9
Views: 2199

Re: Help for Mom - Retiring, Windfall, Edward Jones

So I had assumed that annuitizing some of her assets (if that's a real verb) would be an ideal way to give her a baseline fixed income. This is because her small pension and SS income will cover less than half her expenses and also because most of her money is in taxable accounts. But after looking ...
by Meg77
Sun Dec 10, 2017 7:24 pm
Forum: Personal Finance (Not Investing)
Topic: End of year financial checklist
Replies: 2
Views: 762

Re: End of year financial checklist

In light of probable tax law changes that go into effect next year, I'd accelerate any deductions you stand to lose, such as paying state and local and property taxes in December versus Q1 next year if you're able (unless you're going to be hit by the AMT this year, in which case you won't benefit f...
by Meg77
Fri Dec 08, 2017 2:54 pm
Forum: Investing - Help with Personal Investments
Topic: New to investing: Tax efficient fund placement???
Replies: 10
Views: 785

Re: New to investing: Tax efficient fund placement???

To elaborate, holding international stocks in your taxable account allows you to take a deduction on the foreign tax that you pay. So the benefit of holding international stocks in taxable goes further than just looking at distributions and whether or not they are high (at least under current tax la...
by Meg77
Fri Dec 08, 2017 2:47 pm
Forum: Investing - Help with Personal Investments
Topic: Retire in my early 40s? Crazy or actually doable?
Replies: 77
Views: 12316

Re: Retire in my early 40s? Crazy or actually doable?

I know I am heavily invested in long term municipal bonds. I would like to eventually get to a 50/50 stock/bond ratio in my taxable account, but I am considering going with a slow reverse glide path approach. I have enough interest income coming off in municipal bonds to pay for my annual living ex...
by Meg77
Fri Dec 08, 2017 2:37 pm
Forum: Investing - Help with Personal Investments
Topic: Retire in my early 40s? Crazy or actually doable?
Replies: 77
Views: 12316

Re: Retire in my early 40s? Crazy or actually doable?

Congrats on your position! In short, you can retire now and draw $85,500 from your portfolio indefinitely, adjusting the amount upward to account for inflation each year. A 3% withdrawal chance has a reasonably good chance of never depleting your portfolio. So does a 4% return, but given your very l...
by Meg77
Fri Dec 08, 2017 2:23 pm
Forum: Personal Finance (Not Investing)
Topic: Screwed over with regards to 401k distribution. What can I do?
Replies: 16
Views: 1842

Re: Screwed over with regards to 401k distribution. What can I do?

I'd be pissed too, but don't panic. You have time to deposit the funds to the custodian of your choice. The key is that you have to deposit 100% of the rollover amount to avoid the taxes and penalties. If your former employer withheld taxes from your check, then you need to deposit that check PLUS w...
by Meg77
Thu Dec 07, 2017 3:37 pm
Forum: Personal Finance (Not Investing)
Topic: House on the market less than a day. Did listing agent commit fraud?
Replies: 56
Views: 7704

Re: House on the market less than a day. Did listing agent commit fraud?

In my neighborhood sometimes we get "coming soon" flyers for area homes that are going to be put on the market soon. We also see homes go under contract within a day or so of the listing going live. I asked a realtor friend about this practice once, and he explained that sometimes the realtor is try...
by Meg77
Thu Dec 07, 2017 3:20 pm
Forum: Personal Finance (Not Investing)
Topic: SSN on job applications
Replies: 33
Views: 2097

Re: SSN on job applications

I can't imagine that those looking to steal personal information are targeting former potential employee applications. How would one even go about that? I'm sure most physical applications are shredded (or discarded without being shredded worst case) within about a day of the interview process havin...
by Meg77
Thu Dec 07, 2017 3:10 pm
Forum: Personal Finance (Not Investing)
Topic: What do Bogleheads say when they don't want to spend money?
Replies: 103
Views: 6881

Re: What do Bogleheads say when they don't want to spend money?

My dad talks about how much harder it was to say "no" to us as kids and teens once "we can't afford that" wasn't accurate. When he was growing up and while I was very young, "we can't afford that" was the simple end of any pleading or arguing we tried to do to get a toy/McDonald's/whatever. Once tha...
by Meg77
Thu Dec 07, 2017 2:25 pm
Forum: Investing - Help with Personal Investments
Topic: Help for Mom - Retiring, Windfall, Edward Jones
Replies: 9
Views: 2199

Re: Help for Mom - Retiring, Windfall, Edward Jones

At a minimum, while getting the plan in place, ensure dividend reinvestment is turned off such that all dividends go to your settlement fund. That'll help with the single-stocks, expensive funds, and not sure about single-bonds... might just sell those right-off if you prefer a bond-fund. Thanks fo...
by Meg77
Thu Dec 07, 2017 2:19 pm
Forum: Personal Finance (Not Investing)
Topic: Re-inventing career in mid 30s? Law? Tech? Sales?
Replies: 18
Views: 2672

Re: Re-inventing career in mid 30s? Law? Tech? Sales?

I think it's normal and appropriate to take some time to re-evaluate your options during a period of transition, particularly between jobs. I'm in my mid 30's too and have done no small amount of soul-searching and second guessing my career and life plans. We are at the age where many of us have put...
by Meg77
Thu Dec 07, 2017 1:51 pm
Forum: Investing - Help with Personal Investments
Topic: First post from this retiree with questions - my daughter sent me here!
Replies: 34
Views: 4309

Re: First post from this retiree with questions - my daughter sent me here!

A very easy and appropriate first step would just be to stop reinvesting the dividends in your other account. The yield on your bond fund alone will give you another $520 a month based on the current 2.52% yield. That is a nice cushion for entertainment and some fun money. If all you do is take the ...
by Meg77
Wed Dec 06, 2017 2:58 pm
Forum: Personal Consumer Issues
Topic: Do people still use AAA?
Replies: 293
Views: 24682

Re: Do people still use AAA?

I lock my keys in my car about once a year and use AAA for that. Have used them for a flat tire in the past as well. The $40 a year or whatever I pay is worth it, though I didn't realize there were really alternatives I have to say...
by Meg77
Wed Dec 06, 2017 2:53 pm
Forum: Investing - Help with Personal Investments
Topic: Help for Mom - Retiring, Windfall, Edward Jones
Replies: 9
Views: 2199

Re: Help for Mom - Retiring, Windfall, Edward Jones

It sounds like a phone conversation with Vanguard is in order. Have statements in hand or lists of her funds/stocks/munis. I am fairly sure that transferring loaded American funds in-kind will be no problem. You can even buy them there! Tax cost in selling vs. ER costs and CG/dividend distribution ...
by Meg77
Wed Dec 06, 2017 1:46 pm
Forum: Investing - Help with Personal Investments
Topic: Will I make it? (Another "evaluate my financials" post..)
Replies: 19
Views: 1636

Re: Will I make it? (Another "evaluate my financials" post..)

If you keep investing $18,000 a year for retirement, your portfolio should hit $1,000,000 the year you turn 60 assuming a 7% annual rate of return. Five years after that it should exceed $1,500,000. That doesn't factor in inflation, but presumably you'd increase annual contributions over time as wel...
by Meg77
Wed Dec 06, 2017 1:30 pm
Forum: Investing - Help with Personal Investments
Topic: Help for Mom - Retiring, Windfall, Edward Jones
Replies: 9
Views: 2199

Help for Mom - Retiring, Windfall, Edward Jones

Hi Bogleheads, My mother has asked me to create a financial plan for her and help her invest a pending windfall. She's been with Edward Jones for many years, but several major changes are prompting an overhaul: her advisor is retiring, she is shifting from accumulation to withdrawal mode, and she ex...
by Meg77
Fri Dec 01, 2017 4:20 pm
Forum: Personal Finance (Not Investing)
Topic: So i hit 6 figures... (questions about financials)
Replies: 19
Views: 4059

Re: So i hit 6 figures... (questions about financials)

Congratulations! You are doing amazingly well. :) You can definitely afford to upgrade housing and live alone, and I think you should go for it. Just aim to spend less than 25% of your take home pay on housing (including utilities) if at all possible. This will leave room for saving and other fun sp...
by Meg77
Fri Dec 01, 2017 3:54 pm
Forum: Investing - Help with Personal Investments
Topic: Reached 4M target. Taking money off table. Advice?
Replies: 120
Views: 22553

Re: Reached 4M target. Taking money off table. Advice?

You're financially independent. Congratulations! You could spend $100K a year and never run out of money in the vast majority of situations, especially since you haven't factored in social security and have another $1M or so coming your way in an inheritance. Financially, you don't have much to do. ...
by Meg77
Thu Nov 30, 2017 2:48 pm
Forum: Personal Consumer Issues
Topic: After financial independence, do you lose motivation for work?
Replies: 156
Views: 13065

Re: After financial independence, do you lose motivation for work?

Another encouraged thinking of your day as simply a series of activities. What if the money you got every month wasn't connected to your activities. How would they change? This concept doesn't make any sense to me. If I received $5,000 a month simply as a consequence of being alive and getting out ...
by Meg77
Thu Nov 30, 2017 11:52 am
Forum: Investing - Help with Personal Investments
Topic: Decision Needed - How to Invest Rental Income?
Replies: 16
Views: 801

Re: Decision Needed - How to Invest Rental Income?

We'd need a lot more detail to help - like whether you're already saving, what your savings rate is, if you're maxing out retirement accounts, if you have other debt and what the rates are, etc. In general though without any context, I'd tell you to keep that cash on hand for a year without doing an...
by Meg77
Thu Nov 30, 2017 11:44 am
Forum: Personal Consumer Issues
Topic: After financial independence, do you lose motivation for work?
Replies: 156
Views: 13065

Re: After financial independence, do you lose motivation for work?

I happened to be reading a section of Your Money or Your Life last night that discussed the nature of work and the benefit of separating the concept of "wages" from the concept of "work." I was drifting off so will have to paraphrase and re-read the chapter later, but one passage struck me. It said ...
by Meg77
Thu Nov 30, 2017 11:29 am
Forum: Investing - Help with Personal Investments
Topic: Advice/suggestions for wife's new company
Replies: 13
Views: 1233

Re: Advice/suggestions for wife's new company

One option to consider is that your wife (or whoever is the primary person leading this charge / putting in start up capital) be 100% owner and have her former colleague be a contract employee. They can set up an employment agreement to say that profits are split 50/50 between the two women without ...
by Meg77
Wed Nov 29, 2017 3:39 pm
Forum: Investing - Theory, News & General
Topic: Is there any reason to invest in real estate?
Replies: 100
Views: 10952

Re: Is there any reason to invest in real estate?

My logic is as follows: - Suppose Bob is your typical real estate investor - purchases one or two additional properties and rents them out - Suppose there are 1000 of other people in the country, doing the same thing as Bob - It seems REIT funds are essentially pooling the 1000 investors money, mak...
by Meg77
Wed Nov 29, 2017 3:08 pm
Forum: Personal Finance (Not Investing)
Topic: Estate planning question (should we add beneficiaries to savings account?)
Replies: 33
Views: 2327

Re: Estate planning question (should we add beneficiaries to savings account?)

Bad idea to distribute the IRAs immediately unless immediate bills make that necessary. Separate inherited IRA accounts should normally be created for each beneficiary. The inherited IRAs can then be stretched over the life expectancy of each beneficiary. That continues tax deferral and eliminates ...