Search found 207 matches

by sman09
Mon Jun 18, 2018 10:42 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

retiredjg wrote:
Mon Jun 18, 2018 4:49 pm
Some jobs are exempt from SS. I don't know why....maybe because of the pension coming. Teachers seem to be in this group a lot.

If you pay into SS, you will get SS. It will be part of your taxable income in retirement.
Good to know! thank you!
by sman09
Mon Jun 18, 2018 4:36 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

Do you contribute to SS now, out of every paycheck? Do you have a history of jobs where you contribute to SS? What about your spouse? Yes, we have had SS deducted off our paycheck always. I thought SS was deducted by default from everyone's paycheck. From your question, it appears that is not the c...
by sman09
Mon Jun 18, 2018 4:34 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

I also suggest that you first take a step back and think about how much you want to save for retirement/ long-term each year, how much you want to save post-tax in a Roth vs. pre-tax elsewhere, and also how much savings/ investments you want to be easily accessible for immediate and medium term sav...
by sman09
Mon Jun 18, 2018 2:29 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

also, what exactly were you referring by "Roth IRA or Roth 403b/457 for the rest. Let's say you plan to save $23k in a year. I'd put about $15k into tax deferred 457b and put the remaining $8k into Roth IRA or Roth 403b. Or you could split the numbers differently if you want. If your employer's con...
by sman09
Mon Jun 18, 2018 2:29 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

Thank you @maddogio.
maddogio wrote:
Mon Jun 18, 2018 1:38 pm
Is your employer part of the social security system? My experience is that many with these types of plans are not. That's something to think about when you consider savings rates.

How does being part of the SS system affect the savings rate? Could you offer some details?
by sman09
Mon Jun 18, 2018 12:47 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

Thanks DoTheMath. It's a little like a pension that is not a pension. :D Either way, it is a nice chunk of money being put away for our poster in a tax-deferred account. This just adds to the argument that our poster does not need to fill several other tax-deferred accounts of his/her own. Filling ...
by sman09
Sun Jun 17, 2018 2:54 am
Forum: Investing - Help with Personal Investments
Topic: Reconciling Buy-and-Hold philosophy with AA/TLH
Replies: 17
Views: 1432

Re: Reconciling Buy-and-Hold philosophy with AA/TLH

I didn't ask for greater detail on your target date fund, and I probably should have. Which one is it? Mine is Freedom 2045 fund class K (Fidelity) Domestic Equity - 60% International Equity - 30% Bonds - 7% Other: Short-term investments and net other assets Not all target date funds are equal. The...
by sman09
Sun Jun 17, 2018 2:35 am
Forum: Investing - Help with Personal Investments
Topic: Reconciling Buy-and-Hold philosophy with AA/TLH
Replies: 17
Views: 1432

Re: Reconciling Buy-and-Hold philosophy with AA/TLH

There is no reason to wait. People here can help you figure out which funds to use. In order to help you with this, you need to give a lot of information and it needs to be in a certain format. This helps you organize the information in a way that makes it easy for someone to help you. The format i...
by sman09
Sun Jun 17, 2018 2:29 am
Forum: Investing - Help with Personal Investments
Topic: Please critique and help me with my AA
Replies: 9
Views: 1186

Re: Please critique and help me with my AA

[...] The first thing to do while you are deciding what to do would be to change the mutual funds in the taxable account to not automatically reinvest the dividends. That might make moving the funds around easier since they will eventually be all long term gains. [...] Could you explain the logic b...
by sman09
Sun Jun 17, 2018 1:32 am
Forum: Investing - Help with Personal Investments
Topic: M1 Finance: What’s the Catch?
Replies: 10
Views: 1904

Re: M1 Finance: What’s the Catch?

This interview with the M1Finance's CEO might answer some of your questions http://www.wealthmanagement.com/technology/future-finance-free [...] We do incur costs, particularly in development, and need revenue to support our ongoing operations. To cover those costs, M1 monetizes other services, the ...
by sman09
Sun Jun 17, 2018 1:20 am
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

sman09, since you have both 403b and 457b available, you are allowed to contribute to one or the other or both. It is your choice. Some of these plans also allow Roth contributions - I don't think we know yet if either of your plans offers that option. yes, i have a Roth option available on both 40...
by sman09
Sun Jun 17, 2018 12:42 am
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

Sure, withdrawing from the 457 is allowed when one has “separated from service” retire quit, change jobs to a different city county state university. There is no age restriction. That is essentially the only difference I could find comparing 403b vs. 457. Only some of the providers offered 457 plan...
by sman09
Sun Jun 17, 2018 12:40 am
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

student wrote:
Fri Jun 15, 2018 5:21 am
You should ask HR or Fidelity (which you said is the provider). My understanding is that it is governmental for state universities. You can ask them whether you can roll it over to an IRA when you leave the university. It is only doable for governmental.
will do - thanks @student!
by sman09
Thu Jun 14, 2018 11:56 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

Just wanted to add this information if it would help ascertain whether the 457 is a governmental one

the funds deposited will be in the retirement plan provided by Fidelity
by sman09
Thu Jun 14, 2018 11:47 pm
Forum: Investing - Help with Personal Investments
Topic: 28 with a wife and new baby
Replies: 31
Views: 2254

Re: 28 with a wife and new baby

We just had a baby in February. Congratulations and best wishes to your family! Reading through your post, sounds like you are in perfect shape and on track for an excellent retirement. [...] convincing advice on this forum that suggested it was a good idea to max out retirement accounts before wor...
by sman09
Thu Jun 14, 2018 11:28 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

I think the most important question is whether you have a governmental or non-governmental 457b. I would not want to be involved with a non-governmental one. As for regular version or Roth version, I would probably do half and half. Thank you @student for sharing that suggestion - i will think thro...
by sman09
Thu Jun 14, 2018 11:25 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

CyclingDuo raises a good question. I read you as saying you used to have a 401K, but now you don't, and instead have access to a 457(b) and a 403(b). How many accounts do we have here? we (i) have a 401a - to which employer contributes (spouse works for a private employer and has not contributed to...
by sman09
Thu Jun 14, 2018 11:18 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

I have both through my employer. Check the rules for withdrawal that apply to both, as they're slightly different -- the 457(b) allows you penalty-free access to the contributions when you separate from your employer, and the 403(b), IIRC, doesn't have that provision. The only reason not to max bot...
by sman09
Thu Jun 14, 2018 11:16 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

The same employee at the same job cannot contribute the maximum to both a 401k and a 403b (you can to a 401k and a 457b or a 403b and a 457b), so I assume you mean there are two of you and one has the 401k, and the other has the 403b/457b plan. Is this correct? Three possible maximum contributions?...
by sman09
Thu Jun 14, 2018 11:15 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

The only reason not to max both is that's an awful lot of money, percentage-wise. You can contribute $18,500 to *each* of the plans. If you have four plans between you, that's what, 72% of your income? you are right - it would indeed be 72% of income. i thought contributing to either roth/tradition...
by sman09
Thu Jun 14, 2018 11:05 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

I max a governmental 457b and a 403b ($24,500 since I have turned 50). I don't have a Roth option. In your situation I would try to max both if I could do it and still have enough left over to live on (assuming governmental 457). I have not read your previous posts, so I don't know your entire situ...
by sman09
Thu Jun 14, 2018 10:49 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

Not enough information. Do you mean you have both plans available or you and your spouse have both plans available? Or you have two available and spouse has one available? Which plan is better in terms of fees? Do you need help with that or do you already know? Is there likely to be a pension invol...
by sman09
Thu Jun 14, 2018 10:41 pm
Forum: Investing - Help with Personal Investments
Topic: 28 with a wife and new baby
Replies: 31
Views: 2254

Re: 28 with a wife and new baby

We just had a baby in February. Congratulations and best wishes to your family! Reading through your post, sounds like you are in perfect shape and on track for an excellent retirement. [...] convincing advice on this forum that suggested it was a good idea to max out retirement accounts before wor...
by sman09
Thu Jun 14, 2018 10:33 pm
Forum: Investing - Help with Personal Investments
Topic: Reconciling Buy-and-Hold philosophy with AA/TLH
Replies: 17
Views: 1432

Re: Reconciling Buy-and-Hold philosophy with AA/TLH

My target date fund is fine as it is - it was the expense ratio on the fund (0.65%) that made me start thinking of switching over. If letting the target date fund continue for one more year as i solidify my investment knowledge (to avoid the repeat of me investing in Betterment and Wealthfront to g...
by sman09
Thu Jun 14, 2018 5:46 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

I think the most important question is whether you have a governmental or non-governmental 457b. I would not want to be involved with a non-governmental one. As for regular version or Roth version, I would probably do half and half. Thank you @student for sharing that suggestion - i will think thro...
by sman09
Thu Jun 14, 2018 5:43 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Re: Contribute to both 403(b) and 457(b)?

I have both through my employer. Check the rules for withdrawal that apply to both, as they're slightly different -- the 457(b) allows you penalty-free access to the contributions when you separate from your employer, and the 403(b), IIRC, doesn't have that provision. The target date funds should a...
by sman09
Thu Jun 14, 2018 5:38 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

The question now is, if i had another $10,000 invested at another firm which also has very similar index funds in the portfolio and also does TLH, would the fact that there are 3 firms possibly reverse the wash sale? I would really appreciate some help understanding this scenario - if an example co...
by sman09
Thu Jun 14, 2018 3:35 pm
Forum: Investing - Help with Personal Investments
Topic: Contribute to both 403(b) and 457(b)?
Replies: 61
Views: 3501

Contribute to both 403(b) and 457(b)?

As i mentioned in an earlier post, with little knowledge of investing and more importantly fear and suspicion of markets, i did not contribute to 401k plans last year. It was only when i wrote a sizeable check to IRS along with my tax returns this year, that it occurred to me that i should start con...
by sman09
Thu Jun 14, 2018 2:55 pm
Forum: Investing - Help with Personal Investments
Topic: Reconciling Buy-and-Hold philosophy with AA/TLH
Replies: 17
Views: 1432

Re: Reconciling Buy-and-Hold philosophy with AA/TLH

I'm seeing some clues that you're new to investing, and that you're still figuring out your investment strategy. One of the recurrent themes i found in reading the investment styles of respected investment gurus, is buying a good investment not with the intention of selling but to hold for life . I...
by sman09
Thu Jun 14, 2018 2:34 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

Thank you @retiredjg and @Nate79 for sharing your thoughts and insights! At this point, may i ask another question with regard to investing. I eventually plan on being in control of my investments and doing away with external advisors. For now, due to my multiple commitments, i would rather let my m...
by sman09
Thu Jun 14, 2018 12:18 am
Forum: Investing - Help with Personal Investments
Topic: Reconciling Buy-and-Hold philosophy with AA/TLH
Replies: 17
Views: 1432

Re: Reconciling Buy-and-Hold philosophy with AA/TLH

what i mean is, if i'm convinced VTSMX is a good place to park my money then every time i have an urge to buy something, i could instead buy some more of VTSMX even if that means exceeding the AA i may have set out to start with. Is that a bad thing? (If it is bad, is it to do with expected returns...
by sman09
Thu Jun 14, 2018 12:00 am
Forum: Investing - Help with Personal Investments
Topic: Reconciling Buy-and-Hold philosophy with AA/TLH
Replies: 17
Views: 1432

Reconciling Buy-and-Hold philosophy with AA/TLH

One of the recurrent themes i found in reading the investment styles of respected investment gurus, is buying a good investment not with the intention of selling but to hold for life . I assume this guideline applies for index funds/ETFs also (and not just for individual stocks). (please correct me ...
by sman09
Wed Jun 13, 2018 11:40 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

"[...] even if i opt-out of target-date retirement fund and opt-in to a 3/4 fund portfolio with a set percentage AA and change it over time, the trustee will take care of rebalancing the account per the AA weight i have indicated [...]" I have no idea what you are trying to say... @sorry for not be...
by sman09
Wed Jun 13, 2018 11:35 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

My understanding is that what is held in IRA and Roth IRA for both you and your spouse can cause a wash sale. The IRS has specifically ruled this. My understanding is that the IRS has never ruled on whether a wash sale can occur with investments held in 401k or HSA. Opinions abound on why this is a...
by sman09
Wed Jun 13, 2018 9:49 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

Reading about robo-advisors came across this interesting statement by @livesoft :) [...] You can probably guess that I think rob-o-advisors are a gimmick. They are better than rob-me-advisors though. [...] The whole post for the interested: When I was young, ETFs didn't exist. Even the money market ...
by sman09
Wed Jun 13, 2018 9:44 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

sman09 wrote:
Wed Jun 13, 2018 7:53 pm
David Jay wrote:
Wed Jun 13, 2018 6:57 pm
A TargetDate fund is also quite Boglehead-ish.
Thank you for that piece of information!
the reason to seek input as regards my 401k which is right now a targetdate fund is that, the expense ratio is in excess of 0.6% ...
by sman09
Wed Jun 13, 2018 7:53 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

David Jay wrote:
Wed Jun 13, 2018 6:57 pm
A TargetDate fund is also quite Boglehead-ish.
Thank you for that piece of information!
by sman09
Wed Jun 13, 2018 6:21 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

"[...] even if i opt-out of target-date retirement fund and opt-in to a 3/4 fund portfolio with a set percentage AA and change it over time, the trustee will take care of rebalancing the account per the AA weight i have indicated [...]" I have no idea what you are trying to say... @sorry for not be...
by sman09
Wed Jun 13, 2018 6:18 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

Nate79 wrote:
Wed Jun 13, 2018 4:33 pm
Taxable accounts and IRA's - wash sales

401k and other accounts - no wash sale unless IRS gives specific rules stating otherwise.
Thank you!
by sman09
Wed Jun 13, 2018 6:14 pm
Forum: Investing - Help with Personal Investments
Topic: Structuring 401k - MorningStar rating matters?
Replies: 15
Views: 768

Re: Structuring 401k - MorningStar rating matters?

What ruralavalon said. I would just like to point out that if you want to accompany the main index portfolio with an actively managed fund, the Vanguard Wellington has great potential. It is cheap, it does not invest overly risky and has great managers that outperformed the market consistently in t...
by sman09
Wed Jun 13, 2018 6:13 pm
Forum: Investing - Help with Personal Investments
Topic: Structuring 401k - MorningStar rating matters?
Replies: 15
Views: 768

Re: Structuring 401k - MorningStar rating matters?

Those are excellent funds offered in your 401k, you are fortunate. I don't use Morningstar star ratings to select funds to use. The stars are are an indication of past performance, not future performance. An index fund most commonly will have three stars, because an index fund consistently gives th...
by sman09
Wed Jun 13, 2018 4:22 pm
Forum: Investing - Help with Personal Investments
Topic: Convert Taxable account to Roth IRA to avoid wash sale?
Replies: 14
Views: 709

Re: Convert Taxable account to Roth IRA to avoid wash sale?

Be aware that you can have a wash sale in your IRA too and that's bad because there's no way for you to increase the basis of the replacement shares . In a taxable account you can eventually get to take the disallowed loss from the wash sale, not so in an IRA. Could you please elaborate on the abov...
by sman09
Wed Jun 13, 2018 3:48 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

The point is that you personally don't actually "hold" the specific assets inside the 401K. You can't transfer "in kind" out of the 401K, you receive cash at the time of disbursement. You do own the assets that are in your Betterment account. Interesting - thanks a lot @David Jay for the clarificat...
by sman09
Wed Jun 13, 2018 3:45 pm
Forum: Investing - Help with Personal Investments
Topic: Convert Taxable account to Roth IRA to avoid wash sale?
Replies: 14
Views: 709

Re: Convert Taxable account to Roth IRA to avoid wash sale?

Thank you @MP123 for the inputs! It seems to me that having two different parties doing robo-TLH for you would be likely to generate a wash sale. I'm not a customer at either Betterment or Wealthfront but I assume each can avoid wash sales on their own trades so it would be good to consolidate to on...
by sman09
Wed Jun 13, 2018 3:32 pm
Forum: Investing - Help with Personal Investments
Topic: Convert Taxable account to Roth IRA to avoid wash sale?
Replies: 14
Views: 709

Re: Convert Taxable account to Roth IRA to avoid wash sale?

Thanks a lot @livesoft for the clarification - the last couple of months, i have been reading widely in this forum including posts from years back (such as those around the 2008 downturn), and have seen your inputs on several of those posts. Great to see you take the time to help by responding to a ...
by sman09
Wed Jun 13, 2018 3:26 pm
Forum: Investing - Help with Personal Investments
Topic: Convert Taxable account to Roth IRA to avoid wash sale?
Replies: 14
Views: 709

Re: Convert Taxable account to Roth IRA to avoid wash sale?

David Jay wrote:
Wed Jun 13, 2018 11:35 am
sman09 wrote:
Wed Jun 13, 2018 10:50 am
My understanding was just like a 401k contribution it has to go directly from the paycheck.
This is most emphatically NOT the case. The "I" in "IRA" stands for "Individual". An IRA is not sponsored by an employer, it is yours.
Thanks for the clarification @David Jay!
by sman09
Wed Jun 13, 2018 3:23 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

Re: 401k & account with 1 Robo-advisor: Wash sale chance?

In searching around the web, the consensus seems to be that an employer-sponsored 401K ( not a Solo-401K, where it is more ambiguous) has a trustee who is performing all the trades. You do not actually "hold" the assets you have selected within your 401K account (although you own the rights to thos...
by sman09
Wed Jun 13, 2018 3:16 pm
Forum: Investing - Help with Personal Investments
Topic: Who uses the 3 fund portfolio ?
Replies: 112
Views: 18497

Re: Who uses the 3 fund portfolio ?

I've got total stock market and total international in a 70/30 split, prime money market for "bonds", and target funds in retirement accounts. That's as close as I could get to the 3 fund portfolio. so "total stock market and total international in a 70/30 split" these are not in a retirement accou...
by sman09
Wed Jun 13, 2018 1:42 pm
Forum: Investing - Help with Personal Investments
Topic: 401k & account with 1 Robo-advisor: Wash sale chance?
Replies: 22
Views: 1216

401k & account with 1 Robo-advisor: Wash sale chance?

I have been asking many questions and greatly appreciate the support i'm receiving as i tread through to declutter and get my finances in order. Since the question i have at hand is slightly different from the questions i have already asked, starting a new thread: If the only accounts i had are - a ...
by sman09
Wed Jun 13, 2018 1:16 pm
Forum: Investing - Help with Personal Investments
Topic: Convert Taxable account to Roth IRA to avoid wash sale?
Replies: 14
Views: 709

Re: Convert Taxable account to Roth IRA to avoid wash sale?

Thank you @samsoes and @David Jay for the inputs and clarification! Also, am i probably overthinking it? Have about $11,000 at Betterment and $10,000 at Wealthfront. Even assuming each of the players do TLH, is it going to be something severely affecting me when it comes tax time given that the quan...