Search found 737 matches

by RenoJay
Mon Sep 16, 2013 10:06 pm
Forum: Personal Finance (Not Investing)
Topic: Childrens' Allowance
Replies: 71
Views: 10322

Re: Childrens' Allowance

Thought I'd check in on this thread I started back in April. I've been giving my kids, 5 and 3, an allowance for a few months. My five year old likes to spend his money as soon as it comes in, but when we go to the store he's required to hold the money in his pocket, make decisions based on what he ...
by RenoJay
Mon Sep 16, 2013 10:02 pm
Forum: Personal Finance (Not Investing)
Topic: Childrens' Allowance
Replies: 71
Views: 10322

Re: Childrens' Allowance

Thought I'd check in on this thread I started back in April. I've been giving my kids, 5 and 3, an allowance for a few months. My five year old likes to spend his money as soon as it comes in, but when we go to the store he's required to hold the money in his pocket, make decisions based on what he ...
by RenoJay
Sun Sep 15, 2013 8:49 pm
Forum: Personal Investments
Topic: Help - Is this a retirement account withdrawl?
Replies: 5
Views: 491

Re: Help - Is this a retirement account withdrawl?

Phewwww. Thanks, guys. Obviously it's a Sunday and Vanguard customer service is closed, so I really appreciate that you just helped me sleep tonight.
by RenoJay
Sun Sep 15, 2013 8:33 pm
Forum: Personal Investments
Topic: Help - Is this a retirement account withdrawl?
Replies: 5
Views: 491

Help - Is this a retirement account withdrawl?

Earlier this year I moved $100k from my Roth IRA at Vanguard to a Roth IRA with LendingClub.com. I just noticed on the Vanguard site that it's showing as a $100k retirement account "withdrawl" under the taxes and income tab. What's the story here? I certainly did not intend this to be a wi...
by RenoJay
Thu Sep 12, 2013 4:32 pm
Forum: Investing - Theory, News & General
Topic: Real Returns in Next 40 Years: Rob Arnott
Replies: 18
Views: 2053

Re: Real Returns in Next 40 Years: Rob Arnott

No where's that "Death of Equities" cover story from 1982?
by RenoJay
Sat Sep 07, 2013 9:40 am
Forum: Personal Finance (Not Investing)
Topic: New Guy Here Looking for Financial Tuneup after Calamity
Replies: 14
Views: 2255

Re: New Guy Here Looking for Financial Tuneup after Calamity

I don't think you're in bad shape at all. MANY people don't have a ton of retirement savings at 40 and you already have a good start. You had mentioned you live and budget off your salary income. That makes it seem obvious to simply invest all of your annual bonuses toward retirement and you should ...
by RenoJay
Mon Aug 26, 2013 4:35 pm
Forum: Personal Finance (Not Investing)
Topic: math for buying a house?
Replies: 15
Views: 2155

Re: math for buying a house?

Don't forget to factor in home value appreciation and also expected rent increases.
by RenoJay
Mon Aug 26, 2013 4:33 pm
Forum: Personal Finance (Not Investing)
Topic: Sell Rental House or Not?
Replies: 2
Views: 473

Re: Sell Rental House or Not?

So the current cap rate is 5.7%? Does that take into account the property manager's fee, the maintenance, the vacancy time (i.e. no rental income) etc.? If so, then, I think you look at the expect return of whereever you would put the money vs. the rental house, and then deduct a "hassle / unkn...
by RenoJay
Sun Aug 25, 2013 10:27 am
Forum: Personal Finance (Not Investing)
Topic: Buying an MLS listed property without an agent
Replies: 30
Views: 3107

Re: Buying an MLS listed property without an agent

If you find a house you like, and are qualified, you can post on Craigslist or Homegain.com and state that you just need a Realtor to write up the offer but that you expect them to kick back 2% of the deal to you. (I had a similar arrangement with a broker, but she did a little more work than that b...
by RenoJay
Sat Aug 24, 2013 3:02 pm
Forum: Investing - Theory, News & General
Topic: Lending Club Notes Sell Out
Replies: 17
Views: 3320

Re: Lending Club Notes Sell Out

How can one get into hard money lending? Are there websites or is it more local? I am also one of those that started moving my money out of Lending Club starting this year. Hard money is typically more local from what I've seen. I found a few brokers in my area who do it, and interviewed them all. ...
by RenoJay
Sat Aug 24, 2013 1:39 pm
Forum: Investing - Theory, News & General
Topic: Lending Club Notes Sell Out
Replies: 17
Views: 3320

Re: Lending Club Notes Sell Out

I was hot into LendingClub about a year and a half ago, but calculating my returns has become murky, and overall I'm suspicious of whether I'm getting the same access as the big money. I've moved into "hard money lending" where I loan on homes / cars at rates that are generally superior to...
by RenoJay
Tue Aug 13, 2013 12:53 pm
Forum: Investing - Theory, News & General
Topic: Expected rate of returns
Replies: 33
Views: 3954

Re: Expected rate of returns

Based on things I've read, I actually use 6.5% NOMINAL (about 3.5% real) for equities, but I use 4% nominal for fixed income since I have some things the yield much, much higher than bonds. If I were simply in the bond market for fixed income, I agree with 2% nominal for bonds and 0% for cash.
by RenoJay
Mon Jul 29, 2013 8:59 pm
Forum: Investing - Theory, News & General
Topic: What did Bogleheads do when the stock market crashed?
Replies: 129
Views: 86954

Re: What did Bogleheads do when the stock market crashed?

I sent this email to a bunch of my friends on Saturday, March 7th, 2009, while continuing to buy stocks. (As it turns out, Monday March 9th was the bottom.) Also, I was losing tons of sleep, and once the market recovered I moved to a more conservative AA. The email from March 7th: All, This is the t...
by RenoJay
Sun Jul 28, 2013 9:57 pm
Forum: Personal Investments
Topic: Rebalancing when money is in taxable account
Replies: 21
Views: 2620

Rebalancing when money is in taxable account

How do the rules of rebalancing change when the vast majority of one's net worth is in a taxable account? Do you rebalance less frequently? Or only by adding new contributions to under-represented asset class? Or only when there are offsetting losses? Or do you ignore all that and just stick to your...
by RenoJay
Mon Jul 22, 2013 8:42 am
Forum: Investing - Theory, News & General
Topic: Behavioral Finance: non-typical personalities?
Replies: 52
Views: 5385

Re: Behavioral Finance: non-typical personalities?

I think most of negative behaviors referenced in articles related to finances are true for the vast, vast majority of people at some point in their lives, but some of us learn to overcome those behaviors and even re-wire our brains to do the opposite. I bet if the original poster thinks back to chil...
by RenoJay
Sun Jul 21, 2013 8:13 pm
Forum: Investing - Theory, News & General
Topic: How and when did you do it - to get to 1 Million
Replies: 129
Views: 29397

Re: How and when did you do it - to get to 1 Million

Got there the first time at age 28 from a combo of selling a house and having tons of equity in my start up. Then the start up crashed and I was down to half a mil. Got there again (for real this time) around age 32, again from a start up, but this time from the actual cash I was taking out of the c...
by RenoJay
Sun Jul 21, 2013 8:12 pm
Forum: Personal Investments
Topic: 30y old - On track for retirement?
Replies: 6
Views: 1721

Re: 30y old - On track for retirement?

I know there are other Bogleheads who can give much better advice, but here's my take. 1. Are you expecting 8% return for the next 10 years and then 3% thereafter? Why the difference? (That's what is looked like on the Google doc.) 2. I have a similar spreadsheet, but I project about a 3.5% real ret...
by RenoJay
Sun Jul 21, 2013 12:50 pm
Forum: Personal Finance (Not Investing)
Topic: Conflicted About Expected Lifestyle Creep
Replies: 47
Views: 7646

Re: Conflicted About Expected Lifestyle Creep

I have experienced lifestyle creep and I regret it. Fortunately I'm still in fine shape for retirement, but the concept of frivolous spending simply goes against my nature. My best advice is to choose modest housing, because much of the creep emanates from that. If you buy a big home in a fancy neig...
by RenoJay
Sat Jul 20, 2013 8:53 pm
Forum: Personal Investments
Topic: Total International in Taxable Account
Replies: 4
Views: 748

Total International in Taxable Account

I keep reading different things about whether international funds should be in taxable or tax deferred accounts. I've read that there's a foreign income credit of some sort that benefits the investor when these funds are in a taxable account, but also that Vanguard Total International Admiral doesn'...
by RenoJay
Thu Jul 18, 2013 9:39 pm
Forum: Personal Finance (Not Investing)
Topic: could I retire?
Replies: 18
Views: 3920

Re: could I retire?

Check out the sites http://www.early-retirement.org / and [url]htt://www.caniretireyet.com[/url]. I'm a regular on these sites and they give a pretty good view of what it takes to retire early. Overall, I think you're in good shape but it mostly depends on what your spending rate is. Seems like most...
by RenoJay
Sun Jul 14, 2013 7:53 am
Forum: Investing - Theory, News & General
Topic: Risk and Reward inextricably linked
Replies: 5
Views: 620

Re: Risk and Reward inextricably linked

I think the reasoning given explains more about efficient vs. inefficient markets, i.e. having info. that others may not have to have an advantage. In your example risk and return played out as expected. the return was doubling your money and the risk is not making money. Now lets say you got greed...
by RenoJay
Sat Jul 13, 2013 8:01 pm
Forum: Investing - Theory, News & General
Topic: Risk and Reward inextricably linked
Replies: 5
Views: 620

Re: Risk and Reward inextricably linked

The risk/expected return relationship certainly holds true for both stocks and bonds. I think it applies in many other areas, although it's certainly NOT the case that every time you increase your risk exposure, you increase your expected return. With your Google advertising experience, it sounds l...
by RenoJay
Sat Jul 13, 2013 6:55 pm
Forum: Investing - Theory, News & General
Topic: Risk and Reward inextricably linked
Replies: 5
Views: 620

Risk and Reward inextricably linked

I'm currently reading the Four Pillars book and am only a few chapters in, but it states that risk and reward are inextricably linked and that to get a higher return, you need to take more risk. Does this only apply to stocks and bonds? I had a business venture for years where I could spend $1 on Go...
by RenoJay
Sat Jul 13, 2013 6:51 pm
Forum: Investing - Theory, News & General
Topic: A Dangerous Misunderstanding about Bond Rates?
Replies: 124
Views: 15579

Re: A Dangerous Misunderstanding about Bond Rates?

Nice original post. It seems very simple to me: rates rise, bond prices drop. Anyone who is expecting some immediate, magic elixir is, in my opinion, deceiving themselves unless they believe rates will generally remain where they are or decline.
by RenoJay
Wed Jul 10, 2013 9:03 pm
Forum: Personal Finance (Not Investing)
Topic: How does one not continue running an inherited business?
Replies: 6
Views: 1216

Re: How does one not continue running an inherited business?

There are probably 10's of thousands of buyers actively looking to purchase a business. My experience (selling website businesses) is that at the right price, there's usually a buyer. I wouldn't count that option out too quickly.
by RenoJay
Mon Jul 08, 2013 8:59 pm
Forum: Personal Finance (Not Investing)
Topic: Generation X: Don't Approach Retirement Like Your Peers
Replies: 70
Views: 7659

Re: Generation X: Don't Approach Retirement Like Your Peers

Gen Y here, still paying off college debt. I admire those in earlier generations who were able to put themselves through college by working part-time, or by working full-time and going to school part time. The ability to do that has eroded significantly due to stagnating wages and skyrocketing tuit...
by RenoJay
Mon Jul 08, 2013 8:46 pm
Forum: Personal Finance (Not Investing)
Topic: How to get over finance envy
Replies: 377
Views: 52050

Re: How to get over finance envy

I have saved faithfully for most of my working career, and now my "revenge" on the people who always had the best stuff is that I'll probably retire at 45, a good 20 years earlier than they will. You're doing the right things except for focusing your energy on what you don't have rather th...
by RenoJay
Sun Jul 07, 2013 10:52 pm
Forum: Personal Finance (Not Investing)
Topic: Generation X: Don't Approach Retirement Like Your Peers
Replies: 70
Views: 7659

Re: Generation X: Don't Approach Retirement Like Your Peers

Yeah, well like...whatever. I mean, who really cares, you know? But whatever, nevermind. I don't need this [stuff -admin LadyGeek] anyway. Whatever, dude. Huh? The youngest member of Generation X is turning 38 this year. We're not 12 year old junior high students! Not quite, depending on the source...
by RenoJay
Sun Jul 07, 2013 9:55 pm
Forum: Personal Finance (Not Investing)
Topic: Generation X: Don't Approach Retirement Like Your Peers
Replies: 70
Views: 7659

Re: Generation X: Don't Approach Retirement Like Your Peers

investingdad wrote:Yeah, well like...whatever. I mean, who really cares, you know? But whatever, nevermind. I don't need this [stuff -admin LadyGeek] anyway. Whatever, dude.
Huh? The youngest member of Generation X is turning 38 this year. We're not 12 year old junior high students!
by RenoJay
Sun Jul 07, 2013 7:45 pm
Forum: Investing - Theory, News & General
Topic: Current interest rates, housing & the US economy
Replies: 9
Views: 1761

Re: Current interest rates, housing & the US economy

I think there are quite a few of us on this board who are avoiding bonds and bond funds currently, but the rest of the argument seems too speculative for me. For instance, your assumption that rising rates will kill housing depends a lot on when rates rise, by how much and how quickly. There have be...
by RenoJay
Tue Jul 02, 2013 8:11 pm
Forum: Personal Investments
Topic: 57, quit working, $700,000
Replies: 59
Views: 13867

Re: 57, quit working, $700,000

At 57 I would not be comfortable pulling out more than about 3% yearly from a portfolio, assuming any kind of longevity. Maybe you could find a hobby that you could parlay into a source of additional income? There are lots of threads on safe withdrawal rates. SGM: What withdrawl rate would you use ...
by RenoJay
Mon Jul 01, 2013 11:05 pm
Forum: Personal Finance (Not Investing)
Topic: Finding a real-estate agent in another state.
Replies: 3
Views: 763

Re: Finding a real-estate agent in another state.

Try homegain.com, zillow.com or trulia.com. I believe all three sites have reviews of agents.
by RenoJay
Mon Jul 01, 2013 11:04 pm
Forum: Personal Investments
Topic: Goofed up; let it ride or sell at loss?
Replies: 21
Views: 3552

Re: Goofed up; let it ride or sell at loss?

I agree with those who suggest selling and going to an asset allocation you can live with for a long, long time. When I was in college, some broker's intern who was friendly with my roommate got me to part with a few thousand bucks (which was a decent chunk of change to me at the time) and put it in...
by RenoJay
Sun Jun 30, 2013 10:15 pm
Forum: Personal Finance (Not Investing)
Topic: Merchant costs on 2% cash back cards
Replies: 125
Views: 28751

Re: Merchant costs on 2% cash back cards

I look at the P&L's of lots of Internet companies, and they typically pay 3%+ in merchant fees. I'm not sure what traditional brick and mortar business pay, but my guess is probably 2%+ since they swipe a physical card. (i.e. they're less risky than websites.) My guess is that this is either bre...
by RenoJay
Thu Jun 27, 2013 7:02 pm
Forum: Personal Investments
Topic: Do market crashes affect different age groups differently?
Replies: 16
Views: 1661

Re: Do market crashes affect different age groups differentl

I'm a Gen X'er, 41 years old. My overall net worth dropped by about 45% percent during the worst of the downturn, but is now back above where it had been at the previous peak. (Definitely in nominal terms; not sure about real terms.) My house is still waaaaay below what I paid, and I've gradually sc...
by RenoJay
Wed Jun 26, 2013 9:27 am
Forum: Personal Finance (Not Investing)
Topic: Would you accept offer with 100% financing contingency?
Replies: 28
Views: 3263

Re: Would you accept offer with 100% financing contingency?

I would not lock into any kind of exclusivity with that buyer. I'd tell him that once he has the financing in hand and removes the contingency, you'll gladly sell him the house, but that you won't take it off the market until such time. In the meantime, if someone comes in with more realistic expect...
by RenoJay
Fri Jun 21, 2013 9:29 am
Forum: Personal Consumer Issues
Topic: How much do you pay the babysitter?
Replies: 20
Views: 2381

Re: How much do you pay the babysitter?

We pay $15/hour for watching our 6-year-old and 3-year-old. Our sitters are kid of shy when we ask their usual rates. We live in an average area of the Midwest. I'm curious what others pay. This is a really important responsibility; we are putting the safety of our kids and the security of our hous...
by RenoJay
Wed Jun 19, 2013 9:37 pm
Forum: Personal Consumer Issues
Topic: Wanting to spend money all of a sudden
Replies: 76
Views: 8483

Re: Wanting to spend money all of a sudden

For me it would be travel and experiences. I've done things like bungy jumping, skydiving, zero-gravity flight, etc and those memories stick in mind much more than the stupid sports car I once bought and then ditched six months later.
by RenoJay
Fri Jun 14, 2013 7:59 am
Forum: Investing - Theory, News & General
Topic: Is 2% (1.8%) the new 4%?
Replies: 72
Views: 7190

Re: Is 2% (1.8%) the new 4%?

I think it's easy to take a snapshot in time and declare, "This time it's different." At a 2% withdrawl rate, you could stick your money in the mattress and have it last for 50 years. (Ok, sure, I didn't account for inflation but I think my point is clear enough.) I've read lots of threads...
by RenoJay
Sat Jun 08, 2013 9:43 am
Forum: Personal Finance (Not Investing)
Topic: If you were making a PF presentation for young professionals
Replies: 30
Views: 3428

Re: If you were making a PF presentation for young professio

If each of those topics is a slide, I think it's ok, but otherwise seems like a lot of ground to cover in one hour. I think hitting just a few points, and hitting them repeatedly in different ways, usually produces a better result if the goal is for them to remember what was taught. I used to teach ...
by RenoJay
Wed Jun 05, 2013 10:16 pm
Forum: Personal Investments
Topic: 21 with a lot of time, please advise
Replies: 5
Views: 786

Re: 21 with a lot of time, please advise

I'll save the advice-giving for the smart folks, but I want to congratulate on getting yourself to such a fantastic place financially, especially compared with most of your contemporaries. Keep doing what you're doing!
by RenoJay
Wed Jun 05, 2013 10:13 pm
Forum: Personal Finance (Not Investing)
Topic: Paying off mortgage question
Replies: 21
Views: 2119

Re: Paying off mortgage question

I recently paid off my wife's student loan in full, and purchased a car for 100% cash. I choose, however, to keep my 2.75% 15 year fixed mortgage as sort of a hedge against rising rates. As others have said it's a very personal decision and there's no right answer. Overall, the returns on my overall...
by RenoJay
Wed Jun 05, 2013 10:06 pm
Forum: Personal Finance (Not Investing)
Topic: Underwater Property Decisions
Replies: 11
Views: 1802

Re: Underwater Property Decisions

A few years ago, the house I live in (in Nevada), that I purchased for $1.1 million, was only worth $630k. Ouch. What hurt even worse is that I saw the real estate bubble inflating in the early 2000's, and I chose to rent for years from about 2002 - 2006. Then, after I saw my local market sink by 20...
by RenoJay
Mon Jun 03, 2013 10:24 pm
Forum: Investing - Theory, News & General
Topic: Free book: "Retiring Sooner"
Replies: 16
Views: 3561

Re: Free book: "Retiring Sooner"

Mike is being too modest...he has also graciously posted on his blog that he has made his own book, "Can I Retire?", available for free in Kindle format as well: http://www.obliviousinvestor.com/two-free-books-about-retirement/ I just downloaded Mike's book, and it's wonderfully simple, w...
by RenoJay
Mon Jun 03, 2013 8:59 pm
Forum: Investing - Theory, News & General
Topic: Controlling emotions
Replies: 37
Views: 3691

Re: Controlling emotions

Just wondering if anyone else has experienced this and how they dealt with the emotions (ie. reduce stock exposure as the portfolio increased in size, stop looking at balances, etc.)? Ummmm, isn't this an indication that your AA isn't quite suited to you anymore? I think that's the obvious, but not...
by RenoJay
Mon Jun 03, 2013 6:22 pm
Forum: Investing - Theory, News & General
Topic: Controlling emotions
Replies: 37
Views: 3691

Re: Controlling emotions

I hear you. I tend to stick pretty close to my asset allocation overall, but I definitely have emotions along the way and I tend to "peak" far too frequently at what I have. Like an earlier responder to the initial thread, I usually get more comfortable/relaxed after a big downturn (becaus...
by RenoJay
Wed May 29, 2013 11:06 pm
Forum: Personal Consumer Issues
Topic: Do you tip on take out?
Replies: 70
Views: 7272

Re: Do you tip on take out?

I do tip on take out, usually around 10%. Ultimately, the people working in restaurants work a lot harder than me and don't make nearly as much. i figure that if I can't afford to tip, I should cook something myself.
by RenoJay
Wed May 29, 2013 9:47 pm
Forum: Investing - Theory, News & General
Topic: Stock Ownership Hits Record Low.. (link)
Replies: 30
Views: 4020

Re: Stock Ownership Hits Record Low.. (link)

http://moneyover55.about.com/od/howtoinvest/a/marketreturns.htm The above is a wider look. For the period cited by the OP, here are S & P. returns. 1999 21.0% 2000 -9.1% 2001 -11.90% 2002 -22.1% 2003 28.7% 2004 10.9% 2005 4.9% 2006 15.9% 2007 5.5% 2008 -37.0% 2009 26.5% 2010 15.1% 2011 2.1% 201...
by RenoJay
Tue May 28, 2013 3:08 pm
Forum: Personal Investments
Topic: Lake home instead of bonds?
Replies: 28
Views: 3476

Re: Lake home instead of bonds?

I bought a vacation home in Lake Tahoe in 2010. Many of my reasons were similar to yours, but also I felt it was diversification toward real estate and away from other fixed income. In my case, I don't rent out the house, so it's been a cash drain (a small one, not a large one) but I believe the hom...
by RenoJay
Tue May 28, 2013 3:03 pm
Forum: Personal Finance (Not Investing)
Topic: Home sellers remorse
Replies: 25
Views: 3960

Re: Home sellers remorse

I believe the market is pretty efficient in most parts of the country and that if the home was underpriced so much, a bidding war would have erupted to bring it up to market value. That's a very different phenomenon vs. home prices that continue to appreciate while you're going through the closing p...