Search found 265 matches

by Userdc
Tue Feb 25, 2014 8:07 am
Forum: Personal Finance (Not Investing)
Topic: Oops, I forgot a deduction (file amended return?)
Replies: 8
Views: 804

Oops, I forgot a deduction (file amended return?)

While doing my taxes this year, I realized that one of the charities I contributed to in 2013 I had also contributed to in 2012 and 2011 but I did not include those deductions on the prior year returns. I remember is being pretty easy to file a 1040X by hand in the past, but three questions: 1) what...
by Userdc
Tue Feb 25, 2014 7:53 am
Forum: Personal Investments
Topic: Lump Sum: prepay mortgage or park in munis?
Replies: 9
Views: 1398

Re: Lump Sum: prepay mortgage or park in munis?

Yep, that's more or less the conclusion I can to. Thanks for weighing in.
by Userdc
Mon Feb 24, 2014 9:49 pm
Forum: Personal Finance (Not Investing)
Topic: Do children become less expensive as they grow up?
Replies: 93
Views: 11050

Re: Do children become less expensive as they grow up?

When your children reach the age of 5, they will become eligible for free child care for 6-7 hours a day for approximately 35-40 weeks per year. Although you say you have no child care costs, for many people this makes up the largest chunk of providing for young children through either direct care p...
by Userdc
Mon Feb 24, 2014 6:17 pm
Forum: Personal Investments
Topic: Lump Sum: prepay mortgage or park in munis?
Replies: 9
Views: 1398

Lump Sum: prepay mortgage or park in munis?

I have a lump sum available - the amount isn't important, but it is a sufficiently large amount to make this question worth while. The lump sum is about 40% of my outstanding mortgage balance. My mortgage : 5/5 that resets in 3 years. Current rate is 2.875%, and max for years 4 - 8 would be 4.875%. ...
by Userdc
Mon Feb 10, 2014 2:01 pm
Forum: Personal Finance (Not Investing)
Topic: How long does it take to do your taxes?
Replies: 53
Views: 41601

Re: How long does it take to do your taxes?

I'd guess around 6-8 hours, using turbotax. I spent about 4 hours this past weekend gathering all of the paperwork and inputting everything into turbo tax. I had a follow up list about 5 items long of either missing forms or tax topics I wanted to research/double check, so I'll work through that ove...
by Userdc
Tue Jan 14, 2014 12:04 pm
Forum: Personal Investments
Topic: Truly high earners (>$1M/year) how'd you do it?
Replies: 64
Views: 9956

Re: Truly high earners (>$1M/year) how'd you do it?

Investment banking here. $1 million isn't what it used to be, but it is still a lot of money, even in NYC. It's tempting to even the most committed boglehead to loosen up and spend more. I do find myself paying for convienence (dry cleaning, house cleaning, lawn maintenance, takeout) as free time is...
by Userdc
Sat Aug 24, 2013 6:44 pm
Forum: Personal Investments
Topic: Portfolio Review- High income, NY/NJ, 529, Roth 401k, EM
Replies: 26
Views: 2689

Re: Portfolio Review- High income, NY/NJ, 529, Roth 401k, EM

Thanks for the replies so far. On #2, I expected that response on this board and will just say that I have spent long hours building simulations of managed futures strategies, so I have a very good idea of what the return / risk profiles look like for various strategies. There is a very specific ma...
by Userdc
Thu Aug 22, 2013 8:35 pm
Forum: Personal Consumer Issues
Topic: Why aren't Car dealers prepared to deal?
Replies: 91
Views: 12040

Re: Why aren't Car dealers prepared to deal?

I agree that it is a good idea to "defer" any discussion about financing (or paying cash) until the deal is finalized. Good luck with this. Most salesman will not work with a client that refuses to disclose how he/she is paying for the purchase. Method of payment is the very foundation of negotiati...
by Userdc
Sun Aug 18, 2013 6:58 am
Forum: Personal Consumer Issues
Topic: International Cell Phone for Vacation?
Replies: 23
Views: 1871

Re: International Cell Phone for Vacation?

Just went to the UK. I have an iPhone 4, which doesn't have a SIM slot, so I couldn't use that phone in the UK with a purchased SIM card. I used an iPhone 4 with a purchased SIM in Barcelona, so maybe some IPhones are different. My iphone had a much smaller SIM card slot than the standard size, but...
by Userdc
Sun Aug 18, 2013 6:49 am
Forum: Personal Finance (Not Investing)
Topic: Would you put down all cash on a home purchase?
Replies: 35
Views: 4825

Re: Would you put down all cash on a home purchase?

Would you have to recognize significant capital gains to liquidate investments and raise the cash? I don't think there's anything wrong with having a mortgage, particularly at a low LTV and in your financial situation where you have sufficient wealth to never have to worry about losing the home. But...
by Userdc
Sat Aug 17, 2013 6:39 am
Forum: Personal Investments
Topic: State 529 - Use it for the deduction or not?
Replies: 9
Views: 1159

Re: State 529 - Use it for the deduction or not?

You may have to look at more than just the expense ratio. The state deduction is not quite as valuable as it appears. If I reduce my tax bill to the state by deducting a 529, that also reduces the state taxes I deduct on my Federal return -- which increases my Federal tax bill. You're gaining a lit...
by Userdc
Thu Aug 15, 2013 6:49 pm
Forum: Personal Finance (Not Investing)
Topic: Planning on staying in home 7 years, 15 or 30 year mortgage?
Replies: 10
Views: 996

Re: Planning on staying in home 7 years, 15 or 30 year mortg

The 15 year is probably good for you, but I would consider an ARM. Specifically the Pen Fed 5/5 ARM. Right now they are offering the 5/5 at a 3% interest rate, and the adjustment cap is 2%, so the rate can go no higher than 5% for years 6-10 even if rates go to the moon. If you make the same payment...
by Userdc
Wed Aug 14, 2013 9:28 pm
Forum: Personal Consumer Issues
Topic: Does anyone own a Hyundai?
Replies: 71
Views: 8519

Re: Does anyone own a Hyundai?

I bought a new 2011 Sonata (which is the first model in the latest redesign) in March 2010.

I haven't had any significant issues. I would highly recommend the car, it was a tremendous value for the base model with no options. I expect to own this car for many more years.
by Userdc
Tue Aug 13, 2013 5:55 pm
Forum: Personal Consumer Issues
Topic: Why aren't Car dealers prepared to deal?
Replies: 91
Views: 12040

Re: Why aren't Car dealers prepared to deal?

All this talk about not being able to negotiate online is incorrect. I realize many folks here are older, but it's 2013. There is an internet sales manager at nearly every dealer! They waste little time getting to the point because they know you are an informed consumer. Make them counter against c...
by Userdc
Tue Aug 06, 2013 10:43 am
Forum: Personal Finance (Not Investing)
Topic: Does a home mortgage use Simple or Compund Interest?
Replies: 147
Views: 30829

Re: Does a home mortgage use Simple or Compund Interest?

I think there are some terminology differences here causing confusion. Some people are interpreting "compound interest" to mean "interest is paid on interest" and others use the word "compound" to indicate that payments of interest are due at periodic intervals prior to maturity. Let's say that some...
by Userdc
Tue Aug 06, 2013 7:42 am
Forum: Personal Finance (Not Investing)
Topic: Does a home mortgage use Simple or Compund Interest?
Replies: 147
Views: 30829

Re: Does a home mortgage use Simple or Compund Interest?

This may be a terminology difference between academia and the real world, but in the consumer loan space "simple interest" has a very specific meaning, and virtually all mortgage loans are NOT Simple Interest. Auto loans are typically simple interest. Lets say you have a $300 monthly payment on your...
by Userdc
Tue Aug 06, 2013 7:24 am
Forum: Personal Consumer Issues
Topic: Global Entry experiences
Replies: 6
Views: 984

Re: Global Entry experiences

I've had it for about a year and I love it. I have used it on return trips from Canada (into Newark), so I'm not sure if the issue the previous poster was referring to has been fixed or if it is airport specific. I've never had an issue, and it usually gets you into the pre-check line when flying do...
by Userdc
Mon Aug 05, 2013 6:38 pm
Forum: Personal Consumer Issues
Topic: Subaru VIP program
Replies: 22
Views: 18644

Re: Subaru VIP program

I don't really trust the invoice price. I just bought a new Honda last week for 10% below invoice and I had multiple dealers willing to sell at that level. I believe there are all kind of hidden incentives that are paid to the dealer that reduces their cost basis. Maybe Subaru is different and that ...
by Userdc
Sun Aug 04, 2013 11:44 am
Forum: Personal Finance (Not Investing)
Topic: Am I saving enough that I can spend some of it?
Replies: 38
Views: 5369

Re: Am I saving enough that I can spend some of it?

Don't. DON'T buy cars on credit any longer. Paying for $14k of car for 5 years doesn't make any sense. Pay cash in the future for your transportation. Like you would any other tool . I disagree with that. The low interest rates these days are very attractive. He's paying 1.49%. You can often get be...
by Userdc
Sun Aug 04, 2013 11:12 am
Forum: Personal Investments
Topic: Roll over 401k or not?
Replies: 17
Views: 2368

Re: Roll over 401k or not?

Finally, could you explain why it being a 401k gives more flexibility to do Roth conversions? Yes, this may not be relavent in your situation, but if you do not qualify for a direct roth IRA contributon, you can do a "backdoor" contribution through a two-step process: 1) contribute to a non-deducti...
by Userdc
Sun Aug 04, 2013 10:02 am
Forum: Personal Investments
Topic: Roll over 401k or not?
Replies: 17
Views: 2368

Re: Roll over 401k or not?

I'd leave it there. It's tempting to roll over to reduce the number of line items you have to track, but don't let the desire for simplicity drive your decision making. It looks like a great plan with great funds and low fees, and since its in a 401k, it gives you more flexibility to do Roth convers...
by Userdc
Fri Aug 02, 2013 3:29 pm
Forum: Personal Finance (Not Investing)
Topic: Hiring parents to take care of children
Replies: 8
Views: 1635

Re: Hiring parents to take care of children

I'm by no means as expert on this, but given my experience paying a nanny, you will be responsible for paying the employer portion of social security and Medicare taxes related to this income as well as withholding the same from their income and paying that to the IRS. Additionally you will need to ...
by Userdc
Mon Jul 29, 2013 6:48 am
Forum: Personal Investments
Topic: What to do with 230K?
Replies: 29
Views: 23813

Re: What to do with 230K?

All this comes at the cost of spending less time with one's children. This is a very personal decision, and not something that the OP asked for advice on, so I'm not sure why this topic came up, but there are many potential benefits to both spouses working including: more money if both spouses earn...
by Userdc
Sat Jul 27, 2013 1:30 pm
Forum: Personal Investments
Topic: What to do with 230K?
Replies: 29
Views: 23813

Re: What to do with 230K?

Unless I'm misunderstanding something...do NOT pay off that student loan if there's a reasonable chance you will continue to get that loan repayment perk. You are paying $1000 in interest per year right now, so if you expect to get that amount repaid or more, definitely keep the loan. You can always...
by Userdc
Fri Jul 26, 2013 1:06 pm
Forum: Investing - Theory, News & General
Topic: A Boglehead in the NFL????
Replies: 13
Views: 2192

Re: A Boglehead in the NFL????

Putting a ton of money to refurb a 20-year old car probably isn't the best financial move for the regular joe, but I wouldn't be surprised if Mazda is doing this gratis. Either way, it says a lot about Morris. He seems to understand how quickly his NFL career could disappear, and he clearly takes pr...
by Userdc
Fri Jul 26, 2013 10:00 am
Forum: Personal Consumer Issues
Topic: NYC, Philly, Boston, or Chicago?
Replies: 102
Views: 12791

Re: NYC, Philly, Boston, or Chicago?

I don't think you can go wrong with any of them, although I personally would just cross Philly off the list. It's a perfectly nice medium sized American city, but I don't think there's anything unique about Philly that you'd miss in the other cities. Chicago is the cheapest and has the worst climate...
by Userdc
Fri Jul 26, 2013 7:17 am
Forum: Investing - Theory, News & General
Topic: 72% 401K Contribution - My Wife Worries People Will Wonder!
Replies: 53
Views: 8102

Re: 72% 401K Contribution - My Wife Worries People Will Wond

75% is a very high limit, I don't think I've seen higher than 25% across the various jobs my wife or I has had over the years.

That tells me that they set it that high for a reason, and your wife is not the only person at her company who is using the same strategy you are.

Max that sucker out.
by Userdc
Thu Jul 25, 2013 12:07 pm
Forum: Personal Finance (Not Investing)
Topic: "Extreme" Longevity Annuity
Replies: 31
Views: 1747

Re: "Extreme" Longevity Annuity

Nisi, here's my crack at the actuarial fair value, assuming 24% probability of living to 90 and a 3% yield on 15-year Treasury bonds. 1) 100 people with $50,000 each: $5,000,000 2) Grown at 3% for 15 years: $7,789,837 3) Value/cost of 24 lifetime annuities at $244,682 each: $5,872,368 4) Actuarial ...
by Userdc
Thu Jul 25, 2013 7:12 am
Forum: Personal Finance (Not Investing)
Topic: Selling home, can I postpone a mortgage payment?
Replies: 6
Views: 873

Re: Selling home, can I postpone a mortgage payment?

Rainier has it right. No matter when you pay it, you owe the interest. If you pay off your loan today, you would have to pay 24 days of interest that have accrued since your last payment (which included interest through July 1). If you skip this next payment and pay off your loan on August 5, you wi...
by Userdc
Fri May 03, 2013 1:25 pm
Forum: Personal Investments
Topic: New poster looking for advice from smart people
Replies: 10
Views: 2074

Re: New poster looking for advice from smart people

Looks pretty good to me. Your allocation seems fine, I wouldn't tinker if you are comfortable enough with current allocation. Bond funds are fine. You may be able to fine more tax advantaged space with after tax 401k or HSA or Savings bonds. Do either of your 401k plans accept incoming rollovers? Yo...
by Userdc
Wed May 01, 2013 3:45 pm
Forum: Personal Investments
Topic: How should I allocate and invest $450,000?
Replies: 22
Views: 4258

Re: How should I allocate and invest $450,000?

Yes - he's graduating from a Top 50 school. :o Is this post legit? Who posts about graduating from a school that is not in the Top 10 for their major? I think that's shorthand for saying he graduated from a school ranked in the top 50 of the US News National University Rankings. And since he didn't...
by Userdc
Thu Mar 07, 2013 11:48 am
Forum: Personal Consumer Issues
Topic: commute time by US postal code
Replies: 10
Views: 1313

Re: commute time by US postal code

In my state, the longest commute times are in rural areas that are relatively far from the cities and towns where the jobs are. My area, although rural, has an average time of only 19.2 minutes, probably because it's dominated to two small towns close together which have a fair number of jobs relat...
by Userdc
Mon Mar 04, 2013 11:11 pm
Forum: Personal Consumer Issues
Topic: [Should we] buy a two story house or a one story?
Replies: 43
Views: 5726

Re: [Should we] buy a two story house or a one story?

It's all personal preference.

I've lived in multiple story houses or buildings my whole life and I find the idea of a single story house depressing for some reason.

Mainly I wouldn't want to live in a neighborhood with single story houses - density is good.
by Userdc
Thu Feb 28, 2013 4:47 pm
Forum: Personal Investments
Topic: Will Rental Property be a good fit (K1, age diff, ROTH)
Replies: 30
Views: 1942

Re: Will Rental Property be a good fit (K1, age diff, ROTH)

I agree with some of these points, but I think you are way off with the Ford example. Ford is a global company engaged in the business of manufacturing, marketing, and financing vehicles, which is a completely different business with compeltely different risks from ownig a Ford dealership. A single...
by Userdc
Thu Feb 28, 2013 1:26 pm
Forum: Personal Investments
Topic: Will Rental Property be a good fit (K1, age diff, ROTH)
Replies: 30
Views: 1942

Re: Will Rental Property be a good fit (K1, age diff, ROTH)

I would strongly argue that owning a REIT and owning property directly are not the same. Which is appropriate for you depends on your situation of course. I'd be interested to hear this argument. There are many important differences, but I'd be interested to see which you are focused on. It's been ...
by Userdc
Thu Feb 28, 2013 1:02 pm
Forum: Personal Investments
Topic: Will Rental Property be a good fit (K1, age diff, ROTH)
Replies: 30
Views: 1942

Re: Will Rental Property be a good fit (K1, age diff, ROTH)

Clearly_Irrational wrote: I would strongly argue that owning a REIT and owning property directly are not the same. Which is appropriate for you depends on your situation of course.
I'd be interested to hear this argument. There are many important differences, but I'd be interested to see which you are focused on.
by Userdc
Fri Feb 22, 2013 1:57 pm
Forum: Personal Finance (Not Investing)
Topic: Turbo Tax for Nanny Taxes
Replies: 4
Views: 1667

Re: Turbo Tax for Nanny Taxes

I also use GTM and turbo tax. I pay GTM to prepare the forms and then I input into Turbo Tax as necessary to produce an identical schedule H. Good point on the estimated payments - you don't want to miss those, although I think the IRS would fix that mistake for you if you did. I may eventually take...
by Userdc
Wed Feb 13, 2013 10:22 pm
Forum: Personal Finance (Not Investing)
Topic: Tax withholding on bonuses
Replies: 8
Views: 5860

Re: Tax withholding on bonuses

You can submit a new W-4 any time you want to change the withholding from your paychecks, so your bonus tax talk is just that talk. If you find that too much tax is withheld from your bonus simply reduce the tax withheld from your paycheck. You can even do this ahead of time before you receive the ...
by Userdc
Wed Feb 13, 2013 7:32 pm
Forum: Personal Finance (Not Investing)
Topic: Investment Bank Internship versus Accounting Courses
Replies: 27
Views: 2828

Re: Investment Bank Internship versus Accounting Courses

If she can get an internship at one of the "bulge bracket" (top 5-10) firms, she should definitely take it. At worst it's a résumé builder, and given that those internships are very selective, so it's a signal that she met someone else's high standards (a la her Ivy League degree). I also happen to ...
by Userdc
Tue Feb 12, 2013 11:12 pm
Forum: Personal Finance (Not Investing)
Topic: Horizon Blue Cross Blue Shield -- Need Expertise
Replies: 9
Views: 1350

Re: Horizon Blue Cross Blue Sheild -- Need Expertise

I have no wisdom to share, but I'd be interested to hear the outcome, as I have a BCBS plan with minimal out of network coverage.

You probably signed something that obgligates you to pay this, but that doesn't make it right.
by Userdc
Tue Feb 12, 2013 11:05 pm
Forum: Investing - Theory, News & General
Topic: The Perils of financial modeling with Excel
Replies: 42
Views: 4181

Re: The Perils of financial modeling with Excel

Excel is the perfect tool for this type of work - this looks like this was a breakdown of oversight and controls. Frankly, I'd question the wisdom of handing this type of work to a developer to implement a back end solution. Not only do you risk losing something in translation, but you are left with...
by Userdc
Tue Feb 12, 2013 11:52 am
Forum: Investing - Theory, News & General
Topic: McGraw-Hill (S&P) fires back
Replies: 33
Views: 2828

Re: McGraw-Hill (S&P) fires back

Vinny: But your honor, my clients didn't do anything. Judge Haller: Once again, the communication process is broken down. It appears to me that you want to skip the arraignment process, go directly to trial, skip that, and get a dismissal. Well, I'm not about to revamp the entire judicial process j...
by Userdc
Tue Feb 12, 2013 11:23 am
Forum: Investing - Theory, News & General
Topic: moving pre-tax money to after-tax for free?
Replies: 40
Views: 3691

Re: moving pre-tax money to after-tax for free?

Here's what I think ghost is saying: In a pre-tax IRA, you have $100 in fund A and $100 in fund B. In a Roth IRA, you also have $100 in fund A and $100 in fund B. Lets say fund A's value drops by 50% and fund B's value doubles. Within the pre-tax, you sell your $50 of Fund A and buy $50 of fund B. Y...
by Userdc
Sun Feb 10, 2013 9:32 am
Forum: Personal Investments
Topic: Saving for a first (but expensive) home
Replies: 19
Views: 2745

Re: Saving for a first (but expensive) home

You are doing an excellent job. I don't think many people on this forum will tell you that you are saving too much, and I'm no different - kids and a million dollar house can certainly impact that savings rate in the future. You also may be due for a tax wallop when you start to file jointly. My gen...
by Userdc
Sun Feb 10, 2013 9:12 am
Forum: Personal Investments
Topic: Personal Residence as Substitute for TIPS
Replies: 6
Views: 1216

Re: Personal Residence as Substitute for TIPS

Real estate can provide inflation protection and can also be an excellent tax shelter.

But it's also far riskier than treasuries, so I wouldn't view it as a replacement for TIPS.
by Userdc
Sun Feb 10, 2013 7:41 am
Forum: Personal Investments
Topic: Advice on IRA CD Maturing in 01/2014, et al
Replies: 4
Views: 935

Re: Advice on IRA CD Maturing in 01/2014, et al

My advice would be to come up with a formal asset allocation plan for your estate, It appears to me that, depending on taxes, you can come close to funding your retirement off your pensions alone. Set aside an additional amount to supplement any deficiency in the pensions (especially if they are not...
by Userdc
Fri Feb 08, 2013 12:58 pm
Forum: Personal Finance (Not Investing)
Topic: Deleted
Replies: 31
Views: 4156

Re: becoming a landlord? your thoughts, please

This only makes sense if you are right that home prices are going to be higher in two years.

What's the upside in dollars if you are right?

What's the downside in dollars if you are wrong?

Can you afford to take on that additional risk? Even if you can, is it worth the headache?
by Userdc
Tue Feb 05, 2013 5:38 pm
Forum: Personal Finance (Not Investing)
Topic: do you charge everything to 1 credit card?
Replies: 60
Views: 5928

Re: do you charge everything to 1 credit card?

I put most of my charges on an airline Amex. Given how often I travel and the multiplier effect and other perks that come with having status, I get a significant benefit from using this card, although I have never attempted to put a monetary value on it. I have an Amazon Visa that I use for all Amaz...
by Userdc
Tue Feb 05, 2013 8:04 am
Forum: Investing - Theory, News & General
Topic: Deleted
Replies: 17
Views: 3639

Re: How much tax advantaged space available?

401k $17.5k
401k match $10k
401k after tax -> Roth $23.5k

401k $17.5k
401k match $6k

529 $10k state tax deductible
HSA $3250 (one parent and kids on non-hdhp)

IRA $5500
IRA $5500

Total: $98,750