Search found 573 matches

by Prudence
Thu Oct 18, 2018 4:58 pm
Forum: Personal Finance (Not Investing)
Topic: Step-up of basis on spouse’s death
Replies: 10
Views: 830

Re: Step-up of basis on spouse’s death

Just curious, did your mother's account have a beneficiary?
by Prudence
Tue Oct 16, 2018 11:13 am
Forum: Personal Consumer Issues
Topic: Last Will and Testament Question
Replies: 9
Views: 1119

Re: Last Will and Testament Question

Accounts with beneficiaries (including TOD/POD) will not go into the estate, right? They pass immediately to the named beneficiary, right?
My wife is the primary beneficiary (100%) in my accounts where I am the sole owner. Except I have one account where our daughter is the primary beneficiary.
by Prudence
Tue Oct 16, 2018 10:49 am
Forum: Personal Consumer Issues
Topic: Last Will and Testament Question
Replies: 9
Views: 1119

Re: Last Will and Testament Question

Thank you for the explanation about disclaimer trust, I was wondering why.
Why is naming beneficiaries for my other accounts usually not a good idea?
I agree with you about probate in Maryland (based on my experience with my mother's estate).
by Prudence
Tue Oct 16, 2018 9:48 am
Forum: Personal Consumer Issues
Topic: Last Will and Testament Question
Replies: 9
Views: 1119

Re: Last Will and Testament Question

On January 1st, the Maryland estate tax exemption increases to $5 million which is more than our combined assets. The bulk of our assets are in savings accounts, mutual funds/ETFs, CDs and tIRAs; all of these have beneficiaries or TOD/PODs so not much will go into our estate(s), I believe. The reaso...
by Prudence
Tue Oct 16, 2018 8:30 am
Forum: Personal Consumer Issues
Topic: Last Will and Testament Question
Replies: 9
Views: 1119

Last Will and Testament Question

My wife and I have wills (also durable POA, durable POA for health care) that were prepared by an attorney in 2003. I am thinking about using a software program (DIY) program to replace these wills now. In our situation, I think we need simple wills. Our existing wills contain a few provisions which...
by Prudence
Fri Sep 14, 2018 4:30 pm
Forum: Personal Consumer Issues
Topic: Backyard Deck Question
Replies: 2
Views: 469

Backyard Deck Question

A contractor is installing a deck at my house using Azek decking. I have to decide between grooved or un-grooved decking. As usual, each has its pros and cons. The contractor who is very experienced with this subject recommends the un-grooved because sometimes decks with grooved boards sing or whist...
by Prudence
Sun Sep 02, 2018 8:25 pm
Forum: Investing - Theory, News & General
Topic: Portfolio Construction: Total World Stock + TIPS or Treasuries
Replies: 40
Views: 3787

Re: Portfolio Construction: Total World Stock + TIPS or Treasuries

I would choose a variation of option B. As you know, TIPs should be held only to protect against unexpected inflation. So, I would hold no more than the amount needed to fund residual expenses. Let's say you retire at 65 and wish to fund a 25 year retirement and need $10,000 a year to cover residual...
by Prudence
Thu Aug 23, 2018 8:16 am
Forum: Personal Consumer Issues
Topic: Composite Decking Material
Replies: 41
Views: 4633

Re: Composite Decking Material

OP here. To add, my contractor recommended that we use pressure treated lumber for the infill on the railings (these are the vertical pieces that support the hand rails). He said they would be yellowish when installed and then turn to gray over time as they weather. He said that they are never a pro...
by Prudence
Mon Aug 20, 2018 12:50 pm
Forum: Personal Consumer Issues
Topic: Composite Decking Material
Replies: 41
Views: 4633

Re: Composite Decking Material

Was your IPE wood joined with nails or screws?
by Prudence
Mon Aug 20, 2018 9:20 am
Forum: Personal Consumer Issues
Topic: Composite Decking Material
Replies: 41
Views: 4633

Re: Composite Decking Material

Thank you for the tip, I will check it out. Meanwhile, I did a little research on reviews and evaluations of different composite brands and found mostly conflicting information which did not help in making a decision. If we go with the composite, we will probably opt for the better or best price poi...
by Prudence
Sun Aug 19, 2018 1:38 pm
Forum: Personal Consumer Issues
Topic: Composite Decking Material
Replies: 41
Views: 4633

Composite Decking Material

We have a 30 year old deck constructed with pressure treated wood. We are thinking of replacing the deck floor, steps and railings with a composite (keeping the existing infrastructure and footings). The contractor gave me a quote using the Azek gray brand of composite. Has anyone had any experience...
by Prudence
Thu Aug 09, 2018 7:24 am
Forum: Personal Consumer Issues
Topic: radon mitigation exposure concern, are we at risk?
Replies: 59
Views: 5091

Re: radon mitigation exposure concern, are we at risk?

There is no safe level of radon. The EPA came up with a number for when remediation is necessary at 4.0 pCi/L but it doesn't mean 3.9 is safe. I'm not an expert, just a homeowner that did a lot circumspect internet research. Take what I say with a grain of salt and do your own research. You already...
by Prudence
Sat Jul 28, 2018 10:02 am
Forum: Personal Investments
Topic: Retirees: how much cash?
Replies: 61
Views: 8131

Re: Retirees: how much cash?

I am 71, retired for two years, and my portfolio is in cash. I don't like the stock or bond market so I am comfortable with cash for now. I am open to investing in stocks and bonds at some point, but, not now.
by Prudence
Fri Jul 20, 2018 12:00 pm
Forum: Personal Finance (Not Investing)
Topic: Appears that Medicare Guaranteed Issue Plan F will be replaced with G
Replies: 40
Views: 4016

Re: Appears that Medicare Guaranteed Issue Plan F will be replaced with G

FYI, we had Plan F in 2016 and 2017 and were very happy with it. We switched to Plan G in January and have been very happy so far.
by Prudence
Sat Jul 14, 2018 9:35 pm
Forum: Personal Investments
Topic: Received $1m windfall with additional upside; looking for feedback on plan to hedge against market correction
Replies: 44
Views: 8493

Re: Received $1m windfall with additional upside; looking for feedback on plan to hedge against market correction

You are young and it appears that you don't have any big expenditures in your budget over the next several years. So, I would subtract any needed cash reserves and invest the rest in one, two or three index funds. I like ETFs but I think a mutual fund is fine (total world or total US). A 90 to 100% ...
by Prudence
Tue Jun 05, 2018 10:07 pm
Forum: Personal Consumer Issues
Topic: Severance Package Question
Replies: 60
Views: 8611

Re: Severance Package Question

I think they are treating you fairly given number of years worked. Companies generally need to treat all employees the same to avoid discrimination claims. So, they would probably not negotiate a package that is better than the other directors at your level.
by Prudence
Tue Jun 05, 2018 6:03 pm
Forum: Personal Consumer Issues
Topic: New Medicare card
Replies: 28
Views: 2674

Re: New Medicare card

No, I would not block out any of the ID number. FYI, today I went to the doctor whom I have been seeing regularly for years. The receptionist asked me if I had a new Medicare card so I gave it to her and she keyed in my number.
by Prudence
Sun Jun 03, 2018 8:58 am
Forum: Investing - Theory, News & General
Topic: PenFed 3% 5 year certificates are back.
Replies: 19
Views: 3377

Re: PenFed 3% 5 year certificates are back.

I don't think this is very attractive, since the 10 year Treasury note rate is already around 3% and likely to go higher. Also, here is the early withdrawal penalty from the certificate application: 2) Certificates Having a Term Greater Than Six Months. a) If redeemed within the first year, all divi...
by Prudence
Fri Jun 01, 2018 9:08 pm
Forum: Personal Consumer Issues
Topic: Microsoft Edge versus Chrome
Replies: 27
Views: 2375

Re: Microsoft Edge versus Chrome

Why do you like Chrome?
by Prudence
Fri Jun 01, 2018 8:49 pm
Forum: Personal Consumer Issues
Topic: Microsoft Edge versus Chrome
Replies: 27
Views: 2375

Microsoft Edge versus Chrome

I have Windows 10 on my Dell laptop and I have the Microsoft Edge browser. When I prepare to download Chrome, I get this message that says I should stay with Microsoft because it is superior (faster etc.) with Windows 10. Is this just marketing or should I replace Edge with Chrome? What is your expe...
by Prudence
Thu May 31, 2018 9:13 am
Forum: Investing - Theory, News & General
Topic: Is inflation the greatest risk to retirement portfolios?
Replies: 100
Views: 10179

Re: Is inflation the greatest risk to retirement portfolios?

No it doesn't. I need $100k purchasing power pretax as retirement income. Average tax 20%, so I need $80k purchasing power for retirement. Rampant inflation, my $100k is only worth $50k in purchasing power (inflation reduced my purchasing power by half)...lucky me, I invested all that $100k on TIPS...
by Prudence
Thu May 31, 2018 6:32 am
Forum: Investing - Theory, News & General
Topic: Is inflation the greatest risk to retirement portfolios?
Replies: 100
Views: 10179

Re: Is inflation the greatest risk to retirement portfolios?

No it doesn't. I need $100k purchasing power pretax as retirement income. Average tax 20%, so I need $80k purchasing power for retirement. Rampant inflation, my $100k is only worth $50k in purchasing power (inflation reduced my purchasing power by half)...lucky me, I invested all that $100k on TIPS...
by Prudence
Wed May 30, 2018 10:17 am
Forum: Investing - Theory, News & General
Topic: Is inflation the greatest risk to retirement portfolios?
Replies: 100
Views: 10179

Re: Is inflation the greatest risk to retirement portfolios?

My simplified understanding (I have only a rudimentary understanding of bonds in general), from David Swensen’s teachings, is that TIPS are protection against inflation and treasuries serve as protection against deflation. He recommends 50/50 of these in your bond allocation. What if you just hold ...
by Prudence
Tue May 29, 2018 12:46 pm
Forum: Investing - Theory, News & General
Topic: Bernstein - CD + Treasuries + Munis VS Vanguard Total Bond ??
Replies: 14
Views: 2683

Re: Bernstein - CD + Treasuries + Munis VS Vanguard Total Bond ??

Yes I use CDs and a guaranteed rate fund and own no bonds or bond funds. So far I am doing fine with keeping up with inflation. I would prefer to take risk on equities rather than bonds. At some point, I may buy a ST TIPS fund but doubt I will ever hold a non-TIPS bond fund.
by Prudence
Tue May 29, 2018 9:43 am
Forum: Investing - Theory, News & General
Topic: Is inflation the greatest risk to retirement portfolios?
Replies: 100
Views: 10179

Re: Is inflation the greatest risk to retirement portfolios?

What if we change the OP's question a bit and suppose he's willing to hold equities as well as TIPS? So suppose his original question had been: "Why should anyone hold nominal bonds? I want to have a 60/40 portfolio. Why should the 40% portion (that is allocated to bonds) be in anything but TI...
by Prudence
Sun May 27, 2018 9:10 pm
Forum: Investing - Theory, News & General
Topic: Is inflation the greatest risk to retirement portfolios?
Replies: 100
Views: 10179

Re: Is inflation the greatest risk to retirement portfolios?

In general, yes. I like Bernstein's work. Oversimplified, this means build a TIPs ladder to fully fund your residual expenses over your remaining years (LMP). Then feel free to invest the rest of your portfolio as you choose e.g. 100% equities or whatever. For many bogleheads, this strategy could en...
by Prudence
Sun May 27, 2018 9:56 am
Forum: Personal Consumer Issues
Topic: Vacation Rental Question
Replies: 5
Views: 932

Vacation Rental Question

We live in Maryland and occasionally get a rental at an ocean destination in Delaware, NC, or SC etc. We usually rent from a realtor who is managing the rental for the owner but last September got a rental from an owner in Duck, NC via Homeaway. It was a really nice property that we rented at the la...
by Prudence
Mon May 21, 2018 1:37 pm
Forum: Personal Finance (Not Investing)
Topic: Buying a Vacation Rental Property as an Investment
Replies: 54
Views: 6684

Re: Buying a Vacation Rental Property as an Investment

This is a very timely post. My daughter wants us to partner with her on buying a vacation house which she (and us) would use for occasional getaways and vacations and rent out for short term rentals. So, maybe she would rent it out for 60 or 70 days a year (probably in the summer) or whatever the ma...
by Prudence
Thu May 03, 2018 10:53 am
Forum: Personal Consumer Issues
Topic: id.me
Replies: 5
Views: 1166

id.me

Yesterday I made an online purchase and the company offers a 15% discount to military veterans. To get the discount I would have had to log in to id.me and enter my SSN and upload a copy of my DD214. I was nervous about sharing this info so I skipped the discount. Do any of you have any experience, ...
by Prudence
Mon Apr 30, 2018 11:34 am
Forum: Personal Finance (Not Investing)
Topic: Gift Question [Gift Tax]
Replies: 30
Views: 2634

Re: Gift Question [Gift Tax]

Interesting. Maybe they can qualify to buy this second home and make the down payment on their own and then after the sale is completed I could then give her the gift (so they can replenish their funds).
by Prudence
Sun Apr 29, 2018 5:57 pm
Forum: Personal Finance (Not Investing)
Topic: Gift Question [Gift Tax]
Replies: 30
Views: 2634

Re: Gift Question

Thanks all!
J
by Prudence
Sun Apr 29, 2018 2:28 pm
Forum: Personal Finance (Not Investing)
Topic: Gift Question [Gift Tax]
Replies: 30
Views: 2634

Re: Gift Question

So, we can give my daughter $70,000 plus and she can use the funds for whatever?
by Prudence
Sun Apr 29, 2018 2:04 pm
Forum: Personal Finance (Not Investing)
Topic: Gift Question [Gift Tax]
Replies: 30
Views: 2634

Gift Question [Gift Tax]

I am retired. My daughter needs about $70,000 for the down payment to buy a second home in Virginia. We all live in Maryland. I can give her the money but would rather not have any legal ownership responsibility (i.e. our names not on the deed etc.). I don't want to pay any gift tax. Maryland and Vi...
by Prudence
Sat Apr 21, 2018 6:04 pm
Forum: Investing - Theory, News & General
Topic: Why is the SEC yield the one that Vanguard displays?
Replies: 39
Views: 10391

Re: Why is the SEC yield the one that Vanguard displays?

I agree Kevin. (I was confused by your previous comments that institutional investors would have already anticipated and priced in the future increase in rates; I thought this meant that the bond fund price would not be negatively impacted when the rate increase actually occurred).
by Prudence
Sat Apr 21, 2018 5:54 pm
Forum: Personal Consumer Issues
Topic: Medicare Questions
Replies: 49
Views: 6270

Re: Medicare Questions

To the OP, I would not do ANYTHING until you get the EOB from medicare and your supplement. Then make sure it is accurate. Word to the wise for ALL consumers never pay a medical bill unless your EOB confirms the same. Good luck. Good advice, that is what I plan to do. Since I wrote my post I have i...
by Prudence
Sat Apr 21, 2018 9:52 am
Forum: Investing - Theory, News & General
Topic: Why is the SEC yield the one that Vanguard displays?
Replies: 39
Views: 10391

Re: Why is the SEC yield the one that Vanguard displays?

Very clear as usual Kevin. If rates (say ten year Treasury) are expected to increase one percent in one year and they do, does this mean that the share price (return) of the fund should not be adversely impacted?
by Prudence
Fri Apr 20, 2018 7:50 am
Forum: Investing - Theory, News & General
Topic: Why is the SEC yield the one that Vanguard displays?
Replies: 39
Views: 10391

Re: Why is the SEC yield the one that Vanguard displays?

Does SEC yield assume no changes in interest rates (since they cannot be predicted)? So, suppose I buy a bond fund with a 3% SEC Yield and average duration of six years. If market interest rates drop one percent and I sell my position one year later, will my yield be negative for the time I held the...
by Prudence
Thu Apr 19, 2018 8:40 am
Forum: Personal Consumer Issues
Topic: Medicare Questions
Replies: 49
Views: 6270

Re: Medicare Questions

<r><QUOTE author="Spirit Rider" post_id="3885367" time="1523981053" user_id="717"><s> </s> Also, there are actually three categories of Medicare billing from providers:<LIST type="decimal"><s> </s> <LI><s> </s>Accept assignment: They agree to accept ...
by Prudence
Tue Apr 17, 2018 5:43 pm
Forum: Personal Consumer Issues
Topic: Medicare Questions
Replies: 49
Views: 6270

Re: Medicare Questions

SpiritRider, So you mean that only category 1 or 2 could apply in our case, correct? See the following Medicare.gov link Lower costs with assignment What to know about private contracts You can't be asked to sign a private contract for emergency or urgent care. Ok, read it, thanks. I wonder if ther...
by Prudence
Tue Apr 17, 2018 1:46 pm
Forum: Personal Consumer Issues
Topic: Medicare Questions
Replies: 49
Views: 6270

Re: Medicare Questions

Also, there are actually three categories of Medicare billing from providers: Accept assignment: They agree to accept Medicare payment schedules including deductibles and co-payments/co-insurance. Plan G will pay everything Medicare doesn't pay except for the Part B deductible. Do not accept assign...
by Prudence
Tue Apr 17, 2018 12:06 pm
Forum: Personal Consumer Issues
Topic: Medicare Questions
Replies: 49
Views: 6270

Re: Medicare Questions

Thanks all. Great stuff!
J
by Prudence
Tue Apr 17, 2018 9:37 am
Forum: Personal Consumer Issues
Topic: Medicare Questions
Replies: 49
Views: 6270

Re: Medicare Questions

Good point. I was concerned about that too. Under the circumstances (to the ER and then straight to surgery), we were not offered any choices regarding things like anesthesiologists, so I am wondering where we might have messed up or how to handle this proactively the next time this happens.
by Prudence
Tue Apr 17, 2018 8:56 am
Forum: Personal Consumer Issues
Topic: Medicare Questions
Replies: 49
Views: 6270

Medicare Questions

My wife (age 66) had surgery several days ago and this is the first time we have used Part A. When she was admitted to the hospital ER we gave them the insurance information. We have Medicare, Supplemental Plan G with Carefirst and Plan D. I just received a bill from the anesthesia doctor for April ...
by Prudence
Mon Apr 02, 2018 12:11 pm
Forum: Personal Finance (Not Investing)
Topic: Roth Conversion Question
Replies: 7
Views: 767

Re: Roth Conversion Question

Your assumptions are correct, provided you take your entire RMD first each calendar year before doing any Roth conversions. But why drive your tax bill higher after age 70? And possibly your Medicare IRMAA tier as well? I'm 68 and doing modest Roth conversions the past few years. But once 2020 gets...
by Prudence
Mon Apr 02, 2018 12:03 pm
Forum: Personal Finance (Not Investing)
Topic: Roth Conversion Question
Replies: 7
Views: 767

Re: Roth Conversion Question

Suppose an individual is 71 and has a traditional IRA (all pre-tax). And suppose, going forward, based on the new Federal tax law, he and his spouse (married filing jointly) will be paying either the 22% or 24% tax rate on each required mandatory distribution (RMD). The 24% tax bracket applies to i...
by Prudence
Mon Apr 02, 2018 9:38 am
Forum: Personal Finance (Not Investing)
Topic: Roth Conversion Question
Replies: 7
Views: 767

Re: Roth Conversion Question

Those who are subject to RMD must take RMD first before doing any Roth conversions. The RMD cannot be converted to Roth. In your example, where they convert 150K to stay in the 24% bracket should be adjusted to 150K of additional income where conversion amount is 150K - RMD amount. Having higher AG...
by Prudence
Mon Apr 02, 2018 9:11 am
Forum: Personal Finance (Not Investing)
Topic: Roth Conversion Question
Replies: 7
Views: 767

Roth Conversion Question

Suppose an individual is 71 and has a traditional IRA (all pre-tax). And suppose, going forward, based on the new Federal tax law, he and his spouse (married filing jointly) will be paying either the 22% or 24% tax rate on each required mandatory distribution (RMD). The 24% tax bracket applies to in...
by Prudence
Sun Apr 01, 2018 3:53 pm
Forum: Personal Finance (Not Investing)
Topic: Roth Conversion
Replies: 3
Views: 504

Re: Roth Conversion

PFInterest wrote: Sun Apr 01, 2018 3:36 pm You just use the new bracket #'s.
I am sorry I don't understand. Do you mean that I should go into the model and change the bracket numbers or is there some way to select them in the model (seems like the 2017 bracket numbers are no longer relevant for the Roth conversion part).
by Prudence
Sun Apr 01, 2018 3:23 pm
Forum: Personal Finance (Not Investing)
Topic: Roth Conversion
Replies: 3
Views: 504

Roth Conversion

Has the retiree portfolio model in the BH wiki, specifically the roth conversion section, been updated, if necessary, for the new tax law changes? I wonder if I can use it to help calculate or analyze a roth conversion (from tIRA to Roth IRA) for the 2018 tax year? https://www.bogleheads.org/wiki/Re...