Search found 2271 matches

by jimb_fromATL
Mon Jul 10, 2017 12:28 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage vs Investing vs life changes
Replies: 9
Views: 1409

Re: Mortgage vs Investing vs life changes

thanks for the reply and taking the time to calc thru the scenario - I'll share with her.... BTW - what is the usual opinion of using cash to either - (a) pay down the Principal vs (b) adding to investment portfolio ? It depends a lot on her income, budget, tax brackets, how much being contributed ...
by jimb_fromATL
Mon Jul 10, 2017 11:19 am
Forum: Personal Finance (Not Investing)
Topic: Mortgage vs Investing vs life changes
Replies: 9
Views: 1409

Re: Mortgage vs Investing vs life changes

If money is tight at all for her, she probably needs to consider downsizing. Even if she qualifies for a refi and stretches the mortgage out for a longer time, the difference In rates is not enough to reduce the payment enough to make it much more affordable. Plus stretching it out longer will end u...
by jimb_fromATL
Mon Jul 10, 2017 10:24 am
Forum: Personal Investments
Topic: Where to put 65k cash
Replies: 64
Views: 7072

Re: Where to put 65k cash

Here are some numbers to help put the volatility – the risk versus reward – in perspective for Wellington and Wellesley. This also shows rolling averages for shorter time periods using monthly total performance data, to illustrate the differences that depend on whether you may be starting the invest...
by jimb_fromATL
Mon Jul 10, 2017 12:14 am
Forum: Personal Finance (Not Investing)
Topic: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?
Replies: 49
Views: 6875

Re: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?

Regardless of what you call it -- simple interest with principal payments adjusted to give same result, "compound interest in reverse" as I've called it many posts, or " compound interest that doesn't compound " as some folks call it -- I've shown several examples of how the int...
by jimb_fromATL
Sun Jul 09, 2017 9:34 pm
Forum: Personal Finance (Not Investing)
Topic: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?
Replies: 49
Views: 6875

Re: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?

The balance carries over from month to month. The balance in an amortized loan (or in a fixed rate and payment annuity if you're the investor instead of the borrower) depends on the interest that accrued on the unpaid balance in the previous month. If you skip a payment in a month and you catch up ...
by jimb_fromATL
Sun Jul 09, 2017 7:49 pm
Forum: Personal Investments
Topic: Where to put 65k cash
Replies: 64
Views: 7072

Re: Where to put 65k cash

It is an idea. Im not sure how much risk I can handle but I have 35-40 years for the market to ride through so I am assuming agressiveish? But I am conservative by nature. But want a minimum annual return of 5% in order to meet retirement needs. You don't have to take any more risk in a 401(k) than...
by jimb_fromATL
Sun Jul 09, 2017 6:44 pm
Forum: Personal Investments
Topic: Where to put 65k cash
Replies: 64
Views: 7072

Re: Where to put 65k cash

I am gradually saving up. I dont want to touch the 65k though for a house. I want that for retirement. Wellington admiral shares or target retirement 2055 is a hard choice. Go with Wellington based solely on the fact that you need 50k to even get into the admiral shares. ... and as little as a week...
by jimb_fromATL
Sun Jul 09, 2017 6:23 pm
Forum: Personal Investments
Topic: Where to put 65k cash
Replies: 64
Views: 7072

Re: Where to put 65k cash

I am gradually saving up. I dont want to touch the 65k though for a house. I want that for retirement. Wellington admiral shares or target retirement 2055 is a hard choice. Go with Wellington based solely on the fact that you need 50k to even get into the admiral shares. ... and as little as a week...
by jimb_fromATL
Sun Jul 09, 2017 6:19 pm
Forum: Personal Finance (Not Investing)
Topic: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?
Replies: 49
Views: 6875

Re: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?

I see the "effective rate" of the mortgage used a lot in discussions here for comparison to an investment here on the forums. It is true that the tax deduction can indeed reduce the effective rate of the mortgage -- for the one out of every three or four taxpayers who exceeds the standard...
by jimb_fromATL
Sun Jul 09, 2017 3:57 pm
Forum: Personal Consumer Issues
Topic: What is this cable device?
Replies: 53
Views: 4802

Re: What is this cable device?

Thanks everyone for your help. I was curious (and even a little peeved) that a new device was plugged into my house without even telling me why or what it was. I will post a picture of the "splitter" just for anyone who is curious. I have this device. I'm peeved that the cable company, wh...
by jimb_fromATL
Sun Jul 09, 2017 3:41 pm
Forum: Personal Investments
Topic: Where to put 65k cash
Replies: 64
Views: 7072

Re: Where to put 65k cash

Vanguard Target Retirement 2055 Vanguard Wellington Admiral Vanguard Wellesley Income Other and why Looking to gain the most on my return while also covering myself if there is an upcoming bear market. Need advice from someone who has experience. My money is post tax. How much risk are you wiling t...
by jimb_fromATL
Sun Jul 09, 2017 3:29 pm
Forum: Personal Finance (Not Investing)
Topic: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?
Replies: 49
Views: 6875

Re: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?

And of course, many people think over the course of 30 years they will do better than 3% or so (effective mortgage rate after tax deduction) by investing that extra money in stocks/bonds. If you earn 5%+ on your money, won't you come out ahead on a longer mortgage? I see the "effective rate&qu...
by jimb_fromATL
Sun Jul 09, 2017 8:20 am
Forum: Personal Investments
Topic: should i invest lump sum in a taxable retirement account
Replies: 19
Views: 2649

Re: should i invest lump sum in a taxable retirement account

Thank you for the advise, I would like to retire within the next 6 years, so I am apprehensive about investing the total amount in the stock market now. I want to invest the money and get some growth instead of just leaving it in a low interest rate account. I know I should put the money in a tax e...
by jimb_fromATL
Sun Jul 09, 2017 6:23 am
Forum: Personal Finance (Not Investing)
Topic: Invest or pay off >$200k Income Based (IBR) student loan?
Replies: 13
Views: 2861

Re: Invest or pay off >$200k Income Based (IBR) student loan?

Thank you all for the feedback and sorry for the late response. I was trying to find/make an Excel calculator to combine loan repayment, investment prediction (average) and tax deductions to make a more informaed decison. Obviously, that's a pretty long rabbit hole. So, if anyone knows of any tools...
by jimb_fromATL
Sat Jul 08, 2017 9:25 pm
Forum: Personal Finance (Not Investing)
Topic: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?
Replies: 49
Views: 6875

Re: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?

Mortgages are simple interest paid on an amortization schedule. So on a $10,000 loan at 5%, your first month's interest payment wou sld be 0.05 * 10,000 / 12. Every month is like that except the amount you pay on principal goes up, the amount you pay on interest goes down, but the interest you pay ...
by jimb_fromATL
Sat Jul 08, 2017 7:34 pm
Forum: Personal Finance (Not Investing)
Topic: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?
Replies: 49
Views: 6875

Re: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?

Mortgages are simple interest paid on an amortization schedule. So on a $10,000 loan at 5%, your first month's interest payment wou sld be 0.05 * 10,000 / 12. Every month is like that except the amount you pay on principal goes up, the amount you pay on interest goes down, but the interest you pay ...
by jimb_fromATL
Sat Jul 08, 2017 7:09 pm
Forum: Personal Investments
Topic: Roth what fund
Replies: 4
Views: 581

Re: Roth what fund

Insufficient data. I'm moving money from Ira to my Roth. I'm 64 and have 2m+ ... What fund would you put the money in. Vanguard 500 Index Fund Admiral Class Vanguard Extended Market Index Fund Vanguard Total Stock Market Index Fund Admiral Shares What fund(s) is/are it invested in now? I will not to...
by jimb_fromATL
Sat Jul 08, 2017 1:50 pm
Forum: Investing - Theory, News & General
Topic: Considering a TSP loan to pay off student loans
Replies: 36
Views: 5116

Re: Considering a TSP loan to pay off student loans

This makes no sense to me either. You can have ANY amount of money in an account and allocate it 80/20. It may not be all that easy. Like a lot of 401(k) plans, the TSP does not allow you to choose a single fund to take the loan from, and you can't make the payments go back to a single fund. But ca...
by jimb_fromATL
Sat Jul 08, 2017 1:12 pm
Forum: Personal Investments
Topic: should i invest lump sum in a taxable retirement account
Replies: 19
Views: 2649

Re: should i invest lump sum in a taxable retirement account

I am 58 and have 100,000 to invest . I have maxed out IRA's, should I invest the entire amount in total stock market index funds now as the market is high Is this a lump sum v dollar cost averaging question? If not, then with a lump that big, it should probably be a consideration anyway. ...along w...
by jimb_fromATL
Sat Jul 08, 2017 12:39 pm
Forum: Personal Investments
Topic: should i invest lump sum in a taxable retirement account
Replies: 19
Views: 2649

Re: should i invest lump sum in a taxable retirement account

... So if you are worried that over the course of the next year you will incur a significant loss and, knowing that loss was primarily the result of the unlucky timing of a single entry point into the market, this will cause remorse, you can opt to DCA the lump sum over a year period. That's a perf...
by jimb_fromATL
Sat Jul 08, 2017 9:34 am
Forum: Investing - Theory, News & General
Topic: Considering a TSP loan to pay off student loans
Replies: 36
Views: 5116

Re: Considering a TSP loan to pay off student loans

... I would use this loan as the "bond" portion of my AA)... ... What do you mean "bond" portion? Not sure how you are looking at your AA. You can adjust your TSP funds so you can keep any AA you want This makes no sense to me either. You can have ANY amount of money in an accou...
by jimb_fromATL
Fri Jul 07, 2017 12:22 pm
Forum: Personal Investments
Topic: Rental Sold, High Interest SL's Paid Off, Now What Do I Attack?
Replies: 26
Views: 2461

Re: Rental Sold, High Interest SL's Paid Off, Now What Do I Attack?

How much are you contributing to your 401(k)? 6%, company match 3% - wife is beginning hers today How much to Roth(s) now? Had to take a 4 month hiatus due to getting the rental prepped for sale, bare minimum we can fund 80% of our Roths each year (assuming no commission earned from my end, I would...
by jimb_fromATL
Fri Jul 07, 2017 10:37 am
Forum: Personal Consumer Issues
Topic: What is this cable device?
Replies: 53
Views: 4802

Re: What is this cable device?

It occurs to me that another reason to use coax from the AC power supply is because the service person probably has a lot of pre-made coax cables of various lengths in the toolbox, and it a neater and more secure connection without a bundle of unused wire like we often have with all our own electro...
by jimb_fromATL
Fri Jul 07, 2017 10:01 am
Forum: Personal Consumer Issues
Topic: What is this cable device?
Replies: 53
Views: 4802

Re: What is this cable device?

You are kinda lucky that you have an AC outlet right next to a coax wall jack, aren't you? The splitter-looking device could be a single signal amplifier by itself, or it could just be inserting DC power on the signal coax to power one more line amplifiers that are somewhere upstream. If it's a pow...
by jimb_fromATL
Fri Jul 07, 2017 9:23 am
Forum: Personal Consumer Issues
Topic: What is this cable device?
Replies: 53
Views: 4802

Re: What is this cable device?

Almost certainly an amplifier. The "splitter" probably isn't a splitter at all; it's a "power inserter". You don't need to take a picture of it; it may be labeled as a power inserter, and even if it's not, the end where the power is plugged in should be labeled with something li...
by jimb_fromATL
Thu Jul 06, 2017 11:42 pm
Forum: Personal Finance (Not Investing)
Topic: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?
Replies: 49
Views: 6875

Re: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years?

I am playing around with some numbers on Bankrate's Mortgage calculator and I find that: $10k House (hypothetical) at 3.75% rate, you pay $6,672.16 in interest after 30 years? Are mortgages compound interest or some other type of interest? Certainly not simple interest right? If one can afford to p...
by jimb_fromATL
Thu Jul 06, 2017 10:41 pm
Forum: Personal Investments
Topic: Rental Sold, High Interest SL's Paid Off, Now What Do I Attack?
Replies: 26
Views: 2461

Re: Rental Sold, High Interest SL's Paid Off, Now What Do I Attack?

How much are you contributing to your 401(k)? How much to Roth(s) now? What is the total minimum payment on all the student loans? How much cash do you have left over every month that can be used to either [/b] pay down debts or invest for retirement. How much is your total gross income? You say you...
by jimb_fromATL
Thu Jul 06, 2017 6:09 pm
Forum: Investing - Theory, News & General
Topic: Considering a TSP loan to pay off student loans
Replies: 36
Views: 5116

Re: Considering a TSP loan to pay off student loans

Another possible path would be to change your current AA to 100% stocks, instead of 80/20, and then take out the loan. The more you would normally earn in the TSP account, the more you'll lose by taking a big lump sum out and paying it back in small increments at a lower rate than the account is ea...
by jimb_fromATL
Thu Jul 06, 2017 5:38 pm
Forum: Personal Finance (Not Investing)
Topic: Can you buy a house with little or no income?
Replies: 24
Views: 3421

Re: Can you buy a house with little or no income?

Suppose you already own a house. Let's say I have $300,000 cash in my bank, maybe a $10k existing auto loan (no other loans or debts), but little or no income. Would you let me buy your house for, say $260,000 and let me put down only the traditional 20% while you carry the rest of the loan? I prom...
by jimb_fromATL
Thu Jul 06, 2017 1:14 pm
Forum: Personal Finance (Not Investing)
Topic: Can you buy a house with little or no income?
Replies: 24
Views: 3421

Re: Can you buy a house with little or no income?

HueyLD wrote:The NINJA (no income, no job, no assets) days are over.
...along with "stated income" AKA "liar's loans" for self employed folks without real proof of their income.

jimb
by jimb_fromATL
Thu Jul 06, 2017 1:11 pm
Forum: Personal Consumer Issues
Topic: Better hurry if you want a gas-engine Volvo
Replies: 96
Views: 8986

Re: Better hurry if you want a gas-engine Volvo

People are making this a much bigger deal than it is. Hybrids are already everywhere and already offered in their new models (the new T8 motor). The end user doesn't see any difference between the hybrid and a plain internal combustion engine other than a bit better fuel economy and better low-end ...
by jimb_fromATL
Thu Jul 06, 2017 1:04 pm
Forum: Personal Finance (Not Investing)
Topic: Can you buy a house with little or no income?
Replies: 24
Views: 3421

Re: Can you buy a house with no income?

Let's say you have $300,000 cash in your bank, maybe a $10k existing auto loan (no other loans or debts), but no income, can you still buy a house that's worth, say, $260,000 and put only the traditional 20% down? Will banks give you a mortgage in this case? I would think not, unless it was a renta...
by jimb_fromATL
Thu Jul 06, 2017 12:34 pm
Forum: Investing - Theory, News & General
Topic: What is a "sleeve"?
Replies: 34
Views: 7007

Re: What is a "sleeve"?

Pajamas wrote:
kate1234 wrote:My friend's financial advisor is encouraging her . . . to avoid index funds at all costs
It does not make any sense at all to say that index funds should be avoided at all costs.


It does if you're a financial advisor/salesman telling your client to avoid them.

jimb
by jimb_fromATL
Thu Jul 06, 2017 12:16 pm
Forum: Personal Investments
Topic: What is the advantage of deferring taxes vs paying them up front?
Replies: 57
Views: 6980

Re: What is the advantage of deferring taxes vs paying them up front?

We will be facing much higher brackets (up to 46%) when we begin social security with its tax hump. Can you explain that given that the highest tax bracket is 39.6%? Here's two examples: for Married filing jointly, both over 65, standard deduction and exemptions: SS income of $51k and other income ...
by jimb_fromATL
Thu Jul 06, 2017 12:04 pm
Forum: Personal Consumer Issues
Topic: Better hurry if you want a gas-engine Volvo
Replies: 96
Views: 8986

Re: Better hurry if you want a gas-engine Volvo

Just saw the local news announce that Volvo will be producing nothing but electric cars too. The reporter further said that their will be no more gas engine Volvos, while at the same time saying there will be hybrids. Look like the news media does not understand that hybrids still have a gas (or die...
by jimb_fromATL
Thu Jul 06, 2017 11:04 am
Forum: Personal Consumer Issues
Topic: Better hurry if you want a gas-engine Volvo
Replies: 96
Views: 8986

Re: Better hurry if you want a gas-engine Volvo

Although I'm a gear head, I do see some of the advances making sense. Auto start/stop of the engine at stop signs . . . . How does this start/stop technology work and doesn't it cause increased wear on engine components? I seem to recall hearing many years ago that turning a car on and off caused t...
by jimb_fromATL
Thu Jul 06, 2017 10:36 am
Forum: Personal Consumer Issues
Topic: Better hurry if you want a gas-engine Volvo
Replies: 96
Views: 8986

Re: Better hurry if you want a gas-engine Volvo

Hybrid cars have gas engines. They did not say they would stop making gas engines. They said they would start offering HYBRIDS in all their lines. Eventually, every car would have an electric motor to go along with its gas engine. A far cry from giving up on gas. At some point electric charging sta...
by jimb_fromATL
Thu Jul 06, 2017 10:18 am
Forum: Investing - Theory, News & General
Topic: What is a "sleeve"?
Replies: 34
Views: 7007

Re: What is a "sleeve"?

My friend's financial advisor is encouraging her to go with an "end sleeve" and to avoid index funds at all costs :D [pun intended] What is an "end sleeve"? I don't find anything on the wiki about it. IMO she needs a new financial advisor. It sounds like he/she is trying to dazz...
by jimb_fromATL
Thu Jul 06, 2017 8:44 am
Forum: Personal Finance (Not Investing)
Topic: Pension Payout
Replies: 24
Views: 4081

Re: Pension Payout

Protect your wife by taking the survivor benefit. It doesn't matter whether you might [/u] outlive her or not. Without it, if you are run over by a truck or have a heart attack next week, she gets nothing from the pension for the rest of her life. Incidentally, most pensions require that the spouse ...
by jimb_fromATL
Wed Jul 05, 2017 10:39 pm
Forum: Investing - Theory, News & General
Topic: Long-term result of investing the property tax payments in TSM?
Replies: 2
Views: 593

Re: Long-term result of investing the property tax payments in TSM?

IMO, not worth the hassle and risk. In just the 11 months you'd have between tax time, you're not likely to earn enough extra in a good year, and you could end up pretty short in a bad year. To give you an example using monthly data for Vanguard's total market fund, let's look at setting aside $273 ...
by jimb_fromATL
Wed Jul 05, 2017 10:05 pm
Forum: Investing - Theory, News & General
Topic: Considering a TSP loan to pay off student loans
Replies: 36
Views: 5116

Re: Considering a TSP loan to pay off student loans

I dont have enough in retirement savings to keep the same AA I have now of 80/20 if I take out the loan, so the loan would put me at a 64/33 AA while we're paying it off. (I only have 150K saved for retirement right now and I would use this loan as the "bond" portion of my AA) I would sti...
by jimb_fromATL
Wed Jul 05, 2017 2:39 pm
Forum: Personal Finance (Not Investing)
Topic: Invest or pay off >$200k Income Based (IBR) student loan?
Replies: 13
Views: 2861

Re: Invest or pay off >$200k Income Based (IBR) student loan?

* CA resident, married filing jointly. 28% bracket. $200k gross income. * Both ~36 y/o In your tax brackets for fed and state, and if you want to put your money to its best use to build wealth and security for the future, you'll come out much better in the long to contribute as much as you can to a...
by jimb_fromATL
Tue Jul 04, 2017 2:45 pm
Forum: Personal Investments
Topic: S&P 500 Admiral vs TSM Investor Shares in 401k
Replies: 21
Views: 2408

Re: S&P 500 Admiral vs TSM Investor Shares in 401k

Several comments in this thread make it look to me like some folks may be thinking this is only about the difference between the cost of admiral shares and investor shares of the same fund. It's not. Just to make sure everybody is talking about apples, VFIAX is admiral shares of the S&P 500 inde...
by jimb_fromATL
Tue Jul 04, 2017 1:24 pm
Forum: Investing - Theory, News & General
Topic: Wellington vs Wellington Admiral shares
Replies: 12
Views: 5678

Re: Wellington vs Wellington Admiral shares

To give you an idea of how they compare for the 15 years data I happen to have on hand from Yahoo. This shows a lump sum like the "Growth of $10,000" on websites, plus Dollar-Cost-Averaging with yearly contributions like you might do in an IRA ... which is probably more meaningful for the ...
by jimb_fromATL
Tue Jul 04, 2017 10:34 am
Forum: Personal Investments
Topic: Beginner needs sanity check moving a lot of cash to market.
Replies: 58
Views: 7319

Re: Beginner needs sanity check moving a lot of cash to market.

The tax deduction can indeed reduce the effective rate of the mortgage -- for the one out of every three or four taxpayers who exceeds the standard deduction and gets any tax savings at all. I would be willing to wager that the rate of BH's--or people with $400k mortgages, for that matter--that are...
by jimb_fromATL
Tue Jul 04, 2017 10:18 am
Forum: Personal Finance (Not Investing)
Topic: "Flipping" cars in Georgia
Replies: 5
Views: 9958

Paying taxes on the profit and flipping cars legally are two different subjects

You are supposed to pay income taxes on profits regardless of whether you are a licensed dealer or not. In fact you are supposed to pay income taxes even on illegal income. A lot of crooks ... like Al Capone ... have gone to jail for tax evasion even when other crimes could not be pinned on them. In...
by jimb_fromATL
Mon Jul 03, 2017 5:57 pm
Forum: Personal Finance (Not Investing)
Topic: Family Mortgage/Intra-Family Loans Insights
Replies: 5
Views: 1173

Re: Family Mortgage/Intra-Family Loans Insights

In many years participating on consumer forums and personally knowing friends and relatives and coworkers who were in those kinds of situations before that, I've lost track of the number of tales of woe where siblings and other family members have ruined their relationships over money, loans, and in...
by jimb_fromATL
Mon Jul 03, 2017 1:47 pm
Forum: Personal Investments
Topic: Beginner needs sanity check moving a lot of cash to market.
Replies: 58
Views: 7319

Re: Beginner needs sanity check moving a lot of cash to market.

Paying off a mortgage is not a "guaranteed return" of 3.8%. And why does he need to "beat it" in 2 years? The interest on a mortgage (or any loan) is a finance charge. Paying off a 3.8% mortgage gives you exactly the same net result as investing the money at 3.8%. Even better wh...
by jimb_fromATL
Mon Jul 03, 2017 7:26 am
Forum: Personal Finance (Not Investing)
Topic: Cashing Out Of 401k!
Replies: 9
Views: 2127

49,000 reasons NOT to cash it out

The reason for cashing it out is important. One reason you might have to close a 401(k) is that after you leave a company they may not be willing to keep a 401(k) for you if it is worth less than perhaps $5,000 to $10,000. But as others have mentioned, you can roll it over to an IRA with no tax or p...
by jimb_fromATL
Sun Jul 02, 2017 3:38 pm
Forum: Personal Investments
Topic: Beginner needs sanity check moving a lot of cash to market.
Replies: 58
Views: 7319

Re: Beginner needs sanity check moving a lot of cash to market.

How much are your monthly expenses? What are your federal and state tax brackets? What is the term of the home loan and how long do you have left until it's paid off? Is your mortgage interest deductible? This information would be helpful in offering you suggestions on how to proceed. Monthly expen...