Search found 258 matches

by l2ridehd
Wed Apr 03, 2013 3:01 pm
Forum: Personal Finance (Not Investing)
Topic: Childrens' Allowance
Replies: 71
Views: 10895

Re: Childrens' Allowance

I set mine up with a "bank of dad" checking account. I used an old check book and used a permanent marker to block out the account number. They had to keep a check register. Each week a deposit of allowance went in as a direct deposit. Amount was $5 a week at 6 rising to $10 a week when they turned 12. If they worked any funds earned had to be deposited in the checking account. If they needed money they wrote a check to me. Incentives for good grades were given and money went in the account. A real bank savings account was also established and any money that was put in this account was matched by the "bank of dad", however only unmatched money could ever be withdrawn. Any savings withdrawal had to be for a pre identified...
by l2ridehd
Wed Mar 27, 2013 2:32 pm
Forum: Personal Consumer Issues
Topic: Living in a 55+ community
Replies: 32
Views: 4754

Re: Living in a 55+ community

I did a lot of research into this prior to retirement. I searched out information on over 120 over 55 retirement communities. I was looking for some very specific things. Low cost. Golf plus other. I like golf my wife doesn't play but likes to take classes and paint and photography. An active life style. A golf cart community. Warm weather. Low taxes. Excellent health care. And several other specific to us things. Of the 120 I researched, I narrowed it down to about a dozen. I went and visited 7 of them. When I got to The Villages Florida, I stopped looking. It met every one of our needs and many more we didn't know we needed. It is not for everyone. It is very large, a very active life style, almost to much going on. The biggest complaint ...
by l2ridehd
Mon Mar 25, 2013 3:18 pm
Forum: Personal Finance (Not Investing)
Topic: Which direction on rental property?
Replies: 16
Views: 1886

Re: Which direction on rental property?

I know that area of CO and RE has been improving in value. With the refi you are now breaking even and with the tax advantage you should actually be positive. If you are I would keep it and see if the value improves. But then again I am a landlord and like it. Yes the ROI is lower then I would like, but use your real numbers to validate that the .55% is right and also look at taxes with and without before you sell. I have onr property that because of low taxes and other expenses actually runs. .75. So verify you actuals and tax impact to make sure your making the best decision.
by l2ridehd
Thu Mar 21, 2013 11:36 am
Forum: Personal Investments
Topic: Financial advice for a newbie high earner
Replies: 78
Views: 13022

Re: Financial advice for a newbie high earner

I worked in a different industry, but had about the same type income and it is tough to minimize taxes. Use the 401K to the maximum every year. See if your employer has or will set up a Jacob's or Rabbi trust for everyone. This allows high wage earners to set aside an amount each year that is taxed deferred until you retire. I used to put 50K to 100K in each year. Taxes are deferred until withdrawn. There are lots of restrictions like you have to determine a future withdrawal plan each year prior to the deferral. You have to determine the amount you will defer each year a year in advance. And you have some limits on investment selections. Also you get in line behind everyone else if there is a bankruptcy. All are somewhat minimized, but sti...
by l2ridehd
Sat Mar 09, 2013 7:10 am
Forum: Investing - Theory, News & General
Topic: Interesting asset allocation experiment
Replies: 14
Views: 1705

Re: Interesting asset allocation experiment

Hi John, Thanks for the information. Looks like a great vacation. Would you share how you found an apartment for 3 months and the approximate range of pricing for that area of Paris? Our goal is to also spend 3 to 6 months in Paris sometime in the next 3 years and so far all apartments we have seen, seem more geared to annual rentals. Also looking to do the same thing in Italy.
by l2ridehd
Fri Mar 08, 2013 8:30 am
Forum: Personal Consumer Issues
Topic: Nissan Murano vs. Acura RDX vs. ??
Replies: 35
Views: 15934

Re: Nissan Murano vs. Acura RDX vs. ??

I believe I had a Nissan Murano as a rental car in Kauai last year. The thing that really impressed me was the transmission shifting. There was none. It was a constant adjust with zero shift. I have owned Infiniti's in the past and reliability was always excellent. So my question would be about the transmission as it seems to be somewhat new technology. How reliable has it been? Cost of repair? impact on mileage? Handling is snow and ice? Towing capability? And any other driving nuances that are impacted by this type transmission.
by l2ridehd
Thu Mar 07, 2013 8:53 am
Forum: Investing - Theory, News & General
Topic: What's your number? Why?
Replies: 258
Views: 37767

Re: What's your number? Why?

I built a spread sheet that estimated expenses in retirement, looked at total investments available to use in my SWR, and then ran that spread sheet out until both my wife and I hit 98. She is 10 years younger then me so had to adjust the last 10 years to accommodate that. I adjusted the expenses up 3% per year for inflation and assumed the investments would grow 3% a year on average. Then my number became what would make that plan work. Once you build the spread sheet you can just keep plugging numbers in until it works. I also used my death at 98 as the year when the expenses would exceed income using the SWR plus other SS and pensions as those will be lowered to about 50% . Then made sure everything would still work if I died at current ...
by l2ridehd
Sun Mar 03, 2013 9:43 am
Forum: Personal Finance (Not Investing)
Topic: questions about 529 plan - asset allocation
Replies: 22
Views: 2927

Re: questions about 529 plan - asset allocation

I agree it might be. I used the current $59700 cost for 8 semesters, used a 6.25% return and got to 166K in 18 years. I also went back 20 years to see the rate of tuition cost increase and that was the average. Still a guesstimate, but as close as I can get today. I will adjust each year so I have a fully paid semester every two years.
by l2ridehd
Sun Mar 03, 2013 8:51 am
Forum: Personal Finance (Not Investing)
Topic: questions about 529 plan - asset allocation
Replies: 22
Views: 2927

Re: questions about 529 plan - asset allocation

Just went through this for our first grandson. My objective is to save enough to pay for VA in state 4 years of college and provide the flexibility to go elsewhere if he so chooses. I went to the Virginia state 529 web site and did some calculations. They will sell you today for a new born 4 years for in state tuition to any VA state college for $59700. And $7600 for a single semester. So what is that worth in 18 years? Doing some back testing I came up with $166,000. This is just in state resident tuition. No books, fee's, room and board, travel, etc. They live in VA and because of the type of jobs they have will probably still be in VA in 18 years. But who know where their son will want to go to college. The VA state plan is great if you ...
by l2ridehd
Sun Mar 03, 2013 8:25 am
Forum: Personal Finance (Not Investing)
Topic: Surprised at actual marginal tax rate
Replies: 32
Views: 3915

Re: Surprised at actual marginal tax rate

This is also the same impact when using AMT. Effective tax rate went from the 35% bracket to an actual of 55%. I also completed the return and then upped the income $500 and lowered it $500 to see the impact. It may have been something else as I had a complex return this year. Having retired March 31, started SS having reached full retirement age, pension, and also had rental income and stock sales. But the real rate for the $500 swings each way was 55%. I was a bit shocked. Hopefully next year with no W2 income it will be different. This is why I am a "flat tax" advocate.
by l2ridehd
Sun Mar 03, 2013 7:08 am
Forum: Personal Finance (Not Investing)
Topic: Fidelity Cash Management account
Replies: 19
Views: 12288

Re: Fidelity Cash Management account

How does it compare to the Schwab Investor checking account? Looks like they both have the same features. On line bill pay, free checks, no ATM fee's world wide, online picture deposits, and transfers from Schwab brokerage account. I already have a Schwab brokerage account but do not have a Fidelity account. Anyone ever leave one for the other and why?
by l2ridehd
Wed Feb 27, 2013 8:15 am
Forum: Investing - Theory, News & General
Topic: What to include in Safe Withdrawal Rate
Replies: 4
Views: 533

Re: What to include in Safe Withdrawal Rate

I count everything in networth, but only liquid assets in what I base the SWR. So all stocks, investment accounts, cash, and any other asset that I could sell today. I do not count equity in rental property, primary or secondary home, land, vehicles or any other non liquid asset. Over time in retirement I will sell many if not all those assets except my retirement home, but until I do and add that cash to my liquid assets it will not be part of the SWR. Right now I have no plans to adjust the SWR for inflation each year. My guess is that at some point I will have to do that. I took the value of my liquid assets, took 3% of that value and that is my SWR for now. I am still consolidating and getting everything invested properly at this point....
by l2ridehd
Mon Feb 25, 2013 2:42 pm
Forum: Personal Finance (Not Investing)
Topic: Best place for emergency fund?
Replies: 16
Views: 2719

Re: Best place for emergency fund?

After doing some searching I think I found something that will work. The Schwab investor checking account may be the best answer. Ally, Everbank and the others mentioned only reimburse ATM fee's at US banks. Schwab does global. This was I can keep some amount in the investor checking account which pays a whopping .19%, keep the rest in the brokerage account in something that will do a bit better and transfer as required online. I usually have around a 60K emergency fund so will put between 5 and 10K in the checking that the ATM card can use and the rest in a Treasury type bond fund. Still working on what the best vehicle for the remainder, but every option will at least be available. Will deposit and replace the amount used each month from ...
by l2ridehd
Mon Feb 25, 2013 6:48 am
Forum: Personal Finance (Not Investing)
Topic: Best place for emergency fund?
Replies: 16
Views: 2719

Best place for emergency fund?

This is probably a dumb question because most will say the money should never be touched. But I like to use this cash bucket for a few different things. What is the best place to keep your emergency fund? A bank savings account, CD's, MM, other? I would like to find an online bank account or other place that: 1. Pays a relative decent rate of interest for today 2. Provides an ATM card with no fees/refunded fees when used at any ATM in the world 3. No fee check writing cost 4. FDIC insured ING did have an account that did this, but was gone with the merger. Has anyone found a bank, Credit Union or brokerage house that provides those benefits? Most of us keep a fairly large bucket of money with easy access someplace to meet this emergency fun...
by l2ridehd
Sat Feb 23, 2013 6:49 am
Forum: Personal Investments
Topic: Advice on implementing Boglehead portfolio
Replies: 14
Views: 1850

Re: Advice on implementing Boglehead portfolio

I was in about the same position when I made the move. My financial adviser used TD Ameritrade as the holder of accounts but used many different funds for investments. Lomis, Fidelity, DFA, and several others. I sat down with my adviser and explained what I was doing and why. I had them sell some of the funds as their transaction costs were very small, I think like $15 a trade. I then called Vanguard and explained what I was doing and determined which funds could be transferred and which had to be sold or would incur large fees if sold after being transferred. I had a couple of the funds transferred directly to Vanguard to minimize tax implications. I still hold the Fidelity total stock market which has significant taxable gains. Also very ...
by l2ridehd
Thu Feb 21, 2013 12:37 pm
Forum: Personal Finance (Not Investing)
Topic: Recast my mortgage or not?
Replies: 10
Views: 10563

Re: Recast my mortgage or not?

There may be reasons that make a recast work for you. I sold a bunch of stock options and decided to put a large payment, 190K on my mortgage. I did decide to recast for $175. What this allowed me to do was drop my monthly payment enough to allow me to pay off 3 mortgages on a 15 year basis vs current 28, 26 and 23 year basis. My interest rates were good enough that another refi was not worth doing, so I just used a spread sheet, determined what 15 years would be on all 3 and started paying that amount extra each month. So for a fee of $175 I was able to set it up for a faster payoff on 3 vs a faster payoff on the one I added the extra principle to. My other option was to continue to pay the same amount which would have paid off number one ...
by l2ridehd
Fri Feb 15, 2013 5:44 am
Forum: Investing - Theory, News & General
Topic: Pre-K better returns than equities?
Replies: 10
Views: 1368

Re: Pre-K better returns than equities?

I live in the Washington DC area where the main local paper is the Post. Over the years I have been subjected to a lot of their polls, studies, and data gathering. In every instance I remember the way they construct the questions it makes the results worthless. It's almost like they want a poll result to support some position they want to support and then construct the questions to get the results they want. I have come to the conclusion that if it's a Washington Post poll it almost has to be bad information and conclusions.
by l2ridehd
Thu Feb 14, 2013 6:57 am
Forum: Personal Consumer Issues
Topic: Lexus RX 300. Timing belt. $884.
Replies: 55
Views: 18363

Re: Lexus RX 300. Timing belt. $884.

It is a challenging do it yourself project, but can be done. On my 2005 Honda my son in law spent about 3 days getting it accomplished. Problem was breaking the crankshaft bolt to remove the timing belt pulley. Because of the transverse mounted engine, you get at it through the tire well. I had a socket with a 6 foot pipe extension and it would not loosen. Had to go borrow an impact wrench and was finally able to break it loose. And even with the impact wrench it was a challenge. However once past that step it was a fairly straight forward project. Doing it yourself with some OEM and some Honda parts total cost was around $250.
by l2ridehd
Mon Feb 11, 2013 4:21 pm
Forum: Personal Investments
Topic: 401k - Highly Compensated Test
Replies: 9
Views: 1780

Re: 401k - Highly Compensated Test

If your company has any capital requirements, set up a Rabbi trust. Then you can defer income pre tax to be returned when you retire or leave. Can be spread over a ten year payback once retired.
by l2ridehd
Mon Feb 11, 2013 6:51 am
Forum: Personal Finance (Not Investing)
Topic: Schwab OneSource Free ETF's
Replies: 10
Views: 2116

Re: Schwab OneSource Free ETF's

I just got an EFT brochure from Schwab and they showed there EFT expenses vs Vanguard for there index funds and every one was lower at Schwab. And free trades. Now I have not explored the buy sell gap as I have no plan to change right now, but at least the ER ratios were very attractive.
by l2ridehd
Sun Feb 10, 2013 8:43 am
Forum: Investing - Theory, News & General
Topic: Buy long term treasuries in 1981?
Replies: 50
Views: 7458

Re: Buy long term treasuries in 1981?

I really felt I had a plan that was no fail. I had a job move in 1981 at the worst possible time and my home interest rate was 17%. I also bought two 10K 7 year cd's at 15.5%. About a year or so later when rates dropped I did a refinance on the home. I remember saying to the bank, just leave the payment the same as I am used to making it and drop the term. The term went from 29 years remaining to 11 years. I cant recall the new interest rate, maybe 8 or 9%, something like that. But boy was I happy with those cd's. Another job move in 1984 and the rates were under 6% so I thought buy the biggest house possible. Unfortunately I was in Buffalo NY and homes did not appreciate because of the closing of Bethlehem Steel. My next move went from Buf...
by l2ridehd
Thu Feb 07, 2013 1:14 pm
Forum: Personal Consumer Issues
Topic: How do you carry two Iphones?
Replies: 22
Views: 9790

Re: How do you carry two Iphones?

I used to do that and finally got tired of it and decided to carry only one. My work phone. I also used it for personal calls when required, but never abused it. Even told my boss what I was doing. I figured if they really wanted me to carry the work phone 24 X 7 then they could suffer the few personal calls I made with it. Never became a problem. It will only be an issue if abused and you make lots of personal calls.
by l2ridehd
Wed Feb 06, 2013 6:00 am
Forum: Personal Finance (Not Investing)
Topic: How Will Retirement Affect Our FICO score?
Replies: 34
Views: 3388

Re: How Will Retirement Affect Our FICO score?

I retired last year and later in the year decided to refinance my mortgage to a lower rate. I was originally planning to sell this home, but decided to stay living here another few years. (new grandson) I have excellent credit and enough liquid assets to pay all the mortgages 10 times over. During my working years I could get a mortgage in under one minute any time for any amount. I currently own four homes, one primary, one vacation and two rental properties. All have mortgages with under a 50% LTV. I have never gone through such agony as I went through getting this refinance done. It had nothing to do with credit scores or assets. They didn't care that I could easily pay off all mortgages. They didn't care that I have always made all paym...
by l2ridehd
Wed Jan 30, 2013 6:53 am
Forum: Personal Finance (Not Investing)
Topic: Florida Home Owners Insurance
Replies: 8
Views: 1425

Re: Florida Home Owners Insurance

Insurance in Florida is based on how close you are to the coast and hurricane prone. I have homes in The Villages which is inland 45 minutes and insurance is very reasonable. Average $800 a year for a $300K home. On the coast the same home would be $2500 to $3000 a year. So there is a lot of variance depending on proximity to the ocean. If you have selected an area, call a few agents and ask for rates in that location.
by l2ridehd
Mon Jan 28, 2013 9:33 am
Forum: Investing - Theory, News & General
Topic: Do you Rebalance ?
Replies: 81
Views: 6206

Re: Do you REBALANCE?

During a period of rising (stocks or bonds), it forces you to sell too soon. That may be high, but it is not the high.

sscritic, please the next time you know the exact high and the exact low, tell me. Until then I will re-balance when I am out of balance by 5%. And that will force me to sell high and buy low. Agree it might not be "the high" or "the low" but it will be far better then not doing it.
by l2ridehd
Mon Jan 28, 2013 8:24 am
Forum: Investing - Theory, News & General
Topic: Do you Rebalance ?
Replies: 81
Views: 6206

Re: Do you REBALANCE?

Re-balancing is the single most effective way to make your portfolio grow faster. I guess this also means you have not done the other most important thing, establish your best AA. So step one is to determine your AA. If not able to do that then just select the age old 100 minus age in bonds. Once that is done re-balance when ever your 5% out of balance or select a date specific and do it. Why does re-balancing grow your investments faster? Because it forces you to buy low and sell high. If you can't do it then invest in target date funds that do it automatically for you.
by l2ridehd
Sun Jan 27, 2013 8:09 am
Forum: Personal Finance (Not Investing)
Topic: How do you know when enough is in a 529 Plan?
Replies: 32
Views: 3804

Re: How do you know when enough is in a 529 Plan?

Just setting this up for our grandson. New born, 8 weeks old. Obviously we do not know which state they will be living in 18 years from now and if the child will even go to a state school. So I decided to go with the Vanguard 529 plan. I went and looked at 3 states to see what a pre paid tuition plan would cost. Example. They currently live in VA and the VA state university system will sell you a 4 year guaranteed tuition to any state university including UVA, VA tech, William and Mary and about 20 other 4 year colleges for $56,700 and this allows you to attend any of those (if accepted). They also allow you to buy by semester for $7325 for one today. 8 needed for 4 years. A couple other states were close to this. So I took that amount and ...
by l2ridehd
Thu Jan 24, 2013 3:16 pm
Forum: Personal Investments
Topic: Accounting for timber/raw land in AA
Replies: 10
Views: 1049

Re: Accounting for timber/raw land in AA

I own several pieces of property. 220 acres of timberland, 26 acres that is timber and home site, 2 acres of high traffic commercial land and 2 rental homes. All the land is in NH and the rental homes are in FL. Only the homes have a mortgage. Because of this I do carry an AA of close to 60/40 when at my age it should be 35/65. I am a bit skewed to 63/37 at the moment and adjusting back as opportunity strikes. I also do not have any REIT position. The only property I will sell near term is the commercial lot and only if I also hold the first mortgage. So based on your question I would adjust my AA slightly. No REIT's and a slightly higher equity position. The adjustment depends somewhat on the value of the property vs your total stock bond ...
by l2ridehd
Mon Jan 21, 2013 7:38 am
Forum: Investing - Theory, News & General
Topic: Contest: provide a better metaphor than "bubble"
Replies: 51
Views: 5134

Re: Contest: provide a better metaphor than "bubble"

Debacle. The great upcoming bond debacle.
by l2ridehd
Mon Jan 14, 2013 11:41 am
Forum: Personal Consumer Issues
Topic: How to sell a diamond ring
Replies: 16
Views: 2476

Re: How to sell a diamond ring

I bought a diamond on Graig's list. As you indicated, there is a serial number engraved on the stone. You should have or get the paper work for that diamond. It will list the cut, CW, color and clarity of the stone plus any flaws. I arranged to meet the seller at a jewelry store we both agreed on, I viewed the number through their microscope, the jeweler verified also that the diamond and the report matched and he held the stone while we then rode together to my bank where I had a cashiers check cut. We went back to the jeweler and did the exchange. The jeweler was very willing to help as I was buying a new setting from them. I got a good value and so did the seller. I bought a diamond she had paid $12,915.23 for, for $7000. She had the rec...
by l2ridehd
Sat Jan 12, 2013 8:16 am
Forum: Personal Investments
Topic: New to Vanguard/Retirement Fund Choices
Replies: 6
Views: 1187

Re: New to Vanguard/Retirement Fund Choices

You say you are "going to try it on your own with a small sampling" of funds. I guess that means you have other investments elsewhere that you will compare against. So do these funds map well tp those other investments? Or will you be comparing apples and oranges and still not know the outcome when you are done. Are you going on you own because you are not satisfied with your current investments? All three of these funds are conservative. Wellesley is mostly US and the other two have an international component. My suggestion would be to understand why you want to try this, why you like those three funds and what you believe each will bring you, and why you do not stay where you are currently. My guess and only a guess would be you...
by l2ridehd
Thu Jan 10, 2013 7:33 am
Forum: Investing - Theory, News & General
Topic: Treat Social Security and Primary Residence like TIPS?
Replies: 30
Views: 3238

Re: Treat Social Security and Primary Residence like TIPS?

If you read William Bernstein he treats SS as a bond allocation using a divide by 7% factor. So lower then you are using. He does not use the home based on the theory that you have to live someplace. I run a higher then 100 minus age AA (I use 110) because I use SS and two DB pensions as part of the bond allocation. By including those I am currently about 40/60. I do not consider home equity. But I have always had a higher then "normal" AA as I am willing to accept the higher risk. I am currently 67 and run a 60/40 stock bond split. I am slowing moving to 50/50 and will stop when I get to 60/40. I personally believe that the risk in bonds (interest rates going up) is currently higher then the risk in equities. That is why I am mov...
by l2ridehd
Tue Jan 08, 2013 12:43 pm
Forum: Investing - Theory, News & General
Topic: What is your current Asset Allocation Policy and why?
Replies: 83
Views: 16061

Re: What is your current Asset Allocation Policy and why?

Age 67, but have SS plus two DB pensions so investments are a little heavy on stocks. Currently close to 60/40 stocks vs bonds. If I add up the SS and DB's, divide by 7% (Bernstein in Investors Manifesto) and use that like a bond allocation in the mix am closer to 40/60 stocks and bonds. Continue to move Wellington into Wellesley each year to move me closer to a 35/65. I have always used 110 minus age as my target stock allocation. Percentages are so clean because I just re-balanced. 70% tax deferred and 30% taxed. All Vanguard Admiral funds expect one tax deferred in ishares which I can't move. That one is core bond and S&P 500 but have included the % in the total bond and total stock market as they are close to those funds. Probably m...
by l2ridehd
Tue Jan 08, 2013 7:04 am
Forum: Personal Consumer Issues
Topic: Annual Savings of Retiring in Florida?
Replies: 18
Views: 2796

Re: Annual Savings of Retiring in Florida?

The Wizard wrote:Property taxes were somewhat HIGHER in FL than in MA for comparably sized/priced properties a few years back.
And homeowners insurance (see separate thread) is definitely higher in FL...
This statement about insurance is only true if you live along the cost. I own three homes in The Villages Florida and my annual insurance on them is $724, $865 and $1004. Home values range from $200K to $500K. And I have lived in MA twice in the mid 80's and even back then my MA property taxes were more back then then the Florida taxes are today. It all depends on were you live in Florida for both taxes and Insurance. Get a cottage on the beach in hurricane alley and you will pay. Move inland just a few miles and it is very reasonable.
by l2ridehd
Tue Jan 08, 2013 6:01 am
Forum: Personal Consumer Issues
Topic: How do get payment from Craigslist if I need to ship.
Replies: 53
Views: 12863

Re: How do get payment from Craigslist if I need to ship.

Almost all of the requests to ship on Craigs List are scams. Read the posting rules and descriptions and the cautions posted on the very fist page. I have bought and sold many items on Craig's List but you have to use caution with every transaction. I only accept cash and carry now. Almost every type of scam you could dream up has been tried. And most begin with "can you ship" the item. Read this part of there fraud and abuse warnings for more information.

http://www.craigslist.org/about/scams
by l2ridehd
Tue Jan 08, 2013 5:51 am
Forum: Personal Consumer Issues
Topic: Annual Savings of Retiring in Florida?
Replies: 18
Views: 2796

Re: Annual Savings of Retiring in Florida?

There are several costs that different in Florida, but savings depends on where you live today. I am moving to Florida from Virginia. The state income tax is a huge savings. Property taxes are significantly less. I am not on the coast so I found homeowners insurance to be equal or slightly less then Virginia. Car registration is higher in Florida. Cost of homes is significantly less. Food and other daily living expenses like eating out, entertainment, golf, clothing all seem to be slightly less. Utilities vary. Gas and electric about the same or slightly lower, water significantly higher. Overall my total living expenses are 16% to 18% lower in Florida then Virginia. This is as close as I can come when I try to do an apples to apples compar...
by l2ridehd
Thu Jan 03, 2013 3:10 pm
Forum: Investing - Theory, News & General
Topic: 2013 BOGLEHEAD CONTEST REGISTRATION
Replies: 481
Views: 37810

Re: 2013 BOGLEHEAD CONTEST REGISTRATION

During the year a high of 1621.43, a low of 1221.86 and a year end final of 1516.17. So lots of volatility up and down but overall a decent year.
by l2ridehd
Mon Dec 31, 2012 3:48 pm
Forum: Personal Finance (Not Investing)
Topic: Should I move from upstate NY to Los Angeles, CA?
Replies: 64
Views: 7346

Re: Should I move from upstate NY to Los Angeles, CA?

If your going to move from NY to another state, why pick CA? Go someplace with a low cost of living and low state taxes. Go to a state where they are not going bankrupt soon. NASA has 8 major locations across the US plus a couple off shore. A few are in very low cost of living states. Your moving from a very high cost of living state about to go bankrupt to an even higher cost of living state even closer to bankruptcy. Probably a bad move no matter what the job is.
by l2ridehd
Mon Dec 31, 2012 9:03 am
Forum: Investing - Theory, News & General
Topic: New Trend [Asset Allocation]
Replies: 24
Views: 2914

Re: New Trend

Two other major factors that impacts this split is retirement age. The average age when people retire has moved up 4.4 years in the past 30 years. That is huge. And the current recommendation among most planners is work a few more years and also take SS at 70 vs 65 or 62. All of those factors should have an impact on equity/bond split. Take those along with the 2% increase in life span and maybe 110 - age is a better planning tool for today's investor.
by l2ridehd
Thu Dec 20, 2012 6:07 am
Forum: Personal Investments
Topic: Working as a contractor: What is my premium?
Replies: 5
Views: 934

Re: Working as a contractor: What is my premium?

There are many aspects to this question. Your post title says working as a contractor. Many of the responses are related to working as a consultant. Those are two very different forms of work. As a guide, if your role is actually more in line with that of a contractor, use a rate = to about 110% to 125% of the rate of like work performed by employees. Also look for some form of work guarantee, number of hours per week or term of work. If your role is more consultant, they are hiring you for a very specific skill set that they usually don't have. Looking for your industry expertise that is not readily available from their work force. And a skill that is only needed for a defined period of time. In this role your only guarantee of the next pa...
by l2ridehd
Tue Dec 18, 2012 3:18 pm
Forum: Personal Consumer Issues
Topic: Does AARP really provide many benefits to Seniors?.......
Replies: 52
Views: 10705

Re: Does AARP really provide many benefits to Seniors?......

AARP has become a political organization that also sells insurance. They constantly take positions that they claim has the support of XX millions of members and not once to they poll their members to see if they agree. Every discount they offer has some other way to get the same discount. They have lost all touch with their members and just use the supposed political clout they think they control to support the positions they want. A very useless organization at this point and not worth the price of membership. I like over 500,000 others dropped my membership when they supported a very controversial highly political position. I will never join them again and have even tried to force them to take my name off mailing lists. But all I get on t...
by l2ridehd
Wed Nov 28, 2012 10:07 am
Forum: Personal Finance (Not Investing)
Topic: Becoming a Landlord Experiences
Replies: 77
Views: 11801

Re: Becoming a Landlord Experiences

I have owned rental property most of my adult life. Have always made money. Have had mostly good tenants and a couple bad ones. Several things to always do. 1. Buy the right property at the right price. 2. Have an eye to resale as some day you will want to sell it. 3. As you are not attached to this property personally, find two or three that will work for you and make really low ball offers until someone blinks. 4. As with all real estate, location, location, location is still the primary buy decision. 5. Stay with markets you know. 6. Screen tenants well, credit reports, references, and any other possible way to know them. 7. Do as much of the work and management as possible. Think of it as all profit. 8. This is a business, it requires w...
by l2ridehd
Wed Nov 28, 2012 6:06 am
Forum: Personal Investments
Topic: Am I crazy?
Replies: 38
Views: 3794

Re: Am I crazy?

As with all investment ideas, you cannot predict the future. No one could even begin to guess what will be in effect 10 years from now. Tax rates, past 10 years of growth, RMD's, taxes on Roth withdrawals, tax brackets, your health, your income, home values, and world events. You can make educated guesses at all these things, but they are still subject to unpredictable changes. So based on not knowing, I would do everything possible to avoid paying taxes. Today, tomorrow and 10 years from now. You know for a fact that if you convert today you will pay about $500,000 in taxes. That money is gone forever. And in the future if they decide to tax Roth growth, you have made a horrible mistake. If the $500,000 grows to $1,000,000 over the next 10...
by l2ridehd
Thu Oct 18, 2012 8:04 am
Forum: Personal Finance (Not Investing)
Topic: Potential Florida Move from NJ
Replies: 37
Views: 3725

Re: Potential Florida Move from NJ

Go rent a home in Florida for a month in the spring summer time frame. Maybe April or May. See if you like it. Try The Villages, lots to do, easy to meet and make new friends, and enjoy the lifestyle there. If it works out consider buying a place. If it doesn't you not invested a lot to try it out. Example of rental I am suggesting, but there are many available there that time of year.

www.ourhome4rent.com/2266
by l2ridehd
Fri Oct 12, 2012 8:44 am
Forum: Personal Investments
Topic: Consolidating at Vanguard, request AA advice
Replies: 5
Views: 841

Re: Consolidating at Vanguard, request AA advice

Taylor, question. In my opinion, it is nearly always a mistake to locate stocks and bonds in the same account. This is because either your stocks or your bonds will be in the wrong type account (taxable or tax-advantaged). How do you avoid this? I have a larger amount in non taxable accounts then my AA requires to meet my bond allocation. I do keep 100% of bonds in my tax deferred accounts, but also have stock funds there as well. In taxable I am 100% stocks. I would guess a lot of people fall into the same boat where their desired AA can not be accomplished without having some bonds and stocks in the same account. Might fall in the opposite direction if you have a small tax advantaged account, but isn't meeting the desired AA allocation mo...
by l2ridehd
Fri Oct 12, 2012 8:11 am
Forum: Personal Finance (Not Investing)
Topic: POLL: Do you freeze your credit?
Replies: 58
Views: 6938

Re: POLL: Do you freeze your credit?

I don't, but have been looking at ID theft protection services. This seems like a much better solution. How do you freeze each reporting agency? Is there a link, a web site, through annualcreditreport.com, what is the easiest way to accomplish this?
by l2ridehd
Tue Oct 09, 2012 3:44 pm
Forum: Investing - Theory, News & General
Topic: What is the return on stock vs real estate investing?
Replies: 64
Views: 6102

Re: What is the return on stock vs real estate investing?

As with everything, it all depends on when you buy and when you sell. In 2009, stocks were a great buy. How many had the cash and jumped in? In 2009, real estate was also a great buy. Interest rates were low, house prices were at a bottom, and rental rates were climbing. I bought real estate rentals at that time with available cash. With 20-20 hind-sight, I would have been just as well off to buy stocks and had fewer ownership problems and better liquidity. However the rentals have also worked out well and based on my past experience seemed like a lower risk option right then. No regrets either way. Using leverage with real estate at that point in the market cycle was a risk I was willing to take. I would not have taken the same leverage ri...
by l2ridehd
Tue Oct 09, 2012 5:29 am
Forum: Personal Consumer Issues
Topic: Looking for a Good Historical Fiction Series
Replies: 48
Views: 8064

Re: Looking for a Good Historical Fiction Series

+2 for Wilbur Smith. And I also would start with River God (ancient Egypt and the Pharaohs), Seventh Scroll, Warlock, Courtney Series, Ballantine Books, all the way to Mandela in South Africa. Covers all the Africa books from B.C. to present. All his books are really good except the last one got a little far fetched.
by l2ridehd
Thu Sep 20, 2012 3:59 pm
Forum: Personal Consumer Issues
Topic: road trip to buffalo worth it?
Replies: 60
Views: 5394

Re: road trip to buffalo worth it?

Absolutely go. The wings are the best, have some beef on weck and a Texas red hot at Ted's. Go to Niagara on the Lake and the Oben Inn and have high tea one afternoon. There also used to be a place out in East Amherst called Rudies maybe? That also had great wings. Been about 20 years since I have been there so probably changed hands and gone down hill by now. They used to boost they sold the most wings in the Buffalo area. Even more then the Anchor bar. There also used to be a place on upper main street called the Stuffed Mushroom and they sold the hottest wings. My fingers would actually burn after eating them.
by l2ridehd
Tue Sep 18, 2012 5:48 am
Forum: Personal Investments
Topic: Portfolio Review. 25 MILLION windfall; help me not lose it
Replies: 59
Views: 19060

Re: Portfolio Review. 25 MILLION windfall; help me not lose

Step 1. Move out of CA. Why pay 9% of your going forward income to the state? Even if you have to move your parents and others out of the state with you. Go to a low tax state. This would be your biggest expense saving available. Step 2. Hire a good estate planner to minimize costs should something happen to you. Step 3. Find a low cost financial manager with indexing philosophy. Ferri or Bernstein would meet that objective. Step 4. You can handle an AA a bit more aggressive then 25/75 based on your time window of 50 years and your expensive life style. Probably 50/50 would be more appropriate. But nothing less then 40/60 IMHO. Step 5. Once you move and have paid for a nice place to live, cut your expenses. It's hard to imagine anyone needi...