Search found 1814 matches

by Bacchus01
Sat Jan 11, 2014 7:19 pm
Forum: Personal Finance (Not Investing)
Topic: Top 12.5% with $712,000 net worth
Replies: 34
Views: 7392

Re: Top 12.5% with $712,000 net worth

MichaelM24 wrote:Wow does that guy live in a bubble?

When you think being in the top 12.5% of the richest country ever is "modestly well off" you may be out of touch.
Um, the U.S. is not even the richest country right now, let alone ever.
by Bacchus01
Mon Jan 06, 2014 4:33 pm
Forum: Personal Consumer Issues
Topic: How much a baby costs?
Replies: 86
Views: 7943

Re: How much a baby costs?

I thought I posted, but it looks like I didn't. Taking into account those things that we would have anyway (mortgage, car payment, car insurance, property taxes, etc.) I estimate that each of our three kids "consume" about $11,202 per year (pretty scientific!) in food, clothing, water, electricity, ...
by Bacchus01
Mon Jan 06, 2014 1:41 pm
Forum: Investing - Theory, News & General
Topic: Do you invest in a taxable account?
Replies: 111
Views: 16524

Re: Do you invest in a taxable account?

Do you have money sitting in a savings account? Then you are invested in a taxable account. Not many people will consider a savings account an investment in a taxable account. I know I don't. As for the poll, I answered no. For starters I don't max out my tax advantaged space (and not likely to for...
by Bacchus01
Mon Jan 06, 2014 12:43 pm
Forum: Investing - Theory, News & General
Topic: Do you invest in a taxable account?
Replies: 111
Views: 16524

Re: Do you invest in a taxable account?

Do you have money sitting in a savings account?

Then you are invested in a taxable account.
by Bacchus01
Fri Jan 03, 2014 11:44 am
Forum: Personal Finance (Not Investing)
Topic: Updated opinions about Ally Bank?
Replies: 79
Views: 16844

Re: Updated opinions about Ally Bank?

Been with Ally for probably 10 years. The things I like: - Customer service, both online and on phone, has been fantastic the very few times I've had to use them - If you roll your short term CDs with them, they give you a .25% bonus. I'm getting 1.25-1.5% on most 12-month CDs which is not great, bu...
by Bacchus01
Thu Jan 02, 2014 5:31 pm
Forum: Investing - Help with Personal Investments
Topic: Priority among after-tax 401(k), HSA, back-door Roth and 529
Replies: 2
Views: 479

Re: Priority among after-tax 401(k), HSA, back-door Roth and

I would put it as 5 and move 5 to 6.

It is not redundant to the Backdoor Roth. It is IN ADDITION to the Backdoor Roth.

If you have to, you might also put it in front of item 4 since Roth's can be used for higher education expenses.
by Bacchus01
Thu Jan 02, 2014 12:44 pm
Forum: Investing - Help with Personal Investments
Topic: First Year Complete, Time for a Checkup
Replies: 5
Views: 1146

Re: First Year Complete, Time for a Checkup

You are right on the marginal tax rates. I keep forgetting to change that.

Our marginal fed tax rate is 33%.
by Bacchus01
Wed Jan 01, 2014 7:25 pm
Forum: Investing - Theory, News & General
Topic: [Poll] What was your 2013 return?
Replies: 209
Views: 14651

Re: What was your 2013 return?

About 20%. Hard to manage considering all the contributions but I know my net worth, which is what I really care about, increased 27%
by Bacchus01
Tue Dec 31, 2013 12:33 pm
Forum: Investing - Help with Personal Investments
Topic: First Year Complete, Time for a Checkup
Replies: 5
Views: 1146

Re: First Year Complete, Time for a Checkup

Thanks for the feedback. On risk, I tend to take a different approach. We feel we are ahead of the game and our biggest asset continues to be my future earning power, so we can afford to take more risk as the downside risk doesn't ultimately infringe on us meeting our goals. I know that is easier sa...
by Bacchus01
Mon Dec 30, 2013 11:26 pm
Forum: Investing - Help with Personal Investments
Topic: First Year Complete, Time for a Checkup
Replies: 5
Views: 1146

First Year Complete, Time for a Checkup

It was just one year ago that I found this site and decided to get my financial house in order. We were doing well, but it was more out of sheer luck than actual planning. This place has been an unbelievable source of information and knowledge sharing. Thank you! Here is my original thread: http://w...
by Bacchus01
Mon Dec 30, 2013 10:49 pm
Forum: Investing - Help with Personal Investments
Topic: College savings for a high-income household
Replies: 46
Views: 6301

Re: College savings for a high-income household

Contributing ~ 31k to Roth IRA anually (5.5k via IRA backdoor, and ~25.5k via 401k after tax) Rest goes into taxable You are contributing 5.5K to a Roth, the 25.5K is in the equivalent of a non-deductible IRA - the principal is not taxed upon withdrawal, interest and capital gains are fully taxable...
by Bacchus01
Mon Dec 30, 2013 10:46 pm
Forum: Investing - Theory, News & General
Topic: Who is lump-summing a fund on January 2, 2014?
Replies: 49
Views: 5651

Re: Who is lump-summing a fund on January 2, 2014?

Will be lumping into 5 X 529 accounts at $3k each
Will be lumping into 2 IRA accounts, then immediately converting to Roth's at $5,500 each
Will restart my 401k effective Jan 1st.
by Bacchus01
Mon Dec 30, 2013 9:15 pm
Forum: Investing - Help with Personal Investments
Topic: large cash allocation that needs to go to bonds
Replies: 8
Views: 1041

Re: large cash allocation that needs to go to bonds

What bond fund would people recommend for the OP in taxable? Why?
by Bacchus01
Mon Dec 30, 2013 8:06 pm
Forum: Investing - Theory, News & General
Topic: Thoughts on adding Vanguard Precious Metals and Mining Fund
Replies: 44
Views: 11443

Re: Thoughts on adding Vanguard Precious Metals and Mining F

I'm in the Mining industry. Commodity prices have fallen dramatically and mining stocks have been hammered. You may see that as the bottom...I think there is more bottom to go. China demand drives more than half of all mining activity in the world. If you really want to know about the sector you ar...
by Bacchus01
Mon Dec 30, 2013 8:02 pm
Forum: Investing - Help with Personal Investments
Topic: College savings for a high-income household
Replies: 46
Views: 6301

Re: College savings for a high-income household

At 29, how did you get 500k into tax advantaged?


Oh, and you are right on the after-tax Roth conversion. I've done the same.
by Bacchus01
Sun Dec 29, 2013 10:44 pm
Forum: Investing - Theory, News & General
Topic: Are Bogleheads "robots with Excel Spreadsheets?"
Replies: 74
Views: 5409

Re: Are Bogleheads "robots with Excel Spreadsheets?"

I graduated with a degree in Finance and Investment Banking and am in a very senior position in a very large company. My wife and I both have MBAs. And yet, up until a year ago, I really thought I had no clue how to manage my personal investments/finances. The rules we did follow, pretty successfull...
by Bacchus01
Fri Dec 27, 2013 11:23 pm
Forum: Investing - Help with Personal Investments
Topic: What size portfolio are you managing Bogle style?
Replies: 48
Views: 5145

Re: What size portfolio are you managing Bogle style?

Hit 7 by 35 in 2008. By 2009 had lost 40% of that. By late 2011, was back to 7.

Expect to hit 8 by 50.
by Bacchus01
Fri Dec 27, 2013 3:39 pm
Forum: Personal Finance (Not Investing)
Topic: What are your financial goals for 2014?
Replies: 56
Views: 5745

Re: What are your financial goals for 2014?

Increase net worth by 25%
by Bacchus01
Sat Dec 14, 2013 5:38 pm
Forum: Personal Finance (Not Investing)
Topic: Family member renting 2nd house. Ok to ignore on tax return?
Replies: 203
Views: 47809

Re: Family member renting 2nd house. Ok to ignore on tax ret

Read this sentence from the article, I bolded the part where it claims the taxpayer is not required to report the rental income: Lastly, a personal residence is any home that is rented for fewer than 14 days during the year . Expenses associated with a personal residence, aside from mortgage intere...
by Bacchus01
Tue Dec 10, 2013 11:38 pm
Forum: Investing - Help with Personal Investments
Topic: I Bonds
Replies: 13
Views: 1584

Re: I Bonds

Still not clear. Why buy them at all? 10 years or less from retirement. 39.6% marginal tax rate. My tax-deferred is already filled with commodities/REITs/bonds, with all other equities in taxable. So I rebalance by adding bonds to taxable. My choices are I-Bonds vs munis, and I think I-Bonds are a ...
by Bacchus01
Tue Dec 10, 2013 10:30 pm
Forum: Personal Finance (Not Investing)
Topic: Family member renting 2nd house. Ok to ignore on tax return?
Replies: 203
Views: 47809

Re: Family member renting 2nd house. Ok to ignore on tax ret

So let's try the CFR. Why is rent income? 26 USC 61 Except as otherwise provided in this subtitle, gross income means all income from whatever source derived, including (but not limited to) the following items: ... (5) Rents; [The subtitle is Subtitle A - Income Taxes] What does the CFR say to clar...
by Bacchus01
Tue Dec 10, 2013 8:56 pm
Forum: Investing - Help with Personal Investments
Topic: I Bonds
Replies: 13
Views: 1584

Re: I Bonds

Still not clear.

Why buy them at all?
by Bacchus01
Tue Dec 10, 2013 9:44 am
Forum: Personal Finance (Not Investing)
Topic: Family member renting 2nd house. Ok to ignore on tax return?
Replies: 203
Views: 47809

Re: Family member renting 2nd house. Ok to ignore on tax ret

I'm not throwing out that condition. However, by definition, renting below FMV to a relative does not constitute a rental day. It is considered personal use. It is very clear on this. Renting to a family member below FMV for 1 day, or 100 days, is considered personal use. The regs are clear on this...
by Bacchus01
Tue Dec 10, 2013 9:14 am
Forum: Personal Finance (Not Investing)
Topic: Family member renting 2nd house. Ok to ignore on tax return?
Replies: 203
Views: 47809

Re: Family member renting 2nd house. Ok to ignore on tax ret

I'm not sure why everyone is throwing away this line. (2) the income derived from such use for the taxable year shall not be included in the gross income of such taxpayer under section 61. I'm pretty sure that is self explanatory. I'm not sure why you are throwing away this condition: if a dwelling...
by Bacchus01
Mon Dec 09, 2013 2:51 pm
Forum: Personal Finance (Not Investing)
Topic: Family member renting 2nd house. Ok to ignore on tax return?
Replies: 203
Views: 47809

Re: Family member renting 2nd house. Ok to ignore on tax ret

I'm not sure why everyone is throwing away this line.

(2) the income derived from such use for the taxable year shall not be included in the gross income of such taxpayer under section 61.

I'm pretty sure that is self explanatory.
by Bacchus01
Mon Dec 09, 2013 12:08 pm
Forum: Personal Finance (Not Investing)
Topic: Family member renting 2nd house. Ok to ignore on tax return?
Replies: 203
Views: 47809

Re: Family member renting 2nd house. Ok to ignore on tax ret

It's in Sec 280A. (g) Special rule for certain rental use Notwithstanding any other provision of this section or section 183, if a dwelling unit is used during the taxable year by the taxpayer as a residence and such dwelling unit is actually rented for less than 15 days during the taxable year, the...
by Bacchus01
Mon Dec 09, 2013 10:13 am
Forum: Personal Finance (Not Investing)
Topic: Family member renting 2nd house. Ok to ignore on tax return?
Replies: 203
Views: 47809

Re: Family member renting 2nd house. Ok to ignore on tax ret

Interesting discussion as we have the same issue. We bought my wife's house from them so they could get cash out. They pay us $400/mo to use the home. Comparable rents in the area would be $800+. This is well below FMV. The tax regs are actually pretty clear. This is a personal use property. It is b...
by Bacchus01
Sat Dec 07, 2013 5:14 pm
Forum: Investing - Help with Personal Investments
Topic: I just inherited $1 million
Replies: 65
Views: 13084

Re: I just inherited $1 million

Do you all keep your finances separate?
by Bacchus01
Wed Nov 27, 2013 7:54 am
Forum: Investing - Theory, News & General
Topic: Tax advantage accounts maximum contribution
Replies: 35
Views: 2366

Re: Tax advantage accounts maximum contribution

Don't forget that in many 401K plans you can contribute after tax contributions up to the 51K limit.

I do.

There are a few good reasons to do this.
by Bacchus01
Tue Nov 26, 2013 12:20 pm
Forum: Investing - Theory, News & General
Topic: Have I put too much into the 529 plan?
Replies: 52
Views: 12620

Re: Have I put too much into the 529 plan?

I don't know that it's been covered above, but one thing to remember is that you can withdrawal the contributions without triggering tax consequences. Now, there is a proportion rule, but you can manage that at withdrawal time. Take the initial contributions and pocket it, and use the proportion tha...
by Bacchus01
Sat Nov 23, 2013 11:19 am
Forum: Personal Finance (Not Investing)
Topic: Average Yearly Raises?
Replies: 97
Views: 8250

Re: Average Yearly Raises?

Since graduating college in 1997, I have a CAGR of 13.9%. This excludes options and special bonuses.
by Bacchus01
Fri Nov 22, 2013 12:53 pm
Forum: Investing - Theory, News & General
Topic: who here is tempted to pullback on stocks?
Replies: 116
Views: 21945

Re: who here is tempted to pullback on stocks?

I took a significant equity position off the table because 1) I had left that company; 2) I was now into LTCG; and 3) I was overweight in one area and not diversified. Most of that position, however, just shifted to a broader equity class from a single stock to 2 index funds: Vanguard TSM and Vangua...
by Bacchus01
Mon Nov 18, 2013 9:28 am
Forum: Personal Consumer Issues
Topic: how much more expensive is a bigger home?
Replies: 68
Views: 7120

Re: how much more expensive is a bigger home?

All good comments. I think someone said that the cost of a home goes up almost directly proportional to the sq footage is probably about right, all other things being equal (location, tax district, interest rates, etc.). Don't forget insurance! Over the last 15 years we have moved from an 1800 sq ft...
by Bacchus01
Thu Nov 14, 2013 10:31 am
Forum: Personal Consumer Issues
Topic: bigger SUVs that carry 7
Replies: 55
Views: 4521

Re: bigger SUVs that carry 7

The third row on an Acadia is VERY comfortable for moderate sized adults. With the captain's chairs, it is easier to access as well. We love ours.
by Bacchus01
Sun Nov 10, 2013 3:47 pm
Forum: Investing - Help with Personal Investments
Topic: Do Bogleheads have a number?
Replies: 118
Views: 13450

Re: Do Bogleheads have a number?

I have a number and a date. Each are a little flexible, but generally whichever comes first.
by Bacchus01
Fri Nov 08, 2013 9:24 am
Forum: Investing - Help with Personal Investments
Topic: Tax Loss Harvesting Question
Replies: 8
Views: 817

Re: Tax Loss Harvesting Question

Step 2 doesn't change anything. It is just as if you sell A and put the money into checking account number one and buy B with money from checking account two; the IRS won't be fooled. You really have 4 steps; 6 if you count your original lots. [buy A; buy B] Buy A Sell A Buy B Sell B Buy A Buy A Se...
by Bacchus01
Fri Nov 08, 2013 8:57 am
Forum: Investing - Help with Personal Investments
Topic: Tax Loss Harvesting Question
Replies: 8
Views: 817

Tax Loss Harvesting Question

With the market down recently, I have a chance to do some tax loss harvesting as I bought into some funds right before the downturn. I have question about TLH and the wash rule. Here's the scenario. I'll use round numbers for simplicity. Say that I have 2 funds, and both are down relative to a lot I...
by Bacchus01
Fri Oct 25, 2013 6:17 pm
Forum: Investing - Help with Personal Investments
Topic: POLL: What is your rate of return YTD?
Replies: 89
Views: 8005

Re: POLL: What is your rate of return YTD?

Since my biggest wealth generating "investment" continues to be my job, I don't really differentiate well between contributions and earnings. That said, our net worth is up about 28 percent this year. Is that relevant? Yes, as I need to run 15 percent CAGR to retire at 50. We are running 17 percent ...
by Bacchus01
Tue Oct 22, 2013 2:38 pm
Forum: Investing - Help with Personal Investments
Topic: HSA help
Replies: 18
Views: 3002

Re: HSA help

Still looking at options here. Through megacorp, I can get Optum. There are three options: Option 1: $1/mo fee +$3/mo fee for investing. $1 fee waived if hold $500 in non-interest account and must hold at least $2000 in account to invest. Option 2: $3/mo fee +$2.5/mo fee for investing. $3 fee waived...
by Bacchus01
Fri Oct 11, 2013 7:35 pm
Forum: Investing - Help with Personal Investments
Topic: HSA help
Replies: 18
Views: 3002

HSA help

Which HSA admin is the best option if you just want to use it as an investment vehicle. Invest in Vanguard funds. Don't actually use the account until retirement.
by Bacchus01
Fri Oct 04, 2013 1:05 pm
Forum: Investing - Help with Personal Investments
Topic: Should i pay my CPA to advise me on contribution limits?
Replies: 17
Views: 1841

Re: Should i pay my CPA to advise me on contribution limits?

Um, get a new CPA.

That should be part of the regular package. And if not, $600 is an awful lot to do 30 minutes, TOPS, worth of work given he has all your data.
by Bacchus01
Mon Sep 30, 2013 6:29 pm
Forum: Personal Consumer Issues
Topic: How did you/your child pay for college?
Replies: 151
Views: 13073

Re: How did you/your child pay for college?

My father did not graduate HS. The thought of paying for his kids to go to college never crossed his mind. That, and they didn't have any money to do it. My wife was one of 10 kids raised on a farm. Seven went to college. Do you think her parents could afford any of them? No. It is crazy for me to t...
by Bacchus01
Mon Sep 30, 2013 1:46 pm
Forum: Personal Finance (Not Investing)
Topic: Putting Home in Revocable Trust
Replies: 8
Views: 1899

Re: Putting Home in Revocable Trust

Buy it as a second home. As long a direct family member is living in it, even if they are paying rent (below market average), you can claim it as a second home for tax purposes. It also allows you to get a much lower interest rate and insurance rate versus a commercial property. We bought my wife's ...
by Bacchus01
Fri Sep 27, 2013 8:54 pm
Forum: Personal Finance (Not Investing)
Topic: Negotiating a possible job offer (physician assistant)
Replies: 24
Views: 3256

Re: Negotiating a possible job offer (physician assistant)

I am not in your arena, but I have never been offered a job without first putting down my "demands." I only have a few words of advice: 1) Ask for well more than you want. This is the first step in the process and it's hard to get this back if you give up too much. An employer who doesn't expect you...
by Bacchus01
Fri Sep 27, 2013 8:49 pm
Forum: Investing - Help with Personal Investments
Topic: How Close Are You To Your Number and Financial Independence?
Replies: 71
Views: 8277

Re: How Close Are You To Your Number and Financial Independe

I am 10 years and 18 days from "the date" if things go as planned. I will be at 8 figures at that point at age 50.

However, I'm starting a new job next week and there are a LOT of perks there if I worked until at least 55. Tempting.
by Bacchus01
Thu Sep 26, 2013 6:59 pm
Forum: Investing - Help with Personal Investments
Topic: 401K limitations with 2 employers in same year
Replies: 8
Views: 962

Re: 401K limitations with 2 employers in same year

placeholder wrote:Look for after tax but not Roth contributions. Someone mentioned them in another thread.
This. If your plan allows in-service withdrawls of after-tax, you can continue to contribute over the $17.5K in after-tax and then withdraw/roll over to a Roth IRA.
by Bacchus01
Thu Sep 26, 2013 6:54 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard - Track your transfer
Replies: 22
Views: 3533

Re: Vanguard - Track your transfer

I'm seeing it too. Quicken is also not able to connect and download information as of a few days ago.
by Bacchus01
Tue Sep 24, 2013 11:31 am
Forum: Investing - Help with Personal Investments
Topic: Help Analyzing Rental Properties
Replies: 6
Views: 1223

Re: Help Analyzing Rental Properties

Are they cash flow positive? It would seem with principle, interest, taxes, insurance, management fees, upkeep, you'd have a hard time being cash flow positive on these.