Am I Addicted [to contribute to my taxable account]

Have a question about your personal investments? No matter how simple or complex, you can ask it here.
ny_rn
Posts: 318
Joined: Sun May 11, 2014 7:09 am

Am I Addicted [to contribute to my taxable account]

Postby ny_rn » Sat Mar 18, 2017 10:20 pm

Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?

User avatar
Calygos
Posts: 331
Joined: Tue Jan 13, 2015 3:48 pm
Location: Near Seattle, Washington

Re: Am I Addicted

Postby Calygos » Sat Mar 18, 2017 10:24 pm

I am but it's split about 25/75 between my taxable account and my emergency fund / cash reserves until I get my reserves where I want them, probably end of the year. Trying to make up for massively excessive spending last year (for a good cause, but painful nonetheless).

poker27
Posts: 704
Joined: Mon Apr 01, 2013 2:48 pm

Re: Am I Addicted

Postby poker27 » Sat Mar 18, 2017 10:27 pm

ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


Are you saying you are 'cheap' and do not feel comfortable spending money?

User avatar
knpstr
Posts: 1630
Joined: Thu Nov 20, 2014 8:57 pm
Location: Michigan

Re: Am I Addicted

Postby knpstr » Sat Mar 18, 2017 10:30 pm

possibly. not enough info.
Very little is needed to make a happy life; it is all within yourself, in your way of thinking. -Marcus Aurelius

RDHlooking4FIRE
Posts: 39
Joined: Tue Mar 14, 2017 11:27 am

Re: Am I Addicted

Postby RDHlooking4FIRE » Sat Mar 18, 2017 10:31 pm

Yep i love transferring money from my checking account to one of my buckets. I am addicted. I thought i was the only weird one.

User avatar
Taylor Larimore
Advisory Board
Posts: 25694
Joined: Tue Feb 27, 2007 8:09 pm
Location: Miami FL

Re: Am I Addicted

Postby Taylor Larimore » Sat Mar 18, 2017 10:35 pm

ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?

ny_rn:

If you are addicted, putting "spare" money into Total Stock Market Index Fund is a worthwhile addiction.

Best wishes.
Taylor
"Simplicity is the master key to financial success." -- Jack Bogle

NYC_Guy
Posts: 122
Joined: Fri Mar 10, 2017 2:23 pm
Location: New York

Re: Am I Addicted

Postby NYC_Guy » Sat Mar 18, 2017 10:37 pm

Whatever floats your boat...

aristotelian
Posts: 2086
Joined: Wed Jan 11, 2017 8:05 pm

Re: Am I Addicted

Postby aristotelian » Sat Mar 18, 2017 10:41 pm

Addiction implies negative consequences. There is habituation, then there is addiction. You're good.

ff4930
Posts: 112
Joined: Fri Dec 30, 2016 3:33 pm

Re: Am I Addicted

Postby ff4930 » Sat Mar 18, 2017 11:11 pm

ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?



Are you also addicted in checking your balance every day after the market closes? :P

Nicolas
Posts: 561
Joined: Wed Aug 22, 2012 7:41 am

Re: Am I Addicted

Postby Nicolas » Sat Mar 18, 2017 11:18 pm

ff4930 wrote:
ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?



Are you also addicted in checking your balance every day after the market closes? :P


I usually only check it when the market's up. And during bear markets I stop checking altogether. During 2008/9 I went months without looking; just too painful.

User avatar
flamesabers
Posts: 895
Joined: Fri Mar 03, 2017 12:05 pm
Location: Rochester, MN

Re: Am I Addicted

Postby flamesabers » Sat Mar 18, 2017 11:41 pm

ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


So long as you're paying your bills and aren't an unhappy miser, I don't see any problems with wanting to maximize your contributions to your investment funds. IMHO, there are far worse financial addictions like being addicted to online gambling or being a shopaholic.

User avatar
whodidntante
Posts: 1823
Joined: Thu Jan 21, 2016 11:11 pm

Re: Am I Addicted

Postby whodidntante » Sat Mar 18, 2017 11:50 pm

Addictions are no laughing matter and involve negative consequences to yourself or others. If your SO leaves because you bought stock instead of dinner, you are addicted.

travellight
Posts: 2605
Joined: Tue Aug 12, 2008 5:52 pm
Location: San Diego

Re: Am I Addicted

Postby travellight » Sun Mar 19, 2017 12:08 am

No, I am the opposite. I wish I was more like you. I have a bit of analysis paralysis and have too much in cash for my liking.

Carter3
Posts: 103
Joined: Thu Oct 31, 2013 12:51 pm
Location: Western Tennessee

Re: Am I Addicted

Postby Carter3 » Sun Mar 19, 2017 1:52 am

whodidntante wrote:Addictions are no laughing matter and involve negative consequences to yourself or others. If your SO leaves because you bought stock instead of dinner, you are addicted.


This just made me literally laugh out loud (not sure if that is one word or two) and wake up my wife. A true LOL, I don't know why. Plus a tear came out of my eye.

User avatar
bostondan
Posts: 390
Joined: Sun Aug 18, 2013 12:21 pm
Location: Boston, MA

Re: Am I Addicted

Postby bostondan » Sun Mar 19, 2017 2:10 am

ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


If it is not causing you physical or psychological harm to you, your family and friends, or your relationships, then you are unlikely to be addicted.

If your question is serious, and not just a semi-playful attempt to point out that you like saving, you could try taking action to reduce this behavior. For example, you could try setting a day on your calendar each month for transferring savings to Vanguard, rather than doing it any time you have a penny to put away. That way you'll at least restrict yourself to fewer interruptions of your daily routine to do this "addiction."

If your life is fine though, you are spending money on all the things you want, and you have good relationships with family and friends, then I wouldn't worry to much. I also enjoy saving and don't see a need to change my behavior. If it were to become more of an addictive disorder (as defined by DSM V) then perhaps I would need to reconsider my priorities.
“There may be times when we are powerless to prevent injustice, but there must never be a time when we fail to protest.” - Elie Wiesel

*3!4!/5!
Posts: 1156
Joined: Fri Sep 02, 2016 1:47 pm

Re: Am I Addicted

Postby *3!4!/5! » Sun Mar 19, 2017 3:15 am

ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


I find this claim so ludicrous that I can't believe it actually happened. Did you literally teleport a $10 note to Vanguard HQ? How does Vanguard tie in with all your other day-to-day financial transactions?

sweeden22
Posts: 29
Joined: Fri Nov 18, 2016 6:11 am

Re: Am I Addicted

Postby sweeden22 » Sun Mar 19, 2017 6:27 am

It makes sense to me. I feel the same way. If I know I am going to be getting some extra pay, I plan on the contribution!

Honestly, it is much better than having an urge to buy something.

User avatar
mrc
Posts: 839
Joined: Sun Jan 10, 2016 6:39 am
Location: right here

Re: Am I Addicted

Postby mrc » Sun Mar 19, 2017 6:35 am

I would suppose recovering investors don't post here much.
A great challenge of life: Knowing enough to think you're doing it right, but not enough to know you're doing it wrong. — Neil deGrasse Tyson

gd
Posts: 1190
Joined: Sun Nov 15, 2009 8:35 am
Location: MA, USA

Re: Am I Addicted

Postby gd » Sun Mar 19, 2017 6:38 am

Rephrase the post using compulsive or neurotic (in the common usage) and see how it feels.

User avatar
JPH
Posts: 602
Joined: Mon Jun 27, 2011 8:56 pm

Re: Am I Addicted

Postby JPH » Sun Mar 19, 2017 6:59 am

I guess one can become addicted to spending money, so why not to NOT spending money?
While the moments do summersaults into eternity | Cling to their coattails and beg them to stay - Townes Van Zandt

Nova1967
Posts: 126
Joined: Fri May 27, 2016 3:22 pm

Re: Am I Addicted

Postby Nova1967 » Sun Mar 19, 2017 8:21 am

Sounds like when your time comes someone will reap the benefits of your addiction.

User avatar
timboktoo
Posts: 685
Joined: Sun Mar 31, 2013 3:42 pm
Location: Louisville, KY

Re: Am I Addicted

Postby timboktoo » Sun Mar 19, 2017 8:34 am

If you are asking seriously, then you probably are more focused on investing than a healthy balance entails.

I used to be obsessed with investing. But I have a little OCD. Eventually, investing became boring and I moved on to Tiny Houses, then cooking and now guns of all things. I love new things to learn/obsess about.

You will probably find a new obsession in a few years.

- Tim

NiceUnparticularMan
Posts: 1740
Joined: Sat Mar 11, 2017 7:51 am

Re: Am I Addicted [to contribute to my taxable account]

Postby NiceUnparticularMan » Sun Mar 19, 2017 9:36 am

So we let small amounts of extra cash just go into our checking account, which is tied to a home equity line. Once a year my wife gets her bonus, and we might also sell some restricted stock that vested or exercise some stocks options, then we do a little budget and figure out how much we can safely send to taxable for long-term investment.

That said, doing that way more often would not be adverse financially. I guess my question would just be whether you are doing that out of anxiety, or perhaps for the thrill of contemplating big returns, or other psychological reasons that could potentially cause problems in other contexts. Generally, though, it seems like it could be pretty harmless.

WolfgangPauli
Posts: 160
Joined: Sun Aug 23, 2015 8:28 am

Re: Am I Addicted [to contribute to my taxable account]

Postby WolfgangPauli » Sun Mar 19, 2017 9:39 am

Here is what I find: I am a "spendaholic". I do love spending money. However, I have found that the act of investing at Vanguard gives me the same "rush" as spending or buying something. So, rather than satisfy the itch by buying crap, I satisfy it by investing. So, in that way, yes, I am addicted...
Twitter: @JAXbogleheads | EM: JAXbogleheads@gmail.com

User avatar
samsoes
Posts: 304
Joined: Tue Mar 05, 2013 9:12 am

Re: Am I Addicted [to contribute to my taxable account]

Postby samsoes » Sun Mar 19, 2017 10:03 am

As prior posters have noted, addiction is a serious disease which can and often does destroy the lives of the addicted and those around them . I speak from experience, having opioid-addicted siblings (yes, plural).

As someone else suggested, "compulsive," "neurotic," or even "obsessive" may be better descriptions of the behavior which the OP describes.
"Happiness Is Not My Companion" - Gen. Gouverneur K. Warren. (Avatar is the statue of Gen. Warren at Little Round Top @ Gettysburg National Military Park.)

User avatar
steve50
Posts: 68
Joined: Sat Sep 20, 2008 4:59 pm

Re: Am I Addicted [to contribute to my taxable account]

Postby steve50 » Sun Mar 19, 2017 10:18 am

My taxable account balance makes up more then 50% of my total asset (I do max out everything else that I qualify for). Every time I have brought up taxable account investment topic at office or with anyone else, it is foreign concept for everyone and that topic just stops. I don't bring it up anymore. I only contribute to taxable mutual funds for amount higher then $1,000+ only however and not in smaller amounts.
Last edited by steve50 on Sun Mar 19, 2017 10:34 am, edited 1 time in total.

aj44
Posts: 139
Joined: Sat May 10, 2014 11:22 am

Re: Am I Addicted [to contribute to my taxable account]

Postby aj44 » Sun Mar 19, 2017 10:28 am

I get a feeling of satisfaction when I make a buy in my taxable account, but I only do it when I have at least 1k. If I did it every time I had an extra $10 I would go mad.

User avatar
Calygos
Posts: 331
Joined: Tue Jan 13, 2015 3:48 pm
Location: Near Seattle, Washington

Re: Am I Addicted [to contribute to my taxable account]

Postby Calygos » Sun Mar 19, 2017 11:01 am

aj44 wrote:I get a feeling of satisfaction when I make a buy in my taxable account, but I only do it when I have at least 1k. If I did it every time I had an extra $10 I would go mad.


I do something along these lines. Since I use YNAB, any time I find or acquire a few dollars I'd want to invest in my brokerage account, I just add it to the monthly budgeted amount of my "Investing: Taxable Brokerage Account" category. Vanguard (and soon Fidelity, probably) just auto-debits $500 monthly right now into my taxable account but once that additional grows to a reasonable amount, say another $500, I make a manual purchase.

User avatar
ruralavalon
Posts: 10647
Joined: Sat Feb 02, 2008 10:29 am
Location: Illinois

Re: Am I Addicted [to contribute to my taxable account]

Postby ruralavalon » Sun Mar 19, 2017 11:15 am

ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?

It's an addiction if you do it in spite of severe negative consequences to yourself or your family. If not, it's a good habit.
"Everything should be as simple as it is, but not simpler." - Albert Einstein | Wiki article link:Getting Started

User avatar
White Coat Investor
Posts: 12687
Joined: Fri Mar 02, 2007 9:11 pm
Location: Greatest Snow On Earth

Re: Am I Addicted [to contribute to my taxable account]

Postby White Coat Investor » Sun Mar 19, 2017 11:28 am

ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


My problem is that I've always wanted a taxable account to do taxable account things with. Like invest conveniently in real estate, tax loss harvest, pay off the mortgage and the like. But I have a massive amount of tax-protected space available to me and I'm not dumb enough to pass on it and invest in taxable instead. So I find myself wanting to save even more than I can put in my tax-protected accounts so I can do taxable account stuff even though maxing out the tax-protected accounts will likely provide more than enough for our retirement by themselves, even an early retirement.

First world problems for sure.

I didn't know you could make $10 contributions to the TSM mutual fund though. I thought there was a $100 minimum or something. Guess I'm wrong though. The minimum is only $1.

https://personal.vanguard.com/us/funds/ ... =INT#tab=3

I don't think I'd want to keep track of all those tax lots if I was only investing a few bucks at a time though.
1) Invest you must 2) Time is your friend 3) Impulse is your enemy | 4) Basic arithmetic works 5) Stick to simplicity 6) Stay the course

enki
Posts: 99
Joined: Sun Mar 29, 2015 8:51 am

Re: Am I Addicted [to contribute to my taxable account]

Postby enki » Sun Mar 19, 2017 11:47 am

WolfgangPauli wrote:Here is what I find: I am a "spendaholic". I do love spending money. However, I have found that the act of investing at Vanguard gives me the same "rush" as spending or buying something. So, rather than satisfy the itch by buying crap, I satisfy it by investing. So, in that way, yes, I am addicted...


This.

I think a lot of people who have extra money get the proverbial feeling of it burning a hole in their pockets. In this past, for me, whenever we had a fairly good amount of surplus for the month, I often found myself looking for something to buy. Not because I needed, or even really wanted it, but just because I wanted to treat myself to something. And it wouldn't even be looking for something in particular that I had wanted in the past, but simply looking for a good price on an item that I might want. Effectively, I was subconsciously trying to waste money on things.

We both contribute heavily to 401ks, Roth IRAs and taxable investments, but always have extra money left over after bills and general savings have been taken out. Sometimes there is a legitimate need (we bought a new dryer last month), but more often than not there isn't.

But I too found that investing the money is just as satisfying and eliminates the desire to spend it (or give my wife an excuse to spend it). Out of sight, out of mind. We'll usually put half or so into a savings account for future needs/rainy day fund, and invest the rest in our brokerage account. If something comes up where we need to make a large purchase, we can simply use the savings to cover it -- though I treat the brokerage money as a one way funding, outside of a true emergency. It's had an added bonus of making me more frugal in general. Even when something comes up that I do want but don't need, I will frequently say "nah, I'll just invest the money instead."

I wouldn't say that I am addicted to contributing, but more addicted to saving money. 8-) :moneybag

bubbadog
Posts: 281
Joined: Wed Mar 26, 2014 9:17 pm

Re: Am I Addicted [to contribute to my taxable account]

Postby bubbadog » Sun Mar 19, 2017 11:57 am

I do something similar. Whenever our regular checking account that we use to pay bills has more than we will realistically need in the short term, I will transfer a portion to my taxable account at VG. I usually wait until it is more than $10,000 and most of the time 20K. I do get a sense of satisfaction doing so.

User avatar
bligh
Posts: 402
Joined: Wed Jul 27, 2016 9:13 pm

Re: Am I Addicted [to contribute to my taxable account]

Postby bligh » Sun Mar 19, 2017 12:03 pm

enki wrote:
WolfgangPauli wrote:Here is what I find: I am a "spendaholic". I do love spending money. However, I have found that the act of investing at Vanguard gives me the same "rush" as spending or buying something. So, rather than satisfy the itch by buying crap, I satisfy it by investing. So, in that way, yes, I am addicted...


This.

I think a lot of people who have extra money get the proverbial feeling of it burning a hole in their pockets. In this past, for me, whenever we had a fairly good amount of surplus for the month, I often found myself looking for something to buy. Not because I needed, or even really wanted it, but just because I wanted to treat myself to something. And it wouldn't even be looking for something in particular that I had wanted in the past, but simply looking for a good price on an item that I might want. Effectively, I was subconsciously trying to waste money on things.

We both contribute heavily to 401ks, Roth IRAs and taxable investments, but always have extra money left over after bills and general savings have been taken out. Sometimes there is a legitimate need (we bought a new dryer last month), but more often than not there isn't.

But I too found that investing the money is just as satisfying and eliminates the desire to spend it (or give my wife an excuse to spend it). Out of sight, out of mind. We'll usually put half or so into a savings account for future needs/rainy day fund, and invest the rest in our brokerage account. If something comes up where we need to make a large purchase, we can simply use the savings to cover it -- though I treat the brokerage money as a one way funding, outside of a true emergency. It's had an added bonus of making me more frugal in general. Even when something comes up that I do want but don't need, I will frequently say "nah, I'll just invest the money instead."

I wouldn't say that I am addicted to contributing, but more addicted to saving money. 8-) :moneybag


+1. I am the same.

In my case, I realized this via my kids 529 plan. I found that putting a couple of extra hundred into the 529 plan gave me the same sense of satisfaction as buying something. I tried taxable accounts and it felt just as good too. :)

It think the reason we buy things is because we imagine a utility of some kind , that it will make our lives better, easier or happier in some way. So we spend the money to acquire the good or service to make our lives a little bit better. Sometimes it works, sometimes it doesn't. Every time we spend the hope is that it is making our lives better in some way. When I am investing the money I get the same type of feeling. That I am making my family's life better, that I am providing for them.

travellight
Posts: 2605
Joined: Tue Aug 12, 2008 5:52 pm
Location: San Diego

Re: Am I Addicted [to contribute to my taxable account]

Postby travellight » Sun Mar 19, 2017 2:17 pm

White Coat Investor wrote:
ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


My problem is that I've always wanted a taxable account to do taxable account things with. Like invest conveniently in real estate, tax loss harvest, pay off the mortgage and the like. But I have a massive amount of tax-protected space available to me and I'm not dumb enough to pass on it and invest in taxable instead. So I find myself wanting to save even more than I can put in my tax-protected accounts so I can do taxable account stuff even though maxing out the tax-protected accounts will likely provide more than enough for our retirement by themselves, even an early retirement.

First world problems for sure.

I didn't know you could make $10 contributions to the TSM mutual fund though. I thought there was a $100 minimum or something. Guess I'm wrong though. The minimum is only $1.

https://personal.vanguard.com/us/funds/ ... =INT#tab=3

I don't think I'd want to keep track of all those tax lots if I was only investing a few bucks at a time though.


This is why it has taken me until the age of 55 to start a taxable account. I have maximized tax sheltered space every year and invested in real estate, and then even more conservatively, paid off almost all the real estate so I have nothing else to do with the money for growth than a taxable account.

am
Posts: 2303
Joined: Sun Sep 30, 2007 9:55 am

Re: Am I Addicted [to contribute to my taxable account]

Postby am » Sun Mar 19, 2017 2:46 pm

I hope you stay addicted when the market is falling and there is no end in sight. For me, it is harder to contribute when I see my balance fall every time I log in. But I continue because of what I have learned on this forum and because I know I am buying on sale. Good luck. There are few things better than financial freedom.

staythecourse
Posts: 4583
Joined: Mon Jan 03, 2011 9:40 am

Re: Am I Addicted [to contribute to my taxable account]

Postby staythecourse » Sun Mar 19, 2017 2:59 pm

I never understood these type of threads. What is the point? I think we all know this is not addiction so I am assuming this is just a selfcongratulatory thread. Great you invest money. Since it is a personal finance forum I would think this is the NORM and not worth even mentioning as if it is something to even discuss.

How is this thread even actionable? Sometimes I don't understand the criteria mods use to determine what is or not actionable.

Good luck.
"The stock market [fluctuation], therefore, is noise. A giant distraction from the business of investing.” | -Jack Bogle

maxgrowth
Posts: 33
Joined: Fri Feb 24, 2017 4:14 pm

Re: Am I Addicted [to contribute to my taxable account]

Postby maxgrowth » Sun Mar 19, 2017 3:12 pm

"Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard."

Why "VTSAX"? Is this only index fund in your portfolio? I am in the same boat and trying to figure out which fund I should invest in Vanguard? I have taxable account as well. I am just trying to pick up your brain. :-)

*3!4!/5!
Posts: 1156
Joined: Fri Sep 02, 2016 1:47 pm

Re: Am I Addicted

Postby *3!4!/5! » Sun Mar 19, 2017 3:14 pm

*3!4!/5! wrote:
ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


I find this claim so ludicrous that I can't believe it actually happened. Did you literally teleport a $10 note to Vanguard HQ? How does Vanguard tie in with all your other day-to-day financial transactions?


I'm still curious whether "finding $10 on floor and sending directly to Vanguard" really truly happened, or if it's just hyperbole. You really invest every single penny? If you get too concerned about cash drag you end up needing to liquidate 0.001 shares whenever you want to buy a pencil.

ff4930
Posts: 112
Joined: Fri Dec 30, 2016 3:33 pm

Re: Am I Addicted [to contribute to my taxable account]

Postby ff4930 » Sun Mar 19, 2017 8:49 pm

maxgrowth wrote:"Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard."

Why "VTSAX"? Is this only index fund in your portfolio? I am in the same boat and trying to figure out which fund I should invest in Vanguard? I have taxable account as well. I am just trying to pick up your brain. :-)


Total stock market (VTSAX) along with Total international market are one of the more tax efficient funds in a taxable account.

ny_rn
Posts: 318
Joined: Sun May 11, 2014 7:09 am

Re: Am I Addicted [to contribute to my taxable account]

Postby ny_rn » Sun Mar 19, 2017 9:03 pm

ff4930 wrote:
maxgrowth wrote:"Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard."

Why "VTSAX"? Is this only index fund in your portfolio? I am in the same boat and trying to figure out which fund I should invest in Vanguard? I have taxable account as well. I am just trying to pick up your brain. :-)


Total stock market (VTSAX) along with Total international market are one of the more tax efficient funds in a taxable account.


My exact reasoning for holding VTSAX in a taxable account.

WolfgangPauli
Posts: 160
Joined: Sun Aug 23, 2015 8:28 am

Re: Am I Addicted [to contribute to my taxable account]

Postby WolfgangPauli » Sun Mar 19, 2017 10:27 pm

am wrote:I hope you stay addicted when the market is falling and there is no end in sight. For me, it is harder to contribute when I see my balance fall every time I log in. But I continue because of what I have learned on this forum and because I know I am buying on sale. Good luck. There are few things better than financial freedom.


Honestly, I am about 7 years out from retirement and I would love nothing more than to have the market go down a few thousand.. It would help alot.. It is like a sine curve and I want the wave to be on the way up when I have no income!
Twitter: @JAXbogleheads | EM: JAXbogleheads@gmail.com

WolfgangPauli
Posts: 160
Joined: Sun Aug 23, 2015 8:28 am

Re: Am I Addicted

Postby WolfgangPauli » Sun Mar 19, 2017 10:28 pm

*3!4!/5! wrote:
*3!4!/5! wrote:
ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


I find this claim so ludicrous that I can't believe it actually happened. Did you literally teleport a $10 note to Vanguard HQ? How does Vanguard tie in with all your other day-to-day financial transactions?


I'm still curious whether "finding $10 on floor and sending directly to Vanguard" really truly happened, or if it's just hyperbole. You really invest every single penny? If you get too concerned about cash drag you end up needing to liquidate 0.001 shares whenever you want to buy a pencil.


I truly doubt anyone sent $10 in but .. who knows..
Twitter: @JAXbogleheads | EM: JAXbogleheads@gmail.com

maxgrowth
Posts: 33
Joined: Fri Feb 24, 2017 4:14 pm

Re: Am I Addicted [to contribute to my taxable account]

Postby maxgrowth » Mon Mar 20, 2017 12:21 am

ny_rn wrote:
ff4930 wrote:
maxgrowth wrote:"Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard."

Why "VTSAX"? Is this only index fund in your portfolio? I am in the same boat and trying to figure out which fund I should invest in Vanguard? I have taxable account as well. I am just trying to pick up your brain. :-)


Total stock market (VTSAX) along with Total international market are one of the more tax efficient funds in a taxable account.


My exact reasoning for holding VTSAX in a taxable account.


Is VTSAS the only fund in your taxable account? What other funds are in your taxable account? Thanks.

juliewongferra
Posts: 143
Joined: Fri Oct 09, 2009 10:53 am

Re: Am I Addicted [to contribute to my taxable account]

Postby juliewongferra » Mon Mar 20, 2017 9:38 am

staythecourse wrote:I never understood these type of threads. What is the point? I think we all know this is not addiction so I am assuming this is just a selfcongratulatory thread. Great you invest money. Since it is a personal finance forum I would think this is the NORM and not worth even mentioning as if it is something to even discuss.

How is this thread even actionable? Sometimes I don't understand the criteria mods use to determine what is or not actionable.

Good luck.


+1,000,000

juliewongferra
Posts: 143
Joined: Fri Oct 09, 2009 10:53 am

Re: Am I Addicted [to contribute to my taxable account]

Postby juliewongferra » Mon Mar 20, 2017 9:57 am

ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


I am going to take the opposite view of almost everyone who's responded.

You know how some posters say that once you get to small amounts of expenses (e.g., exp ratio of 0.05 vs. 0.04) or bonuses (e.g., credit card bonuses or bonuses for opening bank accounts), it isn't worth the time to think? It's the same situation here.

There's an opportunity cost to you wanting to send every extra dollar to Vanguard. This is true for $10 you find on the floor, and it's probably true for other, higher amounts. If your addiction/neurosis/obsession/put whatever label you want is to invest, then you are not paying enough attention to life around you and enjoying it. If you are walking through the park with your SO and find $10 and go to a bank to deposit it, then use your Vanguard app to invest it, well, you've just blown you afternoon doing something whose benefit is not worth the effort.

I'm not even saying that you should spend the $10 (although if I found $10 on the floor, I might use it as an opportunity to try out that cute coffee shop at the corner). I really like some of the other ideas about letting a cash amount build to $100 or $500 or $1,000 before investing it as a lump sum.

I'm just saying that you only have a certain amount of time in life. Just like no one on their death bed ever said they wish they spent more time in the office, no one on their death bed ever said they wish they exited the park to deposit the $10 they found on the floor instead of continuing on the romantic walk in the park.

cheers,
jwf

sadie wess
Posts: 249
Joined: Wed Jan 19, 2011 9:42 am

Re: Am I Addicted [to contribute to my taxable account]

Postby sadie wess » Mon Mar 20, 2017 11:56 am

juliewongferra wrote:
ny_rn wrote:Does anyone else find themselves constantly contributing to their taxable account? Besides my 403(b) and Roth IRA, I contribute all "spare" money to my taxable account (total stock market - vtsax). For example - I found $10 on the floor and sent it directly to vanguard.

Am I addicted? Anyone else have this problem?


I am going to take the opposite view of almost everyone who's responded.

You know how some posters say that once you get to small amounts of expenses (e.g., exp ratio of 0.05 vs. 0.04) or bonuses (e.g., credit card bonuses or bonuses for opening bank accounts), it isn't worth the time to think? It's the same situation here.

There's an opportunity cost to you wanting to send every extra dollar to Vanguard. This is true for $10 you find on the floor, and it's probably true for other, higher amounts. If your addiction/neurosis/obsession/put whatever label you want is to invest, then you are not paying enough attention to life around you and enjoying it. If you are walking through the park with your SO and find $10 and go to a bank to deposit it, then use your Vanguard app to invest it, well, you've just blown you afternoon doing something whose benefit is not worth the effort.

I'm not even saying that you should spend the $10 (although if I found $10 on the floor, I might use it as an opportunity to try out that cute coffee shop at the corner). I really like some of the other ideas about letting a cash amount build to $100 or $500 or $1,000 before investing it as a lump sum.

I'm just saying that you only have a certain amount of time in life. Just like no one on their death bed ever said they wish they spent more time in the office, no one on their death bed ever said they wish they exited the park to deposit the $10 they found on the floor instead of continuing on the romantic walk in the park.

cheers,
jwf

:thumbsup

inbox788
Posts: 3838
Joined: Thu Mar 15, 2012 5:24 pm

Re: Am I Addicted [to contribute to my taxable account]

Postby inbox788 » Mon Mar 20, 2017 3:49 pm

ny_rn wrote:I found $10 on the floor and sent it directly to vanguard.

How did you "send it to vanguard"? A $0.44 stamp plus cost of envelope, not to mention your time licking it closed won't give you a return until 6 months later or more. And if you wasted gas going somewhere, that's even more wasteful.

I spend more cash than I receive. Any extra cash I have saves me from having to drain more from the ATM. Much more efficient for me. And indirectly, it's not all that different a result from what you do since what I don't take out of the ATM is likely to wind up being invested somewhere.

User avatar
flamesabers
Posts: 895
Joined: Fri Mar 03, 2017 12:05 pm
Location: Rochester, MN

Re: Am I Addicted [to contribute to my taxable account]

Postby flamesabers » Mon Mar 20, 2017 3:57 pm

inbox788 wrote:
ny_rn wrote:I found $10 on the floor and sent it directly to vanguard.

How did you "send it to vanguard"? A $0.44 stamp plus cost of envelope, not to mention your time licking it closed won't give you a return until 6 months later or more. And if you wasted gas going somewhere, that's even more wasteful.

I spend more cash than I receive. Any extra cash I have saves me from having to drain more from the ATM. Much more efficient for me. And indirectly, it's not all that different a result from what you do since what I don't take out of the ATM is likely to wind up being invested somewhere.


My thinking was the OP did an ACH of $10 to Vanguard from a checking account and deposited the $10 at a later time. I've never mailed in a contribution to Vanguard, but I highly doubt anyone would be sending actual cash in the mail.

*3!4!/5!
Posts: 1156
Joined: Fri Sep 02, 2016 1:47 pm

Re: Am I Addicted [to contribute to my taxable account]

Postby *3!4!/5! » Mon Mar 20, 2017 4:18 pm

ny_rn wrote:I found $10 on the floor and sent it directly to vanguard.

$10=
This
Really
Obviously
Little
Lump

Also this:
staythecourse wrote:I never understood these type of threads. What is the point? I think we all know this is not addiction so I am assuming this is just a selfcongratulatory thread. Great you invest money. Since it is a personal finance forum I would think this is the NORM and not worth even mentioning as if it is something to even discuss.

How is this thread even actionable? Sometimes I don't understand the criteria mods use to determine what is or not actionable.


The OP is completely ridiculous, and the thread is all about nothing much. Ten Bucks? Bull!

User avatar
ruralavalon
Posts: 10647
Joined: Sat Feb 02, 2008 10:29 am
Location: Illinois

Re: Am I Addicted [to contribute to my taxable account]

Postby ruralavalon » Mon Mar 20, 2017 6:33 pm

Indeed, this "is all about nothing much." And there is nothing wrong with a little harmless frivolity :) .
"Everything should be as simple as it is, but not simpler." - Albert Einstein | | Wiki article link:Getting Started


Return to “Investing - Help with Personal Investments”

Who is online

Users browsing this forum: Baidu [Spider], Cyrus-the-great, KLDome, rashad3000, rhubarb, TSWNY, Yahoo [Bot] and 83 guests