Search found 9573 matches

by BL
Mon May 10, 2021 3:20 pm
Forum: Personal Investments
Topic: Company has no 401k
Replies: 6
Views: 440

Re: Company has no 401k

You might have a very short time to get in the maximum 19.5k for the year. That might mean just saving cash for living on the rest of the year while you are maximizing the 401k. If you don't need any extra, then just invest it according to your investment plan. Perhaps you will want to put most of y...
by BL
Fri May 07, 2021 2:18 am
Forum: Personal Finance (Not Investing)
Topic: 6% rule in evaluating pensions
Replies: 19
Views: 2246

Re: 6% rule in evaluating pensions

It seems to me that you will succeed with either option, so fortunately there is no really bad decision. Something that you both can live with and sleep well with is good. My own experience is with 2 very small pensions which my husband said don't do survivor on these. He has a larger pension which ...
by BL
Thu Apr 29, 2021 1:28 am
Forum: Personal Investments
Topic: Liquidate some bond funds to purchase I Bonds?
Replies: 10
Views: 1210

Re: Liquidate some bond funds to purchase I Bonds?

It is probably fine. At least you would be dumping some high-ER funds and will never go below zero on rates. I-bonds are priced according to inflation. The fixed account non-bond in 401k sounds decent these days. Consider getting fewer and lower-ER index funds in 401k, maybe like your Vanguard and F...
by BL
Tue Apr 27, 2021 12:44 am
Forum: Personal Investments
Topic: Roth-IRA conversion for 83 year old widow?
Replies: 66
Views: 4433

Re: Roth-IRA conversion for 83 year old widow?

It sounds like this is the first year she will be filing Single to IRS. If so, have you estimated her taxes for this year with either an estimator or last year's tax program? If you want to figure out any changes, you really need to know where she is to start with. Also, she can use QCD to donate to...
by BL
Thu Apr 15, 2021 10:04 am
Forum: Personal Investments
Topic: my first Vanguard rebalance
Replies: 14
Views: 1861

Re: my first Vanguard rebalance

To be in the 10% bracket for Single filer, you have income of $12,550 (standard deduction) + up to $9,950, so a total AGI of under $22,500 in 2021. If higher income, up to about 30,000 higher, you would be in the 12% bracket, which still allows for 0% LTCG. Do you have a 401k, 403b, 457, etc., avail...
by BL
Wed Apr 14, 2021 12:43 am
Forum: Personal Investments
Topic: Help with advising sister who's husband just passed.
Replies: 17
Views: 1859

Re: Help with advising sister who's husband just passed.

If things can wait a bit, that would be the best thing. Check the Wiki for "windfall" which gives suggestions for sudden money influx. I agree that leaving the 401k alone for a bit if that is allowed by the company, and also parking the life insurance in a safe place for a while is a good ...
by BL
Tue Apr 13, 2021 8:30 pm
Forum: Personal Finance (Not Investing)
Topic: Deductible traditional ira limits
Replies: 9
Views: 467

Re: Deductible traditional ira limits

Try Googling: "ira income limits 2021" Here are the traditional IRA phase-out ranges for 2021: $66,000 to $76,000 – Single taxpayers covered by a workplace retirement plan. $105,000 to $125,000 – Married couples filing jointly. This applies when the spouse making the IRA contribution is co...
by BL
Tue Apr 13, 2021 7:30 pm
Forum: Personal Investments
Topic: Vanguard Target Date Funds Question
Replies: 18
Views: 2490

Re: Vanguard Target Date Funds Question

:greedy Note that each fund has a prospectus PDF with more details about fees and more, than on the website summary. It is very clear about the fees : Annual Fund Operating Expenses Acquired Fund Fees and Expenses Total Annual Fund Operating Expenses 0.15% 0.15% Acquired means the fees from underly...
by BL
Mon Apr 12, 2021 12:30 am
Forum: Personal Consumer Issues
Topic: What do you do with well worn clothing?
Replies: 39
Views: 3303

Re: What do you do with well worn clothing?

DAV (disabled American Veterans) has a bin in town for this.
by BL
Fri Apr 09, 2021 11:32 pm
Forum: Personal Investments
Topic: HELP - How to Allocate $5M in retirement funds
Replies: 19
Views: 3334

Re: HELP - How to Allocate $5M in retirement funds

OK, I believe the above response explains your question on giving over the 15k/person, which doesn't require reporting. It doesn't sound like she would approach the 11+ million limit, so all she would have to do is fill out the form. You can probably find the form on the IRS website so you can see f...
by BL
Fri Apr 09, 2021 12:02 am
Forum: Personal Investments
Topic: HELP - How to Allocate $5M in retirement funds
Replies: 19
Views: 3334

Re: HELP - How to Allocate $5M in retirement funds

I have a lot of friends who are widows, and suggest you not push unnecessary changes for up to a year, as suggested by experts in that field. She has enough stress dealing with loss, and it can even affect one's health. If spouse died this year (2021) then this year she would be able to file taxes a...
by BL
Mon Apr 05, 2021 6:53 pm
Forum: Personal Investments
Topic: Help with Dear Mother's Retirement Portfolio
Replies: 13
Views: 1165

Re: Help with Dear Mother's Retirement Portfolio

My understanding would be that "qualified" means under an IRA umbrella. Deferred would mean deferred payments. I believe these have their own RMD requirements, separate from your regular IRA funds. Don't think there are payments before annuity begins, but check that. Did she buy a differen...
by BL
Sun Apr 04, 2021 7:41 am
Forum: Personal Investments
Topic: I bonds [Any downsides?]
Replies: 15
Views: 1308

Re: I bonds

Will you be retired in 30 years when all the interest comes due? (I believe it can be paid annually but most don't bother.) Otherwise, it sounds like a good idea. Search here for complaints about the difficulty for heirs to get at it. Difficult, but not impossible, if I understand correctly. The rat...
by BL
Wed Mar 31, 2021 11:01 am
Forum: Personal Investments
Topic: new investor in her 20s seeking help with first investments – especially bonds
Replies: 28
Views: 2659

Re: new investor in her 20s seeking help with first investments – especially bonds

Since a lot of people get it wrong, let's verify your tax bracket. You must be earning over 99,000 to be in the 24% tax bracket. If you change your 401k to traditional, that would lower both the total income and AGI by 19,500. In 2021, the Roth IRA income limit to qualify for a Roth IRA is $140,000 ...
by BL
Wed Mar 31, 2021 1:25 am
Forum: Personal Consumer Issues
Topic: Wife needs hearing aids, cost concerns
Replies: 51
Views: 4122

Re: Wife needs hearing aids, cost concerns

One of my ears suddenly went bad and I went to an eye and ear specialist to be tested. This was covered by Medicare and supplement. I have had hearing aids a few years now from an audiologist who went into business for herself and am very pleased. The pricing is similar to the above-mentioned non-pr...
by BL
Mon Mar 29, 2021 12:02 pm
Forum: Personal Investments
Topic: Dad Passed Away -Help with Mom's Retirement Portfolio
Replies: 15
Views: 2668

Re: Dad Passed Away -Help with Mom's Retirement Portfolio

It sounds like she could maximize her SS by taking her own now or when she retires, then switch to Survivor's SS at FRA, at about age 67 depending on her date of birth. That will get her the max SS income from then on. To delay taxes, if that is preferred, consider 1035 exchange to the preferred ann...
by BL
Mon Mar 29, 2021 8:44 am
Forum: Personal Finance (Not Investing)
Topic: Moving to hometown?
Replies: 25
Views: 1910

Re: Moving to hometown?

A few decades ago and after a few years of moving about the US for professional reasons, we decided that living within a few hours drive of more of our family was important to us. That narrowed the job search to a general geographic area and excluded a couple of places I really enjoy being. I would...
by BL
Sun Mar 28, 2021 1:08 am
Forum: Personal Investments
Topic: Portfolio simplication and what to do about unrealized cap gains?
Replies: 20
Views: 1183

Re: Portfolio simplication and what to do about unrealized cap gains?

Take a look at the funds to see which produced taxable dividends, especially those that are not qualified, and distributed Capital Gains (not from your selling them). These are not ideal in a taxable account due to taxes on distributions whether you need the money or not. Selling a bit of your funds...
by BL
Sun Mar 28, 2021 12:26 am
Forum: Personal Investments
Topic: Sell taxable investments to fund Roth IRAs? [EITC and CTC]
Replies: 17
Views: 1870

Re: Sell taxable investments to fund Roth IRAs?

It would be good to try out some of these changes in a tax program or tax estimator unless you have a tax preparer that is good with advice and runs estimates in some cases. It sounds like small changes can make large differences in end results. Contributing to either 403b or a Roth IRA would make y...
by BL
Sat Mar 27, 2021 1:52 am
Forum: Personal Finance (Not Investing)
Topic: Short term saving strategy taking into account taxes
Replies: 20
Views: 1197

Re: Short term saving strategy taking into account taxes

Forget the swimming pool until you can come up with the money.

What does this mean:
I also profited >$200k in Roth IRA’s.
by BL
Fri Mar 26, 2021 6:31 pm
Forum: Personal Investments
Topic: Any reasons to not convert tIRA to Roth?
Replies: 40
Views: 2650

Re: Any reasons to not convert tIRA to Roth?

If your tIRAs were all non-deductible contributions, then only their gains would be taxable when you convert to Roth. If that is a small amount, I would convert it all and pay the tax on the gains. If the gains are a large amount, it is possible but somewhat complicated to send the gains to your 401...
by BL
Wed Mar 24, 2021 12:51 am
Forum: Personal Finance (Not Investing)
Topic: Which spouse takes deductions?
Replies: 27
Views: 1598

Re: Which spouse takes deductions?

from Google search: Formula for Family Maximum Benefit - Social Security: www.ssa.gov › oact › cola › familymax Search for: What is the maximum amount a family can receive from Social Security? Is there a family cap on Social Security benefits? One payment does not offset or affect the other. There ...
by BL
Tue Mar 23, 2021 2:51 pm
Forum: Personal Investments
Topic: Advice Please on Income Investments - Starting Fresh
Replies: 35
Views: 1607

Re: Advice on Investing Large Sum with Market at All-time High

Half now, the remainder over the next 9 months. That way you will always be 50 percent correct. I'd invest all of it, but use an asset allocation depending upon how confident you are. For example, if you're saying half in now, I'd use an allocation of 50% stocks 50% bonds, and rebalance or change y...
by BL
Mon Mar 22, 2021 12:17 am
Forum: Personal Investments
Topic: Dad Passed Away -Help with Mom's Retirement Portfolio
Replies: 15
Views: 2668

Re: Dad Passed Away -Help with Mom's Retirement Portfolio

Thanks for looking after your mom. Remember, she has enough things that must be done, and should wait on the rest of the decisions until she has had a while to recover. (Some of the recommendations found in the Wiki for Windfalls may be helpful here as well. https://www.bogleheads.org/wiki/Managing_...
by BL
Sun Mar 14, 2021 1:23 am
Forum: Personal Finance (Not Investing)
Topic: VUL/IUL and LTC questions
Replies: 10
Views: 626

Re: VUL/IUL and LTC questions

Have you done a Boglehead's search on the above products? They have certainly been discussed before. There are some experts here, but I don't remember who they are.
by BL
Sun Mar 14, 2021 1:07 am
Forum: Personal Finance (Not Investing)
Topic: VUL/IUL and LTC questions
Replies: 10
Views: 626

Re: VUL/IUL and LTC questions

If you are looking for LTC insurance, then check that out. Most don't get it until much older, and then may decide they have more than enough to cover themselves with their own savings. Also, there is the fallback of Medicaid, which would pay after savings are exhausted, and most folks are able to c...
by BL
Fri Mar 12, 2021 12:11 pm
Forum: Personal Finance (Not Investing)
Topic: Emergency fund: money market to I Bonds
Replies: 18
Views: 1935

Re: Emergency fund: money market to I Bonds

You don't give $ amounts, but you have a 10k/person/year limit for I-Bonds. Is that the same amounts as your emergency funds? It probably would work, but it feels like you may be cutting it close during this Covid time especially. Do you have a plan for stopping TSP contributions temporarily, if you...
by BL
Thu Mar 11, 2021 6:32 pm
Forum: Personal Investments
Topic: Retirement Strategy for Surviving Spouse
Replies: 17
Views: 2700

Re: Retirement Strategy for Surviving Spouse

The income limits will allow more income this year and then drop a lot from now on. Be sure to check this out and consider if earning more this year might be a good move if it lowers future tax (example: Roth conversions).
by BL
Wed Mar 10, 2021 12:59 am
Forum: Personal Finance (Not Investing)
Topic: first time paying estimated tax
Replies: 4
Views: 564

Re: first time paying estimated tax

Since you have most of the year to do it, why not change the withholding to a higher amount to cover the amount due. It doesn't matter when it is withheld during the year, but it does for estimated payments.
by BL
Mon Mar 08, 2021 5:32 pm
Forum: Personal Investments
Topic: Three Fund Portfolio [Portfolio help]
Replies: 8
Views: 953

Re: Three Fund Portfolio [Portfolio help]

Well, you can get those funds cost-free if you are at Vanguard. Also, you can get those or equivalent ETFs free at several brokerages. If you can't be at Vanguard, either buy their ETFs or equivalent funds from the brokerage you are at. No, I would not pay that kind of money each month! At worst, I ...
by BL
Mon Mar 08, 2021 9:05 am
Forum: Personal Investments
Topic: Using Dividends as another income source
Replies: 27
Views: 2781

Re: Using Dividends as another income source

Do any bogleheads use dividends in their taxable accounts as another income source for regular spending? For example, some people diversify their income sources through a rental property or other means, but is it common among bogleheads to actually spend the dividends or do most reinvest them? Why ...
by BL
Fri Mar 05, 2021 9:47 pm
Forum: Personal Investments
Topic: Is my Financial Advisor's advice sound?
Replies: 69
Views: 6691

Re: Is my Financial Advisor's advice sound?

Do not listen to this person or anyone selling insurance, investments, multi-level marketing opportunities, or almost any money-making schemes! We didn't run into this infamous company long ago, but the others were alive and well. They know there are a lot of potential suckers gathered together in a...
by BL
Fri Mar 05, 2021 2:21 am
Forum: Personal Investments
Topic: Advice for daughter on financial adviser
Replies: 36
Views: 3746

Re: Advice for daughter on financial adviser

Most of us on this board learn how to invest. If your daughter has no interest in reading the Boglehead board, then I suggest Vanguard's Personal Advisor Service https://investor.vanguard.com/advice/financial-advisor/personal-advisor-services This, or she can put her money in Vanguard's Target Reti...
by BL
Fri Mar 05, 2021 2:15 am
Forum: Personal Investments
Topic: Retirement Strategy for Surviving Spouse
Replies: 17
Views: 2700

Re: Retirement Strategy for Surviving Spouse

If considering a paid advisor, one lower-cost solution is Vanguard's PAS (see their web site). They charge 0.3% and recommend very low-ER funds with no expensive insurance product sold. The 0.3% AUM + average fund costs of <0.1% is 0.4%, lower than some of the fund ERs you are considering. The only ...
by BL
Fri Mar 05, 2021 1:26 am
Forum: Personal Investments
Topic: Mega Roth w/ high ER vs Taxable Account
Replies: 10
Views: 683

Re: Mega Roth w/ high ER vs Taxable Account

I have heard that some plans allow annual conversions of Mega Roths to a Roth IRA outside of your employment. This would allow you to move to the cheaper funds after only a year. I think it is worth asking, as each employer has different rules.
by BL
Thu Mar 04, 2021 3:49 pm
Forum: Personal Investments
Topic: I made a mistake. Sell at a loss?
Replies: 41
Views: 5043

Re: I made a mistake. Sell at a loss?

I suggest you sell and use the 8k for paying the loan. Then use the tax savings on the 2000 loss, 240 if in 12% tax bracket and no state tax, 1500 from your savings from job each month, delay 401k contributions a couple months, use savings from a short term budget diet (cut the cord, eating out, dri...
by BL
Wed Mar 03, 2021 9:15 am
Forum: Personal Consumer Issues
Topic: Car suggestion for 70+ year-old mom
Replies: 160
Views: 9040

Re: Car suggestion for 70+ year-old mom

Sounds like you/she have a good plan now: Try the 3 and choose one. There is no point in adding confusion about other non-issues. Indecision brings more stress than she needs. Let the younger folks worry about minute details that may or may not affect future satisfaction. Sounds like 3 good choices,...
by BL
Tue Mar 02, 2021 2:36 pm
Forum: Personal Investments
Topic: Roth Conversion help
Replies: 3
Views: 357

Re: Roth Conversion help

I think it would be useful to include your annual spending needs, and where your funding will be coming from. You may be the first Boglehead to want to entirely eliminate the Traditional IRA after retiring! Your RMDs will start out near 4% and hit maybe 6% around age 80, etc. Is this where your spen...
by BL
Mon Mar 01, 2021 5:15 pm
Forum: Personal Investments
Topic: Advice please: Roth conversion during grad school years?
Replies: 27
Views: 1890

Re: Advice please: Roth conversion during grad school years?

Your Taxable income is 30k stipend less 12,550 standard Deduction (SD). You can make (convert) X$ to get up to 40,525 which is the top of the 12% bracket for single filers. I would convert it all if I could manage paying the tax. Think about all the increase over many years that you might not have t...
by BL
Mon Mar 01, 2021 3:47 pm
Forum: Personal Finance (Not Investing)
Topic: Don't think I need life insurance - can you confirm?
Replies: 18
Views: 1320

Re: Don't think I need life insurance - can you confirm?

Did you check with an independent insurance agency who shops several companies instead of a captive single company, maybe the one you have now?

Another quick cost check is Term4Sale.com or the one suggested above.
by BL
Sat Feb 27, 2021 9:00 am
Forum: Personal Investments
Topic: Question on asset allocation in ira and taxable
Replies: 5
Views: 293

Re: Question on asset allocation in ira and taxable

Good advice about checking the dividends on 1040. You will be paying ordinary taxes on non-qualified dividends which is what you get from bonds. It will get higher if interest rates increase. Calculate the % stocks and % bonds you want overall. Stuff as much of the bonds as you can in 401k, IRA, etc...
by BL
Sat Feb 27, 2021 8:38 am
Forum: Personal Finance (Not Investing)
Topic: Question on Social Securiy Survivor Benefit
Replies: 5
Views: 382

Re: Question on Social Securiy Survivor Benefit

Consider her applying for HER SS ASAP (unless she is earning too much) at age 62, and changing to survivor's near her Full Retirement Age (FRA) at around age 67. Search for Mike Piper here on BH for more info on SS. He also has a small book and e-book on SS that you can buy for still more information.
by BL
Fri Feb 26, 2021 10:06 pm
Forum: Personal Consumer Issues
Topic: Car suggestion for 70+ year-old mom
Replies: 160
Views: 9040

Re: Car suggestion for 70+ year-old mom

Since she likes Buick, I thought I would mention that, as a "little old lady", I really like our 2017 Buick Encore Essence, just below the top Premium. It was a new, but 1 year old small SUV with leather heated seats and lots of safety features (Premium probably has still more.) The price ...
by BL
Fri Feb 19, 2021 2:00 am
Forum: Personal Finance (Not Investing)
Topic: Should I come out of retirement?
Replies: 66
Views: 7305

Re: Should I come out of retirement?

You may want to verify or get some experts if needed to make sure you understand some of your options. Since you are probably good with numbers, taxes can be learned as needed using publications and instructions that are available online at IRS. Also you might consider volunteering with the AARP/IRS...
by BL
Fri Feb 12, 2021 12:02 am
Forum: Personal Investments
Topic: Unwinding a Northwestern Mutual account
Replies: 48
Views: 2901

Re: Unwinding a Northwestern Mutual account

There are several avenues for getting term insurance: local independent insurance salesperson (ask around for recommendations on those who are not affiliated with specific company), some companies recommended here if you search for term insurance, or my favorite, at least for a quick intro and estim...
by BL
Mon Feb 08, 2021 2:55 am
Forum: Personal Finance (Not Investing)
Topic: Looking for tax advice to mitigate huge short term capital gains
Replies: 35
Views: 2911

Re: Looking for tax advice to mitigate huge short term capitol gains

You have a great problem! I wouldn't wish it to be smaller. But winning the lottery once doesn't mean you will do it again, so learn about investing before you blow it. Read this short pdf: https://www.etf.com/docs/IfYouCan.pdf for good advice in a nutshell. The Wiki has a list of recommended books ...
by BL
Mon Feb 08, 2021 2:21 am
Forum: Personal Investments
Topic: Unwinding a Northwestern Mutual account
Replies: 48
Views: 2901

Re: Unwinding a Northwestern Mutual account

There may be two different backdoor Roths mixed together here. The one most used by Bogleheads is the Backdoor Roth (see Wiki) where you put your 6k into a traditional IRA and then convert to Roth IRA (neither of which has anything to do with your work 401k). If you already have money in an IRA ther...
by BL
Mon Feb 08, 2021 1:31 am
Forum: Personal Investments
Topic: Help me choose my 401k investment options to mimic VTIVX
Replies: 4
Views: 315

Re: Help me choose my 401k investment options to mimic VTIVX

It looks like the first 3 would do nicely: US, international, and bond.
55%, 35%, and 10% would be nice round numbers, if you like that.
by BL
Mon Feb 08, 2021 1:26 am
Forum: Personal Investments
Topic: Portfolio Review for 82yo
Replies: 19
Views: 1591

Re: Portfolio Review for 82yo

Brokerage - Taxable Total US Stock Market FZROX er .00 $30k Besides the TLH issue lakpr mentioned, another reason to NOT use FZROX in taxable is that the fund is proprietary. It can only be held at Fidelity. If she ever wants to move to a different brokerage she would have to either sell the fund o...
by BL
Sun Feb 07, 2021 3:29 pm
Forum: Personal Investments
Topic: Portfolio Review for 82yo
Replies: 19
Views: 1591

Re: Portfolio Review for 82yo

Ok, I can relate to her by age. I see less than $1,000 of her SS being taxable at all. My guess is that she is in the 10% bracket (or a bit into 12% bracket) after Standard Deduction of 12,400 (2020)+ 1,300 for seniors, so no worries about tax loss harvest or much in taxes. Get a tax program or esti...