Search found 21278 matches

by Watty
Sun Jan 17, 2021 9:28 pm
Forum: Personal Finance (Not Investing)
Topic: Health Care Costs In Early Retirement
Replies: 4
Views: 459

Re: Health Care Costs In Early Retirement

You can look just what an ACA plan currently costs in your state at healthcare.gov or your states version of it is. Also check to see what it costs for a 64 year old since it will increase as you age. What the ACA will look like next year or in five years is of course a big unknown. That is just the...
by Watty
Sun Jan 17, 2021 9:01 pm
Forum: Personal Finance (Not Investing)
Topic: ACA Insurance question regarding poverty level
Replies: 17
Views: 889

Re: ACA Insurance question regarding poverty level

We live in Virginia and will both be reducing our work load this year, and expect that after maxing retirement contributions, our income will fall right around the poverty level. ...... It seems that the options are: a) Add child to my current plan, be very careful not to overcontribute to 401k in ...
by Watty
Sun Jan 17, 2021 8:40 pm
Forum: Personal Investments
Topic: Car note ending, saving for next car
Replies: 8
Views: 567

Re: Car note ending, saving for next car

If you were in my shoes, what would you choose and why? Be sure to look at the numbers before you spend too much time on this. For example if you will need to save up $20K to buy your next car, in addition to what you can sell your old car for, then the average balance in your car fund will be $10,...
by Watty
Sun Jan 17, 2021 3:26 pm
Forum: Personal Finance (Not Investing)
Topic: Should we buy this house? (Not can we afford this house)
Replies: 34
Views: 2300

Re: Should we buy this house? (Not can we afford this house)

We’ve browsed a bit and found a new construction house on a quiet interior street in town, full of families like ours. It has a big, open yard, an office, a huge basement and would appear to solve the space issues we have here and give us amenities that we’re looking for. It’s also $1M vs. our curr...
by Watty
Sun Jan 17, 2021 2:43 pm
Forum: Personal Investments
Topic: Inexperienced with Investments, 350K HHI, help!
Replies: 18
Views: 1054

Re: Inexperienced with Investments, 350K HHI, help!

You do not need to follow it exactly but there is a suggested format for asking portfolio questions. People are more used to seeing information in that format and it may remind you to include some information that you forgot to include. You will likely get better responses if you post your informati...
by Watty
Sun Jan 17, 2021 12:45 pm
Forum: Personal Finance (Not Investing)
Topic: Rental property proposition
Replies: 16
Views: 1183

Re: Rental property proposition

If I understood your post right you would buy it for $165K, put $25K into it for a total of $190K then it might be worth $200K. That assumes that you don't find anything unexpected when you fix it up. The house would also be empty for several months while you are fixing it up do you also need to bud...
by Watty
Sun Jan 17, 2021 12:25 pm
Forum: Personal Investments
Topic: Why is dollar cost averaging discouraged?
Replies: 57
Views: 2441

Re: Why is dollar cost averaging discouraged?

Why is Dollar Cost averaging discouraged? There is a wiki on this if you have not seen it. https://www.bogleheads.org/wiki/Dollar_cost_averaging There are pros and cons to dollar cost averaging or lump sum investing but I don't think there is a consensus that one or the other should always be used.
by Watty
Sun Jan 17, 2021 12:11 pm
Forum: Personal Finance (Not Investing)
Topic: Refinancing Mortgage under 100k
Replies: 8
Views: 682

Re: Refinancing Mortgage under 100k

I have not done it but I have heard that local credit unions may be better for small mortgages since they often keep the loan and do not resell it.
by Watty
Sun Jan 17, 2021 12:07 pm
Forum: Personal Finance (Not Investing)
Topic: Selling some taxable to keep cash or pay mortgage?
Replies: 18
Views: 1399

Re: Selling some taxable to keep cash or pay mortgage?

Would any of these make sense? 1. Sell $9000 of taxable and put towards our mortgage? 2. Sell $9000 of taxable and keep as liquid cash? 3. Tax-gain harvest? 4. Do nothing? You have two separate decisions that you are artificially linking together. If you separate these it will be easier to figure o...
by Watty
Sun Jan 17, 2021 11:53 am
Forum: Personal Investments
Topic: SAFE $150K investment
Replies: 8
Views: 1011

Re: SAFE $150K investment

If they have a mortgage then paying down the mortgage has a safe 3%(ish) payback.

If they don't have enough to pay the mortgage off then they may be able to "recast the mortgage"(Google this) to also reduce their required monthly payment.
by Watty
Sun Jan 17, 2021 11:19 am
Forum: Personal Finance (Not Investing)
Topic: Should I co-sign mom’s mortgage?
Replies: 27
Views: 2197

Re: Should I co-sign mom’s mortgage?

Maybe I should make an appointment and pay for her to see a fee per visit financial planner? Maybe they can walk her through the #s and even convince her to go back into investing? You need to be aware that the fast majority of financial planners/financial advisors are really sales people that will...
by Watty
Sun Jan 17, 2021 12:31 am
Forum: Personal Finance (Not Investing)
Topic: Should I co-sign mom’s mortgage?
Replies: 27
Views: 2197

Re: Should I co-sign mom’s mortgage?

So, can I cosign without being owner of a coop? I don’t mind but am I allowed to? I don't know much of anything about it one thing to look into is that in addition to getting a lender to approve a loan coop board may also need to review and approve her finances. Even if she can pay cash she might n...
by Watty
Sat Jan 16, 2021 7:55 pm
Forum: Personal Finance (Not Investing)
Topic: Question from a first time home buyer
Replies: 29
Views: 1480

Re: Question from a first time home buyer

After realizing that our current rent will nearly cover our monthly house payment, we were wondering if we should just go ahead and purchase a house despite some uncertainty that we may move in the next 5-6 years. Here are the advantages that I see: You mentioned that you will have things like main...
by Watty
Sat Jan 16, 2021 7:36 pm
Forum: Personal Finance (Not Investing)
Topic: Questions about making a will
Replies: 47
Views: 2414

Re: Questions about making a will

For reference, our estate value today is right about $3 million dollars. I used LegalZoom which is a step above various will making software packages because you also do a telephone conference call with a lawyer. I feel comfortable with the results since I have a simple situation and I have also re...
by Watty
Sat Jan 16, 2021 7:18 pm
Forum: Personal Finance (Not Investing)
Topic: Buying a house with or without extra $100k down?
Replies: 39
Views: 3075

Re: Buying a house with or without extra $100k down?

thethinker wrote: Sat Jan 16, 2021 5:26 pm I’ve read references to this idea by other BH’s. Would you explain how a ROTH can be used as an emergency fund?
There is a wiki on this.

https://www.bogleheads.org/wiki/Roth_IR ... gency_fund
by Watty
Sat Jan 16, 2021 3:12 pm
Forum: Personal Finance (Not Investing)
Topic: Qualifying for ACA Subsidy at Retirement: Analyzing EE-Bond vs Taxable Money
Replies: 11
Views: 1026

Re: Qualifying for ACA Subsidy at Retirement: Analyzing EE-Bond vs Taxable Money

It just dawned on me that I may only have 20 years left in my career lifespan. I've also started building an EE-bond ladder... and now factoring ACA subsidy into it. Has anyone planned out that far? It is impossible to predict what the ACA will be like in 2 years much less 20. Another thing that ma...
by Watty
Sat Jan 16, 2021 1:18 pm
Forum: Personal Investments
Topic: Retiring early from windfall, mid 30s, what is the correct asset allocation to use?
Replies: 82
Views: 7498

Re: Retiring early from windfall, mid 30s, what is the correct asset allocation to use?

Being just 10% bonds is way too aggressive for retired person even if you are relatively young. It’s not “way too aggressive” for someone planning a 65+ year retirement . In fact, it’s not aggressive at all. I would be interested to see the details of any sorts of studies that back that up. Once so...
by Watty
Sat Jan 16, 2021 12:43 pm
Forum: Personal Finance (Not Investing)
Topic: Wife's access to things after my death
Replies: 70
Views: 4823

Re: Wife's access to things after my death

Some of the posts mentioned various ways of making sure that your wife has access to your financial account passwords. That is a very bad idea because; 1) If your account is hacked and it comes out you shared your password then the financial institution could use that as a reason to not cover the lo...
by Watty
Sat Jan 16, 2021 11:35 am
Forum: Personal Finance (Not Investing)
Topic: ACA plan vs employer retiree plan
Replies: 33
Views: 1792

Re: ACA plan vs employer retiree plan

Why would anyone go for the employer plan? I feel like I must be missing something. The free prescription part is huge deal for people who have expensive prescriptions. A big question is how it will compare to an ACA plan two or more years from now and there is no telling what will actually be avai...
by Watty
Sat Jan 16, 2021 11:23 am
Forum: Investing - Theory, News & General
Topic: Young investors: don’t take unnecessary risk with aggressive and concentrated allocations
Replies: 174
Views: 10174

Re: Young investors: don’t damage long term returns with aggressive and concentrated allocations

Two points that might not have been made yet; 1) One risk of investing too aggressively when you are young is that you might do badly and get turned off investing altogether. 2) When you are young you might feel that there is plenty of time to make up for any lost investments if you invest too aggre...
by Watty
Sat Jan 16, 2021 1:58 am
Forum: Personal Consumer Issues
Topic: Accepting payment on used car sale during covid
Replies: 28
Views: 1961

Re: Accepting payment on used car sale during covid

Thanks everyone for the responses. Based on this, in order of preference, I will ask the seller to: 1) Pay cash (unlikely at 13K, but worth a try), or 2) Reserve a bank appointment so we can get cashiers check, or 3) Wire the money, or 4) If they are taking an auto loan, I will call the loan provid...
by Watty
Sat Jan 16, 2021 12:45 am
Forum: Personal Finance (Not Investing)
Topic: What to do with gold coins? Help me decide.
Replies: 44
Views: 3039

Re: What to do with gold coins? Help me decide.

.... 8 gold bars ..... It did not rise substantially from 800 at purchase in 1987 to just under $2000 now. So she spent $6,400 on the gold in 1987. On January 1st the S&P 500 was at 264. It is at 3768 today. That is up orver 14 time without dividends. If she had bought an $S&P 500 index fun...
by Watty
Fri Jan 15, 2021 4:52 pm
Forum: Personal Finance (Not Investing)
Topic: FERS, TSP, LEO, Retirement, what am I missing?
Replies: 35
Views: 1724

Re: FERS, TSP, LEO, Retirement, what am I missing?

One thing to add to your checklist is that when you do eventually retire you will need to decide if you want to leave your money in the TSP or roll it out to an IRA. One consideration is that the TSP inheritance rules are not the same as an IRA and in some special situations that could cause problem...
by Watty
Fri Jan 15, 2021 2:56 pm
Forum: Personal Investments
Topic: Retiring early from windfall, mid 30s, what is the correct asset allocation to use?
Replies: 82
Views: 7498

Re: Retiring early from windfall, mid 30s, what is the correct asset allocation to use?

Being just 10% bonds is way too aggressive for retired person even if you are relatively young. For comparison the Vanguard Retirement income fund is about 70% bonds. https://investor.vanguard.com/mutual-funds/profile/portfolio/vtinx All but the most aggressive Life Strategy funds are at least 40% b...
by Watty
Fri Jan 15, 2021 2:26 pm
Forum: Personal Finance (Not Investing)
Topic: New house vs. Addition
Replies: 30
Views: 1382

Re: New house vs. Addition

How big is your lot? One problem with adding onto a house is that it takes usable space away from your back or side yard. In some cases it can make the backyard undesirable and make the house harder to resell. May need to prepare for housing an aging parent in the next 5 years Our home ~1800 sq ft r...
by Watty
Fri Jan 15, 2021 9:41 am
Forum: Personal Investments
Topic: Keep House or Keep IRA
Replies: 18
Views: 1332

Re: Keep House or Keep IRA

In theory all those risks and others are known by everyone they are already priced into the market. Nobody can really predict just what the markets will do or we would all be billionaires. My divorce will probably be finalized in about 4-5 months, and I am wondering (I know no one can predict), but ...
by Watty
Thu Jan 14, 2021 10:50 pm
Forum: Personal Finance (Not Investing)
Topic: Options for healthcare during FIRE (but before 65)?
Replies: 121
Views: 7362

Re: Options for healthcare during FIRE (but before 65)?

Are there any better options? I don't know if it better or not but COBRA is an option. Normally it is 18 months but a few states(CA and NY, ???) have expanded that to 36 months but they may call it something else. Some people don't realize that their state allows you to use COBRA for 36 months.
by Watty
Thu Jan 14, 2021 9:51 pm
Forum: Personal Consumer Issues
Topic: Changing houses is not the issue, changing my mind is
Replies: 8
Views: 1426

Re: Changing houses is not the issue, changing my mind is

.... yet we have been thinking at a new house in a new 55+ development .... I wonder if there are pro's that I'm not considering and if others who have already made such a change have any words of wisdom pro or con. I have not lived in that type of community but I may look into them. Here are some ...
by Watty
Thu Jan 14, 2021 9:16 pm
Forum: Personal Consumer Issues
Topic: Options after being scammed on Ebay from buyer return scam
Replies: 43
Views: 4486

Re: Options after being scammed on Ebay from buyer return scam

Ebay is a complete dumpster fire. I'm surprised people still use it. +1 Short version of a long story. My wife sold some higher end shoes on eBay. The buyer waited until just about the time limit to get a refund to claim there was a probably bogus problem, but we were suspicious about that. They sa...
by Watty
Thu Jan 14, 2021 8:34 pm
Forum: Personal Consumer Issues
Topic: Same Name Different Bank Accounts Issue
Replies: 18
Views: 991

Re: Same Name Different Bank Accounts Issue

This was very likely a teller error. I have had multiple checking accounts at the same bank for different purposes but they never got mixed up because I was always using preprinted deposits slips or checks. I agree that having accounts at different banks makes sense. They should be able to handle it...
by Watty
Thu Jan 14, 2021 8:24 pm
Forum: Personal Finance (Not Investing)
Topic: Renting Single family home to run Assisted Living Facility
Replies: 23
Views: 1902

Re: Renting Single family home to run Assisted Living Facility

One other thing to talk to your lawyer about.

You may be doing fine with the people who are running the business have everything working well but then they could sell it. The new owner may not work out nearly as well and you could be caught in the middle of a mess.
by Watty
Thu Jan 14, 2021 8:08 pm
Forum: Personal Finance (Not Investing)
Topic: Financing a Relocation
Replies: 6
Views: 328

Re: Financing a Relocation

Selling ours, storing our stuff, and renting a home in the target area is all I can come up with. I can stray short term with family while we find something to rent. That is the best way to do it. You can rent at an furnished extended stay hotel so that you do not need to set up a house twice. It w...
by Watty
Thu Jan 14, 2021 5:01 pm
Forum: Personal Finance (Not Investing)
Topic: mortgage life insurance
Replies: 26
Views: 835

Re: mortgage life insurance

Before you both get on Medicare you may need to keep your taxable income low enough to qualify for an Affordable Healthcare Act health insurance policy. The amount varies but for us that is around $68K. I qualify for that but if I needed to make additional IRA withdrawals to make a mortgage payment ...
by Watty
Thu Jan 14, 2021 4:32 pm
Forum: Personal Investments
Topic: Portfolio advice after disability in HCOL area
Replies: 3
Views: 292

Re: Portfolio advice after disability in HCOL area

I didn't have any idea about the 401(k) inheritance... Just to be clear I don't really know how that would work for a domestic partner. That was mainly intended as being a topic that you might want to research. There are a couple of posters here that are pretty much experts in that area and work in...
by Watty
Thu Jan 14, 2021 1:22 pm
Forum: Personal Investments
Topic: Portfolio advice after disability in HCOL area
Replies: 3
Views: 292

Re: Portfolio advice after disability in HCOL area

Questions: 1. What to do about the individual stocks in Taxable? 2. Should I move everything from his Fidelity into Vanguard? 3. Do people still like Wellesley and Wellington? While your current investments are not ideal I would not make a lot of changes right now since except for having too much G...
by Watty
Thu Jan 14, 2021 9:01 am
Forum: Personal Consumer Issues
Topic: Washer needs to be replaced - AHS warranty and color question
Replies: 10
Views: 508

Re: Washer needs to be replaced - AHS warranty and color question

KSOC wrote: Thu Jan 14, 2021 7:23 am Why buy the same brand washer that only lasted 5 years?
+1

Nissan and Maytag are on my personal lifelong blacklist after having had a bad experience with them.

There are just too many alternatives to give a brand a second chance after a bad experience.
by Watty
Wed Jan 13, 2021 9:40 pm
Forum: Personal Investments
Topic: Moving to Roth 401(k)?
Replies: 9
Views: 879

Re: Moving to Roth 401(k)?

Current portfolio: ~$4.5M Before you decide about the Roth it would be good to get professional estate tax planning. If your money is left invested for several decades then your estate could be facing a large estate tax bill. The exemption for estate taxes has also changed multiple times in the rec...
by Watty
Wed Jan 13, 2021 5:03 pm
Forum: Investing - Theory, News & General
Topic: statistics for asset classes
Replies: 1
Views: 195

Re: statistics for asset classes

This might give you part of what you are looking for.

https://investor.vanguard.com/investing ... allocation
by Watty
Wed Jan 13, 2021 4:02 pm
Forum: Personal Finance (Not Investing)
Topic: Already large home but can we afford this renovation?
Replies: 29
Views: 1862

Re: Already large home but can we afford this renovation?

a rental property out state worth around 320K. Mortgage balance on the rental is less than 50K. Gross rent 24K a year, net 10K after expenses. What not sell the rental to raise the money you want? I am not a real estate investor but aren't those numbers pretty bad for a rental property? We want to ...
by Watty
Wed Jan 13, 2021 3:46 pm
Forum: Personal Consumer Issues
Topic: Any real world Tiny House experience here?
Replies: 29
Views: 2031

Re: Any real world Tiny House experience here?

The tiny houses that are not glorified trailers make no sense. The reason is that if you are building a house a lot of the costs to prepare the lot to build are site preparation so are the same no matter what size house you build. For example roads and driveways, getting permits,water, sewer, utilit...
by Watty
Wed Jan 13, 2021 2:50 pm
Forum: Personal Finance (Not Investing)
Topic: Buying a house with or without extra $100k down?
Replies: 39
Views: 3075

Re: Buying a house with or without extra $100k down?

You offered many helpful parts in your earlier post but I wanted to focus on this a bit. I assume you’re saying $2,500 per month is not outrageous for $140k income. But what if the side contract ends unexpectedly and the annual income is $100k, is $2,500 per month outrageous for $100k gross family ...
by Watty
Wed Jan 13, 2021 10:44 am
Forum: Personal Finance (Not Investing)
Topic: Already large home but can we afford this renovation?
Replies: 29
Views: 1862

Re: Already large home but can we afford this renovation?

investingfan wrote: Wed Jan 13, 2021 10:14 am a rental property out state worth around 320K. Mortgage balance on the rental is less than 50K. Gross rent 24K a year, net 10K after expenses.
What not sell the rental to raise the money you want?

I am not a real estate investor but aren't those numbers pretty bad for a rental property?
by Watty
Wed Jan 13, 2021 10:23 am
Forum: Investing - Theory, News & General
Topic: Safe Withdrawal Rates For Elderly >95
Replies: 23
Views: 1850

Re: Safe Withdrawal Rates For Elderly >95

What do people consider to be a "safe" withdrawal for someone who is quite elderly (95-100)? The expenses for 24x7 care are quite high. At this point their expenses pretty much "are what they are" if you do not have a lot of ways to reduce their expenses. What's a reasonable max...
by Watty
Wed Jan 13, 2021 10:00 am
Forum: Personal Finance (Not Investing)
Topic: Buying a house with or without extra $100k down?
Replies: 39
Views: 3075

Re: Buying a house with or without extra $100k down?

KlangFool wrote: Wed Jan 13, 2021 9:54 am OP,


You cannot afford to buy that house even with the 100K gift. It is a 400K house to you. You cannot afford it.


KlangFool
With $220K in cash and an income of $140K a year how much house do you think they could afford?
by Watty
Wed Jan 13, 2021 9:51 am
Forum: Personal Finance (Not Investing)
Topic: Buying a house with or without extra $100k down?
Replies: 39
Views: 3075

Re: Buying a house with or without extra $100k down?

How amble of an EF would you suggest? How big an emergency fund you need depends a lot on how you define emergency. I would assume that you have life insurance and at least some disability insurance that would cover at least part of your income. You seem to be at the point here something like a lar...
by Watty
Wed Jan 13, 2021 12:19 am
Forum: Personal Finance (Not Investing)
Topic: Buying a house with or without extra $100k down?
Replies: 39
Views: 3075

Re: Buying a house with or without extra $100k down?

We have a family member who’s late in life and we were very fortunate that she wanted to gift us $100,000 (part in 2020 and part in 2021). She knows we are relocating as the family is growing and with higher housing prices lately she was generous with her gift to help us . It sounds like the money ...
by Watty
Tue Jan 12, 2021 11:19 pm
Forum: Personal Finance (Not Investing)
Topic: Got a job offer for $840k/yr. Should I come out of retirement?
Replies: 209
Views: 21882

Re: Got a job offer for $840k/yr. Should I come out of retirement?

I'm now 38 and have a stock portfolio >$6 million. (98% broad market index funds, 2% cash, zero bonds, zero real estate) My yearly expenses are ~110k. Does that $110K in expenses include taxes? Taxes need to be included in your expenses and if you did not include that then your actual spending rate...
by Watty
Tue Jan 12, 2021 6:37 pm
Forum: Personal Investments
Topic: Drawing down inherited 401K plan. Any advice?
Replies: 1
Views: 293

Re: Drawing down inherited 401K plan. Any advice?

Drawing down inherited 401K plan. Any advice? You might consider rolling the inherited 401k out to an inherited IRA. A potential issue is that if you die before the inherited 401k plan is depleted then the next person that inherits it could be limited in what they can do with an inherited 401k that...
by Watty
Tue Jan 12, 2021 4:57 pm
Forum: Personal Investments
Topic: Work error resulted in over contribution to 401K- what are the ramifications?
Replies: 9
Views: 966

Re: Work error resulted in over contribution to 401K- what are the ramifications?

I'm going to talk with my work's accounting folks again this week, but I'd like to know what are the consequences for having over contributed to my 401K (more than $19,500 in payroll deductions). I'd like to spell out to them what the issues are and ensure I get this resolved and any consequences r...
by Watty
Tue Jan 12, 2021 4:35 pm
Forum: Personal Finance (Not Investing)
Topic: Horrible investments (most the time) still better than no investments
Replies: 2
Views: 486

Re: Horrible investments (most the time) still better than no investments

We have an horrible variable annuity bought maybe 1998 put in 30,000 worth 100,000. Same reason not to sell taking the bird in the hand approach with managing ACA subsidies. There is a saying, "Even a broken clock is right twice a day." While variable annuities are generally terrible inve...