Search found 3894 matches

by GerryL
Sat Mar 16, 2024 8:45 pm
Forum: Personal Finance (Not Investing)
Topic: How much long term care might you need?
Replies: 31
Views: 2266

Re: How much long term care might you need?

According to data from the Dept. of Health and Human Services: The duration and level of long-term care will vary from person to person and often change over time. Here are some statistics (all are "on average") you should consider: - Someone turning age 65 today has almost a 70% chance of needing some type of long-term care services and supports in their remaining years - Women need care longer (3.7 years) than men (2.2 years) - One-third of today's 65 year-olds may never need long-term care support, but 20 percent will need it for longer than 5 years https://acl.gov/ltc/basic-needs/how-much-care-will-you-need In terms of financial planning, if you manage to need LTC, there are odds of 1 in 5 that you'll need it for more than 5 ...
by GerryL
Sat Mar 16, 2024 3:39 pm
Forum: Investing - Theory, News & General
Topic: Anybody heard stories of well "prepared" retirees running out of money?
Replies: 91
Views: 10431

Re: Anybody heard stories of well "prepared" retirees running out of money?

Call_Me_Op wrote: Sat Mar 16, 2024 3:23 pm Almost by definition, if a person is well prepared, the plan should not fail.
Also, I read "well prepared" to mean that the person is keeping an eye on their spending and their investments more than just a year at a time. Looking forward, you can start finding ways to reduce your spending well before you absolutely must.

And, no, I do not know of any failures within the parameters you defined.
by GerryL
Sat Mar 16, 2024 3:30 pm
Forum: Personal Investments
Topic: Please check my thinking about changing my Roth account from VTIAX to VTSAX
Replies: 42
Views: 3436

Re: Please check my thinking about changing my Roth account from VTIAX to VTSAX

AlwaysLearningMore wrote: Sat Mar 16, 2024 3:24 pm OP, the unbridled enthusiasm for international stocks maybe from those who are substantially younger than you. At the age of 75, men have less than 10 years life expectancy, and women about 12.

Whatever you decide, good luck.
My willingness to stay in international is not enthusiasm -- unbridled or bridled. It comes from having worked in a megacorp with an international market and accepting that the US is not the center of the universe -- even if it often seems like we are. And I do know that my Total Stock fund includes some international coverage.

Oh, and my retirement plan goes out to age 100 and beyond, so .... :happy
by GerryL
Sat Mar 16, 2024 3:24 pm
Forum: Personal Investments
Topic: Please check my thinking about changing my Roth account from VTIAX to VTSAX
Replies: 42
Views: 3436

Re: Please check my thinking about changing my Roth account from VTIAX to VTSAX

Thanks for all your thoughtful comments so far. Just want to make clear that I am not looking to change my asset allocation or even to change the specific funds I hold. I'm only considering WHERE I hold the funds that make up my portfolio.
by GerryL
Sat Mar 16, 2024 3:13 pm
Forum: Personal Investments
Topic: Please check my thinking about changing my Roth account from VTIAX to VTSAX
Replies: 42
Views: 3436

Re: Please check my thinking about changing my Roth account from VTIAX to VTSAX

I’ve finally noticed that VTIAX consistently underperforms VTSAX. This means that my tIRA is growing faster than my Roth. And as I move past 75 yo, my RMDs are getting fatter. So I thought what I should do is trade out all the VTIAX in my Roth for VTSAX and, at the same time, swap out a comparable amount of the VTSAX in my tIRA for VTIAX. This way the growth in the Roth would likely improve while the growth in my tIRA would likely be a bit lower – and my RMDs would not increase as quickly. But I would still have the same diversification as I do now. In other words, the growth would be the same as if I left everything as is, but it would be in different accounts. Does this make sense to you? Am I overthinking this? Or am I missing something...
by GerryL
Sat Mar 16, 2024 3:05 pm
Forum: Personal Investments
Topic: Please check my thinking about changing my Roth account from VTIAX to VTSAX
Replies: 42
Views: 3436

Re: Please check my thinking about changing my Roth account from VTIAX to VTSAX

underperform(ed) not underperform(s). has grown, not "is" growing. it's not semantics. you don't know what will happen in the future, you only know what has happened. Couldn't have said it any better. This is no different than saying "I'm only going to buy VTSAX and not VTIAX going forward because VTSAX did so much better over the last ten years." This is such a terrible way to make investing decisions that it has its own name, performance chasing. Yes. I know better and should have put that in the past tense. By "consistently" I meant over the past ten years and since inception, but one never know if/when that pattern could change. No intention to change my AA, simply looking at WHERE I hold the different ass...
by GerryL
Fri Mar 15, 2024 7:26 pm
Forum: Personal Investments
Topic: Please check my thinking about changing my Roth account from VTIAX to VTSAX
Replies: 42
Views: 3436

Please check my thinking about changing my Roth account from VTIAX to VTSAX

Hey all. I’ve been thinking about making a change to what fund I have in my Roth account and I’d like to get your input to make sure I’m looking at this correctly. About the time I retired 10 years ago, I worked with a Vanguard CFP to get my portfolio to a 60/40 AA using (mostly) a basic 4-fund set up. The stock portion is, based on Vanguard guidance, 60% domestic and 40% international. I have been keeping the portfolio pretty much balanced. I don’t have any expectations to need to pull from my Roth. I may want to someday in order to make a large purchase, but I don’t need the money for living and expect most if not all to go to charity, with a portion to my nephew. The Vanguard CFP suggested that I use the Roth to hold most of my Vanguard ...
by GerryL
Sat Feb 17, 2024 5:16 pm
Forum: Personal Finance (Not Investing)
Topic: Best way to exchange $1000 worth of yen for Japan trip?
Replies: 48
Views: 4316

Re: Best way to exchange $1000 worth of yen for Japan trip?

HenrySouthernCal wrote: Sat Feb 17, 2024 11:43 am Thanks for all the kind replies and good suggestions. I'll probably just convert $100-200 worth of yen with a Japanese coworker and bring the cash for the trip. Any extra cash, if ever need, will be withdrawn inside Japan and we'll try to use up all the cash just before heading back to U.S.
I've seen in some airports giant "jars" where you can deposit leftover change in odd currencies to help a good cause. I think, maybe, aiding immigrants. I know I've seen that at the Amsterdam airport. But last time I was at CDG in Paris, the one I thought I'd seen there was gone. I'd purposely carried along a baggy with change and ended up having to bring it home.
by GerryL
Fri Feb 16, 2024 2:00 pm
Forum: Personal Finance (Not Investing)
Topic: Best way to exchange $1000 worth of yen for Japan trip?
Replies: 48
Views: 4316

Re: Best way to exchange $1000 worth of yen for Japan trip?

agreed, the best way is to bring an ATM card that rebates withdrawal fees (Fidelity cash management, Schwab for examples) and get yen once there. 7-11 is everywhere, they will have an ATM accepting international cards and menus in English. I was able to get cash on arrival at the airport. Remember to do all your card transactions in yen if given a choice. I have not been to Japan in many years (40?) and never had to exchange $$$ since I was being paid in yen, but based on general international travel experience, I would advise you to avoid ATMs in airports, hotels and convenience stores. The fees for pulling out cash can be usurious. Scope out banks in the neighborhood of where you are staying and use the ATMs located there. Make sure they...
by GerryL
Fri Feb 16, 2024 1:51 pm
Forum: Personal Finance (Not Investing)
Topic: Open a second IRA for different beneficiaries?
Replies: 26
Views: 2596

Re: Open a second IRA for different beneficiaries?

I wanted to have two primary beneficiaries (50/50) on one of my retirement accounts. One beneficiary is a charitable organization. For secondary I wanted 100% to go to the charity, but the website would not let me do that. I had to send Vanguard a letter to have that change made. Are you saying that Vanguard won't let you mix charities and people as beneficiaries? Or they don't allow you to list beneficiaries differently on IRAs of the same kind? All you would have to do is enter primary beneficiaries as: <charity> 50% <living person> 50% I suppose that is due to the screen layouts being different for charities and people. For people you need to specify a birthdate and an optional "per stirpes" when those don't apply to charities...
by GerryL
Thu Feb 15, 2024 1:36 pm
Forum: Personal Finance (Not Investing)
Topic: Looking for IRS guidelines on if compensation for participating in a clinical trial is taxable if under $600
Replies: 16
Views: 1144

Re: Looking for IRS guidelines on if compensation for participating in a clinical trial is taxable if under $600

The $600 limit simply means that under that amount the IRS will not know about it unless you tell them. The minimum amount reported to the IRS used to be much higher.
by GerryL
Thu Feb 15, 2024 1:34 pm
Forum: Personal Finance (Not Investing)
Topic: Open a second IRA for different beneficiaries?
Replies: 26
Views: 2596

Re: Open a second IRA for different beneficiaries?

Tom_T wrote: Thu Feb 15, 2024 10:30 am This might be more of a Vanguard Web site restriction than anything else.
Yes. If a beneficiary option is not available on the Vanguard website, that does not mean it is not available at all. I wanted to have two primary beneficiaries (50/50) on one of my retirement accounts. One beneficiary is a charitable organization. For secondary I wanted 100% to go to the charity, but the website would not let me do that. I had to send Vanguard a letter to have that change made.
by GerryL
Fri Feb 02, 2024 6:49 pm
Forum: US Chapters
Topic: 🎁 🎉Happy 100th Birthday to Taylor Larimore 🎊🎂
Replies: 429
Views: 41927

Re: 🎁 🎉Happy 100th Birthday to Taylor Larimore 🎊🎂

A few days late here, so congratulations on having entered your 101st year. Wow O Wow.

--GerryL
by GerryL
Thu Feb 01, 2024 2:27 pm
Forum: Investing - Theory, News & General
Topic: Dumb money is the smart money
Replies: 17
Views: 4569

Re: Dumb money is the smart money

I call it "embracing my ignorance."
by GerryL
Thu Feb 01, 2024 2:22 pm
Forum: Personal Finance (Not Investing)
Topic: Delta AMEX Platinum--Now with expanded benefits and ... higher annual fee
Replies: 20
Views: 1808

Re: Delta AMEX Platinum--Now with expanded benefits and ... higher annual fee

I just got the email about the "enhancements" to my Delta SkyMiles® Gold Card. Even before I opened the message, I figured it was going to cost me. "New & Improved" always does. In this case, the $99 annual fee will increase to $150. Back when I was working, my company provided a shuttle between the various campuses. It was infrequent and not very quick or reliable. A lot of people gave up and just drove between campuses, fingers crossed that they would find a parking spot. One day we got an email announcing improvements to the shuttle service. No more long waits trying to get to meetings in other buildings. Yup. No more long waits because they were actually ending the shuttle between campuses and would continue only...
by GerryL
Mon Jan 29, 2024 2:53 pm
Forum: Personal Finance (Not Investing)
Topic: Non Financial Retirement Challenges
Replies: 6
Views: 1028

Re: Non Financial Retirement Challenges

I didn't have a 25-year history leading a project, but there were parts of my daily responsibilities I did with enthusiasm. I figured it would take me a few weeks to give up searching for breaking news that would be of interest to leaders in our large corporation. I did that every morning before focusing on other projects. I thought I would probably go through the motions even though I would not be aggregating the stories to be sent out. Just because I really enjoyed that part of my job. And I also spent part of my days keeping up on certain technology applications. I surprised myself when on the first day after I retired, I just looked at the computer and said, "Nah. Not going to scan the news." And it wasn't much later that I st...
by GerryL
Mon Jan 29, 2024 7:21 am
Forum: Personal Finance (Not Investing)
Topic: Managing your affairs when you live alone and have no family or true friends
Replies: 133
Views: 21637

Re: Managing your affairs when you live alone and have no family or true friends

Life-long solos like myself have to start thinking about these challenges way early. I'll recommend a book that you may find helpful: Essential Retirement Planning for Solo Agers -- A retirement and aging roadmap for single and childless adults, by Sara Zeff Geber. The foreword has a line that really made me think: "The truth is, we're all solo agers if we live long enough." I realized that many people would be joining my ranks and that they would be newbies. I am a happy hermit. When I retired (almost 10 years ago), I decided that I needed to make a serious effort to cultivate a social circle, even though that is against my nature. I was lucky to find that a virtual village was starting up in my town and got involved. (See https:...
by GerryL
Mon Jan 29, 2024 7:01 am
Forum: Personal Finance (Not Investing)
Topic: What would you do if you found someone else's lost credit/debit card?
Replies: 42
Views: 3590

Re: What would you do if you found someone else's lost credit/debit card?

On a couple of occasions, I've found credit cards at payment stations at food counters. Handed them over to the person behind the counter. Come to think of it, both times were at airports. Yikes. What a way to start a trip.

I've also found someone's work ID (from my company) on a shuttle bus. Turned that into the front desk. And I've found cabin keycards on two different cruise ships and turned them into the first crew member I saw. One of those, I believe, had the cabin number actually printed on the card. Incidents like these remind me to be more careful about my own pieces of plastic.
by GerryL
Tue Jan 23, 2024 9:39 pm
Forum: Personal Finance (Not Investing)
Topic: Anyone intend on SS@70, now thinking 68 or 69?
Replies: 86
Views: 8243

Re: Anyone intend on SS@70, now thinking 68 or 69?

I figured I would take mine at 69 and 3 months, which meant I would start getting my benefit at the beginning of a new tax year. But as the time grew closer, I saw I was doing fine. Had not had to pull a penny out of my retirement accounts, so I opted to wait until my birthday in September. No regrets.

One of the nice things about the system is that you can change your mind. Decide you would rather not wait until 70? Take it earlier. Decide you could hold out a little longer? Keep pushing it out as long as you want until you hit 70. You don't have to commit until you decide to commit.
by GerryL
Tue Jan 23, 2024 7:58 pm
Forum: Personal Consumer Issues
Topic: Return My New Apple Watch?
Replies: 83
Views: 6305

Re: Return My New Apple Watch?

PhillyPhan wrote: Tue Jan 23, 2024 7:27 pm I am also on the fence to return my series 9 apple watch.

I do enjoy the exercise / health features, but do not seem to use it for much else. It is too bulky to sleep with so I don't keep it on at night to track sleep. I think I will downgrade to the SE and save $150
I chose the SE and waited for a sale. It has the features I was looking for. Don't need the extra features -- or the higher price tag - on the Series 9. I got the smallest 40mm because I have a small wrist. Don't even notice that I'm wearing it, in bed or elsewhere. My research paid off.

In just a few months, I have built up a wardrobe of various types of watch bands (which I get for free from Amazon to review). A fun side hobby now that I have the watch.
by GerryL
Mon Jan 22, 2024 4:33 pm
Forum: Personal Consumer Issues
Topic: Return My New Apple Watch?
Replies: 83
Views: 6305

Re: Return My New Apple Watch?

aj76er wrote: Mon Jan 22, 2024 3:08 pm
  • Extra feedback (gentle vibration) for turn by turn directions when driving with maps
Forgot to mention that I found the Apple Watch especially useful for navigating while walking. I set up the route on my phone and then set off. The watch indicates when a turn is coming up and I can look at my phone when I want to. I found it to be much better than holding and staring at a phone while trying to navigate the streets in a strange neighborhood.
by GerryL
Mon Jan 22, 2024 2:51 pm
Forum: Personal Consumer Issues
Topic: Return My New Apple Watch?
Replies: 83
Views: 6305

Re: Return My New Apple Watch?

My old Fitbit was providing the functions I wanted: tell me the time, count my steps, monitor my sleep. But as a solo ager, I figured it was a good idea to get the Apple Watch for the fall detection feature. With luck, I'll never need it, but at least I have it.

I put off getting the watch because I would need to upgrade my iPhone since my old iPhone 7 was not compatible. Finally bit the bullet around Black Friday and got both an iPhone SE and an Apple Watch SE. Gradually, over the past two months, I've been adding to my uses. I put a lot of thought into the purchase and am satisfied I did the right thing for me.
by GerryL
Sun Jan 21, 2024 6:06 pm
Forum: Personal Finance (Not Investing)
Topic: Access to funds in an American credit union while abroad?
Replies: 17
Views: 1427

Re: Access to funds in an American credit union while abroad?

My credit union does not allow me to access cash with my debit card at foreign ATMs. I also bank with Ally, so I opened a money market savings account and use the Ally debit card when I travel overseas to get cash. There are fees and limits. If I had accounts with Schwab, I'd probably get their debit card.
by GerryL
Fri Jan 19, 2024 2:51 pm
Forum: Personal Finance (Not Investing)
Topic: Giving High-Level Advice to Younger People If You Are Older
Replies: 70
Views: 5788

Re: Giving High-Level Advice to Younger People If You Are Older

I used to deliver financial literacy presentations to high school students. One module was on investing. My 30-something nephew has asked me to deliver a modified version of the investing module to some of his friends who were being offered retirement plans at their new jobs. I've done this twice -- on Zoom -- for two different small groups. The info is foundational. What are stocks? What are bonds? Compound interest. Basic features of traditional IRAs, Roth IRAs, 401Ks. I also focus on the importance of the cost of investing, e.g., loads, ERs, etc. Difference between active and passive management. Lots of time for questions. I don't recommend any specific investment, but if their choices are limited, we discuss the pros and cons of their o...
by GerryL
Mon Jan 15, 2024 7:53 pm
Forum: Personal Investments
Topic: In Retirement - Bucket Strategy vs. Overall 60/40 Allocation
Replies: 20
Views: 2218

Re: In Retirement - Bucket Strategy vs. Overall 60/40 Allocation

From what I've read, the "bucket strategy" is too complicated for my needs. So, I maintain a single bucket along with a 60/40 portfolio. My 1-bucket strategy is to keep enough cash on hand to easily cover at least a year's worth of spending that may not be covered by my regular income (i.e., social security and two mini pensions). Everything else is in a basic 60/40 index fund portfolio (tIRA, Roth and taxable). When taxable produces dividends or I need to take an RMD, I look at cash-on-hand and decided how much of the new income to add to the cash stash and how much to reinvest. The cash is in checking, high-interest savings, and staggered CDs. This is not all that different from what I did during my working year, except that my ...
by GerryL
Sat Jan 13, 2024 4:45 pm
Forum: Personal Finance (Not Investing)
Topic: Newly Retired and IRMAA
Replies: 4
Views: 852

Re: Newly Retired and IRMAA

I was forced to retire in February 2023. My wife was 65 and at the time on my company healthcare plan. I enrolled her to Medicare on 2/1/23 as a result of my company healthcare going away. Since retiring was a life changing event, I submitted form SSA-44 to have her IRMAA redetermined for 2023. I did the same for 2024. In both instances the redetermination was approved and IRMAA removed for 2023 and 2024. Fast forward to the end of 2023, I received a letter from the SSA stating that I owe them IRMAA for 2023 based on my 2021 income. I am choosing not to appeal this decision because ultimately my 2023 income will be in the same IRMAA range as 2021 so I will just pay it. However, my 2024 income will be drastically less then 2022 and I expect...
by GerryL
Fri Jan 12, 2024 2:45 pm
Forum: Personal Consumer Issues
Topic: Has anyone switched from a Megigap G to a High deductible G without underwriting?
Replies: 9
Views: 1439

Re: Has anyone switched from a Megigap G to a High deductible G without underwriting?

jim779 wrote: Fri Jan 12, 2024 2:23 pm My Dad has already failed underwriting and is currently paying $390 a month for a plan G with Mutual of Omaha.

I think it might make sense to see if he can switch to a Medigap G high deductible with Mutual of Omaha if he can do that without putting him through underwriting again.

Just wanted to see if anyone was able to make a switch to a high deductible plan without going through underwriting?

Thanks

Jim
In a few states, you can change plans in your birthday month without underwriting as long as the change is lateral (e.g., G with one company to G with another) or down (e.g., G to G-HD). Check to see if your state is one of those.
Or call MofO and ask if they allow a downward switch without underwriting.
by GerryL
Fri Jan 12, 2024 2:35 pm
Forum: Personal Investments
Topic: advice on shifting to decumulation phase
Replies: 31
Views: 8093

Re: advice on shifting to decumulation phase

PerfectName wrote: Thu Jan 11, 2024 11:46 pm

I checked out a FAQ that is linked to opensocialsecurity and it tells me I am suffering from a common misconception. https://articles.opensocialsecurity.com ... d-spousal/

I confess that article has left me a bit perplexed. When my stepmother passed, my father kept his own SS but didn't get anything from hers. Perhaps that was a lost opportunity?
If his SS benefit was higher than hers, he would not get anything more. The surviving spouse can get the higher of the two spouses' benefits -- or, technically, all of theirs plus enough to raise their benefit to the higher amount.
I think it's more complicated as you factor in how old the deceased spouse was when they claimed, but bottom line, no one collects two benefits.
by GerryL
Thu Jan 11, 2024 3:40 pm
Forum: Personal Finance (Not Investing)
Topic: An unintended visit from "Aunt IRMAA"?
Replies: 35
Views: 5925

Re: An unintended visit from "Aunt IRMAA"?

happysteward wrote: Thu Jan 11, 2024 2:02 pm Hi friends, I think we may have unintentionally exceeded our goals for 2023 mAGI as shown below :oops: (did not want to exceed standard IRMAA limits).

Can I put money into my tIRA to reduce my mAGI at this point in time ? If not is there anything else I can do ?

Image
Isn't that 2025 IRMAA threshold a guestimate?
I shoot to stay under the most recent known threshold, even though it will likely be higher two tax years out. I seem to recall that I assumed I had squeaked over the threshold one year, but when the actual limits were published, I discovered that I had squeaked under.
by GerryL
Tue Jan 09, 2024 7:22 pm
Forum: Personal Consumer Issues
Topic: Customs in Atlanta airport and a few questions
Replies: 11
Views: 1760

Re: Customs in Atlanta airport and a few questions

JamesSFO wrote: Tue Jan 09, 2024 3:00 pm
GerryL wrote: Tue Jan 09, 2024 2:55 pm No need to transport it yourself to the Domestic flights terminal.
Agree with everything but this. This depends on the airport/airlines/ticket rules.

I've had to transports bags at O'Hare from Int'l to Domestic transfer once in a while. Just sometimes happens.
I've arrived in Atlanta on an international flight (at least once), so I was specifically addressing the procedure at that airport. I've transited from international to domestic at many US airports and have never had to lug my luggage to another terminal. Hope I never run into one where that is required.
by GerryL
Tue Jan 09, 2024 2:55 pm
Forum: Personal Consumer Issues
Topic: Customs in Atlanta airport and a few questions
Replies: 11
Views: 1760

Re: Customs in Atlanta airport and a few questions

Your Customs issues flying out will not be on the US end. You book everything through to your destination. You may not be able to check in online because they may need to see your passport. (I keep forgetting that when I try to check in online for an international flight.)

If you are returning through Atlanta (or any other US airport), you can check your luggage through to your final destination, but you will need to pick it up at the first US airport and recheck it immediately after Customs. No need to transport it yourself to the Domestic flights terminal.

EDIT: I'm assuming here that you are a US passport holder. If not, then I have no idea about Customs for you. But you should be able to check your luggage through.
by GerryL
Sun Jan 07, 2024 4:59 pm
Forum: Personal Finance (Not Investing)
Topic: When to take your RMD when you don't need your RMD
Replies: 72
Views: 11858

Re: When to take your RMD when you don't need your RMD

my name wrote: Sun Jan 07, 2024 1:18 pm
GeoMetry wrote: Sun Jan 07, 2024 12:52 pm Like many conversations this thread has drifted ....
Yes, discussions can do that. But some posts are on target or else are related, so the original thread was not "hijacked", I think.

I don't need my RMD for spending, my post is not clear about that specifically, and i do talk about my choices and what I do and why.
Ditto. I did not specifically say "I don't need" the RMD to cover expenses, but I figured that was implied -- since that was the question* I was answering. But, in any event, the question can have many answers.

* I am acutely aware that many people respond with answers to questions that were not asked. A lot.
by GerryL
Sat Jan 06, 2024 2:12 pm
Forum: Personal Finance (Not Investing)
Topic: Do my own taxes?
Replies: 27
Views: 3021

Re: Do my own taxes?

What do y'all think - do myself and learn or just hire someone for the rest of my life lol? I agree with the others that this will add to your useful life skills list. And it looks to me like one of those ‘just take the first step’ situations. I think you can do it and you’ll be glad you did, even if later you’d rather hire it out. OP, You might try hiring a tax preparer while doing your own taxes in parallel -- then compare the results. Generally, you don't need to pay to use online tax prep software until you actually file, so it's a free sandbox to play in. Get comfortable with the process for a year or two and then switch to DIY. I've always done my own tax prep. I'm 75. It was much, much simpler in the early days. Sometimes just a hal...
by GerryL
Sat Jan 06, 2024 2:00 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare - Part D late enrollment Penalty ?
Replies: 4
Views: 776

Re: Medicare - Part D late enrollment Penalty ?

The penalty is to "encourage" people to not skip signing up for a plan because they "don't need it right now." Of course, it works best if people are aware of the way the system works and understand the consequences of delaying sign up. I'm guessing the penalty dollars join the regular payments to fund Medicare.

I have not heard of anyone being able to reverse the penalty because they were unaware of it. Maybe others will chime in if they have any personal knowledge of that possibility.
by GerryL
Fri Jan 05, 2024 8:20 pm
Forum: Personal Finance (Not Investing)
Topic: When to take your RMD when you don't need your RMD
Replies: 72
Views: 11858

Re: When to take your RMD when you don't need your RMD

I do my QCDs early in the year and aim to take the remainder of my RMD in the 4th quarter, with state and federal withholding to cover Safe Harbor for next year's taxes. This way I can review my income for the year and, if I'm flying too close to the possible future IRMAA threshold, I can adjust my income with another QCD before pulling executing the final RMD. Also, by this time I will have a better idea of how I want to invest and how much I want to keep in my cash stash.

PS Just after I took my RMD in November, I found a great deal on a Viking Ocean cruise over Christmas. I gifted myself a 16-day cruise with about half of the non-invested chunk of the RMD. Wheee.
by GerryL
Fri Jan 05, 2024 8:04 pm
Forum: Personal Finance (Not Investing)
Topic: preferred tax preparation software? [for tax year 2023]
Replies: 56
Views: 7790

Re: preferred tax preparation software?

I've been using OLT (On-Line Taxes) for several years. I started when it was free (or almost free) if I went through my state revenue services page. I am no longer eligible for the free filing, but I've been using it because it is very economical when compared to the big names. Not as elegant, but user interface has been improving over the years.
by GerryL
Sun Dec 10, 2023 7:51 pm
Forum: Personal Consumer Issues
Topic: Suggest me comedy movies to watch as family in Amazon Prime
Replies: 21
Views: 3161

Re: Suggest me comedy movies to watch as family in Amazon Prime

Just last night I happened across a small British comedy on Prime that was very well done: What We Did on Our Holiday.
Great actors, including David Tennant and Billy Connolly, but the kids stole the show.
Warning: Heavy Scottish accents. Family dysfunction and death, but very funny.
by GerryL
Fri Dec 08, 2023 2:31 pm
Forum: Personal Consumer Issues
Topic: Who looks after your home while you are away for travel?
Replies: 45
Views: 5451

Re: Who looks after your home while you are away for travel?

My friends, who live a few miles away, stop by and check mailbox and the house and yard. No grass to cut, but in summer months they will water anything that might need a drink. I do the same for them, but I travel a lot more. We each have a monitored alarm system. Oh, and they have air conditioning I can enjoy when we are having a heat wave.

My trips are now generally under 30 days, but they started watching the mail when I used to do longer trips. I can also watch USPS Informed Delivery and let them know if something bulky might be coming.
by GerryL
Wed Dec 06, 2023 8:59 pm
Forum: Investing - Theory, News & General
Topic: How do you retirees monitor withdrawal rate (SWR) vs portfolio size?
Replies: 49
Views: 7679

Re: How do you retirees monitor withdrawal rate (SWR)?

Never worried about SWR. I had my plan evaluated against how much I thought I needed/wanted to spend annually. (Actually, MORE than I want or need.) That is my allowance, and I know if I stay within bounds, I'm good. A few years in, I decided to figure out what my withdrawal rate is. No where near 4%. Or even 3.5%

Your SWR should translate to a dollar figure, right. If you track how much you are spending, you should be able to figure out if you are within your SWR.
by GerryL
Tue Nov 28, 2023 1:43 pm
Forum: Investing - Theory, News & General
Topic: What non-index fund investment made you a lot of money?
Replies: 141
Views: 26483

Re: What non-index fund investment made you a lot of money?

It was in the early 1990s when I first invested in a mutual fund. All I knew was what I learned from a Consumer Reports feature article about mutual funds -- and the conventional wisdom that I needed to invest in the stock market if I wanted my retirement money to grow adequately. Up until this time, my piddling IRA had been in bank CDs. I knew nothing about index funds. From the list in the CR article, I selected the Dodge & Cox Stock fund, which had a relatively low (.52) ER. Very good pick. After the initial deposit (from the old CDs) and a modest roll-over from a short-lived 401k, I never contributed another dollar. Gradually, it began growing. Some years the earnings were more than the money I had contributed. It even grew during t...
by GerryL
Mon Nov 27, 2023 2:14 pm
Forum: Personal Consumer Issues
Topic: Best Apps for Free Movies with no commercials?
Replies: 24
Views: 2919

Re: Best Apps for Free Movies with no commercials?

Free and No Commercials don't usually go together. Try your local library using Kanopy and Hoopla. Came to say the same thing. Kanopy has lots of classic films and documentaries. Occasional recent films. And plenty of foreign language films. Hoopla doesn't have as many offerings, but you can find some interesting stuff. Both offer tv series, including British series. In my state, you can get library cards from your own county library as well as other counties (depending on the county). As a result, I have two logins available for Kanopy (in case I ever come close to using up my max for the month, although I never have) and one for Hoopla, which is only at one county library system. Roku has apps for both, so you don't have to watch on a co...
by GerryL
Sun Nov 19, 2023 10:03 pm
Forum: Personal Finance (Not Investing)
Topic: Early 60's, first time option to use HSA. Some Q.
Replies: 13
Views: 1653

Re: Early 60's, first time option to use HSA. Some Q.

You're getting close to Medicare age so you need to understand how HSAs work (or don't) with that program. Once you sign up for Medicare -- actually 6 months prior -- no more $$$ can be added to your HSA. Not by you. Not by your employer. You can use the money in the HSA, but you cannot add to it. This statement needs to be qualified. If you sign up for Medicare to begin as soon as you turn 65 then you can contribute to a HSA for all the months before the month in which you turn 65. Medicare coverage is retroactive for the six months preceding Medicare enrollment, but not before an enrollee's 65th birthday . Any time a person over age 65 who has been contributing to an HSA delayed enrollment in Medicare or Social Security—which triggers au...
by GerryL
Fri Nov 17, 2023 1:59 pm
Forum: Personal Finance (Not Investing)
Topic: QCD acknowledgment letter
Replies: 50
Views: 4558

Re: QCD acknowledgment letter

jebmke wrote: Fri Nov 17, 2023 6:09 am
mbres60 wrote: Fri Nov 17, 2023 6:07 am
crefwatch wrote: Thu Nov 16, 2023 8:32 pm QCDs are not permitted to DAFs.
Thanks. I mentioned in my OP that one charity left that info off. I am not using a donor-advised fund but a QCD and asked the charity to say my QCD is not going to a DAF.
They don’t need to mention this. The EIN will be identified as a regular charity in the IRS database.
This year I noticed that in one of my acknowledgement letters there was a line noting that the QCD I'd contributed would NOT be put into a donor advised fund. I'd never noticed that before. Maybe some charities had been funding their funds with QCD $$$ and charities are now covering their behinds.
by GerryL
Fri Nov 17, 2023 1:52 pm
Forum: Personal Finance (Not Investing)
Topic: Early 60's, first time option to use HSA. Some Q.
Replies: 13
Views: 1653

Re: Early 60's, first time option to use HSA. Some Q.

You're getting close to Medicare age so you need to understand how HSAs work (or don't) with that program. Once you sign up for Medicare -- actually 6 months prior -- no more $$$ can be added to your HSA. Not by you. Not by your employer. You can use the money in the HSA, but you cannot add to it. If you will still be covered by an employer's plan when you reach 65, do not act on the conventional wisdom to "at least sign up for Medicare Part A since it doesn't cost you anything." Problem is that there are no alarms that go off if you ignore this warning. (And many people in HR are oblivious to the rule.) But the IRS can eventually come after you for taxes (and maybe penalty) on money that has been added to an HSA once you are enro...
by GerryL
Fri Nov 17, 2023 1:42 pm
Forum: Personal Consumer Issues
Topic: White elephant (gag) gift ideas
Replies: 34
Views: 17205

Re: White elephant (gag) gift ideas

I attended a party once where they did the holiday game where one person chooses a wrapped gift from the pile and opens it. The next folks have the choice of opening a wrapped gift or trading a wrapped gift for one that has already been opened. Many at this party were from Asia, so my brother, who contributed several wrapped gifts, brought a big frozen durian fruit. People kept stealing the durian fruit from the earlier players, who ran through the house trying to protect their prize. You know, I still have never tasted -- or even smelled -- a durian fruit.
by GerryL
Fri Nov 17, 2023 1:32 pm
Forum: Personal Investments
Topic: advice on shifting to decumulation phase
Replies: 31
Views: 8093

Re: advice on shifting to decumulation phase

OP, I don't know about 401Ks (and their brethren), but you are not required to have taxes withheld on RMDs coming out of a traditional IRA. Once your income has sort of evened out year-to-year, you can use two IRS rules to pay your taxes in one lump sum rather than doing estimated taxes and calculating withholding throughout the year on an uneven income. #1 The Safe Harbor rule says that if you pre-pay 100% of your tax liability from the previous year (a higher percentage for high earners) you can use that figure for the next year's estimate. #2 If you have that Safe Harbor amount covered by withholding, it doesn't have to be paid in even quarterly chunks. Here is how that works: Each year in April, I can look at my tax return and note my t...
by GerryL
Thu Nov 16, 2023 7:32 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Alternative to Federal Money Market [Vanguard Cash Deposit]
Replies: 21
Views: 4864

Any thoughts on Vanguard's new settlement fund option?

[Thread merged into here --admin LadyGeek] If you invest with Vanguard, you've probably gotten an email (or several) about the new option for keeping cash in your brokerage account. You now have 2 options for the cash you're waiting to invest: 1. Vanguard Federal Money Market Fund, a mutual fund, and 2. Vanguard Cash Deposit, a bank product. Anyone seeing this as more than a ho-hum? Anyone going to take up the new cash deposit account? I don't keep much cash in my Vanguard accounts. I might move my RMD to cash in my IRA early in the year. Or sometimes it takes me a couple of weeks to decide whether to reinvest earnings in my taxable account or move them into one of my bank accounts. Just wondering if there is some advantage (or disadvantag...
by GerryL
Thu Nov 16, 2023 3:01 pm
Forum: Personal Consumer Issues
Topic: ANC Earbuds or Over the ear headphones for Air travel??
Replies: 20
Views: 3164

Re: ANC Earbuds or Over the ear headphones for Air travel??

I regularly fly Delta and travel very light, so I just carry a cheap set of earbuds that plug into the seatback, are small enough for my tiny ear canals, and don't take up valuable space in my luggage. The ones they hand out are better than the ones they used to give away, buy my cheapies are still better. I'm not sophisticated about sound quality and I'm not looking for sound cancellation. I turn on closed captioning when watching in-flight movies.
by GerryL
Thu Nov 16, 2023 1:10 pm
Forum: Personal Finance (Not Investing)
Topic: QCD acknowledgment letter
Replies: 50
Views: 4558

Re: QCD acknowledgment letter

I have not had any problems since starting QCDs, but I did run into a few issues when I was donating through my DAF and needed an IRS-friendly letter in order to apply for a matching grant from my former employer. One or two smaller organizations took a while to get it right. One larger charity insisted their lawyers told them they could not provide such a letter when the donation came through a DAF. I explained they (same org) had managed it in the past. And if they could not manage it now, they would not get the match. And if they really didn't need the extra money, maybe they wouldn't be bothered by not getting any further donations from me. They finally figured it out and I continue to support them. I use QCDs for a few larger contribut...
by GerryL
Thu Nov 16, 2023 9:08 am
Forum: Personal Consumer Issues
Topic: Mutual of Omaha Medigap G huge price increases
Replies: 64
Views: 8254

Re: Mutual of Omaha Medigap G huge price increases

Evergreen2022 wrote: Thu Nov 16, 2023 7:38 am Yeah, that’s a major increase. (Depending on PA ZIP) For 81 y/o non-tobacco there are a few lesser known companies offering Plan G for under $200 or Aetna which has basically instant underwriting for $216. Keep in mind he would have to pass medical underwriting to switch insurers. Either way $390 is very steep.
Some states have rules that allow people to switch between companies with no underwriting in their birth month. Oregon and California allow that, Don't know about PA.