Search found 2683 matches

by Carl53
Sun Sep 24, 2023 4:06 pm
Forum: Personal Investments
Topic: Trad to Roth Conversion?
Replies: 11
Views: 2199

Re: Trad to Roth Conversion?

Also, if you will make any charitable donations after age 70.5, you will be able to do so with tax free qualified charitable distributions (QCD) from your TIRA.
by Carl53
Sun Sep 24, 2023 2:48 pm
Forum: Personal Finance (Not Investing)
Topic: Process/timing for SS Spousal App
Replies: 1
Views: 307

Re: Process/timing for SS Spousal App

I will turn 70 in Jan and have applied for my own SS Retirement benefits to start then. (Application pending) In the meantime, my wife has been receiving her own retirement benefits (per OpenSS -- thanks Mike). The website says Spousal can be applied for online, in person or on the phone. With the possible Govt shutdown looming, wife went online to her own MySSAccount to try to apply for Spousal effective Jan-24, but the system just kicks her off. Does my wife need to wait until my Retirement benefits are approved before she can apply for Spousal online? Is the system just down? Or, as I'm a Jan 1 birthday under the old rules, Spousal app has to be done in person? She plans to call this week and wait in the telephone queue for hours, but t...
by Carl53
Wed Sep 20, 2023 5:02 pm
Forum: Investing - Theory, News & General
Topic: convert iBonds from paper --- how long is too long?
Replies: 67
Views: 8360

Re: convert iBonds from paper --- how long is too long?

Broken Man 1999 wrote: Wed Sep 20, 2023 4:06 pm A few places I thought would surely cash them no longer do. I can't see more banks agreeing to redeem them, more likely is fewer banks than today, and fewer and fewer as time passes.

Broken Man 1999
Surprisingly I was able to cash a EE bond at my local CU a month ago.
by Carl53
Wed Sep 20, 2023 5:08 am
Forum: Personal Consumer Issues
Topic: What frugal thing did you do today?
Replies: 4535
Views: 625904

Re: What frugal thing did you do today?

Grocery offers rewards on purchases redeemable for up to $1 off on gas. Often they offer bonus points for purchases on certain days or for purchases of certain items that I might want. Recently the stars have aligned more often and I will have 60-100 cents off. On those occasions I will take enough empty gas cans to purchase the maximum amount of 35 gallons - saving $35. Usually save $400+/year.
by Carl53
Tue Sep 19, 2023 8:03 am
Forum: Personal Investments
Topic: Roth Conversions - To Do or Not?
Replies: 22
Views: 2699

Re: Roth Conversions - To Do or Not?

WhiteMaxima wrote: Mon Sep 18, 2023 6:08 pmDelay SS till 70 (a guaranteed 8% return). Take tIRA distribution plus Roth conversion to 12% tax bracket (2026 tax will increase). Now you already started SS, can you undo it?
Delay SS until 70 is not a guaranteed 8% return but an 8% per year delay increase in benefit (8% increase calculated from FRA benefit and not compounded).

You can either withdraw your application and pay back benefits which I think would provide the greatest increase in conversion opportunities, or suspend your benefit which would allow increased conversion opportunity next year.
https://www.fool.com/retirement/2022/10 ... how-to-us/
by Carl53
Mon Sep 18, 2023 4:15 pm
Forum: Personal Investments
Topic: Roth Conversions - To Do or Not?
Replies: 22
Views: 2699

Re: Roth Conversions - To Do or Not?

You could payback your SS and wait until a later date for SS to buy some more space for conversion.
by Carl53
Sun Sep 17, 2023 1:24 pm
Forum: Personal Investments
Topic: Which Retirement Accounts to Use and How Much to Contribute to Them?
Replies: 15
Views: 2066

Re: Which Retirement Accounts to Use and How Much to Contribute to Them?

Seems that you have a good handle on your situation. You made a couple of statements that I fail to follow. You note that your employer health insurance costs $30k but getting your MAGI below $109k will cause your employer health insurance to be deemed too expensive since it will exceed 8.39%, or about $9k. Is that because you are now below 400% of FPL at 109k?
by Carl53
Fri Sep 15, 2023 11:13 am
Forum: Personal Finance (Not Investing)
Topic: Credit Unions Stray Far From Their Mission
Replies: 80
Views: 8533

Re: Credit Unions Stray Far From Their Mission

Theoretically, you can attend a credit union's annual meeting, and you can vote on... things. That is a bright-line distinction between credit unions and banks. As with stocks that might be pretty theoretical, but nevertheless it is a clear demarcation between a credit union and and most banks. (The exception is cooperative banks). I've been to a number of CU annual meetings over the last 40+ years and I can't remember when they last had a member vote on anything at a meeting. Once upon a time when it was just employees the attendance might have been equivalent to 10% of workforce - hundreds. Recently, with all the branches, there are maybe 10 members show up, 20 CU employees and all is done is give an overview of the financials, have a sn...
by Carl53
Fri Sep 15, 2023 8:29 am
Forum: Personal Finance (Not Investing)
Topic: Credit Unions Stray Far From Their Mission
Replies: 80
Views: 8533

Re: Credit Unions Stray Far From Their Mission

dukeblue219 wrote: Fri Sep 15, 2023 8:21 am 🎶 PenFed's got great rates for evvvvveryone. 🎶
Not great, but OK. Used to be great. Still have an online savings with the minimum there (only 3%) and a CC. Used to have CDs.
by Carl53
Fri Sep 15, 2023 8:22 am
Forum: Personal Consumer Issues
Topic: Your favorite installed bathroom accessories?
Replies: 80
Views: 9268

Re: Your favorite installed bathroom accessories?

Probably not going to work for your steam shower but we installed the shower with a no barrier entry and a little vented storage closet inside the shower with a triple pane sliding door to open wide (no longer available from MAAX).

TP holders wife selected have holders for two rolls, so you are never caught without.
by Carl53
Fri Sep 15, 2023 5:52 am
Forum: Personal Finance (Not Investing)
Topic: Credit Unions Stray Far From Their Mission
Replies: 80
Views: 8533

Re: Credit Unions Stray Far From Their Mission

Has anyone else noticed a change in their credit union in the past few years? This trend started about 20 years ago. Exactly. That's what I was about to say. Except, I'm not sure of the details, but I think it was even longer than that, and I think it was associated with a specific change in laws or regulations, regarding who could join. Up to perhaps the 80s, each credit union was limited to serving a small and well-defined group of people who had a close connection, usually their employer or some similar institution. I bought my first car via a credit union loan from the [University] credit union at the university I was attending. Back then, you could not belong to, say, "DFCU"--the Digital Federal Credit Union--unless you actu...
by Carl53
Thu Sep 14, 2023 5:52 pm
Forum: Personal Finance (Not Investing)
Topic: Does American Express Platinum make sense for us?
Replies: 80
Views: 10134

Re: Does American Express Platinum make sense for us?

986racer wrote: Tue Sep 12, 2023 6:42 pm
Lots of offers thru their app for various merchants. I’d estimate that’s about $200 per year. Just make sure it’s for stuff you’d buy anyhow. Some credits you can stack with another coupon and some you can’t. Almost always, a coupon gives you a better deal.
I don't believe those offers differ between the different AMEX cards, at least that has been my experience. Once in a while there is one worthwhile. I saw that I supposedly had saved about $1000 over the last 10-15 years. Most of that had been a number of years ago as I find those useful to me these days have relatively low value. Early on a couple of times a couple hundred were saved on international flights. More recently nothing like that has been offered.
by Carl53
Tue Sep 12, 2023 2:33 pm
Forum: Personal Finance (Not Investing)
Topic: Contemplating retirement when I'm 51. Would you FIRE?
Replies: 25
Views: 6156

Re: Contemplating retirement when I'm 51. Would you FIRE?

It is not clear what your expenses will be once you are retired. Regardless, I don't see sufficient assets to take care of potential one-off expenses like new roof, new vehicle etc. I would suggest given your low home loan interest rate to invest the money you are putting towards the principle. Maybe just put it in a high interest savings account at more than double the interest rate you are paying on the house. Apply it toward the house if and when savings interest rates fall.

Will your spouse be able to adequately fund the house should you predecease her and vice versa?

edited to reflect rereading your post and noting marital status.
by Carl53
Mon Sep 11, 2023 7:07 pm
Forum: Personal Finance (Not Investing)
Topic: How to distribute deceased person's Roth
Replies: 21
Views: 2074

Re: How to distribute deceased person's Roth

Actually when you set up Roth or TIRA beneficiaries at VG, all of the Roths have the same beneficiaries as all of the TIRAs have the same beneficiaries. Until recently, we had multiple TIRA and Roth accounts left over from the Roth conversion horse race days. When you specified beneficiaries for a Roth account, all Roths of that individual were given those beneficiaries with no way online to designate otherwise. Likewise for the TIRA accounts. By all Roths, I mean all MF and brokerage Roth accounts held by that individual. Ditto for the TIRAs.

You can specify percentages for primary and contingent beneficiaries. That's it.
by Carl53
Mon Sep 04, 2023 2:49 pm
Forum: Personal Consumer Issues
Topic: Any tips about owning a bunny?
Replies: 106
Views: 8898

Re: Any tips about owning a bunny?

We had one for a few years, many years ago. It was kept in a cage in a tiled area near back door. It was litter box trained when we got it. It was often out as the kids would have it out. The main drawback was that it decided electrical cords were a treat.
by Carl53
Wed Aug 30, 2023 5:40 pm
Forum: Personal Finance (Not Investing)
Topic: Sign up for Medicare ? New question added
Replies: 9
Views: 1321

Re: Sign up for Medicare ?

Do have him sign up for Part A. If you go with regular medicare part B, get a part G to be more complete. Compare the combined cost of these to your Insurance cost. Our Part G offers an addon for optical/dental. Of course if you live in a state that allows switching between advantage plans and supplemental plans, I might consider an advantage plan.
by Carl53
Sun Aug 27, 2023 3:46 pm
Forum: Personal Finance (Not Investing)
Topic: Closed, dead pool Medicare Supplement insurance plans
Replies: 58
Views: 6680

Re: Closed, dead pool Medicare Supplement insurance plans

vested1 wrote: Sat Aug 26, 2023 2:46 pm

Maybe someday the country will join the rest of the advanced nations of the world and transition to universal healthcare. Until then it's in the interest of the insurers to keep us squabbling amongst ourselves.


Careful what you wish for. My DD, a citizen of Australia, reports of long waits/approvals for various procedures in the land down under.
by Carl53
Sun Aug 27, 2023 3:31 pm
Forum: Personal Investments
Topic: Roth Conversion
Replies: 62
Views: 5778

Re: Roth Conversion

Total Portfolio is $2Mil and 1Mil is in Rollover IRA. Probably social security will cover most of our expenses. Planning to use SS, interest and dividends for retirement. It is highly unlikely that we have to withdraw large amounts from the portfolio. My concern is just under 12% bracket (approximately $30K year) it will take a very long time to convert to Roth. My DD is in a higher tax bracket. Would you recommend converting to Roth just under 22% for next 5 years? $30K/year will never result in converting the $1M in your IRA. If markets do poorly you might keep the account from growing. I've gone back and forth on possibly converting well up into the 22% bracket but avoiding IRMAA, but have settled in on using up the 12% bracket (effecti...
by Carl53
Sun Aug 20, 2023 9:37 am
Forum: Personal Finance (Not Investing)
Topic: re: WEP Social Security Question
Replies: 12
Views: 1518

Re: re: WEP Social Security Question

BarbBrooklyn wrote: Sun Aug 20, 2023 7:48 am Carl, thank you! Birth year is 1953, so RMD delayed until 73, correct?
Right
by Carl53
Sun Aug 20, 2023 7:17 am
Forum: Personal Finance (Not Investing)
Topic: re: WEP Social Security Question
Replies: 12
Views: 1518

Re: re: WEP Social Security Question

swengineer, Thank you for correcting me. It is the GPO not the WEP. And thank you for steering me in the right direction in responding to my inarticulate question. Carl53, I think you are right. I could take it with no reduction until I must take a distribution from the 401(k) fund at age 70.5. Thank you so much. Has this rule (taking spousal SS with no reduction until you start taking distributions) subject to the RMD age increase, or is it still 70.5? Here is a clip from the reference in my first post. 1. When GPO applies The GPO applies to a spouse’s benefit for any month the spouse receives a pension based on his or her government employment not covered under Social Security. The GPO applies for the month the pension is payable for, no...
by Carl53
Sun Aug 13, 2023 6:10 am
Forum: Personal Finance (Not Investing)
Topic: Premium for 2 million umbrella policy
Replies: 128
Views: 20108

Re: Premium for 2 million umbrella policy

Just paid $367 for $2M coverage from Travelers, same as last year. (Ohio, residence, out of state wooded acreage, two vehicles, both retired)
by Carl53
Sun Aug 06, 2023 8:29 am
Forum: Personal Consumer Issues
Topic: Help understanding Solar quotes
Replies: 41
Views: 3769

Re: Help understanding Solar quotes

I checked out the link https://pvwatts.nrel.gov/ 14-panel quote is the lowest cost per watt, and it is the only one that jives closest to the above calculator. I received a 4th quote very similar to above one. It is $2.60/W. I appreciate the feedback that below $3/W is reasonable and competitive. Energysage website indicated that a quote lower than $2.03/W was excellent, while below $3/W was average. I doubt I would get one that low with an acceptable reputation. We shall see. I am glad I am researching this now and bring myself upto speed and in no hurry due to incentive expiration etc yet. The pvwatts calculator showed monthly production numbers below (I adjusted the roof mounting, pitch, direction being west facing etc: Month Solar Radi...
by Carl53
Sat Aug 05, 2023 3:22 pm
Forum: Personal Finance (Not Investing)
Topic: 12% Now, 12% Later: Roth Conversions Worth It?
Replies: 41
Views: 5457

Re: 12% Now, 12% Later: Roth Conversions Worth It?

Converting some now prior to SS could very well reduce the amount of SS that will be taxed once you begin RMDs. Prior to taking my SS at 70, we always converted to the top of 12%. While doing the conversions we really have not knocked down the pretax amount but the Roths are now roughly equal to the pretax accounts. I will convert this year once again since we won't have a full year at our higher SS payout but next year with a full year at the higher SS will convert far less using up all of the 12% bracket even though the SS will make it like the some of the conversion is being taxed at 22.2%. I'll stop at the top of the bracket as I can't see a good reason to convert more as I'd still be dragging more SS into taxable with an effective marg...
by Carl53
Thu Aug 03, 2023 3:20 pm
Forum: Personal Finance (Not Investing)
Topic: How much state pension to leave spouse?
Replies: 46
Views: 4196

Re: How much state pension to leave spouse?

A couple that we have been friends with took the 0% option to maximize the pension. She likely had a similar pension. He worked part time a couple of years post retirement in his mid 50s but passed in late 50s. She was hurting to maintain the home and has since remarried a widower and is OK but is definitely dependent to a degree on new spouse's funds.
by Carl53
Thu Aug 03, 2023 6:01 am
Forum: Personal Consumer Issues
Topic: EV: Regular Outlet or Install 220v/50a?
Replies: 70
Views: 5371

Re: EV: Regular Outlet or Install 220v/50a?

Nearly three years ago as we planned an addition/renovation to our newly purchased but older home with a detached garage, I insisted that the garage electric (then just a 15A circuit) be upgraded in anticipation of getting a plug in or possibly EV. New meter box installed on outside of home, new 200A box inside and a large (not sure what size) cable run to the garage with the former household 100A box reinstalled there. Never got the vehicle we wanted as they were in very short supply and ended up with an IC vehicle. I at least had lots of capability to add a couple 20A circuits at a workbench and we added a couple of travelers so that exterior house and garage lights could be turned on from either end. I'm sure it added a few extra $k to o...
by Carl53
Fri Jul 28, 2023 5:39 am
Forum: Personal Finance (Not Investing)
Topic: Help me budget a home renovation
Replies: 3
Views: 898

Re: Help me budget a home renovation

You seem to be very well situated. If you are happy with the home, go for it. Beware that there will be inconvenience for perhaps 6 months while the project is ongoing. You may even may want to take to an AirBNB for some respite from the mess. We purchased an old home during the pandemic and spent more than the cost of the house in renovations (kitchen relocation and other stuff) and adding perhaps 250 sqft (bath and a half/laundry, two walk in closets). If I put all the cost against the square footage of the addition it would be pushing $1000/sqft. Not really cost effective as an investment, but it got us what we wanted in a location we wanted. BTW, we did not move in until all the interior work was done.
by Carl53
Thu Jul 27, 2023 10:13 am
Forum: Personal Finance (Not Investing)
Topic: Term Life: How Much and For How Long
Replies: 77
Views: 7438

Re: Term Life: How Much and For How Long

Valuethinker wrote: Thu Jul 27, 2023 9:29 am

$1m each is not a bad bet. Gives you room for increases in financial needs.

Note once you are pregnant I believe you (temporarily) become uninsurable (assuming gender in that sentence ;-)).

DS and DIL got term policies last year, $500k 20 year policies, while DIL was about 4 months pregnant with our 2nd grandchild. DIL policy came in more expensive than what I had anticipated. Less than two months later, DIL suffered from pre-eclampsia and an emergency C-section was performed with the baby 14 weeks early. Fortunately there was no insurance payout and both Mom and baby are doing well.
by Carl53
Tue Jul 25, 2023 2:00 pm
Forum: Personal Investments
Topic: Converting from her SS to my SS - still doable?
Replies: 5
Views: 697

Re: Converting from her SS to my SS - still doable?

Put your numbers in https://opensocialsecurity.com/. You are about 6 months prior to FRA as is she. She already has her benefit reduced and her spousal would be reduced a bit more from your reduced benefit.
by Carl53
Sat Jul 22, 2023 5:37 am
Forum: Personal Investments
Topic: Roth Conversion
Replies: 15
Views: 1568

Re: Roth Conversion

I am 74 with zero earned income. Traditional IRA with VG, 90% taxable. If I start converting to a Roth IRA (I do not have a Roth IRA now), do I have to sell the Traditional IRA holdings and let proceeds sit in settlement fund for a month or can I simply move holdings immediately? I am not sure the math works out for me. Maybe tax rates will be higher in the future giving Roth advantage but I will lose compound growth if I pay taxes now. Thanks. You can simply move holdings, no need to wait. Whether the math works out for you depends on many other things. Suggest you use BigFoot's RPM model talked about extensively on this forum. Also your statement that your Traditional IRA is 90% taxable suggest that you have after tax money involved that...
by Carl53
Mon Jul 17, 2023 4:10 pm
Forum: Personal Finance (Not Investing)
Topic: Credit card rewards vs hassle factor
Replies: 149
Views: 16110

Re: Credit card rewards vs hassle factor

I've tired of chasing new cards bonuses, bank account bonuses too. For the last few years we use a Priceline 2% back card (I think new customers don't get this much anymore) that I let points accumulate and then cash most of the points in for travel related items that get between 10 and 50% bonuses. For this card we average 2.2-2.5% back. We have an AMEX card for 3% back on groceries and I occasionally take advantage of one of their promo offers. My account says I've gotten roughly an extra $1k back on those promo offers over more than a decade. Lastly I use a PenFed card for gas (and groceries, if I see that we are going over the end of the year AMEX $6k limit). Typically we get $1-$2K/year in rewards/bonuses.
by Carl53
Sat Jul 15, 2023 8:19 am
Forum: Personal Consumer Issues
Topic: Is pool ownership worth it?
Replies: 120
Views: 11623

Re: Is pool ownership worth it?

Pools are a money pit What part is the money pit? I'm assuming the chemicals and electricity? Asking because I feel I have mastered the art of best, cheapest pool maintenance thanks to TFP. Thanks. Until you master the pool maintenance, it can feel like a money/time pit. It took me several years to figure it out. Once we mastered it, opening and closing were the biggest half day efforts plus our pool seemed to need epoxy painting every 4 years or so. Most of the 30 plus years we owned our home with an inground pool it was used on a regular basis. There was one year back in the late 90s when the kids were in HS I did not open it due to reduced interest the prior year. The next year there was extra maintenance opening it, but greatly increas...
by Carl53
Sat Jul 15, 2023 8:00 am
Forum: Personal Consumer Issues
Topic: Rigid foam board insulation for attic access door
Replies: 31
Views: 5005

Re: Rigid foam board insulation for attic access door

tortoise84 wrote: Fri Jul 14, 2023 7:59 pm Yes that's what I did. Glued them together with Loctite PL 300 foamboard adhesive. The only 2" thick foam board available in my area was the white expanded polystyrene (EPS) but it's very messy when you cut it. The Owens Corning pink Foamular extruded polystyrene (XPS), or polyisocyanurate e.g. RMax Sika R-Matte are a lot easier to cut.
I did this with some leftover 2 inch thick OC pink polystyrene. Two layers thick. I've been in the attic a couple of times since and adhesive holds the entire access panel and insulation well.
by Carl53
Mon Jul 10, 2023 9:15 am
Forum: Personal Investments
Topic: Draw down IRA before SS
Replies: 29
Views: 2964

Re: Draw down IRA before SS

Thanks for the reply's. Yes, it never hit home to me until playing with a spreadsheet. To think of my early earning years saving for IRA and now realize that unless breaking the 12% bracket it wouldn't be that valuable in retirement. Better to utilize a after tax investing account even before a Roth for low earners. How would an "after tax investing account" be better than a Roth? Both would have post-tax dollars going in, but the Roth would be tax free afterward. A taxable account (assuming that's what you meant) would have tax drag from LTCG & dividends every year, and when withdrawing. Maybe if you would need all of its value prior to 59.5. The earnings (accumulated LTCG and dividends) in the Roth would be subject to incom...
by Carl53
Sun Jul 09, 2023 5:58 pm
Forum: Personal Consumer Issues
Topic: Clearing out grandparents' apartment abroad
Replies: 4
Views: 756

Re: Clearing out grandparents' apartment abroad

Would it be possible for you to hire someone to do a detailed video of the apartment and contents? You could then identify items that you would want and have them shipped to you (don't know if this is possible from Russia). We used Uline, https://www.uline.com/ , to acquire a large crate, which came broken down on a pallet. After we assembled and filled it, as I recall, they handled pickup and arranged delivery to DD in Australia. Took over 6 months, most of the time clearing quarantine during Covid. The balance of the household items could maybe given to whomever did this for you. Maybe the home could likewise be given away as I suspect the carrying costs would not be insignificant to the return on what you might get for it at some distant...
by Carl53
Sun Jul 09, 2023 5:34 pm
Forum: Personal Investments
Topic: Draw down IRA before SS
Replies: 29
Views: 2964

Re: Draw down IRA before SS

The taxes on the IRA withdrawal will still be owed whenever the money is withdrawn, unless it goes directly to charity (ie, using QCDs or on your death). That’s a given. You knew when you were contributing that the taxes were tax-deferred , not forgiven. So, it’s not that some money is being “wasted”. Think of it as you still owe some taxes and are now partially paying off the “debt”. While I always knew that taxes on IRA and 401k contributions were being deferred until retirement, what did not sink in was the potential interaction with SS. I did not realize that until I joined this forum over a decade ago and already my die had been cast. I may have often saved 25% on federal taxes during my working career with IRA/401k contributions with...
by Carl53
Sun Jul 09, 2023 3:17 am
Forum: Personal Finance (Not Investing)
Topic: Is it a mistake to sell my home?
Replies: 62
Views: 7236

Re: Is it a mistake to sell my home?

Do you like the current neighborhood and are the schools of an acceptable quality? Any possibility that your existing home could have a room/wing addition done? If maybe, you might consult with an architect or design folks about what might be done. You could move out temporarily into a rental while work is being done. Hopefully you could get a bedroom/suite added on and other necessary repairs for less than the $200k incremental you are thinking about for a new home and retain your current mortgage.
by Carl53
Sat Jul 08, 2023 7:53 pm
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 11152
Views: 2086063

Re: What Movie Have You Recently Watched?

Sound of Freedom was a compelling telling of a true story of a former law enforcement individual rescuing first a trafficked little boy, a number of other children and then finally the little boy's sister. Almost unbelievable and unsettling.
by Carl53
Sat Jul 08, 2023 4:44 pm
Forum: Personal Investments
Topic: Vanguard/Brokerage [How do I minimize my tax impact?]
Replies: 13
Views: 1452

Re: Vanguard/Brokerage

Looking at your numbers, it appears that you may be single and are likely converting $30k or so to the top of the 12% bracket (dragging 0.85 of SS into taxable with each dollar of conversions) so really about 22.2%. You still have some untaxed SS so converting more pushes you into the 1.85 X 22% or 40.7% bracket, for the next maybe $5k of conversions. If you were to go ahead and convert this amount you might as well convert another $40k or so to the top of the 22% or maybe higher. Doing so would likely incur IRMAA penalties but is likely the only way you might have a slim chance at escaping the tax future you are looking at. If I were in your situation I'd be tempted to donate some of the RMDs as QCDs, at least the portion that are incurrin...
by Carl53
Sat Jul 08, 2023 3:16 pm
Forum: Personal Investments
Topic: $13 Million Goal for Early Retirement (am I crazy?)
Replies: 320
Views: 83068

Re: $13 Million Goal for Early Retirement (am I crazy?)

I think once you retire your tax bracket in a year, your tax bracket will be much lower. If that is expected to be the case, I would consider TIRA contributions this year and save the 22% in taxes and over the next few years convert them and may be some of your other pretax retirement assets too, at 12%.

The new Ohio budget provides a change in how kids school choice funding is provided. At your current income you might get a small tax break if you choose to send your kids to private school, but likely full funding next year at your reduced income level. I think you can get something like $6500 towards school tuition if your income is under $135k.
by Carl53
Wed Jul 05, 2023 5:30 pm
Forum: Personal Consumer Issues
Topic: Workbench with drawers.
Replies: 24
Views: 1529

Re: Workbench with drawers.

I can't comment on that one. When I was looking for a workbench last year for an area in my 100+ year old garage with repurposed cabinets, I found on Facebook Marketplace a WWI era workbench with 6 drawers, a couple shelves and wood clamp built in that I've never seen before. It weighed a bunch, but at $10 it was well worth the effort. Would not have gotten it had it not been less than 10 miles away. With how well it is made and a 100 years of nicks and knocks I certainly don't have to be concerned about using it.
by Carl53
Wed Jul 05, 2023 10:43 am
Forum: Personal Finance (Not Investing)
Topic: Social Security Estimate ... Normal increase?
Replies: 3
Views: 769

Re: Social Security Estimate ... Normal increase?

The cola's applied in January of 2021, 2022 and 2023 were 1.3%, 5.9% and 8.7% compounded to 16.6%. 1.166 X 3000 = 3498.
by Carl53
Wed Jul 05, 2023 5:23 am
Forum: Personal Investments
Topic: Bought life insurance. How should my wife use it if I were to die?
Replies: 28
Views: 2651

Re: Bought life insurance. How should my wife use it if I were to die?

Sounds like you need more than you have. That's what I was thinking unless there are other significant assets. Why? It’s ten years of income. My household expenses are $40,000/year. My wife could pay the mortgage and still have $600,000 left. If your household expenses are only $40k, I think she would be ok. Sure she might have to hire some things to be done that you might have done but there would be one fewer in the household. I've had several $300k term policies, the first purchased a couple decades ago when I was a few years older than you and my income was a little larger than what you currently make and had a few hundred K in retirement. Our kids were approaching HS. She had the understanding that the first policy (10 year) was to ge...
by Carl53
Tue Jul 04, 2023 11:15 am
Forum: Personal Finance (Not Investing)
Topic: Social Security planning
Replies: 50
Views: 6703

Re: Social Security planning

Great thread, with wonderful, but overwhelming info. My questions are that the open social security calculator cannot take into account one's health, and the average life expectancy is just that - average. It seems when I run dates of birth for DH and me, or any others of fictitious couples with various dates of birth and monthly payments, the recommendation is always for the older (male) spouse to take SS at 70, the younger at 62. A single person recommendation is always 70. If one does not need the income, is there ever a scenario that this calculator would recommend both waiting until 70? It seems that is what is so often recommended by Vanguard and other sites, especially for those in excellent health? This would be with both spouses e...
by Carl53
Mon Jul 03, 2023 6:13 pm
Forum: Investing - Theory, News & General
Topic: Criticism of Opensocialsecurity.com
Replies: 36
Views: 5599

Re: Criticism of Opensocialsecurity.com

Never heard of these two before. On their website https://www.theretirementandirashow.com ... s-qa-2326/ the pertinent podcast is listed as 7/1 not 6/30. They don't like Mike's weighting of future benefits by the likelihood of living. I don't buy their rationale and they don't seem to recognize your ability to specify a particular longevity with opensocialsecurity.com.
by Carl53
Mon Jul 03, 2023 5:43 pm
Forum: Personal Finance (Not Investing)
Topic: IRS proposed changes to my 2021 form - Help!
Replies: 43
Views: 3724

Re: IRS proposed changes to my 2021 form - Help!

We've had a number of VG accounts, both on the MF and brokerage platforms. Consequently in many years we get a number of 1099s from them. The consolidated form you mention seems like the household statement we've gotten for a number of the MF (but not all) accounts. After logging into your VG account, go to the bottom and look for tax forms (or search for tax forms at the top of the page). Click on that and you will get a menu allowing you to pick by year all tax forms issued, since 2016 in my case. 1099R, 1099Div, 5498 and who knows what else are available. Possibly you picked to have the brokerage accounts to be handled by electronic delivery when you converted your accounts and overlooked them.
by Carl53
Mon Jul 03, 2023 8:33 am
Forum: Personal Finance (Not Investing)
Topic: I genuinely need advice
Replies: 91
Views: 9784

Re: I genuinely need advice

What is the source of your projected retirement income of $55k? Is it just early 72t w/d from the 401k?

What are your projected expenses including health care and taxes? Add some in for one time expenses such as vehicles and roof replacement.

It appears that you are saving about $50k per year. In 4 years you might have $600-$800k depending upon the market.

Once you both on SS you might be in good shape depending on what your answers to the income and expenses questions are.
by Carl53
Sun Jul 02, 2023 7:30 am
Forum: Personal Investments
Topic: Roast my portofolio and sabbatical plan
Replies: 81
Views: 7728

Re: Roast my portofolio and sabbatical plan

OP might consider moving a chunk of the 401k money to a TIRA and converting it given that they will have a low tax year.
by Carl53
Sun Jul 02, 2023 7:19 am
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 11152
Views: 2086063

Re: What Movie Have You Recently Watched?

To Kill A Mockingbird at our local Summer movie event. Great enjoyment. I was surprised that some of the plot had changed, not, LOL, since I saw it last decades ago. Just my faulty memory. Favorite scene from when I was a kid is Atticus shooting the rabid dog.
by Carl53
Sun Jul 02, 2023 6:17 am
Forum: Personal Investments
Topic: Should I Start Roth Conversions Now?
Replies: 28
Views: 2971

Re: Should I Start Roth Conversions Now?

Been converting most years to the top of the 12% bracket in the hope that the tax rates don't revert to the higher levels in 2026. That said we've been basically treading water on pretax account balances with Roths now roughly equal to them in magnitude. This year with our greatly increased SS benefits and the higher tax brackets looming I going to push somewhat into the 22% bracket with conversions but am going to do QCDs for a portion of the w/d. We will have a modest amount that can be converted in the 22% bracket after all of the SS is taxed while avoiding the medicare IRMAA. Next year with a full year at the higher SS benefit we will have less space to do this. Looking ahead to 2026 and beyond, I could see stopping the conversions and ...
by Carl53
Sat Jul 01, 2023 5:05 pm
Forum: Personal Finance (Not Investing)
Topic: On social security at last!
Replies: 108
Views: 15985

Re: On social security at last!

Defer until age 70 and die a month later. You've guaranteed your spouse, if you're the higher earner, the highest possible inflation-protected benefit for the rest of his/her life. If that is what is in store for me, sign me up. I could not care less about total lifetime benefits and the breakeven point. It's a non-factor for me. This was my outlook on it (opensocialsecurity's too), as coverage for a worst case situation, not a goal. Low earning history spouse, 4 years younger likely to be on my higher benefit for 20+ years should I pass soon. We did the restricted spousal benefit until earlier this year. Should something happen to me my spouse's survivor pension benefit would be reduced by about 1/3 but she should be in great shape with r...