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Maybe on like a 5-year?
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Jun 17, 2022 02:14
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30 year European one but I’m still going to giggle about it
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Jun 17, 2022 02:31
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an iksar marauder posted:30 year European one but I’m still going to giggle about it Fixed rate for the life of the loan? That's a pretty great deal.
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Jun 17, 2022 02:40
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I pay a touch extra on my 3.25% mortgage. $22.51 more. Because I'm a savage and like nice round numbers.
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Jun 17, 2022 16:17
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Omne posted:I pay a touch extra on my 3.25% mortgage. $22.51 more. Because I'm a savage and like nice round numbers. Last year I refinanced to a 15-year at 2.375% (previously had 21 years left on a 4.375%). I will admit, though, I have just a bit of irrational nostalgia for when my monthly payment was $1234.
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Jun 17, 2022 17:18
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My car payment due is something like $415.30, but I'm paying $420 per month. Maybe I should up it to $420.69.
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Jun 17, 2022 18:01
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Ramrod Hotshot posted:Thanks. I've waited this long, might as well hold out for my precious I-Bonds. Just stick it in a HYSA with Ally or one of the equivalent ones. No need to over think it and you get FDIC protections.
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Jun 17, 2022 18:06
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SpelledBackwards posted:My car payment due is something like $415.30, but I'm paying $420 per month. Maybe I should up it to $420.69. Nice.
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Jun 17, 2022 18:34
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Quoting this because it got absolutely buried a few pages back. My goal is to firm up a strategy now so I can stick with it and not think about it.Valicious posted:Hello goons, it’s been a while since my last post in this thread. I’m increasing my contributions to my 401k and taxable accounts, but I could use some assistance in optimizing my portfolio as a whole to be as tax-efficient as can be.
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Jun 17, 2022 23:53
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nelson posted:If I retired early, I would live in a different country. Move to one with universal health care.
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Jun 18, 2022 00:45
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Valicious posted:Quoting this because it got absolutely buried a few pages back. My goal is to firm up a strategy now so I can stick with it and not think about it. I don't understand your goal. You say you want to mimic your Roth target allocation. What is your Roth target allocation? You provided your current Roth allocation but I think I'm missing something?
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Jun 18, 2022 15:02
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CubicalSucrose posted:I don't understand your goal. You say you want to mimic your Roth target allocation. What is your Roth target allocation? You provided your current Roth allocation but I think I'm missing something? Oops, I accidentally left that out. My target allocation is weighted at market cap (as below), but I’m unsure if/what advantages lie in deviating from market cap weighting. AVLV - 30% AVUV - 30% AVIV - 14% AVDV - 14% AVES - 12% I want that to be my overall portfolio, not just my IRA. AVLV and AVUV go in taxable, and the rest in my Roth IRA right? My biggest question is about tax loss harvesting though. I read that it losses carry over year-to-year, so am I correct that you want to start early to reduce the tax drag on dividends? I’m a bit fuzzy on the step by step of it. (Especially given the funds I selected)
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Jun 18, 2022 23:46
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Valicious posted:Oops, I accidentally left that out. My target allocation is weighted at market cap (as below), but I’m unsure if/what advantages lie in deviating from market cap weighting. I'm curious what the others say. From what I can tell, AVES is an emerging markets fund and the rest are either domestic or international "large cap value" and "small cap value" funds. All of the value indexes are trying to capture stocks that are "underpriced" relative to the rest of the market because upside potential is theoretically greater. "Value" hasn't been doing great during the recent frothy bull market, but recent past results aren't an indication of future performance, though. I think you may want to rephrase your allocation according to stock type instead of ticker symbol. I'm not quite sure why you're in all those value funds for your Roth anyways. You could be bumping up your VTI and VXUS investments in your taxable and getting close to a market weighted allocation between US and international stocks if that's what you're really aiming for. Maybe the misunderstanding is on my end.
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Jun 21, 2022 01:24
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an iksar marauder posted:1.42% and I’m not even going to pretend I’m not blatantly bragging 0.96% and 1.28% here
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Jun 21, 2022 05:33
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Elephanthead posted:Move to one with universal health care. I lust for Barcelona
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Jun 26, 2022 21:27
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Eric Cantonese posted:I'm curious what the others say. From what I can tell, AVES is an emerging markets fund and the rest are either domestic or international "large cap value" and "small cap value" funds. All of the value indexes are trying to capture stocks that are "underpriced" relative to the rest of the market because upside potential is theoretically greater. "Value" hasn't been doing great during the recent frothy bull market, but recent past results aren't an indication of future performance, though. I listened to a lot of what Ben Felix had to say on value index investing, and that sent me down the research rabbit hole. I’m mainly asking how to go about tax-loss harvesting using AVLV (US Value Large Cap) and AVUV (US Value Small Cap) that are in my taxable account. Here’s my target market cap-weighted allocation for my portfolio as a whole (with names vs only ticker symbols) Roth IRA 14% AVDV - AVANTIS INTL SMALL CAP VALUE ETF 12% AVES - AVANTIS EMERGING MARKETS VALUE ETF 14% AVIV - AVANTIS INTL LARGE CAP VALUE ETF In taxable 30% AVLV - AVANTIS U S LARGE CAP VALUE ETF 30% AVUV - AVANTIS U S SMALL CAP VALUE ETF
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Jun 26, 2022 23:33
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This afternoon my dad was talking up I Bonds through TreasuryDirect. He's usually pretty good about these things so I'm doing some research as well. Looking around and skimming the last few months of this thread it sounds like a pretty good deal, basically a savings account with higher interest and the tradeoff that I can't touch it without penalty for 5 years? Since it's sitting at near 10% right now, is there any reason not to go in on the 10k maximum ASAP? Is interest calculated over time or just once at the end of each 6 months? Related, is there any reason to break your purchases up into smaller pieces vs one 10k buy? Set up a monthly purchase of $833 or something? Only reason I can think of is the edge case where you want to pull some of the cash back out but leave the rest.
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Jun 27, 2022 08:22
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Takes No Damage posted:This afternoon my dad was talking up I Bonds through TreasuryDirect. He's usually pretty good about these things so I'm doing some research as well. Looking around and skimming the last few months of this thread it sounds like a pretty good deal, basically a savings account with higher interest and the tradeoff that I can't touch it without penalty for 5 years? The only reason to not not do I Bonds is if you need the cash within 1 year, because you cannot withdraw it within 1 year. I Bonds are pegged to inflation. So I’m reality, it’s meant to not have your money lose value. Before Covid, I Bonds were at like, 0.5-1% give or take. Basically, just fyi it won’t always be 9-10%. You also do pay tax on the gains, either each year, or all together whenever you withdraw it. That all said, I’ve invested $5k myself this year , the only reason I haven’t maxed yet is managing cash flow, I probably will max it by end of the year. So I would recommend it, if you have the cash to do it all at once, great, do it, and make sure not to neglect your investment space like Roth 401k. I Bonds are not meant to replace those savings, more it’s an extra avenue. Oh, and warning: the Treasury website is functional but def sucks. My account got locked out once and I had to wait on hold for an hour to get it unlocked (it’s been fine since).
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Jun 27, 2022 12:59
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Takes No Damage posted:Related, is there any reason to break your purchases up into smaller pieces vs one 10k buy? Set up a monthly purchase of $833 or something? Only reason I can think of is the edge case where you want to pull some of the cash back out but leave the rest.
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Jun 27, 2022 13:42
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Question about early withdrawal from a Roth IRA: If I've contributed $15,000 (and current value is $17,00) and am withdrawing $5,000, do I still pay the 10% penalty? Or is there no penalty since I'm withdrawing less than I've contributed? (Younger than 59.5; contributions made less than 5 years ago)
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Jun 27, 2022 15:50
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No, you don’t need to pay any penalties or taxes. That said, this is an uncommon event and it’s unlikely that your tax software and/or accountant will be familiar with the situation. I posted about this a while back. Check my post history. Should have been around April 2019.
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Jun 27, 2022 16:04
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DNK, Feb 2019 posted:I just went through withdrawing Roth IRA contributions. You get a 1099-R from your financial institution showing the disbursement of funds coded ‘J’ — distribution without a known exemption. File that exactly as it is given to you by your brokerage.
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Jun 27, 2022 16:05
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Ramrod Hotshot posted:Looking for a place to park cash, i.e. emergency funds or reserves for big future purchases. Tried to do the I-Bond thing but they couldn't verify me, I sent my paperwork in with a medallion stamp a few weeks ago, and I just now got an email back saying that I should "please allow 13 weeks for processing and review" If it's any consolation I've spent hours on the phone w/ TD and enlisted a third cousin (and paid him) to help me get in touch and so far I don't have any follow-up email/snail mail or anything as to where I am in I-bond limbo.  Will try to get mrs. adnam to buy her own i-bonds in the meanwhile.SamDabbers posted:My mortgage is 2.875% and I don't think I will ever make more than the minimum payment. 2.875% crew 
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Jun 27, 2022 21:06
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So who loving knows. Other options?
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 @ interest being set in eighths of a percent.
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Jun 27, 2022 22:24
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withak posted:
I'm not sure when that started but I feel like it's now a dead giveaway that you refinanced in 2020-2021 for some reason, I'm also a 2.875%
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Jun 27, 2022 22:42
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Valicious posted:I listened to a lot of what Ben Felix had to say on value index investing, and that sent me down the research rabbit hole. I’m mainly asking how to go about tax-loss harvesting using AVLV (US Value Large Cap) and AVUV (US Value Small Cap) that are in my taxable account. Without wanting to research alternatives to Avantis funds, you could just pair those two with Vanguard large cap value and small cap value, no?
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Jun 27, 2022 22:58
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Duckman2008 posted:The only reason to not not do I Bonds is if you need the cash within 1 year, because you cannot withdraw it within 1 year. Cool, and yeah I also have 401k through work and am slowly rolling over a Trad IRA into a Roth. But I never did that much with my money even before Covid so most of my cash is just sitting around in a savings account earning .bullshit% interest. Just to check my understanding, the interest is compounded semiannually (based on the fiscal year I assume, so May and November), which means if the interest rate was 10% and I put in a total of 10k anytime up until October 31st, on November 1st my 10k would become 11k, right? Or is each 6 month block just to lock in that interest rate, so if I buy 10k on October 31st it would become 11k at the end of April 2023? Still trying to understand if it matters WHEN you buy within each 6 month block. Duckman2008 posted:Oh, and warning: the Treasury website is functional but def sucks. My account got locked out once and I had to wait on hold for an hour to get it unlocked (it’s been fine since). I watched my dad sign up through the website last night, my only thought was that they were intentionally making it painful and convoluted in order to control how many people were trying to use it at once. Like, a keyboard on the website itself that you have to click your password into, and it's not even case sensitive? 
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Jun 27, 2022 23:23
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MockingQuantum posted:I'm not sure when that started but I feel like it's now a dead giveaway that you refinanced in 2020-2021 for some reason, I'm also a 2.875%  ) in April 2020, the mortgage rate was 3.25%.…but then we refinanced in October/November - yes, still 2020 - for…2.875% (Equated to about an $800/mo reduction in monthly P&I payments, or something like $30k over the lifetime of the mortgage. Was stupid amounts more paperwork but probably worth it!) Now if only I could get somebody to fix a roof leak in a timely manner…
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Jun 28, 2022 00:21
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Takes No Damage posted:Cool, and yeah I also have 401k through work and am slowly rolling over a Trad IRA into a Roth. But I never did that much with my money even before Covid so most of my cash is just sitting around in a savings account earning .bullshit% interest. Re: Password https://forums.somethingawful.com/showthread.php?threadid=2892928&userid=0&perpage=40&pagenumber=1034#post524141476
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Jun 28, 2022 01:07
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Great info. Thanks for sharing and confirming!
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Jun 28, 2022 01:44
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Takes No Damage posted:Cool, and yeah I also have 401k through work and am slowly rolling over a Trad IRA into a Roth. But I never did that much with my money even before Covid so most of my cash is just sitting around in a savings account earning .bullshit% interest. It gives you the interest every month, it doesn’t take 6 months to show up. The rates change every 6 months. I think what it is , is whatever rate it is when you sign up, you have that for 6 months, then it changes accordingly to whatever the updated rate is.
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Jun 28, 2022 13:15
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It does take 3 months before you see any interest because of that pesky penalty if you withdraw before 5 years
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Jun 28, 2022 15:16
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2022 so far in a nutshell Series I Bond crushing it 401k/IRA down 10% Gotta think long term, long term, and retirement.
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Jun 29, 2022 06:11
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EmmaDilemma posted:2022 so far in a nutshell Just gotta ride the wave and remember any money in 401k type funds is there for 30+ years and long term won’t be down 10% after 30 years (in shallah). Can’t time the market, etc. just keep investing in both IMO. Also, I Bonds are taxed , some 401ks like a Roth are not.
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Jun 29, 2022 12:36
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Takes No Damage posted:Cool, and yeah I also have 401k through work and am slowly rolling over a Trad IRA into a Roth. But I never did that much with my money even before Covid so most of my cash is just sitting around in a savings account earning .bullshit% interest. I would say just buy in to the yearly max $10k of I-bonds as soon as possible. The >9% interest is insane. Compare that to a 1 year CD rate of 2.0-2.5%! Only real downsides are that you can't withdraw at all before 1 year, and if you cash out before 5 years you lose 3 months of interest. There is some theorycrafting online about timing of purchase because the current interest rate is locked in for the first 6 months so some wonder if you should wait to see if the October rate is higher and then locking that in. I think that's probably foolish though. The lost money from not accumulating any interest at all for several months on the hope that hte future rate is higher sounds like a clear net loss. As best as I understand: your amount accumulates interest at the start of every month (and treats partial months as full ones, so if you put in money at the end of June you still get the monthly July 1 interest payout as if it were in the account for all of June). New rates are set twice-yearly at start of May and October, but for the first 6 months of your bond you follow the initial interest rate from when you opened it. Also interest compounds into principle every 6 months after the start date. So I think it's like this. If I dropped in $10k today, my current rate would be 9.62%. That rate times $10k divided into 12 monthly interest payments, would mean at the start of each of the next 6 months I would be paid $80 interest. 6 months of payments later my principle would compound to $10,480 and a new monthly payment would be calculated based on that and whatever the rate has changed to at that time.
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Jun 29, 2022 15:59
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Subvisual Haze posted:
Omg thank you for this. Best explanation.
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Jun 29, 2022 16:06
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Subvisual Haze posted:As best as I understand: your amount accumulates interest at the start of every month (and treats partial months as full ones, so if you put in money at the end of June you still get the monthly July 1 interest payout as if it were in the account for all of June). New rates are set twice-yearly at start of May and October, but for the first 6 months of your bond you follow the initial interest rate from when you opened it. Also interest compounds into principle every 6 months after the start date. According to previous posts about this, it's not that it follows the current rate after the first 6 months, but that the rate changes to the current rate every 6 months for the life of the bond. So, if you buy in June, your rate will always update to the current rate every June and December. The dates when new rates are set are not all that relevant.
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Jun 29, 2022 16:33
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Is anyone actually doing the math on these I-bonds or all you all just salivating over the current interest rate. You get that for 6 months, the fixed rate is 0 thereafter. You also pay full tax on the interest when you cash it out, so if you're planning to get 30 years of CPI on 10k, sure um I guess great and then cash it when your retired because in theory your in a lower tax bracket but like, some of the same people panting to backdoor Roths are also buying I-bonds. Also here is when your interest rates take effect: code:This feels like crypto investing to me, like "what if the US dollar becomes worthless" well definitely nobody is going to give a poo poo about the solution to digital sudoku puzzles that take an hour to transfer to someone else when you can't buy food with US currency anymore. If I-bonds outperform the market consistently for any length of time the US economy is hosed.
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Jun 29, 2022 19:34
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pseudanonymous posted:Is anyone actually doing the math on these I-bonds or all you all just salivating over the current interest rate. You get that for 6 months, the fixed rate is 0 thereafter. The fixed rate is 0 right now. Do you think that after 6 months the only thing you get is the fixed rate? Because that's not how these work.
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Jun 29, 2022 19:37
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Motronic posted:The fixed rate is 0 right now. Do you think that after 6 months the only thing you get is the fixed rate? Because that's not how these work. No, I know exactly how they work. The question is do you? (USER WAS PUT ON PROBATION FOR THIS POST)
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Jun 29, 2022 19:38
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