There is a term for this as you can see from the below article. I assume you are somewhat unaware of this because you are not yet collecting Social Security. I was also oblivious to it until it became a reality for me. Ah, right, the dreaded SS tax torpedo that I see discussed on Bogleheads and for...

Vinny, You seem to be saying that if you have $10,000 taxed at 22% and another $10,000 also taxed at 22% that you now have $20,000 being taxed at 44%. The tax on that $20,000 is $4,400, not $8,800. Remember that you have $11,600 that is only taxed at 10% and that the next $35,550 is only taxed at 12...

The whole Social Security thing is a double tax as not only will those Require Minimum Distributions push me well into the 22% marginal tax bracket ... it will also result in more Social Security being taxed (at that 22% marginal tax bracket). Seems like that could be viewed as a 44% federal tax ra...

You are correct about effective tax rate ...which is different from marginal tax rate, which is the tax rate on your next $$$ earned. For my 2023 tax return I am in the 22% federal tax bracket. State is 5%. Therefore, 27% total for the next $$$ earned. But then there is Social Security / Medicare, ...

The new variable rate on I-bonds issued 5/1/24 to 10/31/24 is 2.96%. Article by David Enna is here:

https://tipswatch.com/2024/04/10/march- ... e-at-2-96/

He is also forecasting a fixed rate of 1.2% or 1.3%. So a 4.26% composite rate more or less.

I just sold some 0% fixed rate I-Bonds and bought new ones at 1.3% (Fixed rate at 1.3% through the end of April) Per one YouTube video I say, the fixed rate likely to be slightly lower May 1 And, figured 1.3% is better than my 0%, even with the 3 month interest penalty for selling before 5 years ar...

Lets consider investments to be money we give to other people in the hope that it grows, and liquidity to be the money we set aside to ensure we can meet our day to day obligations “whatever the future brings”. From this lens, stocks are investments and bonds, cash, and gold are about liquidity, ri...

Should have checked before I posted that, Vinny. Yes, it works in reverse. This is the Investopedia link: https://www.investopedia.com/terms/r/ruleof72.asp#:~:text=The%20rule%20can%20also%20be,72%20%2F%206%20%3D%2012). But back to my main point. Looking for a reliable site for the "real" r...

Whoah!! Almost 2300. I have the same question as the title of this thread....is this because people think the Middle East situation is spinning out of control? Or that some kind of economic apocalypse is being predicted and I just haven't noticed? Or, do we indeed have inflation, it's just not refl...

I agree to a great extent. However, it’s not about just wealth, but value, Barrett. New treatments for ailments, the democratization of the cellphone, etc. Granted there are all kinds of problems — surprise medical costs & out-of-pocket health insurance rates; unaffordable housing, and so forth...

• 50K to 350K over 15 years is 13.85% annualized, right? Is that so dramatic? This is why I’ve always been stock heavy. • As we know, the market moves in fits and starts, thus “time in the market, not timing the market.” What was that ten-year period where the S&P returned nothing? Maybe 2000 t...

Could anyone explain to me what caused such a dramatic increase? Has US productivity increased that much? I believe that the Trump tax cuts in late 2017 (TCJA) helped stocks here in the US a lot. This is hardly a thrilling read but might help: https://www.taxpolicycenter.org/briefing-book/how-did-t...

I decided back in about 2017 not to hold long bonds because they tend to do great for a short period of time and then give up their gains quickly. See the data here: https://fred.stlouisfed.org/series/DGS30 Plug in an earlier start date so that you can see their performance in late 2008 and early 20...

Cash: looks like these high interest rates aren’t going to last anyway. You may be right - but it's so thorny trying to predict the future. Actually you ARE right given a long enough time horizon. How long? Who knows! It's probably a good idea to make sure anything you do is reversible in case we e...

Didn't read the article, but the one thing I would add to boglerdude's list is having favorable genetics. In fact that may outweigh all other factors put together. Of course, one can't change anything about their genetics. Boglerdude's post outlines several changes that one can consciously take.

A few random thoughts... There's obviously no one-size-fits-all answer for this but I cancelled my life insurance last year (at age 64) with about seven years left on a 20-year term. My wife is almost 57 and still has hers. My premium was high(ish) at about $115 per month. In our case our house is p...

Can’t wait to hear what Jeremy Grantham has to say. “ This time…” O0 Or that guy who’s been advertising on the finance news channels for 2 years saying something terrible is coming. Man, this got me thinking about Jim Rickards and the first hit I got was a a podcast from 2/2/23 in which he predicte...

a cnbc article states: The benchmark S&P 500 ended the year with a 24.2% gain, … An investor who had $500,000 in the S&P 500 index around 12 months ago, would have roughly $630,000 now, according to an analysis by Morningstar Direct. Without really doing the calculation, wouldn’t that mean ...

Don't have an exact number but it looks like our investment accounts are up 14% to 15% this year. Those accounts are roughly 35% stocks, 15% gold and 50% short-term US debt. So we've avoided the negative impact of poor long bond returns but will also lose out should interest rates continue to declin...

Curious why you posted this article, Vinny, as it seems to be a plug for this particular fund while expounding on its thoroughly average results. For example: << Given its buttoned-up process, the fund’s long-term performance has been near the median of inflation-protected bond peers. Its Admiral sh...

Just wanted to add the obvious.. that if the 5/1/24 reset ends up being just a shade over the current 1.3%, it's perhaps advantageous to buy now (or toward the end of January, 2024 if you have already purchased your $10,000 max for 2023) and get the clock ticking a few months sooner. Much depends on...

What is the earliest date when the fixed rate forecast becomes more or less accurate? Will it be a couple weeks before May 1st? I want to set up a reminder for myself so I don't miss the narrow window to buy at the current rate if the announced May rate will be lower. Alas, the fixed rate is usuall...

Quick question, Vinny... Have you actually bought any TIPS yet or are you still just researching them? Have not yet bought any. But when I do it will be significant mega-amounts. The urgency has somewhat been mitigated by the present levels of yield from the Vanguard Treasury Money Market Fund. The...

Quick question, Vinny...

Have you actually bought any TIPS yet or are you still just researching them?

I want sell some of my SCHO etf that has been reinvesting bond yields. Do I sell the purchases that are making money or do I sell the purchases that are down? Or does it make a difference? You didn't specify if this is in a taxable account or not. If not, I don't see why it would make a difference....