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bionic1

bionic1
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  • Ultra-Low-Risk Retirement Strategy For Folks Who've Saved $1 Million [View article]
    I guess adding 77% (9trillion to 17 trillion) to the national debt by the current administration doesn't count for anything!! How's your ACA health insurance working out ?? I suppose FDR,HST, & LBJ were Republicans (WWII,Korea, Viet Nam) if you want to mention "large scale" wars!!! Watch out or you'll run off the edge of the cliff with the rest of the lemmings!!
    Mar 29 03:07 PM | 8 Likes Like |Link to Comment
  • Ultra-Low-Risk Retirement Strategy For Folks Who've Saved $1 Million [View article]
    Roth IRAs while working are a sucker bet that the govmnt. sold & people bought hook,line,& sinker!!! The "pay no taxes on withdrawal" played on emotions of not paying taxes..However, you are losing out on all the compounding of the deferred taxes if held in a traditional IRA for 20,30,40+ tears!! If $1000 of the $5500 contribution is from reduced taxes(refund) after 40 yrs.that would be $40K.At just a 4% return you would have about $89k after those 40yrs from that "tax deferred money"..and a Roth 401k is even a worse choice since you can defer $17,500 totally "tax free"..so at the 20% tax bracket there's another $3500 each year that could be compounding vs. paying the tax up front!! That $3.5k over 40yrs=$140k @4% =$311,000...Now add on the $89k from the IRA & you get $400,000--- and that's just from "Deferred Taxes".. So if you think the Roth is better you probably also believe that "I'm from the government & I'm here to help you"!!! Granted the 401k number uses the max under 50 amount but dramatizes the effect to the max of what compounding does for you...I also have a bridge for sale in Brooklyn,NY though RS may have already it sold before leaving NJ for Fla..I also have a friend who is Nigerian Prince who has a deal you can't pass up(he also sells whole life insurance policies on the side)
    Mar 29 02:48 PM | Likes Like |Link to Comment
  • Ultra-Low-Risk Retirement Strategy For Folks Who've Saved $1 Million [View article]
    Unlike the example RS used, you're not allowing for (real) inflation which means the 2% already has less buying power & will decrease going forward as inflation rises!!
    Mar 29 01:57 PM | 2 Likes Like |Link to Comment
  • Should Dividend Investors Invest In Index Funds? [View article]
    Warren Buffett has stated that he will insure his wife's future by investing in index funds for her!!!
    Mar 26 09:21 AM | Likes Like |Link to Comment
  • Dividend Growth Investing: An Introduction To Creating Wealth [View article]
    The dividends in a deferred account become more important when you're retired since you can no longer add to them without having wages..Non-div stocks have to be sold to purchase something else & just re-allocates money where as divvies give NEW money to invest or do what you please with thus indirectly "adding" money that would otherwise be impossible!! per MPT(My Portfolio Theory)
    Mar 22 01:41 PM | 2 Likes Like |Link to Comment
  • Dividend Growth Investing: An Introduction To Creating Wealth [View article]
    In regards to Briars comment of"preaching to the choir"...Keep on preaching as you are one of the Dividend Profit Prophets preaching from the true "Book of MPT"-- "MY PORTFOLIO THEORY"!!!! Looking forward to the rest of the series..
    Mar 22 10:12 AM | 1 Like Like |Link to Comment
  • My Transition To Required Minimum Distributions (RMDs) [View article]
    Dad sounds like Lucy from the Peanuts strip on the commercial who gets the reply "Everything can't be 5 cents" You might jokingly say "check this out" if it comes on & you happen to be watching TV together.. :) I'm on your side with the "to wrapped up in the taxation." People need to think,"why did the Roth IRA followed by the Roth 401k even come into existence??? It certainly wasn't because the government/politicians were being magnanimous..They realized the vast amount of money that was being "tax deferred" & thought how can we get our hands on it now so WE can spend it instead of whoever is in office 40+ years from now.. They couldn't just cancel the existing options without committing political suicide so they came up with this brilliant idea( I believe it was Senator Roth) of playing on emotions of people of NOT HAVING TO PAY TAXES ON WITHDRAWAL.Since most folks have a strong aversion to paying any taxes they took the bait--hook,line,& sinker!!! Unlike the Fram oilfilter commercial "pay me now or pay me later" ..I prefer to have that tax money compound for me for 40+ years & pay later... MAYBE convert some of it when I'm forced too or possibly benefit my estate planning although, since I'm single, let my heirs worry about it! All the talking heads like Suze Orman,etal. were/are sucked in by the governments BS along with the "Wait til you're 70 to take SS"...Spend YOUR money first & hope you live til 78 to breakeven but give up 8 years of payments & then drop dead at 69 & 364days & reduce your estate by that amount & let the government keep it..Kinda like collecting dividends,money in your pocket now vs. straight cap. growth & HOPE you & your stocks are still around somewhere down the road.. Sail today for tomorrow you may be at anchor!!!
    Mar 14 09:47 PM | 1 Like Like |Link to Comment
  • Rich And Retired? Please Buy Dividend Stocks [View article]
    If you save $1k in taxes on your $5.5k contribution to a traditional IRA(vs $0 for a Roth) that would be $40k after 40years & invested it at a modest avg. 4% you would end up with about $88k more for the same total funds invested..If at 70.5 when you have to start taking RMDs if(as pointed out in recent articles) you do an in-kind rollover into a Roth & can stay below the 15% tax bracket,you can pay a small amt. of increased tax at that time but slowly convert so as to gain the Roth +'s for estate purposes or if you need to make an emergency withdrawal --tax free going forward..The biggest plus of a Roth in the early stages is a tax/penalty free withdrawal on all contributions(but not gains) at ant time the downside being that money can never be replaced thus robbing you any future gains(unlike a "loan from a 401k which must be paid back but only loss is while it's not invested- the downside here though is if you leave the company for any reason the full amount is due within something like30 days or you then have to pay tax at current rate plus a 10% penalty on the amt. still owed))
    Mar 14 08:41 PM | Likes Like |Link to Comment
  • Rich And Retired? Please Buy Dividend Stocks [View article]
    Nicely Done!! Using the rule of 72(assuming you're re- investing the divs.) a double in less than 6 years indicates a 12+% total return...50% above the long term market average..."Live Long & Prosper"
    Mar 14 07:43 PM | Likes Like |Link to Comment
  • Rich And Retired? Please Buy Dividend Stocks [View article]
    When you consider that 40% of LONG term stock market gains can be attributed to dividends it might DIS-prove ER's assumption..
    Mar 14 07:22 PM | 1 Like Like |Link to Comment
  • Rich And Retired? Please Buy Dividend Stocks [View article]
    Nothing wrong with a small % of high yielders to "juice" your holdings..They just require closer monitoring...It's like having a high calorie dessert, there's no harm as long as you don't overdo it!!! Investing is no different than life--moderation is still the key!!! You would be ill advised to be totally invested in either high risk,small-cap bio-techs or conversely stuffing all your cash in a mattress..
    Mar 14 07:15 PM | Likes Like |Link to Comment
  • Rich And Retired? Please Buy Dividend Stocks [View article]
    DRIPs are simply another form of dollar cost averaging & as such are especially useful when in accumulation phase where you have already evaluated that co. & want to build out to a full position but may not have as much free time & want to devote that time to other co.'s that you don't own yet..not to mention it reduces your trading costs!!
    Mar 14 06:47 PM | Likes Like |Link to Comment
  • Debunking The 'Dividends Don't Add Shareholder Value' Myth [View article]
    They wouldn't if held in a deferred account..401k,Trd-IRA,... a moose were in an environment where the antlers were also not needed for "defense" he wouldn't have a problem!! If you're in a low enough taxable income bracket you wouldn't be paying any tax on the divs. either!
    Mar 14 02:16 PM | 1 Like Like |Link to Comment
  • Debunking The 'Dividends Don't Add Shareholder Value' Myth [View article]
    They could "possibly" go bankrupt & the shareholders are left holding an empty bag!!
    Mar 14 02:01 PM | 2 Likes Like |Link to Comment
  • Debunking The 'Dividends Don't Add Shareholder Value' Myth [View article]
    1st flaw is that you when you state "the earnings/income will never change because the co. does not invest ANY earnings in the business"..That implies that all the earnings are being paid as dividends but in fact they are probably doing BOTH.. 2nd flaw is what happens if a "black swan"(ie, Enron, Worldcom) event occurs..The person receiving monies as dividends over the years has that money in their pocket while in the non-div. scenerio you end up with "squat". So the reality is that dividends act as a sort of insurance against TOTAL LOSS in a catastrophic situation!!! Better to have/get part of something than all of nothing!!
    Mar 14 01:12 PM | 5 Likes Like |Link to Comment
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