You seem to be suffering from "paralysis by analysis." It's not that complicated - and you're obviously capable and know how to use a spreadsheet from your detailed initial post.So, at the risk of opening up a can of worms with this question, I did some research on hourly fee advisors and came upon Mark Zoril and Planvision, who people seem to like, and the cost is relatively low. But my concern is that he may not have the time to advise on such a complex reorganization. I'm ok doing it on my own (with this forum's help), but I was thinking i might avoid a costly mistake by hiring someone to oversee the process, and end up saving as much or more than it would cost me. Still not sure I want to get an advisor, but it might give me some peace of mind.
1. Stop doing Roth conversions to give you the most room to absorb capital gains without paying NIIT.
2. Getting rid of the highest cost funds is your highest priority. What do you have in net gains/losses if you sell evertying with an ER higher than 0.5%? I'm betting its a pretty reasonable number. I recall helping a poster through this a year ago. She was surpised that selling all her high cost funds produced only a modest gain. Funny how that works out, right!?
3. You can probably increase your capital losses by tax loss harvesting any bond funds you've held for at least the last two years.
4. Exchange into Total Stock Market, Total International Stock Market, and whatever new bond fund you like.
Don't get too caught up in the details. Capital gains rates are reasonable, and you're going to owe them when you need to access the money in any event. Who knows, rates could well be higher in the future, so realizing them now may turn out to be tax gain harvesting. If you took this to Vangaurd PAS, they would likely sell everything wholesale that didn't fit their model.
After the dust settles on the above, you can work on further streamlining and simplification by getting rid of small positions and specialty funds that don't fit your new template.
Statistics: Posted by Outer Marker — Tue May 07, 2024 8:26 am — Replies 49 — Views 4690