Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Muni Bonds and index funs in maryland- which ones ???
Old 12-02-2006, 10:41 AM   #1
Dryer sheet aficionado
 
Join Date: Nov 2005
Posts: 27
Muni Bonds and index funs in maryland- which ones ???

I need to purchase either muni bonds or index funds as we have NO debt and gross income over $250,000.

What muni bonds and index funds would you choose if you had 10 years to retire and in the 33% tax bracket?

Thanks
__________________

__________________
Foodeefish is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Re: Muni Bonds and index funs in maryland- which ones ???
Old 12-02-2006, 01:22 PM   #2
Thinks s/he gets paid by the post
grumpy's Avatar
 
Join Date: Jul 2004
Posts: 1,321
Re: Muni Bonds and index funs in maryland- which ones ???

T. R. Price has a Maryland Tax Free (Muni) Bond Fund. I no longer live in Maryland so don't own it currently.

Grumpy
__________________

__________________
...you can check out any time you like, but you can never leave...
grumpy is offline   Reply With Quote
Re: Muni Bonds and index funs in maryland- which ones ???
Old 12-03-2006, 11:09 PM   #3
Thinks s/he gets paid by the post
 
Join Date: Aug 2004
Location: Laurel, MD
Posts: 2,946
Re: Muni Bonds and index funs in maryland- which ones ???

Also check Legg Mason
__________________
...with no reasonable expectation for ER, I'm just here auditing the AP class.Retired 8/1/15.
jazz4cash is offline   Reply With Quote
Re: Muni Bonds and index funs in maryland- which ones ???
Old 12-04-2006, 01:07 PM   #4
Full time employment: Posting here.
 
Join Date: Oct 2003
Posts: 961
Re: Muni Bonds and index funs in maryland- which ones ???

Quote:
I need to purchase either muni bonds or index funds as we have NO debt and gross income over $250,000.

What muni bonds and index funds would you choose if you had 10 years to retire and in the 33% tax bracket?
Which one do you want to purchase? the muni bond or the index fund [I'm assuming to mean stock index funds here]? If you've still got room in your tax deferred accounts, I'd put the bonds in there, and use the taxable account for tax efficient index funds/etf's.

Vanguard has very tax efficient stock index funds:

VFINX [S&P 500 index fund]
VTSMX [total stock market fund]
VLACX [large cap index fund]

VTGIX [tax managed growth and income]
VMCAX [tax managed capital appreciation]
VTMGX [tax managed international]
VTMSX [tax managed small cap]

VTMFX [tax managed balanced]

on the MD muni bond side:

ewwww... Legg Mason's LMMDX has an expense ratio of 0.70%. TRP's MDXBX [int term bond] and PRMDX [short term bond] are cheaper.

If I had to hold both stocks and bonds in a taxable account, I'd probably go with a combo of VTSMX [total stock market fund], VTMGX [tax managed international], and MDXBX. But it really depends on what complimentary holdings you've got in tax deferred.

- Alec
__________________
ats5g is offline   Reply With Quote
Re: Muni Bonds and index funs in maryland- which ones ???
Old 12-04-2006, 01:09 PM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
brewer12345's Avatar
 
Join Date: Mar 2003
Posts: 16,391
Re: Muni Bonds and index funs in maryland- which ones ???

An alternative might be to just buy a good national muni fund and pay the MD state taxes if the MD state funds all suck.
__________________
"There are three kinds of men. The one that learns by reading. The few who learn by observation. The rest have to pee on the electric fence for themselves."



- Will Rogers
brewer12345 is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Index funds beat most active funds JustCurious FIRE and Money 57 10-23-2006 12:14 PM
Short Term vs. Intermd Term Bonds TromboneAl FIRE and Money 35 07-21-2006 08:58 AM
Great DFA vs Vanguard Analysis in Index Investor ESRBob FIRE and Money 2 12-10-2004 08:03 PM
The Scoop on High Yield Bonds Ted FIRE and Money 9 12-04-2003 01:03 PM
Asset Allocation Critique WilliamG FIRE and Money 38 12-01-2003 04:46 PM

 

 
All times are GMT -6. The time now is 10:49 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.