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Re: Simple Global Market Portfolio with iDeCo?
Posted: Mon Aug 21, 2023 3:42 am
by RetireJapan
_To_ wrote: βMon Aug 21, 2023 12:44 am
I just wanted somebody to confirm that allocating 100% of the iDeCo funds into eMaxis Slim All Country is still the simple but effective hands-off approach of choice.
It's a very reasonable option as long as you have a long-term investment horizon.
Re: Simple Global Market Portfolio with iDeCo?
Posted: Mon Aug 21, 2023 11:59 am
by beanhead
_To_ wrote: βMon Aug 21, 2023 12:44 am
Essentially just waiting on a thumbs up from one of you experts here and then I'll dash outside and throw the already filled out application forms into a post box
Not an expert and I don't have access to eMaxis Slim in my iDeCo, but I do think
overseas equity funds make most sense in iDeCo. Global if possible, if not developed markets.
Keep any bonds, other fixed income, cash out of iDeCo if you can.
The exception to this could be if you are self-employed, maxing out the 68,000yen per month and this is your only/main retirement fund.
Re: Simple Global Market Portfolio with iDeCo?
Posted: Mon Aug 21, 2023 1:19 pm
by adamu
_To_ wrote: βMon Aug 21, 2023 12:44 am
just waiting on a thumbs up
Re: Simple Global Market Portfolio with iDeCo?
Posted: Fri Aug 25, 2023 1:24 am
by _To_
beanhead wrote: βMon Aug 21, 2023 11:59 am
The exception to this could be if you are self-employed, maxing out the 68,000yen per month and this is your only/main retirement fund.
That is exactly the case.
adamu wrote: βMon Aug 21, 2023 1:19 pm
Thank you for your replies!
I have just discovered the RetireJapan YouTube channel as well. Great stuff. Nicely presented and easy to follow. The sound volume on some episodes is a bit inconsistent. I was barely able to hear anything in the video about eMaxis Slim in a setting with background noise. But it seems like that has already been sorted out in the later videos.
Now that our iDeCo accounts are set up, I think the next priority would be to set up a Junior NISA for our son, before it goes away.
We will definitely not be able to max that out. But just in case things go well in the future and there would be any money left AFTER paying into our iDeCo and maxing out our own 2024 NISAs (I won't bother to set up 2023 NISAs for us. I am generally optimistic about the future but not THAT optimistic
)
Any input or corrections on that plan? (Sorry I am just running everything by you, but there is nobody else for me to discuss this with.)
Also I wanted to say how much I appreciate what you are doing here at RetireJapan and at the Wiki. Sharing all this information with everybody. It made sorting out our financial situation and planning for the future SO much easier.
Re: Simple Global Market Portfolio with iDeCo?
Posted: Fri Aug 25, 2023 5:49 am
by zeroshiki
_To_ wrote: βFri Aug 25, 2023 1:24 am
beanhead wrote: βMon Aug 21, 2023 11:59 am
The exception to this could be if you are self-employed, maxing out the 68,000yen per month and this is your only/main retirement fund.
That is exactly the case.
adamu wrote: βMon Aug 21, 2023 1:19 pm
Thank you for your replies!
I have just discovered the RetireJapan YouTube channel as well. Great stuff. Nicely presented and easy to follow. The sound volume on some episodes is a bit inconsistent. I was barely able to hear anything in the video about eMaxis Slim in a setting with background noise. But it seems like that has already been sorted out in the later videos.
Now that our iDeCo accounts are set up, I think the next priority would be to set up a Junior NISA for our son, before it goes away.
We will definitely not be able to max that out. But just in case things go well in the future and there would be any money left AFTER paying into our iDeCo and maxing out our own 2024 NISAs (I won't bother to set up 2023 NISAs for us. I am generally optimistic about the future but not THAT optimistic
)
Any input or corrections on that plan? (Sorry I am just running everything by you, but there is nobody else for me to discuss this with.)
Also I wanted to say how much I appreciate what you are doing here at RetireJapan and at the Wiki. Sharing all this information with everybody. It made sorting out our financial situation and planning for the future SO much easier.
It doesn't hurt to open a 2023 NISA since the worst that could happen is it's there and you don't use it. Having a 2023 NISA also assures that you have a 2024 NISA so its less brain space you have to dedicate to all the things you will need to do next year.
Re: Simple Global Market Portfolio with iDeCo?
Posted: Fri Aug 25, 2023 6:44 am
by goran
_To_ wrote: βFri Aug 25, 2023 1:24 am
γ»γ»γ»γ»I won't bother to set up 2023 NISAs for us. I am generally optimistic about the future but not THAT optimistic
)γ»γ»γ»γ»
Why notοΌ
Worst case, you will not use it and it will stay empty.
It's better to have the account and not use it than to not have the account when you want to use it.
If you come across some unexpected cash in-flow (this year or sometime in the future), you can just throw that into your NISA, without having to think about setting it up from the scratch. (Also this year's NISA is kind of a bonus as from next year we are getting a new bucket with lifelong limit)
Re: Simple Global Market Portfolio with iDeCo?
Posted: Wed Aug 30, 2023 5:02 am
by Roger Van Zant
(I won't bother to set up 2023 NISAs for us. I am generally optimistic about the future but not THAT optimistic )
I have zero understanding of this comment. Can you elaborate?
Re: Simple Global Market Portfolio with iDeCo?
Posted: Wed Aug 30, 2023 7:35 am
by TokyoBoglehead
Roger Van Zant wrote: βWed Aug 30, 2023 5:02 am
(I won't bother to set up 2023 NISAs for us. I am generally optimistic about the future but not THAT optimistic )
I have zero understanding of this comment. Can you elaborate?
That is because the
edit: plan is not ideal.
A 2023 tsumitate Nisa would grant you 40 man worth of tax free growth for 20 years.
By not opening an account they will forever lose that allotment, as the classical Nisa ends this year.
Re: Simple Global Market Portfolio with iDeCo?
Posted: Wed Aug 30, 2023 7:55 am
by Beaglehound
TokyoBoglehead wrote: βWed Aug 30, 2023 7:35 am
Roger Van Zant wrote: βWed Aug 30, 2023 5:02 am
(I won't bother to set up 2023 NISAs for us. I am generally optimistic about the future but not THAT optimistic )
I have zero understanding of this comment. Can you elaborate?
That is because the comment does not make any sense.
A 2023 tsumitate Nisa would grant you 40 man worth of tax free growth for 20 years.
By not opening an account they will forever lose that allotment, as the classical Nisa ends this year.
I think the meaning is that the poster is unlikely to have the spare cash for a NISA this year.
Re: Simple Global Market Portfolio with iDeCo?
Posted: Sat Sep 02, 2023 11:43 pm
by Billy
Come on people, letβs not be harsh here. Whether the comment makes sense to you or not is irrelevant; what I suspect is OP does not foresee having any spare money to put into the account this year, in which case they see the efforts spent opening the account as wasted.
But as was pointed out, opening a NISA account now has the benefit (and I suspect OP does not know this) of making enrolment into the new NISA automatic, so their efforts would not be spent in vain.
And as goran pointed out, in case they have an unexpected influx of money before the end of the year, wouldnβt it be better to have the option of putting it into their NISA account, while not using their new NISA allotment?
Things to think about. If it were me, I would open a NISA account now: there are no downsides, as far as I can see.
