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My advice is to think very seriously about the consequences of essentially spending $300k on a degree program, particularly the portion taken as student loans. At ~7% interest, it only makes sense to pay down the debt as quickly as possible and sending $20k-$30k or more to the government each year ...

With the luxury of the reasonable expectation of a decent income for years to come, (and some complexities related to a step-child) I am maxing 401(k)s and Roth IRAs in addition to small employer funded pension plans, and paying down debt to a comfortable level. A 529 exists only to capture gifts fr...

With a new house (and assuming pay off of the loans you noted as planned for payoff) , I'd prioritize: 1) Increasing emergency fund - $20k seems low if you have kids, a new house an only one of you is working 2) Contributing to retirement fund(s) to get match 3) Contributing to ROTH retirement funds...

My bias is towards moving in with parents if this is an option. Cost savings is substantial and important, but flexibility and ability to move at a moment's notice for school / your first job are important. $18k / yr in saved rent makes for a lot of hotel stays, vacations when living with your paren...

I think we need more information. 70% of a $10k portfolio is no big deal since that will change quickly as you make contributions. 70% of $100k is another thing entirely. And 70% of a million is just plain dangerous. Your tax bracket is also important. If you are in the 15% bracket, you could dump ...

For $8k, I would pay off the loan and simplify my life. For $80k, and if fixed over a long term, I'd probably hold on to the loan. If I wasn't maxing retirement accounts, I would hold on to the loan and fund retirement accounts. Your talk of market highs and low yields is a fancy way of saying marke...

We live in a college town, so we'd be renting to students of a very religious private university. The students of said university can only live on-campus or in approved off-campus housing. This means we'd have to follow the rules of the university in order to keep approval - stuff like having enoug...

I don't think you understand what "living paycheck to paycheck" means. Momar - I guess I mean we feel like we are always in a pinch. Which I agree is crazy given what we save... hopefully that makes sense! Not sure it does even in my head. There's nothing obvious here to indicate the fina...

Two pieces missing from this puzzle:
1) What are your annual expenses beyond the $100k in savings you identified
2) What debt do you have other than the mortgage (credit cards, car loans etc.)

Direct Marketing Association is a good first step.

I am buying a home in Mesa, AZ for retirement. We live in northern Illinois. I will take a mortgage on the new home, but will not move into the home for roughly one year. Fine print in your mortgage likely prohibits this - expectation with mortgages for primary homes is that you occupy within 60 da...

I'm not a contrarian.

I believe real estate values are a bit more complex: 1) Analysis shown assumes value of house is based on cash flow. This may be true for rentals, but in many areas, houses are priced as luxury consumption, so decoupled somewhat from intrinsic value. 2) Housing prices are significantly driven by emp...

ResearchMed wrote:Well... not much can "compete" with the bath pictured above

A tiger?

Company A = $90,000 * 1.18 = $106,200 Company B = $110,000 * 1.04 = $114,400 I would imagine that non-tangible, non-financial factors may dwarf this $8200 difference. Thank you for making that clear for me. That's what I needed to see. Of course the non-financial factors will play a huge factor in ...

Hmmmm. How about buying some gemstones as an "investment"? Value on that day = $7000.00, make an official appraisal part of the deal. Stick 'em (and the appraisal) into a safe deposit box for at least a year plus a day. Make sure to make notes about your intention to INVEST in precious st...

Tough to give an answer based on facts you have shared - most responses will likely be based on either a religious belief that debt is bad, or a religious belief that investing should return more long term. Once you decide how much debt you want to pay down, I would suggest considering a no cost ref...

The short answer is yes, dropping the rate from 3% to 2.625% represents an immediate savings if no fees so worth it.

Only reason this wouldn't be worthwhile is if the loan balance is small and savings from this move are not worth your time / hassle during the refinance.

I'd love the following features in a renovated bath: 1) Heated towel rack 2) Doorless shower 3) Body Dryer that drys you with blown hot air Heated floors are also a popular feature. Hmmm...I've never heard of those, and my mind is envisioning one of those Dyson hand-dryers on a super-sized scale. C...

I'd love the following features in a renovated bath:

1) Heated towel rack
2) Doorless shower
3) Body Dryer that drys you with blown hot air

Heated floors are also a popular feature.

My quick take is that the deals you are being offered are probably legit and would make sense to you financially assuming you stay in your house for ~ 1 year after closing, but the 3.875% offered is above market in most areas assuming you have good credit and sufficient equity. Chance of you borrowi...

Interesting question, though I would question the focus on absolute wealth and suggest a focus on relative wealth instead (i.e. how wealthy were you compared to your peers / your community). I believe there is a decent amount research showing that happiness / security is defined on relative terms, a...

Interestingly, it is possible to get a new social security number if original number is compromised due to fraud:

http://ssa-custhelp.ssa.gov/app/answers/detail/a_id/79/~/request-for-a-different-social-security-number

Realtors always think now is the time for you to list with them. Houses listed for multiple months get stale and are seen as distressed, so listing now to sell next year seems like a poor idea - a better bet would be pricing appropriately when you do list. Alternately, consider giving your realtor a...

Buyer's and Seller's agents commissions don't have to be split evenly. Additionally, commission structure may differ if agent is both seller's and buyer's agent (allowable in some states!) Typically, selling agents want quick sales and sellers that are easy to work with. I would suggest cleaning and...

I echo the suggestion to check out restaurant supply stores for value.

I am currently considering Vollrath Tribute (tri-ply) pans due to spouses requirement for insulated handles.

For most people in your situation, maxing your 401(k) contribution and subsidizing your living expenses with your taxable accounts (effectively moving money from taxable to tax deferred) makes sense. It is likely you would reduce current taxes AND total lifetime taxes if you anticipate being the typ...

A couple of questions: 1) Is student debt fixed or variable? 2) Is student debt deductible (probably not at your income) 3) What mortgage rates are you considering (3.75% for 30 year fixed?) If student debt is variable, or tax adjusted mortgage rate is less than tax adjusted student debt, likely mak...

A couple of thoughts: 1) Be glad your spouse dosen't want a Porsche 2) Considering the purchase is a losing proposition - of course a $5k bike seems rediculious I'd suggest evaluating the question differently - can you afford and is it reasonable and fair for your spouse to spend $5k (a year, every ...

It almost funny how the appriased value will equal what you have on the contract... just wait and see... Note the appraiser's financial interests are aligned with neither your interests nor the bank's interests, and the appraiser has almost no liability for a poor appraisal. From my experience, in ...

Incidentally, my avatar is a Zimbabwe bank note with a face value of One Hundred Trillion Dollars.

There are a number of stamps more valuable (and lighter).

http://www.telegraph.co.uk/news/newstopics/howaboutthat/7718120/Worlds-most-expensive-stamp-expected-to-sell-for-up-to-5-million.html

Buying a beater and reselling is likely cheapest (though there is the risk of major repairs).

Other options would be 1) Zipcar or similar if available (but probably not good for a workday commute) or 2) Assuming a lease (lease trader) If you are planning low mileage over the 6-8 months.

Do you need a house now, or are you buying now because of the "deal." When negotiating housing purchase, original purchase price, cost of upgrades, owners love for the house are irrelevant. From a buyer's side (yours) consider 1) suitability of house for your needs, 2) Alternatives, 3) Pri...

Check out BlueStar. I've been really happy with our gas cooktop which was somewhat reasonably priced.
I'm sure their rangetops & Ovens are nice too, but more expensive.

In today's low interest rate environment, only reason for you to hold mortgage is because borrower has crappy credit and can't get a bank mortgage which means real likelihood of default. From a purely financial perspective, the deal may make sense, however requires your willingness to foreclose if b...

john94549 wrote:I'm confused. Didn't you ask essentially the same question a few days ago? Anyway, my advice is the same.

No, Confused is someone else completely: http://www.bogleheads.org/forum/memberlist.php?mode=viewprofile&u=38087

If purchasing house shortly, be aware that new credit card will adversely effect your credit score, and perhaps your ability to take out a mortgage / the mortgage rate. Hopefully not an issue in the AmEx Platinum bracket, but something to be aware of before taking out new credit.

Seems like some key missing information which could meaningfully alter advice: 1) Are student loans (or mortgage) fixed or variable? If loans are variable, there is an increased importance to paying off / paying down. 2) What is housing outlook in your area, are housing prices likely to recover? Are...

Retirement contributions are use it or loose it. I would suggest using a Roth IRA as a vehicle for additional emergency savings. If you are unlikely to need / want to move in the foreseeable future, I would prioritize funding retirement accounts over dumping money into an underwater house unless you...

Another vote for paying whatever required to eliminate PMI since you will have sufficient emergency funds left over. If removing $32k from savings causes other hardships, you could consider restructuring your debt instead of paying it off... Perhaps a Home Equity loan or a loan against an existing c...

To be precise, you are not phased out of IRA contributions, rather phased out of the immediate tax benefits.
If you're truly starting from scratch, you'll want to make a taxable $5k contribution to your IRA each year, then immediately convert to a Roth IRA in a move called a Backdoor Roth.

Ugh. Not a fan of the Philly Ritz as I've had service issues in the past and understand Philly is not representative of the typical Ritz experiance, but wish you luck on your stay. Would suggest you 1) ask for a high room overlooking City Hall as pretty at night (though be aware there is currently a...

Thanks, I hadn't considered the company sale as a risk (though hopefully not applicable in my immediate future). I have also learned that interest paid to 401(k) loan is not deductible, so may be a downside vs. existing loan, though additional analysis required to determine specific impact to me due...

Not sure the question on valuation of contingent offer can be answered without more information - specifically how much do you want / need to sell. I'd be tempted to ask for best and final due to multiple offers, and let the contingent offer know that the other offer is non-contingent to see if they...

My experience was a 50 bps premium on a 30 year fixed loan for non-owner occupied property with 75% LTV required. Rates were adjusted upwards so out of pocket costs were minimal. I would recommend checking out a broker who can cross-shop lenders and better yet who may have a relationship with a good...

Hi, I'm wondering if a 401(k) loan makes sense for me... First, some basics: 1) My wife and I are in our late 30's with a sufficient emergency fund, dual incomes in reasonably stable jobs and a history of maxing all retirement accounts ($75k / yr including required cash balance pension contributions...

Agree with putting excess income towards mortgage unless you have unusual job risk (continuous layoffs would seem to qualify), in which case I would suggest beefing up the emergency fund further. A couple thoughts: 1) Have you considered a HARP refinance ( http://www.makinghomeaffordable.gov/program...

Yes... A real minimalist would've used only one dot, the period. :wink: My original response was a simple "Yes", but as it turns out, forum software prohibits posts less than 5 characters. Since there is no grammatical precedent I'm aware of for ending a statement with two dots, I decided...

Yes...