Search found 94 matches

by amd7239
Wed Sep 20, 2017 6:24 am
Forum: Investing - Help with Personal Investments
Topic: Automate Savings
Replies: 5
Views: 451

Automate Savings

I'm trying to figure out a way to automate my savings so I never see a change in my checking account. For example, automate a 40% savings rate so I never see more than 40% of my take home pay in my checking account. I get a standard corporate paycheck with direct deposit and a Fidelity 401k. The onl...
by amd7239
Wed Aug 02, 2017 7:39 am
Forum: Personal Finance (Not Investing)
Topic: Max out 2016 401k?
Replies: 2
Views: 408

Max out 2016 401k?

Hey all,

Is it possible to retroactively contribute to pay years 401k and reap the tax advantages? I did not max it out last year, instead I just contributed up to the employer match
by amd7239
Tue Aug 01, 2017 5:19 pm
Forum: Investing - Help with Personal Investments
Topic: How do dividends work?
Replies: 9
Views: 899

Re: How do dividends work?

Awesome, thanks for the info all!
by amd7239
Tue Aug 01, 2017 1:59 pm
Forum: Investing - Help with Personal Investments
Topic: How do dividends work?
Replies: 9
Views: 899

How do dividends work?

Hey all! I purchased shares of the Northern Trust S&P 500 Index on 5/18/2017 in my Fidelity 401k. I want to trade them for VITPX (Vanguard Institutional Total Stock Market Index Fund Institutional Plus) shares so I can capture the total US market. Since I have owned these shares for about 2.5 months...
by amd7239
Fri Jul 28, 2017 5:51 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

There are plenty of college grads now that come out and struggle to find meaningful work (beyond the service industry like a barista or wait staff ---- and no,I don't mean that to denigrate the service industry but rather many college grads were expecting something different before they took out st...
by amd7239
Fri Jul 28, 2017 3:04 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

As you all advised, I asked her opinion and didn't give any advice... Major: She said that psychology comes easier to her and she finds it relatively interesting and that's what she will go with. She feels like she is too dumb to do anything that will pay well even though I always tell her she's not...
by amd7239
Thu Jul 27, 2017 9:39 am
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

Wow. I have an image of a 19 or 20 year old young woman, parents and BF with their boots on her neck, probably without realizing that they're choking off her air. Why isn't she the one posting? I see what you're saying. But I am just getting ideas, I'm not going to try to force her to do anything. ...
by amd7239
Thu Jul 27, 2017 9:24 am
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

Rupert wrote:How about physical therapy, audiology, radiology technician, radiology technologist, (I could rattle off a hundred more)?
Please do! These are good ideas, I'm writing them down as we speak...
by amd7239
Thu Jul 27, 2017 7:31 am
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

I graduated from BU long ago. Best decision I made, money well spent. You can study almost anything at BU, she should try different classes and activities and find herself. Expensive but amazing opportunity to find and develop interests. I think there is a "stick with college and find yourself" bia...
by amd7239
Wed Jul 26, 2017 8:36 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

Why does she want to go to college ? Bottom line is she really doesn't have much motivation to be there. She had high hopes at first about becoming a doctor so that was the original reason. Now, she really doesn't have a clear goal/reason for being there other than her parents want her to go. This ...
by amd7239
Wed Jul 26, 2017 8:23 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

Why does she want to go to college ? Bottom line is she really doesn't have much motivation to be there. She had high hopes at first about becoming a doctor so that was the original reason. Now, she really doesn't have a clear goal/reason for being there other than her parents want her to go. This ...
by amd7239
Wed Jul 26, 2017 8:20 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

Interesting- we had talked about physicans assistant but she had ruled it out, I think because it was too hard to get into school for it. Do you know what other options your friend was pursuing? Life is hard. Other than being a member of the lucky sperm club and being born into wealth, the rest of ...
by amd7239
Wed Jul 26, 2017 8:17 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

What's a useless major? I know people with BAs in anthropology, English, history, and sociology who work for McKinsey, investment banks, big world-transforming foundations, and more. I take it that your BA amigos are also hard-working, self-starters, right? I don't mean this in the context of OP's ...
by amd7239
Wed Jul 26, 2017 8:15 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

When you say not good in math.....are you talking calculus or math in general. Nursing has no math but does have lots of life science but it does involve interaction with people. Accounting could be good for sitting in the back room calculating but if even rudimentary math boggles her, then I guess...
by amd7239
Wed Jul 26, 2017 8:12 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

Who is currently paying for her tuition? Her parents have been paying so she has zero debt now, but they run out of money so now, more college = debt. I don't think dropping out to wait tables is wise, but she might consider taking a leave of absence to teach English abroad and use that time to tra...
by amd7239
Wed Jul 26, 2017 8:08 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

That's an interesting idea, but another issue is her parents are pressuring her to finish school because they are believers in the traditional "4-year college is for everyone" myth. Why don't you think dropping out to wait tables is wise? At least it will be going straight into her pocket instead o...
by amd7239
Wed Jul 26, 2017 8:06 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

That's an interesting idea, but another issue is her parents are pressuring her to finish school because they are believers in the traditional "4-year college is for everyone" myth. Why don't you think dropping out to wait tables is wise? At least it will be going straight into her pocket instead o...
by amd7239
Wed Jul 26, 2017 6:57 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

Re: GF Picking a college major

Who is currently paying for her tuition? Her parents have been paying so she has zero debt now, but they run out of money so now, more college = debt. I don't think dropping out to wait tables is wise, but she might consider taking a leave of absence to teach English abroad and use that time to tra...
by amd7239
Wed Jul 26, 2017 6:39 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 5496

GF Picking a college major

Girlfriend is a college sophomore and is having an identity crisis of sorts - She was premed but was overwhelmed by the time second semester of Chem and struggled gradewise. She's not good at math or the hard sciences. She also has severe social anxiety so I don't think she would be good in a sales ...
by amd7239
Thu Jul 20, 2017 4:14 pm
Forum: Investing - Theory, News & General
Topic: Bogle is pro-SCV!
Replies: 36
Views: 4112

Re: Bogle is pro-SCV!

zaboomafoozarg wrote:
amd7239 wrote:The SCV tilt debate is over!

http://paulmerriman.com/10-lessons-jack ... dex-funds/
Just like the US-international allocation debate is over because Bogle advocates US-only? :D
Dammit, you're right!
by amd7239
Thu Jul 20, 2017 2:42 pm
Forum: Investing - Theory, News & General
Topic: Bogle is pro-SCV!
Replies: 36
Views: 4112

Bogle is pro-SCV!

by amd7239
Tue Jul 18, 2017 5:53 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage Rates in 3 years?
Replies: 26
Views: 2533

Re: Mortgage Rates in 3 years?

Interest only mortgage One word - ARM! Adjustable Rate Mortgage. FHA mortgages You have 3 years to learn the ins and outs of mortgage financing. If you went to get a mortgage today, i can easily see you falling victim to unscrupulous mortgage broker who will make it seem as if everything is hunky d...
by amd7239
Tue Jul 18, 2017 5:00 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage Rates in 3 years?
Replies: 26
Views: 2533

Re: Mortgage Rates in 3 years?

Do not base the house you can buy on the monthly payment. There are all sorts of creative financing arrangements that are good for the lending/realtor community but not for buyers. What are some of these "creative financing arrangements" and how can I sanity check them? Is simply comparing the hous...
by amd7239
Tue Jul 18, 2017 4:34 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage Rates in 3 years?
Replies: 26
Views: 2533

Re: Mortgage Rates in 3 years?

sls239 wrote:And don't look at homes 3 years early.
Why? Because interest rates are uncertain?

In my case, I am doing this because I wish to set expectations with my girlfriend. If she sees what a house we can afford looks like, she will hopefully become a little more grounded in reality.
by amd7239
Tue Jul 18, 2017 3:34 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage Rates in 3 years?
Replies: 26
Views: 2533

Mortgage Rates in 3 years?

My girlfriend and I are discussing our financial future/retirement. We plan to buy a house in 3 years or so. I need to figure out how much house we can afford so I can set expectations early (she wants a big house, and I don't). I want to decide this based on the monthly payments rather than home pr...
by amd7239
Sat Jul 15, 2017 7:35 am
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

Correct - the 401k and or deductible traditional ira is where most of your savings should probably go. Do not contribute to an IRA that is non deductible. You don't absolutely need a Roth but it's helpful to have some Roth money to take out in your retirement years where you may have more income or...
by amd7239
Fri Jul 14, 2017 7:41 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

So if I max out my 401k, it would be more like 38k/year because of my lower taxable income (I would be contributing $15k more, and 70% of that is about 10k)? I'm not quite sure what "it" refers to, and I think we are looking at the calculation from different viewpoints. Run a trial of your taxes as...
by amd7239
Fri Jul 14, 2017 7:37 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

It really all depends on what kind of lifestyle you expect to have at age 50. Unless you are going to live as frugally as Mr Money Mustache - to retire at 50 you will need to start maxing out your 401k yesterday AND also you will likely need to save after tax (like a roth) and some in a taxable acc...
by amd7239
Fri Jul 14, 2017 1:54 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

So if I max out my 401k, it would be more like 38k/year because of my lower taxable income (I would be contributing $15k more, and 70% of that is about 10k)? I'm not quite sure what "it" refers to, and I think we are looking at the calculation from different viewpoints. Run a trial of your taxes as...
by amd7239
Fri Jul 14, 2017 12:51 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

I suggest you take a look at the link below from Mr. Money Mustache. Now I know some here like to nitpick certain aspects of his philosophy, but I believe the charts in this link do a great job at illustrating approximately how much you will need to save to retire early. http://www.mrmoneymustache....
by amd7239
Fri Jul 14, 2017 10:59 am
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

My goal is to retire at 50. According to MMM's shockingly simple math for early retirement, you should save 40% for retirement. I am almost 27 years old and work a 9-5 steady job paying 76k/yr. I have 60k saved up, but I don't know if that's enough. Enough for what? Emergency fund, taxable account,...
by amd7239
Fri Jul 14, 2017 7:33 am
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

$600k house with 20% down is probably at least $3k per month PITI. That's almost half your gross income. Even assuming you could get financing, you'd be massively house poor and likely unable to save anything for retirement at that point. I think you need to either try to keep renting or find a sma...
by amd7239
Fri Jul 14, 2017 7:31 am
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

Given the typical boglehead advice, I am pretty sure you knew what the answer would be. So instead, ask yourself some questions: When do you think it will be easier to contribute than while you are living with your parents? Since you have clearly demonstrated an understanding about how max contribu...
by amd7239
Thu Jul 13, 2017 11:04 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

Given the typical boglehead advice, I am pretty sure you knew what the answer would be. So instead, ask yourself some questions: When do you think it will be easier to contribute than while you are living with your parents? Since you have clearly demonstrated an understanding about how max contribu...
by amd7239
Thu Jul 13, 2017 10:32 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

Max it out NOW and for every year until you're 50 and you'll retire with ease!! Man do I wish I could have done that at 27!! :D I wish I was that confident! I hear a lot that expected inflation-adjusted returns of equities are more like 1% (assuming inflation is 3%). In that case I don't know if ea...
by amd7239
Thu Jul 13, 2017 10:31 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

I think the fastest way to reach the max would be to go straight from 4% to 20+% after reaching my savings goal. That's why I suggested 10%. Already making an excuse for not trying to increase the 401k by just 6%. That shouldn't be a big deal and you will be taking a balanced approach to savings, r...
by amd7239
Thu Jul 13, 2017 10:13 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

One other thing. Tax brackets. Which one are you in and if you did contribute more would you drop down to the 15%?? That could be a big savings and tax incentive for 401k contributions. I'm in the 25% tax bracket - even if I maxed it my 401k and IRA though, I still wouldn't be able to drop to the 1...
by amd7239
Thu Jul 13, 2017 9:49 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

I also live in the Boston-area. A lot of people say a good rule of thumb on a home purchase is 2x gross income. Those of us in HCOL areas might complain and say it is impossible, but even in these markets it's possible if you're willing to make sacrifices. My Wife and I are currently making $150kis...
by amd7239
Thu Jul 13, 2017 9:39 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

Can you explain the bolded part? Everyone is encouraging you to start working towards maxing out your contributions and you seem to be saying that taking a baby step towards that max means it will take you longer to reach the max? You either take the baby step or change to the max tomorrow, what th...
by amd7239
Thu Jul 13, 2017 8:04 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

Why do you need 150k for a house down payment? How expensive of a house are you looking at? I live near Boston, a 3BR would be 600k in the suburbs. A 20% down payment plus 5% for closing costs, reserves needed for the bank to accept the loan, paying a lawyer/title company, etc. comes to 25% - that'...
by amd7239
Thu Jul 13, 2017 8:03 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

That's way too much house for your income. Now if your combined income is sufficient ok but that also affects this entire thread. Unless you have a great combined income buying such an expensive house will have a negative impact to saving and retiring early. Really? Interesting - Do you have any ru...
by amd7239
Thu Jul 13, 2017 8:00 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

EF: 14k expenses, 7k EF for 6 months EF: 38k expenses, 19k EF for 6 months. You said you have 60k saved. Is that cash? Yes that's in cash So you have your EF and some for the wedding and the house. Why 150k for downpayment? Is that 20% down or more than 20%? To nitpick you are only contributing 4% ...
by amd7239
Thu Jul 13, 2017 7:52 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

mortfree wrote:
amd7239 wrote:
mortfree wrote: Why 150k for downpayment? Is that 20% down or more than 20%?
Plz see my response to climber2020 above for that
by amd7239
Thu Jul 13, 2017 7:50 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

Why do you need 150k for a house down payment? How expensive of a house are you looking at? I live near Boston, a 3BR would be 600k in the suburbs. A 20% down payment plus 5% for closing costs, reserves needed for the bank to accept the loan, paying a lawyer/title company, etc. comes to 25% - that'...
by amd7239
Thu Jul 13, 2017 7:46 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

[quote="mortfree"]EF: 14k expenses, 7k EF for 6 months EF: 38k expenses, 19k EF for 6 months. quote] Yes, I do have an emergency fund now but that will be gone after the maybe house down payment of 150k and wedding. The 40-year future value of this down payment is pretty big, huh? Maybe I should ren...
by amd7239
Thu Jul 13, 2017 7:43 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

mortfree wrote:EF: 14k expenses, 7k EF for 6 months

EF: 38k expenses, 19k EF for 6 months.

You said you have 60k saved. Is that cash?
Yes that's in cash
by amd7239
Thu Jul 13, 2017 7:38 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

OP, 1) 401K is a tax-deferred account. It is not a retirement account. You can take money out before 59 1/2 years old without paying penalty if you do it right. So, unless you like paying a lot of taxes, why won't you keep more of your own money in your own pocket. 2) You should contribute 5.5K to ...
by amd7239
Thu Jul 13, 2017 7:32 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

Max it out now If you get married you probably won't even have that option to max the 401k. However, the sooner you do it the less you'll miss that money and it will give you a chance to adjust your finances so you might be able to continue to max it out in the future. Are you eligible for a Roth I...
by amd7239
Thu Jul 13, 2017 7:24 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

Re: When to max out 401k (Aspiring Early Retiree)

mortfree wrote:Max it out now
If you get married you probably won't even have that option to max the 401k.
Why wouldn't I be able to max out the 401k while married?
mortfree wrote:Are you eligible for a Roth IRA?
I have a roth IRA as well. I max that out each year (I've been doing it for 3 years so it has 17k or so)
by amd7239
Thu Jul 13, 2017 7:15 pm
Forum: Personal Finance (Not Investing)
Topic: When to max out 401k (Aspiring Early Retiree)
Replies: 89
Views: 5134

When to max out 401k (Aspiring Early Retiree)

My goal is to retire at 50. I am almost 27 years old and work a 9-5 steady job paying 76k/yr. I have 60k saved up, but I don't know if that's enough. I have no debt. I live with my parents and own my car free and clear. I am anticipating the following costs: - Maybe buy a home (still debating rentin...